&
Aramco Cloud Computing Forum
Behind the Cloud:Creating an Enabling Architecture
forCloud & IT Services
Gerd Simon – Sr. Buz Dev, Equinix
November 27-28, 2010
Enabling you to keep pace with the rapid expansion of the digital marketplace
Introduction Equinix
The widest network-neutral footprint35 strategic global markets
The strongest balance sheet in our industry$1 billion plus in annualized revenues$700 million plus cash on hand$2.9 billion investment in capacity 2007-2010
The most dynamic ecosystem in the industry3,700 global customers>80% of new business from existing customers
2STRICTLY CONFIDENTIALIntroduction
Data CentersAmple room for growth in reliable, well connected sites
EcosystemsCollaborate to accelerate growth
Global ReachReach your customers around the world
Platform for Growth
Platform Equinix℠
3
6M square feet600+ carriers
35 markets11 countries
3,700 businessesstrategic ecosystems
STRICTLY CONFIDENTIALIntroduction
Reach Customers Around the World
4
Expanding addressable market; ensuring consistent performance for global customers
Market Challenge
Asia 5 metros250+ available networks
Americas 22 metros 450+ available networks
Europe 8 Metros 175+ available networks
Equinix Advantage
Red = current Equinix markets
STRICTLY CONFIDENTIALIntroduction
Introduction MENA
Planning a MENA Focused Data Center Network “Qala” – KSA is key!
Unique Union of Expertise
Global Perspective
Best-in-Class, Globally and Regionally• built and managed over 120 data centers around the world representing over
700,000 sqm of gross space.• served over 4000 enterprises, ranging from the Global 2000 to SMEs.• connected over 600 networks forming the fabric of the worldwide internet.• managed the largest
and most active
peering points
in the US, Europe
and Asia.
5STRICTLY CONFIDENTIALIntroduction
Sapience Capital Partners
Excellent Track Record in Internet Infrastructure.
Data Center Initiative Managed by Successful Investment
and Operational Executives.
Recreating Proven Model(Interxion: top-3 pan-European DC provider)
Access to key ingredients for success: • people • capital • customers
In MENA for 3 years.
6STRICTLY CONFIDENTIALIntroduction
Our Ambition
7
Extend Reach
Of Platform Equinix to the MENA Region
And open up the advantages and opportunities of Platform Equinix to customers and partners in the MENA region
Focussed on MENA as separate market
And on ME as hub between Europe, Africa and Asia.
STRICTLY CONFIDENTIALIntroduction
“Cloud”Characteristics & Dynamics
STRICTLY CONFIDENTIAL
Cloud Segment Adoption Curves
Enterprise Readiness, Service Type, and Delivery Requirements Influence Cloud AdoptionA
do
pti
on
High
Low
IaaS
PaaS
SaaS
20112008 2014
Productivity Apps
Rapid App Dev
Websites, Intranet
Collaboration
Non-Core Apps
Core Apps – CRM, ERP
More Core Apps
Low-End Servers
Storage & Backup
Dev & Test
Partner Clouds
High Performance Computing
Engineering Apps
New Apps
Virtual Desktop
New AppsSource: Deloitte
Our Services are Centered in a Highly Dynamic Market
Cloud 10STRICTLY CONFIDENTIAL
Key Challenges
Readily Scale Services into New Markets
These Attributes Help Frame our Value Proposition
Deliver the Same Reliability as Traditional Infrastructure Models
Deliver Lower Costs - CapEx and TCO
Provide an End-User Experience Comparable to Traditional Service Models
Cloud 11STRICTLY CONFIDENTIAL
Economic and Operational Advantages
Increase Flexibility, Agility, and Performance
Our ambition is to Enable the Advantages of Cloud
Reduce the Amount of IT Capital Spending
Reallocation of Resources
PLATFORM EQUINIX
OUR MARKETPLACE
OUR COST MANAGEMENT VALUE
Cloud 12STRICTLY CONFIDENTIAL
Solving The Key Challenges
Reliability & Security - Industry leading data centers providing 99.999% availability and advanced physical security & access controls.
Cost – Shift capital expenditures to operating expenses. Optimized architectures & deployment strategies driving lower TCO.
Scalability & Go-to-Market – 92 data centers in 35 global metro markets. On demand capability to monetize new & existing markets.
End-user Experience – LATENCY MATTERS. Optimized architectures minimize variability to Cloud services.
