IBM Systems and Technology Group © 2009 IBM Corporation IBM System Storage Product Overview Part 3 This document is for IBM and IBM Business Partner use only. It is not intended for customer distribution or use with customers.

IBM Systems and Technology Group © 2009 IBM Corporation Competitive Differentiation

IBM Systems and Technology Group © 2009 IBM Corporation Sales Conference 3 EMC Competitive Intelligence Vision  “Focus on the information - It’s a strategic asset”  “Count on EMC to keep innovating ways to store, protect, optimize, and leverage information, all with the aim of contributing to your ongoing success”  “Release the power of information”  “Where Information Lives” Messages  Concise, clear marketing and messaging with different messages for different levels in customer organizations  Use hip media to communicate, e.g., blogs, YouTube, weekly and monthly newsletters  Quick to exploit buzz – virtualization, energy efficiency, security, digital Strength  Operates with sense of urgency  Creative deals  Great at throwing FUD at competitors (DS8000 future as example)  Aggressive sales style Weakness  Make the sale at all cost  Not a full IT product/service provider  Don’t practice what they preach – depend heavily on selling more disk

IBM Systems and Technology Group © 2009 IBM Corporation Sales Conference 4 Compared to IBM Information Infrastructure, EMC has …  Less virtualization support for multi-vendor disk systems  Slower to market with Scale Out NAS  Slower storage software growth  Smaller storage services team  Limiting strategy. Says “tape is dead”  Smaller Information Management software portfolio

IBM Systems and Technology Group © 2009 IBM Corporation Sales Conference 5 HP Competitive Intelligence Vision  “Become the world’s leading technology company”  “Transforming the infrastructure”  “Next wave: everything as a service” Messages  Next-generation data center  Data center transformation  Blade everything  Virtualize everything Strength  Channel partners – strong value add and presence  Profitable printer business feeds development of other business units  Long-standing, Silicon Valley technology culture  EDS adds credibility and revenue to their services business  Global reach  Alliances with Oracle, Microsoft and Accenture Weakness  EDS acquisition causing distraction and confusion in the market  Lack of solution-driven focus  Limited executive-level relationships  Limited high-end business consulting skills

IBM Systems and Technology Group © 2009 IBM Corporation Sales Conference 6 HP Key Strengths  Revenue was $118B (FY08) with about 9% growth (expects 2Q08 at $27.8B at same growth) –1Q08 very strong with revenue up 8% constant currency ($28.5B) with PC business up 24% YTY; PCs accounted for half of revenue growth Storage sales up 10% overall from 1Q06 EVA +14%; XP line unreported but likely high single digits; tape grew +4% Results of adding several hundred sales people, and bolstering channels –Diverse storage portfolio: disk, LTO tape, software, services, SMB, enterprise 69% of revenue generated outside U.S. –Very influential in open systems market –Good reputation for service and support HP FY07 Revenue ESS Revenue by Business

IBM Systems and Technology Group © 2009 IBM Corporation Sales Conference 7 HP Key Strengths  FY08 revenue $118.2 Bill  CEO Mark Hurd: “Great companies excel in tough times, and in tough times, customers turn to great companies” –Strong focus on cost cutting  Acquired EDS to be integrated in Technology Solutions Group –Strenghthen HP’s services and outsourcing capabilities –Uncertaincy for EDS outsorcing customers without HP technology –Ron Rittenmeyer, former CEO of EDS, has retired  Acquisition of Left Hand in Oct –To be integrated in future HP product releases  SAN Virtualization Services Platform (SVSP) released Nov 2008 –SVC competitor based on former StoreAge technology

IBM Systems and Technology Group © 2009 IBM Corporation Sales Conference 8 Compared to IBM Information Infrastructure, HP has …  Declining disk and tape market share  Smaller, slower growing storage software portfolio  Smaller storage services team  Lower capacity Tape Libraries  Mainframe: No tape; resells disk  Slower disk systems (maximum throughput)* SVCXP K (SPC-1) 200K (SPC-1) Disk I/Os per second DS8000XP M (cache) 4.0M (cache) DS4800EVA K (cache) 225K (cache) IBM Virtualized disk High-end disk Midrange disk HP IBM and published tests * Performance based on IBM internal studies and estimates, and published benchmarks.

IBM Systems and Technology Group © 2009 IBM Corporation Sales Conference 9 Review questions The leading virtualization software in the industry is EMC Invista HDS Tagamastore HP True Copy IBM San Volume Controller How can we attach the DS3000 series? FC, iSCSI, and SAS. FC, GX bus, iSCSI, and NAS SATA, FATA, and FC All the above What is the key differentiating factor of the DS5000 product ? An 8 gb/s transfer rate SATA disk drives only A 4 gb/s transfer rate and mixed SATA and FC drives Dual p5 570 processors What is a major unique function on the DS8000 series Over 500 TB of capacity Support for main frames and Power Systems for ibusiness Logical partitions 4 gb/s transfer rate

