Company Profile. Interactive Intelligence Inc.

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1 Company Profile Interactive Intelligence Inc.

2 Innovation A Solid Foundation Founded 1994 Publicly Traded: Nasdaq ININ Innovative, first-to-market approach 1st all-in-one platform for enterprise & contact center telephony 1st SIP-based IP contact center suite 1st all-software IP PBX Headquarters: Indianapolis, Indiana Regional North America HQ offices: Offices throughout APAC, Latin America and EMEA employees and counting Growing & Profitable Quarterly For the past 7 years Gartner s Leaders Quadrant CaaS revenue increased to 25% Interactive Intelligence, Inc.

3 Frost and Sullivan Award 2011 Frost & Sullivan is proud to present the 2011 North American Company of the Year Award in Contact Center Systems to Interactive Intelligence Interactive Intelligence is not the market-share leader, but it is the fastest growing contender. The leader is considered a safe choice, though in recent years the companies that rank ahead of Interactive all have question marks associated with their ability to hold, let alone grow, their positions Interactive Intelligence, Inc.

4 Frost and Sullivan Award Source: Frost and Sullivan report "2011 Planning Considerations - Hosted Contact Centers 12/31/2010" Interactive Intelligence, Inc.

5 Frost and Sullivan Award 2011 Interactive Intelligence was the only Tier 1 vendor in the contact center space to grow its business in all six subsegments of the market in More important, the company grew most in the segments where its competition is the most formidable: inbound contact routing, IVR and outbound dialers. Interactive Intelligence has grown into a legitimate rival of the larger and more established vendors, muscling its way into significant deals and capturing a great deal of mindshare in these spaces Interactive Intelligence, Inc.

6 Conclusion to Frost and Sullivan s Study Interactive Intelligence was the only company to grow in all the sub-segments that make up the Contact Center Systems Market. The company s strength is due to its; 1. Strong product portfolio 2. Steady improvements it makes to its portfolio 3. Tight integrations among its applications 4. And the fact that it gives its customers strong TCO and ROI arguments for purchasing its solutions Interactive Intelligence, Inc.

7 Customer Interaction Center Innovation in IP-based Customer Contact Automation

8 History of Innovation Interactive Intelligence, Inc.

9 Functionalities Provided by CIC PBX and/or IP PBX ACD CTI IVR Automated attendant Software phone Voic services Fax server Fax-back applications Web collaboration Web chat Web callback Unified messaging Speech recognition Interaction history Recording management Screen recording Quality monitoring Interaction reporting Interaction Monitor Work Force Management Predictive, Power & Preview Dialing Business Process Automation Interactive Intelligence, Inc.

10 Customer Interaction Center : The Platform Competitive Solutions PBX ACD IVR VM Dialer Call Recorder WFM Fax Interactive Intelligence Single Vendor No Integration Issues and Costs Single Point of Administration Faster Deployment Add Functionality as Needed ACD IVR Routing Quality Monitoring Predictive Dialing Fax Web Speech Reco Screen Pop Analytics Administration Interaction Center Platform Interactive Intelligence, Inc.

11 Markets Served

12 Global Customers 5,000+ organizations in virtually every industry Customer installations in 90+ countries Products offered in all major European and Asian languages Interactive Intelligence, Inc.

13 What makes Interactive Intelligence s Cloud Communications Unique and Appealing

14 Cloud growth outpacing premise Gartner forecasted 2010 revenue growth for SaaS Contact Center in North America to be 23.3%, compared to 17.4% for Total Contact Center Infrastructure Gartner 1 Interactive Intelligence s CaaS revenue grew by 74% in 2010, compared to 27% for the company as a whole 1 Sources: Gartner reports Forecast: Contact Center as a Service Market, North America, " and "Forecast: Contact Centers, Worldwide , 4Q10" Interactive Intelligence, Inc.

15 Large, mission critical contact centers "The user community is increasingly receptive to SaaS- CC offerings, as evidenced by an uptake in larger, 500- plus-agent installations from Fortune 1000-like organizations. Gartner 1 By 2012, the hosted contact center model would have significantly penetrated the high-end of the market in North America Frost and Sullivan 2 1 Source: Gartner report Forecast: Contact Center as a Service Market, North America, Source: Frost and Sullivan report 2011 Planning Considerations - Hosted Contact Centers 12/31/ Interactive Intelligence, Inc.

