Power Systems Roadshow

April 2008

Power Systems™Get the power to do more,

spend less.

System x®Innovation comes standard.

System z™The flagship for IBM Systems innovation and the heart of a highly secure, resilient and integrated infrastructure.

BladeCenter®Simplify Datacenter complexity.

System Storage™Connected. Protected. Complete.

The IBM Systems family

Powerservers

PowerSystems Software

4

Power Architecture™: A Platform for Innovation

“Power Architecture is more than just a technology, but rather a movement for change. It's time for an architecture that enables innovation to flourish. It's time for Power Everywhere™.”Nick Donofrio, IBM Senior Vice President IBM Technology & Manufacturing

Performance 1x 2x 4x 10xRelative to POWER5

Transaction Optimized

IBM POWER™ architecture roadmap*

PowerPC405

PowerPC440

Cell Cell +*

2002 2004 2006 2008 2010

Throughput Optimized

Specialty Engines

The only high-end processor engines with a clear roadmap to deliver higher-levels of customer value (future proof).

POWER5 QCM

POWER4™ POWER5

PowerPC™970MP

POWER6* POWER7*

POWER6 MC*

*All statements regarding IBM's future direction and intent are subject to change or withdrawal without notice, and represent goals and objectives only.

Power Everywhere

Power Technology

i570 i595i550i525i515

System i

p-570

BladeCenter JS12/JS22

BladeCenter JS21/JS22

Power 550Power 520

p5-595p5-560Qp550p5-510/Qp5-505/Q

p520

System p

Power = i + p The New Generation of Power Systems

Power 570 Power 575 Power 595

p5-575

Why adapt your business to your hardware? The hardware should adapt to your business!

IBM AIX Operating System

Performance

UNIX compliance

ISV support

Security

Availability

Why adapt your business to your hardware? The hardware should adapt to your business!

IBM I Operating System

Integration

Ease of use

Reliability/Availability

Security

ISV Support

Why adapt your business to your hardware? The hardware should adapt to your business!

Linux Operating System

Scaling / Capacity

Performance

Low TCO

Consolidation

Roadmap of POWER

Why adapt your business to your hardware? The hardware should adapt to your business!The hardware is adapted to your business!

Power Systems Software

IBM Systems Director for Power

IBM Active Energy Manager for Power

IBM Power Security Software

IBM PowerHA

IBM Power Operating SystemsAIX IBM i Operating SystemLinux for Power

IBM PowerVM

IBM PowerVM

Unify virtualization branding & technology for AIX®, i and Linux

Exploit 40 years of IBM virtualization leadership

What is PowerVM?

PowerVM is the new umbrella branding term for Power™ Systems Virtualization (Logical Partitioning, Micro-Partitioning, POWER Hypervisor, Virtual I/O Server, etc.)

PowerVM Editions feature

Micro-Partitioning™

Virtual I/O Server

Integrated Virtualization Manager

Live Partition Mobility

Lx86

Logical Partioning

PowerVM virtualization flexibility

Supported Linux OS

PowerVM Lx86

x86 Linux OS Application

IBM Power Hypervisor™

Power Systems Platform

Supported Linux OS

Power Linux OS

Application

Supported Linux OS

PowerVM Lx86

x86 Linux OS

App

AIX OS

AIX OSApplicationPower

Linux OSApplication

PowerVM virtualization1

(1) PowerVM Standard Edition is standard on the IBM System p5 590 and 595 servers and BladeCenter JS21 and JS22 Express blade servers and optional on all other Power Systems servers

i OS

i OSApplication

PowerVM Lx86 forx86 Linux applications

Supports installation and running of most existing 32-bit x86 Linux applications

Creates an x86 Linux application environment running on Linux

Extends values of IBM Power Systems platforms to x86 Linux applications

Enable x86 Linux apps to “just run” on Power Systems servers with Linux OS

Operating systemcall mapping

Dynamic binarytranslation

x86 Linux Applications

Linux for Power

POWER Efficiency

POWER6 CHIP LEVEL FUNCTIONS• POWER REDUCTION: Monitor and reduce power to

idle logic within cores

• NAP MODE: Power off inactive cores, restore power when needed

• THERMAL TUNING: Sensors monitor and reduce power to overactive circuits

Innovation in “green” system design for data center energy management

EnergyScale Technology

Data center

Power and Cooling

IT Load Server hardware

70% 30%

Power supply, memory, fans, planar, drives . . .

Processor

65% 35%

Server loads

80% 20%

Idle

Resource usage rate

How is energy typically used in the data center?