IBM Systems and Technology Group © 2009 IBM Corporation Sales Conference 10 Review questions What is the key new function added to LTO 4 tape drives in addition to capacity and speed increases? WORM 19 “ rack support Ability to read and write TS1120 tapes Encryption What 2 key value add facets to the DS6800 ? Density of footprint and mainframe/Powers System i support 4 gb transfer rate SAS and FC attachment All the above What is the major application areas of Tivoli Storage Manager? ERP, SCM, CRM, and Business Intelligence Save/restore, archival, and space management Business Intelligence Engineering scientific applications What is the major strength and weakness, respectively, of EMC? High performance storage and weak sales force Product breadth and low market share Great sales force and lack of full service offerings 8 gb/s transfer rate across the board and data retention systems

IBM Systems and Technology Group © 2009 IBM Corporation Additional Information

IBM Systems and Technology Group © 2009 IBM Corporation Sales Conference 12 Intel (Windows/Linux)UNIX (AIX/Solaris/HP-UX) Open Systems (“Open Side”) Hosts Storage Fibre (Optical) Data transfers using FCP (Fibre Channel Protocol ) DS4000DS6000DS8000DS3000 IBM switch (Brocade & ….Cisco)

IBM Systems and Technology Group © 2009 IBM Corporation Sales Conference 13 Hosts Storage Fibre (Optical) Data transfers using FCP (Fibre Channel Protocol ) DS6000 DS8000 IBM switch (Brocade &..Cisco) System i (AS/400 )

IBM Systems and Technology Group © 2009 IBM Corporation Sales Conference 14 Hosts Storage Fibre (Optical) Data transfers using FCP (Fibre Channel Protocol ) DS6000 System z IBM switch/director (Brocade & cisco) (z/OS.) DS8000

IBM Systems and Technology Group © 2009 IBM Corporation Sales Conference 15 The IBM System Storage DR550- an Archive and Data Retention System  A purpose built, information archive for long term data retention and protection ► Policy-based, non-erasable, non-rewriteable disk storage ► Industry leading IBM advanced technology Automatic policy-based tiered storage management Data encryption – In flight and at rest IBM dual processor Power5 technology for high performance (benchmarked at over 3x competition) IBM SATA disk technology for low cost Enablement of secondary storage, i.e. WORM Tape (optional) supporting very low TCO Simple Network Management Protocol (SNMP) Monitoring – proactive system problem prevention and correction ► High speed 10/100/1000 Ethernet connectivity ► Disaster recovery options with synchronous and asynchronous replication ► Deemed compliant with SEC 17a-4 by independent consultants

IBM Systems and Technology Group © 2009 IBM Corporation Sales Conference 16 IBM Information Infrastructure for Manageability Improved visibility, control, and automation Manage Visibility, Control, Automation Virtualize Availability, Simplification Protect Security, Compliance, Recoverability Best Practices and Services Archive Active, Inactive (long term) IBM Information Infrastructure Integrated Visibility  TotalStorage Productivity Center (TPC)  N series Data ONTAP, FilerView Control  Tivoli Storage Management  Tivoli Security Management  SAN Volume Controller  Geographically Disbursed Parallel Sysplex (GDPS)  General Parallel File System (GPFS)  N series Data ONTAP, FlexVol, Operations Manager Automation  Global Mirror, Metro Mirror,  N series SnapManager, FlexClone, MetroCluster, SnapMover

IBM Systems and Technology Group © 2009 IBM Corporation Sales Conference 17 IBM Information Infrastructure for Virtualization Virtualized disk, tape, SAN director, and file systems Manage Visibility, Control, Automation Virtualize Availability, Simplification Protect Security, Compliance, Recoverability Best Practices and Services Archive Active, Inactive (long term) IBM Information Infrastructure Integrated Storage Virtualization  Virtual File System  SAN Volume Controller  Virtual Tape System  SAN Director with virtualization

IBM Systems and Technology Group © 2009 IBM Corporation Sales Conference 18 IBM Information Infrastructure for Data Protection Leading security, compliance, and recoverability solutions Manage Visibility, Control, Automation Virtualize Availability, Simplification Protect Security, Compliance, Recoverability Best Practices and Services Archive Active, Inactive (long term) IBM Information Infrastructure Integrated Compliance  DR550 Data Retention system  N series SnapLock option  WORM tape Security  Encrypted Disk and Tape Media  Key Management  Tivoli Access Manager  Tivoli Identity Manager  zSecure Suite Protection  Tivoli Storage Manager  Flash Copy  N series SnapRestore  Continuous Data Protection

IBM Systems and Technology Group © 2009 IBM Corporation Sales Conference 19 IBM Information Infrastructure for Archiving Disk, tape, network, and archive solutions Manage Visibility, Control, Automation Virtualize Availability, Simplification Protect Security, Compliance, Recoverability Best Practices and Services Archive Active, Inactive (long term) IBM Information Infrastructure Integrated Disk Systems  Mid-Range: DS3000, DS4000  Enterprise: DS8000  Unified Storage: N series  Emerging Workloads: XIV Tape Systems Enterprise and Midrange  Tape drives  Tape Libraries  Virtual Tape Integrated Solutions  , SAP, Database, files, etc.  DR550 Data Retention System  System Storage Archive Manager  Grid Medical Archive Solution Storage Networking  Brocade and Cisco Switches, Routers, Directors