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					Business Productivity Online Suite
Sales Training
Ilse Wathion
Partner Marketing Manager

Carmen Du Bois
BPOS Lead

March 2009
Software-plus-Services
The Industry Debate
                                 Security & Privacy
                                   Customizability
                                      Visibility & Control
                                          Data accessibility




   Global reach
      Ease of provisioning
        Business agility
          Deployability & manageability
  Software                                  Best of both worlds
                                               User in control
                                                 Deployment choices for IT




Extending tools and platform to cloud
   Experience across multiple devices
     Best-in-class SLAs and IT governance
                                            +                     Services
Power of Choice
Microsoft: Breadth And Choice
                    Software                                                     SERVICES

                  Software                          Live                           Online                           Partner
                  Small Business
                   to Enterprise
                                                  Consumer                       Small Business
                                                                                  to Enterprise
                                                                                                                    Hosted
                                                  and SOHO

 APPLICATIONS
 AND SOLUTIONS




                                                             Microsoft Hosted                                     Partner Hosted

                               IDENTITY AND ACCESS              BUSINESS LOGIC                    CORE SERVICES
    BUILDING      DATA SERVICES                  COMMUNICATIONS                     SEARCH                        SERVICE DELIVERY
 BLOCK SERVICES
                     Tools

    GLOBAL             DATA
  FOUNDATION           CENTERS                         COMPUTERS                      NETWORKS
BPOS?

Business Productivity Online Suite
IT Challenges
Customers tell us…
We want the features of the latest platform but don’t want to
 upgrade or we don’t have the skills…

We can’t keep good IT people to run the platform and we need
 to free up our best people to work on strategic projects…

We want more predictable IT costs even if it doesn’t
 save a lot of money…

We can’t spend enough to ensure security and reliability…

We want a different experience for different types of users…
The Business Productivity Online Suite combines best-of-
breed communication and collaboration solutions
Enterprise class software delivered via subscription services hosted by Microsoft
                            and supported by partners
     Business Productivity Online Suite                Offer               Product Description

                                              Exchange Online          » Email, Contacts,
                                              Services                   Calendaring, Task Lists

                                                                       » File Storage, file sharing,
                                              SharePoint Online
                                                                         project work spaces

                                              Office
                                                                       » Presence, Instandt
                                              Communications
                                                                         Messaging, web
                                              (including Office LIVE
                                                                         conferencing
                                              Meeting)
              Standard and Dedicated Platforms
                  Standard                               Dedicated




Ø Multiple Customers, One Architecture    Ø Single Customer per Architecture
Ø Customer Needs Rapid Deployment         Ø Businesses Greater than 5,000 Users
Ø Self service for management and admin   Ø Customer Needs all Server Features
Ø Single sign-in client for identity      Ø VPN connection with MSFT for identity   10
   Service Platform Decision Tree
  Customer Priority                        Platform
       Less than 5K Users           Yes    Standard

       Quick Deployment             Yes    Standard

          Lowest Cost               Yes    Standard

  Dedicated Hardware Required       Yes   Dedicated

Advanced Server Features Required   Yes
                                          Dedicated
                                                      11
    Standard Service Offerings
                                    Core Offerings
        Exchange Online
            Standard                                 Business Productivity
                                                         Online Suite
     Office SharePoint Online
             Standard                                       (BPOS)

  Office Communications Online                                  Includes:
            (Future Release)                              Exchange Standard
                                                         SharePoint Standard
       Office Live Meeting                              Office Communications
            Standard                                         LM Standard


Exchange Online Deskless Worker
                                                       Deskless Worker Suite
SharePoint Online Deskless Worker                            (Future Release)




                                                                                12
           Deskless Worker Suite (Future Release)
                                               •   Client Connectivity
  Information Worker                           •   Mobility
                                               •   Additional Storage                                                 BPO Suite
  Key Differentiators                              ü Exchange to 1GB
                                                   ü SharePoint to 250MB
                                               •   Application Sharing
                                               •   OCS Capabilities




                                               •   OWA Light Only Access
                                               •   100 MB Mailbox (No Additional)
  Deskless Worker                              •   AV/AS                                                       Deskless Worker
  Needs                                        •   Access to GAL                                                    Suite
                                               •   Personal Contacts
                                               •   SharePoint Access (0 MB)
                                               •   Word / Excel / PPT Viewers



Ø Segments employee user population and addresses each segment’s real needs

Ø Provides high value to companies with a large mix of IW’s by giving users rich functionality to match their needs
                                                                                                                                  13
Ø Provides a low cost option to companies with a large mix of Deskless Workers with lower functional requirements
User Segmentation

           Information Worker
           • Rich client Outlook connectivity with web access
           • Full Exchange Online, SharePoint Online capabilities
           • Larger storage
           • Active Sync device support


                            Deskless Worker
                             • Web access only
                             • Limited Exchange, SharePoint capabilities
                             • Smaller mailbox size
                             • Lower cost
         Protect Investments in CAL Software Assurance
      New or Existing                          Additional Step-Up USL                             USL
      SA Agreement                                   Agreement                                 Agreement
                                                      Credit for
    Software Assurance                           Software Assurance

                                                                                                  User
            With                                                                              Subscription
                                                    Step-Up User                                License
                                                 Subscription License
         Perpetual
   Client Access License


                                    Services Are Licensed on a Per User Basis
USL – User Subscription License
  Ø Provides non-perpetual rights to an Online Service with no buy-out rights
  Ø Does NOT require a prerequisite CAL with Software Assurance or Subscription license to purchase
Step-Up USL – Step-Up User Subscription License
   Ø DOES require a prerequisite CAL under Software Assurance or Subscription license to purchase            15

   Ø Must continue to renew perpetual CAL & Software Assurance agreement to retain “step-up” rights
Dual Access License Rights

                            User Subscription License          can be used with
                                  Online Service Rights
    USL                           the service and with on-premises servers
                                           Internet
                                                                                    Microsoft Hosted Servers

                                    On-Premises Rights
                            *Customers still must buy on-premises Server Licenses


