Linksys Channel Partner Integration Cisco and Linksys

Linksys Channel Partner Integration Cisco and Linksys – Solutions for SMB 1

Agenda § Small Business Market Opportunity § Cisco’s Commitment to Small Business § Why Become a Cisco Registered Partner § Beyond Registered § Cisco and Linksys – Solutions for SMB §Q&A 2

Importance of Small Business 100%= 3 B $54 T 40 M 10% Large Enterprises 90% SMBs 30% 60% 50% 70% 40% Global Workforce 50% Global GDP New Jobs Globally All Businesses Source: Median Values, World Bank; Intl Labor Org. Employment Trends; Cisco SMO 3

Small Business Technology Penetration 2009 Forecast 70% 60% 50% Strong GDP Growth Forecasted; Very Low Small Business Penetration 40% 30% 20% 10% 0% NAM LAN Source: AMI 2007 WE WLAN Japan Security Lat. Am Hosted Apps EE, MEA Storage APAC IP PBX 4

New Customer Profile in Small Business § Extremely diverse, different buying behaviors § Younger workforce, Web 2. 0 savvy, very collaborative § Typically lack IT expertise § More inclined to rely on trusted advisor § Expect IT solutions accessed quickly and easily § Need to be mobile and connected all the time § Looking for “Pay as I grow” IT services 5

Agenda § Small Business Market Opportunity § Cisco’s Commitment to Small Business § Why Become a Cisco Registered Partner § Beyond Registered § Cisco and Linksys – Solutions for SMB §Q&A 6

Cisco Small Business Vision The trusted IT and communications provider to small businesses and their partners. Strategy With our partners, deliver solutions that are easy to sell, deploy and use, to help small companies leverage network centric IT to grow their businesses. 7

Cisco’s Commitment to Small Business ü ü Created new Small Business Technology Group Integrated Small Business Marketing Efforts Created new World Wide Small Business Sales Organization Created Global SMB Channels Program (Cisco, Linksys, Web. Ex) Develop Small Business Service Practices 8

Cisco and Linksys provide a comprehensive portfolio of products and solutions for Small Business customers SMB Small Business 5– 99 Employees Medium-Sized Business 100– 249 Employees Provide Purpose Built, Easy-to-Use Full-Functionality Solutions of Premium Value 9

New Approach for Cisco and Our Partners Grow the Business: Enable ITaa. S to create new business models and position VARs/SPs as trusted advisors, Partner Service ensuring sustained profitability Portfolio 3 rd Party Apps Managed or Hosted Services Data Storage Take It to the Next Level: Blend traditional Cisco, Linksys, Web. Ex to differentiate Cisco and our partners Use What Is Already Working: Leverage the industries broadest portfolio of purpose built products for SMB and build solution sets 10

Agenda § Small Business Market Opportunity § Cisco’s Commitment to Small Business § Why Become a Cisco Registered Partner § Beyond Registered § Cisco and Linksys – Solutions for SMB §Q&A 11

Why Integrate the Linksys and Cisco Channel Programs? § Create a more comprehensive, targeted approach to the SMB market § Delivers a clear approach to the SMB market for all partners in the Cisco family § Combining resources, programs and benefits to ensure partners have everything needed to be successful in the SMB market 12

Why Should I Become A Cisco Partner? § Become part of the Cisco Channel Partner Program § Expanded portfolio of Small Business products and solutions § Access to expanded set of Sales & Marketing support tools and resources § Partner level access to Cisco. com § Access to promotions and incentives* § Free training through SMB University § Take advantage of Cisco’s Small Business brand awareness & lead generation programs * Will vary by geographic region 13

Cisco Registered Partner Requirements Step 1 Step 2 Obtain your Cisco. com User ID (CCO ID) Complete the New Partner Registration Application Step 3 Read and accept the terms and conditions in the Indirect Channel Partner Agreement (ICPA) & Check the ‘check box’ on the ICPA to indicate a transitioning Linksys LPC partner Step 4 Click to Submit your Application Notification of acceptance will be received within 24 hours 14

