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Web Hosting Keynote SWsoft and SaaS

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Basic email/webmail. Dedicated, VPS. Online Games. SWsoft Keynote Hosting, SaaS, Open Fusion ... multi-purpose servers not tuned for optimum performance ... – PowerPoint PPT presentation

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Title: Web Hosting Keynote SWsoft and SaaS


1
Web Hosting KeynoteSWsoft and SaaS
  • Serguei Beloussov
  • CEO, SWsoft
  • Tuesday, May 8, 2007

2
Thank You All For Coming and Specifically The
Sponsors
  • Platinum
  • Gold
  • Silver
  • Media
  • Exhibitor

ModernBill HACKER SAFE GlobalSign CCMedia
Absolute Performance _at_Mail
May 2007
SWsoft Keynote Hosting, SaaS, Open Fusion
2
3
Everything New is Just Forgotten Old This
Picture is from Jan 2000
SWsoft Services Support
PEM
Virtuozzo
HA/LB Solution - Future
Virtuozzo Management Tools
File System - Future
Virtuozzo supports now 10 Linux distributions
and Windows
3
4
About SWsoft, Inc.
  • Strong financials
  • Profitable, Cashflow positive
  • Strong revenue growth each year since 2001
  • 900, 150, 160, 170 and 133 in 2006
  • Backed by Insight, Bessemer, and Intel Capital
  • Expertise
  • 700 experts, including 500 engineers
  • Unique hiring model at MIPT, MSU, NSU
  • 45 patents pending, 3 issued
  • Industry and Product Awards
  • InfoWorld 2007 Technology of the Year winner
  • IT Week 2006 Top 100 IT Vendor
  • LinuxWorld 2006 Best Server Virtualization
    Solution Award
  • Strong partner focus - 500 partners

Seattle
Paris
Barcelona
4
5
SWsoft Three Business Units
  • Hosting/SaaS(SP) Automation
  • PEM
  • Plesk
  • Virtuozzo
  • Virtuozzo
  • Virtuozzo Tools (standalone soon)
  • Parallels
  • Parallels Desktop
  • Parallels Server(coming soon)
  • Virtualization, Management Tools and Automation
  • Complementary, synergetic and complete
    technologies and channel set
  • Broad Customer Target
  • Enterprise, SMB, Consumer Products, Traditional
    and Service Provider channel
  • Broad Platform Support
  • Desktop Server products Windows, Linux/Unix
    and Mac OS x86, x64, Itanium and Power, Sparc

6
SWsoft Hosting Momentum
  • Serving Web Hosting Industry since 1999
  • Over 10,000 service providers using our products
  • Over 400 certified hosting partners
  • Global market leader in Web Hosting automation
    and virtualization software
  • Over 200,000 servers powered by SWsoft control
    panels
  • Over 700,000 VEs deployed
  • Over 17,000 Virtuozzo physical servers
  • Over 10 million active sites/domains
  • Over 50 million mailboxes

6
7
Web Hosting Infrastructure Opportunity
  • WW 07 Web Hosting Market 11-14B
  • Opportunity (in USA)
  • 5 million SMB hosted websites and growing (see
    chart)
  • 60 of SMBs are looking to improve existing web
    presence
  • Penetration grows 9 annual on the average
    (revenue grows a bit faster)
  • Opportunity (in EU)
  • 11 annual growth rate in managed web hosting
  • Market growth from 3.7 billion (2004) to 6.3
    billion (2009)
  • Large and Real Market but the unit growth is
    slowing and there is price erosion too!

SMB Web Presence Expected to grow to 92
100
Learn More from Melanie Posey(IDC) Tomorrows
Keynote
80
60
40
20
0
2005
2009
8
New Opportunity - SaaS The Definition
Software deployed as a hosted service and
accessed over the Internet
  • Email / Collaboration
  • Exchange
  • SharePoint
  • HR Portals
  • Employease
  • Taleo
  • Workstream
  • ERP
  • NetSuite
  • Hosted Quickbooks
  • Web Conferencing
  • WebEx
  • LiveMeeting
  • Spreed
  • CRM
  • Salesforce.com
  • SugarCRM
  • E-commerce/E-marketing
  • Digital River
  • ExactTarget
  • Omniture
  • Web Infrastructure
  • Shared web hosting
  • Basic email/webmail
  • Dedicated, VPS
  • Traditional Apps Deployed into VPSs
  • Accounting, business adm., spreadsheets, doc
    mgmt management, CAD/CAM, etc.

