1

Roland Leggat

Compete by growing your Microsoft SaaS portfolio

2

The Cloud is HereDelivering IT as a Service…

3

Because

Customers

want Lync

Why do

partners want

to leverage

Lync?

4

Why Lync?• Customer demand for the product

• Fastest growing Microsoft productivity solution

• Gartner show Lync as the market leading solution

• Microsoft – Global Program – Big Bet

• High revenues and high margin solution

• Up-sell/pull through solution – Gateway Product

• Moves conversation away from IT to the BDM

5

Applications Used Everyday

Unified communications platform

Microsoft Unified Communications

Enterprise-ready

6

What Is New In Lync?Be There Without Going There

Video gallery

HD video or high resolution

photos of attendees

H.264 SVC support

Presenter controls to optimize

for meeting type

Participant selected views

Single unified client experience

across workloads

Lync Windows 8 immersive

experience optimized for touch

Mobile client experiences

designed for the device

Lync Web App for browser

access to meetings

Communicate with anyone on

Skype

Presence

Instant Messaging

Peer to peer voice

Communicate directly from

within Office

Single identity

Shared contact card

OneNote Share

7

Lync Enterprise Benefits

Enable and improve mobile productivity

Communicate in real time with colleagues, customers and partners from virtually anywhere

Enable new ways of collaboration with voice & video using a single unified client

Share ideas and keep teams in sync

Reduce costs related to video conferencing, telephony and travel

Reduce costs through simplification and consolidation

Manage with common and familiar tools

Reduce total cost of ownership with integration and shared infrastructure

Accelerate adoption of online services

Reduce IT operations costs

Enables a path to unified communications –following a customer’s blueprint

88

The Right Product

PC to PC Voice

PC to PC Video

Instant Messaging / Presence

Multi-party Chat

Application / Desktop Sharing

Online Conferencing

Telephony

99

The Customer Journey to UC Services

1010

The Service Provider OpportunityInstant Messaging / Presence

Enterprise Voice

Collaboration

Email / Unified Messaging

Hosted Video

Network Connectivity

Calls and Minutes

Conferencing

Desktop Productivity

Security and Compliance

$

$$$$

11

Services Rapidly Moving To The CloudMinutes Are Moving To Megabytes

* Gartner, ID#: G00212485 , Market Trends: Global Telecommunications Market Take, Worldwide, 1Q11, May 2011

($)

Tri

llio

n

$0.33T to $0.42T

$0.25T to $0.54T

$0.37T to $0.28T

$0.64T to $0.61T

Fixed and Mobile

Voice Revenue

declines in both

Absolute and Relative

terms

WW Telecom Services Revenue (Gartner*)

1212

Microsoft’s Vision for UCMicrosoft partnering with Service Providers to drive vision for Unified Communications for mutual customers

Existing Exchange Hosters - Lync extends their offers to add UC

Existing PBX Hosters - adds Microsoft Lync to portfolio

New Hosters - Lync can be their lead offer and differentiator

Extension of “Minutes to Megabytes”

Monetization from the boardroom to the living room

New Value Added Services

Bundling, ARPU, Stickiness

Any Device, Any Platform

13

o E-mail, instant messaging, presence and conferencing: 166,000 users

o Voice: 80,000 users

o Unified Messaging: 90,000 users

Microsoft IT used Forrester’s Business Value Framework

to measure overall impact of UC deployment at Microsoft:

Reduced Costs

Reduced Audio Conf Costs 95% reduction ($8 million)

Reduced IT Infrastructure Costs$22 reduction/office move ($1

million)

Reduced Travel Costs10% reduction in trips/employee

($92 million)

Microsoft Internal Case StudyUC Generating Savings >$215 Million Annually

As of Nov 2010 | Read more

Improved Business Outcomes

Improved User Productivity28 min saved/day/employee ($86

million)

Shorten Sales Cycle 6.5% increase in proposals ($11

million)

Reduced Carbon Emission 100 million miles in avoided air

travel (17,000 metric tons)

1414

What Partners are Saying About Lync

Lync is a must have, and not delivering can be a risk

Lync makes link between VoIP and new IT services for Communications Service Providers

Enhance existing business and bring new value-add opportunities

15

New Growth

Revenue Opportunity

1616

Opportunity for Partners

Ride the Wave• 25% of medium and large US businesses say they plan to implement a UC

solution in next 12 months

• Nearly one-third of small businesses plan to use UC now

Services and Solutions• $1B Global UC services market predicted to grow at about 40% YOY (IDC, Top

10 UC Predictions 2011)

Addressable Market• 100s of millions of endpoints ready for enhancement with Lync

• 150m business lines expected to move to VoIP in next 3 years (ripe for Lync)

• 30 million sold seats of Lync waiting to be deployed

1717

Lync deployment model options comparison

1Standard / Enterprise

Single Tenant

Private Cloud

“PBX Replacement”

EA License Mobility

or SPLA

Lync Server1

Medium Business &

Enterprise

Multi-Tenant

Public Cloud

Unified Communications

SPLA

Lync Hosting Pack v2

Small Business

2Hybrid Model: Exchange through Lync Online (Office365) and Hosted Lync through Lync Server 2010 (Single Tenant Private Cloud)

“PBX Replacement”

Customer’s

Premise

EA/VL

Medium Business &

Enterprise

Lync Server1

Everyone

Reseller/Advisor

Lync Online

Office 365

Unified Communications

Deployment Model Options2

Target Customer

Licensing vehicle

Lync version

1818

Expand the portfolio toward UCaaS

Email (Exchange)

