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SAFE HARBOR STATEMENT The following information and presentation may contain statements that are or may be deemed to be forward-looking statements and involve factors, risks, and uncertainties that may cause actual results in future periods to differ materially from such statements. These factors, risks, and uncertainties include market acceptance and availability of new video communications services; the non-exclusive and terminable-at-will nature of sales agreements; rapid technological change affecting demand for our services; competition from other video communication service providers; and the availability of sufficient financial resources to enable us to expand our operations, as well as other risks detailed from time to time in our filings with the Securities and Exchange Commission. We make no representation or warranty that the information contained herein is complete and accurate; we have no duty to correct or update any information .
company overview ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Leading Provider of Cloud Managed Video Services HQ: Murray Hill, NJ Employees: 100 Stock Symbol: GLOW LQA revenue: $28 mm LQA Adj EBITDA: $3.2 mm Shares outstanding: 25 mm
accelerating growth in  enterprise video & telepresence Mobility and Desktop Video driving next phase of proliferation “ Video softclient users are expected to increase from 9.3 million users in 2010 to over 130 million users in 2015, a 70% 5-yr CAGR” 1 (1) Gartner: Market Trends – Videoconferencing, April 2011 Availability of Cloud Services Addressable Market  [Source: Gartner, Market Trends: Videoconferencing, Worldwide, 2011] Cost benefits Travel budgets ✓ Improved Technology /  User Experience ✓ Improved Productivity ✓ Personal Security and health ✓ $M CAGR 38%
ENTERPRISE VIDEO & TELEPRESENCE PERSONAL / CONSUMER glowpoint’s OpenVideo™ cloud Unique  portfolio  of intellectual property Glowpoint ,[object Object],[object Object],[object Object],FaceTime +160M Subscribers +330M Subscribers +500M Subscribers Hangouts +113M Subscribers Cisco TelePresence Exchange Public Rooms Enterprise Other Carriers Other Carriers Ethernet Exchange Public Rooms OPEN VIDEO™ Enterprise & SMBs Direct  Over 400 Carriers Globally BroadCloud Service
[object Object],[object Object],[object Object],[object Object],[object Object],go to market strategy 11/29/11 Over 80% of new sales through global strategic partners Key strategic partnerships drive strong GTM strategy
blue chip customer base provides key validation of solutions Global expansion VNOC &  Demo Network Portfolio management Acquisition integration Inter-BU  collaboration Private and Public cloud  Remote sites  and offshore rigs Global classroom Servicing Over 500 Customers Globally, in 38 Countries Enthusiastic customer base that proactively advocates Glowpoint! Live sports  analysts interviews Telepresence  scaled globally
revenue growth driven by managed services demand Managed Service Revenues ,[object Object],[object Object],[object Object],[object Object],45% 2 Year CAGR = 53% Current management team in place Q410
operating leverage EBITDA margin target 20% ,[object Object],[object Object],[object Object],[object Object],*Adjusted EBITDA excludes stock based compensation and certain one time charges such as severance Linear (Adj EBITDA Margins)
key operating metrics 2011 TTM = 2Q10-1Q11 GROWTH IN MANAGED SERVICES = GREATER CONSUMPTION OF SERVICES AND ATTACH RATES  Managed rooms and devices + Certified systems on cloud infrastructure =  MANAGED SERVICE REVENUE GROWTH Service stickiness and contract retention validated by average contract life greater than 2 years Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Y/Y % Managed rooms 498 739 807 919 1,099 120.7% Conferences (ttm) 67,730 92,584 100,909 108,114 113,550 67.7% Certified systems on cloud 34,355 36,120 37,563 39,030 42,438 23.5% 56% 44% 80% 71% 62% 20% 29% 38%
income statement summary ,[object Object],[object Object],[object Object]
balance sheet and capital structure stock price 6 month history ,[object Object],[object Object]
experienced management Name Position Years of experience Previous Companies Joseph Laezza President and Chief Executive Officer 18 John R. McGovern Executive Vice President and Chief Financial Officer 25 Anil Balani Senior Vice President, Product and Strategy 16 Thomas P. Schroeder Senior Vice President, Operations 13 Stephen K. Vobbe Senior Vice President, Sales and Marketing 17 Michael Hubner General Counsel and  Corporate Secretary 15 Tolga Sakman Vice President, Corporate  Development and Strategy 14
compelling growth strategy  Revenue Growth Market Expansion Pursue Strategic Acquisitions Leverage Indirect Sales Channels Broaden Managed Services Offerings Expand Geographic Presence  Deepen and Grow Customer Base
investment highlights Rapidly Growing Market Opportunity Leading Provider of Cloud Video Services Strong First Mover Advantage & Network Effect Robust Commercial Momentum and Product Pipeline   Strong Financial Momentum and Superior Business Model ,[object Object],[object Object],[object Object],[object Object],[object Object]
THANK YOU! ,[object Object],[object Object]

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Telepresence cloud managed video services presentation Glowpoint -glow

  • 1.  
