Investment Protection

Saving Money with Brocade Solutions

All or some of the products detailed in this presentation may still be under development and certain specifications, including but not limited to, release dates, prices, and product features, may change. The products may not function as intended and a production version of the products may never be released. Even if a production version is released, it may be materially different from the pre-release version discussed in this presentation.

Nothing in this presentation shall be deemed to create a warranty of any kind, either express or implied, statutory or otherwise, including but not limited to, any implied warranties of merchantability, fitness for a particular purpose, or noninfringement of third-party rights with respect to any products and services referenced herein.

ADX, Brocade, Brocade Assurance, Brocade One, the B-wing symbol, DCX, Fabric OS, ICX, MLX, SAN Health, VCS, and VDX are registered trademarks, and AnyIO, HyperEdge, MyBrocade, NET Health, OpenScript, and The Effortless Network are trademarks of Brocade Communications Systems, Inc., in the United States and/or in other countries. Other brands, products, or service names mentioned may be trademarks of their respective owners.

Legal Disclaimer

About BrocadeFounded in 1995, Brocade is an industry leader, providing reliable, high-performance network solutions.

• future-proofed solutions built for • network convergence• virtualization, and • cloud computing

Headquartered in San Jose, California, Brocade has approximately 4,000 employees and serves a wide range of industries and customers in more than 160 countries.

Brocade offers a complete family of Ethernet, Fibre Channel, and Converged Networking Solutions:

• Unmatched simplicity to overcome today's complexity• Non-stop networking to maximize business uptime• Optimized applications to increase business agility and gain a competitive advantage• Investment protection with smooth transitions to new technologies that leverage existing infrastructure

4/17/2015 3

THE STATE OF THE NETWORK

What are the challenges of running a network in a modern environment?

Campus Trends and ChallengesImplementing and maintaining a network is getting expensive!

Core

Aggr

egati

onAc

cess

Wi-Fi Controller

AccessPoints

Business Pace Up

IT Costs

SLAs Up,

Patience Dow

n

BYOD VDI

CloudVideo

Gartner: 65% of IT spend needed to keep systems

running

Gartner: 78% BYOD only or mix by 2016

Apps Deployment takes too long.

Maintenance takes too long (requires scheduled down-time).

Adds/Moves/Changes should be easier.

Reliability, Availability, Performance

Gartner: VDI is experiencing growth rate of 10X.

Data G

rowth up

By 2014: 91% of all Internet traffic will have video

IT SAYS:• 80%: Today’s technologies INCREASE

workload• 33%: Network won’t cut it

• Network complexity #2 challenge for IT

CAUSE:• Antiquated, complex architecture

• Rigid• High maintenance

4/17/2015

How does your Network Cost you Money?

1. Acquisition and Maintenance Costs‒ Networking Systems are expensive.‒ Maintenance contracts add more expense. (SmartNet anyone?)

2. Product Obsolescence ‒ Product is discontinued by the Manufacturer‒ Forklift-upgrades are required to implement new technology.

3. Complicated Configuration & Maintenance‒ Highly-Credentialed Employees are Expensive‒ Human Error is the number 1 cause of network downtime.

4. Ever Increasing Indispensability of Networked Systems‒ Network downtime can be translated directly into lost dollars as they carry more and more sensitive

information.‒ Adds/Moves/Changes require scheduled network maintenance windows and bring business risks.

5. CapEx vs OpEx‒ Shifting to a Consumption-Based model. ‒ Brocade Network Subscription moves costs from CapEx –to-OpEx.

Campus Trends and Challenges

4/17/2015 6

1. ACQUISITION & MAINTENANCE

How can Brocade ease the burden?

What can Brocade do to help me reduce costs?

Premium features are available on entry-level switches.

20% to 30% typical Brocade price differential reduces capital outlay & maintenance costs.

Systems interoperability make is easy to plan your network with a “pay as you grow” strategy.

Common CLI leverages existing expertise with other manufacturer’s, and reduces training costs.

Strict adherence to industry standards prevents the customer from becoming a single-source hostage (a circumstance that typically stops proper discounting).

Acquisition & Maintenance

4/17/2015 8

Affordability Industry’s Best TCO and operational savings

Legacy Tiered Architecture HyperEdge Architecture

RESULTS

# of Times Script is Run

Time Needed for Update (mins)

Labor Cost for Update ($)

21

315

263

3

45

38

56% Lower 7X Faster

• Traditional Campus vs. HyperEdge Architecture• Fewer touch points• Fewer chances for human error• Deploy applications and perform updates 7x

FASTER

• HyperEdge and ICX vs. Cisco 3750x• 50% lower acquisition• 56% lower overall• We should never lose on price

4/17/2015 9

2. PRODUCT OBSOLESCENCE

How does Brocade make systems last longer?

