© 2011 IBM Corporation

Smarter Computing

Arvind Krishna, General Manager Information Management, IBM Software Group

Tom Rosamilia, General Manager Power & z Systems, IBM Systems & Technology Group

We Are Seeing Dramatic Shifts

This Is Changing the Way the World Works… …Both Business and Society

3 million new blog posts a day

How does the F50 stack up

against the competition?

3.5 billion pieces of content per week

10 billion tweets a year

Nothing Is Changing More than IT …

The way it’s accessed

The way it’s architected

The way it’s applied

ubiquitously Integrated

and flexible for insight

Ultimately Leading to Tremendous New Value

Provide New Types of Insights

New Value in Healthcare

The Smart Room – Information Integration

We Are Entering the Next Era of Computing

Smarter Computing The Era of Insight for Discovery

Big Data

Cloud Optimized

Systems

Created by the integration of Big data in Optimized systems, managed as a Cloud

Applied to deliver new insights and drive innovation

Twice the capacity for service on a flat budget

Persistent Data In-Motion Data

Traditional Data

Non-traditional/ internet data

Reuse Warehouse Analytic models

Streams filters incoming data

7

Integrating Big Data will Unlock New Insights

Multi-core architectures

Advanced threading

Low latency

Workload characteristics

Stack integration

Middleware tuned for hardware

Integrated management across architectures

Domain Knowledge

Hardware

Software

Optimized Systems will Address the Unique Needs of Specific Workloads

Interdependencies Architecture options

Applications

Middleware

Operating Systems

Semiconductors

Package

Micro-processor

cores Caches

Inter- connect

I/O

Cloud Will Play a Fundamental Role in this New Era

Deploy consumer created or acquired

applications on the Cloud infrastructure

Rapidly provision computing resources for

deploying and running software

Consume business processes, analytics,

applications running on Cloud infrastructure

Public Hybrid Private

Masks complexity of underlying components

Rapid deployment of processes and infrastructure

Consumer driven services, process, deployment

Cloud…

Business Services

Platform

Infrastructure

Freedom by Design

Storage Reinvented

Performance Redefined

Defining the Next Generation of x86 Servers

Source: Based on IBM internal studies

*Pricing comparison based on US list prices of IBM DB2 Advanced Enterprise Edition and the Oracle software with analogous capabilities: Oracle Database Enterprise

Edition, Advanced Compression, Active Data Guard, Label Security, Partitioning, Oracle Enterprise Manager, Internet Developer Suite, Diagnostics Pack, Oracle-to-Oracle

Federation, Golden Gate. All list prices based on US and valid as of 01/26/2011.

IBM Systems Provide an Ideal Foundation

for Smarter Computing

Achieve up to

55% lower TCO

per workload –

fit for purpose

Reduce

power,

operating and

cooling costs

by up to 60%

Power Systems

running DB2 as

low as 1/3 the

cost of Oracle

Database*

Industry leading

Intel performance

and lower

management cost

by 50%

System z IBM Storage Power Systems System x

A System Designed for Answers

Watson Showcased the Capabilities of IBM’s Workload

Optimized Systems…Built on Power 7 Technology

Run 32 simultaneous tasks

8 Cores per processer

4 threads per core

Built on a cluster of commercially available Power 750 servers

15 terabytes of RAM

Twice the bandwidth of other commercially available systems, 500 GB per chip

IBM Delivers Software that Provides Clients the Capabilities Required to Transform their Industries

Delivered through our Branded Middleware

IBM Software Capabilities

Connect & Collaborate

Business Integration & Optimization

Product & Service Innovation

Operations Effectiveness &

Efficiency

Risk, Security & Compliance

Information into Insights

Deploy systems in days vs. months

Reduce storage costs by 40%

Lower energy consumption by 70-90%

Up in 24 hours or less

Wire speed processing

Data security, 5x less time

IBM WebSphere

DataPower IBM Smart

Analytics System

Source: Based on IBM internal studies

IBM’s Integrated, Workload Optimized Systems

Accelerate the Path to Smarter Computing

Tightly Integrated Appliances Flexible Integrated Systems

IBM Netezza

IBM InfoSphere

Guardium

IBM Cloudburst

Efficient and innovative IT for improved economics

Smarter Computing

Integrate Secure

Automate

Project-Based Transformation … How Leaders Make the Move to Smarter Computing

Reduced hardware management by 95%

Track cross border shipments in real-time

Clients Are Realizing the Benefits of Efficient and Innovative IT

Big data

Cloud

Smarter Computing Insight for Discovery

Optimized systems

$2.2M in cost savings to date

90% reduction in customer

complaints

5X capacity with no additional floor space

New cloud-based model for real-time marketing services

Enhanced information service

delivery while reducing TCO

Enabled real-time fraud detection

on credit card transactions

Proven innovator for 100 years

Source: IBM Investor Relations

*IBM Systems & Technology Group Finance, **IBM Software Group Finance

Leading IT Organizations Are Engaging with IBM to Succeed in the New Era of Smarter Computing

Our approach is inclusive – no rip and replace

IBM can deliver experts and expertise required

IBMers are extending our portfolio to address

the biggest challenges in computer science

Participate in the Smarter

Computing Stream and

Track Sessions

Learn about Watson in the Expo

Engage with IBM to determine

appropriate starting points

Engage your peers at the

conference

Challenge your vendors –

don’t just read ads

How Can You Help Lead the Next Era of Computing?

Integrate Secure

Automate

Let’s Build a Smarter Planet