1) The document discusses IBM's BladeCenter portfolio of blade server solutions, including various chassis models suited for different environments and use cases. 2) Key advantages of BladeCenter over traditional rack servers include lower total cost of ownership through reduced power, cooling, and management costs as well as increased deployment flexibility and density. 3) IBM BladeCenter solutions provide high availability features like redundant power supplies and I/O as well as energy efficiency through shared cooling infrastructure.

1. Building a smarter planet
Virtual. Efficient. Open. Resilient.
© 2010 IBM Corporation

2. Building a smarter planet
IBM BladeCenter
Industry Trends
•Industry dynamics
•Server migration to x86
•Form factor migration to blades
Blade Value Proposition
•Client challenges in a Blade Environment
•IBM BladeCenter value proposition
BladeCenter Portfolio Overview
•Chassis
•Blades
•IO
•Management
Virtual. Efficient. Open. Resilient.
2 © 2010 IBM Corporation

3. Building a smarter planet
x86 is the only growing server platform now represents the largest part of
the market, both in terms of shipment revenue and volume.
WW Total Server Market
$55B $46B $52B
100%  Although 2H09 and 1H10 saw returned to
7%
12% 11%
growth for x86…
21%  x86 represents over 90% over the volume
75% 24% shipments and now represents more than
35% half of the revenue as well.
9%
9%  x86 is good...relatively inexpensive to
50% 4% acquire and maintain, standardized across
multiple vendors, with lots of applications
and skilled people.
63%
56%  x86 is bad...underutilized, taking up too
25% 48%
much space and power, relatively unsecure
and unreliable.
 x86 needs innovation…that’s what we do.
0%
2005 2009 2014
x86 Itanium RISC Mainframe
Source: IDC
3 © 2010 IBM Corporation

4. Building a smarter planet
Blades are the growth engine for x86. By and large new “solutions” or
“systems” are built on a bladed platform.
WW x86Server Market
100% $27B $26B $33B
 Blades continue to outgrow the market,
10%
15% largely from rack-to-blade migrations.
24%
14%  Blade growth drivers have evolved over the
75%
15% last decade.
 Some drivers still relevant… density,
21%
energy efficiency, reduced cables.
43%  New drivers adding to value proposition of
50% blades… convergence, virtualization,
50%
datacenter-in-a-box.
47%
 As the traditional 2S “server” continues to
25%
grow in terms of number of components,
power and thermal profile, the blade form
33%
factor is being stretched to it’s limits.
20%
8%
 With the latest generation of Intel
0% processors, BladeCenter continues to
2005 2009 2014 demonstrate leadership capabilities.
Blades 1S & 2S Rack 4S+ Rack 1S & 2S Tower
Source: IDC
4 © 2010 IBM Corporation

5. Building a smarter planet
The Blade Story Public
Internet/
Intranet
Clients
Routers
Firewalls
(Layer 3
Cost of downtime Switches) High labor costs
Higher failures Local/remote management
Layer 4-7 Switches
Duplicate components Firmware Updates
Quality Vs. cost balance Networking & Storage
Layer 2 Switches
High energy costs High floor space cost
Power supplies, fans, Limitations in physical space
utilization, efficiency Unable to fill a rack
due to power
WebSphere
Network Application Security Application Web Security File
Application
Servers Servers Servers Servers Servers Gateway Servers
Servers
Typical savings
Energy cost reduced by 96%
Storage Management costs reduced by up to 44%
Networks
DataCenter floor space reduced by 99%
Downtime reduced by few components
SAN
Often paid by energy savings
alone in 3 yrs
5 © 2010 IBM Corporation

6. Building a smarter planet
The Blade Story Public
Internet/
Intranet
Clients
Routers
Firewalls
(Layer 3
Switches)
Layer 4-7 Switches Security risk & cost
Physical cables open to
security hacks
Complexity, Cost, Risk Layer 2 Switches
Continued complexity,
Cables, power supplies, fans, cables, operational cost and
physical space = operational physical space
cost, risk & management
complexity
Advantages
Lower physical hacking risk,
virtualization security
Cost, Complexity, Risk Storage Eliminate 92% of networking cables
Networks
Fiber optic cables, transceivers,
complexity = operational cost, Energy saving by eliminating
risk & management complexity external devices
SAN
Technologies to avoid outages
6 © 2010 IBM Corporation

