Cisco ISR Technical Support Services Bundles: Enabling Success & Increasing Revenue

1. Cisco Technical Support Services Bundles forCisco Integrated Services Routers Partner/External 12-13-2004

2. Enabling Customer Success with Cisco Technical Support Services Increasing Revenue with Cisco ISRs Table of Content

3. Technical Support Services (TSS) Maintenance Bundles for Integrated Services Routers (ISRs)

4. Cisco Customer Advocacy Mission: Customer Success with Cisco Technology Strategy: Lifecycle Services Go To Market: Profitable Partners

5. ISR Technical SupportServices Bundles provide complete maintenance coverage enhancing customer experience & enable increase in partner profitability 5 5 5

6. What Our Customer Needs For ISR Technical Support Services? • Single point of accountability • Direct access to Voice & Security experts • Customer network knowledge • Ease of doing business for ordering, renewals, and entitlement tracking 6 6 6

7. Technical Support Services Bundles for ISRs • Combination of SMARTnet/SPBase & SAU in a single SKU is a TSS bundle • 18 ISR product bundles have matching TSS bundles with different levels of services for ISR 2800 & 3800 family products with voice application for Cisco direct & Cisco brand resale (1 tier & 2 tier) & Cisco Shared Support • An Introductory Promotional Offer with discounts up to 49% off stand alone SNT & SAS/U will be available from 12/13/2004 – 6/30/2005 for Cisco direct & Cisco brand resale (1 tier & 2 tier) • At the end of introductory promotion each bundle will be priced at 20% off stand alone SNT & SAU • Normal partner discounts apply during and after promotion

8. Save 20% Save 49% Illustration: Service Bundle At Attractive Discounts ISR Stand Alone Service TSS Bundle Introductory PROMOTION Router SMARTnet (including Security) $80 $100 $51 $80 SAU--Voice $ 100 $51 $102 Total $160 $200 These are not real prices. The slide illustrates how discounts can be calculated.

9. Service Bundles At Attractive Discounts ISR Stand Alone Service TSS Bundle Introductory PROMOTION Router SMARTnet (including Security) $100 $80 $51 SAU--Voice $ 100 $80 $51 Total $ 200 $160 $102 Normal Partner Discounts Yes: CBR No: CSSP & SIS Yes Yes N/A:SIS MY Pre-Pay Discount Yes Yes Yes

10. Customer Benefits • Access to complete maintenance service coverage at attractive prices • Ability to leverage Cisco’s world class technical support expertise for data, voice, video, & security • Ease of ordering for Hardware & Software services in a single SKU • Lower total cost of ownership

11. Increase Revenue and Margins Partner Benefits • Offer complete maintenance services at attractive price • Drive Increase in revenue & attach rates: • --Facilitate up-sell to Voice & security services • --Offer PDI revenue opportunity • Increase in overall margins • Ease of selling 11 11 11

12. How to Order TSS Bundles & Promotion? • Quoting & ordering processes remain unchanged • Service deliverables for both Hardware and Software are incorporated into a single Hardware service program for relevant product SKUs (i.e. where SW service is applicable) • Service Bundle SKUs will use existing SKUs naming convention Example of TSS bundle SKU: CON-SNTP-C2811SRS • Promotional pricing is built into Bundle Service SKU price • Service description in the SKUs will indicate promotion price & SASU combined with Hardware services • Hardware & Software services can be purchased/sold for stand alone products; not for the product bundles

13. Product Bundles with Matching TSS Bundles ISR product families with voice applications will have matching TSS bundles: 2801, 2811, 2821, 2851, 3825, and 3845 CISCO2801-SRST/K9 CISCO2801-CCME/K9  CISCO2801-V3PN/K9 CISCO2811-SRST/K9 CISCO2811-CCME/K9 CISCO2811-V3PN/K9 CISCO2821-SRST/K9 CISCO2821-CCME/K9 CISCO2821-V3PN/K9 CISCO2851-SRST/K9 CISCO2851-CCME/K9 CISCO2851-V3PN/K9 CISCO3825-SRST/K9 CISCO3825-CCME/K9 CISCO3825-V3PN/K9 CISCO3845-SRST/K9 CISCO3845-CCME/K9 CISCO3845-V3PN/K9

