VMware vCloud Air

Partner Kick-Off

Matteo Uva
VMware Channel Manager
2014 VMware Inc. All rights reserved.

VMware vCloud Air Partner Kick-Off

Agenda
09.00 - 09.30 Registrazione e welcome coffee
09.30 - 11.00 VMware vCloud Air - Overview
11.00 - 11.30 Coffee Break
11.30 - 13.00 VMware vCloud Air, posizionamento e opportunit
13.00 - 14.00 Pranzo
14.00 16.00 Distributors Meeting (only for Distri)

vForum 2014

A Rewarding Channel Strategy

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$4.61B
$3.77B

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$3

$1

$6.03B

$1.33B
$219M
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$387M
2005

$704M

2006

2007

2008

2009

2010

2011

2012

2013

2014

Ranked as the 4 ISV infrastructure

vForum 2014

VMware Architecture for IT: One Cloud, Any Application, Any

Device
Any
Device
Any
Application

Business Mobility: Applications | Devices | Content

Traditional
Applications

Cloud-Native
Applications

Cloud Management

HYBRID CLOUD

One
Cloud

Private

Managed

Public

Your
Data Center

vCloud Air
Network

vCloud Air

Software-Defined
Virtualized Compute, Network, Storage
Data Center
Build-Your-Own

Converged
Infrastructure

Hyper-Converged
Infrastructure

vForum 2014

VMware vCloud Air:

2015 Partner Training

Stephen McBride Cloud Services Director

(mcbrides@vmware.com)

2014 VMware Inc. All rights reserved.

Agenda
1

Why are Customers Looking at Public Cloud?

What customer problems are we solving?

How Do We Win?

What Do You Sell?

How Do You Sell It?

Use Cases & Key Targets

Identifying an Opportunity

What is in it for You?

Summary and Next Steps

6

Why are Customers

Looking at Public
Cloud?

Why are customers considering public cloud?

Cloud-First Mandate

More effectively accommodates

seasonality and bursting
workloads

Increased Agility for global

expansion and consolidation

Lower IT costs

Reduces considerable up
front CapEx & lengthy
deployment times

More effective use of

resources

IT is Shifting to Embrace the Cloud

On-Premises/Private Cloud

Off-Premises/Public Cloud

IT Spend Growth Rate 2013-2017

IT Spend Growth Rate

2013-2017

25%

4%

(Source: Gartner)

Source: Gartner; VMware Analysis

Where is the current cloud investment?

On-Premises/Private Cloud Total
Enterprise Investment
2014

Off-Premises/Public Cloud Total

Enterprise Investment
2014

$2
Trillion

$44Bn

(Source: Gartner)

10

Source: Gartner; VMware Analysis

IT is Shifting to Embrace the Cloud

and Hybrid Cloud is where customers are headed

45% of enterprise IT will come

to the the cloud by 2015

Source: 2014 Gartner Data Center Conference

Timetable for Implementing Cloud-based DR

Q. If no solution implemented: What is your expected timetable for implementing a cloud-based
disaster-recovery solution?
3%

9%

Less than 6 months

30%

18%

6-12 months
12-18 months
18-24 months
Don't know

40%
Source: 451 Research Jan. 2015

Common concerns around public cloud use

Incompatible with existing on-premises workloads
Concerns about maintaining security & networking

policies

No workload portability with existing data centers

May create application silos or disparate

environments
Vendor Lock-in based on a proprietary platform or
APIs
Various Management
IT may lose control of resources

13

For Every CIO: A Fundamental Choice

Hybrid Cloud

Hotel California Cloud

On-Premises
Data Center

Compatible Public
Cloud

OR
You can check out anytime but
you can NEVER leave

Little Compatibility

Full Compatibility
14

What customer problems are we

solving?

Bridging the Gap Between the Business and IT

Two Key Challenges
Growing chasm between Business and IT due
to lack of agility

Lack of trust for business-critical

workloads in the public cloud

Line of Business

IT Team

Requires speed, agility and the ability to

innovate

Focused on maintaining
reliable, secure infrastructure

Common platform that spans private and public cloud, linking them together seamlessly.

