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1 TM TREND MICRO, Incorporated is a pioneer in secure content and threat management. Founded in 1988, provides individuals and organizations of all sizes with award-winning security software, hardware, and services. With headquarters in Tokyo and operations in more than 30 countries, solutions are sold through corporate and value-added resellers and service providers worldwide. For additional information and evaluation copies of products and services, visit our website at Visit the service provider website at:

2 The Service Provider Market Service Provider Market Growth Why Partner with? Service Provider Partner Benefits Service providers are organizations that provide anticipates steady growth and Reliability Revenue services such as security solutions and Internet opportunities in the service provider market. A solution needs to be reliable, dependable, and Diversify your revenue stream by adding subscription to other businesses and end users. consistent so you can provide valuable service to sustainable security service revenue with This is confirmed by studies indicating that the your customers. To illustrate how much impact a minimum financial risk. For, a service provider business is: worldwide security services market was valued at service hiccup can have: One minute of US$20.1 billion in 2007, and is expected to increase downtime for a corporate customer may not be Flexibility an organization that uses products at a slower compound annual growth rate of 13.5% much of an issue; for a large service provider, it Offer your customers a flexible security service to deliver security services to third parties; over the period, reaching US$44.1 billion could mean millions of messages not delivered! that will adapt to current and future needs. these third parties can be residential (ISP) or by corporations (ASP, MSP, etc.) Scalability Retention Although security spending stayed mostly flat in Because your installations tend to be on a much Optimize your recurring revenue with 93% an organization that manages the software as 2009, Forrester estimates that the managed services larger scale, you must consider multiple factors, retention observed from current part of a service, 24x7 market grew by roughly 8%. such as load balancing, failover, and redundancy customers. measures to ensure uptime and continuity. The Note that software can be hosted by, Sources: solutions you need require some degree of Aggregation reside at the service provider s site, or installed at the IDC 2009, Worldwide IT Software, Hardware, and customization and installation planning, even Ensure maximum margins with bulk licensing customer s premises. Services Forecast flexibility in payment schemes. purchase. Forrester - March 10, Market Overview: Managed Services Network Fit Pay-as-You-Go Option You may be hosting/administering/owning the Pay only the licenses you service whether your Vulnerability Assessment $350M 19% Consumer $600M 34% solutions that you provide to customers. Because you may be serving far more customers than the biggest Very Large Enterprise will ever have, the customer base grows or declines monthly. solutions require technical flexibility to fit into your Managed Firewall/IPS $250M 14% Hosted Web $50M 3% current infrastructure. Easy Management Since products and services are deployed in Managed $150M 8% Hosted $400M 22% different ways, central management and reporting are very important. If you already use third-party monitoring solutions, you should be able to use these to monitor your customers products. Figure 1. Service Provider Market Sizing Estimate 2009 Source:

3 Defining Your Network-Based Solution for Your customers expect reliable, robust, highly With a dedicated team of experts, global presence, scalable, and secure services that allow them to enjoy and flexible payment models, offers a a seamless exchange of information. They want complete portfolio of security solutions covering protection that is effective yet non-intrusive. three core service provider markets: ISP/Telco partners, Software-as-a-Service (SaaS) partners, and As a service provider, you need security services to: MSPs. ISP/Telco Keeping spam and malware out of your network These are infrastructure solutions for sanitizing allows you to reclaim bandwidth for better as well as endpoint solutions for protecting service to your customers. subscribers data, both of which create recurring, Worry-Free Business Services Platform for (White Label) Hosted SaaS SaaS Datacenter Datacenter InterScan Messaging Gateway Gateway SMART PROTECTION NETWORK Server Server M an ag em ent Deep exposure. InterScan Web ISP/Telco ISP/Telco predictable service revenue with minimum financial Assure your customers of their Web safety Platform for (Co-hosted) Mobile l ra nt Ce Avoid business disruption Consumer for ScanMail ServerProtect Protecting your customers against , Web, file, and blended threats reinforces your Software-as-a-Service reputation and exceeds your customers These solutions deliver industry-leading content expectations. security to customers over the Internet on an PortalProtect for Microsoft SharePoint IM for Microsoft OCS Business on-demand basis. All solutions are hosted and Gain a competitive edge over rival companies maintained by experts, ensuring easy Packaging security as a complementary offering deployment and 24x7 availability. Data Loss Prevention Consumer to your main products indicates that you provide more valuable service than your competitors do. Managed Service Provider Mobile This is a full range of security solutions available on Add value to your core business and gain usage-based licensing: for Datacenters, Mail additional revenue and Web Gateway, Data and Communication/ Offering value-added security services to your Collaboration Servers, and s. customers creates additional high-margin revenue opportunities. Leading Threat Protection Support Partnership from TrendLabs security solutions are powered by the industry-leading Smart Protection security solutions are backed by Network. This next-generation, cloud-client content TrendLabs SM, a global network of threat research and security infrastructure is designed to address the product service and support centers committed to rapidly changing threat environment while reducing 24x7 customer service, threat surveillance, attack network and system impact, and the reliance on prevention, plus timely and seamless solution traditional pattern file downloads. delivery. The Smart Protection Network collects information With a thousand-strong staff of experts deployed in from multiple vectors to deliver comprehensive Web round-the-clock operations, TrendLabs stays at the threat protection. It combines in-the-cloud forefront of the Internet security industry and serves technologies with lighter-weight clients to help as the backbone of the service service providers break the infection chain and infrastructure. respond in real time.

