3. Generational Shift Business Economic Technology Centralized compute & storage, thin clients High upfront costs for hardware and software Optimized for efficiency due to high cost PCs and servers for distributed compute, storage, etc. Perpetual license for OS and application software Optimized for agility due to low cost Pay as you go, and only for what you use Large DCs, commodity HW, scale-out, devices Order of magnitude better efficiency and agility
4. Supply Side Economies of Scale DATA CENTER PROJECTS (LAST 12 MO.) Cost of electricity Cost of labor Cost of hardware Source: Company press releases * Estimates based on $15M/MW build out cost
6. Demand Side Economies of ScaleTime of Day BING SEARCHES – JAPAN VS. UK Query Volume Source: Microsoft
7. Demand Side Economies of ScaleIndustry Variability •turbotax.com•taxcut.com •hrblock.com•taxact.com •target.com•walmart.com •toysrus.com•barnesandnoble.com ~10x normal load (Tax season) ~4x normal load (Holiday shopping) Jan 2009 Jan 2010 Jan 2009 Jan 2010 Source: Alexa Source: Alexa
8. How We View the Cloud Off Premises On Premises Location Homogeneous Heterogeneous Infrastructure CapEx OpEx Business model Choices Choices Own Lease/Rent Ownership Self Third Party Management Application Programming Scale Out Automated ServiceManagement High Availability Multi-Tenancy Fundamentals Fundamentals
9. Microsoft’s Cloud Approach Partner Microsoft Partner Microsoft Common Identity Common Management Tools Common Dev Tools Customer Customer
10. Cloud Options Midsize Company Example HPC/Batch Dev/Test Web Packaged Biz Apps Communication & Collaboration Custom Biz Apps File Servers Public Cloud Economics Private Cloud Preference Source: Microsoft
11. Commercial Cloud Services COMMITMENT TO SERVICES EXCELLENCE DEEP INVESTMENTS IN INFRASTRUCTURE BUSINESS APPS COLLABORATION STORAGE PLATFORM MANAGEMENT PRODUCTIVITY COMMUNICATIONS Over $2B invested in cloud infrastructure Geo-replicated customer data Public and private cloud flexibility 30,000 engineers working on cloud services Financially-backed uptime guarantees SAS 70 and ISO 27001 compliant Carbon footprint innovation Rapid innovation model
12. The Windows Azure Platform The Windows Azure Platform Developer Experience Use existing skills and tools. platform Management AppFabric Relational data Compute Storage Management Connectivity Access control
13. Windows Azure Architecture Details Security and Control Features include storage encryption, access authentication, and over-the-wire encryption using HTTPS. Industry certification is part of the Windows Azure roadmap Fabric Fabric Controller Automated load balancing and compute resource scaling Storage Compute Geographically distributed, state-of-the-art data centers host your applications and data, internet-accessible from everywhere you choose to allow Compute provides application scalability. Developers can build a combination of web and worker roles. Those roles can be replicated as needed to scale the applications and computational processing power Storage Services allow customers to scale to store large amounts of data – in any format – for any length of time, only paying for what they use or store
14. Workload Patterns Optimal for Cloud “Growing Fast“ “On and Off “ Inactivity Period Compute Compute Average Usage Usage Average Time Time On and off workloads (e.g. batch job) Over provisioned capacity is wasted Time to market can be cumbersome Successful services needs to grow/scale Keeping up w/growth is big IT challenge Complex lead time for deployment “Unpredictable Bursting“ “Predictable Bursting“ Compute Compute Average Usage Average Usage Time Time Unexpected/unplanned peak in demand Sudden spike impacts performance Can’t over provision for extreme cases Services with micro seasonality trends Peaks due to periodic increased demand IT complexity and wasted capacity
15. Windows Azure Platform Purchasing Models Subscription Additional Licensing Consumption “Pay as you go and grow” “Value for a commitment“ “Coordinated purchasing” Planned for Future Available Now Available Now Discounts for commitment Plans for payment predictability Low barrier to entry and flexibility Optimized for cloud elasticity Centralized purchasing experience Introduction to volume discounts Promotional Offers Development Pricing Integration withPrograms Partner Discount
16. Windows Azure Platform Consumption Prices Pay as you go and grow for only what you use when you use it Elastic, scalable, secure, and highly available automated service platform Highly available, scalable, and self managed distributed database service Compute Storage Web Edition Business Edition $9.99/month(up to 1 GB DB/month) $99.99/month(up to 10 GB DB/month) Per GB stored and transactions Per service hour Per database/month Per database/month $0.12/hour + Variable Instance Sizes $0.15 GB/month $0.01/10k transactions Windows Azure platform AppFabric Service Bus and Access Control Scalable, automated, highly available services for secure connectivity Access Control Service Bus $0.015/10k Message Operations $0.015/10k Message Operations Per Message Operation Per Message Operation Prices shown in USD only International prices are available
