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Statements in this presentation that are not purely historical facts, including statements regarding Fusion's beliefs, expectations, intentions or strategies for the future, may be "forward-looking statements" under the Private Securities Litigation Reform Act of 1996. Such statements consist of any statement other than a recitation of historical fact and can be identified by the use of forward-looking terminology such as “may”, “expect”, “anticipate”, “intend”, “estimate” or “continue” or the negative thereof or other variations thereof or comparable terminology. The reader is cautioned that all forward-looking statements are speculative, and there are certain risks and uncertainties that could cause actual events or results to differ from those referred to in such forward-looking statements. This disclosure highlights some of the important risks regarding the Company’s business. The primary risk of the Company is its ability to raise new and continued capital to execute its comprehensive business strategy. There may be additional risks associated with the integration of businesses following an acquisition, the Company’s ability to comply with its senior debt agreements, concentration of revenue from one source, competitors with broader product lines and greater resources, emergence into new markets, natural disasters, acts of war, terrorism or other events beyond the Company’s control, the termination of any of the Company’s significant contracts or partnerships, the Company’s inability to maintain working capital requirements to fund future operations or the Company’s ability to attract and retain highly qualified management, technical and sales personnel, and the other factors identified by us from time to time in the Company’s filings with the Securities and Exchange Commission, which are available through http://www.sec.gov. However, the risks included should not be assumed to be the only things that could affect future performance.

Safe Harbor Statement

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Company Overview

• Leading provider of integrated cloud services to SMBs and enterprises

• Cloud Communications: Cloud Voice, Unified Communications, Contact Center

• Cloud Connectivity: Access to the Cloud, Internet Access, Data and Managed Network Services

• Cloud Computing, Storage-as-a-Service and Cloud Security

• Approx. 10,800 business customers with low churn of 1.1%; ARPU of $518 and >90% of revenue contracted and recurring

• Advanced proprietary cloud services platform, extensive cloud network, and robust infrastructure and delivery systems

• Full-year 2014: revenues of $92.1 million and Adjusted EBITDA of $11.2 million

• Q1 2015: revenues of $25.3 million and Adjusted EBITDA of $2.5 million

• Distinguished Board, Advisory Board and management team drive high value opportunities

• Approx. 24% of the company owned by officers and directors

• Ticker: FSNN

$42 $42 $44

$61

$92$101

$20

$50

$80

$110

2010 2011 2012 2013 2014 Q1

2015*

-$4.5-$3.8 -$3.4

$2.1

$11.2 $10.0

-$6.0

$0.0

$6.0

$12.0

2010 2011 2012 2013 2014 Q1

2015*

Total Revenue ($M)

Adj. EBITDA ($M)

* Reflects annualized results for Q1 2015

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• Global Cloud Services market expected to grow from $155 billion to $244 billion in 2017*

• Communications and IT industry forecast to grow cloud services spending at a CAGR of 39% from 2014 to 2018**

• Software-as-a-Service (SaaS) represents 70% of overall cloud services; forecast to reach $56 billion by 2018**

• Infrastructure-as-a-Service (IaaS), including cloud computing and storage, remains fastest growing cloud services segment, up 42% in 2012 to $6 billion**

• Cloud Communications

• Total cloud-based voice and unified communications (UC) services forecast to double between 2012 and 2016, growing to $83 billion in 2017 ***

• Cloud Computing

• 2014 business spending for infrastructure and services related to the cloud will reach an estimated $174 billion, up 20% from 2013****

• Large enterprise spend on cloud services forecast to reach $50 billion by 2018****

The Future Is In The Cloud

* Gartner

** Businesswire

*** Infonetics

**** Investors.com

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Businesses are increasingly migrating to the cloudand must pursue a holistic/cohesive cloud strategy

• Cloud dramatically changes the way people communicate and collaborate in the workplace

• Replaces Capex with predictable pay-as-you-go Opex models

• Simplifies and reduces IT infrastructure, staffing, resources and expense

• Delivers future-proof solutions that remove end of life and technology upgrade concerns

• Better insight and visibility in order to anticipate and respond to changing market conditions

• Frees companies to focus on their core business

The Cloud Is Truly Transformative

Unlike other providers, Fusion is a single resource foran entire suite of integrated Cloud Solutions enabling

maximum efficiency and cost-savings for our customers

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• Leader in delivering a full suite of integrated Cloud solutions, not just individual products

• Redundant, advanced proprietary cloud services platform delivers solutions for companies of all sizes; allows for rapid scalability and deployment of applications with built-in business continuity

• Robust network delivers connectivity to the cloud for stickier, higher margin business

The Fusion Difference

• Connections to the Cloud ensure quality of service and enhanced security to support higher value enterprise solutions

