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|
Safe Harbor Statement
The following is intended to outline our general product direction. It is intended for
information purposes only, and may not be incorporated into any contract. It is not a
commitment to deliver any material, code, or functionality, and should not be relied upon
in making purchasing decisions. The development, release, and timing of any features or
functionality described for Oracle’s products remains at the sole discretion of Oracle.

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Oracle SuperCluster for
Oracle E-Business Suite

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2015, Oracle and/or its affiliates. All rights reserved. |
Typical Enterprise IT Operational Inefficiencies

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Typical Enterprise IT Expenditure Distribution

Focus on ongoing expenses, not


purchase price.

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Freedom from Low-level Tasks Drives Innovation
Freedom to Innovate

Optimized Engineered
Systems & Cloud
Systems built from
commodity servers, storage,
Monolithic servers networking, and software
with custom software

1995 2005 2015

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SuperCluster: Oracle’s Most Powerful Engineered System

• Complete, Integrated Platform


• Servers, storage, networking, virtualization,
operating systems, application & database
templates, specialized management tools, expert
support
• Optimized for Oracle Database
• Ultimate OLTP & batch performance, security,
reliability, horizontal & vertical scalability
• Runs Any Standard Application
• Runs any standard application, from Oracle
including Oracle E-Business Suite, and 3rd party
apps to custom Java, C++, Ruby-on-Rails, Python
and more.

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SuperCluster: Oracle E-Business Suite Customers

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SuperCluster: Oracle E-Business Suite Implementations
Engineered and Optimized for Performance on Oracle SuperCluster

Business reports produced 2x faster patching 5x faster EBS transaction times


1.7x faster E-Business suite database 3x EBS performance
Reduced operational migration in 12 weeks improvement
costs by 1.8x

Former Platform
Former Platform
SuperCluster

SuperCluster

Former Platform
Former Platform
EBS RESPONSE TIMES PATCHING EBS TRANSACTIONS
SuperCluster Other SuperCluster Other
SuperCluster Other
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SuperCluster: Oracle E-Business Suite Implementations
Engineered and Optimized for Performance on Oracle SuperCluster

28 days to deploy
EBS audit report 5x faster
Defect tracking reduced 36x
EBS HR module 149x faster

Former Platform

Former Platform
Former Platform
EBS AUDIT REPORT
DEFECT TRACKING TIME
SuperCluster Other
SuperCluster Other

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affiliates. All rights reserved. | 10
Why Customers Choose SuperCluster for E-Business Suite
Engineered and Optimized for Performance
• Extreme Performance
• High-volume batch, OLTP work-load and cloning performance
• Cost Reduction
• Lower TCO compared to multi-vendor D-I-Y solutions
• Orders of magnitude easier to manage, simpler patching, greater uptime
• Faster Time to Value
• 5X faster to deploy with fully documented Oracle E-Business Suite
consolidation best practices
• Risk Reduction, Security and High Availability
• Pre-tested solution with built-in security and high availability
• Oracle Platinum Support
Copyright © 2015, Oracle and/or its affiliates. All rights reserved. | 11
SuperCluster: Runs Oracle and Virtually Any Application
• Optimized for E-Business
Suite
• Optimized for Oracle
Database
• Oracle Fusion Middleware
• Oracle Applications
• 3rd Party Applications
• All Oracle Solaris
Applications
• Any Java, Ruby, Spring,
Grails, Groovy, REST, C/C++,
etc.

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


SuperCluster: Hardware Architecture
Complete | Optimized | Fully Virtualized | Scale-up and Scale-out

 General-purpose Storage
• Virtual Machine and system data
 Unified Ultra-fast Network
• 40GB/s QDR InfiniBand I/O backplane
 Database & Application Servers
• Up to 32 processors and 32 TB of RAM
• Software defined scale up or scale out
 Exadata Storage Servers
 Highly optimized storage for Oracle
Database
 Query processing
 OLTP
SuperCluster T5-8 SuperCluster M6-32
 Compression

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SuperCluster: Integrated Software
Complete | Optimized | Fully Virtualized | Scale-up and Scale-out

SuperCluster T5-8 SuperCluster M6-32

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An Obsolete Approach To Managing Data

Oracle Business
Production Server
Intelligence
with OLTP Database
(Row Format) Server
Traditional Application (Analytics &
Architecture Reports)
Extract,
Transform, Load

Periodic
Batch
Processes
SLOW,
COMPLEX
Data Warehouse
Server with
OLAP Database
Copy DB to (Column
Run Cost Format)
Management

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


SuperCluster: Extreme Performance Innovations

Traditional Performance SuperCluster innovations


Bottlenecks
Poor Database Storage I/O Exadata Technology

Poor Compute Performance Oracle T5 and M6 Processors


Poor Memory Utilization Architected for In-memory
Inefficient Virtualization Zero-overhead Virtualization
Poor Scalability Linear Scale-up and Scale-out
Complex Multi-vendor Tuning Full-stack Tuning & Patching

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The Next Database Performance Leap
Oracle 12c Database In-memory