With the Same Solution

16

Hybridity and Public Cloud

Your Data Center /
Private Cloud

Rewrite
Existing Apps

Incompatible Public
Clouds

Integrate
Networks

Find
Management
Tools
Learn New
Processes &
Skillsets

CONFIDENTIAL

17

VMware vCloud Airs Hybrid Cloud

True Hybrid Capabilities that our competitors dont offer
Data Center Options
CUSTOMERS
DATA CENTER

CO-LOCATION
SERVICE

VMware vCloud Air

Existing and New Apps

Seamless Networking

vAPP

Common Management
CUSTOM
HOSTING

MANAGED
SERVICE

Common Security & Support

The Hybrid Public Cloud

Our Top Competitive Differentiators

VMware INTERNAL and CONFIDENTIAL

18

What is vCloud Air?

VMwares Public Cloud Platform
Infrastructure as a Service
Compute, Storage, & Networking
Disaster Recovery as a Service
90+ Operating Systems & 5000+ Applications
Based on vSphere

VMware vCloud Air

Enables customers to build a true Hybrid Cloud connecting

existing data centers and the public cloud.

19

Common Hybrid Cloud Management

1. vSphere Clients (Windows and Web)

3. vRealize Operations

2. vRealize Automation

vCloud Air Locations

Global availability with specialized locations for Federal organizations

vCloud Air
vCloud Government Service

US New Jersey
US Virginia
US Gov Virginia

US Northern California
US Nevada
US Gov Arizona

Europe UK
Europe Germany
Japan West

US Texas

vCloud Air Data Centers:

Tier 3 or above
Electrical systems are all duplicated (N+1) with UPS and Generator
Multiple days of on-hand fuel with multiple contracts for emergency
resupply

Australia South

21

vCloud Air Compliance Certifications

Hybrid Service
ISO 27001:2005

SOC 1 Type 2 (SSAE 16)

SOC 2 Type 2
SOC 3
HIPAA and HITECH
Security Rule
Cloud Security Alliance
Security Trust and Assurance
Registry (CSA STAR)

Government Service
FedRAMP Provisional Authority to
Operate

Supports US International Traffic in

Arms Regulations (ITAR)

Federal Information Processing

Standard (FIPS) 140-2
Federal Information Security
Management Act

UK G-Cloud 6

See the latest: http://vcloud.vmware.com/service-offering/security-compliance

22

Competitive:
How Do We Win?

Know the Top Competitors: Amazon & Azure

Leader in Public
Cloud Services
Proprietary Public Cloud & Hypervisor
Not Hybrid Can not be run on premises
40+ independent products
Rewrite all your apps to run on our cloud.
Better yet, forget them just write new
stuff so it only runs on AWS!

Microsofts Public
Cloud
Public Cloud solution built on HyperV &
IIS
Not Hybrid Can not be run on premises
IaaS, PaaS, and expanding SaaS portfolio
Hybrid means run everything on
Windows and .NET

24

What about other players?

Other Competitors

Partnerships

25

Know Why Hybrid is Unique to VMware

NIST Definition of Hybrid: Combination of distinct cloud infrastructure environments with data
and app portability

Customers Want
Hybrid Cloud

93%
93% of organizations
surveyed will pursue a
hybrid strategy by 2015

VMware = Hybrid

Only vendor with hybridfirst approach

Market associates hybrid
cloud with VMware; other
vendors seen lagging

*Source: Gartner Data Center Conference Audience Poll (December 2012)

Dont Let Our

Competitors
Hijack Hybrid
AWS: Hybrid = AWS +
your data center no
commonality/portability
Azure: Hybrid = Azure +
Hyper-V/Windows
superficial commonality

26

True Hybrid Cloud Differentiators

True Hybrid Capabilities that our competitors cant offer
Data Center Options
CUSTOMERS
DATA CENTER

CO-LOCATION
SERVICE

1
2

vAPP

CUSTOM
HOSTING

MANAGED
SERVICE

Existing and New Apps

VMware vCloud Air

Seamless Networking
Common Management
Common Security & Support

The Hybrid Public Cloud

Our Competitive Differentiators

27

Any Application, Any OS, Same Platform

vCloud Air

2,300+ ISVs Support 5,000+ Apps on

VMware, including:
Top 10 Healthcare Apps

SQL$

Top 10
Finance Apps
Top 5
Telecom Apps

vCloud Air is based on VMware vSphere

Broadly deployed and trusted virtualization platform in the
world

Four of Top 5
Retail Apps

Standardize on one platform for all your applications

28

Top Reasons Why vCloud Air Wins over Other Clouds

Compatibility with on
premises vSphere
environment

Superior technical
support (especially vs.
MSFT & AWS) and one
stop technical support
for all vSphere
whether on-premises or
off-premises

