Microsoft Partner Network Overview Glenn Osako Partner Territory

Microsoft Partner Network Overview Glenn Osako Partner Territory Manager July 1, 2010

Our Vision Our vision for the Microsoft® Partner Network™ is simple—to provide: Opportunities to strengthen your Capabilities Expertise to help you serve Customers better Communities that spark innovation and Connection Together, we can create innovative solutions that drive profitability and sustain competitive advantage. 2| OUR VISION

What’s in It for You? Plugging You into the Network Differentiating Your Business Delivering More Value to Your Customers Helping Customers Find You 3| WHAT’S IN IT FOR YOU? Market Recognition That Supports You

What Membership Opportunity Is Best for Me? Starting in October 2010 … 4| WHAT MEMBERSHIP OPPORTUNITY IS BEST FOR ME?

How Do I Describe Myself to a Customer? • • 5| Community & Subscriptions: I am a member of the Microsoft Partner Network. Competencies: I am a Microsoft partner with expertise in Business Intelligence and Virtualization. Advanced Competencies: I am a Microsoft partner with advanced expertise in Search. Competencies & Advanced Competencies: I am a Microsoft partner with expertise in Business Intelligence and advanced expertise in Search. HOW DO I DESCRIBE MYSELF TO A CUSTOMER?

Key Changes You Can Expect The Microsoft Partner Network is evolving to provide partners with: • Opportunities to strengthen capabilities. • Expertise to help serve customers better. • Communities that spark innovation and connection. Shift to Competency-Based Membership Opportunities 6| • It had gotten too easy for partners to obtain the Gold Certified status • The value of the Gold Certified brand was diminished • Customers were confused about how to find the best partner Competency and Specialization Changes • The bar has been raised on certification exam requirements • Competencies were renamed to match how customers look for solutions • Specializations are being retired Advanced Competency Differentiation • A very high technical and sales bar will be implemented to achieve the advanced competency • Benefits will be tailored by both membership opportunity and competency Visual Identity and Logo Changes • Microsoft Partner Program renamed to Microsoft Partner Network to reflect customer connection • New brand introduced to signify change KEY CHANGES YOU CAN EXPECT

Microsoft Partner Network: Planned Timeline Available Now Partners enrolling or re-enrolling as Gold Certified Partners must have participated in the Customer Satisfaction (CSAT) Index starting on November 20, 2009. Most new Microsoft Partner Network competencies launched: • • • • 7| Application Integration Application Lifecycle Management Business Intelligence Content Management Customer Relationship Management Data Platform Desktop Platform Enterprise Resource Planning Hosting Platform Identity and Security Independent Software Vendor (ISV) Learning Midmarket Solution Provider Mobility OEM Hardware MICROSOFT PARTNER NETWORK: PLANNED TIMELINE • Portals and Collaboration • Project and Portfolio Management • Search • Server Platform • Software Asset Management • Software Development • Systems Management • Unified Communications • Virtualization • Volume Licensing • Web Development Specializations are consolidated into new competencies. Launch of Microsoft Action Pack Solution Provider and Microsoft Action Pack Development and Design. Exam requirement policy updated. Look for updates on the U. S. Partner Portal. Starting in October 2010 Advanced competencies launch. New competency and advanced competency benefits available. Partner levels (Registered, Certified, and Gold Certified) are retired. Partner Points are retired. Sales specialist is introduced for select advanced competencies. Exam requirements updated for certain competencies. New Microsoft Partner Network competencies launch: • Authorized Distributor • Digital Marketing • Digital Home (May 2011) New partner logos are available for partner use.

Competency Alignment to Customer Business Challenges Core Infrastructure Business Productivity Systems Management Identity and Security Business Intelligence Unified Communications Data Platform Web Development Desktop Virtualization Content Management Search Application Integration Application Lifecycle Management Portals and Collaboration Project & Portfolio Management Server Platform Customer Relationship Management Software Development Cross Platform Solutions CRM & ERP Small & Medium Business Digital Home Digital Marketing Volume Licensing OEM Mobility Authorized Distributor Hosting Platform Learning ISV Enterprise Resource Planning 8| Application Platform COMPETENCY ALIGNMENT TO CUSTOMER BUSINESS CHALLENGES Software Asset Management Small Business Solution Provider Midmarket Solution Provider

Microsoft Partner Network Benefits at a Glance Get Microsoftware to run your business. Get rewards to reinvest in your business. Get support and customer-relevant brand recognition. Get training to differentiate your capabilities. Get top-priority listing in Microsoft customerfacing directories to promote your business. Get the network advantage. Strengthen capabilities. Build real-time connections. Serve customers better.

