October 2nd , 2015

NTT Global Business

NTT, SVP of Global Business & Member of the Board Tsunehisa Okuno

Current and Further Steps of NTT Global Business 20 min

Dimension Data The Transformational Journey 40 min

Panel Discussion 40 min • Achieving Operation Profit $1.5B by 2017 • Global Cloud Strategy

Ｑ＆Ａ 20 min

Agenda

Brandon Lee Jason Goodall Tsunehisa OKUNO SVP NTT

COO Dimension Data

CSO NTT Com Asia

EVP NTT DATA

Kaz Nishihata

1

Current and Further Steps of NTT Global Business

2

Global business performance track record

11.9

2008.1 2008.10

2009.10

2010.10

2010.12

2011.6

2010.7

2007 2008 2009 2011 2010

2.0 2.6 2.9 4.8

11.4

*1

2012 2013 2014

2013

*1 Month and year as of M&A completion *2 Consolidated sales of NTT Group companies excluding those in Japan

2014

15.0

12.2

2016 Target

20.0

2012

2017 Target

22.0

(USD Billions)

(FY of NTT)

*2

3

AMERICAS EMEA APAC Total (USD)

ICT Market

1,610B

(FY2014) NTT Global Business Revenue by Region

47% 53% 67% 33% 54% 46%

(EBITA/Rev 4.5%)

0.4B

3.6B

10%

90%

1.8B

2.5B

42%

58%

4.3B

36%

64%

2.4B

940B (60%) 490B (30%) 180B (10%)

4.6B

10.3B 69%

31%

*Source: Created by NTT based on McKinsey’s data (excluding Telephone market)

Legend

IT Infrastructure Application

4

Source; *1 "Magic Quadrant for Network Services, Global" Neil Rickard, et al. 14 Jan 2015 *2 "Magic Quadrant for Communications Outsourcing and Professional Services" Christine Tenneson, et al. 4 Nov 2014, *3 "Magic Quadrant for SAP Implementation Service Providers, Worldwide” Susan Tan, 23 Jul 2015 *4 "Magic Quadrant for SAP Application Management Service Providers, Worldwide" Frances Karamouzis et al., 16 Oct 2014 *5 "Magic Quadrant for Disaster Recovery as a Service" John P Morency, et al. 21 Apr 2015 *6 "Magic Quadrant for Cloud-Enabled Managed Hosting, Asia/Pacific" To Chee Eng et al. 10 Dec 2014 *7 "Magic Quadrant for Cloud-Enabled Managed Hosting, Europe" Tiny Haynes, et al. 30 Jun 2015 *8 "Magic Quadrant for Cloud-Enabled Managed Hosting, North America" Douglas Toombs et al., 28 Jul 2015 *9 “Magic Quadrant for Cloud Infrastructure as a Service, Worldwide” Lydia Leong, et al. 18 May 2015 *10 "Magic Quadrant for Managed Security Services, Worldwide”, Kelly M. Kavanagh, 30 Dec 2014 The Gartner Report(s) described herein, (the “Gartner Report(s)”) represent(s) data, research opinion or viewpoints published, as part of a syndicated subscription service, by Gartner, Inc. (“Gartner”), and are not representations of fact. Each Gartner Report speaks as of its original publication date (and not as of the date of this enterprise report) and the opinions expressed in the Gartner Report(s) are subject to change without notice. Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings. Gartner research publications consist of the opinions of Gartner's research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

Category Gartner’s report Position Company

Network Gartner’s Magic Quadrant for Network Services, Global * a Leader

Network Integration

Gartner’s Magic Quadrant for Communications Outsourcing and Professional Services* a Leader

Apps (SAP)

Imple-mentation

Gartner’s Magic Quadrant for SAP Implementation Service Providers, Worldwide* a Challenger

AMO Gartner’s Magic Quadrant for SAP Application Management Service Providers, Worldwide* a Niche Player

Cloud

Gartner’s Magic Quadrant for Disaster Recovery as a Service* a Leader

Gartner’s Magic Quadrant for Cloud-Enabled Managed Hosting Asia/Pacific*

a Challenger

a Visionary Gartner’s Magic Quadrant for Cloud-Enabled Managed Hosting Europe* a Challenger Gartner’s Magic Quadrant for Cloud-Enabled Managed Hosting North America* a Niche Player Gartner’s Magic Quadrant for Cloud Infrastructure as a Service, Worldwide* a Niche Player

Security Gartner’s Magic Quadrant for Managed Security Services, Worldwide* a Challenger

1

2

3

4

5

6

7

8

9

10

Category TeleGeography colocation database 2014 Position Company

Data Center Retail data center operator total floor space, Global Top class

Global recognition

5

NTT Telecom (A)

Cloud (A)

IT Vendor (A)

SIer (I)

Data Center - -

Network Integration

-

Network - - -

Apps (ERP)

Imple-mentation

- -

AMO - -

Cloud Public -

Hosted Private

- -

Security - -

NTT’s Capability in Global Business

Leader Attacker

- Global capability Legend： Top Tier Specific capability Not competitive/Local Out of scope 2nd

Tier 6

Global Business Sales / Operating Income

Sales 20B

FY2016 (Target)

FY2017 (Target)

* Operating Income excludes M&A-related temporary expenses, such as depreciation costs of intangible fixed assets.

