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HP5-K01D - Delta - Selling HP SMB Storage - Dump Information

Vendor : HP
Exam Code : HP5-K01D
Exam Name : Delta - Selling HP SMB Storage
Questions and Answers : 48 Q & A
Updated On : December 7, 2018
PDF Download Mirror : HP5-K01D Brain Dump
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HP5-K01D Questions and Answers

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HP5-K01D Delta - Selling HP SMB Storage

Study Guide Prepared by Killexams.com HP Dumps Experts


Killexams.com HP5-K01D Dumps and Real Questions

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HP5-K01D exam Dumps Source : Delta - Selling HP SMB Storage

Test Code : HP5-K01D
Test Name : Delta - Selling HP SMB Storage
Vendor Name : HP
Q&A : 48 Real Questions

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HP Delta - Selling HP

HP sticks an Android pill right into a printer | killexams.com Real Questions and Pass4sure dumps

In an abnormal machine combo, Hewlett-Packard introduced a printer with a removable Android pill desktop in it. The gadget is a part of the enterprise’s method of integrating the information superhighway into its core printing company.

The printer is called the HP Photosmart eStation All-in-One and may promote for $399; the Android tablet has a 7-inch reveal. It may be released later this 12 months. HP additionally observed it has partnered with Barnes & Noble to give the printer-tablet access to digital books, and with Yahoo to supply the machine access to email, messenger and other features. And it is working with Delta Air lines to make the printing of boarding passes effortless from the printer-pill.

Vyomesh Joshi, head of the printer division and some of the inner candidates named as HP’s subsequent chief govt, talked about that HP plans to sell 5 million net-connected printers this year and 20 million in 2011. past this yr, HP started placing e-mail addresses on printers in order that clients may e mail files for printing. At an event these days, Joshi declined comment on HP’s look for a new CEO. His business bills for a couple of fifth of HP’s $a hundred and fifteen billion in salary.

The printer’s development evidently predates the acquisition of Palm. otherwise, you possibly can expect the printers to make use of the Palm WebOS cell working system. HP has observed it plans to launch a home windows-based slate laptop (its name for a tablet) q4, as well as a WebOS pill early subsequent yr. valued clientele could therefore be fairly perplexed over HP’s true pill method. HP naturally believes that multiple operating methods will win sooner or later, and Joshi referred to HP should be device and operating gadget agnostic.

The Android pill makes use of a Freescale i.MX51 processor and may run for 4 to six hours on a can charge . The tablet raises a question. if you take the tablet out of the printer, will the printer nevertheless work? while attached to the printer, the tablet may also be a digital picture frame. It makes use of Android edition 2.1. The equipment is just one of many printers HP announced for its fall line-up.


HP (HPQ) Q1 2018 consequences - profits name Transcript | killexams.com Real Questions and Pass4sure dumps

No influence discovered, are trying new key phrase!The 6.5 factor tax rate delta ... promoting prices of PCs going higher, are you seeing the normal lifetime of the laptop be prolonged even more? Or what's your view on the present installed base ordinary life of ...

HP throws in a “free” removable 7-inch Android pill with new All-in-One printer | killexams.com Real Questions and Pass4sure dumps

Darren Quick

Darren brief

September twenty eighth, 2010

The Photosmart eStation All-in-One printer with detachable 7-inch Android tablet

HP’s net-enabled printers already featured touchscreen control panels and wireless printing however now the company has long past one step further by way of including a removable 7-inch Android with its new Photosmart eStation All-in-One printer. whereas the prospect of a printer with a free Android tablet might sound relatively tempting, there are some caveats. although it’s possible to browse (and print) on-line content material using the device’s net browser, there’s no entry to the Android Market with apps and widgets restrained to personalized print-focused offerings from the likes of Yahoo, fb and Snapfish.

HP says it hasn’t protected access to the Android Market on the gadget as a result of applications out there aren’t designed for 7-inch monitors. instead, clients might be able to download extra applications through HP’s own software keep. The enterprise has partnered with forty five companies, who will enhance print-centric purposes for the device for printing really expert content reminiscent of climate reviews, news, sports and finance info, recipes, maps and eBooks. functions from the likes of Delta airlines for printing boarding passes, Barnes & Noble for downloading and printing eBooks and NBA.com for accessing video game schedules and counsel had been simply a number of of examples named by using HP.

The removable Wi-Fi tablet is running a version of Android mainly retooled for the machine and, however users received’t be in a position to play games, HP says the person interface is customizable and users may be capable of entry social networking functions similar to facebook, play tune on the built-in song player, or use the device as an eReader. The pill boasts 802.11n and, when undocked, will provide from four to 6 hours of battery lifestyles. it's going to additionally work with all HP instant printers. The printer can additionally scan and fax documents with out the need of a mobilephone line.

HP without doubt feels that enabling the handle panel to be detached from the printer is the next logical step following on from its internet-enabled printers launched past this yr that enable documents to be despatched to the printer by means of e-mail. by using providing a pill with the printer to enable for instant printing, HP isn't any doubt aiming to make it as handy as feasible for clients to print the rest at any time so it might probably rake within the cash from where it in reality makes its cash – selling the ink. It is that this business model that permits HP to bundle an (albeit hamstrung) pill with a printer for a price akin to some standalone capsules.

HP didn’t show a transport date for the Photosmart eStation All-in-One printer however observed it could can charge US$399. besides the fact that children the tablet will work with all HP wireless printers, the business didn’t say even if it had plans to sell the pill independently.


HP5-K01D Delta - Selling HP SMB Storage

Study Guide Prepared by Killexams.com HP Dumps Experts


Killexams.com HP5-K01D Dumps and Real Questions

100% Real Questions - Exam Pass Guarantee with High Marks - Just Memorize the Answers



HP5-K01D exam Dumps Source : Delta - Selling HP SMB Storage

Test Code : HP5-K01D
Test Name : Delta - Selling HP SMB Storage
Vendor Name : HP
Q&A : 48 Real Questions

Questions were exactly identical as i purchased!
This examination training package deal has mounted itself to be surely honestly worth the cash as I surpassed the HP5-K01D examinationin enhance this week with the score of 90 4%. All questions are valid, thats what they arrive up with on theexamination! I dont recognize how killexams.com does it, but theyve been keeping this up for years. My cousin used them for a few different IT examination years inside the past and says they had been simply as particular again in the day. Very reliable and honest.


How long exercise is required for HP5-K01D test?
Hi, I had sign up for HP5-K01D. Even though I had study all chapters substantial, but your question financial institution provided sufficient training. I cleared this exam with 99 % yesterday, thanks plenty for to the element question bank. Even my doubts have been clarified in minimum time. I need to use your service in destiny as nicely. You men are doing a tremendous process. Thank you and Regards.


Surprised to see HP5-K01D real test questions!
I am going to give the HP5-K01D exams now, finally I felt the confidence because of HP5-K01D Preparation. if I looked at my past whenever I willing to give the exams got frightened, I know its funny but now I am surprised why I felt no confidence on my, reason is lack of HP5-K01D Preparation, Now I am fully prepared can passed my exams easily, so if anyone of you felt low confidence just get registered with the killexams.com and start preparation, eventually you felt confidence.


I want modern dumps of HP5-K01D examination.
The study cloth of HP5-K01D exam is printed properly for get prepared interior a quick time period. killexams.com Questions & Answers made me rating 88% within the wake of answering all questions ninety mins of time. The examination paper HP5-K01D has various examine materials in commercial enterprise region. Yet it got to be fantastically difficult for me to pick the high-quality one. Be that as it may after my brother requested that I used killexams.Com Questions & Answers, I didnt study for different books. Much obliged for helping me.


discovered an true supply for actual HP5-K01D exam questions.
Thanks to killexams.com team who provides very valuable practice question bank with explanations. I have cleared HP5-K01D exam with 73.5% score. Thank U very much for your services. I have subcribed to various question banks of killexams.com like HP5-K01D. The question banks were very helpful for me to clear these exams. Your mock exams helped a lot in clearing my HP5-K01D exam with 73.5%. To the point, precise and nicely explained solutions. Keep up the good work.


where can i am getting assist to skip HP5-K01D examination?
I spent sufficient time reading those substances and exceeded the HP5-K01D exam. The stuff is proper, and whilst those are thoughts dumps, that means these materials are constructed at the actual exam stuff, I dont understand those who attempt to complain about the HP5-K01D questions being extremely good. In my case, no longer all questions had been one hundred% the equal, however the topics and trendy approach have been certainly correct. So, friends, in case you study tough enough youll do just nice.


