IBM Hyperconverged Systems powered by Nutanix Simplicity Meets Performance Seller Education Marc Richardson Senior Offering Manager, Power Converged Systems morichar@us.ibm.com The main theme you want to emphasize is that this offering--unlike other x86-based HCI offerings--not only provides the simplicity of the Nutanix Enterprise Cloud Platform software-defined solution but with the differentiated performance and open architecture of POWER--all backed by trusted IBM Support.

Combining Strengths – A Winning Equation IBM Hyperconverged Systems powered by Nutanix Pioneer of hyper-converged infrastructure and private cloud management simplicity Premier platform for data intensive & cognitive enterprise workloads High-performance enterprise hyperconverged infrastructure & private cloud platform + = What’s in it for each? IBM – partnered with industry pioneer with proven hyperconverged cloud platform; ability to gain share of enterprise application HCI deployments and grow IBM Power Systems footprint. Nutanix – increased overall total addressable market opportunity for the Nutanix solution and differentiation via the performance of the POWER architecture, offering the hyperconverged market an expanded set of workloads that can be deployed via a hyperconverged private cloud.

When May 16 Jun 28 Jun 29 Jul 25 Q3 2017 Relationship PR Launch Seller Enablement & On Demand Webcast Jun 29 Product Announce Nutanix .NEXT 2017 Jul 25 eConfig Support Q3 2017 Product General Availability

The Opportunity HCI is HOT! Great for your customers Residual business 1 HCI is HOT! IDC estimates the HCI market to grow at a 64% CAGR to $4.8B by 2019 If your customer hasn’t already looked at HCI, they will soon. Be that person! 2 Great for your customers Customers deserve efficiency of common deployment platform for all applications Complexity reduction & increased management simplicity enable cognitive innovation Help your customers reduce CapEx and OpEx costs 3 Residual business Nutanix enterprise customers buy 7.8X the initial purchase within 18 months Allows you to hunt for new opportunities while IBM CS farms itself

What’s in it for you, the seller? Proven – ~ 7,000 Nutanix-based customers and 55,000 nodes deployed Residual – <18 mos. Enterprise customers repurchasing 7.8X initial order Choice – Customers love flexibility and focusing on their business Delighted – Customers love IBM and Nutanix – Nutanix NPS 90+ last 4 years Lucrative – Less margin pressure, because of TCO savings & healthy average selling price for retiring quota quickly

Hyperconverged Cloud Defined Virtualization App Nutanix AHV Hypervisor App Storage Controller Server The challenge is that traditional infrastructure was not necessarily designed for cloud environments. Let’s now look at how IBM HCS solves this infrastructure challenge. Nutanix pioneered the concept of hyperconverged infrastructure. Hyperconvergence natively converges compute and storage into scale-out servers with attached flash and hard disk drives that are deployed as a cluster Customers can start with a small footprint — three nodes in as little as 3U of rack space, and can add compute and storage capacity when needed. Hyperconvergence radically simplifies how infrastructure is deployed and managed, and reduces the footprint of IT infrastructure by up to 90% But the story doesn’t stop there. The IBM CS solution natively integrates enterprise-class virtualization right into the product. The hypervisor comes pre-installed on all IBM CS appliances, and cluster and VM management is built into the integrated management platform that is also part of the standard product. No additional components to install or manage. Powerful virtualization features such as VM high availability, live migration and one-click hypervisor upgrades come standard and can be fully managed using the same management interface. Admins can configure their clusters in minutes and start deploying applications right away. Integrated, scale-out compute and storage with built-in virtualization and management

Introducing IBM Hyperconverged Systems powered by Nutanix DRUMROLL…. INTRODUCING IBM HYPERCONVERGED SYSTEMS, POWERED BY NUTANIX   You don’t need to compromise server performance for ease of use. This is the industry’s first hyperconverged solution that marries Nutanix’s renowned one-click software simplicity and limitless scalability with the unmatched performance of the IBM POWER architecture, which is designed specifically for data intensive workloads. The IBM CS solution enable a public cloud-like experience through on-premises infrastructure with world-class virtualization and automation capabilities. They provide a combination of reliable storage, fast networks, scalability and extremely powerful computing in modular, scalable building blocks. And it is easy to grow the cluster by adding nodes when needed, without limitations. © 2017 IBM Corporation

