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									Next Generation Optimized Desktop Storyline
Client Computing Choices
Essential Points to Land:

   1. Complexity of OS migration, specifically in
      the context of Windows XP Windows 7

   2. Windows 7 is an Inflection Point: Customers
      are using it to think broadly about their client
      computing environment

   3. They now have a wide range of choices:
      trends in business (tightening budgets,
      mobility) and technology (virtualization, cloud
      services,) are generating questions about how best to decide

   4. Don’t make a decision on OS migration alone: You need a full desktop strategy


Customers have been on Windows XP for nearly 10 years. In that decade, many things have
changed both in business and technology. Windows 7 is a catalyst that is causing customers to
reconsider their client computing environment through the lens of making people productive –
wherever they are -- while managing cost. Half of IT Pros are looking to deploy Windows 7
(Citibank), and two-thirds of firms expect to migrate to Windows 7 at some point (Forrester:
Windows 7 Commercial Adoption Outlook). They have lots of questions about how to achieve
this, like:

How do I manage costs?

According to IDC, the TCO of desktops can range widely, anywhere from $230 to $1320 per PC
annually. Where organizations end up within this range depends on many factors, which we will
discuss later in the presentation.

Should employees bring their own PCs to work?

Organizations are at risk of losing their brightest and most ambitious young employees if they
cannot provide the computing environment the “digital native” generation is accustomed to.
Although the present economic climate has shifted the balance of power in recruiting, this is
temporary: the war for talent will persist. Some companies have responded to this war by

Next-Generation Optimized Desktop                                                                1
piloting “Bring Your own PC” programs, which give workers more choice in what PC they use.
This means IT departments focus more on access, security and data protection. This trend
obviously has ramifications on TCO.

Do I expand use of cloud services?

Forrester believes that the increased availability and capabilities of all kinds of cloud services:
from Web-based offerings to Software as a Service to Infrastructure as a service will be a game-
changing, disruptive shift for some enterprise clients (Market Overview of Current Cloud Service
Providers from Global IT providers-June 2009). The expansion of cloud services presents an
opportunity for organizations to consider how best to leverage their existing investments and
where to put new ones.

Should I use Rich clients or thin clients?

Lowering cost and improving manageability, security, and remote access drive interest in client
virtualization (Forrester), and the choice between rich clients or thin clients often accompanies
the choice about what kind of desktop virtualization organizations use.

How do I keep my data safe and my applications secure?

The average loss due to computer security incidents was $234,244 in 2009 (CSI Security Survey
2009). However, theft of proprietary data from mobile devices was far higher: According to the
CSI/FBI Computer Crime & Security Survey theft of proprietary data from mobile devices tallied
to $2.3M, while theft of customer data from mobile devices came to $2.2M. Given this, it’s no
surprise that more than half of the respondents in MSFT research told us they need help
protecting corporate data on laptops.

How do I keep mobile users productive?

The number of mobile workers overall will increase to more than 30 percent by 2011 (IDC), and 68% of
the companies we surveyed struggle with the inability to manage PCs when those are not physically
connected to the corporate network. Much of this difficulty is due to the complex and time-consuming
methods of connecting to corporate networks when away from the office. This presents a huge
challenge not only for end user productivity but also for security and data protection.

How can I take advantage of virtualization?

The client virtualization trend has swept many industries over the past 2-3 years, leading many
IT decision makers with questions about how they can benefit from the potential of virtualizing
applications or full desktops. However, with the buzz around virtualization reaching a fever
pitch, analysts, such as Natalie Lambert of Forrester – warn that many have misconceptions
about exactly what benefits they can hope to achieve through virtualization. (Forrester: Know
Your Facts: Understanding The Realities Of Desktop And Application Virtualization July 2009)

Next-Generation Optimized Desktop                                                                      2

Although migrating to Windows 7 might be the issue that causes enterprises to question these
things, CIOs and architects should not make a decision based on migration concerns alone, but
instead think about the broader desktop strategy for their organization and for their users.

