1. Mike Allers 404.861.7784 mallers@aerohive.com

2. Mobility Changes Everything

3. Visionary Network Infrastructure Company
Cloud-enabled, Controller-less Wi-Fi, Routing, VPN, Switching
16,000 Customers (1,600+ in Q2/14)
HIVE – Listed NYSE
550+ Employees
Most Visionary Vendor - Gartner MQ Wired & Wireless LAN 2014
Deloitte - #5 of 500 NAM “Fastest Growing Companies
Apple Partner
iBeacon
Cloud Services Platform
Public or On-Prem
Cloud Services Platform
Public or On-Prem
HiveManager OS
Switches
“Aerohive is a wireless LAN vendor primarily, we’re moving into wireless networking and networking in general.  The key difference between us and everyone else in the marketplace is simple yet important and that’s the lack of a controller.  Traditional wireless for the last 10 years or so has been based around intelligence in a central controller with fairly thin APs at the edge.   Aerohive has moved that model forward as Moore’s Law has made access points cheaper and more powerful we can now do everything a controller can do inside the access point.  So this allows the Aerohive solution to have stateful firewall and high levels of security and encryption in the access point without the additional cost, bottlenecks, or single point of failure offered by our competitors. We built our Wi-Fi solution focused on our customers business needs TODAY and we are in the 5th generation of our product and we are the only company who does this.
”  -Aerohive Elevator Pitch
About Aerohive: “Aerohive senior staff originated with NetScreen (first company to put a firewall on a chip) which then purchased by Juniper Networks. While at Juniper the former NetScreen team was tasked to identify a “best of breed” enterprise wireless LAN Equipment Vendor. Looking around at the market they came back to Juniper and determined that not a single player in the market could be recommended b/c they all relied on a legacy architecture that had a similar flaw: they all required a controller. They recommended that Juniper make their own solution from the ground up and eliminate the controller, Juniper thanked them for their input, sat on their hands for a few years and ultimately opted to buy Trapeze Networks. So in 2006 that former NetScreen team, believing in their idea of building a next-gen wifi solution left Juniper and created Aerohive. Today we are the fastest growing Wi-Fi manufacturer in the industry.
*Slide Note: If you have time you can speak to “according to the most recent Gartner report…”
BACKGROUND
Aerohive Advisor Bob O'Hara, co-founded Airespace, and is widely regarded as a pioneer in the wireless LAN industry for his significant role in the creation of the original standard and in introduced the first centralized control system for wireless LANs. Cisco Systems acquired Airespace in 2005 and to this day runs a very profitable business selling this same configuration to customers. When Airespace introduced controllers into the market, they did so in order to overcome the shortfalls of autonomous APs at a price point that was appropriate for the time.  Now that AP hardware is a commodity and extremely powerful CPUs and RAM are cheap, APs can be built to do all of the same things that controllers can do... and more.  The reason that I say more is that controllers introduced problems of their own, such as throughput bottlenecks, single points of failure, manual configuration of everything, and a few more un-fun items.  These problems do not exist when using software between APs.
APs & Routers
#5 of 500 “Fastest Growing”
“Most Visionary”
Apple Partner

4. New AND Existing Customers Driving Rapid Growth
Total Customers
Year over Year Growth – 1H 2013
11,609
Customers
Source: Infonetics, Aerohive

5. Our Customers 5

6. Wired and Wireless Infrastructure Magic Quadrant Aerohive is a Visionary!
A Magic Quadrant Visionary for wired and Wireless Infrastructure
We have been made a Visionary in the Wired and Wireless LAN Access Infrastructure for the 3rd year in a row!!
Aerohive Networks
Aerohive continues to grow faster than the overall industry in terms of revenue
Aerohive's key differentiator continues to be its distributed intelligence, controller-less architecture and unified HiveManager network service applications, supporting a cloud- or on- premises-based single control point for onboarding, monitoring, and managing both the WLAN and wired switches as a unified network.
Enterprises should consider Aerohive for all overlay WLAN deployments, especially in the education, retail and healthcare sectors.
Clients report that the context-based visibility, policy enforcement and analytics capabilities have good user interfaces and ease of use.
Aerohive customers gave high marks for its experience, including sales, support and performance of the solution. The vendor's solutions are typically the most cost-effective, based on the bids that Gartner reviews.

