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1 Art by Andrew Fryer

2 Dan Cohen Microsoft Consulting Services Microsoft Israel Team blog: My blog:

3 Agenda Recap: Why Windows Azure? ROI / TCO Analyzer Tool Windows Azure Platform Pricing Model Identifying Cloud-ability

4 Why customers embrace the cloud? Managed costs So what s new in Cloud Computing? 1. Illusion of infinite on-demand computing resources 2. Elimination of an up-front commitment 3. Pay-as-you-go Above the Clouds - A Berkeley View of Cloud Computing

5 Windows Azure Platform Your Application Frameworks App/Web Server OS Services Operating System Virtualized Instance Hardware.NET based Application.NET Framework IIS / WAS Lots Platform of stuff as a Service Windows (PaaS) Azure OS Custom Hyper-V Hardware

6 Customer Expectation expressed as Solution Microsoft Product Continuum Customer Expectations are growing ISV / SI Provided Solution Microsoft Out of the Box Solution Experience Infrastructure Deployment Solution Development and Deployment MS Product Continuum

7 Windows Azure TCO Analyzer

8 Profile Your Application

9 Review Preliminary Results

10 Windows Azure TCO Analyzer Customizable scenario based proposal Cost breakdown & analysis ROI Comparison (on-premise; virtualized)

11 Refine Key Assumptions

12 Final TCO Comparison

13 Windows Azure Platform Consumption Prices $0.12/hour + Variable Instance Sizes $0.15 GB/month $0.01/10K transactions 1GB at $9.99/month (up to 5 GB DB/month) 5GB at $99.99/month (up to 50 GB DB/month) Per Transaction $1.99/100k Transactions Per connection/month $3.99/month + Reserved Pack option Prices shown in USD only International prices are available

14 SQL Azure Pricing model Size In Use Web Edition* Business Edition* 0 1 GB $ 9.99 $ GB $49.95 $ GB N/A $ GB N/A $ GB N/A $ GB N/A $ GB N/A $ (*) price per month

15 Windows Azure Instance Sizes $0.12 $0.24 $0.48 $0.96 Unit of Compute Defined 1 x 1.6Ghz 2 x 1.6Ghz 4 x 1.6Ghz 8 x 1.6Ghz 1.75 GB memory 3.5 GB memory 7.0 GB memory 14 GB memory 250 GB storage (instance storage) 500 GB storage (instance storage) 1000 GB storage (instance storage) 2000 GB (instance storage)

16 Windows Azure Platform Data Transfer North America Region Europe Region Asia Pacific Region N. Central US Sub-region N. Europe Sub-region W. Europe Sub-region E. Asia Sub-region S. Central - US Sub-region S.E. Asia Sub-region On-board to Windows Azure platform at no charge Off peak times defined as: 10pm-6am Mon-Fri & from 10pm-Fri to 6am-Mon for weekends in each designated regional time zones below North America PST = UTC-8 Europe WET = UTC Asia Pacific SST = UTC+8

17 Account based Geo-Location

18 The Value of Service Management

19 Monthly Service Level Agreement Service bus & access control endpoints will have external connectivity The service will process correctly formatted requests

20

21 Azure billing reports

22 Identifying Cloud-ability

23 Compute Compute Compute Compute Patterns Optimal For Cloud On and Off Growing Fast Inactivity Average Period Usage Average Usage Time On & off workloads (e.g. batch job) Over provisioned capacity is wasted Time to market can be cumbersome Time Successful services needs to grow/scale Keeping up w/ growth is big IT challenge Complex lead time for deployment Unpredictable Bursting Predictable Bursting Average Usage Average Usage Time Unexpected/unplanned peak in demand Sudden spike impacts performance Can t over provision for extreme cases Time Services with micro seasonality trends Peaks due to periodic increased demand IT complexity and wasted capacity

24 Cloud Frees You from Idle Capacity Due to Demand-Side Spikes BING SEARCHES JAPAN VS. UK HOLIDAY SEASONALITY 12:00 AM3:00 AM6:00 AM9:00 AM12:00 PM3:00 PM6:00 PM9:00 PM Japan Great Britain target.com walmart.com toysrus.comble.com Source: Microsoft, Alexa

25 Compute Patterns Optimal For Cloud? Boring Application Average Usage Time

26 software hardware Acquisition cost is 10% of IT Spend network management tools security facilities support backup IT labor power/cooling maintenance disaster recovery Operating cost is 90% of IT Spend Source: IDC

27 Resources Database Choices Dedicated Value Props: Auto HA, Fault-Tolerance Friction-free scale Self-provisioning Subset of API surface area SQL Azure Virtual DB server Resource DB DB/Virtual Server Value Props: 100% of API surface area Roll-your-own HA/DR/scale Hosted Hosted SQL Server Resource VM DB Server/OS Value Props: Full h/w control size/scale 100% of API surface area Roll-your-own HA/DR/scale On-premise SQL Server or other s/w on-premise Resource machine DB Server/OS Low Friction /Control High SQL Azure V1 targets scenarios that live in the lower left

28 Cloud Assessment Considerations and Questions Sample Questions to Ask 1. Is this application underutilized or does it have spiky demand? 2. Does the application store very sensitive data? 3. Is the application availability SLA lower than 4 nines? 4. What is the latency requirement for data access from the application? 5. Are we losing customer demand due to capacity expansion lead time? 6. Can I move part of this application and leave the remainder on premise? 7. Is the data subject to governmental restrictions on where it can be stored?

29 Cloud Vendor Performance Performance: Only Amazon S3 and MS Azure using SQL Azure as the database, were able to scale

30 Cloud Vendor Performance Cost / Performance: Azure wins for medium and large workloads

31 Azurescope Best Practices for Developing on Windows Azure

32 Microsoft Services Cloud Roadmap Offering Cloud 1-2-3

33 What is Cloud 1-2-3? A cloud-focused architecture framework for Aligning customer s cloud strategy with Microsoft s cloud services Assisting customers in enabling Microsoft s cloud services through Strategy & Planning Creating Roadmap & Architecture Visualizing Future State Providing Best Practices Developed & delivered by Microsoft Services

34 3 Steps to the Cloud Define Explore Plan Size Seminar 2 day workshop or 2 week part-time interaction 6-8 week engagement Focus Establish cloud vision Customer s Cloud Make it Real/POC Deliverables Proven Practices Current to future state assessment Strategic tactical roadmap Audience ITDM, BDM, CxO ITDM ITDM, BDM

35 Where To Start: Customer Assessment Understanding Output Strategy Define Limited or no understanding of cloud strategies Overview of the Cloud Customer Priorities Work Stream Focus Funded by EPG MTC or on-premise delivery Ring-Fenced Architects Understanding Output Strategy Explore High-level understanding of cloud strategies Looking for opportunities to leverage cloud services Conceptual Architecture Capabilities and Services High Level Roadmap & Plan Funded by EPG/Customer On premise delivery MCS Flexible and componentized Understanding Output Strategy Plan Understands Microsoft cloud services Has determined specific cloud applications, needs detailed planning assistance Strategy & Plan Architecture Business Case Optional POC Funded by Customer (Potentially EPG) On-premise delivery MCS (pool) Leverage S&P for S+S

36 Core IO Maturity What is Cloud Ready

37 Thank you!

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