Nortel Enterprise Market Leadership

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Presentation transcript:

Nortel Enterprise Market Leadership Jan 2009

Nortel Corporate Presentation How to Use this Deck This deck provides an overview of Nortel Enterprise Market Leadership, Industry perspective and Awards You can leverage this document to: Demonstrate the breadth and depth of our enterprise portfolio and our leadership in the market Illustrate the market acceptance and traction that our enterprise solutions are generating in a diverse set of industries © 2004 Nortel

Industry Perspective: Gartner Magic Quadrant Nortel Corporate Presentation Nortel is positioned in the Leaders’ quadrant for these Gartner Magic Quadrants: Unified Communications, 2008, published September 12, 2008, by Bern Elliot Contact Center Infrastructure, Worldwide, 2008, published November 18, 2008, by Drew Kraus, Steve Blood and Geoff Johnson IVR Systems and Enterprise Voice Portals, 2008, published February 18, 2008, by Steve Cramoysan, Rich Costello Corporate Telephony, Worldwide, 2008, published August 8, 2008, by Steve Blood, Geoff Johnson, Jay Lassman, Rich Costello Magic Quadrant Disclaimer The Magic Quadrants are copyrighted 2008 by Gartner, Inc. and is reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner's analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the "Leaders" quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose. © 2004 Nortel

Gartner Magic Quadrant for Unified Communications, 2008* Magic Quadrant for Unified Communications, 2008; Bern Elliot, September 12, 2008 This Magic Quadrant graphic was published by Gartner, Inc. as part of a larger research note and should be evaluated in the context of the entire report. The Gartner report can be viewed at: http://www.nortel.com/promotions/gartner/magic_quadrant/uc_2008_report/index.html *The Magic Quadrant is copyrighted 2008 by Gartner, Inc. and is reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner’s analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the “Leaders” quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

Gartner Magic Quadrant for Corporate Telephony, 2008* Magic Quadrant for Corporate Telephony, 2008; Steve Blood, Geoff Johnson, Jay Lassman, Rich Costello; August 8, 2008 This Magic Quadrant graphic was published by Gartner, Inc. as part of a larger research note and should be evaluated in the context of the entire report. The Gartner report can be viewed at: http://www.nortel.com/promotions/gartner/magic_quadrant/telephony_2008/index.html *The Magic Quadrant is copyrighted 2008 by Gartner, Inc. and is reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner’s analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the “Leaders” quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

Gartner Magic Quadrant for Contact Center Infrastructure, 2008* Magic Quadrant for Contact Center Infrastructure, 2008; Drew Kraus, Steve Blood, Geoff Johnson; November 18, 2008 This Magic Quadrant graphic was published by Gartner, Inc. as part of a larger research note and should be evaluated in the context of the entire report. The Gartner report can be viewed at: http://www.nortel.com/promotions/gartner/magic_quadrant/contact_center2008/index.html?NT_promo_T_ID=bug_promo_gartner_cc_01_05_09 *The Magic Quadrant is copyrighted 2008 by Gartner, Inc. and is reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner’s analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the “Leaders” quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

Nortel Global Enterprise Voice Leadership Nortel Corporate Presentation #1 Global PBX line shipments YTD 2008 (1Q08 to 3Q08) with 22% share and 1.7 times more lines shipped than our nearest competitor #1 Global PBX line shipments over the last year (4Q07 to 3Q08) with 22% share and 1.7 times more lines shipped than our nearest competitor #1 Global PBX line shipments 3Q 2008 with 21% share and 1.6 times more lines shipped than our nearest competitor 3Q08 Global PBX line shipment growing faster than the market (year-over-year) Source: Infonetics Enterprise Telephony Market Share & Forecasts 3Q08 #1 Global PBX line shipments over the last year (4Q07 to 3Q08) with 12% share #2 Global IP Terminal Unit shipments with 10% share Source: Dell’Oro Enterprise Telephony Report 3Q08 #1 in Unified Messaging licenses shipped in 1H08 with 32% share Source: Infonetics Enterprise Telephony Market Share & Forecasts 3Q08  #1 in Mailboxes shipped (voice and unified mailboxes) in 1H08 with global shipments of 2.3M mailboxes, or 15.8% (Infotech-T3i) Source: T3i Group Infotrack for Converged Apps 1H08 Messaging Global © 2004 Nortel

Nortel Enterprise Contact Center Leadership Nortel Corporate Presentation Nortel Enterprise Contact Center Leadership #2 Global Contact Center Revenues 2007 (InfoTech, Aug. 2008 report) #2 US Contact Center Revenues 2007 #1 Canada Contact Center Revenues 2007 #2 EMEA Contact Center Revenues 2007 #2 Asia Contact Center Revenues 2007 #2 Latin America Contact Center Revenues 2007 #2 NA IVR revenues 2006 (Frost & Sullivan, July 2007 report) More than 4 million agent positions world wide handling over 200 million calls per day Over 50,000 contact centers in 150 countries 7,000 Installed base customers in North America 15,000 global customers using sophisticated, flexible skills based routing 9,000 Self-service systems with more than 1 million ports world wide (Source: internal Nortel records) © 2004 Nortel

