Steve Pearce Chief Operating Officer

1. Steve Pearce Chief Operating Officer

2. Managed Services Industry Hype or a real solution to key business continuity issues ? (Developing trend or latest fad ?)

3. Agenda • Corporate Data and the Business Continuity issues this presents • Managed Services – what,why,who? • VBAK managed back up service • Customer case study – Charles Russell • Summary

4. The Data Storage Management Issue • Corporate customers will continue to need more storage to service dramatic growth in demand . • For every server sold storage is likely to generate twice the original investment over the subsequent three years. • There are realdrivers behind this • More data being generated than ever before. • Rich media – Video, photo’s, graphics, music, voice. • Greater circulation of data - Internet, shared databases. • Becoming more and more complex to manage and deploy • SAN’s, NAS. • Loss of data - unacceptable business risk.

5. Customer Data Storage Challenges • Data management a key issue • Deployment / Security • Back up / Restore / Downtime • Increasing legislation • Explosion in Distributed computing / NT • Real costs are in management • Growth unpredictable • Difficult to plan and budget effectively • Has impact on rest of IT operations • Skills shortage – a genuine problem

6. BSI 7 Levels of Disaster Recovery 1 Duplicate data centre resilient links zero data loss remote clustered systems 2 Dual site dual phase commit workload shared by two sites. Large secondary estate required. Large bandwidth requirements 3 Data vaulting to active secondary site critical data. Some duplicate hardware and environment some real time bandwidth required Complexity 4 Data vaulting – moving subset of critical data offsite by network to dedicated storage facility Cost 5 Offsite Vaulting (PTAM) with DR site 6 Offsite vaulting Pickup Truck Access Method (PTAM) relies on manual process to manage offsite data and also hardware can be made available in a disaster 7 Do nothing, no off-site data

7. Data Segmentation Full replication Application & data availability Business impact Application & data recoverytime Cost Back up & restore Longer term archiving

8. Back up and Restore • Essential aspect of any business IT operation • Chore not core • Exacerbated by proliferation of distributed and networked computing • Still extremely manual / process unchanged for 25 years • Significant hidden cost and risk of data loss • Data security questionable • Potential Business continuity ‘weakest link’ • Currently a partial solution- does not consider the entire data set. • Real need for a new solution to an old problem

9. Managed Service Provision • Provide customers with ability to outsource or ‘out task’ non core IT activity – • Use technology to bridge skills gap. • Typically ‘Online’ - use telecoms to enable centralised management and scalability. • One to many economies of scale & investment • Pay as you go / utility computing model. • Rent not build . • ASP’s,SSP’s, XSP’s • Applications Software & Storage Specialists • Traditional Resellers • New entrants ISP’s / telco’s Service Provider Data Center WAN or Internet Remote Customers

10. Customer Case Study - Charles Russell Solicitors • Charles Russell • City of London law firm (est. 200 years) • 500 staff / 76 partners • 3 UK offices / IT team of 16 • Professional services / High value business critical data • Challenges • Need to ensure vital data properly backed up • Demands on IT staff and systems ( time & expertise) • Regular requests for restore • Growth in data volumes • Remote office backups (Cheltenham / Guilford) • 300+GB of data to back up to tape each day • Space in London office at a premium.

11. The Customer Requirements - IT Director Jon Gould “I am looking for services that will make life simpler and will also enable us to get things done as fast and efficiently as possible.” “Manual backup can be very haphazard. We don’t want to suffer the dreadful scenario that the backup has not worked, or it is has been forgotten that day.” “It is a case of getting the job done and having the confidence of knowing it has been done.” Efficiency Risk Management Confidence

12. The Options • 1 – Do Nothing and make do with current processes • 2 – In – house centralised tape system • 3 – Build a data centre / data vaulting facility • 4 – Managed Service, VBAK

13. - Step by step

14. Charles Russell solution Harrogate Data Centre London Data Centre VBAK back up copy InTechnology Network Critical servers in Private Racks Charles Russell Private VPN London Cheltenham Guildford

15. Managed Services - Conclusion • Industry analysts forecast substantial increase in demand for Managed Storage services and have identified real drivers for this. • Big potential but must provide :- • Real technical and commercial benefit to customers - cheaper, better, easier • Requires real investment to deliver this :- • Specialist skills & expertise • Infrastructure – Datacentre / Network / Internet • Support services / SLA’s • Still some resistance to the concept but resource constraints, new services and reducing teleco costs will drive the model.