2011 Global Gigabit Ethernet Test Equipment Customer Value Enhancement Award

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1 2011 South African Data Centre Green Excellence Award in Technology Innovation Cybernest Global Gigabit Ethernet Test Equipment Customer Value Enhancement Award 2011 Frost & Sullivan 1 We Accelerate Growth

2 Customer Value Enhancement Award Gigabit Ethernet Test Equipment Global, 2011 Frost & Sullivan s Global Research Platform Frost & Sullivan is in its 50th year in business with a global research organization of 1,800 analysts and consultants who monitor more than 300 industries and 250,000 companies. The company s research philosophy originates with the CEO s 360-Degree Perspective, which serves as the foundation of its TEAM Research methodology. This unique approach enables us to determine how best-in-class companies worldwide manage growth, innovation and leadership. Based on the findings of this Best Practices research, Frost & Sullivan is proud to present the 2011 Global Customer Value Enhancement Award in Gigabit Ethernet Test Equipment to VeEX Inc. (VeEX). Significance of the Customer Value Enhancement Award Key Industry Challenges Budget constraints due to the economic slowdown have acted as a deterrent to growth in the Ethernet Test Equipment market. In order to address this challenge, companies must offer testing services of higher value in terms of pricing and quality. Moreover, in regions such as Asia, the market has seen price pressure due to the emergence of low-cost products. Therefore, in order to be successful in the market, participants will have to develop products that directly cater to market requirements while creating enhanced value for customers by addressing their unmet needs. Test equipment vendors will also have to ensure that they stay ahead of the competition in terms of introducing new products and ensuring rapid return on investment for customers. Impact of the Customer Value Enhancement Award on Key Stakeholders The Customer Value Enhancement Award is a prestigious recognition of VeEX s accomplishments in the Gigabit Ethernet Test Equipment space. An unbiased, third-party recognition can provide a profound impact in enhancing the brand value and accelerating VeEX s growth. As captured in Chart 1 below, by researching, ranking, and recognizing those who deliver excellence and best practices in their respective endeavors, Frost & Sullivan hopes to inspire, influence, and impact three specific constituencies: Investors Investors and shareholders always welcome unbiased and impartial third-party recognition. Similarly, prospective investors and shareholders are drawn to companies with a well-established reputation for excellence. Unbiased validation is the best and most credible way to showcase an organization worthy of investment Frost & Sullivan 2 We Accelerate Growth

3 Customers Third-party industry recognition has been proven to be the most effective way to assure customers that they are partnering with an organization that is leading in its field. Employees This Award represents the creativity and dedication of VeEX s executive team and employees. Such public recognition can boost morale and inspire your team to continue its best-in-class pursuit of a strong competitive position for VeEX. Chart 1: Best Practices Leverage for Growth Acceleration Best Practice Award Analysis for VeEX The Frost & Sullivan Award for Customer Value Enhancement is presented each year to the company that has demonstrated excellence in implementing strategies that proactively create value for its customers with a focus on improving the return on the investment that customers make in its services or products. This Award recognizes the company's inordinate focus on enhancing the value that its customers receive, beyond simply good customer service, leading to improved customer retention and ultimately customer base expansion. VeEX s Performance in the Gigabit Ethernet Test Equipment Market VeEX is a leading provider of advanced test and monitoring solutions to the global Communications industry. The company has a commendable product portfolio that caters to the evolving testing needs for next-generation networks and equipment. The key strength 2011 Frost & Sullivan 3 We Accelerate Growth

