1. Virtualisation as a new revenue source Rosemary Stark Craig Martyn © 2007 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION. Refer to your Volume Licensing agreement and Product Use Rights and End User Licensing Agreements for official terms and conditions.

2. Agenda What is Virtualisation? Your Opportunity How does server virtualisation work? Licensing models Demo Economics Upsell – SA Step Ups Summary Resources

3. Server Virtualisation Application Virtualisation Desktop Virtualisation Presentation Virtualisation Management What is Virtualisation? "Virtualisation without good management is more dangerous than not using virtualisation in the first place" Thomas Bittman, Gartner

4. Market Services: $11.7 billion by 2011 * 75% of all enterprises have deployed some form of virtualisation; 95% are planning to deploy virtualisation ◘ US1.1billion for 2008; US3.5 billion by 2011 * “Although applications generally will run on virtual servers, scalability and management problems persist” ◊ ◊ Source Dominic Sartorio, president of the Open Solutions Alliance Source ☼ Hydrasight study of 52 Australian enterprise customers ◘ Source Enterprise Management Association “Virtualisation: Exposing the Intangible Enterprise” (July 2006) * Source IDC Grew 67% in 2007 * 83% use VMWare ☼ 38% use Microsoft virtualisation ☼ Most customers are using or evaluating virtualisation ☼ Our opportunity: elevate the discussion – Dynamic IT Global Australian

5. Server Virtualisation Application Virtualisation Desktop Virtualisation Presentation Virtualisation Management A comprehensive set of virtualisation products, from the data center to desktop assets – both virtual and physical – are managed from a single platform Microsoft Virtualisation Products

6. $450 $ 335/$586 per OSE $25 Prices are Select D ERP, L/L+SA3yr Management Server Server Management License Client Management License $450 $335/$586 per OSE $32 $450 $335/$586 per OSE 3 Enterprise Server Management Suite $1181 per physical box (L/SA) 2 Enterprise CAL Suite 1 Core CAL Suite Microsoft System Center

7. Your Opportunity Mature adoption of virtualisation technologies –Discuss Microsoft Dynamic IT story –IO assessment service engagement –Upsell management license + services! –Make sure that they are properly licensed Aware of or investigating virtualisation –See above + –Engage in a POC now Not deployed or adopted virtualisation –Send them to online community at www.microsoft.com/virtualisation for training www.microsoft.com/virtualisation –Possibly engage in a POC for customers with budget cycles coming up

8. The outcome... Licensing plus services Differentiate yourself Become a leader in provisioning Next Gen IT Solutions Strategic discussion Trusted advisor Manage the “whole” infrastructure

9. Licensing Windows Server in a Virtualised Environment LicenseInstances Windows Server – Standard Edition 2003 (server + CAL) 1 Physical OR 1 Virtual Windows Server – Standard Edition 2008 (server + CAL) 1 Physical + 1 Virtual Windows Server – Enterprise Edition 2003/2008 (server + CAL) 1 Physical + 4 Virtual Windows Server – Datacenter Edition 2003/2008 (processor + CAL) Unlimited Per physical server = licensing simplicity!

10. How does Server Virtualisation work? Physical and virtual hardware and OS environments Physical Hardware System (“Server”) Operating System(“OS”) Virtual Machine(“VM”) Technology OS Application Physical OS Environment Virtual OS Environments Virtual HW System Virtual HW System Allocates virtual resources Virtual · processors · RAM · network card · etc. Physical · processors · RAM · network card · etc.

11. Assigning Licenses and Running Instances Before you run any instance of the server software under a software license, you must assign that license to one of your servers You may assign other software licenses to the same server, but you may not assign the same license to more than one server Then, you have the right to run as many instances on that server as the software license(s) allows OEM licenses are pre-assigned to the server Windows Server® VL License ASSIGN 1

12. Server Licensing Demo Volunteers please!

13. Economics of Windows Server Editions Standard is most cost-effective for 1-3 VMs on a server Enterprise is most cost effective for 4 VMs on a server and up to 4 VMs per processor Datacenter is most cost effective for more than 4 VMs per processor At 4 VMs per processor, Datacenter is slightly more but provides unlimited instances The most cost-effective edition depends on the number of VMs per processor Windows Server virtualisation calculator: http://www.microsoft.com/windowsserver2003/howtobuy/licensing/calculator.mspx Note: Prices are Open ERP. Prices and calculations do not include Client Access Licenses.

14. Software Assurance “Step ups” If a license has active Software Assurance coverage, it can be “stepped up” from a lower edition to a higher edition by paying the difference in license prices Examples: Software Assurance also provides “new version rights,” such as upgrading from WS2003 to WS2008 Note: Prices are ERP for Open agreements and do not include Software Assurance cost. FromLicense Cost ToLicense CostCost of Step Up Standard $719 Enterprise$2334 $1,615 Standard $719 Datacenter$2381 $1,662 Enterprise $2,334 Datacenter$2381 $47

15. Per Processor (SQL/BizTalk) License by virtual procs for virtual instances License by physical procs for physical instances BizTalk and SQL Enterprise Editions now have unlimited virtualisation rights when all physical procs are licensed 3 SQL Proc licenses 4 BizTalk Proc licenses If SQL and/or BizTalk is an Enterprise Edition, then only 2 licenses would be required

16. Summary Microsoft licensing enables virtualisation Improved flexibility and value in licensing –Create and store multiple instances; License running instances Easier deployment of VMs across servers –Decouple license from specific virtual instance; dynamically deploy instance to any server/blade with available license Windows Server Datacenter Edition simplifies licensing

17. How are we helping you? In the last 6 months: Windows Server Virtualisation: –Tech Ed labs –Partner Business Briefings, for BDM’s and Pre Sales Technical (approx 200 attendees) SoftGrid training –We are delivering 15 – 3 day W’shops across the country (partner and customer play, approx trained 12-15 attendees per session) System Center (including System Center Virtual Manager) Happening now: MDOP Training across all cities (include BDD< SoftGrid and System Center Virtual Manager) Partner Business Briefings EPG Partner customised briefings Windows Server First Look labs on Virtualisation (planned release in Feb/March) – delivered through the CPLS channel Ongoing licensing training

18. Resources Virtualisation Website –http://www.microsoft.com/virtualization/default.mspxhttp://www.microsoft.com/virtualization/default.mspx –Virtualisation from the Datacenter to the Desktop Whitepaper Licensing Windows Server for Virtualisation Technologies Whitepaper –http://download.microsoft.com/download/4/9/4/4947 8f3f-f08c-4787-8ad1- e49ca9e4ae93/Windows_Server_2003_R2.docxhttp://download.microsoft.com/download/4/9/4/4947 8f3f-f08c-4787-8ad1- e49ca9e4ae93/Windows_Server_2003_R2.docx Windows Server virtualization calculator: http://www.microsoft.com/windowsserver2003/howtobu y/licensing/calculator.mspx