IBM Software Group IBM and Data Power Extending

IBM Software Group | Web. Sphere Software Agenda § Executive Summary § Recent Announcement § Acquisition of Data. Power § A Continuation of IBM’s SOA Strategy § When to Sell Data. Power § Customer Scenarios and Customer Questions 2

IBM Software Group | Web. Sphere Software Executive Summary What does Data. Power Acquisition mean to you as a Seller? • Game changing technology that will help accelerate SOA implementations! • Data. Power is a game changer product to help companies embrace SOA, minimizing complexity while enhancing performance, security and management • A software capability embedded in a specialized hardware with ingenious packaging enhancing SOA deployment run-time • You can leverage to accelerate deployments of core Web. Sphere and Tivoli products • Opportunity for Web. Sphere, Tivoli, and STG SSRs • Web. Sphere, Tivoli, and STG get commission on sales within their accounts • Avg. deal size $200 K – 80% SW/ 20% HW • No additional quota in 4 Q! • 4 Q contest offers additional incentives 3

IBM Software Group | Web. Sphere Software Focusing on Infrastructure for SOA deployment SOA allows customers to have a flexible, robust infrastructure to model, assemble, deploy & manage in real-time reusing existing assets Skills SOA Industry Teams, SOA Jumpstarts Partnership Initiative Partners Know-how & best practices Infrastructure IBM SOA Industry Accelerators IBM SOA Foundation and new products to support it 4

IBM Software Group | Web. Sphere Software SOA Foundation Infrastructure – Wants & Needs Key attributes for flexible, robust SOA infrastructure: § Simplicity § Security § Performance The reality § High volumes of XML traffic create performance bottlenecks and security risks Infrastructure § The need to accelerate SOA applications is driving customers to purchase special purpose functionality in an appliance package Infrastructure needs: § Reduced Complexity and Operational Expenses § XML threat protection and fine-grain access control § Faster XML processing for enterprise class performance 5

IBM Software Group | Web. Sphere Software Recently Announced: Acquisition of Data. Power – Web. Sphere Addressing SOA Deployment Needs Why an SOA Appliance? A software capability… Embedded in a specialized hardware With ingenious packaging Enhancing SOA deployment run-time A game changer product to help companies embrace SOA, minimizing complexity while enhancing performance, security and management of business processes implemented under SOA principles A Web. Sphere SOA Appliance that… § Simplifies: streamlines SOA § infrastructure with specialized software/hardware devices Accelerates: § expedites SOA XML processing Helps Protect: XML-level protection enhances SOA security management 6

IBM Software Group | Web. Sphere Software Data. Power Company Overview § Extensive Experience in XML Processing Optimization § Founded 1999, first to market with XML processing technology § 72 employees, headquartered in Cambridge, MA § Strong market recognition - over 50 enterprise customers in production § Customers span industries: 4 Financial Services, Banking and Insurance 4 Telecom 4 Government “XG 1” DGXT Founded 1999 Optimal Software Interpreter 2000 “XG 2” XSLJIT XG 3 XA 35 XS 40 Optimized Software Compiler Highly Optimized Hardware Acceleration World’s First XML Accelerator First Wirespeed XML Security Gateway 2001 2002 2003 XG 4 XI 50 Gigabit/Sec OEM HW Solution Integration Appliance 2004 7

IBM Software Group | Web. Sphere Software Data. Power Product Packaging Data. Power products offer customers significant performance, ease of use, and packaging advantages for managing rapidly growing XML-based data § XI 50 Integration Appliance $75 K list Add: Data. Power XML Integration & existing systems connectivity SW 4 Expands support to non-XML solutions 4 Advanced architecture 4 Integrated message-level security § XS 40 XML Security Gateway $65 K list Add: Data. Power XML Security SW 4 Security, agility and performance 4 Device can off-load application security software 4 Performs XML Web services security functions (parse, filter, validate schema, encrypt/decrypt, signatures, access control, and more) § XA 35 XML Accelerator $35 K list 4 Offloads overtaxed servers by processing XML, XSD, XPath and XSLT at wire speed 4 SW provides significant performance improvements over Web. Sphere solutions 4 HW + SW provides enterprise-class performance 8