Next-Generation Optimized Desktop                                                               3
The Need for a Desktop Strategy

Essential Points to Land:

   1. The desktop is more than the OS

   2. Essential to have a complete desktop strategy

   3. There are 4 essential components of the
      desktop: data, applications, OS, hardware: a
      complete desktop strategy should consider
      how these things work together


The desktop is more than just the operating system: The desktop includes the applications that
make your business run, the data with which you make critical business decisions, the settings
that help your employees personalize their PCs and make them more productive, and the
hardware your users need to access the entire computing environment.

When making client computing decisions, it is essential to have a complete desktop strategy
that considers the whole desktop -- User Settings, Data, Applications, browser, and the
operating system.

Each one of these desktop components comes with its own set of challenges and
considerations, which should be considered in combination with the others to achieve a
strategically coherent whole.


Let’s start with the layer that is the most complex and expensive for most enterprises to
manage: applications.

Next-Generation Optimized Desktop                                                                4
Application Considerations
Essential Points to Land:

   1. The application layer is expensive and
      painful due to complexity: Managing the
      application lifecycle is essential in
      taming this complexity

   2. Providing user access is crucial but

   3. Ensuring access has became more
      complex because of the provisioning,
      hosting and virtualization choices
      available today: local, cloud, on-prem, combination

   4. The number of applications only compounds complexity, causing challenges with
      licensing compliance and software inventory: you need to know what applications you

   5. (Transition) Application Compatibility can be a blocker to OS migrations: We saw this
      with Windows Vista


Manage Application Lifecycle

Although applications are essential in extracting the greatest value from the data in your
organization, the application layer is the most challenging and expensive to maintain in terms of
TCO because of the sheer number of applications IT has to manage. According to Forrester,
organizations actively support 215 different applications worldwide. But this doesn’t even begin
to account for the number of applications being used in the environment. Gartner estimates
that the ratio of workers to applications in the typical organization is 10:1. So a 10k employee
company would have about 1000 applications to contend with! Each of these applications must
be tested for compatibility, baked into the image or installed by the end users, and maintained
by administrators. And every time an application is added or changed, process begins again.

Application proliferation has real costs. Though many of these costs come as soft costs with
increased staffing requirements, the cost of maintaining hundreds or thousands of unneeded
applications can often warrant Application Optimization projects alone – even without coupling
these projects with an operating system upgrade.

Provide Access across different environments

Next-Generation Optimized Desktop                                                              5
The number of mobile workers will increase to more than 30 percent worldwide by 2011 (IDC).
Your ability to provide easy access to applications regardless of the end user’s location is key to
how your desktop strategy will be accepted by users in your organization. How can mobile
workers have the same level of productivity on the road and in the office? The application
access strategy your organization adopts will have a profound effect on end user acceptance
and satisfaction.

Know what applications you have

A migration such as the one to Windows 7 is a good opportunity to assess all the applications in
your organization. Although most corporate end users have an average of 16 applications
locally installed on their work PCs, this does not take into account the proliferation of
applications that they may have installed on their own – without the consent of IT. It is essential
to have a handle all the applications in your environment in order to be adequately prepared
for migration and maintenance of your new Windows 7 images.


Having an accurate application inventory is critical for many reasons, one of which is that it’s
the first step to assessing compatibility with your post-migration Windows 7 environment.
Application compatibility can be a huge blocker for OS upgrades: Many organizations were
trapped on Windows XP because of one or two important applications, and therefore end users
lost out on the productivity benefits they could have had by upgrading.

Next-Generation Optimized Desktop                                                                 6
Operating System Considerations
Essential Points to Land:

   1. OS Migration: today it is XP  7, but
      how can you make migration
      smoother in general?

   2. Image management is expensive and
      application bloat contributes to this

   3. Providing access to the computing
      environment: VDI is one way, but there are others

   4. (Transition) Companies use VDI for data protection but there are other data issues to


Operating System & Browser Migration

Organizations often take up to 18 months to migrate to a new Operating System (Forrester?
Need specific source). Migrating to a new operating system can be complex for many reasons.
While assuring application – and browser -- compatibility is a huge pain point for organizations,
so is providing secure access to applications from wherever the user needs it. The ability to
migrate user settings quickly and easily is important to maintain business continuity in a
rapidly changing environment: Users shouldn’t spend hours or days recreating their personal
settings just because they got a new PC.

