Thank you forgiving Polycom and I the opportunity to speak at this wonderful Partner event.At Team Polycom ( our Global Partner Event ) as ScanSource is recognizing your efforts - we recognized ScanSource’s efforts as our Global Distributor of the Year.As our largest Distribution Partner they continue to invest in our relationship and their and your performance has been exceptional last year and this year to date.
But how have we been so successful? To answer this question, it is important to understand “Who is Polycom?” And to understand Polycom and what drives us, it is critical to understand our vision. Our vision is to be the leader in enabling face-to-face collaboration from a distance so people can more effectively communicate, solve and create. Through a highly visual and immersive communication experience, people can connect, speed decision making and raise productivity in highly effective means that benefits companies and individuals anywhere and in any location. This vision is the foundation for our development, marketing, and partnership efforts. We focus on collaboration solutions 100%. This is our core business—not a secondary business which supports a core business. We realize that maximizing UC benefits means extending them beyond strictly premise based solutions for the Enterprise in today’s dynamic market. And so, Our Promise is: Delivering UC Everywhere. Unified Communications and Collaboration that extends…Worldwide Connectivity – Beyond the Enterprise and Premise based – To Mobile, SMB, and Consumer MarketsMass Adoption – Through Innovative Technologies and Ease of Use Including Mobile and Cloud Solutions – Through Service Providers and Open Exchanges
Polycom has developed a unique eco-system of Partners and Alliances the latter to which we refer to as the - Polycom Open Collaboration Network. Our success directly correlates to our ability to deliver solutions through open standards and native interoperability that your customers can leverage.These are attributes that our customers expect from a technology leader and are just two elements that are driving change in the rapidly growing Unified Communications market. So, what else are we seeing….
Over recent months I have had the opportunity to talk with customers and partners alike who share with me their views of the industry trends and of Polycom. This allows my team and I to reflect and plan for the future – there are many common themes that have prevailed;Freedom to Work from AnywhereExplosion in Mobile DevicesSocial NetworkingTime and Economic Pressure for Efficient TravelMission Critical Need to Connect Face to Face in RealTime To: list above.
This translates into a significant opportunity for all of us in this room. Refer to the key statistics in chart.Polycom recognizes these trends and we are positioning ourselves and our partners for a period of unparalleled success.____________________________________________Detailed Background Information to Support SlidesThe UC Infrastructure Market is expected to growing to $17B by 2015 (Gartner 2011) Mass Mobility: $326M tablets by 2015 and 1B+ smartphones (Shawn/Maurizio to source)Cloud Delivery: - $41B today to $241B by 2020; 5B for hosted UC (Shawn/Maurizio to source)Social Connectedness: 750 million on Facebook; business social platforms will grow 400% to $3 billion in 2015 Generation “Video” 8.5 billion video streams on YouTube monthly; By 2014, 69% of mobile traffic will be video
The Time is NOW!What is interesting from this chart , when you take a step back , is that across the primary categories the aggregated data shows that the majority of customers either have or plan to implement video technologies this year. Refer to statistics in table.Andy, perhaps this in an opportunity to reflect on your history in the industry and talk about how we are getting to a “tipping point” in mass adoption.
As I mentioned earlier, ScanSource, has been a world class partner of ours for many years. When I look at our broad portfolio they are demonstrating growth, exceeding market statistics, whether it be in ; Voice, Video, or our leading edge Polycom UC Intelligent Core solutions.Beyond our solutions I think it is worth noting our approach to serve our customers. Our customers are diverse and recently you and ScanSource earned many significant wins in our SME, Enterprise, and Public Sector customer segments. Some great work and let me share these successes;SME – Milestone AV TechnologiesEnterprise – Koch IndustriesPublic Sector/ State – Arkansas GovernmentAll of these wins were similar in that each customer recognized the value of Polycom’s Real Presence Platform ( UC IC – we have not transitioned to software strategy yet - so this is a nice way to transitions ) and / or some of these customers had made investments with our Alliance Partner MSFT and their LYNC Voice Solution . They were looking for a technology leader and solution that seamlessly integrated their solutions into their platform enabling scale. Our partners recognized this and were successful winning key customer relationships that will grow over time.