Linksys LPC Partner Transition Milestones Aug 12, 2008 • Linksys LPC partners notified of program retirement • LPC program no longer accepting new partners • Partners encouraged to transition to the Cisco Registered partner program Sept 16, 2008 • Linksys LPC program is retired • Linksys LPC assets now available on Cisco’s Partner Central • Partner transition continues Post Sept 16, 2008 • Linksys partner transition continues • Many Linksys LPC benefits transition to Cisco • Formal tracking of transitioned partners and recruitment continues 15

Agenda § Small Business Market Opportunity § Cisco’s Commitment to Small Business § Why Become a Cisco Registered Partner § Beyond Registered § Cisco and Linksys – Solutions for SMB §Q&A 16

Beyond Registered to Certified Partner As a Cisco Certified Partner you can… Differentiate yourself by marketing your Cisco expertise Access sales, training and marketing assets, programs and resources reserved only for Certified partners Participate in partner profitability programs Strengthen your relationship with Cisco and its sales organization 17

SMB Specialization and Select Certification § Become a Cisco Certified Partner by participating in the Select Certified program; the first level of Certified Partner § SMB Specialization is required to become Select Certified Training available in E-Learning and Instructor Led formats Pass 2 On-Line Exams – Engineering and Account Manager § Certified partners have expanded access to resources, programs and tools § Select Certified Partners participate in the Partner Development Funds incentive program 18

Agenda § Small Business Market Opportunity § Cisco’s Commitment to Small Business § Why Become a Cisco Registered Partner § Beyond Registered § Cisco and Linksys – Solutions for SMB §Q&A 19

Small Business Segmentation Product Routes Attributes Simple / Very Small Business (VSB) Enthusiasts Small Business on the Move Tech Sophisticate 1. Home business (less than 10) 2. Do it yourself 3. Price and convenience 1. Small Business within minimal expansion 2. Limited IT internal support 3. Tactical buyers 4. No futures 1. Expanding businesses 2. Limited IT internal support 3. Interested in scale and solutions 4. Price still drives decisions 1. IT and networking critical to business operations 2. Internal IT support 3. Thinks long term and brand is important 1. 2. 3. 4. 5. 1. DMR 2. Dealers / VARS 3. Service Provider 1. DMR 2. VARs 3. Service Provider 1. Broad suite of products 2. Individually managed via web interface and standard SNMP tools 3. Business level UI 1. Price is key, but so is security, scale and trade-up 2. Subset for more advanced networks 3. Bundled solutions 4. Increased manageability 1. Performance, support, and advanced technologies key 2. Buys systems 3. Vendor reputation critical 4. Demand for higher touch model Retail Ecommerce Service Provider DMR Dealers / VARs 1. Simple install and management 2. Subset of products 3. Consumer-like documentation and packaging 4. Simple UI 20

Network’s importance to business Core Context Need for engineering support Product Scalability, Customization Proprietary Solutions, Management Core Opportunity Context Size of Business is Secondary Consideration 21

Cisco SMB Solutions (Small & Medium Business) Network Importance Linksys by Cisco Business Series (Small Business) Network is core to the business Defined by Customer Buying Motivation Network is not core to the business Invest / Protect Support Price-budget minded Long term focus Tactical – convenient Fixed function and configuration System Solutions Bundled 3 rd party applications Systems Management Product Strategic to business Customizable and scalable Buying Motivation Individual Product Config Small & Medium business features w/scalability Replace existing unit or buy additional Cisco Proprietary Content Engineering and TAC support – with enhancements/upgrades Trade-up to Cisco product offering RMA with general tech support Software update with bug-fixes 22

In Summary § Cisco is committed to the Small Business customer and our partners that serve them § Combining the key Small Business assets from the Cisco family channel partner programs will create a more comprehensive, targeted approach to the Small Business market § Cisco will continue to develop products and solutions designed specifically for the Small Business customer § Together, Cisco and our partners will deliver IT solutions to the Small Business customer that will drive customer satisfaction and growth 23

For More Information Visit www. cisco. com/go/linksyspartner and review: Partner Frequently Asked Questions Linksys Partner Transition Guide Step-By-Step Guide to Become a Registered Partner Jump Start Guide 24

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