Joint Value Proposition

November 17, 2009

Microsoft and PTC

PTC: 25 Years of Product Superiority

With 25 years of leading the industry in product innovation, PTC’s solutions provide industry-proven product development with a well-recognized brand and over 50,000 satisfied customers around the world.

PTC: Differentiated by our Integral Product Set

PTC is winning against our competitors because we offer a modern, integral architecture – a “single source of truth” for product data.

DesignPlan Concept SupportValidate Production

© 2009 PTC

Organization

PTC: Solutions that Address the Scope of Product Development

Concept Development

System Design

Detailed Design

Verification and Validation

Design Outsourcing

Variant Design & Generation

Engineering

Regulatory Compliance

Portfolio Management

Quality & Reliability Management

Change and Configuration Management

Program Management

Project Management

Management

Sales & Mktg Requirements Capture and Management

Proposal Response

Component and Supplier Management

Early SourcingSourcing

Product Support Analysis & Planning

Technical Information Creation & Delivery

Performance Analysis & Feedback

Service

Manufacturing Outsourcing

Tooling Design and Manufacture

Manufacturing Process ManagementManufacturing

PTC is Winning in All Major MarketsAerospace/

DefenseAutomotive High Tech/

ElectronicsIndustrial Equipment

Retail &Consumer Products

Life Sciences

Microsoft®: Providing a Foundation of Exceptional Products

Microsoft’s solutions provide the foundation tools & infrastructure for product development. Microsoft is the worldwide leader in software, services and solutions that help people and businesses realize their full potential.

Microsoft® SharePoint® Momentum is Growing

Fastest growing product in Microsoft historyGartner Magic Quadrant leader100 million + licensesA collaboration standard for companies of all sizes

0

100M

20092001

Microsoft SharePoint - Business Collaboration Platform for the Enterprise and the Web

Connect and Empower People

Cut Costs with a Unified Infrastructure

Rapidly Respond to Business Needs

Communities

Search

Sites

Composites

ContentInsights

PTC and Microsoft®: A History of Innovation

A History of Technology Innovation

PTC was the first MCAD provider to support Windows 64 – we are continuing our commitment to development on the Microsoft® Technology Stack.

A Maturing Partner Relationship

PTC has made major investments in product development, sales, and marketing resources dedicated to the partnership.

PTC and Microsoft®: A History of Innovation

Microsoft uses PTC’s Product Development System (PDS) to design 90% of their hardware.

“The total integration of the package is what makes it so easy to use.”

~ David Beardsley Surfacing and CAD Group Manager, PC Hardware Microsoft

PTC and Microsoft®: A History of Innovation

Together, PTC and Microsoft® deliver best-in-class product development solutions that can be leveraged broadly across the organization’s IT infrastructure.

IT Infrastructure• Simplified user experience

• Leverage existing IT investments for lower TCO

• Open, extensible platform

• Drives productivity

CustomerValue

PDS Architecture• End-to-end solutions for

product development

• Single source of product & process knowledge

• Full integration with Microsoft

Windows Server 2008

Comm

unity SP2010

Windchill PD

MLink

InSight

Seamless User Experience

PDS Enterprise Architecture

Windchill ProjectLink

Costing

Clients

Customers

Design Teams

Suppliers

DistributedManufacturers Other CAD and

authoring Applications

Arbortext Editor

Other Web Clients

Digital ProductValue Chain

Pro/ENGINEER

Mathcad

Standards-basedInteroperability

ERP

MES

CRM

Other PLM

Legacy

Database

Other

WCF/ Web Services /

BCS

File & FTP

Transfer

STEP

Federation

Messaging

Technology

Adapters

Application

Adapters

.Net/Java APIs

Portlets

Integral Business Logic on a Pure Internet Architecture

Windchill M

PMLink

Windchill PartsLink

Windchill Supplier M

anagement

Windchill Requirem

entsLink

Relex

PTC PLM Platform

PPM SP2010

Windchill ProductPoint

Windchill W

eb Parts for SharePoint

Office

PTC on Microsoft®: Product Architecture

Office Communications Server 2007

SQL Server 2008

Microsoft SharePointPlatform

Microsoft OfficeSharePoint Server

Microsoft Project Server

PTC and Microsoft®: Together to Market

Together, we are taking our message to the market.