The browser is rapidly becoming the #1 LOB application for knowledge workers. It is also the
second most common entryway for malware and security threats (after email) (Source:
Microsoft Research as quoted by Gina Narkunas). Web-borne risks are among the most
complicated to defend against because many take advantage not of technology weaknesses but
of human ones: The number of unique phishing reports skyrocketed to an all-time high of
40,621 in the 3rd quarter of 2009 (source: the Anti-Phishing Working Group:

Image Management

According to (source needed), it takes up to 1 FTE to manage an image in the typical corporate
environment. And as images proliferate, the cost of deploying a new operating system
increases steeply. Therefore, the choices you make about image and application management
will have a direct effect on the cost of your IT operations and the ROI you achieve from your
client computing environment.

Next-Generation Optimized Desktop                                                               7
Ensuring Access from anywhere

By the end of 2012, mobile PC usage will increase from 32% to 43%, underscoring the need for
most workers to stay productive with access to their data, applications, and colleagues
regardless of their physical location (Forrester: Costs & Challenges of Supporting Information
Workers-Sept2009). How can the entire desktop experience be available securely from the
widest range of places?


While technologies like Virtual Desktop Infrastructure are one way to achieve secure access
user data and applications, they do so at the expense of mobility and the superior performance
of locally-executing applications.

Next-Generation Optimized Desktop                                                                8
Data & User Settings Considerations
Essential Points to Land:

   1. Data Protection and Compliance are

   2. Growing volume of data provides
      challenges for 1) discovery and
      search 2) where to store the data
      (locally, on-prem, or in the cloud)

   3. Data access is related to location -- As
      people travel more you need to provide access to data no matter where the data is
      stored: locally, on file servers, on the web, etc

   4. (Transition) Access is a huge challenge because users are increasingly mobile.


Data Protection & Compliance

Data protection is a non-negotiable part of data management strategy. Ten percent of laptops
and 70% of USB sticks are lost annually (IDC), and 800,000 laptops are misplaced each year by
computer users passing through US and European airports. (Ponemon Institute Dell study July
2008) Imagine the amount of proprietary data – including customer records – that exists on the
average laptop. This is harmful for companies that lose data – not only financially – but also to
brand goodwill: 87% of consumers said they lost respect for a company that divulged
customers’ personal information due to loss or theft. (Information Week)

With all that said, however, security is only one part of the data management puzzle.

Ever-increasing volume of data from multiple sources

According to IDC, Information Workers spend between 15-30% of their time searching for data.
For an employee making $60k a year, this could be up to $18k! More than two-thirds of ITDMs
believe that most of their organization’s information is readily searchable online. This means
that there are vast stores of data that are essentially untappable in most organizations. The
ability to provide searchability across multiple locations -- from individual PCs to the local
network to the cloud – then becomes a key consideration in the data strategy.

Anywhere access to data and user Settings/Transition

Next-Generation Optimized Desktop                                                                9
By now, the idea of anywhere access is becoming a pattern. This just shows how important it is
to consider the increasing mobility of your end users : End users today are mobile and they
expect to have access to their data regardless of where they are. This is no longer a “nice to
have.” It is a basic expectation and it supports productivity for your entire workforce.

Next-Generation Optimized Desktop                                                           10
Hardware Considerations

Essential Points to Land:

   1. People are more mobile and mobile
      devices such as smartphones and
      other gadgets are proliferating, making
      it essential to address consumerization

   2. There are more choices than ever
      before and companies need to plan
      for flexibility

   3. (Transition) There is another dimension of this flexibility: these components can now
      live in different places


Handling the Increasing Mobility of End Users/Addressing Consumerization

The number of mobile workers will swell to more than 30 percent by 2011 (IDC). Furthermore,
40% of US workers have already ‘mobilized themselves’ by purchasing personal devices they
use for business. This trend toward consumerization presents challenges around access and end
user satisfaction in addition to IT control over corporate assets. A full-fledged desktop strategy
should look to provide flexibility and control together – like a powerful racecar with equally
powerful brakes -- rather than positioning them as tradeoffs or opposites.