                                                                                       Customer Servers


                                          SharePoint Example
   Customer purchases SharePoint Online User Subscription License
   Licensed User can use the USL to access the Service
   Customer purchases SharePoint Server licenses for their on-premise servers
   Same Licensed User can use the USL as a
    Client Access License to access On-Premises Servers
BPO Suite Discount
                                                      Sum of Components = $ 24.25
                                          $ 2.50

                            $ 4.50                              38% Discount


               $ 7.25



                                                                   $15.00
   $ 10.00




  Exchange   SharePoint      Office     Office Comm          BPO Standard Suite
   Online      Online     LiveMeeting      Online                        17
      User Subscription License Retail Pricing
                                                                                         List USL Price     List Step-Up USL Price
  Service Offerings
                                                                                       (Monthly per User)     (Monthly per User)

  Exchange Deskless Worker                                                                   $2.00               No Step-Up

  SharePoint Deskless Worker                                                                 $2.00               No Step-Up

  *Deskless Worker Suite (25% Discount)                                                      $3.00               No Step-Up

  Exchange Online Standard                                                                  $10.00                  $8.61

  Office SharePoint Online Standard                                                          $7.25                  $5.32

  Office Communications Online                                                               $2.50                  $1.86
  (Instant Messaging & Presence)

  Office Live Meeting                                                                        $4.50                  $2.95

  BPO Suite (38% Discount)                                                                  $15.00          $12.15 (from CoreCAL)
  •   Exchange Online Standard                                                                                $9.93 (from ECAL)
  •   Office SharePoint Online Standard
  •   Office Communications Online
  •   Office Live Meeting Online



  “Attached “ Service Offerings                                                                              Add-On USL

  Additional Exchange Storage             (Can’t be attached to Deskless Worker SKU)                          $2.50/GB

  Additional SharePoint Storage (Can’t be attached to Deskless Worker SKU)                                    $2.50/GB

                                                                                                                                     18
* Deskless Worker SKU’s to be released later in the Fiscal Year
Exchange Online Features                                                                                                                                                             Current Feature
                                                                                                                                                                                     Future Release

              Features                                              Standard          Dedicated                               Features                                   Standard   Dedicated
             Default Mailbox Size                                    1GB                 1GB                                 Outlook Web Access                                       




                                                                                                         Client & Mobility
             Larger Size Mailbox Available                         Max 4GB            Max 5GB                                Outlook Anywhere via HTTPS                               
             Shared Contacts, Tasks                                                                                        Outlook 2007 Support                                     
             Message Attachment up to 20MB                                                                                 Outlook 2003 Support                                      
  General




             14 Days Deleted Item Retention                                                                                Entourage Support 3                                      
             Conference Room                                                                                               Firefox /Safari Web   Browser 4            OWA Light   OWA Light
             99.9% Uptime SLA                                      Reactive           Proactive                              Windows Mobile Devices                       Ver. 6     Ver. 5+
             IT Pro Support                                       Call/Portal         Call/Email                             iPhone, Nokia E Series/N Series                          
             Geo Redundancy Data Protection                                                                                BlackBerry Devices5                         BIS Only      
             Public Folder                                                                
                                                                                                                             AD Credential Synchronization                            




                                                                                                       Coexisten
             Anti Virus/Anti SPAM via EHF                                                                                  AD/GAL Synchronization                                   
Compliance
Security &




                                                                                                          ce
             Rights Management Service      2
                                                                                                                           On-Premise Exchange Free/Busy                            
             Mail Encryption (Optional)                                                                                    On-Premise Notes Free/Busy                               
             E-Discovery Archive (Optional)                           EHA               Fortiva
             Personal Archive (Optional)                              EHA               Fortiva
             Messaging Records Management                                                                                  Exchange 2000, 2003, 2007                              Custom




                                                                                                       Migratio
                                                                                                                             Exchange 5.5                                 2 Stage    Custom
                                                                                                                             Notes/Domino                                 2 Stage    Custom




                                                                                                          n
             MAPI                                                                         
Extensibil




             Exchange WebDAV                                                              
                                                                                                                             GroupWise                                    2 Stage    Custom
             SMTP Relay                                                                                                     POP3/IMAP                                              Custom
   ity




                                                                                           
             Exchange Web Services                                                        
             POP3/IMAP4                                                                                                    Customer Portal                                          




                                                                                                       Online
                                                                                                       Portal
                                                                                                                             Administration Center                                    
             Outbound Fax                                                                                                   Company Portal                                           
UM &
 Fax




             Voicemail Integration                                                                                         Sign On Client                                  
             Outlook Voice Access                                                         
                                                                                                        3 Free/Busy and GAL is not supported on Entourage
                              1   Deskless available in both standard and dedicated versions
                                                                                                        4 Only OWA Light is supported on Firefox and Safari browser
                                                                                                        5 Standard only provide BIS support; Dedicated provide basic Blackberry
                              2   Can integrate with on site deployment of Rights Management Service
                                                                                                        support (mail, calendar, contacts, GAL)
               SharePoint Online Features                                                                                                                                                                                   Current Feature
                                                                                                                                                                                                                            Future Release

                      Features                                Standard     Dedicated               Features                                   Standard     Dedicated                          Features                           Standard       Dedicated
                     Collaboration Site Templates 2                                            Client Integration                                                                        BI Dashboard                                         
                     Meeting Site Templates 3                                                  SharePoint Designer                                                                       KPI and Filtering Web Parts                          




                                                                                                                                                                        Intelligence
                     Surveys                                                                     RSS Content Syndication                                                                     Report Center Templates                              




                                                                                                                                                                          Business
                                                                                                                                                           
Collaboration




                     People and Group                                                          Audience Targeting                                                                        Excel Services                                       
                     Sync with Outlook                                                         Site Manager                                                                              Data Connection Libraries                            
                     Email Alerts & Notifications                                              Site Documentation Aggregation                                                            Business Data Catalog                                
                     Issue Tracking                                                            Portal Site Templates                                                                     Business Data Web Parts                              




