Completing the Promise of Virtualization. Delivering the Virtualized Information Technology Infrastructure January 30, 2008

Completing the Promise of Virtualization .

Delivering the Virtualized Information Technology Infrastructure

January 30, 2008

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Agenda

• About Parallels

• Vision for the Virtualized Information Technology – Optimizing IT

• Understanding Virtualization Technologies

• Introduction of Parallels Virtuozzo Containers 4.0 and Parallels Infrastructure Manager

• Summary

Parallels – Optimized ComputingTM

New Company Name, Logo, Tagline, Assertion • Prior name: SWsoft, with many products and brands; name

changed on January 28, 2008

• New Logo & Brand:

• Tagline:

• New Assertion:

Optimized Computing.

TM

A worldwide leader in virtualization and automation software that optimizes computing for consumers, businesses and service providers across all major hardware, operating system, and virtualization platforms.

Virtualization + Automation = Optimization33 Parallels – Optimized ComputingTM

4

Parallels Company Overview

Strong Foundation• Founded at the end of 1999, 8+ years of rapid growth• Profitable with close to 900 employees worldwide• 500+ Partners, including Microsoft, Apple, Intel, AMD, Dell, HP & IBM

Proven Track Record• Powering more than 1 Million Servers and Desktops• Serving more than 10 Million End-Customers in 125 Countries• 27 Awards in the last 12 months

Market Leadership• #1 in Desktop Virtualization (Parallels Desktop for Mac)• #1 in OS-level Virtualization (Parallels Virtuozzo Containers) • #1 in Server Automation Control Panels (Parallels Plesk Control Panel)


5

Parallels Products Overview


Virtualization

ParallelsDesktop

ParallelsWorkstation

Parallels Server Parallels Virtuozzo Containers

The best of both worlds with Hypervisor and OS Virtualization

Automation

Complete automation & management of IT systems and processes

Parallels System Automation

Parallels Business Automation

Parallels InfrastructureManager

Parallels Plesk Products

6 Parallels – Optimized ComputingTM

Production Deployments• 250,000+ physical servers• 750,000+ desktops• 750,000+ containers• 100+ Fortune 500 companies

Selected Customers• GE• Siemens• T-Systems• Cox• Jack Henry• Bertelsmann• U.S. Congress• Mayo Clinic• Univ. of Penn.• KPN• Telefonica

• Sony• CNN• SAS• Hilton Hotels• Credit Suisse• Intuit• Lucent• FAA • Moody's• Veterans Affairs• Lockheed Martin

“Cox had an immediate ROI of 300%. The templates and the single copies of software make the configuration really simple to manage.”

- Keith Hubbard, Server Team Manager,Cox Communications

Parallels Customer Momentum

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Parallels Media Momentum

Recent Awards Analyst Coverage

3rd Party Reviews & Coverage

“If you think of server virtualization in terms of VMware, Virtuozzo will turn that thinking around…”

Paul Venezia, InfoWorld Reviewer

“OS Virtualization will become mainstream by 2010…for example Solaris Containers and Virtuozzo”

John Phelps, Gartner Research VP


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The Virtualized Information Technology Optimizing IT


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Persistent IT Challenges


Managing Costs80% of enterprise data is isolated

on low-cost servers suffering from low utilization and management issues.

(ESG Consulting)

Managing Complexity While IT infrastructure has

obviously accelerated the pace, reach and agility of business, it

has also introduced a huge amount of complexity into enterprise fabrics. (ACM)

Managing Service LevelsDespite increasing costs, IT

continues to miss expectations of other business units – stability, performance, responsiveness, availability, flexibility, security

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Addressing IT Challenges With Virtualization