7. Building a smarter planet
The Blade Story
Your entire staff needs to go from the office to the airport.
How do they get there?
Take separate Or take the bus?
taxis?
More Efficiency Lower Cost
1 engine, 1 driver, & multiple seats for
passengers to share the bus’s resources
7 © 2010 IBM Corporation

8. Building a smarter planet
Top 5 reasons to move from racks to blades
It’s less expensive to It’s easier to manage It costs less to
deploy workloads IT infrastructure power and cool
Save significant costs thru Blade servers simplify Shared power and
reduced software license system management— cooling infrastructures
fees by upgrading to the managing servers, storage, means less money to
latest technology and networking from one power and cool servers
point
It’s easier to upgrade It’s easier to deploy
new technology and manage VMs
BladeCenter chassis BladeCenter architecture
architecture makes and end-to-end server and
upgrades easier than the IO virtualization
“rip & replace” approach of capabilities make Blades
a traditional rack the ideal platform for
virtualization
8 © 2010 IBM Corporation

9. Building a smarter planet
FAQ: Addressing client concerns about racks vs. blades
I can’t fill up my racks, because I am out of power. Can BladeCenter help?
IBM BladeCenter is often much more efficient than comparable 1U servers
My current rack servers cause my data center to overheat. Can
BladeCenter help?
IBM BladeCenter produces up to 35% less per server compared to 1Us, requires up to
40% less airflow than comparable 1Us and the IBM facilities team helps you maximize
your air conditioning assets
Last year’s IT is obsolete, and I can’t afford the learning curve the latest
technology requires. Can BladeCenter help?
IBM BladeCenter provides 10 years of durable infrastructure, has the ability to add newly
released IT, keeps your infrastructure in place—rack, power, cabling, switching—and stays
current without the churn
I have strict networking and storage standards that I can’t break for a new
server architecture. Can BladeCenter help?
IBM BladeCenter integrates your IO Standards saving cost and increasing efficiency
Housing all my servers in a single chassis seems risky. I can afford to lose
a single 1U, but the loss of a full chassis worries me. Can BladeCenter
help?
IBM BladeCenter runs no risk of single point of failure due to the multiple blade
connections
9 to power and IO in the chassis © 2010 IBM Corporation

10. Building a smarter planet
HS22 & 1U Solution Total Cost of Ownership – 14 Servers
$200,000
$180,000
$160,000 28% Reduction
$140,000
in Total Cost
$120,000
$ Cost
$100,000
$80,000
$60,000
$40,000
$20,000
Server Networking & Power Cooling Rack & Cabling Square Remote Total
Hardware Fibre Channel Footage Management
1U Servers $52,066 $76,280 $15,747 $6,712 $5,445 $3,960 $18,266 $178,476
IBM BladeCenter $49,937 $54,930 $11,353 $4,839 $4,047 $3,960 $66 $129,132
10 © 2010 IBM Corporation

11. Building a smarter planet
Client challenges in the blade environment
Virtualization and management complexities
Higher Utilization of
Soaring Energy Costs Growing Complexity
Virtualized Environments
Restricted server utilization. A need to reduce operational Interconnects.
Difficulty supporting larger expenses. Network.
size and numbers of virtual Investing in only what is Challenges when trying to
machines, growing needed. optimize performance for
databases and increases in Having to get the most out of specific workloads.
transaction processing. existing data centers.
Floor space is at a premium.
11 © 2010 IBM Corporation

12. Building a smarter planet
IBM BladeCenter is the ideal platform for virtualization
WW Installed Workloads Virtualized by Year
80%
• “Virtualization First” for 75%
69% of customers
70% 65%
60%
59% • More than half of all workloads (51%)
51% will be virtualized by the end of 2010
50%
42%
40%
• Two-thirds (69%) by 2013
33%
30% • Only 12.8% of all physical servers
22%
20% 14%
are virtualized in 2009
9%
10% • VM densities continue to rise
0% predictably, averaging 6 VM’s per
2005 2006 2007 2008 2009 2010 2011 2012 2013 physical server in 2009 and 8.4 in 2013
2.1% 12.8% 22.3%
Servers Servers Servers
12 © 2010 IBM Corporation

