Building Carrier Scale Personalized Networks

1. Building CarrierScale Personalized Networks (NASDAQ: PKT)

2. Safe Harbor Statement Certain statements in this presentation relate to future events and expectations and as such constitute forward-looking statements involving known and unknown factors that may cause actual results of Procera Networks, Inc. (“we,” “our,” “Procera” or the “Company”) to be different from those expressed or implied in the forward-looking statements. In this context, words such as “will,” “would,” “expect,” “anticipate,” “should,” “projected” or other similar words and phrases often identify forward-looking statements made on behalf of Procera. It is important to note that our actual results may differ materially from those described or implied in such forward-looking statements based on a number of factors and uncertainties, including, but not limited to, (i) adverse changes in general economic conditions; (ii) adverse changes in the industries Procera serves including without limitation communications equipment and networking, telecommunications services, enterprise networking and systems integrators; (iii) our ability to manage material, including components used in our solution, and freight costs; (iv) our ability to generate cash from operations; (v) material adverse changes in customers’ access to liquidity and capital; (vi) currency exchange; (vii) market acceptance of our products; (viii) significant changes in the competitive environment; (ix) changes in law, regulations and tax rates; and (x) other general economic, business and financing conditions and factors described in more detail in “Item 1A – Risk Factors” in Part I of our Annual Report on Form 10-K filed with the SEC on March 15, 2012 and statements made in subsequent filings. These filings are available on our website at www.proceranetworks.com.  We do not undertake to update our forward-looking statements.

3. Procera at a Glance Rapid Revenue Growth ($ in millions) • Leading Provider Of Intelligent Policy Enforcement (IPE) • Founded in 2002; shifted focus to IPE in 2008 • 130 employees; 25% of headcount in R&D • Software Based Solution Focused On Traffic Intelligence And Management • Enabling Explosive Growth In Mobile DataAnd Video • Significant Customer Growth • Over 20 Tier-1 service provider wins in 4 years • IPE TAM Growing At 43% 5-year CAGR To $2.1 B CAGR: 60%

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5. Malaysian Mobile Operator 52% revenue growth YoY for Q2:12; Bookings up 47% Gross margin increased to 63% in Q2:12 from 62% in Q2:11 Non-GAAP net income $1.4M or $0.8 per sharein Q2:12 Added 16 new service providers in Q2:12 (3 new Tier-1s) plus 27 new higher education product orders Increased guidance to 40% revenue growth YoY in 2012 APAC Fixed Carrier Asian Fixed/Mobile E. EuropeanCable Company U.S. Cable Company Advanced Traffic Steering and Carrier Grade NAT PacketLogic PL8920 – 50Gbps at appliance price PL20000 – industry's highest performance IPE at 320Gbps and first to 100GE Report Studio – customizable analytics and reports based on deepest collection engine available Smart Campus2.0 – turnkey network management solution for Higher Education adds User Awareness ScandinavianCarrier E. European Carrier AustralianCarrier Canadian Cable Company • Accelerating Business Momentum Tier-1 Customer Wins: 2010 – 2012 New Product Releases Mobile Cable Fixed / Mobile 2 New APAC Mobile Operators Strong Partnership Momentum Financial Momentum

6. Consumers Have Unique “App Clouds”Service Personalization Delivers Individual Value My Business Plan My Networking Plan My Apps Plan My Teen Plan

7. Why Are Operators Buying IPE? Solution Benefit Subscriber, Service Tier, Location, Device and Traffic Awareness Intuitively Combined to Assess Trends and User Behavior Improve Quality and Postpone CAPEX Investments by Optimizing the Use of Network Resources to Function with Today’s Plethora of Applications Intelligence Enables Early Detection and Mitigation of Anomalies that Indicate Security Issues Offer and Manage Subscriber Offerings and Service Packages Based on User Behavior Analysis, Customer Requests and Demographic Preferences Network Intelligence Network Optimization Security / Protection Personalized Services

8. Procera’s Opportunities are Expanding • Networking technologies for mobile and IP service providers across the globe • Software-based solution focused on traffic intelligence and management • Our customers’ businesses are being driven by the continued explosion of mobile data, video and connected devices Market • Intelligent Policy Enforcement sits at the core of a new ecosystem, providing the traffic intelligence that enables new applications • IPE is a requirement to effectively implement new services • With IPE as a foundation, new, complementary products are possible Technology • Advanced Traffic Steering – An application delivery networking technology enabling carriers to effectively route application services traffic in real time • Carrier Grade NAT – Carrier-grade network address translation that enables IPE-based subscriber aware analytics and business decisions New Products

9. Procera: A History of Innovation for IPE • Accelerating the Pace of IPE Technology • PSM 5 PL10000: 1st 80 Gbps DPI solution – 3 years ahead of competition PL10000 & PL8820: 1st 120 Gbps and 30 Gbps shipping IPE solutions PSM 5: 1st 3GPP IPE system to support 50,000 TPS – no equivalent today PL20000: 1st 100 GE capable IPE solution, 320 Gbps capacity PL CGN: 1st IPE-based large scale NAT solution for operators Feb 2010 July 2008 July 2010 Feb 2011 Jan 2011 Jan 2012 June 2012 Nov 2011 PL ATS: 1st IPE Integrated Advanced Traffic Steering Application Report Studio: 1st fully customizable analytics leveraging rich IPE data PL8720: 1st 10GE DPI Appliance – 1 year ahead of competition IPv6: 1st IPE system to support IPv6 – 1 year ahead of competition