Managing the Hardware Lifecycle

According to Citibank, most CIOs believe that the normal service life of a PC is about 3.5 years.
No one can argue that an informed perspective spanning this entire period of the PC lifecycle is
not essential to enterprise PC fleet management, but this is difficult to do. Examining the entire
PC lifecycle enables organizations to view costs systemically. Even rough estimates can help
gauge how spending or saving money on RAM today, impacts upgrade costs, application
capability, PC retirement, and residual value. (see “The Enterprise PC Lifecycle” Microsoft-2008)


We have looked more closely at the elements of the typical desktop: data/user settings,
applications, and the operating system. It’s key, however, to remember that these components
aren’t necessarily static -- they don’t always live just on the local PC. These desktop
components can be positioned along a continuum of locations.

Next-Generation Optimized Desktop                                                              11
Where Applications & Data Can Live
Essential Points to Land:

   1. Individual components can sit in
      multiple locations

   2. It’s important to have the ability to
      combine them to have different
      choices so you can choose what works
      for your business and your users to
      keep them productive

   3. Flexibility can be good, but it can also be evil without proper management


No longer must all the components of the desktop be confined to a single location. As an
organization, you can decide where to host the applications and data and how you provide user
access to these components. You can make the decision on whether they are hosted locally, on-
prem, or in the cloud, or any combination of the three.

We hear from customers that they have very good reasons to deploy different components in
different locations. For example:

      they want to be able to host, for example, apps and data in either of these locations.
      They also want to embrace the cloud in a way that works for them
      They want to leverage investments they have made in their current infrastructure

It’s important to ensure that you are choosing the right deployment/management method for
the right business outcome.

For example, we already have customers who are experimenting with a combination of local,
on-prem, and cloud hosting by using rich clients on which the operating system resides locally,
applications are provided on-prem through application virtualization, and data is accessible in
the cloud via many different cloud services.


These customers are enjoying flexibility to choose what is right for their business.

This flexibility can be good, but without proper management it can be evil. Historically,
customers have had to make a tradeoff between flexibility and control. This has caused some of
our customers to throw up their hands and give up on flexibility entirely as they saw complexity

Next-Generation Optimized Desktop                                                               12
increase and costs skyrocket. But in doing this these customers are essentially wasting the
productivity potential of the most expensive and valuable asset they have, which is their

But the truth of the modern desktop is that you no longer have to make the tradeoff between
flexibility and control. You can have the flexibility end users need to be productive and the
control IT pros need to protect the business – you can make people productive while managing

And to get to that level of balance, you must be able to manage the parts of your computing
stack across the range of locations you intend to deploy, whether local, on-prem, or in the

Next-Generation Optimized Desktop                                                             13
Implementing your Desktop Strategy
Essential points to land:

   1. When you implement your desktop
      strategy, ensure that your plan can
      support 4 essential capabilities

   2. End-to-End management (physical and
      virtual; native, on prem or in the cloud)

   3. Security and Data Protection

   4. Anywhere Access for Users

   5. Business Agility and Continuity

   6. (Transition) Microsoft is well positioned to help you meet these needs and gain those


However you choose to implement your desktop strategy, there are 4 essential capabilities your
strategy should support:

   1. End-to-End management (physical and virtual and native, on prem or in the cloud)
         a. Management is the most effective way to reduce desktop TCO: According to the
             core IO research conducted by IDC, moving from a basic or unmanaged
             environment to a well-managed environment can save nearly $1100 annually
             per PC (from $1320 to $230) And with the additional considerations posed by
             desktop virtualization technologies, the ability to cut TCO with good virtualization
             management makes this capability even more important.
   2. Security and Data Protection
         a. The average cost of a data security breach is $6.6M, and the total cost of a data
             breach continues to increase every year, according to a survey conducted by the
             Ponemon Institute in 2009. Of course this doesn’t even count the effect of loss of
             customer trust and the subsequent losses customers experience due to their
             personal information being compromised.
   3. Anywhere Access for Users
         a. Remote and mobile work are expected to increase 28% in the 5 years from 2007
             to 2012 (IDC). Given this trend, it is essential to provide end users access to
             applications and data from anywhere, or those highly-paid knowledge workers
             will not be fully productive.

