the inaugural evoltuion webcast

Confidential – © 2016 Equinix Inc. Equinix.com 1

EVOLUTION Inaugural Webcast

26 April 2016

EVOLUTION EVENT SERIES 2016

The Interconnected Enterprise Is Igniting An EVOLUTION


2016 EVOLUTION :: Inaugural Webcast Agenda

Introduction—EVOLUTION Moderator: Eric Pan, Sr. Director of Marketing, Equinix

Poll: IT Dependency for Innovation & Cloud Implementation?

Cloud 2.0—Customers First Michelle Bailey, VP of Digital Infrastructure & Datacenter Initiatives, 451 Research

Poll: What type of application workloads are you deploying in Cloud Models?

The Interconnected Enterprise Tony Bishop, VP of Global Enterprise Vertical Strategy & Marketing, Equinix

Q&A


EVOLUTION :: City Events New York

•  Thursday, June 2nd, 2016 •  The Four Seasons Hotel New York •  Speakers

•  Equinix Executive •  Sara Talbot, NetApp, Cloud Business Development •  Stephen Coty, Alert Logic, Chief Security Evangelist

Chicago •  Tuesday, May 24th, 2016 •  The Peninsula Chicago •  Speakers

•  Equinix Executive •  Sara Talbot, NetApp, Cloud Business Development •  Paul Fletcher, Alert Logic, Cyber Security Evangelist

www.equinix.com/EVOLUTION Contact Us: [email protected] Follow us on Social Media Twitter: twitter.com/equinix Facebook: facebook.com/Equinix/ LinkedIn: linkedin.com/company/equinix


Computing Era Businesses reap greater productivity advantages through computing power, inspiring proprietary computing platforms

Network Era Companies gain advantage through information exchange, leveraging interoperable platforms for data transmission

Connected Era Companies benefit from anytime/anywhere information access and business productivity

Interconnected Era Enterprises forge advantage by collaborating in communities with other enterprises via secure, reliable and instant connections among many participants

Leading the Evolution to the Interconnected Era


EVOLUTION INTERCONNECTION

The Customer Journey to The Cloud

Addressing Challenges for Today’s IT Needs and

Requirements

EVOLUTION :: The Customer Journey to The Cloud








Q&A


Speaker / Presenters Michelle Bailey Michelle is Vice President, Digital Infrastructure and Datacenter Initiatives at 451 Research. Ms. Bailey has led the industry in quantifying the impact of emerging and disruptive technologies for datacenter and IT professionals. She was ahead of the market in articulating the short-and long-term impacts of server virtualization, cloud computing and service-provider infrastructure while recommending credible strategies to IT organizations on future-proofing the datacenter.

Tony Bishop Tony Bishop is VP of Global Enterprise Vertical Strategy & Marketing. Mr. Bishop specializes in developing strategies for enterprises to understand and gain competitive advantage from the major trends transforming IT infrastructure strategy. Prior to Equinix, Mr. Bishop has held Chief Strategy Officer position at 451 Research and served at MorganStanley as Managing Director, Global Head of Enterprise Data Center Operations & Strategy. Additionally, he is author of publication, Next Generation Datacenters - Driving Extreme Efficiency & Effective Cost Savings and recipient of Network World's "Enterprise All-Star Award"


Cloud 2.0 Customers First

•  Michelle Bailey •  SVP Datacenter Initiatives and Data Strategy, 451 Research


Cloud 2.0: Innovate without Risk •  Q. Allocate 100 points among the following five goals

as they relate to your company or organization

31 30 22

25 21 20

22 21

23

11 14 17

12 15 17

2013 n=1540

2014 n=2041

2015 n=1736

Lower risk

Speed time to market

Improve product or service quality

Lower costs

Increase revenue

COMMISSIONED BY MICROSOFT


From Hosting to Managed Cloud •  Q. Approximately what percent of your HOSTING & CLOUD

SERVICES budget in 2015 is allocated to the following services? n=1600

Infrastructure Hosting

31%

Managed Services

21%

Application Hosting

27%

Security Services

21% Almost 70% of cloud spending is now beyond Infrastructure services Hosting is truly full-service Security is a core differentiator; expect to pay for it



Cloud 2.0: Full Service Capabilities

Application Hosting Managed Services Security Services



Cloud Adoption for the Masses

2% 7% 12% 29%

50% 6%

16% 20%

35%

23%

11% 23%

24% 30%

13% 11% 21% 21% 32% 16%

Test/ Dev Discovery Trials Initial Impl. Broad Impl.

