Services

Welcome/Introduction
John McAdam
President and Chief Executive Officer
3
Agenda
8:00
Welcome/Introduction
John McAdam,
President & CEO
8:15
Product Overview & Market
Opportunity
Dan Matte,
SVP Marketing, Corporate Development & Business Development
8:50
Enabling the Dynamic Data
Center / TMOS v.11
Erik Giesa,
VP Product Management
9:25
Technology Update / Roadmap
Karl Triebes,
SVP Product Development & Chief Technical Officer
10:10
BREAK
10:25
Sales Update
Mark Anderson,
SVP Worldwide Sales
10:50
Services Update
Julian Eames,
SVP Business Operations
11:10
Business Development /
Strategic Partnerships
Jim Ritchings,
VP Business Development
11:30
Business Model Overview /
Financial Outlook
Cooper Werner,
Vice President, Finance
11:50
Wrap-Up
John McAdam,
President & CEO
12:00
Q&A
12:30
ADJOURN
© F5 Networks, Inc.
Product Overview and
Market Opportunity
Dan Matte
Senior Vice President of Marketing,
Corporate and Business Development
5
Today, Data Centers Are Under More
Pressure than Ever Before
• It started simple
• More user types,
services
• Application issues
• Security woes…
© F5 Networks, Inc.
6
Today, Datacenters are Under More
Pressure than Ever Before
• It started simple
• More user types,
services
• Application issues
• Security woes…
What’s the answer?
© F5 Networks, Inc.
7
Strategic Points of Control Enable a
More Dynamic Data Center
• Manage the network as a
reusable fabric or pool of
resources
• Reconfigure dynamically
• Manage applications and
services, not objects and
devices
• Context-aware policies
and visibility
• Open API and ecosystem
© F5 Networks, Inc.
8
It’s about providing a broad set of services
Gartner
© F5 Networks, Inc.
9
Platform for Network, Application, and Security
• New security hole
• High cost to scale
• Slow performance
Network Administrator
Traditional networks are
focused on connectivity
Application Developer
Applications focus on business
logic and functionality
© F5 Networks, Inc.
10
iApps Make TMOS Power Widely Accessible
© F5 Networks, Inc.
11
Powerful Trends Continue
Liquid
Data
Centers
Increased
Mobility
More
Traffic
Browser
Is the
App
© F5 Networks, Inc.
12
Stats…
© F5 Networks, Inc.
13
Connected Devices Today
Today
4 Billion
Source: Intel and Cisco – The Internet of Things
© F5 Networks, Inc.
14
Connected Devices in 2015
Today
4 Billion
2015
15 Billion
Source: Intel and Cisco – The Internet of Things
© F5 Networks, Inc.
15
Connected Devices in 2020
Today
4 Billion
2015
15 Billion
2020
50 Billion
Source: Intel and Cisco – The Internet of Things
© F5 Networks, Inc.
16
By 2018, Servers Will Be 125x
More Powerful
Server Power
By 2018
Server Power
Today
Source: Intel Web 2.0 Summit 2011
© F5 Networks, Inc.
17
Internet Traffic in 2010 Was Greater
Than All Prior Years Combined
Inception to 2009
Source: Intel Web 2.0 Summit 2011
2011
© F5 Networks, Inc.
18
Did You Feel the Quake?
© F5 Networks, Inc.
19
Why TMOS Is Different
Smart
Application
Proxy
F5 TMOS
Other L4/7
Slow
Fast
Firewalls
Routers
L2/3 Switch
Dumb
© F5 Networks, Inc.
20
Turn It On
Load Balancing
App Security
Optimization
Authentication
© F5 Networks, Inc.
21
BIG-IP Edge Client
• Web-Delivered and Standalone Client
•
•
•
•
•
•
•
Mac, Windows, Linux
iPhone, iPad, iTouch
Android (APAC)
Drive security
Endpoint inspection
Full SSL VPN
Per-user flexible policy
• Enable Mobility
•
•
Smart connection roaming
Uninterrupted application sessions
• Accelerate Access
•
•
•
Adaptive compression
Client-side cache
Client-side QoS
© F5 Networks, Inc.
22
F5 Customers Purchase More Over Time
Typical large F5 customer spending curve
F5 customer spending based on the top 50 customers (2004-2011)
Average
Yearly
Bookings
(thousands)
Source: F5 Sales Operations (salesforce.com data)
Top 50 customers excludes US, PRC, and Singapore governments.
Year
© F5 Networks, Inc.
23
Physical or Virtual
F5 Physical ADCs
High-performance and specialized hardware
F5 vCMP or Virtual Editions
Virtualization
Enterprise
Cloud Ready
Virtual Editions provide flexible deployment options for
virtual environments
Physical ADCs + vADCs = F5 Dynamic Infrastructure
Ultimate in flexibility and performance
© F5 Networks, Inc.
24
The World Needs Both
© F5 Networks, Inc.
25
“People Who Are Serious About Software
Should Make Their Own Hardware”
• Designed for Application Delivery
• Designed to function as a complete system
• World-class reliability
© F5 Networks, Inc.
26
Need for Security
Q55: Which statement best sums up your belief about the role
of ADC in terms of providing security for your network?
Source: F5 survey of 1,000 IT pros Sept 2011
© F5 Networks, Inc.
27
Strong Market Drivers
• Traffic
• Mobile
• Consolidation
F5 Leadership
• Technology
• Community
• Partners
New Uses
• iApps
• Security
• Service
Provider
© F5 Networks, Inc.
28
ADC Vendor Revenue 2011 and 2015 Forecast
Overall CAGR 19.3%
Adv ADC CAGR 20.8%
Source: Gartner ADC Market Forecast Q3 2011
© F5 Networks, Inc.
29
Trends Pulling ADN Into New Markets
Mobile Computing
Liquid Data Centers
ADN 2011 = $5B
WAN
Optimization
Load
Balancing
Advanced
ADC
SSL VPN
App Security
Storage Optimization
Increased Traffic
Browser Is the App
© F5 Networks, Inc.
30
New Uses Expand Our Markets
ADN 2015 ~$11B
Carrier Traffic
Management
ADN 2011
Secure Web
Gateway
ADC
Identity &
Access
Management
Cloud Controllers
Edge
Security
Mobile & Media
Data Optimization
© F5 Networks, Inc.
31
Functional Modules Address New Markets
ADN 2015 ~$11B
URL
Filtering
AVR
ADN 2011
PSM &
MSM
FW
ADC
APM &
Client
EDGE
WA/WOM
Caching
ARX
Virtual
Editions
© F5 Networks, Inc.
The F5 Version 11 Revolution
Erik Giesa
Vice President of Product Management
and Product Marketing
33
Dynamic Data Center Maturity Model
Separate
Test and
Development
Consolidate
Server
Consolidation
Aggregate
Capacity
On Demand
Automate
Self-Managing
Data Centers
Liberate
Enterprise
Computing Clouds
On and Off Premise
Hypervisor
You
Are
Here
Or
Here
Or
Here
Or
Here
Extensible IT Services, On-Demand and Shared Infrastructure = Dynamic Data Center
© F5 Networks, Inc.
34
BIG-IP v11: Delivers Massive Gains in IT
Efficiency Enabling the Dynamic Data Center
• 10-100x faster application-centric deployment with F5 iApp
• F5 revolutionizes network to application lifecycle management
• Reducing OpEx and CapEx with unique ScaleN architecture
• Most cost-effective scale as you grow architecture
• Unique application-centric workload management
• Most flexible architecture for elasticity and resiliency
• Unique new Application Services driving consolidation
• Unifying more services for Service Providers, lowering CapEx
• Integrating security into the application lifecycle, creating agility
• Optimizing the WAN at 5x the performance and half the price
© F5 Networks, Inc.
35
The Microsoft Exchange Administrator View
Microsoft Exchange User Interface
© F5 Networks, Inc.
36
Only F5 Has Access Policy and SSO Control
© F5 Networks, Inc.
37
Only F5 Has Access Policy and SSO Control
•
Only vendor with
BIG-IP Access Policy
Manager (APM)
•
Only vendor with
prescriptive security
guidance
•
But still required 56
configuration
settings
© F5 Networks, Inc.
38
F5 iApp: Rapid, Unified, and Simple
Provisioning of New ADN Services
16 pages and 56 settings reduced to 4 questions
in language an Exchange administrator understands
© F5 Networks, Inc.
39
F5 iApp: Rapid, Unified, and Simple
Provisioning of New ADN Services
Or 6 if you need authentication
© F5 Networks, Inc.
40
The Shift to the Dynamic Data Center
• The static data center used to work
• Then came cloud computing
• And the era of applications
• And traffic diversification
• And now IT is buckling …
© F5 Networks, Inc.
41
How the Static Data Center Falls Short
© F5 Networks, Inc.
42
How the Static Data Center Falls Short
© F5 Networks, Inc.
43
How the Static Data Center Falls Short
© F5 Networks, Inc.
44
How the Static Data Center Falls Short
© F5 Networks, Inc.
45
Is This a Dynamic Data Center?
© F5 Networks, Inc.
46
Is This a Dynamic Data Center?
© F5 Networks, Inc.
47
Global CIO Strategies Focus on Creating New
Infrastructures for Growth and Efficiency
Ranking of IT strategies that CIOs selected as one of their top three
2011
2010
2009
2008
Developing or managing a flexible infrastructure
1
8
11
11
Delivering applications and growth projects
2
1
3
1
Reducing the cost of IT
3
3
2
10
Improving IT management and governance
4
6
4
7
Consolidating IT operations and resources
5
9
9
12
Reorganizing IT (attracting/retaining IT personnel)
6
10
8
3
Expanding the use of information/intelligence
7
7
10
9
Implementing business process improvements
8
4
5
6
Implementing cloud solutions (SaaS, PaaS, IaaS)
9
*
*
*
Improving/linking the business-IT relationship
10
2
1
2
* New response category
© F5 Networks, Inc.
