Chief Telecom Inc. · TPEX:6561

Chief Telecom — Investor conference (February 2023)

41 slides from Chief Telecom's conference presentation, Feb 21, 2023

1. Slide 1: Chief Company Introduction

   Chief Company Introduction Stock Code：6561 Feb. 21, 2023 https://www.chief.com.tw

2. Slide 2: Company Profile

   CHAPTER 1 Company Profile

3. Slide 3: 1. Chief Profile

   1. Chief Profile Founded Jan. 19, 1991 Capital NT$ 707,448,810 Major Products IDC Services Cloud Services Data Network Services Voice Services Exchange Services Telecom Operational License ISP、Internet 、LLC VPN 、 ISR 、070 VoIP International Bandwidth B&S World-class IDC Buildings Chief ESG Report Ce

4. Slide 4: 2. Company History

   2.Company History 1990 2022 1991 2016 2020 Founded Apr. - Chief Subsidiary awarded ISP/VPN Jan. - Newly added 20G network backbone to each of Japan and Singapore telecom license in Shanghai Jul. - Provide Oracle cloud DX to Tokyo 2000 Aug. -Promote Health Cloud service via Set up first IDC to 2017 C

5. Slide 5: 3. Company Positioning

   3. Company Positioning Specialization/ Sharing/ Collaboration/ Multi-winners Platform + Connectivity + Value + Carrier Neutral 5

6. Slide 6: 4. Platform+

   4. Platform+ © CHIEF | #4 SIDD+WA

7. Slide 7: 5. Connectivity+

   5. Connectivity+ Global Internet & Network Type I : Int’l Carriers HGC PCCW NTT GCX Type II : Singtel Telstra Submarine Operators Type III: Int’l ICP & Cloud Google AWS CHT FB Service Providers TFN FET Azure Type Ⅳ: Domestic Carriers & ISP Multiplier effect Enterprise Customers ERP | CRM | Cloud Con

8. Slide 8: 6. Value+ (Clustering Magnetic Attraction Effect)

   6. Value+ ( Clustering Magnetic Attraction Effect) Chief Telecom is based on carrier neutral position to attract domestic and international carriers, submarine cable operators, content providers and Customers cloud service providers for colocation in Chief IDC buildings. With the business developmen

9. Slide 9: 7. Major Customers

   7. Major Customers Domestic Carriers International Carriers Chief Solution Enterprise Customers Global Cloud Providers TPIX Members 9

10. Slide 10: 8. Corporate Governance & ESG Execution

    8. Corporate Governance & ESG Execution  Set up a corporate governance supervisor, Establishment of Sustainability Committee and Risk Management Committee  Complete 2021 ISO-14064-1 GHG emission inventory & certification  Complete 2021 ESG report and upload to the TWSE  In 2023, plan to raise th

11. Slide 11: Recent Years Finance Performance

    CHAPTER 2 Recent Years Finance Performance • Revenue & Gross Margin • Net Margin & EPS • Percentage of Dividends • Product Service Revenue Percentage

12. Slide 12: 1. Revenue & Gross Margin

    1. Revenue & Gross Margin Unit: NT$K 3,500,000 60.0% 3,000,000 50.0% 2,500,000 40.0% 2,000,000 30.0% 1,500,000 20.0% 1,000,000 10.0% 500,000 0 0.0% 2018 2019 2020 2021 2022 營業收入 2,272,362 2,400,002 2,564,649 2,801,046 3,080,306 毛利率 39.3% 42.0% 43.7% 44.8% 47.7% 12

13. Slide 13: 2. Net Margin & EPS

    2. Net Margin & EPS Unit: NT$ 14 30.0% 12 25.0% 10 20.0% 8 15.0% 6 10.0% 4 5.0% 2 0 0.0% 2018 2019 2020 2021 2022 每股盈餘(註) 7.41 7.83 8.67 9.75 11.85 淨利率 21.4% 22.75% 23.80% 24.52% 27.18% 13

14. Slide 14: 3. Percentage of Dividends

    3. Percentage of Dividends NT$ 14 12 10 10 9.3 8.8 8 8 7.5 6 4.97 4 2 0 2017 2018 2019 2020 2021 2022 Year Note：2022dividends include 9 dollars cash dividends plus one dollar stock dividend (total 10 dollars) 14

15. Slide 15: 4. Product Revenue Percentage

    4. Product Revenue Percentage 100.0% 11.0% 9.8% 8.6% 7.7% 11.9% 90.0% 8.4% 11.2% 13.5% 15.3% 16.1% 80.0% 70.0% 60.0% 52.3% 49.6% 47.6% 46.7% 45.0% 50.0% 40.0% 30.0% 20.0% 28.2% 29.1% 29.4% 31.2% 27.4% 10.0% 0.0% 2018 2019 2020 2021 2022 語音通信服務 雲端應用服務 數據網路服務 IDC機房服務 15

