1. Michael van Dijken Marketing Communications Communications Sector Microsoft Corporation

2. Microsoft and Parallels A long and important history together

3. Microsoft Year In Review Windows Server 2008 with IIS 7 Visual Studio 2008 & Expression Hyper-V SQL Server 2008 Microsoft Silverlight Momentum Microsoft Dynamics CRM 4.0 Online Services SQL Server Data Services Microsoft is investing in hosted products and services

4. Key Industry Trends Rapid growth continues Web 2.0 is driving customer demand for innovative user experiences The competition has a new face Utility cloud computing enters the “Hype” phase Commodity hosting margins are decreasing Managed hosting & SaaS opportunities increasing

5. Mar-06 Forecast May-07 Forecast Key Takeaways: Rapid growth! Total WW revenue CAGR of 30% over 5 Years Source: IDC Worldwide Software on Demand 2007-2011 Forecast Update and 2006 Vendor Shares: Sky's the Limit for On-Demand Providers," Doc # 207491, July 2007 ($B)($B) Worldwide Software On Demand Revenue, 2006 and 2011 WW Software On Demand Revenue 2005-2011: Comparison Of May 2006 And March 2007 Forecasts The SaaS Market Opportunity

6. Our Mission World-Class Platform Partnering on Software + Services Next-Generation Experiences Broad Range of Services Partner Program

7. 7 Built-in Tracing & Trouble- shooting Platform Investments Module Core Extensible Design ASP.NET Integration PHP Interop PHP Interop NEW UI & Management Improved Security

8. Tito Leverette Web Platform Architect Evangelist Microsoft Corporation

9. Comprehensive Data Platform Mission-Critical Capability Developer Productivity Business Intelligence Agile Web Applications Agile Web Applications Scale without Limits Business-Level SLAs No Memory or DB Size Limits Publishing Tools, Policy-based Mgt Low Monthly Licensing Fee

10. Full Portfolio of Services

11. Tito Leverette Web Platform Architect Evangelist Microsoft Corporation

13. Next-Generation Experiences

14. Tito Leverette Web Platform Architect Evangelist Microsoft Corporation

15. Microsoft Services Model for S+S Microsoft Services Investments ScaleBrand Market awareness Current versions Service Provider Opportunity Choices Customized and differentiated Lower capital investment Compelling business model Services Hosting platforms On- premise software

16. Partnering for S+S Business Software markets are pyramids Platform providers market a basic value proposition Customers explore and learn at the base Many have broader requirements Success in each segment helps grow demand across all segments Custom Solutions Targeted Variations Basic Value Proposition

17. Service Provider Licensing Subscription licensing No upfront costs Always up to date software

18. Microsoft Partner Program An integrated partner program: Recognizes your expertise Rewards you for your impact Delivers value to help you be successful Helps you: Realize your business potential Extend your market reach Increase operational efficiencies Registered Members Partner Program

19. Next Steps Visit http://www.microsoft.com/hosting Visit http://www.IIS.net Visit http://www.asp.net Visit the new Communications Sector Community https://partner.microsoft.com/US/program/pmcommsec tor Learn more about the SPLA http://www.microsoft.com/hosting Visit us in our booth