2015: the year hybrid cloud goes mainstream
TRANSCRIPT
2015 – The Year Hybrid Cloud goes Mainstream
Hyder Ali
Director, Sales Strategy, Server and Azure
Microsoft Corp.
• What does WS03 EOS mean for me and my customer?
• Where and How do I migrate?
• Why should I care about Azure?
• What about my profitability in the cloud?
2
Topics for today
3
End of Service for Windows Server 2003/R2
4/6/2015
106 Days Remaining
4
End of Service for Windows Server 2003/R2
4/6/2015
106 Days Remaining
Windows Server 2003: A snapshot of the environs.:
Released in April 2003 - a few things to consider…
• 32-bit processors were the standard (x86 servers); x64
processors were just coming to market.
• Server processors were single core and started at 133
Megahertz. (Compare that with your phone and
tablet…)
• Power Management on servers was nearly non-
existent.
• .Net 1.0 was released (we’ve come a long way since
then…)
• Hard drives were measured in megabytes.
• Solid State Disks (SSDs) didn’t exist.
• Virtualization was a science project being used in test
labs. There was no hardware support for virtualization.
• Clouds were described as cumulus, stratus, cirrus and
nimbus, not public, private and hybrid.
Engage with customers and start planning their migration and modernizing their datacenter today
Discontinued support for many applications
Nowis the time to act
Increased cyber-security risks
Impact on Microsoft Small Business Server 2003
Impact on both physical and virtualized servers
Nosafe haven
Nosafe haven
Windows 2003/R2 servers will not pass a compliance audit
Nocompliance
Nocompliance
37 critical updates released in 2013 for Windows Server 2003/R2 – extended support ends July 14, 2015
Noupdates
Noupdates
What end-of-support means
5
6
Migration Challenge
Microsoft support for Windows Server 2003 and 2003 R2 ends July 14, 2015
• Server migration: 100+ days
• Application migration: 150+ days
Microsoft Partner Confidential
Partner opportunity
Majority of Apps Transitioning to Cloud
0%
50%
100%
150%
200%
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Majority of apps in the cloud by 2016-2017
Migratedto SaaS
Lift & Shiftto Cloud
On Premises
% o
f 2010
Ap
p P
ort
folio
Microsoft Partner Confidential
6M
PHYSICAL INSTANCES | Share of Windows Server 2003
VIRTUAL INSTANCES | Share of Windows Server 2003
1
July 14, 2015 | Windows Server 2003 EOS
Total estimated Windows Server 2003
instances running Europe
It is estimated that 35% of all Windows Server instances in small & medium
businesses are still running Windows Server 20032 (<500 seats)
10
23.8M
Windows Server 2012 R2
SQL Server 2014
Office 365
Microsoft Azure
Estimated Windows Server
2003 instances running
worldwide
Windows Server 2003 represents a major opportunity in software, cloud, hardware, migration & development services
76% of the opportunity represented in 4 workloads
Key Workloads | Windows Server 2003/R2 EOS
TARGETS
7.6M
3.8M 3.6M 3.6M
2.1M
2.1M
1.4M
Line-of-Business (LOB)
Apps
Database Email &
CollaborationFile &
Web
Other
Infra/Ntwk
Source: Microsoft Research July 2014, estimate only that may be revised at any time based on new data
Windows Server
2012 R2Microsoft
Azure
Cloud OS Network
Evaluate options for each application and workload
Hybrid Cloud Scenarios
On Prem
Host
Partner-Hosted Cloud
Azure in Open
Data location and redundancy
Note: Microsoft Azure data centers, Australia – Q2 FY15
AZURE:
• Creates three copies of data in each datacenter
• Offers geo-replication in a datacenter 400+
miles away
• Does not transfer Customer Data outside of a
geo (ex: from US to Europe or from Asia to US)
15Microsoft Partner Confidential
CUSTOMER:
• Chooses where data resides
• Configures data replication options
SQL, SharePoint, BizTalk Images
