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Embracing the Cloud to
Deliver Business Value at Intel
Intel Corporation
August, 2012




INTEL CONFIDENTIAL
Legal Notices




This presentation is for informational purposes only. INTEL MAKES NO WARRANTIES, EXPRESS OR IMPLIED, IN THIS SUMMARY.

Intel and the Intel logo are trademarks of Intel Corporation in the U.S. and/or other countries.

* Other names and brands may be claimed as the property of others.
Copyright © 2012, Intel Corporation. All rights reserved.




2   Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
Intel IT Vital Statistics
6,400 IT employees
      – 54 global sites

91,500 Intel employees†
      – 164 sites, 62 countries

87 Data Centers
      – ~75,000 servers

>138,000 Devices
      – >109K PCs (80%+ mobile)
      – >29,000 Handhelds (58% BYO)




Source: Information provided by Intel IT as of Jan 2012. † does not include wholly owned subsidiaries that Intel IT does not directly support
3    Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
Intel IT’s Focus


                                        Business Intelligence                                                                             Greater Security
                                       Deliver real-time insight to                                                                       Protect to enable
                                             drive decisions




                                        Consumerization of IT                                                                          Agility with Clouds
                                        Customized productivity                                                                       Support the increasing
                                         with personal devices,                                                                       speed of the business
                                            seamless access




Source: Information provided by Intel IT as of Jan 2012. † does not include wholly owned subsidiaries that Intel IT does not directly support
4    Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
Benefits of Cloud – Fact or Fiction?
          For a few years now, everything we’ve heard about cloud has mostly been hype.
          It’ll be the next transformational leap for technology, the pundits said. It will cut
          complexity, improve flexibility and make IT more strategic to business, the
          vendors said. CIO Magazine, April 11, 2011

                Cloud Computing Will Surpass the
                Internet in Importance.                                                  Amazon Outage Sparks Frustration,
                CIO Magazine, July 9, 2010                                               Doubts About Cloud
                                                                                         InfoBoom, April 26, 2011
    Simply put, cloud computing has the potential
    to turn the economics of enterprise IT upside
    down, offering key business advantages from a
    capital and operations-related expense                                                  Microsoft BPOS Downtime
    perspective. eWeek, Nov 22, 2010                                                        Illustrates the Risks of Cloud
                                                                                            Computing”CIO Insight, May 16, 2011


       We are already well on the way with this initiative. The private cloud concept brings
       with it the benefits of agility, accessibility, efficiency, and the capability to scale while
       addressing the perceived risks in the public cloud environment today.
       Dam Gerrard, CIO Avis Europe



5
5   Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
Benefits of Cloud – Fact or Fiction?
          For a few years now, everything we’ve heard about cloud has mostly been hype.
          It’ll be the next transformational leap for technology, the pundits said. It will cut
          complexity, improve flexibility and make IT more strategic to business, the
          vendors said. CIO Magazine, April 11, 2011

                Cloud Computing Will Surpass the
                Internet in Importance.
                                                                                     FACTAmazon Outage Sparks Frustration,
                                       The benefits of cloud are real.
                CIO Magazine, July 9, 2010                                               Doubts About Cloud
                                                                                         InfoBoom, April 26, 2011
    Simply put, cloud computing has the potential
    to turn the economics of enterprise IT upside
                      $9M in net savings up to 2011 &
    down, offering key business advantages from a
    capital and operations-related expense                                                  Microsoft BPOS Downtime
                     $3M year since then from our internal
    perspective. eWeek, Nov 22, 2010                                                        Illustrates the Risks of Cloud
                                            Computing”CIO Insight, May 16, 2011
                                 cloud effort
       We are already well on the way with this initiative. The private cloud concept brings
       with it the benefits of agility, accessibility, efficiency, and the capability to scale while
       addressing the perceived risks in the public cloud environment today.
       Dam Gerrard, CIO Avis Europe



6
6   Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
Cloud is Clearly a Reality … and Stronger than Ever

                                     Public Cloud                                           Private Cloud
                                                             $159.3B                                 $66.4B




                           +525%                                                          +785%




                                      $25.5B
                                                                                             $7.5B



                                          2011                    2020                       2011     2020




               “Despite a couple years of people saying cloud is ‘just the latest IT
               fad,’ it is now clear that IT will never be the same.” - Wired, December 2011



Source: Forrester Research, April and December 2011
7    Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
What’s Changed?