                                                                                        Portal
                     Document Collaboration                                                    User Profile Import                                                                       Performance Point Integration                        
                     Presence                                                                  Privacy and Security                                        
                                                                                                                                                                                             99.9% Uptime SLA                                     
                     Social Networking Web                                                     Audience Targeting                                          
                                                                                                                                                                                             24x7 Web/Phone IT Pro Support                        
                     Mail Enabled List                                                         My Sites; Site Directory                                    
                                                                                                                                                                                             Geo Redundancy Data Protection                       
                                                                                                 Colleagues and Memberships                                  




                                                                                                                                                                          Service Specific
                     Document Info Panel/Action Bar                                                                                                                                        Multiple Site Collections Support                    
                                                                                                 Document Roll-up Web Part                                   
                     Content Authoring                                                                                                                                                     Vanity Domains                                       
                                                                                                 Mobile Device Support                                       
                     Master Pages, Layouts, Controls                                                                                                                                       250MB/User Storage                                   
                                                                                                 Backup and Restore SP Designer                              
                     Retention and Audit Policies   4
                                                                                                                                                                                           Authenticated Access                                 
                                                                                                 Aggregate Web Parts                                         
                     Three State Workflow
Content Management




                                                                                                                                                                                           30 Days Backup & Restore                             
                     State Variations                                                          Search (UI, relevance, security)                                                          WAN Acceleration                                     
                     High Fidelity Web Site/Branding                                  Search   Cross Site Collection Search                                                              Pre-Production Environment                           
                     Slide Library                                                             Enterprise Content Sources                                                                Partner Access                                       
                     WYSIWYG Content Editor                                                    People Search                                                                             Anonymous Access                                     
                     Content Staging, Publishing, Dploy                                        Search Federation                                           
                     IRM Integration                                                           Business Data Search                                                                      Customer Portal                                      




                                                                                                                                                                        Online
                                                                                                                                                                        Portal
                     Std Business Doc Workflows                                                Form Libraries                                                                            Administration Center                                
                     Std Enterprise Site Templates                                             Custom Non-Code Workflows                                                                 Company Portal                                       
                                                                                        Forms




                     Std Publishing Site Templates                                             MOSS Out of Box Workflows                                                                 Sign On Client                                       
                     Records Repository and Legal Hold                                         Browser Based Forms                                         
                     Email Content as Records                                                  Custom Code Workflows                                       
                     VSTF Integration                                        
                                                                                                                                3   Standard does not include Blank Meeting, Decision Meeting, Social Meeting, Multipage Meeting Workspace
                                         2Standard does not include My Site Host, News Home Template, Internet
                                                                                                                                4   Standard does not include logging of all actions on sites, content, and workflows, audit log reporting
                                         Presence Web Site
Need to Know’s
    Highly Secured Datacenters
    Business Class
    Reliability and
    Security          Delivering highly secure, private, and reliable computing
                      experiences based on sound business practices


Key Features                               Filtering Routers
                                           Firewalls
•     Geo-redundant datacenters            Intrusion Detection System

•     N+1 architecture                     System Level Security
                                           Application Authentication
•     9 layers data security               Application Level Counter-measures
                                           Virus Scanning
•     CyberTrust certified                 Separate Data Networks

•     Secure access via SSL                Authentication to Data


•     ITIL/MOF operational practices
•     24x7x365 support
•     Backed by 99.9% uptime SLA
Online Architecture
O
Customer premise                                                                                                                   Home and on the go
                                                Active Directory service



    Exchange              Active Directory                                                 User a ccounts
    S erver(s)
           IT Pro experience                                                                                                                          End user experience
           • Trial and buy service activation                                                                                                         • Service client and authentication
           • Migration and co-existence                                                      Highly Secure Internet                                   • Secure remote access without VPN
           • Directory synchronization and provisioning                                          Connectivity                                         • Seamless experience
           • Service reporting                                                                                                                        • Up to date features
           • Customer support hotline
Microsoft
                                     Customer
  Administration console                                                   Administration support
                                     portal                                                                                                                      Presentation Services

   User                              Migration and                     Active Directory                    User
  provisioning                       Co-existence                      synchronization                     authentication                                           Service Delivery


                                        Primary Data Center                                                                             Secondary Data Center


Exchange                    OCS
             SharePoint Online
                            Online
                                                     …                      Continuous Data         Exchange                  OCS
                                                                                                               SharePoint Online
                                                                                                                              Online
                                                                                                                                                      …
Online                                                                        Replication           Online

   Business                          Security and                                                     Business                         Security and
                                                                                                                                       Hygiene                      Comprehensive multi-layer security, antivirus,
  Continuity                         Hygiene                                                          Continuity
                                                                                                                                                                    anti-spam protection
SLA
    The SLA´s are available online:
    http://download.microsoft.com/download/7/0/3/70330d5c-ffb9-4713-9246-
    ee26a21051c9/Online_Services_datasheet.docx
    Microsoft provides a level of expertise and experience that comes from a highly successful history of hosting
    enterprise services such as Office Live Meeting and Exchange Hosted Services. Microsoft Online Services
    reliably deliver 99.9 percent scheduled uptime and carries a financially backed service level agreement. We are
    committed to developing and delivering innovative solutions that enable organizations to get the tools they need
    to be successful now and in the future.
 
    And here: http://www.microsoft.com/onlineuserights
 
    Some online services may include performance related SLA’s.  Terms and conditions for these service SLA’s are
    as follows:
        Exchange Online . http://go.microsoft.com/fwlink/?LinkID=127034
        Office Live Meeting. http://go.microsoft.com/fwlink/?LinkID=127033
        SharePoint Online . http://go.microsoft.com/fwlink/?LinkID=127035
 Language Detection & Selection
BPOS-S will automatically detect your language preferences using browser settings (for BPOS web portals) and OS
                                         settings (for each application)



                   Users can choose from the following for each portal/application
   BPOS (sign-in client & web portals)          English, French, German, Japanese, Spanish


   SharePoint Online                            English, French, German, Japanese, Spanish

   Live Meeting                                 Chinese (Traditional & Simplified), Danish, Dutch, English, Finnish, French, German, Italian, Japanese, Korean, Portuguese
                                                (Brazil), Spanish, Swedish

