Growing your business throughmid-market opportunities

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Agenda

The customer

Your opportunity

Path to success

2

Thecustomer

— Steven J. Vaughan-Nicols , Computerworld

"Slowly but surely, Microsoft’s Hyper-V has been making gains against VMware’s ESX. Gartner projects that in 2012, Hyper-V will account for 27% of the market, up from 11% two years ago. Within that projected 27%, Gartner says Microsoft will take 85% of all small businesses that use virtual servers.

Enterprise customers who believe they can’t go wrong buying Microsoft are going to start asking why they need VMware as they move to Windows 8 Server…”

One platform for all customersEnables small businesses around the world, powers many of the world’s largest data centers, and delivers value to organizations of all sizes

Automated virtualization & management

Virtualization & management

Windows Server 2012

Hybrid environment

VirtualizationFirst server

Automated virtualization & management of private cloud

Microsoft System Center 2012

Small business

Mid-market

Enterprise

First server

Virtualization

Grow your business through SMB opportunities

Up-sell and cross-sell opportunities across Microsoft products and services

Virtualization and upgrade in mid-market

First server in small business

Ongoing revenue streams through managed services

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The target customer

SizeBusinesses with approximately 25-75 total PCs

ServersBusinesses with1-5 total servers

DecisionsPurchase decisions primarily made by a BDM

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Customer business situation

“I want IT to be a catalyst for growing my business. Show me how to translate technology investments into real business value.”

Grow my business

Savemoney

$Simplify IT

“Help us identify ways to reduce costs while getting more from our IT investments.”

“I want to simplify the way we manage and benefit from our IT investments.”

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“I want IT to be a catalyst for growing my business. Show me how to translate technology investments into real business value.”

Grow my business

Savemoney

$Simplify IT

“Help us identify ways to reduce costs while getting more from our IT investments.”

“I want to simplify the way we manage and benefit from our IT investments.”

Do more, with less work,

for less money

Customer business situation

9

Upgrade aging servers

Virtualization

One product: Windows Server

2012

Mapping business to IT

Achieving customer goals

10

Simplify IT Save money Grow my business

Here’s how we map it

Robustvirtualization

Simplified management

Affordablestorage

Betteravailability

Improvedaccess

Increasedproductivity

Cust

omer

goa

lsM

appin

g

busi

ness

to

IT

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Here’s how we map it

Affordablestorage

Betteravailability

ImprovedAccess

Increasedproductivity

Simplify IT Save money Grow my business

Robustvirtualization

Simplified management

Windows Server 2012Features that deliver

Server Manager

Storage Spaces

Expanded Device Support

Rich PowerShell templates

Hyper-V Replica

Simplified DirectAccess

Windows NIC Teaming De-duplication

BranchCache

Storage Live Migration

Network Virtualization

Robust virtualizationSimplified managementAffordable storage Better availabilityImproved accessIncreased Productivity

Simplified VDI Configuration and Management

Here’s how we map it

Affordablestorage

Betteravailability

ImprovedAccess

Increasedproductivity

Simplify IT Save money Grow my business

Robustvirtualization

Simplified management

Windows Server 2012Features that deliver

Server Manager

Storage Spaces

Expanded Device Support

Rich PowerShell templates

Hyper-V Replica

Simplified DirectAccess

Windows NIC Teaming De-duplication

BranchCache

Storage Live Migration

Network Virtualization

Robust virtualizationSimplified managementAffordable storage Better availabilityImproved accessIncreased Productivity

Simplified VDI Configuration and Management

Windows Server® 2012 delivers a complete virtualization platform on which you can develop managed services.

Youropportunity

— Steve Rubin, President WorkITsafe

“Windows Server 2012 has some very cool new features that will resonate with our SMB customer base. 

Windows Server 2012 offers robust modules that, as a partner, will be exciting to sell to our customers. These modules will put them on the latest cutting-edge technology and make running their operations more advanced and stable.

This will bring new revenue streams that we didn’t have before."

