CONFIDENTIAL Designator

Nov 18, 2019

Maximize Revenue with Red Hat Runtimes

James Falkner Richard Naszcyniec Luis Cortes Ronald MeuwsenProduct Marketing Manager Director, Go-to-Market Programs GTM Programs Sales Lead & BDMMiddleware BU Middleware BU Middleware BU EMEA I AppDev

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CONFIDENTIAL DesignatorAGENDA

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AGENDA

● Background - and The Good, the Bad and the Ugly● Runtimes Update● Campaigns, content, messaging● Start to grow Your business - 2 tactics and 2 updates

Background

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“Our share price won’t be determined based on new customer wins, but on the amount of workloads developers are building on our platform so we

can sell ELA contracts to them”

Rob Mee ….. CEO Pivotal

CONFIDENTIAL - FOR INTERNAL USE ONLY

Middleware: Red Hat’s Biggest EMEA Market Potential

Presented by Tom McCallum, Red Hat VP of Investor Relations, at Needham: 20th Annual Growth Conference (source, Jan 2018)Data Source: Analyst and company estimates. Not to be construed as company guidance. Jan 2018.

Global Total Addressable Market, 2020

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Appl

icat

ion

Mod

erni

zatio

n a

nd M

igra

tion

New

Clo

ud N

ativ

e Ap

plic

atio

ns

APPLICATION RUNTIMES

BUILD & OPTIMIZE APPS

INTEGRATION

COMPOSE & INTEGRATE APPS & DATA

PROCESS AUTOMATION

AUTOMATE & OPTIMIZE BUSINESS PROCESSES

CONTAINER PLATFORMCreate, run and maintain traditional and

cloud-native apps for on-premise, cloud or hybrid architecturesPHYSICAL VIRTUAL PRIVATE CLOUD PUBLIC CLOUD

CREATE THE APPLICATION LANDSCAPE CUSTOMERS NEED

Red Hat Application Environment

WIN THE WORKLOADS, WIN THE BUSINESS

CONTAINER PLATFORM

LANGUAGES DATABASES APPLICATION SERVICES

CUSTOMER OR PARTNER FACING

SERVERLESS APPLICATIONS

STATELESS, EVENT-DRIVEN

MICROSERVICES

HIGH PERFORMANCE

TRADITIONAL MONOLITHIC

STATEFUL TRANSACTIONAL

DATABASE

ANALYTICS

BACKOFFICE

MACHINE LEARNING

CLOUD INFRASTRUCTURECLO

UDPL

ATFO

RMAP

PLIC

ATIO

NSE

RVIC

ESCU

STO

MER

WO

RKLO

ADS

The Good, the Bad and the Ugly

CONFIDENTIAL DesignatorAGENDA

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Why Runtimes (and all workloads) matter... and some bad and good customer examples

Improve:- Workloads provide business value- Services enable to implement workloads- Connecting with Developers- Winning more Platform deals - Deal size- (OpenShift) renewal rates

CHALLENGE● Drive digital transformation while building a comprehensive

platform for application modernization● With their old infrastructure, had a highly publicized outage

(5h outage cost $150m, 1000 flights cancelled *) in August 2016

SOLUTION● Offered choice and zero lock-in - composable PaaS● Middleware services & OpenShift infrastructure● OpenShift, entire Middleware portfolio, Storage, Consulting

Services, & Open Innovation Labs

FocusedEngineering

Reduced Costs Scalability using MW on

OCP

A Container Platform With OpenShift And Red Hat Application Runtimes

(RHAS)

*https://money.cnn.com/2016/09/07/technology/delta-computer-outage-cost/index.html

Runtimes Update

CONTAINER

APPLICATION

CONTAINER

CONTAINER OS

APPLICATION RUNTIME

CUSTOM CODE / BUSINESS LOGIC

APPLICATION FRAMEWORK(S)

WHAT IS A RUNTIME?RUNTIME

APPLICATION

CONFIDENTIAL DesignatorIntroduction

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First, a word about

product naming

and impact

● The current product name● Do not abbreviate to RHR

Red Hat Runtimes

● Obsolete Bundles○ Red Hat Application Services for OpenShift Container Platform (Core)○ Red Hat Application Services for OpenShift Container Platform (Plus)○ Red Hat Application Services for OpenShift Container Platform

(Portfolio)● Obsolete Products

○ Red Hat OpenShift Application Runtimes○ Red Hat OpenShift Application Runtimes Plus

Do not sell

● Red Hat OpenShift Application Runtimes (RHOAR)● Red Hat Application Runtimes (RHAR)

Do not use the names...

