IBM Storwize Family Update More performance. More efficiency. No compromises.

1. IBM Storwize Family UpdateMore performance. More efficiency. No compromises.

2. CEOs: Technology Will be Driving Change Through 2015* Is your storage infrastructure optimized for the greatest efficiency of all your applications and resources? Does your storage infrastructure enable you to provide rich, actionable insight? “71% of CEOs identify technology change as the most important external force impacting their organizations”* 78% CFOs report that pressure remains high to control costs and increase efficiency * IBM, Leading Through Connections: Insights from the Global Chief Executive Officer Study, May 2012.

3. The Real QuestionWill your infrastructure block or enable change? Only 1 in 5 clients have highly efficient IT infrastructures allocating 50% more of their IT budget to new projects1 1IBM, Data center operational efficiency best practices, April 2012.

4. IBM Storwize Family Everything you need from your storage… and less Buy Less Storage Award winning simplicity Deploy Quickly & Flexibly Embedded Analytics Improve What You Have IBM & non-IBM FlashOptimized Start Small & Scale-up

5. Continuing Delivery of Enhanced Capability and Value Storwize V3700Flex System V7000 November 2012 New Standard for Midrange Storage: Storwize V7000 October 2010 Unified Storage Active Cloud Engine Storwize V7000 Unified October 2011 May 2011Clustering VMware APIs 10Gb iSCSI April 2012Real-time Compression FCoE June 2013Storwize V3700 enhancements SVC compression performance Easy Tier and compression Capacity and VM scalability Global Active Cloud Engine

6. Storwize Family Significant Milestones Through March • Over 23,000systems purchased • Includes Storwize V3000, V7000 and V7000 Unified systems • Over 56,000 total enclosures deployed • Averaging 2.5 expansion units per system (Storwize V7000) • Over 760PB of capacity • Over 1 million drives • Delivering five nines availability Thank You!

7. June 10 Announcements SVC V3000 V7000 General availability June 14, 2003 • Storwize Family Software Version 7 • New name for software running on all Storwize family systems including SVC • New disk drives • New SAS HIC for Storwize V3700 • Enhanced compression performance for SVC engines • Additional Fibre Channel ports for SVC engines General availability June 28, 2013 • Storwize V7000 Unified File Module software Version 1.4.1 Statement of Direction IBM intends to enhance Storwize V7000, in addition to IBM SAN VolumeController, and IBM XIV, with SmartCloud Storage Access and support forself-service provisioning of cloud block storage. SmartCloudStorageAccess would also provide storage data consumption information forchargeback and other purposes, and would enable Independent SoftwareVendor (ISV) integration through a storage cloud API (REST).

8. IBM Storwize Family 2Q13 Enhancements SVC V3000 V7000 • 33% greater capacity with new 1.2TB and 4TB drives • Support for Easy Tier and Real-time Compression together • Scalability enhancements: 4xprevious limits • Enhanced IBM i support • Storwize V3700: Turbo performance, Easy Tier, Remote Mirror, SAS Host attach, up to 2040 FlashCopy targets • SVC: 3x maximum throughput for Real-time Compression, more fibre channel ports, improved tiered licensing model • Storwize V7000 Unified: IBM Active Cloud Engine global caching support

9. New Disk Drive Options V3000 V7000 • 1.2TB 10K RPM SFF SAS disk drive • 33% more capacity than 900GB drive • 4TB 7,200 RPM LFF NL-SAS disk drive • 33% more capacity than 3TB drive • May be freely intermixed with other drives and SSDs • Provide greater scalability • Storwize V7000 now up to 1.9PB • Supports client business growth • Enables greater consolidation • Disk Magic provides performance modeling • For Storwize V3500 and Storwize V3700 • Select 15K and 10K SFF drives now available for LFF enclosures • 900GB and 1.2TB 10K RPM, and 300GB 15K RPM • Enables mix of these drives and LFF drives in small systems • Meets client requirement for drive mix at lower cost

10. Real-time Compression Enhancements SVC V7000 • Up to double throughput with existing systems • Software upgrade dramatically improves throughput • Ability to use Real-time Compression and Easy Tier together • No need to choose between efficiency and performance • Enhanced SVC hardware delivers up to triplethroughput forworkloads using Real-time Compression • Restores full performance for non-compressed workloads

11. Increased Compression Write Performance SVC • Up to doublewrite sequential throughput on existing systems • More modest improvements for reads • Significantly improved throughput simply by upgrading to Version 7 • Increases compression bandwidth • Use compression with more enterprise applications: save more capacity V7000