   Exchange Hosted Filtering, Encryption, and   Chinese (Traditional & Simplified), Dutch, English, French, German, Italian, Korean, Japanese, Portuguese-Brazil, Portuguese
   Archive                                      -Portugal, Spanish, Russian

   Office Communications Online                 Arabic, Bulgarian, Chinese (Traditional & Simplified), Croatian, Czech, Danish, Dutch, Estonian, French, Finnish, German,
                                                Greek, Hebrew, Hindi, Hungarian, Italian, Japanese, Korean, Latvian, Lithuanian, Norwegian, Polish, Portuguese (Brazil),
                                                Portuguese (Portugal),Romanian, Russian, Serbian, Slovak, Slovenian, Spanish, Swedish, Thai, Turkish, Ukrainian



   Exchange Online (OWA/Outlook)                Over 45 languages
        BPOS Standard Roadmap
                                                      Nov. 2008                  March 2009                     FY10 release
   BPOS                                                                        English, French, German,
                                                         English
Localization                                                                      Japanese, Spanish


                                          •   Exchange Online             •   Exchange Online
    Available                             •   SharePoint Online           •   SharePoint Online            The planning phase for this
     Services                             •   Office Live Meeting         •   Office Live Meeting           release will take place in
                                          •   Exchange Hosted Services1   •   Office Communications              February 2009
                                                                          •   Exchange Hosted Services1


    Data Center                                           United States         US, Dublin, Singapore

                                                                          • Australia    • Japan
                                                                          • Austria      • Netherlands
                                                                          • Belgium      • New Zealand
      Launch                                              United States
                                                                          • Canada       • Norway
                                                                          • Denmark      • Portugal
      Markets                                                             • Finland      • Singapore
                                                                          • France       • Spain
                                                                          • Germany      • Sweden
                                                                          • India        • Switzerland
                                                                          • Ireland      • UK
1   Exchange Hosted Archive data center plans are tbd                     • Italy        • United States
Service specific extent of localization available in the appendix
FY09 International Launch Plans
          Markets*

• Australia
• Austria
• Belgium
• Canada
• Denmark
• Finland
                                            BPOS Portal                                                    Current Locations
• France
                                             Languages                                                     Proposed Locations
• Germany
• Ireland
• Italy                              • English                                 Data Centers
• Japan                              • French
• Netherlands                        • German                            • United States
• New Zealand                        • Spanish                           • Dublin
• Norway                             • Japanese                          • Singapore
• Portugal
• Singapore
• Spain
                                     Applications will be available in
• Sweden                             whichever languages that            Each geographic region has a
                                                                         second Data Center deployed for
• Switzerland                        application supports
                                                                         full disaster recovery
• UK
* Markets subject to change due to
Multinational Usage
          Microsoft® Business Productivity Online Suite Ordering Guide
                                                                                       (                              ).
Customers order Business Productivity Online Suite at Microsoft Online Customer Portalhttps://mocp.microsoftonline.comPartners can assist their
                       customers in ordering and administering Business Productivity Online Suite for their organizations.
        Access & login to the                           Create your customer profile
   Microsoft Online Customer Portal                                                                         Add subscriptions to your cart




      Agree to the discount terms                      Select your Partner of Record                                Finalize purchases
       and continue to check out                                                                                      in shopping cart




                                                Accept the Microsoft Online Services Agreement
                                                              terms & conditions                            Review and confirm your order
        Select payment method
Microsoft® Business Productivity Online Suite Ordering Guide
               Step 1: Access & login to the Microsft Online Customer Portal
Microsoft® Business Productivity Online Suite Ordering Guide
                     Step 2: Create your customer profile
Microsoft® Business Productivity Online Suite Ordering Guide
                     Step 3: Add subscriptions to your cart
Microsoft® Business Productivity Online Suite Ordering Guide
                   Step 4: Finalize your purchase in shopping cart
Microsoft® Business Productivity Online Suite Ordering Guide
                        Step 5: Add your partner
Microsoft® Business Productivity Online Suite Ordering Guide
                Step 6: Accept discount terms and continue to check out
Microsoft® Business Productivity Online Suite Ordering Guide
                      Step 7: Select payment method
Microsoft® Business Productivity Online Suite Ordering Guide
               Step 8: Accept the Microsoft Online Service Terms & Conditions
Microsoft® Business Productivity Online Suite Ordering Guide
                     Step 9: Review and confirm your order
Customer Value
 Customer Value
 Business Productivity Online Suite

                              •    Anywhere access*—desktop, mobile, Web
                              •    Seamless user experience across workloads
                              •    Team collaboration and conferencing
                                                                                               Streamlined
                              •    Real-time communication                                     Communication



            $
                               •   Always up-to-date technology
                               •   Lower rollout and run rate cost                             Simplified
                               •   Improved agility and resource utilization
                               •   Active Directory® synchronization                           Management

                               • Data hygiene supported by multi-layered antivirus and spam
                                 filtering                                                     Business-Class
                               • Highly secure data access for users via HTTPS
                               • Geo-redundant data center architecture with Cyber-trust and   Security and Reliability
                                 SAS70 compliance


* Where Internet connectivity available
 Integrated Capabilities
  Streamlined
  Communications
                     Communicate and collaborate seamlessly across applications and
                     devices

                        E-mail
Instant Messaging                  Web Conferencing
                                                                 Document Sharing             Presence
               Calendaring       Work Flow            Mobility               Offline Access              Archiving
Ease of Use
    Simplified
    Management
                        Unified access point for all Online services
          $

§   Trial and Buy                                                                          §   Single Sign On
                             IT Pro                                             End User
§   User Management                                                                        §   Application Access
§   Settings                                                                               §   SharePoint Links
§   Support
                                         Anywhere Access without VPN                       §   Downloads
§   Tools                                                                                  §   Password Reset




         Subscription                    Service                                           Rich Client
                                                                   Web Access
           and Trial                  Administration                                         Access
Flexible Deployment Choices
                                                          Branch Office

Simplified
Management
             Giving IT the flexibility to choose Online
     $       deployment by geography, workload or roles




