Symphonict Business
December 4, 2023
Osamu Kikuchi, Senior Vice President & CDO
Executive General Manager, DX Solutions Business Unit
NEC Networks & System Integration Corporation（TSE: NESIC, 1973)© NEC Networks & System Integration Corporation 2023

Self Introduction

Osamu Kikuchi

Senior Vice President & CDO
Executive General Manager, DX Solutions Business Unit

顔写真（胸から上）

Career profile
Joined the Company in 1990.
Mr. Kikuchi engaged in the development of software for central switchingsystem before being assigned to the workstyle innovation related businessin 2015.
He became involved in SmoothSpace, which connects remote offices in alife-sized manner and the launch of Zoom’s Japanese operations.
In 2019, he was stationed in the United States to strengthen collaborations
with startups.
In 2022, he became the Executive General Manager of the former Business
Design Operations Unit.
Assumed his current position in 2023

Favorite proverb
If you want to go fast, go alone. If you want to go far, go together.
1© NEC Networks & System Integration Corporation 2023

Symphonict Leads Company-wide DX BusinessStarting with Symphonict, we connect company-wide operations to expand our DX businessRealize a growth spiral through the creation of opportunities to make proposals and establish arecurring relationship with customers

Workstyles and DX
Communication andDX

Next-generation
networks and DX

Public sector and DX

DX Solutions
Business

Network Solutions
Business

Environmental & Social
Solutions Business

Solve management problems

2© NEC Networks & System Integration Corporation 2023

Solve social problems

Our Goal with Symphonict
The goal is to change from being an NIer/SIer to being a DX partner
Become more than just a system integrator:
the one and only company for our customers

Business growth potential
Differentiation fromcompetitors
Adaptation to the era of VUCA

3© NEC Networks & System Integration Corporation 2023

DX-basedinnovation
becomes moreroutine

Contribution to customers
and society
Creation of new businesses
Improvement of agility

What Customers Want to Do in the DX Age✓

Achieve the most advanced DX quickly and change our business model• Utilize data analysis, AI and the other latest technologies to change our business model,
increase customers’ evaluations of us and establish competitive advantages in the market✓ Efficiently and effectively promote DX in preparation for future changes• Optimize CAPEX and OPEX to continue to change our business model• Additionally, utilize existing systems well
• Quickly and effectively achieve DX in preparation for unexpected changes in the future✓ Ensure the advanced use and safety of network security• Use high-speed and low-latency networks comfortably to facilitate the use of multi-cloud systems• Stabilize network operation and protect information against security threats
4© NEC Networks & System Integration Corporation 2023

The Way Services are Supposed to be Provided in the DX Age

New technologies and products aresuccessively created in the DX age
Even AI is taken for granted

Irrespective of the size of the company,

systems for quickly and easily connecting
new technologies and services to customers’ existing
environments will be in demand5© NEC Networks & System Integration Corporation 2023

What is Symphonict? (Concept)

A DX service supporting customers intheir solving their management problems
based on our self-implementation
experience in harnessing DX solutions.
By connecting services, functions, existing
businesses, etc., Symphonict can be:• quickly introduced, starting small; and• flexibly adapted to the customer's situation

6© NEC Networks & System Integration Corporation 2023

What Symphonict Connects
It quickly and easily connects multi-cloud systems, ICT infrastructure and internal systems

slack

Multi-cloud system (API)boxTeamszoom

De-facto standard cloud services

Thought
Spot
Sales
force

…
Personnel data
Accounting data
Production data,etc.
Other / ICT
infrastructure
Sensor data
IoT
Voice

Physical security
Video-related

ICT infrastructure (network)
Cameras, sensors, terminals and other existing
ICT equipment

Internal systems (data)
Existing internal systems for personnel affairs,
accounting, placing/receiving orders, etc.
API: Application Programming Interface

7© NEC Networks & System Integration Corporation 2023

DX Services Provided by Symphonict
This is an integration service promoting customers’ DX
It can help customers quickly develop, safely introduce and efficiently operate DX
Continuously support
customers' business reforms
Efficiently and effectively
promote DX

System integration
ICT infrastructure, physical security and other SI services

Digital integration

Managed services
DOCNOCDX service
platform

System integration

SI services for the introduction of digital technologies, such as
cloud computing, AI and the use of data

Next-generation network security

SOC

Secure network SI service compatible with the use of the cloud

Next-generation
network security Digital integration

Managed services
Digital BPO service supporting customers' DX

Increase the sophistication ofthe use of network security
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Quickly and smoothly
achieve DX
DOC: DataCenter Operation Center NOC: Network Operation Center SOC: Security Operation Center

Symphonict Services
Combine services and functions demonstrated through self-implementation, and use integration
services

