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TRANSCRIPT
How-to-Sell Data Center
[January 2010]
2©2010 Avaya, Inc. All rights reserved.
Agenda
Why You Should Care
Business Trends
Value proposition
What to sell
Selling Tips
Competitive Snapshot
Resources to Help You Succeed
3©2010 Avaya, Inc. All rights reserved.
Why You Should Care
Data Centers are key to organizations as it hosts their critical data and applications
Avaya’s switches are depended on in fortune 500
Avaya switches provide deterministic sub-second network failover from server to network core for maximum resiliency
Controlling the Data Center will improve selling to campus and branch offices
The combined offering of data and voice can provide customers a total solution from one vendor that can enhance the relationship and keep competitors away
4©2010 Avaya, Inc. All rights reserved.
Ethernet Switch Market Size*
* Source = DellO’ro, WW 5yr Ethernet Forecast July 2009
Fixed 10GbE switches will represent the
majority of port shipments in the
Data Center
Data Center Market Will be The Growth Engine for 10GbE Switches
FCoE has a huge potential growth in the coming years
Data Center port shipments represent ~25% of overall total
Ethernet market According to Gartner,
virtualization is #1 in IT trends in 2009
5©2010 Avaya, Inc. All rights reserved.
More facts…IDC predicts cost to cool and power servers globally will increase from $26Billions to $44Billions in 2010
Most servers run at 10-15% utilization !– A server costs $300 to $600 each year in direct energy costs, and another $300 to
$600 a year in cooling costs
Power company in Boston will write check for $4M if you break ground and move Data Center outside city !
In London, Mumbai, Tokyo and New York City, data center operators can't get more power to their sites
IT typically represents 30 to 40% of a company’s energy consumption
ICT contributes to ~2% of Global CO2emissions which is roughly equivalent to the Aviation Industry and if left unchecked it’s growth is unsustainable
Network 12-15% and growing
Loss
Servers & Storage
HVAC
Lighting
“One large data center can consume enough juice to power a small city of 30,000 to 40,000 people.”
- A major financial newspaper, June 2006
5
6©2010 Avaya, Inc. All rights reserved.
CIO & Data Center Manager Challenges Strategic & Tactical Pain Points
DC CAPEX/OPEX(Physical / Environmental / I/F)
• Effective (Server) Resource Utilization
• Managing Growing Circuit Costs
• Disparate Networks; Maxed-Out Facilities
• Power & Cooling Costs• Today: Hosting; 09/10: Large DC
Agile Data Center(adapting to Business Changes)
• Operational Simplification (including Process Automation)
• Flexible with Business Growth
• Ease in Access to Resources
• Virtual Office (Mobility)
Business Enablement(ability to Deliver Value)
• Disaster Recovery / Business Continuity
• Meeting Security & Compliance Needs (Adherence to HIPPA, PCI, COBIT)
• Extranet B2B / eBusiness Connectivity
• Globalization; Cross Border Businesses
DC OPEX(Expensive Aging DC)
• WAN Bandwidth Utilization
• By 2010, 50% of DCs need refresh
• Power & Cooling up from 1:0.5 to 1:2
• Application Consolidation Imperative• Implementation Issues Multi-faceted
Secure B2B / e-Business (Managing non-existent Perimeter)
• Proliferation of different Devices & Users (without ubiquitous security enforcement)
• Need for control at a granular level
• Single Sign-On needed for B2B Ops
• Need Dynamic Mgmt & Orchestration
Operational Complexity(integrating Silos of Solutions)
• Complex Day2Day Management
• Dynamically Adapt to Growth & Contraction of Business
• Network, Server, Storage – 3 Silos
• Infrastructure not Application/Biz Focused
CIO
–C
hief
Info
rmat
ion
Offi
cer
Dat
a C
ente
r Man
ager
s &
Ope
ratio
ns
REDUCE TCO – Total Cost of Ownership
ALIGN TO BUSINESS – Raise Productivity
DELIVER TTS – In ‘min/hrs’ Not weeks/months’
6
7©2010 Avaya, Inc. All rights reserved.