4 of VeEX lies in its ability to develop products that offer high price-performance value to its customers. Additionally, the company s strong focus on customer requirements and its superior customer support services have enabled VeEX to succeed in this highly dynamic and competitive market. Key Performance Drivers for VeEX Factor 1: Strong Product Portfolio VeEX offers a strong product line in the Gigabit Ethernet Test Equipment space, with several products that support 1GigE and 10GigE deployments. The company designs each product to offer optimum test efficiency at a highly affordable price. Such cost-efficient products and solutions have enabled VeEX to position itself in the market as a company that offers maximum price-performance value to its customers. Although the company has several product lines that enable it to cater to a large number of applications, some of the key products largely contributing to VeEX s success include the MX100+, TX130+, CX350, CX380, MX300, and TX300/e. Factor 2: Product Line Enhancements Although VeEX offers a strong and comprehensive product line for the Gigabit Ethernet Test Equipment market, the company continuously strives to enhance its product portfolio to meet constantly changing market requirements. Its recent product introductions include the TX130M+, which was introduced in May With this product, VeEX meets the Ethernet synchronization needs in the Mobile Backhaul market. The TX130M+ is a handheld test tool that validates packet synchronization on mobile backhaul and carrier Ethernet networks. The unit also supports legacy PDH/DSn technologies and can emulate both master and slave clocks. Another noteworthy product introduction of VeEX is the CX150-D3, which the company launched in August The CX150-D3 is the industry s smallest portable and handheld tester that supports 8x4 channel bonding in CATV networks. It incorporates a DOCSIS 3.0/EuroDOCSIS 3.0 modem, which has the capability to support an upstream data rate of up to 120Mbps and a downstream data rate of 400Mbps. Utilizing this advanced test tool, CATV service providers can deploy efficient and fail-safe high-speed internet and other multimedia services. Factor 3: Extensive Customer Base and Geographic Coverage VeEX demonstrates a strong commitment to serving a large section of the Global Gigabit Ethernet market. The company s diversified range of products enables it to cater to a substantial number of applications, such as testing of broadband, CATV networks, Metro Ethernet, and transport networks. Its customer base comprises approximately 80 to 90 percent service providers, followed by network equipment manufacturers (NEMs), and large enterprises across the globe. In the 10GigE space, VeEX has been experiencing explosive 2011 Frost & Sullivan 4 We Accelerate Growth

5 growth in the North American market. VeEX has increased its Ethernet revenues considerably in North America, Europe, and Asia due to the rise in mobile backhaul deployments. Moreover, with new product introductions in the Ethernet synchronization space, VeEX is positioned to capture the global mobile backhaul market, as well. Conclusion VeEX is a provider of test equipment for various applications such as broadband, CATV, and transport network testing. The company stands out in the global Gigabit Ethernet Test Equipment market with its extensive range of products and solutions. The company displays strong skills in identifying emerging customer requirements and introducing suitable products to address them. VeEX s extensive global coverage, combined with its impressive customer base, makes it the worthy recipient of the 2011 Global Customer Value Enhancement Award in Gigabit Ethernet Test Equipment. The CEO 360-Degree Perspective TM - Visionary Platform for Growth Strategies The CEO 360-Degree Perspective model provides a clear illustration of the complex business universe in which CEOs and their management teams live today. It represents the foundation of Frost & Sullivan's global research organization and provides the basis on which companies can gain a visionary and strategic understanding of the market. The CEO 360-Degree Perspective is also a must-have requirement for the identification and analysis of best-practice performance by industry leaders. The CEO 360-Degree Perspective model enables our clients to gain a comprehensive, action-oriented understanding of market evolution and its implications for their companies growth strategies. As illustrated in Chart 5 below, the following six-step process outlines how our researchers and consultants embed the CEO 360-Degree Perspective into their analyses and recommendations Frost & Sullivan 5 We Accelerate Growth

6 Chart 2: CEO's 360-Degree Perspective Model Critical Importance of TEAM Research Frost & Sullivan s TEAM Research methodology represents the analytical rigor of our research process. It offers a 360-Degree view of industry challenges, trends, and issues by integrating all seven of Frost & Sullivan's research methodologies. Our experience has shown over the years that companies too often make important growth decisions based on a narrow understanding of their environment, leading to errors of both omission and commission. Frost & Sullivan contends that successful growth strategies are founded on a thorough understanding of market, technical, economic, financial, customer, best practices, and demographic analyses. In that vein, the letters T, E, A and M reflect our core technical, economic, applied (financial and best practices) and market analyses. The integration of these research disciplines into the TEAM Research methodology provides an evaluation platform for benchmarking industry players and for creating high-potential growth strategies for our clients Frost & Sullivan 6 We Accelerate Growth

7 Chart 3: Benchmarking Performance with TEAM Research About Frost & Sullivan Frost & Sullivan, the Growth Partnership Company, enables clients to accelerate growth and achieve best-in-class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best-practice models to drive the generation, evaluation and implementation of powerful growth strategies. Frost & Sullivan leverages 50 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from more than 40 offices on six continents. To join our Growth Partnership, please visit Frost & Sullivan 7 We Accelerate Growth