1. Office 365 Partner Opportunity

2. | Copyright© 2010 Microsoft Corporation 2

3. What We Hear From Our Customers? Advanced enterprises that have deployed the latest Office 2010 servers and tools can deliver a much better collaboration and communications experience Companies and their empowered employees expect to be productive from work, home, and on the go, on any device (PC, Mac, BlackBerry, iPhone, Android, tablets) Collaboration has transcended the firewall to involve partners and customers Most companies can't do any of this today because their productivity & collaboration tools are limited, missing, and restricted inside the firewall Until Now …

4. | Copyright© 2010 Microsoft Corporation The Future of Productivity 4

5. | Copyright© 2010 Microsoft Corporation Announcing Microsoft Office 365 BRINGING TOGETHER CLOUD VERSIONS OF OUR MOST TRUSTED COMMUNICATIONS AND COLLABORATION PRODUCTS WITH THE LATEST VERSION OF OUR DESKTOP SUITE FOR BUSINESSES OF ALL SIZES.

6. | Copyright© 2010 Microsoft Corporation Includes… Store your important documents, and share expertise using personal My Sites Share documents, task lists, and schedules to keep business units in sync using team sites Work effortlessly with partners and customers by creating sites to share information securely 10GB per tenant + 500 MB per user 25GB Mailbox Outlook and Outlook Web App Anti-Virus/Anti-Spam Shared Calendars, Contacts & Tasks Mobile email for most mobile devices including BlackBerry, iPhone, Nokia, Windows Phone Personal email archiving and compliance capabilities Instant messaging and presence PC-to-PC audio and video calling Click-to-communicate from Outlook, SharePoint, and other Office Applications Online meetings with PC-audio, video conferencing and screen sharing Single click meeting creation and join from Outlook Calendar integration with Outlook and Exchange Flexible service offering with pay-as-you-go, per-user licensing The complete Office experience with services integration in Union Simplified user set-up to preconfigure services Always the latest version of the Office apps, including Office Web Apps Familiar Office user experience to access services Single user interface to purchase, administer and user with role-based access control | Single sign on with on-premises Active Directory | 99.9% financially backed SLA | 24x7 IT Pro Support | Built in geo-redundancy in regional datacenters CONTROL AND EFFICIENCY

7. | Copyright© 2010 Microsoft Corporation Microsoft Office 365 Value BEST PRODUCTIVITY EXPERIENCE Work together, smarter ACCESS ANYWHERE* Solve problems from more places WORKS WITH WHAT YOU KNOW Familiar tools ROBUST SECURITY AND RELIABILITY 99.9% uptime. Guaranteed. IT CONTROL AND EFFICIENCY Keeps you in control * Access from mobile devices depends on carrier network quality and availability ** “Connect Securely” is not a guarantee of 100% connection security.” DELIVERING THE POWER OF CLOUD PRODUCTIVITY TO BUSINESSES OF ALL SIZES, HELPING TO SAVE TIME, MONEY AND FREE UP VALUED RESOURCES

8. | Copyright© 2010 Microsoft Corporation Anywhere Access Rich client access online or offline via Office desktop applications on PCs and Macs Great web experience via Office Web Apps, Outlook Web Apps and SharePoint across a broad range of browsers (Internet Explorer, Firefox, Safari) Seamless mobile access on hundreds of devices from Windows Phones, Nokia, Android, iPhone and BlackBerry Single inbox to manage email and voicemail with unified messaging Connected securely over Internet with HTTPS without the need of VPN Phones PCs and Macs Browsers

9. | Copyright© 2010 Microsoft Corporation Productivity and Collaboration Collaborate with multiple people to edit spreadsheets, build documents, and annotate notebooks in real time Communicate seamlessly from email to instant messaging into ad-hoc online meetings, including audio, video and screen sharing Create sites to store your important documents and share insights with colleagues, partners and customers Easily connect with others across organizations with calendar sharing and publishing, contact photos, activity feed and interactive contact cards