• Solutions are increasingly customized for vertical markets to further differentiate value

• Better than average ARPU and lower than average churn delivers higher value customers

• Proven success acquiring and integrating acquisitions

• Experienced Board and management team drive high value opportunities

• Significant insider ownership

Fusion is the “only UC company that provides [businesses with] Infrastructure as a Service... and other [cloud] capabilities, including the ability to create their own Cloud.” - Forbes

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Marquee Customers

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• Organically grow the revenue from the business services segment

• Direct and indirect channel sales efforts

• Up-sell solutions to existing base

• Secure large scale strategic distribution partners

• Leverage management, board and shareholder relationship network to accelerate growth

Our Strategy

• Growth through verticalization

• Develop vertically oriented solutions to expand revenue opportunities and further differentiate service suite (healthcare, legal, hospitality and real estate)

• Enter into strategic partnerships to expand vertical cloud services product portfolio

• Acquire Cloud Services companies

• Expand customer base

• Add additional products and services

• Gain scale of operations and leverage existing infrastructure

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• Large and fast growing marketplace

• Highly fragmented landscape

• Most providers typically offer a limited product set and regional geographic coverage

• Many smaller firms lack the financial and operational resources to expand

• Cross marketing synergies and economies of scale make acquisitions an attractive vehicle to enhance Fusion's growth profile

• Fusion acquired its first Cloud Services business in October 2012 and fully integrated it within 120 days; now has the staff, experience and technical infrastructure to efficiently tuck in additional acquisitions

• Fusion successfully acquired its second Cloud Services business on December 31, 2013 and its third one in October 2014

Acquisition Opportunities

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Cloud Services Acquisitions

Name NBS Broadvox PingTone

Business Description

Cloud communications and cloud connectivity provider

Cloud communications and cloud connectivity provider

Cloud communications and cloud connectivity provider

Revenue $26.5 million $32.7 million $8.1 million

% Recurring 95% 93% 90%

Gross Margin 50% 65% 62%

Synergies Approximately $2 million Approximately $2.7 million Approximately $1 million

Customer Count 3,300 customers 6,900 customers 300 customers

Purchase Price $19.6 million $32.1 million $10 million

Purchase MultipleUnder 1x revenue and 3x Pro Forma EBITDA

Under 1x revenue and 4x Pro Forma EBITDA

Under 1.3x revenue and 5x Pro Forma EBITDA

Acquisition Dates October 2012 December 2013 October 2014

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Cloud Services

Cloud Connectivity

Cloud Communications

Secure Cloud Access

• Robust national network delivers diverse connections for secure, high quality connections to the Fusion cloud

• Ensures high quality connections, direct monitoring and maintenance to support enterprise solutions

• Allows for stickier recurring revenue and higher margin solutions

Data & Managed Services

• Network solutions for access and data requirements through 100 Gbps

Cloud Voice and Unified Communications

• Increasing productivity and reducing costs with effective, device-agnostic communications solutions

• Connect workers from the desktop to any smartphone or tablet, turning mobile devices into an office extension

Contact Center Solutions

• Strategic, exclusive partnership with TFB allows Fusion to deliver customizable enterprise solutions to the mid-market

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Cloud Services (Continued)

Cloud Storage

Cloud Computing

Private or Hybrid Cloud

• Flexible, scalable solution reduces infrastructure, real estate and IT staffing burdens

• Server consolidation and management

• Faster, easier, cost-effective deployment of new mission-critical applications

• Burstable bandwidth options to meet explosive data growth

• Removes obsolescence concerns

• Pay as you grow, with predictable billing

Storing, Protecting and Managing Explosive Growth in Data

• Integrated cloud platform solution, with secure access and Storage-as-a-Service built in

• Disruptive Opex pricing model with lower TCO

• Delivers higher data resiliency and superior scalability

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Cloud Services (Continued)

Cloud Security

Cybersecurity: enabling secure migration to the Cloud

• NSA-certified Stealth Security solution developed for the DOD protects data in motion as well as at rest by cloaking strategic assets

• Simplifies security management and enhances agility and control, reducing network and infrastructure costs in the process

• Future-proofs security investments: easily scales to emerging needs and adapts to change

• Strong partnership with Unisys

Cloud Unified Threat Management (UTM)

• Fusion UTM provides network-based security, content filtering and cost-effective VPN

• Cloud-based managed firewall, content filtering, antivirus/antispyware, intrusion detection/prevention systems and remote office firewall security

Secure Mobile Device Management

• Manages mobile devices across multiple platforms including iOS, Android and Windows across the enterprise in “BYOD” environments

Identity and Access Management

Risk and Compliance Management

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• Fusion provides voice services to carriers worldwide

• Transports over one billion minutes per year• Contracted with over 300 carriers worldwide

• Ensures high quality and low cost structure for corporate service offerings

• Ability to provide corporations with global product offerings such as international private networks, Internet Access and VPNs

• World class customer base

• Advantage over most Cloud communications providers

Carrier Services

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Our Cloud Network Advantage

• Engineered to maximize reliability, performance and scalability

• 14 POPs across the U.S.

