Storage, Cloud, Web 2.0, Big Data Driving Growth

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Storage, Cloud, Web 2.0, Big Data Driving Growth Kevin Deierling Vice President of Marketing October 25, 2013

Delivering the Highest ROI Across all Markets HPC Web 2.0 DB/Enterprise Cloud Financial Services Up to 10X Performance and Simulation Runtime 33% Higher GPU Performance Unlimited Scalability 2X Hadoop Performance 13X Memcached Performance 4X Price/ Performance 10X Database Query Performance 4X Faster VM Migration More VMs per Server and More Bandwidth per VM 12X More Throughput Support More Users at Higher Bandwidth Improve and Guarantee SLAs Lowest Latency 62% Better Execution Time 42% Faster Messages Per Second Storage Mellanox storage acceleration software provides >80% more IOPS (I/O operations per second) 2

Multi Billion Dollar Total Available Market (TAM) Servers 10.6M 1 1.9M HPC 2.2M in 2015, 8% CAGR 2.8M Web 2.0 & Cloud 3.5M in 2015, 11% CAGR 5.9M Enterprise Data Center 6.0M in 2015, 1% CAGR Storage 3.4M 1 3.2M Front End 4.2M in 2015, 15% CAGR 0.2M Back End 0.4M in 2015, 24% CAGR Source: 1 IDC, Gartner; 2 VDC Research; 3 Assumes $400 ASP per end point; 4 Assumes $360 ASP per end point Embedded 0.6M 2 0.7M in 2015, 6% CAGR 14.6M End Points = $5.8B TAM 3 in 2013 16.8M End Points = $6.0B TAM 4 in 2015 3

Rapid Changes in the Market Creates Opportunities Software Defined Everything Software defined network and storage Requires a smart, fast interconnect Fibre Channel Revenue Dip Ahead May 3, 2013 Cloud is the new data center Requires fast and scalable interconnect Convergence means no separate storage network Data intelligence requires highest throughput Flash SSD storage requires low latency RDMA critical for storage and database ROI The Future Depends on Fastest Interconnects 4

Workloads (millions) Uniquely Positioned to Capitalize on Shift to the Cloud By 2016 Nearly 2/3 of Workloads Will Be in the Cloud 7000 Work Load Distribution 2011-2016 6000 5000 Delivering the Most Efficient Clouds 4000 64% 3000 2000 Efficient Virtualized Cloud HyperScale Massive Data Needs Big Pipes 1000 0 39% 2011 2012 2013 2014 2015 2016 Cloud data center Traditional data center Source: http://www.cisco.com/en/us/solutions/collateral/ns341/ns525/ns537/ns705/ns1175/cloud_index_white_paper.htm Convergence Storage Compute Virtualization Software Defined Networks Acceleration InfiniBand RoCE Fast Interconnect Enables Efficient Clouds 5

Supercomputers - Scale-Up Has Been Replaced by Scale-Out Supercomputer ~1985 Scale-Up HPC Cluster Today Scale-Out Secular trend in computing: Scale-out clusters instead of Scale-up Scale-out clusters: De-Facto Solution for HPC, Web 2.0, Cloud, Business Intelligence Fast Interconnect Enables Scale-out Clusters 6

Storage is the New Connected Platform Storage following the scale-out pattern Exponential data growth requires high bandwidth interconnects Convergence: CompuStorage Clusters (IDC) Blurring lines between compute and storage Mellanox storage business growing Both back-end and increasingly front-end Both in absolute terms and as a % of overall revenues IDC Worldwide File & Object Based Storage 2013-2017 Forecast (Aug 8, 2013) Scale-out file and object-based solutions are forecast to show robust growth with a CAGR of 24.5% from 2012 to 2017. (Ashish Nadkarni, research director, storage systems 7

The First Wave of Commercial Scale-Out Compute/Storage Many of the World s Largest Web 2.0 & Cloud Data Centers Run on Mellanox Interconnects InfiniBand and Ethernet (RoCE) RDMA interconnects are connecting HyperScale data centers Mellanox & RDMA Secret Sauce of the Data Center 8

Convergence: Eliminates Dedicated Storage Network Storage prio1 Management prio2 Single Interconnect for Compute, Networking, Storage RDMA InfiniBand or Ethernet (RoCE*) vmotion prio3 Networking prio4 Compute Networking Storage Converged Fabrics 56Gb/s InfiniBand 10/40Gb/s Ethernet * RoCE: RDMA over Converged Ethernet Web 2.0, Public & Private Clouds Converging on Fast RDMA Interconnects 9

Network Virtualization Requires Smart, Fast Interconnect Software Defined Networks OpenFlow Virtual Network Management Overlay Network Tunnels End-to-End & Virtual Network Ready InfiniBand and Ethernet Portfolio ICs Adapter Cards Switches/Gateways Host/Fabric Software Metro / WAN Cables/Modules 10

Big Data + Mobile Apps = FAST DATA Big Data = Search History / Interests Mobile: Location Information Targeted Advertising = Revenue Generating real time, location based, targeted advertising is effective but hard to do! Requires not just Big Data Analytics but Real-Time Analytics Real-Time Analytics requires fast data transfer for compute and storage Fast Interconnect Enables Real-Time Analytics 11

Flash Storage Driving Need for Mellanox Front-End Interconnects OceanStor Dorado2100 G2 FlashSystem ION Data Accelerator Gemini F600 40GbE or FDR InfiniBand Ports 40GbE or InfiniBand Ports EF540 12

Capitalizing on Explosive Growth in Data Data continues to grow exponentially HPC architecture being adopted by Web 2.0, cloud, storage Delivering the most efficient infrastructure Key competitive advantage for Web 2.0 & cloud Mellanox interconnects deliver more Performance Convergence Acceleration Virtualization 13

Thank Thank You You 14