2. 2008 The Magic Quadrant is copyrighted August 2007 by Gartner, Inc. and is reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner's analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the "Leaders" quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose. SOURCE: Gartner, Inc., “Magic Quadrant for Unified Communications, 2007” by Bern Elliot, August 20,2007 The Magic Quadrant graphic was published by Gartner, Inc., as part of a larger research note and should be evaluated in the context of the entire report. View the full Gartner report, compliments of Microsoft, at http://mediaproducts.gartner.com/reprints/microsoft/article3/article3.html. http://mediaproducts.gartner.com/reprints/microsoft/article3/article3.html Why Recognized As a Leader?

3. Trends Drive Market Opportunity… UM $750 $750 Voice$21,700 Messaging$14,300 EIM $830 $830 Conferencing$7,800 Worldwide Market Size – 2010 (MM) …And Partner Businesses OCS-related resource capacity need grows by ~240% by 2010 Projected capacity gap of 36% in UC services in 3 years Partners breaking even on new UC practice in 1.5 years UC practices are attractive steady state businesses with 19% margins Costs of starting a new IW practice start at $140k to $400k

4. Cisco UC Down 5% Price competition is seen as business as usual and resulted in lower margins in Emerging Markets and APAC (59%-60% gross margin vs. 66%-73% across Europe, North America, and Japan) 38% and 20% declines in revenue for Emerging Markets and APAC respectively Cisco UC Down 5% Price competition is seen as business as usual and resulted in lower margins in Emerging Markets and APAC (59%-60% gross margin vs. 66%-73% across Europe, North America, and Japan) 38% and 20% declines in revenue for Emerging Markets and APAC respectively IBM IBM have publicly stated that their Notes business declined by 15% YoY IBM IBM have publicly stated that their Notes business declined by 15% YoY Microsoft Over 90% OCS YOY Growth in Australia Exchange continues to win share in Australia Microsoft Over 90% OCS YOY Growth in Australia Exchange continues to win share in Australia Additional 100,000 Notes seats won in Australia

6. UC Selling Strategy Full Stack Exchange + OCS Enterprise CAL Enterprise CAL Suite 1.Win Exchange UM (voicemail replacement) 2.Deploy conferencing - web, voice, video 1.PBX replacement – Wave 14 Exchange + OCS Enterprise CAL Enterprise CAL Suite Ready the Infrastructure 1.Upgrade messaging to E2010 2.Win IM, Presence Exchange + OCS Standard CAL Core CAL Upgrade the Communications Base, Integrate Voice Take advantage of Exchange and OCS Deployment Planning Services Licensing Deploy Selling Strategy

7. Coming This Year: IW 2010 ! EDPS = Exchange Deployment Planning Services. http://microsoftedps.com/ http://microsoftedps.com/ Exchange 2007 & 2010 RC Available Now Exchange Online & S+S Microsoft Software-plus-Services The power of choice 1.Two areas of focus this Year: Exchange + UC (Voice, IM, UM, Conferencing) Collaboration: Office, Sharepoint, Project, Visio 2.Win with Exchange Deployment Packaged Services (EDPS) 3.Compete with BPOS & S+S A Structured Engagement http://www.partneredps.com Your consultant reviews new Microsoft Exchange product features, shares best practices, analyses organizational requirements, provides hands-on deployment training, and helps create comprehensive deployment and implementation plans. The number of engagement days is 1, 3, 5, 10, or 15, as determined by your customer’s Software Assurance coverage. Addition of 1-Day Engagement: Start talking to your smaller customers about the availability of the 1-day engagement. Check out the new engagement and technical documents located in under Technical Engagements. Exchange 2010 Engagement: EPS is planning to be updated with Exchange 2010 technical and delivery materials at the end of 2009. A Structured Engagement http://www.partneredps.com Your consultant reviews new Microsoft Exchange product features, shares best practices, analyses organizational requirements, provides hands-on deployment training, and helps create comprehensive deployment and implementation plans. The number of engagement days is 1, 3, 5, 10, or 15, as determined by your customer’s Software Assurance coverage. Addition of 1-Day Engagement: Start talking to your smaller customers about the availability of the 1-day engagement. Check out the new engagement and technical documents located in under Technical Engagements. Exchange 2010 Engagement: EPS is planning to be updated with Exchange 2010 technical and delivery materials at the end of 2009. 1.Exchange 2010 & UC (Voice, IM, UM, Conferencing) 2.Win with Exchange Deployment Planning Services (EDPS) 3.Compete with BPOS & S+S Win with Voice Mail, Archiving & Compliance, & Storage Exchange 2010 Beta Available: www.microsoft.com/australia/exchange2010

8. Clear Roadmap to Enterprise Voice Core telephony feature availability OCS 2010: Branch Survivability, E-911, High Availability, Analog Device Support OCS R2: Single Number, Attendant Console, Basic ACD, HD Video, Integrated Workflow OCS R1: Most Common Voice Features; plus IM and Rich Presence, Unified Messaging, Audio/Video Conferencing, Desktop Integration