13. Building a smarter planet
HX5 provides lowest cost per virtual machine and optimized database
performance
Reduce cost per MAX5 expansion cuts Reduce cost for
database transaction cost for 80 virtual compute
by 23% with machine solution by and memory intensive
4-socket HX5 over 40% simulations by 13%
• 15% better performance with • 3 HP WSM-EP servers to • 66% greater performance per
1/2 the memory and 30% match 1 HX5+MAX5 chassis with HX5 over Dell
lower price over Dell • 25% more memory DIMMs • Fit 6 more servers per
• Industry leading database per CPU over alternative chassis and reduce IT
performance in a blade form NEH-EX blade footprint
factor • 66% greater memory capacity
over WSM-EP blade
13 © 2010 IBM Corporation

14. Building a smarter planet
The most energy efficient chassis platform
BladeCenter H “IBM BC-H + HS22s provided 12%
performance/watt advantage over
 Requires less power and cooling than the HP c7000 equivalently configured HP c7000 +
 For 224 servers ($0.10 avg cost per kilowatt), IBM BL460c G6.”
BladeCenter H can save over $12,000 in power and Edison Group, Inc.
cooling annually over the HP BladeSystem c7000 April, 2010
 Analysis performed with current generation BC H
(4SX). Only gets better with new BCH (4TX)
featuring high-efficiency power supplies!
BladeCenter E New study by Edison shows BCE
 Save up to 22% more power with BladeCenter E over HP can provide 22% more
for energy-efficient solutions in power-constrained performance per watt while
environments requiring 31% less airflow (CFM)
 Most dense & energy-efficient chassis in the industry:
7U, 14 blades with up to 84 blades in a standard 42U
rack
 IBM BladeCenter E – 31% more blades at 50% less cost
and 20% lower power than HP c7000 chassis
14 © 2010 IBM Corporation

15. Building a smarter planet
IBM BladeCenter – the only choice for open connectivity
3
Open ecosystem of partners enables seamless
integration into the datacenter you own today...
and the datacenter you’ll own tomorrow
Non-proprietary I/O strategy makes IBM the
only choice for choice in connectivity
Choice in management tools allows
for simple yet flexible management of
your virtualized environment
15 © 2010 IBM Corporation

16. Building a smarter planet
IBM BladeCenter E
• Best in class efficiency
• 14 blades, 7U chassis
• Redundant everything
• 1GbE and 8Gb Fibre Channel to
each blade, 10GbE uplink
• Full support for HS22 and HS22V
Most efficient chassis on the market with up to 31% more blades in an
industry standard rack. The BladeCenter E provides as much as 22% more
performance per watt or power and costs up to 50% less than HP’s c7000.
16 © 2010 IBM Corporation

17. Building a smarter planet
IBM BladeCenter protects critical business operations
IBM BladeCenter = complete RAS
Complete  Redundant & hot-swap power supplies, blowers, switches, AMM
Redundancy
Dual I/O,  4x completely separate and redundant wiring for power supplies
Dual Power
 Redundant connectors from the blade to the mid-place for power and IO
 NO SINGLE POINT OF FAILURE
IBM BladeCenter is designed for maximum uptime
 Two N+N power domains
 Two connections to power supply
 Two power buses
 TWICE THE PROTECTION!
17 © 2010 IBM Corporation

18. Building a smarter planet
Fit-for-purpose choice of chassis…
IBM BladeCenter E IBM BladeCenter T
Enterprise, best Ruggedized, short-
efficiency, best density depth
IBM BladeCenter S
Distributed, office, IBM BladeCenter H IBM BladeCenter HT
datacenter-in-a-box Enterprise high Ruggedized, high
performance performance
 A common set of blades
 A common set of industry-standard switches and IO fabrics
 Common management infrastructure
 Over a decade of a stable platform
18 © 2010 IBM Corporation

