Investor Day

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC.

Agenda

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC.

9:00AM Investor Day Presentations

Lloyd Carney, CEO

Jack Rondoni, VP, Storage Networking

Jason Nolet, SVP, Switching, Routing, and Analytics Products Group

Kelly Herrell, SVP & GM, Software Networking Business Unit

Dan Fairfax, CFO

11:30AM Q&A All Speakers

12:00PM Lunch Speaker-Hosted Tables

1:30PM Event Conclusion

This presentation, with prepared remarks, contains forward-looking statements including, but not limited to, statements regarding Brocade’s financial results, goals, plans, assumptions, strategy, business outlook, revenue, margins, expenses, taxrate, earnings, cash flows, capital expenditures, stock buybacks and prospects. These statements may contain forecasts and projections of Brocade’s future financial performance that are based upon a variety of estimates made by Brocade’s management that are subject to periodic revision based on actual experience and developments occurring since the date the forecasts and projections were prepared. These statements, forecasts and projections are based on current expectations as of the date of this presentation and involve a number of risks, uncertainties and assumptions that may cause actual results to differ significantly. The risks, uncertainties and assumptions include, but are not limited to: the e ffect on Brocade of increasing market competition and changes in the industry; Brocade’s ability to execute on its sales strategy and plans for future operations; the impact on Brocade of macroeconomic trends and events and changes in IT spending levels; Brocade’s ability to introduce and achieve market acceptance of new products and support offerings on a timely basis; risks associated with Brocade’s international operations; and integration and other risks associated with acquisitions , divestitures and strategic investments. These and other risks are set forth in more detail in Brocade’s Form 10-Q for the fiscal quarter ended August 1, 2015 and in Brocade's Annual Report on Form 10-K for the fiscal year ended November 1, 2014. Should any of our expectations or assumptions change or prove to have been incorrect, it could materially affect the ultimate accuracy of these forward-looking statements, forecasts and projections. Brocade expressly assumes no obligation to update any such forward-looking statements, forecasts and projections whether as the result of new developments or otherwise.

In addition, this presentation includes various third-party estimates regarding market share and other measures, which do not necessarily reflect the views of Brocade. Further, Brocade does not guarantee the accuracy or reliability of any such third-party estimates.

Cautionary Statements and DisclosuresPlease See Risk Factors on Form 10-Q and Form 10-K Filed with the SEC

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC. COMPANY PROPRIETARY INFORMATION 3

To supplement financial information presented on a GAAP basis, Brocade provides information presented on a non -GAAP basis. Thesenon-GAAP financial measures are not computed in accordance with financial information presented on a GAAP basis. The presentatio n of this additional information is not meant to be considered in isolation or as a substitute for the most directly comparable GAAP measures. The most directly comparable GAAP information and a reconciliation between the GAAP and non-GAAP amounts is provided in the appendix to this presentation unless such information is not available without unreasonable effort.

Management believes these non-GAAP financial measures, when read in conjunction with Brocade’s GAAP financials, provide useful information to investors by, among other things, offering the ability to make more meaningful period-to-period comparisons of Brocade’s ongoing operating results.

Management excludes certain gains or losses and benefits or costs in determining non-GAAP financial measures that are the result of infrequent events or events that arise outside the ordinary course of Brocade’s continuing operations. Management believes th at it is appropriate to evaluate Brocade’s operating performance by excluding those items that are not indicative of ongoing operating results or limit comparability. Such items include, but are not limited to: (i) acquisition and integration costs; (ii) restructuring , goodwill impairment and other related costs (benefits); and (iii) gain on sale of non-marketable equity investments. Management also excludes the following non-cash charges in determining non-GAAP financial measures: (a) stock-based compensation expense; (b) amortization of purchased intangible assets; and (c) non-cash interest expense related to the convertible debt. Finally, management believes that it is appropriate to exclude the tax effects of the items noted above in order to present a more meaningful measure of non -GAAP net income.

These non-GAAP financial measures have limitations because they do not include all items of income and expense that impact the company. In addition, these non-GAAP financial measures may not be comparable to similar measurements reported by other companies. Management compensates for these limitations by relying primarily on its GAAP results and using non -GAAP financial measures only supplementally. Management also provides robust and detailed reconciliations of each non-GAAP financial measure toits most directly comparable GAAP measure (unless such information is not available without unreasonable effort), and managem entencourages investors to review carefully those reconciliations.

Cautionary Statements and DisclosuresUse of Non-GAAP Financial Measures

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC. COMPANY PROPRIETARY INFORMATION 4

Driving Growth in FY 2016 and Beyond

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC.

Key Accomplishments

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC.*YTD INCLUDES Q1 FY15 THROUGH Q3 FY15

MAINTAINED SAN LEADERSHIP

EXCEEDED IPNETWORKING

TARGETS

DELIVERED SOFTWARE TRACTION

GREW IN ALL KEY GEOs/U.S. FED YTD*

COMPLETED TWOACQUISITIONS

INCREASEDPROFITABILITY

ENHANCED SHAREHOLDER

VALUE

SOLIDIFIED LEADERSHIP TEAM

6

Progress to Date vs. Fiscal 2015-2016 ModelResults include Q1-Q3 FY15

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC.