16. Slide 16: Product Line Introduction

    CHAPTER 3 Product Line Introduction

17. Slide 17: Product Line Introduction

    Product Line Introduction Chief Company Introduction https://youtu.be/GwYa4Bw9lnM IDC Service Data Service Cloud Service Exchange Center Voice Service ISO Information Security Quadruple Certification & DCOS-4 Certification 17

18. Slide 18: 1. IDC Colocation Services – Carrier Neutral

    1. IDC Colocation Services – Carrier Neutral  World-class carrier neutral IDC to provide high quality IDC services  World-class IDC SLA  Customized design and deployment  7X24hrs NOC  ISO & DCOS certified  Complete connection for L.Y. H.D. domestic/international optical network  Fiber ring am

19. Slide 19: 1.2 Located in The Center of East Asia

    1.2 Located in The Center of East Asia to Attract Global Service Providers to Set up Regional Center Both Google & Microsoft already Set up Regional Data Centers in Taiwan Chief 4th IDC L.Y.2 Attract Global Service Providers to Set up Regional Data Service Centers at L.Y.2 19

20. Slide 20: 2.1 Data Service – Global Internet Services

    2.1 Data Service – Global Internet Services • Complete resources of domestic bandwidth and international bandwidth • An important internet service hub in Taiwan International Carriers Domestic Telecom TWGate & Submarine Cable Operators APBT CT Global Operators ICP/CDN HiNet HE FET GCX TFN TWIX Other

21. Slide 21: 2.2 Data Service_ IPLC

    2.2 Data Service_ IPLC  IPLC can be used as an end-to-end physical transmission path for important branches of multinational enterprises.  With stable and high-performance dedicated fixed bandwidth services to provide customers with various applications of the actual transmission requirement.  Su

22. Slide 22: 2.3 Data Service Global VPN

    2.3 Data Service Global VPN (virtual private network) With forward-looking network deployment and complete enterprise solutions to expand global VPN services. Northern China Global VPN Network Beijing/Tianjin /Qingdao Vancouver Central China Seoul Tokyo Chongquing/Wuhan Chengdu/Hefei Eastern China S

23. Slide 23: 3.1 Cloud Service _Comprehensive

    3.1 Cloud Service _Comprehensive PaaS Application Service Customer Service Portal Enterprise Cross-cloud & Hybrid Cloud Solutions SaaS Application Cloud Exchange Service Cloud Platform Security Industrial Applications Solution Enterprise Cloud Storage • Enterprise Business Applications • Big Data、EC

24. Slide 24: 3.2 Cloud Service _ IaaS Solution

    3.2 Cloud Service _ IaaS Solution Cloud Service - IaaS Level Cloud Customer Self- Cloud Cloud Storage Network Security management Computing Data Sharing Integration Detection Service VM SLB &Defense Cloud Application Service Deployment System Cloud Resource and Service Management System System Platf

25. Slide 25: 3.3 Cloud Service _SaaS Application

    3.3 Cloud Service _SaaS Application _ Easy to control health status Chief i Health App Convenient collection of health data  "Personal Health Information"  Health Kit & Google Fit data collection management platform  Wearable and measuring device data upload  Chinese Smart Health Risk Analysis 

26. Slide 26: 4.1 Taipei Cable Exchange Center (TPCX)

    4 .1 Taipei Cable Exchange Center (TPCX) • Private cables (NCC licensed Pacnet/Telstra, TIGC, Reach, GCX) and consortium cables are connected in Chief IDC site, most of fixed network operators in Taiwan all set up PoPs in Chief IDC site for submarine cable interconnection. • Chief TPCX is only one p

27. Slide 27: 4.2 Taipei Internet Exchange Center (TPIX)

    4.2 Taipei Internet Exchange Center (TPIX) TPIX provides internet traffic exchange service for both international and domestic customers. TPIX is a world class Internet exchange hub. Social Search CDN F G AKI Network Engine Operator Cloud E-commerce A Multimedia N M Operator International TPIX ranke

28. Slide 28: 4.3 Chief Cloud eXchange (CCX)

    4.3 Chief Cloud eXchange (CCX) Public Cloud • High Speed • Safety • Compliance CCX Direct Connect Private & Secure Channel Public Internet Congestion & Security Risks Enterprise Data Center 28

29. Slide 29: 5. 070 Cloud PBX & ISR Services

    5. 070 Cloud PBX & ISR Services 070 VoIP: 1st choice for Cloud PBX Service Cross-Operator/Network/Platform/Device NCC E.164 Numbers for worldwide use. Support PC 、NB、Pad、Mobil phone Support mobile、ADSL、 VPN 、 Wi-Fi Cloud IP-Centrex Management Center Provide IP-Centrex Customer web portal to manage s