HQ
Accelerate Speed To Value
    Simplified
    Management
                 Always up-to-date capabilities at a predictable cost
         $
Key Benefits
•    Up and running quickly
•    Latest software
•    No more server upgrades
                                              Software + Services Accelerate the Journey
•    Subscription-based
•    Predictable cost                 Basic        Standardized          Rationalized       Dynamic
                                                    IT Is An Efficient        IT Is A           IT Is A
•    Optimize productivity             IT Is A         Cost Center        Business Center   Strategic Asset
                                     Cost Center
Secure, Encrypt & Retain Messages
Business Class
Reliability and
Security          Protect from spam and malware, satisfy retention requirements
                  and encrypt data to preserve confidentiality


     INTERNET



        SPAM
                               (Optional)




                                              CO
                                                PY

                                                                   Y
                                                             COP



                                                      (Optional)
Partner Opportunity
Market Opportunity For Online
Services
     32%                       25% New                                 $20B
 Market Growth              Software Share                            Revenue
   32% CAGR                       25% of new                    $20B market for
WW SaaS forecasted,          business software                SaaS sales by 2011
    2007–2011               will be delivered as a                   (IDC)
      (IDC)                    service by 2011
                                   (Gartner)


        Up to 6X Services Revenue for Partners
                (Institute of Partner Education & Development 2008)
Partner Opportunity
New business, more customers, faster

                New Customers: 70% of sales expected to be to new customers
    Expand      New Segments: Expand to SMB, retail, manufacturing or public sector
    Reach       New Scenarios: Deskless users, branch office, mobility


                Advisor Fees: Sell and get Partner Fees
     Grow       New Services: SharePoint consulting, online migration & integration
    Revenue     Annuity Revenues: 50% revenues to be recurring


                Increase capacity: Increase sales and deployment capacity
    Increase
                Scale to multiple customers remotely. 40% savings
     Velocity   Increase margins by increasing managed services attach rates
Partner Opportunities for Revenue


                                                            Migration
                                    Intranets & DocManagement



                        Custom Applications                          Integration & Configuration




                 LOB Applications                                               Online Solution Design




                  Customer Care                                         Workflow & Business Process Consulting




                       Desktop Management                            SharePoint Customization



                                                   User Support
                                    Helpdesk & End Security & Compliance Consulting
Your Path to
                                                   MANAGED
Services Revenue                                   SERVICES
                                               CONSULT
                                          CUSTOMIZE
                                      INTEGRATE
                                    SELL
                  PARTNER REVENUE OPPORTUNITIES
   Desktop Management And Optimization,                        RECURRING
   End User Support                                             REVENUE
   Business Process Consulting, SharePoint Workflow Design,      REPEAT
   Intranet Customization                                       REVENUE
   Migration And Integration                                  PROJECT-BASED
                                                                 REVENUE
   Selling Hosted Services (I.e.:   BPOS)                     TRANSACTIONAL
                                                                 REVENUE
Business Productivity Online Suite
Partner Model
                                     18%
                                   year one

               12% Net-add
               6% Residual




                Fees                          Sale
   Microsoft                 Partner                 Customer


                             Billing
Business Productivity Online Suite
Partner Model
                                            18%
                                            year
                                            one
                              12% Net-add
                              6% Residual



                                  Fees                 Sale
       Microsoft                             Partner                    Customer
   Illustrative Example
   Number of seats sold                                        250
   Price per seat per month                                    $15
   Total revenue per year                                     $45,000


   Net-Add fees paid to partner @ 12%                         $5,400
   Annual recurring Fee @ 6%                                  $2,700
   Total Partner Fee Year 1                                   $8,100
Microsoft Online Services
Partner Opportunity                                                        $388K cumulative
                                                                             over 3 years
  12% net-add first year
  6% residual each year for life of subscription
                                                                                  Total
                                                                                $162,000
                                              Total
              Total                         $129,600
             $97,200                                            Residual
                              Residual                          $97,200
Residual                       $64,800
$32,400
 Net-add                       Net-add                          Net-add
$64,800                        $64,800                          $64,800

              Year 1                         Year 2                              Year 3
       (Sell 3K BPOS seats)        (Sell addl. 3K BPOS seats)        (Sell addl. 3K BPOS seats)
Partner Opportunity
New Sales Scenarios
Scenario                                                                                      Managed
                                                                                              Services


Exchange upgrade
                                                                                                20%
                                                                                                                                    Net Add Fee
                                                                                                                                        30%
                                                                              Customization
                                                                                   0%




  Customer                • On-premise to online Exchange
  Scenario                  migration
                          • Exchange users: 250                                        Integration                                Residual Fees
                                                                                           35%                                        15%
                          • SharePoint users: 250
                          • Mobile access for management

                                                                                                 Revenue Streams
                                                                                                     Seats/Ho
                                                                                                                 Rate      Freq          Revenue
                                                                                                        urs
                                                                                                                 $15/se
  Partner                 • 2 weeks                             Net Add Fee (12%)                    250 seats
                                                                                                                   at
                                                                                                                           Once            $5,400
  Engagement              • Exchange migration to Online
                                                                                                                 $15/se
                          • Custom consulting to move of        Residual Fee (6%)                    250 seats
                                                                                                                   at
                                                                                                                          Monthly          $2,700
                            multiple files-hare to SharePoint
                          • Ongoing Tier 1 supp                 Integration                           50 hrs.    $125      Once            $6,250

                                                                Customize                                0       $100        -               $0

                                                                Managed Services:
                                                                                                       3 hrs.    $100     Monthly          $3,600
                                                                IT Pro Support

                                                                Total:                                                                    $17,950
                                                                Illustrative 1 year revenue stream
Source: MDC/Microsoft Partner Economics Study 2007
Scenario                                                                       Managed
                                                                                                                        Net Add Fee
                                                                                                                            15%



New SharePoint
                                                                               Services
                                                                                 27%
                                                                                                                                      Residual Fees
                                                                                                                                           8%



  Customer                • On-premise to online Exchange
  Scenario                  migration
                          • Exchange users: 250
                          • SharePoint users: 250                                                                                     Integration
                          • SharePoint customization                                                                                      17%

