Be Ready for the New Frontline

1. Be Ready for the New Frontline A new conversation for our channel partners Peter Cooper, Head of Channel Sales, Kaspersky Lab 15th July 2011 Channel partner facing deck NOT for onward distribution

2. Why are we talking about the New Frontline? Our value proposition – your value proposition • Customers are focused on value • IT needs to be aligned to solving business issues and directives We all face challenging times We all must avoid fighting on price, or we risk commoditisation Our sales conversations have be more strategic, we all want bigger customers, bigger deals Which means we MUST change the way we go to market Kaspersky Lab has a new value proposition A new story to tell: based on what customers want to know about New tools to help us all hit the numbers We need to broaden our buying centre Change the conversation Be Ready for the New Frontline

3. Our task together: time to move up the value change. Focused on a different audience, and a different message Frontline Target C-Level Business specific Value Management Operationally specific Current Target IT Product Technology specific Be Ready for the New Frontline

4. Kaspersky Lab has evolved: more value to you TO FROM Technology features Business impact and value Talking malware messaging Discussing customer challenges Engaging technical implementers Engaging business decision-makers Not considered, no seat at the table Valued opinion, shaping the projects Commodity vendor Strategic partner Be Ready for the New Frontline

5. Context: what are customers thinking about? • The business: • Increase revenue and reduce operating costs • Increase efficiency whilst reducing long term fixed commitments • Moving capital expenditure to operational expenditure • Becoming more agile, responsive and resilient to volatile conditions CEOboard • Technology leadership • Transformation through new technologies that create a more flexible, dynamic and efficient work environment • Deliver new working practices for greater productivity • Choosing new strategies that leverage today’s “sophisticated” end-user • New devices, corporate and personal, to connect, share and collaborate CIO CISO So, where’s the project? Be Ready for the New Frontline

6. Context: your customer’s landscape • The business: • Increase revenue and reduce costs • Increase efficiency • Capex to opex • Agility • Technology leadership • Transformation • New working practices • New strategies • New devices CEOboard CIO CISO • New strategies, new security concerns, new conversations • Mobility projects: Smartphones increase productivity – but as mobility increases, so to does the risk • Virtualisation: server virtualisation achieved huge cost savings, is the desktop the next cost saving potential? What are the security implications? • Consumerisation: do more with less by empowering employees to use their own devices. But, empowerment could come at a price... • Outsourcing to a cloud-based service: the need to focus on core business means nothing is sacred – but pushing corporate applications, and data, to the cloud bring a perceived risk Be Ready for the New Frontline | July 6 2011

7. Broadening the buying centre • Broader c suite contacts e.g. sales • director , marketing director, finance • director, HR director Where are conversations focussed now? Typically within IT sphere of influence • Using a business need/driver led approach illustrates to senior management how a decision in IT can have a serious impact on overall business plans Be Ready for the New Frontline

8. Context – opportunities for our partners • At Kaspersky Lab we recognise that its time to change the type of conversations we are having and broaden the range of people we are talking to within an organisation • By expanding our buying centre and using value propositions that talk to organisational business drivers, we can raise our profile within an account and start to become recognised as a strategic partner rather then a commodity vendor • Our partner community is crucial for us to be successful in this approach, we are working hard to provide you with tools that enable you to engage with a wider base of contacts as well as deliver you new ‘business need’ led messaging • Many interactions with existing and potential customers are centred on procurement and specific elements of IT. In order to sell a wider portfolio and resolve our customer’s operational and strategic business issues, we need to have new conversations with new people about new subjects and move up the decision making value chain • This approach will open up new opportunities within both your existing and potential base and provide you with exposure to new contacts and perhaps more importantly new budgets Be Ready for the New Frontline

9. Be ready for the New Frontline

10. Introducing: “Be ready for the New Frontline.” Context: Organisations are seeing an unprecedented change in their operating and IT environments – the security frontline has shifted Our response: At Kaspersky we take security to where the new battle lines are drawn, regardless of the platform, device or location. Their result Customers can make the business transformation they need, but without the risk MOBILE VIRTUALISATION CONSUMERISATION CLOUD Be Ready for the New Frontline

11. Securing your customer’s mobile workforce Customer scenario: Financial services business has an increasingly distributed and mobile workforce: key driver to ensure maximum staff productivity, no matter where they are IT has lost the battle for control: the business users now employ different devices – carrying with them valuable, sensitive and costly information The challenge: Huge risks exist around loss of unsecured devices, growing threats around mobile malware and how to manage it efficiently Our proposition: We treat a mobile end-point like any other: securing it and securing your business We provide mobile protection across different devices and platforms – all easy to manage through a single dashboard FACT: Over 1bn mobile devices will have access to the internet by 2013 FACT: There was a 33% increase in malware infections aimed at smartphone users in 2010 FACT: When surveyed, two thirds of employees on the move wanted a smartphone as their mobile tool of choice, only one third wanted a laptop Be Ready for the New Frontline

