Viavi Solutions Inc. · NASDAQ:VIAV
Viavi Solutions — JDS Uniphase — Investor Presentation (January 2002)
59 slides from Viavi Solutions's investor presentation, Jan 29, 2002
Slide 1: JDS Uniphase
Slide 2: Forward-looking statements
Certain statements in this presentation constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1934. “Forward-looking” statements are all statements made by us, other than those dealing specifically with historical matters and any statements we make about th
Slide 3: Unbridled Optimism
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Slide 4: Unbridled Optimism
Unbridled Optimism
Slide 5: Auto Pessimism
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Slide 6: Deep Pessimism
Deep Pessimism hj JDS Uniphase
Slide 7: Realistic Optimism
Realistic Optimism “i Ds Uniphase
Slide 8: Realistic Optimism
Realistic Optimism Ss SK 4 “i JDS Uniphase 2002
Slide 9: How are Carriers Responding?
How are Carriers Responding? =» Consolidation =» Incremental channel additions =» Changing economics with new technologies el} JDS Uniphase
Slide 10: Gb/s MSA Transponder
10 Gb/s MSA Transponder SR/IRLRTDM & DWDM. 10 Gb/s 4-Channel Tunable Transponder 10 Gb/s Small Form 10 Gb/s Tx/Rx Factor MSA Transponder OC-48 OC-48 MSA Transponders OC-48 MSA Discrete Modules 7 L =| 2.5Gb/s TDM XPDR 2.5Gb/s TDM Tx 2.5Gb/s DWDM Tx 10 Gb/s LR 1/4 Band Tunable Transponder 2.5Gb/s DWDM
Slide 11: Changing Economics with New Technologies
Ghanging Economics with New Technologies __ P $/Gbps/km Heduclg the cost / managed bit / km % loying services more rapidly Increasing productivity a value added services Cost da Capacity Wa JDS Uniphase
Slide 12: Ultra-Longhaul Systems
Ultra-Longhaul Systems hj JDS Uniphase
Slide 13: 40 Gb/s Systems
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Slide 14: 40G Systems
40G Systems 40 Gbls Systems Simplified Networks =» Fewer wavelengths to manage =» Reduced office congestion =» Improved reliability - fewer points of failure =» Reduced cost and complexity ae) JDS Uniphase
Slide 15: 40 Gb/s Transceiver
‘40 Gb/s Transceiver Intermediate Reach Link 40G Data Source 40G +13 dBm CW Laser Driver, 40Gb Transponder: Before 40 km of Fiber After Electrical Optical ae) JDS Uniphase
Slide 16: Chromatic Dispersion is a Huge Challenge at 40Gb/s
Ghromatic Dispersion is a Huge Challenge at 40Gb/s 1200 1000 jm Distance Limit 1000 800 £ a = 600 400 715 0 i 2.5 10 40 Gb/s ae JDS Uniphase
Slide 17: Tunable Dispersion Compensation
¢ _ Tunable Dispersion Compensation Tunable Dispersion SOA Preamp Compensator a Tunable Dispersion Compensator EDFA Preamp re JDS Uniphase
Slide 18: 40 Gb/s Transceiver
¢ _ 40 Gb/s Transceiver _ ~ Measured Eye Diagrams: 40 km (Aeq init Test) Waveforms: 1000__ 40 km Uncompensated 40 km Compensated (CDC Only) wa JDS Uniphase
Slide 19: Polarization Mode Dispersion Compensation
Polarization Mode Dispersion Compensation CTT TT Polarization Controller time PMD Compensatio Diagram WITH PMD Ca ra JDS Uniphase
Slide 20: New Customer
New Customer. New Customer let) JDS Uniphase
Slide 21: Wavelength Switch System Applications
Wavelength Switch System Applications Dynamic Mesh on Optical Rings © Full or partial mesh - any. wavelength to any other node All nodes identical, easy planning @ Fast remote bandwidth upgrades © Rapid setup / tear down of bandwidth for changing traffic patterns a) JDS Uniphase
Slide 22: Wavelength Switch System Applications
Wavelength Switch System Applications All Optical Ring Interconnect % Eliminate regenerators and OXC between rings % Allows easy transition to Mesh on existing ring fiber base Y ering a) JDS Uniphase
Slide 23: Scalable Wavelength Crossconnect
Scalable Wavelength Crossconnect Using 4x4 Switches Control al JDS Uniphase
Slide 24: Scalable Wavelength Crossconnect
Scalable Wavelength Crossconnect Using 4x4 Switches a) JDS Uniphase
Slide 25: Lower noise amplification
f* ® Lower noise amplification @ Increased reach ®@ Responds to system dynamics at JDS Uniphase
Slide 26: Dynamic Gain Equalizer
Dynamic Gain Equalizer =» Provides controlled attenuation across the C or L band to ee eso compensate for power imbalance in optical fiber links =» Attenuation range: >10dB Input ee} JDS Uniphase
Slide 27: Content and Demand Drive Long-Term Growth
Content and Demand Drive Long-Term Growth
Slide 28: Traffic Continues to Grow
/ _ Tifaffic Continues to Grow Historical and Forecasted Traffic Growth 10,000,000,000 1,000,000,000 100,000,000 10,000,000 1,000,000 100,000 10,000 1,000 100 “AL SS LL LL eS 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 197 1998 1999 2000 2001 2002 2003 2004 2005 TB/Month jum ~Data So
Slide 29: Business Bandwidth Use Growing Today...
