© 2007 Hewlett-Packard Development Company, L.P.The information contained herein is subject to change without notice

Virtualization and Business Outcomes Speaker Name

Date

2 23 May 2007

Agenda

Source: U.S. Department of Commerce, Bureau of Economic Analysis

•Virtualization

business

context•IT to

BT

•Adaptive

Infrastructure•Virtualization

solutions

•Denfinition•Market

adoption

& trends

•Demo

Virtualization business context

4 23 May 2007

30%

18%16%

24% 25%

39%44%

51%49%

IT accounts for increasing share of investment

Source: U.S. Department of Commerce, Bureau of Economic Analysis

IT share of business equipment investment

0%

10%

20%

30%

40%

50%

60%

1960 1965 1970 1975 1980 1985 1990 1995 2000 2005

42%

5 23 May 20075

Why?IT no longer supports the business, it powers the business

“Business is technology and technology is business”*

*George Colony, Chairman and CEO – Forrester Research. My View: IT to BT, Forrester Research, Inc., August 2006

6 23 May 2007

Companies need IT to deliver better business outcomes

Improved return on investment

Profitability

Business growth

Competitive advantage

Complete alignment of IT with business

7 23 May 2007

HP understands: we’re in the new world of business technology

IT as a line of business

NOT

just a cost center

IT execs with executive accountability just IT budgets

Business initiatives just IT projects

Business requirements just service level agreements

Optimized infrastructure IT silos

Business services just IT services

8 23 May 2007

Where IT results are measured in only one way: business outcomes

Accelerate business growth

•

Speed time to market

•

Improve decision making

•

Strengthen customer relationships

•

Drive revenue

•

Capture market share

Lower costs

•

Reduce IT/business cost

•

Improve operational efficiency

•

Improve ROI

Mitigate risks

•

Minimize IT/business risk

•

Improve compliance

•

Improve decision making

9 23 May 20079

Technology for better business outcomes

10 23 May 2007

HP business technology portfolio: technology for better business outcomes

Servers & storage Services Software

Business information optimization

Business technology optimization

Adaptive Infrastructure

Financial

Services

Communications Media &

EntertainmentManufacturing & Distribution Public Sector Health & Life

Sciences

Servers & storage Services Software

Adaptive InfrastructureAdaptive Infrastructure

Servers & storage Services Software

11 23 May 2007

Infrastructure pain points•

Too expensive to manage and maintain

•

Too many applications, too much customization

•

Underutilized servers

•

Escalating power and cooling costs

•

Struggle to meet service level agreements for critical workloads

•

Can’t implement new projects fast enough

•

Compliance demands are increasing

•

Infrastructure is at risk to viruses and security breaches

10%

25%65%

Operations –

Maintenance &

mgmt.

Innovation

Migration & Upgrades

Too much to maintenance,

not enough to growth

IT budget allocation

IDC/Alinean

2006

12 23 May 2007

Adaptive Infrastructure

Lower costsCost of operations

Mitigate risksQuality of service

Business growthSpeed of change

Optimize IT infrastructure

Manage IT infrastructure

Automate IT service delivery

•

IT Consolidation •

Business Continuity & Availability

•

Data Center Services

•

Unified Infrastructure Management

•

Service Management•

IT Outsourcing

•

Integrated offerings•

IT Shared Services•

Flexible Computing Services

Systems & Services

Power & Cooling Management Security Virtualization Automation

Mapping solutions to business outcomes

13 23 May 2007

Adaptive InfrastructureKey enablers

High-costIT islands

Low-cost

pooled IT

assets Next-generation

data center

Current state Future stateHP QUICKSTRIKE CEO-010770

IT Systems

& Services

Power & Cooling Management Security Virtualization Automation

•

Scalability based on standards

•

IT services and support

•

Energy-

efficient computing

•

Unified infrastructure management

•

Integrated IT and business services management

•

Proactive, built-in, end-to-end data protection

•

Pooling and sharing of IT resources

•

Dynamic control of IT service delivery

Virtualization Solutions

15 23 May 2007

Virtualization definitionAn approach to pooling and sharing IT resources

Server Storage

Network Software

Current state

Inefficient, rigid silos of IT

ERP CRM Web

ERP CRM Web

Transforming people, process, and technology

Essential for an Adaptive Infrastructure

•

Reduce costs•

Increase agility•

Improve quality

Future state

IT supply meets business demand

16 23 May 2007

Why virtualization?