112% 84% 68% 74% 40% 62% Why a Power-based HCI? IBM Power Systems1 Deliver 80% More Performance Per Dollar on average than x86-Based2 Servers 112% more operations per dollar for virtualized environments 62% more operations per dollar for single image 84% more Virtual Machines per dollar 74% more throughput per dollar in a virtualized configuration for Cloud 68% more operations per dollar 40% better performance per system So, why a Power-based HCI solution? With the introduction of the S822LC for Big Data, IBM Power Systems delivered a game changing alternative to x86 providing both performance and more significantly PRICE-PERFORMANCE advantages when compared to x86. Specifically, this server line produces significantly higher performance and on average 80% better performance per dollar when running Open Source Database in cloud environments. This server along with the S821LC are the basis for the IBM Power / Nutanix offerings and will provide similar advantages in conjunction with the simplicity that the Nutanix software products bring to the Hyper-Converged Space. So a simple a question must be asked: given that IBM CS appliances are fully compatible with the Nutanix Enterprise Cloud Platform ecosystem, why wouldn’t you place your most challenging, data-intensive workloads on the servers that born to run them? CS821 and CS822 are based on Power S821LC and Power S822LC respectively. Actual performance and price-performance of the CS821 and CS822 may vary 80% price-performance advantage is based on the average of IBM internal measurements of Power System S822LC for Big Data relative to comparable x86 E5-2600v4 (Broadwell) 2-socket offerings across multiple open source databases including MongoDB, EnterpriseDB, and MariaDB.  Comparisons utilize current pricing as of August 24, 2016.  More details can be found at https://www.ibm.com/developerworks/linux/perfcol/index.html

Reasons for considering Power servers revolve around characteristics of the IBM brand, NOT Power 100% of respondents with HCI deployed or testing stated that they would consider an IBM Power HCI system. Similarly, 94% of those currently evaluating/considering HCI in the future stated they would consider a Power HCI system. Despite the high consideration rates for a Power hyper-converged server, when asked why, respondents most often cited qualities associated with the IBM master brand rather than the Power Systems brand. The only concerns associated with a Power solution revolved around the price of the offering being too steep. "We use IBM products and they're reliable with a good company to back them up.” - Will Consider Respondent "IBM is a thought leader in many areas and we generally review their new offerings on a regular basis.” - Evaluating Respondent "IBM is a leader in the tech industry” - Will Consider Respondent "if the solution matches or exceeds what Nutanix is offering at a reasonable ROI” - Deployed Respondent An important point to keep in mind when you are engaging with a client or prospect is the credibility of the IBM master brand. The old adage applies: “No one every got fired for going with IBM.” IBM is a trusted name in the enterprise computing space and our clients value the assurance and leadership we provide. Apart from the technology, this is an important thing to understand and distinction to make when selling. "We would be interested because we trust IBM to offer innovative and high quality solutions so we would like to check out their solution.” - Evaluating Respondent IBM & Business Partner CONFIDENTIAL

IBM CS821 (1U) IBM CS822 (2U) IBM CS-series Models Two 10-core 2.09 GHz POWER8 CPUs Up to 160 threads Up to 256 GB memory Up to 7.68 TB flash Nutanix AHV hypervisor Little endian Linux IBM CS822 (2U) Two 11-core 2.89 GHz POWER8 CPUs Up to 176 threads Up to 512 GB memory Up to 15.36 TB flash So here’s the obligatory family photos of the new IBM CS-series line of hyperconverged systems.

Nutanix Prism Nutanix Acropolis The Nutanix Solution Comprehensive application and infrastructure management solution that radically simplifies datacenter operations Nutanix Acropolis Turnkey infrastructure platform that converges compute, storage, networking and virtualization to run any application, at any scale Now, let’s talk about the actual products that Nutanix offers. There are two foundational products in the Nutanix solution -  Nutanix Acropolis, and Nutanix Prism.  Acropolis is the data fabric that natively converges compute, storage and virtualization to run any application at any scale.  Prism is the control plane that simplifies datacenter operations by providing a single pane of glass to manage compute, storage and virtualization and offering rich automation and operational insights. >After this high level why Prism

Prism Integrated Management Eliminate Complexity… Intuitive Insightful Let’s take a look at what infrastructure management looks like today. With typical multi-tier infrastructure, you have multiple management panes. The burden of making them all work together to provide end-to-end visibility and control is shifted to the admin. Nutanix Prism on IBM CS appliances gives administrators a simple and elegant way to manage virtual environments. Prism uses powerful data analytics and heuristics to simplify and streamline common workflows within a datacenter, eliminating the need to have multiple piecemeal management solutions. With Prism, admins can centrally manage their entire infrastructure stack all the way from physical clusters and storage up to virtual machines. Prism provides features that deliver rich insights about day-to-day operations of the datacenter. For example, customizable operations dashboards give at-a-glance summary of application and infrastructure state. Administrators can also make use of predictive analysis of capacity usage and trends based on application behavior. Nutanix understands that automation shouldn’t stop at just providing scriptable interfaces for infrastructure. In an enterprise cloud, the infrastructure has automation built-in so that you don’t need to script anything to get the benefits Beautiful

