Red Hat is the Right Choice for Tomorrow's Business, TODAY. Pang Vern Chia - Solutions Architect, Red Hat ASEAN

Transcription

1 Red Hat is the Right Choice for Tomorrow's Business, TODAY Pang Vern Chia - vpang@redhat.com Solutions Architect, Red Hat ASEAN

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3 Adoption of Open Source Software (OSS) in ASEAN Countries with a GDP of less than US$10,000 and with at least 5% of the population already online are among the highest adopters of OSS Indonesia, Malaysia, Philippines, Thailand & Vietnam Aggressively pursuing greater technology independence through low-cost leapfrog technologies Several ASEAN countries have adopted government policies favoring Open Source Software Increased security and sovereignty through independence and software codes transparency Source: Open Source Software Adoption in ASEAN Member Countries (40 th Annual Anual Hawaii International Conference on Systems Science HICSS 07) IEEE 2007 JBoss Portal, jbpm, Data Federation JBoss SOA Platform JBoss Application Platform Virtualization High Availability Red Hat Enterprise Linux MPIO Global File System Cluster Suite

4 Open Source: The Future is Wide Open By 2011, Gartner predicts that at least 80% of all commercial software solutions will be based on open source Gartner surveys show 49.7% of open source used for mission-critical applications IGNORING IGNORING OPEN OPEN SOURCE SOURCE IS IS NO NO LONGER LONGER AN AN OPTION OPTION Open source is the biggest change in corporate IT since distributed computing. It is not Open source is the biggest change in corporate IT since distributed computing. It is not a niche, not a fad. Competing against open source is like tilting at windmills." a niche, not a fad. Competing against open source is like tilting at windmills." - Gartner Open Source Summit, September Gartner Open Source Summit, September 2007

5 CIO Survey: #1 Again

6 Gartner Magic Quadrant: Application Infrastructure Gartner Magic Quadrant: Application Infrastructure New market for application infrastructure reflects convergence and overlap products that support application development (AD), deployment and execution. Includes the majority of runtime middleware, as well as AD and management tools that support the new generation of application styles based on service-oriented architecture (SOA), event-driven architecture and business process management (BPM) technology. Source: Gartner (May 2007)

7 The Evolution of Innovation and Collaboration Web Web Applications Applications Centralized Computing Applications Client Server Applications Java,.Net SOA Middleware Open Source Java SOA Middleware Mainframe Operating Systems UNIX Operating Systems WINDOWS Operating Systems LINUX Operating Systems Mainframe Hardware Servers UNIX Servers x86 Servers x86 UNIX Mainframe Servers

8 Dilemma: A problem involving a difficult choice; a predicament For the CIO: How to drive growth on a budget Action: Innovate. Solving the CIO's Dilemma Modernize Legacy Application Infrastructure Solution: An architecture based on powerful open source software Open source continues to improve IT capabilities while providing increased value and extending limited IT budgets

9 Red Hat Helps Close the GAP Reduce CAPEX Reduce OPEX Open Standard

10 Enterprise-class Stability & Performance Community and Enterprise Leading edge innovation, and enterprise-class stability from the Open Source Leader

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12 Technology Strategy and Value

13 Companies Customer Value Through Open Source Business Model 1st Year 2nd Year 3rd Year License Cost Support/Subscription Support/Subscription Support/Subscription Any Proprietary Software Vendor X X X X SaaS Vendors X X X X X X Customer deriving Value from Utility Pricing (Red Hat Subscription)

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15 Red Hat Vision: The Big Picture

16 Red Hat Enterprise Linux Includes:

17 Maximizing Utilization of 3-tied Web Apps

18 Maintaining Database HA is an EXPENSIVE solution Database Availability Red Hat enables HA for databases with Integrated Virtualization Supports: Oracle DB2 MySQL PostgreSQL Savings of USD200+K including hardware

19 Business Continuity for Windows Servers High Availability for Windows Applications on Windows Guest Operating environments

