IDC MarketScape: Worldwide Distributed Server/Workload Automation Software 2012 Vendor Analysis

Transcription

1 COMPETITIVE ANALYSIS IDC MarketScape: Worldwide Distributed Server/Workload Automation Software 2012 Vendor Analysis Mary Johnston Turner IDC OPINION Global Headquarters: 5 Speen Street Framingham, MA USA P F This document uses the IDC MarketScape methodology to assess the strengths and weaknesses of a range of vendors participating in the worldwide distributed server/workload automation software market. This is a rapidly growing submarket of the worldwide workload scheduling and automation functional market as described in the IDC software taxonomy. Based on IDC's analysis of market requirements, current vendor capabilities, and forward-looking vendor strategies in terms of product offerings, go-to-market efforts, and business programs, this IDC MarketScape finds that the rapidly evolving worldwide distributed server/workload automation software market contains a number of important Major Players but no clear Leaders. Specifically: Market share leaders such as BMC, VMware, IBM, and HP all offer customers credible solutions built on proven products combined with recent acquisitions and ongoing organic development. These larger vendors share common views about the future needs of the market in terms of addressing the complex provisioning and runtime optimization needs of cloud and virtualized datacenters. A number of more recent distributed server/workload automation entrants, such as CA Technologies, Microsoft, Dell, and Cisco, are joining the market via acquisitions and organic development. Frequently, these vendors seek to leverage existing account relationships in related markets such as converged systems and systems management software. This market has attracted the attention of a wide range of start-ups and established vendors that are looking for new revenue opportunities and routes to market. Vendors with history in high-performance computing (HPC), such as Egenera and Adaptive Computing, have recently entered this market by leveraging existing analytic engines and workload optimization technologies. Pure-play start-ups such as ManageIQ are targeting hot-button enterprise management needs in the area of automated virtualization and cloud operations. IDC's analysis of this market's dynamics indicates that market leadership is up for grabs as each vendor promotes its own vision for the future while scrambling to keep up with current customer demands and competitive pressures. IDC believes all the vendors reviewed in this report have the potential to have serious impact on this market as it continues to mature and evolve in the coming years. Filing Information: July 2012, IDC #236186, Volume: 1 Enterprise System Management Software: Competitive Analysis

2 TABLE OF CONTENTS In This Study 1 Methodology... 1 Distributed Server/Workload Automation Software Market Definition... 2 Situation Overview 2 Introduction and Market Dynamics... 2 IDC MarketScape Vendor Inclusion Criteria... 3 Market Strategies and Evaluation Criteria... 3 Future Outlook 8 IDC MarketScape: Worldwide Distributed Server/Workload Automation Software Market Vendor Assessment... 8 Vendor Profiles Essential Guidance 24 Selection and Success Criteria Learn More 25 Related Research P # IDC

3 LIST OF TABLES 1 Key Strategy Measures for Success: Distributed Server/Workload Automation Software Key Capability Measures for Success: Distributed Server/Workload Automation Software... 7 P 2012 IDC #236186

4 LIST OF FIGURES 1 IDC MarketScape: Worldwide Distributed Server/Workload Automation Software Vendor Assessment... 9 P # IDC

5 IN THIS STUDY This IDC study uses the vendor assessment model called IDC MarketScape. This research is a quantitative and qualitative assessment of the characteristics that explain a vendor's success in the marketplace and help anticipate its ascendancy. This study assesses a number of vendors participating in the worldwide distributed server/workload automation software market. This evaluation is based on a comprehensive framework and a set of parameters that assess vendors relative to one another and to those factors expected to be most conducive to success in this market during both the short term and the long term. This study is composed of two key sections. The first part is a definition or a description of what characteristics IDC analysts believe make a successful distributed server/workload automation software vendor. These characteristics are based on IDC's ongoing surveys and discussions with distributed server/workload automation software buyers and key analyst observations of industry best practices. The second part of this study is a visual aggregation of multiple vendors into a single bubble chart format. This display concisely illustrates the observed vendors in the market. The strategies axis represents a three- to five-year span and future perspective, while the capabilities axis represents current product and go-to-market execution. In this IDC MarketScape, the market revenue of each vendor is indicated by the size of the circle representing the vendor. The plus, minus, and neutral symbols next to each vendor's name in parentheses indicate whether that vendor is gaining, losing, or steadying, respectively, its current market share. IDC's most recently published worldwide market shares for this market can be found in Worldwide Distributed Server/Workload Automation Software 2011 Vendor Shares (IDC #235359, June 2012). Methodology IDC MarketScape criteria selection, weightings, and vendor scores represent wellresearched IDC judgment about the market and specific vendors. IDC analysts tailor the range of standard characteristics by which vendors are measured through structured discussions and interviews with market leaders, participants, and end users. Market weightings are based on user interviews and the input of a review board of IDC experts in each market. IDC analysts base individual vendor scores, and ultimately vendor positions on the IDC MarketScape, on detailed interviews with the vendors, publicly available information, and end-user experiences in an effort to provide an accurate and a consistent assessment of each vendor's characteristics, behavior, and capability IDC #

