DCVC Management Co., LLC Content. © 2014 DCVC Management Co., LLC. All rights reserved.

AWS Summit 2014 slide templates. © 2014 Amazon.com, Inc. and its affiliates. All rights reserved. May not be copied, modified, or distributed in whole or in part without the express consent of Amazon.com, Inc.

From AWS to Series A In 5 Easy

PiecesMatt Ocko (@mattocko), Data Collective (@DCVC)

March 26, 2014

Widely Held View of VC & Startups

It’s Not That Bad, and AWS Can Help

• Reduce your startup cost

• Accelerate your time to market

• Create a differentiated startup, get VCs’ attention

• Prove to VCs there’s an enterprise-grade product

• Help get customers more rapidly

All of which

help to

• Preserve founder equity

• Increase chances of funding

• Decrease time to get funding

• Increase valuation in Series A

• Increase valuation in subsequent rounds

The Five Easy Pieces

• Be brave– Even in heavily regulated industries; go where others fear

• Be simple but smart– Don’t use features you don’t need, keep failure modes minimal

• Design for resiliency and uptime– Assume you will be hacked, crashed, fat-fingered

• Plan for scale– Design and test for success

• Build for the zero-touch sale– Use AWS to your advantage to make customer engagement frictionless

The VC Perspective

• Be brave

• Be simple but smart

• Design for resiliency

• Plan for scale

• Build for zero-touch sale

Don’t want to fund the 11th SaaS whatever

Simple=fast adaptation=lower risk

Enterprises don’t tolerate broken consumer s---

See above, plus tiny businesses uninteresting

First to customer w/ best experience wins

Be Brave

• Now possible to attack regulated industries– VPC to meet regulatory hurdles

– CloudHSM for customer crypto friendliness

– Good soft crypto for overlay on top of S3

– Glacier for long-term records retention

– CloudTrail and Loggly for auditability

• Good enough for CIA, good enough for F500

• HIPAA, SARBOX, Dodd-Frank are good barriers

Be simple but smart

• Don’t overengineer– If you’re not doing crazy TPS, ELB works fine; Beanstalk!

– Redshift and results vs. months of engineering

• Consider costs before implementing– Is it cheaper to run your own stuff on bare nodes, or…?

– Do not underestimate ops costs when doing this calculation

• Be reductionist about core processes– Use AWS to simplify, where possible – huge time value

Design for resiliency

• Think in multiple AZ from day one– AWS features to manage this complexity (RDS) where possible

• Stateless where possible, backup where not– Either via AWS features or via S3

• Real time monitoring– Whether CloudWatch, NewRelic, etc.

• Redundancy of data, state, compute– Either your own code, or novel solutions like CloudVelocity

Plan for scale

• Simplicity pays off: clone and conquer– Ability to add capacity by cloning your modules, AWS for rest

• Consider in advance how demand will burst– And where you need to code vs rely on AWS

• Understand your costs; don’t recklessly burn $– Don’t use nodes like cannon-fodder; solutions like Cloudability

• Culture is part of successful scaling– Focus on results vs. engineering fetish, NIH

Build for the zero-touch sale

• There’s no such thing, but key aspiration– First to the customer, with lowest friction, wins

• Be creative with AWS to drive towards this– More than customer sandboxes: complete systems

– Start with sample data, then allow upload

– Heck, sell the customer the final state sandbox

• Consider how AWS elasticity solves post-sale– Ability to clone customer config for debug, hot standbys, rollback

EXAMPLES

• Companies that have executed to the “Five

Easy Pieces”

