Hosted Solutions for PSAPs. Copyright NICE Systems Ltd. All rights reserved.

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2 TABLE OF CONTENTS MARKET TRENDS... 3 A Convergence of Circumstances... 3 DEFINING HOSTED SOLUTIONS... 4 The Pros and Cons of Hosted Solutions... 4 THE IMPLICATIONS OF A HOSTED SOLUTIONS ON Multi-tenancy... 6 Logging As A Hosted Solution... 7 Incident Information Management... 7 SUMMARY... 8 Copyright NICE Systems Ltd. All rights reserved.

3 Market Trends When the concept of hosted solutions or software as a service (SaaS) was initially advanced in the market, its reception was lukewarm at best. Now, just over a decade later, it s a multi-billion dollar market that is experiencing double-digit rapid growth. From 2008 to 2009 the hosted solution market grew 21.9% to eight billion dollars. And now in 2013, the Gartner Group has estimated that it will have doubled since then, increasing it to a $16 billion industry. Why the change of heart? Like many technology concepts that have gained acceptance over time, it has matured, it s proven itself and more than anything, it makes sense in particular it makes financial sense. We hear it over and over again; organizations are tasked with doing more with less. And this holds true for the public safety arena too. With adherence to NG9-1-1 a looming necessity, hosted solutions are a cost-effective path to NG9-1-1 compliance and provide PSAPs the ability to leverage the today s latest technology. A Convergence of Circumstances As technology has evolved, the PSAP control room now has more and more information systems that are flooding operators with data. While operators have access to more information, it often makes it difficult for them to understand what is going on or where to focus their attention. A solution that filters the relevant information; manages it and even correlates it; has now become an imperative. This will only increase as NG9-1-1 comes into full effect. Additionally, we now have the capacity through broadband and LTE networks that allow for greater sharing capabilities. This increased capacity is also driving the consolidation trend that is increasingly being implemented by PSAPs, allowing for virtual consolidation, with or without actual physical consolidation. These factors and others are converging to make hosted solutions a viable and even preferable option for PSAPs. It provides the infrastructure to support new technologies and consolidation together with the systems such as VMS or PSIM lite solutions that manage them. The pace of innovation is expected to force many organizations to consider hosting as a viable alternative for acquiring solutions that will give them a strategic differentiator ( ). One of the major advantages of hosted solutions is now understood to be the speed at which new functionality is made available. DMG Report, 2010

4 Defining Hosted Solutions Most of us use hosted solutions every day, otherwise known as Internet-based or web-based applications, or sometimes referred to as SaaS. In short, hosted solutions are software solutions that are accessed through the network or Internet and are not installed on a PC or local server. The application s associated data is also stored on the network or what also referred to as the cloud, alleviating the need for both onsite infrastructure and storage. Common examples of this are salesforce.com, Gmail or Google Docs. The Pros and Cons of Hosted Solutions Determining the viability of a hosted solution requires the examination of its pros and cons relative to the environment it will serve. In this case PSAPs, there are factors to consider that are specific to this market. The Pros: Cost savings hosted solutions provide cost benefits in a number of ways, firstly by eliminating up front capital expenditures. Implementation fees and customization costs are comparatively low, and charges are based on usage and/or on a time-period basis. Licensing fees are also eliminated, access is typically provided to all users. Moreover, the vendor supplying the hosted solution assumes the responsibility for maintenance, support and administration costs. Instant deployment in essence there is no physical or onsite deployment, once access rights and credentials are provided, the solution is available. In addition, upgrades and maintenance are transparent to the user. Ease of maintenance the hardware and software are the responsibility of the vendor; all the end user must maintain is the network or Internet access. Powerful functionality resiliency and advanced functionality are more affordable giving PSAPs capabilities that would otherwise be out of budgetary reach. Scalability hosted solutions are designed with small or large databases and can service one or many users. They can also accommodate growth seamlessly and with minimal or no downtime. Data security and integrity hosted solutions provide the latest security measures that are often beyond the budgetary resources of most agencies. In addition, more sophisticated back up systems are utilized that are often simply too expensive for individual sites. The Cons: Limited ability to customize most vendors offer the same application with same core functionality to all of their customers. Major modifications to an application are either unavailable or extremely costly. Security anyone with network access and the correct login details will be able to access the software. Out-of-state storage depending on the particular state that a PSAP operates in, there could be legal issues surrounding the storage of records outside of the state s borders. Reliance on network or Internet connectivity while backup generators go far in addressing this issue, it still could be perceived as an issue in the event of a long-term power outage.

