2007 Microsoft Office Demo and Opportunities

Presented by:Rita Alexandrou

• 169M Consumer and SMB PCs forecasted to ship in 2007• 10% year-over-year growth of Consumer and Small

Business PCs • Untapped opportunity to sell more Microsoft Office on a

new PCBreakthrough

ProductsNew

OfferingsCombined

Launch

Driving Demand andexcitement

Enabling Greater Profitability

New PC andinstalled baseopportunity

The 2007 Office release delivers new selling The 2007 Office release delivers new selling opportunitiesopportunities

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Work more efficiently

Manage customer information in one place

Promote your business

Analyze your business information

Create great looking documents

Easily find commands

Work with confidence and security

Manage information

Stay Safer, More secure, and Connected

Introducing Office Home & Student Introducing Office Home & Student 2007 and Office Ultimate 20072007 and Office Ultimate 2007

New second chance revenue opportunity New second chance revenue opportunity with single Microsoft Office business imagewith single Microsoft Office business image

Increase hardware sales with Windows Increase hardware sales with Windows Vista and Microsoft Office capabilitiesVista and Microsoft Office capabilities

Drive growth with new Microsoft Office Drive growth with new Microsoft Office offeringsofferings

4* Office Professional Plus 2007 is only available through Volume Licensing.

Volume Volume LicensesLicenses

2007 Office Segment SKU Plan2007 Office Segment SKU Plan

NEW

NEW

2007 Office OEM SKU Line-Up2007 Office OEM SKU Line-UpOffice Home and Student

Office Basic*

Office Small Business

Office Professional

Office Ultimate

Word 2007

Excel® 2007

PowerPoint® 2007

OneNote® 2007

Outlook® 2007

Outlook® 2007 with Business Contact Manager

Publisher 2007

Access 2007

Groove® 2007

InfoPath® 2007

Communicator 2007**

** Communicator will be available at a later date.

NEWNEW

Driving Demand

Enabling Greater Profitability

New PC andinstalled baseopportunity

Breakthrough Products

New Programs

MarketChanges

Investing In OEMInvesting In OEM

CHALLENGECHALLENGE

• 2006 research shows that 45% of new Small Business PCs are purchased without Microsoft Office*

• Half of those customers install more expensive FPP within 2 weeks

OPPORTUNITYOPPORTUNITY

• Small Businesses are more satisfied with both their PC purchase decision and with their PC reseller when Microsoft Office is pre-installed

• Customers want Windows Vista and 2007 Office preinstalled on a new PC

• Over 50% of Small Businesses who did not purchase Microsoft Office preinstalled would prefer a free 60-day trial of Microsoft Office offered to them.

MICROSOFT OFFICE READY PARTNER BENEFITSMICROSOFT OFFICE READY PARTNER BENEFITS

• Improve your ability to compete with unified licensing and offers  

• Capture missed revenue opportunity with free 60-day 2007 Microsoft Office trial

• Single Business master image creates operational simplicity

Capturing Unmet Demand for Microsoft Office Capturing Unmet Demand for Microsoft Office on a new PCon a new PC

8* Source: Microsoft Research 2006

Step 1 Get the Microsoft Office Preinstallation Kit from your DistiStep 2 Order 2007 Microsoft Office DSP medialess licensesStep 3 Sell the licenses at point of saleStep 4 If no sale, capture after-market revenue by offering ‘Office Ready’ PCs

Post-PC Sale Trial

Reseller

/SBC

OEMPC Sale

DistributorDistributor

How to Sell 2007 Microsoft Office How to Sell 2007 Microsoft Office Here’s how it worksHere’s how it works

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• System Builders must obtain the pre-installation kit separately from the license

• Through the end of March, we will have a promotional price of $0*

• After the promotional period, the price for the kit goes to $250+ COGS

The pre-installation kit is now available. Order today.

* Cost of the Microsoft Office OPK Master Kits will be royalty-free, but will include COGS

Get a Microsoft Office Pre-Installation Get a Microsoft Office Pre-Installation Kit to start selling 2007 Microsoft Kit to start selling 2007 Microsoft Office Office

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Two OPK Master Kits, including the following components:

Microsoft Office Ready OPK Master Kit Office Ready 2007 master image (2 CDs) Office Home and Student 2007 master image OPK Tools CD Getting Started Pre-Installation Flyer

Microsoft Office Ultimate 2007 OPK Master Kit (available Spring 2007) Office Ultimate 2007 master image DVD OPK Tools CD

Please note: The two consumer images, Office Home and Student 2007 and Office Ultimate 2007, do not convert to trial mode.

