#1• DigitalOcean Earnings Presentation Q2 2023#2→ Safe Harbor This presentation contains forward-looking statements that involve substantial risks and uncertainties. In some cases, you can identify forward-looking statements by terms such as "may," "will," "should," "expect," "plan," "anticipate," "could," "intend," "target," "estimate," "believe," "predict," "potential" or "continue" or the negative terms or other similar expressions intended to identify statements about the future. These statements speak only as of the date of this presentation and involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our business, financial condition and results of operations. We cannot assure you that the forward-looking statements in this presentation will prove to be accurate. Except as required by applicable law, we do not plan to publicly update or revise any forward-looking statements contained herein, whether as a result of any new information, future events, changed circumstances or otherwise. You should, however, review the factors and risks and other information we describe in the reports we file from time to time with the SEC. This presentation includes statistical and other industry and market data that we obtained from industry publications and research, surveys and studies conducted by third parties as well as our own estimates of potential market opportunities. All of the market data used involves a number of assumptions and limitations, and you are cautioned not to give undue weight to such data, industry publications and third-party research, surveys and studies generally indicate that their information has been obtained from sources believed to be reliable, although they do not guarantee the accuracy or completeness of such information. Our estimates of the potential market opportunities for our product candidates include several key assumptions based on our industry knowledge, industry publications, third-party research and other surveys, which may be based on a small sample size and may fail to accurately reflect market opportunities. While we believe that our internal assumptions are reasonable, no independent source has verified such assumptions. In addition to U.S. GAAP financials, this presentation includes certain non-GAAP financial measures. These non-GAAP measures are in addition to, not a substitute for or superior to, measures of financial performance prepared in accordance with U.S. GAAP. The non-GAAP financial measures used by DigitalOcean Holdings, Inc. may differ from the non-GAAP financial measures used by other companies. A reconciliation of these measures to the most directly comparable U.S. GAAP measure is included in our filings with the SEC. digitalocean.com#3→ Our Mission DigitalOcean simplifies cloud computing so builders can spend more time creating software that changes the world. digitalocean.com#4ņ Key Performance Indicators Strong Revenue Growth Scaling ARR Adjusted EBITDA Margin ARPU¹ GAAP Net Cash Provided by Operating Activities Adjusted Free Cash Flow Margin 1 See slide 11 for our definition of ARPU. Q2'22 $133.9M $544.1M 34% $79.74 $46.0M 10% Q2'23 Y-O-Y Growth $169.8M $681.5M 43% $90.84 $64.2M 27% +27% +25% +900 bps +14% +39% +1,700 bps digitalocean.com 4#5Large and Rapidly Growing Market Opportunity Individuals and Companies with <500 Employees laaS $98Bn $36Bn $62Bn 2023 PaaS 26% CAGR Source: IDC: Worldwide Software and Public Cloud Services Spending Guide (Jan. 2023) $195Bn $78Bn $116Bn 2026 5#6ņ What is the Problem DigitalOcean Solves for SMBs? $ ? 8 Complex systems: Enterprise-focused vendors have complicated implementation processes which limit onboarding for startups and SMBs. Onerous pricing: Existing providers have intricate and unpredictable pricing models that lack transparency. Lack of support: Traditional public cloud vendors target large enterprise customers and smaller buyers often do not get the necessary level of support they require. Uncurated set of offerings: Hyperscalers have built their platforms to serve global enterprises with large dev teams. Ancillary products and services create challenges. digitalocean.com 6#7DigitalOcean's Offerings are Highly Differentiated Simplicity Infrastructure and Platform Technologies that can be spun up quickly, intuitively, and independently Support Live, personal support to all customers regardless of