Download - Welcome to SoftSummit 2010
Welcome to
SoftSummit 2010!
October 11 – 13, 2010
Hilton San Jose
San Jose, CA
Flexera Software
Overview and Vision
Mark Bishof
President and Chief Executive Officer
Flexera Software
Agenda
• Flexera Software Business Update
• The World is Changing
• Flexera Software’s Role
Flexera Software
Business Update
Flexera Software Summary
Industry Leadership
Strong Management
Broad Growth
Opportunities
Blue Chip Customers
Strong Financial Profile
Application Usage Management
Leading supplier of solutions enabling software producers to
optimize revenues and enterprises to maximize value
Seasoned, experienced management team
• Software Entitlement Management Solutions
• Installation & Packaging Solutions
• Enterprise License Optimization
• $140m in revenue
• $50m in EBIDTA
• Strong run-rate revenue profile
Forces Driving Application Usage ManagementApplications Have Turned Strategic
Producers of
Applications• Drive revenue &
protect assets
• Mature
monetization
• Position for
usage-based
future
Consumers of
Applications• Avoid surprises
• Step beyond
discounts
• Globalize usage
• Rationalization
of supplyTipping
Point
Application Usage Management “System”
Strategic
Solutions for
Application
Usage
Management
Producers of
Applications• Drive revenue
& protect
assets
• Mature
monetization
• Position for
usage-based
future
Consumers of
Applications• Avoid surprises
• Step beyond
discounts
• Globalize
usage
• Rationalization
of supply
Applications Have Turned Strategic
Software & Hardware Producers Enterprises & Government
Application Readiness• Application discovery and
identification
• Compatibility testing
• Planning
• Fixing & Packaging
• Deployment
Enterprise License
Optimization• Application discovery
• Inventory
• Entitlement management
• Usage collection/aggregation
• Reconciliation
• Optimization
Entitlement & Compliance
Management• Entitlement management
licensing
• Electronic software delivery
• Compliance
• Analytics
Installation• Windows installation
development
• Cross-platform installation
development
Flexera
Software
SolutionsFlexera
Software
Solutions
Market Leading Brands in Each Segment
#1 Market share
Entitlement & Compliance Management
• 3,000+ ISVs and Device Manufacturers
• 200,000,000 PC’s Receiving Software
Downloads and Updates
• 250,000,000 Installations Licensed
#1 Market share
Enterprise License Optimization
• 8 of top 10 Aerospace & Defense
• 6 of top 12 Semiconductor
• 5 of top 10 Oil and Gas
• Over 500 Enterprise Customers
#1 Market share
Software Installation
• 30,000+ Enterprises
• 30,000+ ISVs
• 500,000,000 Installations
#1 Market share
Application Packaging
• Over 1 million applications reliably and rapidly
packaged
• Distributed by 3 of the top 4 PC Life Cycle
Configuration Management Vendors
• 10,000+ Enterprises
The World is Changing
Source: IBM
Source: IBM
Source: IBM
Source: IBM
Source: IBM
What Does This Mean to You (and Us)?
• Implications on applications• Applications everywhere—the cloud, virtual
environments, on-premises
• Smarter applications that connect with and
obtain more timely and complete
information from other apps, sensors, etc.
• Customer expectations for greater
flexibility—subscription, pay-per-use, etc.