Nortel Ethernet Switching Leadership Nortel Corporate Presentation Nortel Ethernet Switching Leadership #3 Ethernet Switching Global revenue #3 in Power over Ethernet (PoE) Global ports #2 in PoE global ports for Fixed Ethernet #3 in Fast Ethernet PoE ports #3 in GigE PoE ports Source: Dell'Oro Ethernet Switch Report 3Q08 YTD #3 GigE Ethernet Switching revenue 3Q08 for Global Mid & Large ENT (Worldwide, 3Q08) #3 in PoE ports 3Q08 in North America (Gartner Market Share Enterprise Ethernet Switches (North America 3Q08) #3 in Fast Ethernet PoE ports 3Q08 in North America (North America 3Q08) #3 in GigE POE ports 3Q08 in North America (Gartner Market Share Enterprise (North America 3Q08) #3 Fast Ethernet revenue 3Q08 for Mid & Large ENT in NA (North America 3Q08) #3 Ethernet Switches Market share in EMEA (EMEA, 2007) Source: Gartner Market Share Enterprise Ethernet Switches #2 Fixed Ethernet Switching revenue 3QYTD2008 in North America Source: Infonetics Ethernet and Application Switches Market Share & Forecasts 3Q08 © 2004 Nortel

Enterprise Data Networking Solutions Nortel Corporate Presentation Nortel Data Networking solutions are up to 7x MORE RESILIENT, PERFORMS up to 20x BETTER, offers up to 50% LOWER Cost of Ownership and use 40% less ENERGY Nortel has shipped more than: 80M Ethernet ports 7M Power over Ethernet ports 60K ports of 10 Gigabit Ethernet 40K Secure Routers 150K VPN Routers 65K Application Switches 160K WLAN Access Points © 2004 Nortel

Nortel Enterprise and SMB Awards LG-Nortel IP Phone 8500 Series Nortel BCM400 Sourcefire RNA Nortel BCM450 Nortel VPN Gateway Nortel Secure Router Portfolio Nortel BCM50 2008 Nortel Secure Network Access BCM50 Well-Connected Award Converged Office MCS 5100 MCS and BCM50 “Best of Show” Nortel Converged Office Solution Nortel Multimedia Conferencing wins Product of the Year 2007 BCM wins at Searchnetworking.com in Hybrid PBX category Nortel WLAN 2300 Wins Editor Choice Award BCM50 Product of the Year Best of Show Award at Interop Tokyo

Nortel Contact Center and Applications Awards: Nortel Corporate Presentation Patient Discharge Solution for innovations in Speech ACE wins Product of the Year Award 2008 BCM 50 Well-Connected Award Nortel Speech Recognition Solutions 2008 - Agile Communications Environment ACE (Leveraging SOA framework) Nortel VPN Gateway 2006 Bronze Award Nortel Contact Centre 6.0 Interactive Communications Portal/IVR Internet Telephony Award Most Valuable Innovation 2008 Presented to Orlando Healthcare For Nortel Patient Discharge Solution 2008 - Nortel Contact Center for Infrastructure Service Leadership Nortel Contact Center 6.0 Nortel Contact Centre 6.0 Best ACD for EMEA, Best ACD for the World and Best Self-Service Solution for EMEA Best ACD/Switch Award (Overall best, best in EMEA, best in Americas) Best Self Service Solution (Best in EMEA) BCM 50 Product of the Year Nortel Awarded Five Star Rating for Partner Program © 2004 Nortel

Nortel Corporate Presentation Industry Analyst Quote Innovative Communications Alliance and Secure Router 4134 Nortel Corporate Presentation Robin Gareiss, Nemertes Research “The [Nortel Secure Router] 4134 is finally a tangible product resulting from the Microsoft/Nortel ICA, and it lessens the concern many enterprises face about whether to mix OCS and SIP applications. Such a multifaceted piece of hardware, coupled with Microsoft Mediation technology, would further differentiate Nortel from other vendors.“ – June 5, 2007, Robin Gareiss, Executive VP and Senior Founding Partner, Nemertes Research, in Network World’s Branch Office Best Practices Newsletter , “Nortel Branch Router Addresses Branch, OC-integration concerns” . “During 2007,UC will have an impact on the enterprise voice market and on all the vendors that currently sell into it. Microsoft’s announcement of the Office Communications Server (OCS) 2007, scheduled for 2Q07, along with product announcements from Nortel through the end of the year (as part of the Nortel-Microsoft Alliance) will impact the market at the end of 2007.” -Dell’Oro, IP Telephony Enterprise Report, 4Q06 “Possibly the biggest product announced in this mold is the UC Integrated Branch [Secure Router 4134], which will deliver VoIP and unified communications from a single device that also includes data routing and switching, a media gateway, a presence server, codecs, an IP PBX, and Microsoft's Office Communications Server. That takes the typical branch office, which according to Nortel CEO Mike Zafirovski has seven devices to enable various forms of communications, and shrinks the number to one.” -January 2007 Nicholas Hoover, InformationWeek “It’s my belief that having two of the strongest, most well-known companies partnering on this type of solution might finally help push Unified Communications into the mainstream.” -January 2007 Greg Galitzine, TMCnet © 2004 Nortel