Online Games
8
9
Market Evolution Example
  • Infrastructure
  • Resource focused
  • Tech driven
  • Build your own application
  • Applications
  • Benefit focused
  • User driven
  • Use our application

10
Take Note Big Players are Moving to SaaS
  • Google
  • Bundles for small business, enterprise,
    education, and family
  • SMB offering mail, VoIP, calendar, file sharing,
    page creator
  • Microsoft SaaS
  • Main link goes to hosting area!
  • HMC and WBH are cornerstones
  • SPLA including more applications

Learn More from Michael van Dijken
(Microsoft) 1130am Today
Nothing you cannot already offer!
Take advantage of opportunity!
11
SaaS Market Opportunity
  • 2005 5 of new business software deployed as a
    service
  • 2011 25 of new business software deployed as
    a service
  • Opportunity
  • 8B (2006) -gt 40B (2011)
  • 50 million SMB customers
  • 40 average annual growth
  • Types of applications
  • CRM, web conferencing, web content management,
    HR, supply chain, collaboration, email, games,
    community and others

SaaS of Business Software Market Opportunity
8B increasing to 40B
25
20
15
10
5
0
2005
2011
12
SaaS Benefits
  • Licensing model without upfront cost
  • No need to manage or own infrastructure
  • New markets trends for software
  • Attractive recurring revenue models
  • Differentiator with the big guys
  • More to sell to the same customer ?

13
SaaS The Track to Higher Revenue
Advanced Apps(CRM, ERP, vertical)250-1500
Add Business Collaboration(i.e. SharePoint, LCS,
VoIP)200-500
SaaS
Business-Class E-mail(i.e. Hosted
Exchange)150-300
Dedicated Managed Server100-500
Virtual PrivateServers15-100
Infrastructure
Shared DynamicWeb , DB, Apps5-20
Shared StaticWeb Hosting3-10
DomainRegistration1-3
Customer Needs
May 2007
13
14
SaaS Simply Natural Progression for Webhosting
  • Mass market Web hosting providers ideal channel
    for SaaS!
  • Yesterday
  • Domain, Basic Web, Basic Email, Basic server
  • Today
  • Content Management, Web Marketing, eCommerce,
    Managed Server, VPS, Various Web Applications,
    Antispam, Antivirus, WebMail, IMAP, Various
    Security Applications and services, Value added
    services
  • Customer is SMB/consumer 40-50 mln entities
    using webhosting
  • Already buying and paying monthly, communicating
    for support
  • Hoster Advantage Against specialty players and
    big guys providing comprehensive
    multiple-choice and integrated solution/service/ex
    perience
  • Tomorrow happening now!
  • Rich email, collaboration, VOIP, Web
    conferencing, game servers, online backup
  • Future
  • CRM, HR, ERP, Hosted Desktop and more

15
Conclusion - Hosting Platforms in 2010
  • In 2010, hosting platforms must be able to
    deliver hosted infrastructures for SaaS AND
    hosted SaaS applications
  • Hosted SaaS Infrastructures
  • Shared Web Hosting
  • VPS Hosting
  • Dedicated Server Hosting
  • Collocation
  • Managed Hosting
  • Applications Readiness for SaaS
  • Traditional Applications
  • Configurable Applications
  • Multi-Tenant Applications
  • More detail on many sessions this two days!

SaaS covered throughout all sessions over the
next two days
16
SaaS Critical Issues
  • Deploying SaaS can be as simple as moving
    applications to a hosted server

Traditional Deployment
SaaS Deployment
Customer Site
Hosting Provider Site
Internet
Server
Server
Application 1
Application 1
Server Application
Client PC
  • Historical Present Issues Perceptions
  • Network impact on system performance
  • Mental model on how software is expected to be
    deployed
  • Unknown and not proven business models for ISVs
    and Service Providers
  • Integration with other applications
  • Data backup disaster recovery availability
    requirenments
  • Data security privacy
  • COST / Easy better cost / better product

16
17
Profitability and Simplicity are Critical
  • Two Ways to Offer Hosted Services / SaaS
  • The Expensive Way
  • Hosted in the service provider location
  • But same 1 server 1 application 1 customer
  • Manual provisioning, maintenance, and support
  • The Profitable Way
  • Automate, virtualize and standardize
    consolidate
  • IT staff, data centers, servers, network,
    management tools
  • Virtualization impact
  • 1 server many applications many virtual
    environment many customers
  • Automation impact
  • Reduce costs and improve delivery times by
    automating provisioning, billing, and providing
    customer self-service

18
Reducing SaaS Costs
Note Converting traditional applications to
multi-tenant applications is more expensive than
virtualizing.
  • Cost Drivers
  • Hardware
  • Licensing
  • Maintenance
  • Management

Traditional
Configurable
Multi-Tenant
SaaS Deployment Types
19
SWsoft 2010 Hosting Platform modern version of
the old picture!
  • Standardize and automate interaction among
    customers, hosting providers, and ISVs
  • Utilize virtualization as a key platform
    technology
  • OPEN FUSION provides a standards base
  • Virtuozzo provides a flexible and manageable
    platform
  • PEM delivers automation and service delivery

19
20
Virtualization Continues to Grow
  • 100 of Fortune 500 are using virtualization
    today
  • 50 of them acquired Virtuozzo in the last 12
    months
  • 100 of Top 25 hosting providers are using
    virtualization today
  • All are using Virtuozzo
  • Virtualization market is forecasted to double
    every year for the next 4 years
  • Number of Virtuozzo servers shipped is almost
    doubling every quarter

21
Best of Both Worlds in the Integrated Solution in
CY07
  • OS Virtualization
  • Virtualizes access to OS
  • Single, standard OS is running per box
  • SWsoft/Virtuozzo, Sun Solaris Containers
  • VMM/Hypervisor
  • Virtualizes access to hardware
  • Host OS and each guest has full OS standard or
    special
  • SWsoft/Parallels, Microsoft Virtual Server,
    VMware, XEN
  • Same management tools, same API, same UI where
    do you want to run your workload today ?