Memory Memory  BOTH row and column


in-memory formats for
same data/table

OLTP
Sales Sales
Analytics  Simultaneously active and
Row
Format
Column
Format
transactionally consistent

 100X Faster Analytics &


reporting: column format

 2X Faster OLTP: row format

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SuperCluster: In-Memory Modules for Oracle Applications

Real-time Cost and Profitability Analysis


 Optimize costs and working capital
 Evaluate COGS and valuations
 Maximize margins and gross profits

1000X Faster

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SuperCluster: E-Business Suite In-Memory Cost Management

Real-time Cost and Profitability Analysis


 Optimize costs and working capital
 Evaluate COGS and valuations
 Maximize margins and gross profits

1000X Faster
Than commodity x86 hardware and
regular Oracle Database 12c

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Revolutionary Transformation to Real-Time Enterprise
No More Overnight Batch and Real-time Analytics

• Accelerate Your Business


In-Memory Application
Architecture

In-Memory Cost
Mgmt Schema OLTP Schema

INSTANT,
SIMPLE Bi/Analytics

In-Memory Everything

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


SuperCluster: Maximum Security
Secure Multi-tenant Application and Database Cloud and Consolidation
Secure Java & Middleware
Secure Oracle Database
Secure OS Run-Time
Secure Boot & Firmware
Secure Workload Deployment
Secure VM Templates
Automated Compliance
End-to-End Encryption

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


SuperCluster: End-to-End Multitenant Architecture

Complete Workload Isolation

Role Based Access Control

Dynamic Resource Management

Web-based Self Provisioning

Metering, Limiting and Charging

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SuperCluster: Complete Solution for E-Business Suite

Application Services
and
Support
Database Centralized
Management

Operating SOLARIS CLUSTER

Systems SOLARIS CLUSTER


GOEGRAPHIC EDITION

Virtual SPARC DOMAINS


Machines SOLARIS ZONES

Engineered
Systems

Storage

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


SuperCluster: Oracle Optimized Solution for E-Business Suite
Engineered, Tested, and Proven from Apps-to-Disk

Identify Early Fault


End to end functional Interoperability
integration development injection
validation tests
opportunities tests tests

One Engineering Team Full Stack Optimizations

Sizing and Performance Real world Patch regression


Load/stress
configuration and scalability workload tests tests
tests
optimizations tests

1,000s of hours of testing across the stack to reduce risk

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


SuperCluster: High Availability
Oracle E-Business Suite
10 GbE Data Center Network

Node 1 Node2 2
Node
Oracle
Oracle Solaris Solaris Oracle Solaris
Cluster

Isolation

Application Domain Application Domain High Availability


Oracle
Oracle Solaris 11 RAC Oracle Solaris 11
11g R2
Scale
Database Domain Database Domain

InfiniBand Network

Oracle Exadata Storage Servers

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


Oracle Platinum Support
Industry Leading Enterprise Support

ORACLE PLATINUM SERVICES

Complete. Integrated. Proactive. High Availability Services.


• 24/7 support coverage • Industry-leading response times:
• Specialized Support Team – 5 Minute Fault Notification
• 2-hour onsite response to hardware issues1 – 15 Minute Restoration or Escalation to
Development
• New updates and upgrades for Database,
– 30 Minute Joint Debugging with Development
Server, Storage, and OS software
• Patch deployment by Oracle engineers
• 24/7 Oracle remote fault monitoring
• Higher support level for Oracle stack
– Server, Storage, Network, Database software
1 Coveredsystem must be within an Oracle two-hour service area to receive two-hour response as a
standard service.

Platinum Services at No Additional Cost


7/21/2016 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. | Public 26
Oracle Platinum Services Benefits: Real World

• 75% fewer sev1 Service Requests


• 70% fewer escalations
• 37% fewer bugs encountered
• 27% shorter avg. SR resolution time
• 86% of SRs are opened by Oracle
–Requires an Auto Service Request
connection

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


Oracle SuperCluster: Services Provider, Europe
Implements Oracle E-Business Suite Platform

• Produce business reports 70% faster


improving employee productivity
• Cut operational costs and simplified
management
Oracle SuperCluster Oracle Exadata

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


Oracle SuperCluster: Educational Institutional, North America
Implements Oracle E-Business Suite Platform

• Improved serviceability with 2x faster


patching
• E-Business Suite database migration in
only 12 weeks
Oracle SuperCluster

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


Oracle SuperCluster: Industrial Supplier, North America
Implements Oracle E-Business Suite Platform

• 5x OLTP performance increase


• 3x performance increase in EBS
manufacturing, planning and
logistics module Oracle SuperCluster Oracle Exalogic

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


Oracle SuperCluster: Oil and Gas Provider, UAE
Implements Oracle E-Business Suite Platform

InfiniBand

• EBS employee audit report 5x faster


Former Platform

SuperCluster
• EBS HR module performance 149x faster
• EBS financials reports 6.5x faster

7/21/2016 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. | Public 31
Oracle SuperCluster: Aircraft Manufacturer, UAE
Implements Oracle E-Business Suite Platform

ZFS Replication

• 28 days to deploy the largest cMRO


implementation in the world
Former Platform

SuperCluster
• Defect tracking reduced 36x to 5 seconds Oracle Data Guard Oracle Data Guard

• Advanced Supply Chain Management Production Disaster Recovery

savings of 320 person hours per month

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17x Performance Gains, Rapid


Deployment, 24x7 Oracle Monitoring and
Support with Oracle SuperCluster

“Specialized Bicycles is a brand that innovates. That is why we work with Oracle. It is
about speed, increasing efficiencies, knowing and managing net inventory.