VM

VM

VM

VM

VM

VM

VM

VM

VM

VM

VM

VM

Server consolidation

VM

Ease of deployment

High availability & disaster recovery

Extension of legacy environments

Test and development

VM

VM

VM

VM

VM

VM

VM

VM

VM

VM

VM

VM

VM

VM

VM

VM

VM

VM

VM

VM

VM

VM

Workload optimization

OS or service console

VM VM VMVMVM

Host Server

OS or service console

VM VMVMVM

Host Server

Host Server

VM

VM

VM

VM VM

17 23 May 2007

Virtualization in the enterprise

Consolidate

under-utilized servers Avoid downtime

with VM Relocation

Dynamically re-balance

workload to guarantee application SLAs Enforce security

policy

18 23 May 200718

“Virtualization is the most impactive

thing changing

infrastructure and operations through 2008. Plan, implement and change now.”

*Tom Bittman, Gartner, October 2006 . The Future of Infrastructure and Operations Gartner Symposium and IT Expo

19 23 May 2007

Enterprises are rapidly deploying server virtualization

Source: Yankee Group 2006 Global Server Virtualization Survey

20 23 May 2007

Infrastructure consolidation drives server virtualization adoption

Source: Yankee Group 2006 Global Server Virtualization Survey

21 23 May 2007

Server virtualization delivers quick return on investment

Server Virtualization Delivers Quick Return on InvestmentSource: Yankee Group 2006 Global Server Virtualization Survey

22 23 May 2007

HP VirtualizationAn approach to pooling and sharing IT resources

Server Storage

Network Software

Current state

Inefficient, rigid silos of IT

ERP CRM Web

ERP CRM Web

Transforming people, process, and technology

Essential for an Adaptive Infrastructure

•

Reduce costs•

Increase agility•

Improve quality

Future state

IT supply meets business demand

23 23 May 2007

HP Virtualization solutions: Making the virtual real

Reduce costs By improving

utilization

Increase agility By making

infrastructure more flexible

Improve quality By aligning IT with the

business

HP Element Virtualization solutionsPool and share resources from desktop to data center

HP Integrated Virtualization solutionsSimplify and automate the management of virtual environments

HP Business and IT Alignment solutionsManage and govern IT as a service on a shared infrastructure

1 2 3

People and ProcessTechnology

24 23 May 2007

HP Virtualization highlights: More than virtual machines

Reduce costs Increase agility Improve quality

1 2 3

•

Consolidate server sprawl

–HP ProLiant virtualization with VMware, Microsoft, Xen

–HP Integrity partitioning continuum

•

Pool heterogeneous storage

•

HP StorageWorks virtualization

•

Optimize server utilization in real time

–HP VSE for Integrity

•

Unify management of physical and virtual

–HP SIM and Essentials

•

Change servers independent of storage and network connections

–HP Virtual Connect

•

Deliver IT services on a shared infrastructure

–HP IT Shared Services

•

Manage IT operations like a business

–HP ITSM Services and Software

25 23 May 2007

HP Virtualization Management

x86 EM64T/AMD64 ia64

MS Virtual Server

VMware Xen

WindowsLinux -

Windows

- Linux-

Windows- NetWare

HP-UX -

Linux -

Windows

ProLiant Blade and Rack Servers Integrity Servers

vPAR (Virtual)WLM/gWLM

iCAPnPAR

(physical)Capacity Advisor

MC/SGHP Vman

HP VSE

XenLinux

HP VM

HP SIM

(Systems Insight Manager)

HP SM(Server Migration)

HP VMM(Virtual Machine Management)

26 23 May 2007

Summary: HP makes the virtual real

Key enabler of the HP Adaptive Infrastructure

•

Choose the right solution from HP’s broad portfolio from desktop to data center −

Partnerships with all virtualization industry leaders: VMware, Microsoft, Oracle, Xen, etc.

−

70% growth for key Integrity virtualization technologies−

Over 25000 virtualized storage arrays sold

•

Simplify and automate your virtualized infrastructure with proven HP innovation −

Unified management of physical and virtual−

Unique solutions like HP Virtual Connect and HP Virtual Server Environment

•

Learn from our proven experience helping businesses of all sizes align IT with business−

60,000 service professionals−

5,000 ITIL certified professionals−

5,000 high availability experts