PRIMEQUEST ~Mission Critical x86 Server~

Kazuhiko Endo Senior Vice President IA Server Department Fujitsu Limited My Background

 Responsible for development of PRIMEQUEST server family  Joined Fujitsu in 1984  Started career as a Mainframe hardware engineer, before moving on to engineering UNIX systems (“PRIMEPOWER”)  Inaugural member of PRIMEQUEST development project (2003~present)  Responsible for the development for all high-end x86 Fujitsu servers since 2009  This is my 2nd time in Portugal

FUJITSU CONFIDENTIAL 1 Copyright (C) Fujitsu Limited 2012 Fujitsu Innovations "What mankind can dream, technology can achieve“ Takuma Yamamoto, Former Fujitsu President 2011 0-Watt AC Adapter for Fujitsu LIFEBOOK 2010 notebooks Server with Cool-CentralTM 2009 2006 Architecture 2012 Orbit World’s Peta-Scale control thinnest Computing system for 12inch 1994 Ibuki 2010 1974 st notebook World's 1 satellite Zero-Watt LSI based Computer (19.9mm) PC with TV Server (fastest in the world) features 2009 2010 (Dec) Zero-Watt PC "Green data center in a box" 2010 2007 Multi-Angle World's Vision™ for 1968 smallest & 2001 safer parking Establishment of Fujitsu most power- “Raku-Raku” and driving Laboratories Ltd efficient mobile phone server

1989 Color Plasma 1954 Display Relay-based Mainframe (first in Japan) FUJITSU CONFIDENTIAL 2 Copyright (C) Fujitsu Limited 2012 Fujitsu’s 77 years of Transformation

 There are total of 4 logos that represented Fujitsu.  Each logo reflects Fujitsu‟s role in supporting society - Started as a telecom equipment manufacturer 1935 to 1961 - Developed the first Japanese computer, FACOM

1962 to 1971 - Shifting to full-fledged computer business - Slogan “Communications and Electronics”

- Expanding the Mainframe Server Business 1972 to 1988 - Heated rivalry with IBM

- ICT vendor with the full-fledged product lineup 1989 to present - “Everything on the Internet”, Globalization

One thing that does not change: Fujitsu is always committed to supporting public infrastructure With high-quality, high-reliable products

FUJITSU CONFIDENTIAL 3 Copyright (C) Fujitsu Limited 2012 The Genius Who Transformed Fujitsu Toshio Ikeda, The pioneer of computer production in Japan  Completed the first Japanese mainframe computer in 1951, using relay technology that were used in telecom equipment.  In 1968, Fujitsu achieved No.1 share in Japan with “FACOM 230-60” mainframe  His ambition was to provide systems in the global market, not just in the Japanese domestic market  Convinced Fujitsu management to invest in Amdahl to compete with IBM for high-end Dr. Toshio Ikeda (1923-1974) mission-critical segments, and “M-series” mainframe was completed.  His DNA and passion is succeeded to all Fujitsu‟s products, including PRIMEQUEST FUJITSU CONFIDENTIAL 4 Copyright (C) Fujitsu Limited 2012 History of Mission Critical Fujitsu Servers

Over 55 Years Of Experience in Mission-Critical Computing

FACOM 100 FACOM 230-60 M-190 GS8600 GS21 PRIMEQUEST 1800E

1st Fujitsu 1st System using IC 1st Amdahl 1st Global Current Fujitsu x86 based Mainframe Multi-Processor Based System Server Mainframe Family Mainframe

Became No1 in Computer Amdahl 470V/6 was sales In Japan, beating IBM installed at NASA 1954 1975 Shipped first mainframe Outside Japan 1963 Japanese Nationwide Online Released - banking system went live Based PRIMEQUEST 1968 2005 „50 „60 „70 „80 „90 „00 „10

FUJITSU CONFIDENTIAL 5 Copyright (C) Fujitsu Limited 2012 Fujitsu Systems: The Total Package

 Mainframe-class Mission Critical Hardware Full lineup ranging from Mainframes, Mission-Critical UNIX, Mission Critical x86 and standard x86 servers Wide range of storage systems to support and complement Fujitsu‟s Mission-Critical hardware systems  Mainframe Operating System, software development Developed the OS in-house for optimum performance and system reliability Know-how let do development of Firmware for raising the reliability of components  PRIMEQUEST is a culmination of >70 years of Fujitsu Mainframe innovation brought into the x86 world.  Market‟s only x86 server designed for Mission-Critical applications