20 Application For Masses running on Open Source Platform

21 Bank of Tokyo consolidates with RHEL on z Business Need: Integrate two front-end banking systems, due to merger of two banks Achieve maximum reliability of ATM network at lowest cost to manage Minimize the number of updates for systems to run for ~15 years Reduce cost Gain flexibility and control with Open Standards Solution RHEL on System Z 274 IFL's, one of largest server consolidations in the world System Z because it is the most reliable server to run Linux RHEL to achieve Open Standards and decrease costs RHEL because bank's critical applications were certified on RHEL RHEL with its 7 years of Support vs. Window's 5 years of support to minimize the number of upgrades during 15 year lifecycle of the application

22 Enterprise Application in Mission Critical Business (Middleware) What components are in an enterprise application: Presentation Layer Business Logic Delivery Data Access Layer Platforms Systems Services How do you achieve these capabilities? JBoss Portal Online Local Search Mobile Local Search JBoss Rules / jbpm MySQL/PostgreSQL/Metamatrix RHEL OS

23 Technology behind the Business

24 Technology behind the Business OPEN SOURCE - All Servers run on RHEL - Clustering Services using GFS & Cluster Suite - Apps Platform using JBoss Apps Platform - Business Rules with JBoss Rules - Database on PostgreSQL & MySQL

25 A case in Malaysia Listed Malaysian Manufacturing firm Problem Lots of documents and images (some are more than 10MB) Uphill task of cataloging & searching Manual work to send and notify personnel on latest document through which are prone to errors How do you solve implementated by Technodex with Alfresco Centralized document management space where documents/images are stored in the systems Uploaded document with system generated version control Alert for new document send to defined users with workflow for approving authorities What is achieved Actual Implementation by partners Improve efficiency of searching, cataloging, fast retrieval Error minimize and lesser human intervention

26 A case in Malaysia Listed Malaysian Manufacturing firm Problem Lots of documents and images (some are more than 10MB) Uphill task of cataloging & searching Manual work to send and notify personnel on latest document through which are prone to errors How do you solve implementated by Technodex with Alfresco Centralized document management space where documents/images are stored in the systems Uploaded document with system generated version control Alert for new document send to defined users with workflow for approving authorities What is achieved Used by KLM, MIT US, American Stock Exchange, The European Commission, Facebook! Actual Implementation by partners Improve efficiency of searching, cataloging, fast retrieval Error minimize and lesser human intervention

27 Technology Framework

28 Fidelity Information Services - Xpress Enterprise Services BPM modeling tool is used to define business process for opening a new deposit account. Collect account information from customer Validate customer exist in system Perform blacklist check Route to supervisor for approval When approved, open new account and fund account Print paperwork In the business transaction layer (composite), a service exists for open_new_dda_account. In the detail services layer, 3 messaging services exist. Blacklist check Open_new_ST_account Funds_transfer Customer inquiry

29 Fidelity Information Services - Xpress Enterprise Services Red Hat / JBoss jbpm and/or JRules Red Hat / JBoss ESB XES can be extended to cover more transactions Fidelity Xpress Enterprise Services (XES) Result - Cost Savings of 66% When Using Open Source Vs Proprietary Middleware

30 COSTING ON OPEN SOURCE FOR YOUR BUSINESS $$$$

31 Significantly Lower TCO JBoss Enterprise Application Platform vs. BEA WebLogic Premium Generic Projection: Real World Proof: We saved our company well over $1 million by choosing JBoss instead of BEA WebLogic - Jamie Cash, SVP, World Travel Holdings Assumptions: BEA WebLogic Premium license price = $17,000/CPU; includes 1 year support 30% discount on license price Annual support & maintenance = 21% of list license price 24x7/ 1 hour SLA

32 Small Organization: Internal Use Proprietary Cost (USD) LAMP Cost (USD) Servers $8, Servers $8, Proprietary Servers $2, Linux $ Exchange $4, Mail $0.00 Intranet $0.00 Intranet $0.00 Office $25, Office $0.00 Other $2, Other $0.00 Manangement $57, Management $57, $100, $65, Source: Open Source Software Implementation and Management by Paul Kavan

33 Large Company IT Costs Functions Proprietary Cost (USD) Open Source Cost (USD) Database Servers $750, $750, Other Servers $180, $180, Database Licenses $1,650, $15, File/Print Licenses $630, $ Mail Licenses $1,055, $0.00 Office Licenses $3,750, $0.00 Development $285, $285, Sysadmin $1,200, $1,200, Total $9,500, $2,430, Source: Open Source Software by Paul Kavanagh

