MARKET DYNAMICS AND THE ROLE OF OPEN. Werner Knoblich SVP and General Manager EMEA, Red Hat October 2015

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1 MARKET DYNAMICS AND THE ROLE OF OPEN Werner Knoblich SVP and General Manager EMEA, Red Hat October 2015

2 Mobile device diversity and management Mobile apps and applications Hybrid cloud and IT as a service broker Cloud/client architecture The era of personal cloud Smart machines Web-scale IT 3D printing 2 Market Dynamics and the Role of Open Internet of Things Software-defned anything Digitization

3 AVERAGE EXPECTED PERCENTAGE OF REVENUES ATTRIBUTED AS DIGITAL BUSINESS SALES REVENUE 2015 Source: 2015 Gartner, Inc. and/or affliates 3 Market Dynamics and the Role of Open

4 DIGITAL BUSINESS IT is a business differentiator 4 Market Dynamics and the Role of Open Value derived from speed and agility Best realized with a new type of application

5 5 Market Dynamics and the Role of Open

6 I.T. TRANSFORMATION

7 To capture digital opportunities, CIOs need to deal with speed, innovation, and uncertainty. This requires operating two modes of enterprise IT: Conventional and nonlinear. By 2017, 75% of IT organizations will have a bimodal capability. Half will make a mess. Source: Gartner, Taming the digital dragon: The 2014 CIO Agenda 7 Market Dynamics and the Role of Open

8 Source: 2014 Gartner, Inc. and/or affliates 8 Market Dynamics and the Role of Open

9 EVOLUTION OF THE TECHNOLOGY Infrastructure PHYSICAL 9 Market Dynamics and the Role of Open VIRTUAL PRIVATE CLOUD PUBLIC CLOUD

10 EVOLUTION OF THE TECHNOLOGY Development MONOLITHIC 10 Market Dynamics and the Role of Open CONNECTED MODERN WEB MICROSERVICES

11 APPLICATION PORTABILITY ACROSS THE FOUR FOOTPRINTS 11 Market Dynamics and the Role of Open

12 BRINGING CONTAINERS TO THE ENTERPRISE 12 Market Dynamics and the Role of Open

13 RED HAT ENTERPRISE PLATFORM A manageable, scalable platform for applications developed within containers 13 Market Dynamics and the Role of Open

14 OPENSHIFT ENTERPRISE 3 BY RED HAT A platform to build hybrid next-gen applications 14 Market Dynamics and the Role of Open

15 I.T. MUST EVOLVE TO STAY AHEAD OF DEMANDS 15 Market Dynamics and the Role of Open

16 OPEN SOURCE IS PROGRAMMING THE DIGITAL FUTURE 16 Market Dynamics and the Role of Open

17 8 out of 10 are choosing Open Source based on quality. Jumped from ffth to frst this year 50% of all enterprises are expected to contribute to and adopt Open Source When asked why companies engage with Open Source communities, the #2 answer was: Attract and retain top development talent Source: Blackduck Future of Open Source Survey Market Dynamics and the Role of Open

18 COMMUNITY TO ENTERPRISE 18 Market Dynamics and the Role of Open

19 RED HAT IS THE #1 OPEN SOURCE LEADER 19 Market Dynamics and the Role of Open

20 WE OFFER A RANGE OF MISSION-CRITICAL SOFTWARE AND SERVICES COVERING: MIDDLEWARE APP DEV MOBILE OPERATING SYSTEM CLOUD VIRTUALIZATION STORAGE THE BENEFITS Flexibility Better security assurance Faster technology innovation Better quality Better price/performance Long-term deployment 20 Market Dynamics and the Role of Open Shared development: Accelerated innovation Open collaboration: Products that meet customer needs

21 THE FIRST $1 BILLION DOLLAR OPEN SOURCE COMPANY IN THE WORLD COMPANY REVENUE FY 2003 FY $1.79B 1.80 (IN BILLIONS) FY 04 FY 06 BOOKINGS BY CHANNEL FY2015 FY 08 FY 10 FY'12 GLOBAL BOOKINGS FY2015 APAC 15% DIRECT 31% INDIRECT 69% 21 Market Dynamics and the Role of Open FY 14 AMERICAS 60% EMEA 25%