9. Key Drivers for implementing UC ENHANCE PRODUCTIVY & COLLABORATION ENHANCE PRODUCTIVY & COLLABORATION

10. Separate Management Communications Turning 90 Degrees Bringing together people and information with software

11. Key Drivers for implementing UC LUCAS LUCAS HOUGH-NEILSON EMPIRED

12. Microsoft Unified Communications Working on Opportunities Ignite Training OCS 2007 – Internal installation and validation Lighthouse Client Joint Marketing Events with Microsoft Reference Client OCS 2007 R2 Internal installation and validation

13. Initial Solution OCS 2007 for Live Meeting 20 users Licensing OCS 2007 Standard Edition w/SA OCS 2007 Enterprise CAL’s Benefits Instant Messaging / Presence Video Conferencing - less travel, less costs Meetings, Training and Collaboration 35%-40% saving in first quarter

14. Expanding Unified Communications Client needed to move Head Office Separate building same suburb Keeping old building UC Requirements Phone System Voice Mail Issues Very tight time frame Couldn’t take phone number range

15. Solution Data link between sites Voice Gateway at existing site (kept #’s) 40 Enterprise Voice users Combination of Plantronics and Jabra head sets and Tanjay phones Upgraded to OCS 2007 R2 Moved over one weekend Licensing Additional OCS Enterprise CAL’s w/SA Exchange Server 2007 Standard Edition w/SA Exchange Enterprise CAL’s w/SA

16. Expanding Unified Communications Hardware End devices Voice Gateway Additional Servers to support VoIP solution Client Benefits VERY quick access to a new phone system Minimum infrastructure at new site Kept phone number range Additional users now licensed for OCS Voice Mail Currency of Exchange

17. Expanding Unified Communications Ironport device expiring $20K+ Forefront Online Security for Exchange Main Issue Performance on lower speed links Private IP Network Remote Branches Local one with the Voice Gateway Replace phone systems with OCS Age and variety of phone systems

18. Expanding Unified Communications Expected Benefits More users licensed for Live Meeting and IM/Presence Normalised numbering scheme (?) UC / OC Value Simplified Management Significant reduction in phone costs Flexibility in receptionist use

19. Additional UC Benefits / Next Steps Starting to leverage Hosted Conferencing Will be implementing Edge Server Enhanced interaction with partners and clients Licensing Challenge ROI Whole implementation 2-3 * Qtrs of Live Meeting Savings!!

20. Key Drivers for implementing UC COST SAVINGS

21. “ We expect unified communications to increase our ability to move forward faster.” CIO, global business services firm The Business Impact of Unified Communications Good for business. Better for the earth.

22. Partner Revenue Opportunity Target Customers

23. Conferencing Potential Departmental buys limit user access Limited user base reduces conferencing usage scenarios On average, it takes 17 minutes to start a video conference Separate application; separate learning curves Confusing, cluttered applications

24. Conferencing Potential Departmental buys limit user access Limited user base reduces conferencing usage scenarios On average, it takes 17 minutes to start a video conference Separate application; separate learning curves Confusing, cluttered applications Live Meeting installs seamlessly into Microsoft Office All users can leverage conferencing usage scenarios using a webcam or CX5000 It takes 1 Click to start a video conference using Live Meeting Fully integrated application experience; no new learning curves

25. HostedSolutionsPremiseSolutions Separate services for audio, video, and web conferencing Integrated hosted solution for audio, video, and web conferencing Complete premise- based solution including audio, video, and web conferencing Allocation of conferencing portion (33%) of complete premised based UC solution FactorComments Service Cost$17,587,080$577,080$$Three year service Licensing$$$414,540$138.042Initial Licensing cost Servers$$$84,000$27,972Redundant servers Installation & Setup$$$135,000$44,955Professional Services System/Server Admin$$$120,000$39,9601/3 person/year Help Desk/User Admin $240,000 $360,000$120,000 Maintenance$$$207,480$69,0913 year maintenance Total 3 year TCO $17,827,080$817,080$1,321,020$440,020 TCO per user $1,188.47$54.47$88.07$29.33 Source: The Compelling Case for Conferencing – Wainhouse Research, UniComm consulting Conferencing The Trojan Horse

26. The UC Competency http://partner.microsoft.com/australia Messaging Specialization (e-mail/calendaring) Messaging Specialization (e-mail/calendaring) IM/Presence Specialization (IM/presence) IM/Presence Specialization (IM/presence) Voice Specialization (VoIP, unified messaging, conferencing) Voice Specialization (VoIP, unified messaging, conferencing) Unified Communications Competency UC specialization* (information worker) Microsoft Exchange Server migration and deployment specialization* (advanced infrastructure) Voice Ready partners (formerly VPP) TransitionTransition TransitionTransition LegacyLegacy Transitions

27. Do "UC" the Money? You need a comprehensive/compelling UC solution Getting an audience with the right “business driver” Identifying hard costs and hard cost savings that UC/OCS addresses (e.g., conferencing, both audio and video) UC – enabling organizations to “Do More With Less”

28. Resource Links

29. Go Do’s

31. © 2009 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.