Next-Generation Optimized Desktop                                                             14
   4. Business Agility and Continuity
         a. In a joint study by Forrester Research and The Disaster Recovery Journal of 250
             disaster recovery decision-makers and influencers, 42% of respondents indicated
             that a power failure was the cause of their most significant disaster declaration
             or major business disruption. In many industries, a service interruption is simply
             an excuse for a customer to jump to a competitor. The ability to execute a plan
             for all contingencies – whether related to power, weather, disasters, or simply
             routine disturbances such as moving – is essential for business growth and for
             regulatory compliance.

A flexible desktop strategy gives you the ability to deliver on these capabilities and provide the
right resources at the right time to the right users. But the more power you have to be flexible,
the greater your capacity for control must be. Imagine driving a very powerful car with very bad
brakes and no steering wheel. You wouldn’t have that car for long. But with precision steering
and great stopping power, that car would be unbeatable. Similarly, the power and flexibility
needed to support a robust strategy needs to be matched by robust management tools. This
makes your business more competitive and helps your people achieve their full potential.


Microsoft is well-positioned to help you achieve these capabilities. Here’s an example of exactly

Next-Generation Optimized Desktop                                                               15
Delivering on the Essential Capabilities: Supporting Ultimate Flexibility…
Essential Points to Land:

      All 4 essential capabilities are
       acheived in this scenario

      Works both online and offline (VDI

      Serves a fast-growing segment of end


Mobile workers make up an increasing proportion of end users in today’s organization. Between
25 and 30 percent of today’s workers can be classified as mobile, and these users need to be
productive regardless of where they are.

The capability of anywhere access for mobile workers is provided by a set of technologies that
help IT both manage and give access to Data (Folder Redirection/Offline Files), Applications
(Application Virtualization), and User Settings (Roaming User Profiles).

The capability of Security and Data Protection is provided by BitLocker on the PC and extended
to portable drives by BitLocker To Go. It is protected in transit with DirectAccess, which
leverages the security advances of IP v6 and IPSec to ensure data protection.

Business Continuity is achieved through these same technologies because if users need quick
access to new PCs, they can simply log in with their Active Directory credentials and their data,
applications, and computing environment can be provisioned to them on demand.

All of this is managed end-to-end from physical to virtual and desktop to datacenter with
System Center.


While this flexible solution works for most end users, some workers have special compliance
needs that require a different type of solution. Let’s see how the Windows Optimized Desktop
supports users who have these needs.

Next-Generation Optimized Desktop                                                                16
Delivering on the Essential Capabilities: Supporting Always-Connected Workers

Essential points to land:

