Efficient Cloud Computing Through Scalable Networking Solutions

© 2009 MELLANOX TECHNOLOGIES 2 Company Overview  Leading connectivity solutions provider for data center servers and storage systems Foundation for the world’s most powerful and energy- efficient systems >5.3M ports shipped as of December ‘09  Company headquarters: Yokneam, Israel; Sunnyvale, California 400+ employees; worldwide sales & support  Solid financial position Record Revenue in FY’09; $116.0M Record Revenue in Q1’10; $36.2M $220.1M cash / no debt Ticker: MLNX

© 2009 MELLANOX TECHNOLOGIES Cloud Computing is IT as a Service  On demand Compute, storage and applications  Delivered and consumed in real-time over the network  Pay-per-use 3

© 2009 MELLANOX TECHNOLOGIES 4 IT Centers Spending and Constraints Source: IDC Data center growth 30M servers currently installed, 4x expected growth in the next 10 years 10x increase in digital records retention and online transactions Operating and management cost $8 for maintenance for every $1 spend on new infrastructure Real-estate restrictions >$1000 per sq ft for construction costs Power and cooling costs have doubled since ¢ for power/cooling for every $1 spend on server hardware Server utilization Over 50% of CPU time is wasted on non-application activities

© 2009 MELLANOX TECHNOLOGIES IT Efficiency Through Cloud Computing 5 Internal Cloud IT Efficiency and Business Agility External Cloud App Internal Datacenter Converting IT Costs From CAPEX to OPEX Compute and Storage Resource in an Instant

© 2009 MELLANOX TECHNOLOGIES The Elements of Cloud Computing 6 Cloud Computing is Network Computing Source: Intalio

© 2009 MELLANOX TECHNOLOGIES Critical Cloud Computing Needs 7 Dynamic and Scalable Provisioning and Configurations VirtualizationOn-demand ServicesEfficiency Dynamic and Scalable Provisioning and Configurations

© 2009 MELLANOX TECHNOLOGIES Cloud Providers - Examples 8 Infrastructure as a service Sun Open Cloud EMC Cloud Optimized IBM NetApp Cloud Intalio|Cloud Platform as a service Amazon Web Services Microsoft Azure Google Intalio|Cloud Platform Computing Software as a service SalesForce.com Google App Engine VMware vCloud Wolfram|Alpha Intalio|Cloud

© 2009 MELLANOX TECHNOLOGIES 9 Enterprise Datacenter Evolution Resourcepool From equipment warehouse to service provider

© 2009 MELLANOX TECHNOLOGIES Servers’ Consolidation 10 News – nothing more than well-forgotten history

© 2009 MELLANOX TECHNOLOGIES Service-Oriented View  Hardware-centric view Assign HW to consumer  Application-centric view Deliver service to consumer 11 CPU app … App CPU App CPU App CPU App

© 2009 MELLANOX TECHNOLOGIES 12 Servers’ Virtualization  Highly-capable Hardware Standard multi-core CPUs, fast and large memory  Hardware Abstraction Layer Server Hypervisor  Management Infrastructure & tools Monitoring and provisioning Physical Server VM Server Hypervisor Computing as a Service

© 2009 MELLANOX TECHNOLOGIES Network Virtualization 13  Highly-capable Hardware Standard high-performance NICs and switches  Hardware Abstraction Layer Network “Hypervisor” – consolidated network manager  Management Infrastructure & tools Monitoring and provisioning Physical Network SAN Network as a Service IPC LAN Mng Network Hypervisor

© 2009 MELLANOX TECHNOLOGIES Mellanox – Network IO Solutions 14 Cloud Computing Enterprise Data Center High-Performance Computing Leading Connectivity Solution Provider For Servers and Storage

© 2009 MELLANOX TECHNOLOGIES Mellanox Value Propositions  Interconnect Efficiency 15  Interconnect Consolidation  Interconnect Performance Drives Data Center ROI Up To Unprecedented Levels v Do more with fewer servers Competitive Edge Competitive Edge Fewer cables, ports & equipment Fewer cables, ports & equipment Increased Revenue and Profitability

