© 2006 Verizon. All Rights Reserved. PT11677. 04/17/06

Verizon Business Unveils Business Resilience Solutions Portfolio

Verizon Business Unveils Business Resilience Solutions Portfolio

Company Outlines Solutions Focus; Offers Convenience, Flexibility and Value

May 9, 2006

Company Outlines Solutions Focus; Offers Convenience, Flexibility and Value

May 9, 2006

2

Today’s Agenda Today’s Agenda

• Welcome: Janet Brumfield, Verizon Media Relations

• Today’s News: Barry Zipp, Vice President, Solutions, Verizon Business

• Business Preparedness: State of the Market: Sean Hackett, Research Manager, IDC

• Verizon’s New Resilience Portfolio: Bill Hummel, Director, Resilience Solutions, Verizon Business

• Featured Customer: DBK Concepts, Miami, Florida: Danny Katz, CEO and Luis Barroso, President

• Wrap-up: Barry Zipp

• Question & Answer

© 2006 Verizon. All Rights Reserved. PT11677. 04/17/06

Barry ZippVice President, Solutions Verizon Business

Barry ZippVice President, Solutions Verizon Business

4

Today’s News Today’s News

Verizon Business launches new Business Resilience Solutions Portfolio

New portfolio suited to a wide range of business planning and disaster recovery requirements with a focus on end-to-end management of people, processes and systems to ensure continuity of critical business operations

New portfolio representative of how Verizon Business will develop other integrated end-to-end solution offerings

Look for Verizon Business to introduce other comprehensive portfolios that address the applicability of technology for collaborative services, seamless mobility and supply chain management

5

• Provide customers with value-added solutions:

– Enable business transformation for customers

– Deliver end-to-end integrated solutions that provide convenience, flexibility and value

Strategic Focus on Solutions

Our Strategy

Target Markets

• Pursue Solutions approach:

– Develop new solutions focusing on end-to-end management of people, process and systems

– Replicate/standardize existing custom solutions

Solutions Portfolio

• Deliver solutions based on strategic needs of specific verticals

– Development driven by “application” needs

– One-stop provider

– Financial, Healthcare, Retail, Government, Education Sectors

• Harness innovation & expertise to deliver solutions

- Leverage expertise and experience to deliver industry-leading solutions

- Wrap professional services around core offerings

- Complement core capabilities with third-party partnerships

Innovation & Expertise

6

Solutions Deliver Value to CustomersSolutions Deliver Value to Customers33

rdrd P

arty

Co

mp

on

ents

Par

ty C

om

po

nen

ts

Supply Chain

Management

BusinessResilience

SeamlessMobility

CollaborativeServices

Verizon Business Product Portfolio

Add value to our customers via replicable end-to-end SolutionsAdd value to our customers via replicable end-to-end Solutions

Pro

fession

al Services

Pro

fession

al Services

Data/IP

D

ata/IP

Services

Services

Co

nferen

cinC

on

ferencin

gg IT

IT

Ap

plicatio

ns

Ap

plicatio

ns

IP

IP

Telep

ho

ny

Telep

ho

ny

Secu

ritS

ecurit

yy

Et

Et

c.c.

7

Business Resilience: First Solutions Portfolio Roll-out Business Resilience: First Solutions Portfolio Roll-out

• Address clients’ Business Resiliency needs and Complement their existing Compliance Programs holistically

• Focus on efficiency while building resiliency:

– Highlight the capabilities of an advanced network platform that can minimize IT HW/SW costs by eliminating redundant infrastructure

– Build Hosted and Managed Services that offload a customer’s workload and provide significant ROI

– Utilize our global reach and experience in Business Continuity, Incident Management, and Disaster Recovery

Corporate Critical Data and

Information Lifecycle

Management

Corporate Critical Data and

Information Lifecycle

Management

IncidentManagement and

Recovery

IncidentManagement and

Recovery

Effective Staff and KnowledgeEffective Staff and Knowledge

Robust Communications

Services

Robust Communications

Services

BusinessCore Applications

© 2006 Verizon. All Rights Reserved. PT11677. 04/17/06

Sean HackettResearch ManagerBusiness Network Services IDC

Sean HackettResearch ManagerBusiness Network Services IDC

9

Moving from DR to Business Continuity Moving from DR to Business Continuity

Disaster Recovery

Business Continuity

Reactive Execution

Mobile Datacenters Pro-ActiveProcess

Avoidance Risk Mitigation

Execution Facilities

RiskProfile

90’s – 2001 Present

High

Low

10

IDC Business Continuity Forecast IDC Business Continuity Forecast

$-$10,000.00$20,000.00$30,000.00$40,000.00

$50,000.00$60,000.00$70,000.00$80,000.00$90,000.00

2002 2003 2004 2005 2006 2007

Worldwide Business Continuity by Category and Product Segment, 2002 - 2007 ($M)

Total

Hardware

Software

Services

North America Business Continuity by Category and Product, 2002 - 2007 ($M)

$-

$5,000.00

$10,000.00

$15,000.00

$20,000.00

$25,000.00

$30,000.00

$35,000.00

$40,000.00

2002 2003 2004 2005 2006 2007

Total

Hardware

Software

Services

$90B by 2007CAGR = 8.4%

$35B by 2007CAGR = 6.9%

So… What’s driving growth?