It was first revel in but awesome revel in!
Thank You killexams.Com for full assist via offering this question bank. I scored seventy eight% in HP5-K01D Exam.


Get cost percent trendy information to prepare HP5-K01D examination.
Failure to lie in the ones which means that it become those very moments that we couldnt discover ways to forget about but now we all recognize that whether or now not there was a few purpose to the little thing that we couldnt now not see simply yet the ones stuff that we werent speculated to recognise so now you should realize that I cleared my HP5-K01D take a look at and it became higher than whatever and yes I did with Killexams.Com and it wasnt this kind of terrible factor in any respect to observe on line for a exchange and now not sulk at domestic with my books.


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Nutanix (NTNX) CEO Dheeraj Pandey on Q1 2019 Results - Earnings Call Transcript | killexams.com real questions and Pass4sure dumps

Nutanix (NASDAQ:NTNX) Q1 2019 Earnings Conference Call November 27, 2018 4:30 PM ET

Executives

Tonya Chin - Vice President of Investor Relations and Corporate Communications

Dheeraj Pandey - Chief Executive Officer

Duston Williams - Chief Financial Officer

Analysts

Matt Hedberg - RBC Capital Markets

Aaron Rakers - Wells Fargo

Alex Kurtz - KeyBanc

Wamsi Mohan - Bank of America Merrill Lynch

Katy Huberty - Morgan Stanley

Jack Andrews - Needham

Erik Suppiger - JMP

Jason Ader - William Blair

Operator

Good afternoon. My name is Sheryl and I will be your conference operator today. At this time, I would like to welcome everyone to the Nutanix First Quarter Fiscal 2019 Earnings Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question-and-answer session. [Operator Instructions]

Tonya Chin, Vice President of Investor Relations and Corporate Communications, you may begin your conference.

Tonya Chin

Thank you. Welcome to today's conference call to discuss the results of our first quarter of fiscal 2019 live from London. This call is also being broadcast over the web and can be accessed in the Investor Relations section of the Nutanix website. Joining me today are Dheeraj Pandey, Nutanix's CEO; and Duston Williams, Nutanix's CFO.

After the market closed today, Nutanix issued a press release announcing the financial results for its first quarter of fiscal 2019. If you'd like a copy of the release, you can find it in the Press Releases section of the company's website.

We'd like to remind you that during today's call, management will make forward-looking statements within the meaning of the Safe Harbor provision of federal securities laws, regarding the company's anticipated future revenue, billings, gross margin, operating expenses, net loss, loss per share, free cash flow, business plans and objectives, product sales, plans and timing for and the impact of our transition to focus more on software-only sales, and our transition to subscription based business model, expectations regarding products, services, product features and technology that are under development or recently acquired, competitive and industry dynamics, expectations regarding increasing software sales, our plans regarding how we will report the software content and subscription portion of our business, potential market opportunities and other financial business related information.

These forward-looking statements involve a number of risks and uncertainties, some of which are beyond our control, which could cause actual results to differ materially and adversely from those anticipated by these statements. These forward-looking statements apply as of today and you should not rely on them as representing our views in the future. We undertake no obligation to update these statements after this call.

For a more detailed description of these risks and uncertainties, please refer to our Form 10-K for the fiscal 2018 filed with the SEC on September 24, 2018 as well as our earnings release posted a few minutes ago to our website. Copies of these documents may be obtained from the SEC or by visiting the IR section of our website.

Also, please note that unless otherwise specifically referenced, all financial measures we use in the call today are expressed on a non-GAAP basis, and have been adjusted to exclude certain charges. We've provided reconciliations to these non-GAAP financial measures to the GAAP measures in our Investor Relations section of our website and in our earnings press release.

Lastly, Nutanix will be at the Wells Fargo Tech Summit in Deer Valley on December 4, the Raymond James Conference, also in December 4 in New York City, the Barclays TMT Conference in San Francisco on December 6, and the Needham Technology Conference in New York City on January 15, and we hope to see many of you there. Please mark your calendars for the Nutanix Investor Day in New York City on Wednesday, March 20.

Now, I'll turn the call over to Dheeraj. Dheeraj?

Dheeraj Pandey

Thank you, Tonya. Good afternoon everyone. I'm excited to be joining you today from London where we're hosting our third .NEXT Europe, Middle East and Africa User Conference this week. We're excited to share our latest updates with more than 3,500 customers, partners and prospects we expect at the show. Those attendees will get to see firsthand as we announce the general availability of Xi Leap here at .NEXT.

Leap is a disaster recovery service offering I've mentioned to you in the past. This launch is a watershed moment for our company, delivering our services across the entire customer journey from infrastructure modernization to the multi-cloud, which I'll provide more detail on shortly.

Now onto our Q1 results, we had a great start to fiscal 2019, delivering another strong quarter growing software and support billings by 50% year-over-year to $351 million and software and support revenue by 44% to $281 million. Notably, subscription revenue increased 104% year-over-year as we shift our business to an increasingly subscription-based consumption.

The combination of higher than guided revenue, better gross margins and lower operating expenses drove our net loss per share to $0.13 per share, significantly better than our guidance of a loss between $0.26 and $0.28. Duston will share more on our financial metrics and outlook later in the call.

As we head into .NEXT, I've found myself taking a step back to reflect on how far we've come as a company since we were founded nine years ago. In less than 10 years we have done nearly $4 billion in lifetime sales, transformed from a hardware to a software business model, while being publicly traded, surpassed $1 billion in annual software and support revenue run rate and surpassed the 10,000-customer mark, while keeping our net promoter score above the 90.

In this quarter alone, we closed 63 deals worth more than $1 million and three deals worth more than $5 million, and we now have 15 customers who have lifetime spend of more than $15 million and more than 700 customers with a lifetime spend of more than $1 million. In fact, when you look at our customer base, we have seen 83% year-over-year growth in customers with a lifetime spend of $3 million to $5 million and 111% year-over-year growth in customers with a lifetime spend of more than $5 million.

To put our achievements into context, we reached $1 billion in annual revenue faster than any other software company founded in the past 20 years. Salesforce, Palo Alto, Workday included. This success was built on the foundation of strong products and amazing customer service that has propelled us from creating the hyperconverged industry to a sustained leadership position within it. Just this past quarter, we were recognized as a leader in The Forrester Wave for HCI and by Gartner for our 10-point lead in market share versus our nearest competitor in their most recently reported quarter.

From everything I've mentioned above, you might think that we are a very optimistic company. On the contrary, we are an intrinsically paranoid company that happens to be optimistic. In my favorite book, Only the Paranoid Survive, Andy Grove talks about this paradox in Chapter’s seven and eight. Let chaos reign, reign with a g and rein in chaos, without a g.

Building is inherently chaotic and you saw a bit of this in the last 12 months of our new product development and complementary acquisitions. These announcements created confusion in the minds of many who aren't simultaneously balancing building and scaling in their day-to-day.

Questions such as what is the core of your business, will you need more than your core to get to your stated goal of $3 billion in FY 2021, are the new applications even remotely related to the core or will they leverage the existing core, such questions emerged.

In this earnings call, I would like to reign in some of that messaging chaos with a customer journey that will traverse Nutanix core essentials and enterprise. The core of Nutanix's business is infrastructure. We call it the Nutanix Core, with a capital C. It's comprised of our software defined storage stack, AOS, an infrastructure control plane, Prism and increasingly, but optional for the initial leg of a customer's journey, our hypervisor, AHV.

People say infrastructure is a commodity as it becomes good enough, and all the value will move higher up. They're so mistaken. They don't know how hard infrastructure is to execute and make a reliable business out of. There is a reason why hardware incumbents struggled to monetize OpenStack in response to Amazon. Ask Oracle, and they'll tell you about all the pains of building an IL stack.

Look at how Azure Stack has been a non-starter for Microsoft, as Azure continues to bleed on multiple infrastructure stacks for their various workloads. Google itself has been trying to make their homegrown core become useful for enterprises, and they've been trying since 2012.

