The Future Forward Looking Statements Certain statements in this - PDF document

The Future

Forward Looking Statements Certain statements in this presentation concerning our future growth prospects are forward looking statements, which involve a number of risks, and uncertainties that could cause actual results to differ materially from those in such forward looking statements. The risks and uncertainties relating to these statements include, but are not limited to, fluctuations in earnings, our ability to successfully integrate acquisitions, competition in our areas of business, client concentration, liability for damages in our contracts, withdrawal of tax incentives, political instability, unauthorized use of our intellectual property and general economic conditions affecting our industry. Proprietary and Confidential 2

Subex at a glance Understanding the telecom business The Subex value proposition and Market details Engagement & Delivery Financials Proprietary and Confidential 3

Subex today… Industry Leader Financial Strength • Comprehensive BSS product Suite • More than US$ 100 M in Revenue • Market Leader in Business Optimization for four • EBITDA higher than most other BSS vendors consecutive years, Analysys Mason • World’s No.1 provider of Fraud Management & Revenue Assurance solutions Global Presence Strong Subexian Base • Development centers in India, US and UK • Global workforce, with local presence at all locations • Over 200 customers and 300+ installations in over 70 • Over 1,100 Subexians working together to deliver countries market leading software products • Customers include 26 of world’s top 50 service providers* and 16 of top 20 # wireless operators worldwide *Forbes 2010 # RCR Wireless 2010 Proprietary and Confidential 4

Subex - Global footprint Ipswich, UK Denver, US London, UK Dubai, UAE Bangalore, India Singapore Sydney, Australia Proprietary and Confidential 5

Subex at a glance Understanding the telecom business The Subex value proposition and Market details Engagement & Delivery Financials Proprietary and Confidential 6

What We Are Seeing in the Market… Proprietary and Confidential 7

What do operators need to do? Move towards Business Optimization  Improve their responsiveness  Need to respond in days, not weeks or months  Focus on customers  Really “know” the customer  Improve all aspects of customer experience  Understand and leverage churn  Sweat their assets  Know their network and services better  Identify and remove process bottlenecks CSPs know they need to  Leverage their biggest asset – data do all this Proprietary and Confidential 8

Subex at a glance Understanding the telecom business The Subex value proposition and Market details Engagement & Delivery Financials Financials Proprietary and Confidential 9

The need to plug the Business Optimization gap…  BSS environment consists of thousands of systems; from Excel to large legacy mainframe systems to 3 rd parties  Hundreds of complex processes span those systems & people  Significant data inconsistencies and process gaps exist  “Are they working as intended?” How do we know? Business Optimization is about monitoring those processes and systems, ensuring they are working as intended, correcting when not and ultimately optimizing them Proprietary and Confidential 10

Subex Value Proposition – Business Optimization Revenue Assurance Fraud Management Credit Risk Management Protected Collect all revenues Prevent losses (Fraud Proactive risk reduction Revenues and defaulted payments) + Partner Settlement / Route Data Integrity Cost Management Optimization Management Managed Reduce unnecessary Manage inter-carrier and Reduce/defer CapEx Costs expenditure partner expenses Asset discovery & reconciliation + ROC TM Assured End-to-end operational visibility; Operations Timely and credible analysis; Improved, optimized business processes Business Optimization Subex is the Market Leader in the Business Optimization space for 4 consecutive years Proprietary and Confidential 11

Subex ROC Portfolio BUSINESS OPTIMIZATION SOLUTIONS ASSURED OPERATIONS Customer Experience Product Performance Margin Driven Management Management Management PROTECTED REVENUES MANAGED COSTS ROC Partner Settlement ROC Revenue Assurance ROC Route Optimization ROC Fraud Management ROC Cost Management ROC Credit Risk Management ROC Data Integrity Management SaaS MANAGED SERVICES CONSULTING SERVICES (SOFTWARE AS A SERVICE) Proprietary and Confidential 12

ROCware in Action Usage Data Actions Financial Data Responses Subscriber Course Data Margin Analysis corrections Customer Experience Analysis Network / Enhancement Inventory Data Product Success Monitoring / Optimization Propensity Analysis Any other data … Proprietary and Confidential 13

