COMPANIES

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PRODUCTSZoomVideoCommunications,Inc.CHAPTER

01OverviewPubliccloudservicesend-userspendingworldwidefrom2017to2023(inbillionU.S.dollars)Publiccloudservicesmarketsize2017-2023700599.84600494.65500410.924003143002431972001451000201720182019202020212022*2023*3Description:Theworldwidepubliccloudcomputingmarketcontinuestogrowandisexpectedtoreachanestimated495billionU.S.dollarsin2022.Thisencompassesbusinessprocesses,platform,infrastructure,software,management,security,andadvertisingservicesdeliveredbypubliccloudservices.Apubliccloudisaclouddeploymentmodelthatofferscomputingservicesovertheinternet.Thephysicalhardwareofthiscloudmodelissharedbymultiplecompanies.Theservicesofferedtocustomers[...]ReadmoreNote(s):Worldwide;2017to2022;*ForecastThecloudadvertisingsegmentwasremovedfromGartner'spubliccloudservicesforecastsegmentsstartingfrom2017.ReadmoreSource(s):GartnerPublicITcloudservicesmarketrevenueworldwidefrom2016to2021,bysegment(inbillionU.S.dollars)GlobalpublicITcloudservicesrevenue2016-2021,bysegmentInfrastructureasaservicePlatformasaserviceSoftwareasaservice45040035030025020015010050249197.6148.5123.968.2100.3847.667.2202035.94961.1111.5725.891.318.0524.8135.417.80201620172018201920214Description:In2021,theglobalspendingonpublicITcloudservicesamountedtoapproximately409billionU.S.dollarsintotal.Softwareasaservice(SaaS)spendingisthelargestsegmentwithrevenuesofaround249billionU.S.dollars.ThisgrowthisdrivenbyorganizationsacrosstheworldreplacingtheirlegacybusinessapplicationswithSaaSapplicationsthataremoredata-drivenandamoreappropriatefitformoderncloudarchitectures.ReadmoreNote(s):Worldwide;2016to2021;*SaaSrevenuesincludebothSaaSapplicationsandSaaSSystemsInfrastructureSoftware(SISaaS).2020SISaaSrevenue:49.2bnUSD2020SaaSapplicationsrevenue:148.4bnUSDReadmoreSource(s):IDCPubliccloudapplicationservices/softwareasaservice(SaaS)end-userspendingworldwidefrom2015to2023(inbillionU.S.dollars)Globalpubliccloudapplicationservices(SaaS)marketsize2015-2023250208.1200176.62152.18150120.7102.110085.758.848.250031.420152016201720182019202020212022*2023*5Description:In2021,thesoftwareasaservice(SaaS)marketisestimatedtobeworthapproximately152billionU.S.dollarsandestimatedtoreach208billionU.S.dollarsby2023.SaaSapplicationsareruninthecloudandusuallyaccessiblethroughdesktopsandmobileapplications,aswellasthroughawebinterface.

ReadmoreNote(s):Worldwide;2015to2022;*Forecast.

ReadmoreSource(s):GartnerCollaborationsapplicationsmarketsizeworldwidefrom2019to2025(inbillionU.S.dollars)Globalcollaborationsapplicationsmarketsize2019-20256050.750403022.620100172019*20202025**6Description:In2020,revenuesfromtheglobalcollaborationsapplicationsmarketamountedto22.6billionU.S.dollars.By2025,revenuesareforecasttoexceed50billionU.S.dollars.In2020,thefiveleadingcollaborationapplicationvendorswereMicrosoft,Zoom,Cisco,andSlack.