21
22
Virtuozzo Was Designed for ASPs which are now SaaS
  • The main disadvantage same kernel on the same
    server is irrelevant for SaaS
  • The efficiency and manageability is super
    important
  • Density 2-10x higher
  • No Performance overhead
  • No Scalability overhead
  • Dynamic Resource Management
  • Simple Live Migration
  • Ultra Fast Management Operations
  • Consolidated OS/App update management
  • Complete Set of Service Provider Tools/APIs
  • Proven with 10s of 1000s of servers in use

23
Virtualization Platform Uses
  • Old VPS offerings
  • VPS servers
  • Dedicated servers
  • Resale offerings with Plesk bundled
  • New SaaS offerings
  • VPS provides isolated resources for applications
  • Customers add a-la-carte applications

Learn More From Mike Riolo (SWsoft) 130pm Today
New hosting opportunity!
24
WebHosting Provider Challenges
Lack of Automation Results
Provider Challenges
  • Hard to order cumbersome ordering process
  • High customer acquisition costs provisioning not
    fully automated
  • Lack of self-service customers cannot manage
    their own services
  • Lack of self-upgrade customer must call provider
    to change a service plan or add resources
  • Multiple control panels each new service
    offering adds a new control panel
  • Low density multi-purpose servers not tuned for
    optimum performance
  • Low revenue per customer difficult to migrate
    customers between plans and sell customers
    additional resources
  • High integration costs non-extensible systems
    require programming
  • High management costs manually install system
    updates
  • Hard to differentiate same offerings as others,
    must compete on price
  • Incomplete service offerings customers shop
    elsewhere for missing services and features
  • Long time-to-market for new services gaming,
    blogs, VoIP, streaming, Exchange, SharePoint all
    require development, control panels, training

24
25
SaaS/Webhosting Key Success Factors
  • Automation is the key
  • Must be fully integrated single system, which is
    also Complete, Comprehensive, Flexible and
    Different
  • Single system/vendor could not deliver all (even
    with 500 engineers) cooperation,
    interoperability is required
  • Interoperability ensures
  • Widest distribution channel
  • Widest choice of services and applications
  • Interoperability is achieved via standards
  • Set of open specifications
  • Guidelines and tools
  • Certification
  • Developer community

26
OPEN FUSION Standards-based Integration Platform
  • OPEN FUSION delivers
  • Open integration and application standards for
    hosting/SaaS platforms
  • Lower total cost of ownership
  • Simplified delivery of SWsoft and third-party
    applications
  • Simplified customer management and migration tasks

Learn More from Ilya Baimetov (SWsoft) 200pm
Today
  • Core Consolidated Ingredients
  • Open API
  • SDK(s)
  • SWDN
  • Application Packaging/Version
  • Application Licensing
  • Single Sign-On
  • UI integration
  • UI customization
  • Consolidated Localization
  • Billing
  • Migration

26
27
Application Standard Specification (Mar 26, 2007)
Learn More from Ilya Baimetov (SWsoft) 200pm
Today
28
Single Sign-On Protocol (May 3, 2007)
Learn More from Ilya Baimetov (SWsoft) 200pm
Today
29
SWsoft Development Network (SWDN)
  • Toolkit for Developers providing
  • Access to SWsoft products
  • Developers licenses to SWsoft products
  • Online library and downloads
  • Documentation, SDKs, and tools for all SWsoft
    products
  • Developer knowledge base
  • Continuously improved and updated
  • Forums and support
  • Dedicated forums and support for developers
  • Dedicated feedback channel for developers
  • Early access to SWsoft product betas

SOFTWARE LICENSING BENEFITS
Learn More from Ilya Baimetov (SWsoft) 200pm
Today
1000 Subscribers and growing!
Join online http//swdn.swsoft.com/register
29
30
Rapidly Growing Ecosystem of 500 Technology
Partners
May 2007
30
SWsoft Keynote Hosting, SaaS, Open Fusion
31
Final Notes and Questions Answers
  • Strong first quarter 2007
  • 140 revenue growth over Q12006
  • 620 virtualization revenue growth
  • SaaS offerings bringing together ISVs, hosting
    providers, and end users
  • Every opportunity is also a threat
  • OPEN FUSION has delivered
  • Application Packaging Standard (APS)
  • Single Sign On (SSO)
  • Lots of work and more to come
  • Watch our announcements in the next few months,
    lots in the pipeline

May 2007
SWsoft Keynote Hosting, SaaS, Open Fusion
31
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