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From time to time , we make presentations to investors, analysts, the media and Other personsinterested in our company. The present form of presentation that we are using is attached. The contents of this presentation include forward – looking statements that were and are madeIn express reliance on the safe harbor provisions contained in Section 21E of the Exchange Act and Section 27A of the Securities Act. Such statements include,without limitation, statementsrelating to results deemed to be achievable by our management in future periods, as well as withrespect to trends in Sales performance, gross margin, selling , general and administrative costs, market growth, the competitive environment , and other factors affecting future sales, operatingresults, and capital requirements. Sales and operating results trends are also affected by manyother factors, including, among others, World and National political events , general economicconditions which recently have been weak, the effectiveness of our promotion and marketingStrategies, and competitive factors applicable to our corporate and consumer markets.
The presentation material also includes selected financial measures that constitute “non-GAAP”data under the Securities and Exchange Commission’s rules, particularly including our calculationof earnings before interest, taxes , depreciation and amortization, or EBITDA.
A derivation of EBITDA and a reconciliation of that calculation to the GAAP data that we believe tobe most comparable is provided in our recent reports on Form 6-K or 20 -F filed with the SEC.These reports can be accessed on our website or on the SEC’s Edgar database (www.sec.gov)
The statements furnished in this presentation must be viewed in context and in light of the risks described above and under the caption “Risk Factors”contained in our most recent reportson Form 6-K or 20–F filed with the SEC. In light of these risks, there can be no assurance that the forward looking statements furnished in this presentation will in fact be realized. The statementsmade in this presentation speak as of its date only , and it should not be assumed that the Statements made herein or therein remain accurate as of any future date.
SIFY DOES NOT PRESENTLY INTEND TO UPDATE THESE STATEMENTS AND UNDERTAKES NO DUTYTO ANY PERSON TO EFFECT ANY SUCH UPDATE UNDER ANY CIRCUMSTANCES.
Any failure to successfully implement our operating strategy or the occurrence of any of the eventsor circumstances set forth in this presentation or the referenced Risk factors could result in the actual operating results being different than the projections, and such differences may be adverseand material.
September 2008
Estimated Internet Users in India
Indian Internet Users expected to grow to about 100 Million over the next few years .
Internet & Online Association
Government’s Broadband Policy Target: 20 MM subscribers by 2010
E-Gov Initiatives gaining momentum Information Services available online
Source: eMarketer
Strong IT – ITES Growth Projected
Sustained growth drivers including: Continued emphasis on trimming
operational costs, Dealing with increasing compliance and
regulatory requirements Remaining price competitive Transforming into a global services oriented
business model and addressing challenges of rising skill shortages, across several developed markets
1.9 2.6 3.96.7
11.5 14
47.7
12.8
23.6
40.3
60
0
10
20
30
40
50
60
70
FY00 FY02 FY04 FY06 FY08E FY10E
Domestic
Exports
Includes IT Software & Services, ES and Products, as well as ITES-BPO
Strong optimism of the industry to achieve its aspired target of USD 60 billion in exports by 2010
Figures in USD billion
Source : NASSCOM
Sify is best positioned to leverage the projected exponential growth of
Internet usage as well as internet based services.