Industry Analyst Quote Ethernet Routing Switches Nortel Corporate Presentation IDC 2008 With the release of the ERS 2500 and 4500 stackable switch families, Nortel has enhanced its portfolio with convergence focused Ethernet Switching products for the enterprise. With these new additions to the portfolio, Nortel continues to deliver converged LAN solutions to enterprises of all sizes“, said Evelien Wiggers, research manager, EMEA Enterprise Networks from IDC - February 2007 Zeus Kerravala, Sr. VP, Yankee Group "[The ERS 5600] is more than a new line of stackable switches for traditional deployments. Given the performance and resiliency they bring to the data center environment, this new line offers enterprises flexibility at a very aggressive price point. This bolsters Nortel’s unified communications solution portfolio, but more importantly, it demonstrates that Nortel is moving forward in designing new products that represent strong offerings and commitment to the enterprise market.” - January 2009 Press Release Source: press release march 2007 © 2004 Nortel

Industry Analyst Quote Converged Network Infrastructure Nortel Corporate Presentation Industry Analyst Quote Converged Network Infrastructure “Nortel Brings Convergence-Ready Stacking to the Masses”, Mark Fabbi, Gartner March 2007 “Nortel end-to-end converged solution provides outstanding quality of experience for multimedia traffic through reliability, performance and intelligence” “Nortel has introduced stackable Ethernet routing switches for enterprises moving to advanced unified-communications applications. The pricing and capabilities make Nortel an attractive choice for even small enterprises” © 2004 Nortel

Industry Analyst Quote SMB Nortel Corporate Presentation Industry Analyst Quote SMB Justin Jaffe, IDC "Simplicity is the key focus of IT for many small and medium-sized firms. Forward-thinking SMBs want the capabilities of a cutting-edge, highly integrated communications solution, but it must be easy to implement and simple to manage, in addition to delivering a quick and significant ROI.“ – SCS500 Press Release, April 2008 “It is great to see Nortel proactively addressing this market; other vendors have tried to address the 1 to 300 market but they either over-deliver or under-deliver. Not one seems to have gotten it right. The BCM450 seems to be what the market has been waiting for, and it’s great to see you deliver it 6 weeks early..” – BCM450 Analyst Call, October 2008 "Nortel has identified a segment of the market that has either been under-served or over-served with products not suited for the 1 to 300 user market. The BCM450 nicely addresses the specific needs of this market. It is the right product at the right time for these customers." Allan Weckel, Dell'Oro © 2004 Nortel

Regional Leadership Proof points

Nortel Enterprise Voice Leadership North America Region #1 N.A. PBX line shipments over the last year (4Q07 to 3Q08) with 28% share and 1.5 times more lines shipped than our nearest competitor (Infonetics) #1 N.A. PBX line shipments YTD 2008 (1Q08 to 3Q08) with 27% share and 1.4 times more lines shipped than our nearest competitor (Infonetics) #1 N.A. PBX line shipments 3Q 2008 with 26% share and 1.2 times more lines shipped than our nearest competitor (Infonetics) 3Q08 N.A. PBX line shipments growing faster than the market (year-over-year) (Infonetics) 3Q08 N.A. PBX line shipments growing faster than the market (sequentially) (Infotech & Dell’Oro) #1 Canada PBX line shipments in 3Q08, YTD 2008, and over the past year (39%, 40%, and 43% share respectively) (Infotech) #2 in U.S. PBX line shipments in 3Q08, YTD 2008, and over the past year (18%, 17%, and 18% share respectively) (Infotech) 3Q08 U.S. & Canada PBX line shipments growing faster than the market (sequentially) (Infotech)

Enterprise Market Leadership Highlights EMEA, CALA, Asia Region Nortel Corporate Presentation Categories Leadership Voice EMEA Total Lines shipped [Canalys 2007] EMEA 500+ lines shipped [Canalys 2007] #4 #3 Multimedia Applications EMEA, CALA, ASIA Contact Center Revenue EMEA ACD Agent licenses shipped [Canalys 2007] EMEA Mailboxes shipped [Infotech 2007] #2 Data EMEA Market share Ethernet Switches [Gartner 2007] Integrated Security Appliances [Infonetics 2007] SMB EMEA Sub 100 SMB [Canalys 2007] MEA TDM Sub 50 Segment [Canalys 2007] #1 Update © 2004 Nortel

Nortel Corporate Presentation 20