Avaya Data Center Switches Value Proposition
Uninterrupted business services that meet the increasing demand of consolidated and virtualized Data Centers to reduce operational costs, improved time to service & drive revenue
– Supported by advanced carrier-like reliability, performance, scalability and network simplicity resulting in maximizing network & application uptime
• Unified Communication Management for all devices Platforms:
– Ethernet Routing Switch 8300 for server access layer– Ethernet Routing Switch 8600 for medium core– Virtual Services Platform 9000(1H10) for large to very large core– Ethernet Routing Switch 5500/5600 for server access layer
Your Dependable Platform for the Consolidated and Virtualized Data Center
ERS 8600ERS 8300 VSP 9000 ERS 5500 ERS 5600
8©2010 Avaya, Inc. All rights reserved.
Unified Communications Management Unifying Application Components
ERS 8300/8600 SR 4134CS1k/2kERS 5600 ERS 5500 ERS2500VSP 9000
9©2010 Avaya, Inc. All rights reserved.
REDUCE TCO – Total Cost of Ownership
ALIGN TO BUSINESS – Raise Productivity
DELIVER TTS – In ‘min/hrs’ Not weeks/months’
Reliable Infrastructure – Five 9’s reliability
Simplified Network – Easy to mange and deploy
Avaya Data Center Switches Key Benefits
10©2010 Avaya, Inc. All rights reserved.
What Questions Should I Ask? Data Center
What are your plans for consolidating and virtualizing Data Center...?
Are you looking at combating infrastructure complexity to minimize IT management cost?
Are you experiencing performance or availability issues with your business critical applications?
Is real estate and power consumption a concern?
Do you want to fully utilize switching capacity of HA systems tomaximize your investment?
Are you experiencing high operational cost?
How prepared is your network for the bandwidth & quality demands of modern applications..?
11©2010 Avaya, Inc. All rights reserved.
Enterprise and Hosting Data Centers that:– Are consolidating and virtualizing– Are growing and require scalability– Are suffering from poor application availability and/or
performance– Need best-of-class resilient solution to extend server
virtualization (VMware/Hyper-V) to the network– Need to simplify managing the network infrastructure – Need to support multiple customer environments (hosting)
Who Needs It? Data Center Switches
12©2010 Avaya, Inc. All rights reserved.
Avaya Opportunities
SWOT Analysis: ERS 8300 vs. Cisco C4500
Competitive Weaknesses
Competitive Threats
Avaya Strengths
>
8300 has strong performance, port diversity, & feature-set capabilities
>
8300 is outstanding as the Enterprise- class Access Switch in the large network
>
8300 is gaining strength as the Core Switch, & ideal for the medium-sized Enterprise
>
8300 provides a compelling solution providing consistent hardware & software in both Core & Access
>
Versatile product: deployable in the Core or in the Access
>
Core Switch Clustering technology for high-availability network solution
>
Superior Convergence features: PoE, QoS with 8 queues, and Standards- based auto-discovery (802.1AB)
>
High performance switching architecture with in-built system redundancy
>
Innovative Access Control security
>
8300 has better pricing>
8300 has better QoS – C4500 only supports 4 Queues, and performance is very low (6Gbps per Slot) meaning high over-subscription
>
8300 has more consistent Chassis & Module capabilities – C4500 has too many options for both, making planning and investment protection difficult
>
C4500 relies on Spanning Tree…
>
Brand, Brand, and Brand>
Entry-level (low-performance) Supervisor Engine pricing, giving a false impression of good pricing
>
Superficially high levels of software functionality; but Customers should not by wowed by the fact that premium features are configurable; C4500 leverages IOS, so many features are available but few are required.
13©2010 Avaya, Inc. All rights reserved.
Avaya Opportunities
SWOT Analysis: ERS 8600 vs. Cisco C6500
Competitive Weaknesses
Competitive Threats
Avaya Strengths
>
Huge market opportunity (~$6.5B/yr) for modular switches to pursue and leverage our installed base
>
8600 supports up to 96 10GbE ports for the high growing 10G market
>
8600 offers advanced features & modules that enable us to go after new applications
>
Leverage installed base of more than 50,000 chassis.
