2010/TELMIN/TPD/005 Our Mission & Strategy

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1 2010/TELMIN/TPD/005 Our Mission & Strategy Submitted by: Salesforce.com 8 th Ministerial Meeting on Telecommunications and Information Industry - Three Party Dialogue Okinawa, Japan 29 October, 2010

2 Our Mission and Strategy Eiji Uda, President salesforce.com Co., Ltd. Senior Vice President, salesforce.com, Inc.

3 Safe Harbor Safe harbor statement under the Private Securities Litigation Reform Act of 1995: This presentation may contain forward-looking statements that involve risks, uncertainties, and assumptions. If any such uncertainties materialize or if any of the assumptions proves incorrect, the results of salesforce.com, inc. could differ materially from the results expressed or implied by the forward-looking statements we make. All statements other than statements of historical fact could be deemed forward-looking, including any projections of subscriber growth, earnings, revenues, or other financial items and any statements regarding strategies or plans of management for future operations, statements of belief, any statements concerning new, planned, or upgraded services or technology developments and customer contracts or use of our services. The risks and uncertainties referred to above include but are not limited to risks associated with developing and delivering new functionality for our service, our new business model, our past operating losses, possible fluctuations in our operating results and rate of growth, interruptions or delays in our Web hosting, breach of our security measures, risks associated with possible mergers and acquisitions, the immature market in which we operate, our relatively limited operating history, our ability to expand, retain, and motivate our employees and manage our growth, new releases of our service and successful customer deployment, our limited history reselling non-salesforce.com products, and utilization and selling to larger enterprise customers. Further information on potential factors that could affect the financial results of salesforce.com, inc. is included in our annual report on Form 10-Q for the most recent fiscal quarter ended April 30, This document and others are available on the SEC Filings section of the Investor Information section of our Web site. Any unreleased services or features referenced in this or other press releases or public statements are not currently available and may not be delivered on time or at all. Customers who purchase our services should make the purchase decisions based upon features that are currently available. Salesforce.com, inc. assumes no obligation and does not intend to update these forward-looking statements.

4 What is Cloud Computing? Build / Own Use A flexible, low price, and high quality system from a packaged solution provider is just like you are brought in front of a building with only steel frames and asked by the provider what you like to do with it. On the contrary, in our case, everything including plumbing, electrical wiring, communication wiring, etc. are completed, so we simply ask you what you like to do with the interior. That s our starting point. We accept customizations, too. Installing a faucet, changing the lightings, adding extra wall sockets, just anything. Of course our customer can choose to start living in it from the day one everything is prepared for their use. Next Wave: IT Service Paradigm Shift -- The trigger to be pulled in 2009 (2/2) - ITmedia Enterprise

5 Democratization Large Enterprise Mid Enterprise Small Enterprise

6 IT Service Business IT Service Industry is NOT IT Industry $160 billion Market

7 Customers # is growing ,400+ Customers 170,000+ Custom Apps 17,500+ Web Sites FY201 0 FY201 1

8 Social vs. Mobile July, 2009 # of users - Social media > Dramatic change in web usage No. of Global Users (MM) Social media users users Search Source: Morgan Stanley Internet Mobile Report Dec., 2009 Dramatic change in web connectivity Source: Morgan Stanley Internet Mobile Report Dec.,2009 Japan leads Cloud 2 propagation Smartphone Notebook Desktop Usage (%) E 2010 E 2011 E 2012 E 2013 E Source: Morgan Stanley Internet Mobile Report, Dec., G SNS (mixi) ebusiness

9 The Facebook Imperative : The World Has Changed Amazon.com Facebook Tabs Feeds Pull Push Click Touch Desktop Fixed Location Unknown Windows/Mac Smartphone/Tablet Mobile Location Aware Cocoa/HTML 5

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11 APEC Cloud Computing Infrastructure Maximum Uptime & Performance Carrier neutral network strategy No single points of failure Carrier level scalability Extensive use of high availability server and network technologies Trusted Security World-class security specs SAS 70 Type II and SysTrust Certified ISO Certified Secure point-to-point data replication Secure custody of customer data and backups U.S. West Coast Data Center U.S. East Coast Data Center Singapore Data Center Tokyo Data Center

12 Japan Post Saves $10M with Force.com Custom apps: Accident claims, customer profiles, operations auditing, and many more Banking, insurance, and postal services to 100M+ customers 155M records managed 100,000 users $10M savings over traditional platforms 75% Less Dev Time ½ the Cost 91% Fewer Bugs

13 Eco-Points Program Force.com Sites application for 15M applicants was released in 3 weeks Directs eco-ready product buyers to Eco point application point exchange - over 45,000 items 750 suppliers - order management app over 150 agencies donation app Average over 20B yen billing a month to government 40M PV / month

14 Enabler for Economy and Society Improving SMB Productivity Tsuruga, a leading screw provider in Osaka, has won two awards for SMB IT management: SMB IT Management Award & Top 100 Companies Utilizing IT in Western Japan Award Resolving Regional Disparity Bridge International: Utilizing a network development environment to realize maximum benefits (employment, subsidies, etc.) by locating the software development center in local city(matsuyama). Expanding Employment Opportunity Employment opportunities for housewives, retired employees, handicapped persons as well as working at home (remote offices can be supported trial project is launched in Hokkaido) Remote working environment (system setups) for housewives/retired employees with system engineering skill Reducing CO 2 Emission Serving 40,000 organization worldwide through a hundred servers Providing backup/disaster recovery system for free

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