WebEx 2002 Annual Report Download - page 5

When used in this Report, the words “anticipates,” “expects,” “intends,” “plans,” “believes,” “seeks,”
“estimates” and similar expressions are intended to identify forward-looking statements. These are
statements that relate to future periods and include, but are not limited to, statements as to our ability to
enhance the quality and variety of real-time communications, expected benefits of our products and
services, our ability to introduce new product offerings and increase revenue from existing products, our
ability to integrate current and emerging technology into our service offerings, expected expenses
including those related to sales and marketing, research and development and general and administrative,
anticipated increase in our customer base, expansion of our service offerings and service functionalities,
ability to reduce operating expenses, expected revenue levels and sources of revenue, expected impact, if
any, of legal proceedings, expected increases in headcount, the adequacy of liquidity and capital resources,
the sufficiency of our cash reserves to meet our capital requirements, expected growth in business and
operations, our ability to realize positive cash flow from operations, the ability of cash generated from
operations to satisfy our liquidity requirements, our ability to realize net earnings, and the effect of recent
accounting pronouncements. Forward looking statements are subject to risks and uncertainties that could
cause actual results to differ materially from those projected. These risks and uncertainties include, but
are not limited to, our dependence on key products and/or services, demand for our products and services,
our ability to attract and retain customers and distribution partners for existing and new services, our
ability to expand our operations internationally, our ability to expand our infrastructure to meet the
demand for our services, our ability to control our expenses, our ability to recruit and retain employees
particularly in the areas of sales, engineering, support and hosting services, the ability of distribution
partners to successfully resell our services, the economy, the strength of competitive offerings, the prices
being charged by those competitors, the risks discussed below and the risks discussed in Item 7,
“Management’s Discussion and Analysis of Financial Condition and Results of Operations—Factors that
May Affect Results.” These forward-looking statements speak only as of the date hereof. We expressly
disclaim any obligation or undertaking to release publicly any updates or revisions to any forward-looking
statements contained herein to reflect any change in our expectations with regard thereto or any change in
events, conditions or circumstances on which any such statement is based.
In the sections of this report entitled “Business” and “Management’s Discussion and Analysis of Financial
Condition and Results of Operations”, all references to “WebEx,” “we,” “us,” “our” or the “Company” mean
WebEx Communications, Inc.
Our trademarks include ActiveTouch, WebEx (word and design), WebEx bifurcated ball design, WebEx
power button design, WebEx.com, MyWebEx, Bringing the Meeting to You, MediaTone, Meeting Center,
WebEx Meeting Center, WebEx sound mark, Meeting-Enable Your Web Site, We’ve Got To Start Meeting Like
This, Powering Real Time Business Meetings, and One Button, Infinite Power. We also refer to trademarks of
other corporations and organizations in this document.
PART I
Item 1. Business
Overview
We develop and market services that allow end-users to conduct meetings and share software applications,
documents, presentations and other content on the Internet using a standard web browser. Integrated telephony
and web-based audio and video services are also available using standard devices such as telephones, computer
web-cameras and microphones. Because our services enable users to share voice, data and video with others in
remote locations, WebEx believes it can enhance the quality and variety of real-time communications compared
to traditional telephone communications. WebEx’s services enable users to engage in media-rich, interactive,
real-time communications without the need to be in the same physical location, thereby enabling WebEx
customers to be much more productive and efficient than they would be if they had to travel to the locations of
the other participants to achieve the same type of communication and interactivity.
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