Application portability the

ability to move workloads off
premises into the cloud and
back again

No new training or tools

required - standardized on
VMware and vSphere so
nothing new to learn

VMware INTERNAL and CONFIDENTIAL

29

vCloud Air Performance Means Better ROI

Performance benchmarks vs. other cloud service providers

Fewer VMs for same processing power

No need for redundant capacity for application availability

SPEC CINT2006 CPU Benchmark Test

FIO Benchmark Storage I/O Benchmark

Summary: http://blogs.vmware.com/vcloud/2014/08/vcloud-hybrid-service-35-cheaper-azure-83-cheaper-aws.html
CONFIDENTIAL

30

vCloud Air Reduces TCO

Simplified hybrid cloud application deployment and management

Application

Application

Application

AWS

Azure

vCloud
Air

Off-premises only
Will never provide their stack

On- and off-premises options

Specific to .NET applications

On- and off-premises options

Diverse set of applications

Application and security

rule rewrites required

CONFIDENTIAL

31

What Do You Sell?

vCloud Air
A complete set of hybrid cloud services
Common APIs

Desktop/Mobile Services
Horizon

Networking
Services

DevOps

AirWatch

Continuous Integration

Continuous Delivery

Application and Data Services

Database

Direct Connect
Load Balancers
Cloud Connector
VPN
Firewalls

Mobility

Pivotal CF

Storage and Availability

Block

SSD

Disaster
Recovery

Object

Data
Protection

Management
Services
vSphere Portal
vRealize Automation
vRealize Ops
Access Controls
Monitoring

Core Compute Services

Dedicated Cloud
Locations

Customer Success

Support

Virtual Private Cloud

vCloud Air Network

Training and Consulting

Government Services
33

vCloud Air Offerings

VMware vCloud Air is a secure public cloud operated by VMware, built on the
trusted foundation of vSphere.
The service supports both existing workloads as well as new application
development, giving IT a common platform to seamlessly extend their data center to
the cloud leveraging the same tools and processes they use today.

vCloud Air Primary Service Offerings

Dedicated Cloud

Virtual Private Cloud

Disaster Recovery

Physically Isolated
Your Own Private Cloud
Instance

Logically Isolated
Guaranteed Resource Allocation
OnDemand and Subscription

Cost-Effective DR of vSphere VMs

Ideal Business Continuity Solution

Ideal for workloads that require

predictable performance, compliance,
or organizational segmentation
Most Secure Isolation
Over-Commitment Controls

Ideal for application development,

seasonal workloads, campaigns
Ideal for Test/Dev, Mobile and DevOps
Subscription and OnDemand
Consumption

Warm Standby capacity on vCloud Air

Simple, Secure replication/failover
Self-Service RPO & RTO
Unlimited 7-day and 30-day failover
tests

- Each service above is available via Subscription offered in monthly, yearly or ELA terms
- Virtual Private Cloud is available in a pay as you go, usage-based service with per minute metering
and monthly billing, called OnDemand1
35

vCloud Air Subscription Services

Term Lengths:
1m, 3m, 12m, 24m, 36m subscriptions

Dedicated Cloud

Virtual Private Cloud

Disaster Recovery

Physically Isolated
Your Own Private Cloud
Instance

Logically Isolated
Guaranteed Resource
Allocation

Logically Isolated
Business Continuity
Solution

Base Resources:
! 120GB vRAM
! 30GHz vCPU

Base Resources:
! 20GB vRAM
! 10GHz vCPU

Base Resources:
! 20GB vRAM
! 10GHz vCPU

Starts at:
! 6 TB

Starts at:
! 2 TB

Starts at:
! 1 TB

! 50 Mbps allocated
! 1 Gbps burstable
! 3 Public IPs

! 10 Mbps allocated
! 50 Mbps burstable
! 2 Public IPs

! 10 Mbps allocated
! 50 Mbps burstable
! 2 Public IPs
36

36

vCloud Air Value Add and Upsell Options

Included at No Extra Charge
Firewalls

Disk I/O

VPNs

Redundancy
+ HA

Upsell Options

Load
Balancers

Direct Connect*: A private, direct, highthroughput path between two endpoints.

