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Emulex Corporation

Emulex Corporation. CQ2 2011. EMULEX CONFIDENTIAL. Emulex Corporation Overview. Corporate Facts. Founded in 1978 Based in Costa Mesa, CA Employees Approx. 980 NYSE Symbol - ELX 2010 Revenue $399 MM Q3:11 Revenue $112.1 MM Q3:11 Net Cash $182.8 MM. Our Vision.

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Emulex Corporation

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  1. Emulex Corporation CQ2 2011 EMULEX CONFIDENTIAL

  2. Emulex Corporation Overview Corporate Facts Founded in 1978 Based in Costa Mesa, CA Employees Approx. 980 NYSE Symbol - ELX 2010 Revenue $399 MM Q3:11 Revenue $112.1 MM Q3:11 Net Cash $182.8 MM

  3. Our Vision One intelligent data center network that connects individuals to information, users to collaboration, applications to data and companies to customers. 3

  4. Emulex Strategy Be #1 in Host Ethernet Connectivity by leveraging OEM LOM wins for Adapter sales Expand Fibre Channel share by leading protocol transitions and leveraging portfolio sales Drive brand preference with new software offerings that simplify management in cloud and virtualized environments Expand server footprint with I/O and management controllers

  5. Emulex Product Portfolio Management Services • Unified Control • Server Management • Advance Services OneCommand Encryption & Security MGmt Controllers Enterprise I/O • Fibre Channel • 10GbE Convergence • Security I/O LightPulse HBAs ONeConnect UCNAs LAN on MOtherboard Embedded Inspeed Bridges /Modules SAS and SSD Routers Target Side I/O • Storage I/O & SSD • Expanded Targets • SAS to FC Routing

  6. Broad Connectivity Portfolio 8Gb/s OneSecure 8Gb/s HBAs 8Gb/s Blade 4Gb/s HBAs 4Gb/s Blade 10Gb/s CNAs 10Gb/s NIC 10Gb/s Blade • FCoE • FCoE 10Gb/s “Integrated”

  7. Fibre Channel Market Driver 10+ Million Ports Installed 3 Quarters Share Growth Choice of Tier 1 OEMs 8 Generations of Fibre channel LP6k LP7k LP8k LP9k LP9800 LP10k LP11k LP12k Source: Dell’Oro Calendar Q3-2010 report released (updated 1/11/11)

  8. Emulex LightPulse LPe1200xKey Features • Over 30% Better Performance • 37% better dual-port scalability • Create 35% more vPorts • Powers the #1 fastest database system* • 50% More Efficient Management • Centralized management (GUI, CLI, Browser) • vCenter plug-in for integrated VMware management • 2x functionality—diagnostics, troubleshooting features • Universal boot capability and superior UEFI • Exclusive Compliance Features • Encryption-ready with advanced security features • Enhanced end-to-end data integrity

  9. Broad Platform Support • Dedicated OS-centric development and testing teams • Active engagement with platform developers and platform communities • Ongoing coordination ensures “single” drivers are supported across OEMs and OS vendors • Developing next generation enhancements • Stable and robust driver design • Hardware and software interoperability testing • Platform Certified/Qualified Drivers • Qualified by server and storage vendors • Collaborative post-sales support network

  10. Virtualization Leadership PlatformSupport Optimized Management Resources Performance SAN Virtuosity web series and papers Emulex Implementer’s Solution Series Chalk Talks More concurrent NPIV ports VM zoning and access control QoS admin OneCommand Manager for VMware (vCenter Plug-in) VMware ESX Citrix Xen Microsoft Hyper-V Oracle VM Solaris Containers NPIV integration

  11. Increase Server Reliability • LPe12002 operates 27◦ F cooler than QLE2562 • Reduces heat stress and thermal cycles • Increases server reliability and SAN availability Max = 121○ F Max = 148○ F 150 140 130 120 110 100 90 ◦Fahrenheit 80 QLogic QLE2562 Emulex LPe12002