As we look at these key wins - I would like to share why we are winning together as these “differentiators” will allow you to grow in the market across all customer segments.○ First, Polycom solutions are easy to use due to native interoperability ○ Second, Polycom offers lower total cost of ownership over any of its competitors. ○ Third, Polycom offers best TCO using up to 50% less bandwidth than our competitors. ○ Fourth, Polycom offers the best solutions to help CIOs protecting their existing investments in UC and prepare them for future technologies and solutions with a high level of assurance that everything will work together ○ Fifth, Polycom offers a full continuum of communications solutions ranging from Immersive to room, to desktop, to mobile, etc○ Sixth, Polycom is committed to a b2b progressive service provider approach with customers which is open and secure ○ Finally, Polycom is a software company powered by the Polycom “Open Collaboration Network – OCN”
Our strategy and direction is very simple: we are putting the “Unified” in Unified Communications with the recently unveiled RealPresence Platform strategy.On September 14th, Polycom unveiled a software strategy to bring secure HD video collaboration to the broadest range of business, video, mobile, and social networking applications through standards-based infrastructure delivered on-premises, hosted, or with service providers from the "video cloud."Polycom has long been renowned for innovative hardware solutions that power business communications. And our software is at the core of enabling a highly differentiated customer experience. Software is in our DNA. Indeed, 85 per cent of Polycom's R&D resources are dedicated to software innovation. Polycom's new strategy to lead with software takes this leadership to a new level.Polycom's software strategy will bring secure HD video collaboration to the broadest range of business, video, mobile, and social networking applications through standards-based infrastructure delivered on-premises, hosted, or with service providers from the 'video cloud'.
I talk to customers all over the world on a regular basis, and everything I hear points to the need for a comprehensive UC platform.Investments in communications products to drive higher productivity need the “interoperable glue” to work together. Customers understand the benefits of UC and want to extend these benefits to more people. With open standards, these products from multiple vendors can work together. With proprietary standards, they can’t, without a lot of extra investment and trouble.Customers want choice: multi-vendor, best of breed products – all working together seamlessly via interoperable workflows. If a customer wants to choose Microsoft Lync and Polycom, or IBM Sametime and Polycom, or Cisco, or Apple, or any other product or vendor, these products need to work together within normal business workflows – which makes them easy to use and drives adoption.Legacy products never die – need backward compatibility. Most IT environments are like an archeological dig, with newer technology added on top of legacy layers that still provide value. And they can continue to bring value to the organization so long as newer technologies are designed to work with what’s already there.New standards, protocols, applications, devices, networks will forever emerge – need assurance of forward compatibility. Customers want to future-proof their IT environments as much as possible with flexible, open solutions that can evolve as their businesses evolve.No one-size-fits-all delivery – premises, hosted, cloud options required. UC solutions may be on-premises, or hosted, or delivered from the cloud, and the most common scenario at any given customer will be a mix of these. Customers need a way to monitor and manage these variables in their UC environments.Mobility and Social Networking attract the masses and require cloud-based delivery of video services. Mobile and social video are both emerging with “next killer app” promise. Customers are very interested in these trends and how they can take advantage of them as part of their business strategy. IT needs a single management solution to provision, deliver and monitor the continuum of video solutions from mobile to desktop to room systems
Fundamental to Polycom's software strategy is a commitment to open interoperability across all of the elements in a communications environment - including multiple solutions, vendors, networks, and connection protocols - giving customers the freedom to choose best-of-breed unified communications solutions, from any of hundreds of different vendors.The RealPresence Platform includes five software components: • universal video collaboration, • video resource management, • virtualization management, • universal access and security, and • video content management. No vendor can claim platform status without all five of these software components.Nor can a vendor credibly use the term "platform" without a substantial ecosystem of partners working together to deliver the full spectrum of interoperable UC solutions at the application and networking layers.We believe Polycom's software strategy - powered by the RealPresence Platform - will redefine the unified communications market and establish Polycom and you, our valued partners, as the default choice of customers for open UC and HD video collaboration solutions that work together seamlessly - across any application, protocol, call control system or end point. As part of the initial phase of the strategy, Polycom has announced the repositioning and renaming of the UC Intelligent Core as the Polycom RealPresence Platform. The new name - Polycom RealPresence Platform - positions our platform as software-centric. It also reflects the platform's tight integration with partner products in the areas of instant messaging and presence, telephony, web conferencing, video collaboration, mobile, social media, networking, and security. It is important to note that Polycom remains firmly committed to continuing to innovate, differentiate, and sell solutions that integrate software, hardware, and services.