DHCP, NAT

Offline Data Transfer: Enables data to

be exported securely from one cloud to
another.

Data Protection*: Agentless, policydriven data protection service for virtual

workloads.

OS & Application Catalog: Purchased

through the VMware Marketplace, OS and
application licenses can be purchased.
VMware vCloud Air

* - coming to OnDemand Soon

37

vCloud Air Disaster Recovery as a Service

What is it?
Simple and secure asynchronous replication and failover for vSphere

Warm standby capacity on vCloud Air

Self-service protection, failover and failback

workflows per VM

15 min1 24 hr. recovery point objective (RPO)

Initial data seeding by shipping a disk

Includes:

SITE A
(PRIMARY)

vCLOUD AIR , SITE B

(RECOVERY)

7-day run time per DR test

30 days of recovered VM run time
DR Instance

1Dependent

on available bandwidth
38

How Do You Sell It?

The Path to the Hybrid Cloud

Predictable cost and budget
Defined resource pool
Ideal for steady state workloads

Subscription
8

vCloud Air
Hybrid Cloud

Variable cost based on consumption

Virtually unlimited resource pool
Ideal for elastic workload demands

OnDemand with SPP

40

Options for consuming OnDemand

Virtual Private Cloud OnDemand

Metered Consumption, No Contract Public Cloud

SPP

Subscription Purchasing Program

New Way to offer Cloud Services

Quoting is live now. Learn more at spp@vmware.com

SPP provides flexibility both to customers and partners in how cloud

services are consumed
41

Introducing the Subscription Purchasing Program (SPP)

Credits$purchase$and$burn$down$model$to$procure$
and$consume$cloud$services$from$VMware$

SPP

Provides$customers$exibility$and$easy$purchasing$of$
cloud$services$
Provides$partners$a$streamlined$transac@on$model$so$
they$can$focus$on$valueAadded$services$

New$Way$to$oer$Cloud$Services$
GA$March$9$

CONFIDENTIAL

42

Customer Benefits of Subscription Purchasing Program

Subscription Credits program brings flexibility in trying, buying and consuming cloud
services from VMware through one centralized purchasing program

Flexibility to use fund balances to provision new services, add-on to existing services,
renew services, cover recurring costs of services and overages, without the need for
monthly purchase orders
Adjust spend easily by adding funds to accounts on a regular basis, or ad hoc
purchases
Granular control of fund balances, allowing customers to allocate and track spend to
different departments, projects and users

Subscription Credits includes the rights to future services not yet released

43

CONFIDENTIAL

43

Partner Benefits of Subscription Purchasing Program

SPP is the channel transaction model for vCloud Air Virtual Private Cloud
OnDemand, and the alternative to credit card billing for customers. SPP provides
partners a way to seed accounts with OnDemand and preserve the billing relationship
with customers
Simple transaction model - selling Subscription Credits does not require investment in
new billing systems, uses the current License transaction model and simplifies SKUs
considerably
Partners maintain billing relationships - and have insight into account activity when
designated as offering partner. This allows them to deepen their engagement while
continuing to service their customers

Build a cloud practice SPP makes cloud services from VMware easy to transact,
allowing partners to focus on building a true cloud services business

44

CONFIDENTIAL

44

Subscription Purchasing Program (SPP)

Burndown$Model$for$Subscrip@on$Services$only$

Highlights$
Single$SKU$

SPPACREDITAC$
SPPACREDITAA$
Special$SKUs$for$Volume$Discounts$

Commercial$&$Academic$customers$
Customers$acquire$Credits$which$can$be$redeemed$for$eligible$