12. Easy Tier and Compression Used Together SVC V7000 • Previously, a volume could be enabled for Easy Tier orReal-time Compression but not both • Forced a choice between improved performance and efficiency • Now you can use both functions for the same volume at the same time • Enjoy improved performance and up to 5x compression for the same data • No competitive system offers similar capability • Easy Tier algorithm adjusted when compression used • Improve performance up to3xand compress data up to 80%

13. Easy Tier and Compression Used TogetherTPC-C Workload SVC V7000 Better than one-third response time

14. SVC Node Enhanced for Compression SVC • RPQ adds CPU and memory resources to SVC 2145-CG8 nodes • Available for CG8 nodes with serial number above N0000 • Mutually exclusive with internal SSDs • Increases compression throughput by up to three times • Restores full performance for non-compressed workloads • Enables compression benefits with much wider scope of workloads and storage systems • Compression can be applied to IBM FlashSystem and combined with Easy Tier • Available for ordering today – existing and new systems (RPQ 8S1296) • Storwize Family Software 6.4.1.4 or later

15. Enhanced SVC Hardware Performance Improvement SVC • Meets large scale enterprise workload requirements • Compress more workloads and save more storage • Real-time Compression is the only compression usable with active primary data • Performance and efficiency • Measurements below performed with TPC-C workload More than three times transaction rate Almost four times I/O rate

16. Storwize V3700 and Storwize V3500 SAS Host Attach V3000 • Low-cost, high performance host attachment option • Three available SAS ports already present on each controller (six per system) • Enabled with upgrade to Version 7 code • SAS ports operational for host attach at no additional charge • For Storwize V3700 only, optional HIC provides additional four ports per controller (eight per system) • SAS direct attach only (no switches or expanders) • Ideal for cost conscious clients with small number of servers • Up to 15x throughput of 1Gb iSCSI • Supported with selected host types • SLES 10.4, SLES 11.1, SLES 11.2, RHEL 5.8, RHEL 6.1 • Windows Server 2008 R2 SP1, SP2, Windows Server 2012 • AIX and VMware under development

17. Storwize V3700 SAS and Fibre Channel Options V3000 • SAS+FC • One SAS expansion port (port 4) • Three SAS host ports • Four FC ports SAS only • One SAS expansion port (port 4) • Seven SAS host ports • No FC ports

18. Storwize V3700 Turbo Performance V3000 • New turbo performance option improves maximum system throughput • Up to 50% greater IOPS • Up to 100% greater MB/s throughput • Actual client experience will depend on workloads and number of drives installed • If necessary, verify with Disk Magic • Enabled through key • No hardware change • Nondisruptive upgrade • Supports growing customer businesses • Purchase additional performance only when needed

19. Storwize V3700 Maximum System Throughput V3000 Note: Measurements are in systems unconstrained by number of disk drives

20. Storwize V3700 Easy Tier V3000 • IBM Easy Tier option now available for Storwize V3700 • Create volumes in hybrid pool containing HDD and SSD • Easy Tier constantly analyzes I/O and migrates data to optimize performance • Unlike competitive tiering offerings, set it and forget it • Easy Tier delivers significant improvements with modest investment in SSD • Improve application performance up to 3x with only 5% SSD • Use STAT tool to size SSD

21. Storwize V3700 FlashCopy V3000 • FlashCopy (“snapshot”) function included as standard with up to 64 targets • May be 64 copies of one volume, or 32 copies of two volumes, and so on • New option enables up to 2040 target copies • Up to 256 copies of any individual volume • Enables taking more or more frequent copies • Support more VMs from a single master copy • Enables more work to proceed in parallel • More copies can reduce impact of having to use a backup copy • For example, taking a copy every hour instead of every day • Reduces potential impact by up to 95%

22. Storwize V3700 Remote Mirror V3000 • New option enables replication of selected volumes to remote system • Primarily intended for disaster recovery • Partner system may be any Storwize family offering • Offers great configuration flexibility • Must also be licensed for remote mirror • Three remote mirror techniques supported • Metro Mirror: synchronous, up to 300km distance • Global Mirror: asynchronous, up to 8000km distance • Global Mirror with change volumes: lower bandwidth option • Fibre channel or 10GbE HIC (for FCoE) required for communication with remote system • FCIP routers may be used for IP connections • Strongly recommend pre-sale TDAto validate plans and assumptions • The replication functions in TPC provide sophisticated remote mirror management