6 Distributed Server/Workload Automation Software Market Definition Distributed server/workload automation software is a submarket of the worldwide workload scheduling and automation software functional market. Distributed server/workload automation software includes software running on distributed, nonmainframe platforms that enables dynamic automated physical and virtual server provisioning, workload and virtual machine (VM) allocation and reclamation, selfserve cloud provisioning portals, run-book automation, and workflow orchestration products. Task-level automation capabilities included in software that is primarily focused on asset discovery, software license management, and software distribution are not included here as they are part of the change and configuration management software market. Task-level automation capabilities included in software that is primarily focused on service desk operations are not included here as they are part of the problem management software market. SITUATION OVERVIEW Introduction and Market Dynamics IDC's research indicates that the worldwide distributed server/workload automation software market grew 37% from 2010 to IDC forecasts that this market will increase at a CAGR of 16.6% from 2011 to Growth in this market is being fueled by a number of factors including: Rapidly increasing demand for integrated, automated policy-based tools helps tame VM sprawl as well as optimize workloads across large-scale virtualized and cloud datacenters. Many organizations have tried to track and manage the life cycle of VMs using spreadsheets and ad hoc tools and have found they cannot cope as the scale of their virtualized environments increases. Distributed server/workload automation tools can be used to track and reclaim unused VMs, thereby increasing hardware utilization and reducing capital and power and cooling costs. Ongoing economic conditions force IT teams to hold down the growth of head count even as the number of servers and applications managed continues to escalate dramatically. In many cases, IT decision makers turn to distributed server/workload automation software tools to help streamline and standardize formerly manual processes with an eye toward making their existing IT staff more efficient. Pressure is from public cloud services to make self-service provisioning and related workload optimization analytics available to sophisticated users and business groups. These teams view the ability to self-provision predefined IT resources as contributing to their overall levels of business agility by allowing them to deliver critical applications and services to market more quickly than when they had to wait for IT teams to provision resources directly. 2 # IDC

7 To be successful in this market, vendors need to have proven, scalable solutions that can apply provisioning and workload optimization policies across physical and virtual systems and applications. They also need solutions that can be easily deployed and customized while delivering rapid time to value. Advanced analytics and sophisticated graphical UIs are becoming more and more important to the success of these products. As datacenters become more and more complex, these types of tools will provide critical path analysis and workload optimization, meaning that they need to be highly available and reliable and able to adapt as needed to newly introduced hardware and/or workload resources. In the interests of head count productivity, most organizations prefer integrated solutions that can cover a range of requirements, as opposed to single-purpose tools that are optimized for a single element in the physical or virtual stack. IDC MarketScape Vendor Inclusion Criteria The worldwide distributed server/workload automation software market includes more than 20 tracked vendors plus many more start-ups and emerging players. In selecting those vendors for inclusion in this IDC MarketScape, IDC applied the following criteria: Vendors should have a market share leadership. The IDC MarketScape methodology requires that the top 5 vendors by revenue be included in the analysis. Specific to this market, the top 5 vendors by revenue are BMC, VMware, IBM, HP, and Cisco. Recent entrants with strong positions in related markets have demonstrated a well-funded commitment to rapidly grow their presence in this market through acquisition and/or organic development. These vendors include Microsoft, CA Technologies, and Dell, all of which have recently made or are expected to make major investments in this market. Fast-growing start-ups and vendors entering from closely related markets should have sufficient revenue and market traction for IDC to expect that they will be credible market participants going forward. These vendors include ManageIQ, Adaptive Computing, and Egenera. Vendors that have announced they are exiting or downplaying this market were not included. Very small vendors or those that have very specialized offerings were also excluded as IDC did not feel they could be fairly compared with the core vendors in this market. Market Strategies and Evaluation Criteria The worldwide distributed server/workload automation software market has existed for almost a decade, since getting its start with the introduction of physical infrastructure provisioning automation solutions from vendors such as BladeLogic (acquired by BMC) and Opsware (acquired by HP). In recent years, the automated provisioning and optimization of virtualized systems and workloads and self-service cloud provisioning have become priorities as datacenters increase in scale and complexity IDC #

8 Successful products in this market have a number of characteristics including: Breadth and depth of infrastructure and application environments than can be provisioned and automated currently, combined with well-defined plans to continue to evolve to fulfill the emerging needs of customers over time Scalability in terms of the number of systems and applications and the diversity of public and private IT resources currently covered and a clear road map for continuing to increase range over time Worldwide go-to-market, ecosystem, and customer support programs that address the needs of complex global customers today and anticipate their needs going forward Solid funding and financial commitment to ongoing investment in the development, marketing, and support of the products Table 1 illustrates the key strategy measures for success used to evaluate vendors' publicly available road maps and business development plans. Table 2 summarizes the key success measures used to evaluate vendors' current product, business, and go-to-market capabilities. 4 # IDC

