Eco-Efficiency: Reduce Costs

• Decrease energy consumption and emissions with improved efficiencies • equipment management, logistics and transportation

• Reduce production waste• Lean Manufacturing

• Optimize reverse logistics for product reuse and recycling

• Reduce paper consumption• Optimize dispatch of field service technicians • Reduce energy usage with optimized data center management

and virtualization

• For a company with 1,000,000 customers and 25% paper turn-off, the company annually …

– Saves 312 tons of paper– Saves 623 tons of trees– Prevents 302 tons of solid waste– Prevents 1.6 million pounds of

greenhouse gasses– Saves 5.1 million gallons of water

• … and saves on paper, printing and processing costs

Example: Eco-Efficient BillingReduce Environmental & Financial Costs

Eco-Innovation: Expand Opportunity

• Adopt Design for Environment (DfE) principles

• Complete life cycle assessment

• consumption and recycling

• Design supply chain networks for sustainability

• fuel usage, carbon emissions, etc.

• Re-engineer business processes

• Leverage self-service models

• Remote asset management

• maximize machinery utilization and longevity

• Manage environmental metrics

• Report efficiently and consistently

• Manage environmental regulatory exposure

• Achieve hazardous materials compliance

• Manage supplier compliance

• Adhere to regulatory directives in manufacturing

Eco-Transparency: Enhance and Protect Brand

MiddlewareDatabase

Virtualization

Applications – SCM, HR, Financials, GRC, Agile etc.

BI & EPM

Server Consolidation and Energy Savings –

“Green IT”

Social Compliance, Reduce, Reuse, Recycle, “Green

Supply Chain”, etc.

SustainabilityReporting, Planning

and Management

Empowering the GREEN Enterprise with Oracle

More information at www.oracle.com/applications/green/index.html

Delivering Business Value with the Next Generation Data Center Mark SundayCIO and Senior Vice President, Oracle

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 remains at the sole discretion of

Oracle.

DEVELOPMENT

IT Functions at Oracle

Oracle.comOracle.comOracle Technology NetworkOracle Technology Network

Oracle Partner NetworkOracle Partner Network

ERP, CRM, HR,…ERP, CRM, HR,…

Supporting 84,000 Employees

Operating in 145 Countries

50+ acquisitions in 4 years

Oracle Product Development Grid

20,000 Developers

Developing > 900 Products

Continuous Development and Test

DEVELOPMENT

320,000 students trained per year

670 classes per week

3.6 million users

$557M revenues, FY08

40% growth, year over year

Operating System

Database

Middleware

Applications

Infrastructure

DEVELOPMENT

7,000 Network Devices | 10,000 TB Storage | 42,000 Servers

84,000+ Internal Users | 4+ Million External Users

Running on…

Consolidation & Standardization at Oracle

Organization

Self Service

Processes

Network

Data Center

Email

Applications

Collaboration

Result: Increased Profitability and Growth

Note: All figures after FY2004 are provided on a non-GAAP basis. GAAP to non-GAAP reconciliations are included in our earnings releases, which are available on the Oracle Investor Relations website at www.oracle.com/investor.

TotalRevenue

($Billions)

De-centralized IT Consolidated IT Corporate Expansion

$10.0

$30.0

1998 LTM

OperatingMargin

(%)

20.0%

30.0%

40.0%

50.0%

$20.0

Operating Margin (%)

1999 2000 2001 2002 2003 2004 2005 2006 2007

Total Revenue ($Billions)

1998 - 2002 2004 - 2008

Data Volumes: The Exaflood

Data Storage Growth: 60% per year

(IDC)

Internet Traffic Growth: 100% per year

Internetworldstats.com

Growing Energy Concerns

60B

110B

80B

2006 2008 (E) 2010 (E)

Billions of Kilowatt Hours

Annual US Data Center Energy Usage

Source: EPA

Legislative Will

The Green Perfect Storm

Public AwarenessHigh Energy Prices

Increasing Compute Density

Evolving Skills Landscape

Worldwide Server Growth (in millions)

