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Growing With WatchGuard

Joe Wang, WatchGuard CEO. Growing With WatchGuard. Consistent Billings Growth. Net Billings. 2012 UTM/Firewall Product Growth rate = 15% (TTM) Product Growth rate at high end = 17% (TTM). 2008. 2012. 2007. 2009. 2010. 2006. 2011. Market Leadership in Mid-Sized Companies.

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Growing With WatchGuard

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  1. Joe Wang, WatchGuard CEO Growing With WatchGuard

  2. Consistent Billings Growth Net Billings 2012 UTM/Firewall Product Growth rate = 15% (TTM) Product Growth rate at high end = 17% (TTM) 2008 2012 2007 2009 2010 2006 2011

  3. Market Leadership in Mid-Sized Companies Only showing companies > 10% market share 50-500 User Segment ($1,500-$5,000 Price Band) 0% 5% 10% 15% 20% 25% Source: Infonetics, 2011 2012 2011 McAfee 11% 13% SonicWALL 14% 14% Check Point 17% 14% WatchGuard 23% 17% Fortinet 12% 10% Cisco 9% 11%

  4. 2012 Areas of Focus Leads Generated: 2012 Pipeline Trending: 2012 $30.0 $25.0 $20.0 $15.0 $10.0 $5.0 $0.0 120,000 100,000 80,000 60,000 40,000 20,000 0 $26.2 96,350 $21.5 $21.0 $20.9 $20.1 76,467 76,156 16,950 13,771 Q3-2012 Q3-2012 Q4-2012 Q4-2012 Q1-2013 Q1-2013 Q1-2012 Q1-2012 Q2-2012 Q2-2012

  5. Technical Support Update:Targeted Response Time (TRT) Attainment Initially Reported Cases

  6. XTM: WatchGuard’sSecurity Platform Policy-based Management Console Common management console gives policy-driven control of technologies Reputation Enabled Defense Best-in-Class Technologies from leading vendors URL Filtering AntiVirus App Control AntiSPAM IPS VPN … Designed for modularity; easy to add or replace technologies WatchGuard XTM Platform WatchGuard Proxy-based Engine Unparalleled security foundation WatchGuard Firmware / OS Standardized across products Industry Standard Hardware Latest, highest performance platform available

  7. Why Customers Choose WatchGuard Top UTM Performance Best-in-Class Technology Strong Manageability • #1 UTM Performance at all price points • #1 Industry • Leading Modules • #1 Most • Highly Recognized

  8. Best Performance with UTM Suite in Every Price Band AV Throughput (Mbps) vs. 1-year Bundle Price (USD) 10000 9000 8000 7000 6000 5000 2000 1600 800 400 0 XTM 2520 XTM 1520 XTM 870 THROUGHPUT (Mbps) Fortigate 3040B XTM 850 NSA E8500 XTM 535 XTM 545 NSA E5500 XTM 525 Fortigate 300C Fortigate 1000C XTM 515 NSA 3500 Fortigate 600C NSA E5500 Fortigate 100D NSA 2400 Fortigate 200B NSA 250M $0 $1,000 $2,000 $5,000 $7,000 $10,000 $20,000 $30,000 $40,000 $45,000 $50,000 $55,000 $60,000 $65,000 $70,000 PRICE

  9. In-house vs. Best-in-Class Technology Anti Spam URL Filtering APP Control Anti Virus IPS XTM In-house In-house In-house In-house In-house In-house In-house In-house In-house In-house In-house In-house In-house In-house In-house In-house In-house In-house

  10. Best-in-Class Manageability Competitor Value Comparison(Total UTM Market: Global, 2010) Security Performance Ease of Use/ Management Value/Cost Gartner UTM Magic Quadrant: “A balance between ease of use and strong security is consistently cited as a reason why clients choose WatchGuard.” • “More than 95% of firewall breaches are caused by firewall misconfigurations, not firewall flaws.” -Gartner, 2011 Source: Frost & Sullivan Analysis Strong Weak

  11. New Products: Our Best Product Year Ever Extensible Threat Management (XTM) Other Products XTM 5 & 800 Series For mid-sized businessesand distributed enterprises XCS 770, 770R, 970 & 1180 For medium to largeenterprises and ISP’s XTM 1500 Series: For large distributed enterprises SSL / VPN Products For medium to largeenterprises and ISP’s XTM 2500 Series: For large enterprises and corporate data centers XCSv AP100 & AP200 Businesses can harness the power of mobile devices without putting network assets at risk. XTMv VMware & Hyper-V

  12. Claiming the UTM Performance Prize XTM 2520 is the Fastest, Greenest 1U UTM in the universe… All while consuming only 130 Watts! > 35 Gbps Firewall > 15 Gbps IPS > 10 Gbps UTM > 10 Gbps VPN >70,000 conn/sec >2.5M concurrent conn. >12 x 1 G copper >4 x 10 G fiber

  13. Growth in Mid-Sized and Distributed Enterprise EXPLORE RETAIN GROW Leadership position in the 50-500 user segment Into a leadership position in the 500-5,000 user segment 5,000+ user segment opportunistically Wireless Access Points 5 Series Refresh 800, 1500, 2500 Series Intro

  14. Partnering for Success Award winning channel programs 100% Channel focused Attractive promotions and incentives 100% Security focused Excellent UTM market with huge growth potential Competitive products with unique advantages Strong company gaining market share globally

  15. Thanks!

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