9 TABLE 1 Key Strategy Measures for Success: Distributed Server/Workload Automation Software Strategies Criteria Criteria for Success Subcriteria Weighting Offering strategy Functionality or offering road map Well-defined road map and timeline to address emerging customer needs for a complete and integrated distributed server/workload automation suite spanning physical and virtual infrastructure and applications across cloud and traditional environments. Emphasis is on plans to support runtime optimization as well as initial provisioning. Participation in standards is critical here as well Delivery model Well-defined plans to support emerging architectures and particularly flexible delivery models such as SaaS and converged platforms in order to enable benefits such as faster adoption and leverage of evolving operational (rather than capital) adoption paradigms (e.g., cloud) Cost management strategy Ongoing plan for empowering customers with lowest TCO is possible. General marketwide pricing and standardization of solutions are needed and the management of costs needs to be ensured. The extent to which the vendor provides customers with economical options, ROI models and provides clear paths by which the client can lower costs Portfolio strategy Effective plans for ongoing approach to defining, managing, and extending the brand and the planned set of capabilities provided by the vendor and its ecosystem. Includes assessment of plans and strategies to ensure that customers can clearly understand and assess the range of offers in a way that allows them to make the most effective use of the solutions offered Scalability strategy Strategy for increasing the scalable and scope of servers, workloads, and applications managed across physical and virtualized environments in both enterprise and service provider environments. In addition, it is able to manage across heterogeneous resources, including multiple servers, hypervisors, and operating systems Offering strategy total Go-to-market strategy Pricing model Quality of planning for future pricing alignment with market direction. Support for subscription pricing, ELAs, concurrent user, and appropriate maintenance policies are considered. Pricing plans that will encourage appropriate adoption of key portions of the portfolio to meet user pain points. Effective transition pricing to full suite (as appropriate) IDC #

10 TABLE 1 Key Strategy Measures for Success: Distributed Server/Workload Automation Software Strategies Criteria Criteria for Success Subcriteria Weighting Sales/distribution strategy Strategy to leverage multiple sales/distribution options including direct, channel, and partners based on customer preference and priorities. Plans to support unique vertical solutions as appropriate. Excellence is demonstrated by well-defined plans to serve new markets such as specific verticals, enterprise, and SMB approaches. Innovative strategies for channels and partners (including consulting) are also considered Marketing strategy Availability of well-articulated plans, brands, budgets, and events to drive ongoing business growth including a robust strategy for all relevant facets of marketing (e.g., brand development, promotion, demand generation) that matches where revenue is predicted to flow over the next five years. Well-articulated vertical marketing strategies as appropriate are also a factor here Customer service strategy Strategy to continue to meet full set of customer support, training, and professional service needs either on own or through partners. Whatever the current client retention rate is today, superior firms have a well-articulated plan for lowering client churn. Positive assessments of day-to-day support and ability to resolve unexpected problems Go-to-market strategy total Business strategy Growth strategy Strength of strategies to grow the business in ways that align with IDC's perspective on market trends and future opportunities over the next three to five years Innovation/R&D pace and productivity Strong, detailed, and well-funded strategic plans for attaining or retaining functional superiority over competition either organically or via acquisition. The release schedule for the next months reflects understanding of market needs. Support for localization as needed Financial/funding model Viability of firm's funding strategy for the distributed server/workload automation business over next three to five years Employee strategy Well defined and clearly articulated plan for developing and retaining its own human talent Business strategy total Source: IDC, July # IDC

11 TABLE 2 Key Capability Measures for Success: Distributed Server/Workload Automation Software Capabilities Criteria Criteria for Success Subcriteria Weighting Offering capabilities Functionality/offering delivered Delivery model appropriateness and execution Cost competitiveness Portfolio benefits delivered Scalability The extent to which the current vendor portfolio offers a full range of physical, virtual, and application automation including self-service and cloud management capabilities that are well integrated. Success is further demonstrated by the depth of capability of each offering. Support for current important official and de facto standards is important. Buyers are given flexibility in choosing a delivery model that meets their needs and offers rapid time to value as well as a streamlined ordering and deployment experience. Solution is viewed as cost effective in terms of TCO and delivers rapid ROI. Product branding is effective and communicates the benefits and the value delivered across the full portfolio. Ecosystem partners are well integrated and trained to ensure consistent customer experience and assure customer ability to get the full value out of the portfolio. The offering is scalable and able to handle an increasing number of servers, workloads, and applications across physical and virtualized environments in both enterprise and service provider environments. In addition, it is able to manage across heterogeneous resources, including multiple servers, hypervisors, and operating systems Offering capabilities total Go-to-market capabilities Pricing model options and alignment Sales/distribution structure, capabilities Marketing Customer service Pricing for the offered solutions is flexible and offers a range of options such as traditional licensing, subscriptions, discount strategies, and ELAs. Strong mix of partners and system that engages partners effectively across presales and postsales experiences. Excellence is also shown by having a strong partner ecosystem on a worldwide basis. Strong and effective direct and partner marketing initiatives and specific direct marketing for high-priority customers that communicate solution capabilities and differentiators effectively. High levels of customer satisfaction and retention and a good ratio of customer service, support, and training staff available Go-to-market capabilities total IDC #