© 2009 MELLANOX TECHNOLOGIES 16 Cloud Flexibility For On-demand Services Virtual Protocol Interconnect (VPI) Storage NFS, CIFS, iSCSI NFS-RDMA, SRP, iSER, Fibre Channel, Clustered Storage NFS, CIFS, iSCSI NFS-RDMA, SRP, iSER, Fibre Channel, Clustered Networking TCP/IP/UDP Sockets Networking TCP/IP/UDP Sockets Clustering MPI, DAPL, RDS, Sockets Clustering MPI, DAPL, RDS, Sockets Management SNMP, SMI-S OpenView, Tivoli, BMC, Computer Associates Management SNMP, SMI-S OpenView, Tivoli, BMC, Computer Associates App1 App2 App3 App4 AppX … Acceleration Engines Protocols Applications NetworkingVirtualizationClusteringStorage RDMA Ethernet FC NAS InfiniBand IB Storage Storage LAN SAN Mellanox End-to-end Interconnect Solutions 40Gb/s InfiniBand, 10GigE, Data Center Ethernet, Low Latency Ethernet Mellanox End-to-end Interconnect Solutions 40Gb/s InfiniBand, 10GigE, Data Center Ethernet, Low Latency Ethernet Any Protocol over Any Convergence Fabric

© 2009 MELLANOX TECHNOLOGIES 17 Mellanox End-to-End Data Center Connectivity VPI Storage Front / Back-End Server / Compute VPI Switch / Gateway 40G IB 10GigE Mellanox Solutions ICsSwitches/GatewaysAdaptersCables FC FCoX

© 2009 MELLANOX TECHNOLOGIES Maximizing Interconnect Efficiency  The network defines the system efficiency – from 50% to more than 90+% 18 Same CPU and Memory Highest ROI for Cloud Providers Expensive Computing Lowest ROI The Network Makes The Difference!

© 2009 MELLANOX TECHNOLOGIES 19 Powering the Data Center Ecosystem Hardware OEMs Storage Servers High-Performance Computing Enterprise Data Centers Embedded Software PartnersEnd Users

© 2009 MELLANOX TECHNOLOGIES Managed/Cloud Service Provider Case Study 20 Without Mellanox InfiniBandWith MellanoxSavings  VMware-based server virtualization application Customer profile : Web-based travel transactions Volume exceeding Amazon.com transactions Source: Xsigo

© 2009 MELLANOX TECHNOLOGIES 21 Mellanox InfiniBand – Competitive Advantage “…everybody is using Ethernet, we are using InfiniBand, 40Gbps InfiniBand” Larry Ellison Keynote at Oracle Openworld October 14, 2009 San Francisco Why Oracle is Faster? √ DB Processing in Storage √ Smart Flash Cache √ Faster Interconnect – 40Gbps IB √ More Disk √ Faster Disks (15K RPM)

© 2009 MELLANOX TECHNOLOGIES 22 #1 Price/Performance TPC-H over 11g Benchmark  11 g over DDR Servers: 64 x ProLiant BL460c –CPU: 2 x Intel Xeon X5450  Quad-Core Fabric: Mellanox DDR InfiniBand Storage: –Native InfiniBand Storage  6 x HP Oracle Exadata World Record clustered TPC-H Performance and Price/Performance 11g over 1GE11g over DDR Price / DB $5.00 $10.00 $15.00 $20.00 $25.00 * Query per Hour 73% TCO Saving

© 2009 MELLANOX TECHNOLOGIES Financial Services: InfiniBand Delivers Performance & ROI Metrics  82% higher updates/sec 23  62% lower mean latency  3X less power consumption  Costs 70% lower Source: STAC

© 2009 MELLANOX TECHNOLOGIES No Compromise Virtualization Performance 24 Dividing a physical machine into multiple virtual machines Combining physical machines into virtual Mainframes Efficient Provisioning to Support Applications Demands Highest virtual machine performance through network offloads

© 2009 MELLANOX TECHNOLOGIES Maximizing ROI Through Efficiency and Utilization  Interconnect Efficiency 25  Interconnect Consolidation  Interconnect Performance v Do more with fewer servers Competitive Edge Competitive Edge Fewer cables, ports & equipment Fewer cables, ports & equipment Increased Revenue and Profitability Drives Data Center ROI Up To Unprecedented Levels