Our proof of concept showed performance gains up to 17x. An account


reconciliation report took 20 hour report ran in 20 minutes on Oracle SuperCluster,
that’s huge.

We were always I/O bound managing 60TB of data. With the full integration ZFS, it
was a huge upgrade for us on top of the flash memory side of the database.

From the time we made out decision, did the POC, we were up tremendously fast
with Oracle SuperCluster in 65 days. Oracle keeps the system up and running 24/7
with out us worrying.”

Ron Polard 17x


CIO
Specialized
17x Performance Gains
65 65 days to deployment

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. | Oracle Confidential – Internal/Restricted/Highly Restricted 33
Extreme Efficiencies Implementing


SuperCluster Cloud, Cut OPEX by over
80%, Scaled Down Footprint 5x

“The advantages of having the database and applications running


on SuperCluster are huge, optimized to run Oracle Database, and
Oracle Exalogic.

With Oracle SuperCluster we were able to reduce operational costs


by 80%, and scaled down and consolidate by a factor of 5x.

Quarterly patching was really time saving for my staff. With Oracle
SuperCluster, we have one Partner for the whole stack.”

Hallgrímur G. Sigurðsson
Manager of Engineering Cut OPEX by over 80% Scaled Down Footprint 5x
Advania hf

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


Global Services Provider Runs Oracle E-


Business Suite, On SuperCluster, Migrates
from IBM Platform

“ NCR chose Oracle SuperCluster for the best performance for an


Oracle E-Business Suite , Oracle Enterprise Database, and Oracle
Exalogic integrated implementation supported by Oracle Platinum
Services.

The business benefits proven through the Oracle proof of concept


include superior price/performance. NCR will be migrating from an
IBM platform to Oracle SuperCluster, integrated with Oracle
Exadata and used to manage its Global Service business.”

Martin Kawecki
IT Director Superior Price Performance Oracle Global Services
NCR

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


SuperCluster: Best Platform for E-Business Suite
Oracle’s Most Powerful Engineered System

• Engineered System: one integrated system with all the


required hardware (servers, network, storage) and
Oracle software
• One Architecture for Oracle E-Business Suite and Oracle
Enterprise Database
• Solves the IT Challenges Faced by Organizations:
• Avoids and removes database and storage silos
• Makes all workloads faster
• Rapid migration

7/21/2016 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. | Public 36
For More Information

oracle.com/supercluster
facebook.com/OracleHardware
blogs.oracle.com/hardware
linkedin.com/company/oracle

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2015, Oracle and/or its affiliates. All rights reserved. | Public
Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |
BACKUP SLIDES

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Oracle SuperCluster: Customers by Workload
Oracle E-Business Suite PeopleSoft SAP Oracle Database

Siebel FlexCube

Java/Solaris

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


SuperCluster: Lower CAPEX than Multi-vendor Systems
SuperCluster T5-8 Full Rack Comparable Cisco/EMC/VMware/RedHat
Compute ASP Support/Yr. Compute ASP Support/Yr.
• 2 T5-8 (256 Cores/4TB) • 8 UCS M4 (256 Cores/4TB) $194K $1K
• 3 InfiniBand Switches • 1 UCS 5108 Chassis $8K $0K
• Rack infrastructure • 2 Fabric Interconnects $26K $1K

3X
• Rack Infrastructure $2K $0K
Subtotal $230K $2K
Storage Storage
8 Exadata HC Storage (384TB) 10 EMC X-Brick 20 (200TB) $2,805K $0K
More
• •
• 1 ZS3-ES Storage (80TB) • 1 EMC VNX 5600 (80TB) $65K $4K
ZS3 Cloning & Replication

• Exadata Storage Software
• EMC Unisphere Unified Suite
Subtotal
Expensive $15K
$2,886K
$1K
$5K
Year 1
Software Software
• Oracle Solaris • Red Hat Server $0k $17k
• Oracle VM for SPARC • VMware vSphere OC EP $41K $10K
• Enterprise Manager Subtotal $41K $27K

Total $1,048K $155K Total $3,157K $33K


Oracle ASP ASP Support/Yr. Cisco/EMC/VMware/RedHat ASP ASP Support/Yr.

