Lenovo Blade Servers: Flex System x240 M5 Customer Presentation Patrick Moakley, Director of Product Marketing Flex Systems March, 2016 2016 LENOVO. ALL RIGHTS RESERVED

Agenda Market Trends Why Lenovo Flex System The x240 M5 Customer Drivers Why Lenovo Flex System The x240 M5 Overview x240 M5 Broadwell Update Key Features XClarity Management Lenovo Enterprise Services Customer Example 2016 LENOVO. ALL RIGHTS RESERVED

Top of mind for Enterprise customers Gain better control of IT Increase reliability & security Continue to reduce TCO Migrate to the cloud Gain faster business insight Under embargo until March 31, 2016

What Resonates in the Enterprise 30B Number of connected devices by 2020 Gain Better Control of IT Corporations require 99.99% uptime or better 71% Increase Reliability 5X Growth of all-cloud companies by 2020 Migrate to the Cloud 70% Businesses consider Big Data critical to their success Business Insights 98% IT operational budgets will not grow Continue to Reduce TCO Digital business will drive more revenue for the enterprise, translating to the importance of an agile, multi-dimensional approach to infrastructure strategy 2016 Lenovo Internal. All rights reserved.

Unlock your data center’s potential Gain insights faster Gain better IT control Maximize uptime Lenovo XClarity Cloud Reference Architectures Reduce TCO #1 Reliability, customer satisfaction Increased performance of Intel Xeon E5-2600 V4 processor Lenovo XClarity Energy Manager Energy efficient features CPU & memory performance gains Big Data and Analytics solutions Lenovo Trusted Platform Assurance 22% More cores vs previous generation 31% Faster CPU performance vs previous generation 23% Faster Hadoop performance vs previous generation 21% Faster virtualization & OLTP performance vs previous generation 12% Faster memory 2016 Lenovo Internal. All rights reserved.

Evolution requires a new kind of data center partner Purpose Driven Innovation Choice & Flexibility Customer Experience 2016 LENOVO. ALL RIGHTS RESERVED

Lenovo Servers Dominate in Customer Satisfaction in customer satisfaction overall in 2014 and 20151 Overall Customer Satisfaction, #1 in 22 elements across service, product and sales indices #1 TBR Satisfaction Indices Rank Overall Customer Satisfaction #1 Service Satisfaction Product Satisfaction Sales Responsiveness per TBR, that we are #1 in customer satisfaction overall in 2014 and 2015, per TBR’s x86 CSAT Research.  Can you please modify the slide to reflect this info instead of #1 in 7 out of 8 consecutive quarters? “Many Dell customers perceived Dell servers to be inefficient, an attribute other vendors’ customers did not mention” “HP customers cited unresponsive sales staff and lack of server reliability as reasons to not repurchase” 1 TBR 4Q15 Customer Satisfaction Survey, January 2016, January 2016, http://www.lenovo.com/images/products/system-x/pdfs/white-papers/tbr_x86servers_top_csat_4q15_wp.pdf 2016 LENOVO. ALL RIGHTS RESERVED

Lenovo servers achieve highest reliability rating Lenovo: of 11, 3 years running Dell 9 # HP 1 # Oracle 1 # ITIC Global Server Hardware, Reliability Report 2015-2016 2016 LENOVO. ALL RIGHTS RESERVED http://www.lenovo.com/images/products/system-x/pdfs/white-papers/itic_2016_reliability_wp.pdf

New expansion for open and flexible solutions Joint development for superior customer experience “Lenovo and Nutanix to Bring Hyperconverged Infrastructure to Global Enterprises” “SAP and Lenovo Plan to Bring Advanced Solutions to the New Digital Economy” “Lenovo and Red Hat Expand Trusted Portfolio of Cloud Offerings” Joint development/engineering Faster time to value/provisioning of software & hardware & easier to manage system (disruptive maintenance) 2016 Lenovo Internal. All rights reserved.

Lenovo Flex System The Highest Capability Blade Systems in the Industry 10

Lenovo Flex System – Next Generation Blades Flex is the Highest Capability Blade Systems in the Industry, designed to: Save money by running the same workloads on less hardware Support the next decade of compute, storage and networking technologies Deliver workloads in a easily managed platform Run mission-critical workloads in a blade environment Upgrade and scale easily, with minimal disruptions to datacenter operations 2016 LENOVO. ALL RIGHTS RESERVED

Lenovo Flex System Is: Agile Efficient Converged Move virtual machines faster for better management Pay-as-you-grow, non-disruptive networking scalability Efficient Zoned, adaptive cooling reduces OPEX costs More VMs per blade than competition Converged Integrated design reduces clutter, saves money Scalable switching means fewer network devices to manage 2016 LENOVO. ALL RIGHTS RESERVED

Flex System ‒The Highest Capability Blade Systems in the Industry Agile Efficient Converged Move virtual machines 2.5X faster than Cisco UCS1 Integrated compute, networking and management 15% less energy costs with zoned, adaptive cooling2 x240 M5 Flex System Enterprise Chassis Flex System Enterprise Chassis 40% 92% Cabling reduction vs. 1U rack systems More dense compared to 1U rack servers 2016 Lenovo Internal. All rights reserved.