1 NON-GAAP, PLEASE GAAP TO NON-GAAP RECONCILIATION IN APPENDIX TO “FINANCE MODEL UPDATE” SLIDES.2 ADJUSTED FREE CASH FLOW EXCLUDES THE RECLASSIFICATION OF THE EXCESS TAX BENEFITS FROM STOCK-BASED COMPENSATION

Target Progress YTD

SAN Revenue 0–2% Growth Down 2.5%

IP Networking Revenue 8–12% Growth 16% Growth

Software RevenueMeaningful Revenue

in FY15Key Account

Traction

Gross Margin (Non-GAAP)1 66–67% 68.6%

Operating Margin (Non-GAAP)1 25–27% 26.7%

ShareholderReturn

60% Adjusted Free Cash Flow2

~140% Adjusted Free Cash Flow2

7

Enterprise Storage Capacity Continues Unabated

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC. 8SOURCE: IDC MAY’15 WW ENTERPRISE STORAGE FORECAST, IDC# 256302

-

10,000

20,000

30,000

40,000

50,000

60,000

CY2012 CY2013 CY2014 CY2015 CY2016 CY2017 CY2018 CY2019

Cap

aci

ty in

Pe

tab

yte

s

FC SAN

NAS

iSCSI

DAS

FCoE SAN

Mainframe SAN

InfiniBand

0

IDC’s Storage Capacity Forecast: 32% CAGR (2015/2019)

FC SAN: 30% CAGR (2015/2019)

BASED ON WEIGHTED AVERAGE

SAN Market ChallengesFY 2015

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC.

Vendor Landscape Changes

Embedded Server andLow-End Switch Weakness

9

Our Execution = Our SuccessFY 2016 to FY 2017

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC.

Partner Diversification

Incremental SAN Revenue Opportunities

Emerging IP Storage

10

Building on IP Networking SuccessContinue to outpace market growth

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC.*YTD INCLUDES Q1 FY15 THROUGH Q3 FY15

Portfolio Success

Up 24% YTD*Data Center

Switching (VDX)

Up 29% YTD*Routing

Up 5% YTD*Enterprise Campus

Growth in Every Major GEO YTD*

Up 44% YTD* Growth in Campus, SP, Data Center YTD*Federal

SalesExecution

11

Building on IP Networking SuccessContinue to outpace market growth

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC.

SalesExecution

Fabrics Software-Programmable Infrastructure

Analytics

No Change to Sales Strategy

Focus onLarger Accounts

Strong Partner Alignment

12

Portfolio Success

Strategic Investments in Software

2013 2014 2015

Brocade Software BU

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC.

Brocade vRouter

Brocade SDN

Controller

BrocadevADC

vEPC

BrocadevEPC

BrocadeApplications

13

Partner Ecosystem 2013

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC.

Open Initiatives

Channel/GSIs

Technology Alliances

OEMs

14

Partner Ecosystem Today

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC. 15

Open Initiatives

Channel/GSIs

Technology Alliances

OEMs Cloud Providers

Partner: Traditional OEM

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC.

Partnership SuccessConverged infrastructure platform that leverages Brocade Fibre Channel and IP networking solutions

• Hitachi Unified Compute Platform

• Hitachi Virtual Storage Platform

• Hitachi Unified Storage

• EVO:Rail

Joint Solutions

• 15-year partnership

• Enables Hitachi Data Systems Social Innovation initiatives

• Levered to Hitachi Data Systems’ most successful converged infrastructure solutions

• Growth opportunity in new midrange storage offerings, including VSP G-Series arrays that leverage Brocade Gen 5 technology

Market Traction

16

Partner: Technology Alliance

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC.

Partnership Success: Full VMware Portfolio IntegrationDeep alignment with the complete VMware SDDC architecture and the only vendor to provide both Fibre Channel and IP networking integration

• SAN and IP networks optimized for VMware

• Brocade VDX is the best underlay for NSX virtual networks

• Brocade vADC enhances application performance from vCloud

• Brocade is a trusted partner with a shared ecosystem

Brocade

vCenter and vRealize

NSX

vCloud and vCloud Air

EVO:RAIL and EVO:RACK

VMware

17

Partner: Global Services Integrator

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC.

Partnership Success: Amazon Web Services Direct ConnectJoint development with CSC in the AWS offering, launched September 1, 2015

CSC Managed Hybrid Cloud Service

• Brocade vRouter and Brocade vADC

• AT&T Netbond

• Intel Xeon E5 processor

• CSC providing managed security and big data analytic services

Solution

18

FY 2016 and FY 2017 Business Goals

CONTINUE SAN LEADERSHIP

EXPANDED PARTNERSHIPS,

PORTFOLIO INNOVATIONS

GROW IPNETWORKING

CONTINUE TO OUTPACE THE MARKET

DELIVER SOFTWARERUN RATE

vADC SUCCESS, MARKETPENETRATION

MAINTAIN NON-GAAP MARGINS

OPERATING MODEL EXECUTION

INVEST STRATEGICALLYSHAREHOLDER VALUE,

M&A

EXPAND PARTNERECOSYSTEM

NEW IP ENABLEMENT

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC. 19

• Build on our solid foundation

• Execute on business goals

• Leverage growth opportunities

Summary

© 2015 BROCADE COMMUNICATIONS SYSTEMS, INC. 20