48
F5’s Road to the Dynamic Data Center
F5 architectural firsts
Application Delivery
Framework
TMOS (v11)
Application Control Plane
Module & Ecosystem
Integration (v10.0)
TMOS (v9.0)
Application Data Plane
CMP and VIPRION (v9.x)
© F5 Networks, Inc.
49
F5’s Vision Is Foundational for the
Dynamic Data Center
• An Application Delivery
Architectural Approach:
• The network – a reusable
fabric or pool of resources
• Reconfigure dynamically
• Applications and services,
not objects and devices
• Context-aware policies
and visibility
• Open API and ecosystem
© F5 Networks, Inc.
50
v11: F5’s Application Control Plane
Architecture
• iApp: 10-100x faster app
delivery deployment
• Powerful contextual
application and user visibility
• ScaleN: Reduce OpEx and
CapEx with pay as you grow
architecture
• Hardened internal application
and user security posture
© F5 Networks, Inc.
51
v11: The iApp Revolution
• Network optimization for specific apps: weeks to do
© F5 Networks, Inc.
52
v11: The iApp Revolution
• Network optimization for specific apps: weeks to do
• With F5’s application deployment guides: days to do
© F5 Networks, Inc.
53
v11: The iApp Revolution
• Network optimization for specific apps: weeks to do
• With F5’s application deployment guides: days to do
• With F5’s new iApp: hours and minutes to do
• Portable like virtual machines
© F5 Networks, Inc.
54
v11: The iApp Revolution
• Framework to unify, simplify, and control Application Delivery
Services
• Application-centric
• Contextual view and advanced analytics
• Rapid and predictable deployment
© F5 Networks, Inc.
55
F5 iApp Connecting People and Process
I
© F5 Networks, Inc.
56
F5 iApp Connecting People and Process
I
© F5 Networks, Inc.
57
F5 iApp Connecting People and Process
I
© F5 Networks, Inc.
58
F5 iApp Connecting People and Process
AVAILABILITY
Services
I
Application Intelligence
Resource Cloaking
Transaction Assurance
Universal Persistence
Application Health
Monitoring
Application Switching
Automatic site-to-site
failover
VM automation
SECURITY
Services
Application security
Attack protection
Integrated authentication
Advanced Encryption
Endpoint Security
Application Access Policy
Optimized SSL VPN
Connection Management
APP
OPTIMIZATION
Services
Geolocation
TCP Optimization
Rate Shaping
Server Offload
DC to DC Replication
Application Intelligence
Load Balancing
Caching
Compression
© F5 Networks, Inc.
59
BIG-IP v10 Managing Objects and Services
© F5 Networks, Inc.
60
BIG-IP v11 Managing Application Services
© F5 Networks, Inc.
61
BIG-IP v11 Managing Application Services
F5 iApp: Changing the Game
Managing application services… not network devices or objects
© F5 Networks, Inc.
62
F5 iApp
• Templates allow config based
on business policy
• Automation and provisioning
• Rapid change management
• Portability between F5 devices
• Reusable services
© F5 Networks, Inc.
63
F5 iApp Services
A single interface to:
• Create application availability,
security, and optimization
services
• View, manage, and easily
update applications across all
F5 software modules
• Create portability between F5
devices
© F5 Networks, Inc.
64
Deploying F5 and True Application Delivery
Has Never Been Easier…
Cut Operational
Costs and
Provide IT
Decision Making
Benefit in Time Savings
Benefit in Time Savings
2 days to research (SharePoint)
7 days to research (F5) [assumes using
WebAccelerator and BIG-IP ASM]
2 days to set up test environment (SharePoint)
3 days to set up test environment (F5)
10 days to test (SharePoint/F5)
14 days to research (Exchange)
14-21 days to research (F5)
5 days to set up test environment (Exchange)
3 days to set up test environment (F5)
30 days to test (Exchange/F5)
2 days implementation (Exchange/F5)
Why?
Why?
65% reduction in documentation
88% reduction in steps
82% reduction in inputs
75% reduction in documentation
96% reduction in steps
90% reduction in inputs
95% reduction in time to deploy!
84% reduction in time to deploy!
From about 3 months to 1 hour
From about 3 months to 2 hours
© F5 Networks, Inc.
65
How Can You Adapt and Enable Smart
Compliance?
• 237 pages for a network
device’s security controls
• 100s of requirements
NIST SP 800-53
© F5 Networks, Inc.
66
How Can You Ensure Compliance and Be Agile?
•
Objective
•
IA-5 AUTHENTICATOR MANAGEMENT
•
Control: The organization manages information system authenticators for
users and devices by: Verifying, as part of the initial authenticator distribution,
the identity of the individual and/or device receiving the authenticator; Establishing
initial authenticator content for authenticators defined by the organization; Ensuring
that authenticators have sufficient strength of mechanism for their intended use;
Establishing and implementing administrative procedures for initial authenticator
distribution, for lost/compromised or damaged authenticators, and for
revoking authenticators; Changing default content of authenticators upon
information system installation; Establishing minimum and maximum lifetime
restrictions and reuse conditions for authenticators (if appropriate);
Changing/refreshing authenticators [Assignment: organization-defined time
period by authenticator type]; Protecting authenticator content from
unauthorized disclosure and modification; and Requiring users to take, and
having devices implement, specific measures to safeguard authenticators.
•
Translate and apply into consistent,
predictable, and repeatable security
controls.
Cost
•
Dozens of hours per device?
•
How do you audit?
Risk
What happens when:
•
It’s applied incorrectly?
•
Or it isn’t applied?
•
Knowledge worker leaves?
CCI-000213: The organization enforces minimum password length.
CCI-000197: The organization enforces password complexity by the number of special characters used.
CCI-000188: The organization manages information system authenticators for users and devices by
establishing the time period for changing/refreshing authenticators.
CCI-000186: The organization manages information system authenticators for users and devices by
establishing maximum lifetime restrictions for authenticators (if appropriate).
CCI-xxxxxx: ………………………………
© F5 Networks, Inc.
67
Compliance and Agility in Action
U.S. DoD and Federal Government
• New F5 NIST 800-53 iApp
• Compliant and Predictable
Security Controls
• Compliance
• Logging
• Access
• Auditing
• Password Policy
• Session Management
• ACLs
• Etc.…
© F5 Networks, Inc.
68
Compliance and Agility in Action
U.S. DoD and Federal Government
• New F5 NIST 800-53 iApp
• Compliant and Predictable
Security Controls
• Compliance
• Logging
• Access
• Auditing
• Password Policy
• Session Management
• ACLs
• Etc.…
From 5 – 8 weeks of expert
system design and 320 NIST
requirements to 5 minutes
applied consistently
everywhere, all the time
© F5 Networks, Inc.
69
F5 iApp Ecosystem and Open Marketplace
• More than 20 iApps shipped with v11
• More than 12 have been released since v11
© F5 Networks, Inc.
70
F5 iApp Ecosystem and Open Marketplace
• More than 20 iApps shipped with v11
• More than 12 have been released since v11
• F5’s Open iApp Ecosystem part of DevCentral
© F5 Networks, Inc.
71
F5 iApp Ecosystem and Open Marketplace
•
•
•
•
More than 20 iApps shipped with v11
More than 12 have been released since v11
F5’s Open iApp Ecosystem part of DevCentral
Share iApps within organizations, between partners,
and with other vendors
© F5 Networks, Inc.
72
F5 iApp Application Analytics
• Information grouped
by application
• Provides:
•
•
•
•
•
•
End-User Perspective
Application Intelligence
ROI Reporting
Capacity Planning
Troubleshooting
Performance
Statistics Collected
• Server Latency
• Client-Side Latency
• Throughput
• Response Codes
• Methods
• URLs
• Client IPs
• Client Geographic
• User Agent
• User Sessions
Views
• Virtual Server
• Pool Member
• Response Codes
• URL
• HTTP Methods
© F5 Networks, Inc.
73
Unique F5 ScaleN Architecture
Ultimate Scalability and Reliability
Flexibility to scale up, scale out, virtualize
on-demand, and pay as you grow
Scale
Up
Clustered Multiprocessing
(CMP) & SuperVIP
TMOS
Virtualization (vCMP)
Scale
Out
© F5 Networks, Inc.
74
F5 ScaleN: Failover Synchronization
• Scale out across pools of devices
• Automatically reassign targeted iApp workloads
• Avoid application service disruptions
• Works with any TMOS v11 platform
• VIPRION, appliances
• Or Virtual Editions
© F5 Networks, Inc.
75
F5 Service Synchronization
Creating an Adaptable and Extensible Application Control Plane
v11 Application Control Plane
Superior application delivery across distributed infrastructure.
Efficient and consistent policy distribution across F5 ADCs:
Synchronize iApps, iRules, profiles, security, DB, and more.
Device Service Cluster
© F5 Networks, Inc.
76
Usual Approach Is Opposite of Agility
Lots of Small
ADCs
Lots of Configuration
Objects, policies, and
dependences
© F5 Networks, Inc.
77
F5 Approach: The Application Control
Plane Enabling the Dynamic Data Center
F5 ScaleN – Device service
clusters scale out across a pool
of F5 resources managed as
one fabric.
Automated Service
Synchronization
Multi-blade ADCs
Virtualized Instances
Clustered ADCs
For N+1 Clustering
Service-Based Failover
Distributed Policy Sync
F5 iApp – Provides easy-to-use
application-centric management.
Unify services for rapid,
predictable deployment.
Repeatable
Customizable
Distributable Config
© F5 Networks, Inc.