12 TABLE 2 Key Capability Measures for Success: Distributed Server/Workload Automation Software Capabilities Criteria Criteria for Success Subcriteria Weighting Business capabilities Growth strategy execution Innovation/R&D pace and productivity Financial/funding management Employee management Evidence of solid market momentum and growth as measured by ongoing acquisition of new clients and expansion of existing relationships. Evidence of ongoing investment and continued maturation of the portfolio through R&D and/or acquisition. Strong cash flow and financial management record for distributed server/workload automation software business. High employee retention rates and strong positive customer feedback about quality of employees Business capabilities total Source: IDC, July 2012 FUTURE OUTLOOK IDC MarketScape: Worldwide Distributed Server/Workload Automation Software Market Vendor Assessment The IDC vendor assessment for the worldwide distributed server/workload automation software market represents IDC's opinion on which vendors are well positioned today through current capabilities and which vendors are best positioned to gain market traction over the next few years. Positioning in the upper right of the grid indicates those vendors that are most likely to be Major Players over the next several years. As a rapidly growing market characterized by high levels of vendor and investor funding and attention, IDC believe any clear-cut long-term leaders are yet to emerge. Several established players are building on their current customer base and product assets, while newer players look to gain share by offering products that were built from the ground up for automated management of virtualized cloud datacenters and services. Positioning on the y-axis reflects the vendor's current capabilities and how well aligned its offerings, got-to-market, and business strategies are with customer needs. The capabilities category focuses on the capabilities of the company today, here and now. Positioning on the x-axis, or strategies axis, indicates how well the vendor's publicly announced future strategy aligns with what IDC believe customers will require in three 8 # IDC

13 to five years. The strategies category focuses on high-level strategic decisions and underlying assumptions about offerings, customer segments, business, and go-tomarket plans for the future, in this case defined as the next three to five years. Figure 1 shows each vendor's position in the vendor assessment chart for the worldwide market. Similar charts prepared from a regional point of view may produce a different ranking pattern depending on the current and expected capabilities and needs in a specific region. In Figure 1, the vendor's market share is indicated by the size of the bubble, and a (+), (-), or () icon indicates whether or not the vendor is growing faster than, slower than, or even with, respectively, overall market growth. FIGURE 1 IDC MarketScape: Worldwide Distributed Server/Workload Automation Software Vendor Assessment Source: IDC, IDC #

14 Vendor Profiles Short profiles of each vendor included in this assessment are provided in alphabetical order. Adaptive Computing According to IDC analysis and buyer perception, Adaptive Computing is an IDC MarketScape Contender worldwide. Adaptive Computing got its start delivering workload scheduling and automation solutions for the high-performance computing environments. Over the past several years, the company has actively expanded its focus to emphasize advanced analytics and automated policy-based optimization of virtualization and cloud workloads. The company is headquartered in Provo, Utah, with sales and support offices in London and Singapore and regional sales representatives in various countries and states. Adaptive Computing's patented Moab multidimensional decision engine software is specifically designed to address the complex analytic requirements of dynamic virtual and cloud datacenters. With 10 years of development under its belt, the Moab engine has proven to be scalable and effective in its ability to drive real-time workload optimization across complex high-performance computing clusters as well as virtual and physical computing platforms. It is able to monitor performance and resource availability and assign workloads based on a range of time, SLA, and business policies. Adaptive Computing has technology partnerships with several major vendors, such as HP and IBM, to provide advanced analytics for automated datacenter management. The July 2012 release of Moab 7.1 includes tight integrations with HP's Operations Orchestration (HP's OO), Server Automation, and Cloud Service Automation solutions. It also adds VM image provisioning and includes a simplified dashboard and improved abilities to manage resource reservations and chargeback and showback for self-service use cases. The road map for future innovation includes improved user- and role-based administration, topology awareness, and more robust image and infrastructure provisioning and analytics. Although the firm has been self-funded for a number of years, it accepted a round of venture funding in September 2010 to invest in the development of advanced analytics and marketing programs targeting automated cloud management software requirements. At the present time, the business mix is nearing a 50:50 mix between the traditional HPC business and the emerging virtualization and cloud automation business. To be successful, the company needs to rapidly build market visibility and credibility via both channel partners and direct sales programs. A late 2011 OEM partnership with HP is an example of the types of partnerships that the firm is pursuing. The firm continues to work with other major vendors and systems integrators and has a small direct sales staff as well. BMC According to IDC analysis and buyer perception, BMC is an IDC MarketScape Major Player worldwide. BMC is the market share leader in the worldwide distributed 10 # IDC