11

The Demand EquationThe Demand Equation

+ =Systematic

Risk New Service

Delivery Models

Fear Uncertainty and Doubt

Business Continuity Demand

Where:Systematic Risk = Common risks that impact everyone (I.e. Weather etc.)New Service Delivery Models = Customer Demand + Availability of Technology Fear Uncertainty and Doubt = Geopolitical Unrest, Viruses, Hackers

New Service Delivery Models result in the automation of key business processes outside the four walls of the organization

12

Enterprises are increasing their risk profile Enterprises are increasing their risk profile • IT Costs

• High Low

• New Service Delivery Models

Time

Virtualized HostingSaaS

OutsourcingIT Outsourcing Managed ServicesBPO

Internal Centralized

Internal

Management Hardware,

Applications and Process

Risk

Distributed

75% of respondents to a recent IDC survey suggested they either current use of

are considering using a virtualized hosting service.

13

New Era of Business Critical Systems New Era of Business Critical Systems – New business trends

» New usages» New models» New environment

EmployeesSuppliers

Business Applications

Storage

ICD

HostingVPN

Security Services

Managed

Services

– New era of business critical systems

» Real-time, network-centric IT applications

» “Anywhere, anytime, always”-enabled business processes

» Business-criticality as a key driver: reliability, availability, security

– Enabled by network innovations» IP convergence» Broadband & Mobility

PartnersCustomers

© 2006 Verizon. All Rights Reserved. PT11677. 04/17/06

Bill HummelDirector, Resilience SolutionsVerizon Business

Bill HummelDirector, Resilience SolutionsVerizon Business

15

Network InfrastructureNetwork InfrastructureUtilize a Resilient Network infrastructure as the Utilize a Resilient Network infrastructure as the

cornerstone for overall Business Resiliencycornerstone for overall Business Resiliency

DataDataSolutions for corporate critical dataSolutions for corporate critical data

VoiceVoiceResilient voice communications in a traditional Resilient voice communications in a traditional

or converged delivery environmentor converged delivery environment

PeoplePeopleSolutions that assure that staff have access Solutions that assure that staff have access

to critical applications and resourcesto critical applications and resources

CurrentCurrentMarketMarket

VerizonVerizon Business BusinessIntegratedIntegratedSolutionsSolutions

Drive ResiliencyDrive ResiliencyWith EfficiencyWith Efficiency

Business Resilience SolutionsBusiness Resilience Solutions

Integrated Business Resilience LifecycleProactive Planning, Incident Management, Recovery, and Mitigation

16

Resilience Consulting ServicesResilience Consulting Services

Verizon Business offers Business Resilience-related consulting services Verizon Business offers Business Resilience-related consulting services that leverage the strength of the Verizon Business Solutions portfolio by that leverage the strength of the Verizon Business Solutions portfolio by addressing requirements for business impact assessmentaddressing requirements for business impact assessment, recovery analysis and other business continuity concerns.

Resilience Consulting Resilience Consulting ServicesServices

Plan

Design

Implement

Manage

17

A Project Approach to PlanningA Project Approach to Planning

Resilience Planning

PlanningMethodology

Cycle

Plan Testing

RiskAssessment

Business Impact Analysis

Plan Development

Recovery Strategies

Business Resilience Consulting• Business Planning

•Gap Analysis/Readiness Assessments•Business Impact Analysis•Strategy Workshops•Product Technical Consulting

Joining Forces with Strohl Systems• Strohl was founded in 1968Strohl was founded in 1968 as a recruiting

firm for information systems professionals.

• In 1988, Strohl purchased the rightsStrohl purchased the rights to Living Disaster Recovery Planning System (LDRPS®).

• Today, Strohl Systems is a leader in the a leader in the Business Continuity Business Continuity Planning Planning industry:

• Services are used in more than 60 countries by thousands of companies.