Microsoft Action Pack Solution Provider Delivering targeted benefits and key featured resources Grow Your Business • Microsoft Financing Options • Market Visibility(Pin. Point, Solution Finder, Demo Showcase) • Sales Skills Training • Targeted Learning Plans • Partner Learning Center (free & discounted training) • Marketing Collateral • Career Resources (student-tobusiness recruiting) Software & Tools • Tech. Net for Action Pack Subscription • Enterprise Editions: (IUR) • Office 2010 System • Windows 7 • Windows Server 2008 R 2(SBS) • Server Products (SQL, Exchange) • Share. Point Standard (IUR) • Dynamics (CRM Workgroup) • BPOS Offerings Technical Support • Unlimited Access to Online Technical Communities • Unlimited Business Critical Phone Support • Quarterly recorded Support Webinars Bolded words = New to today’s solution provider subscription (current version of MAPS)

Microsoft Action Pack Development & Design Delivering targeted benefits and key featured resources Grow Your Business Software & Tools • Microsoft Financing Options • Market Visibility(Pin. Point, Solution Finder, Demo Showcase) • Sales Skills Training • Targeted Learning Plans • Partner Learning Center (free & discounted training) • Marketing Collateral • Career Resources (student-tobusiness recruiting) • Enterprise Editions: (IUR) • Office 2010 System • Windows 7 • Windows Server 2008 R 2 (SBS) • Server Products (SQL, Exchange) • Share. Point Standard (IUR) • Dynamics (CRM Workgroup) • Expression Studio 4 Web Pro • Visual Studio 2010 Professional • MSDN for Microsoft Action Pack Development and Design Subscription* Technical Support • Unlimited Access to Online Technical Communities • Unlimited Business Critical Phone Support • Exclusive Quarterly Support Webinars • Partner Advisory Services (10 hours) Bolded words = New to today’s development subscriptions (Web Solutions Toolkit & Empower) * Includes (3) MSDN for Action Pack subscriptions, which provide access to Visual Studio 2010 Professional, Expression Studio 4 Web Professional, and latest versions of Windows, Windows Server, and SQL Server for development and testing.

Competency Benefits Competency Core Benefits Advanced Competency Core Benefits • Internal Use Software (25 licenses): Windows 7, Microsoft Office Enterprise 2007, Windows Server 2008, Microsoft Office Share. Point, and more. • Internal Use Software (100 licenses): Windows 7, Microsoft Office Enterprise 2007, Windows Server 2008, Microsoft Office Share. Point, and much more. • Support Services: 20 phone-based advisory hours, unlimited deal-related and business-critical phone support, online support experience, and a five-pack of break/fix incidents. • Support Services: 50 phone-based advisory hours, unlimited deal-related and business-critical phone support, online support experience, and a five-pack of break/fix incidents. • Marketplace Prioritization: Priority listing in Microsoft customer-facing directories and use of the Microsoft Partner Network competency logo. • Marketplace Prioritization: Top-priority listing in Microsoft customer-facing directories and use of the Microsoft Partner Network advanced competency logo. • Channel Incentives: Partner incentive for selling BPOS (18% first year, 6% recurring). • Training: Access to the Partner Learning Center. Competency-Specific Benefits Partners with competencies and advanced competencies are eligible for competency-specific benefits, including extra software licenses. Please refer to the “Value of Earning a Microsoft Competency” Guide and License Calculator for more information. 12 | COMPETENCY BENEFITS