Parallels – Optimized ComputingTM10

Number of Virtual Servers

De

gre

e o

f M

an

ag

em

en

t &

Au

tom

atio

n1st Generation VirtualizationDevelopment & Test

Improve Development

2nd Generation VirtualizationConsolidation

Lower Hardware Costs

Next GenerationVirtualized IT

Optimize IT

OPTIMIZED IT

INFRASTRUCTURE

Sim

ple

Tools

Developm

ent

& Test

Legacy

Consolidation

Server

Consolidation

Virtual S

erver

Managem

ent

Consolidated D

esktops - VD

I

Hosted IT

Autom

ation SaaS

Management & Automation

Virtualization

11

Optimized ComputingTM with Parallels

Parallels – Optimized ComputingTM11

Optimize Test, Development

& OS Compatibility

Optimize Hardware Usage

ParallelsDesktop

ParallelsWorkstation

Parallels Server

Parallels Virtuozzo Containers

Parallels Server

Parallels Infrastructure Manager

Optimize IT

Parallels Virtuozzo Containers

Parallels System Automation

Parallels Business Automation

Parallels Infrastructure Manager

Parallels Server

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Benefits of the Virtualized IT with Parallels

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Next GenerationVirtualized IT Infrastructure

Optimize IT


Parallels Powered Virtualized Information Technology

Cost Efficient Virtualization of all datacenter workloads

• Enabling all of the virtualization benefits for every workload

• Turning IT into Green IT, optimizing energy costs & consumption

Complete Automation of IT system processes

• Provisioning, patch management, disaster recovery, configuration changes

• Enabling self-management & delegation across the organization

Comprehensive Automation of IT business processes

• Enabling complete accounting and chargeback of resources

• Automating routine business tasks for running IT organization

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Understanding Virtualization Technologies


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What is Virtualization?

“…Virtualization is a framework or methodology of dividing the resources of a computer into multiple execution environments...”

http://www.kernelthread.com/publications/virtualization

“…A key benefit of the virtualization is the ability to run multiple operating systems on a single physical server and share the underlying hardware resources – known as partitioning…”

Definition by one of our competitors

“…software which enables using one computer for something for which you would need multiple computers without it…”

Parallels Virtualization Definition


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Overview of Virtualization Technologies

Container1

Container2

Container3

Guest OSGuest OSGuest OS

VM 1 VM 2 VM 3

Virtual Hardware Virtual Hardware Virtual Hardware

Virtual Machine Monitor

Hypervisor or Standard Host OS

Hardware

Standard Host OS

Hardware

OS Virtualization Layer

Hypervisor OS Virtualization

Hardware Virtualization(Hypervisors)

• Virtualizes access to hardware• Create many instances of virtual HW• Host OS and each guest has full OS• Parallels Server, VMware ESX,

Microsoft Hyper-V

OS Virtualization(Containers)

• Virtualizes access to OS

• Create many instances of virtual OS• Single, standard OS kernel per box• Parallels Virtuozzo Containers,

Sun Solaris Containers, OpenVZ


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Hypervisor Virtualization: Promise vs. Reality

SuccessesChallenges

Assessing Hypervisor Challenges

Server Sprawl

Partial Success

Enhance Manageability

OS SprawlSlow management operations

Negative

Loss of OptimizationsContext switching overhead

Lack of Scalability

Consistent Performance

Hypervisors are a necessary but incomplete solution for virtualization


Fewer ServersExpensive servers are required

Increases OS Management Cost Expensive HW SAN required

Reduce Cost Dramatically Partial Success

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Performance Sensitive Workloads


Performance Sensitive Workloads• Must leverage performance optimizations• Require lowest possible overhead• Require ability to scale to full server

resources

Hypervisors have lower performance because• They emulate hardware and drivers• Operating system optimizations are lost• Context switching between different OSs

is very expensive even with HW support

OS Virtualization solvesthis problem by• Leveraging native HW & device drivers• Maintainining all OS optimizations• Native context switching between

containers

HypervisorApproach

ContainerApproach

Application

VM orContainer

VirtualizationLayer

Hardware

Possibly PoorPerformance

NativePerformance

OptimizedInstruction

GenericInstruction

Performance Optimization Comparison




GenericInstruction



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Right Technology for the Job