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


Pay for an Engineered System as a Monthly Service
Oracle IaaS Private Cloud

• SuperCluster for a monthly fee


$600

– Replace CAPEX with OPEX $500


Purchase plus
Annual Support
– Lower total cost than purchase

Cumulative Cost ($, 000s)


$400

• Private / On Customer Premise $300


IaaS no CoD used

– Maintain control of business critical data IaaS with 3 Months


CoD per Year

• Elastic Compute Capacity on Demand


$200

3 year term

– Pay For peak capacity, only when needed $100

• Oracle PlatinumPlus Services Included $0


0 12 24 36 48 60

– Higher level of support including patching Months

services

7/21/2016 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. | Public 42
SuperCluster: Greater Value than Competition
4X Lower Total Cost of Ownership then IBM POWER7+ Solution

5 Year TCO
Greater Value1
$20M

 $15 million in savings


$15M

4X Savings  4X lower five year, Total Cost of Ownership


$10M

$5M

1Comparing (2) IBM P780s with POWER 7+ processors and 256GB RAM, IBM DS8870 Storage with 512 disks,
Oracle Database Enterprise Edition with (1) Oracle SuperCluster ½ Rack HP, Oracle Database Enterprise
Edition, Oracle Real Application Clusters, Oracle Exadata Storage Software and Oracle Solaris Cluster
SuperCluster Solution
IBM P780+ Solution

See substantiation slides

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


SuperCluster: Save Money Replacing Legacy IBM Systems
2.4X Reduction in 5 year Total Cost of Ownership

5 Year TCO
Upgrade and Save1
 Save $6.4 million over 5 years
$10M

 Return On Investment in >3 years


2.4X Savings
$5M  30% lower hardware costs
 3X lower floor space costs
 2X lower power and cooling costs
SuperCluster Solution
1Based on analysis replacing IBM P595 servers and DS8300 Turbo storage with Oracle
IBM P595 Solution
SuperCluster ½ rack

See substantiation slides

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


SuperCluster: Save Money Replacing Legacy HP Systems
2.7X Reduction in 5 year Total Cost of Ownership

5 Year TCO
Upgrade and Save1
$15M
 Save $10.5 million over 5 years

$10M
 Return On Investment in >2 years
2.7X Savings
 58% lower hardware costs
$5M
 3X lower floor space costs
 1.8X lower power and cooling costs
SuperCluster Solution 1Based on analysis replacing HP Superdome and EVA8000 storage with Oracle SuperCluster
Superdome Solution ½ rack

See substantiation slides

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |


Substantiation Slides
Solution Comparison Disclaimer
and Methodology

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Statement of Confidentiality & Disclaimers
This presentation and its contents (collectively, "Presentation") are the confidential information of
Oracle. The Presentation may not be reproduced, published, disseminated, or otherwise disclosed
without Oracle's written consent.

The Presentation is designed to provide a rough estimate of the Oracle software and hardware needs for
your company based on high level corporate information, and cannot account for all uses, risks and
other factors that may affect results or performance, or for changes in your business practices or
operating procedures that may be required to realize results or performance that are projected or implied
in the Presentation.

The Presentation may include selected third party data, information, research and/or reference materials
(collectively, "Third Party Information"). The inclusion of the Third Party Information does not constitute
an endorsement of Oracle's products or services by any third party.

The Presentation is provided to You on an “AS IS” basis without warranty (either express or implied),
may be used for informational and general planning purposes only, and is subject to change at Oracle's
sole discretion.

Further, this Presentation is not a commitment to deliver any future material, code, or functionality. The
development, release, and timing of any features or functionality described in this Presentation remains
at the sole discretion of Oracle.

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Methodology
This model compares the TCO including CAPEX and OPEX of keeping the current environment (i.e. business as usual) versus replacing it with a
proposed architecture plus the associated IT related business benefits.

Safe Harbor Statement


TCO categories include: Hardware acquisition and service, Software licenses and maintenance, Power and cooling (CO2 emissions calculated but
not monetized), Floor space, and Integration and deployment.
IT related business benefits include: Employee productivity, IT staff productivity, and Planned and unplanned downtime.

The following
Growth: The averageis intended
utilization to outline
rate of equipment ourbased
is increased general product
on the growth rate untildirection. It is intended
it reaches the maximum for= 60%) at
(default maximum
which point additional equipment is acquired. Growth is applied to new proposed equipment deployed during the migration period but is not applied to
information
equipment that is purposes
being ramped down. only, and may not be incorporated into any contract. It is not a
commitment to
Average utilization: Averagedeliver
initial = 40% and maximum = 60%.
any
utilization material,
applies code,
to workload capacity foror functionality,
servers and
and to storage capacity forshould not
storage. Default be relied
average upon
utilization range:

inUseful
making purchasing
life replace: decisions.
Useful life replace The
models the cost development,
of replacing equipment at therelease, and
end of its useful timing
life with of workload
equivalent any features or
or storage capacity
functionality described for Oracle’s products remains at the sole discretion of Oracle.
at an estimated future price point. Software licenses are transferred to the new equipment. Hardware service is recalculated at the new rate.
Future equipment acquisition: The price to acquire equivalent workload or storage capacity is decreased at a default annual erosion rate of 15% per
year starting in year 2 through year 5 based on Moore’s Law.
Migration Period: For large multi-year implementations, proposed equipment is added and current equipment ramped down in equal amounts for
each year of the migration period
Purchase: If equipment is purchased, then the entire hardware acquisition cost (CAPEX cash flow) occurs in the year it is acquired.
Lease: If equipment is leased, then the cash flow is spread over the lease term (default 3 years). At the end of the lease term, equipment is assumed
to be replaced with new equivalent capacity at an estimated future price point recalculating the lease using the same rate.