   1. VDI works from connected devices

   2. VDI is best used in cases of special
      compliance needs

   3. The ability to manage physical and
      virtual desktops is essential


For many organizations, virtualizing desktops within the datacenter is seen as an excellent
means to provide a centrally managed Windows desktop to connected users. Virtual Desktop
Infrastructure (or VDI) is a fast-emerging desktop deployment option for organizations looking
to provide a personalized central desktop experience to their users. VDI provides organizations
benefits with some inherent benefits, such as:
    1) Access from Connected Devices:- With the Microsoft VDI suites, user desktops that are
        hosted centrally on servers within the datacenter can be accessed from virtually any
        connected device. This means that users get access to their personal data and
        applications irrespective of hardware, making it possible for organizations to deploy thin
        clients for their connected users.
    2) Security and compliance:- Since the users desktops, applications and data never leave
        the datacenter, VDI becomes a preferred way to deliver a secure desktop to user devices,
        even unmanaged devices such as those belonging to contract workers or employee
        owned PCs. This also helps organizations comply with strict data regulations, such as
        those found in the financial services, government and healthcare industries. With
        Windows 7, organizations can now easily centralize user data with roaming profiles and
        folder Redirection, while Microsoft application Virtualization helps to deliver
        applications dynamically to user desktops.
    3) Business continuity and agility:- If the device of a VDI use fails, he/she can get access to
        their desktop from another device, and hence disruptions due to hardware failures are
        reduced. Also, since It has access to centralized desktops all the time, it becomes easier
        to troubleshoot desktop problems.
    4) Centralized Management:- IT always has quick access to centralized desktops, making it
        easy to roll our patches and upgrades. With Microsoft System Center, IT has a familiar
        set of tools it needs to manage a heterogeneous desktop environment, making it easy to
        manage physical, virtual and session based desktops through a single pane of glass.
        Integrated Management capability also ensures that you minimize your desktop OPEX,
        leading to a more efficient IT organization.

Next-Generation Optimized Desktop                                                               17

Given the different options organizations have for hosting their desktops, it is useful to consider
the benefits of each solution in order to choose the right technology for the business and end

Next-Generation Optimized Desktop                                                                18
Choosing the Right Technology for End Users
Essential points to land:

   1. One Size does not fit all end users

   2. Desktop Virtualization for Rich client
      meets the flexibility and
      productivity needs of most end

   3. For users who have special
      compliance requirements, VDI could
      be the right choice


We all know that in today’s world, one size does not fit all users: Mobile and Office workers
have different needs than contractors or workers with special compliance needs. Here are some
things to consider when choosing the right technology for your business and your end users.

Desktop Virtualization for rich client is best for workers requiring a high level of flexibility,
because it gives users anywhere access to their entire computing environment -- including
applications and data – from anywhere, whether they are connected to the corporate network
or not. Workers in this category include mobile workers, high-end knowledge workers, and
workers in remote offices that might have low bandwidth.

Virtual Desktop Infrastructure can be a good choice for users for whom compliance is
paramount. Such workers could be financial traders, government workers, or even contractors
for whom local data is prohibited.


Microsoft is well-positioned to meet the needs of your business, regardless of the proportion of
end users you have. Our comprehensive offering is called the Windows Optimized Desktop.

Next-Generation Optimized Desktop                                                               19
The Windows Optimized Desktop

Essential points to land:

   1. We have a broad range of robust

   2. We have experience in the
      enterprise space

   3. We have a vision for desktop


The Windows Optimized Desktop value proposition becomes crystal clear when considering our
range of options and robust possibilities: Microsoft has the best solutions for desktop to
datacenter management across physical and virtual targets. Microsoft is unique among vendors
for the ability to provide comprehensive management across physical and virtual, datacenter to
desktop from a single console. The Windows Optimized Desktop makes it easy to connect your
desktop strategy with your overall strategy for managing core infrastructure.

At the base level is client infrastructure, including Windows 7, Internet Explorer, and MDOP.
Windows Server infrastructure supports client features like branch cache and direct access and,
through Hyper-V, supports VDI environments.

This is all tied together with the desktop-to-datacenter and physical-virtual management tools
of System Center and security of Forefront for your clients and your servers. Management tools
like System Center and MDOP provide the security, access, and application optimization that are
important to keep IT costs in check across locally deployed systems, systems and apps that are
hosted on-prem in your data center.

We’re even extending management into the cloud with solutions like System Center Online
desktop manager. Microsoft can help you deliver the right desktop to the right person and drive
desktop delivery, access, and maintenance with the tools in the Windows Optimized Desktop.


We all know that in today’s world, one size does not fit all users: Mobile and Office workers
have different needs than contractors or task workers. The Windows Optimized Desktop is
Microsoft’s vision for what desktop computing should be: it gives end users the flexibility they
need to be productive anywhere, while providing IT the control they need to manage risk and
keep costs in line. The Windows Optimized Desktop is the modern enterprise desktop
experience for end users and IT administrators alike. (Introduce Vignettes as needed)

Next-Generation Optimized Desktop                                                                  20

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