Optimize Development& OS Compatibility

Hypervisors OS Virtualization


Optimize IT

Development & Test

Client-based Desktop Virtualization

Legacy Consolidation

Production Consolidation

Performance Sensitive Workloads Consolidation

Centralized Desktop (VDI)

Business Continuity

Software as a Service

IT Hosting & Provisioning


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Right Technology for the Job

Optimize Development& OS Compatibility

Hypervisors OS Virtualization


Optimize IT

Development & Test

Client-based Desktop Virtualization

Legacy Consolidation

Production Consolidation

Performance Sensitive Workloads

Consolidation

Centralized Desktop (VDI)

Business Continuity

Software as a Service

IT Hosting & Provisioning

Combined!


2020

Parallels Virtuozzo ContainersCompleting IT Infrastructure Virtualization


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Parallels Virtuozzo Containers Introduction

Dynamic Resource ManagementCPU, memory, disk, I/O,all system resources, min/max

Live MigrationMove containers without service

interruptions and w/o shared storage

Mass ManagementArchitecture & tools for multi-container/server admin

High Density PartitioningUp to 1,000s+ of containers functionally Identical to standalone servers

Complete IsolationSecurity, address, functional,

fault and performance


The leading OS Virtualization Solution

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Parallels Virtuozzo Containers Advantages

Production Partitions

Servers, IBM 4 Quad CPU 32GB

Server Cost Only

1,000 VMs

40 Servers

> $2,000,000

1,000 Containers

< 20 servers

< $1,000,000

VMware vi3 Parallels Virtuozzo

Density – 2x to 10x more than hypervisors (VMware, Hyper-V, Xen, etc.)• OS/app code and resources shared across multiple Containers• Higher ROI/lower TCO – real customer example – not counting power/space:

Manageability – lower management costs• Single OS, set of devices to manage, fewer apps – solve OS/application sprawl• Fastest virtual server lifecycle operations• Dynamic, near real-time resource allocation with finest granularity

Performance near-native and unlimited Scalability • Each container can seamlessly scale up to the resources of the entire physical

server (VMware limited up to 4 virtual equal to 2 real CPU/VM)• No virtualized hardware enabling access to native server performance


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Parallels Virtuozzo Containers 4.0 – New!


Parallels Infrastructure Manager – New!

Design for large-scale deployments •100s of administrators, 1000s of physical servers,10s of 1000s of Containers/VMs•Logical views of the data center, Role-based security & audit, Multi-level Delegation

Complete virtualized IT life cycle management•Convert, provision, monitor, backup, deploy, recover, analyze, troubleshoot, repair, migrate, self-manage, p2v, v2v, v2p and more

Open – Easy to integrate and extend•Industry standard: SOAP, XML RPC, CLI, SNMP APIs and SDK, LDAP

End-to-end management•Upcoming multi-vendor management: Parallels Virtuozzo Containers, Parallels Server, Microsoft Hyper-V, VMware VI3, Citrix XenServer and more •Multi-layer including physical, VMs, containers and applications

Easy to Use•Powerful dashboards for data center staff, easy download, installation and configuration, intuitive wizards and tutorials



Case Study - Consolidation of Production Servers • Entire production environment runs on Virtuozzo

600+ Virtual environments in production today 49 Physical servers 3 Administrators

• All applications run inside Virtual Containers Databases: MS SQL, MySQL, Business Objects reporting servers Critcal Applications: processing, licensing, distribution, royality management

• Simplfied server management through migrations Quicker staging from development to production Faster, more dynamic recovery of applications Zero down-time server management

• Benefits from Virtuozzo Increased availability – better SLA‘s Significant cost reduction – over 75%

• InfoWorld Top 100 IT Deployments

•“All of these applications need to have 100 percent uptime, and they are very demanding in terms of system resources, system scalability, and especially system security.”