FUJITSU CONFIDENTIAL 6 Copyright (C) Fujitsu Limited 2012 PRIMEQUEST: Mission Critical Servers Redefined

FUJITSU CONFIDENTIAL 7 7 Copyright (C) Fujitsu Limited 2012 Server Market – IDC/Gartner Decline of the UNIX/RISC & Mainframe Continued Rise of x86

WW Server Forecast per OS (CY2013)

Succeed MF technology, know-how

Mainframe servers CAGR (2010-2013) for Japan and EMEA Market MF -8% $5B

MC Joint development with Oracle Market UNIX CAGR (2010-2013) UNIX server “SPARC Enterprise” $12B -3%

Strategically focus area CAGR (2010-2013) +5%  Targeting MF, UNIX and High-End x86

Expand to Windows Linux high-end segment PRIMEQUEST as open MC server SHV due to high $29B $11B Market performance multi-core CPU PRIMERGY as Standard High Vol. Server

MC: Mission Critical、SHV: Standard High Volume

[Source: IDC Worldwide Quarterly Server Forecast 2011 Q4]

FUJITSU CONFIDENTIAL 8 Copyright (C) Fujitsu Limited 2012 Server Market – Fujitsu PRIMEQUEST Positioning Replacing Mission Critical UNIX/RISC & Mainframe Servers New Option for Maturing x86 Customers

WW Server Forecast per OS (CY2013) Mission Critical Platform

CAGR (2010-2013) -8% MF $5B Addresses: MC  Mainframe Migrations Market CAGR (2010-2013)  Unix/RISC Migrations UNIX $12B -3%  High End Virtualization  High End Windows/Linux  Scale up & Scale Out system PRIMEQUEST CAGR (2010-2013) +5%  MC system, DB server Expand to Windows Linux high-end segment SHV $29B $11B due to high Gartner 2011: Linux Market Revenue Market performance multi-core CPU will exceed UNIX/RISC in 2015

MC: Mission Critical、SHV: Standard High Volume

[Source: IDC Worldwide Quarterly Server Forecast 2011 Q4] FUJITSU CONFIDENTIAL 9 Copyright (C) Fujitsu Limited 2012 Fujitsu Platform Products - Enterprise

Linux/Windows System Size Mainframe UNIX Servers Storage Servers

Super Computer

Global Server SPARC Enterprise PRIMEQUEST ETERNUS PRIMEFORCE

High-end

DX8000

GS series (for Japan market) Mid-range BS series (for EMEA market) PRIMERGY DX400

[Solaris] DX80/90

Volume-range JX40 [Linux/Windows]

FUJITSU CONFIDENTIAL 10 Copyright (C) Fujitsu Limited 2012 PRIMEQUEST Installations Installation in 25 countries/ over 2,000 units

Database Servers ERP Platform Virtualization Platform

• Nikken Gakuin/ • Konica Minolta Holdings (Windows) •Toshima Ward Office (VMware) Kenchiku Shiryo Kenkyusya Co., Ltd (Windows) • Daiichi Sankyo (Windows) •Ohita Prefectural Government (VMware) • Circle K Sunkus (Linux) • Toray Engineering Co., Ltd (Windows) • Shibaura Institute of Technology (Windows) • Japan Vilene Co., Ltd (Windows) • TIS (Linux) • KDN (Germany) (Linux) • Tsu Municipal Office(Windows) • To Solutions Co., Ltd. (Windows) • Nagoya University Hospital (Linux) Legacy Modernization High Performance Computing • The Banshu Shinkin Bank(Windows) • NTT Data Corporation (Linux) • FDK Corporation (Linux) • Vodafone K.K. (Currently Softbank Mobile) (Windows) • Shiga Bank, Limited (Linux) • Research Institute for Information Technology, • Yamazaki Baking Co., Ltd. (Windows) • Shizuoka Bank (Linux) Kyushu University (Linux) • Yamato Group (Linux) • TKC Corporation (Windows) • Research Center for Computational Science, • Inje University Paik Hospital (Windows) • Tokyo Stock Exchange (Linux) Okazaki Research Facilities, • Sejoong Namo Tour (Korea) (Linux/Windows) National Institutes of Natural Sciences (Linux) • Nogata City (Fukuoka) City Hall (XSP) • Seoul National University (Korea) (Linux) • Institute for Cosmic Ray Research, • Ministry of Justice (Linux) • Sung-Ae Hospital (Korea) (Windows) University of Tokyo (Linux) • Severance Hospital (Korea) (Windows) • Toyota Central R&D Labs, Inc. (Linux) • Lotte World (Korea) (Windows) • Japan National Institute of Occupational • Jiangyin Software Park (China) (Linux) Health & Safety (Linux) • YTO (China) (Linux) • Eastern Asia Commercial Bank (Vietnam) (Linux) • Banco Popular (Spain) (Windows) • Coput (Spain/ Bureau of transportation) (Linux) • TMN (Portugal) (Linux) • The Anthony Marano Company (USA) (Windows) • Fulton County (USA) (Linux) • Vivo (Brazil) (Linux)