16 Full-suite solutions "While IVR, multi-media and workforce management show strong growth in usage in 2010, the market trend fundamentally indicates a shift in customer demand from stand-alone hosted applications to full-suite hosted applications. Frost and Sullivan 1 1 Source: Frost and Sullivan report "2011 Planning Considerations - Hosted Contact Centers 12/31/2010" Interactive Intelligence, Inc.

17 Customers look to premise vendors An established software company that begins offering cloud-based solutions is the most preferred provider type for cloud-based business communication applications IDG Research 2 1 Source: Frost and Sullivan report "2011 Planning Considerations - Hosted Contact Centers 12/31/ Source: IDG Research study Cloud-Based Business Communication Applications - CIO Market Pulse Survey 7/31/ Interactive Intelligence, Inc.

18 In summary A significant, rapidly growing opportunity Not just for the small fry Move from point to suite solutions Desire for premise vendors to step up Some negative sentiment lingering which plays right into our sweet spot Interactive Intelligence, Inc.

19 Change the game By taking advantage of a unique window of opportunity

20 A truly unique value proposition CLOUD PREMISE Interactive Intelligence is the ONLY company offering customers the flexibility to choose either model cloud or premise and later seamlessly migrate to the other in a realistic, cost effective fashion Interactive Intelligence, Inc.

21 Global Data Centers United Kingdom Indiana New Jersey Germany Japan Australia Interactive Intelligence, Inc.

22 Cloud-to-premise example Healthcare benefit management company Preference for premise model Standard IT approach Saw benefit of cloud for short term play Quickly turn up new center: 100 agents Set table for migrating other centers After meeting immediate need Migrated cloud-based system to premise Began supporting internally Rapidly turned up second site: users Mostly contact center, some business Interactive Intelligence, Inc.

23 Premise-to-cloud example Long-time financial services customer Need to downsize operation Strategy to outsource where possible Moved existing contact center platform to cloud to have us manage it for them Interactive Intelligence, Inc.

24 CaaS customers Interactive s CaaS Offering Powering Enterprise Communications Interactive Intelligence, Inc.

25 CaaS Customers Interactive Intelligence, Inc.

26 CaaS Customers Interactive Intelligence, Inc.

27 Change the discussion By leading with the cloud

28 Contact centers and the cloud Private Cloud Public Cloud Interactive Intelligence, Inc.

29 Evolving business drivers Tactical Strategic Do more with less Shrinking capital budgets Streamlined resources The financials OpEx versus CapEx Less up front capital Focus on core business Further differentiate Pressing forward Responsiveness and agility Smart spending Pay as you use Interactive Intelligence, Inc.

30 Increased contact center adoption Critical requirements addressed Security Keep our application separate Keep sensitive information local The majority of respondents feel that a perceived lack of security (66 percent), concerns about application reliability (52 percent) and having a lack of control over the applications (51 percent) are among the top barriers or challenges for their companies when considering moving business communication applications to the cloud 1 Predictability I want a proven platform I want uncompromised voice quality I want a financially stable partner I want a contract with teeth Choice and Flexibility Let me choose a solution, then deployment model Let me have options for how I deploy in the cloud Don t lock me into a certain deployment model! 1 Source: IDG Research study Cloud-Based Business Communication Applications - CIO Market Pulse Survey 7/31/ Interactive Intelligence, Inc.

31 Architectural considerations Technology drivers accelerating cloud deployments

32 Application architecture: multi-point Interactive Intelligence, Inc.

33 Application architecture: all-in-one Interactive Intelligence, Inc.

34 Use of dedicated virtual machines Simple to maintain Superior security Easy to migrate to alternative model Interactive Intelligence, Inc.

35 Centralized cloud deployment RTP SIP Messaging Other Data LAN Proxy/Media Server MPLS LAN Interactive Intelligence, Inc.

36 Centralized cloud deployment leveraging legacy platforms RTP SIP Messaging Other Data LAN Proxy/Media Server LAN Interactive Intelligence, Inc.

37 Hybrid cloud deployment RTP SIP Messaging Other Data MPLS LAN Proxy/Media Server Interactive Intelligence, Inc.

38 Why Interactive and the cloud? Broad set of applications and experience More than a decade delivering advanced contact centers Over 4,000 customers Proven, common architecture across both private and public cloud environments addressing critical requirements around security, predictability and flexibility Unique all-in-one architecture Dedicated virtual machine approach Flexible deployment options Including a unique hybrid option Only to provide easy, cost effective migration between cloud environments, should business needs change Interactive Intelligence, Inc.

39 Questions and Answers!

40 Thank you!

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