Drive New Revenue Opportunitieswith the Virtualization and Management Campaign

Topics Drive Sales with the Virtualization and Management Campaign Market Opportunity Who is the SMB Decision Maker Partner Business Opportunities Key Adoption Patterns for Virtualization Why Microsoft® beats VMware Choosing the right Virtualization Solution Cross-sell Opportunities Next Steps and Resources Appendix

Drive Sales with the Virtualization and Management Campaign

Sales and marketing resources help you find new customers: Prospecting sales guide

and call script Web banners and Web

copy Customer leave-behind

fliers (customizable) Needs analysis guidance

to assist a virtualization solution recommendation

Campaign guidance

Web and PR initiative creates demand for Microsoft partners:

Customer testimonials and product videos demonstrates how Microsoft technology can help your customers be more efficient, more competitive, and reduce costs.

1 2

1.5 million SMB entities worldwide with 2+ servers1 50% of SMBs worldwide indicate an intention to leverage technology to reduce

costs/make processes more efficient and improve employee productivity in the next three months2

Only 34% of medium-sized businesses with servers are using network management applications 3

Dedicated IT staff emerge in the midsize business4

What is the market opportunity?

25-49 PCs 50-249 PCs0%

20%

40%

60%

80%

100%

No one actually looks after IT

At least 1 em-ployee dedicated to IT

1 AMI-Partners Global Model (2H '08)2 AMI-Partners 2008-09: Worldwide SMB Quarterly Pulse Tracker 3 AMI-Partners 2008-09: U.S. Medium Business Market Overview4 AMI-Partners 2008-09: U.S. SB & MB Market Overview

Who is the SMB decision maker?

“I need to run legacy line-of-business apps.”

“We need to control costs and reduce complexity.”

“I want a business continuity plan.”

“In today’s tough times, I have little time and a limited budget to operate my business so I need to be convinced that any IT products and services I purchase will protect my business and give me a return on my investment as soon as possible.”

– Business Owner

Opportunities in Virtualization

Profile: Midmarket organization seeking to reduce server sprawl or to streamline virtual and physical asset management. Struggles with disparate IT management tools.

Look for:

A need to reduce total cost of ownership

Difficult learning curves on multiple management tools

The need to keep operating systems and applications up and running during planned and unplanned downtime

Customer challenges solved with Microsoft virtualization solutions:

Server consolidation (fewer physical servers) through virtualization can reduce hardware costs or overall power and cooling costs.

A single management platform for virtual and physical servers leverages existing investments.

Virtualized operating systems and applications enable easy backup, replication, or relocation to available servers.

Partner Business Opportunity

• Recommend the right solution from comprehensive Microsoft solutions for desktop and server virtualization and physical and virtual management based on unique customer needs

• Conduct business and technology assessments to become a strategic advisor

Expand your Role as Trusted Advisor

• Reduce IT costs and risks by reducing server sprawl, minimizing downtime, preparing for disasters, and running legacy or non-compatible LOB application in current environments

• Help customers save time and get organized with a single management platform for virtual and physical servers that leverages existing investments

Deliver Increasing Business Value

• Acquire new customers by providing affordable solutions to upgrade legacy infrastructure, reduce hardware, power and IT management costs, seamlessly run business critical LOB applications and ensure business continuity

• Earn incremental revenue through up-sell and cross-sell opportunities such as remote access, LOB app deployment, physical and virtual management

Win More Business

En Pointe Technologies drives sales with Microsoft Hyper-V™ Technologies

• Offers Microsoft software licensing, systems, and server hardware, IT consulting on implementations, and managed services including outsourcing.

• Currently focuses on small and midsize business.• En Pointe grew revenue by 60 percent in 2008

“I’m most excited about three technologies that make it easy to demonstrate customers clear savings and ways to use resources more economically—Hyper-V for virtualization, especially when competing against VMware; Microsoft Exchange Server as the key component to facilitate unified communications, and Microsoft Office SharePoint® Server to support efficient collaboration.”