Customers’ expectation
Quickly achieve the most advanced DXand reform businesses
Efficiently and effectively implement DX
and optimize investment costs

Practical services (example)
Workstyle DX

Structuralfunctions

Management Digital twins
dashboard

Visualize workstyles andproductivity

DX service platform

Automation of processes
Management and sales data,
AI analyses and forecasts

Data linkage andaccumulation…

AI analysis and forecasting
Authentication andAI-based voice and image other unique functions
analysis

Securely use networks/security systems
with stable quality

Operational DX
Visualize the status of use ofcloud computing systems

zoomslackboxTeamsThought
SpotSales
force…

9© NEC Networks & System Integration Corporation 2023

NaaS: Network as a ServiceDOC
NOC

Network security

Visualize security
NaaS…

SOC
Sensor data
IoT

Voice

Videorelated

Physicalsecurity

Other / ICTinfrastructureSymphonict's Goals and Roles (Shift to a Recurring-Type Business Model)
Facilitate a hybrid business combining project-type existing businesses with DX services
Approached flexibly from any phase  Accelerating the transition to recurring-type business modelManagement
dashboard

Communication

Use Symphonict tocirculate businesses

Approached fromDX businesses

ICT infrastructure

Video equipment

Broaden the scope ofApproached from proposals
and strengthen
existing businesses the customer baseReceive more orders andstabilize profit throughinternal cooperation

Hybrid work

Voice and network

Digital twins
Ecosystems with vendors

10© NEC Networks & System Integration Corporation 2023

Facilities andconstruction

Symphonict's Goals and Roles (Impact on NESIC)
Facilitate the change to a recurring-type business model, increase
added value and stabilize and increase profit
Expand profit opportunities

Streamline/Speed-up

Accelerate DX

Expand businesses in a hybrid
project-type-service-type mannerand increase opportunities tomake proposals

Standardize independentcompany-wide services
Speed up the provision of services
to customers

Connect all data to increase thesophistication of NESIC
and inform customers of results topromote sales

Combine existing businesses with digitaltechnologies to make proposals
Accompany customers and propose
improvements

Standardize services and share expertisethroughout the company
Effectively utilize
and properly allocate
Hybridhuman resources

Shift the internal ICT system to a systemusing cloud computing and increase its
sophistication by connecting data.

business size per customer increases

Streamline development and speed
up the provision of services

Modernization

Create opportunities to propose
solutions to customers

Improve safety and quality

Increase and improve DX services

11© NEC Networks & System Integration Corporation 2023

Factors Differentiating NESIC from Competitors
1. DX services provided in a one-stop manner from the worksite to the cloud
Efficient services backed by a history of self-implementation, the optimal introduction of DX based on a thoroughunderstanding of customers’ on-site environments

2. Flexibility and agility (always using the most advanced, optimal cloud services)
Agility independent of specific products or vendors and an assortment of DX services with new venture discovery systems
in North America and other regions

3. Speed (It is possible to connect systems to the cloud services that the customer is using.)
Projects can start small, maximally using the customer's environment

4. Secure (customers' data can be managed in our data center)
Utilize abundant expertise in SI and integrated public and private hybrid environments

Self-implementation and branding (workstyle innovation),
extensive industries/large-scale SI capabilities, advanced DX/network professionals
12© NEC Networks & System Integration Corporation 2023

Symphonict Business KPIs (Sales from the DX Solutions Business in Strategic Areas)*(¥Bn.)

CAGR: +42%5035Sales

Use Symphonict to reform existing businesses
Regard high value-added strategic areas as KPIs
and focus on them
* Strategic areas:

Workstyle DX, next-generation network security,
municipal DX, data analysis/utilization, digital twins

24.9
・Existing businesses and high value-added services
Note: This does not merely involve selling platforms+40％

・Build recurring relationships with customers

1410

FY23/3(Actual)
131H

FY24/31H(Forecast)© NEC Networks & System Integration Corporation 2023

FY25/3(Target)

Note: Symphonict leads a company-wide DX business. In the current
Medium-term Management Plan, sales of strategic areas in theDX solution business are regarded as Symphonict's KPIs.

Cautionary Statement
Forecasts and targets of results mentioned in this document are future estimates and are thus
inclusive of risks and uncertain factors since they are not based on definite facts. Please be aware that avariety of factors could cause actual results to differ significantly from those projected. The majorfactors affecting actual results include the economic climate and social trends surrounding the businessof this Company’s group, consumer trends vis-a-vis systems and services provided by this Company’sgroup, as well as pressure to lower prices and ability to cope with the market in response to intensifiedcompetition.

Factors affecting results are not limited to the ones mentioned above.

14© NEC Networks & System Integration Corporation 2023

https://www.nesic.co.jp/english/ir/