ReadmoreNote(s):Worldwide;2019to2020;*Datafortheyear2019hasbeencalculatedbyStatistausingaCAGRpublishedbythesource.**ForecastReadmoreSource(s):IDC;StatistaSizeoftheglobalunifiedcommunications&collaborationmarketfrom2018to2023(inbillionU.S.dollars)*Unifiedcommunications&collaborationmarketsizeworldwide2018-20236048.35040302010047.238.832.9720182019202020237Description:Theglobalunifiedcommunications&collaborationmarketgrewbymorethan29percentin2020comparedto2019andreachedasizeof47.2billionU.S.dollarsin2020.Theunifiedcommunications&collaborationmarketissettofurthergrowoverthenextfewyearstoalmost50billionU.S.dollars.DuetotheCOVID-19pandemicin2020manyorganizationshadtosendtheiremployeeshometoworkremotely.Unifiedcommunicationandcollaborationtoolsenabledthishybridworkforceto[...]ReadmoreNote(s):Worldwide;2018to2021;*Valuefor2018iscalculatedbasedongrowthrateof17.7%for2019figureprovidedbythesource.2023istakenfromapreviousreleasefromJuly2019.ReadmoreSource(s):IDCCollaborationsoftwaremarketrevenuesfrom2015to2025(inmillionU.S.dollars)Collaborationsoftwaremarketsizeworldwide2015-202520,00017,92117,52018,00016,00014,00012,00010,0008,0006,0004,0002,000017,12616,74116,36515,99712,41511,0118,4548,2647,0532015201620172018201920202021*2022*2023*2024*2025*8Description:Worldwidemarketrevenuesfromcollaborationsoftwarehavebeenincreasinginrecentyears,increasingfromaroundsevenbillionU.S.dollarsin2015tonearly16billionin2020.Themarketrevenuefromcollaborationsoftwareisforecasttokeepincreasing,reachingabout17.9billionU.S.dollarsin2025.Collaborationsoftwareenablesthesharing,processingandmanagementoffiles,documentsandotherdatatypesamongseveralusersorsystems.PopularexamplesincludeSlackand[...]ReadmoreNote(s):Worldwide;2015to2020;*ForecastForthisstatistic,valuesfrom2021to2024wereroundedafterbeingcalculatedusingaCAGRof2.3percent,basedondataprovidedbythesourceReadmoreSource(s):AppsRunTheWorld;StatistaCHAPTER

02FinancialsZoomVideoCommunication'srevenueworldwidefromfiscalyear2019to2022(inmillionU.S.dollars)GlobalrevenueofZoomworldwide2019-20224,5004,099.864,0003,5003,0002,651.372,5002,0001,5001,000622.695000330.52201920202021202210Description:ZoomVideoCommunication'srevenueincreasedbyamarginofnearly55percentintheirfiscalyear2022,comparedtothefiscalyear2021.IntheirfiscalyearendingonJanuary31st,2022,Zoomgeneratedrevenuesofapproximately4.1billionU.S.dollars.ReadmoreNote(s):WorldwideSource(s):ZoomVideoCommunicationsZoom'squarterlyrevenueworldwidefromfiscalyear2019to2022*,byregion(inmillionU.S.dollars)QuarterlyrevenueofZoomworldwidebyregion2019-2022AmericasAsiapacificEurope,Middleeast,Africa1,2001,0008006004002000200155200150205135197124172.43116.6135.2127.981.4103.571770068163651.3593.4538.531.3454.221.7819.113.71516.612.1245.613.410.498.28.97.673.6617.3133.9151.454.

