Cisco Service Provider Voice Strategy Session TS-401. Mark Bakies
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1 Cisco Service Provider Voice Strategy Session Mark Bakies Contact Info: Dora Ferrell, AR Manager 1 Cisco Safe Harbor This presentation may contain projections or other forward-looking statements regarding future events or the future financial performance of the Company. These projections or statements are only predictions. Actual events or results may differ materially from those in the projections or other forward-looking statements. Please see the Company s Annual Report to Shareholders and its filings with the SEC, including its recent filings on Forms 10-K and 10-Q, for a discussion of important risk factors that could cause actual events or results to differ materially from those in the projections or forward-looking statements. 2 Copyright Printed in USA.
2 Key Messages VoIP technology has critical mass in several market segments Service Providers and Enterprises want to interconnect their VoIP networks together As voice drives Service Providers to transform their networks new sources of revenue will become available to them from entertainment, content and storage Cisco is in the best position to help Services Providers transform their networks 3 Service Provider Strategy Service Provider Opportunities are Many and Diverse Integrated Access Hosted & Managed Services Telco Offload & Switch Migration Service Provider Focused on transition of SP customers from circuit to packet Bring our Enterprise customers to our Service Provider customers for seamless Cisco Powered Network services 4 Copyright Printed in USA.
3 Pillars of Cisco s Service Provider Voice Strategy Build the Internet Network of networks reference architecture Ensure application partners succeed Next generation services ignites the explosion The Network is relevant Network services Link the Enterprise and Service Provider networks Capitalize on AVVID s leadership Support for rich and dense media 5 This Is the Legacy 6 Copyright Printed in USA.
4 Where We re Headed Any Service, Any Device One Network Full Service Internet 7 Service Provider Economics: Bundled Services LEC/PTT Service Cable MSO Service VOD/NVOD VOD/NVOD RA (IP-VPN) RA (IP-VPN) IP Services And Devices $30 $20 Gaming WEB/AOLTV Internet Wholesale Retail Telephony LD IP Services And Devices WEB/AOLTV $20 $30 Gaming Telephony 2 nd Line Internet Wholesale Retail $30 Telephony Local $30 Cable Basic+ 8 Copyright Printed in USA.
5 Packet Voice Technology Applications #1 Toll Bypass #5 Class 4 Trunking Voice (with/or with out Call CL4 Call Agent or Control STP Softswitch PBX #2 IP Telephony Call Managers Voice CL5 Voice CL4 CL5 Dial LAN Switches #6 Dial and PRI Off Load Cable and DSL POP Voice Voice IP GK WAN #4 Tail End Drop Off #3 Trunking Packetize Voice from Traditional Phones Gatekeeper 9 VoIP Tornado Ahead The Bowling Pins Enterprise VoIP Long Distance International Toll Arbitrage IP PBX Dial Access VoIP Transit Early in a New Market, Technology Adoption Mimics or Emulates the Existing Technology 10 Copyright Printed in USA.
6 Initial Applications of VoIP Technology Adoption Enterprise WAN Networks (Long Distance) Enterprise WAN Service Provider Transit Networks (Long Distance, International Calls) Transit M M 90% Marketshare Office Depot, Burlington AVVID IP-PBX AVVID 34% Marketshare China Unicom, Genuity, ibasis, ITXC Cable MSO Regional Networks (Residential, Second Line) M MGCP/NCS M 66% Marketshare NASA, DowNet, York Health Services PacketCable Standards Developed In Trials TWC, Comcast, Charter 11 Build the Internet Network of Networks Reference Architecture H.323 MGCP SIP H.323+ SS7 SS7 IP Transit Network SS7 SIP Transit Network MGCP Transit Network GK H.323 Transit Network AVVID PacketCable Network IP Centrex Service providers need to interconnect with many networks Service providers will offer both transport and billable service s Cisco is driving the intelligence into its network elements to provide the glue that will bind the networks together 12 Copyright Printed in USA.
7 Linking the Enterprise to the Service Provider CiscoAssure Assured Interoperability Intranet Extranet Enterprise Network Common software Routing Quality of Service Security policies Management tools Service Provider Network 13 Networks Services -- Key to Building Network of Networks Architecture Network Technologies QoS Global Address Management MPLS Resilient IP Network Services Bandwidth & Performance Management Content Delivery Privacy / Security Multimedia Mobility & Directories 14 Copyright Printed in USA.