Our solutions integrate into a broad eco-system. Many of you have worked with Polycom for a long-time and many of you are looking at developing a relationship with us.By ourselves we deliver great value as a Technology leader and partner. However, the real value is how we work together with our key Alliance partners. ScanSource is well aligned with Polycom and has relationships with most of our alliances. As an example, over the last two months , ScanSource announced their exciting new relationship with ShoreTel and together with Polycom had numerous Customer and Partner events talking about the power of this technology eco-system – how we compliment each other and integrate into each others solution.In addition, you saw in the earlier wins how some of you in this room are taking advantage of MSFT Lync and Polycom’s relationship with Microsoft.
The Polycom RealPresence Platform announcement sets a new industry benchmark by defining what constitutes a comprehensive UC software platform.At the same time, customers want multiple delivery options. According to a leading analyst firm, 40% of enterprises are expected to move to a hybrid cloud by 2012. As a result of these trends, we have seen strong global demand for UC Solutions, which is created a huge network effect for mass video connectivity across the globe.Many partners in the room have been extremely successful selling premised based solutions, and I want to assure you that we remain committed to providing customers with flexibility and choices as they decide how and when to implement collaborative video solutions. The Polycom RealPresence Platform message is clear. Together with you, we will bring secure HD video collaboration to the broadest range of business, video, mobile, and social networking applications through standards-based infrastructure delivered on-premises, hosted, or with service providers from the 'video cloud'.Polycom's RealPresence Platform, through deep integration with our broad partner ecosystem, enables unified communications that spans the desktop, mobility, and group settings in a way that's unmatched in the industry. With our open standards-based platform, innovation-rich devices, broad service offerings, and native application interoperability, Polycom is playing an integral role in enabling what promises to be the network effect of video collaboration for hundreds of millions of individuals worldwide.
In order to satisfy the market need for cloud-based services, Polycom is building out a cloud strategy that includes UC Public, Private and Hybrid Cloud options. Today, we are spearheading with leading global service providers around the world a public cloud offering, the Open Visual Communications Consortium™ (OVCC™). Service providers will have an opportunity to provide a service that is in high demand from the millions of users who are currently using video in the enterprise today, but do not have an easy way to connect with customers, suppliers and partners. Leading the Open Visual Communications Consortium (OVCC)World’s largest public cloud exchange Consortium of 14 global Service Providers across six continentsConnected to hundreds of SPs—and growingIncludes all standards-based systemsEnables simplified, secure calling for B2B and B2C customersMaking UC video calls as ubiquitous as a phone call, opening the door to:Faster knowledge transfer and decision makingEasier collaboration with partners and customersStreamlined supply chainsGame-changing applications in Education, Healthcare, Government and Business
Our value proposition is to deliver intercompany video collaboration from any network with any vendor with any device at any time.Service providers and channel partners can create new revenue opportunities by leveraging OVCC services to expand existing offerings. The Open Visual Communications Consortium provides you with the opportunity to:Leverage Open Standard Platform for a large variety of video solutions, without limiting the customer to a closed environment for a single vendor’s productBenefit from the largest reach of global video end-point from “Day 1” eliminating ramp up period and reach immediately critical massDrive a service delivery environment where subscribers can access to numerous hosted video applications and services allowing new recurrent revenue opportunity for your organizationProvide customers with alternative to closed proprietary exchanges through a variety of Consortium services
