cloud edge cloud Fully managed by Microsoft cloud

cloud + edge cloud Fully managed by Microsoft cloud service • Systems of Intelligence • Planned multi Instance federation • Elastic scale out • Cloud – MS managed, • Edge – customer managed • Multiple local compute and storage workplaces for retail, shop floor and warehouse while utilizing cloud for scale, master data mgmt. , data aggregation • Local data residency in addition to cloud • local business data • • Disconnected data center • Local data residency Capitalize HW investments • Single instance only https: //aka. ms/deploymentoptions

Cloud Scenario Use-case scenarios cloud • • Compute and data storage • Data Trustee • Application lifecycle • • management cloud and edge local business data Full Microsoft managed cloud service Systems of Intelligence • • • Distributed organization Business continuity while utilizing cloud for scale Local & Microsoft data center • • • Disconnected data center Local data residency Capitalize HW investments Microsoft managed data centers (DCs) • • • Microsoft managed DCs + customer or its partner managed infrastructure (My Workplace) • Customer or its partner managed infrastructure (My Workplace) • Microsoft and customer • Customer Managed by Microsoft • Customer access to ALM and telemetry via LCS Cloud managed by Microsoft, Edge managed by customer or its partner with cloud-based ALM and telemetry via LCS • Managed by customer or its partner with cloud-based ALM and telemetry via LCS Microsoft Cloud capabilities • • • HA and DR included Sandbox environments Cloud-enabled intelligence • • • Data Federation and Master Data Management Sandbox environments Cloud-enabled intelligence • Automated deployment and telemetry vie LCS Intelligence • Cloud-enabled • Optional Updates, health monitoring • Microsoft Dynamics Lifecycle Services (LCS) Licensing • Subscription • License with SA/BREP, or subscription General Available (GA) • POS available; other scenarios planned GA: H 2 CY 2017 • Planned GA: Q 2 CY 2017 Planned availability •

Full cloud service 100% cloud service Cloud and edge Single/multiple nodes Local business data Servicing & Telemetry via cloud

Upgrade Tools for Dynamics AX 2009 https: //aka. ms/ax 2009 migration H 1 CY 2017 Direct Upgrade for Dynamics AX 2012 https: //aka. ms/ax 2012 upgrade • Assisted upgrade for Dynamics AX 2009 to Dynamics 365 for Operations available in preview • Focus on Intelligent Data Migration from AX 2009 to Dynamics 365 for Operations • Transform Major abstractions effectively • Expectation – Code is not Migrated, Data is migrated where necessary (master data, balances, active transactions) • Code upgrade service available now on LCS (being used by ISVs and Customers) • Data upgrade tooling – in place Upgrade with migration to cloud of databases where applicable • Upgrade focused on highly automated experience – effective analysis, repeatable execution and embedded validations • Code transformation to focus on transforming to extensions (Upgrade safe)