Distributed Cache
Queue Geo ReplicationRead-Only Secondary Storage
Delete Disks
Large Memory SKU
Tag Expressions
Per Minute Billing
Stop without Billing
MSDN Dev/Test Integration
Offline Operations
VIP ACLs
Site to Site Virtual Network
New VM Gallery
Point to Site Software VPN
Android SupportHTML 5/CORS
Windows Phone Support
Custom Mobile API
iOS Notification Support
Git Source Control Windows 8 Notification Support
Mercurial Deployment
Log Streaming
IP and SNI SSL
IP/DDOS Protection
http Logs to Storage
WebSockets
New Relic
Remote Debug
VOD Streaming + Encoding
AD Management Portal AD Directory Sync
Manage Azure in AD
B2B/EDI and EAI Adapters
AutoScale/Monitoring
Windows Server Backup
Hyper-V Disaster Recovery Support
http Logs to Storage
Import/Export Hard Drives
CORS/JSON Storage Support
Storage Analytics
Message Pump Programming Model
AMQP Support
Partitioned Queues/Topics
Cloud Services SDK 2.0
Dynamic Remote Desktop
Dynamic Remote Desktop
Last 12
Xamarin integration
HDInsight
AutoScaleIaaS
Multi-Factor Auth
Active Directory
BizTalk Services
Traffic Manager
PowerBI
Web Sites
Notification HubsMobile Services
Media Services
Scheduler
VS Online
Hyper-V Recovery
months
Grow your
business helping
customers move
their websites to
the cloud
Host
Websites
4 key Azure scenarios for small & midsize customers
Quickly deploy
and manage
customer
applications in
the cloud
Deployment
in VMs
SharePoint SQL Server
Databases
Orders
Product
AP
Business
Applications
CRM Acct
HR
Virtual
Machines
17
Provide easy,
scalable
data backup
services in the
cloud
Offer peace
of mind with
ongoing cloud-
based DR
services
Data
Backup
Disaster
Recovery
18
Storage, backup, and disaster recovery: a comparison
Protect your data and
get your systems back
online quickly
• Keep a replica of the entire
server infrastructure—
updated in near real-time
• Get applications
and services
back up and
running in
minutes
Get fast, simple backup
and an easy way to
restore lost files
• Backup files to a
secondary location
• Quickly restore files
when accidentally
deleted or lost
• Retain files and
data for legal
requirements
Disaster RecoveryBackup
Get easy, economical
storage that can scale
as needed
• Scale up or down easily
to meet changing needs
• Access your data
from anywhere
• Use with a choice of
operating systems
Storage
You have an insurance policy for your
business. What’s your insurance
policy for your data and IT systems?
Building and hosting a
disaster recovery solution was
too expensive for most small
and midsize businesses, until
now…
19
40% of businesses hit by a disaster never reopen1
1 Federal Emergency Management Agency, fema.gov
Microsoft Partner Confidential
20
Other Azure Scenarios
• Single sign-on across
multiple SaaS applications
• Self Service Password Reset
& Group management
• Security audit reports &
Multi Factor Authentication
Remote AppIdentity & Access
Management
• Deliver and manage apps
across a broad range of
devices
• Enforce security policies
such as passcode reset,
device lock
• Selective wipe
Mobile Device
Management
• Run Windows everywhere
• Scale quickly to meet
changing business needs
• Safeguard sensitive
corporate applications
Azure purchasing options
Pay As You Go
Zero upfront cost, cancel
anytime.
No long-term
commitment.
Purchase with credit card.
Longer-term
Offers discounts to
customers as part of a
deeper and longer-term
commitment to the
platform.
Ability to consolidate
spending at the enrollment
level.
Purchase through License
Service Providers (LSP’s).
Direct on azure.microsoft.com Enterprise
Agreement
Flexible
Flexibility with Volume
Licensing through a
familiar vehicle for SMBs.
Opportunity for partners to
earn margins, incentives.
Purchase through
Distributors.