7. Bob Knows Best

8. Legacy Enterprise Networks
Architected for Basic Connectivity
Rigid Centralized Control & Enforcement
Employee
Guest
Employee
Employee
Employee
Guest
Employee
Employee
Guest
ENTERPRISE DATA CENTER
ENTERPRISE CLIENTS 8

9. Breaks Legacy Enterprise Networks
Mobility Revolution
Breaks Legacy Enterprise Networks
ENTERPRISE DATA CENTER
Employee
Guest
ENTERPRISE CLIENTS
MORE DEVICES
MORE LOCATIONS
MORE USERS
MORE CLOUD SERVICES
MORE DATA 9

10. Scalability and future proofing
Distributed (Controller-less) Wi-Fi Architecture Delivering simplicity, reliability and affordability
Management
Management within the network only
Centralized cloud-based or
Local management
Redundancy
Requires multiple controllers
Local data forwarding..what do you lose?
No single point of failure
Self healing mesh architecture
No controller tax
Scalability and future proofing
Controller capacity?
Feature licenses?
No feature licensing
Start small and grow
Distributed intelligence
(FW, RADIUS, CWP, BYOD, Bonjour GW)
Performance
Data bottlenecks
QoS, Spectrum analysis..$$$
No data bottlenecks
Service Level Agreements
QoS & Spectrum analysis included
How does it work?
Architectural Alternatives
Central Vs. Distrib. Control

11. How does it work?
HiveManager NMS
Reporting
Heat Maps
SLA Compliance
Policy Configuration
Wireless
Network
Wired
Network 
With Cooperative Control, clients can securely and seamlessly roam across the WLAN
With a second HiveAP, fast stateful roaming, cooperative RF, station load balancing and seamless resiliency are enabled
Cooperative RF power levels minimize co-channel interference
As more HiveAPs are added, coverage, reliability and backhaul bandwidth increases
Mesh networking and best path forwarding can be used for extra resiliency and reachability
Dynamically reroutes around failures
HiveAPs are discovered, policy is pushed and the WLAN is operational
HiveManager is a single mgmt interface for configuration, OS updates & monitoring of thousands of devices
A single HiveAP by itself acts as a full-featured enterprise class access point
Identity-based security, including stateful inspection FW, rogue detection & mitigation
Airtime Scheduling, SLA compliance and local forwarding implemented at the edge
Dynamic best path forwarding and stateful roaming provides resiliency without a single point of failure
With Cooperative Control, clients can securely and seamlessly roam across the WLAN
And now I’d like to take you through a brief example of how you can deploy this technology into your enterprise network. On the right of your screen you see a simplified enterprise switch topology, with four access layer switches and two aggregation switches. We can start by bringing in a single HiveAP into the network infrastructure and connecting it to one of the switches.
The single HiveAP by itself acts as a full-featured enterprise-class access point -- robust functionality with the identity-based security and quality of service, and local forwarding at the edge of the network. When you bring in a second HiveAP, they are joined together in a hive, and then you start to see the power of the cooperative control architecture.
They work together to implement fast, stateful roaming, cooperative RF control, station load balancing, and provide seamless resiliency. For example, on your screen you can see the circles around the two access points are of different colors. Those represent the channels, the access points are working on.
There are channel negotiation protocols that work together to make sure they’re running on separate channels. The access point that the laptop is connected to has taken the user state and the keys and has shared that with the next top neighbor, so that next top neighbor is able to implement predictive roaming.
So when the laptop moves, he will roam seamlessly to the next top neighbor, with roam times well under 50 milliseconds, because his state and security has been pre-populated at that access point. We can also implement mesh networking and best path forwarding for extra resiliency and reachability. The mesh networking protocols will dynamically re-route around network infrastructure failures.
For example, on your screen you can see the two access points are connected together with a mesh link. The red X shows that the switch has failed, but the mesh routing protocols will route the traffic around the switch failure and will allow applications to continue uninterrupted even in the event of a LAN infrastructure failure.
The network can be seamlessly scaled by simply adding more HiveAPs as needed, as you need more coverage, you want more reliability or more back-haul bandwidth into the network infrastructure. You don’t have to worry about capacity planning up front because there were no fixed constraints around your controller capacity.
In this topology, four of the HiveAPs are wired directly into the Ethernet network, what we call portals, and one of the HiveAPs on the bottom left is wired as a mesh node, where the cell phone is connected to. With a more complex topology like this, we now have many more access points, and many of them are running on the same channel.
To eliminate co-channel interference, the cooperative control auto power level adjustment features kick in and power levels are adjusted to provide maximum coverage with minimal co-channel interference, allowing the system to give you the most robust wireless infrastructure possible.
With a more complete deployment like this, with more nodes and more alternative routes through it, you have even higher levels of resiliency. You can recover from multiple failures in your wired or wireless infrastructure.
As we’re showing here, we have had two switch failures and a wireless LAN access point failure, and the traffic is still routed around through multi-hop mesh into the network infrastructure, providing unprecedented levels of resiliency. And not only does the cooperative control architecture provide these functionality advantages and technological advantages, but it provides substantial economic advantages when deploying a wireless LAN.  