                                     Increasing requirements for
                                     on-demand, simplified self-                                                                       Growth in public Cloud
                                      service, custom solutions                                                                              adoption
                                               from IT




                                        Industry-ready products
                                        now available for private                                                                    IT consumerization is an
                                                 Cloud                                                                                   enterprise reality




Source: Information provided by Intel IT as of Jan 2012. † does not include wholly owned subsidiaries that Intel IT does not directly support
8    Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
Intel’s Definition of the Cloud
Cloud Computing
• An evolution in IT consumption and delivery made available self
  service via the Internet with a flexible, pay as you go
  business model
•    Requires a highly scalable and efficient Cloud Architecture

Cloud Architecture                                                                                         Management


                                                                                                Compute       Storage          Network
• Data resides in shared, dynamically scalable resource pools
• Based on virtualization and/or scale-out application
  environments


Cloud Types
                                                                                         Private Clouds   Hybrid        Public Clouds
• Private: Deployed behind firewall for an organization’s                                                 Clouds

  internal use
• Public: Services via public internet, multi-tenant
• Hybrid: A composition of two or more clouds (public,
  private, mixed)


9   Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
Intel’s Cloud Objectives


                                                                                                    Mobility:
                                                                                                    Data and applications
                                                                                                    delivered any time,
                                                                                                    anywhere, on any device


                                                                                 Velocity:
                                                                                 •        On-demand self-service
                                                                                          provisioning
                                                                                 •        Resource abstractions
                                                                                          and re-use



                                                         Cost Reduction:
                                                         •      Virtualization
                                                         •      Multi-tenancy



10   Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
Intel’s Cloud Journey
                              Today                                                                  Tomorrow




            Large                                       Limited
                                                                                                       Hybrid Cloud
        Private Cloud                                 Public Cloud


• 72% Virtualized                                                                         • Land Applications in Minutes
• 80% of New Services in the Cloud                                                        • Automation: Lower Cost with Less
• Under 1 Hour to Deploy Infrastructure                                                     Resources
                                                                                          • Open Cloud for Burst Capacity




11   Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
Considerations on Your Cloud Journey


         1                   What Business Problem are You Trying to Solve?



         2                   How Will you Source?



         3                   What Types of Apps/Services in the Cloud?



         4                   How Will You Manage the Cloud?




12   Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
1               What Business Problem Are You
                     Trying to Solve?



                                                                                                  Business
                          Budget?                                                 Performance?
                                                                                                 Demands?




                   Problem becomes lens we view all decisions through



13   Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
2               How Will You Source?

               Private Cloud                                                                               Public Cloud
                             (Build)                                                      Hybrid Cloud            (Buy)
                                                                                             (Both)




                      CapX
               Predictable Demand                                                                                  OpX
              Secured and Controlled                                                                      Unpredictable Demand
                                                                                                         Regulatory Certifications




                                                  Build, Buy, Lease or All of the Above?




14   Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
3                  What Type of Applications in the Cloud?



              Enterprise/Legacy                                                       Cloud-Aware   SaaS




                       Need to understand your application environment



15   Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
4               How Will the Cloud Be Managed?



             Business Unit Managed?                                                            IT Managed?


                                                                                          OR




16   Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
Transformation of IT
     Embedded IT                                                                 Centralized IT                            IT Integrator
        Business Owned                                                 Cost Center/Service Provider                         Service Broker




                                                                                             IT
                                                                                                                      IT
                                                                                                                                 IT
                                                                        Business                      Business                                    IT
                              IT                                                                                 Business/IT
                                                                                                                                          Business/IT
               Business & IT

                                                                                           Business                            Business

     Business Unit Control                                                              IT Control                     Shared Control
         at High Cost                                                                  at Low Cost                    at Optimized Cost




               By 2013 Hybrid Applications are the Norm
                IT controls data integration, security, governance and cost




17    Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
Summary
• Cloud is a reality
• Design solutions for the business problem
• Use sourcing to create flexibility
• Embrace the role of cloud services integrator




18   Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
Resources for You



                                                                                          • Sharing Intel IT’s best
                                                                                            practices with the world
                                                                                            www.intel.com/IT




                                                                                          • Join today. With 300+ companies
                                               Over 300 Global IT                           representing more than $100B in
                                               leaders representing
                                               over $100B in                                annual IT spend.
                                               annual IT spend                              www.opendatacenteralliance.org




19   Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
Thank You




20   INTEL CONFIDENTIAL
Consumerization


                                                                      Gadgets
                                                                                          TVs

                      Smartphones

                                                                                                    Ultrabooks™ &
                                                                                                      Notebooks




                      Desktop PCs

                                                                                          File Sharing
                                                                           Messaging


              End User expectations growing beyond Smartphones and Tablets




22   Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
What the Cloud Means to Intel IT

• Delivering a highly available computing environment where
  secure services and data are delivered on-demand to
  authenticated devices and users utilizing a shared, elastic
  infrastructure that concurrently supports multiple tenants


                                 1
       Attributes                                                               Service Models
       On-demand self-service                                                   Software as a Service: on-demand packaged sw
                                                                                Platform as a Service: on-demand sw development
       Broad network access                                                     and hosting
       Rapid elasticity                                                         Infrastructure as a Service: on-demand compute
       Measured service                                                         infrastructure