The PTC-Microsoft® Partnership Drives Adoption of:The Best-in-Class Product Development Solution

Extended Visibility of Product Development Data

Innovation Process Management and Project, Program & Portfolio Management

Social Product Development

PLM-ERP Integration – PTC’s Windchill and Microsoft’s Dynamics

The PTC®-Microsoft Partnership Drives: Best-in-Class Product Development

Windchill – World Class Performance

Number one content and process management software in the PLM market

Consistently winning in competitive benchmarks

Windchill on SQL Server®

Windchill deployed on SQL Server offers:

Superior performance and scalability

Lowest total cost-of ownership

Opportunity to Implement Windchill on SQL:

New Windchill opportunities

Existing customer upgrades and migrations

The PTC®-Microsoft Partnership Drives: Extended Visibility of Product Development Data

Leveraging SharePoint-based collaboration to share product data:

Windchill Web Parts for SharePoint®

Windchill ProductPoint for Small Businesses

Both of these solutions:

Leverage the SharePoint interface

Allow cross-discipline workers to view and interact with PLM data

Provide role-based views of product data

The PTC®-Microsoft Partnership Drives: Extended Visibility of Product Development Data

Windchill Web Parts for SharePoint®

Presents Windchill product data in the SharePoint environment.

Supports:

Search

Assignment

Executive Reporting

The PTC®-Microsoft Partnership Drives: Extended Visibility of Product Development DataWindchill ProductPoint for Small Businesses

SharePoint®-based CAD data management for small businesses

Allows vaulting, sharing, visualization, and mark-up

DeliverSelectCapture Formulate Evaluate DefineStrategize

%

∑

$

The PTC®-Microsoft Partnership Drives Innovation Process Management (IPM)

IPM Initiative PLM PPM

The PTC®-Microsoft Partnership Drives: Project, Program & Portfolio Management – the Solution for IPM

Builds on Microsoft Project Server and Microsoft SharePointAutomates Stage-Gate and PACE Product Development ProcessesProvides Balanced Scorecard tools for measuring alignmentEnables Resource Management across development programsConnects directly to product deliverables and technical metricsEngineered to work with Windchill PDMLink and Windchill ProductPoint

The PTC®-Microsoft Partnership Drives: Project, Program & Portfolio Management

PTC’s Project, Program & Portfolio Management solution enables:

Portfolio Management

Allows executive teams to allocate skilled resources, gain visibility to the pipeline of new products, and prioritize and select new products

Program Management

Helps program managers execute and coordinate programs

Allows executives to measure New Product Development programs

Project Management

Helps project managers find the right resources and execute projects

Helps project teams deliver project deliverables

The PTC®-Microsoft Partnership Drives: Social Product Development

“Social product development” incorporates Web 2.0 technologies, such as social computing tools, into the realm of product development.

PTC’s products:

Leverage social computing functionality of SharePoint® to uniquely support social product development

ProductDevelopment

Social Computing

© 2008 PTC

Industry’s First CAD Solution Enabled for Social Product Development

Search shared files faster with graphical browsing and navigation of data

Lowering communication and collaboration barriers improves design team process productivity

Increases collaboration efficiency

Easily stay up-to-date with advanced presence detection and model status updates

Communicate and collaborate faster and easier with Web 2.0 design collaboration- auto-creation of wikis for design review, discussion, etc.

The PTC®-Microsoft Partnership Drives: PLM-ERP Integration

Microsoft’s Dynamics solutions provide industry-proven ERP. PTC’s Windchill is the most robust PLM solution in the market. When Windchill is integrated with Microsoft Dynamics, it links critical up- and down-stream processes and data.

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“ Best in class companies are 1.5 times more likely to have processes that span PLM and ERP systems.”

Source: Aberdeen “Integrating the PLM Ecosystem”

Customers

Manufacturing & Delivery

SupplyChain

ProductDevelopment

Time toMarket

Time toCustomer

The PTC®-Microsoft Partnership Drives: PLM-ERP Integration PTC’s Windchill – Dynamics AX integration:

Publishes Items, Bills-of-Material (BOMs), and changes/revisions to AX

Links to PLM item data, including CAD models/drawings and viewables

Reads from AX to expose key information like cost and inventory

Performs workflow-driven, closed-loop transactions with success/failure notification

Retains knowledge in Windchill of released items

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PTC and Microsoft®: Partnership Success

Quanta Computer – Implemented Windchill PDMLink on SQL Server

Brown Shoe – Implemented Windchill FlexPLM on SQL Server

Valvan – Implemented Windchill PDMLink on SQL Server, Integration to Microsoft Dynamics AX

Humax – Implemented Windchill PDMLink on SQL Server

Vetco Gray – Completed First Phase of Windchill PDMLink and Windchill Web Parts for SharePoint implementation

Earnhardt-Childress Racing – Implemented ProductPoint on SharePoint