Todd Swanson, Senior Vice President
Sales Strategy
Communication Solutions for Tomorrow's Networks Communication Solutions for Tomorrow's Networks
1© 2008 Finisar Corporation
Financial Presentation and Forward Looking Statemen ts
� Forward Looking Statements � This presentation contains forward-looking statements as defined under the Private
Securities Litigation Act of 1995. Except for historical information, the matters discussed in this presentation contain forward-looking statements regarding future trends or events that involve risks and uncertainties. Please be aware that these statements are only predictions and that actual events or results may differ materially. Please refer to the Company’s Form 10-K and other interim reports as filed with the Securities and Exchange Commission for a discussion of those risk factors. The Company assumes no obligation to update the information in this presentation.
� GAAP Reconciliation� References to financial measures in this presentation include references to non-GAAP
financial measures. Finisar provides additional information regarding these non-GAAP financial measures and a complete reconciliation between GAAP and non-GAAP financial information for the periods included in this presentation (including with respect to the Optium fiscal fourth quarter ended August 2, 2008) in the Finisar earnings releases dated September 8, 2008, June 30, 2008 and June 12, 2007 and related materials located in the investor relations section of the company’s web site. Investors should note that (i) the Optium non-GAAP financial measures included in the September 8, 2008 earnings releases are calculated differently than and, therefore, are not necessarily comparable to similarly-titled Finisar non-GAAP financial measures and (ii) for periods following the Finisar-Optium merger, certain historical accounting policies for both companies, including the presentation of non-GAAP financial measures, will be changed in order to achieve consistency.
3© 2008 Finisar Corporation
Agenda
� Products� Customers � Worldwide Team� Market Segments: Drivers, Size, Share and
Growth Opportunities� ROADM Video� Summary
4
OSAOSA WDM passivesWDM passives CML laserCML laser
XFPXFPX2/XENPAKX2/XENPAK
AnalogAnalogWSSWSS ROADM line cardROADM line card
300-pin300-pinSFPSFP
InterleaverInterleaver
GBICGBIC SFP+SFP+
CATVCATV
Finisar Optical Products – Broadest Line in the Indu stry
Active CableActive Cable
4© 2008 Finisar Corporation
5
Industry’s Broadest Product Portfolio
SFP/ SFP+ XFP XAUI
10G Line Side 300-
pin Tunable
40G Client
Side 300-pin
40G Line Side 300-
pin Tunable
100 GHz ROADM
50 GHz ROADM FTTx CATV Passives Parallel
FinisarJDSU
Emcore
Avanex
OpLink
Sumitomo/Excelight
Bookham
Avago
CoAdna
Mintera
OpNext
Active Serial
Cables
5© 2008 Finisar Corporation
© 2008 Finisar Corporation 6
Our Customers
SAN LAN Telecom
SAN and LAN
6
7
Our WW Sales Team
Direct Sales ( 27 total )
Distributors ( 16 total )
Reps ( 17 total )
7© 2008 Finisar Corporation
WW Market Share – Transceivers/Transponders
Opnext 11%
Finisar 24%
Sumitomo 10%
Avago 10%
JDSU 8%
Other 19%
Emcore 5%
Oplink 5%
Source 8%