17. Compute connectivity Service bus and access control availability Instance monitoring and restart Database availability Storage availability Service bus and access control endpoints will have external connectivity Message operation requests processed successfully Storage service will be available/reachable (connectivity) Your storage requests will be processed successfully Database is connected to the internet gateway All databases will be continuously monitored All running roles will be continuously monitored If role is not running, we will detect and initiate corrective state Your service is connected and reachable via web. Internet facing roles will have external connectivity >99.9% Monthly Service Level Agreement >99.9% >99.9% >99.9% >99.95%
18. Case Study: RiskMetrics Group Complements Windows Server with Windows Azure to support “bursts” Elastic infrastructure Familiar development, operating environment “We’re using Windows Azure to meet the evolving needs of our clients. And with the … reduced levels of new investment required, we can consider solutions that might otherwise not have been possible.” Rob Fraser, Head of Cloud Computing, RiskMetrics
19. Case Study: Coca Cola Enterprises Inc. Required a centralized platform for internal promotion of company initiatives And needed a way to replace a phone ordering system with a hosted Web application Uses both Microsoft Online and Windows Azure “This has been one of the best IT partner projects CCE has experienced, and we have the added value of a longer IT roadmap with Microsoft than if CCE had built the solution on premises.” Kevin Flowers, Director of Enabling Technologies, CCE
20. Case Study: Siemens Increased flexibility: high scalability and enhanced customer services Reduced operating costs Used Windows Azure to deliver software packages from a central Internet-based storage location to thousands of devices “Our first estimates show that we can reduce our TCO by a factor of 10. The software distribution system we built with Windows Azure is 10 times cheaper than our previous solution.” ElmarStoecker, Director Portfolio Management, Siemens IT Solutions and Services
22. Adoption Momentum With the flexibility of Windows Azure, we can focus on building and delivering new features to our customers—helping us increase our competitive advantage.” Customer Partners Service Providers –Andy Lapin,Director of Enterprise Architecture What used to take two months to set up can now be done in only one week and we can use those precious IT resources to focus on more strategic tasks, such as developing new services.” – Michael Hart System Architect and Developer Lead
24. Real World TCO Analysis (TCO estimate over 3-year period) Alinean Inc. Persistent Systems Leading provider of B2B sales and marketing solutions to F100 Reduce IT complexity and shift resources to core businesses Public sector governance suite of applications and services Needs secure, scalable, elastic, and comprehensive platform 16% 49% $277K $62K $74K $540K Lower TCO from dynamic scaling and automated service management Lower TCO from efficient utilization of resources and service management
25. Introductory Special MSDN Premium Biz Spark One Anyone can try the platform at no charge (monthly service allocations) Investing in high potential start-ups; receive full platform services at no charge Subscribers receive monthly allocation of platform services at no additional charge Development Accelerator Core Extended Accelerate cloud development projects Flexible consumption (flex # of instances) Predictable payments (6 mo. subscription) Exceptional value (discounted price) Includes Core plus SQL Azure Business Edition Includes Windows Azure compute, storage, storage transactions, data transfer, and message operations Promotional Offers and Programs
26. Support for Customers and Partners Assisted Support Online Self Help Windows Azure Platform Portal (http://windows.azure.com) Customer Care (no charge 24/7 phone access) Developer Support (paid developer support) Service Dashboard (available to all users) Premier Windows Azure Platform (now fully integrated) Public Forums (available to all users) Microsoft Developer Network (MSDN) and Microsoft Partner Network (MPN) benefits Managed forums w/response SLA, incident support, advanced technical guidance, and training
27. Windows Azure Instance Sizes Variable instance sizes to handle complex workloads of any size Small Medium X-Large Large $0.12 $0.24 $0.96 $0.48 Per service hour Per service hour Per service hour Per service hour Unit of Compute Defined Equivalent compute capacity of a 1.6Ghz processor (on 64bit platform) X-Large Large Medium Small 8 x 1.6Ghz 4 x 1.6Ghz 2 x 1.6Ghz 1 x 1.6Ghz (high IO) (high IO) (high IO) (moderate IO) 14 GB memory 7.0 GB memory 3.5 GB memory 1.75 GB memory 2000 GB (instance storage) 1000 GB storage (instance storage) 500 GB storage (instance storage) 250 GB storage (instance storage)
