1. 1 Linksys Channel Partner Integration Cisco and Linksys – Solutions for SMB

2. 2 Agenda Small Business Market Opportunity Ciscos Commitment to Small Business Why Become a Cisco Registered Partner Beyond Registered Cisco and Linksys – Solutions for SMB Q & A

3. 3 Importance of Small Business Source: Median Values, World Bank; Intl Labor Org. Employment Trends; Cisco SMO All Businesses 90% 10% New Jobs Globally 70% 30% Global GDP 50% Global Workforce 40% 60% Large Enterprises SMBs 100%= 3B$54T40M100M

4. 4 Small Business Technology Penetration 2009 Forecast 0% 10% 20% 30% 40% 50% 60% 70% NAM WE Japan LatAm EE,MEA APAC LANWLANSecurityHosted AppsStorageIP PBX Source: AMI 2007 Strong GDP Growth Forecasted; Very Low Small Business Penetration

5. 5 Extremely diverse, different buying behaviors Younger workforce, Web2.0 savvy, very collaborative Typically lack IT expertise More inclined to rely on trusted advisor Expect IT solutions accessed quickly and easily Need to be mobile and connected all the time Looking for Pay as I grow IT services New Customer Profile in Small Business

6. 6 Agenda Small Business Market Opportunity Ciscos Commitment to Small Business Why Become a Cisco Registered Partner Beyond Registered Cisco and Linksys – Solutions for SMB Q & A

7. 7 With our partners, deliver solutions that are easy to sell, deploy and use, to help small companies leverage network centric IT to grow their businesses. Vision The trusted IT and communications provider to small businesses and their partners. Strategy Cisco Small Business

8. 8 Ciscos Commitment to Small Business Created new Small Business Technology Group Created new World Wide Small Business Sales Organization Integrated Small Business Marketing Efforts Created Global SMB Channels Program (Cisco, Linksys, WebEx) Develop Small Business Service Practices

9. 9 Cisco and Linksys SMB Small Business 5–99 Employees Medium-Sized Business 100–249 Employees Provide Purpose Built, Easy-to-Use Full-Functionality Solutions of Premium Value Cisco and Linksys provide a comprehensive portfolio of products and solutions for Small Business customers

10. 10 New Approach for Cisco and Our Partners Use What Is Already Working: Leverage the industries broadest portfolio of purpose built products for SMB and build solution sets Take It to the Next Level: Blend traditional Cisco, Linksys, WebEx to differentiate Cisco and our partners Grow the Business: Enable ITaaS to create new business models and position VARs/SPs as trusted advisors, ensuring sustained profitability Managed or Hosted Services Data Storage 3 rd Party Apps Partner Service Portfolio

11. 11 Agenda Small Business Market Opportunity Ciscos Commitment to Small Business Why Become a Cisco Registered Partner Beyond Registered Cisco and Linksys – Solutions for SMB Q & A

12. 12 Why Integrate the Linksys and Cisco Channel Programs? Create a more comprehensive, targeted approach to the SMB market Delivers a clear approach to the SMB market for all partners in the Cisco family Combining resources, programs and benefits to ensure partners have everything needed to be successful in the SMB market

13. 13 Why Should I Become A Cisco Partner? Become part of the Cisco Channel Partner Program Expanded portfolio of Small Business products and solutions Access to expanded set of Sales & Marketing support tools and resources Partner level access to Cisco.com Access to promotions and incentives* Free training through SMB University Take advantage of Ciscos Small Business brand awareness & lead generation programs * Will vary by geographic region

14. 14 Cisco Registered Partner Requirements Step 1 Step 2 Complete the New Partner Registration Application Step 3 Read and accept the terms and conditions in the Indirect Channel Partner Agreement (ICPA) & Check the check box on the ICPA to indicate a transitioning Linksys LPC partner Step 4 Click to Submit your Application Obtain your Cisco.com User ID (CCO ID) Notification of acceptance will be received within 24 hours