15 server/workload automation software market, with a 2011 share of 18.7% on $210 million revenue. It also had top market share in 2010 and BMC has been building out its distributed server/workload automation suite under the BladeLogic brand since it acquired the company in Since that time, integrations with the Atrium Orchestrator workflow automation engine, ongoing organic development, and additional acquisitions have enabled BMC to assemble a comprehensive automated provisioning suite targeted at the needs of large heterogeneous enterprise customers and service providers. In 2010, the firm introduced Cloud Lifecycle Management (CLM), a solution leveraging the BladeLogic provisioning engine to provide self-service virtual server provisioning for private cloud environments. CLM is a full-service cloud management solution that includes a self-service Web portal and role-based service catalog for requesting and controlling cloud resources provisioning and orchestration. It comes with a predefined set of Service Blueprints, and a blueprint development tool, to capture and enforce predefined policies and service configurations across the full hardware, software, and middleware stack. It also supports public cloud integrations to support hybrid cloud use cases. CLM also includes a policy-based Service Governor to drive decisions about workload placement and automation across public and private cloud resources based on security policies, user information, costs, and utilization, and out-of-the-box governance, performance, and compliance workflows and integrations with BMC ProactiveNet Performance Management, BMC Capacity Optimization (formerly Neptuny), and BMC End User Experience Management (formerly Coradiant). BMC Consulting Services offers enterprise customers a Rapid Cloud Deployment service to enable them to stand up a cloud environment in 30 days using a preconfigured software appliance and preconfigured cloud service offerings. BMC is also actively developing a broad range of partnerships with global systems integrators to use CLM and related automation products as part of customer engagements and as an integral component of public multitenant cloud services offered by those SIs. BMC has made investment in automation technologies and cloud a top priority. The firm made significant investments in CLM product development and marketing in The firm has a dedicated sales force to support cloud and automation across North America and selected geographies. A multiyear partnership with Cisco has helped drive sales for BladeLogic and CLM among service providers. BMC also continues to promote sales of the BladeLogic Suite and Atrium Orchestrator via traditional SI and partner channels as well as direct sales staff worldwide. In 2011, BMC's distributed systems direct sales business hit a bump in the road as the firm's traditional transaction sales model did not adapt well the consultative selling and longer sales cycle times needed for large-scale automation programs, particularly cloud initiatives. As a result, this set of products grew more slowly than the overall market. Going into 2012, BMC reported it has substantially retooled its distributed solutions sales force and go-to-market model and was starting to see market traction improve IDC #

16 In terms of customer feedback, BMC generally gets high marks for the overall comprehensiveness and capabilities of its products, but customers also report that the solutions can be complex to deploy and implement and that BMC or third-party services engagements are often needed to get the solution fully operational. Some customers note that there is a relatively steep learning curve to fully understanding the capabilities of the products. CA Technologies According to IDC analysis and buyer perception, CA Technologies is an IDC MarketScape Major Player worldwide. Over the past two years, CA Technologies has invested aggressively to build up a distributed server/workload automation portfolio. Although CA Technologies has long been a leader in job scheduling and related workload automation, the firm is a fairly recent entrant into the distributed server/workload automation software market. It has a fairly broad portfolio spanning solutions for platform-as-a-service providers, traditional datacenter automation requirements and virtualization, and cloud provisioning and self-service. The major product families in the portfolio are: CA Automation Suite family include the CA Automation Suite for Clouds, which was introduced in July 2011 to pre-integrate the CA Service Catalog (also released in July 2011), and the existing CA Automation Suite for Data Centers, which enables automated self-serve configuration, provisioning, and deployment of heterogeneous virtual and physical infrastructure and application resources. CA Automation Suite for Data Centers shipped with a self-service portal in Other modules in the CA Automation Suite include CA Process Automation and CA Server Automation. The recently introduced CA Private Cloud Accelerator for Vblock platforms leverages the CA Process Automation and CA Service Catalog to provide customers with a single, unified view and point of control across virtual and private cloud Vblock resources. Similar integrations are also available for the Cisco Unified Computing System (UCS). CA AppLogic offers both service providers and enterprises a turnkey, unified application-centric development and deployment environment for cloud-ready SaaS applications. CA AppLogic allows developers to package an entire distributed application as a single entity that can be started, stopped, replicated, moved, and managed as a whole. The solution is designed to support scalable, secure, highly available service levels by detecting changes in the cloud hardware infrastructure, or demands for additional resources, and responding to them automatically. At the present time, the two product families are based on different automation platforms and analytics, although CA Technologies has an ongoing, active effort in place to integrate them over time. Initial steps have included integration of the ability to discover, monitor, and manage application grids as well as to start, stop, and move applications within the Automation Suite interface. Enterprise customers and MSPs can on board existing systems to AppLogic grids using CA Technologies' Rapid Server Imaging functionality, making it easier to transition existing applications to AppLogic with little engineering overhead. 12 # IDC