Observe how VMware is hedging its best bets between three infrastructure worlds, their traditional three-tier comfort zone, their software-defined struggle zone, and the new AWS cannibal zone. Only Amazon AWS has a true grasp of infrastructure, and even they will have to think hard about how to make it truly enterprise workload ready and also miniaturize themselves, that is, ship code to tens of thousands of sites, to disperse clouds.

In fact, our dominance in the core is why VMware avoids doing PoC's in accounts when we are in a head-to-head fight. A case in point was a new customer in EMEA in Q1, a major international airport that is one of the busiest in the world. Remember how in the last decade, Microsoft Hyper-V wasn't good enough, despite being bundled with Windows, for many erstwhile VMware customers who had profound enterprise-grade needs.

With this customer, VMware's good-enough wasn't good enough to create dynamic, cloud-grade platform for the majority of their core airport applications. Unlike humans who can work around weaknesses in good enough business software, applications cannot work around good enough infrastructure software they run on. Good enough infrastructure is an oxymoron, period.

This is why we’ve been so successful at adding Nutanix Core customers. These customers deploy AOS and Prism platform and AHV virtualization to modernize and deliver a cloud-like experience within the walls of their own datacenter. Nutanix Core customers represent the foundation of our business in the near-term, and are what will enable us to deliver on our goal of at least $3 billion in software and support billings in 2021.

In Q1, AHV adoption increased to 38% on a rolling four-quarter basis. AHV was a decision factor for one of America's leading operators of general acute care hospitals, our second largest deal of the quarter, which is more than $5 million. This healthcare provider will expand deployment of our platform to support its field facilities, all using AHV virtualization.

Once companies have experienced the simplicity our platform brings to their core infrastructure, they often quickly and enthusiastically want to graduate and standardize on Nutanix across their IT infrastructure, developing pure-play software-defined cloud platforms for their business-critical workloads.

These companies are Nutanix Essentials customers, Essentials with a capital E, who build on our Core offering to deliver on security, automation, data management, and operational efficiencies. They do so with Calm for app-centric orchestration, Flow for application security, Files for storage consolidation, and Prism Pro for large-scale operations management.

What might not be obvious is that Essentials runs on top of Core, that is, Essentials pulls Core with it in all deployments. Case in point on this leverage and crawl-before-you-walk philosophy is one of our US Federal customers, a department within the US Navy. They have more than $2 million in lifetime bookings with Nutanix and made their first purchase with us in 2016 for VDI.

Over the following few quarters they expanded to server workloads in the datacenter and started replacement of legacy 3 tier in remote offices, all with AHV as the hypervisor. Later in their journey, they purchased licenses for Calm, and in Q1, they expanded their Nutanix deployment even further, leveraging our platform across even more remote offices with the addition of both Flow and Prism Pro.

Another example of this customer journey is a $1.5 million deal with a U.S. government agency that provides fact-based, nonpartisan information to Congress. This customer which had lifetime bookings of more than $4 million first experienced Nutanix Core almost four years ago.

Since then, they have materially expanded the use of our platform, utilizing AHV, managing their unstructured data needs with Files, running all their enterprise applications, virtualizing their Exchange environment, and finally in this quarter, expanding their VDI environment to 4,000 users.

Finally, Nutanix Enterprise, Enterprise with a capital E, customers advance into hybrid and multi-cloud deployments with Karbon with a K, Era, Buckets, Volumes and Xi Cloud Services, our new suite of SaaS-based services. This new suite includes Xi Leap for disaster recovery as a service, Xi IoT for edge cloud computing, Frame for cloud-native desktop-as-a-service, Beam for multi-cloud governance and Epoch for multi-cloud application observability and monitoring.

Most Xi Services use Nutanix Core and Essentials. Yet others make them better by being multi-cloud, thus making our stack compete better with other clouds. There is no Xi without Core and Essentials. I repeat, there is no Xi without Core and Essentials. All Core and Essentials products, currently running on-prem, will become part of the Xi catalog, and that is what every computing company on the face of this planet covets, a catalog that can run both on-prem and off-prem.

This leverage and the customer journey of crawl-walk-run is evident by how our end users adopt our solutions. In Q1, 19% of all our deals involved one or more of our Essentials or Enterprise solutions in addition to our Core offering, calculated on a rolling four quarter basis.

We’re confident those customers who realize the simplicity and reliability of our Core will continue to recognize the value of our extended platform and continue their journey with us, seamlessly. We've talked a lot about Xi over the past few quarters and, as I mentioned earlier, I'm pleased to say that Xi Leap is now generally available, with future geographies rolling out over time.

Going beyond that, Xi IoT, our edge computing solution, is also generally available, and we have made significant updates to our Frame desktop-as-a-service offering, adding role-based access control in the cloud. Our customers have already validated this that there is demand for this set of services in the market.

In the last couple of weeks, we closed a deal with a public-school district serving over 5,000 students to use Xi Leap. We made DR invisible for them. They do not need a backup-and-recovery box on-prem. DR is a huge adjacency for us, and will also become a highly automated way for us to migrate workloads off-prem with one-click.

In this quarter, we worked with the Google Cloud team to win a deal with an American worldwide consumer products company in the Global 50, our first with this customer, to deliver Frame virtual desktops to their workforce. The customer has invested in Frame, alongside GSuite, a natural partnership for worker productivity in the cloud-first world.

I'd like to highlight another win worth more than $1 million with life insurance company in India. They have decided to move forward not only as a core customer with AHV virtualization, but to rapidly graduate to both Essentials and Enterprise with Prism Pro, Calm, Flow and Xi Epoch. Our message to suit .NEXT is clear. Xi cloud services from Nutanix are now open for business.

As many of you know, we made a very successful transition to software over the past year. Recently, we've evolved our business model toward an increasingly subscription model designed to deliver more recurring and predictable revenue. This quarter we saw 51% of billings from subscriptions, up 20 points from 31% just a year ago. We are on a very good trajectory with this transition. Duston will get into our expectations for how this will play out in just a minute.

To summarize, over the past year and even today, we have significantly added to the breadth of our platform, broadening our capabilities to address the challenges our customers tackle as they modernize their IT infrastructure and expand into multi-cloud operations. This product velocity stands as a critical advantage for Nutanix.

Today, we introduced a simple way to understand our product offerings, based on how our end users adopt Nutanix. This is about a customer journey, a buyer's journey, a seller's journey, a learner's journey, from infrastructure modernization with Nutanix Core to a customer cloud platform with Nutanix Essentials all the way to the use of multiple cloud platforms with Nutanix Enterprise.

In the journey to at least a $3 billion billings in FY 2021, three large workloads or markets will lay on top of Nutanix Core, unstructured data, which is files and objects; structured data, which is databases, and desktops apart from virtualization and containers.

To conclude, in Q1, we had a strong quarter with notable progress in our evolution toward subscription software, strong product innovation with many new introductions including Xi Cloud Services and continued strong growth in our business.

Now, I'll turn it over to Duston to review the financial highlights of the quarter. Duston?

Duston Williams

Thank you, Dheeraj. Before we get into the review of our Q1 fiscal 2019 results, which for revenue, operating loss, earnings per share, and earnings per share exceeded both our guidance and consensus estimates, I'd like to provide some historical background on how we started to monetize our software and how we built and will continue to build on this foundation to ultimately move to a fully recurring subscription business model.

The first monetization of our software and the initiation of our recurring subscription business actually began when we first started shipping appliances in late 2011, early 2012 with customers, engaging in subscription-based software and support entitlement contracts, basically recognizing the value of receiving continued software enhancements on an ongoing basis.

In 2014 and 2015, we began selling stand-alone software, including software and support entitlements to our OEM partners, Dell and Lenovo and have since added Fujitsu and IBM. In 2015 and 2016, we started to separately sell software upsells or additions on top of our base operating systems such as Pro, Ultimate and later Prism Pro. It was also in late 2016 and 2017 when we first offered our software through a subscription offering to run on HP and Cisco servers.

During 2017, we began software-only subscription sales of our operating system, which afforded customers the ability to run our software on the server platform of their choice. And it was in 2018 that we started another monetization vehicle for our software, a subscription-based sale of our software on Dell XC core and Lenovo XC core products. Along the way, we also began selling subscription-based sales of additional software offerings such as Calm, Flow, Files and more recently SaaS-based offerings such as Beam, Frame and now Xi Leap.