RED HAT RUNTIMES NON-RESTRICTIVE DEVELOPMENT FOR THE HYBRID CLOUD

Facilitate cloud native app development ON THE HYBRID CLOUD:

✓ Faster getting started

✓ Simplify container dev

✓ Automate DevOps

✓ Standardize tools/processes

✓ Fully supported JDK

*Coming Soon

Optimized for OpenShift / Kubernetes Services with pre-configured Missions and Boosters Integration with RH Developer, CI/CD tools, Security ServicesAvailable Application Migration ToolkitPython, Go and .Net also supported by Red Hat (with a different SLA)

LAUNCH SERVICE

JAVA WEBJBOSS WS

JAVA EEJBOSS EAP

JAVA SE OPENJDK

SERVERLESS CLOUD FUNCTIONS*

SPRINGSPRING BOOT

JAVASCRIPTNODE.JS

DISTRIBUTED DATA

DATA GRID

MESSAGINGAMQ BROKER

SSO

MICROPROFILETHORNTAIL

REACTIVEVERT.X

SECURITY

JAVA.NEXTQUARKUS*

USE CASES FOR RUNTIMES

From WAS/WLS/Tomcat, on and off OpenShift

Embrace and extend Spring apps with

OpenShift/Middleware integration

99.99% compatibility, container-optimized

Capture the move from Java EE to Spring,

MicroProfile, Node.js

JAVA EE LIFT/SHIFT SPRING APPSORACLE TO

OPENJDK MONO 2 MICRO

Async architectures based on runtimes

(Vert.x, Spring, Node.js), extending to Middleware

Services

Support modern architectures with

tried-and-true messaging

Combine Runtimes w/Data Grid

On-prem and Cloud, avoids vendor lock-in

(AWS)

REACTIVE SYSTEMS / IOT

NET NEW MICROSERVICES

DATA-DRIVEN APPS SERVERLESS

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WIN THE WORKLOADS, WIN THE BUSINESS

CUSTOMER / PARTNER FACING

SERVERLESS APPLICATIONS

STATELESS, EVENT-DRIVEN MICROSERVICES

HIGH PERFORMANCE

TRADITIONAL MONOLITHIC

STATEFUL TRANSACTIONAL DATABASE

ANALYTICS

BACKOFFICE

MACHINE LEARNING

RUNTIMES, AGILE INTEGRATION RUNTIMES, AUTOMATION, CONTAINER STORAGE

AUTOMATION, OPEN DATA HUB

KNATIVE, OCF + MW INTEGRATIONS EAP, APP MIGRATION/MODERNIZATION AGILE INTEGRATION

RUNTIMES, AGILE INTEGRATION (3SCALE) RUNTIMES, INTEGRATION AUTOMATION, AGILE INTEGRATION (3SCALE)

MAPPING RED HAT TECHNOLOGIES TO CUSTOMER WORKLOADS

COMPETITIONMAJOR VENDORS YOU WILL COMPETE AGAINST

Cannot compete, yet.Container misfitAggressive Java stance

OSS support limits“Silicon Valley way”Kubernetes confusionLimited OpenJDK/Spring

No vanilla kubeAPI/SVC lock-inRegulatory issues

Don’t sell features, solve customer problems.

[RUNTIMES ONESTOP PAGE] in PCH

RUNTIMES ROADMAP

WHAT’S NEW

MIDDLEWARE OPERATORSSPRING BOOT REACTIVE

OPENJDK WINDOWS ZIP DISTROSOCP 4 / RHEL 8 SUPPORT

OPEN LIBERTY

WHAT’S COMING

MORE MIDDLEWARE OPERATORSQUARKUS

FAAS-ON-OPENSHIFTEAP 7.3 + COMMON CRITERIA CERT

QUARKUS

App

Optimized Application Frameworks

Java Virtual Machine (Hotspot)

Optional

Java Virtual Machine (Hotspot)

Application Server

App

Dynamic Application Frameworks

“MODERN” JAVA APP STACK

MONOLITHS, MICROSERVICESSINGLE APP

DAYS OF LIFE100s MB RAM

SECONDS TO START

QUARKUS

MICROSERVICES, SERVERLESSSINGLE APP

SECONDS TO DAYS OF LIFE10s MB RAM

MILLISECONDS TO START

1.0 UPSTREAMNOW AVAILABLE

Campaigns, content and messaging

CONFIDENTIAL DesignatorIntroduction

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What Campaigns,

content and messaging

are we talking about?

● Find these on Partner Content HubRed Hat Middleware Sales Kits

● All partner types (available in Partner Content Hub)● All levels of sales and marketing professionals

Who can use sales kits

● Used to start conversations with prospects and customers○ Prospecting for new business○ Filling Whitespace○ Optimizing renewals

What are they used for?

CONFIDENTIAL DesignatorUnderstanding

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Positioning sales kits in

the marketing

ecosystem

● Awareness of RDC events○ Coordinate sales kit execution○ Contribute to email sequence & lead follow up scripts

Demand Generation / Partner Marketing

● Renewal○ Sales kits to secure existing renewals, and look for SKU migration

● Upsell○ Sales kits primarily associated with renewal sales motion

● Cross Sell○ Commonly call whitespace programs○ Obtain middleware “share of wallet” within existing customers○ Can be run with renewal sales motion

Partner sales kit content

● Sales kits, not sales conversations, are what you want to use as conversation starters with prospects and customers.