IBM Software Group | Web. Sphere Software Data. Power Positioning Specialized combination of hardware and software for easier, faster and more secure SOA infrastructure deployment § Discover § Construct & Test § Compose § Integrate people § Integrate processes § Manage and integrate information § Application Infrastructure § Gather requirements § Model & Simulate § Design § Manage applications & services § Manage identity & compliance § Monitor business metrics Data. Power – An SOA Appliance Simplifies – streamlines SOA infrastructure and deployment with appliances - specialized hardware/software devices Accelerates –faster SOA XML processing Protects – helps address security for SOA XMLbased implementations Improving and expediting SOA implementations to help customers on their SOA journey IBM redefines the boundaries of middleware extending the SOA foundation with specialized, consumable, dedicated devices that combine performance and hardened security for SOA implementations 9

IBM Software Group | Web. Sphere Software Data. Power Continues SOA Foundation Enhancement Web. Sphere Integration Developer Rational Application Developer XML Message Handling XML Acceleration Web. Sphere Business Modeler Rational Software Architect Data. Power delivers + B 2 B XML Security Policy Enforcement Process: Web. Sphere Process Server Web. Sphere ESB & Message Broker Web. Sphere Partner Gateway & Adapters People: Web. Sphere Portal Web. Sphere Everyplace Deployment Workplace Collaboration Services Information: Web. Sphere Information Integrator Application Infrastructure: Web. Sphere Application Server & XD Web. Sphere Business Monitor Tivoli Composite Application Manager Tivoli Federated Identity Manager Tivoli Access Manager for e-business delivers SOA Security Management Policy Management Federated Identity Management Auditing and Compliance for SOA User Provisioning 10

IBM Software Group | Web. Sphere Software IBM Customers that Need to Accelerate Application and SOA Performance Case in point: Handle significant server workload generated by XMLbased processing XML Off-load Acceleration Web Application XA 35 Acceleration Appliance Solution: Accelerates infrastructure implementation, offloading XML traffic to speed up processing with minimum network disruption 11

IBM Software Group | Web. Sphere Software Identify Prospects: Accelerate SOA Performance Customer Questions § Do you have plans to implement an SOA or deploy XML and SOAP? § Do you have XML performance or scalability concerns? 4 Example: Dynamic content rendering (XML to HTML) 4 Example: SOAP message routing 4 Example: Translating XML from one grammar to another 4 Example: Validating Schemas 12

IBM Software Group | Web. Sphere Software IBM Customers to Help Protect their SOA and IT Assets Case in point: First line of defense to securely implement external web services. Secure once for many applications and aggregate user interactions. Suppliers Partners Users XS 40 XML Security Gateway Federated Identity, Security and Directory Services Centralized Security Policy Management Enterprise Directory Data Repository Solution: Helps protect SOA implementations addressing XML threats with fine-grain access control. Integrates with security access and policy systems for enterprise SOA deployments and centralized security policy management 13

IBM Software Group | Web. Sphere Software Identify Prospects: Help Protect SOA infrastructure Customer Questions § Are you currently exposing/planning to expose web services outside of your firewall/security domain? § Do you have plans for Web services security enforcement point? 14

IBM Software Group | Web. Sphere Software IBM Customers looking to Simplify SOA Deployment Case in point: Handle growing complexity demands for integrating services across multiple applications, inside and outside the enterprise XML message handling & security Existing Application Requests Back-end applications XI 50 Integration Appliances Centralized Management Solution: Dedicated device to minimize complexity and optimize performance and utilization of resources within an SOA deployment. Efficient handling of messages, while ensuring security. 15