Mass Adoption of Unified Communications will be achieved If we make it easier to deliver B2B communications. It must be as easy as it is to dial a phone. Polycom is at the forefront and we will deliver a 3 Step Approach that all businesses can take advantage.1. A telecom consortium comprised of mutually-interested service providers, MSPs, and manufacturers – we announced2. An agreement to establish technical methods and commercial policies necessary for each member to share and exchange video between each other as a consistent service3. Arm the service providers with the solutions, services, options needed to deliver the OVCC baseline service and promote intercompany video-enabled communication across the Polycom customer base driving increased demand and overall adoption
I have shared with you our vision, industry trends, how we differentiate ourselves, and the unveiling of Polycom’s strategy to lead with software and our Real Presence Platform. So what does this mean to our customers. Our end users benefit from our platform as well, with ease-of-use that no one else can match: Collaborate with a click – Schedule, join, record and playback multi-party voice, video and content sharing meetings with the click of a mouse, straight from UC client (MSFT Lync, Outlook, SharePoint and IBM Sametime) Extend business reach – Develop deeper relationships with customers and partners with secure high-quality video communication.Rely on face-to-face collaboration from anywhere – All sessions, whether planned or ad-hoc, connect and stay connected even during peak periods with the sharpest and richest HD voice, video and content.Dial with ease – Simple, unique single dialing plan software technology for voice and video endpoints makes connecting with peers quick and easy.Create and share rich media – Capture, create and publish straight from the desktop, mobile device or conference room with YouTube simplicity and enterprise-grade HD quality.
Just as our Customers benefit – let’s look at how you ( our business partners ) can benefit;Increased Share of WalletIntegration with open standards-based communications applicationsShift from selling point products to selling an end-to-end communications infrastructureIncreased Customer Loyalty Trusted advisor relationship-building with CXOCustomer investment protection, with forward/backward compatibility across apps, call control systems, endpointsEnhanced Revenue OpportunitySimplified messaging accelerates decision makingCreates new opportunities – through standards-based infrastructure delivered on-premises, hosted, or with service providers from the ‘video cloud’Higher-value sales and account “stickiness” – significant up-sell and cross-sell Enhanced Margin OpportunityIncreased service renewals and enhanced professional service & consulting offeringsHosted and managed services
Revolutionize the way people work and further drive adoption of video in the enterprise by extending connectivity to anyone from anywherePhenomenal feedback from multiple large companies that are participating in our beta trials…we will highlight during our launchRealPresence Mobile + RealPresence PlatformCMA turns credentials from “free” app into Professional appHighest quality experience for voice, video and content Only true enterprise software solution: For End Users: BYO tablet and enjoy the reliability, security, lifelike quality you expect from PolycomFor IT: the essential provisioning, management, system interoperability, firewall traversal and scalability requiredFor c-level – leverage your existing infrastructure (RealPresence Platform) into mobile environments to make your employees much more productive and engaged in meetings while they are out of the office! Pull sale of RealPresence PlatformHuge network effect….drives additional need for CMA/DMA servers/device licenses, RMX ports and VBP capacity and ENDPOINTS
Polycom is changing in a big way. We are Unifying Unified communications through our software strategy. This has huge implications for our customers and our partners. We go from: Refer to List
It has been my pleasure being with you today. I have shared a lot of information and excitement about our future together. I would be remiss if I did not share not only the commitments I pledge Polycom to make to you but our asks of everyone in this room.