So, as you can see, our move to software has been planned and executed from day one and has progressed significantly over a several-year period and our move to a fully recurring subscription business model will take a similar path thoughtfully planned and executed over an extended period of time. As we discussed in our last earnings call, the move to a fully recurring business model will involve changes to how our software solutions will be packaged for our historically nonportable software sales.

We stated that we would begin a phased-in approach that will transition our non-portable software sales to recurring subscription licensing model. We further stated that this would replace today's licensing structure, which is based on the life of device giving customers greater choice and flexibility around their software procurement strategies and provide portability of the software.

We also discussed that we would implement this change beginning in Q2 2019 and ramping through the second half of fiscal year. I'm pleased to announce that we had a bit of an early start with this transition and in Q1, we transacted over 110 customers on this new licensing methodology. These transactions included enterprise, commercial and SMB customers, new and existing customers, as well as a good mix of customers from all geographies.

Although we're off to a promising start with our shift to a fully recurring software business model, like our shift away from hardware, we're not naive regarding the work that still needs to be done, with both back-office systems and front-office education to make this transition a complete success. As you might expect, we have both plans with the shift to a fully recurring software model.

In FY 2017, our subscription business accounted for 31% of our billings, in FY 2018 our subscription business accounted for 41% of billings and in Q1 2019, the subscription business accounted for 51% of billings. In Q1 alone, our new term-based licensing accounted for over $20 million in bookings. We believe that in the next four to six quarters, our recurring subscription business will reach 70% to 75% of total billings. And by FY 2021, we expect a large majority of the business should be recurring in nature, either on-prem or cloud-based.

In our view, this continued shift to recurring subscription business model combined with retention rates averaging 90% and an average contract duration period of 3.6 years demonstrates increased visibility and predictability into our model as the company moves away from life of device licenses. We will provide further thoughts on how we envision the progression of our recurring subscription business model during our Investor Day, which will take place on March 20 in New York.

Now, moving onto a few Q1 highlights. Revenue for the first quarter was $313 million, growing 14% from a year ago and up 3% from the previous quarter, ahead of our guidance of $295 million to $310 million. This performance excludes approximately $104 million in passthrough hardware eliminated in the quarter. Software and support revenue was $281 million in Q1, up 44% from the year-ago quarter and up 5% from the prior quarter. Total billings were $384 million in the quarter, representing a 22% increase from the year ago quarter and a 3% decrease from Q4.

Software and support billings were $351 million, growing 50% from the year ago quarter and decreasing 2% from the prior quarter. On a billing’s basis, passthrough hardware represented 8% of total billings. This is slightly higher than what we expected and is mostly related to geographic mix and timing of orders. The bill to revenue ratio in Q1 was 1.22, slightly lower than the projected 1.26 reflecting a small change in product mix.

Our Q1 deferred revenue increased by $71 million from Q4, up 72% from a year ago and up 11% from the previous quarter, ending the quarter at $702 million. New customer bookings represented 24% of total bookings in the quarter, down from 29% in Q1 2018. We had a record number of customers booking deals greater than 1 million in the quarter. Customers with bookings greater than 500,000 represented almost 50% of bookings in the quarter.

We had a strong Global 2000 performance in Q1 with G2K software and support bookings equaling 31% of the company's total software and support bookings in Q1, up from 28% in Q4 2018 and 26% in Q1 2018. In Q1, our software and support bookings from our international regions were 40% of the company's total software and support bookings, up from 36% in Q1 2018.

Our non-GAAP gross margins grew in Q1 to 78.6%, up from 61.9% in the year ago quarter and 77.7% in the prior quarter. Operating expenses were $272 million versus our guidance range of $280 million to $290 million. Fewer headcount additions accounted for most of the shortfall. On a non-GAAP basis – on a non-GAAP, net loss was $24 million for the quarter or a loss of $0.13 per share.

Few balance sheet highlights. We closed the quarter with cash and short-term investments of $965 million and was up from $934 million in Q4. DSOs on a straight average were 69 days, an improvement of nine days from last quarter. The weighted average DSO was 24 days in Q1.

We generated $50 million of cash flow from operations in Q1, which was negatively impacted by $13 million of ESPP outflow and we generated positive $20 million in free cash flow during the quarter. This performance was also negatively impacted by the $13 million of ESPP outflow in the quarter.

Now turning to guidance for the second quarter. On a non-GAAP basis, we expect the following for Q2. Billings between $410 million and $420 million, revenue between $325 million and $335 million, gross margin between 78% and 79%, operating expenses between $300 million and $310 million, and a per-share loss of approximately $0.25 using average shares outstanding of 180 million.

I'll just wrap up with a few final comments now. We are now at a point where the billings hardware passthrough mix will bounce around in any given quarter at a somewhat immaterial rate between a low of 5% or less and a high of 10%, again with most of this variability related to geographic mix and timing of orders.

We expect this to continue for this foreseeable future. Regardless of the actual rate in any given quarter, we would still expect gross margins to remain in the [high 70’s]. And we will, of course, continue to provide the actual hardware percentage each quarter.

Additionally, as I mentioned before we have bought about at a steady state range with the percentage of passthrough hardware that we experienced in any given quarter. Therefore, beginning in Q2, the quarterly decline in year-over-year growth in total billings and total revenue that we've experienced during our transition away from passthrough hardware is expected to moderate and growth will eventually reaccelerate as we go forward.

And with that, operator, if you could please open the call up for questions that would be great. Thank you.

Question-and-Answer Session

Operator

[Operator Instructions] The first question comes from the line of Matt Hedberg of RBC Capital Markets. Please go ahead, your line is open.

Matt Hedberg

Hi guys, thanks for taking my question. Congrats on the strong results here. Dheeraj, I'm wondering, can you give us a bit more color on the crawl-walk-run message for Core, Essentials and Enterprise? And is the right way to think about this as a software bundle or is it still sort of like a la carte within these different tiers?

Dheeraj Pandey

Yes. Thank you, Matt and thanks for the question. So, as I mentioned, we look at this as a journey for the customer, a journey for our seller, a journey for our channel seller and a journey for anybody who's getting enabled on selling and really furthering our products. So, in that sense, we’re not using this as a price bundle, we're not using this as a way to say look, you will go and buy something based on a certain price book or SKUs assigned to Core, Essentials and Enterprise.

What's really important is people to realize that Essentials uses Core and Enterprise uses Essentials and Core. So, there is a progressive utilization of the products and these are not disparate products, they're not like completely misaligned with each other. Even Frame for example, which is a SaaS-based service, very soon in the next couple of quarters, we'll go and use on-prem Nutanix including off-prem Xi.

So, if you think about it, a lot of these service offerings will actually start to use both on-prem Core and Essentials and off-prem Core and Essentials running in Xi as well. So, I think the idea here was to basically go and educate and enable our customers and our sellers to realize that there is a progressive way to get to what these new offerings in the SaaS world are.

Matt Hedberg

That's helpful. And then maybe a follow-up for Duston. You eliminated $104 million of passthrough hardware revenue. I think you said that was about 8%. Curious going into the quarter what were the expectations for Q1? I just wanted to get a sense for the delta in that mix.

Duston Williams

Yes, I think it's – I don't have the exact calculation, but it's probably somewhere around maybe 5% or $5 million differential, somewhere around there, maybe a little bit more, but somewhere in that ballpark.

Matt Hedberg

Got it, thanks. Thanks. Thanks a lot guys.

Operator

Your next question comes from the line of Aaron Rakers of Wells Fargo. Please go ahead, your line is open.

Aaron Rakers

Yes, thanks for taking the questions and also congratulations on the quarter. Just as we kind of think about the transition that you guys are now executing through, I'm curious if there's a way for us to frame how much of your subscription revenue growth is at this point being driven by the transition of your existing customer base from the portable – or I'm sorry the nonportable software revenue relative to the monetization effects of some of the additional offerings, be it Flow, Beam, et cetera? I'm just kind of curious of how we think about the mix within that subscription revenue between those items.

Dheeraj Pandey

I think the lion's share of this transition is going to come from the Core and how people consume the Core because these are all node-based licensing, if you remember for the last five, six, seven years, and now we're moving to a capacity-based method, which is basically term based. And the fact that it's portable is what makes us use it for subscription as opposed to life of device. So, I would say that it's early to say that anything with the Enterprise, SaaS or Xi cloud services, adding to the mix, most of it is really coming from Core and Essentials.