FUJITSU CONFIDENTIAL 11 Copyright (C) Fujitsu Limited 2012 PRIMEQUEST: Brazil VIVO (Telefonica Brazil) Customer and Call management system for the largest Mobile Operator in Southern Hemisphere Supporting VIVO’s prepaid services  In Production since October, 2006  >56M Subscribers  PRIMEQUEST and Linux

Highlights Approximately 56.8 million users Migration from HP Integrity PRIMEQUEST HA & RAS Features 50x PRIMEQUEST 580 Servers since 2006 21x PRIMEQUEST 1800E server Upgrade in 2011  High green performance is a driving factor of this upgrade  50% Reduction in Power Consumption  66% Reduction in server weights & space Fujitsu‟s superior support capability FUJITSU CONFIDENTIAL 12 Copyright (C) Fujitsu Limited 2012 PRIMEQUEST: Morocco - Méditel Customer and Call management system for the 2nd largest Mobile Operator in Morroco Supporting Meditel’s Next Generation Intelligent Network (NGIN)

 In Production since Mid 2011  >10M Subscribers  PRIMEQUEST and Linux

Highlights  High Reliability: PRIMEQUEST is a proven platform for NGIN systems • Stable operation at VIVO (Brazil) and TMN (Portugal) for years  High Performance and High Expandability • Méditel selected PRIMEQUEST as Infrastructure to support mobile services for the growing telecom market in Morocco. i.e. 12% a year.  17 PRIMEQUEST servers  40 PRIMERGY servers  5 ETERNUS High End storage systems

FUJITSU CONFIDENTIAL 13 Copyright (C) Fujitsu Limited 2012 Tokyo Stock Exchange “Arrowhead” One of the world’s most advanced Stock Trading System Supporting the Tokyo Stock Exchange

 Live on January 4, 2010  PRIMEQUEST and Linux

Highlights  Migration from Fujitsu Mainframe  Higher Performance • 2 ms for order response time, 3 ms for information distribution • More than 1,000 times as fast as the previous system  High Reliability • Same level as mainframe systems  Linear scalability, timely upgrade capability • Available double the capacity of the peak workload, upgrade in a week

FUJITSU CONFIDENTIAL 14 Copyright (C) Fujitsu Limited 2012 Fujitsu’s DNA = Mission-Critical Systems

Advanced Technology Mainframe Technology

 Processor/ASIC Maintaining mainframe technology  Semiconductor heritage for overall system robustness

Quality Management

Japan quality + German quality

Servers, Storage Systems, Middleware

“Mission-Critical Systems” with maximum reliability

FUJITSU CONFIDENTIAL 15 Copyright (C) Fujitsu Limited 2012 PRIMEQUEST Concept vs. Standard x86 PRIMEQUEST delivers Mission Critical Availability  PRIMEQUEST PRIMEQUEST • Mainframe Qualities • Design Mission Critical • QA System • Manufacturing • Mission Critical Operations • High End Enterprise Features • 10x Greater Reliability • Highest Availability Volume • Highest performance

 PRIMERGY PRIMERGY • Affordable performance • Cost efficiency in its class

FUJITSU CONFIDENTIAL 16 Copyright (C) Fujitsu Limited 2012 Mainframe Development & QA Process Intensive design review in each development process

Development Product specification, Development policy Step 0 Planning Product Planning Council Design Review Development schedule, Conception design

Basic Quality assurance plan, RASIS function Step 1 Design Basic Design Council Design Review DVT plan

Detailed Design / Prototype Safety confirmation Step 2 Design Design Review Evaluation of characteristics/reliability Council Confirmation of new parts and units

Prototype System test Design Quality assurance test Completion Design Review Council Initial lot quality verification Step 3 Shipment Judgment