Open Licensing Programs
Azure in Open Licensing
22
One Monetary Commitment SKU, available in unlimited
quantities
Customers can purchase additional credit for Azure
services at any time
Can be used against any Azure service* within 12 months
from the date of activation
Available in countries with Open Volume Licensing
program partners and that offer Azure Direct
Azure services available in Open Licensing
• Azure Marketplace Purchases
• Azure Support Plans
• StorSimple
Available as a per user Open
SKU, purchased separately
from Azure in Open
Consumption SKU:
• Azure AD Premium & Basic
• Azure RMS
• Enterprise Mobility Suite (EMS)
Websites Shared
Standard
Virtual Machines
Windows
Linux
SQL Server
Biz Talk Server
Oracle (See Note Below) Java (SE)
Weblogic Server (SE)
Weblogic Server (EE)
Oracle DataBase (SE)
Oracle DataBase (EE)
IP AddressReserved IP Address
IP address remaps
BizTalk Services
Developer
Basic
Standard
Premium
Mobile ServicesBasic
Standard
API Management
Managed Cache Service
Basic
Standard
Premium
Azure Remote AppBasic
Standard
Azure Redis CacheBasic
Standard
Content Delivery Network
Storage
Locally Redundant
Zone Redundant
Geo Redundant
Read-Access Geo
Redundant
SchedulerStandard
Premium
Automation Basic
Operational InsightsStandard
Premium
Import/Export
Bandwidth
Backup
Azure Site Recovery
E2E
E2A
InMage
SQL DataBase
Basic
Standard
Premium
Document DB Standard
Azure Search Business
HDInsights
Machine LearningML Studio
ML API Service
Visual Studio Online Basic
Professional
Advanced
Build (mins)
Load Testing (virtual user minutes)
Active Directory Free
Basic
Premium
Stream Analytics
Data Factory
Event Hubs Basic
Standard
Traffic Manager
Service Bus
Notification Hubs
Basic
Standard
Media Services
Virtual Network
Express Route
Exchange Providers
Network Service Providers
Multi factor Authentication
Per User
Per Authentication
Azure Support Plans
Linux Supported Virtual
Machines
StorSimple
Azure Marketplace Purchases
For more details on licensing Oracle Virtual Machines see the link here. Information current as March 2015
23
Not currently available with
the Azure in Open
Consumption SKU:
Purchase interest
Anatomy of a sale
New server with
500GB HDD
Microsoft Azure
Back-up
100GB of data to be
backed up
$10/mo
Microsoft Azure
Backup
1Protected Instance
Microsoft Azure Back-up
(For illustration purposes ONLY)
$12 estimated monthly
burn rate
$144 ($12 x 12)
estimated yearly burn rate
Microsoft
Azure Back-up
Microsoft
Azure VMs
Example:
24
$0.02/GB
~$2/MoLocally
Redundant
Storage 100 GB
$0.25/GB
~$12/MoOutbound
Network
Bandwidth,150GB
Purchase interest
Anatomy of a sale
Microsoft Azure
Medium VM
Microsoft Azure
Blob Storage – 1TB
Example:
$0.18/Hour
~$134/MonthMedium VM (2*1.6GHz CPU + 3.5GB RAM)
$0.02/GB
~$20.5/MoLocally
Redundant
Storage 1TB
Microsoft Azure VMs
(For illustration purposes ONLY)
$167 estimated
monthly total burn rate
$2004 ($167*12)
estimated yearly burn
rate
~$134.00 ($0.18 x 24 hrs
per day x 31 days)
~$20.5 ($0.02/GB x 1024
GB storage)
Microsoft
Azure Back-up
Microsoft
Azure VMs
25
~$12 ($0.25/GB x 150GB
outbound bandwidth)
Application or set of applications
that adds primary and significant
functionality to the Microsoft
Azure Services and that is not
primarily a substitute for the
Microsoft Azure Services
The MSP has the sole ability to
access, configure, and administer
the Microsoft Azure Services,
The MSP has administrative access
to the virtual machines
The end-customer has
administrative access only to its
applications or virtual machines
Hot topic: managed services
OrAzure is subject to
Online Service
Terms across EA,
Direct & Open
Requirements
Customer Solution Managed Services
Can an ISV or MSP buy Azure in Open in their own name and deliver a SaaS Application or a
Managed Service to end customers?
27View the full Online Service terms here: http://www.microsoft.com/licensing/products/products.aspx.