How can Brocade help me get more out of my systems?

Long Life Span of Products means you don’t have to replace them as often

Standards-based stack ports and technologies like Family Stacking mean you can add higher-end functionalities to entry-level products without replacing everything.

Early integration of up-and-coming technologies like Open-Flow, Open-Stack and SDN mean you can add these functions to your network without replacing everything.

Product Obsolescence

4/17/2015 11

Mixed Stacking with Distributed Services

12

Investment protection‒ Seamlessly add capacity and functionality

‒ Pay as you grow

Cost reduction‒ Get premium features on entry-level switches

‒ Reduce initial capital outlay

Simplified management‒ Manage entry-level and premium switches

to reduce time and cost

Maximum performance‒ Double Brocade ICX® 6450 Switch stacking performance using all

four 10 GbE ports for stacking; leverage Brocade ICX 6610 Switch 40 GbE uplinks

Layer 2Basic

Layer 3

Advanced Layer 3

GRE IPv6

Advanced Layer 3

GRE IPv6

HyperEdge™ Architecture

3. COMPLICATED CONFIGURATION

How does Brocade minimize complexity?

How does Brocade simplify network operations?

Setting the stage for Single-IP Management over a whole network reduces the time associated with repetitive network management tasks and allows network managers to spend their time on more productive activities.

VDX products and VCS Fabric Technology integrate with vCenter which virtually eliminates the need to duplicate configuration efforts from one system to the next and enables extreme time-saving functionalities like AMPP.

VDX products and VCS Fabric Technology enable a level of “self-configuration” that’s never been seen before. While a typical switch/router might need thirty CLI commands to enable a basic configuration, the typical VDX takes only three.

Brocade is a market leader in the development of SDN, OpenStack, NETCONF and other common-management/configuration/orchestration strategies that will simplify network ops.

Complicated Configuration/Maintenance

4/17/2015 14

Common CLI -&- GUI-based ManagementKeep it Simple!

Brocade uses industry-standard CLI that gives Network Administrators instantly familiarity.

Brocade’s BNA graphic user interface provides easy point & click management for Brocade and 3rd party products….. AND there’s a FREE version for systems of 1,000 switch ports or less! 4/17/2015 15

Centralized Monitoring and Troubleshooting

FEATURE

Single Point of Management

Single Dashboard For Entire Fabric

BENEFIT

Manage Fabric as one, single switch

Lower Operational Cost

confconfconfconf

Third Party Orchestration Tools

Virtual IP Management

conf

Centralized Software Upgrade/Downgrade and Pre-provisioning

Simplified Maintenance and Upgrade of Switches

Logical Chassis ManagementManage the whole network as if it were a single device!

4/17/2015 16

Software Defined Networking (SDN)Brocade is a MAJOR player in the development all things SDN.

Brocade is home to 5 of the industry’s top SDN experts.

Brocade just announced the Vyatta Controller, the industry’s first fully-open, full-functionality, Open Daylight based, SDN controller that will work with all SDN compliant devices, not just those of it’s own family.

Brocade already supports OpenFlow version 1.3, while most of the industry is back at version 1.0.

4/17/2015 17

4. CRITICALITY OF THE NETWORK

How does Brocade increase uptime?

What can Brocade do to maximize network performance & uptime?

Brocade solutions integrate redundancy mechanisms through-out the portfolio, including MCT, VRRP, VRRPe, MCT, VLAG, Brocade Trunking, TRILL and VCS.

Strict adherence to industry standards means easy interoperability with other manufacturers and permits “best-of-breed” solutions.

Brocade’s HyperEdge & VCS technologies allow network administrators to seamlessly add capacity and functionality in a way not possible with traditional systems.

VDX products and VCS Fabric Technology make far better use of network connectivity (TRILL, VLAGs, Deterministic Flow) so traffic is routed more efficiently, requiring less aggregate bandwidth for the same network performance.

Criticality of Network Systems

4/17/2015 19

HyperEdge™ Architecture

Limited Flexibility: Optimized for legacy applications

Limited Efficiency: Protocols designed to protect network

High Maintenance : Each switch managed individually

Expensive: Higher capital and operational expense

Classic 3-tier Architecture for Enterprise

Core

Ag

gre

gati

on

Acc

ess

Applying data center expertise to the Enterprise

Agile: Enabling user and application mobility Highly Efficient: Network transparent to

applications Automated: Simplified deployment and

management Cost Effective: Lower acquisition and operation

cost

Brocade HyperEdge Architecture for Enterprise

HyperEdge Domain

Acc

ess

/

Ag

gre

gati

on

Core

4/17/2015 20

5. CAPEX & OPEX

How can Brocade change the cost model?