Source: Lightcounting 2008, Ovum-RHK 2008, SEC filings, internal estimates
Source: Lightcounting 2008, Ovum-RHK 2008, SEC filings, internal estimates
Finisar* 24%Finisar* 24%
CY 2007 revenue by vendor- SONET/SDH, Ethernet, Fibre Channel, WDM, Parallel and FTTx
CY 2007 revenue by vendor- SONET/SDH, Ethernet, Fibre Channel, WDM, Parallel and FTTx
and 36% by volumeand 36% by volume
8© 2008 Finisar Corporation
*Post-merger Finisar*Post-merger Finisar
Total Market Size
� Total Market Size in CY07 = $2.3B, CY11=$3.2B � CAGR (CY07-11) = 9%
Source: Lightcounting, 2008
$-
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
2005 2006 2007 2008 2009 2010 2011
Sal
es ($
M)
Access
ROADMs
Telecom-WDM
Telecom-SONET
SAN (Fibre Channel)
LAN (Ethernet)
9© 2008 Finisar Corporation
Storage Area Networking (SAN)
SAN
LAN
ET
HE
RN
ET
NIC Card
FC SwitchFIB
RE
CH
AN
NE
LE
TH
ER
NE
T
Metro
Server
Ethernet
Switch
Ethernet
Switch
SFP+
X2
XFP XPAK
SFP/SFP+ XFP
Data Center
SFP+
XENPAK
Tape Drive
RAID System
Metro Ethernet Link
(<80 km)
GBIC
SFP/GBICCopper
Intercampus ISL HBA
SFP/SFF
TDM/CWDM/DWDM
10© 2008 Finisar Corporation
SFP/+ SFFSFP/+
0
50
100
150
200
250
300
2005 2006 2007 2008 2009 2010 2011
Sal
es (
$M)
Up to 2 Gbps Up to 4 Gbps Up to 8 Gbps Up to 16 Gbps
SAN – Storage Area Networking (Fibre Channel)
Market Drivers� World-wide storage capacity growth of 63% y/y
driven primarily by video applications� Virtualization (fewer servers, higher data rates, more
connections per server)� Industry transition from 4G to 8G � Drive to 16G in 2011
Source: Lightcounting, 2008
Market Metrics
� Total TAM in ‘07 = ~$216M(including longer-distance metro links)
� CAGR (’07 to ’11) = 7%
11© 2008 Finisar Corporation
Growth Strategies Market Position
SAN – Storage Area Networking (Fibre Channel)
Source: Lightcounting, 2008
� Finisar Market Share� 4G: 55% � 8G: 60%
� Finisar growth > market
� Maintain leadership position in 4G/8G
� Develop next generation 8G transceivers for short and long reach applications
� Be first to market with 16G products early 2010
$-
$50
$100
$150
$200
$250
$300
2005 2006 2007 2008 2009 2010 2011
Sales
($M)
Addressed
12© 2008 Finisar Corporation
Local Area Networking (LAN)
SAN
LAN
ET
HE
RN
ET
NIC Card
FC SwitchFIB
RE
CH
AN
NE
LE
TH
ER
NE
T
Metro
Server
Ethernet
Switch
Ethernet
Switch
SFP+
X2
XFP XPAK
SFP/SFP+ XFP
SFP/+
Data Center
XENPAK
Tape
Drive
RAID
System
SFP/+ SFF
Metro Ethernet Link
(<80 km)
GBIC
Intercampus ISL HBA
SFP/SFF
TDM/CWDM/DWDM
Router
13© 2008 Finisar Corporation
Market Drivers Market Metrics
LAN – Local Area Networking (Ethernet)
� Data center consolidation/green Initiatives � Virtualization, Data Center Ethernet, FCoE� Need for high density 10G SFP+ Optics � High end servers driving 10G NIC card market� Adoption of 40/100GigE in 2010
$-
$200.0
$400.0
$600.0
$800.0
$1,000.0
2005 2006 2007 2008 2009 2010 2011
Sal
es ($M
)
Fast Ethernet GigE 1 GigE 10 GigE 40 GigE 100 Parallel
Source: Lightcounting, 2008
� Total TAM in ‘07 = ~$668M (including longer-distance metro links)
� CAGR (’07 to ’11) = 7%
14© 2008 Finisar Corporation
Growth Strategies Market Position
LAN – Local Area Networking (Ethernet)
