Investor Presentation

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Investor Presentation September 2008
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Safe Harbor

• This presentation contains forward looking
  statements based on expectations, estimates and
  projections that are subject to risk. Statements
  about future revenue, addressable market size,
  cash, growth and profitability are forward
  looking and actual results could differ. Please
  refer to the Companys 2007 Form 10-K, as well as
  all Form 10-Qs and 8-K reports.

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Global Presence
Office
Customer
6 offices worldwide
Customers in over 40 countries
230 employees

• Global partners
• Accenture, Alcatel, Nokia-Siemens, Nortel

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Representative Customers
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Corporate Strategic Initiatives

• Continue to improve our Balance Sheet
• Converted all O/S Preferred shares to Common
• Refinanced Debt with more attractive terms
• Continue to generate strong EBITDA and cash flows
• Continue to invest in the Emerging Markets
• Emerging Markets is where the highest subscriber
  growth is occurring
• Expand our distribution channel and
  services/support presence in the Emerging Markets
• Continue to invest in Product Development
• For our core Activation and Number Management
  solutions
• Introduction of our Dynamic SIM Allocation
  Solution

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Financial Metrics
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Q2 YTD 2008 Highlights

• Increased Q2 LS bookings 20 to 5.3M from Q2
  2007 Best Q2
• Closed first complete Dynamic SIM Allocation
  solution
• Grew Q2 YoY revenue 6 - 6th consecutive YoY
  growth quarter
• Converted largest opening LS backlog into
  largest LS revenue quarter
• Maintained LS backlog at end of Q2 at near
  record level
• Investing in product portfolio and selling
• Improved year over year profitability 4 fully
  diluted EPS in Q2 and 3 fully diluted EPS YTD
• Strengthened the balance sheet reducing debt
  obligations 9.3M

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Bookings First Six Months

• Total Bookings
• Firm non-cancellable orders expected to recognize
  in revenue in next 12 months
• 2008 16.5M
• 2007 18.8M
• Down YoY due to timing of CS renewals

• LS Bookings
• 2008 5.3M
• 2007 4.4M
• 20 YoY Q2 growth
• Best Q2
• Best 1H 10.8M

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Strong Backlog 17.6M

• Total backlog up 16 from Q2 2007
• LS backlog up 29 from Q2 2007
• Equaled largest LS backlog
• CS backlog up 9 from Q2 2007, mostly timing

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Quarterly RevenueYear over Year Growth
Sixth consecutive quarter of YoY growth
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1H Revenue up 7
17.6M
18.8M
All market units contributing to year over year
growth
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1H Operating Expenses
Investing for Growth
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Improving Profitability
Adj. EBITDA margin improved to 15.5
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9.3M Reduction in Debt in 1H 2008

• Refinanced Senior Debt in Q1 2008 - 4M Term and
  6M Revolver
• Used existing cash to make 1.0M payment on sub
  debt
• Converted remaining preferred stock balance

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Cash Flows First six months

• 7.2M in cash end of Q2 2008
• Reducing debt ahead of plan - 3.0M unscheduled
  payments in 2008

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EVOL Investor Data

• O/S common 19.4M shares
• Fully diluted 20.0M shares
• Up 82 since Dec 2006
• Avg. volume 45,000

• Institutional 20
• Float 74
• Analyst coverage B/Riley and MDB Capital

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Evolving Systems StrategyWhy We
AreInvesting inthe Emerging Markets?
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GSM Subscriber Statistics

• Worldwide 2,392,760,207
• Africa 208,498,137 9
• CALA 234,821,455 10
• Asia Pacific 924,047,562 39
• Europe Eastern 349,952,186 15
• Europe Western 444,426,302 19
• Middle East 136,649,157 6
• USA/Canada 94,365,408 4

77 of subscribers reside in Emerging Markets

• All data sourced from Wireless Intelligence
  www.wirelessintelligence.com as of Q107

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GSM Subscriber Growth

• Top 10 growth countries GSM Quarterly net
  additions
• China 18,040,914
• India 13,728,036
• Pakistan 7,662,993
• Indonesia 5,394,269
• Iran 5,135,330
• Brazil 3,877,141
• Argentina 3,809,765
• Nigeria 3,321,118
• Thailand 3,255,817
• Russian Federation 3,215,204

• All data sourced from Wireless Intelligence
  www.wirelessintelligence.com as of Q107

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The Emerging Markets Plays to Evolving Systems
Product Strengths

• Service Activation Solution enables carriers to
  activate complex service bundles for wireless,
  wire line and broadband networks
• International NumeriTrack number assignment and
  management application
• Number Portability Gateway support for LNP for
  markets that have adopted porting as a standard
• Dynamic SIM Allocation allows GSM carriers to
  greatly reduce the complexity surrounding the
  supply chain, number assignment and activation of
  their SIM cards.

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Dynamic SIM AllocationTM solution (US Patent
Pending)
The user experience and resource efficiency
benefits of provisioning at point-of-sale without
the retail infrastructure demands
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The US Wireless Distribution Model
Point of Sales Model
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US Point of Sale Experience
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Emerging Market Distribution Model
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DSA Value Proposition

• A system that will provide the benefits of the
  point-of-sale model without the related costs or
  complexity
• A system that can take advantage of a carriers
  existing distribution channels
• A system that greatly reduces the complexity
  around SIM card supply chain management
• A system that makes more efficient use of the
  carriers network infrastructure
• A system that can support up sell and value-added
  features

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DSA Business case
Regional Allocation
Number Utilization
Number Selection

• Reduce SIM card inventory
• Reduce SIM supply chain / logistics costs
• Reduce administrative effort
• Reduce network capacity requirement / costs
• Improve competitiveness
• Reduce churn and increase customer lifetime value

• Improve utilization of Number inventory
• Reduce cost of acquiring and owning number blocks
• Ensure new number ranges can be acquired to
  support subscriber take-on
• Reduce SIM card inventory
• See left

• Improve competitiveness
• See earlier
• Reduce operations costs
• Reduce call centre costs
• Reduce retail costs
• Monetize vanity / golden numbers

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DSA Number Utilization addressable market

• Engagements to date indicate 2/3rds of operators
  have issues with MSISDN usage
• GSM Association lists nearly 800 GSM operators
  worldwide - assume half of these are addressable
  based on size and location
• Addressable market of 267 operators with MSISDN
  usage issue
• Average deal size 2.5M
• Addressable market value 600M

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Improve competitiveness
DSA enables interactive number selection to
customers at time of activation, without having
to invest in additional retail infrastructure.
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DSA reduces network capacity requirements / costs
Delaying network provisioning until a SIM card is
activated means that SIM cards that never
generate revenue do not consume expensive network
element capacity.
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Summary Strategy and execution are
delivering the intended results

• Investing in the Emerging Markets while
  continuing to address needs of customers in NA
  and Europe
• Product initiatives underway
• Continued investment in core Activation and
  Numbering products
• Dynamic SIM Allocation, International NumeriTrack
  and NP Gateway
• Continued momentum and strong operational focus
• 12 new customers in the last 6 quarters
• Grow revenues while achieving sustainable
  profitability
• LS Orders up 15 for 1H08
• Revenues up 7 for 1H08
• Adj-EBITDA up 14 for 1h08
• Continue to improve balance sheet