Addressable Market Size  Operational Managed Services (outsourcing) growing at 30% CAGR – great opportunity  Revenue Management  Cost Mgmt, Credit Mgmt and Operational Intelligence present growth opportunities  Growth in emerging markets (APAC, CALA) expected to be higher than NA and EMEA  CAGR : 12 %  Subex Market Share: 5.56%  Software as a Service/ Service Bureau gaining traction Private & Confidential 15

Data Integrity Management  So far addressed by inventory players  Challenges with multiple inventory and migration issues has brought DIM into limelight  Potential for large MS deals  RA extension to cover network related aspects  DIM projects have delivered very  CAGR : 9% high ROIs  Subex Market Share: 7%  Major Players: Oracle, Ericsson, Clarity Private & Confidential 16

Partner Settlement  NA  Most CSPs handle IC & partner settlement in-house  CSPs will spend money in content settlements, creating opportunities for ISVs  CALA  Growing at 7% CAGR  Heavily focused on mobile settlements  Currently use ad-hoc, in-house IC systems, turning to commercial  CAGR : 5 % solutions now  Subex Market Share: 2.3%  EMEA, APAC  Major Players: Intec, Amdocs, Huawei,  Developed areas starting to spend on Ericsson, Convergys, Telarix content partner settlement  More roaming settlement costs than Americas  Growth will be driven by mobile Private & Confidential 17

Revenue Management  Revenue Management consists of Fraud Mgmt, RA, Cost Mgmt, Credit Mgmt & Operational BI  Subex leader in this space for the last 4 years  Growth driven by mobile subscriber growth  APAC growing at 13% CAGR.  CAGR : 5.5%  Subex Market Share: 10.6%  Major Players: HP, cVidya, WeDo Private & Confidential 18

Subex at a glance Understanding the telecom business The Subex value proposition and Market details Engagement & Delivery Financials Proprietary and Confidential 19

Engagement & Delivery model Proprietary and Confidential 20

Subex Managed Services Center of Excellence Proprietary and Confidential 21

Subex Managed Services Credentials Domain Expertise Continuous Improvement Operations Experience •Given product development •Incremental efficiency during •Over 50 Managed legacy the period of engagement •Industry leaders in Business •Function optimization, Services programs Optimization and Service technology refresh, • 24 customers Activation solutions organizational redesign around the world •More than 20 billion People CDRs processed •Experience over number of domains and technologies monthly •Excellent understanding of •With applications running on business processes •Rigorous technical, business more than 100 process, cultural and soft skills servers training Cost Advantage Engagement Flexibility Private Online Community •Optimum mix of on-shore and •B-E-S-T Framework (Build- of-shore resources Enhance-Support-Transform) •Well negotiated infrastructure and hosting agreements and streamlined processes https://www.subexlive.com Proprietary and Confidential 22

A Decade of Industry Recognition Analysys Mason Market Leader in Business Global Telecoms Swisscom Best Optimization Tech Fast 50 India 2007 Rocware 2.0 Business Innovation Supplier for Innovation 2007, 2008, 2009 & 2010 Tech Fast 500 APAC 2006 Award, 2011 Award, 2010 World Billing Awards, 2005: Sun Microsystems Best ISV Best Revenue Assurance Partner Of The Year, 2007 Project at KPN Verizon Best Supplier Award, AT&T Outstanding Supplier 2007 Award, 2007 SBC Supplier Recognition Award, Customer Service, 8 Most Innovative Indian Most Promising Best Customer Success 2003 Story, 2004 Companies, 2005 Company, 2005 OSS World Best Customer Service Award, 2001 Best New Product and TMF Operational Operational Excellence Excellence Award, 2003 Best Provisioning System Awards, 2003 Proprietary and Confidential 23

Global customer snapshot Representative list only- Not comprehensive Americas EMEA APAC Proprietary and Confidential 24

Worldwide partners & alliances Proprietary and Confidential 25

Subex at a glance Understanding the telecom business The Subex value proposition and Market details Engagement & Delivery Financials Proprietary and Confidential 26