TECHNOLOGY PLATFORM STRATEGY
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1 TECHNOLOGY PLATFORM STRATEGY Dr. Wolfram Jost Chief Technology Officer Capital Market Day 2018 March 12, 2018
2 SAFE HARBOR This presentation includes forward-looking statements based on the beliefs of Software AG management. Such statements reflect current views of Software AG with respect to future events and results and are subject to risks and uncertainties. Actual results may vary materially from those projected here, due to factors including changes in general economic and business conditions, changes in currency exchange, the introduction of competing products, lack of market acceptance of new products, services or technologies and changes in business strategy. Software AG does not intend or assume any obligation to update these forward-looking statements. This presentation constitutes neither an offer nor recommendation to subscribe or buy in any other way securities of Software AG or any of the companies that are members of the Group at present or in the future, nor does it form part of such an offer and it should not be understood as such. This presentation does not constitute an offer of sale of securities in the United States of America. Securities may not be offered or sold in the United States of America without registration or exemption from registration in accordance with the U.S. Securities Act of 1933 in its currently valid form. 2
3 WHY ARE WE MORE RELEVANT THEN EVER? A Digital Business Technology Platform Is Fundamental To Scaling Digital Business Gartner, October
4 YOUR DIGITAL BUSINESS PLATFORM YOUR DIGITAL FUTURE WITHOUT COMPROMISE BUSINESS & IT TRANSFORMATION Process Transformation & Management Governance, Risk & Compliance Portfolio Management Enterprise Architecture Management powered by ARIS & ALFABET ANALYTICS & DECISIONS Streaming Analytics & Artificial Intelligence In-Memory Data PROCESS & APPLICATIONS Dynamic Process Automation Low-Code Applications INTEGRATION & API Hybrid Integration API Management DEVICES Device Connectivity Device Management MegaPaas Integrated Set of singlefunction PaaS Reduced Complexity Economies of Scale Continuous User Experience powered by TERRACOTTA & APAMA powered by WEBMETHODS powered by WEBMETHODS powered by CUMULOCITY INTERNET OF THINGS CLOUD + HYBRID ON PREMISE 4
5 PLATFORM VS PACKAGED APPLICATION INNOVATION OWNERSHIP Packaged Applications Digital Platform Applications Application User Interface Process logic Task logic Business Logic Decision logic Event logic Analytics logic Integration logic Innovation Built-in, interwoven types of logic: Process logic Analytics logic Task logic Event logic Decision logic Integration logic Process Engine Task Engine Rules Engine Scoring Engine UI Engine Analytics Engine Event Engine Integration Engine Device Engine Platform Container Agnostic, stable 5
6 DIGITAL BUSINESS PLATFORM PaaS PERSPECTIVE Predictive Asset Maintenance Digital Enterprise Twin Supply Chain Efficiency Portfolio management Customer Experience Management Digital Business Applications Process design & analysis Audit & Risk Management Alerts & actions Digital Workplace New Digital Applications Agile Flexible Innovative Differentiating Outcome oriented Low code app development Dashboards & Visual analytics Device management Application integration API portal & gateway Device connectivity Data Sources Process automation Task & work management In-Memory store & compute Predictive analytics Streaming analytics Cloud & Big Data integration ERP PaaS Existing IT Resources Stable Mature Complex Expensive Standardized 6
7 MEGAPaaS PROVIDERS PREVENT UNNECESSARY LOCK-INS Oracle/Microsoft Amazon/Google SAP/Salesforce Software AG SaaS SaaS SaaS SaaS SaaS PaaS PaaS PaaS PaaS IaaS IaaS IaaS IaaS IaaS Full Lock-in No Multi-Cloud IaaS Lock-in SaaS focus SaaS Lock-in Independent No Lock-in 7
8 HOW TO DIFFERENTIATE FROM SINGLEPaaS PROVIDERS SOFTWARE AG AS MEGAPaaS VENDOR Mule, Appian, PTC, Boomi, Tactical Software AG Strategic (long term relationship) Singlefunction Paas Multifunction Paas MegaPaas bpmpaas ipaas ipaas apipaas apipaas apaas bpmpaas IoTPaaS bpopaas eampaas event processing PaaS 8
9 SOFTWARE AG PaaS MARKET RELEVANCE Giants Singlefunction Paas Independent MegaPaas Oracle SAP IBM Microsoft Appian Mule PTC Dell Boomi Full Lock-in modern mainframes Only tactical High Complexity Strategic Independent (SaaS, IaaS) 9
10 CLOUD STRATEGY 10
11 SOFTWARE AG CLOUD CURRENT & FUTURE STATE ARIS Cloud Alfabet Cloud Integration Cloud B2B Cloud 2018 Agile Apps Cloud 2013 API 2017 Cloud IoT Cloud CUMULOCITY 2017 Software AG Cloud ARIS Cloud Agile Apps Cloud Alfabet Cloud API Cloud Integration Cloud IoT Cloud CUMULOCITY B2B Cloud 2018 Aligned positioning Unified user experience Cross-product use-cases Unified hosting platforms and operations Hybrid/migration use-cases 11
