The Debate Rages: Hosted vs. Premise-Based VoIP• Expert Panel

• Wendy Moore-Bayley, Solutions Marketing UCaaS• Mitel• Huw Rees, VP Business and Channel Development

8X8 Inc.• Chuck Piazza, Senior VP

Smoothstone IP Communications• Pierre Kerbage, Senior VP-Global Sales

Zultys Inc.

• Moderator• Mark Ricca, Partner & Sr. Analyst

IntelliCom Analytics

The Debate Rages: Hosted vs. Premise-Based VoIP

• Topics To Be Addressed– Industry Trends

• Acquisition Triggers For Hosted & Premise Communication Systems • Relevant Macro Trends

– Panelist Presentations

– Questions & Answers

Five Conditions Trigger a Business to Install New, Replace or Upgrade Telecommunication Systems

■ Greenfield Opportunities

• Opening A New Businesses

■ Real Estate-Related Events

• New Location / Relocation

• Renovation

■ Existing System Deficiencies

• Limitations in Feature / Function / Capacity

• Reliability

• Manufacturer Discontinues Support

■ Financial Factors

• Lease Expiration

■ New Business Improvement Applications… Enabled By IP Technology

• Measurable Employee Productivity Gains

• Improved Customer Service / Satisfaction

• Expense Reduction / Avoidance / Containment

• Business Competitive Advantage / Differentiation

Relevant Market Research: Macro Trends

1) Economic Conditions• This challenging economy is impacting businesses in all verticals and size segments

• All businesses are focused on cost reduction, containment and avoidance measures

• The level of economic uncertainty is contributing to slower decision-making and the conservation of capital

Driving the need / opportunity for technology systems, solutions and services that can effectively address these areas

OPEX offers are becoming increasingly attractive (i.e. hosted / cloud, leasing, etc.)

2) Business Resource Reductions• Virtually all businesses have taken action in this area

• “Doing more with the same…or fewer number of people” is a common theme

Driving the need / opportunity to improve business processes, employee productivity, customer service, competitive performance and overall business value

3) Decentralized and Mobile Workforce• Knowledge workers are located in disparate and remote locations

• A growing number of employees are working from home and / or customer locations

Driving the need / opportunity to improve workforce collaboration and secure access to remote applications

4) Energy Concerns• Typically one of the 4 largest recurring expenses for a business… and growing

• Enterprise Data Centers are major consumers of energy

• Energy use in business is characterized as:

– Increasing in demand

– Rising in cost

– Somewhat limited in supply

Driving the need / opportunity for energy efficient, cost-effective methods of communicating with customers, employees and suppliers… and for the application of energy management programs

Relevant Market Research: Macro Trends (continued)

5) Security Concerns• Breaches of networks, databases and information systems by hackers and employees

• Privacy and information retention / compliance (i.e., SOX, HIPA) violations are at stake

• Disaster avoidance and business continuity have risen to a higher level of importance Driving the need / opportunity for constant vigilance and continual improvement in electronic

and physical security

6) Travel Avoidance• Minimizing business travel due to the rising expenses, increasing inconvenience and loss of

productivity Driving the need / opportunity for cost effective methods of communicating with customers,

employees and suppliers Driving the growth of video and audio conferencing applications

Relevant Market Research: Macro Trends (continued)

7) Terrorism Concerns• Protection of mission-critical resources and databases

• Decentralization of potential target facilities

• Some vertical industries are particularly attractive targets (i.e., financial services, healthcare, government agencies and transportation)

Driving the need / opportunity for improved surveillance, monitoring, disaster avoidance and recovery measures

8) Customer Service• Promised by virtually all channel partners and manufacturers… but delivered by few

• Deteriorating in reliability, consistency, responsiveness and overall quality Creating the opportunity for channel partners that are truly committed to excellence in this

critical area to differentiate and “stand-out” from the competition

Relevant Market Research: Macro Trends (continued)