Polycom Announces New Strategic Relationship with Microsoft for End-to-End Unified Communications

Polycom, Inc. (Nasdaq: PLCM) has signed a multi-year, strategic global agreement with Microsoft Corp. (Nasdaq: MSFT) to deliver integrated end-to-end unified communications (UC) and to improve customers\' business productivity. Under the agreement, Polycom plans to develop and market standards-based UC solutions - encompassing software, hardware, networking and services - that span the enterprise, small-to-medium business, and government markets; and will enable customers to improve business productivity and reduce travel, telecom and IT operating costs.

Polycom and Microsoft share a vision for business productivity solutions built on standards-based platforms that work with the tools and applications people know and use today. The companies\' strategic agreement is a major step towards streamlining communications across messaging, video and voice with connected applications and devices.

\"Microsoft and Polycom solutions play a critical role within our current and future unified communications strategy,\" said Martin Smale, IT director at NDS, a News Corp. company. \"We\'re already benefitting from improved collaboration, increased productivity, and significant ROI based on our existing UC network, and we\'re looking forward to leveraging the expanded offerings from two of our most valued vendors in the UC space.\"

\"Our research shows that nearly 70 per cent of the companies considering a unified communications solution are thinking of deploying Microsoft Office Communications Server,\" said Brent Kelly, senior analyst and partner at Wainhouse Research. \"These enterprises need seamless integration and interoperability between Office Communicator on the desktop and personal, group, and telepresence video solutions like those offered by Polycom for executive offices, meeting suites, and conference rooms. By working together, Microsoft and Polycom are making it easier for organisations to have a true end-to-end unified communications environment, which includes high definition video.\"

Offering a broad portfolio of integrated solutions spanning voice, video and application integration for Microsoft UC, this agreement makes Polycom a member of Microsoft\'s key strategic global alliance for the company\'s UC business. As part of this long-term strategic agreement, each company is investing in product development, sales, and marketing. Through resources, investments, and strong field engagement, Polycom and Microsoft will deliver rich, compelling UC solutions, offering customers the flexibility to deploy the features that help them lower their costs, improve productivity and meet their unique business needs.

\"Microsoft and Polycom are committed to a roadmap that will deliver interoperable UC solutions with choice and innovation in video conferencing and customer devices that will help transform enterprise communications,\" said Gurdeep Singh Pall, corporate vice president of Unified Communication at Microsoft. \"By integrating video, voice, instant messaging and conferencing solutions, Microsoft and Polycom give customers the ability to be present, anytime, anywhere.\"

\"Polycom and Microsoft deliver a winning combination to our customers around the globe by delivering seamless, easy-to-use, high-definition communications at the click of a mouse,\" said Andrew Miller, Polycom president and CEO. \"Polycom is 100 per cent committed to delivering best-in-breed, standards-based, fully interoperable UC solutions to market, and Microsoft is integral in helping us achieve this goal and meet the needs of our customers.\"

Polycom has once again been recognised as the dominant vendor in the fast-growing Asia Pacific video conferencing endpoints market, as well as the video conferencing infrastructure market. Frost & Sullivan\'s recently released research study, entitled \'Asia Pacific Video Conferencing Endpoints Markets\', has found that Polycom captured a staggering 29.5 per cent market share of Asia Pacific VC endpoint revenues during 2009 - almost double that of its nearest competitor. In addition, Polycom\'s market leading share in video conferencing infrastructure was 24 per cent, according to the research study entitled \'Asia Pacific Video Conferencing Infrastructure Markets\' by Frost & Sullivan.

\"Polycom has demonstrated strong and consistent leadership in the Asia Pacific video conferencing market,\" said Pranabesh Nath, industry manager, collaboration and unified communications, at Frost & Sullivan Asia Pacific. \"Polycom\'s recent broad partnerships with industry giants such as Microsoft and HP bode very well for its status as the only remaining independent video conferencing vendor.\"

Product Development

The roadmap entails Polycom developing a broad base of solutions for Microsoft Communications Server \"14\" and beyond, including:

* New and next-generation Polycom CX series endpoints optimised for Microsoft UC, featuring Polycom\'s market-leading HD video and voice technologies
* New, innovative room-based video systems designed specifically for enabling direct integration with Microsoft Communications Server \"14\"
* Additional interoperable solutions between Polycom\'s existing and future video conferencing solutions

Global Polycom / Microsoft UC Go-to-Market Initiatives

* Sales resources and training
* Integrated marketing campaigns
* Collaboration to develop and support channel partners
* Polycom participation in multiple Microsoft Technology Centers around the globe, with active demos already available
* Global governance and cadence around voice and video UC solutions
* Common messaging and industry presence to drive adoption of UC

To learn more about the agreement, watch this video of Gurdeep Singh Pall and Andy Miller discussing the news.

Notes to Editor

About Polycom

Polycom, Inc. (Nasdaq: PLCM) is a global leader in unified communications solutions with industry-leading telepresence, video, voice and infrastructure solutions built on open standards. Polycom powers smarter conversations, transforming lives and businesses worldwide. Please visit www.polycom.asia for more information or connect with Polycom on Twitter, Facebook, and LinkedIn.

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