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<Insert Picture Here> Oracle Cloud Computing Strategy Arthur F. Tyde III Program Executive, High Performance, Grid, Cloud Computing Oracle ASEAN

The following is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functionality described for Oracle s products remain at the sole discretion of Oracle. 2009 Oracle Proprietary and Confidential 2

What Is Cloud Computing 2009 Oracle Proprietary and Confidential 3

NIST Definition of Cloud Computing Cloud computing is a model for enabling convenient, ondemand network access to a shared pool of configurable computing resources (e.g., networks, servers, storage, applications, and services) that can be rapidly provisioned and released with minimal management effort or service provider interaction. This cloud model promotes availability and is composed of: 5 Essential Characteristics On-demand self-service Resource pooling Rapid elasticity Measured service Broad network access 3 Service Models SaaS PaaS IaaS 4 Deployment Models Public Cloud Private Cloud Community Cloud Hybrid Cloud Source: NIST Definition of Cloud Computing v15 2009 Oracle Proprietary and Confidential 4

SaaS, PaaS and IaaS Software as a Service Applications delivered as a service to end-users over the Internet Platform as a Service App development & deployment platform delivered as a service Infrastructure as a Service Server, storage and network hardware and associated software delivered as a service 2009 Oracle Proprietary and Confidential 5

Public Clouds and Private Clouds Public Clouds Private Cloud Used by multiple tenants on a shared basis Hosted and managed by cloud service provider Limited variety of offerings SaaS PaaS IaaS Public Clouds: Lower upfront costs Economies of scale Simpler to manage OpEx I N T E R N E T Both offer: High efficiency High availability Elastic capacity I N T R A N E T Users SaaS PaaS IaaS Private Cloud: Lower total costs Greater control over security, compliance & quality of service Easier integration CapEx & OpEx Exclusively used by a single organization Controlled and managed by in-house IT Large number of applications 2009 Oracle Proprietary and Confidential 6

44% of Large Enterprises Are Interested In Building An Internal Cloud Source: Cloud Computing, Compute-As-A-Service: Interest And Adoption By Company Size, Forrester Research, Inc., February 27, 2009 2009 Oracle Proprietary and Confidential 7

Cloud Computing Is a High CIO Priority Source: Gartner 2009 Oracle Proprietary and Confidential 8

Why Are Enterprises Interested in Cloud? Benefits of Cloud Computing Speed Cost Source: IDC exchange, "IT Cloud Services User Survey, pt. 2: Top Benefits & Challenges," (http://blogs.idc.com/ie/?p=210), October 2, 2008 2009 Oracle Proprietary and Confidential 9

What Are the Challenges Enterprises Face? Challenges of Cloud Computing Security QoS Fit Source: IDC exchange, "IT Cloud Services User Survey, pt. 2: Top Benefits & Challenges," (http://blogs.idc.com/ie/?p=210), October 2, 2008 2009 Oracle Proprietary and Confidential 10

Oracle Cloud Strategy 2009 Oracle Proprietary and Confidential 11

Oracle Cloud Computing Strategy Our objectives: Ensure that cloud computing is fully enterprise grade Support both public and private cloud computing give customers choice Offer Applications deployed in private shared services environment or via public SaaS Offer Technology to build private clouds or run in public clouds Public Clouds SaaS PaaS IaaS I N T E R N E T I N T R A N E T Private Cloud SaaS PaaS IaaS Users 2009 Oracle Proprietary and Confidential 12

Oracle Cloud Computing Strategy Oracle Applications On Demand Public Clouds Private Cloud Oracle Applications SaaS PaaS IaaS I N T E R N E T I N T R A N E T SaaS PaaS IaaS Oracle Technology in public clouds Users Oracle Private PaaS 2009 Oracle Proprietary and Confidential 13

Oracle Private PaaS: What, Why and How 2009 Oracle Proprietary and Confidential 14

Why Enterprise Private PaaS Why Cloud? - Agility and speed - Efficiency and cost IaaS PaaS Why Private? - Security - Compliance - Control (particularly over QoS) - Easiest evolution of existing expertise and practices Built by user PaaS Built by user Provided by IT Why Platform? - Maximizes component re-use - Minimizes hand coding - Maximizes flexibility and control Provided by IT IaaS 2009 Oracle Proprietary and Confidential 15