78
v11: Revolutionary New Application
Delivery Services
• Carrier-grade DNS services
• Cutting CapEx in half
and enabling LTE
• Security integration
• Vulnerability discovery and
remediation in minutes
• Best-in class scale, acceleration,
and optimization services
• Superior price / performance
• 63% improvement for SharePoint
AVAILABILITY
Services
Application Intelligence
Resource Cloaking
Transaction Assurance
Universal Persistence
Application Health
Monitoring
Application Switching
Automatic site-to-site
failover
VM automation
SECURITY
Services
Application security
Attack protection
Integrated authentication
Advanced Encryption
Endpoint Security
Application Access
Policy
Optimized SSL VPN
Connection Management
APP
OPTIMIZATION
Services
Geolocation
TCP Optimization
Rate Shaping
Server Offload
DC to DC Replication
Application Intelligence
Load Balancing
Caching
Compression
© F5 Networks, Inc.
79
Control the Tsunami: Strategic Points of Control
LTE and IMS & IP Based Services
Voice & Messaging
VoIP
Video & Content Delivery
MMS/IM
IPTV
VoD
Data Services
Web
Apps
Service Operations
DNS
AAA
• GGSN
• PGW
Inspection Engine
3G
Policy Enforcement
4G
OSS/BSS
KEY
OPTIMIZED TRAFFIC
2G
F5 Unified IP Services
NON-OPTIMIZED TRAFFIC
PCRF & CHARGING
Service Awareness, Traffic Steering, Policy
Enforcement, TCP Optimization, IPv6, NAT, DNS,
Security, and Service Scaling
© F5 Networks, Inc.
80
Problem: Dual Stack Needed for
IPv4 and IPv6 (LTE)
•
Majority of Internet properties support only IPv4
•
Pure IPv6 clients (LTE) unable to access majority of Internet
•
Common solution to run client dual stack IPv4/IPv6
•
Problem for mobile / client to run dual stack IP addresses
© F5 Networks, Inc.
81
F5 Simplifies the IPv6 Evolution
Rapid Adaptation to Next Gen Internet
•
50% reduction in infrastructure and management costs
•
Unified NAT64 and DNS64 architecture
•
•
•
•
Provides automatic translation and future-proofing
Supports pure IPv6 clients accessing both IPv6/IPv4 sites
Critical for mobile devices and any client optimized for pure IPv6
Eases evolution and bridges gap between IPv6/IPv4 DNS
© F5 Networks, Inc.
82
The Web Security Problem Is Industry
Pervasive
Overall
230
111
Banking
30
35
Education
80
404
Financial
Services
Retail
Social Networking
33
215
Insurance
Manufacturing
266
71
Healthcare
IT
Telecommunications
80
Average annual amount of new vulnerabilities introduced per website by industry (2010)
Source: WhiteHat Security Statistics, March 2011
© F5 Networks, Inc.
83
Size and Scope of Web Security Problem
Scope:
Total sites: 504,082,040*
Total SSL sites: 1,722,572*
Average site vulnerabilities: 230**
Average days to fix: 116**
Problem:
Lower-end estimation of
vulnerabilities in existence:
396,191,560
Cost:
• Not enough expertise
• Not enough personnel
• Not enough time
* Source: Netcraft, October 2011
** Source: WhiteHat Security Statistics Report, March 2011
© F5 Networks, Inc.
84
Rapid Protection from Vulnerabilities
Discovery and Remediation in Minutes
Customer Website
WhiteHat Sentinel
• Finds vulnerabilities
• Virtual-patching with oneclick auto-policy creation
on BIG-IP ASM
• Vulnerability checking,
detection, and remediation
• Complete website
protection
BIG-IP Application Security Manager
•
Verify, assess, resolve, and retest in one UI
• Automatic or manual creation of policies
•
Discovery and remediation in minutes
© F5 Networks, Inc.
85
Problem: Scaling to Meet Disaster
Recovery SLAs While Reducing Costs
Competitor Hardware
Competitor Hardware
Constantly add more devices just to scale, requiring load balancing and
additional security devices
© F5 Networks, Inc.
86
Solution: Meet Disaster Recovery SLAs and Reduce Costs
5–10x the performance at ½ the price vs. Riverbed or Silver Peak
BIG-IP WOM
BIG-IP WOM
© F5 Networks, Inc.
87
Only F5 Can Drive the Dynamic Data Center!
The F5 Application Delivery Framework
• The F5 Application Delivery Framework
• Application Control Plane Architecture
•
Unify all application services
• F5 iApp
•
Application-centric management
• F5 ScaleN
•
•
•
Pay as you grow architecture
Scale up / Scale out
Elasticity / Resiliency
• Automated Policy Synchronization
• Application and Network Analytics
• New v11 Application Delivery Services
© F5 Networks, Inc.
88
F5: A Solution at Every Step of the Evolution
Separate
Test and
Development
Consolidate
Server
Consolidation
Aggregate
Capacity
On Demand
Automate
Self-Managing
Data Centers
Liberate
Enterprise
Computing Clouds
On and Off Premise
Dynamic
Control
Hypervisor
Dynamic
Control
Dynamic
Control
Dynamic
Control
Dynamic
Control
A Reusable and Extensible Services Platform from Enterprise to Cloud
© F5 Networks, Inc.
Technology and Roadmap
Karl Triebes
Chief Technical Officer
and SVP Product Development
90
© F5 Networks, Inc.
91
Solstice v11
© F5 Networks, Inc.
92
FY2011 Highlights
• BIG-IP v11
•
Great response from customers and field
• VIPRION 2400
•
Shipped number of new appliances in FY2011
• Award-winning products
•
•
•
VIPRION 2400 – Best of Show at Tokyo Interop
BIG-IP Edge Gateway – Gold Winner
Best Secure Remote Access Product
from SearchSecurity.com
BIG-IP ASM – 5 star award for Application Firewall
from SC Magazine
• Significant progress in security market
• Large expansion of Silicon Valley facility
• Acquired Crescendo IP
© F5 Networks, Inc.
93
Inflection Points
What does ‘Inflection Point’ mean?
An event that changes the way
we think and act.
Andy Grove, Founder of Intel
© F5 Networks, Inc.
94
F5 Inflection Points
Date
Product
Technology
2004
BIG-IP v9 Proxy
Proxy, iRules, ASICs, CPU,
switches, TMOS modularity
2006
CMP on BIG-IP 8400
Moore’s law, multi-core CPUs
2007
VIPRION Architecture
FPGAs, CMP, Ethernet switch
fabric, vertical hardware
integration
2009
Module Integration (unified platform
with performance)
TMOS as a platform –
modularity, plug-ability, and
performance
2011
BIG-IP v11 – Application abstraction
(iApp), hardware multi-tenancy,
Dynamic Data Center, VIPRION
2400
Application templates, vCMP,
CMI, VIPRION, virtualization
© F5 Networks, Inc.
95
Scale Up, Scale Out
Delivering True On-Demand Scale and Resiliency
Scale Up
“Elasticity”
Scale Out
“Resiliency”
© F5 Networks, Inc.
96
Application and Service Delivery Fabric:
Scale Up, Scale Out
vCMP
Virtual Clustered Multiprocessing
SuperVIP
clusters
Scale Up
“Elasticity”
Delivering True On-Demand
Scale and Resiliency
vCMP
N Way
Instance
Clustering
VE
Distribution
Scale Out
“Resiliency”
© F5 Networks, Inc.
97
Roadmap Focus
• Security – Project Unity
• Service Provider/Telco/Mobile
• Build on v11 with Centralized Management and
Focus on Usability
• Virtual Environments, Cloud, and the Dynamic Data
Center
• Hardware and Hardware Offload
© F5 Networks, Inc.
98
Security Roadmap
© F5 Networks, Inc.
99
BIG-IP Security
• Modules
• BIG-IP Application Security Manager (ASM)
• BIG-IP Protocol Security Manager (PSM)
• BIG-IP Access Policy Manager (APM) and Edge Gateway
• Security Features in TMOS
L3 Security
DDOS, packet filters, IP protocol validation, fragmentation,
checksum, lengths, etc.
L4 Security
TCP protocol validation, lengths, checksum , TCP DOS
attacks, etc.
L5/7 Security
Protocol level security of DNS, HTTP, SMTP, SIP etc.
© F5 Networks, Inc.
100
Application Security
© F5 Networks, Inc.
101
Increasing Volume and Complexity of Traffic
API Billionaires Club, 2011 Edition
13 billion API calls/day (May 2011)
5 billion API calls/day (April 2010)
5 billion API calls/day (October 2009)
10 billion API calls/month (January 2011)
8 billion API calls/month (Q3 2009)
3 billion API calls/month (March 2009)
1.1 billion API-delivered stories/month (March 2010)
Over 50% of all traffic via API (March 2008)
Over 260 billion objects store in S3 (January 2011)
Source: John Musser, ProgrammableWeb, Glue Conference 2011
© F5 Networks, Inc.
102
Web Vulnerabilities Statistics
Overall top ten vulnerability classes of 2010
Percentage likelihood that at least one vulnerability will appear in a website
Source: WhiteHat Security
© F5 Networks, Inc.
103
BIG-IP ASM v11.0
• Secure latest web 2.0 apps. + new platform support
•
Support for AJAX apps and JSON payloads
•
ICAP enhancement for SOAP and SMTP attachments
•
iApp for BIG-IP ASM preconfigured policies
•
High performance on BIG-IP 11000
• Secure web 2.0 application virtualization or in the cloud
•
VE and auto policy sync between devices including deployment in the cloud
•
Isolated resource allocation: vCMP support for BIG-IP ASM
• Enhanced management and reporting
•
Enhanced WhiteHat integration
•
BIG-IP dashboard includes BIG-IP ASM metrics
© F5 Networks, Inc.
104
Innovative Protection for Web Applications
• Secure virtualized and cloud applications
• Automatically share policies between devices
• Quickly deploy BIG-IP ASM VE in DCs and clouds
© F5 Networks, Inc.
105
Close the Loop on Security
Customer Website
WhiteHat Sentinel
• Finds vulnerabilities
• Virtual-patching with oneclick auto-policy creation
on BIG-IP ASM
• Vulnerability checking,
detection, and remediation
• Complete website
protection
BIG-IP Application Security Manager
•
Verify, assess, resolve, and retest in one UI
• Automatic or manual creation of policies
•
Discovery and remediation in minutes
© F5 Networks, Inc.
