Marty Sanders, VP of Americas Economic Benefits of Deploying Disruptive Hyperconvergence Technology September 2015

Percentage of Time Spent on Customary IT Tasks over a Given Week Innovators Dilemma 80% With Budgets Flat or Down Percentage of Time Spent on Customary IT Tasks over a Given Week 40% 35% 30% 25% 20% 15% 10% 5% 0% 7% 36% 22% 8% 13% 12% 32% Total IT Spending in 2014 Growth More than 10% lower 5-10% lower Down less Than 5% About the same Up Less than 5% 5-10% higher 10% higher % of Respondents Monitoring, troubleshooting Provisioning, patching, and configuration Innovation and new projects New service request and approvals Vendor and internal meetings (% of respondents) 14.7 18.4 20.5 21.6 24.8 Innovation & New Projects only = 20% Q: Considering the following mix of tasks, over a given week, what percentage of total IT admin and operations staff time (across server, networking, and storage infrastructure) is spent on the following five general tasks?

Innovation Requires Moving Beyond the Status Quo Innovation can be disruptive, but… We need to embrace disruptive innovations and move past the status quo Early adopters gain competitive advantage Laggards who “fight the tide” are often left behind

Hyperconvergence VS

The Hyperconvergence Market is Growing Fast CAGR 55 25 10 2 40 Cisco UCS: 40+% Converged Infrastructure: 54.7% Storage: 4.1% Server: 0.3% 2011 2012 2013 2014 2015 2016 Source: IDC, Gartner

Top Pain Points reported by Boardroom Attendees Data protection and disaster recovery issues (71%) High cost and complexity of IT operations (47%) Application performance not meeting business requirements (42%) N = 73 boardroom participants from 9/21/2015

Primary Reasons Companies are Adopting Hyperconvergence Operational Excellence Improve data protection and disaster recovery Scale and performance Economic Value Simplify IT operations and reduce costs Faster time to market (new businesses, locations, apps) Redeploy assets to innovation Business Outcomes

Evolution of Convergence Legacy Stack Convergence 1.0 Integrated Systems Convergence 2.0 Partial Convergence Convergence 3.0 Hyperconvergence Servers + VMware Storage Switch HA Shared Storage SSD Array Backup Appliance WAN Optimization Cloud Gateway Storage Caching Backup Apps Pre-integrated storage and server Converge only storage and server Hyperconverge entire stack The Best of Both Worlds Enterprise Capabilities Data Protection Data Efficiency Performance Global Unified Management Cloud Economics Low Cost x86 Resources Scale-out

Hyperconvergence Simplifies IT 7:1 4:1 Fewer devices reported by more than 50% of customers Fewer management interfaces reported by 75% of customers Data efficiency benefits cited by more than 1/3 of customers 100:1 74% 26% Of customers see Value within 1 Month Avg. Time Savings Managing ROBOs

The power of built-in data protection With SimpliVity Drastic RPO and RTO improvement 10X increase in customers reporting RTO in minutes 7.7X increase in customer reporting RPO in minutes 44% average RTO improvement Significant time savings, simplified management 44% average time savings managing data protection Before SimpliVity 70% reported “sub-par” DR strategy

Customer profile: Waypoint

IT transformation at Waypoint Five global sites run 100% on SimpliVity Transformed IT environments with SimpliVity to: Improve operational efficiency Ensure data protection Optimize storage Unify management of global sites 35% 12x Reduction in number of servers Increase in storage capacity 3x 4x TCO Savings Increase in computing power

Renewed focus on strategic value at a Premier University Before Simplivity: ~200 “Partially Protected” VMs

Renewed focus on strategic value at a Premier University After Simplivity: ~200 Fully Protected VMs

Renewed focus on strategic value at a Premier University Impact of implementing SimpliVity at a Premier University

Bringing true disaster recovery to Town of Vail Host of Annual World Ski Alpine Championship in Feb. 2015 Moved 72 servers to SimpliVity MS Enterprise SQL Server Oracle Standard SQL Server Full DR for 911 and other Public Safety applications - across multiple sites Zero 2K 70B Downtime SQL TPS for 911 PR Impressions

Summary Managing virtualized infrastructure is complex and not getting easier Hyperconverged infrastructure delivers breakthrough business results Companies that adopt disruptive technology first stand to benefit the most

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