Business Bandwidth Use Growing Today... Vy Video Az Data Services 3 Video 4 Data Services INFORMATI TECHNOLO ae) JDS Uniphase
Slide 30: Business Bandwidth Use Growing Today...
Business Bandwidth Use Growing Today... ___ —] re a 8 Local end users (LAN) SAN DWDM gateway system Storage devices (SAN) 1 JDS Uniphase
Slide 31: Expanding Product Portfolio
Expanding Product Portfolio __ iii, i ID 10 Gigabit Ethernet “Zt JDS Uniphase
Slide 32: Bandwidth Demand
Bandwidth Demand
Slide 33: Bandwidth Demand
Bandwidth Demand
Slide 34: Entertainment and Data Services
Ny Entertainment Xz Data Services
Slide 35: Broadband Household Penetration, 2000
¢ _ Broadband Household Penetration, 2000 —_— Ue, 2 aaseeseeaane ee Hong Kong....... 8 Canada............ a a Singapore....... I 1% Qa a> Korea............. 30% a” > Tat JDS Uniphase
Slide 36: The Internet Today—A Crude Version of the Future
The Internet Today— A Crude Version of the Future
Slide 37: Chicken or the Egg...
Ghicken or the Egg... Bandwidth-Intensive Broadband Dep! it A oltations roadband Deploymen at JDS Uniphase
Slide 38: New Infrastructures Open Up New Worlds
New Infrastructures Open Up New Worlds
Slide 39: A Truly End-to-End Network
AT ruly End-to-End Network Access/CATV i, y) Long Haul Lin WN Enterprise Submarine Ultra- Long Haul ong TI Te] JDS Uniphase
Slide 40: Slide 40
Slide 41: Re-engineering JDS Uniphase
Re-engineering JDS Uniphase Closing and Consolidating Operations 4/2001 9/2001 12/2001 7 JDS Uniphase
Slide 42: Re-engineering JDS Uniphase
Py 4 Re-engineering JDS Uniphase 7 6.3 million square feet rm JDS Uniphase
Slide 43: Re-engineering JDS Uniphase
TE: Re-engineering JDS Uniphase in WOU 4-4 million square feet a Tt JDS Uniphase
Slide 44: Re-engineering JDS Uniphase
Ry 4 e-engineering |DS Uniphase a g S 2np! ; Reducing Global Workforce @ February, 2001—29,000 employees @ June, 2001—20,000 employees January, 2002—I 1,000 employees 15,000 10,000 5,000 0 Tt JDS Uniphase
Slide 45: Global Realignment Program
L - 4 bal Realignment Program Ey 8 bs wt JDS Uniphase
Slide 46: Expanding Low-Cost Manufacturing
Expanding Low-Cost Manufacturing
Slide 47: JDS Uniphase and Adept Alliance
JDS Uniphase and Adept Alliance “i sDs Uniphase
Slide 48: Modular Design Approach to Manufacturing
Modular Design Approach to Manufacturing fier:
Slide 49: Leveraging IT Investments
Leveraging IT Investments Customer Service Supply Chain Management Finance Order Management et} JDS Uniphase
Slide 50: Renewed Focus on Operational Excellence
Renewed Focus on Operational Excellence Business Unit Focus
Slide 51: Sized to Respond
Sized to Respond =® Sized to break-even below $350M in quarterly sales = 55% marginal profitability on sales increases Significant Improvement in Operating Leverage wt JDS Uniphase
Slide 52: Te]
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Slide 53: How Will Our Business Recover?
How WVill Our Business Recover? = Initial capital spending increases absorbed by inventories =» Gradual transfer of business turn to component and module suppliers — System supplier conservatism — Metro and enterprise healthier initially — Some customers will need some parts — Growing impact of new
Slide 54: Sales
Sales 2 Po ae Pro-Forma including SDL sales for Dec '00 and Mar ‘01 1,200 1,000 800 $Millions 600 Dec _ Mar June Sept Dec Mar June — 7a JDS Uniphase
Slide 55: Q3 FY01 to Q2 FY02
Q3 FY01' Q4F Q1 FY02 Q2 FY02
Slide 56: End-to-End Product Portfolio
End-to-End Product Portfolio yee @- a ale “all e it JDS Uniphase
Slide 57: A Truly End-to-End Network
AT ruly End-to-End Network Access/CATV i, y) Long Haul Lin WN Enterprise Submarine Ultra- Long Haul ong TI Te] JDS Uniphase
Slide 58: Value Proposition to Customers
Value Proposition to Customers _ i i
Slide 59: Slide 59