• Strategic enablers• Protection of intellectual property
• Flexibility to quickly adapt business models
and deployment methods
• Greater insights into who owns what—
promote cross-/up-sell, maintenance
• Help customers achieve
continuous compliance
Software VendorMarket Trends & Business Challenges
• Market Trends• Mergers & acquisitions on the rise
• New license revenues declining leading to
increase in audits
• Compliance concerns
• Don’t know who their customers are and
what they are entitled to
• Customers increasingly interested in
usage-based models
• Business Challenges• Maximizing revenues
• Ensuring compliance across increasingly
global customer base
• Delivering a consistent experience to
customers
• Managing operating costs
High-Tech ManufacturersMarket Trends & Business Challenges
• Market Trends• Hardware commoditization
• Value migrating to applications
• Devices becoming internet connected
• Functional convergence –
multi-function devices
• Configure-to-order postponement
strategies
• Business Challenges• Monetizing applications and protecting
intellectual property
• Managing a software business in a
manufacturing company
• Delivering customers an excellent
experience
2008 201420122010
18,000
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
Mobile Devices, Consumer Electronics,
Automobile,
Industrial Machines, Appliances, Toys,
and Other
Embedded Equipment
Traditional Computers & Communications Equipment
Millions of Communicating Devices WW*
* Excludes voice- and SMS-only phonesSource: IDC Device Base Model, 2009
Enterprises & GovernmentsMarket Trends & Business Challenges
Market Trends• Don’t know what apps are owned/used
• Software audits are increasing
• No controls over software spend—ad
hoc contracts and purchases
• Compliance risk—made worse by M&A
• Reduced headcount and budgets
• SaaS, virtualization, cloud
Business Challenges• Buy what you need, use what you have
• Continuous compliance
• Optimize applications at usage level
• Maximize value
Flexera Software’s Role
Applications Have Turned Strategic
Software & Hardware Producers Enterprises & Government
Application Readiness• Application discovery and
identification
• Compatibility testing
• Planning
• Fixing & Packaging
• Deployment
Enterprise License
Optimization• Application discovery
• Inventory
• Entitlement management
• Usage collection/aggregation
• Reconciliation
• Optimization
Entitlement & Compliance
Management• Entitlement management
licensing
• Electronic software delivery
• Compliance
• Analytics
Installation• Windows installation
development
• Cross-platform installation
development
Flexera
Software
SolutionsFlexera
Software
Solutions
Continuous Compliance & Optimization Platform
Producers of
Applications
Portal
Consumers of
Applications
Portal
Contracts & Entitlements
Inventory & Usage
Continuous
Compliance &
Optimization
Portal
SaaS Business Challenges and Strategies
SaaS providers are losing 40-60% of
potential revenues to credential sharing
abuse
SaaS providers have a “one size fits all”
approach to licensing, leaving potential
customers and revenues out
License (e.g. annual, concurrent use etc)
service according to how customers want
to pay for access
Example: ESRI offers a day-pass
for some products
Protect service against revenue leakage
to credential sharing
Many pure-play SaaS companies have
“one-size fits all” packaging resulting in
missed revenues. SaaS business models
need to change on a dime to address an
evolving market.
Example: NetSuite has only two options:
NetSuite and NetSuite CRM+
Package and price offerings to match
what customers want to buy WITHOUT
involving engineering
CHALLENGES STRATEGIES
Announcing: Flexera Software Solutions for SaaSGrowing SaaS Revenues
• Define service bundles based on features
• Create entitlements for service bundles
• Provision SaaS users based on entitlements
• Automate subscription management, up-
/cross-sells
• Gain customer insights on products and version
• Define and enforce license models (e.g.,
concurrent use, annual, trials) and usage policies
• Augment user credentials with machine
identities to formulate license usage policies
• Available today via market leading and proven
FlexNet Publisher (licensing) and FlexNet
Operations (entitlement and subscription
management) solutions
SaaSServices
Sue Jan
High-Tech Mfr Business Challenges & Strategies
Service providers need to provision capacity
to meet peak demand which leads to
unused capacity during off-peak periods
Service providers and branch office
locations need to reduce power
consumption, space and administrative
costs
Consolidate many capabilities into one
device
Allow service providers to dial up/dial
down capacity on-demand without
deploying hardware, eliminating unused
hardware
Device manufacturers face eroding
margins on hardware products
Push hardware costs to end customers
by making device capabilities available as
pure software
Enable up- and cross-sell revenues by
delivering capabilities as software add-ons
or on a trial basis
CHALLENGES STRATEGIES
Announcing: Flexera Software Solutions for Virtual AppliancesProtect Margins, Enable Cross-/Up-sells and Flexible Capacity Models
• Protect intellectual property
• Automate capacity and capability
provisioning and de-provisioning
• Enable field-upgrade of capacity and
capabilities for virtual appliances
• Report deployment of virtual appliances
provisioned to FlexNet Operations
• Automate cross-/up-sells of capabilities
• Compare capacity and capabilities owned
versus deployed by an end customer
• Available today via market leading and proven
FlexNet Embedded (licensing) and FlexNet
Operations (entitlement management) solutions
For more information on our
cloud/SaaS offerings
Tuesday, October 12th
Technical Track – Licensing
11:30 am – 12:30 pm
Taking on the Cloud!
Thank You for Coming!
Please welcome…
Tom Reilly
Chief Executive Officer
ArcSight