• Lukas Loesche, • Director of IT Operations

•arvato mobile, Bertelsmann


Case Study – Cardpoint, Plc – Server Consolidation

• Industry: Financial, Technology

• Environment: Windows

• Challenges: Virtualize High I/O Applications Microsoft SQL and Oracle BlackBerry

• Results/Manageability Deployed New Virtualized Servers

with Virtuozzo Use Old Servers for Redundancy

and Disaster Recovery


Case Study – Kalido – Server Consolidation• Industry: Technology

• Environment: Windows

• Challenges: Provide QA engineers with replicas of customer environments

• Deployment: Development and QA Testing

• Results/Manageability 30% increase in QA response rates

and high levels of customer satisfaction


Case Study - Cox• Industry: Cable/Telco

• Environment: Windows 2003

• Applications: Call Center App

• IT Challenges Centralized with Remote Access Legacy App (do not want to update for multi-users)

• Deployment Remote Desktop (VDI)

• Results 3 Admins 300% Deployment Savings (over VMware + Citrix)


Case Study – Murphy Oil• Industry: Gas / Oil Exploration

• Environment: Windows 2003

• Applications: Exchange, MS SQL, File & Print, Domain Controller, RSA

• IT Challenges: (Katrina) Create Cost Effective Recovery Plan/Build-out

• Deployment: DR

• Results/Manageability Recovery Time Reduced from

Weeks and Days to Hours


Case Study – System Automation• Industry: Government

as a Service

• Environment: Linux

• Applications: Proprietary Software

• IT Challenges: Weekly Software

Turnover/Updates Limited Hardware

• Deployment: Server and OS Consolidation

• Results: 85% reduction in management


Parallels SaaS – ISV Success StoriesISVs support Parallels SaaS!

Aretta Communications, Inc. (www.aretta.com), “Once we tried Virtuozzo, the selection of a virtualization solution was obvious. Virtuozzo helped us deliver a SaaS platform which is easy to manage and cost effective.” Marc Fribush, President, Aretta Communications

IT Factory, Inc. (www.itfactory.com), ”IBM middleware and SWsoft Virtuozzo provided a secure environment for developing our SaaS applications and our Platform as a Service offering.”

Carsten Sjorup, Chief Technology Officer, IT FACTORY

Scalix (www.scalix.com), “We were able to rapidly deploy our award winning Scalix application utilizing Virtuozzo’s straightforward templates capability. In addition, SWsoft’s SaaS business team helped to match-make us with a Service Provider for immediate launch of our product”.

Florian von Kurnatowski, Director Program Management, Scalix

Spreed (www.spreed.com), “SWsoft Virtuozzo OS virtualization architecture for us clearly represents the ideal solution available on the market!“

Niels Mache, Chairman of the Board and CEO of Struktur AGRead the Case Studies at http://www.swsoft.com/en/saas/spotlights/

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Summary

Try Parallels Virtuozzo Containers today at: http://www.parallels.com/virtuozzo/

View demos at: http://www.parallels.com/launchevent

• Virtualization enables next generation IT – fully automated and utilized – Optimized ComputingTM

• Parallels is leading the way into the next phase of Virtualization when every workload could be virtualized and all processes automated

• OS Virtualization is the only solution for performance sensitive workloads virtualization and is the best for Hosting/SaaS

• Combination of Hardware (Hypervisors) and OS Virtualization (Containers) approach is required to deliver the best value for every scenario

• New! - Parallels Virtuozzo Containers 4.0 with 100s of new features is completing the solution for Virtualized IT - Optimized ComputingTM

• New! - Parallels Infrastructure Manager delivers complete virtualization management and automation


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Appendix


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Parallels Virtuozzo ContainersDescriptions & Architecture

Virtuozzo is the most efficient server virtualization technology on the market and the only onethat lowers management costs by reducing OS and application sprawl.