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2022Q411Description:Zoomgenerated717millionU.S.dollarsinrevenueintheAmericasduringthefourthquarteroffiscalyear2022,thelargestithasseenyet.Zoom'srevenuehasincreasedtremendouslyoverthepastyear.ReadmoreNote(s):Worldwide;2018to2022;*Zoom'sfiscalyearendsonJanuary31.Forexample,fiscalyear2020referstothefiscalyearendingJanuary31,2020.ReadmoreSource(s):ZoomVideoCommunicationsZoomVideoCommunication'snetincomeworldwidefromfiscalyear2019to2022(inmillionU.S.dollars)GlobalnetincomeofZoomworldwide2019-20221,6001,375.641,4001,2001,0008006004002000672.3225.3120207.5820192021202212Description:Intheirfiscalyear2022,Zoom'snetincomeamountedtoapproximately1.38billionU.S.dollars.ZoomCloudMeetingsisavideoteleconferencingsoftwareprogram.ReadmoreNote(s):WorldwideSource(s):ZoomVideoCommunicationsZoomVideoCommunication'sresearchanddevelopmentexpensesworldwidefromfiscalyear2019to2022(inmillionU.S.dollars)GlobalR&DspendingofZoomworldwide2019-2022400362.9935030025020015010050164.0867.08202033.01201902021202213Description:Intheirfiscalyear2022,ZoomVideoCommunicationspentmorethandoubleontheirresearchanddevelopment(R&D)operatingexpensesthaninthepreviousyear.IntheirfiscalyearendingonJanuary31st,2022,Zoom'stotalR&Dexpensesamountedtonearly363millionU.S.dollars.

ReadmoreNote(s):WorldwideSource(s):ZoomVideoCommunicationsZoomVideoCommunication'ssalesandmarketingexpensesworldwidefromfiscalyear2019to2022(inmillionU.S.dollars)GlobalsalesandmarketingspendingofZoomworldwide2019-20221,2001,135.961,0008006004002000684.9340.65185.82201920202021202214Description:Intheirfiscalyear2022,ZoomVideoCommunicationincreasedtheirsalesandmarketingspendingbymorethan65percent,comparedtothepreviousyear.IntheirfiscalyearendingonJanuary31st,2022,Zoom'stotalsalesandmarketingexpensesamountedtoalmost1.14billionU.S.dollars.

ReadmoreNote(s):WorldwideSource(s):ZoomVideoCommunicationsPriceofZoomsharestradedonNasdaqStockMarketin2020and2022(inU.S.dollars)PriceofZoom'sshares2020-2022600500400300200100015Description:Theoutbreakofthecoronavirus(COVD-19)pandemichaschangedthewaymanypeoplecommunicate,personallyandprofessionally.Anincreaseinworkingfromhome(WFH)andsocialdistancinghasmadeface-to-facecontactwithrelatives,friends,andcolleaguesharder.TracingthesharepriceofZoom-aprominentvideocommunicationsservice-showshowcentralwebconferencinghasbecometokeepingpeopleincontactthroughoutthepandemic.ReadmoreNote(s):Worldwide;2020to2022Source(s):YahooCHAPTER

03CompetitorsbyrevenueAnnualrevenueofGooglefrom2002to2021(inbillionU.S.dollars)Google:globalannualrevenue2002-2021300250256.74200181.69160.7415010050136.36110.5589.9874.5465.6755.5150.1837.929.323.721.816.610.66.13.20.41.502002

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202117Description:Inthemostrecentlyreportedfiscalyear,Google'srevenueamountedto256.7billionU.S.dollars.Google'srevenueislargelymadeupbyadvertisingrevenue,whichamountedto209.49billionU.S.dollarsin2021.AsofFebruary2021,parentcompanyAlphabetrankedsecondamongworldwideinternetcompanies,withamarketcapitalizationof1,392billionU.S.dollars.ReadmoreNote(s):Worldwide;2002to2021Source(s):Alphabet;GoogleMicrosoft'srevenuefrom2012to2022financialyears,bysegment(inbillionU.S.dollars)RevenueofMicrosoftbrokendownbysegment2012-2022Productivityandbusinessprocesses