Server Migration & Sample Tools
DiscoverCatalog your
software,
usages and
workloads
AssessCategorize
applications
and workloads
TargetIdentify your
destination(s)
MigrateMake the
move
1 2 3 4
MVMCMicrosoft Assessment Planning Toolkit (MAPS)
Refresh IT Diagnostic Server AppZero
Solution Accelerators
Azure Solutions Accelerators
Enable identity integration with Azure to facilitate seamless sign-on with On-prem and SaaS applications
Hybrid Cloud Identity Management
Extending Datacenters to the Cloud
Publicinternet
Browser
Microsoft Azure AD
Cloud
SaaSAzure
Office 365Publiccloud
Integrated On-prem and Cloud sign on
Publicinternet
Azure Desktop Hosting
Publicinternet
Business Continuity
Microsoft Azure
Microsoft Partner Confidential
Business Continuity & Disaster Recovery
Profitability
0
2
4
6
8
0
2
4
6
8
Project services Managed services IP services
0
2
4
6
8
The Revenue Streams
The Anatomy of a Deal
“What do you mean
Windows Server 2003 end
of life is coming???” –
“We’ve got to upgrade to
protect our LOB app!”
Our Assumptions:
Is moving from an on-prem Windows Server 2003 environment
Moving a 3-tier LOB app and will require 3 VMs + Domain Controller
Firewall, and other core operational elements already in place
For on-prem scenario, assumes back up strategy is in place
Channel
Incentives*
Project
Services
Managed
Services
Approx. 12% Front
End Margin +
Special Channel
Incentive of 20%
for a total of 32%
Time and materials
services to deploy
the LOB app in the
Azure environment
The monthly rate
charged per server
to maintain and
support the LOB
app
*dependent on partner type and geography
Item Price Margin Net Rev
Typical Server Config. $9,805 7%* $686.35
2X Intel Xeon E5 processors (6 Cores)
16 GB Memory
RAID Controller
HDD (2.8TB)/Usable HDD (RAID 1.4TB)
2X Network Cards
24/7 Support (1 year)
2X Windows Server 2012R2
Standard (2Proc, 2 VMs)
$1,760 12% (Margin)
+ .75% (CI)
$224.40
Total $11,565 $910.75
Channel IncentivesVirtualized Physical Server 4VMs 4 Azure Virtual Machines – Windows Server
Item Price/yr(VMs
running
12hr/day)
Margin Net Rev Price/yr(VMs
running
24hr/day)
4X Azure Virtual Machine
(Estimated Consumption)
$4,483.68 $7697.76
Medium Virtual Machine
($0.18/hr)
$3,214.08 $6428.16
2X 1.6GHz CPU 3.5GB RAM
Locally Redundant Storage -
1.4TB ($0.024/GB/mo)
$403.20 $403.20
Bandwidth (Outbound – 400GB
$0.1805/GB/mo)
$866.40 $866.40
Total ($ in Azure key required
to fulfill consumption)
$4,500 12% (Margin)
+ 20% (CI)$1,440* $7,700
Year 1 Topline
Revenue Variance
Topline Revenue
Crossover Point
Four Year Topline
Revenue Variance
Four Year Net
Revenue Variance
-61% 2.5years
27% 353%
*Year 2-4 Channel Incentives based on a combined rate of 20% (12% front end + 8% CI)*Hardware margins range from 3-20% depending on vendor and
partner programs
Anything to Ask
Determine if your customer has WS03 servers
Assess what is running on the server
Build a Migration plan
Acquire technical skills
Create a business case for your customer
Complete your migration
35
Next Steps
Microsoft Partner Confidential
Migrating to Azure: Top Resources
Microsoft Assessment and Planning Toolkit
Link to MAPs Toolkit - HereMicrosoft Partner Confidential
MAP toolkit can use several different methods for discovering devices:
Active Directory Domain Services
Windows networking protocols
System Center Configuration Manager
IP address range(s)
Manual enter of computer names and credentials
Computer name import file
Microsoft Partner Confidential
Inventory Scenario Collector Technology Used
Windows Computers WMI
Linux/UNIX Computers SSH
VMware Computers VMware
Active Devices WMI, Active Directory
Exchange Server WMI, Active Directory
Forefront Endpoint Protection Server
WMI, PowerShell
SQL Server WMI, SQL Server Authentication (Native), SQL Windows Authentication
Windows Azure™ Platform Migration
WMI, SQL Server Authentication (Native), SQL Windows Authentication
MySQL, Oracle and Sybase WMI, SSH, Oracle
Microsoft Partner Confidential
Link to MAP toolkit - Here Microsoft Partner Confidential
Link to MAP toolkit - Here Microsoft Partner Confidential
Microsoft Virtual Machine ConverterP2V and V2V
MVMC 3.0
Standalone tool to convert and migrate either physical servers or VMware-based virtual machines & disks to Hyper-V and Microsoft Azure.