10. | Copyright© 2010 Microsoft Corporation Works with what you know Just works. Minimal end user training required to get productive right away Multiple plans available giving you cost effective way to provide familiar business productivity capabilities to everyone in your business Always up to date with the latest productivity experience through a subscription service Hybrid deployment scenarios allow on- premises and online users to work seamlessly On-Premises Cloud Service

11. | Copyright© 2010 Microsoft Corporation IT Control and Efficiency 24/7 IT professional phone support or via electronic ticketing Service health portal to provide up to date service availability information and through RSS feeds Simplified management with a single administration center with role based access Remote PowerShell to allow scripting of routine tasks and access to raw data for reports IT friendly service update policies that put you in control

12. | Copyright© 2010 Microsoft Corporation Enterprise Security and Reliability Premium anti-spam and antivirus protection with multiple virus scanning engines Data is replicated in a of geo-redundant datacenter to protect against datacenter wide failures A risk based, multi-dimensional approach to help safeguard services and privacy of data Enable compliancy with ISO 27001, SAS 70 Type I, FERPA, HIPPA, FISMA, EU Safe Harbor Seal Backed by a 99.9% financially backed Service Level Agreement

13. | Copyright© 2010 Microsoft Corporation Customers Are Embracing Cloud Productivity

14. | Copyright© 2010 Microsoft Corporation Productivity Offers for All Customer Segments 14

15. | Copyright© 2010 Microsoft Corporation Office 365 for Small Businesses and Professionals Includes… 15 Exchange Email, Calendar, Contacts & Personal Archive 25 GB Mailbox ActiveSync Mobile Support SharePoint Team Sites 1 Office Web Apps Simple Public Website 2 Online Access databases Lync Rich Client Online meetings 3 Desktop Sharing Multiparty IM & PC-to-PC Calling Self-Help and Community Support KEY CAPABILITIES 1 One site collection, authenticated external user access enabled for up to 50 unique users/month. 2 Includes ready-to-use templates, option to add custom domain. 3 Online meetings limited to 50 participants. 1-25 users (max of 50 allowed) No IT needed Easy to try out Simple and easy to use Works with Microsoft Office Financially-backed 99.9% uptime guarantee Self-Help and Community Support

16. | Copyright© 2010 Microsoft Corporation When Is Office 365 for Small Businesses Not Enough? There are several scenarios where Office 365 for enterprises better meets the needs of small organizations Need Active Directory Sync Ability to sync/manage user groups Need Archiving Email archiving for legal compliance 2 Need BES Blackberry Enterprise Server 3 Growing to >50 users More than 50 PC org today or tomorrow 4 24x7 Phone support Higher touch vs. community support 5

17. | Copyright© 2010 Microsoft Corporation User Segment Offers: Plan K Family 500 MB mailbox No SharePoint storage allocation Outlook Web Access (full OWA, not Lite) POP Support Messaging, calendar, contacts Anti-Virus / Anti-Spam Site search capabilities Office Web Apps Office 365 for Enterprises User Segments: Right features for the right users 17 Rich feature offering that meets a users full messaging and collaboration needs Low cost offering to users that do not have messaging and collaboration capabilities today User Segment Offers: Plan E Family 25GB mailbox 500MB SharePoint storage Full Client Connectivity (MAPI/IMAP) Mobility Lync (real time communications) Advanced Exchange & SharePoint capabilities Office Professional Plus On-premises access rights Key Differentiators

18. | Copyright© 2010 Microsoft Corporation For Information Workers – Plan E Family 18

19. | Copyright© 2010 Microsoft Corporation For Kiosk Workers – Plan K Family Profile of a typical Kiosk Worker: Spends 5-10% or less of their time on a PC Shares a terminal with other kiosk workers Hasn’t had access to a corporate mailbox in the past Examples: manufacturing line worker, retail clerk, mail couriers Plan K Suites built to address different Kiosk worker needs: Office 365 K1: high volume offer for this segment Addresses most kiosk worker scenarios, where customers want to provide light email and access to a company portal Provides capability to view Office documents Office 365 K2: Addresses kiosk workers that require information access & simple data input Includes Office Web Apps editing capabilities for an additional cost 19