18

Full-Service Branch

Storage Consolidation VisionStorage Consolidation Vision

• Consolidation of application and service infrastructure

• Centralized management, deployment, and protection

• Protected copies of data

…without compromise to branch user performance

Back-UpBack-Up

NASNAS

ApplicationApplicationServersServers

Consolidate ResourcesConsolidate Resources

Enhance AccessEnhance Access

Tape DrivesTape Drivesand Librariesand Libraries

Disk ArraysDisk Arrays

Client Workstations

PrinterConsolidation Engine

Verizon BusinessVerizon BusinessIP NetworkIP Network

Business-Ready Data Center

19

Link and ThroughputOptimization

IntelligentMessage

Suppression

Data Distributionand Caching

Data Integrity

• Protocol proxy to handle non-critical messagesProtocol proxy to handle non-critical messages• Operation batching and message bundlingOperation batching and message bundling• Decouple the user experience from the WANDecouple the user experience from the WAN

• Validate and serve information locallyValidate and serve information locally• Pre-populate via preposition and on-demandPre-populate via preposition and on-demand• Asynchronous writes to mask large transfersAsynchronous writes to mask large transfers

• Compress messagesCompress messages• Pipeline multiple segments into a common windowPipeline multiple segments into a common window• Multiplex over many sockets if necessaryMultiplex over many sockets if necessary

• Maintain data integrity at all costsMaintain data integrity at all costs• Data security not compromised Data security not compromised • Support for all protocol semanticsSupport for all protocol semantics

Resilient Network Attached StorageHelps Optimize…Resilient Network Attached StorageHelps Optimize…

One of the Only End-to-End File Networking Solutions One of the Only End-to-End File Networking Solutions Available TodayAvailable Today

20

Business Resilience Portfolio Overview

BR Solutions Development Security Network

Products

Managed Network Services

Enterprise Planning/Design

Data Hosting and Storage

• Enterprise Network Design and Planning Services

– High Availability Design

– Optimization and Redundant Load Balancing

– Convergence Strategies

• Gap Analysis

• Readiness Assessment

• Business Impact Analysis

• Strategy Workshops

• Product Technical Consulting

• Plan Development

• Plan Testing

• Plan Maintenance

• Network Diversity and High Availability

– IP Centric– Private IP– Ethernet PL– SONET/

DWSOptical Technology

– Satellite– Wireless/WiFi– Alternate

Wire Centers/CO’s

– Dual Routing(more)

• Custom Network Design and Diversity

– Managed Network Solutions

– Managed Security

– IP Virtual Private Networks (VPN)

– Custom Design Services(more)

People >>> Process >>> Network >>> Data

• Remote Data Center Services

– Hotsite Services

– Co-location

• Storage Services– Backup /

Archival Solutions

– Remote Storage

– SAN design

• Hosting Services– Application

Hosting– Application

Continuity– Outsourcing

(more)

Voice/Office Communications

• Personnel Communications

– Video, Audio,Net Conferencing

– Wireless– VoIP– AIN Services– Access

Security

• Virtual Office– Managed

Conferencing– Managed eMail

/ Secure IM– Remote Office

Access

• Custom Redirect and LN Portability

(more)

• Executive Awareness

• Security Analysis Svc

– Security Analysis and Policy Design

– Vulnerability Testing

– Technology Evaluation

– Staff and User Training

• Managed Security Services

• Computer Incident Response Retainer (CIRT)

(more)

© 2006 Verizon. All Rights Reserved. PT11677. 04/17/06

Danny KatzCEODBK Concepts

Luis BarrosoPresidentDBK Concepts

Danny KatzCEODBK Concepts

Luis BarrosoPresidentDBK Concepts

22

DBK Concepts: Miami, Florida DBK Concepts: Miami, Florida

DBK Concepts offers complete mobile data-collection solutions for asset tracking to industries such as retail, grocery, wholesale and transportation. DBK serves Fortune 500 companies.

– DBK relies on supply chain management components to keep pace with customer needs primarily via the Internet

DBK Concept Requirements:

• Maintain operations during challenging conditions such as hurricanes

• Provide state-of-the-art communications to ensure continuity for customers

• Enhance value proposition and company reputation

23

DBK Concepts SolutionDBK Concepts Solution

• Data Center

• Internet Satellite Enterprise

• Hosted IP Centrex

• Local, Long Distance and

International Voice

24

DBK Concepts Outcome DBK Concepts Outcome

• Customer communications enhanced with hardened security for servers and connectivity

• More business continuity options with Satellite Broadband and hosted IP telephony

• VoIP solutions ensures employees can also be in touch, anywhere, anytime

• New infrastructure and services allow focus on customer retention and growth

• Ensures uptime. DBK learned that one hour of downtime costs customers 48 hours of downtime.

25

SummarySummary

•Solutions is a key strategic priority for Verizon Business

•Business Resilience is the first set of solutions deliverables

•Verizon Business is helping companies transform the way they do business

© 2006 Verizon. All Rights Reserved. PT11677. 04/17/06

Question & Answer

Online press kit : www.newscenter/verizon.com

To access the audio replay, call:

U.S.A. toll free: 866-510-4834

Question & Answer

Online press kit : www.newscenter/verizon.com

To access the audio replay, call:

U.S.A. toll free: 866-510-4834