30. Slide 30: 6. Multi-Product Lines to Drive Growth Curve

    6. Multi-Product Lines to Drive Growth Curve TPIX APP Cloud SaaS High speed applications internet Vertically Enrich Product Complete Carrier Lines, Horizontally Multi- ICT solutions Platform, and Cross-border Neutral Strategic Layout - Multi-cloud/ Hybrid cloud Local data solutions storage Cloud Dir

31. Slide 31: Global Trends & Business Focus

    CHAPTER 4 Global Trends & Business Focus • Global Trend • Business Focus

32. Slide 32: 1.1 Global Trends

    1. 1 Global Trends Imagine the future…. High speed global AI Robots connectivity data stream and transmission exchange will have explosive growth 6G IoT HPC Smart City Digital Life Cloud Service VR/AR 32

33. Slide 33: 1.2 Global Cloud and IDC Market Trends

    1. 2 Global Cloud and IDC Market Trends Note1: Global cloud service market in 2022~2030 CAGR 17.43% (Source: Precedence Research); Amazon(34%)/Microsoft(21%)/Google(11%)/Alibaba(5%)/ IBM(3%) Top 5 CSPs account for 2/3 public cloud market (Source: Synergy Research Group) 。 Note 2: Global IDC service

34. Slide 34: 2.1 Business Development Focus

    2.1 Business Development Focus Taiwan island-wide Chief Campus optical ring Smart Health Service Expand CCX and Cloud Partners Enrich Network and 4thIDC(LY2) Telecom Resources Domestic and Expand TPIX and International International Network Symbolic Leading Backbone Ring Customers SDWAN & East Asia

35. Slide 35: 2.2 L.Y.2 IDC - Digital Convergence Center Connectivity Hub

    2.2 L.Y.2 IDC- Digital Convergence Center Connectivity Hub 2024 Q1 Commercial Service 16,500 sqm Floor Area 20 MW Power Capacity LRB Seismic Isolation Design (A series magnitude 7.0 earthquakes) Floor Loading 2,000 kg/m2 Green/Smart Building Design 35

36. Slide 36: 2.3 Three Rings Three Lines - Domestic and International Network Resources

    2.3 Three Rings Three Lines - Sufficient Domestic and International Network Resources China North-east Asia Danshui Station Complete Domestic and International South-east Asia Bali Stration USA Optical Networks Japan Europe • Taipei Ring: optical fiber network to Taipei Hsinchu Ring connect 4 IDC bu

37. Slide 37: 2.4 Expand International Backbone and Cooperate with Partners in East Asia

    2.4 Expand International Backbone and Cooperate with Partners in East Asia 1 The 1st carrier The 1st IXP st neutral IDC in (TPIX) in Taiwan Taiwan Korea Japan China The 1st cloud The major exchange submarine Hong Kong Thailand cable India gateway in Philippines Taiwan gateway in Cambodia Vietnam Tai

38. Slide 38: 2.5 Leverage Chief Campus to Satisfy Cloud + Network + Security Demands

    2.5 Leverage Chief Campus to Satisfy Cloud + Network+ Security Service Demands Chief Campus Service Coverage: from point to line and area CSPs Upstream data service providers 雲端/資安原廠服務 商 CHIEF Campus + Internet + IEPL Chief Digital Service Providers’ Industry Specific Ecosystem Solutions Application

39. Slide 39: 2.6 Chief Telecom Flywheel

    2.6 Chief Telecom Flywheel 2024 Q1 New IDC in Service • Neutrality and Connectivity • IDC Alliance One-stop shopping for Platform and connectivity products and services, to support more Combined with professional Complete and rich ecosystem, application scenarios, and constancy service to More appli

40. Slide 40: East Asia Digital Convergence and AI, Cloud Business Application Center

    V、 East Asia Digital Convergence and AI、 Cloud Business Application Center Taiwan is located in the center of Eastern Asia region, through customer clustering magnetic attraction effect. The company vision of Chief Telecom is to become East Asia Digital Convergence & AI、Cloud Business Application Ce

41. Slide 41: 2F, #68, Ruiguang Rd., Nei-hu T: 886-70-1018-6688 Dist. Taipei 11491, Taiwan,

    11491 台北市 2F, #68, Ruiguang Rd., Nei-hu T: 886-70-1018-6688 chief.com.tw 內湖區瑞光路 Dist. Taipei 11491, Taiwan, F: 886-2-2657-6728 68 號 2 樓 R.O.C.

Chief Telecom — Investor conference (February 2023) on 6ix