106
Project Unity – Unified Security
© F5 Networks, Inc.
107
Project Unity: Introduction
• Recent high-profile attacks have put a spotlight on vulnerabilities with
traditional security approaches
•
Attacks focused on applications, APIs, and websites
•
Traditional firewalls not able to cope with session scale and throughput
• Major firewall replacement projects last year with BIG-IP at Fortune 500
accounts
• BIG-IP has built-in high performance layered security capabilities today
GOAL
• Thousands of security-focused iRules
Displace firewalls in the data center by providing consolidated
high-performance multi-layered security on BIG-IP products
© F5 Networks, Inc.
108
WikiLeaks DDoS Attack Profile
• 3 Basic Classes of Attack
•
•
•
L7: ICMP Flood
•
ICMP protocol attack
•
Consumes router, firewall, and server
resources
HTTP (Web): Slowloris
•
Creates massive concurrent sessions
•
Firewalls quickly overwhelmed
•
Server resources completely consumed
Slowloris
TCP Flood
Border Router (Internet Connection)
Intrusion Prevention Device
PCI Compliant Firewall
L4: TCP Flood/Syn Flood
•
Targets any TCP-aware device
• BIG-IP/ASM stopped attacks!
•
ICMP flood
F5 BIG-IP with ASM Module
Combination of core TMOS functionality,
iRules, and BIG-IP Application Security
Manager (ASM)
© F5 Networks, Inc.
109
Project Unity Roadmap
• Focus on Internet Firewall Market for 2012
• Expand beyond in 2013
• Consolidated L3-L7 security with comprehensive visibility
• Integrated access control with BIG-IP APM/Edge Gateway
• Consolidated user interface and policy management
• Centralized management for multiple devices using Enterprise
Manager and v11 Device Groups
• ICSA certification in BIG-IP v11
• Full analytics, reporting, and event management with AVR and
third-party tools
© F5 Networks, Inc.
110
Project Unity
• PCI Compliance
• DOS
• IP Intelligence
© F5 Networks, Inc.
111
Project Unity
• PCI Compliance
• DOS
• IP Intelligence
Unified Security
Framework
© F5 Networks, Inc.
112
Unity: Application Awareness
• Classify flows and identify the application
• DPI engine for security and service provider applications
• Early version to be available FY Q2
• Typical applications in the data center:
OWA
SharePoint
Oracle
Lotus Notes
PeopleSoft
SIP
DNS
• Example: Detect file transfer in SharePoint, identify if file is
binary, if true, send to virus scanner
© F5 Networks, Inc.
113
Next Generation Unified Security
Unified Management Interface
BIG-IP APM
BIG-IP ASM
&
&
Edge
FW
Gateway
3rd-Party
3rd-Party
Products
Interface(s)
Classification
TMOS
iRules, High Performance Proxy, SSL,
ScaleN, BIG-IP platforms, Virtual Edition,
HA and Performance, Full state failover
AVR
Apps,
Databases,
CA,
Virus scan,
Spam check,
SIEM,
Scanner
© F5 Networks, Inc.
114
Service Provider / Telco / Mobile
Roadmap
© F5 Networks, Inc.
115
F5’s Intelligent Service Delivery Controllers
IP-Based Services
VoIP
Video & Content Delivery
SMS/MMS
IPTV
VoD
Data Services
Web
Apps
Service Operations
Fixed
OSS/BSS
Policy
Enforcement
Mobile
AAA
Inspection Engine
DNS
Alliance
Partners
Voice & Messaging
Unified Services
Service Awareness, Intelligent Traffic Steering, Policy Enforcement,
TCP Optimization, IPv6, NAT, DNS, Security, and Scaling of VAS
© F5 Networks, Inc.
116
Service Provider Roadmap Focus
• DPI – Traffic Classification, Subscriber Policy Management,
Analytics, and Charging (PCRF)
• Internet Firewall
• LTE (VoLTE) and IMS
• Multi-tenancy and Virtualization
• Core Infrastructure and Routing
• SP-specific iRules
• High-Performance, Carrier-Grade NEBS Hardware
© F5 Networks, Inc.
117
Classification and DPI
• Classification technology foundational for both Telco/Mobile and
Security Markets
•
Leverage TMOS performance and capabilities as the platform
•
Offload in BIG-IP hardware
• Trial version in 11.1 (FY Q2)
•
Built team in San Jose starting last year
•
Full market version targeted for FY2013 launch
• Full version will address core DPI market requirements
•
Policy enforcement
•
Analytics
•
Subscriber awareness
•
Full classification
•
Traffic steering
•
Optimization
© F5 Networks, Inc.
118
Classification Built into TMOS
TMOS Engine
DFA
HTTP
…
TCP
Events
TCP
proxy
Classification Engine
http
host
rtmp
site
contenttype
root
Stats
TCP
Database
© F5 Networks, Inc.
119
DPI Trial Version DPI: Q2 2012
• Application
classification
• Views by subscriber
or application
• Local reporting
• iRule hooks
Available as a Trial
© F5 Networks, Inc.
120
Centralized Management
and Usability
© F5 Networks, Inc.
121
Centralized Management Through
Enterprise Manager
Enterprise Manager :
Centralized Management
iApp
Application-Centric
Management
Third-Party Orchestration
and Workflow Frameworks
High Performance
Clusters
VE Deployment Arrays
BIG-IP Cluster Array
vCMP Instance Arrays
© F5 Networks, Inc.
122
Centralized Management
• iApp for Data Center Control Plane Management Application
• Enterprise Manager Flexible Deployment Options – VE, Appliance, and
Cloud
• CMI in v11 Is the Foundation
•
•
Hierarchal structure
Device Groups and trust domains
• API Driven
•
GOAL
•
•
New JSON-based API for Enterprise Manager–to–Enterprise Manager and
Enterprise Manager–to–third party
iControl for BIG-IP
Support for orchestration tools
Enterprise Manager scales the Data Center Control Plane to
provide a ‘Single Pane’ view of the application infrastructure
© F5 Networks, Inc.
123
Device Groups in BIG-IP v11
Granular manual or
automatic syncing
Sync /common configs
across Device Groups
Active /
Standby
2 Active /
1 Standby
Ability to scale beyond
the pair
Active /Active
Simplify deployment of
Active/Active
5 Active
Heterogeneous groups
© F5 Networks, Inc.
124
CMI Scales Enterprise Management
© F5 Networks, Inc.
125
Active
TG1
Datacenter 3
Datacenter 4
Datacenter 2
Standby
Active
8900
GTM1
GTM2
Active
Datacenter 1
Standby
1600
Active TG1
GTM3
Active TG2
ASM +
Policy Sync
LTM
(Solo)
EM
WAN
Optimized
iApps
Active / Standby
Datacenter 7 (VCMP)
a a a
b b b
c c c
d d d
a
b
c
d
Datacenter 6 (Cloud Provider)
Datacenter 5
Active:
TG1-TG8
a a a
b b b
c c c
d d d
a
b
c
d
iApps in
the Cloud
Active:
TG9-TG15
Stateful DAG
L7
Tier
© F5 Networks, Inc.
126
Trust Domain 2a
Active
TG1
Datacenter 3
Datacenter 4
Datacenter 2
Trust Domain 4
Trust Domain 2b
Standby
Trust Domain 3a
Active
8900
GTM1
GTM2
Active
Datacenter 1
Standby
Trust Domain 3b
1600
Trust Domain 1
Active TG1
GTM3
Active TG2
ASM +
Policy Sync
LTM
(Solo)
EM
WAN
Optimized
iApps
Active / Standby
Datacenter 7 (VCMP)
Trust Domain 7.x ...
a a a
b b b
c c c
d d d
a
b
c
d
Datacenter 6 (Cloud Provider)
Trust Domain 6
Datacenter 5
Trust Domain 1 (spans
Datacenters)
Active:
TG1-TG8
a a a
b b b
c c c
d d d
a
b
c
d
iApps in
the Cloud
Active:
TG9-TG15
Stateful DAG
L7
Tier
© F5 Networks, Inc.
127
Trust Domain 2a
Trust Domain 4
Trust Domain 3a
Device Group 4.1 (Mixed Platform HA)
Needs Load Score (Quasar)
Device Group 3.2 (LTM)
Trust Domain 2b
Device Group 2.1 (LTM)
Active
TG1
Datacenter 3
Datacenter 4
Datacenter 2
Device Group 2.2
(GTM)
Standby
Active
8900
GTM1
GTM2
Active
Datacenter 1
Trust Domain 3b
1600
Device Group 3.1 (LTM)
Trust Domain 1
Device Group 1.2 (ASM)
Standby
Active TG1
GTM3
DG 1.1 (LTM)
Active TG2
DG 1.2 (ASM)
ASM +
Policy Sync
EM
LTM
(Solo)
EM
Device Group 3.3 (EDGE)
EM
WAN
Optimized
iApps
Active / Standby
Datacenter 7 (VCMP)
Trust Domain 7.x ...
a a a
b b b
c c c
d d d
a
b
c
d
8 x DG
1/guest
DG 7.1
DG 7.2
a a a
b b b
c c c
d d d
a
b
c
d
EM
Datacenter 6 (Cloud Provider)
Trust Domain 6
Device Group 6.1 (LTM)
iApps in
the Cloud
Datacenter 5
Trust Domain 1 (spans
Datacenters)
Device Group 5.1 (LTM+ASM)
Device Group 5.2 (DSR-DAG)
Needs Hierarchical iApp
Active:
TG1-TG8
Stateful DAG
Active:
TG9-TG15
DG 1.2 (ASM)
L7
Tier
Device Group 5.3 (DSR-Supervip)
© F5 Networks, Inc.