Aaron Rakers

Okay. And then as a real quick follow-up, I'm just curious as you guys make this kind of pivot in the strategy, how do you think about the competitive landscape? And I think importantly, the competitive landscape evolving, you know looking out over the next 12 to 24 months, has there been any change currently and who do you view as actually your most formidable competitors going forward?

Dheeraj Pandey

Yes. So, in terms of the competitive landscape, nothing has changed in the last quarter or so. It's still a lot of on-prem three-tier hardware vendors who used to sell blade chassis and fiber channel switches and storage arrays. So, you go and collapse all that with the software defined infrastructure. And we see enough for VMware, but we don't see enough of VMware and about 70% of the transactions are POCs and not seeing VMware, VMware. And we are going after very high-end workloads as well. And the other accounts where we do see VMware, I think we're going for head to head fights.

We're going with – I mentioned this in my script as well, I mean we really want to go after POCs, proof of concepts, with VMware. We've built some highly automated testing tools and we really believe that customers are looking for the same high quality that they were expecting from these three-tier hardware deployments to come from a software defined infrastructure. As I mentioned I think nothing had changed in that respect in the last year itself.

Now, Dell EMC definitely is closer to VMware than it was, let's say, a year or two ago. But even there we have navigated competition waters really well. We have moved to Dell XC Core products and XC Core is basically meeting the channel where we actually use a certified Dell hardware. So, in many which ways, we are driving our own brand and our own pool from the customers and many of these things are coming directly from the customers that they want to transform themselves.

They are looking at subscription-based pricing, because OpEx is good for them as they look towards cloud consumption and such. So, I think in that sense, the next 18, 24 months is going to be a lot of VMware, a lot of three tier, maybe you see a little bit of Azure Stack, if at all, if you see any Azure Stack. And over the course of the next six quarters maybe some Azure as well.

Aaron Rakers

Very good. Thank you.

Operator

Your next question comes from the line of Alex Kurtz of KeyBanc. Please go ahead. Your line is open.

Alex Kurtz

Thanks guys. A question and then a clarification. So, Dheeraj on the transition to subscription, can you just remind us how the sales organization, as well as the channel will be sort of the quotas in the compensation models will change if at all, as we go through this over the next 24 months? What should we expect and see from the outside when we hear about this transition and what it means to quarterly execution?

Dheeraj Pandey

Sure. Yes, so I'm going to chime in Duston you should also add to this. So, right now, in terms of what we're collecting and what we're even seeing from the customers, they do want to see three-year deals and five-year deals and such. So, I expect that some of this will be driven by the market forces. Right now, our comp has not changed because the three-year sort of subscription collection is pretty similar to what we do in the life of device.

Now, as we go and really look at the lower and the midmarket where there might be some price pressure, we might start to do a few more one-year deals, but it's very early to say anything regarding that. And maybe that market will be driven more by inside sales. There could be a new compensation strategy for inside sales and the territory managers, the commercial account managers, who don't deal with enterprise or global accounts themselves.

And did you have a second question, second part of the question?

Alex Kurtz

Well, just – that's helpful. Thank you. Then just a clarification around one of your hardware partners has been in the news in the last couple of months. And I was just wondering if you guys could take a chance to explain what you've seen from your side, any potential disruption around that hardware partner and it really matters at all as you look into the rest of the quarter and the fiscal year?

Duston Williams

Yes, Duston, and then I'll let Dheeraj to chime in as needed here. We've been pretty upfront about this that we were notified back I think in March of this through the same reporter actually and we at that time did a thorough investigation and found nothing, took it very seriously. And then this latest round we did the same thing, worked with Super Micro again, took it seriously, found nothing. And relative to the quarter, there were some questions and things like that, but there was no impact to the quarter really at all from this issue.

And I think the important thing to remember here is that our software runs on seven different server platforms. So, if anybody did have an issue, they've got effectively six other choices, seamless choices, if you will, to go around this – our software on. So, no impact for the quarter and we found no issues, whatsoever with those allegations.

Alex Kurtz

Thank you.

Operator

Your next question comes from the line of Wamsi Mohan of Bank of America Merrill Lynch. Please go ahead, your line is open.

Wamsi Mohan

Hi. Thank you. Dheeraj, I was wondering if you can just comment on how you view the potential opportunity for multi-cloud management in view of sort of IBM, Red Hat deal announcement? And I have a follow for Duston.

Dheeraj Pandey

Sure. Thanks, Wamsi. So, it's early days, the multi-cloud word is a buzzword, just like cloud was a buzzword, maybe three years ago and continues to be a buzzword today. The way, at least, we look at it is that there will be need for a new, and I'm going to use a metaphor, a hypervisor of virtualization stack on top of multiple clouds, just like there was a need for virtualization or a hypervisor across multiple servers and across multiple storage boxes on-prem.

So, we put a layer of software that virtualized servers and storage equipment and we want to do the same across multiple cloud stacks themselves. And in that we have built a few mechanisms, in fact we'll announce a few of them tomorrow around migration and drag and drop from one cloud to another, on-prem to off-prem, disaster recovery seamlessly with one click, so migration becomes a killer app for multi-cloud, just like it was a killer app for – within the on-prem world, the killer app for VMware was VMotion and Storage VMotion and DRS, HA.

And all these were just about moving the app when it failed, when it was hotly contended in a high load environment and when it needed to move from an old box to a new box. VMware became a very large company because of building seamless mobility across different hardware boxes and that's what's required across multiple clouds itself. And that's how you commoditize anything. You commoditize anything by virtualizing and you virtualize something by bringing portability of applications in a one-click seamless fashion.

So, if you think of this portfolio of products that we have in the multi-cloud world, they are either a policy engine that tells you what is wrong like maybe because of cost or because of governance or security or compliance reasons and then how do you correct and rectify it, which is where you need to invoke a mechanism for migrating it from one cloud to another. So, both the mechanisms and the policies will form the new quote-unquote, hypervisor in a multi-cloud world.

So, it's very early days to say exactly what will happen, but what I can tell you is that what is needed in that is a lot of migration mechanisms around storage and networking and security and identity because you have to move an entire app from one cloud stack to another and it takes a lot of doing.

So, as a company we've done a really good job of data, data migration, whether it's replication or disaster recovery and runbook automation and things of that nature. But now I think the bar will be raised with security and firewalls and networks and things like that. So, how IBM/Red Hat navigate that it's early. I mean, at some level I think as IBM puts its arms around the OpenStack stack, I think clarity will actually emerge.

Wamsi Mohan

Okay, thanks Dheeraj. And Duston, just a quick one for you, appreciate the incremental revenue breakout that you guys gave. I was just wondering if in just some qualitative terms you could talk about how much of that subscription mix is currently term-based versus SaaS versus support entitlements, any directional color there will be helpful? Thank you.

Duston Williams

Well, of course right now there is very little SaaS in there. As you'd expect that would build up over time. And I don't have the exact – we can get it for you, I don't have the exact split there on the subscription pieces there. There is multiple pieces there with support, but we can get that to you. You've got it almost from the prior breakouts that we've done there, but we'll get that to you.

Wamsi Mohan

Okay. Thanks, Duston.

Operator

Your next question comes from the line of Katy Huberty of Morgan Stanley. Please go ahead. Your line is open.

Katy Huberty

Thank you. Question for Dheeraj, first you mentioned that hybrid multi-cloud is becoming a buzzword and we've certainly heard it from just about every infrastructure hardware, software company this quarter. So, curious how you think it impacts your business. Are you seeing your pipeline growing, customers coming to you because competitors are affirming your strategy? Do your sales people have to spend more time explaining the difference between your strategy and some of the others, just how this evolves as more players follow your lead?

Dheeraj Pandey

Yes, thanks, Katy. Yes, I think we definitely go and talk from the position of our strength as opposed to a position of someone else's strength and many of the customers we go and talk about their adjacency and our adjacency. Their adjacency is on-prem right now and our adjacency is on-prem which is software defined infrastructure. And then we go talk about disaster recovery as a service, like hey, how about the first crawl piece of this multi-cloud journey where we can do one click fail over and testing and fail back and things.