EQUIN
IX
BIGOPPORTUNITY
Cloud 13STRICTLY CONFIDENTIAL
LatencyThe Challenge of Delivering Services over a Distance
The Direct Impact of Latency is:
When End-User’s are Impacted by Latency,
Service Provider Business Models are at Significant Risk
• Loss of End-User Productivity
• Loss of Customer Satisfaction
• Loss of Customer Traffic
• Loss of Sales Volume/Transactions
• Loss of Revenue
• Negative Brand Image
Cloud 15STRICTLY CONFIDENTIAL
LATENCY SENSITIVITY
BU
SIN
ES
S C
RIT
ICA
LIT
Y
>100ms> 2000km
< 100ms <2000km
< 50ms< 500km
< 5ms< 50km
Procurement
Main Frame
DocumentManagement
EmailCollaboration
Voice
Video
HR-FinanceCRM-ERP-BI
Virtual Desktop
Trading Desk
Application Framework
Analytics Web/Http Collaboration
Transactional Apps
Archive/DR Apps
Imaging Apps
16Cloud STRICTLY CONFIDENTIAL
Defining the Service Radius
Key Elements that Determine the Service Radius Include:
• Network Time (spatial/distance, routes/transport service)
• Processing Time (inbound/outbound traffic processing, hardware & software)
• End-user tolerances
Cloud 17STRICTLY CONFIDENTIAL
As Cloud Adoption Continues to Ramp Up, Cloud Connectivity will be Key
Just as in Wide Area Networking……the “Last Mile” is Critical
MSFT Acknowledged that Delivering Cloud Services to End-Users is a Significant Issue and a Challenge for its Customers:
Cloud On-Ramps are the New “Last Mile”
Regarding network access to their Cloud services, Doug Hauger, the GM for Cloud at Microsoft, recently stated the following : “while we are not announcing anything today, we are working with carriers/operators to secure the last mile for you. We already own our fiber in the US (and datacenters) and we lease fiber (long-term contracts) overseas. We know this is a big issue for you and we are working with our partner network to solve it for you.”
Source: Microsoft
Cloud 18STRICTLY CONFIDENTIAL
Optimize the Service Delivery Architecture
Metro Service Access Nodes
Metro ServiceAccess Nodes
Metro ServiceAccess Nodes
Global Backbone
Americas European Asia-Pacific
Need to Solve:
1. Where Services Nodes Need to be Deployed
2. How Service Nodes Connect to End-user/Customer Communities
3. How Service Nodes Interconnect with Each Other and Existing Assets
4. How to Integrate Partners & Supplier Services
Cloud 19STRICTLY CONFIDENTIAL
Key Challenges & Choices• Budget & TCO• Space/Power/Cooling• Networks/Security/Storage• In/Out/Multi-source
Key Issues & Drivers• Applications• Globalization/Scale• Time-to-Market• Ecosystems
Key Advantages of Cloud• Focus on Business Agility & Value - not IT• Functions are Outsourced - Consumption on a Transactional Basis• Move from CapEx to OpEx - Near Zero Maintenance Model• Rapid Deployment of Apps - Create Business Value Faster• Control & Elasticity – Near Zero Lead Time, Start/Stop Simplicity
Enterprises are Employing Cloud as a Business Model
Cloud 20STRICTLY CONFIDENTIAL
QALA & EQUINIXBEHIND THE CLOUD
STRICTLY CONFIDENTIAL
Our Delivery Platform Blueprint
ReliabilityReliability• High availability• High physical security
PerformancePerformance• Flatter networks• Simple architectures• More bandwidth• Lower latency within
the Edge, WAN, and Service Nodes
ScalabilityScalability• “Never go Dark”• On-demand access
to space, power, & cooling
• Extreme network connectivity
• Integrate existing assets (tethering)
OptimizationOptimization• Proximity to customers• Proximity to supplier
services• Integration with partner
services• Ability to create
economies of scale
NeutralityNeutrality• Multi-vendor solutions• Lower operating costs• Fall-back & switching
options• Access to new services• Optimized performance
CommunityCommunity• Business ecosystem
connectivity• Partner, supplier, &
customer exposure• Rapid business value
creation
Behind the Cloud 23STRICTLY CONFIDENTIAL
A global service delivery platform enabling architectural flexibility, deployment optimization, and a high quality End-user experience.
