1. Why all businesses can benefit from migrating their applications to Windows Azure
Carlos Oliveira, Shaping Cloud

2. Agenda

3. An Introduction To The Cloud and Windows Azure

4. IT infrastructure is evolving and cloud computing provides new opportunities for businesses
Hyper V

5. Cloud computing allows businesses to optimize uptime, agility and efficiency
On Premise
Cloud Optimized
With cloud computing businesses can

• Focus IT resources on developing the business, not maintaining its infrastructure
• 6. Create new applications with minimal upfront provisioning costs
• 7. Reduce costs and maintenance of current infrastructure
• 8. Increase IT capacity dynamically
• 9. Provide transparent ROI for IT
• 10. Extend current application capabilities, without new infrastructure

Run a Business - P&L
LOB Functionality
Business Tools
Advanced Infrastructure
Business Value
Data Center/Infrastructure Hardware
Servers Deployment/Mgt
Desktop Installation/Mgt
Networks
Connectivity/Cabling
Time / Resources

11. Agenda

12. The evolution of computing
Windows Azure is an integrated cloud solution, utilizing Microsoft products you already know
Mobile / other
browser
Developer Experience
PC browser
applications
Use existing skills and tools
Compute
Storage
Relational data
Access control
Management
Management
Service Bus
On-premises
Leveraging Existing IT Investments
Hybrid applications
LOB Applications

13. There are many ways to use Windows Azure, from new solutions to migrating existing ones

14. Azure platform pricing is optimized so that you pay as you go, paying only for what you need
Compute:
0.06p per Service Hour
AppFabric2.2975 per connection
1.1459 per 100,000 transactions
Storage
0.091per GB stored
0.0061 per 10,000 transactions
SQL Azure5.7519 per DB (1GB) per month
Bandwidth
0.0607 per GB transfer in
0.2728 per GB out of datacenter

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

16. First Step Applications
Example: Marketing Website Pricing
Windows Azure Platform Solution
Workload Pattern
Application Background
Windows Azure Compute
Windows Azure Storage
Content Delivery Network (CDN)
Branded marketing website with customer facing front end, hosting viewable media content
Application Variables
Pricing Calculation
Billing Estimate
0.14 to 0.28 per hr
0.09 per GB
0.07 per GB
0.09 per GB
0.01 per 10,000tx
Instance Size: 2 to 4 (Small)
Windows Azure Storage: 10 GB
Data Transfer In: 7.5 GB
Data Transfer Out: 30 GB
Blob Transactions: 30,001
Unpredictable Bursting
159.90
0.90
0.40
2.70
0.03
Compute
Average Usage
Time
Total Consumption Monthly Cost of Application: 163.93
TCO Tool Highlights: Derived On-Premises Costs*
Cost of Ownership Comparison
Computing Costs: 933.85
Database and Storage Costs:2.09
Bandwidth Costs: 60.62
IT Admin Support 145.46
Other Costs: (Including Facilities & 804.03
Overhead; Setup & Delivery)
Total:1,946.05
92%
1.9K
164
Azure
Hosted
*Traditional server purchase costs, divided over 12 month period

17. Line of Business Extension Applications
Example: Payroll Application Pricing
Predictable Bursting
Windows Azure Platform Solution
Workload Pattern
Application Background
Compute
Average Usage
Windows Azure Compute
Windows Azure AppFabric
SQL Azure Storage
Web-based payroll application add-on based in the cloud, with two connected SQL Azure web databases
Time
Pricing Calculation
Billing Estimate
Application Variables
0.24 to 0.48 per hr
2.30 per connection
30.95 per database
0.07 per GB
0.09 per GB
Compute Instances: 2 to 4 (Medium)
Connections: 2
SQL Azure Database: 5 GB (2)
Data Transfer In: 18 GB
Data Transfer Out: 36 GB
368.40
4.60
61.90
1.26 3.24
Cost of Ownership Comparison
TCO Tool Highlights: Derived On-Premises Costs*
Computing Costs:
Database and Storage Costs:
Bandwidth Costs:
Other Costs: (Including Facilities & 1,262.27
Overhead; Setup & Delivery)
Total:2,748.79
84%
Total Consumption Monthly Cost of Application: 439.40
1,018.83
402.91
64.78
2.7K
440
Azure
Hosted
*Traditional server purchase costs, divided over 12 month period

18. Case Study: Microsoft expects significant savings after migrating applications to Windows Azure
Changes in run rate from running in Windows Azure
Support
Hardware / Hosting
App Dev
Total
Difference
Windows Azure
SQL Azure
9%
30%
1%
-5%
-4%
13%
2%
3%
11%
Windows
Azure
costs
HW/
Hosting
HW/
hosting
Dev
Efficiency
Windows Server License
savings
SQL Server License
savings
Support
SQL
Azure
costs
Total savings = 30% vs. On Premises model*
* costs exclude non addressable IT spend including IT sales staff, corporate planning resources, external software licenses, corporate bandwidth etc.