Laggards

Late Majority

Early Majority

Early Adopters

Cloud Computing Spectrum n=718

Source: 451 Research Voice of the Enterprise, Cloud Computing, Q4 2014

7.2%

17.1%

20.3%

33.3%

22.0%

0%

5%

10%

15%

20%

25%

30%

35%

Perc

ent o

f Sam

ple

Dis

cove

ry

Test

/ D

ev

Tria

ls

Initi

al Im

plem

enta

tion

Bro

ad Im

plem

enta

tion

Overall IT Adoption Profile n=596



Cloud 2.0 Customers Demand Business Ready



Best Execution Venue: Workloads Do Differ by Cloud Environment

Source: 451 Research Voice of the Enterprise, Cloud Computing, Q2 2015, n=765

24% 24% 15% 16%

23% 22%

14% 15% 18% 16%

13% 9%

8% 7% 10%

5% 10%

5%

13% 16% 15% 21%

14% 38%

34% 30% 30% 30% 23%

16%

6% 7% 12% 11% 17% 10%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

On-‐Premises, Non-‐Cloud

On-‐premises Private Cloud

Off-‐Premises, Non-‐Cloud

Hosted Private Cloud

IaaS SaaS

Axis Title

Web and Media

Infrastructure Workloads

Email and CollaborLve

ApplicaLon Development

Data and AnalyLcs

Business ApplicaLons



Cloud 2.0: Multi-Cloud & Hybrid Deployments

Source: 451 Research Voice of the Enterprise, Cloud Computing, Q2 2015

31.3%

28.8%

22.6%

17.4%

We will focus primarily on a single cloud environment, not multiple clouds

We will have multiple cloud environments, but there will be little to no interoperability between the cloud environments

We will have multiple cloud environments to migrate workloads or data between different cloud environments

We will have multiple cloud environments where the delivery of a single business function across the different cloud

environments is seamless

Percent of Sample

Q. Which of the following best describes how your organization will use different on-premises and off-premises cloud environments over the next two years?

Hybrid

Multi-Cloud

Single Cloud

Multi-Cloud +

Almost 70% of customers anticipate a multi-cloud or hybrid-cloud model over two years

n=939



Public Cloud Defectors

Transitioning Enterprises

Born on the Cloud

Cloud 2.0: Three Major Customer Segments with Different Requirements

E A R L Y A D O P T E R S M A I N S T R E A M B U Y E R S



Partnerships Matter

Key Takeaways of Cloud 2.0









Q&A


Michelle Bailey Michelle is Vice President, Digital Infrastructure and Datacenter Initiatives at 451 Research. Ms. Bailey has led the industry in quantifying the impact of emerging and disruptive technologies for datacenter and IT professionals. She was ahead of the market in articulating the short-and long-term impacts of server virtualization, cloud computing and service-provider infrastructure while recommending credible strategies to IT organizations on future-proofing the datacenter.

Tony Bishop Tony Bishop is VP of Global Enterprise Vertical Strategy & Marketing. Mr. Bishop specializes in developing strategies for enterprises to understand and gain competitive advantage from the major trends transforming IT infrastructure strategy. Prior to Equinix, Mr. Bishop has held Chief Strategy Officer position at 451 Research and served at MorganStanley as Managing Director, Global Head of Enterprise Data Center Operations & Strategy. Additionally, he is author of publication, Next Generation Datacenters - Driving Extreme Efficiency & Effective Cost Savings and recipient of Network World's "Enterprise All-Star Award"