© Sify Technologies
Sify’s ICT Evolution
Converged enterprise solutions
OCT’06: IP VPN – MPLS Market Leadership Award from Frost & Sullivan Third time In a row Sep’06: Tie-up with IRCTC for online ticket booking
Aug’06: Third tier III data centre at Bangalore (scalable to tier IV)
Mar’06: 05-06 net profit
Feb’05: Online Games
Sep’04: UCO OICL IP VPN Orders
June’04: Infrastructure management services
Mar’04: Acquisition of EAP “Sify Assure”
June’03: Retail broadband through CTO’s
Mar’03: EBIDTA breakeven
Dec’02: CISCO GS routers
May’02: VoIP launched
Sep’00: Data centre/hosting services
Mar’00: Retail internet access – e Ports launched
Oct’99: IPO NASDAQ listing
Nov’98: Retail internet access – dial-up
Oct’98: Online portal
April’98: Corporate data/network Services
96-97: Network infrastructure
Dec’95: Company incorporation
Managed Services Portfolio – SOC Launch 2008
First IPv6 Network in India
Aug’ 08 :4th Level iv Datacenter Launch
OCT’06: IP VPN – MPLS Market Leadership Award from Frost & Sullivan Third time In a row Sep’06: Tie-up with IRCTC for online ticket booking
Aug’06: Third tier III data centre at Bangalore (scalable to tier IV)
Mar’06: 05-06 net profit
Feb’05: Online Games
Sep’04: UCO OICL IP VPN Orders
June’04: Infrastructure management services
Mar’04: Acquisition of EAP “Sify Assure”
June’03: Retail broadband through CTO’s
Mar’03: EBIDTA breakeven
Dec’02: CISCO GS routers
May’02: VoIP launched
Sep’00: Data centre/hosting services
Mar’00: Retail internet access –
Oct’99: IPO NASDAQ listing
Nov’98: Retail internet access – dial-up
Oct’98: Online portal
April’98: Corporate data/network Services
96-97: Network infrastructure
Dec’95: Company incorporation
Managed Services Portfolio – SOC Launch 2008
First IPv6 Network in India
Aug’ 08 :4th Level iv Datacenter Launch
© Sify Technologies
Overview
India’s leading integrated internet and infrastructure services company
NASDAQ listed corporation
India’s leading operator of tier III and tier IV data centres
World’s largest cyber cafe chain: 2000 + e ports (operational)
Pioneering expertise SEI CMMI Level 5 ISO 9001:2000 ISO 27001
Certifications
$US 140 million in revenue in 07-08, CAGR of ~35%
Financial strength
2000+ corporate customers
Over a million consumers across broadband, e Ports and online services
Customer patronage
Catalysts of the Internet for positive change
EnterpriseServices
ConsumerInternet
Experience
Common Technology Core
Network
Leveraging IP expertise
Data Centers Systems
Enterprise solutions
Service Offerings
Consumer services
Enterprise connectivity Managed voip solution Application services Security solutions Hosting services Infrastructure management eLearning services Mobile solutions Business consulting
e Ports ( 2000+) Operational
Broadband to homes and SMB’s
Ecommerce (Sifymall.Com)
Education Travel –
Sifytripz.Com Community portals
(Sifymax.in) Games
Awards & Accolades
Frost & Sullivan Market Leadership Award for IP VPN Market in India
Brandon Hall Gold Excellence award- Sify eLearning for Mobile Learning Delivery Platform developed for Cisco Systems
Recognition by Forrester for Remote Infrastructure Management Services
Recognition by IDC for the pioneering progress in IP VPN market space
Recognition by Gartner for initiatives in Managed Services
Awarded Superbrand status
ISO 27001 Certification for Information Security Management Systems
ISO 9001:2000 Certification for provisioning of corporate VPN, Internet bandwidth, Voice over IP and Integrated Security Solutions
CMMI® level 5 Certification
Technology Core Competence
“To become the global provider of choice by pioneering technology and offering innovative customer centric internet
solutions thereby creating value for the customer”
Sify’s Technology is ISO 9001-2000, BS7799 certified & appraised CMMi Level 3
