OSC Financial Conference December 14, 2010

 Some interesting new developments  Current and Emerging trends  Impacts of these trends  Service Expectations of a New Generation

 Monumental Adventure  www. monumentaladventure.com  Cultural highlights of cities around the world

 New Facebook messaging   Messages to friends no matter how they access Facebook  Communication portals  Archive of everything communicated

 Verizon 4G LTE service   Provides 5-12 megabits per second (download) and 2-5 megabits per second (upload)  Faster than wired cable access and similar to business network access  Will be able to power WiFi via 4G

 Microsoft Office 365  Office365.microsoft.com

 Effects of recession  Cloud computing  New technology companies helping accelerate cloud transition  Renewed interest in mobile devices

 Server virtualization  Storage virtualization  Network/fabric virtualization  Client systems  Application delivery can be virtualized

 Greater interest in hosting services externally  Software-as-a-service (SaaS)  Infrastructure-as-a-Service (IaaS)  Platform-as-a-Service (PaaS)  Large enterprises  Private clouds, Hybrid clouds  Small/Medium enterprises  Public clouds, real-time infrastructure

 Data Center consolidations  Federal government merging large number of Data Centers  Industry  INSA assessment (NC)  “Cloud first”  Part of new federal IT strategy  Economic value of both larger scale and commodity services

 Application architectures being refined and evolved to include mobility as key element  With Droid, iPhone, iPad, and others coming the demand for quick location/download of useful applications is soaring  Larger tablet-style devices may be coming

 Days of monolithic, LAN-connected, proprietary enterprise software applications are numbered  Mobile security is becoming more important  Ability to “wipe clean” or lock mobile devices remotely  New ways to extend enterprise “LAN” for users that would previously be “off the network”  Applications will need to assume access by a far wider range of devices and user interfaces that are likely connected remotely from somewhere on the internet and probably via a wireless connection

 Consumer expectation that more IT can be provided and charged based on utilization, not allocation  Mixed with cloud computing, this will begin to undercut many software licensing models  Pay for what you use, not for what you might use

 Some confusion about “cloud computing” (public, private, hybrid)  Many roles will need to shift and adapt  CIO  System administrators  Application developers (starting developments using cloud environment will be important)  Support functions

 May be a growing focus by users on cost and transparency of IT services  Expectation of faster response and more dynamic offerings (more later)  Ability to access information quickly including use of “mash-ups”  A mash-up is a web page or application that combines data, presentation, or functionality from two or more sources to create new services  May be less confusion about “cloud”!

 Ability to order services (compute, storage, backups, even applications) quickly without capital outlay is very appealing   Integration of data may not be as important  Low cost and quick provisioning may greatly outweigh security concerns, data integration requirements, single-sign on, etc.

 Applications that will have a long “life” in this new IT world will need to be cloud-ready  Can scale to take advantage of more resources, some of which might be available across a hybrid cloud environment  Applications will need to recognize and support a wider array of mobile devices and access interfaces

 Manual operations will be stressed and forced to automate  Self-service, on-demand model will prevail  Dynamic sourcing pressures  IT must figure out how to add/subtract resources (compute, storage, network, etc.) as needed  Application demands will soar

 Where is my data stored in a cloud-based environment?  Is my data co-mingled with other agencies and companies?  Is the hosted or cloud environment secure and well-managed?

 App Store Effect  “I want to download these applications from the online store and them have them linked together as a new application. Can you help me?”  Based on business need (procurement, business intelligence, product design, R&D support) there will be a demand for faster and more inter-connected applications  Acceptance of large (and expensive) ERP-level software suites may not be sustainable

 is primary business application  Outside of work, Facebook is becoming the primary application  At some point use of social networking tools at work will become more accepted and commonplace  But what about mixing work, home, and personal interests together?

 Facebook accounts (as an example) would contain mix of communications  Will social networking companies further recognize/address this issue?  Many employees may want to share personal and social network information in a work context

 Expect to collaborate with work colleagues (and friends) globally  Not to be confined to a small network of contacts within their specific area  Expect to co-create and work to solve real business problems

 Currently 18% of world’s population  Communication takes place on the internet and mostly via online communities  Very impatient and desire instant results  Might be poor communicators

 More openness to sharing personal information  Wide cross-linking of information in coming years will provide interesting aggregations of personal and professional information  Identity management importance will continue to grow and will leverage cross- linked information

 Now possible  More cost-effective  Fits new generation service expectations  Dynamic  Better

 Cloud wave will impact many areas, including:  Home (recent TV ads)  Enterprise environments  Small, emerging businesses  Dynamic sourcing  Applications  Infrastructure services  Greater mix of mobile demands, applications, and devices