28. Windows Azure Platform Data Transfer Priced per GB transferred/month (prices shown in USD) North America Region Europe Region Asia Pacific Region $0.10 GB Ingress $0.15 GB Egress $0.10 GB Ingress $0.15 GB Egress $0.30 GB Ingress $0.45 GB Egress N. Europe Sub-region N. Central – U.S. Sub-region W. Europe Sub-region S. Central – U.S. Sub-region E. AsiaSub-region S.E. Asia Sub-region No Charge For Off Peak Ingress Promotion (ends 6/30/10) On-board to Windows Azure platform at no charge Off peak times defined as: 10pm-6am Mon-Fri & from 10pm-Fri to 6am-Mon for weekends in each designated regional time zones below Europe WET = UTC North America PST = UTC-8 Asia Pacific SST = UTC+8
29. Promotional Offers and Programs Introductory Special Biz Spark One Offer MSDN Premium Available to all partners and customers Limit of one per customer Promotion ends 6/30/10 Overage charged at consumption rates MSDN Premium subscribers Limit of one per MSDN subscription 8 month term Limited time offer thru 7/31/10 Overage at partner consumption rates Available for selected startups Program participation is by invitation only Program available in 10 countries Amount of Windows Azure platform services included per month at no charge Windows Azure Compute 750 hrs Storage 10 GB Storage X-actions 1M SQL Azure 3 Web Edition DB (1 GB) Message Operations Messages 1 Million Data transfer 7GB In and 14GB Out N.A/EU 2.5GB In/5GB Out Asia Pacific Windows Azure Compute 25 Hrs Storage 0.5 GB Storage X-actions 10K SQL Azure 1 Web Edition DB (1GB DB for 90 day trial) Message Operations Messages 100K Data transfer 0.5 GB In and 0.5GB Out Amount of Windows Azure Platform services will vary by customer Additional 5% off for partners (except storage and data transfers)
30. Windows Azure CDN OverviewEnabling customers to deliver content from nodes closest to end-users Customer Azure Storage ECN NODE… ECN NODE 2 - TOKYO ECN NODE 1 - LONDON Enable CDN for Azure storage www.customer.com Windows Azure Self-service portal EDGE CACHING SERVERS EDGE CACHING SERVERS EDGE CACHING SERVERS Leads to better user experience, global reach, increased engagement, more revenue
31. Application Scenarios Benefits Faster and reliable download of large-sized files/media Software media distribution to a wide number of users Need to extend reach to global audience Faster Page Load and Content Download One-click web browser interface to enable CDN Cost-effective pay-as-you-go model
32. Reach, Scale and Capability Over 2 terabits per second of capacity is available from our 20 global locations with 99.95% availability. Cdn service scales automatically without user intervention
33. Dimensions Of The Cloud The cloud creates opportunities and responsibilities The cloud learns and helps you learn, decide and take action The cloud enhances your social and professional interactions The cloud wants smarter devices The cloud drives server advances that drive the cloud
34. What We Have Heard From You Why work with Microsoft? What is the partner opportunity? Are there real success stories? How do partners make money? What is the Roadmap?
35. What… Why… Cloud Computing Just in time provisioning & scaling of services on shared hardware Accelerates the speed & lowers the cost of IT
36. Cloud ComputingThe Platform for the New Generation of Business OperationsModel Resilient to hardware and software failure 24×7 availability with “9 to 5” management “Restart, reboot, reimage, replace” ApplicationModel All developers can quickly deliver highly-available, secure, & infinitely-scalable applications Rich end-user experience anywhere from any device HardwareModel Mainframe of the future: 1,000× as powerful at a fraction of the cost Maximum efficiency on industry-standard hardware Customer, partner, or Microsoft datacenter
37. Partner Opportunities with Cloud Traditional Service Models Cloud Service Offerings Business Consulting Assessments/Pilots Systems Integration Solutions Software Development Outsourcing SLA Management
38. Stay Updated Know More about Windows Azure- http://www.microsoft.com/windowsazure/ Know more about Microsoft Cloud Services- http://www.microsoft.com/india/cloud/ Request for an Enterprise Cloud Assessment workshop- email us at azurepro@microsoft.com Follow us
Editor's Notes
Key Points:No one has the breadth of cloud servicesOnly Microsoft has a the wide set of cloud services that complements on-premises softwareScript:In addition to our consumer-facing cloud services, Microsoft offers the most complete set of cloud-based solutions to meet your business needs including advertising, communications (email, telephony, meetings), collaboration (document storage, sharing, workflow), business applications (CRM, business productivity), storage, management and infrastructure services. And unique to Microsoft these sets of cloud services complement a full and rich set of on-premise software enabling often times to add cloud functionality to your existing software or move between cloud and on-premises systems.Click:And with BPOS we are seeing quite a bit of momentum of customers moving to the cloud.