128
Trust Domain 2a
Trust Domain 4
Trust Domain 3a
Device Group 4.1 (Mixed Platform HA)
Needs Load Score (Quasar)
Device Group 3.2 (LTM)
Trust Domain 2b
Device Group 2.1 (LTM)
Active
TG1
Datacenter 3
Datacenter 4
Datacenter 2
Device Group 2.2
(GTM)
Standby
Active
8900
GTM1
GTM2
Active
Datacenter 1
Trust Domain 3b
1600
Device Group 3.1 (LTM)
Trust Domain 1
Device Group 1.2 (ASM)
Standby
Active TG1
GTM3
DG 1.1 (LTM)
Active TG2
DG 1.2 (ASM)
ASM +
Policy Sync
EM
LTM
(Solo)
EM
Device Group 3.3 (EDGE)
EM
WAN
Optimized
iApps
Active / Standby
Datacenter 7 (VCMP)
Trust Domain 7.x ...
a a a
b b b
c c c
d d d
a
b
c
d
8 x DG
1/guest
DG 7.1
DG 7.2
a a a
b b b
c c c
d d d
a
b
c
d
EM
Datacenter 6 (Cloud Provider)
Trust Domain 6
Device Group 6.1 (LTM)
iApps in
the Cloud
Datacenter 5
Trust Domain 1 (spans
Datacenters)
Device Group 5.1 (LTM+ASM)
Device Group 5.2 (DSR-DAG)
Needs Hierarchical iApp
Active:
TG1-TG8
Stateful DAG
Active:
TG9-TG15
DG 1.2 (ASM)
L7
Tier
Device Group 5.3 (DSR-Supervip)
© F5 Networks, Inc.
129
Virtual Environments, the Cloud,
and the Dynamic Data Center
© F5 Networks, Inc.
130
Cloud Strategy and the Dynamic Data Center
• Focus on the Dynamic Data Center
• Dynamic management of the applications and network
• Data center consolidation
• Unified application management
• Hybrid cloud environments
• Virtual Editions + physical hardware
• Seamless management
• Storage tiering with ARX Cloud Extender (support for more
clouds)
© F5 Networks, Inc.
131
BIG-IP Product Module Virtual Editions
Module
LAB
Prod
200 Mbs
Prod
1 Gbps
Standalone
LTM
Add-on to
LTM VE only
APM
Module
GTM
LAB
Prod
200 Mbs
Prod
1 Gbps
NA
NA
Prod
Standalone
ASM
WOM
© F5 Networks, Inc.
132
Virtual Edition Roadmap
• VE for all modules
• Simplified licensing
• Enhanced performance and reduced memory footprint
• Production versions for XEN and Hyper-V
• Centralized management and third-party plug-ins (Microsoft,
VMware, etc…)
• Public cloud version(s)
© F5 Networks, Inc.
133
Platform Roadmap
© F5 Networks, Inc.
134
Platform Focus
• Best-of-breed high-performance appliance and chassis
based platforms
• Deep partnerships with major component vendors
• Drive component vendor roadmaps
• Visibility on 5+ year roadmaps
• Hardware offload to accelerate performance
(FPGAs, NPUs, etc…)
• Continue to enhance vCMP capabilities, scale, and density
© F5 Networks, Inc.
135
F5 Platforms: Purpose Built Hardware
Superior Performance, Scalability, Availability, and Quality
CPUs
CPU Assist
Classification
CPU
CPU
CPU
CPU
Compression
SSL
Flow Assist
…
…
Security
CPU
CPU
HSBe
Secure
Vault
USB
Control
Process
Ethernet
Switch
Serial
Ethernet
Always on Management
CMP Technology /
Ethernet Switch
Ethernet Interfaces
Packet Path
© F5 Networks, Inc.
136
VIPRION Chassis Architecture
• Single card type
• Each card includes Ethernet ports,
chassis management, and fabric
interface
• Backplane 100% passive
• Traffic directed with custom
patented Disaggregation FPGAs
• Linear scalability with zero
configuration changes
• Cards/CPUs can form CMP and
vCMP clusters
© F5 Networks, Inc.
137
FPGAs and BIG-IP
• Holistic and balanced system
architecture – All part of a
purpose built system
• BIOS, driver, and FPGA tuned for
highest system performance
• Field Upgradable
• Standards extensions
• Feature adds
• Bug fixes
• Etc.
© F5 Networks, Inc.
138
FPGA Critical Technology Evolution
Logic
BRAM
800
2000
700
1800
1600
600
1400
500
1200
400
Logic
1000
BRAM
800
300
600
200
400
100
200
0
0
1998
2000
2002
2005
2007
2010
2011
1998
2000
2005
2007
2010
2011
SERDES Speed
Number of SERDES
80
2002
30
70
25
60
20
50
15
40
Number of SERDES
30
10
20
5
10
0
0
2003
2005
2007
2009
2011
2003
2005
2007
2009
2011
© F5 Networks, Inc.
139
FPGAs Are Leading Edge Silicon
San Jose, Calif., April 18, 2011 – Altera Corporation
today announced it set an industry milestone in
semiconductor technology by delivering the most
transistors ever packed onto an integrated circuit. Altera's
28-nm Stratix V FPGAs are the semiconductor industry's
first devices to feature 3.9 billion transistors*. This level of
functionality delivers unparalleled performance to system
designers.
*For comparison, the Intel Sandy Bridge 4-Core processor is 995 million transistors
Source: Intel and Cisco – The Internet of Things
© F5 Networks, Inc.
140
HTTPS Everywhere
• Google Search
• Wikipedia
• Twitter
• Facebook
• The New York Times
• Paypal
• and many other sites!
© F5 Networks, Inc.
141
BIG-IP Appliances
11050
>42 Gbps
SSL Performance Options
8950
• >3x for 6900 & 8900s
• 10x coming for 11K Series
20 Gbps
11000
24 Gbps
8900
12 Gbps
6900
6 Gbps
3900
4 Gbps
3600
2 Gbps
1600
1 Gbps
1 – 40+ Gbps
© F5 Networks, Inc.
142
Next Generation Appliances
• 3 platform families (replaces 1600 – 8950)
• Next generation CPUs
• Hardware offload (custom FPGAs)
• Next generation of SSL hardware
Treadstone
Whitethorne
Stratos
•
•
•
•
1U Appliances
Low end
Up 7x performance
10 GbE Ports
•
•
•
•
•
•
1U and 2U variants
Low to mid range
Up 7x performance
SSL performance options
Hardware offload
10 GbE Ports
•
•
•
•
•
•
•
2U Appliances
Mid to upper end
>4-5x performance
SSL performance options
Hardware offload
>80 Gbps L4
10 GbE and 40 GbE Ports
© F5 Networks, Inc.
143
VIPRION 2400
• 4 slot chassis with @ 4 U high
• Full VIPRION architecture at
mid-market price
• Priced between 6900 and 8900
(chassis + 1 blade)
• Performance
• Up to 80 Gbps L7
• L4 with ePVA hardware – 160 Gbps per chassis
• 40 GbE ready
• SSL hardware acceleration (>230 kTPS)
• Compression offload
• On demand 10G ports (Up to 32)
• Multi-generation of blades – next generation in development
© F5 Networks, Inc.
144
Chassis Roadmap
VIPRION
P8 Chassis
ARMSTRONG
Next Generation
Centaur Blade
for VIPRION
• 2x performance of
PB200 VIPRION blade
• Target 320G L4 and 160G L7
• Next generation DAG and HSB
and ePVA
• Hardware compression
• NEBS option available
Availability: FY2012
•
•
•
•
8 slot chassis
Focus on Telco environments
2x performance of 4 slot chassis
Support Centaur and PB200
blades
• NEBS Compliant
Availability: FY2012
• Target Multi-100’s of Gbps per
blade
• 100 GbE ports
• Multi-terabit class chassis
• NEBS Compliant
Availability: FY2013/2014
© F5 Networks, Inc.
Worldwide Sales
Customer Wins and Sales Strategy
Mark Anderson
Senior Vice President of Worldwide Sales
146
Massive Penetration Opportunities
Fortune 500, EMEA FT500, APAC G2000
NA 2011
F500
EMEA 2011
FT500
APAC 2011
G2000*
Total F5 Networks
Customers
320
261
193
Penetration
64%
52%
46%
YoY Customer Growth
7%
7%
22%
% with greater than
50 installs
14%
8%
5%
% with fewer than
50 installs
86%
92%
95%
* There are 416 APAC based companies in the 2011 Global 2000 list.
© F5 Networks, Inc.
147
Headcount Growth
FY2003
35
93
9
27
164 Total
© F5 Networks, Inc.
148
Headcount Growth
FY2011
203
426
45
(657%)
(500%)
164
(458%)
(600%)
838 Total
Percentage based growth from 2003 to 2011
© F5 Networks, Inc.
149
Turning “Channels” into Partners
Fiscal 2011
• 2000 partners
• 70 distributors
• HP, Dell, HP and
Dimension Data as
Global SIs
• UNITY launched in APAC
(LATAM and China/India
remain)
• Over 2000 Partner
Accreditations
• New Managed Service
Partner (MSP) tier
Fiscal 2012
SI Focus
• Driving partners to open
new accounts
• New “Partner”
organization
• UNITY launch in LATAM,
China/India
• Deeper solution focus
with HP, IBM, and Dell
• Partner focus on pure
security initiatives/growth
• Dimension Data growth
WW
• Deeper partner
competency
(Accreditation,
Consulting, Certification)
• Deeper engagement with
Accenture, CSC, and
others
• Cloud partner initiatives
• New Global Tier with new
Global Services
(GUARDIAN)
© F5 Networks, Inc.
150
Field Enablement
© F5 Networks, Inc.
151
Sales Accreditation: Launched May 2011
• Designed In-House
• 32 field personnel
• 28 other participants (PM, PMM, BD, etc.)
• Partner involvement
• Customer Story Based
• Customer case studies and video testimonials
• Pop-up ‘Sales Tips’ Woven in
• Progress
STATS
F5
Partner
TOTAL
Took at least one module
889
1,815
2,704
Fully accredited
807
1,337
2,144
© F5 Networks, Inc.