20. | Copyright© 2010 Microsoft Corporation New customers New segments New scenarios Expand Reach Advisor fees Manage services Annuity revenues Grow Revenue Increase capacity Expand Scale Increase margins Increase Velocity 20 Expanded Offering Portfolio New Hybrid Solution Higher Advisor Fee New SharePoint capabilities Office Opportunities Complete productivity sales Marketing opportunity with Office 2010

21. | Copyright© 2010 Microsoft Corporation PartnerCustomerMicrosoft 21 FeesSale Net-Add fees paid to partner @ 12%$7,200 Annual recurring Fee @ 6%$3,600 Total Partner Fee Year 1$10,800

22. | Copyright© 2010 Microsoft Corporation Revenue Per Seat Analysis Analysis of 40 deals Average deal size: 141 seats Average deal revenue: $24,000 *Source: Interview and Deep dive with 20 Microsoft Online Services Partners POR Fees Migration & Integration Consulting & Customization Managed Services 12% 27% 40% 21% 22

23. | Copyright© 2010 Microsoft Corporation 23 Microsoft Online Services Illustrative Revenue Growth 12% net-add first year 6% residual each year for life of subscription Residual $36,000 Residual $72,000 Residual $108,000 Net-add $72,000 Total $108,000 Total $144,000 Total $180,000 Expanded Offering, New Revenue Residual $86,400 Net-add $172,800 Total $259,200 Residual $172,800 Net-add $172,800 Total $345,600 Total $432,000 Residual $259,200 Net-add $172,800

24. | Copyright© 2010 Microsoft Corporation New Capability Enabled Scenario Target Partner Audience New SharePoint Opportunities Customize the site UI with custom Silverlight control Create custom menus Build secure sites Build customer templates Custom Developer & System Integrator Design browser based forms using InfoPath Build and migrate standard business forms for collecting static data and information Custom Developer & System Integrator Build customized document workflows Create and manage custom workflows Integrated interface enhances the native workflow Custom Developer & System Integrator Use Sandbox Solutions to build custom web parts Consolidate SharePoint list items Custom Developer & System Integrator Content Management Taxonomy Design Build and define content management taxonomies. System Integrator 24

25. | Copyright© 2010 Microsoft Corporation Revenue Opportunities Partner of Record Fees Deployment & Migration Revenue Business Consulting & Services Manage Services 2009-2010 Monitor interviews with 78 U.S. & European partners on partner economics & Intune; Beta study ongoing $19k $6k $18k $5k $28k $3k $2k Windows Intune ~$68,000 Office 365 ~$16,000 $12k $7k $10k Dynamic CRM Online ~$37,000 (20 seats) $8k 25

26. | Copyright© 2010 Microsoft Corporation Partners in Solutions Showcase Solutions Showcase 26

27. | Copyright© 2010 Microsoft Corporation Start Now 27 Experience Office 365 through BPOS Get the latest information on www.quickstartonlineservices.com www.quickstartonlineservices.com Get Train on What is Office 365Sign up to become Office 365 Partners

28. | Copyright© 2010 Microsoft Corporation Quickstart for Microsoft Online Services: A partner onboarding experience www.quickstartonlineservices.com Quickstart For Microsoft Online Services 28

29. | Copyright© 2010 Microsoft Corporation © 2010 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION. 29

30. | Copyright© 2010 Microsoft Corporation Start Now 30 Experience Office 365 through BPOS Get the latest information on www.quickstartonlineservices.com www.quickstartonlineservices.com Get Train on What is Office 365Sign up to become Office 365 Partners

31. | Copyright© 2010 Microsoft Corporation Quickstart for Microsoft Online Services: A partner onboarding experience www.quickstartonlineservices.com Quickstart For Microsoft Online Services 31

32. | Copyright© 2010 Microsoft Corporation © 2010 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION. 32