Oracle Cloud Platform for PaaS Application 1 Application 2 Application 3 Platform as a Service Integration: SOA Suite Shared Services Process Mgmt: BPM Suite Application Grid: WebLogic Server, Coherence, Tuxedo, JRockit Database Grid: Oracle Database, RAC, ASM, Partitioning, IMDB Cache, Active Data Guard, Database Security Operating Systems: Oracle Enterprise Linux Virtualization: Oracle VM Servers Security: Identity Mgmt Infrastructure as a Service User Interaction: WebCenter Cloud Management Oracle Enterprise Manager Lifecycle Management Configuration & Compliance Application Performance Management Application Quality Management Storage 2009 Oracle Proprietary and Confidential 16

Private PaaS Lifecycle 3. Use App 2. Build App Assemble app using shared components Deploy through self-service 1. Set Up Cloud App Users App Developer App Shared Components 4. Scale up/down Adjust capacity based on policies Monitor via selfservice Self-Service Interface App Owner 5. Chargeback Meter usage and charge back to app owners or departments IT Set up PaaS Set up shared components Set up selfservice portal Oracle Fusion Middleware Oracle Database Oracle Enterprise Linux Oracle VM Oracle Enterprise Manager 2009 Oracle Proprietary and Confidential 17

Enterprise Evolution To Cloud Public Clouds Hybrid Public Cloud Evolution SaaS PaaS IaaS SaaS PaaS IaaS Private Cloud Evolution Virtual Private Cloud App1 App2 App3 App1 App2 App3 App1 App2 App3 App1 App2 App3 Private PaaS Private PaaS Private PaaS Private IaaS Private IaaS Private IaaS Silo d Physical Dedicated Static Heterogeneous Grid Virtual Shared services Dynamic Standardized appliances Private Cloud Self-service Policy-based resource mgmt Chargeback Capacity planning Hybrid Federation with public clouds Interoperability Cloud bursting 2009 Oracle Proprietary and Confidential 18

Application Grid and Database Grid: Dynamic Capacity Adjustment Sense demand spike Dept App 1 App 1 Dept App 2 Sense demand spike Sense demand spike Shared Service Shared Shared Service Service Oracle Enterprise Manager WebLogic Server cluster nodes Coherence Data Grid nodes Oracle Database RAC nodes WebLogic Suite-based Application Grid Oracle Database Grid: RAC, ASM, IMDB Cache Adjust capacity 2009 Oracle Proprietary and Confidential 19

Key Database Capabilities for Cloud Cloud Server Grid server pooling, elastic scalability and high availability - Oracle Database 11g - Real Application Clusters - Flash Cache Cloud Storage Grid storage pooling, elastic scalability and high availability - Automatic Storage Management - Partitioning - Advanced Compression - Exadata Storage Servers Cloud Security ensures data privacy and control access - Advanced Security - Database Vault Cloud Database Management - automated, self-managing database - Grid Control - Database Management Packs 2009 Oracle Proprietary and Confidential 20

Key Database Differentiators for Cloud Oracle Database 11g - Industry s fastest, scalable and fault tolerant database Real Application Clusters - Runs ALL Oracle Database applications on server cluster - Dynamic server pooling Automatic Storage Management - Automates file management, striping and mirroring Oracle Exadata - Extreme query performance for ALL database applications Database Security - Controls access at database (not individual applications) 2009 Oracle Proprietary and Confidential 21

Key Fusion Middleware Capabilities for Cloud Application grid clustering with dynamic adjustment for resource pooling, elastic capacity, and high availability - WebLogic Server, Tuxedo, Coherence, JRockit Shared components for PaaS-based application composition - SOA Suite: Shared Services - BPM Suite: Shared Processes - WebCenter Suite: Shared UI components Bridging the divide between enterprise data centers and public clouds Data Integration Suite: Initial setup of public SaaS apps GoldenGate: On-going synchronization of data in the enterprise and the public clouds SOA Suite and BPM Suite: Running unified processes across the enterprise and the public clouds Extending Enterprise Security to envelope private and public clouds - OIM: managing users in the private and public clouds - OAM: managing access to assets in the private and public clouds 2009 Oracle Proprietary and Confidential 22