● Sales conversations are used to explore the scope of possible digital transformation after you have a conversation started.

Note: possible to use as conversation starters in limited cases with VPs and higher

Red Hat Sales Conversations

CONFIDENTIAL DesignatorDrilling in

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Sales Kit Overview

● Enablement slides & videos● Battlecard

Core contents

● Guidance for how to have a conversation● Content to provide upon request

Procurement

● Outreach sequence to get someone to talk to you● Call guide for what to say when you finally get to talk to someone● Objection handling when someone doesn’t want to have a second

conversation or set up a follow up meeting● Preparation guides for your first meeting with a contact

Contacting developers, architects, IT Directors

● VP and higher conversations require special preparation○ Research should you do in advance of a meeting ○ Talking points you should review

VP and higher

CONFIDENTIAL DesignatorExample

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Let’s take a look at the

JBoss EAP to

Red Hat Runtimes

sales kit

Access via Partner Content Hub● https://redhat-partner.highspot.com/spots/5a26b4f1f3d8060a0b7ad5a9

Start to grow your OpenShift and Middleware business

2 tactics and 2 updates

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Tactic 1Review your account approach

Win the Developer

Developer Days - 1 day workshop to focus on benefits of using containers and Kubernetes to aid rapid, seamless application development.

Make it a standard offering for Sales to take to customers to start winning developers hearts and minds.

Understanding the developers needs and the runtimes they want to use (Spring, node.js, Vert x) can lead to positioning OCP + MW Runtime Bundles.

Working with Marco to discuss each country/region having 1-2 SSA who can carry out these workshops.

DEVELOPER BENEFITS

INFRASTRUCTURE BENEFITS

OPERATORS BENEFITS

SECURITY BENEFITS

Ideas to Users

Choice of ArchitecturesChoice of Programming

LanguagesBuild and Deploy

WorkflowsNot having to worry

about the Infrastructure

66% Faster Dev Lifecycle

Reduction in VM Costs

Higher UtilisationsLower VM CostsChoice of IaaS

Portability

40% Infra Savings

Automated Deployments

Automated ProvisioningAutomated Installations

Automated Security Scanning

Automated UpgradesAutomated backups

34% More Apps Deployed

Critical Bug Fix

Minimising the attack potential

Security Scanning for Vulnerabilities

Containing the Container

Secure Environment

C-Level BenefitsEnable Dev Ops, Faster time to market, etc

531%5 Year ROI

Win the Developer

Developer Days - 1 day workshop to focus on benefits of using containers and Kubernetes to aid rapid, seamless application development.

Make it a standard offering for Sales to take to customers to start winning developers hearts and minds.

Understanding the developers needs and the runtimes they want to use (Spring, node.js, Vert x) can lead to positioning OCP + MW Runtime Bundles.

Working with Marco to discuss each country/region having 1-2 SSA who can carry out these workshops.

Our ApproachWe help achieve Individual

Team Requirements

DEVELOPER BENEFITS

INFRASTRUCTURE BENEFITS

OPERATORS BENEFITS

SECURITY BENEFITS

Developer Workshoptry.openshift.com

Infrastructure Cost Savings ROI Calculator

Operations Workshop 10 Layers of Container Security Workshop

Business - Faster time to market/move investment from

maintaining to innovation

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Support letter went out Sept 3 to EAP subscribers (emea only)

Tactic 2 - Move your EAP subscribers to the Runtimes Bundle!

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● Demo’s ‘ala Burr Sutter’, workshops, presentation at developer conventions, developer workshops, etc etc

● Recent hires to help increase our relationship with developer communities - developers in your accounts!

● We’d like to work (more) with you !

Markus Eisele Alex Soto

https://www.linkedin.com/in/markuseisele/ https://www.linkedin.com/in/asotobu/

Update 1 - Use Developer Adoption program and developer ‘’evangelists’’

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● AppDev Hackathon

started September

10 - running until

December 9

● Prizes and eternal fame● Creating awareness and

driving use of RH

technology

Update 2 - Invite developers to Hackathons (1/ 2)

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● Developer Adoption hackathon CPH - 26 nov, jointly with Accenturehttps://events.redhat.com/profile/form/index.cfm?PKformID=0x1059450001

● Developer Adoption hackathon STO - 28 nov, jointly with Accenturehttps://events.redhat.com/profile/form/index.cfm?PKformID=0x1060400001

● Container & Cloud-Native Roadshow Amsterdam,Presented By HCS Companyhttps://events.redhat.com/profile/form/index.cfm?PKformID=0x1138870001

● And much more…● Tell us what we can do together !

Update 2 - Invite developers to Hackathons (2/2)

CONFIDENTIAL Designator

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Q & A

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