                            for intranet use, document                               Customization
                            management, workflows                                        33%
                          • Mobile access for all                                               Revenue Streams
                                                                                                     Seats/Ho
                                                                                                                 Rate       Freq           Revenue
                                                                                                        urs
  Partner                 • 4 weeks                                                                              $15/
                          • Exchange migration to Online         Net Add Fee (12%)                   250 seats              Once             $5,400
  Engagement                                                                                                     seat
                          • Migration planning, Business                                                         $15/
                            needs analysis, workflow mapping,    Residual Fee (6%)                   250 seats            Monthly            $2,700
                                                                                                                 seat
                            implementation, training
                                                                 Integration                          50 hrs.    $125       Once             $6,250
                          • Ongoing Tier 1 support
                          • Ongoing Business Process             Customize                            10 hrs.    $100     Monthly           $12,000
                            Consulting to improve productivity
                            via SharePoint                       Managed Services:
                                                                                                       8 hrs.    $100     Monthly            $9,600
                                                                 IT Pro Support


                                                                 Total:                                                                     $35,950
                                                                 Illustrative 1 year revenue stream
Source: MDC/Microsoft Partner Economics Study 2007
Scenario
New Managed Services                                                                        Managed
                                                                                                       Net Add Fee
                                                                                                            Residual Fees
                                                                                                           11%
                                                                                                                 5%
                                                                                                                Integration
                                                                                            Services                12%
                                                                                              48%
  Customer                • On-premise to Online Exchange
                                                                                 Recurring
  Scenario                  migration
                          • Exchange coexistence                                  Revenue
                          • Exchange users: 250
                          • SharePoint users: 250                                                                       Customization 24
                                                                                                                              %
                          • Mobile access for all
                                                                                         Revenue Streams
                                                                                             Hours     Rate         Freq          Revenue
                                                                                              250      $15/
                                                                 Net Add Fee (12%)                                  Once            $5,400
                                                                                             seats     seat
  Partner                 • 2 weeks
                          • Exchange migration to Online                                      250      $15/
  Engagement                                                     Residual Fee (6%)
                                                                                             seats     seat
                                                                                                                  Monthly           $2,700
                          • Custom consulting to move of file
                            share to SharePoint                  Integration                 50 hrs.   $125         Once            $6,250
                          • Ongoing Tier 1 support               Customize                   10 hrs.   $100       Monthly          $12,000
                          • Ongoing Business Process
                            Consulting to improve productivity   Managed Services:
                            via SharePoint                       IT Pro and end user
                                                                                             20 hrs.   $100       Monthly          $24,000
                                                                 Support, Business
                                                                 Process Consulting

                                                                 Total:                                 -                          $50,350
                                                                 Illustrative 1 year revenue stream
Source: MDC/Microsoft Partner Economics Study 2007
Partner Financials
$60,000
                                                                             High margin value added services from
                                                                             partners sold with Microsoft Online Services
                                                                             can make this service profitable for partners
$50,000
                                                                                    Business Process consulting
                                                                                    with SharePoint design services
                                                                                    Desktop Management
$40,000
                                                                                    Desktop Optimization
                                                                                    Tier 1 end user helpdesk
$30,000
                                                                                    Online Year 1 Revenue Streams – 250 seats
                                                                                                                                Managed
                                                                         Scenario                   Exchange    SharePoint
                                                                                                                                Services
$20,000
                                                                         Net Add & Residuals         $8,100       $8,100         $8,100
                                                                         Integration                 $6,250       $6,250         $6,250
                                                                         Customization                  -         $12,000       $12,000
$10,000                                                                  Managed Services            $3,600       $9,600        $24,000

                                                                         Total:                      $17,950      $35,950       $50,350

                                                                         Revenue /seat               $71.80       $143.80       $201.40
    $0
              Exchange           +SharePoint         +Managed Services

Source: MDC/Microsoft Partner Economics Study 2007
Partner Support
                Online Services Resources
 Customer Resources
MSCOM Site: http://www.microsoft.com/online
TechNet Forums: http://forums.microsoft.com/TechNet/default.aspx?ForumGroupID=566&SiteID=17
Microsoft Online Customer Portal:https://mocp.microsoftonline.com


 MS Partner Resources
Partner Quickstart: http://www.quickstartonlineservices.com
  Online Training BPOS
BDM, Sales, Pre Sales,
   Online – Level 100
         Accessing Microsoft Online Services (L 200)
         Building a Practice around Business Productivity Online Suite (BPOS) (L 200)
         Business Productivity with Microsoft Online Services
         Exchange Online Application Capabilities (L 200)
         Microsoft Online Services Partner Opportunity (L 200)
         Quickstart for Microsoft Online Services - Overview for Partners to resell Business Productivity Online Suite (BPOS) (L 100)

         US based exeprience
         LIC05PAL: Intro to the Microsoft Business Productivity Online Suite (BPOS) Licensing and Pricing (L 100)
         LIC05PAL2: Intro to the Microsoft Bus Productivity Online Suite (BPOS) Licensing and Pricing (L 100)
         LIC06PAL: Microsoft Bus Productivity Online Suite (BPOS): Sales Channels – MOSP, EA, SPLA (L 100)
         LIC06PAL2: Microsoft Bus Productivity Online Suite (BPOS): Sales Channels – MOSP, EA, SPLA (L 100)
         LIC11PAL: Introduction to the Microsoft Business Productivity Online Suite (BPOS) Licensing and Pricing (L 100)
         LIC12PAL: Microsoft Business Productivity Online Suite (BPOS): Sales Channels – MOSP, EA, SPLA (L 100)

Technical
    Online
         Live Meeting Technical Drilldown (L 200)
         Migration and Co-Existence for Microsoft Online Services (L 200)
         Microsoft Online Services Admin Center (L 200)
         Microsoft Online Services Customer Portal: Trialing, Ordering, and Upgrading (L 200)
         Microsoft Online Services Licensing and Pricing (L 200)
         Microsoft Online Services Operations and Security (L 200)
     Class Room
         February 19 : Deploying and Administering BPOS
         March 20 : Deploying and Administering BPOS