IBM Hyperconverged Systems powered by Nutanix Architecture VM CVM AHV Tier 1 Workloads (running on all nodes) Nutanix Controller VM (one per node) Distributed Storage Fabric Snapshots Clones Compression Deduplication Locality Tiering Erasure Coding Resilience Node 1 Node 2 Node N P8 Nutanix Prism Infrastructure Management Hardware Management Monitor | Alert | Topology | Inventory l Disk Mgmt | F/W Update | Rolling Update | “Light Path” Diag Virtualization Management VM Lifecycle Mgmt | Live Migration | Dynamic VM Reconfig | VM-HA | VM-Based Backup Let’s take a closer look at the Nutanix architecture. The IBM CS solution is deployed as a cluster of servers or nodes — starting with at least three. Each node has CPU, memory, flash storage and hard disk drives, and has the AHV hypervisor pre-installed. The nodes are connected to each other over a 10 Gig Ethernet switch - any standard switch will do. The Nutanix software runs in a user-mode VM called the controller VM on each node in this cluster. The Controller VMs or CVMs talk to each other and create a single storage pool using the storage drives on all the nodes in the cluster. This is called the Distributed Storage Fabric or DSF. DSF distributes data and metadata across all the nodes in the cluster, and provides a rich set of enterprise storage features such as deduplication, compression, cloning, tiering and resilience in a truly distributed way with no single points of failure or hotspots in the cluster. This scale-out architecture allows you to grow the cluster by adding nodes when needed without limits. You get linear predictable performance and capacity increases as the cluster grows. The Nutanix solution delivers data locality to provide the best VM and cluster performance. All I/O requests from a VM are handled by the local controller VM on that node. When a VM writes data, one copy of the data is always written to the local node. That way, read requests can be handled immediately using data on the same node without going over the network. If the VM moves to a different node, then over time the data also migrates to the remote node to restore locality. Current Nutanix customers can get the benefits of software innovation by installing the latest software release with a single click Remember to: Talk about our web-scale engineering: When Nutanix set out to improve on how infrastructure is delivered, they looked at how companies like Facebook, Google and Amazon solved the problem in their datacenters. These companies started pushing the limits of their infrastructure in ways that traditional businesses did not. They ran into the limitations of legacy infrastructure architectures. They hired systems engineers and PhDs to come up with a new approach to infrastructure and IT operations, what we now call web-scale IT that is built around a fundamentally different architecture. IBM CS brings the power of web-scale to enterprise infrastructure. The Nutanix solution is built from the ground up using the same web-scale technologies and architectures and is engineered to meet the needs of enterprise environments. So customers get the benefits of web-scale architectures without having to build their own web-scale infrastructure solutions to run enterprise applications. Use the whiteboard if appropriate to talk about the system architecture. This is a good slide to talk about our technology and how hyperconverged systems are fundamentally different from vBlock style architectures

IBM CS-series List Pricing FC Description US List Price RFA # MTM: 8005-12N EKX1 CS821 128GB Mem 480GB SSD $ 43,500 72700 EKX2 CS821 128GB Mem 960GB SSD $ 49,500 EKX3 CS821 128GB Mem 1920GB SSD $62,000 EKX4 CS821 256GB Mem 480GB SSD $51,000 EKX5 CS821 256GB Mem 960GB SSD $57,000 EKX6 CS821 256GB Mem 1920GB SSD $69,500 MTM: 8005-22N EKX7 CS822 256GB Mem 480GB SSD $ 69,000 EKX8 CS822 256GB Mem 960GB SSD $ 81,000 EKX9 CS822 256GB Mem 1920GB SSD $105,000 EKXA CS822 512GB Mem 480GB SSD $79,000 EKXB CS822 512GB Mem 960GB SSD $91,500 EKXC CS822 512GB Mem 1920GB SSD $115,500 PID#5639-NTS US F/C 0001 SW License – Acropolis Pro $ 0 72707 PID#5773-NTS Pro-US FC 1835 & Ultim US FC 1836 SW Support L1/L2 72911 US FC 0005 SW License – Acropolis Ultimate $4,000 US FC 0002 Pro & US FC 0006 Ultim + 2 Year SW Subscription L3 Support Pro or Ultimate $12,500 Current list prices should be inserted here. Prices current as of 06/27/2017. IBM Internal and Business Partners Only