19. Building a smarter planet
IBM BladeCenter S
•Office-friendly, datacenter-in-a-box
•6 blades, 7U chassis
•110V/220V power
•Integrated, shared storage
•Optional office-enablement kit
Perfect fit chassis for retail store, SMB, or distributed LE with an
all-in-one, datacenter-in-a-box design optimized from the ground
up to fit into an office environment
19 © 2010 IBM Corporation

20. Building a smarter planet
IBM BladeCenter H
• Maximum performance, enterprise class
• 14 blades, 9U chassis
• Redundant everything
• Up to 8 switches
• 10GbE, 4X IB, Virtual Fabric enabled
Perfect for highly virtualized workloads in the datacenter, BladeCenter
H provides up to 25% more backplane throughout and up to 42%
more I/O lanes per blade versus HP and Dell.
20 © 2010 IBM Corporation

21. Building a smarter planet
IBM BladeCenter T & HT
• ‘T’ stands for ‘Tough’
• 8 blade, 8U (T), 12 blades, 12U
chassis (HT)
• AC / DC Power
• NEBS / ETSI
• Long life
Perfect for telco, federal, and any other harsh environment deployment,
the BladeCenter T and HT chassis are ruggedized to withstand the most
demanding conditions with features including front-accessibility to most
major components (HT) and optional air filters (T & HT).
21 © 2010 IBM Corporation

22. Building a smarter planet
Fit-for-purpose choice of blades…
PS702(16-core)
HS22V HX5 (4P) HX5 + MAX5 (2P) Performance P7
Virtualization & HPC Scalable, Enterprise Scalable, Max Memory
PS701 (8-core)
HS22 HX5 (2P) Scalable P7
“Workhorse” Scalable, Enterprise
PS700 (4-core)
HS12 Value P7
Entry & SMB
 Building out x86 blade portfolio
 Continuing to deliver capable POWER blades
 Continue to offer broad support of chassis with blades
22 © 2010 IBM Corporation

23. Building a smarter planet
IBM BladeCenter HS12
• Low cost single socket Intel-based
embedded blade
• 6 DIMMs in a 30mm footprint
• Eight I/O ports per blade
• Blade supported across all IBM chassis
– emphasis on BCE, BCS
Perfect fit for non-virtualized, infrastructure applications like file/print
and saves up to 50% more energy versus typical 1U servers. In
addition, OS4690 certified for retail store operations.
23 © 2010 IBM Corporation

24. Building a smarter planet
IBM BladeCenter HS22
•2-socket blade based on Intel
Xeon 5600 series processors
•12 DIMMs per 2-socket system
in a 30mm footprint
•Eight I/O ports per blade
Offers outstanding performance, flexible configuration options and simple
management in an efficient server to run a broad range of workloads.
24 © 2010 IBM Corporation

25. Building a smarter planet
IBM BladeCenter HS22V
•2-socket blade based on Intel
Xeon 5600 series processors
•18 DIMMs per 2-socket system in
a 30mm footprint
•Eight I/O ports per blade
A high density, high performance blade optimized for
virtualization and energy efficiency with maximum memory
capacity, CPU and I/O in a 30mm design.
25 © 2010 IBM Corporation

26. Building a smarter planet
IBM BladeCenter GPU Expansion Blade for BladeCenter
Introducing graphics acceleration (BGE)
• Stack up to 4 BGEs expansion blades
• Stacking feature does not remove
access to CFFh slot on base blade
• Supports 1x225W NVIDIA “Fermi”
GPU per expansion blade
• Next generation GPU technology
integrated into IBM BladeCenter
ecosystem
Maintain BladeCenter density advantage by stacking multiple
BGEs on a compute blade. Populate fewer chassis slots with
compute blades. Industry leading GPU performance in the same
chassis footprint.
26 © 2010 IBM Corporation