12 FUTURE STATE SOFTWARE AG CLOUD Low-touch entry from microsites Applications > Integration Configure Platform apps Software AG solutions Partner solutions First name Last name Company Country Start free trial Integration Powered by webmethods + Add applications Accounts Users Roles Payment API Gateway Powered by webmethods IoT Cockpit Powered by Cumulocity IoT Devices Powered by Cumulocity LAND EXPAND LPWAN Connector Powered by SigFox Industrial IoT Package Powered by Adamos Explore, discover and add additional capabilities from Software AG and partners 12
13 CUMULOCITY IOT 13
14 CUMULOCITY IOT KEY CAPABILITIES BASED ON FUTUR PROOF TECHNOLOGY Digital Business Platform IoT BUSINESS & IT TRANSFORMATION Business strategy & planning Customer journeys Design & analysis Risk & compliance management Portfolio management Enterprise architecture Process analytics ANALYTICS & DECISIONS PROCESS & APPLICATIONS INTEGRATION & API DEVICES Visual analytics Low code app development API gateway Streaming analytics In-Memory store & compute Dynamic orchestration Mobile enablement Application integration API portal Device management Machine learning Distributed caching Process automation Task & work management Cloud & Big Data integration API & service catalog Device agents Predictive analytics Alerts & actions Case management Rules management Messaging Master data management Device connectivity Edge analytics Event routing & persistence Robotic process automation Content management Mainframe & data integration B2B & managed file transfer Edge services INTERNET OF THINGS SOLUTION ACCELERATORS PROCESS & APPLICATION INTEGRATION & API ANALYTICS & DECISIONS DEVICES Low Process Rules Mobile code app development automation management enablement Cloud API API Application & service Big Data Messaging gateway portal catalog integration Predictive Event Machine Edge Streaming Alerts Distributed In-Memory Visualrouting & analytics & learning actions caching store persistence & compute Device Edge management connectivity services agents DEPLOYMENT MODELS CLOUD + HYBRID ON PREMISE all devices, all networks, all verticals, all use cases EDGE 14
15 Vehicle Tracking Predictive Maintenance KEY PLATFORM CAPABILITIES Industrial IoT Condition Monitoring Low-Code App Development Rules Management High-Control App Dev Workflow Automation App Hosting Case & Task Management DEPLOYMENT MODELS Master data management API Management Cloud Integration SOLUTION ACCELERATORS TRUE CLOUD Messaging Visual Analytics Predictive Analytics Application Integration Streaming Analytics Edge Analytics Big Data Integration Smart Rules Data Storage PROCESS & APPLICATIONS INTEGRATION & API ANALYTICS & DECISIONS MULTI-TENANCY SCALABILITY & HIGH AVAILABILITY + HYBRID ON- PREMISES Metering & Billing Device Management Device Agents DEVICES SECURITY Developer SDK & Open APIs Device Connectivity Edge Services all devices, all networks, all verticals, all use cases EDGE 15
16 REAL TIME ANALYTICS APPLIES CONCEPT OF LAMBDA ARCHITECTURE Connected Applications & Things ERP CRM Cust Connect & Integrate Universal Messaging Device, Cloud, Enterprise IT, Production IT Streaming Analytics Analytical storage Speed Layer Context Enrichment In-Memory Store Batch Layer Predictive Model Execution Continuous Learning Stored Data Batch Analytics Machine Learning Serving Layer Foresight Real-time Insight Hindsight Alerts, Decisions, Actions Real Time Applications 16
17 DISTRIBUTED IIOT ARCHITECTURE ANALYTICS AT ANY LEVEL IoT Device (Agents) Thin Edge (On-Premises Gateway) Thick Edge (On-Premises Server) Private Cloud (Dedicated) Public Cloud (Shared) 17
18 USE OF MACHINE LEARNING Predictive Analytics Streaming Analytics uses machine learning to allow organizations build models that represent patterns of behavior. operationalizes these models to enable organizations to respond intelligently. 18
19 SOFTWARE AG RANKED AS A LEADER THE FORRESTER WAVE : STREAMING ANALYTICS, Q Software AG s Apama continues to be a broadly applicable and perennially capable streaming analytics platform. With its recent acquisition of Cumulocity, Apama deeply extends its reach deeper into industrial IoT use cases by providing device management, digital twin, and other connectivity-oriented services. There is no stopping Apama to become the realtime engine for digital transformation that extends all the way from the factory floor to direct customer interactions. Source: The Forrester Wave : Streaming Analytics, Q3 2017, Forrester Research, Inc., September 7, 2017 The Forrester Wave is copyrighted by Forrester Research, Inc. Forrester and Forrester Wave are trademarks of Forrester Research, Inc. The Forrester Wave is a graphical representation of Forrester's call on a market and is plotted using a detailed spreadsheet with exposed scores, weightings, and comments. Forrester does not endorse any vendor, product, or service depicted in the Forrester Wave. Information is based on best available resources. Opinions reflect judgment at the time and are subject to change. 19