Server Utilization

9 litre

0.33 cl

Improving server and storage utilization is the fastest path to ROI of a green data center:

Reduce the number of servers and therefore, facilities, power, and cooling expense reduces dollar for dollar

Allows for targeted thermal solutions for efficiencies

Improves power distribution, backup, and regulation

Enables dynamic resource management for:Deployment and operational optimizations

Economic engine of a green data center

System 1

APP

1

APP

2

10% busy1KW

System 2

AP

P 3

APP

4

10% busy1KW

Advanced POWER Virtualization

APP

5

APP

6

70% busy4KW

APP

1

APP

2

AP

P 3

APP

4

Data Center Capacity 10KW, 80% used Data Center Capacity 10KW, 40% used

Energy Management Policy Example

System 8

APP

7

APP

8

10% busy1KW

APP

7

APP

8…

Server consolidation exploiting virtualization is a very effective tool in reducing energy costs

Total Power 8KW

Total Power4KW

Capacity Upgrade on DemandUpgrade system with processors and/or memory

On/Off Capacity on DemandTemporary use of requested number of processors or amount of memory Capacity can be turned on and off by the client

Utility Capacity on DemandProcessor resources only / Measured by processor minutesCapacity can be turned on and off by the client

Trial Capacity on DemandAllow clients to test the effects of additional processors and/or memory Partial or total activation of processors and memory

Dynamic Processor Sparing• Automated replacement of de-allocated processors• Unassigned or inactive processors

Capacity on Demand for POWER6 systems

UNIX Server Comparisons: All Servers

Five-year Overall Costs (Virtualized Scenarios Include Acquisition & Operating Costs)

0 10 20 30 40 50 60

Virtualized

Conventional

Virtualized

Conventional

Virtualized

Conventional

$ Millions

HardwareSystem softwareMaintenanceSystem software supportDatabase software supportPersonnelFacilities

FINANCIAL SERVICES COMPANY SCENARIOS

56.3

17.8

25.1

8.6

20.9

8.2

MANUFACTURING COMPANY SCENARIOS

RETAIL COMPANY SCENARIOS

Source: ITG Report “Impact of IBM System p Server Virtualization” 2007

Factors Resulting in Lower Operating Costs for Virtualized Scenarios

Categories Savings Factors

Maintenance 86% - 94% Fewer, newer servers reduce maintenance contract costs.

Software support

82% - 84% Fewer software copies & CPUs result in lower license, update & support costs.

Personnel 36% - 50% Fewer physical servers, reduced diversity & improved automation reduce system administration-related personnel costs.

Facilities 65% - 70% Fewer physical servers, smaller footprints, & greater energy efficiency reduce data center occupancy, power & cooling costs.

Average 72%

UNIX Server Comparisons: All Servers

Source: ITG Report “Impact of IBM System p Server Virtualization” 2007

IBM Power Systems™

BladeCenter JS12 JS22

570 575 595

Common FeaturesProcessor technologyService ProcessorVirtualization

550520

Power Systems Edition offerings

EditionOfferings

Easy to Order, preconfigured, attractively priced offerings

AIX Edition Linux Edition i Edition

CustomizedAla Carte

Build to Order, Flexible, SDI enabled

+ +

BladeCenter JS12/JS22

Power 550

Power 520

Performance and energy efficiency – POWER6AIX, i, Linux EditionsFlexibility – Rack, Tower, Blades

GA:520 - April 18595- May 6550- May 23JS12- May 30

Power Systems Express offerings

IBM Power 520 Express

IBM Power 550 Express

IBM BladeCenter JS12 Express

IBM BladeCenter JS22 Express

IBM BladeCenter S Express

IBM offers a range of solutions from an integrated server just for ito solutions that can run i, AIX®, Linux®, and Windows

Power™ 520 Express Power 520 + BladeCenter® BladeCenter

Run i applicationsReplace existing i serverIntegrated, easy to use solutioni centric operations

Run i and Windows applications Consolidate x86 and i serversBladeCenter value for SMB and distributed sites BladeCenter centric operations

Run i and Windows applicationsConsolidate x86 serversi provides storage for bladesi centric operations

Mid market Business Solutions

System p / System i Unification

Common hardware platformSingle product set.Servers, adapters, IO componentsProduct simplificationSimplify Upgrades / MES

Greater Customer SatisfactionGreater consolidation optionsAdditional software offeringsCommon T & Cs

Development efficienciesSingle development effortReduce Hardware & Firmware testing requirements

Power Systems Storage

Integrated Disks Ease of use, automated and optimized performanceExtend SAN-like storage virtualization to multiple operating environments Low cost, low complexity, little maintenance

SAN Centralized & shared storage solutions ranging from mid-range to enterprise class SAN solutionsExtends additional business continuance solutionsHeterogeneous storage connectivity

Mix and Match Centralized DR/HAStorage usage optimized by application requirementsDelivers solution for both performance & capacity needs

IBM Global Financing helps Power Systems clients to…..

Lower the cost of technology acquisition

• Preserve cash• Improved TCO• Monthly payments• IGF residual value

Better manage technology acquisition processes

• Payment & term flexibility• Accelerated

implementation• Improved financial

measurements

Facilitate management of

technology assets throughout their

lifecycle

• End of lease options• Asset buy-back and

disposal• Facilitated technology

refresh

You are invited to …. for more detail

Blade Center presentationIBM i operating system track + StorageAIX track + Storage

Thank you for your attention and presence