12. Application Visibility
See, Manage How the Network is Really Used

13. Control at Scale
Central Controller Architecture
Distributed Architecture
You Must Inspect Packets in Real Time
To Make Automated
Policy Decisions
Processing packets real-time takes POWER
Inspecting Packets takes PROCESSING!
AVC needed to deliver the security, visibility and enforcement required for mobile-centric networks
Processing requirements
make a distributed, controller-less architecture disruptive all over again!
Application Processors in 500-AP network

14. Disruptive Price Point
Aerohive List Price vs. Cisco List Price
Highly Distributed
1,000 Sites, 3,000 APs1
Large # Regional Sites
200 Sites, 12,000 APs2
Centralized Campus
10 Buildings, 5,000 APs3
26 % less
58 % less
60 % less
APs
Management
Controllers
Redundant Controllers*
* Typical Cisco enterprise deployments require redundant controllers for high availability.
Company estimates based on Cisco list pricing from and Aerohive list pricing as of Jan For illustrative purposes only.
Note: Comparisons do not reflect discounts to list prices which may be typically offered in a commercial transaction.
1. Aerohive list price 3,000 x 121 APs, HiveManager Online Mgmt. & 5 yrs. Support (5x1y) vs. Cisco list price1,000 x Controllers, 3,000 x Aironet-1600 APs, Prime Mgmt. & 5 yrs. support(5x1y)
2. Aerohive list price 12,000 x 121 APs & HiveManager Online Mgmt. & 5 yrs. Support (5x1y) vs. Cisco list price 200 x Controllers, 12,000 x Aironet-1600 APs, Prime Mgmt.& 5 yrs. Support (5x1y)
3. Aerohive list price 5,000 x 121 APs, HiveManager Online Mgmt. & 5 yrs. support (5x1y) vs. Cisco list price 10 x Controllers, 5,000 x Aironet-1600, APs, Prime Mgmt. & 5 yrs. support. (5x1y) 14

15. Proven Customer Success
1,700+ restaurants
Simple and scalable management
Why Aerohive?
Simplicity
200+ schools and administrative buildings
Wireless access for 176,000 students, 20,000 staff and teachers
Why Aerohive?
Scalability
12 hospitals, clinics
Visibility and control of medical applications
Why Aerohive?
Security

16. Density, Performance, Application Visibility and Control
Deploying for Density, Performance & AVC $100, ac Deployment Comparison
Density, Performance, Application Visibility and Control
More Clients
More Throughput
More Processing
Based on list pricing for Cisco AP2700 and Cisco WLAN Controller & Prime cisco.com - Jan 2014 price list
Based on list pricing for Aruba 224s and Aruba 7200 WLAN Controller, RF Protect, PEFNG, & Airwave SecureWireless.com – March 2014 price list
Based on list pricing for Aerohive March price list Aerohive list pricing includes 7/24 support

17. BREAKING NEWS – Aerohive Voted Best Value in Wired/Wireless LAN
Winner of the Trend Setter Award

18. 56% of business from repeat customers
Start Small And Grow
Disruptive Go-to-Market Model
Easy to Get Started
Easy evaluation
Easy installation
Effective for large and small customers
Easy to Expand
Additional locations
Additional infrastructure
Additional applications
56% of business from repeat customers 1
Based on Company prepared analysis of bookings from Q – Q

19. Target Customer: Significant Market Opportunity and Competitive Advantage
Fortune-like
Seek executive exception
Sell to this broader audience who will use our solution “as is”
Commercial
Primary sales focus & marketing message
Focused product development
Focused marketing content & demand gen
Channel can be made more self-sufficient
Retail
Healthcare
D. Enterprise
Education
Upper
Midmarket
Focused product development
Better execution – less “one off” developments
Roadmap less influenced by non target feature requests
Greater dependence on SE feedback
Work with the right technology partners
Focused marketing content & demand gen
Better brand recognition w target
Content made channel ready
Enterprise simplicity resonates with larger accounts too
Channel can be made more self-sufficient
Allows Aerohive to scale
Sales & channel can ramp faster
Sell to audience who need & value our enterprise features
Lower
Midmarket
SMB
Not a focus (avoid) 19

20. The Midmarket Opportunity
NATIONAL CENTER
MIDDLE MARKET
FOR
THE
MIDDLE MARKET
SMALL BUSINESS
<$10M
ANNUAL REVENUE
~6M
BUSINESSES
BIG BUSINESS
<$1B
ANNUAL REVENUE
~2,000
BUSINESSES
<$10M - <$1B
ANNUAL REVENUE
195,000
BUSINESSES
the US Midmarket is the
largest global economy th 4

21. Competitive Opportunity in Midmarket / Commercial
Large Enterprise
Midmarket
Small Business
Aerohive
Single unified architecture
Aruba Legacy
Aruba Instant
Cisco Airspace
Cisco Meraki
Cisco Unified Access

22. Thank you!