5 While the cons listed above must be considered, and vendors together with PSAPs are working to address these issues or in some cases minimize their potential impact such as offering geographical redundancy and establishing regional networks where PSAPs share IT infrastructure, call processing and call logging technologies as simple form of hosted solutions. The drivers that make hosted solutions an attractive proposition in most cases outweigh the potential drawbacks. NG9-1-1 NENA i3 standard promotes hosted solutions with the ESInet as an enabling infrastructure for hosting. And of course the cost consideration that can t be overlooked and previously mentioned. As budgets continue to contract, the demand for IT services expands; going into the cloud enables organizations to do more with less.

6 The Implications of a Hosted Solutions on While reduced costs and TCO (total cost of ownership) are certainly major drivers for public safety agencies, safety is the primary consideration. Fortunately for PSAPs, reduced costs and enhanced safety are not mutually exclusive when deploying a hosted solution. With operational applications, storage and the ESRP (Emergency Service Routing Proxy) residing on a cloud, PSAPs can leverage the latest technology. They can undergo virtual consolidation for additional cost savings, i.e. having more than one regional PSAP location using the same platform. Multi-tenancy Hosted solutions also facilitate a growing trend called multi-tenancy. In a multi-tenancy environment, multiple organizations can share the same applications, running on the cloud, and with the same data-storage mechanism. There is strict segregation between sites, thus users do not share or see each other's data unless sharing is deliberately and mutually enabled. This allows all stakeholders within the public safety environment regional PSAPs, first responders to be linked by working on the same platform. Information is distributed faster, everyone sees and hears the same story, and with everyone s communication input, a clearer and more complete picture becomes possible.

7 Logging As A Hosted Solution As PSAPs increase the type and amount of data coming into the call center radio and conventional telephony, SIP-based VoIP, multimedia recordings, location and event information and more logging solutions that can handle all of these forms and medias are becoming increasingly important. A hosted logging or incident information management solution can do much more than just capture and record the information being transmitted; it can seamlessly blend onsite and shared hosted recording solutions into one system. One example of this type of solution is NICE Inform. It not only captures and records radio and conventional telephony communications; it also contains a multimedia recording system that can capture all types of media such as video, GIS information, operator s CAD screen, and SMS messages, and more. NICE Inform takes all of this information and places it in context by location and event. Furthermore, all event-related information is centralized into one centralized incident file, so that it s easy to access in real-time for those who need it. Incident Information Management With a centralized incident file, all of the information contained therein can be accessed and shared in real time with all of the connected stakeholders. The data is digitally secure and provides a complete incident picture. Incident Information Management is not only relevant and crucial during an event, but also when the event is over. Incident files can then be used for investigations, as evidence, and for prosecutorial purposes. They are also valuable for the reconstruction of incidents, which can provide additional insights for learning and training objectives.

8 Summary As PSAPs move closer to fulfilling NG9-1-1 requirements, the use and deployment of hosted solutions is becoming increasingly relevant and for good reason it provides real flexibility. PSAPs are able to switch vendors more easily as there is no replacement of infrastructure, even more so with NG9-1-1 as i3 compliance will become standard. And scaling up or down is quick and seamless. Hosted solutions also provide access to more powerful applications with richer functionality as they now become financially viable. Systems experience less downtime and increased reliability while IT services become more available, affordable and accessible. At the same time PSAPs gain increased control over operational expenses. Given the clear benefits to both cost and functionality, hosted solutions are fast becoming the standard for PSAPs. CONTACTS Global International HQ, Israel, EMEA, Europe & Middle East, T , F T , F Americas, North America, Asia Pacific, Singapore Office T , F T , F The full list of NICE marks are the trademarks or registered trademarks of Nice Systems Ltd. For the full list of NICE trademarks, visit All other marks used are the property of their respective proprietors. CONTENTS OF THIS DOCUMENT ARE COPYRIGHT ABOUT NICE SYSTEMS INC. NICE Systems Ltd. (NASDAQ: NICE) is the worldwide leading provider of software solutions that enable organizations to take the next best action in order to improve customer experience and business results, ensure compliance, fight financial crime, and safeguard people and assets. NICE s solutions empower organizations to capture, analyze, and apply, in real time, insights from both structured and unstructured Big Data. This data comes from multiple sources, including phone calls, mobile apps, s, chat, social media, video, and transactions. NICE solutions are used by over 25,000 organizations in more than 150 countries, including over 80 of the Fortune 100 companies. WP /13 Contents of this document are Copyright