Pre-installation Kit ComponentsPre-installation Kit Components

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Product PackagingProduct Packaging

For support options for this product, please see http://support.microsoft.com

This package contains a product key that will allow you to activate the full version of one of the following three Office 2007 suites: Professional, Small Business or Basic, that has been pre-installed on your Office Ready PC. Ask a sales representative if your computer has Microsoft Office Ready 2007 preinstalled and can use this product. The key will not activate volume license or other boxed copies of 2007 Microsoft Office suites. This product does not contain any discs that can be used to install software on a PC.

Important:You must accept the terms for this license before you use the software. To read the license terms, go to www.microsoft.com/usetermsActivation by phone or Internet is required (toll charges may apply). If you do not accept the license terms, you should promptly return this media-less license kit to your place of purchase for a refund or credit before opening.

*License must be purchased within 90 days of PC.

For use only with a new* PC with

Microsoft Office Ready preinstalled.

Certificate of AuthenticityThis label indicates that this packaging contains a genuine Microsoft license. If the label is missing, or appears tampered with visit www.microsoft.com/genuine

Mic

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Pro

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Microsoft CorporationOne Microsoft WayRedmond, WA 98052, USA Copyright notice:  © 2006 Microsoft Corporation.  Trademark notice:  Microsoft is a registered trademark of Microsoft Corporation in the United States and/or other countries.

*If you purchased your PC and this media-less license kit within 90 days of each other, you are eligible for backup recovery discs. You have one year from the purchase of this 2007 Microsoft Office media-less license kit to redeem the backup discs. To acquire backup discs, you will need to pay for shipping and handling costs and provide copies of the dated receipts for the new PC and this license. Costs for shipping and handling may vary by country. See www.microsoft.com/office/backup for details.

Recovery discs are available but not included in this package.*

Recovery discs are available but not included in this

package

NO MEDIA

Recoverymedia

available

Office Ready

PCs Only

To activate your copy of Microsoft Office Professional 2007, please use the product key located on the certificate of authenticity below

To acquire backup discs, follow instructions on http://www.microsoft.com/office/backup

Product Key

Place your separately acquired backup discs here

DO NOT DISCARD THIS CASE!The Certificate of Authenticity contains the product key needed to activate your preinstalled copy of Microsoft Office Professional 2007

• Customers can go to http://www.microsoft.com/office/backup to receive their recovery media directly from Microsoft

• Beginning in the Spring, customers will be able to download a copy of their media from microsoft.com

• Customers can use the Windows Vista Business backup feature to create a system backup

• Local OEM can reinstall Microsoft Office onto the machine with the pre-installation kit

Recovery MediaRecovery Media

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How customers redeem backup mediaHow customers redeem backup media

First Name Last Name

Address

City, State ZIP

(Please select your country) v

PC Purchase Date (from receipt)

Microsoft Office Purchase Date (from receipt)

Product Key XXXXX-XXXXX-33333-44444-55555

1)We check to see if the Product Key is valid and has not been used

2)The PC Purchase Date and Office Purchase date are within 90 days

If Both are OK, the user gets the next page, otherwise, a rejection page

At “NEXT,” we do all the checking and validation

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What’s on the Pricelist?What’s on the Pricelist?Microsoft Office OPK Master Kit• Microsoft Office Ready OPK Master Kit• Microsoft Office 2007 Ultimate OPK Master Kit

2007 Office Medialess License Kit• Microsoft Office 2007 Basic*• Microsoft Office 2007 Small Business*• Microsoft Office 2007 Professional*• Microsoft Office 2007 Home & Student• Microsoft Office 2007 Ultimate

Microsoft Office 2003 (with media)• Microsoft Office 2003 Basic• Microsoft Office 2003 Small Business• Microsoft Office 2003 Professional

*Expect top 2-3 OEMs to have branded media-less license kits. These kits will not be technologically tied to the PC.