ScanSource Polycom Global Distributor of the Year<br />Scansource<br />Global Distribution Partner<br />
Make it possible for millions of people to use video collaboration as their preferred method of communicating – easily, reliably and securely – regardless of network, carrier, protocol, application or device.<br />Our Vision<br />
Only through open standards and native interoperability can all these disparate parts work together seamlessly. <br />Our Unique Approach<br />
Industry Trends Driving Video Adoption and UC<br /><ul><li>Freedom to Work from Anywhere
Time and Economic Pressure for Efficient Travel
Mission Critical Need to Connect Face to Face in RealTime To:</li></ul>Accelerate innovation<br />Speed decision making<br />Drive Customer Intimacy<br />Outpace the Competition<br />
Huge Market Opportunity<br />$17B <br />Growing to by 2015 (Gartner 2011)<br />UC InfrastructureMarket<br />60M<br />60M tablets sold in 2011 900M tablets and 1B+smartphones by 2015<br />Mobility<br />900M<br />1B+ <br />$ “80% of Fortune 100 deploying iPad and iPhones”<br />$41B <br />$241B <br />$5B <br />$41Btoday to $241Bby 2020; $5B for hosted UC “By 2012, 40% of enterprises will adopt a blend of cloud and premises-based delivery options to meet UC needs.”<br />Cloud Delivery<br />750M<br />750 on Facebook Business social platforms will grow 400% to $3 billion in 2015<br />Social Connectedness<br />400% <br />
The Time is Now!<br />“What are your firm’s plans to adopt the following video technologies?”<br />Interested, but no plans<br />Implemented<br />Planning to implement<br />Desktop videoconferencing<br />28%<br />29%<br />27%<br />Traditional room-based videoconferencing<br />51%<br />9%<br />13%<br />Enterprise IP video for internal use(e.g., training, demos<br />25%<br />19%<br />27%<br />HD room-based videoconferencing<br />27%<br />16%<br />27%<br />Telepresence<br />16%<br />13%<br />32%<br />Base: 1,992 IT decision-makers responsible for network and telecom technology and/or services<br />Source: Enterprise and SMB Networks and Telecommunications Survey, North America and Europe, Q1 2010<br />
Winning Together: Polycom + ScanSource <br />SME<br />Enterprise<br />State<br />End User<br />Reseller<br />Solution<br />Polycom RealPresence Platform and Microsoft Lync<br />Polycom RealPresence Platform and Microsoft Lync<br />Polycom RealPresence Platform<br />
7 Differentiators for Winning Together<br />Polycom Solutions are Easy to Use<br />1<br />Open Standards and Interoperable<br />2<br />Best TCO: Up to 50% less bandwidth<br />3<br />4<br />Backwards and forwards compatible<br />5<br />Range of solutions (immersive, room, desktop, mobile) /delivery options (cloud and premises based)<br />Enterprise Level Security and Carrier Grade Scalability<br />6<br />7<br />Software Platform embraced and extended by a broad ecosystem for the most complete UC solution – channel and POCN partners<br />
Polycom Software Strategy: Putting the “Unified” in Unified Communications<br />With The PolycomRealPresence Platform <br />
UC Investments must work together<br />Customers want choice: multi-vendor, best-of-breed products<br />Investment protection<br />For legacy products vs. forklift upgrades – backward compatibility required<br />For new standards, protocols, applications, devices – forward compatibility required<br />No one-size-fits-all delivery<br />Premises, hosted, cloud options required<br />Mobility and Social Networking require cloud-based delivery of video services<br />Single management solution for IT<br />To provision, deliver and monitor video solutions from mobile to desktop to room systems<br />Customer Pain Driving Need for a Platform<br />
Polycom: From Platform to Endpoints<br />Web Conferencing<br />VideoCollaboration<br />Social<br />IM/Presence<br />Call Control<br />Mobility<br />Other Apps?<br />Polycom® RealPresence™ Platform<br />Services<br />Virtualization Management<br />Universal Access and Security<br />Video ResourceManagement <br />Universal Video Collaboration <br />Video Content Management<br />Software that easily and securely connects video participants in and outside the firewall and optimizes for a best collaboration experience<br />Software for multi-tenancy and massive scale, redundancy and resiliency – up to 25,000 concurrent calls and 75,000 devices<br />Software to centrally manage, monitor and deliver video collaboration across your organization<br />Software for multipoint video, voice and content collaboration that connects the most people at highest quality and lowest cost<br />Software for secure video capture, content management, administration and delivery<br />DMA<br />CMA<br />RMX <br />Accordent<br />VBP<br />Core Networking & Security<br />
