1. Keeping Pace with Storage Trends, Technology and Solutions Phil Bullinger Executive Vice President and General Manager Engenio Storage Group, LSI Corp.

2. 2 LSI Corporation May, 2008 Text messages sent & received every day exceeds the population of the planet 2.7B searches are completed on Google per month By 2010 more than 70% of the digital universe will be created by individuals, not organizations 45GB of data stored for every person on earth In 2007 the amount of information created surpassed the storage capacity available IP traffic expected to double every 2yrs through 2011 1.5 Exabytes of unique new information will be generated worldwide this year; more than the previous 5000 years

3. 3 LSI Corporation May, 2008 Information Worker Statistics Average work week –14.5 hours / week with email –13.3 hours creating documents – 9.6 hours searching for info – 9.5 hours analyzing info Hidden costs of managing information (1000 employee organization) –$5.7 million lost annually in reformatting information among applications –Not finding info costs $5.3 million / year

4. 4 LSI Corporation May, 2008 Information Created, Captured and Replicated 2006 161 Exabytes 2010 988 Exabytes Exabyte = 1 billion gigabytes Source: IDC, 2007, 2008 6x Growth In Four Years

5. 5LSI Corporation May, 2008 Cost to manage, power and cool servers has doubled since 2000 LAN switch ports double from 2001 to 2006 Data is doubling every 18 months Many servers, low utilization

6. 6LSI Corporation May, 2008 Source: IDC Virtualization & Multicore Disrupt Server Market 2007 Server Market Growth Virtual Machines and Physical Servers Virtualization reshaping server best practices Power efficiency a primary purchase criteria Complicates data protection & management Driving demand for networked storage 1.4M VMs7.9M VMs Physical Servers Virtualized Logical Servers

7. 7 LSI Corporation May, 2008 Storage Growth Drivers Data Intense Applications –Email –ERP and CRM Applications –On-line Transaction Processing –Data Warehousing and Business Intelligence –Industry-specific (Life Sciences, Geo Sciences, Digital Entertainment, etc.) Content Management –Business Analytics –“Monetizing” Content with Intelligent Archiving –Secondary Storage is the New Primary Storage Data Security and Retention –Business Continuity and Disaster Recovery –Regulatory Policies Extending Retention Time –Data Security and Compliance IDC Asia/Pacific (Excluding Japan) Disk Storage Systems 2007-2011 Midyear Forecast Update Report

8. 8 LSI Corporation May, 2008 Consumption of Enterprise Disk Capacity by Type CAGR 32.3% 63.7% (Exabytes) 121.1% 43.9% IDC, 2007

9. 9 LSI Corporation May, 2008 Consumption of Enterprise Disk Capacity by Type CAGR 32.3% 63.7% (Exabytes) 121.1% 43.9% IDC, 2007 Content Depots Online & off-premise; separated from enterprise data center Ex: Web 2.0, Capacity hosting and services for users, StaaS Replicated data Both Structured and Unstructured Examples: Copies, Snapshots, DR, CDP, VTL, Archive Unstructured data Commonly files + semi-structured; interaction through file systems. Examples: MSOffice, Apps/exe, Rich Media, Web, XML Structured data Commonly databases w/direct interaction Examples: OLTP, Decision Support, Messaging, etc.

10. 10 LSI Corporation May, 2008 TheInfoPro (TIP) (11/21/07): F1000 Sample. n=151 Storage Professionals’ Top Pain Points

11. 11 LSI Corporation May, 2008 Responding with Storage Technology and Solutions Storage Interface Evolution Tiered Storage Storage Security “Green” Solutions in Storage Storage Virtualization and Optimization Data Protection and Recovery Solutions Storage as a Service (StaaS)

12. 12 LSI Corporation May, 2008 2008 2009 2010 2011 Storage Interface Evolution Disk Drive Interface Host Interface Backend Interface External Drive Technology 4 Gb FC 3.5” (7.2K – 15K RPM) 1 Gb iSCSI 2.5” High RPM (Performance-oriented) 20Gb DDR IB 3Gb SAS 4 Gb FC 3 Gb SATA 3Gb SAS 8 Gb FC 40 Gb QDR IB 3.5” (7.2K only) (Capacity-oriented SSDs 80 Gb EDR IB 6 Gb SATA FCoE 10Gb iSCSI 6Gb SAS

