$23.3BCloud

Opportunity2016

2013

INFRASTRUCTURE AS A SERVICETop Add-ons ForHosted Servers

Security(Antivirus/Antispam)

DatabaseAdd-ons

ServerBackup

ControlPanel

China IndiaJapanAustralia

Security(Antivirus/Antispam)

Server Backup Database Add-ons Database Add-onsServer Backup Control Panel

China

IndiaJapan

Australia

BUSINESS APPSTop AppsFor Business

InstantCollaboration

Backup &Storage

File Sharing

File Sharing

Instant Collaboration

Backup & Storage

Web Conferencing

Support / Help Desk

Instant Collaboration

Backup & Storage

WEB PRESENCE

SMBs are More Likely to Buy Web Appswith Initial Website Purchase vs. Post-Purchase

Top Triggers for SMBs Converting to Hosted PBX

Top Purchase Triggers for Hosted Premium Email

Fastest Growing Business Apps Through 2016

Over 70% of SMBs First try an Online Applicationfor Free Before Buying

Planned Top Add-Ons

Top Web AppsFor 2016 SEO CMS Ecommerce Mobile

Optimization Security

COMMUNICATION AND COLLABORATIONTop Hosted PBXFeatures For SMBs

AutomatedAttendant

CallControl

UniqueNumbers

Bundled with WebsitePurchase from Hoster

Return to Hoster forSubsequent Purchases

44%

44%37%

Micro ( 1-9 Employees ) Small ( 10-49 Employees ) Medium ( 50-249 Employees )

Micro ( 1-9 Employees ) Small ( 10-49 Employees ) Medium ( 50-249 Employees )

13%

25%28%

0%

13%

25%

38%

50%

Price Point Adding Locations PBX Old/Unreliable Explosive Growth

Infrastructure asa Service (IaaS)

Web Presenceand

Web Applications

CommunicationCollaboration

BusinessApplications

Parallels enables service providers to rapidly launch and efficiently deliver the most profitable cloud services by automating the delivery of the broadest set of solutions demanded by small businesses. Founded in 1999, Parallels is a fast-growing company with 900 employees in North America, Europe, and Asia. For more information, please visit www.parallels.com/spp.

About Parallels

www.parallels.com/smbreport

$7.6B$3.8B $3.6B

$10B$3.8B

$978M$2.3B

$3.7B

27% 17% 30%55%

Yes, I Purchased whenthe Trial Expired

Yes, I Purchased tohave Access to

more Product Features

No, I Purchasedwithout Free Trial

I Don’t Know

1 2 3 1 2 3

Price Professional Look

Developing Markets Developed Markets

Security Company Growth

APAC Average

31%36%

China

14%32%

India

31%36%

Japan

52%41%

Australia

Yes Maybe

$10.8BCurrent

Market Size

39% 17% 22% 22%

Developing Markets

Developed Markets

Australia

India

China

Market Size in 2016$1.3B

Market Size in 2013$123M

Growth in Hosted PBX200%

Growth in DevelopingMarkets Premium Email

100%

of SMBs use IaaSas Webserver

1/3 for Databases

46%will Come from SMBs Choosing

IaaS for their First Server

Market in 2016$2.5B

of IaaS Market Growthfrom SMBs Converting fromIn-House Servers to Cloud

33%

2X Growth In Demand

of SMBs Don'thave Websites that

Display Properlyon Mobile Devices

Largest Growthin Region66%

Percentage ofMarket in 201655%

All Countries and Market Types areInterested in Buying Bundled Services

Developing Countries, like India,have the Highest Interest

Smaller SMBs Buy AppsWith Website Purchase44% Of Customers Don’t Return

To Hoster For Additional Apps75%

42% Mobile Optimized Websites are Increasingly Important, Especially in Markets where Mobile use Outpaces Broadband

Japan

Parallels SMB Cloud Insightsfor APAC 2013

™

Internet Penetration40%

DevelopingMarket

Internet Penetration

DevelopedMarket45%

Interest in Buying Bundled Cloud Services/Applications

© 2013 Parallels IP Holdings GmbH. All rights reserved. The Parallels logo and Parallels are registered trademarks of Parallels IP Holdings GmbH.No part of this publication may be reproduced, photocopied, stored on a retrieval system, or transmitted without the express written consent of Parallels.

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