14. Learn Promote Sell Call To Action Educate customers about benefits of TSS bundles & promotion for successful ISR implementations

15. Next generation, best-in-class routing Concurrent services at wire-speed Leading security solutions Leading voice solutions World class Technical Support Services A WINNING SOLUTION !! Cisco Sets The Technology Standard

16. Visit: http://www.cisco.com/partner/services/isr/ Contact your Cisco representation for further information and/or events in your area More Information

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18. Increasing Revenues with Cisco’s Integrated Services Routers Secure, Wire-speed Delivery of Concurrent Services and Applications

19. Cisco’s New Integrated Services Routers Secure, Concurrent Services At Wire-speed! Up to… 5X service density, 7X performance, 4X memory! Embedded security, tightly integrated with voice Integrated Services Routers Backward compatibility with existing router modules for solid investment protection Industry-leading network availability and resilience Plus headroom to grow!

20. Top 5 Reasons for Cisco Field and Partners To Sell Cisco Integrated Services Routers • Drive foundation technologies revenues • Capture fair share of $6.4B security and voice opportunity • Sell the right-sized solutions to high growth SMB market • Tap into Service Provider managed services revenues • Redefine competitive battleground

21. 80% 70% 20% 60% 17% 19% 50% 18% 33% 40% 19% 16% #3 Ranking 18% 30% #2 Ranking 18% 9% #1 Ranking 20% 24% 6% 22% 21% 9% 18% 10% 9% 5% 0% Security High Availability Connectivity Management Application Communications Basic network “refreshes” pave the way for branch router upgrades! ISRs uniquely fulfill Current & Future Investment Priorities Cisco Integrated Services RoutersDeliver on “Top 3” 2004 Spending Priorities Source: Cisco/Yankee Group Survey May 2004 (US, UK, Germany)

22. FCS 4QCY04 FCS 3QCY04 New Product for New Opportunities Cisco 3800 FCS 3QCY04 Cisco 2800 Cisco 1800 Transition and Upsell Opportunities Cisco 3700 Series Cisco 2600 Series Cisco 1721 Cisco 1751/1760 End of Sale or Obsolete Products 4.4 Million Routers Ready for Migration Creating New Opportunities While Protecting Investments

23. PLUS… • L2 Switching • Wireless • Application Acceleration Doubles the Opportunity Routing : $3.5 B $3.4B TotalSecurity $2.9B Enterprise IP Telephony Cisco Others29% Others26% 29% Cisco , 29% Cisco 29% CA6% Mitel5% Nortel17% Alcatel6% Avaya17% CheckPoint18% Nokia9% NetScreen10% Sources: Synergy 1Q04, Infonetics 1Q04 Capture Fair Share of $6B Security and Voice Opportunity Doubles the Opportunity

24. Cisco Integrated Services Routers 4th Gen Other Vendors Redefine the Competitive Battleground:Cisco Leads In Routing & Services Innovation Future Self Defending System Level Management Integrated & Embedded Services Intelligent Application Services Wireless Video Auto Secure Auto Attendant Auto QoS Software Distribution Prepositioning Caching Advanced QoS (LLQ, MPLS) Network Admission Control Intrusion Prevention 802.1x DMVPN Voice Mail Conferencing Call Processing Voice Scalability Convergence Apps 3rd Gen Advanced Services Services Integrated Security Voice App Optimization Router Service Evolution 2nd Gen IDS VPN Firewall Voice Gateway Toll Bypass Compression Multiple Apps Basic QoS Basic Integration Security Voice App Optimization 1stGen Security Traffic AwareACLs Voice Transport Application Transport Multi-Protocol (DLSW, etc..) Transport & Performance

25. Performance and Services Density Scalable from Small Business to Large EnterprisesRight-Sized Router for Customer Requirements 3800 Series Increased Value Extended to New Markets • Substantial increase in price/performance! • Extension into new markets! • Greater service densities across the portfolio! 2800 Series FCS October 2004 1800 Series Highest Density and Performance for Concurrent Services FCS September 2004 Embedded, Advanced Voice, Video, Data & Security Services FCS September 2004 Integrated Security & Data Enterprise Branch Office Small Branch SMB