their spend or scale Community Free knowledge base with tens of thousands of pieces of content, including Q&A and tutorials to help developers and entrepreneurs Open Enabling faster, lower cost innovation without locking users into a proprietary stack 7#8DigitalOcean Offers a Cloud Platform Purpose Built for Developers and SMBs VPS Hosting 2012-2015 Droplets: Simple and scalable virtual machines Cloud Infrastructure 2015-2018 Key components underpinning cloud such as Volumes, Load Balancers, Spaces, and Firewalls Developer & SMB Cloud 2018-2023+ Essential elements to help developers and growing SMBs scale such as Managed Kubernetes, Managed Databases, Marketplace, App Platform, Functions, Managed Hosting and AI/ML 8#9Global Infrastructure Supports Customers in 190 Countries 15 Data Centers Across 9 Regions San Francisco North America 38% of revenue 000 . Toronto New York Europe 29% of revenue London ROW 10% of revenue Customers in 190 Countries Amsterdam ● Frankfurt Bangalore Notes: % based on Q2'23 revenue. Singapore 200 Asia 23% of revenue Sydney 9#10ņ 150K Customers Paying More Than $50 per Month Builders and Scalers (K) Revenue Contribution from Builders And Scalers 91 Q2'21 82% Q2'21 95 Q3'21 99 Q3'21 Q4'21 103 84% 83% Q4'21 Q1'22 105 Q1'22 Q2'22 142 Q2'22 Q3'22 84% 85% 86% 86% 144 Q3'22 +42% Q4'22 +1% Q4'22 147 Q1'23 150 Q1'23 Q2'23 86% 86% Q2'23 digitalocean.com 10#11ņ Customer Concentration, Revenue Contribution and Growth Jun 2023 100% 75% 50% 25% 0% 16K 616K 134K 466K Customers Testers Learners Builders $57M $31M $18M $7M Monthly Revenue Scalers $1M (figures as of Jun-23) Total¹ Scalers Builders Learners Customer Growth² % y-o-y 4. ARR growth is calculated by monthly revenue of June 2023 over the same period in June 2022. 5. Quarter over quarter customer growth includes net graduation less customer churn. 12% 40% 43% 4% ARPU³ $91 $1,933 $136 $15 ARR Growth4 % 25% 21% 41% 19% Customer Growth2,5 q-o-q 2,102 449 3,181 -1,528 Customer Growth²% q-o-q 0% 3% 2% -0% 1. Scalers spend more than $500 per month, Builders spend between $50 and $500 per month, Learners spend less than $50 per month and have been customers for at least 3 months. Testers spend less than $50 per month and have been customers for less than 3 months and contribute revenue of approximately $1M per month. 2. 616K total customers excludes testers on an aggregate basis. 3. ARPU excludes testers' revenue and tester customer count from the calculation. digitalocean.com 11#12• DigitalOcean " Financials#13ņ Balanced Profile of Growth and Profitability $1,000 $750 $500 $250 $0 35% $429 FY'21 Revenue (M) Revenue 34% $576 FY'22 18% $683 FY'23E YOY Revenue Growth $400 $300 $200 $100 $0 Adjusted EBITDA (M) 32% $137 FY¹21 Adjusted EBITDA 34% $198 Notes: 2023E based on the midpoint of financial outlook as of August 3, 2023 FY'22 38.5% $263 FY'23E Adjusted EBITDA Margin digitalocean.com 13#14ņ Return on Invested Capital Drivers $200 $150 $100 $50 $0 Adjusted Free Cash Flow (M) 6% $25 FY'21 Adj. Free Cash Flow 13% $78 FY'¹22 21.5% $147 FY'23E Adj. Free Cash Flow Margin 125 115 105 95 85 75 Diluted Weighted Average Shares Outstanding 118M FY'21 118M Notes: 2023E based on the midpoint of financial outlook as of August 3, 2023 FY'22 106M FY'23E digitalocean.com 14#15ņ Healthy Customer Economics 120% 115% 110% 105% 100% 95% Net Dollar Retention Rate 113% Q2'21 112% Q2'22 104% Q2'23 $100.00 $90.00 $80.00 $70.00 $60.00 $50.00 $63.93 Q2'21 ARPU $79.74 Q2'22 $90.84 Q2'23 digitalocean.com 15#16? Financial Outlook Metric Revenue Adjusted EBITDA Margin Adjusted Free Cash Flow Margin Fully Diluted Weighted Average Shares Outstanding Q3 2023 $172.5-$174.0M 38-39% ΝΑ 105-106M FY 2023 (as of 2/16) $700-$720M 38-39% 21-22% 114-116M FY 2023 (as of 5/9) $700-$720M 38-39% 21-22% 103-105M FY2023 (as of 8/3) $680-$685M 38-39% 21-22% 105-107M digitalocean.com 16#17→ Appendix digitalocean.com#18→ Financial Financial Highlights and KPIs Revenue (M) Revenue Growth ARR (M) ARR Increase (M) Adj. EBITDA (M)¹ Net Dollar Retention Rate (NDR) Average Revenue Per Customer (ARPU)² Builders and Scalers (Customers that spend more than $50 per month) Builders and Scalers % of total company revenue Capex as % of Revenue Q2'21 Q3'21 Q4'21 $103.8 $111.4 $119.7 35% $426 $38 $31.2 37% $455 82% 25% $36.6 $28 $35 37% 113% 116% 116% $490 $63.93 $67.65 $72.01 90.7k 94.6k 99.4k 83% $37.8 