Requirements Summary Requirement Join Our Community Purchase a Subscription Earn a Competency Differentiate Your Expertise By Attaining an Advanced Competency Credentials Not applicable Two Microsoft Certified Professionals (applicable exams below). (1) Four Microsoft Certified Professionals with advanced credentials, not holding any other advanced competency. (2) OR Two Microsoft Certified Professionals with advanced credentials, not holding any other advanced competency and qualifying standard test (3) OR Qualifying advanced application tests(3) OR Qualifying standard application tests Joint Microsoft Partner Plan Not applicable Revenue commitment Starting October 2010, partners will need to commit to a minimum revenue bar based on their competency. Starting October 2011, to maintain advanced competency status, partners will need to meet the revenue bar by their next reenrollment date. After achieving an advanced competency, partners will be required to complete a simple business plan detailing the activities that will support their plan. If applicable, a Microsoft representative may contact the partner to support the creation of this business plan Business Training and Assessments (4) Not applicable One individual who passes a Microsoft online assessment every two years. (5) One individual who passes a Microsoft Licensing overview assessment OR One MCP that has passed a Volume Licensing competency exam AND One individual who passes an online sales and marketing competency assessment One individual who passes a Microsoft Licensing overview assessment OR One MCP that has passed a Volume Licensing competency exam AND Two individuals who pass an online sales and marketing competency assessment Customer Evidence Not applicable Commitment Short Profile; including Full Profile company’s official URL Annual Subscription Annual competency Fee (good for one or Annual advanced competency Fee (good for one or multiple advanced Fee: Microsoft Action multiple competencies): $1, 850. (6) competencies): $3, 800. (6) Pack Solution Provider $329; Microsoft Action Pack Development and Design $429. See footnotes in speaker notes Three unique customer references per competency Five unique customer references per competency. (5) Participation in Customer Satisfaction (CSAT) Index

Get Current on Certification Exams It may be time to update your Microsoft Certifications. A number of changes have been made to the Microsoft Partner Network since July 2009, including the introduction last month of a new, more relevant competency structure with expanded benefits and requirements. These changes will help you differentiate your business and enable you to deliver even more value to your customers. However, it’s also likely that you’ll need to update your Microsoft Certifications by aligning with more current technology. To retain your competency benefits, update your certification exams by your re-enrollment date. (Until then, you’ll retain your current benefits. ) Visit the “Get Current on Certification Exams” page to learn how to start the process, find out if you need to update your certifications, and see how we can help. You can also follow these steps to prepare for the upcoming changes: 1 2 3 14 | Download the “Value of Earning a Microsoft Competency Guide” to learn about new competencies and their exam requirements. Identify the new certification exams you need to take in order to remain compliant in your respective competency and/or competencies. Prepare for certification exams with the Learning Plan Tool and locate a Prometric testing center. GET CURRENT ON CERTIFICATION EXAMS

Two Steps for Preparation 1 Gold Certified Partners Small Business Specialists Registered Members Now 2 In October 2010 • Review and update your competency requirements and, where applicable, your competency requirements. • Prepare for the advanced competency and/or competencies of your choice. • Participate in the CSAT Index prior to reenrollment. • Update your collateral with your new brand via Partner Logo Builder. • Review the new competency requirements and, where applicable, update your competency requirements. • Prepare for the advanced competency and/or competencies of your choice. • Update your collateral with your new brand via Partner Logo Builder. • Participate in the new Microsoft Partner Network Community site to get support and engage with other partners. • If you’re interested, prepare for the Midmarket Solution Provider competency. • If you’re interested, prepare for the Midmarket Solution Provider advanced competency. • Participate in the new Microsoft Partner Network Community site to get support and engage with other partners. • Check out the new subscriptions that are available. • Consider new membership opportunities to further engage within the network. 1. Check out the “Prepare for the Microsoft Partner Network” Portal Page 2. Review the Microsoft Partner Network Checklist

Where Do I Go for Help? • Microsoft Partner Network Expert Team Partners may contact our Microsoft Partner Network Expert Team for information on qualifying for re-enrollment, receiving additional insight on competency attainment, meeting the CSAT Index requirements and much more. Contact the Microsoft Partner Network Experts at 1 -877 -254 -6825 or msppexp@microsoft. com. • Regional Service Center Our RSC can answer all questions and concerns related to the Microsoft Partner Network and can help make changes to a partner’s account. Call 1 -800 -765 -7768 or email msppna@microsoft. com. 16 | WHERE DO I GO FOR HELP?