All of a sudden, the app is mobile because we did all the hard work with runbook automation shipping data and things like that. So, we basically start with our adjacencies and then there is some of these multi-cloud services that are very adjacent to Nutanix like desktops is very adjacent to what we have really understood and embraced. In the last seven, eight years, we probably are one of the strongest companies to understand end user computing experiences across Citrix and VMware and now with Frame itself.

And now people are asking about Frame to be extremely multi-cloud, use my AWS credits, use my Azure credits. I talked about one of our experiences with co-selling with Google G suite itself. So, I think we are going and navigating this multi-cloud buzzword around our adjacencies. So, we don't talk fluff. I think most of the money is still coming from compute and storage and networking and security and some of these workloads around that like files, like databases, like desktop. So, I think we ask our sellers to actually go and focus on workloads because workloads and applications is where most journeys actually begin.

Katy Huberty

Understood. And Duston software and support billings came down a bit this quarter. Is that just new seasonality as the business scales or was there some impact of the subscription transition in the quarter, if so, how much?

Duston Williams

Yes, no, there really wasn't any impact to say on the subscription piece. Actually, when you look at the length of these new licenses, the $20 million, it's slightly higher than the 3.6 average. So, there really wasn't any tilt to one year or anything like that in that. But we had – just looking and addressing billings in total, we had guided billings down actually in Q1, we came off a really strong Q3, a really strong Q4 into a seasonally soft Q1 so that we had guided $370 million to $390 million of total billings and obviously we came in at roughly $384 million, so close to the top end of that range. So, it was kind of as expected there and the pieces kind of fell off as they did.

Katy Huberty

Okay. Thank you. Congrats on the quarter.

Operator

Your next question comes from the line of Jack Andrews of Needham. Please go ahead, your line is open.

Jack Andrews

Good afternoon. Thanks for taking my question. Dheeraj, it looks like to me you are achieving the highest growth rates with customers that are spending the most dollars with you. You talked about the 111% year-over-year growth and customers spending more than $5 million. So, I was wondering if you could drill down on what's happening with these larger dollar amounts in particular, I mean what's really driving that and do you view kind of these large dollar amount activities as leading indicators for the rest of your customer base?

Dheeraj Pandey

Thank you. Yes, I think what you're seeing is the first phase of what we talked about as segmentation almost 18 months ago in around February of 2017. We talked about segmentation. So, in that first phase of segmentation of our sales force we moved up market and that creates a lot of opportunity for cross sells, upsells, more workloads, expanding workloads. And in fact, we have shown that through our repeat business numbers that they have actually grown across our customer base itself.

The next phase of the segmentation will be around inside sales and how do we really go about these mid-market customers, lower-end mid-market customers themselves and you will see that happen in the next 12 months. I think we have settled down on the upper half of the pyramid, now we are going for the middle of the pyramid in some sense with channel investments and inside sales investments and such. So, I think it's a barbell strategy for us. One end of the barbell is large customers. The other end of the barbell is a frictionless transactional business and we expect to actually go and figure that out in the coming quarters and beyond.

Jack Andrews

Thanks. And then just as a follow-up, could you maybe frame what your customer base looks like today in terms of mapping it to the Core, Essentials and Enterprise layout that you introduced? What it looks like today and how you see that trending over time?

Dheeraj Pandey

Yes, in fact we started – we introduced a new KPI in our infographic and I spoke about it as well. And in fact, it's going to be in the investor deck too. 19% of all our deals that have one or more products beyond Nutanix Core, so obviously everybody has Nutanix Core except for maybe one or two customers that are not using Nutanix core, because they're Frame customers that are using desktop as a service in AWS or Azure. But other than that, it's all Nutanix Core customers. And we will start to report on this on a quarterly rolling four quarter basis going forward. And maybe someday we will actually even say how many of our customers have both Core and Essentials, how many of our customers have Core, Essentials and Enterprise as well as these numbers start to really come together.

Jack Andrews

Great. Well, thanks and congratulations on the results.

Dheeraj Pandey

Thank you.

Operator

Your next question comes from the line of Erik Suppiger of JMP. Please go ahead, your line is open.

Erik Suppiger

Yes, thanks for taking the question. Couple of things. One, on the Enterprise and Essentials ratio what kind of contribution – if 19% of deals include products from those product categories, how are revenues going to track to that longer term? Do you envision that customers that are buying multiple products would the Core product, would the Core – would the Essentials and Enterprise products eventually eclipse the Core component of those customers or how can that – how can that revenue contribution look, if you look out a few years?

Dheeraj Pandey

Yes, one good thing about the nomenclature is that it's timeless. Over time more things will actually fall into essentials and then some things will fall from essentials to core itself, because as technology matures, some things become Essentials and then other things that were Essentials now become Core itself. So, we expect that we'll start to bolster more of the Core. I mean some things might even fall off the Core because everybody knows that that's really needed anyway. So, might not even talk about, for example, let's say Prism being part of the core because Prism is assumed to be part of the core.

Similarly, AHV might become part of the Core and then over time if we really start doing 80% of everything at AHV you might say, look, why even talk about it actually. So, I think the whole idea of this nomenclature is that over time things will move from Enterprise to Essentials and from Essentials to Core. But the customers start to experience the journey from Core, especially the new customers who never heard of Nutanix before and there is quite a few out there. I mean today when you look at just Americas Global 12000, we've barely scratched the surface. We've only 15% penetration in Americas Global 12000. So, even on the 85% of the customers will need to go through the experience of Nutanix Core then the Essentials, then the Enterprise.

Erik Suppiger

On the AHV piece, it's been on a pretty good trajectory. I think it increased about 3% over the past quarter. When does that start to reach a maturing level? When are we going to see that contribution of AHV customers basically stabilize?

Dheeraj Pandey

You just saw me talk about the Global 12000 Americas alone and we are only 15% penetrated there. So, there's a lot of new customers and I think there is basically a three-layered cake there, which is the Global 500 and the Global 2000 and the Global 5000. And they all have different kinds of needs. I mean many folks in the Global 5000, they're looking at VMware, as the new Oracle like there's a lot of predatorial practices around licensing and auditing and things of that nature happening. The people are saying, look, I really want to look at virtualization as a commodity actually, it doesn't really belong in like multi-million-dollar sort of in expense and things like that.

And then there are other customers who love VMware and then yet other customers who are actually completely, I would say, neutral to what the virtualization stack itself looks like. So, we are going to see a lot of progression in this over the coming two, three years. I don't expect this to actually materially stabilize at least for the next two years. And obviously all of Xi is AHV. So, if you think about our cloud offering, what we're using in Xi is all AHV. And the best part is that without being too self-righteous we're saying, look, we will actually support mix mode customers where the on-prem that they're running is VMware and the off-prem could be AHV, and that's what customers really like about us that we don't go and shove AHV down their throat. We're saying, look, if you are happy with VMware, stay with it, because you can still go and sell a lot of data services and network services and compute services on top of it actually.

Erik Suppiger

Very good. Thank you.

Operator

Your next question comes from Jason Ader of William Blair. Please go ahead, your line is open.

Jason Ader

Thanks, guys. I guess the first question is just on the macro environment. If you could provide some commentary on what you're seeing out there, whether you've seen any changes given some of the kind of political fluctuations? And then the second question is kind of on this multi-cloud hypervisor vision for you Dheeraj. As you think about what you need – the pieces that you need to get there, I would think Kubernetes is pretty critical, just because it's being seen as in a lot of ways the key kind of common denominator of SaaS cloud. So, any comment would be appreciated on what your plans are for Kubernetes development?

Duston Williams

Yes, just on the macro, Jason, we always are looking at it and making sure that we're not missing anything, but clearly, we haven't seen any slowdown in our business anyway now. We're not a $20 billion company that would have insights into everything, but certainly within our realm anyway we've seen really no signs of that. Obviously, we look at it all the time and a lot of companies are having issues one way or another with currency. We're fortunate to be selling obviously in U.S. dollars and things like that. So, we've got that reasonably covered from that perspective, but we continue to look at it and continue to monitor it and be aware of it, but there is nothing right now, that we see that's impacting the business.

Dheeraj Pandey

Yes. And yes, we have levers to make adjustments as needed and people versus programs, things of that nature. And obviously nobody has a crystal ball around this. This is going to be a black swan event whether we like it or not, and I think the people versus programs levers piece is an important piece of our strategy going forward. As we see anything really dampening with the macro, I think we'll have ways and means to go adjust accordingly actually.