IntelligentcloudMorepersonalcomputingCorporateandOtherCommercialLicensingCommercialOtherDeviceandConsumerLicensingDevicesandConsumerOtherComputingandGamingHardwarePhoneHardware250200150100500-502012201320142015201620172018201920202021202218Description:Inits2022financialyear,Microsoftgenerated63.4billionU.S.dollarsfromitsproductivityandbusinessprocessessegmentandafurther75.3billionthroughitsintelligentcloudsegment.Thanksinparttotherapidgrowthinthesetwoareas,2022provedtobethecompany`smostsuccessfulyeareverintermsofannualrevenue,withthetotalfigurereachingover198billiondollars.ReadmoreNote(s):Worldwide;2012to2022Source(s):MicrosoftRevenueofCiscobyproductcategoryfrom2013to2021(inmillionU.S.dollars)Ciscoproductrevenuebycategory2013-2021SwitchingDatacenterSecurityNGNroutingWirelessOtherServiceprovidervideoCollaborationInfrastructurePlatforms

ApplicationsServices60,00050,00040,00030,00020,00010,000020132014201520162017201820192020202119Description:ThisstatisticshowsCisco'srevenuefrom2013to2021,byproductcategory.Thecompanygeneratedaround27.1billionU.S.dollarsofrevenuefromitsinfrastructureplatformssegmentin2021,withafurther5.5billionU.S.dollarsgeneratedbytheapplicationssegment.

ReadmoreNote(s):Worldwide;2013to2021;*CiscoSystem'sfiscalyearendsJulyofthatyear;forexample,thefiscalyear2021endedJuly31,2021.Previouslypartoftheserviceprovidervideosegment,theserviceprovidervideoCPEbusinesssegmentwas[...]ReadmoreSource(s):CiscoSystemsAnnualglobalrevenueofAdobeInc.fromfiscalyear2018to2021,bysegment(inbillionU.S.dollars)AdobeInc.:annualrevenuebysegment2018-2021DigitalMediaDigitalExperiencePublishingandadvertising141210811.529.237.716.3363.8743.132.82.0720.630.670.510.40201820192020202120Description:DigitalMediaisthelargestbusinesssegmentofAdobeInc.,withrevenuesamountingtoover11billionU.S.dollarsinthecompany's2021fiscalyear.DigitalMediaincludessolutionssuchastheCreativeandDocumentCloudofferings.Read

moreNote(s):Worldwide;2018to2021Source(s):AdobeCHAPTER

04CompetitorsbyusageConferencingSaaSrevenueworldwidebyvendorfrom1Q'18to1Q'20(inmillionU.S.dollars)GlobalconferencingSaaSrevenuebyvendor2018-2020ZoomCiscoLogMelnOthers900800700600500400300200100018510519511020012029029529022590451Q'181Q'191Q'2022Description:Whileothermajorvideoconferencingsoftware-as-a-servicevendorssawtheirrevenuesflattenoutorreduce,Zoomrecordeda148percentrevenuegrowth,from90millionU.S.dollarsinthefirstquarter2019comparedto225millioninthefirstquarterof2020.

ReadmoreNote(s):Worldwide;2018to2020Source(s):Statistaestimates;SynergyResearchGroupGlobalunifiedcommunicationsandcollaborationmarketsharefrom2ndquarter2020to4thquarter2020,byvendorGlobalunifiedcommunications&collaborationmarketshareQ22020-Q42020,byvendorMicrosoftCiscoZoomRingCentralOther120%100%80%60%40%20%0%Q2'20Q3'20Q4'2023Description:Asofthequarterof2020,Microsoftwastheleadingvendorintheunifiedcommunicationsandcollaborationmarket(UC&C)withamarketshareofapproximately35percent.Unifiedcommunicationandcollaborationtoolsenableorganizationstounifytheircollectionofcommunicationsolutionstoensurethatthetechnologyworkstogetherandoffersasecurecollaborationandcommunicationenvironment.Examplesareinstantmessagingandfilesharingapplications.ReadmoreNote(s):Worldwide;2021Source(s):IDCLeadingonlinecommunicationservicesusedonaregularbasisworldwideasofMarch2021Mostusedonlinecommunicationservicesworldwide2021Shareofrespondents20%