27. Building a smarter planet
Optimize memory for 2-socket blade workloads
50% more memory than HS22 means 50% more average virtual machines
BladeCenter HS22, 2-socket 12 DIMMs
HS22 Cost HS22V Cost
Ideal for... Effective for Effective for
• General purpose 15 VMs per 15 to 30 VMs
• Infrastructure workloads server or less per server
• File/print and email
• E-commerce applications
M
C
V
o
s
BladeCenter HS22V, 2-socket 18 DIMMs
t
/
$/VM - -HS22
$/VM HS22
Ideal for... $/VM - -HS22V
$/VM HS22V
•Highly virtualized mainstream
applications
•Memory intense high compute
workloads
•Dense power constrained environments
Virtual
5 10 15 20 25 30 35 Machines
27 © 2010 IBM Corporation

28. Building a smarter planet
…announced March 2 …started shipping March 30
5th generation portfolio of IBM innovative
technology in enterprise x86 computing.
Expansion of Enterprise X-Architecture to
IBM BladeCenter and 2-socket systems.
2X the memory of standard offerings
resulting in more workload at lower cost.
Culmination of 10 years and $800M in x86
research and development.
3 systems using Xeon 7500 + 3 innovations
28 © 2010 IBM Corporation

29. Building a smarter planet
Introducing eX5 – a portfolio that redefines enterprise x86 computing
System x3850 X5 IBM BladeCenter HX5
BladeCenter HX5 System x3690 X5
MAX5 
Maximum memory scaling
independent of processors
One 4-Socket Two 2-Socket
eXFlash FlexNode System Systems
Extreme IOPs Scheduled
SSD storage provisioning
29 © 2010 IBM Corporation

30. Building a smarter planet
IBM BladeCenter HX5
• 2-socket blade that scales to a
4-socket blade
• Up to 40 DIMMs per 2-socket
system with MAX5
• Eight I/O ports per 2-socket
system
A scalable blade server that enables standardization for 2- and
4-socket server needs, delivering faster time to value and greater
productivity in high-density environments.
30 © 2010 IBM Corporation

31. Building a smarter planet
MAX5 doubles memory capacity
With embedded • Expand memory capacity
memory controllers, • Up to double the number of memory DIMMs
memory capacity of competitors
is tied to processors • No impact to memory latency
• Over 5x the memory capacity in 2-sockets
But not with MAX5… vs. today’s leading 2-socket systems
• MAX5 memory may be partitioned to CPUs
or pooled
• Provides the memory customers have
needed for database and virtualization – up
to 100% more virtual machines.
• Allows higher memory capacity to be
reached with less expensive DIMMs for more
economical high end implementations.
31 © 2010 IBM Corporation

32. Building a smarter planet
Take advantage of unprecedented flexibility
FlexNode enables you to transform a single system into two distinct systems and
then transform back again
 Optimize workloads: Run interactive
applications by day on a 2S system and
batch jobs by night on 4S system One 4S System Two 2S Systems
 Help reduce software-licensing costs:
Execute partitions to optimize software-
licensing costs when priced per system core.
 Boost security: Isolate workloads to help
improve security and assure quality of
service.
32 © 2010 IBM Corporation

33. Building a smarter planet
Flexible and open I/O from an ecosystem of partners
Standard Speed Switches High Speed Switches
Standard Speed High Speed
I/O Expansion Card I/O Expansion Card
Ethernet – Fibre Channel – InfiniBand – FCoE – SAS – iSCSI – Virtual Fabric
33 © 2010 IBM Corporation

34. Building a smarter planet
BladeCenter I/O ports for BladeCenter H
On-board to
Switch bay 1 & 2
HS22 CFFh options High speed switch
HS22 CIOv options Vertical switch slots
10Gb Ethernet 10Gb Ethernet
20/40Gb InfiniBand 20/40Gb InfiniBand
1Gb Ethernet 1Gb Ethernet / Fibre MSIM 1Gb Ethernet
4/8Gb Fibre Channel 4/8Gb Fibre Channel
3Gb SAS 3Gb SAS Pass-thru
34 © 2010 IBM Corporation

35. Building a smarter planet
Converging combines storage and data networks into one
oday, many servers
ship with separate Ethernet Adapter
adapters for data and Fibre Channel & Converged Network
Adapter Adapter (CNA)
storage networks
Today, many blade
chassis ship with
separate switches for
data and storage Ethernet Converged
Fibre Channel
networks Switch
Switch Network Switch
Clients benefit by…
 Deploying less hardware  Managing less IT  Simplifying the networks
35 © 2010 IBM Corporation