17 CA Technologies reports that in the next release (August 2012), this integration and combined functionality will be deepened as they add the ability to independently model and provision multitiered application as a single logical entry on CA AppLogic grids. Ultimately, the CA Catalyst architecture will be used to unify the full range of CA Technologies' distributed server/workload automation solutions. From a go-to-market perspective, CA Technologies has recently announced the launch of a worldwide Agile Cloud Delivery program. IDC expects the Agile Cloud Delivery program will become the focal point for driving market and sales related to both the Automation Suite and AppLogic over time, although much of that team's strategy development work is still in process. Both product families benefit from the availability of dedicated sales specialists in North America. CA Technologies relies on its generalist sales force to reach enterprise prospects in other regions. CA Technologies recognizes that it needs to broaden the base market for these automation products beyond the traditional Global 1000 base reached by its direct sales staff. As part of the effort to rapidly grow its automation business, CA Technologies has been investing in partner relationships with a range of service providers and converged systems vendors. Service providers such as Logicalis increasingly view CA Technologies as a strategic supplier helping to build SIs cloud delivery environments as well as providing product for resale. CA Technologies has also proactively partnered with converged systems vendors such as VCE and Cisco to develop automation accelerators for converged system solutions such as the Cisco UCS, VCE Vblock, and NetApp FlexPod. Cisco According to IDC analysis and buyer perception, Cisco is an IDC MarketScape Major Player worldwide. Cisco entered the distributed server/workload automation software market in 2009 with the acquisition of job scheduling and workload automation provider Tidal Software. It expanded its capabilities with the 2010 acquisition of automated network provisioning provider LineSider and the 2011 acquisition of newscale, a provider of self-service cloud portal and service catalog software. Within the distributed server/workload automation software market, Cisco's primary products are: Intelligent Automation for Cloud enables automated, policy-based infrastructure provisioning and self-service across heterogeneous datacenter environments. It provides users with simplified infrastructure provisioning and automation capabilities across heterogeneous physical and virtual servers, storage, and network resources. Intelligent Automation for Cloud ships with predefined provisioning templates and workflows to automate the service request process, orchestrate provisioning, and manage compute resources from the initial order to the end of the life cycle. It also enables customers to define additional custom workflows and templates as needed. Intelligent Automation for Cloud Starter Edition provides customers with a turnkey out-of-the-box self-service provisioning portal and process orchestration engine that includes extensive, prebuilt templates and workflows for provisioning physical and virtual Windows or Linux servers via a simple, intuitive Web-based 2012 IDC #

18 interface. It is optimized exclusively for Cisco Unified Computing System and VMware environments. Cisco also works closely with SAP to develop and support the SAP IT Process Automation application by Cisco, which uses Cisco technology to provide task automation and orchestration of complex operational processes related to the management of SAP applications. SAP announced in mid-2012 that it is now reselling this software through its own sales and distribution channels. In addition, this technology is sold with Cisco's SAP HANA appliance for the automation of processes associated with business intelligence and in-memory computing. The automated network provisioning technology acquired from LineSider is currently sold as a standalone product that IDC tracks as part of its network management functional market. Cisco's intelligent automation road map calls for aggressive integration of LineSider capabilities with the broader Intelligent Automation for Cloud solution to further streamline and coordinate automated cloud provisioning across physical and virtual server, storage, and network resources. Adaptors are available to support integrations with third-party management consoles from Major Players like CA Technologies, IBM Tivoli, HP, and BMC, as well as thirdparty CMDBs, service desks, and other systems management tools. Underlying orchestration technology and adaptors integrate workflows across a range of heterogeneous infrastructure resources (including VMware, Vblock, FlexPod, Cisco UCS, and other non-cisco platforms). Although the Tidal and newscale technologies were originally acquired by the Cisco Advanced Services Group, the intelligent automation software portfolio was shifted to a new software engineering organization the Cisco Cloud and Systems Management Technology Group in The Intelligent Automation for Cloud software product offering is now being actively developed and extended as part of Cisco's broader datacenter automation and cloud agenda. As a standalone software product, Intelligent Automation for Cloud has been adopted by large and midsize enterprises as well as service providers looking for heterogeneous automation and self-service provisioning. It is also being used by Cisco customers looking to enhance the management of UCS and related platforms such as the VCE Vblock and NetApp's FlexPod architecture. Cisco expects to continue to grow demand for Intelligent Automation for Cloud across a wide range of enterprise and service provider accounts going forward. Specifically, Cisco is rapidly engaging channel partners as well as its own direct sales and overlay specialty sales teams to educate and support customers and to drive interest in the portfolio as it matures and expands. IDC believes Cisco is making significant inroads into the distributed server/workload automation software market and will increasingly compete directly with established market players for accounts that want advanced automation and self-service solutions for cloud environments. 14 # IDC

