1. SharePoint in the Cloud Presented by: Matthew Lathrop, SharePoint Evangelist

2. Truly a New Era of Computing  #1 Priority is Virtualization  #2 is Cloud Computing 70’s – 80’s Mainframe Era 90’s – 2000’s Client Server Era 2010 – beyond Cloud Era “By 2012, 20% of businesses will own NO IT assets” – Key Predictions, January 2010 2 Cheaper, more accessible, more powerful

3.  Database Engineers  Operating System Technicians/Administrators  Systems Security Professionals  Network Experts  IT Consultants  Servers, Firewalls, Load Balancers, Routers, Swtiches  Operating Systems  Management Tools  Virtualization, Storage  Power & HAVAC  Network Access  Physical Security  Logical Security  Bandwidth Building Blocks of IT 3

4. A New Way to Do IT IT BucketsOLD Model Internal or Outsourced NEW Model Internal IT / Partner Hosted Computing strategic/core non-core Business Processes SharePoint Computing 4 Applications

5. Translating In-House Costs To Hosted Costs Your IT In-House Your IT In-House If You Paid Only For… Your IT Hosted Your IT Hosted Servers In-Use Reliability & Accessibility SqFt For Those Servers And… Admin Expertise For Those Servers

6. What’s Your Flavor...  “DIY”/In-house  Shared Hosting/Multi-Tenant  Basic Colocation  Managed Colocation  Dedicated Hosting  Managed Hosting  Virtual Hosting  Cloud Hosting... and “Hybrid” of every alternative 6

7. Tradeoffs MANAGED HOSTING PRIVATE CLOUD HOSTING PUBLIC CLOUD / SaaS HOUSEAPARTMENTHOTEL 7

8. Pooling Lowers Costs; A Different Spend 8  Fixed costs (OPEX) vs. Renting (CAPEX) logical resources as a dynamic cost  IT Hardware depreciates at 40%+ annual 8 Peak Server & Network Infrastructure Peak Server & Network Infrastructure Security Experts Network Experts OS Experts Management Software HR Benefits Savings of 60% at slow times Base Infrastructure Managed Services On-Demand Infrastructure Savings of 30% at peak times

9.  Instant Scalability  Automated  Pay per use Cloud Technologies Making Hosted Computing Irresistible  Complete more projects  Reduce time to market  Focus specialized resources  Save money and reduce TCO 9 SpeedAccessibility Price

10. Differentiating CURRENT STATE 70% 30% Applications Business Process Network and Application Infrastructure The 70:30 Rule; Efficiency Ratio

11. Outsourced Hosting Differentiating CURRENT STATE 70% 30% 70% Applications Development Network and Application Infrastructure Differentiating The 70:30 Rule; Efficiency Ratio

12. More and More Critical Work Moving to Hosting  Time = Proof  Compliance evolution  Hybrid Models Key Drivers of Comfort For many, the first step is… Hybrid! LegacyCurrentFuture 12 MANAGED HOSTING CLOUD HOSTING HYBRID HOSTING

13. 13 App Portfolio Circa 2000 EMail Collaboration CRM Billing Payroll Web Site Project Mgmt Blog Accounting Conferencing EMail Collaboration CRM Billing Payroll Web Site Project Mgmt Blog Accounting Conferencing HRIS Recruiting Help Desk Marketing EMail Collaboration#1 Billing Payroll Marketing General Ledger Compliance Benefits Partner Portal Intranet Bus.Unit #1 Bus.Unit #2 Inventory Conferencing CRM Analytics Advertising Officel 1-4 Employee Firms 100-149 Employee Firms 1,000-1,499 Employee Firms 70% Desktop 25% Desktop 10% Desktop 28% SaaS 45% SaaS 2% SaaS 2% Server 30% Server 88% Server PresentationAdvertising E-Commerce Spreadsheet DocumentStorage/Backup CAD IndustryApp #1Bus.Unit #1 Office Public Co.#1 IndustryApp #1 IndustryApp #2 Desktop Server-Based SaaS

14. 14 App Portfolio Circa 2010 EMail Collaboration CRM Billing Payroll Web Site Project Mgmt Blog Accounting Conferencing EMail Collaboration CRM Billing Payroll Web Site Project Mgmt Blog Accounting Conferencing HRIS Recruiting Help Desk Marketing EMail Collaboration#1 Collaboration#2 Billing Payroll Marketing General Ledger Compliance Benefits Recruiting Partner Portal Intranet Bus.Unit #1 Bus.Unit #2 Bus.Unit #3 Inventory Advertising Supply Chain CRM AnalyticsAdvertising Officel 1-4 Employee Firms 100-149 Employee Firms 1,000-1,499 Employee Firms 9% Desktop 15% Desktop 15% Desktop 90% SaaS 65% SaaS 40% SaaS 1% Server 20% Server 45% Server PresentationAdvertising SocialE-Commerce Bus.Unit #4E-Commerce SpreadsheetSocial DocumentStorage/Backup CADIndustryApp #1 Bus.Unit #1IndustryApp #2 Bus.Unit #2IndustryApp #3 OfficeIndustryApp #1 PresentationIndustryApp #2 Public Co.#1IndustryApp #3 Public Co. #2IndustryApp #4 Desktop Server-Based SaaS

15. 15 App Portfolio Circa 2020 EMail Collaboration CRM Billing Payroll Web Site Project Mgmt Blog Accounting Conferencing EMail Collaboration CRM Billing Payroll Web Site Project Mgmt Blog Accounting Conferencing HRIS Recruiting Help Desk Marketing EMail Collaboration#1 Collaboration#2 Billing Payroll Web Site General Ledger Compliance Benefits Recruiting Partner Portal Intranet Bus.Unit #1 Bus.Unit #2 Bus.Unit #3 Inventory Advertising Supply Chain CRM AnalyticsAdvertising Officel 1-4 Employee Firms 100-149 Employee Firms 1,000-1,499 Employee Firms 5% Desktop 5% Desktop 1% Desktop 90% SaaS 80% SaaS 79% SaaS 5% Server 15% Server 20% Server PresentationAdvertising SocialE-Commerce MarketingE-Commerce SpreadsheetSocial DocumentStorage/Backup CADIndustryApp #1 Bus.Unit #1IndustryApp #2 Bus.Unit #2IndustryApp #3 OfficeIndustryApp #1 PresentationIndustryApp #2 Public Co.#1IndustryApp #3 Public Co. #2IndustryApp #4 Desktop Server-Based SaaS

16. IT (2000) IT (2010) IT (2020) The IT World Is Embracing SaaS!!! BACK-OFFICE APPS BACK-OFFICE APPS BACK- OFFICE APPS BACK- OFFICE APPS BACK-OFFICE APPS BACK-OFFICE APPS Custom Apps SaaS 3% Hosted 3% Hosted 10% Hosted 10% Hosted 40% Hosted 40% Hosted

17. Unleash Your Organization  Lower barriers to Innovation –Minimal to NO capital requirement –Quicker to validate Proof of Concept –Speeds time to market –Easier execution  Minimizes downside; Flex with the Market  Reduce P&L and Capital Expenditures –Lower TCO  Large and small companies can compete equally  Increase SLA  Implement more efficient Disaster Recovery (DR) models  Create & Validate new business models 17

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