• Automatic failover ensures business continuity

• Best-of-breed equipment and a next-generation core, built to meet future bandwidth demands

• Interconnections with over 300 carriers drives down network costs and delivers additional services for stickier, high margin business

• Built-in intelligence enables proactive monitoring and maintenance

• Two live, U.S.-based NOCs provide 24x7x365 monitoring and technical support

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Management Team

Matthew Rosen – CEO

Formerly President of the Northwest and New England Operations for Expanets, a $1.3 billion nationwide roll-up of

voice and data networking companies; an investment banker in Merrill Lynch’s corporate finance department,

where he worked on over $1 billion of debt, equity and M&A transactions; and the Director of Operations for Oxford

Health Plans, a $4 billion healthcare company.

Don Hutchins –

President, COO, and

Acting CFO

Formerly President and CEO of SwissFone, a $100 million international carrier; President and CEO of STAR

Telecommunications, an $800 million communications carrier; a consultant on strategic planning, M&A, and

integration to over 100 communications companies; interim CEO/COO for ten companies; and founder of Telecom

One. He also held positions early in his career with MCI, McDonnell Douglas, and AT&T, and was a founder of

ASCENT and ECTA.

Jan Sarro – EVP

Corporate Marketing and

Business Development

Formerly President of the Americas for Viatel, a global, facilities-based carrier where she built a $300 million

business and carrier organization to market Internet access, corporate networks and international voice services to

multinational corporations in the U.S. and Latin America. She also held senior executive marketing and sales

management positions at Argo Communications, FTC Communications and TRT Communications, and WorldCom.

Jon Kaufman – Chief

Strategy Officer

Formerly Chief Executive Officer of NBS, a cloud services provider founded by Mr. Kaufman, from its inception in

1998 through its acquisition by Fusion in 2012. In 1984 Mr. Kaufman founded Target Telecom Inc., a

communications service company, and served as its CEO until the sale of the business to WorldCom in 1996.

Russell Markman –

President of Business

Services

Formerly President of NBS, a cloud services provider acquired by Fusion in 2012. Previously, Mr. Markman served

as Sales Director of RCN Corporation, where he built and managed its channel distribution division. Prior to RCN,

Mr. Markman was the founder and President of National Calling Plan, Inc., which he sold to RCN in 1999, as well as

President of Associated Telephone Design and Executive VP of Galaxy Communications.

Tom Durkin - Chief

Technology Officer

Formerly VP of Technology and Business Development for Global Cloud Xchange (formerly Reliance Globalcom), a

multibillion dollar cloud services and technology company. Previously he served as SVP of Engineering and

Operations at Pacific Gateway, a $400 million communications services company, and VP of Engineering and

Operations for WorldCom.

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Board of Directors

Marvin Rosen

Chairman of the Board, Partner at Greenberg Traurig, Formerly Finance Chairman under

President Clinton, Chairman of the Florida Housing Finance Agency, Director of Terremark

Worldwide until purchased by Verizon.

Matthew Rosen see Management

Philip Turits Co-Founder and Treasurer, Former Treasurer of Larry Stuart, CEO of Continental Chemical

Larry BlumFormer Senior Partner of the Florida Region of Marcum LLP (Marcum Rachlin), Managing

Partner of Rachlin LLP, litigation advisor and member of the Florida Bar.

Alan BrumbergerFormerly Managing Director Drexel Burnham, Managing Director of Shearson American

Express, and President and CEO of Shearson’s international Investment Banking business.

Michael Del GiudiceChairman of Rockland Capital and Board member of Con Edison, Formerly board member of

Barnes and Noble; Chief of Staff for Mario Cuomo and General Partner at Lazard Freres.

Paul O’BrienFormer President and Chairman of New England Telephone (Nynex), Advisor to Sovereign

Bank.

Jack RosenCEO of Rosen Partners; Hudson Institute Board Member; Chairman of the American Jewish

Congress.

William RubinPresident of the Rubin Group, providing lobbying and marketing services for clients before local

governments, as well as Florida's Legislative and Executive Branches of State Government.

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Advisory Board

John H. SununuChairman of the Advisory Board, Former three term Governor of New Hampshire; Chief of Staff

for President Bush and Counselor to the President.