34 Who Is Red Hat?

35 Company Information Headquarters in Raleigh, NC Founded in 1993 Over 1800 employees, in 51 worldwide offices in 22 countries Cash and investments: $1.1 billion FY07 revenues: $400.6 million (an increase of 44% over FY06) IPO, 1999 (NYSE: RHT)

36 Quarterly Revenue Total Revenue Subscription Revenue Services Revenue $99.7 $105.8 $111.1 $118.9 $127.3 $135.4 $65.7 $73.1 $78.7 $84.0 $84.9 $88.9 $95.9 $103.1 $109.2 $115.7 $54.3 $60.2 $66.7 $71.5 $11.4 $12.9 $12.1 $12.5 $14.7 $17.0 $15.2 $15.8 $18.1 $19.6 2Q06 3Q06 4Q06 1Q07 2Q07 3Q07 4Q07 1Q08 2Q08 3Q08 In millions

37 Red Hat Global Support and Consulting 24x7 production support Support centers on four continents Staffed entirely by Red Hat Certified Engineers Technical Account Management Developer support services Global Professional Services Unix-to-Linux migration Areas of expertise include Linux migration/porting, integration, performance tuning, and security Clustering

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39 FIVE IMMEDIATE OPEN SOURCE OPPORTUNITIES FOR YOUR BUSINESS Picking the low hanging fruit from open source those that are lowest in risk, highest in potential payoff

40 #1: Unleash the open source scientist in you What: Open an open source lab within your IT department Why: To communicate, discover, test and justify OS initiatives Most tangible way of seeding OS ideas within the organization Provide a single rallying point for all closet OS users

41 #1: Unleash the open source scientist in you How: Start small a 2 nd hand server and a few desktops Make it part of existing lab, if one exists Review existing OS work, identify evangelists/early adopters Train developers in OS languages

42 #2: Get your file and print servers to Samba What: Use Samba to run your file and print servers Why: Will work with minimal effort Requires no change to existing Windows-based clients Zero client access licenses (CALs) to pay for unlike Windows Postpone new licensing requirements, and use of Active Directory Samba is an open source software that provides seamless file and print services to SMB/CIFS clients, allows for interoperability between Linux/Unix servers and Windows-based clients.

43 #2: Get your file and print servers to Samba How: A few options are possible: Continue to use existing servers, but running on Linux Consolidate via virtualization onto fewer, larger Linux servers A combination of above two options Don t forget train admins in Linux and Samba

44 #3: Release the OS genie in the LAMP What: Build one or two simple apps using Linux and Apache, with MySQL and PHP in short: LAMP Why: Allows you to build a pure OS system quickly Allows easy comparison against existing alternatives All LAMP components are reliable, proven, and inexpensive.

45 #3: Release the OS genie in the LAMP How: Likely opportunities for building the first LAMP application: Building a new Web site or Web application Adding new functionality to an existing site Migrating an application using obsolete tools Migrating Web development, such as ASP or JSP Sites that are to be moved, either outsourced, or to be brought back inhouse

46 #4: One desktop per underserved individual What: Make OSS available to users who don t have or can t afford a current licensed set of desktop software Why: Client software costs can be prohibitive, e.g. for remote offices or SMEs No licensing restrictions as use change occurs down the line Zero migration effort and costs A legitimate alternative to piracy Open source democratize s content, unleashes innovation.

47 #4: One desktop per underserved individual How: Evaluate the underserved within your organization (e.g. franchises, remote branches, retail/hospitality workers, distribution/manufacturing workers, call centers) Select applications that: Require no maintenance Can be managed remotely Easy to learn and use (e.g. Windows GUI equivalents)

48 #5: Migrating for IT to business alignment What: Migrate applications and databases to open source Why: Many apps and dbases have been rendered obsolete by the Web Specific reasons to migrate appear: EoL or vendor ending support Too expensive to maintain/upgrade M&A or downsizing Unable to meet changing customer needs

49 #5: Migrating for IT to business alignment How: Evaluate open source dbases like mysql Replace small and old dbase apps with OS Migrate UNIX to Linux Evaluate and purchase app packages on Linux

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