Key Fusion Middleware Differentiators for Cloud WebLogic Server and Tuxedo: Automated dynamic cluster scaling WebLogic Suite WebLogic Server Virtual Edition: More efficient use of HW resources, smaller footprint, simpler patching, better security Assembly Builder: Automated packaging and deployment of complex topologies onto a pool of shared hardware resources with minimal user input Coherence: Elastic memory terascaling GoldenGate : real-time synchronization between enterprise data and Cloud apps GoldenGate BPM Process Composer: Web-based business process editor for PaaS-based composite-app development Service Bus: enables federated deployments across enterprise and Cloud WebCenter Framework: The foundation for Cloud s Self-Service Portal Business Dictionary: provides the User Experience Platform for public and private PaaS SOA Suite BPM Suite WebCenter Suite Service-Oriented Security: provides agile application security and enables Identity-as-a-Service (Id-aaS) Identity Management 2009 Oracle Proprietary and Confidential 23

Key Enterprise Manager Capabilities for Cloud Capacity & Consolidation Planner Out-of-the-Box Cloud Solutions Policy-based Workload Management Self-Service Application Cloud Setup Metering & Chargeback Assembly Packaging Foundation Capabilities Lifecycle Management Configuration and Compliance Application Performance Management Application Quality Management Dynamic Resource Management Compliance Dashboards Real User Monitoring Functional/Load Testing Patching Application Configuration Management SOA, Java, JVM Real Application Testing Provisioning Collection, Tracking, History Diagnostics, Tuning Data Masking Key: Existing Capability Planned Capability Major Enhancement 2009 Oracle Proprietary and Confidential 24

Enterprise Manager Differentiators for Cloud Only vendor to provide a complete, vertically integrated cloud - Application aware - Applications to disk Fast, easy application deployment - Automated application packaging and provisioning - Appliances and multi-tier assemblies Integrated stack management across the lifecycle - Rich application management and monitoring - Management beyond virtual containers Policy driven workload management and provisioning - Can be linked to application KPIs 2009 Oracle Proprietary and Confidential 25

Oracle Private PaaS Customers SASU Shared app server utility DASH - Dedicated appserver hosting JAP - Java application platform DAH Database platform Middleware as a Service 200 apps including PeopleSoft HR on 2,000 instances of WLS Admin resources reduced from 50 to 5 4x reduction in application infrastructure deployment costs Centralized deployment of 200 applications Operational as well as development team resources reduced by 33%: one time development cost reduced by 30%, recurring development cost reduced by 35% Security governance changes implemented in 2 nights instead of 3 months In the process of creating a standardized, shared middleware infrastructure includes AppServer, SOA Automated provisioning of a standard build environment Goal to have <10 admins manage hundreds of apps DAP Deutsche Application Platform Shared infrastructure delivers reduces costs 100% growth in apps with only 15% more operating budget Cost savings of 40% to 90% over a dedicated solution Disaster recovery for all 200+ applications deployed to the Platform 2009 Oracle Proprietary and Confidential 26

Oracle in Public Clouds Oracle Database, Fusion Middleware & Enterprise Manager supported on EC2 Amazon Machine Images (AMIs) Oracle Database Secure Backup to S3 Self-service Public PaaS based on Oracle VM, Oracle Enterprise Linux, Oracle Database RAC and Oracle WebLogic Server 2009 Oracle Proprietary and Confidential 27

250+ Leading SaaS Providers Use Oracle PaaS 8 out of 10 SaaS vendors delivering business-critical applications run on Oracle. Nucleus Research 2009 Oracle Proprietary and Confidential 28

Oracle SaaS Applications 2009 Oracle Proprietary and Confidential 29

Oracle Applications Deployed on Shared Services Private PaaS Industry Applications Shared Components Private PaaS Oracle Fusion Middleware Oracle Database Oracle Enterprise Linux Oracle VM Oracle Enterprise Manager 2009 Oracle Proprietary and Confidential 30