4 ISPs and telcos have to grapple with exponentially growing and constantly evolving online threats. This Business Benefits makes it imperative for you to offer effective solutions that can protect end users from threats such as malware, spyware, and spam. An infected user base also translates to lower network quality and the risk of getting blacklisted. Botnets are of particular concern since these are often responsible for high spam volumes. Value-added services as a key differentiator to attract more new subscribers Improved existing subscriber stickiness and satisfaction New revenue to improve profit margin Consumer for Provides maximum protection for endpoints (desktops, laptops, smartphones) with awardwinning technology that automatically eliminates malware and Web threats Platform for Delivers filtering, anti-spam, antivirus, and policy compliance within a centrally managed, highly scalable architecture; available as a hosted (white-label) or partner-hosted solution (co-hosted) These threats should be addressed by infrastructure and endpoint solutions to sanitize and protect subscribers. Comprehensive protection is necessary to suit all customer profiles and solve customers main pain points, such as resource-hogging, intrusive, and complex products. Minimized financial risk with monthly reporting and pay-as-you-go payment option Increased recurring and predictable service revenue at a lower TCO Titanium A new generation of home security products that provides protection with the least amount of strain on endpoint resources Smart Surfing for Mac Offers total online protection for Mac computers; Virus Scan Engine A robust, industry-leading module for MTA integration that executes file scanning and threat detection functions; together with the virus pattern, it protects computers against known malware threats, including malicious programs written in Java and ActiveX includes automatic updates so endpoints are protected against the latest threats Mobile A complete security solution for smartphones, safeguarding hardware, software, and data from the onslaught of malware and spam

5 SaaS is a software deployment model that allows specific applications to be delivered and managed as Business Benefits a service by the vendor. SaaS solutions are most often deployed over the Internet, where they can meet the needs of multiple customers simultaneously. Significantly higher return on investment than on-premise products through low initial purchase cost and minimal implementation effort Worry-Free Business Services Protects desktops and laptops wherever these are connected in the office, at home, or on the road; Platform for Delivers filtering, anti-spam, antivirus, and policy compliance within a centrally managed, highly Software-as-a-Service provide industry-leading Internet content security for individual users; small, medium, and large enterprises; as well as service provider partners. All SaaS solutions are hosted and maintained by security experts, ensuring easy deployment and 24x7 availability. This also allows you to focus on quick application delivery with minimal capex and therefore minimum financial exposure. Maximum recurring service revenue with a hosted management console exclusively available for partners at no cost Addition of new services and users as needed through highly scalable hosted solutions High customer satisfaction through award-winning anti-spam and anti-malware solutions, faster designed primarily for small business customers, the service is hosted and maintained by experts, so customers do not have to worry about malware, data loss, server maintenance, or security updates Hosted Delivers continuously updated protection to stop spam and -based malware before they reach the customer s network; includes unlimited scalable architecture; available as a hosted (white-label) or partner-hosted solution (co-hosted) scanning, and quicker updates scanning capacity, optional content filtering, and identity-based encryption to better control Guaranteed uptime with a global infrastructure confidential data and enable regulatory compliance backed by fully redundant datacenters and industry-leading SLAs

6 Managed service is the practice of transferring or outsourcing day-to-day related services to a Business Benefits service provider as a strategic method for improved efficiency. Thwarted infection, identity theft, data loss, network downtime, lost productivity, and Datacenter Provides protection to datacenters hosted Collaboration and Storage Provides prompt and ongoing protection for Managed Service Provider include a full range of solutions available on usage-based licensing: for Datacenters, Mail and Web Gateway, Data and Communication/ Collaboration Servers, and s. Each avenue that may be attacked has a host of products designed to safeguard it from any known and unknown threats. compliance violations Reduced IT management costs for your customers through award-winning, automated protection and maintenance Enhanced average revenue per customer; high retention rate means solid recurring and predictable service revenue physically, virtually, or in the cloud; halts malware and Web threats from infecting a datacenter with a real-time, multi-layered approach to protection by stopping them before they can reach the network Gateway Features maximum protection against spam, malware, malicious links, and inappropriate content while having minimal complexity in terms of setup internal messaging and collaboration systems, vulnerable points likely to be exploited by malware and cybercriminals Provides protection to all kinds of endpoints from laptops to desktops and smartphones; includes products that feature effortless installation, smaller resource footprints, and and maintenance zero-maintenance updating and scanning Flexible usage-based pricing that easily aligns with your business model and billing cycle Improved cash flow and reduced financial risk

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