Fred SalernoBoard member of CBS, Viacom, Popular Inc., Intercontinental Exchange and Akamai; Former

Vice Chairman and CFO for Verizon.

Ken Sunshine

Founder and Partner of Sunshine Sachs, providing public relations services to Fortune 500

corporations, labor unions and political figures, and to some of the biggest household names in

the entertainment, music and sports industries. Formerly Chief of Staff for former New York City

Mayor David Dinkins.

Tonio Burgos

Former Director of Executive Services for the Governor of New York; Commissioner of the Port

Authority of NY and NJ; Director of the Path Commuter Rail System; Vice Chairman of the NJ

Economic Development Authority; member of the School Construction Corporation.

Vice Admiral Al

Konetzni, USN (ret)

Commissioned in 1966 and served through 2004. Board member of Simulex, Larry King Cardiac

Foundation, Tompkins Builders, American Shipbuilding Suppliers Association, Pennsylvania State

University Applied Research Laboratory.

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FINANCIAL OVERVIEW

20

Total Revenues ($MM) Adjusted EBITDA ($MM)

Financial Trend

$42 $42 $44

$61

$92

$101

$20

$45

$70

$95

$120

2010 2011 2012 2013 2014 Q1

2015*

-$4.5-$3.8 -$3.4

$2.1

$11.2$10.0

-$6.0

-$3.0

$0.0

$3.0

$6.0

$9.0

$12.0

2010 2011 2012 2013 2014 Q12015*

* Reflects annualized results for Q1 2015

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Statement of Operations

($000 except per-share) Q1 2015 Q1 2014 FY 2014 FY 2013

Total Revenues $ 25,263 $ 22,905 $ 92,053 $ 61,497

Gross Profit 11,250 10,676 42,454 18,779

Gross Margin 44.5% 46.6% 46.1% 30.5%

Depreciation & Amortization 3,003 2,567 11,005 3,572

SG&A 9,736 5,692 33,224 18,756

Operating (Loss) Income (1,489) 289 (1,775) (3,549)

Interest Expense (1,607) (1,395) (5,988) (2,638)

Change in FV of Derivative (1,204) 2,610 5,162 (598)

Other 37 (41) 60 (1,128)

Tax Provision 0 21 26 52

Net (Loss) Income (4,263) 1,442 (2,567) (5,082)

Preferred Dividends in Arrears (419) (442) (1,746) (402)

Net Loss to Common (4,683) 1,000 (4,313) (5,484)

Basic and Diluted Loss Per Share $ (0.49) $ 0.02 $ (0.92) $ (1.22)

Wt. Avg. Common Shares – Basic & Diluted 8,160 6,079 7,132 4,501

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Consolidated Balance Sheets

($000) 3/31/2015 12/31/2014

Cash & Equivalents $ 5,356 $ 6,445

Accounts Receivable 6,912 7,088

Prepaid Expenses and Other Current Assets 1,224 928

Total Current Assets 13,493 14,460

Property & Equipment, Net 13,794 13,479

Goodwill, Intangibles and Other Long Term Assets 43,909 45,809

Total Assets $ 71,196 $ 73,747

Accounts Payable & Accrued Expenses $ 10,392 $ 10,472

Notes Payable and Other Current Liabilities 2,122 1,887

Total Current Liabilities 12,513 12,359

Notes Payable 44,453 44,260

Derivative Liability and Other Long Term Liabilities 5,044 3,840

Total Liabilities 62,001 60,458

Total Stockholders’ Equity 9,195 13,290

Total Liabilities & Stockholders’ Equity $ 71,196 $ 73,747

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Capitalization

Approx. 24% of the company owned by officers and directors

Senior Debt $45,860,382

Subordinated Debt 1,478,081

Total Debt $47,338,463

Shares Outstanding

Fully Diluted Common Shares

Common Stock 7,518,900 7,518,900

Series B-2 Convertible Preferred Stock 21,298 4,259,600

Series A-1, A-2 and A-4 Convertible Preferred Stock 5,045 164,547

Common stock purchase warrants 4,119,657

Outstanding stock options 688,812

Total dilutive shares 16,751,516

March 31, 2015

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• Large and rapidly growing market opportunity

• Compelling strategy and transformative product suite

• Experienced team with solid track record of execution

• Strong momentum

• Well positioned for substantial organic growth

• Highly fragmented market offers solid growth opportunities through acquisitions

• Attractive valuation based on comparable analysis

Why Fusion?

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Corporate Headquarters

Matt Rosen, CEO

420 Lexington Avenue, Suite 1718

New York, NY 10170

www.fusionconnect.com

Investor Contact

Brian Coyne, VP Investor Relations & Financial Planning

(212) 201-2404

bcoyne@fusionconnect.com

Contact Us