12. Making desktop virtualisation a secure environment Customer scenario: European food retailer faces a price war – IT is tasked with saving 30% budget savings within 9 months Previous server virtualisation saved over $8m, with over 50,000 seats, implementing desktop virtualisation is now top of the priority list The challenge: The virtualisation project has to happen, but the CISO may not understand the security vulnerabilities generated by this new environment Our proposition: We understand the unique complexities in securing a virtualised desktop, and can deploy full security with minimal impact – this is ‘Real Security in a Virtualised World’ FACT: By 2015, 40% of the security controls used within enterprise data centers will be virtualized up from less than 5% in 2010. (Gartner) FACT: By moving to virtualised services CIOs can see a 20-50% cost saving for their organisation as well as increased flexibility and speed of service (Gartner) FACT: 28% of installed applications are currently running on VM, by 2012 this is set to rise to 48% (Gartner) Be Ready for the New Frontline

13. Consumerisation: embracing consumer technology in the workplace while minimising risk Customer scenario: Pharmaceutical company has grown quickly through acquisition, but needs to stay fleet of foot despite its size – competitive pressure focuses on the need for fast innovation The business needs faster and better collaboration – with staff taking the initiative by using their own tools and devices The challenge: How can the business foster collaboration and empower employees, without exposing itself to significant risk? Our proposition: We allow organisations to turn IT consumerisation into a harvestable opportunity – rather than a threat We manage and secure consumer devices in the corporate environment: just like any other end-point FACT: 40% of information workers today use some form of self provisioned technology in the workplace FACT: By 2012 IT departments will have to support an average of 3.3 smartphone or tablet platforms “Either you take control of this or its going to take control of you” Philip Cox (System Experts) Be Ready for the New Frontline

14. What is IT consumerisation? Our view: The cost benefits of consumerisation to an organisation are potentially huge, and workforces are using their own devices – whether they like it or not. However, the result is that there are now a vast number of end-points and subsequent security risks – these require management. As the industry experts on end-point security, Kaspersky are ideally placed to protect businesses and save them money. CIOs face mounting pressure to facilitate the adoption of “consumer applications” at work while balancing the risks and opportunities.Forrester, 2010 FACT: 1 in 4 employees use personal smartphones at work, despite their organisation forbidding it FACT: Citrix’s use of the “bring your own computer” scheme has shown average cost savings of 15-20% versus traditional desktop deployment Be Ready for the New Frontline

15. Keeping customers safe in the cloud Customer scenario: Global business faces immediate pressure for $2bn cost savings Needs to move significant capex into opex – reducing its risk profile and achieving ‘pay as you go’ financial flexibility A number of applications are seen as ‘non differentiating’ – so migrating them to the cloud would free up tens of millions... The challenge: Concerns around where the data is stored – but the endpoint is where the risk lies Our proposition: We can help businesses become ‘cloud safe’ – we as Kaspersky use the cloud to monitor threats and have a real depth of understanding. We make it easy to secure end-point – so whilst the data is in the cloud, the access to it is not at risk FACT: Cloud services will be worth $44bn by 2013 FACT: Loss or theft of customer data costs businesses £1bn per year. “There are some real Achilles’ heels in cloud infrastructure that are making big holes to get into” Eugene Schultz, Emagined Security Be Ready for the New Frontline

16. Spotting opportunities: what you need to ask “ MOBILE Are you having to manage the consequences of a more mobile workforce? ” “ Are you aware of the increased security risks as the end-points multiply and get harder to pin down? ” “ What’s the best plan of attack to keep your employees safe, when you’re faced with multiple devices and multiple platforms? ” Be Ready for the New Frontline

17. Spotting opportunities: what you need to ask “ MOBILE Are you considering or already undertaking a desktop virtualisation project? ” “ VIRTUALISATION Are you aware of how this changed environment potentially opens up new security risks – and have you considered how you are going to manage this? ” “ How secure do you need your virtual environment to be? ” Be Ready for the New Frontline

18. Spotting opportunities: what you need to ask “ MOBILE As the lines blur between business IT and consumer technologies, have you got a plan of attack? ” VIRTUALISATION “ How can you give your staff freedom of choice and reaps the benefits, without compromising your data? ” CONSUMERISATION “ How can you treat every new technology as just another end-point? ” Be Ready for the New Frontline