+ Instant Messaging (Lync Standard)

+ Web conferencing (Lync Enterprise)

+ Voice (Lync Enterprise Plus)

+ Communications Enabled Business

Processes (3rd party ISV)

ARPU

By adding greater functionality for your customers,

you will better differentiate your offer

+ Collaboration (SharePoint)

$5

$35

1919

(PSTN in/out)

LyncMeetings

IM & Presence

Enterprise Voice &

PBX

(on-premises or via partner hosted single-tenant)

Lync-to-LyncVoip / video

(partner hosted multi-tenant)

20

Monetizing LyncOne-Time

Revenue

Recurring

Revenue

Upsell

21

• Service Description• Virtual Dedicated Lync Enterprise Plus and Exchange Enterprise for 20 customers and 10 000 users

• The plan includes Voice with 500 minutes of call time per user per month

• Of these users, 10000 have telephone services as part of their plan

Lync Hosting ROI Example: 10,000 Seat Hoster with 500 Seat Tenants with Hosted Lync + Exchange

Service Description

Of these users, 10000 have telephone service as part of their plan.

Virtual Dedicated Lync Enterprise Plus and Exchange Enterprise for 20 customers and 10000 users. The plan includes voice with 500 minutes of call time per user per

month.

US$438K

Startup

CostUS$2.3M

3-year

GrossMargin

488%

3-year

ROI

16 months

Payback

Working With a White Label Partner

Get from day one the full hosted Lync Voice service including

infrastructure and provisioning on Opex per user per month

Outsource the technical and pre sales complexity while focusing on your

core competencies and customer base

Typically expect a three months lead time to launch and deploy the

service which is significantly less than the time it takes to build

SupportLeverage the technical and GTM expertise of the white label partner to

help you sell UC Voice (sales readiness, bid support etc…) in addition to

Microsoft support

23

Why Partner?

Skills

Focus On Your Core Business And Leverage The MSFT Partner Ecosystem

Integration

White

Label NetworkValue Added

Component

Control

Panel

25

Additional Revenue Considerations

Benefits of a Voice White Label Partner

Support

2727

SharePoint Features Not Available in O365Developer FeaturesBCS: Profile Pages

BCS: Rich Client Integration

Custom Site Definitions

Custom Site Provisioning

Full-Trust Solutions

Content FeaturesOffice Web Apps Server integration

PowerPoint Automation Services

WCM: Analytics

WCM: Catalog

WCM: Cross-site publishing

WCM: Faceted navigation

WCM: Image Renditions

WCM: Multiple Domains

WCM: Topic Pages

Word Automation Services 28

Source: TechNet - Detailed Feature Comparison by O365 plan

IT Professional FeaturesAlternate Access Mapping (AAM)

Analytics Platform

Claims-Based Authentication Support

Configuration Wizards

Distributed Cache

Host Header Site Collections

Managed Accounts

Patch Management

Quota Templates

Read-Only Database Support

Remote Blog Storage

Request Management

Resource throttling

SharePoint Health Analyzer

Shredded Storage

State Service

Streamlined Central Administration

System Status Notifications

Unattached Content Database Recovery

Usage Reporting and Logging

Insights FeaturesPerformancePoint Services

PerformancePoint Services (PPS) Dashboard Migration

Scorecards & Dashboards

SQL Server Reporting Services (SSRS) Integrated Mode

Search FeaturesContent Search Web Part

Custom entity extraction

Extensible content processing

On-premises search index

Result sources

Search connector framework

Tunable Relevancy

Site FeaturesCustom Managed Paths

Usage Analytics

Lync Features Not Available in O365

Instant Messaging & Presence FeaturesPersistent Group Chat

Privacy Mode

Conferencing FeaturesAd Hoc PSTN Audio (requires Partner)

PSTN Dial Out (requires an ACP provider

Interoperability with on premises video conferencing systems

Source: Technet - Detailed Feature Comparison by deployment model

Telephony FeaturesAd Hoc PSTN dial out (requires Partner)

Advanced call controls ie transfer, forward, simul-ring (requires Partner)

Call park

Outgoing DID manipulation

E-911

Dialplan and policies

Resilient Branch Office Appliance

Call Admissions Control (CAC)

Support for Analog devices (ie Fax)

Response Groups

Private line

Direct connectivity with PBX gateways

Direct SIP for audio with on-premises IP-PBXs

Click-to-call with on-premises PBX

Malicious call trace

Unassigned number

Integration with call center solutions

Federation FeaturesIBM Sametime Federation

IM/P federation with XMPP (Google Talk, etc)

Client SupportCWA (2007 R2)

OC 2007 R2

OtherIM archiving

Integration with Exchange on-premises

Splitting workload (voice on-premise, IM in the cloud)

Reporting (CDR, QoE)

3rd party support - Server side APIs

Listed features are available in Lync Server 2013 Single Tenant Hosted deployment. For Multi-Tenant Hoster Pack.

When Office 365 Does Not Meet Customer Needs

3131

Appendix

32

Comparing Lync Features With Deployment Options

Lync Server1

On-Premise

Lync Server1

Single Tenant

LHP v1

Multi-Tenant

Lync Online

O365

2Requires a separate integrated PSTN enabled partner3Requires a separate PSTN audio conferencing service from a qualified ACP integrated

partner

1Lync Server Standard or Lync Server Enterprise Read more in the Lync licensing guide

3333

Lync User Licenses Comparison

1Also offers Ad-hoc multi-party audio conference (incl. dial-out to PSTN and/or PBX user