152
Sales Accreditation
Foundation
• Welcome to F5
• Strategic Points of Control
• Extended Sales Team
Sales Opportunities
• Identifying F5 Opportunities
• BIG-IP: Application Delivery
Solutions
• ARX: Data Management Solutions
• Virtualization & Cloud Solutions
• Application Ready Solutions
Sales Best Practices
• Tips & Tools
• Bringing It All Together
© F5 Networks, Inc.
153
Sales Accreditation: Look & Feel
© F5 Networks, Inc.
154
Sales Accreditation: Look & Feel
© F5 Networks, Inc.
155
Sales Accreditation: Look & Feel
© F5 Networks, Inc.
156
Sales Accreditation: Look & Feel
© F5 Networks, Inc.
157
Sales Accreditation: Look & Feel
© F5 Networks, Inc.
158
Technical Accreditation
Core ADC
• TMOS
• Local Traffic Manager (LTM)
• Global Traffic Manager (GTM)
Security & Acceleration
•
•
•
•
•
Application Security Manager (ASM)
Application Policy Manager (APM)
WebAccelerator
WAN Optimization Manager (WOM)
Edge Gateway
Additional F5 Technology
• ARX
• Enterprise Manager
• BIG-IP Platforms
STATS
F5
Partner
TOTAL
Took at least one module
739
2,817
3,556
Fully accredited
434
1,100
1,534
© F5 Networks, Inc.
159
Technical Accreditation: Localization
© F5 Networks, Inc.
160
Onboarding 2.0
From a
One-Day Event
To On-Going
Professional
Development
With Measurable
Results
• Too passive
• F5 Sales Launchpad
• Faster ramp time
• Too short
• Sales and Technical
Accreditation
Programs
• Higher quality learning
• Too narrow
• Hands-on, team
oriented New Hire
Week
• New Hire ‘Community’
• Significant time
savings for managers
• Improved
productivity by
one full quarter
• Continuing education
© F5 Networks, Inc.
161
Onboarding 2.0
From a
One-Day Event
To On-Going
Professional
Development
With Measurable
Results
• Too passive
• F5 Sales Launchpad
• Faster ramp time
• Too short
• Sales and Technical
Accreditation
Programs
• Higher quality learning
• Too narrow
• Hands-on, team
oriented New Hire
Week
• New Hire ‘Community’
• Significant time
savings for managers
• Improved
productivity by
one full quarter
• Continuing education
© F5 Networks, Inc.
162
Average Quarterly Bookings by Tenure
Salesforce Productivity: FY2011
0 - 6 months 6 - 12 months
1 - 2 years
2 - 3 years
> 3 years
© F5 Networks, Inc.
163
Million Dollar Accounts
• 33% more accounts
• Associated bookings up 89%
© F5 Networks, Inc.
164
F5 Customers Purchase More Over Time
Typical large F5 customer spending curve
F5 customer spending based on the top 50 customers (2004-2011)
Average
Yearly
Bookings
(thousands)
Source: F5 Sales Operations (salesforce.com data)
Top 50 customers excludes US, PRC, and Singapore governments.
Year
© F5 Networks, Inc.
165
Real Wins, Real Money
© F5 Networks, Inc.
166
Americas: Software Customer Win
USE CASE
Scalable IDC Firewall
Products
8x VIPRION 4400; 24x PB 200 Blades with Routing and Max SSL;
4x BIG-IP 6900
Services
3 years Premium Support
Value
Total - $2.2M P&I
Sales Cycle
3 months
Why we won
•
Customer was rolling out cProject that would increase its
connections by 4-8x. Legacy solution couldn’t handle its needs.
•
Customer realized F5 could handle its scaling challenge with a 2tier design (F5 VIPRION devices for SSL and L4 FW and 6900s
handling internal connections, iRules, monitors, traffic flows to
applications). The customer liked the fact that we are a deny by
default solution. Pending ICSA certification was adequate.
•
VERY SHORT launch timeline.
© F5 Networks, Inc.
167
Americas: Major Bank Customer Win
USE CASE
Next Generation IDC Firewall
Products
BIG-IP 11050E / 8950E platforms, BIG-IP ASM
Services
Premium Service; Consulting – dedicated on-site
Value
FY11 $2.4M Services / $8.7M BIG-IP / BIG-IP ASM $326K
Sales Cycle
BIG-IP ASM <1 month, with follow-on transactions
Why we won
•
Customer had urgent need to stop and block Internet-based
Distributed Denial of Service attacks.
•
Legacy firewalls “tipped over.”
•
Designed protection architecture on the fly. Team moved on-site
production systems into outward-facing FW mode to shield against
attacks.
•
Shipped replacement systems overnight.
•
Superior combination of technology provides ultra-high capacity
and programmable intelligence for absorbing and blocking
unwanted attack traffic.
© F5 Networks, Inc.
168
U.S. Fed Win: Intelligence
USE CASE
Consolidation and Technology Refresh
Products
20x BIG-IP LTM 3900, 11x BIG-IP GTM 1600, 2x 3900 BIG-IP APM,
12x ACA
Services
Premium Support
Value
$1.14M
Sales Cycle
7 months
Why we won
•
Unsolicited proposal to upgrade BIG-IP LTM and BIG-IP GTM
devices.
•
Changed long-time customer’s vision of F5 from load balancing to
ADC with authentication capabilities.
•
Added ACA and APM to standardize F5 as authentication baseline
for all mission-critical applications.
•
Used cleared F5 resources and cleared VAR partner to sell up the
organization and capture Q4 budget.
© F5 Networks, Inc.
169
Americas: Service Provider Strategic Win
USE CASE
Next Gen Voice Platform (Voice over LTE)
Products
Non-production labs: 10x BIG-IP LTM 11050, 8x BIG-IP GTM 3900,
14x VIPRION chassis with 32x B4100-N blades
Services
Non-production, Standard support
Value
$3.65M total 2011 Rev (Lab), Prod expected in 1H 2012
Sales Cycle
12 months (including 9-month eval)
Why we won
•
SIP delivery and iRules experience led to development of
Universal Voice Platform (UVP) and associated new services such
as LTE, Encore, and Unified Comms.
•
Includes porting/migrating existing VoLTE and CVoIP services to
UVP, integration of IMS Centralized Services to legacy 2G/3G
networks and LTE Evolved Packet Core (EPC).
SI Partner
Ericsson
© F5 Networks, Inc.
170
EMEA: Financial Institution Win
USE CASE
Scalable Remote Access
Products
20x FirePass 4300, 12x BIG-IP GTM 1600, 16x BIG-IP LTM 1600,
6x BIG-IP LTM 3900, BIG-IP APM licensing covering 15K users
Services
Premium Support, Training, Consulting
Value
$1,400,000 (two orders)
Sales Cycle
7 months
Why we won
•
‘In-office experience’ at home on either a corporate asset or a
private asset.
•
Meets the bank’s IT savings target and contributes toward the
bank’s reduction on real estate costs in major cities.
•
Chosen as the only technology provider to meet all POC objectives
technically.
© F5 Networks, Inc.
171
EMEA: ‘New Customer’ Insurance Win
USE CASE
File System Consolidation and Tiering
Products
4x ARX 4000, 4 x ARX 2500
Services
Premium Support with 4-Hour RMA, Consulting
Value
$780K – P+I, consulting
Sales Cycle
~10 months
Why we won
•
Customer had a migration project requiring 80 TB of file data to be
consolidated onto 14 four-node Windows 2008 clusters. Legacy tools
would have taken 4-5 months, affecting 50,000 internal users.
•
ARX allowed them to migrate data non-disruptively, performing the
consolidation project in weeks with ZERO disruption.
•
Customer‘s second project to offer multiple tiers of storage to internal
users to help reduce its storage costs. ARX delivered unrivaled
performance on the existing platform and helped simplify the
management of its storage pools to further reduce its operational costs.
•
Using now as a proof of concept for APAC.
© F5 Networks, Inc.
172
EMEA: Service Provider Win
USE CASE
Carrier Grade Nat (CGN)
Products
8x VIPRION 4400 BIG-IP LTM
Services
Premium Support, training
Value
$789K (Total FY11 business $2.3M)
Sales Cycle
2 months
Why we won
•
Exceeded customer’s technical and cost objectives for CGN and
the transformation to IPv6.
•
Firewall replacement use case pitched; FW replacement project in
FY12 – will decommission legacy.
•
WAP GW decommission by adding “header enrichment
capabilities.”
© F5 Networks, Inc.
173
AP/J: Large Chinese Bank Win
USE CASE
Next Generation Data Center Build-out (Consolidation)
Products
74x BIG-IP 6900 + WebAccelerator module, Enterprise Manager
4000, 18x BIG-IP 3600 Enterprise
Services
Premium support; dedicated on-site support
Value
$ 1.815M
Sales Cycle
12 months
Why we won
•
Customer was deploying Shared Application Delivery Platform to
serve all banking applications used in branch and province
(regional) DC level.
•
F5 positioned early on as strategic point of control delivering
intelligence, performance, and security for L4/L7.
•
Disaster recovery performance and scale.
•
Customer paid a significant premium on P+I over multi-box
solutions from competition.
© F5 Networks, Inc.
174
AP/J: Power Company Win
USE CASE
Next Generation Data Center, ADC Consolidation
Products
4x BIG-IP LTM 8900
Services
L3 Standard Support
Value
$289K
Sales Cycle
12 months
Why we won
•
Emergency build of new DC, opportunity to sunset Cisco and F5
legacy products.
•
Customer selected BIG-IP because it had stability, reliability, and
performance.
•
Ability to express-ship solutions.
•
Long-term relationship with customer’s System Integrators.
© F5 Networks, Inc.
175
AP/J: Service Provider Strategic Win
USE CASE
Scalable, Cost-effective - Gi Firewall
Products
Existing VIPRION 4400 BIG-IP LTM
Services
Premium Support & Consulting
Value
$1M over next 12 months with PB200 growth
Sales Cycle
6 months positioning F5 Service Delivery Architecture
Why we won
•
Account team have been positioning F5 SDA and capabilities for 6
months to various architecture teams across customer.