IBM Software Group | Web. Sphere Software Identify Prospects: Simplify SOA Deployment Customer Questions § Do you have plans to implement an SOA or deploy XML and SOAP? § Do you have XML performance or scalability concerns? § Are you currently exposing/planning to expose web services outside of your firewall/security domain? 16

IBM Software Group | Web. Sphere Software IBM Customers looking to Simplify Access to Back-end Systems via SOA Case in point: SOA enable back-end systems without deep Web Services technical skills. Back-end applications XML enable Backend systems HTTP, JMS Existing Application Requests Business Logic Layer MQ XI 50 Integration Appliances Centralized Management Solution: Data Format Tooling Dedicated device to minimize complexity and optimize performance and control access to back-end resources. 17

IBM Software Group | Web. Sphere Software Identify Prospects: Simplify Mainframe Access Customer Questions § Are you having performance or scalability problems associated with exposing back-end applications as web services? 18

IBM Software Group | Web. Sphere Software IBM and Data. Power – A Powerful Combination IBM Global Services The core of SOA IBM’s SOA Commitment Streamlining SOA A broad portfolio for SOA implementation needs Delivering SOA security and management Unique expertise in highvalue appliance packaging SOA leader: in capabilities, market share, customer preference Virtualization, openness for maximum SOA flexibility Breakthrough technology for simple, fast integration XML processing Helping SOA environments become on demand business Governance, best practices, support and integrated technology services Flexibility and security at any-to-any and XML message level IBM and Data. Power redefine the boundaries of middleware extending the SOA Foundation with specialized, consumable, dedicated SOA appliances that combine superior performance and hardened security for SOA implementations 19

IBM Software Group | Web. Sphere Software A continuation of IBM’s commitment to SOA and simplicity Software An SOA Appliance… Creating customer value through extreme SOA performance and security Skills & Support § Simplifies SOA with specialized devices § Accelerates SOA with faster XML throughput § Helps protect SOA XML implementations IBM and Data. Power redefine the boundaries of middleware extending the SOA Foundation with specialized, consumable, dedicated SOA appliances that combine superior performance and hardened security for SOA implementations 20

IBM Software Group | Web. Sphere Software How to sell, 4 Q Actions, Next steps § Dedicated Data. Power sales and technical sales team § Identify opportunities and engage Data. Power team 4 Assist Data. Power team with their existing 4 Q opportunities § 4 Q revenue credit with no increase in quota (80% SW, 20% HW) 4 Client teams, c. SSR, Web. Sphere, Tivoli Security, x. Series SSRs § 4 Q Sales contest 4 Details to be announced § Data. Power Help Desk 4 dphd@us. ibm. com § Links for additional information: 4 IBMers: Data. Power Internal Announcement Details 4 Business Partners: IBM Software - Web. Sphere Innovation Connection Online for IBM Business Partners - Product Overview 21

IBM Software Group | Web. Sphere Software Q&A 22

IBM Software Group | Web. Sphere Software Key Contacts/Information § Links for additional information: 4 IBMers: Data. Power Internal Announcement Details 4 Business Partners: IBM Software - Web. Sphere Innovation Connection Online for IBM Business Partners - Product Overview § Data. Power Help Desk: dphd@us. ibm. com § If questions about this acquisition are delaying the close of a deal, you can contact: • Bruce Burdumy, Transition Executive (bburdumy@us. ibm. com) • Mark Taber, VP Sales, Data. Power (mtaber@us. ibm. com) • Mark Wagner BUE, Worldwide Sales (mjwagner@us. ibm. com) • John Nelson, Business Partner Lead (jrnelson@us. ibm. com) • Eugene Kuznetsov, CTO, Data. Power (ekuznets@us. ibm. com) • Paul Castiglione, Product Manager (pcastiglione@us. ibm. com) • Kevin Anderson, Director, Product Marketing Data. Power (kmanderson@us. ibm. com) • Cristina Zabeu, Product Marketing Manager (czabeu@us. ibm. com) 23