MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners. © 2010 Motorola, Inc. All rights reserved. PAGE 1 Total Cost of Ownership Consumer vs. Enterprise Device Decision

MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners. © 2010 Motorola, Inc. All rights reserved. PAGE 2 Getting Started A mobile field service solution ensures your company is set to better serve your customers, but make no mistaketo optimize you need to approach the transition smartly and with a plan

MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners. © 2010 Motorola, Inc. All rights reserved. PAGE 3 Two Main Device Types - Consumer and Enterprise Grade Devices Most TCO analysis places greatest emphasis on upfront system acquisition, deployment and training costs-in other words, hard costs. However…. VDCs research reveals that the soft costs associated with mobile computing solutions – device failure and downtime, productivity loss and maintenance/support costs- represent the most significant contribution to overall TCO. VDC Research

MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners. © 2010 Motorola, Inc. All rights reserved. PAGE 4 Increased Dependency of Mobile Applications/Devices The impact of a non-working device in the field means lost revenue opportunities. Mobile device end users lost an average of 75 minutes of productivity each time the device failed. With the average device failing as much as 20 times per year, that can translate into as much as $4,000 in lost revenues per employee per year VDC Research Nearly 50% of mobile computing operating costs are associated with worker productivity downtime when the device fails.

MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners. © 2010 Motorola, Inc. All rights reserved. PAGE 5 Primary Causes of Device Failure Water/liquid, excessive temperatures and EMI exposures were cited as the primary causes of device failure.

MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners. © 2010 Motorola, Inc. All rights reserved. PAGE 6 Typical Replacement Timeframe While consumer grade initial cost is lower, the overall total cost of ownership is higher Q: On average, what is the typical timeframe that your organization replaces its mobile devices? (Years)

MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners. © 2010 Motorola, Inc. All rights reserved. PAGE 7 Source: 2009 VDC Research Group, Inc. Mobile and Wireless Practice Annual & Five Year TCO (in USD) Ruggedized mobile computer TCO was more favorable than commercial grade TCO by a considerable percentage: Small Form Factor: 34% savings Large Form Factor: 59% savings Productivity loss represents a significant portion of TCO – especially for non- rugged devices Annual and five year TCO of mobile devices varies considerably by form factor and level of ruggedness. For the applications evaluated – typically mission critical applications involving frontline workers – rugged solutions had a more favorable TCO in comparison to commercial grade solutions with similar form factors TCO – Rugged vs. Commercial Grade

MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners. © 2010 Motorola, Inc. All rights reserved. PAGE 8 ABI Blackberry White Paper against Rugged released 2009 In 2009 ABI Research released a white paper Mobilizing Field Forces on Smartphones Sponsored by RIM Primary argument was: Smartphones cost as much as 8x less than rugged devices, Claimed this was primary driver for lower TCO Are always connected vs rugged (old argument since we have all WWAN Device management tools (weak and false argument - which Motorola uses MSP and similar products) Replaceable at local retail location Water damage usually not covered any time Failed To Consider They fail to mention that full replacement cost on 2nd units and beyond Failed to calculate for IT management time, imaging, redeploying, and full replacement cost for device if damaged before contract expires Difficulties of model changes changing apps and images adjusting for new screens, buttons, OS upgrades

MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners. © 2010 Motorola, Inc. All rights reserved. PAGE 9 Blackberry Arguments Always Connected Low Initial Costs $5-600 subsidized costs Low Replacement Costs Retail replacement model, spares Form Factor, smaller, more likely to carry all the time Add on peripherals Put in a case and it ruggedizes the phone Motorola Arguments Yes, all carriers, and LWAN, PAN ES400 and MC55 address this Not so, usually pay full price for replacements, water damage not Advanced Services, exchange in air ES400 addresses with size Source of failure, batteries, charges to support Most damage is with water damage and screen, BodyGlove type cases do not address Blackberry Arguments Against Durable Devices

MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners. © 2010 Motorola, Inc. All rights reserved. PAGE 10 Select the right mobile devices Environmental Conditions Know your environment and user culture before you choose a device Rugged vs Non-Rugged Integrated Bar Code Scanners Screen - durability and brightness Keyboard - Numeric, QWERTY, Soft keyboard Downtime and Maintenance Prioritize real-time data vs. non-real-time data WWAN/WLAN - Wireless Wide Area/ Local Area Network Location Based Services, GPS Mobile Payment Needed? Support and Operations IT support – help desk Platform Life span Roadmap Hardware and accessories, RFID, Video, Software OS and APP and Device Mgmt Scanning Credit Card Swipe Durable Multiple Cell Carrier Long Life Support

MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners. © 2010 Motorola, Inc. All rights reserved. PAGE 11 Converging Consumer Style with Enterprise-Class Performance: ES400 True enterprise-class device offers all the features mobile workers need to act right on the spot: Mobile computer for rich application access 3.5G world cell phone, User Programmable Carrier Choice High resolution 3.2 MP color camera to capture: -Photos/videos -1D/2D bar codes -Signatures -Documents GPS for geo-stamping, navigation, geo-fencing and more Turns action item into action taken.

MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners. © 2010 Motorola, Inc. All rights reserved. PAGE 12 Additional Resources Motorola White Paper: Look Beyond Acquisition Motorola White Paper Survival Guide Implementing A Mobile Field Service Solution with Mobile Payment VDC Research update John Pomerleaus compass site, Industry Updates Click here for addl info on Moto Field Service Stuff! 63http://compass.mot.com/go/

MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners. © 2010 Motorola, Inc. All rights reserved. PAGE 13 A mobile field service solution ensures your company is set to better serve your customers, but make no mistake to optimize you need to approach the transition smartly and with a plan

MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners. © 2010 Motorola, Inc. All rights reserved. PAGE 14 Questions ?