4 Company Brief Chip PC (Israel) Ltd. HQ Chip PC (Israel) Ltd. HQ Chip PC (UK) Ltd. 100% Chip PC Inc. 100% Chip PC Inc. 100% Chip PC GmBH 100% Chip PC GmBH 100% Holdings Structure: > Chip PC drives innovation into reality as a global technology leader in the area of Server-Based-Computing solutions > Founded in October 2000 > Public company traded on Tel Aviv Stock Exchange > HQ in Israel, Haifa Matam area > Daughter companies in the UK, Germany & the US > Largest set of technologies and patented IP in the field
6 Cyclic Trends in Organizational Computing Server-Based Computing > Server-Based-Computing (SBC) market is constantly growing for the past 15 years > Most organizations have IT Systems on servers > SBC is dominant in verticals such as: > Healthcare > Government > Military > Finance > Global > Main reason – reduced costs via consolidation > Other important reasons – enhanced security and compliance with regulations Mainframe PC Server 1975 1985 1995 & On Server-Based Computing Environment
7 What’s so bad about PC? Low reliability, many support calls Low security levels, exposure to viruses and mal-ware Heavy local applications requiring installation High levels of power consumption, W100 & more Frequent upgrades Highest reliability, nearly zero support calls Complete immunity to viruses and other security threats Server-centralized applications, efficiently & remotely managed Green technology – nearly zero power consumption W3-5 All upgrades performed remotely & centrally Strong, comprehensive management capabilities World’s highest security levels for a computer What’s so good about Chip PC?
9 Company Products 1. Desktop Thin Clients: Xtreme PC™ 2. LAN-Integrated Thin Clients: Jack PC™ Launched 2006 3. Management Platform: Xcalibur Global™ 4. Software Plug-Ins, Accessories, Services Jack PC thin client Xtreme PC thin client Xcalibur Global Management Software Local Software The Complete Solution
10 Products Positioning in the Market Chip PC was positioned as market technology leader in SBC and Thin Client technology already back in 2004. Chip PC won 1 st place in an independent research initiated by the Swedish government and held out by Telecomputing SBC expert. Chip PC scored significantly higher compared to competition on all categories of hardware, software and security Final Analysis Results
11 1. Xtreme PC TM > Desktop form factor thin client, PC-replacement > Firmware stored on Flash memory > Built around cost-effective RISC processors > Connects to Citrix, Microsoft, Vmware servers > Multi-display support – up to 4 displays > 100% remote management, no local upgrades or maintenance > 100% secure from viruses and Trojans > Energy saver, only W3-5 > Long product life cycle - over 10 years > Special market versions: Integrated PKI smart card, fiber-optic support > The world’s smallest desktop thin client computer
12 1. Jack PC TM > The first and only LAN-integrated computer, launched in 2006 > Powered by Power-over-Ethernet > Built around cost-effective RISC processors > Patented technology worldwide > Quick Installation in wall, furniture and floor > Energy saver, only W3-5 > Standard I/O for peripherals, keyboard and mouse > 100% remote management, no local upgrades or maintenance > 100% secure from viruses and Trojans > Dual-display support
13 3. Xcalibur Global™ Management Platform > Industry-leading, policy-based management for thin clients and users > Enables plug & play deployment for hundreds to tens of thousands thin clients on local or remote sites > Enables complete configuration and permissions allocation to devices and users > Based on Microsoft standards (MMC interface, Active Directory synchronization) > Interfaces Vmware Virtual Center, Microsoft SMS > Complies with the harshest information security standards in organizations > Best fit for medium-large organizations and enterprises > Patented, based on unique technology
17 Success Stories, Target markets Main Target Markets: > Governments, municipalities > Finance – banking, insurance > Customer Service Centers > Medical institutions, Healthcare systems > Industry, factories > Transport, Aviation > Education – universities, schools > Retail networks, distribution centers > Defense forces, police, military, embassies > Telecom companies, ISP, cellular > Infrastructure companies > Decentralized, Global organizations Samples Success Stories: > Business continuity: FedEx, US deployed over 1,000 devices in dozens of branches. Central management is performed via Xcalibur Global > Business continuity: BNP Paribas global bank > High security: Israel Ministry for Foreign Affairs (Jerusalem + embassies worldwide), IDF > High Reliability: Sweden public healthcare JLL, Israel Souraski Medical Center (Ichilov), Lufthanza, Pelephone
18 Success Stories: RZF Deal Chip PC won the largest thin client tender for German RZF - Financial Administration of North Rhine- Westphalia County on September 2007. The deal includes 20,000 devices and management software; 80% of the devices are to be deployed by the end of 2007 and the rest by Q1 2008 This positions Chip PC as a leading company in the industry.
19 Business Partners > Microsoft: Operating Systems, Servers > MS Partner, OEM Agreement > Chip PC has Source Code access > Chip PC has support in license purchase and R&D cooperation > Citrix: Sells access solutions to server-based applications. Approximately 100M users. > Citrix CBA Partner > Chip PC participates in events, road shows, conferences > Chip PC has Source Code access > R&D cooperation > Vmware: leading the virtualization market > TAP Partner > R&D cooperation, VDI initiative > Chip PC participates in events, road shows, conferences > AMD, RMI: World leaders in RISC processors development > R&D cooperation > Dell: World leader in computer distribution > Worldwide Supplier Agreement with Chip PC > Joint reseller and customer training > Joint R&D of new products
20 Channel Partners End Customers Strategic Partner - Reseller Value Added Distributor - Knowledge in SBCDistributor- Fulfiller Value Added Reseller Knowledge in SBC Reseller Chip PC HQ > The company has signed distribution agreements with the world’s largest distributors: > Ingram Micro - World’s largest IT distributor, presence in over 100 countries > Techdata - World’s second largest IT distributor > Avnet – Large IT distributor in Europe > The sale process to large customers and projects requires the company offices to supply consultancy, visits and training
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