1. Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. IoT – Connected Devices Presented by: Jeff Kissinger Channel Manager – Connected Device Partnersh, M2M

2. Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. 2 What’s the “Internet of Things” will be connected on the web by 2020, changing the way we live and do business. Forbes, “Gartner Top 10 Strategic Technology Trends,” December 12, 2013

3. Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. 3 “Internet of Things” Revenue ;M2M in Intelligent Building and Smart City Sectors to Bring in Billions. PR Newswire, October 18, 2012

4. Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. 4 THE CONNECTED WORLD IS HERE HEALTHCARE MEDIA / ENTERTAINMENT EMBEDDED PRODUCTS & SMART ACCESSORIES ENERGY & UTILITIES TRANSPORTATION RETAIL EDUCATION

5. Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. 5 M2M Overview Today’s machine-to-machine (M2M) technologies can automate the way you work by using sensors and devices to consistently exchange information. The impact of these new sources of data – Quickly act on the intelligence to create efficiencies Improve internal and external business processes Generate new revenue Control costs Drive better business decisions Provide enhanced customer service

6. Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. 6 INCREASING YOUR CUSTOMERS EFFICIENCIES Provide near real-time insight to help improve their operations Turn your data into actionable intelligence to improve decision making and eliminate inefficiencies SIMPLIFYING A COMPLEX MARKETPLACE Create solutions that make use of the cost-efficiency and security of cloud services. Maintain secure, reliable application performance. DRIVING NEW REVENUE STREAMS Streamline processes by utilizing automated devices and custom apps. Quickly and securely deliver existing products and services to market. ENHANCING YOUR CUSTOMER EXPERIENCES Offer timely and effective customer service solutions Increase loyalty with personalized interactions and access to products and services M2M Business Drivers

7. Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. 7 Key Elements of an M2M Solution Business Expertise Value to Customer Delivery of goods and services Change Delivery of Perceived Value Increase Revenue, Decrease Costs Majority of Value to Customer Focus on Core Business Device Network PlatformApplication

8. Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. 8 M2M Solution Development: The Bad Time to MarketCost to EntryChange Management Barriers to EntryNetwork ComplexitiesCloud Services Cost of ErrorSecurity RisksGlobal Considerations

9. 9 Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. Innovation Program

10. Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. 10 PEOPLE TECHNOLOGY TOOLS Innovation Center – West San Francisco, CA Innovation Center – East Waltham, MA Open Access to Expertise Ecosystem Partnerships “Go to Market” Innovation Labs Frictionless Engagement Ushering in the “Connected Everything” Age Innovation Driven: No fees, No IP, No exclusivity VERIZON INNOVATION PROGRAM OVERVIEW Verizon Innovation Program NATIONAL PROGRAM – TWO CENTERS

11. Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. 11 Hardware, Software & RF Engineering Commercial Network Sandbox Analytics & Tools Non-Traditional Commercialization Paths Cloud & Solution Enablement ABPM 2012 World Class Center Award LEED Gold Certified RF PERFORMANCE VALIDATION WIRELESS INTEGRATION CERTIFICATION SUPPORT PRODUCT DEVELOPMENT & OPTIMIZATION INCUBATION & RAPID PROTOTYPING TURNKEY SOLUTION ENABLEMENT VERIZON INNOVATION PROGRAM PRODUCT DEVELOPMENT SERVICES Verizon Innovation Program PRODUCT DEVELOPMENT SERVICES

12. Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. 12 70+ Commercialized Solutions 85+ Active Projects 300+ Innovation Ecosystem Participants Video Broadcast Verizon Innovation Program SOLUTION DIVERSITY Point-of-Sale Systech Q1 2013 Personal Asset TrackR Phone Halo Q2 2013 Collaborating for Meaningful Solutions Our collaborative approach to innovation helps address multi-vertical market needs. The Verizon Innovation Program enables an accelerated path to market. Mobile News Camera JVC Q4 2012 Verizon 4G LTE Router Netgear Q2 2012 Heartstart Defibrillator Philips Healthcare Q1 2013 Smart Trash & Recycling Big Belly Solar Q2 2013 Smart Accessories RetailNetwork AccessTelemetryUtilities Healthcare Tank Monitor Invensys Q1 2013

13. Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. 13 VERIZON INNOVATION PROGRAM SOLUTION DIVERSITY CON’T 4G LTE Interface Cards Cisco Enterprise / M2M Router Cradlepoint Ruggedized Router Sierra Wireless Virtuo Smartjuke TouchTunes Robotic Telepresence VGo Audio Broadcast Comrex Gaming Laptops DELL-Alienware 4G LTE Home Router Netgear Mobile Gateway InMotion Technology Video Broadcast LiveU Office-in-a-Box Ericsson Remote Healthcare BL Healthcare 4G LTE Router Juniper Smart Grid Node Ambient Electric Meter Itron, Inc. Industrial Pro Router Sixnet General Electric WiYZ Gateway Smart GridBroadcast - Audio Healthcare EntertainmentEducation Entertainment Network AccessHealthcareNetwork AccessBroadcast - VideoNetwork AccessSmart Grid Utlities Smart GridBroadcast - VideoUtilitiesNetwork AccessRetailTelematics Outage Advisor Sensor Cooper Power Systems LiveShot Broadcast Comrex Retail POS Systech Usage Based Insurance Xirgo Network Access

14. 14 Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. Verizon Partner Program

15. Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. 15 Verizon Partner Program A simple, straightforward and flexible program to connect your business to our world-class portfolio of technology solutions. Engage new customers Generate new revenue streams Increase your competitive advantage

16. Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. 16 Partner Program Benefits

17. Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. 17 Verizon Ventures Verizon Ventures - Support for entrepreneurs driven to make a difference. Together, we can solve today's biggest challenges. We seed the future of technology by backing big ideas, with funding, strategic connections, and expertise. Investing in the right ideas at the right time. Our success depends on helping entrepreneurs find individual success—developing new technologies that complement and leverage our global networks, platforms, and distribution channels. We're particularly excited by solutions that empower our retail and enterprise customers. And we're always on the lookout for disruptive technologies and business models with the potential to capture a significant share of a large market.

18. Confidential and proprietary materials for authorized Verizon personnel and outside agencies only. Use, disclosure or distribution of this material is not permitted to any unauthorized persons or third parties except by written agreement. 18 Verizon Ventures. Areas we invest include: Smart devices—M2M and more: All things coming out of development that can connect to our networks. Social machines that reinvent consumer products through connectivity. Content—video, web, and mobile applications: Players that can disrupt the current linear model, allowing for viewer interaction. Mobile First apps and services that challenge incumbent web video services. Technologies to unlock apps from devices, easing developer burden for cross-device functionality. Cross-platform/modality advertising that can maintain relevant messaging between different types of media. Enterprise video that connects employees and integrates into daily work life. Digital marketing and commerce: Mobile advertising that goes beyond the major entrants and fills gaps in the ecosystem. Cloud, enterprise IT, and networking: Public and private cloud services to converge infrastructure and share resources. Anything security—network, web, messaging, identity and access management, mobile/endpoints, and firewalls. Virtualization as it moves into network services and storage..