THANK YOU For all questions, visit the U. S. Partner Portal: https: //partner. microsoft. com/US For steps on how to prepare for the Microsoft Partner Network: https: //partner. microsoft. com/US/40109866 © 2009 Microsoft Corporation. All rights reserved. Microsoft, Windows Vista, and [include other trademarks referenced] are trademarks of the Microsoft group of companies. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentations. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED, OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

Appendix A Frequently Asked Questions

Microsoft Partner Network FAQs • • 19 | Why have you changed from the Microsoft Partner Program to the Microsoft Partner Network? Ø We’re evolving from the Microsoft Partner Program to the Microsoft Partner Network to strengthen the relationship we have with our partners—and the relationships you have with other partners and your customers. All partners have a home within the Microsoft Partner Network. You can thrive by taking advantage of the new opportunities available to you through the Microsoft Partner Network. What is the difference between competency and advanced competency? Ø Microsoft competencies can help set your company apart from the competition by demonstrating your proven Microsoft experience and skills to customers. Competencies align to your customers’ needs and can make certifications more recognizable to prospective customers. Partners will differentiate this in the marketplace with a specific Microsoft Partner Network competency brand. Ø In October 2010, partners that attain advanced competencies will showcase ‘best-in-class’ solutions that went through a rigorous and auditable approval process to demonstrate customer value. Partners with advanced competencies will demonstrate to customers a deep level of expertise and an ability to provide holistic integrated solutions. Partners will differentiate this in the marketplace with a specific Microsoft Partner Network advanced competency brand. Once I attain a new competency or advanced competency, when do I receive the associated logo? Ø New competency and advanced competency logos will be available to partners in October 2010. Though partners may continue to use Microsoft Partner Program Gold Certified and Certified logos until June 30, 2011, these logos will not be available to download in Logo Builder after October 2010. Gold Certified and Certified logos will retire in June 2011. To access current logos, go here. What membership area will I transition into come May and October 2010? Ø All Gold Certified and Certified partners with at least one competency will be placed into the appropriate competency membership. A table for how current competencies will transition to new competencies can be found in the appendix of the Value of Earning a Microsoft Competency guide. Ø Once advanced competencies are available in October, 2010, partners can enroll in the advanced competency of their choice assuming the associated requirements are met. MICROSOFT PARTNER NETWORK FAQs

Microsoft Partner Network FAQs • • • 20 | Why are Gold Certified and Certified going away? Ø Our research showed us that the existing partner brands were not resonating with customers. We heard: Ø “What does gold certified mean? ” Ø “Gold sounds valuable to Microsoft but expensive for me… not relevant … not about my business” Ø Customers want to be assured that a partner can solve their business needs so they find value in a specific, more transparent naming system that identifies partners’ capabilities and level of expertise specific to these capabilities. Ø Also, some partners liked the ”convenience” or ambiguity of gold, because they could “make it mean anything in customer conversations. ” Many partners shared the customer perspective, believing that “gold” was devalued. They wanted us to “raise the bar” so they would have better opportunity to clarify and differentiate their business expertise. Ø In addition, historically partners joined numerous competencies simply to become gold – in the Microsoft partner network partners can focus on building expertise in areas that drive their business versus jumping through unnecessary hoops. With this transition, doesn’t Gold Certified equate to advanced competency and does Certified equate to competency? Ø Gold Certified does not equate to an advanced competency. The advanced competency is a new membership opportunity within the network and has more stringent requirements than Gold Certified does today. Ø Competency requirements are similar to what partners need to do to achieve the Certified designation today. In May 2010, Gold Certified and Certified partners with at least one competency will transition into the appropriate competency. I noticed there are “core” and competency-specific benefits –how are these different? Ø When you earn your first competency and/or advanced competency, you are entitled to a “core” set of benefits, which is a one-time occurrence and renewable upon reenrollment. As you attain additional competencies, you are granted competency-specific benefits. MICROSOFT PARTNER NETWORK FAQs