Virtuozzo Architecture

Container 1

Container 2

Container 3

OS Virtualization Layer

Standard Host OS

Hardware

Containers• Isolated & secure homogeneous OS• Contains defined set of resources• Lightweight, resulting in better consolidation

OS Virtualization Layer• Virtualizes the Host OS• Manages resource allocation, including memory,

processor, storage and I/O

Standard Host OS• Full functional OS• Maintains all application optimizations


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Key Scenarios

Scenario

1. Internal Hosting & Saas

2. Server Consolidation

3. Commercial Hosting

4. Performance Sensitive Workloads

5. Business Continuity

6. Green Computing

7. Virtual Desktop Infrastructure

Why Parallels Virtuozzo Containers

Best Resource Utilization

Best Consolidation Ratio

Best Resource Utilization

Native Performance Architecture

Support for Microsoft & RedHat Clustering

Lower hardware, space, powerand people cost

More Desktops per Server


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Parallels Virtuozzo Containers 4.0 - Features

Solid Foundation• Complete Isolation• Secure Containers• New: Server Failover• New: Container Failover• New: CPU Lockdown

3x more Density• High Density Partitioning• 1,000’s of Containers per Server• Resource Coaching & Linking• Updated: Better Resource Utilization• Updated: Better Disk Usage

Best Manageability• Fast Provisioning: New EZ templates• Updated: Dynamic Resource Mgmt• New: Management Tools• Updated: Global Updates (Patch Svr)• Updated: Live Migration

Native Performance• Native Performance Architecture• Fast Parallels Operations• Container scales to full server• New: Device Sharing & Dedication• Updated: Network Mgmt & Control


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Comparing Products

Scalability

Consolidation Ratio

VM/Container Scalability

Dynamic Resource Management

CPU Architectures

Performance Overhead

Live Migration

Time Required to Provision One Virtual Server

Global Patching of VEs or VMs

Support for SAN, iSCSI, etc.

Physical to Virtual (P2V)

Flexible Storage

Cluster Support

Virtual Server Backup

Price

20:1

Scales to full resources of server

Yes

Dynamic Allocation of CPU,

Memory, & I/0

X86, x64, Itanium

1-3%

Yes

30 sec-1 minute

Yes

Yes

Yes

Yes

Yes

Yes

$2,500/Dual CPU

7:1

Limits: 4 CPU SMP & 16 GB RAM

Partial

Disk space and memory change

requires reboot

X86, x64

up to 50%

Yes

5-10 minutes

No

Yes

Yes

No

Yes

No

$5,750/Dual CPU

Parallels Virtuozzo Containers 4.0

VMware VI3 Enterprise

Performance

Management

High Availability

Price


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New with Parallels Virtuozzo Containers 4.0


General Enhancements• Clustering

Container Clustering Server Clustering

• Parallels Infrastructure Manager• Parallels Transporter (Win2K

migrations)• Improved backup support

Windows Specific Enhancements• Bandwidth management• VSS Snapshots• HW Device Forwarding • HW Device Sharing• Container Footprint Transparency• Virtual CPU Improvements• Container Kernel Reporting• Expanded Networking Support• VLAN Support

Linux Specific Enhancements• Clustering (RedHat Clustering)

Container Clustering Server Clustering

• Burstable CPU limit• Easier Installation• VZFS Upgrade• FUSE support• Improved I/O Management

Itanium Specific Enhancements• Live Migration Support• Service Level Management

Over 100 Enhancements& features

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Parallels Vision – Optimized Computing


Usage Model

Ecosystem

Product Categories

Core Technologies

Heterogeneous Support

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Parallels Virtuozzo Containers- Delivering on the promise of the Virtualized Data Center

- Delivering on the promise for Performance Sensitive Workloads

Parallels Server- Delivering on the promise of Virtualization for SMBs- Delivering same benefits on Linux, Windows, Mac and on Baremetal - Delivering on the promise of Virtualization for Apple Xserves

Parallels Automation- Delivering on the promise of the Virtualized Data Center

- Delivering on the promise of virtualization for ISVs and SaaS

Parallels Workstation- Delivering on the promise of virtualization for workstation power users

Parallels Desktop- Delivering OS integration and application compatibility on the desktop

Parallels in 2008


Documents

Completing the Promise of Virtualization. Delivering the Virtualized Information Technology Infrastructure January 30, 2008