Subscrip@on$Services$

Eligible$Services$include$vCloud$Air,$vCloud$Air$OnDemand,$

Term$

1$year$from$order$book$date.$Use$it$or$
lose$it.$$

Discounts$

0%$to$4%$based$on$volume$

Default$right$to$future$services$as$they$become$available$in$

How$many$
Credits$

Flexible$based$on$customer$budget,$
strategy$

1$Credit$carries$a$list$price$of$100$(USD,$Euro,$GBP,$EMEA$USD,$

Min$Deal$
Size$

Suggest$enough$to$cover$12$months$of$
service$

Purchase$of$1$credit$by$the$customer$results$in$100$(USD,$GBP,$

Rate$Card$

MSRP$value$of$actual$services$redeemed$

Horizon$Air.$$
SPP$

Global$USD,$Yen$$10,000)$

Euro,$etc)$being$deposited$in$their$MyVMware$account$

Credits$must$be$fully$consumed$within$one$year$from$the$

order$book$date$(use$it$or$lose$it)$

SPP Double Click

Credits

Redemption

! Credits can be redeemed for

services with any term length or
payment type
! Fund balances are debited based on
the type of service redeemed
upfront, monthly or annually

! Can only be redeemed services on

the Eligibility Matrix
! Works like a bank balance. Each
purchase increases your Fund
Balance
! Add additional credits at any time

Preferred Partner

Simple Structured Pricing

! Customer designated partner has

access to customer redemptions
! Only available for partners with
Hybrid Cloud or DaaS Competency

SKUs
SPP-CREDIT-C
SPP-CREDIT-C-L1
! SKUs on channel price list with buy prices
like any other SKU
SPP-CREDIT-C-L2
! Small SKU footprint 10 SKUs in total
SPP-CREDIT-C-L3
! Min Order Qty = 1 CREDIT. Recommend
SPP-CREDIT-C-L4
enough to cover 12 months of service

SPP-CREDIT-A
SPP-CREDIT-A-L1
SPP-CREDIT-A-L2
SPP-CREDIT-A-L3
SPP-CREDIT-A-L4
46

Partner Roles and Visibility

Visibility & Reports Access

Fund Activity Report

Redemption Report

SID details
Requires Competency to
view

Partner who only sold the

SPP Credits
Only Offering Partner
Selected at Redemption*
Selling & Offering Partner * (selected
at Redemption)

*Must be Hybrid Cloud or DaaS Competency Partner

Use Cases &

Key Targets

Key Customer Needs

Need for Additional Data Center capacity
Data Center in need of refresh or infrastructure going EOL
High Cost or Complexity for managing Data Centers
Limited IT budget
Need to cover seasonal or bursting workloads more economically
Looking for simple Disaster Recovery plan
Recent outage or Data Loss

49

Five Ways To Get Started

Customer use cases on vCloud Air

vCloud
Air

Disaster
Recovery

Extend Existing
Applications

Development /
Testing

Web and
Mobile Apps

Digital
Workspace

Simple, low cost

failover and
recovery

100% compatible,
same security,
high availability

100% compatible,
lower cost, broad
OS support

Accelerate web
and mobile app
development

Increase end-user
productivity and
streamline IT
operations

50

Focus on the Key Targets

High Propensity Accounts

Key Market Segments

Highly
Virtualized

Enterprise

vCloud
Suite User

Commercial

Leverages
vCloud Director

SLED/
Public Sector

Leverages
AWS or Azure

*US Federal

* For US Federal see vCloud Government Service

Key Emerging Vertical

SLED

Healthcare

Managed Hosting/
SaaS Vendors

Retail

51

Focus on the Key Targets

Key Buyers = IT

Primary Influencers = Business

Line of Business
CIO/CISO

IT
Director/VP

IT
Architect

DevOps/App
Development

52

Our Sales Motion for IT

Why Do They Want to Talk to Us About vCloud Air?

IT Director/VP
You can stay in control and still leverage the public cloud.
No need to hire new staff, learn new tools, or re-create any processes.
You can focus your staff on ensuring tier 1 applications are highly available
or on more strategic initiatives.

IT

Architect
Its built on vSphere and supports all the same apps and operating systems.
Its 100% compatible with your on-premises vSphere environment.
Leverage the same management tools you use today for the hybrid cloud.
Has a vSphere plug-in and is integrated with vCloud Realize Air (formerly known
as vCloud Automation Center) and vCloud Connector.
53

Interoperability/Compatibility, Deployment Among Most

Influential Criteria
How influential is the following criteria to the final decision?

Criteria$Inuen?al$to$Final$Decision$
Average rating
Interoperability/Compa@bility$(exis@ng$systems)$

8.5$
8.3$

Deployment$(ease,$speed)$
Technical$support$(pre/post$sales,$responsiveness)$

Mark!
IT
Architect!