Microsoft Partner Network FAQs • • 21 | What are some of the competency core benefits? Ø If you are interested in learning more about Microsoft Partner Network competencies, review the Value of Earning a Microsoft Competency. If you have a competency today, please download the guide to identify the new exam requirements your organization must meet to attain your competency. Can I assign MCPs that have attained a competency to an advanced competency? Ø Yes, your employees or contractors who pass the applicable competency exams are eligible toward multiple competencies. Can I assign MCPs that have attained an advanced competency to another advanced competency? Ø No, your employees or contractors who pass the applicable competency exams are only eligible toward one advanced competency. A person who has attained a Master or Architect Certification qualifies for two Microsoft Certified Professionals with advanced credentials. I’m a small partner and I think that the advanced competency is too hard to achieve – what is the rationale for the advanced competency requirements? Ø We acknowledge that it may be difficult for some small business partners to achieve more than one advanced competency as some of the primary requirements include four unique Microsoft Certified Professionals and revenue requirements. The requirements evolved from partner feedback requesting that Microsoft help them differentiate their technical and business capabilities, raise the “bar” and reward the highest commitment. Ø Smaller partners that were previously Gold with multiple competencies are encouraged to choose their primary business focus for pursuing an advanced competency and then choose supporting competencies that compliment their primary focus. In addition, partners that focus on small-business customers can engage through the Small Business Specialist Community and are encouraged to try to achieve the Midmarket Solution Provider competency. MICROSOFT PARTNER NETWORK FAQs

Small Business Specialist Community FAQs • Since the Small Business Specialist Community is continuing, does that mean that the Small Business Specialist logo is staying too? Ø As an active member in the Small Business Specialist Community partners may continue to use the current Small Business Specialist logo (a. k. a. the blue badge), to strengthen customer recognition and their ongoing partnership with Microsoft. We will continue to evolve the visual branding where necessary to ensure it aligns with the overall MPN branding that customers know and trust. Our commitment to partners is that we will provide 1 year notice if any changes are implemented in the future. • What about the Sales & Marketing Skills Assessment? Ø Starting in October 2010 we will introduce new Sales & Marketing Assessments for both the Small Business Specialist Community and for the individual competencies as well. The Small Business Specialist Community will have to meet this assessment; Midmarket Solution Provider will have its own unique sales and marketing assessment • Can I be an active member in SBSC and also hold another competency at the same time? Ø Yes. We encourage partners go after the credentials that will best demonstrate what they can offer their small-to-midsize business customers. They can be in the SBSC in addition to being in a competency or multiple competencies. • • 22 | If partners can be in both SBSC and a competency, can they use more than one logo? Ø Yes. The Microsoft Partner Network logos help customers identify areas of expertise. Partners are permitted and encouraged to use all logos that they are qualified for. The Small Business Specialist logo may be used in conjunction with (multiple) competency and advanced competency logos. Do partners need to update skills to remain in SBSC? Ø Yes, small-to-midsize (SMB) customers desire technology providers that have current skills and proven expertise. They will need to meet the current requirements for the designation, competency or advanced competency they’d like to obtain each year. SMALL BUSINESS SPECIALIST COMMUNITY FAQs

Subscriptions FAQs • • • 23 | What happened with subscriptions in May 2010? Ø As announced on March 15, 2010, Microsoft Action Pack was renamed “Microsoft Action Pack Solution Provider. ” In addition, on May 24, 2010 we launched a new offering called Microsoft Action Pack Development and Design. Empower for ISVs closed its enrollment on May 21, 2010. What is changing with Microsoft Action Pack Solution Provider? Ø As of May 24, new benefits were included, such as a Tech. Net for Microsoft Action Pack Solution Provider which includes evaluation licenses of full-version Microsoftware, access to the Microsoft Tech. Net Library and Tech. Net community managed forums, visibility in Microsoft customer directories, the opportunity to recruit the most -qualified students with next-generation talent, sales skills training and access to quarterly support webinars. Who should order Microsoft Action Pack Solution Provider? Ø Action Pack Solution Provider is for Microsoft partners serving small and medium companies. This subscription helps Solution Providers effectively promote, install, and build solutions that use Microsoft products and technologies. What is Microsoft Action Pack Development and Design and who should order it? Ø Launched on May 24, 2010, Action Pack Development and Design provides developers and web designers the latest software releases and platform technologies, key development and testing tools, technical support, business development resources, and broad market visibility. Your company must have less than 100 employees and your company URL will be checked to ensure you are in the software development and design business. How much do the Microsoft Action Pack Subscriptions cost? Ø Microsoft Action Pack Solution Provider costs $329. Microsoft Action Pack Development and Design costs $429. You have the option to buy a download only subscription or a download + physical media subscription, which includes a Welcome Kit and up to (2) update kits. SUBSCRIPTIONS FAQs