© Sify Technologies
IP Backbone Reach
International PoPs: NY, London, HK, LA, SJ
300+ cities in 52 countries
300 cities in 30 countries
International Coverage
sify
London - I
Los Angeles
New York - I
London - II
Hong Kong
San Jose
Collocated POPCollocated POP Peering ISPPeering ISP
New York - II
Internet Peering - InternationalInternet Peering - International
© Sify Technologies
IP backbone reachDomestic Coverage
500+ Cities in India (750 base stations)
500+ Cities in India (750 base stations)
*Point of Presence/Base Station*Point of Presence/Base Station
Sify offices
Sify offices
India’s largest MPLS networkIndia’s largest MPLS network
•A World class design and service standards network to deliver
•Consumer Internet Experience•Enterprise Technology Services
•Network coverage extends to 500 + cities •Our Network is IPv6 and MPLS enabled with redundancies•A Converged network: Voice, Video & Data capability•Future proofed to meet strong demand from IT/ITES and other verticals
© Sify Technologies
State-of-the-Art Network Management
Integrated Trouble Ticketing
Proactive Alerts
Standards Based
IT Information Library
AvailabilityManagement SLA
Management
NMS
Trouble Ticket Engine
Knowledgebase
ChangeWorkflow
ThresholdMonitoring
Service LevelAgreements
EscalationEngine
ConfigurationBaselines
ReportsEngine
CIO Dashboard
Software InventoryPath Management
NMS Alerts
C M D B
C M D B
ProblemManagement
Service Desk
IT ServiceContinuity
ManagementCapacity
Management
Change Management
Incident Management
Integrated Enterprise Services
Offshore ServicesManaged Services
Key Verticals Served
› IT/ITES- BFSI - Consumer Telecom -Life Sciences
› Manufacturing - Retail -Energy - Government
Key Verticals Served
› IT/ITES- BFSI - Consumer Telecom -Life Sciences
› Manufacturing - Retail -Energy - Government
Managed Network Services
IP/VPN Global MPLS Internet & bandwidth VoIP & Converged
Network Services Managed Datacenter
Services Managed Servers Managed Mail Application Hosting
Security Services
Network Operations Management
Datacenter Operations Management
Security Operations Management
Application Performance Management
Desktop Management Helpdesk
Sify Enterprise Services - Profile
Expertise in delivering mission critical 24x7 technology services
Leader in India by far- IDC
Over 2000 clients, including 400 global companies
Among top providers in Forrester Wave for Offshore Infrastructure Management (2005)
Scalable infrastructure
© Sify Technologies
Enterprise offerings
IP VPN/MPLSGlobal connectivity solutions
Dedicated internet Bandwidth
CleanconnecttmNetwork
High availabilityManaged applications
Security services Dr/bcp Hosting
Consulting servicesData and transaction security
Implementation services
Managed security services
Security
Hosted contact center solutions
Managed inbound voice Managed outbound voiceManaged voice
Human capital management
Knowledge management
Unified messaging and collaboration
Supply chain management
Customer lifecycle management
Applications - SaaS
Storage consolidation
Shared storageVirtualizationServices
Managed storageSolutions
Storage and virtualisation
Managed services
Remote infrastructure management services
Tools and process deployment
Consulting services in best practices ITIL
Thinclient and managed computing
IT/ITES, BFSI, Telecom, Pharma, Manufacturing, GovernmentIntegrated solutions
© Sify Technologies
Enterprise Services - International
EnterpriseeLearning Services
• •eLearning content services• Content Mgmt• Learning Technology Services
Enterprise Infrastructure Services
• Infrastructure Management• Infra Projects / Consulting• Security Consulting• Managed Security Services• Hosting Services• Enterprise Appln Management
© Sify Technologies