And talking about your Kubernetes comment, definitely Kubernetes makes compute very mobile and portable, but then there is everything else around it that really needs to be made portable as well which is storage and networks and identity and security and I mean there's a ton of pieces around [net stack] and storage that need to be portable as well. And I think it's one of the core advantages of Nutanix is that we really understand data, data migration, replication, backups, things of that nature, plus we understand networks now.

For the last couple of years, we focused so much on networks, around networks and security. I mean Xi would not have been possible without really digging deeper into multi-tenant networks. Like, what does it mean to really move an entire primary site from on-prem to off-prem without changing even a single IP address is a very hard problem that we had to go solve for.

So, a lot of the network virtualization pieces that have come together in Xi make us really competitive in the space of portability of applications, but Kubernetes alone doesn't make an application portable because there's a lot more to an application state than just sitting on the server itself, which is basically just software. That software needs storage, that software needs other services like object storage clusters and file storage clusters and active directory and VLAN settings and load balancers and firewalls setting, all those things have to move around before you call Kubernetes to be the end-all and be-all of migration.

Jason Ader

And on the [indiscernible] from you guys, is that something that you support today, Kubernetes?

Dheeraj Pandey

Oh, absolutely. In fact, we have gotten really deep into Kubernetes over the last 12, 18 months. This is one of the biggest advantages of our architecture that all our core now runs as containers, all our core. And that has been a big issue with many other companies that actually run inside the kernel, inside the hypervisor. You can't go and really infuse the value of containers inside the kernel of a hypervisor because it actually was written 15-18 years ago and they didn't think about services, they didn't think about patch upgrades, hot upgrades, reboot-less upgrades. Many of these things that Kubernetes actually makes possible we've been able to do in our own software.

Now people can run Kubernetes containers on top of Nutanix. So, one thing that we actually really went on the path of saying, look, no change to the open APIs and CLI of Kubernetes, unlike Pivotal and Red Hat who actually added wrapper stuff around there. We are going and saying, whatever open source is, is what we will actually go and support. So, things like Kubectl and all the APIs are exactly the same. And in fact, even on Calm, which is the orchestration layer that we have, we’re saying the app specification of Kubernetes is a subset of Calm's app specifications.

So, you can take a very well formed Kubernetes back and put it inside Calm and now you have a hybrid app, which is both a combination of containers and virtual machines actually, which is probably going to be one of the hardest things that IT will struggle with is, now my entire app is not containerized, I have things that are running as containers within an app and have other things like database tiers that are running in virtual machine. So, how do you really go and make a hybrid application possible? How do you make it auto scalable? How do you upgrade it? How do you migrate it? And all these verbs of an app, which is backup, replicate, scale out, upgrade, migrate, all these verbs in the app are now possible with Nutanix in a very hybrid setup, which is both combination of containers and VMs. And that's where the money will be.

Jason Ader

Thank you.

Dheeraj Pandey

Our IT ops – we have to go and talk to IT ops in a way that is mundane, but it is still pragmatic and realistic about the transition to containers because overnight we're not expecting every piece of the app to become containerized.

Jason Ader

Great.

Operator

This concludes today's conference call as we’ve completed the allotted time for questions. Thank you for your participation.

SeekingAlpha

HP renews SMB storage campaign | killexams.com real questions and Pass4sure dumps

In the wake of a rocky quarter in the storage market, Hewlett-Packard Co. (HP) is trying to boost its bottom line in storage with the creation of a new small and midsized business (SMB) unit within HP StorageWorks and an upgrade to the All-in-One (AiO) model based on its latest ProLiant DL320s servers.

The AiO1200 consists of a single 12-drive 2U enclosure that includes HP's T400 controller. The box can mix SATA and SAS within the array.

Software wise, the AiO1200 now includes the option of adding HP's Storage Mirror software for an extra $1,750 for remote replication, as well as new setup and migration wizard support for Microsoft Exchange 2007. Plus, the DL320s controller can provision iSCSI storage for servers running both the 32- and 64-bit versions of Windows Server 2003.

The HP AiO1200 is available now with 12 drive bays, up to 9 terabytes (TB) of capacity and SATA or SAS options. The list price for a base configuration is $8,759, higher than the original AiO 400 and 600 models that were introduced last year at around $5,000, but with 3 TB capacity, while the 400 and 600 models had 1 TB and 1.5 TB capacity respectively.

Like the 400 and 600, The AiO 1200 will be sold primarily through HP's channel. It's the fourth new HP product released in 2007 designed specifically for SMBs.

Channel partners, meanwhile, are hoping this box will offer a performance advantage over the earlier models. According to Frank Vincentelli, senior sales engineer with Integrated IT Solutions of Waltham, Mass., the AiO product has so far proven to be "a mature product, which is rare in the SMB iSCSI environment." However, he said, when the AiO 400 and 600 are expanded using HP's Modular Smart Arrray (MSA) RAID enclosures, the need for a separate chassis to hold more disk can cause a performance bottleneck for users. Vincentelli said he hopes having twice the capacity in the 1200, as well as the SAS connectivity inside the box, will mean fewer users, particularly on the large side of the SMB market, will experience performance bottlenecks as the AiO scales.

Vincentelli said he is wary for now of the new replication software. "I give HP the benefit of the doubt, but with replication, particularly over the WAN, I want to see it work. These things are not easy, especially in the SMB market, and we have seen many [vendors] try and fail."

'A refocusing, not a redirection'

The AiO 1200 is the first product to come out of a new business unit at HP designed to pump more revenue out of HP's strongest business, which is SMB products sold through the channel.

HP has named two executives to the new HP StorageWorks SMB team: Urs Renggli, director of worldwide SMB activities across the Technology Solutions Group, will coordinate storage, server, software and services business units; and Harry Baeverstad, now the director of SMB within the StorageWorks business unit. Previously, Renggli was the director of SMB for HP in Europe, the Middle East and Africa (EMEA). Baeverstad was the director of the network attached storage (NAS) business for StorageWorks prior to its acquisition of clustered NAS vendor PolyServe Inc., which now serves as the enterprise NAS business unit within HP. According to Baeverstad, the new business unit will pull together products from different groups, but employees within those groups will remain where they are.

"This is a refocusing, not a redirection of our resources," Baeverstad said. Half of HP's total revenue as a company comes out of selling products through its channel to small and midsized businesses, he said, "but we still see it as a growth opportunity." Baeverstad declined to say exactly how many AiO customers HP has, but said they number "in the thousands," and that the product line is growing "beyond our aggressive expectations," he declined to share hard numbers there, too.

Still, according to Tony Asaro, analyst with the Enterprise Strategy Group (ESG), HP does have an edge on its storage competitors in the SMB market in the form of printers, servers and PCs. "They already have a great brand in that marketplace," Asaro said. "HP can go back to those customers and sell other stuff, like printers and software. What else does EMC and NetApp have to sell them?"

Asaro said he finds the HP AiO a more "thoughtful" product than its competitors. "It's not just a watered-down version of their enterprise storage product," he said. "It's well thought out."

Vincentelli's experience backs this up. "The expectations they set for this product were met," he said, "which is a long way from how any of the other big vendors selling into this space have done."

And there is further opportunity for HP in that space, Asaro said. "From what I'm seeing, nobody's really taking the world by storm in the SMB market -- no one can yet claim anywhere near victory there."

Enterprise storage concerns linger

However, Asaro added, while it may mitigate financial woes related to sluggish performance in the midsize to large enterprise segments of its product lines, those problems will continue to affect HP if more isn't done. "I've heard lots of great roadmap ideas [from HP] over the last two years, but we have yet to see proof of execution on most of them," he said. "You lose momentum when you do that."

In fact, Asaro added, HP might do well to apply some of its thinking around SMB storage to its enterprise products. "I'd like to see some of their sensibilities about combining systems, protocols and tiers of storage into one device moved upmarket," he said. "It's the opposite of how the other storage guys are approaching products."

Meanwhile … LeftHand Networks and the DL320s

HP is also launching the DL320s into the enterprise this week, albeit in a more roundabout way through a meet-in-the-channel deal with iSCSI storage area network (SAN) player LeftHand Networks Inc., that will see LeftHand's SANiQ software bundled with HP DL320s clusters.