15. 15 Linksys LPC Partner Transition Transition Milestones Aug 12, 2008 Linksys LPC partners notified of program retirement LPC program no longer accepting new partners Partners encouraged to transition to the Cisco Registered partner program Sept 16, 2008 Linksys LPC program is retired Linksys LPC assets now available on Ciscos Partner Central Partner transition continues Post Sept 16, 2008 Linksys partner transition continues Many Linksys LPC benefits transition to Cisco Formal tracking of transitioned partners and recruitment continues

16. 16 Agenda Small Business Market Opportunity Ciscos Commitment to Small Business Why Become a Cisco Registered Partner Beyond Registered Cisco and Linksys – Solutions for SMB Q & A

17. 17 Beyond Registered to Certified Partner As a Cisco Certified Partner you can… Differentiate yourself by marketing your Cisco expertise Access sales, training and marketing assets, programs and resources reserved only for Certified partners Participate in partner profitability programs Strengthen your relationship with Cisco and its sales organization

18. 18 SMB Specialization and Select Certification Become a Cisco Certified Partner by participating in the Select Certified program; the first level of Certified Partner SMB Specialization is required to become Select Certified Training available in E-Learning and Instructor Led formats Pass 2 On-Line Exams – Engineering and Account Manager Certified partners have expanded access to resources, programs and tools Select Certified Partners participate in the Partner Development Funds incentive program

19. 19 Agenda Small Business Market Opportunity Ciscos Commitment to Small Business Why Become a Cisco Registered Partner Beyond Registered Cisco and Linksys – Solutions for SMB Q & A

20. 20 Small Business Segmentation Simple / Very Small Business (VSB) Enthusiasts Small Business on the Move Tech Sophisticate 1.Home business (less than 10) 2.Do it yourself 3.Price and convenience 1.Small Business within minimal expansion 2.Limited IT internal support 3.Tactical buyers 4.No futures 1.Expanding businesses 2.Limited IT internal support 3.Interested in scale and solutions 4.Price still drives decisions 1.IT and networking critical to business operations 2.Internal IT support 3.Thinks long term and brand is important 1.Retail 2.Ecommerce 3.Service Provider 4.DMR 5.Dealers / VARs 1.DMR 2.Dealers / VARS 3.Service Provider 1.DMR 2.Dealers / VARS 3.Service Provider 1.DMR 2.VARs 3.Service Provider 1.Simple install and management 2.Subset of products 3.Consumer-like documentation and packaging 4.Simple UI 1.Broad suite of products 2.Individually managed via web interface and standard SNMP tools 3.Business level UI 1.Price is key, but so is security, scale and trade-up 2.Subset for more advanced networks 3.Bundled solutions 4.Increased manageability 1.Performance, support, and advanced technologies key 2.Buys systems 3.Vendor reputation critical 4.Demand for higher touch model Attributes Routes Product

21. 21 Size of Business is Secondary Consideration Context Core Networks importance to business ContextCore Need for engineering support Product Scalability, Customization Proprietary Solutions, Management Opportunity

22. 22 Cisco SMB Solutions (Small & Medium Business) Linksys by Cisco Business Series (Small Business) Network Importance Buying Motivation Strategic to business Long term focus Price-budget minded Tactical – convenient Product Customizable and scalable System Solutions Systems Management Fixed function and configuration Bundled 3rd party applications Individual Product Config Invest / Protect Small & Medium business features w/scalability Cisco Proprietary Content Replace existing unit or buy additional Trade-up to Cisco product offering Support Engineering and TAC support – with enhancements/upgrades RMA with general tech support Software update with bug-fixes Network is not core to the business Network is core to the business Defined by Customer Buying Motivation

23. 23 In Summary Cisco is committed to the Small Business customer and our partners that serve them Combining the key Small Business assets from the Cisco family channel partner programs will create a more comprehensive, targeted approach to the Small Business market Cisco will continue to develop products and solutions designed specifically for the Small Business customer Together, Cisco and our partners will deliver IT solutions to the Small Business customer that will drive customer satisfaction and growth

24. 24 For More Information Visit www.cisco.com/go/linksyspartner and review:www.cisco.com/go/linksyspartner Partner Frequently Asked Questions Linksys Partner Transition Guide Step-By-Step Guide to Become a Registered Partner Registered Partner Jump Start Guide

25. 25