Platform Equinix™
Asia: 5 Metros170+ Available Networks
Americas: 22 Metros400+ Available Networks
Europe:8 Metros 150+ Available Networks
The only provider to offer a global platform spanning 92 Data Centers in 35 strategic metros across 11 countries
24Behind the Cloud STRICTLY CONFIDENTIAL
LatencyClass
Latency Tolerance
Typical Applications/Services
Proximity < 5ms50km radius
Financial applications Primary/transactional storage Real-time medical imagingReal-time analytics
Real-time < 50ms500km radius
Virtual desktopNetwork storageTransactional applicationsPrivate cloudHybrid cloud
Priority < 100ms2000km radius
Enterprise applicationsNetwork backupsPublic cloudCollaborationVoIP
Best Effort 100ms2000km radius
Low-priority Web/HTTPEmailBatch data archivalGrid computing
Latency Guide Drives Architecture
25Behind the Cloud STRICTLY CONFIDENTIAL
Equinix MarketplaceCreate a Marketplace for Services
Security
CompaniesMSPs
IaaSCompanies
DigitalMedia
Web HostingCompanies
EnterpriseCompanies
WWWCompanies
SaaSCompaniesMobility
CompaniesPaaS
Companies
NetworkProviders
CDNs
ADNsSystems
Integrators
FinancialServices
ContentCompanies
Equinix Marketplace Enables Compounded Exposure for Services
EquinixMarketplace
DirectMarketing
Co-MarketingChannels
CUSTOMER
27Behind the Cloud STRICTLY CONFIDENTIAL
Cloud & IT Services Ecosystem500+ Members and Growing
We Provide Low Latency On-Ramps to Leading Cloud & IT Services
Create Business Agility & Value With Ecosystem InterconnectionMSP’s & SI’s
Applications
Systems Infrastructure
Global Service Delivery Platform
Enterprise/End-usersB2B, A2A, & B2CInterconnection
Applications Infrastructure
CUSTOMER
28Behind the Cloud STRICTLY CONFIDENTIAL
Multi-Tiered ValueIntegrate Your Assets using our services
Metro Service
Access Nodes
Metro Service
Access Nodes
Metro Service
Access Nodes
Cloud Backbone
Americas Cloud
European
CloudAsia-Pacific
Cloud
• Service Access Nodes Align Latency Sensitive Applications with Customer Geographies• Improved Customer Experience
• N-Tier Architecture Enables Economies of Scale via Tethers & Service Suites• Aggregation to control costs, supports “green” initiatives, etc.
• Network Choice & Density• Improves Performance and Manages Costs
• 99.999% Uptime and High Physical Security• Meet Business Criticality Requirements
Service Suites
Service Access Nodes
Data CenterTethers to
Existing Assets
* Potential Support for Containers
31Behind the Cloud STRICTLY CONFIDENTIAL
Well Connected Service Environments
Deploy Your Services with Precision
Well Planned Spatial Distribution• Establish service delivery tolerances & metrics for services• Optimize your service radius• Prioritize service scaling & go-to-market needs• Balance Costs vs. End-user experience• Consolidate & virtualize services with common delivery metrics• Position Service Nodes in proper radius of End-users
• Optimize connectivity to End-users• Optimize connectivity between Service Nodes
• IP Transit => Peering/Paid Peering• Single Homed => Multi-homed
• IP-VPN => MPLS => Carrier Ethernet
• Local Loops => Metro Ethernet
• Local Loops => Cross Connects
• Optimize Customer/End-user aggregation
• Optimize Partner Mash-ups & Integration
33Behind the Cloud STRICTLY CONFIDENTIAL
Latency Guide for a Global Enterprise Application- SaaS- Priority Workload (2000km targeted service radius)
Service Radius = 2000 km (100-150 mSec)
Tokyo
Sydney
Hong Kong
Singapore
London
Silicon Valley
Sao Paulo
Buenos Aires
Dallas
Secaucus
KSAUAE
34Backup STRICTLY CONFIDENTIAL
Our Advantages
Reach customers globally
Overcome latency & performance issues with cost effective on-ramps (Service Access Nodes) to Cloud services
Connect directly to key partners with rapid B2B, B2C, & A2A interconnection – “Mash-ups”
Unlock on-demand access to existing and-ever growing ecosystem in Data Center
Reduce latency & cost while improving the end-user experience
Speed time to market
• 92 Data Centers In 35 Key Global Markets
• MENA Wide Roll Out Starting• 595+ Networks, Access To 90%
Percent of the US And EU Population in <10 Ms
• 3600+ Customers Already At Equinix
• Existing And Growing Ecosystem Environments with Rich Interconnection Services
• Compound Exposure to Partners, Suppliers, & Customers Via The Equinix Marketplace
35Behind the Cloud STRICTLY CONFIDENTIAL
Questions ?
Qala & Equinix
Sapience Capital Partners and Equinix Corp.111 W. 24th Street; NY, NY 10011 USA
Simon Lee+1.917.475.6101+1.646.290.6413
[email protected]; www.equinix.com
Thank You
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