Flex System is… No compromise portfolio across servers, networking & storage Chassis Servers 8P x880 X6 Enterprise Chassis w/ AC and DC power Carrier-Grade Chassis w/ DC power Networking 4P x440 x480 X6 Ethernet – iSCSI – Fibre Channel FCoE – InfiniBand 2P Storage x240 M5 Open Interoperability with SANs including EMC VNX, Storwize® V7000, V3700 2016 LENOVO. ALL RIGHTS RESERVED

Flex System x240 M5 2P Half-Wide blade for virtualization and cloud workloads 15

Lenovo Flex System Enterprise Chassis Lenovo Flex System x240 M5 Compute Node 2P blade system optimized for cloud, virtualization and consolidation Ultra-efficient – Reduce energy, cooling, floor space, cabling, and networking ports required Simplify and centralize enterprise systems management and increase data center agility with Lenovo XClarity #1 Reliability industry-wide – Maximize uptime with Enhanced Predictive Failure Analysis, Light Path Diagnostics 22% Better virtualization consolidation performance vs. previous generation Lenovo Flex System Enterprise Chassis 2P Intel Xeon E5-2600 v4 (up to 44 cores), 2400 MHz, with TruDDR4 Memory with up to 1.5 TB* of memory Up to 14 x240 M5’s per 10U Enterprise or Carrier Grade Chassis 63 TB of memory and 1,848 cores per rack Consolidation Virtualization VDI Database Infrastructure Cloud Enterprise Apps * Available in 2Q16

Flex System x240 M5 Broadwell Refresh Feature x240 M5 Haswell x240 M5 Broadwell Benefits Machine Type 9532 Same Machine Type, easy management Processor E5-2600 v3 Up to 145W 18 cores E5-2600 v4 Up to 145W 22 cores +4 more cores, increased performance Consolidation of more apps on same machine, reducing costs Memory 24 slots (R/LR DIMM) 1.2V 4 Channels, 3 DIMM per channel RDIMM: 4/8/16/32GB, LRDIMM 32/64GB Up to 2133MHz, Up to 1.5TB (LRDIMM) RDIMM: 8/16/32GB, LRDIMM 64GB* Up to 2DPC@2400MHz Up to 1.5TB* (LRDIMM) +266MHz bandwidth, Better performance 2DPC/3DPC Delivered +266MHz vs. Intel POR Support 2DPC@2400MHz for LRDIMM & RDIMMs Support 3DPC@2133MHz for LRDIMM Support 3DPC@1866MHz for RDIMMs Disk 2.5” Gen3 Tray 2x 2.5” HS SAS/SATA/SSD/NVMe PCIe SSD or 4x 1.8” HS SSD Support PEN/SEN RAID On board 12Gb (Based on LSI 3004) RAID 0,1 Optional 12Gb M5215 (Based on LSI 3108) RAID 0, with 2GB Flash Networking via Mezz PCIe 2x PCIe Gen3 x16 Mezz Light Path Yes Internal card SD card RAIDed (USB 2.0) TPM/TCM Standard 2016 LENOVO. ALL RIGHTS RESERVED

IBM Flex System x240 M5 Compute Node Flex System x240 M5 Optimized for Performance Provides clients ability to run more workloads on a single system IBM Flex System x240 M5 Compute Node More memory for more virtual machines 1.5TB max TruDDR4 Memory1 Increased speed to 2400 MHz @ 2DPC Intel POR = 2133 MHz @ 2DPC Save 45% power (TruDDR4 Memory vs. DDR3) 12% faster memory with TruDDR4 compared to Intel POR 8% to 44% increased workload performance over prior generation 23% mean increase in performance2 over previous generation with New Intel Xeon E5-2600 v4 series processors enable up to 22% more cores (up to 44 total per server) XClarity management reduces time & steps Efficiently manage Flex System with Lenovo XClarity Comes in two versions: Administrator & Pro Provision systems in up to 75% less time3 1 Available 2Q 2016 2 Intel testing. For more information go to http://www.intel.com/performance/datacenter. Copyright © 2016, Intel Corporation. 3 http://www.principledtechnologies.com/Lenovo/XClarity_Administrator_management_comparison_0615.pdf, http://www.principledtechnologies.com/Lenovo/XClarity_Administrator_management_comparison_0915.pdf