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


EBS Sizing Used in Comparisons
High Level IBM Sizing Used for 2000 and 5000 User Comparisons

Source of IBM EBS sizing information: http://public.dhe.ibm.com/common/ssi/ecm/en/ord03011usen/ORD03011USEN.PDF

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Substantiation Slides
SuperCluster Replaces IBM
P595 Solution Comparison

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Lowering TCO for EBS Customer 2000 Users
PROJECTED CASH FLOWS TCO OVER 5 YEARS

BAU Proposed
Hardware Acquisition 4,370 965 5x
Initial Year 1 Year 2 Year 3 Year 4 Year 5 Hardware Service 1,563 524 3x
sh Outflows 0.00 837.00 860.00 1,971.00 2,722.00
sh Outflows 1,335.00 249.00 254.00 1,670.00 497.00 Software - Hardware License 4,116 2,844 1x
Power and Cooling 297 101 3x
Floor Space 125 39 3x
Total cash outflows over the next 5 years
BaU = $10,937K Integration and Deployment 466 38 12x
Proposed = $4,512K
3,000.00

TCO Reduction = $6,425K

7/21/2016 Copyright © 2014, Oracle and/or its affiliates. All rights reserved. | Oracle OpenWorld
Cash Flows And Value Metrics
Category Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Total
TCO Business as Usual (IB) 0 837 860 1,971 2,722 4,546 10,937
TCO Proposed (P) 1,335 249 254 1,670 497 507 4,512

Other Proposed Project Investments (O) 0 0 0 0 0 0 0

Net TCO (IB - P - O) -1,335 588 606 301 2,225 4,039 6,425
Business Benefits (BB) 0 21 44 45 46 47 203
Net Cash Flow (Net TCO + BB) -1,335 609 650 346 2,271 4,086 6,628
Cumulative Net Cash Flow -1,335 -725 -75 271 2,542 6,628
Cumulative Discounted Net Cash Flow
(NPV) -1,335 -778 -236 28 1,607 4,203

 Discounted Total Savings (NPV) : $4,203K PROJECTED CASH FLOWS


 TCO reduction : 59%
USD in Thousands, Undiscounted

 Payback months : 27

 Net Initial Investment : $-1,335K

 ROI based on total project cost (%) : 147


Category Initial Year 1 Year 2 Year 3 Year 4 Year 5
Benefits 0.00 0.00 0.86 0.90 2.02 2.77

 IRR (%) : 65
Costs -1.34 -0.25 -0.25 -1.67 -0.50 -0.51

 Cost of 3 month delay : $120K

 Cash flow discounting period : Year end

 Cost of Capital : 10%


3.00

*Currency USD in Thousands


**Unless otherwise noted, all future cash flows are undiscounted

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Installed IT Infrastructure
Installed Base
Category Component / Sub Component Name Manufacturer Qty Reqd. Qty
Server, Engineered System
IBM Power 595 Server IBM 2 2
POWER6/5GHz/64GB/4ch/8co IBM 2 2
Disk, Virtual Tape
IBM DS8300 Turbo DISK_VTS 1 IBM 1 1
16 x 300GB FC IBM 24 24
Software - Hardware License
Oracle Database Enterprise Edition Database Oracle
IBM Power 595 - Server IBM 2 2
Oracle Enterprise Edition RAC HLS 1 Oracle
IBM Power 595 - Server IBM 2 2

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Proposed IT Infrastructure
Installed Base
Category Component / Sub Component Name Manufacturer Qty Reqd. Qty
Server, Engineered System
SPARC SuperCluster T5-8 SuperCluster Oracle 0 1

HP Half Rack/13TB+48TB/3.6GHz/2048GB/8ch/128co Oracle 0 1


Software - Hardware License
Oracle Database Enterprise Edition Database Oracle
SPARC SuperCluster T5-8 - SuperCluster Oracle 0 1
Oracle Enterprise Edition RAC RAC Oracle
SPARC SuperCluster T5-8 - SuperCluster Oracle 0 1
Oracle Solaris Cluster Enterprise Edition Cluster Oracle
SPARC SuperCluster T5-8 - SuperCluster Oracle 0 1
Exadata Storage Server Software (any rack size) Exadata Oracle
SPARC SuperCluster T5-8 - SuperCluster Oracle 0 1

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Key IT Infrastructure Assumptions
Input Installed Base Proposed
Growth assumptions
Growth Type Exponential Exponential
Annual growth rate (%) 20.0% 20.0%
Site licensed software growth rate (%) 0.0% 0.0%
Calculate end of useful life replace Yes Yes
Deployment ramp (new required equipment) (Num) 1 1
Discount assumptions
Hardware discount (%) 0.0% 0.0%
Software discount (%) 0.0% 0.0%
Hardware service discount (%) 0.0% 0.0%
Acquisition Plan
Acquisition method Purchased Purchased
Inflation assumptions
Base inflation rate (%) 5.0% 5.0%
Service inflation rate (%) 5.0% 5.0%
Software inflation rate (%) 0.0% 0.0%
Unit price deflation rate (%) 15.0% 15.0%
Software assumptions
Percent of hardware licensed (%) 100.0% 100.0%