What kind of network will you need in 2020?

1 Gb

10 Gb

100 Gb

40 GbSDN

Wireless

Cloud

???Campus

Data Center

NFV

4/17/2015 22

A New Acquisition Model for the New IP True On-Demand, Options-Based Agility

GROWTH

FORECAST

EXPERIMENT

OPTIMIZATION

BANDWIDTHMOBILE

FLEXIBLE

AGILE

SCALABLE

SOCIAL MEDIAINTERNET

APPLICATIONS

SECURITY

EVOLUTION

FUTURE

CATALYST

TECHNOLOGYPAAS

STRATEGIC

ONLINE

CONNECTED

POWER CONSUMPTION

TERM COMMITMENTSDN

NFV

SWITCH

PROTOCOL

24X7

SOFTWARE

VIRTUAL

AS-A-SERVICE

SUBSCRIBE

IP

ROUTER

NETWORK FLEXIBLESTANDARDS

OPEN

BIG DATASAAS

ITAAS

AGILITY

OPEX

SCALABILITY

BYOD

FUTURE

CAPEX

BNS

4/17/2015 23

Redefining Acquisition for the New IP

NETWORK SUBSCRIPTIONLEGACY ACQUISITION

Purchase or LeaseConsumption-Based

CostsForecasted

Demand/Depreciation Unlimited Upgradability

In-depth Analysis &Justification

On-Demand Scalability

Planned Obsolescence Evolving Useful Life

High CapEx Investment OpEx Agility

Tactical Commitment Financial Dexterity

Open, Scalable, Upgradable, OpEx

4/17/2015 24

Consumption-Based Acquisition for the New IP

In 2015, half of IT spending will be apportioned to consumption-based offerings-- Information 2020: Uncertainty

Drives Opportunity

Key Drivers for Datacenter Decision Imperatives: #1 - Everything-As-a-Service alters financing models

-- FutureScape: Worldwide Data Center 2015 Predictions

7 out of 10 businesses will finance equipment. Advances in the use of technology will drive innovative financing options.

-- Top 10 Equipment Acquisition Trends for 2015

4/17/2015 25

• Ability to flex down in part or in whole without penalty

Manage Regardless of Economic ConditionsBrocade Network Subscription Simply Works

© 2013 Brocade Communications Systems, Inc.

• Pay-for-use and predictable budgeting• Refresh technology

without additional capital

• Ability to quickly expand capacity without financial constraints or concerns• Rapid provisioning

Down Markets Flat Markets Growth Markets

4/17/2015 26

Trade In Aging Infrastructure for New NetworkCostly Legacy Support May Fund a Sizable Percentage of a New Network

Brocade Network

Subscription

4/17/2015 27

On Premise Networks, As-a-Service AgilityDefine the Future: Flexible, Scalable, Upgradable

Risk free, on-demand scalability

Flex to meet ever-changing requirements

Pay-as-you-go assets with OpEx agility

Hardware and services bundled

Navigate transformation with 60-day terms

Redefine TomorrowDesign Today

4/17/2015 28

Providing Agility to Embrace the New IPTechnical and Financial Dexterity for Industry Leading Solutions

• Aligns cost with revenue

• Pay for what you use• No up front capital • Acquire exactly what

you want, when and where you want…today and tomorrow

• Brocade planned upgradability, expanding utility and functionality

• Extend ports on-demand• Dynamic scaling• Add functionality on the

fly

• Customer-definable acquisition model

• Risk free network assets that flex on-demand

• No term commitments, life cycles or depreciation

Financial Agility Technical Agility Industry Leadership

4/17/2015 29

WHO IS ‘NOT BUYING’ A NETWORK TODAY ?

Service Providers

Corp Datacenters Motion Picture - TV

Current Customer Profiles

Government Healthcare Education

4/17/2015 31

Service Providers & Managed ServicesProvision for Demand – Pay On Demand

• Aligns costs with revenue to facilitate profitability from day one

• Rapid provisioning to accommodate new/expanding opportunities

• Upgradable to latest technology at any time

• Scale capacity and technology when customer demands change

The plan aligns perfectly with our IaaS model; we offer customers unlimited scalability and upgradability. When customers update their networks, Brocade Network Subscription changes with us. It’s a no-risk value-add.

— Luke Norris, Founder and CEO, Peak 4/17/2015 32

Corporate Data Centers

• Wary of commitment due to shifting economic conditions and competitive threats

• Capital adverse and cash conservative

• Transforming IT portfolios ‒ Concern over technical obsolescence

‒ Risk of adopting new or unfamiliar technologies

• Mergers and acquisitions may rapidly changing global footprints and requirements

Designing for the Need of Today and Tomorrow

When IT networking infrastructure is acquired through capital expenditure, the fear of making the wrong choice, and locking the company into that choice for several years, can paralyze decision-making.

