Electronic Software Delivery

Challenges and Opportunities

Reynold HarbinSr. Product Line Director, Software Delivery

Akamai Technologies, Inc.

Key Industry Trends

• Broadband Adoption

• Growth & User Preferences

• Primary Use Cases

Worldwide Internet UsersGrowing Broadband Adoption

Worldwide Broadband households

Worldwide Internet users

0

100

200

300

400

500

600

700

800

900

2008 2009 2010

Use

rs (m

illio

ns)

Sources: eMarketer, Worldwide Online Access: 2004-2010, International Telecommunications Union (ITU); Organization of Economic Cooperation and

Development (OECD)

715M757M

796M

279M312M

342M

(43% of users on broadband)

Software Delivery TrendsGrowth and User Preference

Online Software Delivery is growing rapidly

– $23B – 2008 ESD associated revenue• 18.1% increase from 2007[1]

• Forecasted to grow 24.1% annually through 2013

Users want physical and electronic options

– Majority of U.S. users prefer electronic distribution:• 32.4% want all software online

• 43.7% want initial software on disk, but updates online

• 20.7% want initial software and updates on disk

Connected devices continue to drive software updates– iTunes updates 44 times in five years

– Same pattern occurring with RIM, TomTom, PS3, etc

– 100+ connected device exhibitors at 2010 CES

Software Delivery TrendsConnected Devices and Green revisited

Source: Accenture “Demonstrating the Benefits of

Electronic Software Distribution”

Using ESD to achieve Corporate Green initiatives

“Emissions can be reduced by up to 91% by exclusively downloading software through the Microsoft Volume Licensing Service Center”

Software Delivery Trends

Trials and Marketing

Download Scenario

• Retain the customer• Maintain high level of

satisfaction• Control delivery costs

Primary Goal

Licensed Software

Support Updates

• Engage consumer• Feed sales pipeline• Stimulate purchase action

• Complete transaction• Customer satisfaction

Visit Product Page

Click “Download”

Install Download Manager

Complete Download

Launch Software

Purchase

Trials and Marketing Downloads Maximize Revenue Opportunity

1. Drive more prospects to trial software

2. Make download process easy

• Minimize download steps

• Ensure quality

3. Control the brand during download and engage the user

The trial software download funnel

Licensed Software Maximize Customer Satisfaction

1. Moving users from physical to online requires ESD champions

1. Simplify user experience to improve satisfaction

2. Address complex workflows– Users may download many files– “Download Shopping Cart” Model– Download in order and launch install

3. Manage large files downloads– Files continue to grow in size

4. Support International Users– Multiple languages– Export Control

End User Customer

Visit Support Page

Click “Download”

Install Download Manager

Complete Download

Launch Software

Resolve

Support Software Control Support Costs

1. Drive more customers to online support

2. Make online support easy, including support downloads • Easy to find

• Easy to install

The support software download funnel

ESD: Defining A Solution

– From this:

1. Superior Download Experience Increase trial conversions, reduce support calls

Importance of the Download Experience

Average size ~ 1.3Gb

Approximate download time ~ 40 minutes

x

25 million downloads

16.6 million customer hours

How big is 16.6

million

customer hours

?

~ 10 minute

commercial

• Easily manage complex workflows

• Enable integrity checking

2. Simplified Workflow Reduce complexity

– Make better decisions: better analytics to understand consumer habits results in better download strategy decisions that impact consumers

3. Better Insight Into DownloadsOptimize Your Download Strategy

4. Scale & Performance Better manage demand spike challenge

ESD Defined: Summary

• Superior Download Experience – Immerse consumer in your brand, promote additional offerings during download

process, increase conversions

• Simplified Download Workflow – Solves the complexity challenges for multiple file delivery where authentication,

integrity checking or multi lingual support is required

• Better Insight Into Downloads– Track key server and client side metrics on software engagement and delivery in

the context of your business

• Greater Scale & Capacity• Make download decisions without worrying about network provisioning for

download spikes

Electronic Software Delivery

Challenges and Opportunities

Reynold Harbin

Senior Product Line Director,

Software Delivery

Akamai Technologies, Inc.