23. Storwize V3700 Licensed Functions V3000 • Turbo performance, Easy Tier, remote mirror, and FlashCopy upgrade are optional licensed functions • License applies to entire system (no per-enclosure licensing) • Clients can enable one-time trial for any function* from GUI • Function automatically disabled after 90 days if not licensed • IBM ships printed page with authorization code when function ordered • Not associated with any specific machine • May be stocked by business partners if desired • Two options for enabling functions • Automatic: Client enters authorization code into GUI of internet-attached Storwize V3700; system validates code with IBM and enables function • Manual: Client enters authorization code and machine details into DSFA web site, which validates and creates a license key. Client enters license key into Storwize V3700 GUI, which enables function • Authorization code can be used only once; license key is specific to one machine • Licenses cannot be transferred between systems: if system is sold, license ownership transfers with it * Trial not available for FlashCopy upgrade option

24. Enhanced IBM i Support Without VIOS SVC V3000 V7000 • Native attachment to IBM i without VIOS • Applies to SVC, Storwize V7000, and Storwize V3700 • Storwize Family Software 6.4.1.4 or later • Supports both direct and switched Fibre Channel attachment • POWER7 servers with PCIe 4Gb or 8Gb FC cards • IBM i 7.1 TR6 • FC switch required for 8Gb FC card;optional for 4Gb FC cards • Greatly simplifies Storwize family attachment to IBM i • Eases migration from internal disk to SAN-attached storage • Enables sharing storage resource with other servers

25. Scalability Enhancements SVC V3000 V7000 • Hosts per I/O Group • Increased 4x to 1024 • Enables growth to support larger environments • Volumes per host • Increased 4x to 2048 • Enables more flexibility when assigning capacity to servers • Max total volumes per I/O Group unchanged • WWPNs per I/O Group • Increased 4x to 2048 • Enables deployments with more VMs, especially with PowerVM • Storwize V3700 has one I/O Group; all other systems have 1-4

26. Additional Fibre Channel Ports for SVC SVC • Feature AHA7adds four additional fibre channel ports • Model CG8 engines only, V6.4.1.4 or later • Mutually exclusive with 10GbE ports and internal SSDs • Must be added to both engines in I/O Group • Nondisruptive CE-installed upgrade • Total eight ports per engine; 16 ports per I/O Group • May be used for all SVC communication • Inter-node communication • Remote Mirror • Server attachment (V7 software only) • Storage attachment (V7 software, first 6 ports only) • Satisfies client requirements for more ports • Separate remote mirror traffic for better performance • Separate inter-node communication (especially with stretched cluster) • More ports for server attachment • Can improve write throughput up to doublein constrained environments • Separating traffic may also reduce network congestion and so improve performance

27. SAN Volume Controller Revised Software Tier Structure SVC • New tier levels and new prices per tier • Significantly reduces price for very small and very large configurations • FlashCopy and Remote Mirror prices now same as base virtualization • Very significant reduction for Remote Mirror in most tiers • Existing users will see new prices • When upgrading capacity • When renewing subscription and support • SVC licensing aggregates together all sites in a country

28. SAN Volume Controller Revised Software Tier Structure SVC Note: For Version 6, table shows base virtualization and remote mirror prices per tier. For Version 7, base virtualization and remote mirror prices are the same. For both versions, FlashCopy prices are the same as base virtualization.

29. Client Reactions • Storwize Family Software Version 7 • “It was not difficult to upgrade the code on the [Storwize] V7000, anyone [with knowledge] of the V7000 [will find that] the code upgrade can easily be done” • Storwize V3700 option licensing • “The activation process on IBM Storwize V3700 is very easy to use and understand. In this case the automatic activation process wasn’t possible, but the functionality as such seems very easy to use. It is very easy to get an overview on the licensed features and what state they’re currently in. It is very easy to activate license keys, both manually and using an XML file, the process is very intuitive and easy to understand.”