Oracle SaaS Applications Available Today CRM Wide range of applications Integrated Enterprise-grade Collaboration Life Sciences: Drug Safety 2009 Oracle Proprietary and Confidential 31

Oracle On Demand Flexible Deployment Options Multi-Tenant SaaS Single-Tenant SaaS Hosted & Managed Remote Management On-Premise Public Private Pay-per-use OpEx Off-premise Licensed CapEx & OpEx On-premise Managed by vendor Managed by Customer Vendor scheduled maintenance Customer scheduled maintenance 2009 Oracle Proprietary and Confidential 32

Oracle VM 2009 Oracle Proprietary and Confidential 33

Oracle VM Server Virtualization High performance 86/x64 and SPARC (CMT) virtualization Virtualization solution for both Oracle and non-oracle applications The only server virtualization software supported and certified for all Oracle software Free to download Enterprise-quality support Real-world deployment testing Risk-free virtualization 2009 Oracle Proprietary and Confidential 34

Oracle VM Server virtualization software for both Oracle and non-oracle applications Oracle VM Server Oracle VM Manager The only server virtualization software supported and certified with Oracle products Free to download Free to distribute Free license Enterprise-quality support Real-world deployment testing Risk-free virtualization 2009 2010 Oracle Proprietary and Confidential 35

Oracle VM Server for x86 Advanced Server Virtualization Solution Next-generation architecture Advanced migration & HA features - No additional charge Rapid application deployment Free download - Zero license costs, zero key management Affordable, full-stack enterprise-class support Leading price:performance Official Oracle product certification based on real-world testing 2009 2010 Oracle Proprietary and Confidential 36

Oracle VM Manager Browser-based management solution Included with Oracle VM Full VM lifecycle management: - Create - Configure - Clone - Share - Boot - Migrate Oracle VM Management Pack for Oracle Enterprise Manager 2009 2010 Oracle Proprietary and Confidential 37

Oracle VM Templates Oracle Database 11g Oracle Siebel CRM 8.1 Oracle PeopleSoft Oracle Enterprise Manager Oracle Fusion Middleware Oracle Enterprise Linux More edelivery.oracle.com/linux Deploy software faster without installing & configuring from scratch; lower overall costs 2009 2010 Oracle Proprietary and Confidential 38

Physical-to-Virtual / Virtual-to-Virtual Machine Conversion Oracle VM Manager Conversion to Oracle VM VM VM VM VM VM Oracle VM Server Pool Oracle VM Servers NAS, SAN, iscsi Physical Server: Enterprise Linux Windows VMware Virtual Machines (vmdk images) Windows Linux Consolidate Servers Eliminate VMware license expense 2009 2010 Oracle Proprietary and Confidential 39

Oracle Assembly Builder Package Multi-Tier Applications Coming Soon Oracle SOA Suite Oracle BPM Suite Oracle WebCenter Oracle Identity Mgt Oracle WebLogic Suite-based Application Grid Oracle Database Introspection & Assembly Oracle VM Template Builder OVF Packaging Deployment Enterprise Manager Oracle VM Manager Virtualized Software Appliances Application A Application B Assembly A Assembly B Oracle VM Server 2009 2010 Oracle Proprietary and Confidential 40

Oracle Assembly Builder Studio Wire Together Appliances to Form Assemblies Creates appliances and assemblies Integrates with Enterprise Manager software library Out of box appliances for database, middleware and applications Supports different methods of appliance creation - From reference VM - From a physical machine Assemblies, Appliances Catalog Assembly Editor Properties Inspector Coming Soon Activities Log 2009 2010 Oracle Proprietary and Confidential 41

Virtual Appliances & Assemblies Speed Deployments and Reduce Errors Coming Soon Appliances: Pre-configured virtual machines - Ready-to-run full product stack package JeOS: pre-configured, small footprint, pre-tuned, pre-prepared Application system disk(s) preinstalled User-configurable /customizable at first boot Assemblies: multiple appliances - Multiple VMs to support composite apps Growing support for industry-standard OVF (Open Virtualization Format) - Standardized metadata about VMs (resources required, how to scale ) Ready-to-Run Assembly 2009 2010 Oracle Proprietary and Confidential 42