>
Core “Switch Clustering” technology for high-availability network solution
>
Simple and cost effective IP VPN solution>
A mix of high density and diversity port module options
>
Flexible 10G RSP network processor for future SW upgrade without network forklift
>
8600 has better pricing>
8600 provides sub-second network failover without price premium
>
8600 has lower TCO >
6500 has complex and expensive virtualization options
>
6500 lacks investment protection as limited interoperability exists between Sup Engines, daughter cards & linecards
>
Brand, Brand, and Brand>
C6500 is a little denser but too expensive>
Entry-level (low-performance) Supervisor Engine pricing, giving a false impression of good pricing
>
C6500 offers a wide range of specialty modules
14©2010 Avaya, Inc. All rights reserved.
Avaya Opportunities
SWOT Analysis: VSP 9000 vs. Cisco Nexus 7000
Competitive Weaknesses
Competitive Threats
Avaya Strengths
>
Market forecast is healthy (~ $7B/yr). Projected revenue $1.2B (2H10-12)
>
Leverage Gigabit migration to the desktop with ultra high density 10 Gigabit uplinks.
>
Go after Greenfield opportunities (Data Center & Campus LAN) with an advanced platform.
>
Leverage virtualization market strength
>
Leverage installed base of 60,000 ERS 8600
>
Similar to ERS 8600 CLI that will minimize operational costs for customers.
>
Terabit Performance and advanced feature sets including virtualization and integrated services
>
VSP 9000 has much higher architecture capacity 27Tbps vs. Nexus 15Tbps
>
VSP 9000 has better pricing>
VSP 9000 has more consistent Chassis foot print as ERS portfolio
>
VSP 9000 provides 3 Chassis / rack (720 ports 10GE) or 40% more 10GE ports
>
VSP has 2x performance -970Mpps IPv4
>
Brand, Brand, and Brand>
Nexus 7000 has already been shipping since 2008. VSP 9000 won’t ship till end of Q2 2010.
>
Customers may migrate to new platforms before this product ships.
>
VSP 9000 won’t have the virtualization features in first release
15©2010 Avaya, Inc. All rights reserved.
Did you know?
Avaya data is the ONLY vendor that can provide deterministic sub-second network resiliency for server access to core network without price premiumWhy should you care?
– Ensure business continuity and reduce revenue loss– Lower operational costs– Enhance user, customer & partner experience for all– Improve customer satisfaction for all
Proof points
– http://www.tolly.com/DocDetail.aspx?DocNumber=208275
16©2010 Avaya, Inc. All rights reserved.
Did you know?
Avaya data is the ONLY vendor that provides CAPEX protection for ALL Data Center switches in high-availability configuration
Why should you care?– Higher return on investment– Higher performance that enhances voice and data traffic
17©2010 Avaya, Inc. All rights reserved.
Did you know?
Avaya data is the ONLY vendor that provides a simplified and cost effective IP Virtual Private Network solution across the entire campus and Data Center
Why should you care?– Lower operational cost as management, training and
troubleshooting is minimal – Lower capital equipment expenditure as no additional
equipment is required
18©2010 Avaya, Inc. All rights reserved.
Did you know?
Avaya data is the ONLY vendor that provides no single point of failure (link or unit) and leading stacking performance for Data Center “Top-of-Rack” deploymentsWhy should you care?
– Ensure voice and data traffic continuity– Improve network and business uptime– Ease of network scaling as business grows
Proof points–
– http://www.tolly.com/DocDetail.aspx?DocNumber=205137– http://www.tolly.com/DocDetail.aspx?DocNumber=206106
19©2010 Avaya, Inc. All rights reserved.
Did you know?
Avaya data provides up to 40% less power consumption than leading competitor. In addition, new power savings technique that provide additional power savings
Why should you care?– Reduce energy bill and invest the savings into IT– Reduce carbon emissions
Proof points– http://www.tolly.com/DocDetail.aspx?DocNumber=208298
20©2010 Avaya, Inc. All rights reserved.
Did you know?
Avaya data provides Best-in-Class connectivity to VMware ESX servers & iSCSI storage ensuring always-on operation for mission critical applicationsWhy should you care?
– Lower operational costs– Reduce planned and unplanned maintenance– Flexible configuration options for great investment protection – Efficient network design requires less power and cooling
Proof points– http://www.equallogic.com/partnerships/default.aspx?id=8293– http://www.vmware.com/a/partnercatalog/catalog/ViewProduct.php?pubpr
oductid=a0450000008Ze3AAAS