•
Customer was experiencing DDoS Syn attacks on mobile network
consuming up to 50% of radio bandwidth. Multiple ‘traditional’ FW
vendors failed scale test.
•
Existing VIPRION devices purchased for optimization project
rushed into production and F5 Consulting implemented solution
overnight.
SI Partners
Huawei and NSN saved millions in having to develop and upgrade
code for thousands of RAN nodes.
© F5 Networks, Inc.
176
Same Customer: Follow on Win
USE CASE
CGNAT Logging for Legal Intercept
Products
2x VIPRION 2400 BIG-IP LTM and 5x BIG-IP LTM 3900
Services
Premium Support, 20 days Professional Services
Value
Initial value $320K P&I plus potential 12-month growth $1M+
Sales Cycle
2-month sales cycle; 6-month education on F5 capabilities
Why we won
•
Customer purchased Juniper MX960s for CGNAT. Syslogs from
Juniper proved too large, cumbersome, and not customizable,
therefore: logging for LI requirements was unmanageable.
•
We positioned LTM with iRules to customize and cut down logs at
Juniper end on 3900s, reducing compute and storage
requirements SIGNIFICANTLY! VIPRION 2400s chosen as ADC
platform moving forward in LI data center to take logging and
record feeds from hundreds of platforms.
Competition
Competition 40% cheaper. Customer chose F5 because of iRules
flexibility and trust.
© F5 Networks, Inc.
177
AP/J: Service Provider Win
USE CASE
Mobile Network Capacity Optimization NAT/DNS64
& ALG/Firewall
Products
8x VIPRION C4400 chassis, fully loaded with 4x PB200 blades
Services
Premium Level 1-3 + RMA 3
Value
$1.9m USD P+I
Sales Cycle
9 months (including 1 month Proof of Concept)
Why we won
•
Performance of the VIPRION platform allowed for immediate
growth plus planned exponential growth in mobile traffic.
•
Performance of NAT64 and DNS64 far exceeded expectations with
small impact on overall platform performance.
•
Firewall POC underway ON EXISTING FOOTPRINT.
•
Allowed for consolidation of platforms (reduced footprint/energy)
and lower overall cost by combining network functions onto a
single hardware platform.
•
Competitors won’t have ALG functionality until Dec 2012.
© F5 Networks, Inc.
178
AP/J: Service Provider/Cloud Win
USE CASE
Platform as a Service (PaaS) Product Introduction
Products
8x VIPRION 4400 chassis, 8x blades, 7x advanced routing modules,
2x BIG-IP ASM modules
Services
Premium Support, Consulting
Value
$ 516K
Sales Cycle
12 months
Why we won
•
The company is building its public cloud services infrastructure to
provide PaaS to its customers.
•
Major win against incumbent.
•
F5 cloud and virtualization story and positioning story – VMware
and cloud success stories such as Rackspace, GoGrid Bluelock
etc.
•
F5 virtualization solutions – vCMP, multi-tenancy with admin
partitions.
•
Superior performance, scalability, and manageability solution.
•
F5 Executive team support.
© F5 Networks, Inc.
179
Emerging Asia: Service Provider Win
USE CASE
Diameter Scaling, PCRF Enhancement
Products
VIPRION 2400 (6 blades + 6 chassis)
Services
L 1-3, 12 months
Value
$ 437K
Sales Cycle
3 months
Why we won
•
Customer needed to improve its PCRF capabilities (Policy
charging and rules function) to cope with massive data traffic
growth.
•
F5 was deployed in the packet core network to provide DIAMETER
traffic management with iRules.
•
With F5 solution customer was able to achieve the scalability and
flexibility of services that the company provides to its subscribers
and to cope with the constantly growing data traffic. It also
improved its billing accuracy.
Partner
Ericsson
© F5 Networks, Inc.
Services Update
Julian Eames
Senior Vice President of Business Operations
181
2011 In Review
• Revenue growth YoY 34%
• Training, consulting, and installation growth 65%
• Services Delivery reorganization start of year led to:
•
•
•
•
Improved consistency NPI process
Strong rollout of iHealth
Improved customer sat results in EMEA
Strong hiring and robust delivery as call volumes grow
• Increased IB
• Uptake v10
• Uptake v11
© F5 Networks, Inc.
182
Customer Satisfaction Survey Results
© F5 Networks, Inc.
183
Q4 FY11 Regional Support Customer Sat
© F5 Networks, Inc.
184
Q4 FY11 Support: Customer Loyalty
80%
70%
How likely would you be to
recommend F5 to colleagues based
on your support experiences?
67%
60%
50%
40%
29%
30%
20%
10%
2%
2%
Don't know
Unlikely
0%
0%
Very likely
Likely
Very unlikely
© F5 Networks, Inc.
185
Other Kinds of Satisfaction
• Data collection: Apr-May 2011 (1096 completes)
Margin of error is +/-2.2% at 95% confidence (industry standard is +/-5%)
• Satmetrix considers 50 and above excellent. Apple’s corporate
wide score is approximately 72
Valid invites sent
Completion rate
Survey completes
Panel customers
22,998
8.3%
1,918
700+
• SAT and NPS scores edge up
49.51% for Survey #1
(822 respondents)
-
NPS =
Promoters
50.91% for Survey #2
(1096 respondents)
(n=1918)
50.31%
62.41%
Detractors
12.10%
© F5 Networks, Inc.
186
AskF5 Increases Efficiency
Q42009 to Q42011
44% Increase in Install Base
34% Increase in Cases
70% Increase in Page Views
© F5 Networks, Inc.
187
BIG-IP iHealth Utilization
© F5 Networks, Inc.
188
Millions
Service Revenue
© F5 Networks, Inc.
189
2011 Attach Rate Improvements
by Year Product Shipped
(0.7) PP
© F5 Networks, Inc.
190
Millions
Deferred Service Maintenance
© F5 Networks, Inc.
191
Four Areas: Focus 2012
1.
Service Delivery
2.
Certification
3.
Consulting Strategy
4.
One Team
© F5 Networks, Inc.
192
2012 Plans: Service Delivery
• Service Delivery
• Maintain quality hiring and onboarding
• Replace Clarify system with Siebel
• Google search AskF5
• iHealth to include End Users Diagnostics functionality
• Service Provider focus
• Security Market focus
© F5 Networks, Inc.
193
2012 Plans: Certification Program
• Certification Program
• Complete revamp
• Manager hired
• Program Objective: Increase F5 revenue and customer
satisfaction by improving the skill base of sellers,
implementers, and users of F5 solutions
© F5 Networks, Inc.
194
Certification Tracks
Program Development
Application Delivery Architect
Availability
Engineer
LTM
GTM
Security
Engineer
ASM
Optimization
Engineer
APM
WA/
WOM
iRules
iApps
Developer
Developer
BIG-IP Operator
F5 Fundamentals
© F5 Networks, Inc.
195
2012 Plans: Consulting Services
• Charter: To develop services that leverage product sales
• Reviewed sales in 2007 over $1M, tracked product sales
next 3 years for those that purchased consulting and training
against those did not
• Those that did, purchased 22% more product and created
50% less PI support center cases
• Strategy “development” team and process in place
© F5 Networks, Inc.
196
Existing
Non-established customers
SOW/POC potential
Reference products
Medium/High cost of sale
Partner Incentive Program
Established customers
Accepted products
Standard deliverables
Low cost of sale
Primary Partner Engagement
New
Products
Predicted Engagement Model
Targeted strategic accounts
New emerging markets
New industry focus
Strategic Partners
F5 Direct
Established customers
New product introduction
Medium cost of sale
Secondary Partner
Engagement
New
Existing
Customers
© F5 Networks, Inc.
197
Existing
Non-established customers
SOW/POC potential
Reference products
Medium/High cost of sale
Partner Incentive Program
Established customers
Accepted products
Standard deliverables
Low cost of sale
Primary Partner Engagement
New
Products
Predicted Engagement Model
Targeted strategic Accounts
New emerging Markets
New Industry Focus
Strategic Partners
F5 Direct
Established customers
New product introduction
Medium cost of sale
Secondary Partner
Engagement
New
Existing
Customers
© F5 Networks, Inc.
198
One Team
• Service Sales for every Product Sales Region
• Service Maintenance upsell
• Professional Services with every sale, from F5 or Partner
• Professional Services UNITY Program
© F5 Networks, Inc.
Business Development Strategic
Partner Update
Jim Ritchings
Vice President of Business Development
200
Agenda
• Partnership Updates
•
•
•
•
•
•
VMware
Microsoft
Oracle
Dell
HP
IBM
• Service Provider Partners
© F5 Networks, Inc.
201
F5 and VMware
A rapidly expanding partnership with a portfolio of solutions that create
demand by addressing key customer requirements
IT Infrastructure Flexibility
•
•
•
•
Enabling Long Distance vMotion
Cloud Bursting with vCloud Director
Disaster Recovery with SRM
vCenter Integration
Efficiency & Productivity
• Improved VM Density with BIG-IP
and vSphere
• Streamlined Access, Increased
Performance, and Improved Server
Utilization for VMware View VDI
Keys to Continued Growth:
• Drive View VDI Solution
• Growing Channel leverage
• V11 - including iApp repository
• Engage and Educate VMware field teams
• Continued Global Marketing and Messaging
Campaigns
© F5 Networks, Inc.
202
F5 Named Global Technology Innovator
Partner of the Year, February 2011
© F5 Networks, Inc.
203
Case Study
Large Energy Company
• Industry
• Oil & Gas
• Challenge
•
•
Deploying VDI to support 5,000+ employees across multiple data centers.
Users distributed globally in remote locations. Secure iPad access was critical.
• Solution
•
VMware View and BIG-IP LTM, BIG-IP GTM, BIG-IP APM
• Benefit
•
•
•
POC operational within a week. Production roll-out on schedule.
