August 10th, 2011

You voiced your concerns. VMware listened.Major Adjustments to vSphere 5 licensing

Softchoice at a Glance

• US$884 million in revenues (2010)*• Top 4 VMware Reseller• 45 Branch offices • 15,000 North American Customers

• 920 employees• More than 100 pre-sales resources• Traded on TSX Symbol: SO

*Total Imputed Revenue of US$1. 874 billion**Computer Dealer News Magazine

Agenda

Understanding the Key Driver for Licensing Change

vSphere 5: Licensing Changes Edition Consolidation and Upgrade Rights vRAM Definition and Entitlements New Announcements on August 2nd

vSphere 4: Staying Put Downgrade Rights VMware Support Model

Questions and Answers Please include any questions in the chat window to the

presenter and host

vSphere 4.x vSphere 5.0

Enterprise Plus

Enterprise

Advanced

Standard

Essentials Plus

Essentials

Enterprise Plus

Enterprise

Standard

Essentials Plus

Essentials

vSphere 5: License Changes Edition Consolidation

Understanding the Key Driver for Licensing Change

Moore’s Law states the number of transistors will double every two years

RAM moving forward will be a better indicator of the number of VMs running on a host

Customers can now leverage advanced CPU capacity

vSphere 5 licensing announced July 12th

vSphere 4.x vSphere 5

Licensing Unit Processor = Processor

Core per proc Restricted < Unlimited

Physical RAM per host Restricted < Unlimited

Pooled vRAM entitlement NA ≠ Amt of vRAM pooled across

entire environment

!

What is vRAM? Assigning a certain amount of vRAM is a required

step in the creation of a virtual machine

vRAM ≠ physical RAM

vRAM Entitlements on July 12th

vSphere 5 EditionvRAM

entitlement per license

Average #VMs per enabled by

entitlements

Average #VM on 2-way server enabled

by entitlements

Average #VM on 4-way server enabled

by entitlements

Standard 24 GB 6-12 VMs 12-24 VMs 24-48 VMs

Enterprise 32 GB 8-16 VMs 16-32 VMs 32-64 VMs

Enterprise Plus 48 GB 12-24 VMs 24-48 VMs 48-96 VMs

Summary of Customer and Partner Feedback

Customers were concerned about their future-looking business cases that have been based on future hardware capabilities and the previous vSphere 4 licensing model.

Substantially raise the vRAM entitlements for each vSphere edition

Creates additional hesitation for virtualizing business critical apps

Cap the amount of vRAM consumed per VM at 96GB*

Penalizes short lived usage “spikes” in test / development & transient VMs

Calculate a 12 month average of consumed vRAM rather than a high water mark

Makes vSphere for VDI expensive Already addressed with vSphere Desktop edition licensed per user

Feedback VMware Response

Previously Announced vs New vRAM entitlements

vSphere edition Previous vRAM entitlement

New vRAM entitlement

vSphere Enterprise+ 48 GB 96 GB

vSphere Enterprise 32 GB 64 GB

vSphere Standard 24 GB 32 GB

vSphere Essentials+ 24 GB 32 GB

vSphere Essentials 24 GB 32 GB

Free vSphere Hypervisor 8 GB 32 GBThis limit is GB of physical RAM per physical server

Calculate vRAM based on12 month average vs high water mark

24-Jul

25-Jul

26-Jul

27-Jul

28-Jul

29-Jul

30-Jul

31-Jul

1-Aug

2-Aug

3-Aug

4-Aug

5-Aug

6-Aug

7-Aug

8-Aug

9-Aug

500

550

600

650

700

750

800

850

vRAM configured

High water markAverage

vSphere 5: License Changes Example Enterprise Configuration

• No limit on the number of VMs• Maximum memory allocated to the VMs is limited• To see more vRAM than allowed in processor licenses:• Add more processor licenses• Upgrade Versions

EnterpriseCPU

EnterpriseCPU

EnterpriseCPU

EnterpriseCPU

64GB vRAM

64GB vRAM

64GB vRAM

64GB vRAM

= =256GB

POOL of vRAM64GB x 4

vSphere 4: Staying Put Downgrade Rights and Support Model

Only the vSphere 5 SKU will be available on the Q3 2011 release

vSphere 5 licenses include the right to downgrade one version

VMware supports two versions back so vSphere 4 support will be available

In Summary Get an understanding of the amount of RAM you

have allocated to VMs Leverage the free 60-day evaluation of vCenter

Operations Manager to help gather the information

Contact Softchoice

Email vmware@softchoice.com

• Top 5 Reseller in North America• VMware Authorized Consultant• Softchoice on VMware Technical Advisory

Board• Certified in All VMware Solutions• Licensing Expertise• Dedicated Pre-Sales Expertise• Assessment Services

Softchoice & VMware