13. 13 LSI Corporation May, 2008 Solid State Storage – Addressing Tiered Storage High I/O Perf SSD Applications: Static and/or “hot” data Green Applications Metadata storage Web applications Cache backing Store indexes Internet Indexing Data Acquisition Data Modeling Data Warehouse The “tiered” storage structure promotes the most important data to devices that provide the best performance & reliability

14. 14 LSI Corporation May, 2008 Storage Security Investment Regulatory and data privacy compliance requirements Internal and External data theft Safe Harbor Laws covering Data Encryption

15. 15 LSI Corporation May, 2008 Targeted Initial Threat Model Threat Model –Stolen Disk Drives –Lost Disk Drives –Repurposed Disk Drives –Defective Disk Drives Target Disclosure Laws –Legislation in 35 States Customers want this capability ASAP Data-At-Rest Protection: Full Disk Encryption (FDE) Controller-based Encryption

16. 16 LSI Corporation May, 2008 Storage System’s Role in a Data-At-Rest Solution Data Flow Key Flow Storage System Management Station Application Servers HDD FC SAN Management Flow Key Server

17. 17 LSI Corporation May, 2008 Why All the Buzz about “Green?” Environmental consciousness –Regulations (WEEE/RoHS, Carbon Footprint / Energy Star) –Impacts on the Environment –Ethics and Social Responsibility But there are economic reasons, too –One study: 63% of data centers are running out of power –Even if they have power, cooling is becoming an issue –“100 KWatt in computing power = $1M in infrastructure cost.” - Stanford Linear Accelerator Center LSI faces this problem in our own data centers: - LSI is reducing data centers from 53 to 36 because of power and cooling - Cost to add power and cooling to Allentown data center: $3M - $5M

18. 18 LSI Corporation May, 2008

19. 19 LSI Corporation May, 2008 Most IT Attention Is on Servers…for Now Typical Data Center Power Usage Source: StorageIO Group

20. 20 LSI Corporation May, 2008 Green Storage Solutions Tiered Storage Thin Provisioning Data De-Duplication / Compression MAID / Drive Spin Down Consolidation and Virtualization Hardware Efficiency Improvements

21. 21 LSI Corporation May, 2008 SAN In the Server In the Network Embedded in Array ProsCons No added hardware Servers configured individually Array vendor agnostic Common Mgt Added hardware No added hardware Simple Single vendor only CAGR 2006-2011 (IDC) Server-Based12.1% Switch-Based21.8% Array-Based18.3% Storage Virtualization Three Implementation Topologies By 2010… 29% of FC Capacity is Virtualized –Driven by asset migration/consolidation 14% of iSCSI Capacity is Virtualized –Driven by extensive virtual server deployment

22. 22 LSI Corporation May, 2008 Aggressive Move to Virtualized Server Infrastructure Changes the dynamic for SAN connectivity –Drives increase in SAN/Network Density –Drives need for advanced network functions Raises administrative challenges for IT mgrs –Reshapes backup and recovery practices –Increases server/storage support workload –Expands disaster recovery options and the need for data replication Drives the need for low-cost / low-admin storage solutions –Server virtualization is the “killer app” for iSCSI –Block-level storage virtualization solutions that deliver automated operations

23. 23 LSI Corporation May, 2008 Data Protection and Recovery

24. 24 LSI Corporation May, 2008 Storage as a Service (StaaS) StaaS Workloads Today On-Line Backup Hosted Archiving Replication/DR Services B-to-B Infrastructure Services Utility Storage Capacity StaaS Workloads Today On-Line Backup Hosted Archiving Replication/DR Services B-to-B Infrastructure Services Utility Storage Capacity Drivers Explosive Data Growth Widespread Broadband Access Regulatory Compliance Pressures Datacenter Provisioning and Costs Remote Site Disaster Recovery Plans Stranded Servers / Branch Office Backup Greater Acceptance of Hosted Services Drivers Explosive Data Growth Widespread Broadband Access Regulatory Compliance Pressures Datacenter Provisioning and Costs Remote Site Disaster Recovery Plans Stranded Servers / Branch Office Backup Greater Acceptance of Hosted Services

25. 25 LSI Corporation May, 2008

26. 26 LSI Corporation May, 2008 Responding with Storage Technology and Solutions Storage Interface Evolution Tiered Storage Storage Security “Green” Solutions in Storage Storage Virtualization and Optimization Data Protection and Recovery Solutions Storage as a Service (StaaS)

27. 27 LSI Confidential