  • 2. SAFE HARBOR STATEMENT The following information and presentation may contain statements that are or may be deemed to be forward-looking statements and involve factors, risks, and uncertainties that may cause actual results in future periods to differ materially from such statements. These factors, risks, and uncertainties include market acceptance and availability of new video communications services; the non-exclusive and terminable-at-will nature of sales agreements; rapid technological change affecting demand for our services; competition from other video communication service providers; and the availability of sufficient financial resources to enable us to expand our operations, as well as other risks detailed from time to time in our filings with the Securities and Exchange Commission. We make no representation or warranty that the information contained herein is complete and accurate; we have no duty to correct or update any information .
  • 3.
  • 4. accelerating growth in enterprise video & telepresence Mobility and Desktop Video driving next phase of proliferation “ Video softclient users are expected to increase from 9.3 million users in 2010 to over 130 million users in 2015, a 70% 5-yr CAGR” 1 (1) Gartner: Market Trends – Videoconferencing, April 2011 Availability of Cloud Services Addressable Market [Source: Gartner, Market Trends: Videoconferencing, Worldwide, 2011] Cost benefits Travel budgets ✓ Improved Technology / User Experience ✓ Improved Productivity ✓ Personal Security and health ✓ $M CAGR 38%
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  • 7. blue chip customer base provides key validation of solutions Global expansion VNOC & Demo Network Portfolio management Acquisition integration Inter-BU collaboration Private and Public cloud Remote sites and offshore rigs Global classroom Servicing Over 500 Customers Globally, in 38 Countries Enthusiastic customer base that proactively advocates Glowpoint! Live sports analysts interviews Telepresence scaled globally
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  • 10. key operating metrics 2011 TTM = 2Q10-1Q11 GROWTH IN MANAGED SERVICES = GREATER CONSUMPTION OF SERVICES AND ATTACH RATES Managed rooms and devices + Certified systems on cloud infrastructure = MANAGED SERVICE REVENUE GROWTH Service stickiness and contract retention validated by average contract life greater than 2 years Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Y/Y % Managed rooms 498 739 807 919 1,099 120.7% Conferences (ttm) 67,730 92,584 100,909 108,114 113,550 67.7% Certified systems on cloud 34,355 36,120 37,563 39,030 42,438 23.5% 56% 44% 80% 71% 62% 20% 29% 38%
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  • 13. experienced management Name Position Years of experience Previous Companies Joseph Laezza President and Chief Executive Officer 18 John R. McGovern Executive Vice President and Chief Financial Officer 25 Anil Balani Senior Vice President, Product and Strategy 16 Thomas P. Schroeder Senior Vice President, Operations 13 Stephen K. Vobbe Senior Vice President, Sales and Marketing 17 Michael Hubner General Counsel and Corporate Secretary 15 Tolga Sakman Vice President, Corporate Development and Strategy 14
  • 14. compelling growth strategy Revenue Growth Market Expansion Pursue Strategic Acquisitions Leverage Indirect Sales Channels Broaden Managed Services Offerings Expand Geographic Presence Deepen and Grow Customer Base
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  • 16.