� Finisar Market Share:� 1GE: 36%� 10GE: 19%
� Enter New Markets� 10G Xaui = ~$147M� Parallel =~$68M
� Finisar growth > market
� Penetrate unaddressed 10G markets (XAUI)
� Develop full portfolio of SFP+� Execute with Laserwire product family including
parallel 40/100G
� Lead market with solutions for 40GE/100GE 100m/10/40km applications
Source: Lightcounting, 2008
$-
$200
$400
$600
$800
$1,000
$1,200
$1,400
2005 2006 2007 2008 2009 2010 2011
Sales
($M)
Unaddressed (Xaui)
Unaddressed (Parallel)
Addressed
15© 2008 Finisar Corporation
ACCESS (Up to 100 km)
METRO-REGIONAL (100-1000 km)
LONG-HAUL (600-3000 km)
COCO
CO
CO
CO
CO
CO
COCO
CO
CO
CO
CO
CO
CO
CO
CO
CO
Fiber tothe Home
Cable TV
CommercialComplex
Wireless
Campus
XFP 10G 300 PIN
SFP
40G 300-PIN
Telecom – SONET/SDH
16© 2008 Finisar Corporation
© 2008 Finisar Corporation
Market Drivers Market Metrics
Telecom – SONET/SDH
� Deployments of SONET/SDH - emerging marketsand legacy networks
� Mobile backhaul (proliferation of mobile video)� Need for next generation SFPs with industrial temp
and ROHS 6 for <=2.5G� Transition from 300pin to pluggable form factors � Very strong growth of 40G
$-
$100.0
$200.0
$300.0
$400.0
$500.0
$600.0
2005 2006 2007 2008 2009 2010 2011
Sal
es ($
M)
OC-3/OC-12 OC-48 OC-192 OC-768
Source: Lightcounting, 2008
� Total TAM ‘07 = ~$524M
(excl WDM)� CAGR (’07 to ’11) = -3%
� Growth in IP vs. SONET
� Growth in WDM (not included)
17
Growth Strategies Market Position
Telecom – SONET/SDH
� Gain market share in all segments
� Continue cost reductions of SFP’s(Ind. Temp. and ROHS6)
� Release Ind. Temp. long reach XFP’s up to 200km
� Develop full portfolio of SFP+ modules up to 80km� Maintain leadership with small size 40G client side
short reach and long reach transponders
Source: Lightcounting, 2008
� Finisar Market Share� OC-3/12: 8% � OC-48: 17%� OC-192: 33%
� OC-768: 30%� Finisar growth > market
$-
$100
$200
$300
$400
$500
$600
2005 2006 2007 2008 2009 2010 2011
Sales
($M)
Unaddressed (300pin)
Addressed
18© 2008 Finisar Corporation
ACCESS (Up to 100 km)
METRO-REGIONAL (100-1000 km)
LONG-HAUL (600-3000 km)
COCO
CO
CO
CO
CO
CO
COCO
CO
CO
CO
CO
CO
CO
CO
CO
CO
Fiber tothe Home
Cable TV
CommercialComplex
Wireless
Campus
DWDM XFP 10G Tunable 300 PIN
SFP
40G Tunable 300-PIN
Telecom – WDM
19© 2008 Finisar Corporation
Market Drivers Market Metrics
Telecom – WDM
� Deployment of IP based WDM systems for Metro and Long Haul – replacing SONET/SDH� Driven by Video, Wireless, FTTx…� Need for all Optical Tunable networks to reduce
OpEx� Transition to pluggable modules – XFP, CFP� Strong growth of 10G DWDM� Need for 40G DWDM line side modules
$-$100$200$300$400$500$600$700$800
2005 2006 2007 2008 2009 2010 2011
Sal
es ($
M)
CWDM DWDM - Up to 4 Gbps DWDM - 10 Gbps DWDM - 40 Gbps
Source: Lightcounting, 2008
� Total TAM ‘07 = ~$352M
� CAGR (’07 to ’11) = 21%
20© 2008 Finisar Corporation
Growth Strategies Market Position
Telecom – WDM
� Gain market share in all segments
� Next generations 5G C/DWDM SFP’s
� Cost reduce 10G 300pin tunable, develop low-profile modules� Develop pluggable tunable XFP-E & XFP modules
� Maintain leadership in 40G DPSK and DQPSK line side modules