19 Dell According to IDC analysis and buyer perception, Dell is an IDC MarketScape Contender worldwide. Dell's systems management software strategy experienced a major shift in early July 2012 with the announcement that it would be acquiring Quest Software, a vendor with strong offerings in database, storage, performance, and change and configuration management software solutions. Quest had previously acquired distributed server/workload automation provider Surgient but announced that it was terminating support for that offering during As a result, IDC does not expect Dell's positioning in the distributed server/workload automation software market will be immediately impacted by the Quest acquisition. However, given the fact that the acquisition does position Dell as an important competitor in the broader systems management software market, IDC expects Dell will continue to evaluate acquisitions with a specific eye toward rounding out its distributed server/workload automation capabilities in the coming months or years. Whatever acquisitions Dell may pursue in this market in the future, it will look for technologies that it can integrate with its existing distributed server/workload automation capabilities, particularly the Dell Advanced Infrastructure Manager (AIM) product, which is based on technology acquired from Scalent. AIM is a key element of Dell's broader Virtual Integrated System (VIS) architecture, which offers customers a modular, software-based approach to creating and managing cloud infrastructure and converged systems. AIM continuously monitors workload and service status and automatically migrates workloads when needed to ensure consistent service levels or for disaster recovery reasons. AIM can quickly repurpose OSs and migrate workloads across VM clusters on virtual and physical server, storage, and network resources. For customers that want an automated, policy-driven, self-service provisioning portal, the Dell VIS Creator (an OEM solution from DynamicOps, recently acquired by VMware) is currently available via Dell's direct sales and channel partners. At the time this document was written, neither VMware nor Dell could comment on the impact the VMware acquisition of DynamicOps might have on its OEM agreement with Dell. IDC expects both firms will continue to honor the agreement in the near term, although it is possible Dell might make an acquisition in this space in the future if it determines that it needs more direct control over these types of capabilities. Currently, VIS Creator provides end users and IT staff with an automated, policydriven, self-service provisioning portal and service catalog. It allows authorized users to select, deploy, and manage a customized catalog of IT applications and resources (known as service blueprints) while IT maintains governance and control. When Dell initially introduced the VIS architecture, the road map included additional analytics and performance monitoring capabilities to enable more dynamic application-aware monitoring and optimization. There was some speculation at the time that Quest was a likely OEM partner to provide that capability. In the last year, however, Dell had put a hold on implementing the performance monitoring and analytics elements of VIS as it considered the future road map for its broader software strategy. Once the Quest acquisition is finalized, IDC expects the company 2012 IDC #

20 will move quickly to determine how to best integrate Quest's performance monitoring assets into the VIS architecture going forward. Given the many recent changes across Dell's software strategy, it is difficult to fully assess Dell's strategy and road map for the distributed server/workload automation software market at the present time. Although Dell is a new entrant with limited current capabilities, IDC chose to include the company in this IDC MarketScape because IDC believes Dell is strongly committed to building out the type of distributed server/workload automation software capabilities that will be needed to effectively manage and optimize virtualized cloud infrastructure and services in the future. Egenera According to IDC analysis and buyer perception, Egenera is an IDC MarketScape Contender worldwide. Egenera was founded in 2000 as the maker of BladeFrame, a high-performance scale-out computing platform for mission-critical applications. In recent years, the firm has transitioned its business model away from the design and manufacture of proprietary hardware and is now focused on competing as a standalone physical, virtual, and cloud automation software vendor. Egenera's flagship product is PAN Manager, which provides automated service-level and availability management for physical and virtual server resources and workloads. Most of the firm's software customers deploy the product to support automated workload migration, disaster recovery, and failover in physical and virtualized x86 blade environments. The product is able to abstract and migrate workloads across heterogeneous hardware platforms, enabling customers to automate deployments and to create large-scale resource pools across multivendor physical and virtual server environments. PAN Manager is often deployed in large-scale, highperformance enterprise and service provider environments that want to ensure rapid resource provisioning and server and workload recovery times for mission-critical applications. For very large-scale environments, the PAN Domain Manager can control up to 256 blades in a heterogeneous resource pool with automated deployment of failover server profiles across multiple server hardware brands as needed to maintain availability and provide disaster recovery. Customers report they are able to manage large numbers of resources in a highly efficient manner, particularly when resource and workload configurations are homogeneous and operating at scale. In June 2012, Egenera entered the cloud self-service automated provisioning arena with the introduction of PAN Cloud Director, providing a multitenant self-service portal, a service catalog, and chargeback utilization tracking across multivendor virtual and physical resources. As part of its transition from focusing on hardware to concentrating on software, Egenera has shifted its go-to-market model from being 100% direct to now being 70 80% indirect. Egenera has distribution partnerships with Fujitsu, HP, Dell, and IBM. It is working closely with the HP and IBM channel partner networks as well as building out a broader set of relationships with other partners that are skilled enough to provide the consultative selling and technical support required by Egenera's largescale enterprise and service provider customers. 16 # IDC