WebLogic Server Virtual Edition: Less Is More Coming Soon Management Simplicity with Performance and Utilization APP WebLogic JRockit OS Server APP WebLogic APP WebLogic JRockit OS Oracle VM APP WebLogic JRockit OS APP WLS LVM VE APP WLS LVM VE APP WLS LVM VE Oracle VM APP WLS LVM VE JRockit OS Server Server 2009 2010 Oracle Proprietary and Confidential 43

WebLogic Server Virtual Edition Value Proposition Coming Soon Management Simplicity - Eliminate requirement for provisioning and managing Guest Operating Systems - Only application administration, no separate OS administration - Assembly Builder delivers simplified deployment of entire domain onto virtualized resources Higher Performance - Tailored to run Java (Only the bare minimum of OS services needed for java) - Optimized to run on Virtual Platforms Better physical hardware utilization - Eliminating the OS reduces consumption of system resources such as memory and CPU cycles 2009 2010 Oracle Proprietary and Confidential 44

Summary 2009 Oracle Proprietary and Confidential 45

Oracle Cloud Computing Summary Oracle s cloud computing strategy is to offer: 1. Technology to build private clouds or run in public clouds 2. Applications deployed in private shared services environment or via public SaaS Oracle helps enterprise IT evolve to become private cloud service providers based on our leadership position in grid computing Oracle offers a comprehensive set of building blocks for building and managing public and private clouds from applications to disk 2009 Oracle Proprietary and Confidential 46

2009 Oracle Proprietary and Confidential 47

Oracle Database Machine 2009 Oracle Proprietary and Confidential 48

Why is Exadata so Fast Today, database performance is limited by storage - Storage systems limit data bandwidth from storage to servers - Storage Array internal bottlenecks - SAN bottlenecks - Random I/O bottlenecks due to physical disk speeds Data Bandwidth limits severely restrict performance for data warehousing Random I/O bottlenecks limit performance of OLTP applications Exadata eliminates these issues by having two redundant fast 40gb/s infiniband interconnects and shipping less data with query offload 2009 Oracle Proprietary and Confidential 49

Exadata Smart Storage Breaks Data Bandwidth and Random I/O Bottleneck Oracle addresses data bandwidth bottleneck 3 ways - Massively parallel storage grid of high performance Exadata storage servers (cells). Data bandwidth scales with data volume - Data intensive processing runs in Exadata storage. Queries run in storage as data streams from disk, offloading database server CPUs - Columnar compression reduces data volume up to 10x Exadata Hybrid Columnar Compression provides 10x lower cost, 10x higher performance Oracle solves random I/O bottlenecks using Exadata Smart Flash Cache - Increase random I/Os by factor of 20X Exadata Storage Cells 2009 Oracle Proprietary and Confidential 50

Sun Oracle Database Machine In Built High Availability Fault Tolerant System Grid is the architecture of the future Highest performance, lowest cost, redundant, incrementally scalable Sun Oracle Database Machine delivers the first and only complete grid architecture for all data management needs RAC Database Server Grid 8 High-performance low-cost compute servers fault-tolerant & RAC ready 2 Intel quad-core Xeons each InfiniBand Network 40 Gb/sec fault-tolerant unified server and storage network Exadata Storage Server Grid 14 High-performance low-cost storage servers fault-tolerant and clustered, supports disk or dell failure 100 TB raw SAS disk storage 5TB+ flash storage 2009 Oracle Proprietary and Confidential 51

Exadata Software Features Exadata Smart Scans - 10X or greater reduction in data sent to database servers Exadata Storage Indexes - Eliminate unnecessary I/Os to disk Hybrid Columnar Compression (HCC) - Efficient compression increases effective storage capacity and increases user data scan bandwidths by a factor of 10X Exadata Smart Flash Cache - Breaks random I/O bottleneck by increasing IOPs by 20X - Doubles user data scan bandwidths I/O Resource Manager (IORM) - Enables storage grid by prioritizing I/Os to ensure predictable performance Inter-leaved Grid Disks - Enables storage grid that allows multiple applications to place frequently accessed data on faster portions of the disk 2009 Oracle Proprietary and Confidential 52