Percent of licenses available to transfer to this hardware (%) 0.0% 0.0%


Keep surplus licenses on maintenance No No

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Key IT Infrastructure Assumptions
Input Installed Base Proposed
Hardware service assumptions
Service level Default Default
Premier Service Rate (%) 12.0% 12.0%
Utilization assumptions
Minimum/initial hardware utilization (%) 40.0% 40.0%
Maximum hardware utilization (%) 60.0% 60.0%
Hours of operation per month (Hours) 720 720
Tape media assumptions
Tape utilization (%) 70.0% 70.0%
Compression ratio (Num) 2 2
Lease Assumptions
1 year lease term monthly rate (Num) 0.051 0.051
2 year lease term monthly rate (Num) 0.040 0.040
3 year lease term monthly rate (Num) 0.029 0.029
4 year lease term monthly rate (Num) 0.023 0.023
5 year lease term monthly rate (Num) 0.020 0.020
Lease Term (Years) 3 3
Oracle On Premise Iaas Assumptions
IaaS term (Years) 5 5
Year 4 & 5 discount (%) 30.0% 30.0%
IaaS COD enablement percentage (%) 0.0% 0.0%
Power assumptions
Power cost per kWh (USD) 0.1 0.1

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Key IT Infrastructure Assumptions
Input Installed Base Proposed
Power assumptions
CO2 (kg/kWh) 0.6078 0.6078
PUE (Power Usage Effectiveness) (Num) 1.8 1.8
Floor space assumptions
Floor space cost (sq ft per month) (USD) 20.000 20.000
Rack height (rack units) (Num) 42 42
Floor space per rack (sq ft) 18.18 18.18
Rack density (%) 100.0% 100.0%

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Substantiation Slides
SuperCluster Replaces HP
SuperDome Solution
Comparison

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Lowering TCO for EBS Customer 2000 Users
PROJECTED CASH FLOWS TCO OVER 5 YEARS

BAU Proposed
Hardware Acquisition 5,338 965 6x
Initial Year 1 Year 2 Year 3 Year 4 Year 5
sh Outflows 0.00 1,206.00 1,231.00 2,556.00 4,600.00 Hardware Service 1,904 524 4x
sh Outflows 1,335.00 249.00 254.00 1,670.00 497.00 Software - Hardware License 6,915 2,844 2x
Power and Cooling 186 101 2x
Total cash outflows over the next 5 years Floor Space 145 39 4x
BaU = $15,036K Integration and Deployment 549 38 14x
Proposed = $4,512K
5,000.00

TCO Reduction = $10,524K

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Cash Flows And Value Metrics
Category Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Total
TCO Business as Usual (IB) 0 1,206 1,231 2,556 4,600 5,443 15,036
TCO Proposed (P) 1,335 249 254 1,670 497 507 4,512

Other Proposed Project Investments (O) 0 0 0 0 0 0 0

Net TCO (IB - P - O) -1,335 957 977 886 4,103 4,936 10,524
Business Benefits (BB) 0 19 39 40 41 42 182
Net Cash Flow (Net TCO + BB) -1,335 976 1,016 926 4,144 4,979 10,706
Cumulative Net Cash Flow -1,335 -359 657 1,584 5,727 10,706
Cumulative Discounted Net Cash Flow
(NPV) -1,335 -443 404 1,109 3,992 7,154

 Discounted Total Savings (NPV) : $7,154K PROJECTED CASH FLOWS


 TCO reduction : 70%
USD in Thousands, Undiscounted

 Payback months : 17

 Net Initial Investment : $-1,335K

 ROI based on total project cost (%) : 237


Category Initial Year 1 Year 2 Year 3 Year 4 Year 5
Benefits 0.00 0.00 1.23 1.27 2.60 4.64

 IRR (%) : 96
Costs -1.34 -0.25 -0.25 -1.67 -0.50 -0.51

 Cost of 3 month delay : $184K

 Cash flow discounting period : Year end

 Cost of Capital : 10%


5.00

*Currency USD in Thousands


**Unless otherwise noted, all future cash flows are undiscounted

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Installed IT Infrastructure
Installed Base
Category Component / Sub Component Name Manufacturer Qty Reqd. Qty
Server, Engineered System
HP 9000 Superdome SERVER 1 HP 2 2
PA-8900/1.1GHz/16GB/1ch/2co HP 19 19
Disk, Virtual Tape
HP EVA8000 DISK_VTS 1 HP 2 1
14 x 300GB FC HP 13 13
Software - Hardware License
Oracle Database Enterprise Edition HLS 1 Oracle
HP 9000 Superdome - SERVER 1 HP 2 2
Oracle Enterprise Edition RAC HLS 1 Oracle
HP 9000 Superdome - SERVER 1 HP 2 2