19. Spotting opportunities: what we need to ask “ MOBILE Are you currently considering, or already reaping the benefits of, moving specific services to the cloud? ” VIRTUALISATION “ Are you aware of the real risks and vulnerabilities to your business? ” CONSUMERISATION “ Could your end-point now be your biggest point of weakness? ” CLOUD Be Ready for the New Frontline

20. Scoping the opportunity: how big is the New Frontline? FRONTLINE: The average cost of a data breach is now $7.2 million, an increase on 18% from 2009. The average cost per compromised record is $214 (Ponemon study) CONSUMERISATION: In 2012, IT teams will have to support an average of 3.3 smartphone or tablet platfroms being used by their workforce (Aberdeen group) VIRTUALISATION: By 2015, 40% of the security controls used within enterprise data centres will be virtualised, up from less than 5% in 2010 (Gartner) FRONTLINE: 27.3% of organisations reported information theft in the last 12 months, an increase of 9.3% from 2009 (Secureview) MOBILE: 297 million smartphones were sold in 2010, with over 80% running on operating systems other than Apple’s IOS (buysellads.com/Gartner) CLOUD: Cloud services will be worth $44bn by 2013 (Forrester) Source: Gartner (May 2011) Be Ready for the New Frontline

21. Proof: The New Frontline in the news Be Ready for the New Frontline

22. Proof: What the experts are saying “Expect the importance of device management and security options to increase among SMB IT decision makers with the continued growth in the wireless industry despite the current economic situation” IDC “68% consider security services including remote lock/wipe as essential criteria when choosing a mobile operator” IDC “Of the total smartphone market as at May 11: 27.4% ran on Symbian, 36% ran on Android, 12.9% ran on Blackberry OS” Gartner “By 2013, 80% of organisations will need to support a workforce using tablets” Gartner “The worldwide market for corporately purchased converged mobile devices (CMDs) by SMBs is expected to grow to 38 million devices by 2012” IDC Sources: Gartner: Forecast Analysis: IT Outsourcing, Worldwide, 2009-2014 IDC’s 2007 Information Protection and Control Survey Be Ready for the New Frontline

23. Proof: The new frontline is top of customer concerns Source: Forrester, The State Of Enterprise IT Security And Emerging Trends, 2010 Be Ready for the New Frontline

24. Focusing our efforts:We can support over 80% of the smartphone market Worldwide Smartphone sales to end users by operating system in 1Q11 Source: Gartner (May 2011) Be Ready for the New Frontline

25. Focusing our efforts:We can support over 80% of the smartphone market Worldwide Smartphone sales to end users by operating system in 1Q11 Source: Gartner (May 2011) Be Ready for the New Frontline

26. Partner Relationship Dynamics New Frontline provides 2 wins – new customers and new opportunities for partners Vendor 3. Partner Support & Programs/Promos Distributor Reseller 2. Brand Pull 1. Demand creation Client (end-user) Be Ready for the New Frontline

27. Why Kaspersky Lab for our channel partners • Deal Registration • Earn up to 14% additional margin by registering your deals • Buy Back Scheme • Available where we are displacing the competition on multi year deals • Base Discounts • Some partners are eligible for a maximum base discount of 25%, discount is linked to partner status Extra Incentives In some cases free home user keys will be offered to end users, up to 20% of the overall amount of licenses on the order You could be entitled to an additional 10% margin if a renewing customer stays with Kaspersky Lab Be Ready for the New Frontline

28. Why Kaspersky Lab for our channel partners? One of the world’s fastest growing endpoint security company (Source: Gartner) The best for detection 100% focused on channel partners, not direct Detection rate: proactive malware prevention • We provide: • Training • Pre-sales support • Market development, resource • Thought leadership 50% 80% Kaspersky Industry average 196m Malicious programmes detected 1.3bn Network attacks prevented 1.5m Spam emails analysed per day Launching new channel partner programme Be Ready for the New Frontline

29. Resources to support you in the field Tools under development Customer facing Frontline deck/pitch Frontline branded solutions sheets/collateral set Video & Static Case studies Analyst papers • Thought leadership tools available now • Could the smartphone be the weakest link of your corporate IT network? (Kaspersky Lab Whitepaper) • Kaspersky Lab: Consumerisation in the work place (ppt) • Kaspersky Lab: Are we high in the clouds? (ppt) • Kaspersky Lab: The computer in your pocket (ppt) Be Ready for the New Frontline

30. Channel partner facing deck NOT for onward distribution Thank you