Matthew Ondrejko, Director, Microsoft at En Pointe

Key Adoption Scenarios for VirtualizationServer

ConsolidationDisaster Recovery

High Availability

Legacy LOB Applications

Remote Application Access

Running multiple servers on fewer physical hosts, or moving old servers to new hardware.

The process of restoring critical services in the event of an outage. Service restoration times with virtualized servers can be minutes—versus days or weeks for their physical counterparts.

Keeping vital server workloads available to customers, partners, and employees around the world and around the clock.

Allowing a non-compatible legacy or LOB application to operate within a more current IT environment.

Running an application in one location but have it be controlled in another. This is helpful where data confidentiality and protection are critical, or to deliver rich applications to devices that cannot run them natively.

Solution: Use Windows Server® 2008 R2 with Hyper-V and System Center Essentials to consolidate and manage business application servers on fewer physical servers.

Solution: Use Windows Server 2008 R2 with Hyper-V and System Center Virtual Machine Manager to create virtual images of your servers so that you can switch to the virtual image to quickly restore critical services.

Solution: Use Windows Server 2008 R2 with Hyper-V, System Center Essentials and System Center Virtual Machine Manager to protect from unplanned server downtime.

Solution: Use Windows Server 2008 R2 with Hyper-V and System Center Essentials to host and manage older operating systems needed by legacy business applications.

Solution: Use Windows Server 2008 R2 with its extensible platform for a Virtual Desktop Infrastructure (VDI).

VMware ESXI

Hyper-V Server 2008 R2

vSphere Essentials

vSphere Essentials Plus

VMM WorkGroup Edition

Price $0 $0 $995 x 2 = $1,990

$2,995 x 2 = $5,990

$499 + $0 HVR2

= $499

Cost difference Same - 4x more 12x more -

HA/Clustering

VM Live Migration

vSMSP Support 4-way 4-way 4-way 4-way 4-way

Physical Memory 256GB 1TB 256GB 256GB 1TB

Backup/recovery

Physical Mangement

Cross hypervisor

Why Microsoft beats VMware

http://www.microsoft.com/virtualization/compare/vmware-cost-comparisons.mspx

X

X

X

X

X

X

X

X

X

X

X

X

X

X

√

√

√

√

√

√

√

√

X

X

X

VMware SMB vSphere vs. Windows Server 2008 R2/System Center Server Management Suite Enterprise

Multiple management tools and learning curves: only Microsoft offers a single management platform, with integrated management of virtual and physical servers.

TCO: VMware is 4X–12X more costly than a Microsoft solution

The “Windows you know”: Customers can apply existing tools, staff skills, processes, available hardware, and application architectures to transition from physical to virtual infrastructure. Any x64 server capable of running Windows® can run Hyper-V.

Here’s what customers are saying"We are so impressed with Microsoft virtualization technologies that we plan to virtualize everything we can, and phase out VMware."

—Ingersoll Rand

“In our environment, a single physical server running Windows Server 2008 and the original Hyper-V can support about 10 to 15 of our standard workloads. Windows Server 2008 R2 with the improved Hyper-V can support more than 30. From a fixed capital asset perspective alone, that’s a savings of $60,000 to $80,000 per Hyper-V server.”

-Continental Airlines

Choosing the right Virtualization Solution

Existing ServersInitial Need Recommended Solution

Virtualized Apps

Need for Desktop

Connectivity

Virtual Hosts Virtual Instances on Server

# of virtualhosts on one

physical server

WS DC

# of virtualhosts on one

physical server

2nd Copy of WS Standard in SBS/EBS

Premium Edition

Virtualize SBS/EBS on one physical

server

Need Server Consolidation, App Compat, DR, remote

app or desktop

connectivity

Users need Secure, Remote

Access to Apps/Data ?

Yes

No

1-2 Centralized

Apps

Full DesktopVirtualized

Windows Server

Enterprise Edition

Up to 4 for App Compat/Centralizati

on

WSStandard

# of virtualhosts on one

physical server

Which Server do they have or

need?