Speaker / Presenters


Interconnection [in-ter-kuh-nek-shen ]

integrates the physical and virtual worlds where they meet, shifting the fundamental delivery architecture of IT from siloed and centralized, to distributed, and

internetworked

To solve Cloud 2.0 firms need Interconnection strategy…

EVOLUTION :: The Interconnected Enterprise


Interconnection builds and reinforces ecosystems …

Enterprises came to re-architect their IT,

implementing Cloud 2.0 to become and Interconnected

Enterprise

Ecosystems began to emerge, first with

financial customers, then with content providers

Content providers came to connect to networks to

reach end users

Networks came to connect to other networks to scale

the Internet

Cloud providers joined to capitalize on our network

density and reach enterprises

Networks Content & Digital Media

Financial Services Cloud

Interconnections

Enterprise

1,150+ Networks, 171,200+ Cross-connects, 100% of Tier 1 Network Routes


Metros IBX Data Centers Continents 5 21 79

Metros Areas IBX Data Centers Continents Countries 145 40 21 5

Countries 11

Global reach with Telecity & Bit-Isle

Cloud Exchange Availability

... Creating a business-ready platform for Cloud 2.0


Locate Data & Analytics

Shorten the distance to

Integrate & Deliver with

Interconnecting Data

Interconnecting People

Interconnecting Locations

Interconnecting Clouds

Interconnection Oriented Architecture (IOA™) - Reference Model

Ecosystems

Adjacent

Ecosystems Exchange

Data Hub

Edge

Architecture Strategy

Communications Hub

Architecture Component

Deployed as a repeatable architecture called an Interconnection Oriented Architecture™…


Traditional

Shorten the distance to the Edge and rewire topology for Digital 1 Integrate and Deliver

with Ecosystems 2

Locate Data and Analytics Adjacent 3

…to enable firms to create an “Interconnection-first architecture” at the edge of the cloud…


…resulting in transformational value…

People Locations Clouds Data

Problem Inadequate User Experience

Uncontrollable Bandwidth Costs & Time to Provision

Inefficient & insecure multi-cloud access

Insufficient Customer Insight & Data Compliance

Scenario Interconnecting

Employees, Customers and Partners

Interconnecting Geographic Markets,

Ecosystems and Business Location

Interconnecting Multiple Clouds Across Multiple

Locations

Interconnecting Data for Accessibility and Real

Time Analytics

Apps Distributed Users & Apps Network Topology Optimization Multi-Cloud Distributed Analytics

Equinix’s Validated

Impact

217% increase in bandwidth/employee while

reducing OPEX by 25%

38% reduction in

application latency of global collaboration

workflow

45% reduction in bandwidth OPEX /

employee

40% reduction in latency of customer facing apps

25% reduction in latency of real-time data analytics

apps

50% reduction in OPEX

per app

30% cost reduction in cloud connectivity cost/

analytic application

$8MM annual OPEX savings implementing

hybrid cloud


…and future proofing business architecture as an Interconnected Enterprise…

Interconnected Enterprise

Interconnected Enterprise

Innovate Quickly

Make Real-Time Decisions

Grow via Digital

Ecosystems

Respond Instantly Via Any Channel








Q&A / Summary


Interconnection [in-ter-kuh-nek-shen ]

integrates the physical and virtual worlds where they meet, shifting the fundamental delivery architecture of IT from siloed and

centralized, to distributed, and internetworked

EVOLUTION :: Engaging Conversation

Cloud 2.0 Customers First

Michelle Bailey Vice President, Digital Infrastructure and Datacenter Initiatives

451 Research

Tony Bishop Vice President of Global Enterprise Vertical Strategy & Marketing Equinix


EVOLUTION :: City Events New York

•  Thursday, June 2nd, 2016 •  The Four Seasons Hotel New York •  Speakers

•  Equinix Executive •  Sara Talbot, NetApp, Cloud Business Development •  Stephen Coty, Alert Logic, Chief Security Evangelist

Chicago •  Tuesday, May 24th, 2016 •  The Peninsula Chicago •  Speakers

•  Equinix Executive •  Sara Talbot, NetApp, Cloud Business Development •  Paul Fletcher, Alert Logic, Cyber Security Evangelist

www.equinix.com/EVOLUTION Contact Us: [email protected] Follow us on Social Media Twitter: twitter.com/equinix Facebook: facebook.com/Equinix/ LinkedIn: linkedin.com/company/equinix

the inaugural evoltuion webcast

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