1997 2007

7.6

30.3

Source: IDC

Global Market

Global Awareness

Global Economy

Oracle Austin Data Center World class technology and operational excellence

Building the Next Generation Data Center

Project Sequoia: Oracle Utah Compute Facility

Site Selection CriteriaEconom

icEnergy

Real Estate

Travel accessibility

WorkforceAvailable skills

Cost of living

Oracle presence

Business ClimateBusiness and tax incentives

Network connectivity

Pro-business political environment

Relationship with state/local government

Building The Next Generation Data Center

Project Sequoia: Oracle Utah Compute Facility

Operations

Center

Storage

&

Receiving

DarkCellSuperCell

Operations

Center

Storage

&

Receiving

DarkCellSuperCell

Cell

Air H

an

dlin

g

Air H

an

dlin

g

UPS

UPS

UPS

Batte

ries

Sub-Cells

Mechanical Yard

Backup Generato

rs

Chiller

Plant

Project Sequoia SuperCell

Optimizing for Energy and HVAC Efficiency

Oracle Utah Compute Facility Floor Plan

Temp. (F)10091827365

12ft

10ft

6ft

Project Sequoia Phased Expansion

1 24 3

Project Sequoia Phased Expansion

Mukesh Khattar Energy Director, Oracle Corporation

Virtualization Changes the Game

Systems Management

Interaction Interface

Services Catalog

Monitoring & Metering

Provisioning Interface

• Rapid Deployment using Grid techniques and Oracle VM• Massive elasticity responding to real-world demands

Case Study: Oracle University

With Grid:

• 1/6th the hardware

• CPU utilization increased from 7% to 73%

• Revenue per server increased 5X

• Servers to administrator ratio increased 10X

Enterprise Manager

Real Application Clusters

Automatic Storage Management

Mid-Tier clustersData Grids

Oracle Grid Operations Lifecycle

Configure

ProvisionLive

MigrateGrow

Park

Rapid Activate

Grid GrowHA

FailoverDR

Migrate

Eco-Efficient Data CentersReducing Energy Usage

• 1.5 Percent of ALL US Electricity• 2x Consumption 2000-2006• $4.5 billion in Energy Costs

Source: EPA (2006)

• Consolidate IT resources• Raise Utilization Levels• Reduce paper waste

Data Center Efficiency Targets

Data Centers

Oracle GREEN TechnologyOptimize data centers with virtualization technologies

• Commodity Hardware• Smaller Servers• Improved Hardware Utilization• Hardware Consolidation

• Most efficient use of available system resources• Three times more efficient than other server

virtualization products• Reduce power and space requirements

Oracle VM

Oracle RAC and Middleware Clusters

Oracle GREEN Technology

• Leverage your existing disaster recovery site• No additional storage or servers required• Offload resource-intensive activities from the

production database (more processing power for your main site with the same hardware)

Oracle Active Data Guard

• Use resources more efficiently• Reduce disk space requirements• Lower storage costs• Up to 3x or higher reduction in storage

Oracle Advanced Compression

Manage your growing amounts of data in a cost effective manner

Oracle GREEN Technology

•Scale mission-critical applications• No additional servers required• More processing power with the same

application and resources

Oracle Coherence

• Carriers optimizing on transport efficiency in addition to cost and time

• Using information to measure performance and address issues

Oracle Business Intelligence

Oracle GREEN Technology

• Electronic versus paper handling• Distribute digital vs paper-based documents

and reports• Lower costs related to the printing, shipping,

and storage of business documents

Oracle UCM

• Distribute the data across the appropriate storage devices and decrease power consumption

• Do not use expensive energy consuming servers to store information for historic data

• Save on storage space

Oracle ILM

Oracle GREEN Technology

• Automate expensive, time-intensive and manual processes.

• Eliminate manual paper-based processes• Process optimization and/or simulation can be applied

to scarce resources to target full capacity.

Oracle BPM

• Allows management of spare capacity in order to provide more processing power to development, test or production systems.

Oracle Enterprise Management

Oracle GREEN Technology

•Oracle & Linux • Oracle is collaborating with Intel on a project called

LessWatts.org. • LessWatts.org can help customers reduce data center

power consumption and make use of the latest hardware technologies.

• FUTURE • Extend the validated configurations program and add

hints and tips to set up a system with power savings in mind. (This will be based on internal testing.)

• Help with making Linux be able to use the hardware features better (kernel and userspace code changes)

http://www.oracle.com/newsletters/information-indepth/linux/oct-07/index.html#story6