**2003 BIOS Lock will remain in channel through FY2007. There will be no 2007 Office BIOS Lock product.

• Increase customer satisfaction by pre-installing Microsoft Office

• Improve your ability to compete with unified Microsoft Office licensing and offers

• Recover lost revenue with free

60-day trial

New Partner Opportunities

Key Takeaways: 2007 Microsoft OfficeKey Takeaways: 2007 Microsoft Office

• Maximize Microsoft Office sales opportunity on new business PCs • Give customers an opportunity to try and buy premium 2007

Microsoft Office SKUs• Better alignment between channel offerings

Key Program Details

• License only includes key, no media

• Pre-installation kit required to sell

• One Microsoft Office Ready image for 3 business SKUs

• Microsoft provides support for Microsoft Office

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Driving Demand

Enabling Greater Profitability

New PC andinstalled baseopportunity

Breakthrough Products

New Programs

MarketChanges

Investing In OEMInvesting In OEM

Office Genuine Office Genuine AdvantageAdvantage

OGA makes customers aware of the value and benefits of using genuine Microsoft Office software.

A part of Microsoft’s Genuine Software Initiative, OGA is a program for creating preference for genuine Microsoft Office software.

OGA helps customers more easily validate the authenticity of their Office software.

Pilot to Worldwide RolloutPilot to Worldwide RolloutRollout – End of 2006

Languages:English becomes mandatory

Offers:Link to authorized partners or Microsoft for purchase at regular pricesDiscounted legalization offerComplimentary offer continued

Value Added Genuine Content:

OCTOBERIdentified Download Center content

JANUARYOffice UpdateOffice Online Templates Calendar Print Application for Outlook

Pilot – April, 2006Languages:

SevenEnglish is by opt-in

Offers:Complimentary offerLink to authorized partners or Microsoft for purchase at regular prices

Value Added Genuine Only Content:

Identified Office downloads gated on Download CenterLocal offer via Download Center

The OGA ExperienceThe OGA ExperienceCustomers will experience OGA in the following ways:

Microsoft Genuine Web site (www.microsoft.com/genuine) This site provides information on Microsoft’s

Genuine Advantage program and on OGA. It is also a portal for validating the authenticity of

Office software.

Microsoft Office 2007 suites

These suites require successful OGA validation when the customer tries to

access Office Online templates in Access, Excel, PowerPoint, Publisher, or

Word.

Microsoft Download CenterSpecially identified downloads such as Office Add-ins require successful OGA

validation.

Office UpdateSuccessful OGA validation is necessary to use this quick

and convenient service.

Legalization OptionsLegalization OptionsCustomer choices for obtaining genuine Microsoft Office:

Contact the reseller.OGA provides a report with reason for validation failure and directs customer to reseller to seek redress.

Take advantage of the genuine Office legalization offer directly from Microsoft.

Professional; Small Business; Student & Teacher Edition:

File for a complimentary replacement.Available free of cost to customers who provide high-quality counterfeit media and proof of purchase and who file a counterfeit report.

Purchase preinstalled with new hardware.

Purchase via Microsoft Volume Licensing Program.

Buy the retail finished package product.

Makes it easier to identify and avoid counterfeit copies

Gives them confidence and peace of mind that the software is authentic and properly licensed

Makes it possible to download ongoing enhancements and updates

Gives them access to hundreds of document templates to deliver better results faster

Supports honest partners; makes it easier to competeEnhances your image and reputation as a reputable reseller

Gives them convenient access to updates

Genuine Office Advantage Genuine Office Advantage BenefitsBenefits

Academic Reseller ProgramAcademic Reseller Program

Full details to be released soon: to be implemented with the release of 2007 Microsoft Office System and Vista

Full details to be released soon: to be implemented with the release of 2007 Microsoft Office System and Vista

Five Great Reasons to Sell Five Great Reasons to Sell 2007 Office2007 Office1. Compelling new 2007 Office features and capabilities

help drive Office sales on new PCs

2. Home and Student 2007 helps you compete better with a complete SKU lineup and improved consumer/business differentiation

3. Office Ready delivers better customer experiences out-of-the-box and helps you recapture lost revenue through trial

4. Simplified licensing and inventory management for Office across both branded OEM and whitebox Office Ready PCs

5. 2007 Office system helps you engage with customers to drive new hardware sales through compelling capabilities and solutions

READINESS CENTERS

Windows Vistahttp://oem.microsoft.com/vistareadiness

Small Business Server 2003 R2http://oem.microsoft.com/sbs2003r2

Office 2007 http://oem.microsoft.com/office2007