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Proposed IT Infrastructure
Installed Base
Category Component / Sub Component Name Manufacturer Qty Reqd. Qty
Server, Engineered System
SPARC SuperCluster T5-8 SuperCluster Oracle 0 1

HP Half Rack/13TB+48TB/3.6GHz/2048GB/8ch/128co Oracle 0 1


Software - Hardware License
Oracle Database Enterprise Edition Database Oracle
SPARC SuperCluster T5-8 - SuperCluster Oracle 0 1
Oracle Enterprise Edition RAC RAC Oracle
SPARC SuperCluster T5-8 - SuperCluster Oracle 0 1
Oracle Solaris Cluster Enterprise Edition Cluster Oracle
SPARC SuperCluster T5-8 - SuperCluster Oracle 0 1
Exadata Storage Server Software (any rack size) Exadata Oracle
SPARC SuperCluster T5-8 - SuperCluster Oracle 0 1

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Key IT Infrastructure Assumptions
Input Installed Base Proposed
Growth assumptions
Growth Type Exponential Exponential
Annual growth rate (%) 20.0% 20.0%
Site licensed software growth rate (%) 0.0% 0.0%
Calculate end of useful life replace Yes Yes
Deployment ramp (new required equipment) (Num) 1 1
Discount assumptions
Hardware discount (%) 0.0% 0.0%
Software discount (%) 0.0% 0.0%
Hardware service discount (%) 0.0% 0.0%
Acquisition Plan
Acquisition method Purchased Purchased
Inflation assumptions
Base inflation rate (%) 5.0% 5.0%
Service inflation rate (%) 5.0% 5.0%
Software inflation rate (%) 0.0% 0.0%
Unit price deflation rate (%) 15.0% 15.0%
Software assumptions
Percent of hardware licensed (%) 100.0% 100.0%

Percent of licenses available to transfer to this hardware (%) 0.0% 0.0%


Keep surplus licenses on maintenance No No

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Key IT Infrastructure Assumptions
Input Installed Base Proposed
Hardware service assumptions
Service level Default Default
Premier Service Rate (%) 12.0% 12.0%
Utilization assumptions
Minimum/initial hardware utilization (%) 40.0% 40.0%
Maximum hardware utilization (%) 60.0% 60.0%
Hours of operation per month (Hours) 720 720
Tape media assumptions
Tape utilization (%) 70.0% 70.0%
Compression ratio (Num) 2 2
Lease Assumptions
1 year lease term monthly rate (Num) 0.051 0.051
2 year lease term monthly rate (Num) 0.040 0.040
3 year lease term monthly rate (Num) 0.029 0.029
4 year lease term monthly rate (Num) 0.023 0.023
5 year lease term monthly rate (Num) 0.020 0.020
Lease Term (Years) 3 3
Oracle On Premise Iaas Assumptions
IaaS term (Years) 5 5
Year 4 & 5 discount (%) 30.0% 30.0%
IaaS COD enablement percentage (%) 0.0% 0.0%
Power assumptions
Power cost per kWh (USD) 0.1 0.1

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Key IT Infrastructure Assumptions
Input Installed Base Proposed
Power assumptions
CO2 (kg/kWh) 0.6078 0.6078
PUE (Power Usage Effectiveness) (Num) 1.8 1.8
Floor space assumptions
Floor space cost (sq ft per month) (USD) 20.000 20.000
Rack height (rack units) (Num) 42 42
Floor space per rack (sq ft) 18.18 18.18
Rack density (%) 100.0% 100.0%

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Substantiation Slides
SuperCluster Solution and IBM
P780+ Solution Comparison

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Lowering TCO for EBS Customer 5000 Users
PROJECTED CASH FLOWS TCO OVER 5 YEARS

Competitive
Proposal Proposed
Initial Year 1 Year 2 Year 3 Year 4 Year 5 Hardware Acquisition 7.52 0.96 8x
ve Proposal 8.33 0.70 0.86 3.22 2.68
sh Outflows 1.64 0.32 0.32 2.06 0.62 Hardware Service 1.64 0.52 3x
Software - Hardware License 9.67 3.94 2x
Power and Cooling 0.18 0.10 2x
Total cash outflows over the next 5 years
Floor Space 0.06 0.04 2x
Competitive Proposal = $19.6M
Proposed = $5.6M Integration and Deployment 0.48 0.04 12x
TCO Reduction = $14.0M

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Cash Flows And Value Metrics
Category Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Total
TCO Competitive Proposal (CP) 8.33 0.70 0.86 3.22 2.68 3.77 19.56
TCO Proposed (P) 1.64 0.32 0.32 2.06 0.62 0.63 5.60

Other Proposed Project Investments (O) 0.00 0.00 0.00 0.00 0.00 0.00 0.00

Net TCO (CP - P - O) 6.68 0.39 0.53 1.16 2.06 3.14 13.96
Business Benefits (BB) 0 0.03 0.06 0.07 0.07 0.07 0.30
Net Cash Flow (Net TCO + BB) 6.68 0.42 0.60 1.23 2.12 3.21 14.26
Cumulative Net Cash Flow 6.68 7.10 7.70 8.93 11.05 14.26
Cumulative Discounted Net Cash Flow
(NPV) 6.68 7.06 7.56 8.50 9.98 12.01