22 WIDE-RANGING EXPERIENCE BREADTH ACROSS MULTIPLE VERTICALS GLOBALLY Logistics & Transportation Tech & Media 15% AIRLINES Healthcare Financial 14% Retail STRENGTH IN MAJOR VERTICALS GLOBALLY Energy COMMERCIAL BANKS FINANCIAL DATA SERVICES Services Government 12% Manufacturing... Telecom 9% Source: Red Hat customer annual bookings and client data 22 Market Dynamics and the Role of Open 100% of the Fortune 500 companies in the following industries are Red Hat customers: HEALTHCARE TELECOM 50% of the world's trading volume is powered by Red Hat products and solutions.

23 THE CIO'S ALTERNATIVE Operating System Microsoft Windows Server, Oracle Solaris, IBM AIX, HP/UX Red Hat Enterprise Linux PaaS Cloud Pivotal CloudFoundry, IBM Bluemix, HP Helion, AWS Beanstalk, Microsoft Azure, Google App Engine, Heroku/SalesForce OpenShift by Red Hat Cloud Management VMware vcloud Automation Center, HP Cloud Service Automation (CSA), BMC Cloud Lifecycle Management, Microsoft System Center Red Hat CloudForms, Red Hat Cloud Infrastructure Cloud Infrastructure VMware vcloud Director, Citrix CloudPlatform, Eucalyptus, Rackspace RHEL OpenStack Platform RHEL Atomic Host Virtualization VMware vsphere, Citrix XenServer, Microsoft HyperV Red Hat Enterprise Virtualization Storage EMC ViPR, EMC Isilon, NetApp, IBM SONAS, Nexenta Red Hat Storage Server, Inktank Ceph Enterprise Systems Management Microsoft System Center Confguration Manager, BMC BladeLogic Server Automation, HP's Server Automation Red Hat Satellite Application Server IBM WebSphere Application Server, VMware vfabric tc Server, Oracle WebLogic Server Red Hat JBoss Enterprise Application Platform In-memory data grid IBM WebSphere extreme Scale, Oracle Coherence, Vmware vfabric GemFire Red Hat JBoss Data Grid Application integration IBM WebSphere Integration Bus, Oracle ESB, MuleSoft AnyPoint, Sonic ESB, Tibco ActiveMatrix Red Hat JBoss Fuse, Red Hat JBoss Fuse Service Works Data services and integration IBM InfoSphere Federation Server, Progress DataXend SI, Oracle Data Integration Suite, Informatica Data Services Red Hat JBoss Data Virtualization Business process, decision, and rules automation IBM Operational Decision Manager and IBM Business Process Manager, Oracle BPM Suite, Pegasystems Business Rules, FICO Blaze Advisor Red Hat JBoss BPM Suite, Red Hat JBoss BRMS Messaging IBM WebSphereMQ, VMware vfabric RabbitMQ, Oracle AQ, Tibco EMS Red Hat JBoss A-MQ Mobile IBM Worklight, Oracle Mobile Platform, SAP Sybase Unwired Platform, Pivotal CF Mobile Service, Pegasystems (Antenna), Kony, Appcelerator FeedHenry by Red Hat 23 Market Dynamics and the Role of Open

24 CLOUD: A NEW PLATFORM FOR YOUR DIGITAL BUSINESS 24 Market Dynamics and the Role of Open

25 OPENSTACK: THE FOUNDATION FOR THE CLOUD 25 Market Dynamics and the Role of Open

26 CONTAINERS REVOLUTIONIZE THE CLOUD Faster app delivery 26 Market Dynamics and the Role of Open Deployment fexibility Operational effciency Lowered deployment costs

27 RED HAT PLATFORMS: THE FOUNDATION FOR THE FUTURE 27 Market Dynamics and the Role of Open

28 RED HAT BRINGS IT ALL TOGETHER DevOps Microservices Containers Cloud 28 Market Dynamics and the Role of Open

29 OPEN HYBRID CLOUD PLATFORM Rich capability 29 Market Dynamics and the Role of Open

30 30 Market Dynamics and the Role of Open

31 THE FUTURE HAS NEVER BEEN SO OPEN

32

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