Today's situation

UpgradeApproximately 77% of SMBs run Windows Server, with the majority on Windows Server 2003.1

VirtualizationSlightly more than 75% of SMBs expect to be using server virtualization by end of 2012.2

GrowthThe SMB IT segment is growing faster than the Enterprise IT segment – a $500B market growing at 6.5% annually.3

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1 Microsoft Internal Research2 Gartner, Inc., “User Survey Analysis: Next Steps for Server Virtualization in the Midmarket,” October 20103 IDC, Worldwide Small and Medium-Sized Business 2012-2016 Forecast: IT Spending Changes by Size Category and Region for Hardware, Software and Services, doc #233740, March 2012

What's in it for you?

Rapid deployment

Simple infrastructure integration

Simplified management

Managedservices

What you can offer

your customers:

Deliver a single solution

Provide built in management

Simplifydeployment

Improve customer satisfaction

$

Upgrade and virtualization solutions for your mid-market customers that:

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Professional services $14

Other software $2

Business applications $4

Security products$2

Networking products $4

Storage products $8For our partners, every $1 in Microsoft server virtualization software generates an additional$34 in sales of complementary products and services

How partners are making money

Average deal size is ~$5K for

Microsoftserver

virtualization

$170K in solution sales for our VAR and SI partners

$34

$34 in additional products & services

x

Source: Microsoft Internal Research

How can you make money with this opportunity?

UpgradeHelp your customers to harness the power of Windows Server 2012 by upgrading their existing servers so they can grow their business, save money, and simplify IT.

Virtualize and consolidateGuide customers through virtualization and workload consolidation, preparing them to move to the cloud when they are ready.

.

.

AdviseAs a trusted advisor to your new and existing customers, help them assess their needs and map IT to their business objectives.

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Why Microsoft?

It’s the platform you knowVirtualization is built in

Desktop to data centerFull range of products & solutions

Complete managementPhysical and virtual environments

Cost savingsLower upfront & ongoing costs; easier integration with existing systems

Familiar, complete, cost-effective solution

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Microsoft is a leader in x86 server virtualization infrastructure

Gartner, Inc. (www.gartner.com), an independent technology research and advisory company, published a report titled Gartner Magic Quadrant for X86 Server Virtualization Infrastructure* by analyst Tom Bittman on June 11, 2012 and named Microsoft a Leaderin this category.

The report also cited Microsoft’s success in this category among mid-market customers, noting its “strength of solution for midsize enterprises and low price.”

*The Magic Quadrant is copyrighted 2012 by Gartner, Inc. and is reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner's analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the "Leaders" quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

Path tosuccess

Path to success

Learn about product features and capabilitiesthat can help you grow your practice.

Find training opportunities to strengthen your expertise onthe latest technologies.

Generate more sales leads with customizable marketing campaigns, tools, and resources.

Help customers decide faster with exclusive sales tools, and leverage incentives to open new revenue streams.

Utilize Microsoft solutions and support to provide a seamless transition from concept to implementation.

With Windows Server 2012 as the platform, help your customers understand the power of Windows 8 and Office 365.

Plan Enable Create demand

Sell Deploy Up-sell &cross-sell

 Mid-market upgrade and virtualize opportunity: http://aka.ms/pmcServerUpgrade

© 2012 Microsoft Corporation. All rights reserved Microsoft, the Microsoft logo, Windows, Windows Server, and other product names used in this presentation are either registered trademarks or trademarks of Microsoft Corporation in the United States 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.

Windows Server 2012 Foundation

Windows Server 2012 Essentials

Windows Server 2012 Standard

Windows Server 2012 Datacenter

Economical, general-purpose server No virtualization rights

Windows Server 2012 Editions

Cloud-connected, first server No virtualization rights

Low-density or no virtualizationTwo virtual instances

High-density virtualizationUnlimited virtualization

www.microsoft.com/server-cloud

Your opportunities beyond virtualization

Upgrade & Virtualization

Managed Services

Up-Sell & Cross-SellOpportunities

Application Migration Services

Reusable IP