7.8$

Pricing$

7.4$

Market$posi@on/Reputa@on$

7.0$

References$from$other$customers$

Mark!
IT
Architect!

6.5$

Sales$(responsiveness,$ability$to$work$with)$

6.4$

n=8
Data$center$loca@on$

5.6$
1$

2$

3$

4$

5$

6$

7$

8$

No Influence

9$

10$

Very Influential

Sales responsiveness/ability to work with varies widely - half ranging 8-10, and the other half ranging 2-5
Influence of Technical Support & Data center location also varies depending on needs

Source: Handl Consulting/VMware-sponsored survey of 8 IT Architects. September 2014.

Others:
! Familiarity with vendor (one rated 7)
! Ease of use (one rated 8)

54

Sales Motion for Critical Cloud Influencers

Rapidly Increasing in Importance
Why Do They Want to Talk to Us About vCloud Air?

Line of Business

CIO/CISO

DevOps/App Dev

We can provide the agility you need

without having to go around IT.

We are SSAE 16/SOC 1 Type 2,

SOC 2 Type 1 & 2 and ISO
27001:2005 compliant. We can
also help health providers be
HIPAA compliant or address
FedRamp compliance.

Get access to compute, storage and

bandwidth when you need it. Need
OnDemand, Database, & Platform as
a Service

Total Compatibility
Pay only for what you use.

An app development platform that is

the same as your production platform
no need to re-architect the app!

55

Identifying an
Opportunity

Target High Propensity Accounts

Highly
Virtualized

Big Adopters of VMware

vCloud Suite

Already Using the Public

Cloud

Infrastructure & Disaster Recovery Triggers to Look Out For

Infrastructure As
A Service (IaaS)

Disaster Recovery
As A Service

Need for Additional Data Center Capacity

No Disaster Recovery Plan

Flexible Growth Needs/Seasonal

Workloads
Limited IT Resources, Reduced Budget;
CapEx/OpEx

Recent Outage or Data Loss

Increasing costs/complexities for

additional data centers
Data Center/Equipment/Lease Going EOL
or in Need of refresh

Applications or Remote Offices

Unprotected
Limited IT Resources, Reduced Budget;
CapEx/OpEx
High costs/complexities for the recovery
data centers

58

Target Markets & Business Issues

Infrastructure As
A Service (IaaS)

Disaster Recovery
As A Service

Target Market

Target Market

vSphere install base

All segments, all verticals
Sweet spot is enterprise and commercial

vSphere install base

Sweet spot is mid-market and commercial
Enterprise for tertiary workloads

Business Issues

Business Issues

Managing data center capacity needs

Many medium-sized organizations have

high data growth, mergers & acquisitions,

seasonal and/or burst workloads
Data center outsourcing initiative

little to no DR plan
For those that do DR tends to be
expensive and complicated

59

Target Markets & Business Issues

DRaaS

Business
Issues

Target Market

IaaS

! vSphere install base

! vSphere install base

! All segments, all verticals

! Sweet spot is mid-market and commercial

! Sweet spot is enterprise and commercial

! Enterprise for tertiary workloads

! Managing data center capacity needs high data

! Many medium-sized organizations have little to no DR

growth, mergers & acquisitions, seasonal and/or burst

workloads

Value
Proposition

Data center outsourcing initiative

! A secure infrastructure-as-service hybrid cloud

operated by VMware, built on the trusted foundation of

vSphere

plan

! For those that do DR tends to be expensive and

complicated

! A disaster recovery service for vSphere workloads that

allow customers to increase business resiliency while

protecting applications with minimal investment

60

Questions to Uncover an Opportunity

IaaS

DRaaS

How can you extend your current IT infrastructure to the

cloud while maintaining investments in apps, data, people &
operations?

What is your confidence level that your existing DR plan will

work as is?

How can you extend existing applications, modernize

applications and build new apps without starting from
scratch?

How often does your organization perform dry runs to ensure

validity of Business Continuity/Disaster Recovery plans (BC/
DR)?

How can you get the agility the business is demanding from
IT without having to completely re-invent your infrastructure
& your applications overnight?