36. Building a smarter planet
Virtual Fabric for IBM BladeCenter...
Fast, flexible and reliable IO that fits into your existing datacenter!
• Multiple virtual ports and protocols (Eithernet, FCoE, and
Virtual iSCSI) from a single physical port
• Shared bandwidth across multiple applications
• True line rate performance
Fast
• Based on 10Gb PCIe Gen 2 architecture
• Up to 8 virtual NICs or mix of vNICs and vCNA Infrastructure
Scalable • Define the EXACT number of ports needed (2-8 per adapter)
• Upgrade to FCoE, HW iSCSI, SR-IOV via software keys
• Each virtual port operates anywhere between 100Mb to 10Gb
Flexible and can run as Ethernet, FCoE or iSCSI
• Auto-negotiates to fit existing 1Gb environment
• ‘Intelligent Failure Monitoring’: Virtual Port failover initiated if
Reliable any of the uplink ports fail Interconnected
• Automated failure in both Ethernet and Virtual Fabric mode
36 © 2010 IBM Corporation

37. Building a smarter planet
Virtual Fabric adds new levels of I/O flexibility
1Gb Port
Traditional 1Gb solution
Nothing in Between!
10Gb Port 10Gb solution
or CEE/FCoE
Virtual Fabric for IBM BladeCenter Create and maintain
any Bandwidth between
1Gb and 10Gb!
4 Virtual functions per 10Gb port Ethernet, HW iSCSI,
or FCoE all-in-one
37 © 2010 IBM Corporation

38. Building a smarter planet
The TOTAL systems management experience
Upward integration into
IBM Tivoli Tivoli Service Management
Upward integration into other software solutions,
HP OpenView or other 3rd party including HP OV, CA Unicenter, and Netcool
IBM Systems Director IBM Systems platform solution for
•Easy to learn and use platform management
System x, BladeCenter, Power Systems,
•Management of physical and virtual resources
System z and storage
across heterogeneous systems
ToolsCenter Redesigned system tool
•Consolidated, integrated suite of management tools portfolio for single-system
•Powerful bootable media creator management and scripting
Integrated Management Module (IMM) Hardware and
•Standards-based hardware combines diagnostic & remote control firmware that is
Unified Extensible Firmware Interface (UEFI) standard across
•Next generation BIOS all new systems
38 © 2010 IBM Corporation

39. Building a smarter planet
Call to Action: Change the conversation with IBM BladeCenter
Workload Migration
Q What are the financial benefits of moving from racks to blades?
Moving your applications to BladeCenter could easily save you 50% or more in server and networking
A hardware costs alone1.
Q Moving to IBM BladeCenter seems like a significant investment, when will I see a return on my
investment?
The typical savings you will see from power and cooling, systems management, software licensing, and
A hardware will yield an ROI in as fast as 3 months . 1
Datacenter Convergence
Q I have strict networking and storage standards that I can’t break for a new
server architecture. Can BladeCenter help?
BladeCenter is the only blade solution in the industry that enables network
A convergence without disrupting your datacenter. IBM BladeCenter can plug
into existing LAN and SAN infrastructure avoiding rip and replace.
Q My current LAN and SAN infrastructure is based on Cisco and Brocade,
can IBM BladeCenter easily integrate into my existing environment?
IBM BladeCenter offers the broadest ecosystem of networking partners and is Software Services
the only blade platform that offers a Cisco or Brocade based network solution.
A In addition, IBM’s intent to acquire Blade Network Technologies will tightly
integrate networking switching into IBM Systems, while continuing to provide
our clients choice in networking solutions.
1
Based off of an Alinean HP DL380 to IBM HS22 report (includes migration from a standard 1G LAN / 4G
SAN environment to a 10G FCOE environment © 2010 IBM Corporation
39

40. Building a smarter planet
IBM BladeCenter
17x faster
performance
50% lower
connectivity costs
94% reduction
in energy costs alone
92% fewer
networking cables
97% reduction
in IT footprint
40 © 2010 IBM Corporation