Key Points:RiskMetrics delivers risk management services to the world’s leading asset managers, banks and institutions to help them measure and model complex financial instruments. RiskMetrics runs its own datacenter but, to accommodate spiky increased demand for its services for specific periods of time, the company needed to expand its technical infrastructure. Rather than buy more servers and expand its datacenter, RiskMetrics decided to leverage the Windows Azure Platform to handle the surplus loads. To help its customers, RiskMetrics’ financial engineers develop complex algorithms known as “Monte Carlo” simulations. These simulations require lots of computing capacity and, to provide the best service to its customers, RiskMetrics benefits from running the same simulations multiple times with slightly different data. Essentially, the more times it can run the simulations, the better the results it can provide to its customers. Since each of these simulations is expensive in terms of the amount of computational resources needed, this is an ideal application for the cloud because RiskMetrics can consume vast amounts of computing for short periods of time and only pay for what it needs. RiskMetrics will continue to offer its own datacenter because it can leverage the datacenter’s capacity optimally BUT the company anticipates that, to be able to respond to its customers’ increased needs, it may need to impose very high peak loads on its infrastructure, often demanding 10 times the computing resources required during other periods. By combining the capacity of its own datacenter with the potentially limitless capacity of Windows Azure, RiskMetrics is able to satisfy the fixed demand on its own infrastructure and then spill-over high peak loads on to Windows Azure. Because the Windows Azure platform is highly compatible with RiskMetric’s existing application (Visual Studio and .NET), RiskMetrics is able to “develop applications locally and deploy them to Windows Azure very quickly.”. The solution is called RiskBurst “bursts of processing onto the cloud from our risk infrastructure.” Eventually, RiskMetrics expects to provision 30,000 Windows Azure instances per day!http://www.microsoft.com/casestudies/Case_Study_Detail.aspx?CaseStudyID=4000005921
Key Points:Coca-Cola Enterprises had done both a BPOS implementation and a separate Azure project.Great example of both moving functionality to the cloud and using cloud functionality to augment existing systems.Script:Coca-Cola EnterprisesCoca-Cola Enterprises is the world’s largest marketer, producer, and distributor of nonalcoholic beverages Initially they faced a pretty common realization for most large companies: do they really want to be in the email business? They worked with Microsoft and Sapient Consulting and Slalom Consulting to move their email to Microsoft to host as well as building an intranet portal on Sharepoint Online to connect their workers. After moving a number of business applications to the cloud they saw another opportunity. They needed to build the infrastructure so that their customers (restaurants, stores, etc) could order via a Web site instead of the phone-based system they were currently using. Like many businesses, the amount of orders varied a good deal throughout a year (big increases around the Super Bowl, etc). If they decided to build the datacenters themselves they would have to build to accommodate the largest amounts, letting hardware go idle at other times during the year. Instead of investing in hardware and other resources to build out the infrastructure to host this online order system they built it on Windows Azure. In this way they can quickly scale their systems up or down based on need, paying only for what they need, when they need it.The other aspect of the cloud is that Coca-Cola Enterprises made their data, their systems available to their customers and partners through the site.Organization Profile Coca-Cola Enterprises (CCE) is the world’s largest marketer, producer, and distributor of nonalcoholic beverages, which it delivers with the industry’s most effective marketplace execution.Business Situation CCE’s increasing competition was resulting in declining revenues. This required company executives to launch a new strategic direction, mandating a platform to communicate and engage with all employees.Solution CCE implemented a Microsoft-based hosted worldwide intranet with messaging and collaboration tools, which are accessible to all employees from any device, enabling employees to boost productivity and time with customers.Benefits Productivity and customer focus Companywide intranet IT transformation Effective remote teams Deskless worker accessSoftware and ServicesMicrosoft Sharepoint Server Microsoft Office Live Meeting Microsoft Office Communications Online Microsoft Online Services Microsoft Exchange Online
Key Points:Script:Siemens Expands Software Delivery Service, Significantly Reduces TCO Siemens is a global powerhouse in electronics and electrical engineering, operating in the industry, energy, and healthcare sectors. The company has around 410,000 employees, and a worldwide reputation for innovation and achievement.Situation/Solution:To deliver software efficiently, reduce costs, and get more complex software packages to more devices, Siemens wanted to expand the capacity of its software distribution system.Siemens used the Windows Azure™ platform to deliver software packages from a central Internet-based storage location to thousands of devices.Key Advances:Dynamically scale global software distribution while reducing costs, enhancing services, and avoiding significant new capital investmentLink to case study and video: http://mscomapps/gcrpinternal/Case_Study_Detail.aspx?CaseStudyID=4000005945
BULLETS:Need to extend reach to global audienceCaching of web content across multiple web sites for faster page load timesFaster and reliable download of large-sized files/mediaSoftware media distribution to a wide number of usersWebsite Content often contains small number of files that are on every page like your logo or product images, JavaScript and CSS, and HTML.This content needs high performance to speed page load times and increase customer satisfaction.Software and Media Distribution such as program and game content, patches, and video can be delivered cost effectively and at huge scale. This content needs high reliability during long downloads, and needs to scale with huge numbers of downloads during peak times.