Benefits
• Deployed with minimal dependencies.
• Native support for Windows PowerShell for powerful automation capabilities
• Wizard-driven GUI for ease of use.
• Simple to download, install and use.
• Fully supported by Microsoft.
• Supports the conversion of the latest Guest OS’s, along with conversion from the latest vSphere hosts, to Hyper-V hosts.
MVMCPhysical Conversion: Supported Source & Destination Hosts
Physical OS
WS2008 / R2WS2012 / R2Windows VistaWindows 7 / 8
Microsoft Hosts(with Hyper-V enabled)
WS2008 R2 SP1 (VHD)WS2012 (VHD)WS2012 R2 (VHD)
MVMCVirtual Machine Conversion: Supported Source & Destination Hosts
VMware Source
vCenter 4.1vCenter 5.1vCenter 5.5ESX/ESXi 4.1ESXi 5.1ESXi 5.5
Microsoft Hosts(with Hyper-V enabled)
WS2008 R2 SP1 (VHD)WS2012 (VHD/VHDX)WS2012 R2 (VHD/VHDX)
Microsoft Azure
Microsoft AzureVHD Only
Migration Accelerator
Heterogeneous
Supports VMware, AWS, Hyper-V and physical servers.
One solution to orchestrate Azure cloud adoption throughout your environment.
Fast, pain-free migrations
From discovery & network reconfiguration through to Azure VM provisioning, the Migration Accelerator handles it all
Application consistency
Simplify multi-tier application migrations to Azure, with the ability to detect and stage most applications.
Automatically orchestrates the startup order of applications in Azure
Move physical, VMware, AWS and Hyper-V virtual machines to Azure
PREVIEW
Migration AcceleratorMove physical, VMware, AWS and Hyper-V virtual machines to Azure
PREVIEW
Which tool, after your MAP assessment?Migration to Hyper-V or Microsoft Azure?
Migration to…
Hyper-V Azure
MVMC 3.0
5nine V2V Easy ConverterXtreme VM Migrator
NetIQ PlateSpin MigrateVision Solutions Double-Take Move
NetApp Project Shift
Migration Accelerator
MVMC 3.0Vision Solutions Double-Take Move
Options for migrating roles and applications from Windows Sever 2003
Microsoft Offerings
• Windows Server Migration Tools
• Microsoft Migration Accelerator (MMA)
Partner Offerings
• AppZero (AppZero)
• Asset Manager Discovery Edition (Dell)
• ChangeAuditor (Dell)
• ChangeBASE (Dell)
• Enterprise Reporter (Dell)
• Migration Services (Sogeti)
• Windows Server 2003 End of Support Services (Avanade)
• ShareFile, XenDesktop (Citrix)
• UserActivation (BitTitan)
• Windows 2012 Migration Service (HP)
Special OEM Hardware Offers
• Dell trade-up program
• HP 90 day payment deferral
• Lenovo incentives Microsoft Partner Confidential
www.microsoft.com/learning
http://developer.microsoft.com http://microsoft.com/technet
http://channel9.msdn.com/Events/TechEd
Microsoft Azure recommended training
• Azure Partner Learning Path (on-demand)
• Grow your SMB cloud practice with Azure
• How to buy & make money with Azure
• Get Internal Use Rights (Got IUR)
• How to assign as Partner of Record (POR)
• Azure Calculator – Video, Calculator
• Azure 5 Minute Quick Start Videos
• Azure Essential Web Series (on-demand)
• Azure Partner Learning Path (on-demand)
• Azure & Hybrid Cloud (live virtual)
• Azure Scenarios tutorials & guides
− Virtual Networks
− Virtual Machines
− Web sites
− Back Up
• Azure Solution Accelerators
− Hybrid Cloud with Azure
− Identity Management with Azure
• New Azure Disaster Recovery Solution
Cloud Platform: For partners who specialize in delivering infrastructure and SaaS solutions on Microsoft Azure
Microsoft Partner Confidential
Ingram Cloud University Bootcamps
