Update NEC Unified Solutions for partners Comtel “SOPHO”

Taipei, Taiwan

21st April 2011

Lex de Gier

Vice President Sales & Marketing

NEC Confidential

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Agenda

▐ History and current organization

▐ How did we do ?

▐ Importancy of iS3000 and our business in Taiwan

Update for partners in Taiwan, 21st of April 2011© NEC Unified Solutions 2011Page 3Page 3

Agenda

▐History and current organization

▐ How did we do ?

▐ Importancy of iS3000 and our business in Taiwan

Update for partners in Taiwan, 21st of April 2011© NEC Unified Solutions 2011Page 4

From Philips to NEC Philips to NEC Unified Solutions

▐ 2001 OEM agreement NEC and Philips for EMEA market

▐ 2003 Divestment of PBC started…..no go with Gores as Private equity

▐ 2003-2004 Project MIRAI divestment to NEC, in 2004 on hold by NEC

▐ 2005 Divestment PBC Asia (Singapore) and PBC Austria

▐ 2006 Project SHORAI creating of Joint Venture as of 1th April 2006, shareholding 60%

NEC, 40% Philips

▐ 2006-2008 Divestments PBC China, PBC Brazil, PBC Germany, PBC Belgium,

PBC Denmark

▐ 2008-2009 President Paul Kievit, VP Sales & Marketing Lex de Gier, re-engineering to sustainable model, including 15 % cost-reduction, integration of Middle East activities and NEC-Infrontia European SMB distribution business.

▐ 2010 1 April 2010 100 % NEC

▐ 2011 Integration of Russia activities and IT Platform Solutions into NEC Unified Solutions

Update for partners in Taiwan, 21st of April 2011© NEC Unified Solutions 2011Page 5

▐ Global network EMEA Asia Pacific Australia Americas

Global customers, solutions & support

▐ NEC Unified Solutions in Europe, Middle East & Africa Presence in 50+ countries with direct organisations and 1000+ partners

(System Integrators, Distributors, Value Added Resellers) Small, medium and large organizations (SMBs and Enterprise),

in both private and public sectors

▐ NEC Unified Solutions in China, Asia and Brazil, successfully selling to and supporting large iS3000 installed base through selected partners

Serving customers with products, services and solutions that deliver long-term benefits

and meet the highest standards of quality, reliability and flexibility

Global Presence in Enterprise Communications

• NEC Unified Solutions

• NEC Unified Solutions

• NEC Unified Solutions

• NEC Unified Solutions

Update for partners in Taiwan, 21st of April 2011© NEC Unified Solutions 2011Page 6

•Support President •SBU Budget •Strategic Planning•Acting manager of F&A department• Customer Support Center

•Customer fulfillment•Logistic /purchasing •Process engineering

NEC Unified Solutions / ITPS ” CoC Organization Structure

SBU : IT /NW Platforms

NEC Europe

•SMB portfolio•Enterprise portfolio•Mobility portfolio•Applications• Portfolio Partnerships•Clouds Strategy

President /Head P. Kievit

Sales / Marketing

Lex de Gier

PortfolioApplicationsR. Rubens

DevelopmentTBD

Customer Support

SBU Planning & Operations

H. Shiba

ITPSS. Matsuura

• Multi-Channel sales (both IT/NW)•Marketing•CASS project support• Vertical sales-Hospitality,-Healthcare•CCS sales

Technical Support

•NDEV•SIP&Net•DECT•Univerge•Sphericall•HW Sogeti

•Overall responsibility of ITPS business • Pre-Post support of ITPS business• Logistics•Coordination SBU

•Technical support•Professional services•NOC center (Plan) •Clouds Services

NSOs

CAItalySwedenSwiss GermanySpainGreecePortugal

• Direct PL Operation • pre-sales/ Post- Sales Engineering • Bid preparation• Project Mgt• Delivery

IT SolutionsC. de Silva

Update for partners in Taiwan, 21st of April 2011© NEC Unified Solutions 2011Page 7

Organization structure (merge NECU and ITPS sales & marketing)

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Agenda

▐ History and current organization

▐How did we do ?

▐ Importancy of iS3000 and our business in Taiwan

Update for partners in Taiwan, 21st of April 2011© NEC Unified Solutions 2011Page 9

So how did we do !!!!!

Update for partners in Taiwan, 21st of April 2011© NEC Unified Solutions 2011Page 10

NEC – the Global Nr. 3 in Enterprise Communications!

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We’re closing in!

NEC THE challenger in both UC and Corp Tel MQ’s

Source: Gartner – Magic Quadrant for UC and Corporate Telephony – July/August 2010

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2006

2007

2008

2009

2010

Continuously increasing positionin UC MQ

Source: Gartner – 2010

Progression since 2006

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... Or according to Canalys ....

© Canalys

UC call control worldwide summary

Q3 2010Lines

Y-o-Y growt

h

Q-o-Q growt

h

Asia Pacific3,735,00

014.3% 7.1%

Europe, Middle East and Africa

4,804,000

2.7% 1.9%

Latin America

941,000 8.9% 3.1%

North America

3,270,000

11.8% 8.2%

Worldwide12,750,0

008.6% 5.1%

Cisco 16.4% 15.4%Avaya* 15.6% 5.4%NEC 11.3% 20.9%Alcatel-Lucent 7.8% 4.1%Siemens 7.3% -7.5%

Market share

Y-o-Y growth

Top 5 vendors

Source: Canalys estimates, Unified Communications Analysis, November 2010

Update for partners in Taiwan, 21st of April 2011© NEC Unified Solutions 2011Page 14

DipLow

Climb High

© Canalys

Canalys Pi EMEA Q3 2010

Unified Communications Analysis

NEC Unified Solutions continues to outperform

Medium term performance

HP Networking

Alcatel-Lucent

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Agenda

▐ History and current organization

▐ How did we do ?

▐Importancy of iS3000 and way ahead

Update for partners in Taiwan, 21st of April 2011© NEC Unified Solutions 2011Page 16

Hilversum Shipments by Product (sales + supplies)

8%

20%

11%

26%

23%

7%5%

Actual FY2010 per Product Group

NEC Enterpr.

NEC SMB

NEC Terminals

iS3000

DECT

Applic./Others

Service

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The future is with us and with you ……

▐ iS3000 there to stay….▐ Strategically important for NEC▐ Is key for enterprise

communications portfolio of NEC▐ iS3000 is ready for the future▐ iS3000 means smooth migration

into VoiP for existing customers and ..

▐ Future ready soft switch for new customers

▐ Sustainable roadmap▐ Long term delivery commitment▐ You will hear more today and

tomorrow …..

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From 10.000 feet looking to progress

▐ Economy is a given…..market is re bouncing

▐ Financial results showing sustainable profitability ( this is no luck )

▐ NEC growth market-share ( led by SMB business )

▐ Fast / solid growth indirect Business ( Operational Excellence / Channel intimacy, our business partners like us )

▐ Cooperation with ITPS ( now integrated ) and Displays goes well

▐ Countries in general profitable ( autonomous, integral )

▐ Success in verticals: Hospitality….Healthcare

▐ Enterprise customers “ stay “ on board….

But we need to further accelerate

▐ Top-line growth in countries ( be a top-5 player ) High End Enterprise offer challenge ( SOA, UC ) is urgently needed 90 % business in installed base

▐ Move from PBX centric to IT/NW Solutions integrator a must…profitability cushion now PBX services business

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Interest in alternative models increases

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Doing both !!!!!! ( like Cisco, and Avaya….)

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Join forces

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We will be there to support you !!!