Subscribe to RSS Feeds on Information Worker
•   https://partner.microsoft.com/belux-nl/trainingevents/40061612
•   https://partner.microsoft.com/belux-fr/trainingevents/40061612
Local Partner Plan
        Software +Services in Belux: timeline
                   Q4           Q1                             Q2                                        Q3                                       Q3
                   May June   Jul     Aug   Sep               Oct        Nov        Dec                Jan         Feb             Mar        …   Jun
To Customer




                                                                 • BPOS Standard                                                 International Launch
                                                                 • US Only                                                       • International versions




                                                   Sales &                       SMB                                                            SMB
                                                  Marketing                    roadshow                                                       Roadshow
                                                                                                        Technical + sales training
                                                    Update
                                                                                 Partner                       Classroom
                                                                               Newsletter +
     To Partners




                                                                               partner portal                                        Thru Partner Marketing
                                WPC                                                                                                 Actions towards customers

                                                   Step 1 for BPOS partners
                                                        •Training online
                                                      •Assessment online
                                                       •BPOS Agreement
                                                                                               Step 2 for BPOS partners
                                                                                          •Selection of 20 pilot BPOS partners
                                                                                                    •Build up pipeline
                                                                                            • Build up 2 customer references
                                                                                                   • Use beta account

                                                                                                                 63
Customer Targeting
  BPOS S Customer Targets
Customer Segments

                        EPG      Leverage software + services to provide cost
                       (501+)
                                 savings as well as enabling deskless workers


                    Mid-Market
                     (26-500)
                                 Want to deploy latest technologies without the
                                                start-up costs


                        SMB      Upgrade to industry leading communication &
                       (5-25)
                                            collaboration platform
Small Business Profile
Early Buyer Characteristics
 No IT or may contract out IT to local reseller
 Using POP3 service provided by ISP or free webmail solution
 Top applications need include: Rich Calendar, Mobile Access, Intranet, File Share, Web Conference
 Deals with sophisticated users (e.g. lawyers, accountants, etc..) who demand better technology



Value Prop                                            Top Objections
   Simple deployment                                       Cost vs. free services
   Latest technologies                                     Exchange complexity
   Fixed monthly/annual billing                            Lack of IT resources
   Easily scales w/ business growth
Mid-Market Profile
Early Buyer Characteristics
  Wants to move to a Microsoft communications and collaboration infrastructure, but believes
  the upfront investment is too high.
  Recently experienced a major server/e-mail outage and wants to outsource moving forward.
  Has a full-time IT person who does not have the training or bandwidth to deploy a
  communication and collaboration infrastructure.
  Stores data in several different places and wants to centralize. Also wants to allow employees
  to edit and share based on permissions.

Value Prop                                        Objections
  Ease and speed of deployment                          Cost to deploy Exchange
  Enable mobile connections                             Support for Blackberry
  IT moves from cost center to                          Cost vs. free/low cost services
  strategic                                             Security & reliability of datacetners
Enterprise Profile
Early Buyer Characteristics
  Would like to enable a group of users not traditionally networked
  Is participating in a joint venture and needs to quickly bring a communication and collaboration infrastructure
  online for a period of time.
  Has been planning to migrate from a competitor platform; however the cost to entry was too high.
  Has an Enterprise Agreement which includes licenses for SharePoint. Does not have the IT resources to
  deploy and manage the SharePoint environment.
  CTO would like to see his IT staff focus on strategic initiatives. Messaging, while critical, is seen as a utility
  service and, therefore, should be outsourced to industry experts.

Value Prop                                                 Objections
  Quick deployment at fixed cost                                  Support for Blackberry
  Focus IT on strategic programs                                  Limited administration
  Enable deskless worker                                          3rd party integration
                                                                  VoIP & unified messaging support
BPOS helps customers streamline IT costs
and resources                     Reduction in cost…                                        …Reduction in ‘operating” effort                  IT Role Impact
                Estimated Reduction in IT Costs (3-Year Period)                             » Significant reduction in upfront       » Simplifies IT management
                                                                                              costs (e.g. capacity planning,
                  1000
                                                                                              architecture design, hardware          » Shifts non-strategic IT operations
                                                                                              installation, software installation,     to an online service provider
                                                                                              testing & validation, etc.)
                   500
                                                                                                                                     » Predictable Transitions large
Number of PCs




                                                                                            » Reduction in ongoing operating           capital investment $ to flexible
                                                                                              expenditures (e.g. ongoing system        monthly operating cost $
                   250
                                                                                              tuning, troubleshooting,
                                                                                              maintenance, etc.)
                   100
                                                                                            » Risk reduction: eliminating the
                       20%             40%            60%              80%     100%
                                                                                              complexity and duration of IT
                   Estimated Online Costs as a % of On-Premise Costs
                                                                                              upgrade projects

                                        On-Premise           Online
      Key Assumptions: Deployment planning and migration costs reduced by 35-45%, Ongoing
      operations reduced by 50%, Tier 1 Support 0% reduction
      Source: Microsoft TCO tools, BPIO and BPOS

      PROOF POINTS:
      “From a cost-versus-benefit standpoint, going with Microsoft helps us reduce expenses that we would typically incur to maintain our current service
      levels. We are going to get better service for less money than we otherwise would have had.”
      Dan Sescleifer , CFO, Energizer Holdings
Competition
Our Competition
          • WebEx
          • PostPath will be offered as a service
             By offering an on-demand version of the PostPath solution,
             we can provide flexible, cost-effective email…
                           -Doug Dennerline, SVP, Collaboration Software Group, CISCO



          • Google is recalibrating their sales strategy and
            targeting expiring EA customers, Postini customers,
            etc.


                    • Lotus Live announce in Jan 09
                    • Hosted Notes: web only
How do they compete with Microsoft?

   Google Apps                                               Microsoft Office
   Gmail                                                     Exchange
   Docs & Spreadsheets                                       Office
   Google Sites                                              SharePoint
   Google Talk                                               UC/OCS
   GAPE/Salesforce.com                                       BPOS/OBA

                             Yes…but we are still better!!