WS EE(R2 for Live Migration)

TS or RDS CALs

(WS 2008 R2)

VDI CALs

Level of desktop

centralization

Add WS EE in SBS/EBS

network

Fully Virtualized

for DR/ServerConsolidation

Single Instance for App

Compat/Centralization

Windows Server

Foundation or Standard

Unlimited

Unlimited

Single Instance

Up to 4

Small Business Server or

Essential Business Server

Up to 4

Use the flowchart with your clients to determine the best virtualization solution for their unique business needs. See the next slide for more on key considerations. Please refer to the server flowchart in the appendix when recommending the right server solution.

Key Customer Considerations

Server Virtualization Which server do they currently have or need? How many virtual hosts are needed on one physical server? In the case of SBS/EBS, do you need to just centralize or isolate certain line-of-

business applications, or are you trying to virtualize the entire SBS or EBS solution for disaster recovery or server consolidation?

IT Management Do they currently have a comprehensive IT management solution (integrated

server, desktop and hardware device management?) How many virtual and physical servers will they need to monitor and keep up and

running?

Desktop Virtualization Is there a need to centralize and provide remote access to the full user desktop?

Or just access to line-of-business applications for certain users? Do mobile users need access from various remote locations?

Cross-sell Opportunities

Windows Server® Standard, Enterprise, and Datacenter

Windows Small Business Server

Windows Essential Business Server

System Center Essentials 2007

√ Included

System Center Virtual Machine Manager 2008*

√ √ √

Technical Notes

• If host is Windows Server 2008 R2, run SCE 2007 as virtual machine.• If host is Windows Server 2008 64-bit, sell SCE 2007 version with SQL Server Standard.

SQL Server Express will not run on 64-bit.

* Recommended when managing environments with three or more virtual hosts.

What to Do NextLearn more about Microsoft virtualization and management tools and become a trusted advisor to your customers. http://www.microsoft.com/virtualization

http://www.microsoft.com/sce

Explore the reasons why Windows Server 2008 Hyper-V is a better value than VMware in both the short- and long-term for your client. http://www.microsoft.com/virtualization/compare/vmware-comparison.mspx

Visit the OEM Partner site to learn more about Virtualization and the sales and marketing portal to help you find customers and close deals.

Find Resources that Help YouReach Customers and Drive Sales

Create Awareness and DemandAt the Partner Marketing Center and the OEM Partner Center , you can find the following: Solution Profiler

• Customer Stories on Microsoft.com

• Online Marketing Resources

• E-mail marketing portal

• Webcasts and Webinars

Ready Your Business• Partner Learning Center• OEM Virtualization Portal

• Small Business Specialist Community

Licensing and Financing• Licensing Reseller Handbook

and SmartPay• Microsoft Financing

Drive Sales• Business Technology Assessment Toolkit• Demo Showcase• Server Rebate• Beyond the Box

• Microsoft Reseller Option Kits (ROK)

Expand Your Business• Partner Vertical Resource Center• Microsoft Competencies

Collaborate with Other Partners• Channel Builder• Partner Communities

APPENDIX

Featured Products: Virtualization and Management CampaignMicrosoft Products or

TechnologiesScenarios

Windows Server 2003 R2 Datacenter Edition is optimized for enterprises requiring the highest levels of virtualization, scalability, and reliability, enabling critical solutions for databases, ERP, high volume real-time transaction processing, and server consolidation

Advanced server operating system with built in virtualization capabilities and high availability for increased business agility

Advanced server operating system with built in virtualization capabilities for increased reliability and security

A simplified, reliable, and optimized virtualization solution, enabling improved server utilization and reduced costs• Consolidates multiple server roles as separate virtual machines running on a single physical machine • Runs multiple, diverse operating systems in parallel, on a single server • Easily migrates workloads from Virtual Server 2005 R2

