2011q1 cloud vendor perspective john en gates rackspace
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Presented by:
John EngatesCTO, Rackspace
Date: March 24, 2011
Cloud Computing:
A Vendor Perspective
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Safe Harbor Statement This presentation contains "forward-looking" statements that involve risks, uncertainties and assumptions. If
the risks or uncertainties ever materialize or the assumptions prove incorrect, our results may differ
materially from those expressed or implied by such forward-looking statements. All statements other than
statements of historical fact could be deemed forward-looking, including, but not limited to, any projections
of financial information; any statements about historical results that may suggest trends for our business;
any statements of the plans, strategies, and objectives of management for future operations; any statements
of expectation or belief regarding future events, potential markets or market size; technology developments;
and any statements of assumptions underlying any of the items mentioned.
These statements are based on estimates and information available to us at the time of this presentation and
are not guarantees of future performance. Actual results could differ materially from our current expectations
as a result of many factors, including but not limited to: the unpredictable nature of our rapidly evolving
market and quarterly fluctuations in our business; the effects of competition; and any adverse changes in our
indirect channel relationships. These and other risks and uncertainties associated with our business are
described in our quarterly and annual reports filed with the Securities and Exchange Commission at
www.edgar.gov. We assume no obligation and do not intend to update these forward-looking statements.
Trademarks and Service Marks Rackspace, Fanatical Support, Racker, RackConnect, Cloudkick are service marks or registered
service marks of Rackspace US, Inc. in the United States and/or other countries. OpenStack andOpenStack logo design are trademarks of OpenStack, LLC. Other trademarks and tradenames appearing in
this presentation are used to refer to either the entities claiming the marks and names or their products, and
are the property of their respective holders. We do not intend our use or display of other companies
tradenames, trademarks, or service marks to imply a relationship with, or endorsement or sponsorship of us
by, these other companies.
http://www.edgar.gov/http://www.edgar.gov/http://www.edgar.gov/ -
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3,000 employees, or Rackers
100,000+ customers and growing
Listed NYSE 2008 (RAX)
2009 Hosting Revenue
ABOUT ME
[email protected]:(210)312-4197Twitter:@jengateswww.rac
kspace.com
Chief Technology Officer
Joined Rackspace in August 2000From San Antonio, TX
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ENTERPRISE CLOUD SOLUTIONS | PAGE 4
A recognized leader by Gartner
2009 Hosting Revenue
ONERACKSPACE
130,000CUSTOMERS66,000 SERVERS3,200 RACKERS
9 DATA CENTERS3CONTINENTS$860 mnREVENUE
40% FORTUNE500
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RACKSPACE WHAT WE DO
MANAGED HOSTING
CLOUD HOSTING
EMAIL & APPS
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THE RACKSPACE CLOUD PRODUCT SUITE
Cloud FilesCloud FilesUnlimited, on-demand storage
Cloud Load BalancersLoad balance multiple Cloud Servers
for optimal resource utilization
Private CloudA managed cloud environment built on
hardware that is dedicated to you
Cloud ServersCloud ServersLinux or Windows Servers in minutes
RackConnectSeamlessly connect cloud and
dedicated infrastructure
Cloud BuildersBuild an OpenStack cloud in your
datacenter with help from our experts
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QUICK DEMO
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EVERYONE IS GOING TO THE CLOUD
Maximize revenue
Reduce cost
Expedite time to market Focus resources
Do more projects
Cost
Speed
Cloud Adoption
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THE CLOUD IN THE ENTERPRISE
If youre not integratingcloud computing into yourmission critical IT strategy,youll soon be lapped by
your competitors.
58%say cloud computingwill cause a radical
Shift in IT.
- CIO Magazine (from IDC report) Oct 2008
By 201220% of businesses
will own no IT assets.
- Gartner Key Predictions, Jan. 2010z
47%say they are alreadyusing it or actively
researching it.
- CIO Magazine (From IDC Report) Oct. 2008
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Multi-tenant
Consumed over the web
Infinite Scale
Utility Billing
Zero Capex
PUBLIC CLOUD
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Single-tenant
Consumed over private
network
Limited Scale
Capital expenditure
PRIVATE CLOUD
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Private Public Controlover security,
data, availability
Investment protection
Legacy integration
Minimal capitalrequirements, no upfrontrisk/commitments
Agility
Efficiencies of vast scale
CapEx still required
Limited Agility
Less control over Security
Regulatory concerns
CloudCloud
PUBLIC VS PRIVATE THE TRADEOFFS
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THE SOLUTION: HYBRID
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Hybrid Cloud
Combining the best of Public
and Private Clouds for
maximum agility, elasticity and
security, at minimum cost
Public CloudAccessible over the internet
for general consumption
- Multi-tenant the ability toprocess the needs of multipleusers with shared resources in a
dynamic and transparent fashion- Elastic and Scalable
resources can expand andcontract as needed
- Metered/Rented some mannerof pay for only what you use
- Self-Provisioned self check-in at least to some degree
- Internet based accessibleusing internet technology, usuallyover the public Internet
Private CloudOperated solely for an
organization, typicallywithin the firewall:
- Low cost of ownership
- Great control over security,
compliance, and QoS
- Easier integration
- Support existing
applications
HYBRID CLOUD BENEFITS
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CLOUD STRATEGY
If you want to use the Cloud orbuild a Cloud, who do you turn to?
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PUBLIC CLOUD: LOCK IN PREVAILS
Proprietary, closed publicClouds are a problem.
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PRIVATE CLOUD: A BIGGER PROBLEM
Tightlyintegrated
vertical stacks
for privateClouds can
limit flexibility
and choice.
Youre right back where you started.
Very expensive.
This is business as usual!
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OPEN SOURCE
On the other
hand
Remember how
this guy disrupted
enterprise IT?
Linux
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The Internet was built on Open Source.
What will the Cloud be built on?
THE WEB ERA: BUILT ON OPEN SOURCE
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OPEN SOURCE OS
The Cloud Will Have an
Open SourceOperating System.
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INTRODUCING OPENSTACK
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BUILDING A CLOUD
Our Goal:Turn Commodity Hardware into a Cloud.
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OPENSTACK AT A GLANCE
Open Source Cloud computing will meet the needs of public and
private Cloud providers by being simple and massively scalable.
Software to make a cloud anywhere
An ecosystem devoted to innovation
Flexibility in deployment/features
Standards for broad deploymentNo fear of lock-in
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OPENSTACK PROJECTS
OpenStack ComputeSoftware to provision virtual machines on commodity
hardware at massive scale
OpenStack Object StorageSoftware to reliably store billions of objects distributedacross commodity hardware
OpenStack GlanceServices for discovering, registering, and retrieving virtual
machine images
Creating Open Source software
to build public and private Clouds
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THE CLOUD IS ECOSYSTEM DRIVEN
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A PATTERN OF ECOSYSTEM DRIVEN MARKETS
VISIONARY MASS CONSUMABLE OPEN
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OPENSTACK ECOSYSTEM GROWING RAPIDLY
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RACKSPACE VISION: OPEN FEDERATED CLOUD
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We appreciate you taking time out of
your busy day forRackspace.
THANK YOU