24% 84% 27% Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 $127.3 $133.9 $152.1 36% $524 $34 $37.2 117% 102.5k 84% 29% 20% $544 $20 $76.45 $79.74 $45.5 112% 85% 37% 24% $641 $97 $61.5 $163.0 $165.1 $169.8 36% 86% $659 21% 30% $18 $10 118% 112% 107% 105.4K 142.1K 144.2k 146.5k $669 $54.2 $56.2 86% 19% $86.54 $87.52 $88.35 $90.84 86% 15% 27% $682 (1) Includes the impact of the adoption of ASC 842 for all periods within fiscal year 2022. Q4'22 and Q1'23 Adjusted EBITDA numbers subject to change pending finalization of income tax adjustments to be filed in amendments to the 2022 10-K and Q1 2023 10-Q (2) Restated to conform to our current definition of ARPU, which excludes testers. $13 $72.2 104% 150.1K 86% 15% digitalocean.com 18#19ņ Adjusted EBITDA and Adjusted EBITDA Margin (In thousands) GAAP Loss from operations Adjustments: Depreciation and amortization Stock-based compensation Acquisition related compensation Acquisition and integration related costs Restructuring and other charges Restructuring related charges(¹) Impairment of long-lived assets Adjusted EBITDA As a percentage of revenue: Operating margin Adjusted EBITDA margin $ $ Three Months Ended June 30, 2023 (1,501) 27,618 36,429 6,980 1,446 434 820 72,226 (1)% 43% $ $ 2022 (7,945) $ 24,341 28,183 214 683 45,476 (6)% 34% Six Months Ended June 30, 2023 (34,557) $ 56,531 64,023 14,581 2,747 21,303 2,727 553 127,908 (10)% 38 % $ 2022 (21,529) 48,274 54,164 168 1,591 82,668 (8)% 32 % (1) Primarily consists of salary continuation charges. digitalocean.com 19#20ņ Adjusted Free Cash Flow and Adjusted Free Cash Flow Margin Adjusted Free Cash Flow and Adjusted Free Cash Flow Margin (In thousands) GAAP Net cash provided by operating activities Adjustments: Capital expenditures - property and equipment Capital expenditures - internal-use software development Purchase of intangible assets Restructuring related costs Restructuring related charges (¹) Acquisition and integration related costs Adjusted free cash flow As a percentage of revenue: GAAP Net cash provided by operating activities Adjusted free cash flow margin $ Three Months Ended June 30, 2023 64,161 $ (23,534) (1,101) 4,665 820 93 45,104 38 % 27% $ 2022 46,071 (25,645) (2,054) (4,915) 214 13.671 34% 10 % $ $ Six Months Ended June 30, 2023 100,376 (46,848) (2,895) 15,926 2.727 1,561 70,847 30 % 21 % $ 2022 76,472 (48,690) (4,330) (4,915) 311 18,848 29% 7% I 1) Primarily consists of salary continuation charges. digitalocean.com 20#21ņ Non-GAAP Operating Expenses GAAP cost of revenue Amortization of acquired intangible assets Stock-based compensation Impairment of long-lived assets Non-GAAP cost of revenue GAAP research and development Amortization of acquired intangible assets Stock-based compensation Impairment of long-lived assets Acquisition related compensation Acquisition and integration related costs Restructuring related charges Non-GAAP research and development GAAP sales and marketing Amortization of acquired intangible assets Stock-based compensation Restructuring related charges Non-GAAP sales and marketing $ $ S S $ $ Three Months Ended June 30, 2023 67,354 $ (1,975) (460) 64,919 S 38,569 $ (16,188) (250) (100) (843) 21,188 $ 16,100 $ (1,815) (3,726) (109) 10,450 $ 2022 47,814 $ (481) 47,333 $ 36,956 $ (10,661) 26,295 $ 18,219 $ (111) (3,851) 14,257 $ Six Months Ended June 30, 2023 139,233 $ (3,675) (853) (542) 134,163 $ 76,841 S (275) (25,778) (11) (500) (159) (2,389) 47,729 $ 34,331 $ (3,631) (7,058) (370) 23,272 $ 2022 95,016 (76) (912) 94,028 74,197 (550) (20,381) (120) 53,146 37,263 (7) 37,256 digitalocean.com 21#22ņ Non-GAAP Operating Expenses (cont.) GAAP general and administrative Amortization of acquired intangible assets Stock-based compensation Impairment of long-lived assets Acquisition related compensation Acquisition and integration related costs Restructuring related charges Non-GAAP general and administrative GAAP restructuring and other charges Stock-based compensation Restructuring and other charges Non-GAAP restructuring and other charges $ Three Months Ended June 30, 2023 48,858 $ (16,054) (6,730) (1,346) (131) 24,597 $ 434 S (434) S 2022 38,838 $ (178) (13,190) (683) (214) 24,573 $ Six Months Ended June 30, 2023 97,797 $ (30,333) (14,080) (2,588) (31) 50,765 $ 21,303 $ (3,937) (17,366) $ 2022 76,262 (289) (25,674) (1,471) (168) 48,660 digitalocean.com 22