21 The firm is also developing partnerships with a number of cloud service providers that are looking at PAN Cloud Director as a platform for managing their own cloud service delivery environments as well as for resale to end customers. Service providers currently represent about one-third of Egenera's software business. HP According to IDC analysis and buyer perception, HP is an IDC MarketScape Major Player worldwide. HP has been a Major Player in the distributed server/workload automation software market since it acquired Opsware for $1.6 billion in The firm's portfolio has expanded and matured over the years to address a wide range of server, converged infrastructure, and application provisioning and automation requirements across physical, virtual, and cloud architectures: HP Server Automation provides IT administrations with automation capabilities for operating system and application provisioning, patching, configuration management, audit, and compliance across heterogeneous physical and virtual servers. HP Database and Middleware Automation is based on technology acquired from Stratavia. It automates the provisioning, patching, configuration, and release management of databases, middleware, and application servers. HP Operations Orchestration is a workflow design and automation engine that executes tasks and processes across datacenter resources. While this product can be purchased on a standalone basis, it is increasingly integrated as the common workflow engine supporting the other HP distributed server/workload automation offerings. HP OO provides more than 4,000 out-of-the-box content and flows supporting a wide variety of heterogeneous hardware and software platforms. HP Cloud Service Automation (CSA) provides full automation of the end-to-end service life cycle and its management. It incorporates HP Server Automation, HP Operations Orchestration, and HP Database and Middleware Automation. It has built-in application and infrastructure monitoring and compliance technologies. CSA provides a broad range of automation and management capabilities for private and hybrid clouds that are supporting IaaS, PaaS, and SaaS solutions. Specifically, CSA is able to automate provisioning and resource allocation across diverse physical and virtual systems and applications via a self-service portal and supports multiple service catalogs per organization. The user interface for CSA is designed to be accessible by business and non-technical users via icons and intuitive dashboards. It provides a graphical service designer. CSA includes chargeback monitoring and reporting and can support bursting of workloads onto public cloud resources. It is available as a standalone software product or as part of HP's CloudSystem Enterprise and CloudSystem Service Provider solutions. HP CSA is a core part of the HP Converged Cloud strategy. HP CloudSystem Matrix Software for IaaS is the most recent addition to the portfolio. CloudSystem Matrix Software has been recently unbundled from the HP CloudSystem converged system platform and is now available for sale and deployment as a standalone software product as well as via a CloudSystem 2012 IDC #

22 purchase. The standalone software product provides self-service provisioning and automation for x86-based virtual machine and applications specifically targeted at customers that want to add IaaS capabilities to their virtualized environment. If delivered as part of a CloudSystem converged system platform, the automated self-service management of HP's physical server hardware is also available. The user interface for this product is targeted at technical users, specifically IT staff or sophisticated power user in such areas as application development and testing. HP Cloud Maps provide predefined blueprints for the provisioning of infrastructure and application patterns to accelerate customer time to value by providing out-of-the-box best practice automation workflows and configuration specifications. While HP Cloud Maps for provisioning infrastructure solutions are available at no charge, there is a fee for Cloud Maps that provision applications and provide ongoing life-cycle management. In addition, HP offers the HP Data Center Automation suite, which includes distributed server/workload automation software functionality as well as database, storage, and network management capabilities for automation and orchestrating the provisioning, patching, configuration, remediation, and ensuring compliance of the infrastructure and business processes. Specifically, it includes HP Server Automation, HP Database and Middleware Automation, HP Network Automation, HP Storage Essentials, and HP Operations Orchestration. In terms of go-to-market and business investment, HP is currently in the midst of reinvigorating its support for standalone software products in this area. In 2009 and 2010, the emphasis on new development and innovation was focused on extending the value of HP server and hardware platforms by injecting the company's resources and intellectual property around automation into solutions offered as part of the HP Insight and BladeSystem Matrix (now CloudSystem Matrix) converged platforms. In 2011, HP made significant efforts to promote its more advanced distributed server/workload automation software capabilities as standalone software solutions in addition to the versions that are bundled with hardware platforms. As a result of increasing customer interest in cloud and this renewed effort to promote the sale of software solutions via HP's direct and indirect channels, HP's revenue in this market increased 59% from 2010 to The company has a strong pre- and postsales services team as well as a large number of worldwide partners, although customers report that coordination between hardware and software teams can sometime be problematic but is improving over time. HP still has some work to do in terms of rationalizing its product branding and creating market awareness for the standalone software offerings, although it has made significant strides in the past year. IBM According to IDC analysis and buyer perception, IBM is an IDC MarketScape Major Player worldwide. IBM has long been a player in the distributed server/workload automation software market with such products as IBM Service Delivery Manager, Tivoli Service Automation Manager, Tivoli Intelligent Orchestrator, Tivoli Provisioning 18 # IDC