— A CapEx to OpEx Shift in Network Infrastructure, CFO Magazine4/17/2015 33

Motion Picture & TelevisionExpanding Functionality & Adapting to Meet Ever-Changing Technology

• Data intense demand for streaming audio/video, post production special effects and real-time content delivery

• Changing compute requirements to support initial story idea, pre to post-production, and distribution

• Project-based budgets

• Relentless demand for cutting-edge technology & effects

The art challenges the technology, and the technology inspires the art. — John Lasseter

4/17/2015 34

Shift “IT-as-an-Asset” to “IT-as-a-Service”“We Must Align Technology Procurement with Budget Directives”• Define refresh cycles on your terms• Balance business goals with financial viability• Attract a diverse population of high-achieving

faculty and students with ever-evolving cutting-edge technology

• Eliminate technology obsolescence and disposal processes

The interconnectedness of  cloud computing, open data, social collaboration and  mobile devices has changed the way we share information, changed the way we use and view technology, and has forever changed Americans’ expectations. To meet these expectations, the Federal government must fundamentally change our approach to buying and using IT.

— The FY14 President’s IT Budget: Innovate. Deliver. Protect. Steven VanRoekel, U.S. CIO

4/17/2015 35

HealthcareHospitals need ways to procure technology at reduced costs.• Half of US hospitals operate on less than 2% margin • Need to align technology with business objectives, not

term commitments, depreciation or defined life cycles• Technology shouldn’t drive the cost of healthcare higher –

align like a utility service• Don’t defer to capital crunches, look to OpEx options

• Healthcare organizations the flexibility to evolve on-demand as needs and technology change

Hospitals are seeking robust solutions that will allow their IT staff to focus on deploying applications and services rather than spending time on routine network tasks that should be automated. Flexibility will be measured on the ability to add in new network elements on the fly without degrading the performance of the network.    

—Frost & Sullivan,  Overcoming Technology Barriers to High-Quality Healthcare Delivery

4/17/2015 36

K-12 EducationLeverage e-Rate for Multi-Year Acquisition Plans

• Let Brocade show you how your existing support costs may fund most of your new network

• Overcome budget issues due to lack of capital or delays to secure bond funding

• Reallocate support costs for aging infrastructure into acquisition funds for a new network

• Financial flexibility to acquire the assets you need today with the agility to adjust tomorrow

“Brocade Network Subscription allowed our district to always have a current network, rather than having maintenance costs of an aging infrastructure.  BNS provided the financial flexibility we needed for the technology we wanted.”

— Brad Randmark, Director of Technology and Information Services, Cicero School District 99

4/17/2015 37

Research & Higher EducationOn-Demand High-Performance, High-Availability Network

• Keep on top of changing network demands and technology shifts without having to continually justify additional capital budget

• Attract a diverse population of high-achieving faculty and students with cutting-edge technology

• Reallocate support costs for aging infrastructure into acquisition funds for a new network

There is a huge need and a huge opportunity to get everyone in the world connected, to give everyone a voice and to help transform society for the future. The scale of the technology and infrastructure that must be built is unprecedented, and we believe this is the most important problem we can focus on.

— Mark Zuckerberg4/17/2015 38

CUSTOMER SUCCESSES

BNS Customers

BROCADE NETWORK SUBSCRIPTION

Behind the Story….

Open Doors To New OpportunitiesInnovative Acquisition to Motivate IT Action

• 92% are net new Brocade IP customers

• 83% of our Network Subscription customers have come back for additional products and services

• Growing momentum with global systems integrators – multimillion dollar pipeline

• Shifting Tax Laws and a rapidly changing economic environment require new financial strategies

More Than Just a Supplier – Brocade Becomes an Investor in Your Success

4/17/2015 43

SUMMARYWhat do you need to remember?

4/17/2015 45

1. 20% to 30% lower $ than others

2. Brocade Network Subscription

3. Free maintenance (ICX)

4. Long Product Life Span

5. Standards-based stacking

6. Early integration

7. Single-IP Management

8. better use of bandwidth (VCS)

9. vCenter Integration (VDX, AMPP)

10. Self-Configuration

11. Common CLI

12. No Vendor-Lock (Best of Breed)

Summary

Thank YouCome see us at our table

here at WorkSmart!

@Brocade

www.linkedin.com/company/brocade

www.facebook.com/brocade

www.Brocade.com

4/17/2015 47

@ADNETTech

@ADNETTechnologiesLLC

@ADNETTechnologiesLLC

www.thinkADNET.com