FY2014

Sales 15B

Operating Income*

0.7B

（USD）

Sales 22B

Operating Income*

1.5B

7

1,770

1,460

Global ICT Services Market (enterprise customers)

5% Growth per annum

0

500

1,000

1,500

2013 2014 2015 2016 2017

Cloud SaaS Cloud SI IaaS/PaaS

10% of ICT market = $160B market （GAGR 23%）

(USD Billions)

← BPO

← Traditional apps

← ITO/AMO

← IT infrastructure ← Network services

← SI for traditional apps

← New business

* Those numbers exclude software/hardware direct sales and telephone service. Source: NTT’s calculation based on inputs from McKinsey, etc.

←

8

Customers’ Needs by Size

From 500 to 4,999 employees [Ave. Revenue: $110M - $320M]

Customer’s needs on cloud

At-scale Enterprise /Govt.

Lots of large, complicated customized legacy Apps → Mostly cloud migration by SIers who implemented existing legacy Apps

Large enterprise

Higher mix of packaged Apps such as SAP and Oracle, etc.

→ Cloud migration driven by cost reduction & business transformation → Open to IT players who can provide cloud migration of IT infrastructure and apps in total

Mid-market (upper-end)

Mid-market (lower-end)

Discard existing Apps, shifting to SaaS → Limited migration service needs

SME

* The numbers of enterprises are examples of the US market. The market segments are defined based on those of a US census.

100 Companies

16,000 Companies

6M Companies

3,000 Companies

Fortune 100 (US companies)

5,000 employees or more [Ave. Revenue: $6B - $8B]

499 employees or less [Ave. Revenue: $5M - $10M]

9

Toward Sustainable Business Model Transformation of Customer’s Businesses

Legend

Network/NFV

DC ITO

Cloud

Security

AMO

NI Tailor-made solutions On-premise systems

Business/ICT Consulting, Vertical solutions IoT

Big Data

AI

Modularized, Standardized, and Automated Solutions

Modernization of Applications

Migration to Cloud/ Hybrid Cloud offering

Cloud systems

Total ICT Management Innovation

IT Infrastructure Applications

Tailor-made solutions On-premise systems

NTT’s Strengths Target / focus

Orchestration

Apps Development

Cloud SI

Full-stack Full-lifecycle

10

FY2014 FY2017 (Target)

（USD）

Steps to Reach Sales/Operating Income Targets

Sales 22B

Sales 15B

Operating Income*

700M

+500M Operating Income* 1.5B+α

+300M

+7B Organic Growth, Strengthening GTM, M&A

Efficient Operation/Services

and Optimized Procurement

Profit thru revenue growth

* Operating Income excludes M&A-related temporary expenses, such as depreciation costs of intangible fixed assets. 11

Network

Data Center

Application

Procurement and Efficiency of Services/Operation

ITO (Managed Service)/NI

Direct materials

Efficiency of services/operations Optimized Procurement

Indirect materials

12

Further Steps in GTM

Win more Big Deals

(2) Transformational solution selling

Apps modernization

Cloud migration

(3) Advisory-led selling Provide total solution for specific industries

(1) Strengthen cross-selling activities Cross-selling between ADM and ITO

Delivery-led selling Propose and win additional businesses in delivery/ operation phase

13

WGs for Profit Generation

Accelerate Efforts through Group-wide Projects

✓ Expand our global accounts

✓ Optimize NTT Group efficiency (cloud, security and IT outsourcing services) ✓ Avoid duplication in new service investments

✓ Collaborate within NTT Group re: procurement

✓ Facilitate transparency of information re: Group management

✓ Set common accounting standards

Strengthen Group Governance and Risk Management

✓ Strengthen consulting/industry-specific solutions ✓ Create solutions that integrate services provided by a variety of companies

✓ Enhance collaboration within NTT Group’s global subsidiaries

Deliver Steady Growth of Sales Thorough Cost Optimization

Strengthen Products/Services

Strengthen Sales/Marketing Efforts

Optimize Services and Operations

Reduce Procurement Costs

Standardize and Improve IT Infrastructure

Strengthen Financial/Operations Systems

✓ Bolster cash management

14

WGs for Profit Generation

Accelerate Efforts through Group-wide Projects

Strengthen Group Governance and Risk Management

Deliver Steady Growth of Sales Thorough Cost Optimization

Services/Operation WG

GTM WG Drastic Operational Reforms PT （More Efficient Procurement）

Cloud Security Application Network Data Center ITO

Voice/Conferencing

CIO Committee （IT Infrastructure） HRM WG Finance WG

Service Catalog/Value Prop.

15

Governance and risk management

Strategy/Business Compliance/ Regulatory

16