The data centers of the futureDerrick CardenasBen Stewart

Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.2

PROPRIETARY STATEMENTThis document and any attached materials are the sole property of Verizon and are not to be used by you other than to evaluate Verizon’s service.© 2016 Verizon. All Rights Reserved. The Verizon name and logo and all other names, logos, and slogans identifying Verizon’s products and services are trademarks and service marks or registered trademarks and service marks of Verizon Trademark Services LLC or its affiliates in the United States and/or other countries. All other trademarks and service marks are the property of their respective owners.

Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement.3

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Who we are Derrick CardenasDirector–Data Center Products, VerizonEducationMaster of Business Administration (M.B.A.)Bachelor of Science in Electrical Engineering (B.S.E.E.)25 yearsIndustry experienceRoles heldSales, Operations, Engineering, Product Management

Ben StewartDirector– Engineering, VerizonEducationPh.D., Management of Engineering TechnologyM.B.A., Business AdministrationM.S.E.E., Electrical EngineeringB.S.E.E., Electrical Engineering12 yearsIndustry experienceRoles heldCommercial and Federal Data Center Operations, Network Engineering, Data Center Engineering

What we offer

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• Colocation at more than 50 data centers

• 137M watts of power managed

• 1.2M sq. feet of space

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What willtomorrow’s data centerlook like?

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Maybe?

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You can't know where you're going until you know where you've been.

Yesterday to today

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Any trends?

Switchboard Telecom central office

IT data center Cheap plug

Fuel the future.

Address compliance.

Enable IT efficiency.

Control costs.

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Data centers are a foundational asset.

And they provide you with an IT marketplace.

• Data centers give you a way to use simple IT solutions to solve complex problems.

• Common platforms let you adopt a range of multi-product and hybrid solutions.

• Data centers are built to address future technology demands.

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Service tiers are essential.

Service requirement Basic AdvancedService availability SLA for 99.99% uptime SLA for 100% uptimeSupport response targets North America – two hours 30 minutes

Carrier neutral Carrier redundant Advanced network servicesAdvanced services None Cloud, hosting, storage, etc.Security Essential Essential

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Where are we headed?

Many factors influence tomorrow’s data center.

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Edge computing

Regulatory complianceFog networking

Artificial intelligence

Utility costsInternet of Things

Cloud

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How the value proposition is evolving

TodayData centers support the most demanding enterprise requirements, including a high degree of uptime, power density and efficiency. Facilities must offer an extraordinarily diverse set of network and cloud providers.

YesterdayDesigned for colocation customers that require more uptime and network connectivity

TomorrowUptime? Power density? Networks?

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What is the evolving financial model?

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• Modular design• Lease/license

when ready

• No right answer• Business plan

as guide

• Renewable energy• Higher efficiency

infrastructure

• Visibility and control helps improve performance

• Potentially reduces staff

Just-in-time spending

AutomationBuild vs. buy vs. lease vs. license

Reduced utility

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What will future customers need?

Large enterprise

Internet of Things

Small business

Tomorrow’s technologies

Virtual solutions (cloud)

Hybrid solutions

Colocation

Network

Common global platform

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What will the data center look like?

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Modular data-center system designs will dominate in response to the dynamic need for additional capacity.

Modular data-center system designs

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More customers will turn to distributed architectures.• Fewer will need 100

percent data-center uptime.

• Application uptime will rely on compute and network topologies.

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Customers with complex regulatory requirements may continue to leverage fewer locations.

Centralized architectures will continue to rely on high uptime.

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Fewer advances and innovations in data center infrastructure technologies

New technologies must provide increased performance at a reduced cost.

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Location, location, location

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The network is abundant.

Carrier redundancy supports topology-based uptime.

Low utility cost

Power and cooling represents approximately 40 percent of our data center’s operating cost.

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Low real-estate cost

• Distributed architectures require a larger quantity of sites.

• Land must support a modular growth plan.

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Design considerationsCampus designs are best suited for moderate incremental investments dynamic growth.

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Tell me more about power.

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Power usage effectiveness (PUE) will continue to drop.

• Efficient equipment and designs will help reduce total operating costs.

• The total cost of the equipment and design cannot present significant upfront costs.

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Power densities are leveling off.

Vendors can make power-hungry equipment but there is only a market for equipment that can be installed.

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Usage-based power models will be more common.

The need for simplified power management will grow along with the need for more power.

Power management tools will be part of an overall topology management suite.

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What about cloud?

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• The cloud, and other similar solutions, are one of many catalysts driving the evolution of the data center.

• The cloud does not reduce the need for data centers.

What about cloud?

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Solution uptime

Risk will reside at the point that alleviates the risk at the lowest cost.

• The connected lifestyle will make downtime obsolete.

• Solution providers will provide 100 percent solution uptime by leveraging a tiered data-center model as part of a network integrated solution.

One hundred percent uptime doesn’t have to come with greater costs.

• Modular designs will make it easier to deliver uptime tiers.

• 99.99 percent at data centers will drive an increased need for architecture diversity.

• Risk begins to move away from the data center and over to the network and compute.

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Verizon Colocation

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Secure data centers across the globe

*Frankfurt offers cloud storage only.

Sterling SeriesSignature SeriesCloud-enabled data center

Santa Clara Open House

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Signature data centers

Santa Clara Data Center• 140,000 sq. ft. campus• Meets UI Tier III standards• SSAE 16 Type II examination completed (select services)• Carrier-diverse• Product availability – cloud, colocation, hosting, peering,

network

Register now

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Twenty-three data centers across Europe:• Amsterdam• Dublin• Frankfurt• Istanbul• Luxembourg• Madrid• Paris• Milan• Stockholm• UK• Oslo• Brussels• Vienna• Copenhagen• Lyon• Toulouse• Dortmund• Switzerland• Scotland

European presence

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Better experiences

High performance and availability

Ecosystem of network providers and services

Flexibility and scalability

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Security and availability

Private cabinets, cages and suites for deployments of all sizes

24x7 physical and logical security

Strong security with SSAE 16 examinations and ISO 27001:2003 certifications (vary by Verizon service and data center)

Easy access to our security services

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Better peace of mind

power availability

temperature stability

humidity stability

Terms, conditions and exclusions apply. Redundant power configuration and minimum one-year term required. See your Verizon account manager for details.

We offer colocation SLAs for:

100%

100%

100%

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Stay in control with self-service tools.

With our services, you don’t need your own 24x7 on-site support.

Remote handsRemote admin or troubleshooting with a response-time SLA of 30 minutes or less1

Smart handsEngineering support, including tools and equipment with a response-time SLA of 30 minutes or less1

Custom services portfolioCustom design, security, networking and other services

1. Terms, conditions and exclusions apply. See your Verizon account manager for details.

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The data center of the future? We’re already there.

We’ve got you covered.• Global reach with data centers in nearly 20 countries• Responsive and flexible global network

for performance• Cloud-enabled data centers on five continents• Regional sites close to your business and your

customers• Complete toolkit for disaster recovery services

Betterexperiences

Betterbusinessresults

Betterpeace ofmind

Thank you.

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