Sify Infrastructure Services
N/W Mgmt Server Mgmt
Infrastructure Application
Support
Security
Op
era
tion
s S
up
port
Our Domain
© Sify Technologies
“Sify Is Best Suited For Discrete Offshore Remote Management”
Forrester Wave TM : Global Delivery Infrastructure Management – December 2005
© Sify Technologies
The Sify edge
PROCESSES
EXPERTISE
SPECIALIST IN REMOTE INFRASTRUCTURE
MANAGEMENT SERVICES
EXPERIENCE
ENGAGEMENT GOVERNANCE
SERVICE INFRASTRUCT
URE
PROCESSES
EXPERTISE
SPECIALIST IN REMOTE INFRASTRUCTURE
MANAGEMENT SERVICES
EXPERIENCE
ENGAGEMENT GOVERNANCE
SERVICE INFRASTRUCT
URE
PROCESSES
EXPERTISE
SPECIALIST IN REMOTE INFRASTRUCTURE
MANAGEMENT SERVICES
EXPERIENCE
ENGAGEMENT GOVERNANCE
SERVICE INFRASTRUCT
URE
PROCESSES
EXPERTISE
SPECIALIST IN REMOTE INFRASTRUCTURE
MANAGEMENT SERVICES
EXPERIENCE
ENGAGEMENT GOVERNANCE
SERVICE INFRASTRUCT
URE
© Sify Technologies
Value Proposition
MULTI LEVEL ENGAGEMENT VALUE
Impact on Business Strategy
Process
Business
•Cost reduction savings to 50%•Enhanced Customer Satisfaction : Pro-active approach
• Enhanced Productivity - ITIL Best Practices• Reduced Noise Levels – Root Cause Analysis with Six Sigma
•Business Service Management•Business Impact Analysis
Operations
© Sify Technologies
Case Study : Hosting & Managed services
Client RxMD, NJ USA & Chennai , India
Managed by US Board Certified and Licensed Physicians
Service Hosting Services, Managed services, DR solution & Storage services
Challenge Highly secured Infrastructure complaint with US & EU regulations Scalable architecture OS & DB administration 24 x 7
Benefits Single point solution offering end to end solution starting from
Hardware Procurement , Implementation and continuous support DR server up in 24 hours as per RxMD’s requirement by using unique
Sify solution. Quick Implementation meeting stringent client deadlines Guaranteed 99.6 % uptime for Network and Infrastructure
© Sify Technologies
Case Study : International MPLS Services
Client Whirlpool India Limited
Service International MPLS Services Accessing servers in US from office in India
Challenge Shifting of application servers to Michigan , US High uptime commitments in the network Redundancy on the network Highly flexible and scalable network solution End to End Security
Benefits High uptime reliable network Strong security feature Automatic route distinguishers to provide traffic separation
© Sify Technologies
Case Study : VPN Connectivity
Client Globus Multi location retail store. Changeover to Sify from TELCOs
Service VPN Connectivity with high last mile uptime
Challenge Integrating Network High last mile uptime
Benefits High uptime on entire network including Last mile Faster implementation 30-40 % reduction in costs
© Sify Technologies
Case Study : Document Management
Client DLF Group is a leading name in India’s real estate Industry
Service Document Management & Scanning services
Challenge Documents centrally stored in Corporate office Delhi. Hindering
productivity as it requires physical travel between locations for document retrieval.
Documents (Legal Documents, Drawings) are to be maintained for long time and is also exposed to wear & tear
Benefits • Fast searching and retrieval of the documents and drawings
• Enterprise wise access to the documents
• Documents available on one click of a button
• Back up to the physical documents
• Wear & tear of the documents and drawings was reduced
Enterprise Services Revenue
18.019.8
21.5
24.223.1
23.6
-
5.00
10.00
15.00
20.00
25.00
30.00
Q4 0607 Q1 0708 Q2 0708 Q3 0708 Q4 0708 Q1 0809
Rev
enu
es (
US
D M
illio
n )
Revenue
1 $ = Rs 42.93
Consumer
Enterprise Customers
IT/ITeS
BFSI
Telecom
Life sciences
Enterprise Customers
Manufacturing
Energy
Media
Retail
Government
Integrated Consumer Experience
No one else has it !