� Lead the 100G line side module market
� Finisar Market Share� <5G CWDM 35%� <5G DWDM: 11% � 10G DWDM: 25%
� Finisar growth > market
Source: Lightcounting, 2008$-
$100
$200
$300
$400
$500
$600
$700
$800
2005 2006 2007 2008 2009 2010 2011
Sal
es ($
M)
Unaddressed (300pin)
Addressed
21© 2008 Finisar Corporation
10/40/100G – All Markets
Source: Lightcounting, 2008
$-
$200
$400
$600
$800
$1,000
$1,200
$1,400
$1,600
$1,800
2005 2006 2007 2008 2009 2010 2011
Sal
es ($
M)
100G
40G
10G
22© 2008 Finisar Corporation
� Importance of 10/40/100G is very clear
�Represents ~50% of the market in 2011
ACCESS (Up to 100 km)
METRO-REGIONAL (100-1000 km)
LONG-HAUL (600-3000 km)
COCO
CO
CO
CO
CO
CO
COCO
CO
CO
CO
CO
CO
CO
CO
CO
CO
Fiber tothe Home
Cable TV
CommercialComplex
Wireless
Campus
SFF
Telecom – Access
CATV
23© 2008 Finisar Corporation
Market Drivers Market Metrics
Access – CATV, FTTx (PON)
� Carriers and MSO – competition in the last mile� New network build outs of analog and digital
IP networks� Due to video, wireless, data…
� Rapid GPON growth worldwide
Source: Lightcounting, 2008
� Total TAM ‘07 = ~$359M
� CAGR (’07 to ’11) = 11%
0
100
200
300
400
500
600
2005 2006 2007 2008 2009 2010 2011
Sal
es (
$M)
GPON, EPON, Next Gen PON CATV
24© 2008 Finisar Corporation
Growth Strategies Market Position
Access – CATV, FTTx (PON)
Source: Lightcounting, 2008
� Finisar Market Share� CATV 35%
� Finisar growth > market
$-
$100
$200
$300
$400
$500
$600
2005 2006 2007 2008 2009 2010 2011
Sales
($M) Unaddressed-CATV
Unaddressed-PON
Addressed-CATV
Addressed-PON
� New lower cost CATV products to increase share� Ship production SFF GPON OLT/ONU volumes� Develop SFP FTTx GPON modules� Lead next generation PON
�10G or WDM
25© 2008 Finisar Corporation
ACCESS (Up to 100 km)
METRO-REGIONAL (100-1000 km)
LONG-HAUL (600-3000 km)
COCO
CO
CO
CO
CO
CO
COCO
CO
CO
CO
CO
CO
CO
CO
CO
CO
CommercialComplex
Wireless
Campus
WSS Line Card
Telecom – ROADM (WSS)
26© 2008 Finisar Corporation
video: ROADMs
Market Drivers Market Metrics
ROADM (WSS)
� Flexibility in the core and access for telecom networks
� Tunable all optical networks to reduce OpEx� Future proof network for 40G/100G� Outsourcing of R&D – drives line card sales
Source: Lightcounting, 2008
� Total TAM ‘07 = ~$85M
� CAGR (’07 to ’11) = 34%
0
50
100
150
200
250
300
2005 2006 2007 2008 2009 2010 2011
Sales
($M
)
ROADMs
28© 2008 Finisar Corporation
Growth Strategies Market Position
ROADM (WSS)
� Continue to lead the market for 50Ghz, mixed channel plan, and D&C
� Gain share in 100Ghz space � Capitalize on lead in 1x2 Access market� Develop higher port count products as needed
Source: Ovum RHK, 2007
� Finisar market share = 25%
� Finisar growth > market
$-
$50
$100
$150
$200
$250
$300
2005 2006 2007 2008 2009 2010 2011
Sales
($M)
Unaddressed
Addressed
29© 2008 Finisar Corporation
30
Summary
� Industry leading product portfolio focused in high growth markets
� Extremely well positioned to gain share in existing markets and penetrate new markets (XAUI/PON/Parallel)
� Our revenue growth will outpace the growth of the overall market
30© 2008 Finisar Corporation