Global availability. iPad access for employees.
Secure remote access to traveling employees and branch offices.
• Results for F5
•
•
•
Project win approximately $500K.
POC for other vendor was cancelled, unused equipment was returned.
Opened the door to many other application networking requirements.
© F5 Networks, Inc.
204
Application Partners
© F5 Networks, Inc.
205
Top Ten Applications (Q4 FY11)
1. Microsoft Exchange 2010
2. Microsoft IIS
3. Oracle Fusion Middleware
4. Microsoft SharePoint 2010
5. IBM WebSphere
6. Oracle Siebel CRM
7. SAP Portal
8. Microsoft Windows Server
9. Oracle 11i E-Business Suite
10.Oracle Database
© F5 Networks, Inc.
206
F5 and Microsoft
• Why we win with Microsoft:
•
Very strong Solution Portfolio and Go-to-Market Programs:
•
Unified Communications and Collaboration (UC&C):
Exchange, SharePoint, and Lync
•
Windows: Windows Server, RDS (WTS), IIS, etc.
• Keys to continued growth:
•
Exchange and SharePoint Solutions
•
Continued education and enablement:
•
•
MSFT pre-sales experts
•
F5 Sales teams
System Center
•
F5 Channel and SIs
SSTP
RDS /Terminal
Services
IIS/ASP.NET
V11 solution refresh
•
•
Dynamics
SharePoint
Exchange
Lync
Forefront
Growing repository of iApps
Emphasis on security in conjunction with UC&C
Windows
© F5 Networks, Inc.
207
F5 and Oracle
Complete Solution Stack and Go-to-Market
Oracle Stack
F5 Solutions
© F5 Networks, Inc.
208
F5 and Oracle
Complete Solution Stack and Go-to-Market
Oracle Stack
F5 Solutions
© F5 Networks, Inc.
209
F5 and Oracle
Complete Solution Stack and Go-to-Market
Oracle Stack
F5 Solutions
© F5 Networks, Inc.
210
F5 and Oracle
Complete Solution Stack and Go-to-Market
Oracle Stack
F5 Solutions
© F5 Networks, Inc.
211
Data Center Partners
© F5 Networks, Inc.
212
F5 and Dell
For more than 10 years, F5 and Dell have partnered very closely at HQ and
in the Field to develop a mutually beneficial strategic partnership
Global Channel
Partner/SI
• Strong Global Sales Collaboration
• VMware, Oracle, and Microsoft Solutions
• Strong Marketing, Sales Training, and
Social Media Campaigns to drive
demand
Global Infrastructure
Services Provider
• Jointly developed Packaged Solutions
with Dell Global Infrastructure Services
• IPv6
• Virtualization
• Training and Enablement of Dell team
Keys to Continued Growth:
• Microsoft and Oracle Solution Bundles
• Growth of GICS Portfolio
• VMware Solutions- including View VDI
• Formal alignment with Dell Networking
• Showcase Solutions in Dell Solution
Centers
© F5 Networks, Inc.
213
F5 and HP
F5 partners with HP Enterprise Services and HP Technology Services to build
and bring to market a growing portfolio of data center solution offerings
HP Enterprise Services
HP Technology Services
• “Sell To” - F5 is the ADC Standard for HP
Enterprise Services and HP IT
• Complement HP’s Networking products
to provide customers with complete
network architectures
• “Sell Through” - Growing Global Reseller
Relationship
• Jointly developed Packaged Solutions
with Network Consulting Services
• IPv6
• Microsoft Solutions
Keys to Continued Growth:
• Enterprise Services
•
•
•
•
Expansion of portfolio
Network refresh
Competitive replacements
Private cloud offering
• Technology Services
•
•
•
Global Field alignment
Training of NCS engineers
Marketing of joint solutions
© F5 Networks, Inc.
214
F5 and IBM
F5 partners with IBM Global Technology Services, IBM Software Group, and
the IBM Sales and Distribution organization to deliver Dynamic Data Center
solutions to our customers
IBM GTS
• Application Performance
Optimization
• End-to-End Data Center
Networks
• Outsourcing
• Cloud Offerings
IBM Software
• Application Optimization
Solutions:
• WebSphere
IBM Sales &
Distribution
• Alliance to Win Program
• Access to IBM Field
• Formal Marketing Programs
• Tivoli
• Notes
Keys to Continued Growth:
• Leveraging S & D to drive field alignment
around new and existing solutions
• Territory-based and Account-based
engagement
• Training, Messaging for IBM Sales
• Cloud Solutions
• CSP2
• Smart Cloud Enterprise
© F5 Networks, Inc.
215
F5 Dynamic Provisioning in the
IBM Smart Cloud Enterprise
Primary Data Center
IBM SCE
Hypervisor
BIG-IP LTM has the ability to:
Hypervisor
• Power-on additional instances in the IBM SCE when
local applications surpass a certain threshold
• Automatically add cloud instances to its pool of
resources
• Bleed connections and eventually power down
instances when no longer needed
© F5 Networks, Inc.
216
Service Provider Alliances
© F5 Networks, Inc.
217
Service Provider Alliance Partners
Incremental
Revenue
Increase
Reach
Embedded Solution Partners 
 Technology Alliances
Complete
Solutions
Market
Awareness
© F5 Networks, Inc.
218
Summary
Our opportunity continues to expand with our Strategic Partners
• Keys to Growth for FY2012:
• Enterprise
• Data Center Agility Including Virtualization and Cloud
• Application, Middleware, and Database Solutions
• Security
• Service Provider
• Grow the Partner Ecosystem
• Integrated Solutions with Embedded Partners and Integrators
• Continued Investments with All Key Partners
• Solutions
• Marketing
• Field Enablement and Education
© F5 Networks, Inc.
Business Model Overview,
Financial Outlook
Cooper Werner
Vice President, Finance
220
F5: Fiscal Year-End Highlights
Continued Market/Technology Leader in Application Delivery Networking
Revenue Growth
• Total revenue up 31%
year-over-year
• Product revenue up
29% year-over-year
• Sequential growth
throughout the year
• Growth across all
geographic regions
Solid Profitability
• Non-GAAP Gross
margin: 82.8% in FY11,
up from 81.3% in FY10
• Non-GAAP Operating
Margin: 38.6% in Q4,
38.2% for FY11
Healthy
Balance Sheet
• Zero debt
• Strong cash flow from
operations: $417 million
in FY11
• > $1.0 billion in cash
and investments
• Deferred revenue:
$343.3 million, up
32.3% year-over-year
© F5 Networks, Inc.
221
FY 2010 vs FY 2011
Revenue
Net Income
Cash Flow from
Operations
Headcount
© F5 Networks, Inc.
222
Revenue Breakout
Total Revenue
Revenue by Region
Japan
(7%)
APAC
(13%)
EMEA
(20%)
Revenue by Industry Vertical
Americas
(60%)
Non-GAAP Gross Margins
Technology
(19%)
Other
(24%)
US Federal (7%)
Telco
(26%)
Government
(excl US Federal)
(5%)
Financial
(19%)
Product
Service
© F5 Networks, Inc.
223
Revenue Trends: Product and Service
Service
$ Millions
Product
© F5 Networks, Inc.
224
Revenue Trends: Geography
EMEA
APAC
Americas
$ Millions
Japan
© F5 Networks, Inc.
225
Revenue Trends: Industry Verticals
Financial
Technology
Telco
Govt ex Federal
Federal
Other
© F5 Networks, Inc.
226
Deal Trends
($000)
Average Order Size
WW BIG IP Revenue Mix
$100
$90
$80
$70
$60
$50
$40
$30
$20
$10
$0
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
FY09
FY10
FY11
High End
Low End
FY09
FY10
FY11
New vs Repeat Business
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
Repeat
New
FY09
FY10
FY11
© F5 Networks, Inc.
227
Business Model Trends
Headcount
Gross Margin
(Non-GAAP)
Operating Margin
(Non-GAAP)
EPS
(Non-GAAP)
© F5 Networks, Inc.
228
Balance Sheet Trends
Deferred Revenue
DSO
Cash Flow from Operations
Cash & Investments/Share
Repurchase
© F5 Networks, Inc.
229
Headcount
FINANCE/OPS
270 (11%)
PROFESSIONAL
SERVICES
551 (22%)
MANUFACTURING
46 (2%)
SALES (QUOTA)
291 (12%)
PRODUCT
DEVELOPMENT
610 (25%)
SALES (SUPPORT)
547 (22%)
MARKETING
173 (7%)
© F5 Networks, Inc.
230
4Q 2011 Results / 1Q 2012 Targets
Q4 Actual
Q1 Guidance
Revenue
$314.6
$315–320
Gross Margin (GAAP)
82.2%
82% +/- 50bp
Operating Expenses (GAAP)
$159.4
$161–165
EPS (GAAP)
EPS (non-GAAP)
$0.84
$1.06
$0.79–0.81
$0.99–1.01
47 days
Mid 40s
Inventory
$17.1
$16-18
Cash Flow from Operations
$121.5
> $130
DSO
Dollar amounts in millions except EPS
© F5 Networks, Inc.
231
FY12 Planning Assumptions
• 20%+ revenue growth, YoY
• Q1 seasonality; product revenue growth acceleration Q2
• Assumes stable macro environment
• Gross margins steady through the year at Q1 levels
• Non-GAAP operating margin at or around 38% for the year
• Could be seasonally lower Q1
• Stock-based compensation expense at Q1 levels until next
annual grant in August
• CapEx approximately $6-12 million per quarter
• Annual Tax Rates
• GAAP: 35%
• Non GAAP: 33.5%
© F5 Networks, Inc.
Wrap-Up
John McAdam
President and Chief Executive Officer
© 2011 F5 Networks, Inc. All rights reserved. F5, F5 Networks, the F5 logo, BIG-IP, ARX, FirePass, iControl, iRules, TMOS,
and VIPRION are registered trademarks of F5 Networks, Inc. in the U.S. and in certain other countries