1. Name of Presentation T E C H N O L O G Y S O L U T I O N S G R O U P The Next Ten Big Things To Know David Strom, Technology Editor, VARBusiness Michael Vizard, Editor-in-Chief, CRN Solution Provider Xchange, March 2003

2. 2003 XChange T E C H N O L O G Y S O L U T I O N S G R O U P Wireless Networks Rapidly becoming the standard networking technology in any new engagement Rapidly becoming the standard networking technology in any new engagement Has the twin virtue of reducing costs and increasing productivity Has the twin virtue of reducing costs and increasing productivity Convergence of 802.11 LANs and cellular networks creates new network fabric for mobile computing applications Convergence of 802.11 LANs and cellular networks creates new network fabric for mobile computing applications But watch out for security, incompatible standards (802.11g) But watch out for security, incompatible standards (802.11g)

3. 2003 XChange T E C H N O L O G Y S O L U T I O N S G R O U P Midrange Applications Times will continue to be tough in the high-end enterprise space, but mid range environments are spending Times will continue to be tough in the high-end enterprise space, but mid range environments are spending IT spending in mid size companies traditionally trails enterprise IT spending in mid size companies traditionally trails enterprise New modular implementations lets these companies play like a leader New modular implementations lets these companies play like a leader New offerings from IBM, Microsoft, others geared towards mid-market New offerings from IBM, Microsoft, others geared towards mid-market

4. 2003 XChange T E C H N O L O G Y S O L U T I O N S G R O U P Web Services SOAP, XML and related technologies significantly lower the cost of integration SOAP, XML and related technologies significantly lower the cost of integration Unrealized benefits of e-business due to lack on integration Unrealized benefits of e-business due to lack on integration EAI gives way to a new generation of business process integration EAI gives way to a new generation of business process integration Open source coming on stronger every day Open source coming on stronger every day Middleware hurdle drops to enable integration of business intelligence applications with production systems Middleware hurdle drops to enable integration of business intelligence applications with production systems

5. 2003 XChange T E C H N O L O G Y S O L U T I O N S G R O U P Systems and Storage Consolidation New generation of server hardware allows IT organizations to reduce costs New generation of server hardware allows IT organizations to reduce costs Re-engineering of data centers to leverage low cost 32-bit distributed data architectures driven by Windows.Net and Linux Re-engineering of data centers to leverage low cost 32-bit distributed data architectures driven by Windows.Net and Linux Centralization of storage using NAS Centralization of storage using NAS Better virtualization products from Hitachi and others as $ per TB costs drop Better virtualization products from Hitachi and others as $ per TB costs drop Appliances proliferate Appliances proliferate

6. 2003 XChange T E C H N O L O G Y S O L U T I O N S G R O U P Security Intelligent security products Intelligent security products Emergence of flexible frameworks Emergence of flexible frameworks Focus moves beyond the network level to include application and data security Focus moves beyond the network level to include application and data security Managed services become crucial Managed services become crucial Not just about anti-virus any more Not just about anti-virus any more Identity management is a happening place Identity management is a happening place Better threat identification and insider protective tools Better threat identification and insider protective tools

7. 2003 XChange T E C H N O L O G Y S O L U T I O N S G R O U P Subscription Services Pace picks up at an even faster rate as VARs realize the value of recurring revenues Pace picks up at an even faster rate as VARs realize the value of recurring revenues Technologies to facilitate outsourcing, such as broadband, web services and network management, all have subscription models Technologies to facilitate outsourcing, such as broadband, web services and network management, all have subscription models Hosted services gain momentum Hosted services gain momentum Security and managed network services get better Security and managed network services get better

8. 2003 XChange T E C H N O L O G Y S O L U T I O N S G R O U P Network printing Color is almost a commodity, but which technology will prevail (laser, ink, wax)? Color is almost a commodity, but which technology will prevail (laser, ink, wax)? Speed vs. first-page out Speed vs. first-page out Managing printers is still a challenge Managing printers is still a challenge Ethernet-attached printers moving into homes, smaller offices Ethernet-attached printers moving into homes, smaller offices Consumables is where the profit is! Consumables is where the profit is! Wireless printing coming on strong Wireless printing coming on strong Digital cameras driving new printer development and innovation Digital cameras driving new printer development and innovation

9. 2003 XChange T E C H N O L O G Y S O L U T I O N S G R O U P Real Time Batch updates of business transactions no longer good enough Batch updates of business transactions no longer good enough Manufacturers want all data immediately in order to take just in time manufacturing to another level to reduce costs Manufacturers want all data immediately in order to take just in time manufacturing to another level to reduce costs Mass customization of products is major requirement to drive profits Mass customization of products is major requirement to drive profits

10. 2003 XChange T E C H N O L O G Y S O L U T I O N S G R O U P Gigabit Networks Desktop deployment on the rise Desktop deployment on the rise Wire plant needs upgrading -- is CAT 5 good enough? Wire plant needs upgrading -- is CAT 5 good enough? How to evaluate/test your plant? How to evaluate/test your plant? More new apps that require gig speeds More new apps that require gig speeds Price differential nearly zero for 100 mB Price differential nearly zero for 100 mB How long until Gig E. in motherboards? How long until Gig E. in motherboards? Can the PC bus keep up with Gig speeds? Can the PC bus keep up with Gig speeds?

11. 2003 XChange T E C H N O L O G Y S O L U T I O N S G R O U P IP Telephony Voice over IP finally hits the big time Voice over IP finally hits the big time Rising telecommunication costs push companies to build their own internal phone networks. Rising telecommunication costs push companies to build their own internal phone networks. Many disaster recovery plans use VoIP Many disaster recovery plans use VoIP Need to reduce travel cost is helping drive adoption of collaborative applications, including video conferencing. Need to reduce travel cost is helping drive adoption of collaborative applications, including video conferencing. New apps that ride on top of IP phone networks and more to come -- promising more revenues for the VARs in the know New apps that ride on top of IP phone networks and more to come -- promising more revenues for the VARs in the know