A unified, multi-vendor management solution for the virtualized datacenter• Centrally creates and manages virtual machines across the entire datacenter • Easily consolidates multiple physical servers onto virtual hosts • Rapidly provisions and optimizes new and existing virtual machines

Designed for midsize businesses—up to 500 client computers and 30 servers• Unified solution to help optimize the experience of performing a broad set of tasks across the entire

IT environment. Single console to view and manage servers, clients, hardware, software, and IT services

•  Proactive management that accelerates troubleshooting and problem resolution•  Increased efficiency due to simplification of complex management tasks

Virtual Desktop Infrastructure (VDI)

Running an application in one location but have it be controlled in another is helpful where data confidentiality and protection are critical, or to deliver rich applications to devices that cannot run them natively.

Recommending the Right Server

Need Multiple

Domains/Trusts, Mail

or Authentication Stores?

SBS

# Users

Consider a software firewall?

EBS

WS Foundation

WS Standar

d

WS EE

Shared e-mail and

calendars?

More than 1 processor?

Need a database

?

EBS Premiu

m

SBS Premiu

mNeed a

database?

Fewer than 300 PCs in 2

yrs

Recommend This

Solution

Key Decision FactorsInitial Need

Yes

Yes

No

Yes

No

No

Yes

No

Yes

No

Yes Yes

No

No

No

Yes

Yes

Need High Availability or Branch

Operations Efficiency?

>300 PCs ~ 2 yrs

50-250 PCs today

< 300 PCs ~ 2 yrs

< 50 PCs today < 75 PCs ~ 2 years

No

Less than 15 users in 2

years?

Need e-mail on-premises?

Yes

Yes

No

Need for server identified

(first Server or upgrade)

After assessing client needs, use the flowchart to determine the best server solution.

* For complete terms and conditions, please refer to the terms and conditions at www.serveroffer.com.

When July 1, 2009 to December 31, 2009*

Where

Submit claims at www.serveroffer.com

Who Sellers and providers of services for the eligible server operating systems

What Sell and deliver deployment services for the following server operating system to be eligible for the listed rebate amounts:

How 1. Purchase eligible server operating system from your distributor2. Sell a minimum of TWO eligible server operating systems with deployment

services 3. Once approved for TWO, you can be eligible to claim up to 23 additional rebates4. All claims must be submitted by July 31, 2009

Take Microsoft technical training offered thru

distributors or MNA OEMs

What is Beyond the Box?

• Untapped market - 70% of SMBs WW don’t own a server; 61% are virtualizing

• Participating partners sold more servers - 30% >sales volume

Partner Opportunity

• Provides technical training and readiness • Helps accelerate server sales • Grows revenue through services as trusted technology

advisor• Visit the OEM Partner Center to learn more.

Take advantage of the opportunity

Work with your Microsoft Account team on additional ways to grow server sales or

visit the Online Partner Center

Identify ways to integrate Beyond the Box into your sales and training plans

Beyond the Box Helps Sell More

1 2 3

What is Reseller Option Kit (ROK)? OEM Packaged Windows Server 2008,

Standard, Premium, with or without Hyper-V Windows Server 2003 R2 Standard or

Enterprise Edition, 32-bit & 64-bit Small Business Standard,

or Premium 32-bit “Server + Five” CALs BIOS Locked to OEM Servers OEM Option

Purchased like an option Stocked like an option

For more information visit theOEM Partner Center

Why Sell ROK?

OEM SMB Market Potential Alternative to Pre-install

Reseller Lower Acquisition Cost Lower Inventory Cost Lower Support Cost Convenience

Disti Sales Rep Promotions Sales Against Quota

© 2009 Microsoft Corporation. All rights reserved. Microsoft, Microsoft Hyper-V, Windows Server, Windows Small Business Server, Windows Essential Business Server, Windows Essential Business Server, the Windows Server logo, the Windows Small Business Server logo, and the Windows Essential Server logo are trademarks of the Microsoft group of companies.

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.