• Covering who they are, and some (not all) of

how they use AWS

BlueTalon

• Emerging leader in secure data collaboration and

unification across enterprise boundaries

• Cloud-based BlueTalon Virtual Database

integrates data from multiple databases on the fly

• Demanding Fortune 500 customers

BlueTalon on AWS for Developers

• Bring data from on-premdatabases into cloud apps

• Integrate data from disparate databases

• Implement data policies for privacy and selective access

Automate Setup with AWS VPC

AWS Feature

• VPC with Private and

Public Subnet and

Hardware VPN Access

– Spin out pre-configured

combinations of nodes with

security rules

– Pre-configured VPN

connectivity to datacenter

BlueTalon Advantage

• Quick customer setups

– hours not days

• More secure setups

– no accidental security

holes

Integrate AWS IAM in BlueTalon UI

AWS Feature

• APIs to use AWS IAM

within custom web apps

– Reuse IAM identities in

BlueTalon through APIs

– Use right level of IAM

access for operations

within BlueTalon

BlueTalon Advantage

• More secure operations,

– no need to see customer

data to setup BlueTalon

• Seamless administration

– Operations transfer

continously from AWS to

BlueTalon

Simplify your life on AWS

Drone Deploy

Berkeley Marina, 20 min, 1 drone

• In visual and

NVDI, single pass

• Single click flight

plan

• Auto streaming

and processing

AWS + Drone Deploy Communication

AWS + Drone Deploy Data Processing

Future AWS + Drone Deploy

Prism Skylabs - Video

How Prism uses AWS

• S3– Easily and securely store at-rest data

– Seamless on-disk encryption

• ELB (Elastic Load Balancers) – Handle all of our API calls/traffic over SSL

– Provide SSL for all API calls and data transmission without the need for additional computational overhead

• EC2 (Elastic Compute Cloud) – Global infrastructure enables near-infinite scalability and worldwide

deployment

How AWS has helped Prism

• Deploy Instantly – Add on high-volume customers without worrying about network or server load.

• Connect cameras to the cloud – Intelligently extract images and meta data at less than 50kb per second

• Store data infinitely– Any number of users can access images or analytics over any time period

• Analysis on demand – Immediate understanding of activity and movement in any physical space

• Present dynamic visual summaries to customers – Transform mountains of data into intuitive imagery

10kb DNA molecule

Sequencer

In-silico synthetic DNA read assembly

Moleculo: $500m+ value, saving lives

AWS

customer

Downstream

application

sequencer

• 70GB of input data per sample

• >2000 Core*hours

• 10s-100s samples / day

• AWS was a natural solution

• But, EC2 accounted for 90% of the cost

AWS natural solution for Moleculo

Moleculo System Architecture

Workflow manager

ES3

WWW

S3Uploader ES3

m2.xlarge

OMjobs

OM controller

c1.xlarge

Cc1.4.xlarge

How many core*hours can $100 buy?

-

2,000

4,000

6,000

8,000

10,000

12,000

Rackspace Google cloud Amazon ondemand

Amazonreserved

Hardware SpotInstances

Putting unused global capacity to work

GAPP – genome analysis app

BWA

Mark Duplicates

Indel Realignment

Base Quality Recalibration

Haplotype Caller

Variant Recalibrator

VC

F

FAST

Q

BA

Mor

10 times fewer errors than ****

Metric GAPP **** 2.3.23.1

SNP:

concordant: 592,314 572,311

false positives: 820 20,823

false negatives: 4,946 21,227

Indels

concordant: 65,666 41,297

false positives: 2,712 27,081

false negatives: 3,545 27,679

Accuracy Speed Cost

Genome analysis job sample graph

Speed: Job graph analysis enables parallel execution

Accuracy Speed Cost

Speed: 30x WGS < 3 hours

BWA BWA

chr1 chrN

Split

GATK GATK

Split

GATK GATK

final.vcf

FAST

Q

BWA BWA

chr1 chrN

Split

chr1.vcf

GATK GATK

Split

chrN.vcf

GATK GATK

KEY TO JOB :

Map

Reduce

These jobs

can be run

in parallel

*

*

*

Price: Spot instance bidding => 10x cost reduction

average < $0.01/core*hour

30x WGS GATK takes ~ 1000 core*hours

Cost: 30x WGS < $10

Accuracy Speed Cost

0

0.01

0.02

0.03

0.04

0.05

0.06

0.07

0.08

Oregon Virginia Australia

Pri

ce

(c

en

ts/C

PU

-ho

ur)

cc2.8xlarge

c1.xlarge

c3.4xlarge

c3.8xlarge

cr1.8xlarge

cc2.8xlarge

c1.xlarge

c3.4xlarge

c3.8xlarge

cc1.4xlarge

cr1.8xlarge

c1.xlarge

c3.4xlargec3.8xlarge

Thank you – open for questions

DCVC Management Co., LLC Content. © 2014 DCVC Management Co., LLC. All rights reserved.

AWS Summit 2014 slide templates. © 2014 Amazon.com, Inc. and its affiliates. All rights reserved. May not be copied, modified, or distributed in whole or in part without the express consent of Amazon.com, Inc.

From AWS to Series A In 5 Easy

PiecesMatt Ocko (@mattocko), Data Collective (@DCVC)

March 26, 2014

Thank you!