       Resource pooling                                                         Delivery Models
       Shared multiple tenants                                                  Public
                                                                                Private
                                                                                Hybrid



1These attributes been adapted from National Institute of Standards and Technology, and reflects the key characteristics and business drivers for cloud
computing within the Intel IT organization
23   Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
Intel’s Application Roadmap for Cloud

            SaaS                                               Legacy                     Cloud-aware
         Applications                                        Applications                 Applications
                                                                                                         SaaS Apps


                                                                                                           Cloud-
                                                                                                         aware Apps



              Public                                             Private                   Hybrid        Enterprise
              Cloud                                               IaaS                     Cloud           Apps



                                         TODAY                                                    TOMORROW



                                    By 2013 Hybrid applications are the norm



24   Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
What Does it Mean for IT?
• IT must move at the speed of business
• Understand the business as well as the technology
• Comprehend the users’ needs
• Nurture new IT skill sets and roles




25   Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA

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Intel Cloud Summit: Liam Keating Keynote

  • 1. Embracing the Cloud to Deliver Business Value at Intel Intel Corporation August, 2012 INTEL CONFIDENTIAL
  • 2. Legal Notices This presentation is for informational purposes only. INTEL MAKES NO WARRANTIES, EXPRESS OR IMPLIED, IN THIS SUMMARY. Intel and the Intel logo are trademarks of Intel Corporation in the U.S. and/or other countries. * Other names and brands may be claimed as the property of others. Copyright © 2012, Intel Corporation. All rights reserved. 2 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 3. Intel IT Vital Statistics 6,400 IT employees – 54 global sites 91,500 Intel employees† – 164 sites, 62 countries 87 Data Centers – ~75,000 servers >138,000 Devices – >109K PCs (80%+ mobile) – >29,000 Handhelds (58% BYO) Source: Information provided by Intel IT as of Jan 2012. † does not include wholly owned subsidiaries that Intel IT does not directly support 3 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 4. Intel IT’s Focus Business Intelligence Greater Security Deliver real-time insight to Protect to enable drive decisions Consumerization of IT Agility with Clouds Customized productivity Support the increasing with personal devices, speed of the business seamless access Source: Information provided by Intel IT as of Jan 2012. † does not include wholly owned subsidiaries that Intel IT does not directly support 4 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 5. Benefits of Cloud – Fact or Fiction? For a few years now, everything we’ve heard about cloud has mostly been hype. It’ll be the next transformational leap for technology, the pundits said. It will cut complexity, improve flexibility and make IT more strategic to business, the vendors said. CIO Magazine, April 11, 2011 Cloud Computing Will Surpass the Internet in Importance. Amazon Outage Sparks Frustration, CIO Magazine, July 9, 2010 Doubts About Cloud InfoBoom, April 26, 2011 Simply put, cloud computing has the potential to turn the economics of enterprise IT upside down, offering key business advantages from a capital and operations-related expense Microsoft BPOS Downtime perspective. eWeek, Nov 22, 2010 Illustrates the Risks of Cloud Computing”CIO Insight, May 16, 2011 We are already well on the way with this initiative. The private cloud concept brings with it the benefits of agility, accessibility, efficiency, and the capability to scale while addressing the perceived risks in the public cloud environment today. Dam Gerrard, CIO Avis Europe 5 5 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 6. Benefits of Cloud – Fact or Fiction? For a few years now, everything we’ve heard about cloud has mostly been hype. It’ll be the next transformational leap for technology, the pundits said. It will cut complexity, improve flexibility and make IT more strategic to business, the vendors said. CIO Magazine, April 11, 2011 Cloud Computing Will Surpass the Internet in Importance. FACTAmazon Outage Sparks Frustration, The benefits of cloud are real. CIO Magazine, July 9, 2010 Doubts About Cloud InfoBoom, April 26, 2011 Simply put, cloud computing has the potential to turn the economics of enterprise IT upside $9M in net savings up to 2011 & down, offering key business advantages from a capital and operations-related expense Microsoft BPOS Downtime $3M year since then from our internal perspective. eWeek, Nov 22, 2010 Illustrates the Risks of Cloud Computing”CIO Insight, May 16, 2011 cloud effort We are already well on the way with this initiative. The private cloud concept brings with it the benefits of agility, accessibility, efficiency, and the capability to scale while addressing the perceived risks in the public cloud environment today. Dam Gerrard, CIO Avis Europe 6 6 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 7. Cloud is Clearly a Reality … and Stronger than Ever Public Cloud Private Cloud $159.3B $66.4B +525% +785% $25.5B $7.5B 2011 2020 2011 2020 “Despite a couple years of people saying cloud is ‘just the latest IT fad,’ it is now clear that IT will never be the same.” - Wired, December 2011 Source: Forrester Research, April and December 2011 7 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 8. What’s Changed? Increasing requirements for on-demand, simplified self- Growth in public Cloud service, custom solutions adoption from IT Industry-ready products now available for private IT consumerization is an Cloud enterprise reality Source: Information provided by Intel IT as of Jan 2012. † does not include wholly owned subsidiaries that Intel IT does not directly support 8 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 9. Intel’s Definition of the Cloud Cloud Computing • An evolution in IT consumption and delivery made available self service via the Internet with a flexible, pay as you go business model • Requires a highly scalable and efficient Cloud Architecture Cloud Architecture Management Compute Storage Network • Data resides in shared, dynamically scalable resource pools • Based on virtualization and/or scale-out application environments Cloud Types Private Clouds Hybrid Public Clouds • Private: Deployed behind firewall for an organization’s Clouds internal use • Public: Services via public internet, multi-tenant • Hybrid: A composition of two or more clouds (public, private, mixed) 9 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 10. Intel’s Cloud Objectives Mobility: Data and applications delivered any time, anywhere, on any device Velocity: • On-demand self-service provisioning • Resource abstractions and re-use Cost Reduction: • Virtualization • Multi-tenancy 10 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 11. Intel’s Cloud Journey Today Tomorrow Large Limited Hybrid Cloud Private Cloud Public Cloud • 72% Virtualized • Land Applications in Minutes • 80% of New Services in the Cloud • Automation: Lower Cost with Less • Under 1 Hour to Deploy Infrastructure Resources • Open Cloud for Burst Capacity 11 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 12. Considerations on Your Cloud Journey 1 What Business Problem are You Trying to Solve? 2 How Will you Source? 3 What Types of Apps/Services in the Cloud? 4 How Will You Manage the Cloud? 12 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 13. 1 What Business Problem Are You Trying to Solve? Business Budget? Performance? Demands? Problem becomes lens we view all decisions through 13 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 14. 2 How Will You Source? Private Cloud Public Cloud (Build) Hybrid Cloud (Buy) (Both) CapX Predictable Demand OpX Secured and Controlled Unpredictable Demand Regulatory Certifications Build, Buy, Lease or All of the Above? 14 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 15. 3 What Type of Applications in the Cloud? Enterprise/Legacy Cloud-Aware SaaS Need to understand your application environment 15 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 16. 4 How Will the Cloud Be Managed? Business Unit Managed? IT Managed? OR 16 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 17. Transformation of IT Embedded IT Centralized IT IT Integrator Business Owned Cost Center/Service Provider Service Broker IT IT IT Business Business IT IT Business/IT Business/IT Business & IT Business Business Business Unit Control IT Control Shared Control at High Cost at Low Cost at Optimized Cost By 2013 Hybrid Applications are the Norm IT controls data integration, security, governance and cost 17 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 18. Summary • Cloud is a reality • Design solutions for the business problem • Use sourcing to create flexibility • Embrace the role of cloud services integrator 18 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 19. Resources for You • Sharing Intel IT’s best practices with the world www.intel.com/IT • Join today. With 300+ companies Over 300 Global IT representing more than $100B in leaders representing over $100B in annual IT spend. annual IT spend www.opendatacenteralliance.org 19 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 20. Thank You 20 INTEL CONFIDENTIAL
  • 21.
  • 22. Consumerization Gadgets TVs Smartphones Ultrabooks™ & Notebooks Desktop PCs File Sharing Messaging End User expectations growing beyond Smartphones and Tablets 22 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 23. What the Cloud Means to Intel IT • Delivering a highly available computing environment where secure services and data are delivered on-demand to authenticated devices and users utilizing a shared, elastic infrastructure that concurrently supports multiple tenants 1 Attributes Service Models On-demand self-service Software as a Service: on-demand packaged sw Platform as a Service: on-demand sw development Broad network access and hosting Rapid elasticity Infrastructure as a Service: on-demand compute Measured service infrastructure Resource pooling Delivery Models Shared multiple tenants Public Private Hybrid 1These attributes been adapted from National Institute of Standards and Technology, and reflects the key characteristics and business drivers for cloud computing within the Intel IT organization 23 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 24. Intel’s Application Roadmap for Cloud SaaS Legacy Cloud-aware Applications Applications Applications SaaS Apps Cloud- aware Apps Public Private Hybrid Enterprise Cloud IaaS Cloud Apps TODAY TOMORROW By 2013 Hybrid applications are the norm 24 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA
  • 25. What Does it Mean for IT? • IT must move at the speed of business • Understand the business as well as the technology • Comprehend the users’ needs • Nurture new IT skill sets and roles 25 Copyright © 2012, Intel Corporation. All rights reserved. Intel Confidential – NDA