Are there key applications without BC/DR provisions due to

cost and complexity?

61

Probing and Customer Value Questions

DRaaS

IaaS

PP1: Are you able to meet the IT demands of the business

today? Do you find yourself having to constantly address
data center capacity needs?

PP1: Are you concerned that existing DR solution is resource

intensive, high-touch, and time-consuming?

SP1: Would the ability to dynamically scale out capacity to a

public cloud deliver tactical value to your IT services?

SP1: Would you be interested in a DR service that was lowtouch and could be set up in minutes?

CV1: What would the impact of being able to dynamically

scale out capacity to a public cloud, yet still be able to
leverage the same VMware management solution you use
today?

CV1: What would be the impact of freeing your IT resources

from maintaining a high-touch DR plan to work on more
strategic projects?

*See the vCloud Air Battle Cards for more probing and customer value questions

28

Whats in it for You?

Winning with Hybrid Cloud the vCloud Air Advantage

Total Addressable Market

500K Customers / 50M VMs

$31B Market
Hosters

VMware Competitive Advantages

$6B in 2015*

True Hybrid Cloud

We have 500K+
Customers to target
for Hybrid Cloud

Telecommunications Companies

90
Operating Systems Supported

5000+

No other vendor has optimized to leverage

the scale 2-tier channel like VMware

VMware Certified Apps

Partners Win with vCloud Air

Partner Owns Pricing
!
!
!

Standard SKUs in Price Books

Standard discounts/incentives
Capable of bundling with other products/
services

Partner Owns Billing

Partner retains customer relationship
ownership
! Users see only pricing and rate card from
their preferred partners
!

Partner Owns Services

!
!

Partners can offer assessments

Partners are able to bolt-on and upsell
services (migration as an example)

64

First 100 Days VPC Subscription Customer

Day 1

410%

Monthly Recurring Revenue

= $1,332

Jan 14
Jan 8
Dec 27
Dec 23

December 12

November 1
October 31
October 10

Storage

TCV = $65,556

MRR $326 TCV $3912

Compute

MRR $739 TCV $8868

3 Bandwidth

MRR $657 TCV $7884

5 IP Addresses MRR $120

Dec 23

December 9

MRR = $5,436

growth

Total Contract Value =

$15,984

Day 100

Compute

MRR $739

Compute

2 IP Addresses

MRR $739
MRR $48

Compute + Support MRR $739

1 IP Address

Core VPC Order

MRR $24
MRR $1332

TCV $1440
TCV $8868
TCV $8868

TCV $576
TCV $8868
TCV $288
TCV $15984
*All prices MSRP

65

Anatomy of a Win: VPC to Dedicated Cloud

September

December

Customer purchased 3
month VPC

Customer upgraded to
12 month VPC

$5K MRR
$15K TCV

March

Customer purchased 36
month DC

$6K MRR $72K

TCV

6700% Growth in 6 months

6700% revenue growth in 6 months
Monthly recurring revenue grew 6X
1. VMware vCloud Air went head to head with AWS and Azure in a 3 month bake-off
2. Earned 12 month VPC renewal based on speed & ease
3. Future integration of Oracle DB warranted 36 month dedicated cloud sale
MRR= Monthly Recurring Revenue
TCV= Total Contract Value

$30.5K MRR
$1.1M TCV

For Customers - vCloud Air First Month Free Q2 2015

! First month of subscription service free
! Right to cancel without penalty within first 30 days of service contract
! Contract term lengths of greater than one month and requires promo SKU present on the order
qualify.

! Applicable to all subscription capacity (core + add-ons) included in the initial order.
Add-ons ordered after the initial or renewal order are excluded
Usage-based fees such as OS catalog items are excluded

! Only new customers qualify

! Applicable to all US and UK data centers
Duration:

Start date: January 1, 2015

End date: June 26, 2015

For Partner sales reps - IGNITE The Channel Partner Sales Spiff
Dates: (April 1- June 30)
What is it?
Pay for Performance Partner Rep Sales Spiff Program

IGNITE your
Q2 Sales

for all net new vCloud Air sales

Subscription Spiffs
$100 - 1 month DR
$250 - 3 month DR
$500 - vCloud and vCGS VPC 3+ month sale;
Disaster Recovery 12+ month sale
$1000 - vCloud and vCGS VMware Air
Dedicated Cloud 12+ month sale
SPP Credit Spiffs
$500: Subscription Purchasing Program (SPP) Credits
order $10,000$50,000
$1000: Subscription Purchasing Program (SPP) Credits