30. Multiple Site Challenge V7000 Unified • Many organizations need to share data among users at different sites • Today’s options force undesirable compromises • Users can share a single central copy • High networking bandwidth costs • Poor performance • Loss of access in case of network failure • Copies of data held at remote sites • Administrative overhead of making copies • Data becomes stale: users see out-of-date information

31. IBM Active Cloud Engine: Advanced Global Functionality V7000 Unified Will be refreshed On Demand Push or pull • Storwize V7000 Unified and SONAS systems in a network • Central site can be source where data is created, maintained, updated, changed • Local copy for remote users • Multiple distribution options • Push data to edges for WAN optimization • Periodically pre-fetch by policy or pull on demand • Revalidate data on access • Write data remotely, send to central site • Centralized management, backup, HSM • Addresses remote site issues • Better performance • Lower networking cost • Better data currency • Simplified administration Centralized management and backup Revalidated copy Can read or write • Central office / branch office • Collaboration in the cloud • Ingest / disseminate

32. SmartCloud Storage Access Statement of Direction SVC V7000 • Self-service provisioning support for SVC, Storwize V7000, and XIV block storage • Supports IT staff, application owners, developers and specialized users in provisioning block storage • Streamlines provisioning by eliminating need to coordinate with other teams • Storage usage metrics export function • Enables chargeback capability to using departments • Supports IBM SmartCloud Cost Management and other third party accounting and billing tools • Independent Software Vendor integration through a storage cloud (REST) API • Integration points available to support industry specific applications IBM's statements regarding its plans, directions, and intent are subject to change or withdrawal without notice at IBM's sole discretion. Information regarding potential future products is intended to outline our general product direction and it should not be relied on in making a purchasing decision. The information mentioned regarding potential future products is not a commitment, promise, or legal obligation to deliver any material, code, or functionality. Information about potential future products may not be incorporated into any contract. The development, release, and timing of any future features or functionality described for our products remains at our sole discretion.

33. Total Purchase Price • Monthly Payment • = • 12 Financing Storwize family Obtain the benefits of Storwize family with IBM Global Financing Full payout lease at 0%Interest for 12 months¹ IBM Global Financing provides predictable monthly paymentsspread out across 12-month term • Realize predictable monthly payments • Preserve cash flow for higher-yield investments • Acquire more within your current budget • Accelerate the implementation of new technology Learn more:ibm.com/financing ¹IBM Global Financing offerings are provided through IBM Credit LLC in the United States and other IBM subsidiaries and divisions worldwide to qualified commercial and government clients. Rates and availability are based on a client’s credit rating, financing terms, offering type, equipment and product type and options, and may vary by country. Non-hardware items must be one-time, non-recurring charges and are financed by means of loans. Other restrictions may apply. Rates and offerings are subject to change, extension or withdrawal without notice and may not be available in all countries.

34. Optimize Storwize V7000 and SAN Volume Controller Availability (SVC) with Enterprise Level Technical Support Services IBM Technical Support Services Service Features • 3-year integrated support packages for Storwize V7000 and SVC • Proactive monitoring via ‘call home’ capabilities to help reduce downtime • Expert support from designated specialists; enhanced response time Client Benefits • Optimize availability of business-critical systems • Maximize end-user productivity • Designed to minimize the costs/business impact of a problem, when one has occurred • Free up IT resources for innovation General Availability is July 23rd, 2013 ¹SW SEV 1 only. 2Availability varies by geo. Does not include software setup.

35. Storwize V7000 and SVC Premium and Enterprise Support Options • US / Japan: Premium or Enterprise Support • Sell Storwize V7000 / SVC into Sector accounts with either Premium or Enterprise Support to significantly enhance the overall client IBM experience • Europe / CEEMEA / Canada / LA / AP: Premium Support (Enterprise not available) • Sell Premium Support for clients requiring mission critical storage support • Obtain pricing and packaging support through Sales Transaction Services (STS) teamor Business Partner sales teams Support Option availability and contacts

36. IBM Storwize Family 2Q13 EnhancementsMore performance. More efficiency. No compromises. • 33% greater capacity with new 1.2TB and 4TB drives • Support for Easy Tier and Real-time Compression together • Scalability enhancements: 4xprevious limits • Enhanced IBM i support • Storwize V3700: Turbo performance, Easy Tier, Remote Mirror, SAS Host attach, up to 2040 FlashCopy targets • SVC: 3x maximum throughput for Real-time Compression, more fibre channel ports, improved tiered licensing model • Storwize V7000 Unified: IBM Active Cloud Engine global caching support

37. Find Out More • Storwize family web site • ibm.com/storwize • Storwize family sales kit • SSI: tinyurl.com/StorwizeFamilySSI • PW: tinyurl.com/StorwizeFamilyPW • ISV solutions and white papers • ibm.com/systems/storage/solutions/isv/index.html • IBM storage videos • youtube.com/user/ibmstorage