According to Baeverstad, what makes the LeftHand version of the DL320s an enterprise play rather than an SMB play, despite the same hardware, is the combination of multiple management capabilities and storage types into a single box on the HP side, while the LeftHand integration focuses on one aspect of storage -- iSCSI SAN.

According to LeftHand, the difference is scalability. "The aggregated LeftHand SAN can scale from a single 320s on up, to over 100 TB," wrote John Fanelli, vice president of marketing for LeftHand, in an email to SearchStorage.com.

However, Fanelli's response also indicated that LeftHand is looking to sell into the low end, too. "[LeftHand's] SAN … satisfies the requirements of customers from the SMB to the enterprise," he wrote.

"I think generally, we're trying to meet the needs of different customers," said Baeverstad. But, he admitted, "The top end of the SMB market can sometimes be a fuzzy line."


Imation Buys Nexsan For $120M To Beef Up Its SME Enterprise Storage Business | killexams.com real questions and Pass4sure dumps

Some consolidation in the world of enterprise storage to kick off the new year: the storage and data security giant Imation Corp. has acquired Nexsan Corporation, a specialist in disk-based storage systems, for $120 million, with $105 million of that in cash and the remainder in publicly-traded Imation shares, according to a statement from the companies.

The move appears to be a part of Imation’s efforts to rebuild its business around more high-growth areas, as it comes off a particularly bad quarter of declining revenues in all of its existing lines of business.

Like many other startups in the enterprise space, Nexsan was a success story that somewhat flew under the radar. Nexsan competes against companies like EMC and HP selling storage specifically to companies in the small- and medium-business sector. It appears to have only raised $7.5 million in funding since being founded in 2000. In 2011, it had revenues of $82 million with margins of over 40% on its products.

For Imation, which offers storage solutions both to enterprises and consumers, the deal will add 11,000 customers to its books, and give it a boost in its business targeting the SMB segment — a sector that has followed in the footsteps of larger enterprises by increasingly needing remote storage alternatives for their data, a key area to target as business growth among larger enterprises slows down and faces more competition from larger players (like HP and EMC). As Mark Lucas, the president and CEO of Imation, puts it, Imation is “targeting markets with strong growth rates.”:

“Our strategy includes focusing on the underserved SMB market with purpose-built storage systems and appliances,” he noted in a statement. “This is a market that Nexsan knows well.”

Investing in healthily-growing areas is an imperative at the moment for Imation: the company in Q3, at the end of October, reported that its revenues were $248.2 million, down 19.6% from Q3 2011, on the back of missing revenue expectations in “almost all lines of business” and all regions, but with specific problems in the company’s traditional media storage business — which will have been disrupted massively by the big rise in lower-cost cloud-storage services.

Imation also posted an adjusted operating loss of $6.5 million: that included a benefit in restructuring and other charges of $3.6 million, and a diluted loss per share of $0.17. Excluding those charges the loss would have been $10.1 million.

One recent appearance of Nexsan in the news was in September, when it was named, along with Rackspace and others, in a patent lawsuit filed by PersonalWeb and Level 3 over Github hosting. We are reaching out to the company to find out the latest developments in that case. Update: Imation “will not have any liability with respect to the case you reference,” an Imation spokesperson writes in an email, but she would not comment further on whether the case has been settled or dismissed.

Nexsan, which is based in Thousand Oaks, California, employs about 200 people across the U.S., UK and Canada. These employees, led by CEO Philip Black, will all be joining Imation, the company says.

Imation Acquires Nexsan CorporationAcquisition Further Strengthens Imation’s Tiered Storage and Security Solutions Growth Platform, Accelerates Strategic Transformation

OAKDALE, Minn.–(BUSINESS WIRE)–Imation Corp. (NYSE: IMN), a global scalable storage and data security company, has reached an important milestone in its strategic transformation. Imation today announced that it has acquired privately held Nexsan® Corporation, a Thousand Oaks, Calif.-based provider of disk-based storage systems. As the Company continues to execute its strategy, Imation is leveraging its deep data storage core, building a platform for long-term growth and improving operating margins in high-growth data storage and security solutions markets.

“We are excited to have Nexsan become part of Imation”The acquisition of Nexsan brings to Imation a proven technology platform and a robust portfolio of disk-based and hybrid disk-and-solid-state storage systems with more than 11,000 existing customers worldwide. It is expected to significantly accelerate Imation’s growth in the small and medium-sized business (SMB) and distributed enterprise (SME) storage markets. Imation will provide the Nexsan business with global scale and a well-known storage brand for global expansion. With SMBs and SMEs struggling to address their rapidly increasing data storage and management needs, the combined Imation and Nexsan portfolio will offer customers an attractive, price / performance alternative to competitive offerings.

The combination cash-and-stock transaction included approximately $105 million in cash and 3,319,324 Imation common shares, the equivalent of approximately $15 million.

“Imation’s acquisition of Nexsan is an exciting next step in our strategic transformation, which includes investing in growth platforms in data storage and security solutions, where we are targeting markets with strong growth rates,” said Mark Lucas, president and CEO of Imation. “Our strategy includes focusing on the underserved SMB market with purpose-built storage systems and appliances. This is a market that Nexsan knows well. Nexsan’s management team has grown this business from start-up to more than $80 million, with strong gross margins. Nexsan is a successful company that is addressing some of today’s fastest growing trends in storage, and we are pleased that its management team, including CEO Philip Black, will join Imation. The combination of Nexsan’s products, technologies, and talented teams with Imation’s global reach and infrastructure will be an excellent accelerator for our growth strategy in storage solutions,” concluded Lucas.

“We are excited to have Nexsan become part of Imation,” said Philip Black, CEO of Nexsan. “Imation provides us the scale and global footprint to expand our business, while still keeping intact our award winning partner program, our strong management team and employees, and our innovative products and roadmap. We look forward to working as part of Imation to deliver compelling solutions that meet the growing storage, archive and compliance requirements of businesses worldwide. This is good news for Nexsan channel partners, employees and customers.”

Nexsan’s 2011 revenues were $82 million and are continuing to grow, with gross margins in the 40 percent range. This acquisition is expected to be immediately accretive to Imation’s EBITDA.

Approximately 200 employees, based in the U.S., U.K. and Canada, have joined Imation with this acquisition. The Nexsan business will continue to operate within Imation from Nexsan’s current headquarters in Thousand Oaks, Calif., under existing management. Integration and global expansion activities between Imation’s Tiered Storage and Security Solutions business and Nexsan will be determined in first quarter 2013.

Imation Schedules Fourth Quarter 2012 Financial Results Conference Call

Imation also announced that it is scheduled to release the Company’s fourth quarter 2012 financial results on Wednesday, February 13, 2013 at 6:00 a.m. Central time. A teleconference for the financial community and a live webcast are scheduled from 9:00 to 10:00 a.m. Central time.

The live webcast of the teleconference will be available on the Internet at www.imation.com or www.streetevents.com. A replay of this webcast will be available at either of these websites through Friday, February 22, 2013. A taped replay of the teleconference will also be available beginning at 11:00 a.m. Central time, February 13, 2013 until 11:00 p.m. Central time February 22, 2013 by dialing (855) 859-2056 or (404) 537-3406 (Conference ID #64544023).

All remarks made during the teleconference will be current at the time of the call and the replay will not be updated to reflect any subsequent developments.

About Imation Corp.

Imation (NYSE: IMN) is a global scalable storage and data security company. The Company’s portfolio includes tiered storage and security offerings for business and products designed to manage audio and video information in the home. Imation reaches customers in more than 100 countries through a powerful global distribution network and well recognized brands. Additional information about Imation is available at www.imation.com.

About Nexsan

Nexsan® is a leading provider of data storage systems with more than 33,000 systems installed at 11,000 customers worldwide. Nexsan’s pioneering Hybrid Storage systems combine solid-state technologies, disk storage and advanced software to deliver radically new levels of performance and capacity at lower cost. The company’s advanced technologies enable organizations to optimize traditional, virtual and cloud computing environments for increased productivity and business agility. The company delivers its data storage systems through a worldwide network of cloud service providers, value-added resellers and solution integrators. Nexsan is based in Thousand Oaks, Calif. For more information, visit www.nexsan.com.



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