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OpenStack: Impact on the
Enterprise and the Startup
       Opportunity

         Ryan Floyd
       Managing Director
         @ryanfloyd
    ryan@stormventures.com
Founded 2000
Based in Silicon Valley
Early stage enterprise IT focus
Investing Storm IV
Investing in Mobile, Cloud, SaaS

ryan@stormventures.com
@ryanfloyd
OpenStack
will fundamentally change
Enterprise IT
Billions of dollars of
market share at stake
Why?            Why Not?




OSS, Flexibility, Community
Why now?
 Public menu of IT
services completely
 changes the game
Economics drive decisions
 But its not a simple question and your
             mileage will vary
• Scale on opensource software and
  standard hardware is hard to beat
• OpenStack makes webscale
  economics available to enterprise      3-5X
  customers

                             X

                         OpenStack    Traditional
Opex vs Capex
 Then                    Now




Controlling opex is key to success
What is the Opportunity?
1. OpenStack is complex

2. Enterprises want solutions

3. Applications Applications Applications

(and btw this applies to large companies as well)
Full Disclosure

These are the opinions of a
     venture investor
Complexity:
OpenSource    Free (cost)
RHAT
Complexity:
  Solve complexity for
  enterprise customers




   You will create value
Solutions:
 Enterprises want solutions
(1) Focus on completeness
    for required problem.
    Scope appropriately.

(2) Partner with companies
    where it makes sense
    the right way


                             http://www.sinoconcept.com
Applications:
          Automation
Ecosystem Connectors
                  Chargeback/Accounting
   Security           Networking services (GSLB)
 Database Services
                     Disaster Recovery
Two examples


   Managed Private Cloud




   Enterprise Swift Solutions
Additional Thoughts

1. Advantages of OpenStack in
   marketing
                  G


2. Focus on low touch initial sales
   model/ invest in marketing value

3. Software and services
Be part of the community!



                  G




Your lock in is the value you provide
Its going to be tough




  Despite politics, FUD, bugs, time
OpenStack will fundamentally change IT
Thank you!
 Questions?
Go    Ryan Floyd
 ryan@stormventures.com

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Open stack 2012 impact on the enterprise and the startup opportunity

  • 1. OpenStack: Impact on the Enterprise and the Startup Opportunity Ryan Floyd Managing Director @ryanfloyd ryan@stormventures.com
  • 2. Founded 2000 Based in Silicon Valley Early stage enterprise IT focus Investing Storm IV Investing in Mobile, Cloud, SaaS ryan@stormventures.com @ryanfloyd
  • 4. Billions of dollars of market share at stake
  • 5. Why? Why Not? OSS, Flexibility, Community
  • 6. Why now? Public menu of IT services completely changes the game
  • 7. Economics drive decisions But its not a simple question and your mileage will vary • Scale on opensource software and standard hardware is hard to beat • OpenStack makes webscale economics available to enterprise 3-5X customers X OpenStack Traditional
  • 8. Opex vs Capex Then Now Controlling opex is key to success
  • 9. What is the Opportunity? 1. OpenStack is complex 2. Enterprises want solutions 3. Applications Applications Applications (and btw this applies to large companies as well)
  • 10. Full Disclosure These are the opinions of a venture investor
  • 11. Complexity: OpenSource Free (cost) RHAT
  • 12. Complexity: Solve complexity for enterprise customers You will create value
  • 13. Solutions: Enterprises want solutions (1) Focus on completeness for required problem. Scope appropriately. (2) Partner with companies where it makes sense the right way http://www.sinoconcept.com
  • 14. Applications: Automation Ecosystem Connectors Chargeback/Accounting Security Networking services (GSLB) Database Services Disaster Recovery
  • 15. Two examples Managed Private Cloud Enterprise Swift Solutions
  • 16. Additional Thoughts 1. Advantages of OpenStack in marketing G 2. Focus on low touch initial sales model/ invest in marketing value 3. Software and services
  • 17. Be part of the community! G Your lock in is the value you provide
  • 18. Its going to be tough Despite politics, FUD, bugs, time OpenStack will fundamentally change IT
  • 19. Thank you! Questions? Go Ryan Floyd ryan@stormventures.com