26. 3845 Cisco 3825 and 3845 Routers Flagship Enterprise Branch Router $9,500 to $13,500 USD • Integrated Services at Wirespeed • Up to T3/E3 rates with all services turned on • Security: On-board encryption, Firewall with NAT, IPS, NAC, and more • Voice: On-board DSP slots, up to 240 IP Phones • Services Density for Convergence • Maximum density for both connectivity and service modules • Slots support new modules + existing interfaces • Optional integrated 802.3af powered switching • Enhanced Availability • Hot-swap modules and power supplies • Highly serviceable design (field replaceable) • Internal redundant power

27. $1,995 to $6,495 USD 2851 Cisco 2801, 2811, 2821, 2851 RoutersFor the Converged Branch • Integrated Services at Wirespeed • Up to NxT1/E1 rates with all services turned on • Security: On-board encryption, Firewall with NAT, IPS, NAC, and more • Voice: On Board DSP Slots, up to 96 IP Phones • Services Density for Convergence • x2 slots for connectivity w/service expansion • Slots support new modules and existing interfaces • Optional integrated 802.3af powered switching • “Right-sized” IP Communication Solutions • Performance and density matched for 24-96 user data + voice solution • New expansion voice module slot for high density analog/BRI 2801

28. DSP USB USB Up to 400% Mpps improvement with onboard encryption, up to 1000% Mbps with AIM Security LeadershipSelf-Defending Network SECURE CONNECTIVITYSecure & scalable connectivity VPN, DMVPN, V3PNSecure Voice TRUST & IDENTITYLeverage the network to protect endpointsNetwork Admission Control 802.1x NETWORK INFRASTRUCTURE PROTECTIONProtect the infrastructure from attacks and vulnerabilitiesControl Plane Policing THREAT DEFENSEPrevent & respond to attacks & wormsInline Intrusion Protection Firewall AIM AIM VPN HWIC HWIC EVM GE GE HWIC HWIC NME X

29. DSP USB USB Voice Leadership Services and Applications Up to 140% improvement in simultaneously active voice calls ADVANCED VOICE APPLICATIONSIntegrated voice applicationsCisco Unity Express (CUE)Call Manager Express (CCME) INCREASED VOICE DENSITYIntegrated HWIC, DSP and optional AIM cards Auto attendant Conferencing MORE PERFORMANCEVoice silicon for performanceDecreased latencyHigh performance at higher density INCREASED MODULARITYNew VICsVariety of voicemail modules AIM AIM VPN HWIC HWIC EVM GE GE HWIC HWIC NME X

30. Increased Density, Flexibility and Performance Right-Sized Voice in Right-Sized Router Voice • Voice mail across entire 2800/3800 Series • Conferencing, gateway, voice mail, auto attendant & call processing -- no network module required! • DSPs slots on ALL 2800 and 3800 routers! PLUS! Security comes standard • High performance encryption • Cisco IOS security: VPN, IPS, Firewall, URL filtering Not enough? Add these options: • Network analysis • Caching, streaming • L2 switching with PoE support Over 67% Savings

31. New Making Security Services Sales Faster, Easier:Cisco 3800, 2800 and 1800 Security Bundles • Integrated Services Routers Ship with VPN acceleration • But Cisco IOS software is needed to enable security features • Customers have 3 options: Entry Security Bundles Enhanced Security Bundles V3PN Bundles Secure WAN connectivity and performance No desire to integrate voice Enhanced security performance Scale for concentration Desire to integrate voice traffic (only) • For combined: • Data, • Voice Gateway, • IP Communications • Travels across a secure VPN WAN

32. New Making Voice Services Sales Faster, Easier:Cisco 3800, 2800 IPC Bundles • Ship with integrated DSP slots • 4 options for each deployment type: Voice Gateway Bundles CME Voice Bundles SRST Voice Bundles V3PN Bundles Adds DSPs that scale with the platforms Adds Cisco IOS feature set IP Voice Adds CME Feature license to Voice Gateway Bundle Adds SRST Feature license to Voice Gateway Bundle • For combined: • Data, • Voice Gateway, • IP Communications • Across a secure VPN WAN

33. Next generation, best-in-class routing Concurrent services at wire-speed Leading security solutions Leading voice solutions World class Technical Support Services A WINNING SOLUTION Cisco Sets The Technology Standard