Interoperates With Broad Ecosystem<br />Web Conferencing<br />VideoCollaboration<br />Social<br />IM/Presence<br />Call Control<br />Mobility<br />Other Apps?<br />Polycom® RealPresence™ Platform<br />Services<br />Universal Access and Security<br />Video ResourceManagement <br />Universal Video Collaboration <br />Video Content Management<br />Virtualization <br />Software that easily and securely connects video participants in and outside the firewall and optimizes for a best collaboration experience<br />Software for multi-tenancy and massive scale, redundancy and resiliency – up to 25,000 concurrent calls and 75,000 devices<br />Software to centrally manage, monitor and deliver video collaboration across your organization<br />Software for multipoint video, voice and content collaboration that connects the most people at highest quality and lowest cost<br />Software for secure video capture, content management, administration and delivery<br />Scaling<br />Provisioning<br />Bridging<br />Media Management<br />B2B & B2C<br />Core Networking & Security<br />
Through Open Video Cloud Services<br />Extending UC to millions worldwide through private, public and hybrid options<br />Leading the Open Visual Communications Consortium™(OVCC)™ services<br />World’s largest public cloud exchange<br />Consortium of 14 global Service Providers across six continents and growing<br />Enables simplified, secure calling for B2B and B2C customers<br />Making UC video calls as ubiquitous as a phone call, opening the door to:<br />Faster knowledge transfer and decision making<br />Easier collaboration with partners, suppliers and customers<br />Game-changing applications in Education, Healthcare, Government and Business<br />
Polycom’s B2B Strategy: 3 Step Approach<br />Support<br />Enable Growth and Scale<br />Lead OVCC<br />An agreement to establish technical methods and commercial policies necessary for each member to share and exchange video between each other as a consistent service<br />Arm the service providers with the solutions, services, options needed to deliver the OVCC baseline service<br />Promote intercompany video-enabled communication across the Polycom customer base driving increased demand and overall adoption<br />A telecom consortium comprised of mutually-interested service providers, MSPs, and manufacturers<br />
Video collaborate with a click <br />Schedule, join, record and playback multi-party voice, video and content sharing meetings with just a click – right from within Lync, Outlook, SharePoint or Sametime<br />Extend business reach <br />Develop deeper relationships with customers and partners with secure high-quality video communication<br />Rely on face-to-face collaboration from anywhere <br />All sessions, whether planned or ad-hoc, connect and stay connected even during peak periods with the sharpest and richest HD voice, video and content<br />Dial with ease <br />Simple, unique single dialing plan software technology for voice and video endpoints makes connecting with peers quick and easy<br />Create and share rich media <br />Capture, create and publish straight from the desktop, mobile device or conference room with YouTube simplicity and enterprise-grade HD quality<br />Benefits of Platform for End Users<br />
Increased Share of Wallet<br />Integration with open standards-based communications applications<br />Shift from selling point products to selling an end-to-end communications infrastructure<br />Increased Customer Loyalty <br />Trusted advisor relationship-building with CXO<br />Customer investment protection, with forward/backward compatibility across apps, call control systems, endpoints<br />Enhanced Revenue Opportunity<br />Simplified messaging accelerates decision making<br />Creates new opportunities – through standards-based infrastructure delivered on-premises, hosted, or with service providers from the ‘video cloud’<br />Higher-value sales and account “stickiness” – significant up-sell and cross-sell <br />Enhanced Margin Opportunity<br />Increased service renewals and enhanced professional service & consulting offerings<br />Hosted and managed services<br />Benefits of Platform For Your Business!<br />
New! Polycom RealPresence Mobile<br />Ships October 11<br />Galaxy<br />Xoom<br />IPad<br />Revolutionize how people work<br />Phenomenal customer response to Polycom Beta Trial<br />RealPresence Mobile + RealPresence Platform<br />Pro Edition leverages all platform features in mobile environment<br />Only true enterprise software solution <br />For End Users: BYO tablet and enjoy reliability, security, lifelike quality you expect from Polycom<br />For IT: provisioning, management, interoperability, firewall traversal and the industry’s highest level of scalability<br />Pull Through for RealPresence Platform and endpoints<br />