Blue jeans customer deck final

Video Conferencing’s Silver Lining June 2012

Video Conferencing Has Evolved…

1964 AT&T

Picturephone

1982 CLI Room system

$250K+

1987

PictureTel hits market

Room System $80,000

1998 Polycom debuts

“appliance based” video systems

$12,000

2001 Tandberg 1000

Integrated system $7500

2005

LifeSize First HD video

$12,000

2006 Cisco

Telepresence

2011

Mobile video

ISDN/H.320 IP/H.323/SIP

…yet It’s Not Ubiquitous.

Complex Incompatible Expensive

1)  Meetings happen mostly over audio

2) Video mostly used intra-company

3) B2B video needs“switchboard” assistance

Please don’t ask about Skype….

In 2010 there were: ~80 Billion audio conferencing minutes used ~200 Million video conferencing minutes used

--Wainhouse Research

What video system will they

be using?

Business Video Still in Switchboard Era

We will need to do a test call tomorrow.

The Time is Right for Pervasive Video

•  Facebook Video Calling •  Google Hangouts

•  Video savvy workforce •  Consumerization of IT •  Video chat culture

•  Increasingly difficult •  Expensive •  Not effective use of time

“49 million tablets in the enterprise by 2015… video collaboration has become a key customer requirement.”

-- Frost & Sullivan

§  Founded in December of 2009 §  Founders questioned why video conferencing has not become pervasive

§  Industry “outsiders”-- bringing a fresh perspective to what was needed

“You can’t solve a problem with the same thinking that created it”

--Albert Einstein

§  Backed by Top Venture Firms with Proven Success §  Accel Partners

§  New Enterprise Associates (NEA)

§  Norwest Venture Partners

The Blue Jeans Opportunity

The World’s Most Powerful MCU…in the Cloud

Transcoding HD 720p30

Software based

Multi-party Distributed architecture

Redundancy

Subscription based Operating expense

B2B / B2C Multi-device

Multi-protocol

Easy

Open

Flexible

Effective

Scalable

Affordable

Interoperable

Quality

2000s Intranet Computing

Today Cloud Collaboration

Lotus Notes, Novell GroupWise SharePoint, File Sharing

1980’s Work Group Computing

The Cloud is Here!

“Video Infrastructure as a Service dramatically reduces the cost of supporting multi-party conferencing. It will become a prerequisite for the support of pervasive video in the enterprise…”

--Scott Morrison, Managing Vice President, Gartner, Inc.

Immediate Deployment

No Hardware Infrastructure

No Ongoing Maintenance Fees

User Managed

Scale Up / Scale Down

Productivity Anywhere

Redundant

Operating Expense

Cloud Services = 46% Lower TCO1 On Premises Infrastructure = Hidden Costs

Hardware Consultants

Infrastructure

Dedicated Staff Upgrades

Licenses

1Source: Yankee Group: Hosted vs. Premise based Sales Solutions: TCO and Trade Offs

The Silver Lining

A Picture is Worth a Thousand Words 15 port HD MCU:   $175,000

Installation:   $ 10,000

Annual maintenance:   $ 25,000

Annual power/cooling:   $ 5,000

Executive desktop systems:   $ 24,000

Desktop clients/server:   $ 21,000

Room systems:   $ 30,000

Enabling one 15-way video call:   $290,000

                                                                                           VS.  

1 Unlimited Blue Jeans Account (25 participants)  

$ 599/mo.

PRICELESS

“When Microsoft bought Skype last year, the idea of Skype everywhere

including the corporate offices became a reality.” -- GigaOm

Conference Rooms H.323 video systems

Everyone else Telecommuters, Remote Workers, Travellers, Partners, Consumers

The Killer App: Interoperability

Blue Jeans Welcomes a New Member to the Family…

In addition to having the industry’s broadest range of interoperability across devices/platforms Blue Jeans now supports the web browser! •  Internet Explorer •  Chrome •  Safari •  Firefox

Ryan Goodenough Director of Communications at NYSARC, Inc.

Blue Jeans' new browser access option is exactly what we've been waiting for! It makes joining a video meeting painless for participants and requires less support from IT to make it work. Great job Blue Jeans!” “  

Benefits of The Client-Less Option

ü  Invited participants always have an easy (and fast) option to connect to a Blue Jeans meeting from their desktop/laptop

ü Works w/ all major browsers (Safari, IE, Chrome, Firefox)

ü Works w/ corporate Firewalls “as-is” (no special ports to open = no IT involvement)

ü Tight integration w/ Blue Jeans web app (tighter in the future)

ü Better, more consistent quality / performance w/ Blue Jeans

ü One throat to choke (can’t blame issues on third party client)

1 2 3

Pick a plan Schedule your

meeting Click to join Meet with anyone

Minutes

Unlimited

Ports

H.323, Skype, Google, Lync, Laptops, Tablets, Smart Phones

Blue Jeans as Easy as 1-2-3

Participant Interface

•  Participant list •  Mute audio/video •  Drop participant(s) •  Change layouts •  Lock meeting •  Screen sharing

Group Admin Interface

•  User management -- (add, remove, edit) •  Security settings •  Meeting use/reporting

Feature Rich Care-Free Video Conferencing

§  Supports the widest range of devices

§  Business class video systems (H.323) to Web browser, Skype, Google, Lync, Cisco TelePresence…

§  It just works  

Why Customers Choose Blue Jeans

§  No expensive

hardware required

§  Buy for needs, not maximum capacity

§  Self-serve, reservationless meetings

§  Pay for what you use

Desktop/Mobile Strategy

§  Instant desktop and

mobile support included

§  BYOD (bring your own device)

§  Join meetings from where you are

Interoperability Multi-party (MCU) Desktop/Mobile

Entrepreneurial Company of the Year Award 2012

15 Networking and Data Center Upstarts To Look at Right Now

What People Are Saying About Us…

“The beauty of Blue Jeans is that there’s no new infrastructure to buy or software to download”

“With all of these new capabilities, Blue Jeans is raising the bar in video conferencing services”

-­‐Company  Enterprise

Mid-Market

Business

Company Confidential

Financial Education

Serving Customers of All Sizes and Industries

www.bluejeans.com

Visit Blue Jeans @ Twitter Facebook LinkedIn G+

Appendix

Growing Footprint

BJN meetings have connected participants from >2,000 cities in >150 countries….

New Architecture Enables Scalability

Theirs

Key Enabler: Multi core x86 processors

Ours

“Rack and Stack” Scalable (clustering) Fixed Configurations

Flexible Development Platform Proprietary Hardware and OS

Rapid Price/Performance Growth (Moore’s Law) Slow Price/Performance Growth

Low Cost Expensive

Complicated DSP / FPGA Standard CPU