  12. Network Convergence • Ethernet is a “best-effort” network • Packets may be dropped • Packets may be delivered out of order • Transmission Control Protocol (TCP) is used to reassemble packets in correct order • Data Center Bridging (aka “lossless Ethernet”) • The “bridge to somewhere”—pause-based link between nodes • Provides low latency required for FCoE support • Cisco: Data Center Ethernet (DCE) • HP, IBM, Dell and Brocade: Convergence Enhanced Ethernet (CEE)

  13. Cutting Cost Before Convergence After Convergence 100% 28% CAPITAL POWER CABLES 42% CAPITAL 80% POWER CABLES

  14. Performance Is the Biggest Issue With 1GbE... “The primary issue I have with 1GbE NICs today” Other Lack of NIC reliability 1GB is not enough network bandwidth NIC Teaming I have so many 1GbE ports in my data center that keeping track of firmware and firmware updates are hard to manage I need so many 1GbE NIC ports that I'm becoming PCI slot constrained IT Brand Pulse Convergence Survey - April, 2010

  15. …Because of Server Virtualization “The application in my data center that will drive the adoption of 10GbE is…” IT Brand Pulse Convergence Survey - April, 2010

  16. The Migration from 1GbE to 10GbE Is Underway “The status of my migration…” I have already deployed 10GbE products I am in the process of investigating 10GbE technology and products I don't believe I need 10GbE technology so there is no need for me to pursue it at this time I should be investigating 10GbE technology but I have been too busy IT Brand Pulse Convergence Survey —April, 2010

  17. Server OEMs Select Emulex for Convergence Picked Emulex for 10GbE Server I/O Picked Emulex for 10GbE Virtualization Unified Fabric Picked Emulex for 10GbE NAS,ISCSI & FCoE

  18. OneCommand Core and Advantage Series OneCommand Enterprise Convergence Suite Core Series Advantage Series Enterprise Management OneCommand Manager OneCommand Vision Element Management OCM for VMware Installers I/O Svcs OneCommand Guardian Offline Utilities Provisioning APIs

  19. Why Emulex? • 10Gb Ethernet Leader • Emulex is #1 in Host Ethernet Connectivity • 9 out of 10 OEMs have chosen Emulex • Fibre Channel Leader • Emulex has over 10 million Fibre Channel ports installed • The choice of all Tier 1 OEMs • Performance Leader • Emulex leads the way in multiprotocol offload • HBAs have 37% better IOPS & 15% greater transactions perform. • Management Leader • OCM has 2x the features; increased efficiency cuts OPEX in half • OCV delivers I/O visibility in virtualized data centers

  20. The Channel Is Strategic to Emulex… Champions of Technology Over 60% of OEM Revenue Provide Global Presence Path to IT Customers

  21. New Emulex Connect Program Elements Bigger SPIFs, Faster Claims, Higher Margins Emulex Expert Online Training New Connect+ Partner Distinction MyEmulex.Com Convergence Conversations Training New LinkedIn & I/O Blender Communities

  22. Emulex Channel Commitment Bigger SPIFs, Faster Claims, Higher Margins Emulex Expert Connect+ Partner Distinction Focus on 10GbE Increased Discounts Mutual Commitments Driving Convergence Expanded Online Training Sales Track Technical Track Required for Connect+ New Claims System Connect+ Incentives Deal Registration Joint Marketing / MDF Enhancing Our Partner Business Model!

  23. Emulex Channel Commitment Convergence Conversations Social Media New Partner Communities LinkedIn Channel Forum I/O Blender.com Drive Open Discussion Emulex Participation Generational Change 24/7 Support Open Communications Creating Communities Key Trends New Technologies Lead Generation Open New Dialog Enhancing our Partner Business Model !

  24. MyEmulex.com Connect Partner Portal • Emulex Connects Our Partners to the Converged Networking Community • Engaging sales tool and co-branding marketing resources • Interactive social media forums via blogs, podcast, LinkedIn and YouTube • Influential partner and end user community to attract customer/peers • Generous sales cycle based rewards, deal registration and SPIFF

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