25%0%5%10%15%30%29%35%40%45%50%ZoomMicrosoftTeamsSkype46%25%GoogleChatCiscoWebexGoToMeetingSlack14%7%7%5%Other18%24Description:AccordingtoaMarch2021surveyofworkingadultsworldwide,46percentofrespondentsregularlyusedZoombothintheirprivatelifeandatwork.MicrosoftTeamsfollowedinsecondplace,with29percentofrespondentsindicatingtheyusedtheplatformforcommunicationpurposes.Microsoft-ownedserviceSkyperankedthird,with25percentofrespondentsselectingtheplatformastheirregularcommunicationtool.ReadmoreNote(s):Worldwide;March2021;18yearsandolder;dataconcerningworkingadultsin17marketsSource(s):YouGovZoomVideoCommunicationsmeetingsworldwidefrom2ndquarter2020to3rdquarter2021(inbillions)NumberofZoommeetingsworldwideQ22020-Q320213,5003,0003,0002,6002,5002,0002,0001,5001,00050079971010Q22020Q32020Q42020Q12021Q22021Q3202125Description:ZoomVideoCommunicationshadabout3000billionmeetingshostedworldwidefromJulytoSeptember2021.Therewasalsoasurgeinthenumberofmeetingsonzoomsincethefirstquarterof2021.Aslightdeclinewasseeninthesameyear'ssecondquarteronlytorecoverbythethirdquarter.

ReadmoreNote(s):Worldwide;2020to2022Source(s):ZippiaNumberofdailyactiveusers(DAU)ofMicrosoftTeamsworldwideasofApril2021(inmillions)MicrosoftTeams:numberofdailyactiveusers2019-2021160145140115120100806040200752082201720182019Q2'20Q4'20Q2'2126Description:ThenumberofdailyactiveusersofMicrosoftTeamshavealmostdoubledthepastyear,increasingfrom75millionusersinApril2020to145millionasofsecondquarterof2021.Duetotheimpactofthecoronavirus(COVID-19)outbreakandthegrowingpracticesofsocialdistancingandworkingfromhome,Microsofthasseendramaticincreasesinthedailyuseoftheircommunicationandcollaborationplatformwithinashortperiodoftime.MicrosoftTeamsispartofMicrosoft365,aset[...]ReadmoreNote(s):2017to2022Source(s):BusinessofApps;MicrosoftCHAPTER

05Specialfocus:UsebyregionDownloadsofZoommobileappworldwidefrom3rdquarterof2019to1stquarter2022,byregion(inmillions)ZoommobileappglobaldownloadsasofQ12022,byregionAPACEMEANALA14012010080129.01113.4588.8677.0459.9255.166051.0539.2850.1547.1940.3239.8639.3433.7538.3836.474028.6328.3425.6524.3919.9220.9312.3119.0317.9116.8176.48203.693.672.331.862.14

1.502019Q32019Q42020Q12020Q22020Q32020Q42021Q12021Q22021Q32021Q42022Q128Description:Inthefirstquarterof2022,themobileappofpopularvideocommunicationplatformZoomrecordedapproximately36.5milliondownloadsintheAsia-Pacificregion.Zoomgrewinpopularityin2020duetotheglobaloutbreakofcoronaviruspandemicanditsimpactonin-real-lifeenvironmentsandofflineactivities.Betweenthefirstandthesecondquarterof2020,downloadsoftheZoommobileappskyrocketedthankstothewidespreadadoptionofalternativecommunicationmedia[...]ReadmoreNote(s):Worldwide;Q32019toQ12022;GooglePlayandAppleAppStoreSource(s):AppMagicNumberofmonthlydownloadsoftheZoomappinFrancefromJanuary2019toMay2021(in1,000's)MonthlyZoomdownloadsinFrance2019-2021ApplestoreGoogleplaystore1,6001,4001,2001,0008006004002000Jan

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'2129Description:From2019to2020,thedownloadrateoftheZoomapp