20 ADAMOS.COM 20
21 ADAMOS.COM 21 21
22 SOFTWARE SIEMENS MINDSPHERE HEADER OF RELATED PRESS RELEASE FROM NOVEMBER 23, 2017 SIEMENS STRENGTHENS ITS IOT OPERATING SYSTEM MINDSPHERE THROUGH TECHNOLOGY PARTNERSHIP WITH SOFTWARE AG Software AG (Frankfurt TecDAX: SOW) and Siemens AG today announced a partnership to strengthen the presence of the cloud-based open Internet of Things (IoT) operating system MindSphere across industries. MindSphere supports industrial companies in their digital transformation and offers a development platform to a broad customer base where companies can integrate their own applications and services to promote IoT innovations. Software AG brings the highly scalable components of its Digital Business Platform to MindSphere, which help customers to flexibly manage networks of millions of end devices. 22
23 23 For internal use only
24 24 For internal use only
25 ENTERPRISE DIGITAL TWIN 25
26 ENTERPRISE ENTERPRISE DIGITAL TWIN PREPARES YOU FOR THE MARKET BASED DIGITAL TRANSFORMATION Gain greater insight into how assets are contributing to business operations Simulate changes and evaluate the effects Predict, inform, and warn against incurring unnecessary costs or unwisely squandering resources 26
27 DESIGN YOUR DIGITAL ORGANIZATIONAL TWIN WITH ARIS ORGANISATION PRODUCTS CUSTOMER JOURNEYS ENTERPRISE REALITY ENTERPRISE REALITY PROCESSES IT SYSTEMS RISKS 27
28 HYBRID INTEGRATION & API 28
29 HYBRID INTEGRATION DRIVING PERVASIVE CONNECTIVITY SaaS/Cloud Services Things Subsidiaries Hybrid Integration Mobile Apps Business Partners EDW MDM Mart Business Process Networks On-Premises Applications and Data Sources Social Networks 29
30 HYBRID INTEGRATION BI-MODAL CAPABILITIES Citizen Integrators Needs maximum agility Needs option to expand to enterprise class Ad-hoc Developers Shadow IT (LOB IT) Agile execution of LOB projects Power users Bring your own code (Lift and Shift) Packaged as microservices Citizen Integrator Ad-hoc Developer IT Specialist HYBRID INTEGRATION HYBRID INTEGRATION Mode 2 Mode 1 30
31 INTRODUCING WEBMETHODS API CLOUD Software AG. All rights reserved
32 WEBMETHODS API MANAGEMENT PLATFORM API Portal API Gateway API Catalog Define your APIs Manage API lifecycle API governance Impact analysis Promote APIs Document usage Enable registration Community and collaboration Testing Protect your APIs from unregistered usage Protect your backend systems from malicious attacks Monitor and track usage for monetization and product improvement API Consumption Consume SaaS / PaaS APIs Connectors to SaaS apps Runtime governance policies API consumption governance Software AG. All rights reserved
33 SOFTWARE AG RANKED AS A LEADER THE FORRESTER WAVE : HYBRID INTEGRATION FOR ENTERPRISES, Q Software AG's DBP Integration Platform provides typical integration capabilities, including orchestration, transformation, messaging, advanced routing, and wizard-based tooling. Its platform supports multiple integration patterns, including data integration and long-running transactions. Source: The Forrester Wave Hybrid Integration For Enterprises, Q4 2016, Forrester Research, Inc., November 18, 2016 The Forrester Wave is copyrighted by Forrester Research, Inc. Forrester and Forrester Wave are trademarks of Forrester Research, Inc. The Forrester Wave is a graphical representation of Forrester's call on a market and is plotted using a detailed spreadsheet with exposed scores, weightings, and comments. Forrester does not endorse any vendor, product, or service depicted in the Forrester Wave. Information is based on best available resources. Opinions reflect judgment at the time and are subject to change. 33
34 Robotic Process Automation & Application Development
35 DYNAMIC APPS INTEGRATED RPA, PROCESS AND CASE MANAGEMENT LOW-CODE DEVELOPMENT AND PROGRAMMING WORK AUTOMATION AND COORDINATION DYNAMIC PROCESS ORCHESTRATION PREDICTIVE, CLOSED-LOOP ANALYTICS MARKET LEADING INTEGRATION CAPABILITIES BACKENDS INTEGRATION ORCHESTRATION WORK Virtual workforce Hybrid workforce Human workforce New Task/Case Start Task/Case End Service Service Service Service Adapter Adapter Adapter Adapter SAP CRM DATABASES WEB SHOP 35
36 CONTINUOUS USER EXPERIENCE DBP DELITE 36
37 APPLYING DELITE LEVEL ONE 10.1 RELEASE 37
38 38
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