Flex System x240 M5 2-Processor, half-wide blade for virtualization & cloud Customer Benefits 24 DIMM slots, up to 1.5 TB** of memory – runs more workloads on same # of blades 2-processor Intel E5–2600v4 with up to 44 cores per node – greater performance Up to 14 x240 M5s in a 10U chassis – density, power savings, & cable reduction Sidecar expansion nodes for Storage & PCI – Scale up to accommodate any configuration or solution Memory Flex x240 M5 HPE BL 460c Dell PE M630 DIMM Slots 24 16/12* 24/20* Max DIMM 64 GB Total Memory 1.5TB 1.0 TB/768 GB 1.5/1.2 TB Virtualization Cloud * CPU Dependent-High Core CPUs require larger heat sink that blocks some DIMM slots **Available 2Q 2016 2016 LENOVO INTERNAL. ALL RIGHTS RESERVED.

Lenovo XClarity Simplified, repeatable system deployment Mobile App HTML5 User Interface ▪ Discover ▪ Define ▪ Deliver ▪ Optimize Power Scripting IT Application Integration XClarity Integrators and REST APIs Lenovo Infrastructure Fast Define systems in software using patterns Provision systems in up to 75% less time1 Agile Anywhere management from Android and iOS devices Control and optimize system power usage and temperature Interoperable Control systems from external IT applications by integrating with REST APIs to automate end-to-end orchestration and service management tasks http://www.principledtechnologies.com/Lenovo/XClarity_Administrator_management_comparison_0615.pdf, http://www.principledtechnologies.com/Lenovo/XClarity_Administrator_management_comparison_0915.pdf 2016 LENOVO. ALL RIGHTS RESERVED

Lenovo Enterprise Services Solutions Services Implementation Services Technology Services Tackle your most complex challenges with help from Lenovo Services professionals experienced in technology solutions Remote Technical Consulting Data Center Services Power and cooling Proof of Technology Lab Proof of Concept Solution Design & Architecture Assessments Training Let the Lenovo experts deploy your equipment and keep it running so that you can focus on the business Factory Integration Hardware Installation Health Checks Deployment Implementation Configuration Integration Migration Protect your technology investment with services that support all of your operational requirements Warranty Service Upgrades Post Warranty Services YourDrive YourData Technical Support Services Enterprise HW Support Preferred Access Enterprise SW Support Infrastructure Management Services 2016 LENOVO. ALL RIGHTS RESERVED

CET 21 Media & Entertainment Supporting TV operations across Central and Eastern Europe with Lenovo Flex System Client success summary Czech broadcaster CET 21 was having difficulties ensuring adequate performance of its mission-critical back office workloads on aging Dell hardware. Hosting central business applications for its holding company to keep televisions going across Central and Eastern Europe added to the company’s scalability challenges. Addressing these challenges, CET 21 replaced its outdated data center architecture with a fully-integrated, high-density Flex System solution from Lenovo, greatly boosting performance and improving scalability. “We estimate that performance has improved by 100 percent since replacing our hardware with Flex System.” — Karel Kreidl, IT Manager, CET 21 Solution components Hardware Flex SystemTM Enterprise Chassis Flex System x240 M5 with Intel Xeon processors Flex System Fabric EN4093R 10Gb Scalable Switches Flex System FC5022 16Gb SAN Scalable Switches Software Linux Microsoft Windows Server VMware vSphere Read the Case Study 2016 LENOVO. ALL RIGHTS RESERVED

The Top 10 Reasons to Buy Flex System Why it Matters 1. Designed for the next decade Gen 2 Flex is ready for tomorrow’s workloads, networking and Intel processors. 2. More memory per blade More memory = more workloads/VMs per blade, which = buying less hardware. 3. Scalable 2 to 8-Processors Flex runs mission-critical applications like SAP HANA in a blade environment 4. 40% more dense and 92% less cables Saves space, power and eliminates the jungle of cables compared to 1U rack servers 5. Feature on Demand scalability Upgrade existing switches “in-place” without “rip-&-replace” disruption to datacenter 6. Virtual Switching Flex requires fewer switches to buy and manage as you scale. HP – no virtual switching 7. Lenovo XClarity Management Integrates seamlessly into your datacenter using skills your admins already have 8. Open choice SAN Storage Use the SAN hardware you want and your storage admins know: EMC, IBM, HP NetApp 9. Run without a Top of Rack (TOR) switch Cisco UCS requires expensive TOR’s to buy and manage as you scale 10. Zoned Adaptive Cooling Fans independently self-adjust speed as needed to save power and money 2016 LENOVO. ALL RIGHTS RESERVED

LAP12730-USEN-00

Footnotes “IBM® Flex System® Network Architecture: VM Migration and Aggregate Network Performance versus Cisco UCS” Tolly Report #214104 © 2014 TOLLY ENTERPRISES, LLC Compared to BladeCenter