19. Alinean Inc.
Persistent Systems
Leading provider of B2B sales and marketing solutions to F100
Reduce IT complexity and shift resources to core businesses
Public sector governance suite of applications and services
Needs secure, scalable, elastic, and comprehensive platform
16%
49%
171K
335K
38K
46K
Real world TCO analysis - estimated over 3 years
On Premises
Windows Azure
On Premises
Windows Azure
Lower TCO from efficient utilization of resources and service management
Lower TCO from dynamic scaling and automated service management

20. Agenda

21. Migration is not one size fits all; the optimal solution is company specific
Considerations
Off Premises
On Premises
Datacenter
Cloud
Location
Dedicated
Shared
Infrastructure
Opex
Capex
Business model
Lease/Rented
Owned
Ownership
Third Party
Self
Management

22.

• Data sensitivity location choice
• 23. Segment applications
• 24. Microsoft provides a comprehensive SLA
• 25. IT can focus onhigh-value tasks
• 26. Target low hanging fruit
• 27. Select applicationsto migrate
• 28. Web latency
• 29. Mitigate withcode changes
• 30. ROI gained offsetsmigration costs
• 31. Review restrictions
• 32. Consider tax implications
• 33. Deploy in minutes
• 34. No need to purchase hardware

To assess your migration approach, some key areas need to be understood
Security
Service Level
Agreements
Migration
Costs
Geopolitical
Cost
Effectiveness
Latency
Provisioning

35. Agenda

36. Benefits of moving to Windows Azure
Agile
Infrastructure
Transcend
Complexity
Sustained
Advantage
Rapid deployment of new business solutions
Focus IT on driving the business not maintenance
Low ongoing infrastructure costs
Utilize familiar development tools
Helps provide a secure and compliant platform
Scale capacity up and down on demand
Transparent ROI
Opportunity for extra functionality

37. Business Scenario 1: I need to reduce IT costs while growing my business
Windows Azure Solution
Expanding possibilities
On Premises
War on Costs
To reduce costs, planed activities need to be scaled back
Migrating to Windows Azure can reduce IT costs and expand business opportunities
Cost Reductions

• Forgo Upgrades
• 38. Stop Projects
• 39. Renegotiate Supplier Costs

Cost Reductions

• InfrastructureHosting
• 40. Support and Maintenance
• 41. Development Efficiency

Grow My Business
Grow My Business

42. Business Scenario 2: I need to take an idea to market fast
Speed to market dictated by:

• Lengthy processes
• 43. Prioritizing over other projects

IT can focus on business ideas, with rapid deployment through scalable, low risk developments
Create
Windows Azure Solution
Remove CapEx, Control OpEx
On Premises
Lengthy project lifecycle
Expand
Rapid prototyping
& total scalability
Slow!
Traditional Project Cycle
Deploy
Solutioning
Simpler Budget Cycle Low Risk
Developer Efficiency
Server Capacity Irrelevant
No CapEx - only OpEx
Deployment in Minutes
Minimal Validation
Minimal Integration

44. Business Scenario 3: I need IT performance to keep up with business

• An inflexible capacity model is either underutilized or not meeting demand
• 45. IT focus on low value support
• 46. Windows Azure matches elastic capacity to whatever the business demands
• 47. IT focuses on high value projects

Windows Azure Solution
No further upgrades
On Premises
Plan upgrades & maintenance
lost opportunity
capacity follows demand
capacity
vs.
demand
wasted capacity

48. Windows Azure Solution
Built-in Capability
On Premises
Build Capability
Planning for disaster recovery is an ongoing process
With built-in disaster recovery you can focus IT on high-value tasks
Inactive Data Center
Active Data Center
Application
Business application
Business Scenario 4: I need to improve my disaster recovery capability
Business application
Business application
Built-in Disaster Recovery
Pay per use
Maintained, but redundant center

49. Agenda

50. Summary

51. Next steps: Work with partners to help determine a migration strategy
Start reaping the benefits now, migrating easy applications.
Be cloud-savvy You can be an internal expert and begin to educate your company on the new capabilities that the cloud provides.
Look to perform a migration assessment on your application portfolio. Identify the best candidate applications, and the optimal migration strategy for you.
Build confidence by migrating applications and portions of other applications early.
Further Information:
Discuss your particular needs and the options available for your organization including:
Developing an approach
Performing a migration assessment
Reviewing business and technical guidance on migrating applications
To learn more about Windows Azure, visit www.windowsazure.com
Microsoft SQL Azure, Windows Azure, and Windows Azure Platform AppFabric are trademarks of the Microsoft group of companies. All other trademarks are property of their respective owners."