FEDERAL MARKET OVERVIEW August 16, 2011 JAMES FYLES | DIRECTOR, CHANNEL MANAGEMENT MOTOROLA SOLUTIONS.

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Presentation transcript:

FEDERAL MARKET OVERVIEW August 16, 2011 JAMES FYLES | DIRECTOR, CHANNEL MANAGEMENT MOTOROLA SOLUTIONS

PAGE 2 FEDERAL TRENDS CR issue clearly have had an impact on FY2011 Still cause for optimism Agencies behind in procurements and feeling pressure OpEx vs CapEx IT budgets potentially less susceptible to cuts Continued decline in GSA vs Agency Vehicles Extra step in buying process Not just who buys – but how?

FEDERAL IT FORECAST FY2011 IT Budget request - $79.4 Billion PAGE 3 Source: OMB, INPUT FY10 figures are OMB estimates. *Enacted **Assumes 103% of FY11 request.

FY11 IT BUDGET REQUEST PAGE 4 Source: FY2011 OMB’s Report on Information Technology (Exhibit 53) -63% -2% +7% Total FY2011 IT Request - $79.4 Billion

Inspections E-Forms Work Orders Asset Management Chain of Custody Resource Management Maintenance (MRO) Federal Civil Agencies are looking to improve efficiency and productivity with Field Mobility Mobility Applications FEDERAL CIVIL OPPORTUNTITES FOR FIELD MOBILITY * Civilian Field Mobility opportunities have less barriers to entry than DoD due to added security requirements. OPERATIONAL EFFICIENCY

6 Mobile Services and Products Source 50 Unit Deployment Average Partner PriceEnd User Price Handheld Mobile (MC75A Cellular Modem)Motorola $80,000$100,000 Handheld Accessory Kit (Could include Cradle/PS/Spare Battery) Motorola $12,500$17,500 Service from the Start (3 Year Bronze)Motorola $12,500$17,500 MDM (MSP3 Stage, Provision, Control, & HW)Motorola $2,180$3,800 MVPN (Airbeam)Motorola $8,082$13,065 Mobility Application/Servers3 rd Party $27,000$34,500 Wireless Activations (One Time Credit to Reseller) 3 rd Party $0$5,000 Integration Services (Installation/ Configuration)Reseller $24,000$35,000 Application Design Services (1 Design Cycle)Reseller $54,400$100,000 Support: Application Maintenance / Support (Reoccuring Revenue Opportunity) Reseller TBD Solution Revenue $220,662$326,365 Per Unit Revenue $7,226$6,527 Gross Profit$105,703 Gross Margin %32.38% SOLUTION EXAMPLE Design Services (Varies by Complexity) Support Services Reoccurring Application Support Revenue Actual Motorola Product Pricing dependent on Partner Empower Status

PAGE 7 FEDERAL MARKET SPECIALIZATION

SPECIALIZATION STRUCTURE SPECIALIST Mobile Solutions Track channel partners with exceptional competency and significant success in the U.S. Federal markets receive the Specialist designation AUTHORIZED MEMBER Mobile Solutions Track channel partners that meet a basic set of U.S. Federal Markets Specialization requirements receive the specialization designation of Authorized Member INCREASED PROGRAM BENEFITS PAGE 8

ADDITIONAL FED BENEFITS PAGE 9

VAR SUCCESS CRITERIA PAGE 10

THANK YOU… MOTOROLA, MOTO, MOTOROLA SOLUTIONS and the Stylized M Logo are trademarks or registered trademarks of Motorola Trademark Holdings, LLC and are used under license. All other trademarks are the property of their respective owners. © 2010 Motorola, Inc. All rights reserved. iProtect Classification as Appropriate

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