VMware vCloud Air is a secure, dedicated hybrid cloud service operated by VMware,
built on the trusted foundation of VMware vSphere. The service supports existing
workloads and third-party applications as well as new application development, giving
IT a common platform for seamlessly extending its data center to the cloud.
vCloud Air is available in three service typesDedicated Cloud,
Virtual Private Cloud and now Disaster Recovery. There is also a
new FEDRAMP compliant vCloud Government Service (vCGS)
for public sector, and Subscription Purchasing Program (SPP)
with credit based sales will both come in calendar year 1Q15.
VMware vCloud Air Disaster Recovery is a new
recovery-as-a-service (RaaS) solution that introduces
native cloud-based disaster recovery capabilities for VMware
vSphere virtual environments. Built on VMwares hypervisorbased replication engine, vSphere Replication, and new
integration support with Disaster Recovery.
Terms and conditions
Partner sales reps can claim as many incentives as they close.
Timeframe eligibility will be based on agreement. Valid
April 1, 2015 June 30, 2015. Limit 1 sales per net new
vCloud Air end user customer. Renewals: do not qualify.

order $50,001+

Who gets it?

Partner with VMware on vCloud Air and receive:

$100: Disaster Recovery 1 month sale
$250: Disaster Recovery 3 month sale
$500: vCloud and vCGS VPC 3+ month sale,
Disaster Recovery 12+ month sale
$1000: vCloud and vCGS VMware Air
Dedicated Cloud 12+ month sale
$500: Subscription Purchasing Program (SPP) Credits
order $10,000$50,000
$1000: Subscription Purchasing Program (SPP) Credits
order $50,001+
Includes ELA transactions

Got questions?
To inquire about an engagement or for more information, contact
your VMware business manager or partnernetwork@vmware.com.

2015 VMware, Inc. All rights reserved.

YOU!
68

Summary and next steps

Its Not a Matter of IF, but WHEN...

Sales Motion
1. Actively probe customer base for hybrid cloud opportunities.
2. Leverage vcloud.VMware.com, Partner Central to learn more
3. Capture and generate leads with Marketing Kits (Partner Central)
4. Action: Contact your VMware Sales team to help close qualified opportunities

our customers move to the cloud, so why not move

along their virtualization journey to the Hybrid Cloud
with VMware?
No one vendor or provider has a better chance for
success of holding onto VMware workloads than
VMware itself.
- Kyle Hilgendorf, Gartner.

70

In Summary: Extend Your Compute Workloads and BCDR

solutions into the Hybrid Cloud with VMware
! Infrastructure as a Service (IaaS) cloud owned and operated by VMware

! Built on the trusted foundation of vSphere with support for 90+ operating

systems and 5,000+ applications

! Supports existing workloads, third party applications and new application

development
! Easy and affordable Disaster Recovery
! We give IT control back with common management, unified networking and security
! One place to call for support from the VMware you know and trust

vCloud Air is the Software-Defined Data Center for Rent

71

Next Steps
Explore the vCloud Air Tutorials:
http://vcloud.vmware.com/using-vcloud-air/tutorials

Review vCloud Air Documentation:

http://vcloud.vmware.com/using-vcloud-hybrid-service/documentation

Join Group On-boarding and/or other tech webcasts

http://vcloud.vmware.com/using-vcloud-air/technical-webcasts

Contact our Partner Support Center Ready for your Questions on vCloud Air,

including Setup and Tools

This team is available to take your questions and walk you through what is new.

Email the PSC team at: partnernetwork@vmware.com

CONFIDENTIAL

72

Thank You

Questions / More Information on SPP?

Visit the VMware Purchasing Programs home page

www.VMware.com/go/purchasenow to download
Program Guides, FAQs and Customer documents
Log onto Partner Central

www.vmware.com/partnercentral to view the VPP, EPP,

SPP where you can access tools, training guides, and
documents

Contact the VMware Purchasing Programs Team via

email (both methods have a 1 business-day response

time)
vpp@VMware.com
epp@VMware.com
spp@VMware.com
74