Mass Production Authorization of shipment Shift Council Mass Production Design Review Shipment Initial quality monitoring Step 4 Project Review Coping Complaint Response Design Review

FUJITSU CONFIDENTIAL 17 Copyright (C) Fujitsu Limited 2012 Server RAS Comparison

PRIMEQUEST HP IBM Power System Fujitsu/Oracle 1800E2 Superdome 2 770 SPARC Intel E7 Intel POWER 7 M x000 Series System Board Recovery /w GPSM: /w Live Partition (Automated) hot-add Blade Mobility Flexible I/O Redirection

Hardware Partitions logical Electrical Isolation partitions

Online maintenance

Management processor Analysis (Redundant) Engine not redundant System clock (Redundant) Memory Mirroring only for Hypervisor code CPU Error detection/ correction

Component level Redundant & Hot-plug (PS,fans, disks, PCI)

FUJITSU CONFIDENTIAL 18 Copyright (C) Fujitsu Limited 2012 Oracle License fee reduction Oracle Enterprise Edition on PRIMEQUEST vs. Unix/RISC Systems 50% reduction

 Half the license and support fee . vs. IBM Power Systems and HP Integrity Systems *1 IBM Power Systems (Power6/7) Core factor 1.0 HP Integrity-2 (Itanium9300) Core factor 1.0 SPARC Enterprise M (SPARC64 VII+) Core factor 0.5 PQ1800E (Xeon 7500 & E7) Core factor 0.5

License fee for 64 cores Power Systems 64 cores (Enterprise Edition) ・・・ ca 3.0M USD SPARC Enterprise M 64 cores (Enterprise Edition) ・・・ ca 1.5M USD HP Integrity-2 64 cores (Enterprise Edition) ・・・ ca 3.0M USD PQ1800E 64 cores (Enterprise Edition) ・・・ ca 1.5M USD *1 As of January 19th, 2011

FUJITSU CONFIDENTIAL 19 Copyright (C) Fujitsu Limited 2012 PRIMEQUEST Specification Overview

Scalability  High-availability RAS features • 8x Xeon E7 Processors  Memory mirroring • Max 80 Cores, 160 threads  HW Partitioning  Standby system board Memory  Flexible I/O • Max. 2TB (4TB(32GB*128)design)  H/W RAID, S/W RAID  Partitions PCIe slot extension  Enhanced manageability • Up to 4 (Electrically Isolated)  Management Board (MMB) Onboard I/O  Optional MMB for redundancy • 16x GigaEthernet  Remote management, HDD & PCIe Card Hot plug, • 8x USB 2.0 etc.  Cable-less design Extendable I/O  Full Standard OS Support • 16x PCIe 2.0 (8 Lane)  Windows Server • Up to 40 with PCI Boxes  RedHat Enterprise Linux  SUSE Linux Form Factor  VMware, OVM, Hyper-V • 12U Rackmount  Solaris x86, Oracle Linux

FUJITSU CONFIDENTIAL 20 Copyright (C) Fujitsu Limited 2012 Dual/Redundant Design Completely Dual/Redundant Design for High Reliability & Availability

 Mirrored Memory, multiple CPU-CPU paths, CPU-I/O paths  Fault component automatically Isolated

PRIMEQUEST MMB MMB FAN(N+1)

QPIQPI Network Network SB Clock Alternative Memory CPU ← ← ← Memory ← Dual Dual writing PCIeスイッチ QPI(retry/degrade) PCIe Switch I/O card I/O card PSU(N+1or Dual) PCIe (retry)

RAID disk unit

(Note: Double physical memory is required for partitions using the memory mirror)

FUJITSU CONFIDENTIAL 21 Copyright (C) Fujitsu Limited 2012 Flexible Configurable H/W Resources Flexible Hardware Resources  Partitioning Each block that one server is divided into multiple blocks can work as an independent system. Partition A Partition B Partition C

Application A Application B Application C  Different OSs can run in partitions

 Rebooting and shutting down per QPI Network

partition SB#0 SB#1 SB#2 SB#3  Flexible partitioning using Flexible I/O and Reserved SB  Multiple applications can be IOB #1 consolidated in one server IOB #0 PCIe switch PCIe switch  A fault in one partition never affect other partitions

PCIe card PCIe card PCIe card PCIe card

FUJITSU CONFIDENTIAL 22 Copyright (C) Fujitsu Limited 2012 Cable-less Design

Maintainability, Operability, Reliability all improved

 Each component directly plugged “Mid-plane” and are interconnected  Cable-less design removes cable fault, human cabling errors  Enables Flexible IO feature