Where to position IBM CS? SCENARIO PITCH THIS LOOK FOR “You trust us for critical physical infrastructure. Now trust us for Linux & virtualization.” OSDB like EDB Postgres or MongoDB, Splunk/Big Data, ROBO, Dev/Test Current IBM Customer Expansion “KVM-based virtualization with enhanced security and simple management. This is private cloud made easy.” Running Linux stack apps, tried OpenStack, dealing with management pain Tried or Using Open Source “Converged infrastructure solution with zero cost virtualization and single pane of glass to manage. All backed with trusted IBM Support.” Virtualization Pain: Technical/financial Non-Nutanix Customer “You don’t have to rip and replace your existing infrastructure to transform your business, just put your most data intensive workloads on the servers that were born to run them!” Price/performance sensitivity for critical applications, support concerns for key workloads Current Nutanix Customer

Resources available to you Client Strategy Team IBM Nutanix Sizer Tool* Nutanix.com/ TCO *available in Q3 2017

Where to go for help? You can always find the latest assets to assist in your client discussions in FindIT… IBM: https://prdpcrhfit01.w3-969.ibm.com/power/?assets=21 BP: https://findit01.atl.edst.ibm.com/power/?assets=21 For assistance contact: IBM: Marc Richardson Senior Offering Manager, Power Converged Systems morichar@us.ibm.com Nutanix: Brian Cox Director of Product Marketing brian.cox@nutanix.com *available in Q3 2017

Marc Richardson | morichar@us.ibm.com Thank You Marc Richardson | morichar@us.ibm.com

Backup Materials

IBM Hyperconvered System Powered by Nutanix Architecture Prism Console, CLI, Rest-Based Infrastructure Services Nutanix Prism Central Multi-Cluster Infrastructure Management Cross-Cluster Infrastructure Management Homogenous Clusters | Heterogonous Clusters Nutanix Prism Infrastructure Management Hardware Management Monitor | Alert | Topology | Inventory l Disk Mgmt | F/W Update | Rolling Update | “Light Path” Diag Virtualization Management VM Lifecycle Mgmt | Live Migration | Dynamic VM Reconfig | VM-HA | VM-Based Backup Nutanix Acropolis for Power Nutanix on x86 Nutanix Acropolis for Power System Guest VMs Additional Clusters Managed by Prism Central App Mobility Fabric Workload Mobility | HA | DR | VM Placement | Resource Scheduling Linux guest support Ubuntu 16.04 CentOS 7.x Acropolis Hypervisor CentOS KVM-based Distributed Storage Fabric Compression | Dedupe | Protection Open Virtual Switch Virtual Overlay Network OpenPower Servers Direct-Attached Storage Top of Rack Switches CS822 CS821 SSD SSD SSD SSD

Product Portfolio 1N1U Platform 1N2U Platform Workloads High density virtualization/middleware applications: WebSphere Liberty Application Server, test and development, private cloud High performance workloads: Enterprise DB, MongoDB, WebSphere Application Server, Business Applications, DBaaS IBM Model CS821 CS822 Base Platform S821LC S822LC Server Compute Two 10- core 2.09 GHz POWER8 processors with 8 hardware threads per core Two 11- core 2.89 GHz POWER8 processors with 8 hardware threads per core Memory 128GB or 256GB per system using 16 x DDR4 DIMMs with total of 64MB L4 cache 256GB or 512GB per system using 16 x DDR4 DIMMs with total of 64MB L4 cache Network connection 4 port 10G BaseT Ethernet Add on: PCIe3 4-port 10GbE SFP+ Converged Adapter, based on Intel X710 Chipset / Driver Min total ethernet ports 8 Boot device 1x64GB SATADOM SAS Controller PCIe Gen3 SAS Controller, based on LSI 3008L Storage Samsung SM863a [480GB, 960GB or 1.92TB] – all flash configuration Drive Type 4 x 2.5” SSD 8 x 2.5” SSD Hypervisor Nutanix AVH Software License Options Acropolis Pro or Ultimate License Prism Starter (includes Prism Central) Software Maintenance & Support 3-year or 5-year Software Maintenance & Support Warranty Service 9 hours per day, Monday through Friday, excluding holidays, next business day response* 24 hours per day, 7 days a week, 4 hour average response, same day* (*Warranty service levels vary by location. Consult your IBM representative for details)