10. Convergence of IPE + ADN Markets Significantly Expands TAM DPI Product Market Application Delivery Networking (Layer 4-7) ($ in millions) ($ in millions) CAGR: 9% CAGR: 43% 2010 2011E 2012E 2013E 2014E 2010 2011E 2012E 2013E 2014E 2015E 2015E Source: IDC 2012. Source: Infonetics 2011. Catalysts for Continued Growth Trend Towards Personalized Services Growing Need for Application and Session Awareness Innovative Service Creation by Network Operators 10

11. Traffic Engineering P2P Traffic Management Congestion Management Intelligent Policy Enforcement is a Strategic Technology 2005 – Reduce Expenses 2010 – Gain Business Intelligence Today – Deliver Innovative Services • DPI • IPE IPE 2.0 • Service Personalization • Intelligent Charging • High Resilience: 99.999% • Business Analytics • Superior Performance • Network Optimization

12. Only IPE 2.0 Delivers Intelligence and Awareness Subscriber Application Device Location Service Plan Content Provider

13. “Intelligent” Architecture is Needed, But Where? Access Packet Core Peering PCRF OCS AAA/HLR/HSS DSL DSLAM BRAS FTTH CLOUD SERVICES FTTH Aggregation • Integrated Edge: • Multivendor access solutions fail • Requires extremely sophisticated features • Drastically raises cost of access solutions • Combine IPE and ADN: • Full “Awareness” • Policy Enforcement • Intelligent Charging • Address Management • Traffic Steering • Detailed Analytics • “Smart” Core:: • Designed for Layer 3 • “Box Only” approach • Scalability limits Internet CABLE CMTS Router HIGH-END ENTERPRISE SGSN SGW GGSN PGW WAN Edge RNC 2G/3G/LTE Access Layer Service Layer Core Layer

14. ATS + NAT Leverages Feature-Rich IPE 2.0 Advanced Traffic Steering Network Address Translation • Operators experiencing shortage of IPv4 addresses • Subscribers and device count still growing fast • Enables oversubscription of subscribers -> IP addresses • Enables Per-subscriber, application, service plan, location, device, and content provider VAS • Enables insertion of services without requiring in-line deployments • Most efficient solution available today Value Proposition • Dramatically reduce VAS hardware requirements through surgical steering • Deploy VAS services anywhere • CDN integration leverages content visibility to ensure high QoE • Conserve address space by using private addresses in-network • Conserve resources on existing platforms to preserve performance • Minimize traffic analysis, eliminating latency and complexity Network Optimization • Create new service offerings leveraging IPE technlogy • Insert targeted services into existing traffic flow with minimal latency • Revenue share W / CDNs & content service providers • Grow subscriber base by capitalizing on device explosion • Maintain detailed analytics to drive service decisions • Offer Intelligent charging services Revenue Generation

15. New Intelligent Architecture Paradigm Today Legacy Approaches Utilize Point Solutions Firewall/Security CGN Devices and Applications Access Termination IPE-Services, Analytics Load Balancers (LB for FW, Some Traffic Steering) Load Balancers (LB for FW, Some Traffic Steering) Future Routing Devices and Applications Access Termination IPE, Analytics, Traffic Steering, Carrier Grade NAT, Network Protection

16. IPE & ADN Competitive Landscape • IPE 2.0 Products: • Advanced Traffic Steering • Carrier-Grade NAT • Cloud Services • Full IPE functionality Stand-Alone ADN Stand-Alone IPE Procera is the First to Market with Integrated IPE + ADN + NAT Functionality

17. IPE Competitive Landscape Performance & Scalability IPE Features

18. Procera PacketLogic Solutions Core PL8k 2RU appliance,<30 Gbps, SP/MNO edge + core Real-Time Enforcement PL7k 1RU appliance,<4 Gbps, access + enterprise PL10k/PL20k 13/14RU ATCA chassis, <320 Gbps, SP/MNO core Edge Bandwidth Access PL1420 PL1200 PLM1200 Subscriber Manager Intelligence Center

19. Our Technology Differentiation Highest Industry Performance Scalable, Software-Based Solution Robust Reporting and Analytics Largest Signature Database – Highly Accurate Traffic ID Shortest Product Release Cycle – Persistent Innovation Seamless Partner Integration Cutting Edge IPE Technology Performance

20. Illustrative Examples of Customer Oppty. Classification Size 3 Year Revenue Cycle Global Opportunities • ~25 Large service providers globally • Country incumbents; developed markets and large emerging markets LargeTotal Opportunity:$25 – $50 mm > 40 mm Subscribers • ~150 Medium service providers globally • Regional operators; competitors to incumbents Medium Total Opportunity:$10 – $25 mm 5 – 40 mm Subscribers • ~325 Small service providers globally • Greenfield operators, alternative providers and emerging markets Small Total Opportunity:$3 – $5 mm < 5 mm Subscribers Bookings Cumulative Bookings

21. Our Growth Strategy Extend our technology advantage and leadership Increase our Tier-1 SP customer count Harvest our current customer opportunity Pursue new partnerships and tactical acquisitions Drive margin improvement 21

22. Solid Q2:12 Results • Revenue of $14.7 million, up 52% from Q2:11 • Bookings of $14.2 million, up 47% from Q2:11 • Added 16 new service provider customers • Won 3 new Tier-1 customers in Asia Pacific and Western Europe regions • Received 23 follow on orders from existing service provider customers, including 7 from existing Tier-1 customers • Support revenue of $2.8 million, up 101% from Q2:11 • Non-GAAP net income of $1.4 million, compared to non-GAAP net income of $595,000 in Q2:11 • Generated $2.4 million of cash flow from operations • Cash & investments was $131.6 million at June 30, 2012

23. Attractive Long-Term Financial Model(1) 2010 2011 Q2 2012 Long-Term (1) Excludes stock-based compensation and business development expenses.

24. Thank You