 Discounted Total Savings (NPV) : $12.01M PROJECTED CASH FLOWS


 TCO reduction : 71%
USD in Millions, Undiscounted

 Payback months : 0

 Net Initial Investment : $6.68M Category Initial Year 1 Year 2 Year 3 Year 4 Year 5

 ROI based on total project cost (%) : 254


Benefits 0.00 0.00 0.00 0.00 0.00 0.00
Costs -0.00 -0.00 -0.00 -0.00 -0.00 -0.00
 IRR (%) : 1,000,000,000,000

 Cost of 3 month delay : $0.12M

 Cash flow discounting period : Year end

 Cost of Capital : 10%

*Currency USD in Millions


**Unless otherwise noted, all future cash flows are undiscounted

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Competitive Proposal IT Infrastructure
Installed Base
Category Component / Sub Component Name Manufacturer Qty Reqd. Qty
Server, Engineered System
IBM Power+ 780 SERVER 1 IBM 0 2
POWER7+/3.72GHz/256GB/4ch/32co IBM 0 2
Disk, Virtual Tape
IBM DS8870 DISK_VTS 1 IBM 0 1
256x146GB SAS 15K RPM IBM 0 2
Software - Hardware License
Oracle Database Enterprise Edition HLS 1 Oracle
IBM Power+ 780 - SERVER 1 IBM 0 2

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Proposed IT Infrastructure
Installed Base
Category Component / Sub Component Name Manufacturer Qty Reqd. Qty
Server, Engineered System
SPARC SuperCluster T5-8 SERVER 1 Oracle 0 1

HC Half Rack/64TB+48TB/3.6GHz/2048GB/8ch/128co Oracle 0 1


Software - Hardware License
Oracle Database Enterprise Edition HLS 1 Oracle
SPARC SuperCluster T5-8 - SERVER 1 Oracle 0 1
Oracle Enterprise Edition RAC HLS 1 Oracle
SPARC SuperCluster T5-8 - SERVER 1 Oracle 0 1
Exadata Storage Server Software (any rack size) HLS 1 Oracle
SPARC SuperCluster T5-8 - SERVER 1 Oracle 0 1

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Key IT Infrastructure Assumptions
Input Competitive Proposal Proposed
Growth assumptions
Growth Type Exponential Exponential
Annual growth rate (%) 20.0% 20.0%
Site licensed software growth rate (%) 0.0% 0.0%
Calculate end of useful life replace Yes Yes
Deployment ramp (new required equipment) (Num) 1 1
Discount assumptions
Hardware discount (%) 0.0% 0.0%
Software discount (%) 0.0% 0.0%
Hardware service discount (%) 0.0% 0.0%
Acquisition Plan
Acquisition method Purchased Purchased
Inflation assumptions
Base inflation rate (%) 5.0% 5.0%
Service inflation rate (%) 5.0% 5.0%
Software inflation rate (%) 0.0% 0.0%
Unit price deflation rate (%) 15.0% 15.0%
Software assumptions
Percent of hardware licensed (%) 100.0% 100.0%

Percent of licenses available to transfer to this hardware (%) 0.0% 0.0%

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Key IT Infrastructure Assumptions
Input Competitive Proposal Proposed
Software assumptions
Keep surplus licenses on maintenance No No
Hardware service assumptions
Service level Default Default
Premier Service Rate (%) 12.0% 12.0%
Utilization assumptions
Minimum/initial hardware utilization (%) 40.0% 40.0%
Maximum hardware utilization (%) 60.0% 60.0%
Hours of operation per month (Hours) 720 720
Tape media assumptions
Tape utilization (%) 70.0% 70.0%
Compression ratio (Num) 2 2
Lease Assumptions
1 year lease term monthly rate (Num) 0.051 0.051
2 year lease term monthly rate (Num) 0.040 0.040
3 year lease term monthly rate (Num) 0.029 0.029
4 year lease term monthly rate (Num) 0.023 0.023
5 year lease term monthly rate (Num) 0.020 0.020
Lease Term (Years) 3 3
Oracle On Premise Iaas Assumptions
IaaS term (Years) 5 5
Year 4 & 5 discount (%) 30.0% 30.0%

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Key IT Infrastructure Assumptions
Input Competitive Proposal Proposed
Oracle On Premise Iaas Assumptions
IaaS COD enablement percentage (%) 0.0% 0.0%
Power assumptions
Power cost per kWh (USD) 0.1 0.1
CO2 (kg/kWh) 0.608 0.608
PUE (Power Usage Effectiveness) (Num) 1.8 1.8
Floor space assumptions
Floor space cost (sq ft per month) (USD) 20.000 20.000
Rack height (rack units) (Num) 42 42
Floor space per rack (sq ft) 18.18 18.18
Rack density (%) 100.0% 100.0%

Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |


Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |

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