•com
We single handedly created the branded publicinternet access services industry in India by:
Taking Internet to the people with a franchised chain
Currently 2000+ e ports operational in 200 + cities, and growing
The undisputed No 1 in branded public Internet access
Delivering a superior Consumer Internet Experience
High speed access across the chain
The world’s largest franchised cyber café chain
Sify e Ports: Categories & Services
Internet : Browsing,Voice,Games
E commerce : IRCTC,Utility bills,Money transfer etc
E entertainment : GameDrome,Sifymax
E shopping : Sify mall
Internet : Browsing,Voice,Games
E commerce : IRCTC,Utility bills,Money transfer etc
E entertainment :
E shopping : Sify mall
E shopping : Sify mall
Sify e Ports: Categories & Services
E learning : Microsoft certificate , Internet Access for Microsoft IQ PC , Microsoft Office products training at e Ports, e Ports a virtual office
“ As part of our strategy to use the e Ports to empower Indians with Internet and IT services, We have partnered with Microsoft India to help bridge the digital divide in India “
e Ports
3450
3500
3550
3600
3650
3700
3750
3800
3850
3900
3950
Q4 0607 Q1 0708 Q2 0708 Q3 0708 Q4 0708 Q1 0809
No
of
e P
ort
s
0
100
200
300
400
500
600
700
800
900
1000
1100
1200
Su
bs
cri
be
r M
illi
on
s (
3 m
on
ths
ac
tiv
e)
e Ports Subscribers
Our vision is to be an integral part of the Indian middle class
family’s Internet experience
Sify broadband to Homes
High Speed Internet Revolution for homes Pioneered unique model with Cable TV operators (CTOs) for
last mile connectivity Currently the largest private player with more than 2lac
subscribers Potential of 80 Million Cable TV households Cable TV homes more likely to buy home PCs iWay users who buy home PCs can remain Sify customers Aggressively growing base
Technology Innovation : Service Provider with wireless broadband technology Developed own client to ensure PC hygiene and push updates
to consumers at home (eg Anti Virus).
CUG Phone for Subscribers
Mathguru , Class teacher & MBD Alchemie
IRCTC tie up for Railway Tickets through partners(CTOs)
Roaming access to users : Sify Anywhere
VOIP for International Calls.
PC health solutions.
Value added Services
215.5
208.1211.0
215.2218.6
206.9
150
160
170
180
190
200
210
220
230
Q4 0607 Q1 0708 Q2 0708 Q3 0708 Q4 0708 Q1 0809
Su
bsc
rib
ers
(000
s)
Subscribers
Sify broadband to home
Consumer Internet Experience
Driven by High Speed Broadband Rich broadband content
Betting on broadband!
Betting on youth !
India & the Internet
50 Mn in March’08 Internet penetration at 3.5% of population Smaller cities & towns record 142% YOY growth 25% users from smaller towns Over 20Mn NRI’s estimated world over
Source:IAMAI & Internetworldstats
Internet Content : enriching consumer experience
Entertainment Online Games, Movies, Music Videos Association with Indian Television : Indian Idol, MTV
Roadies, Fame Gurukul, Saregamapa
Internet Content: enriching consumer experience
Education Tie up with Educational Institutions E Learning (Computer Based Training) Online tests
Sify.com in regional languages
Sifymax.in-City Centric Portals
Samachar.com
Portals revenue
1.2
1.0
1.2
1.3
1.4
1.2
0.0
0.2
0.4
0.6
0.8
1.0
1.2
1.4
1.6
Q4 0607 Q1 0708 Q2 0708 Q3 0708 Q4 0708 Q10809
Re
ve
nu
es
( U
SD
Mill
ion
)
Revenue
1 $ = Rs 42.93
1 $ = Rs 42.93
A history of robust top line growth
1 $ = Rs 42.93
EBITDA
-22.9
-11.2
2.0
5.36.7
13.89.2
-35
-30
-25
-20
-15
-10
-5
0
5
10
15
US
D M
illion
2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08
1 $ = Rs 42.93
Net Profit
-167.8
-31.0
-8.6 -7.2-3.5
5.8
-0.2
-180
-160
-140
-120
-100
-80
-60
-40
-20
0
20
US
D M
illi
on
2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08
*Net Profit included USD 3.2 Mln on account of Profit on Sale of Land & Cricinfo# FY 2006-07 and 2007-08 Under IFRS
*
Equity Structure ( Undiluted )
No of Shares 42,820,082As of 31st August 2008
Inf inity Capital, 41.81%
ADRs w ith Public, 58.19%
Others, 0.00%
Infinity Capital
ADRs with Public
Others
Sify – The Opportunity
To leverage:
Large services opportunity in Indian and Global markets
Proven scalable business models in Access Media Portals Enterprise Services
Leveraging Technology platform for scale and expertise
Capable people
Cash to fuel growth
Thank You