2015 Lenovo. All Rights Reserved

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2 » Who We Are» Lenovo Service Provider Program

3 A $43B GLOBAL TECHNOLOGY COMPANY WITH 60,000+ PEOPLE AND CUSTOMERS IN 160+ COUNTRIES. FORTUNE 500 #286.

4 Lenovo is a Fortune 500 Company On the scale of 4

5 Lenovo s Enterprise Portfolio An ecosystem of best of breed industry partnerships Solutions Partnerships and Alliances Networks Storage Servers Services and Support Comprehensive end-to-end compute, storage, networking and solutions capability World class, industry leading services and support LENOVO. ALL RIGHTS RESERVED.

6 Lenovo's Enterprise Products & Services Servers Storage Networking Solutions Services System x ThinkServer Flex System NeXtScale SAN DAS NAS Unified Archive RackSwitch Flex System Brocade Mellanox Big Data HPC Cloud Infrastructure Warranty Tech Support Factory Integration Pro Services LENOVO. ALL RIGHTS RESERVED.

7 Enterprise Systems Critical to Lenovo s Long Term Strategy Smart connected devices driving back end infrastructure growth Over the next 5 years, Lenovo aspires to achieve. $100 billion in revenue Leadership position in each of our core businesses Significant growth in new businesses Every 400 Smart phones Requires One Server + Storage 7

8 Key Growth Segments We will focus on 5 key segments to ensure our offerings to drive business value ENTERPRISE CLOUD HYPERSCALE HPC OEM EMBEDDED INFRASTRUCTURE Tuned to meet the needs of analytics, ERP, big data and database workloads. Requires go-to-market with key influencers Large and growing at 19% CAGR. Low cost focus and specialized sales capability required Growing at 9% CAGR, designed for hyperscale density, performance for maximum efficiency Engineered and manufactured to custom requirements with long term support. Growing at 9% CAGR, requires targeted go-to-market Simplified management, high quality, service and support to lower total cost of ownership. Sensitive to price and ease of doing business 8

9 » Who We Are» Lenovo Service Provider Program

10 Why Lenovo Service Provider Program? Service Providers are typically shut out of channel programs today Managed Services is a $4B server market with 16% YoY growth Lenovo wants to support and invest in the MSP model 10

11 Financial Challenges of the MSP Business Model Deferred Profit profit is delivered later and over a longer period of time than in the VAR business model. Cashflow is critical to an organisation who has to implement an infrastructure prior to being able to sell a service. Operating expense is to be minimised as it defines the true opportunity for success. Free Cash many MSPs are newly created companies who may well have venture capital backing minimising the burn rate will be critical not just to success, but to survival. Capital expense may simply not be available at all. Credit again due to the possible recent start as a company, credit availability may well be an issue. 11

12 Lenovo Service Provider Program Framework Standard Program Benefits Lenovo Financial Services: Leasing 2 Engagement Models Competitively Priced Purchase Options Equipment Buy Back KickStart Deferral Enterprise Services at Discounted Price Business Development & Co-Marketing Funds Rent & Grow 12 Note: Program subject to $250k minimum annual hosting revenue requirement. Some benefits may not be available in certain countries. All financing and leasing programs subject to eligibility. Hardware used for service provision, no onward sale.

13 Lenovo Service Provider Program Financing Options Lenovo recognizes the cash flow challenges facing Service Providers and has special financing offers. Investing in Partnerships Improving Service Provider s profitability and cash flow KickStart Offer Up to 120 days floor financing Lenovo may fund the cost of providing 120 days deferred payment to MSP Rent & Grow Consumption Based Model Pay for acquired infrastructure via a low quarterly rental payment Further quarterly payments only when the available infrastructure capacity is used Leasing Traditional Fair Market Value Leasing Trade In Offer to purchase old or unused infrastructure from Services Providers at market value helping to create more potential cash to spend on new IT 13

14 Rent & Grow This option allows the MSP to preserve cash, minimise risk, pay as they provision more virtual machines and minimise burnrate. Share Risk with Lenovo only pay more as you grow Preserve cash rental model Low Risk right of return after 12 months First 25% of the vcores included no extra costs Capped quarterly payment future proof Choice at Contract End return, buy, replace 14

15 Lenovo & Intel Co-marketing Funding Designed to support your unique requirements Co-Marketing Funds Take advantage of additional marketing funding to run demand generation activities and grow your business. Strong Branding Benefit from enhanced credibility in the marketplace by positioning your solution offering together with Lenovo and Intel. Creative Toolkit Leverage Lenovo and Intel s marketing toolkit to develop customized marketing activities and collaterals. Collaboration that matters. Let s work together! 15

16 Want to Find Out More? Visit us at Stand D03 or send an to 16

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2015 LENOVO. ALL RIGHTS RESERVED. Isabel Zarate Lenovo EBG Leader

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