Best practices in creating a cloud storage offering. Designed to assist service providers in evaluating cloud storage platforms.

1. Cloud Storage Trends Making Money in 2009 Cameron Bahar Founder & CTO August 12th, 2009

4. Scale commodity compute

6. Scale commodity storage

7. Flexibly slice and manageATMOS ParaScale - the VMware / Xen of Cloud Storage?

8. Thinking about Cloud Services? Storage is the Starting Place “Cloud storage is the low-hanging opportunity; cloud compute is harder” Tier-1 Research There is no recession for data growth Customers are open to the conversation It’s about saving money, an economic, not a technology sale Tier-1 Research – Cloud Infrastructure Services 1: Managed Hosters

9. Cloud Storage – Provider Segmentation Potential Entry Models Players Average Monthly Bill Compete on © 2007--2009 ParaScale, Inc. Cupertino, California; CONFIDENTIAL; Page 4

10. Integrated Cloud Service Providers Speed adoption – Go to where the data is today Standard protocols enable development-free transitions to cloud storage Move legacy data and applications to a hosted model Economic sale, not technology Help customers avoid storage CAPEX Custom REST APIS Standard WAN Protocols Standard LAN Protocols Worldwide Unstructured Data Capacity Conceptual Representation

11. Integrated Cloud Service Providers Differentiate on Support Full service and support Become a cloud transition advisor to your customers Perform the installation and application migration Deliver enterprise SLAs Provide excellent support

12. Integrated Cloud Service Providers Differentiate on Offerings Build shared or dedicated clouds, offer application services, the customer decides Host dedicated clouds for security Offer on-premise managed storage clouds Offer multi-tenant clouds for economy The “Mass Providers” only offer one-size-fits-all

13. Carpathia Hosting Hosted Private Clouds Different cloud services vs. Amazon’s one-size-fits-all megacloud Enterprise and government customers get cloud economies – without owning the infrastructure, but with the isolation they want “We see tremendous demand from our customers for ‘cloud bursting’” “We have been working closely with ParaScale to allow us to blend the benefits of traditional hosted solutions with cloud technology.”

14. Integrated Cloud Service Providers Example Use Cases Disaster Recovery Customer off-site backup storage Shared storage for cloud compute Massive repository for customer and golden VM images Healthcare record storage Enables access from anywhere, with appropriate physical security, isolation, work processes Video file storage with transcoding Automated system integrated with compute CDN origin storage A practical, affordable alternative to mainstream $$$ CDNs

15. Cloud Storage Components You Need to Consider All Three Components CloudStorage Infrastructure

16. The Data Access Layer You need both WAN and LAN access HTTP, WebDAV and FTP are the current standards REST is the future; but which REST? Fast LAN access to “where the data is today” The quickest path to revenue is standard protocols Don’t try to force your customers to change for your infrastructure

17. The Data Access Layer Avoid Proprietary Interfaces Custom REST APIs require custom clients Ask yourself who is building and maintaining these clients? Will they keep up with changing operating systems and devices? Will my customers accept installing this software on their systems? Will backup and application vendors write to this API? Stick to standards and avoid regrets down the road

18. The Storage Infrastructure Layer Cloud Storage is about storing data in a flexible and economical way Without storing data, it’s not cloud storage Software running on commodity hardware Leverage your preferred vendor relationships Repurpose existing hardware

19. The Storage Infrastructure Layer Cloud Storage requires simple scale out and automated data management Look for a solution that can grow with your business Plan for end-to-end multi-site management Secure multi-tenancy is a must Consider the ramifications of massive growth

20. Billing and Provisioning API The solution should integrate with your environment Don’t be forced to implement yet another portal interface Consider how you will automate the end-to-end customer lifecycle Leverage SOAP or REST APIs

21. Cloud Storage Deployment Strategy

22. Understand Your Market Take a hard look at your customers and your capabilities before you decide on how to play in the cloud market Avoid “build it and you will get run over” strategies Focus on your core competency and current customer base Understand the amount of data you intend to store for your customers

23. Determine the Scope of Your Offerings What other cloud services are already available and how will you compete? Will you use different performance characteristics and SLAs to create different clouds or services? Will you replicate data to distributed sites? When you succeed will the architecture scale?

24. Differentiate Your Offering It’s about more than storage In the end customers have applications driving storage requirements Integrate the complete stack and reduce your infrastructure spend and provide increased value

25. Always perform a proof of concept within your environment Don’t believe the hype Your team will be deploying and using this solution for many years Vendor performance and scale benchmarks are often corner use-cases Simple to manage is easy to claim, proving it requires hands-on testing Download the free version today

26. Simple Standard Data Access Provisioning & Billing Changing the Economics of Bulk File and Content Storage Storage Infrastructure Differentiated Offerings For more information: www.parascale.com