TalkSwitch Corporate Overview

1
TalkSwitch Corporate Overview

• Manufacturer of Hybrid (VoIP/PSTN) PBX phone
  systems specifically built for small,
  multi-location, and franchise businesses
• Our Vision Bring big business telephone system
  power into the reach of the smallest businesses
  and locations

• Founded in 1990
• First commercial product was Concero Voicemail,
  Auto Attendant, Fax
• Launched TalkSwitch line of PBX switches in 2000
• Launched TalkSwitch first VoIP model in 2004
• Launched TalkSwitch line of analog phones in 2005
• Launched new platforms and support for IP
  extensions ultimate hybrid
• Today have shipped tens of thousands of phone
  systems in North America

2
TalkSwitch Global Value Chains
20-30 other manufacturing partners
25-30 service partners
1,500 other partners in our reseller network
3
Manufacturing

• All RD completed in Ottawa, ON (Hardware,
  Firmware, Software)
• Leveraging SRED credits high quality control
• Engineering, Testing, Marketing, Operations,
  Accounting and Sales all in Canada
• Hardware reference design completed in Arnprior,
  ON
• Blue Systems
• Manufacturing
• Phone Systems Penang, Malaysia by Gtek
  Electronics
• Analog Phones Shenzhen, China
• IP Phones Hong Kong, China
• Wireless Phones RTX, Denmark

4
Logistics and Distribution

• BD Logistics
• Division of Lowe Martin Ottawa airport
• Full 3rd party logistics (3PL)
• Warehousing, consolidation, packaging, order
  fulfillment worldwide
• Multiple Distribution partners
• 5 specialized distributors in North America
• 3 Distribution partners in Mexico
• UK, Australia, South Africa In-country
  specialized distributors.
• Over 1,500 Resellers worldwide
• All receivables insured through EDC
• Terms only granted on EDC approval

5
Services Partners

• National / International Installers
• Endeavor Telecom branded cabling, installation,
  configuration
• Endeavor provides services to our distributors
  and resellers
• ITSPs
• IT Service Providers such as Primus, BabyTel,
  Bandwidth.com, others
• End user customers can obtain services for their
  TalkSwitch
• Service Providers
• Bell Canada now selling TalkSwitch in Ontario and
  Quebec, alongside additional products and
  services.
• Many more including
• Leasing, associated software, reporting, IVR

6
TalkSwitch and our value chains

• Why does TalkSwitch use global partners?
• Expertise
• Efficiency
• Cost
• What can Canada do to help?
• Expand SRED tax credits to encompass broader
  range of necessary RD expenditures (possibly
  documentation and technical training)
• Continue to support, and possibly expand, EDC
  accounts receivable-type services. This should
  be more widely advertised!
• Reduce international tariff barriers and
  facilitate quick shipments between countries

7
Thanks

• Tim Welch
• VP Sales
• TalkSwitch
• twelch_at_talkswitch.com
• 613-725-2980