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Virtualized Hosting Business Models

Virtualized Hosting Business Models. Mike Riolo Director of Sales – Hosting Markets May 8, 2007. Virtuozzo Advantages for Hosting. Efficiency Highest Density & Performance Scalability Manageability Capable of mass management Near Real time Resource Allocation Full Isolation and Security

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Virtualized Hosting Business Models

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  1. Virtualized Hosting Business Models Mike Riolo Director of Sales – Hosting Markets May 8, 2007

  2. Virtuozzo Advantages for Hosting • Efficiency • Highest Density & Performance • Scalability • Manageability • Capable of mass management • Near Real time Resource Allocation • Full Isolation and Security • Potential Root Access for each VE • End-user freedom • Management Tools • Multi-node, multi-VE • Provider, Reseller, end-user • Zero-Downtime Migration • No shared storage needed • P2V, V2V or V2P • Extensive Platform Coverage • Windows and Linux • x86, x86-64 and IA64 Virtuozzo Business Models

  3. Hosting Offerings & Deployment Uses • True VPS • Managed VPS • Dynamic Dedicated • Split Dedicated • Virtualized Infrastructure • Split Shared • SaaS Hosting Virtuozzo Business Models

  4. True VPS True VPS - 50+ virtualized partitions per server packaged with subset of low-end dedicated server services and priced at $20+ /month price range • Customer Benefits • Complete Isolation makes it better than shared • Significantly Cheaper than dedicated • Easier than dedicated > MANAGED and tools/recovery • Functionally equal to dedicated • Provider Benefit • New Revenue Stream • Much more profitable than dedicated • Up sell opportunity for shared customers 50-300+VPS/Server Plesk • Best Practices: • Keep competitive price level • Bundle Control Panel • Offer Windows and Linux • Offer some Performance Guarantees • Creative marketing is possible Virtuozzo Business Models

  5. Managed VPS Managed VPS - offering fully managed VPS to the customer with shared hosting like control panel without default root access • Customer Benefits • Guaranteed SLA • Upgrade SLA or to VPS/DS/DDS • Customized application set • Additional managed services • Potential for Root control level 1-500+VPS/Server • Provider Benefits • Higher Revenue/customer • Fully integrated and automated offering • Never leaving to dedicated HSPcomplete PEM In-house System • Best Practices: • Offer for shared customers and move to VPS with the same control panel • Sell additional services like back ups and Marketing services Virtuozzo Business Models

  6. Migrate/Upsell Dynamic Dedicated Servers Dynamic Dedicated Servers (DS/DDS) - dedicated-like virtualized services which are packaged and positioned as a better alternative to dedicated and sold at somewhat similar prices • Customer Benefits • Complete Self-management • Easy upgrade for scalability • Burstable • Better availability, hardware • Provider Benefits • Saving - HW, Electricity, Datacenter • Automatic provisioning and management • Easy upsell and migration 1-50 DS/Server VZPP & Plesk • Best Practices • Both Linux and Windows • Self Management Panel • Control Panel • Properly sized, packaged and priced VZMC Virtuozzo Business Models

  7. Split-Dedicated Split-Dedicated– dedicated server is provisioned with Virtuozzo on it and management interface is provided to the channel or end customer • Customer Benefits • Utilizes the resources better • Few Apps/Panels on 1 server • Allows resellers to sell VPS/DDS 5-100+VPS/Server VZMC, VZCC and/or Plesk • Provider Benefits • Better offering for resellers • Not competing with customers • More revenue per server • Best Practices: • Just another OS option • Browser based interface • Control Panel packaging for customer • Market to Resellers & SME Virtuozzo Business Models

  8. Shared Web Server HostedApps SharedMail VPSServer DNS E-Commerce Portal CRM CMS ERP DB Billing Firewall Shared Virtual Infrastructure Virtual Infrastructure - when all aspects of provider infrastructure are run on virtualized servers • Customer Benefits • Lower costs for services • More reliable 1-500VPS/Server • Provider Benefits • Decreases cost and allows to buy better/reliable servers • Convenient provisioning, re-provisioning, backup, restore, • Migration, monitoring mutualbackup • Best Practices • There is no downside • P2V could be used for easy migration • Market it! VZMC VZCC Virtuozzo Business Models

  9. Migrate Split-Shared Split-Shared - when shared hosting accounts or services running on a single server are split into several VE for manageability and isolation purposes • Customer Benefits • Higher uptime • Predictable performance • Opportunity for more services for the same price Websites 3-10VE/Server 100 Accounts/VPS • Provider Benefits • Higher density – lower risk of “crazy” scripts • Convenient backup and restore • Migration for maintenance and upgrades VZMC HSPcomplete VZCC • Best Practices • Really very straightforward • P2V tools could be used to migrate Virtuozzo Business Models

  10. VPS Server Applications Application 1 - $99 / month Collaboration and more – 2 user license Application 2 - $149 / month Business process and CRM – 5 user license Application 3 - $499 / month Web conferencing – 1 simultaneous conference Application 4 - $499 / month Dental office suite – 10 seats Application 5 - $999 / month ERP / inventory management – 20 seats SaaS Hosting SaaS Hosting –utilizing Virtuozzo to deliver solutions or applications (as opposed to resources) to individual customers • Customer Benefits • turnkey solution for any business need • less expensive and more predictable than in-house • flexible & scalable • 24x7 support Truly Isolated Applications • Provider Benefits • higher attach rate • higher revenue per customer • attracts new types of customers • Best Practices • offer managed and unmanaged • market services not resources • focus on vertical market applications Virtuozzo Business Models

  11. Virtuozzo Business Models Evolution True VPS/DDS - Computer resources • Managed VPS/DDS • Computer resources • Infrastructure Services • HA VPS/DDS • Computer Resources • Infrastructure Services • Clustered Solution • SaaS VPS • Applications • Upgrades • App and Infrastructure Services • Licensing • SLA SOLUTION HOSTING Virtuozzo Business Models

  12. Summary • Virtualized offerings are becoming more mainstream • Virtuozzo is the best Virtualization software for the Service Provider market • Offer many different Virtualized Business Models • SaaS is the future – Virtuozzo will make it more efficient and profitable! • Your customers want these services – EVEN IF THEY DON’T TELL YOU! Virtuozzo Business Models

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