 S+S – Flexibility and Choice with better user experience
 Enterprise Maturity– Collab, UC, Search etc IO/BPIO
 Ecosystem – Developer and Partner Community
 Commitment- ~$1B in R&D for Office 14 system alone
What Google does not say
 Online only (Gears)       99.9% SLA for Gmail only
 Apps in BETA              Limited support
 Reliant on Google         Poor interoperability
 “Real” price ~ 3X         Zero liability
 Security concerns         Unproven
 Inability to audit        No roadmap
 Limited LOB integration   No innovation commitment
 No enterprise expertise
How Microsoft Wins

   Value of Office System
         (how we deliver richer functionality than Google in SW)
   S+S
         (how we offer more than just SaaS)
   Educate the customer on MS Online
         (how we have real customers today benefiting from capabilities delivered
         as a service)
   Evidence of our strengths:
     Datatune
References
 Enterprise:
  CocaCola: 70K, Full suite, Notes Switcher
  Aviva: 60K, UK, Notes Switcher
  Nokia: 55K, Full suite, Notes switcher
  Philips: 80K OCS IM/Pres
  EddieBauer: Online Standard
 SMB:
  Datatune, Red, Archiver’s, Clean Power Research, Transpara
  etc.
Sales – Video
http://www.microsoft.com/online/partner/solutions-showcase.mspx
Here are our current partner references/case studies:
Partner                    Customer                    Product    Short Description

LINK Conference Service
Sales – Call to Action
Your Resources
 MS SPOC: Ilse Wathion ( iwathion@microsoft.com /
 0495/559722)
 https://www.discoveronlineservices.com
  White papers
  Webcasts
  Product Info
  Partner Sales Guide
  Demo Accounts
  TCO tools
  Templates
  etc
Thank You

iwathion@microsoft.com

carmenb@microsoft.com
Appendix
SharePoint Online Standard
Extensibility Capabilities
             Online & Server                                                       Server Only

  SharePoint Designer                                       Settings
     − Create no-code workflows                                 − Farm-wide configuration changes
     − Customize content types                                  − Alter any SharePoint server files Web config settings,
     − Taxonomy and branding via master pages and                 security policy, etc.
       layout                                                Server Side Code
     − Site templates                                           −   Deployed features or solutions
     − XSLT                                                     −   Pluggable auth providers
     − JavaScript                                               −   Custom Web Parts
  Info Path                                                    −   Site definitions
     − Use InfoPath to design forms for workflows (with         −   Coded workflows
       client)                                                  −   Info Path forms with coded business logic
  Data View Web Part
     − Mashup, filter, roll-up and render SharePoint data
       or data from external Web Services
  SharePoint Web Services
     − Access and manipulate SharePoint files and data
       remotely
Deskless Worker
Available in Standard and Dedicated
Low cost offering to users that do not have messaging and
collaboration capabilities today
Exchange Online Deskless Worker                   SharePoint Online Deskless Worker
• 100 MB mailbox                                  • Read-only access to calendars, contacts, portal
                                                    sites only
• Outlook Web Access Light only
                                                  • Read-write access to Wikis, Blogs and Forms
• Messaging, calendar, contacts
                                                  • Set-mail alerts
• Anti-Virus / Anti-Spam
                                                  • Search Capabilities
• Optional e-discovery archiving and encryption
                                                  • No mobile Access
• No mobile access
Summary: Key Differences between Standard vs Dedicated
Attributes                                Standard                                                                     Dedicated


Exchange and SharePoint Server Features   Similar features for Exchange but greater disparity at SharePoint            Closer alignment with server capabilities


Subscription Management                   Purchase via EA or Microsoft Online Customer Portal; Annual pre-pay          Custom contract; Invoice in arrear


User Provisioning                         AD sync available but require self service activation via Microsoft Online   Automated provision via AD sync; Fixed email storage per user
                                          Administration Center; Company wide pooled storage


Service Configuration                     MOAC Portal                                                                  More configuration capabilities through support desk only
                                          Limited configuration capabilities
End User Experience                       Different credentials versus AD with required use of Sign-In Client          AD synchronized credentials; no additional client software


User Access                               No need for VPN; all HTTPS                                                   Require dedicated network link
                                          Outlook 2007 only                                                            Outlook 2003 +
Support                                   24x7 IT Pro call support and support portal                                  24x7 IT Pro call support and email only


SLA                                       99.9% with up to 100% credit, reactive reporting only                        99.9% with up to 100% credit, proactive reporting and credit


Co-existence and Migration                NO free/busy co-existence                                                    Free/busy co-existence
                                          Standard tools only support Exchange 2000+ migration, 2 stage migration      Custom migration by Microsoft or Partner
                                          for other platform
Datacenter Hosting                        Multi-tenant architecture                                                    Dedicated hardware, storage


Security and Continuity                   RTO, RPO < 24 hours                                                          RTO, RPO < 24 hours
                                          CyberTrust Certification                                                     SAS-70 certified
                                          SAS-70 in progress
Extensibility                             Web services support but NO code-level customization for SharePoint          Web services support and code-level customization for SharePoint
Making the Choice
Infrastructure Strategy


                                                                                                              On Premises Server


                                                               Dedicated
 Management




                                                                                                              • Most management required
                                                                                                              • Most integration possibilities with LOBs,
              Standard                                                                                          custom apps, third-party apps
                                                                                                              • Access to all Exchange Server fine-grained
                                                                • Simple to manage                              policy and configuration
                                                                • 99.9% SLA                                   • All Features of SharePoint
                                                                • Web services and custom code integration with Requires server HW management
                                                                                                              •
                                                                  LOBs, custom apps, third-party apps
              • Simplest to manage                              • More access to Exchange Server fine-grained
              • 99.9% SLA                                         policy and configuration but must be
              • Web services only integration with LOBs,          administered through support
                custom apps, third-party apps                   • More Features of SharePoint
              • Least access to Exchange Server fine-grained    • No Server HW management
                policy and configuration
              • Limited Features of SharePoint
              • No server HW management

                                                     Configuration and Flexibility

				
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