Mid-plane (MP)

System board (SB) I/O board (IOB)

Giga-LAN/SAS/ SAS Unit PCI-Box (SASU) Interface board (GSPB) Server management board (MMB)

FUJITSU CONFIDENTIAL 23 Copyright (C) Fujitsu Limited 2012 All Faults Isolated within their Partition Hardware Partitioning  Errors in one partition do not affect any other partition  Maximized uptime automatic replacement of faulty system boards by Reserved System Board

Partition #1 Partition #2 Application Application OS OS CPU/ Memory CPU/Memory Failure Switch to Reserved System Board

Reserved System Board CPU/Memory

FUJITSU CONFIDENTIAL 24 Copyright (C) Fujitsu Limited 2012 PRIMEQUEST Performance: SPEC int_2006 Top Class Performance* in UNIX/Windows/Linux Servers

*:Excluding expensive Power -7 (About 3-times Xeon)

3,000 SPEC int_2006_rate_base 2,500

2,000 SPARC64 VII+ Power-7 1,500 64-S WSM-EX 8-S 8-S 1,000 NHM-EX 8-S Montvale Montvale Takwila(IPF) 16-S 500 (IPF) (IPF) 32-S 32-S *estimation 0 Fujitsu Fujitsu Fujitsu HP HP SUN IBM PQ1800E2 PQ1800E PQ580A Superdome Superdome2 M9000 Power 780

3,000 SPEC int_2006_rate_base ( 8-S normalized ) 2,500

2,000

1,500

1,000

500

0 Fujitsu Fujitsu Fujitsu HP HP SUN IBM PQ1800E2 PQ1800E PQ580A Superdome Superdome2 M9000 Power 780

FUJITSU CONFIDENTIAL 25 Copyright (C) Fujitsu Limited 2012 PRIMEQUEST: Greenest Mission-Critical Server

 Reduced power consumption and server space at similar performance  80 PLUS GOLD *1 certified highly efficient power supplies  Power consumption can be reduced to around one-fifth  Server space can be reduce to nearly one-sixth HP Superdome PRIMEQUEST 1800E2 (Xeon (Itanium9100/128cores) E7/80cores)

Space 1/6 0.53 meter 2.0 meter

Power consumption 4.0 KWatts 18 KWatts & 84U 1/5

FUJITSU CONFIDENTIAL 26 Copyright (C) Fujitsu Limited 2012 PRIMEQUEST: Unified Server Strategy The Mission Critical Alternative To Proprietary RISC/UNIX

MAINFRAME Mission Critical Mission Critical UNIX/RISC PRIMEQUEST Application Porting 1800E2 to Windows/ Linux & IBM pSeries ERP Migration to Virtual Infrastructure Templates or HP Superdome Pre-Certified Integrity Configurations NonStop

SPARC MC HighEnd Enterprise Windows/Linux Virtual Infrastructure Standard Intel

Standard Intel Volume Server Windows/Linux

FUJITSU CONFIDENTIAL 2727 Copyright (C) Fujitsu Limited 2012 Value Proposition: Never Stop Your Business

Best Blended Reliability of Fujitsu Mission Critical Technology and Red Hat Linux

Maximum Uptime Hardware Dependable and Secure Linux

Most of the Rock-solid Components Security Redundant

24 Hours Multiple and Levels Emergency Protection Care

Quality Swift Assurance Trouble Shooting Through Using Linux Manufacturing Source Codes

FUJITSU CONFIDENTIAL 28 Copyright (C) Fujitsu Limited 2012 Summary

Fujitsu Mission Critical Technology Total Cost Of Ownership vs Legacy UNIX/RISC

HW SW <50% <50% vs. RISC 0.5 Oracle Integrity/Superdome Core Multipler M Class vs Itanium/POWER Pseries Reliability AMC 10x <50% Mainframe Paradigm Based on 99.999% vs 99.99% Acquisition cost Vs Standard Intel vs RISC

6x DC Open Efficiency 100% Industry Standard Oses Power, Cooling, >ROI VMware, Hyper-V, OVM Floorspace Faster ROI - aquisition RedHat, Windows vs Integrity/M9000 Increased ROI - AMC Solaris, SuSE Longer ROI - Open

FUJITSU CONFIDENTIAL 29 Copyright (C) Fujitsu Limited 2012 FUJITSU CONFIDENTIAL 30