8 SP Voice Solution Portfolio Services Types of Packet Voice Infrastructures Cisco Is Helping SP Customer Build Transit Services Wholesale Voice Greenfield Tandem Wireless MSC Access and Managed Services Business Local Services Residential Local Services MxU Local Services Integrated Access PTSN Offload Services SS7 Interconnect for Dial PRI Grooming Tandem Offload Application Specific Services That SPs Offer on These Infrastructures Prepaid/Debit Card, ASP Termination, LD Int t Voice, Voice VPNs, Internet Call Waiting, TDM VPN, ISUP Transparency, TDM Hairpinning, VoIP Termination ATM IAD, MxU AVVID, Residential 2 nd Line, Residential First Line, IPCentrex, AVVID Hosted Services, Managed IP PBX ASAP (Any Service Any Port) VoIP Services, IMT-Dial Termination PRI Cost Reduction, TDM Hairpinning Switching (PRI-PRI, IMT-PRI, IMT- IMT, PRI-IP, IMT-IP, SS7 Transparency Products Cisco Products Used in These Solutions s: AS5350/5400/5850, MGX8xxx w/vism Call Control: SC2200, VSC3000, BTS10200 Partners: Call Control (Features and Applications), OSS s: 1750, 26/3600,3810, IAD 2400, AS5350/5400/5850, MGX8xxx w/ VISM, CVA122, Phones: IP Phones, ATA Call Control: CCM, BTS10200 Partners: Call Control (features and applications), Cable Modems, OSS, Integration s: AS5350/5400/5850, MGX8260 Call Control: SC2200, VSC3000, BTS10200 Partners: Call Control (Features and Applications), OSS 15 SP Voice Portfolio Category How Product Is Used (Generally) Cisco Products Included Subscriber Business CPE Mid-Range High-End Call Control Software Consumer Traditional Phone to VoIP Conversion for Broadband Access Enterprise Toll-Bypass and Integrated Access; Can Also Be Used As From IP Phones to in Multiple Box Solutions Trunking s at the Edge of an SP Network (TDM to VoIP Conversion) High Density Trunking s in the Core of an SP Network Software (Running on Intel/sun Servers) That Controls the Set-up, Tear Down, and Processing of Voice Calls ATA (Analog Telephone Adaptor), 827 (DSL Modem), ubr924 and CVA122 (Cable Modems) 1750, 26/3600 analog interfaces, 3810, IAD /3600 Digital Interfaces, AS5300, 72/7500, IGX AS5800, AS5350/5400/5850 (Universal Port), MGX8260, MGX8xxx w/ VISM Signaling Controller SC2200, GatwayPGW2200, BTS (IPCell) Cisco SIP Proxy Server, H.323 GK NAM 16 Copyright Printed in USA.
9 Cisco s Packet Telephony Portfolio Port Density AccessPath 5X MGX Scale IGX IAD xx 17xx xx Cable/ ATA 18x DSL Time Today 17 Transit Service China Unicom Competitive carrier in China Launched VoIP service in May 1999 Complete transit solution Residential services planned Offers both single and two-stage services throughout China Largest VoIP carrier in the world By ports, by MOU, by cities, by gateways HRB SY WRMQ CC 12 E LZ HHHT BJ DL YC TJ SJZ XN TY JN XA 1 E ZZ 10 E Tibet WH CD NJ SH CQ 2 E AH CX 1 E HZ GY FZ 1 E LZ 2 E KM GZ XM 8E 12 E SZ HN Network Now Operational in 129 Cities 9,000 E1 Capacity 18 Copyright Printed in USA.
10 Transit Service Genuity Wholesale/retail business model Genuity s VoIP services take advantage of: Global network infrastructure to reach the world Installed over 15,000 ports SS7 controlled Began SS7 conversion over a year Operating 144M MOU per months 19 Transit Service ibasis Wholesale business model International long distance service Global network infrastructure to reach the world 10 super POPS 300 total POPS Over 7,000 ports SS7 controlled Operating 120M MOU per months 20 Copyright Printed in USA.
11 Business Local Access Service CBeyond A Single, Integrated Internet Protocol (IP) Infrastructure That Connects Small Business Customers With Voice and Broadband Internet Capabilities 1 Local 2 Local 3 Local 4 5 National 6 National 7 Integrated Access Integrated Access Voice and Internet Voice Applications and Data Access Concentration Concentration Broadband Local Broadband Loops Routing IP IP Routing Routing Network, s Internet and SS7 Interconnection Service Control Soft Switch Service Creation Applications OSS/BSS IAD Collocation Aggregation Device CBeyond s Cbeyond s IP IP Network Internet SS7 Call Control Call Processing Messaging Control Media Servers Network Storage Cbeyond Online Customer Care Billing Provisioning Order Mgmt. Sales Support Call Administration Directories Network Mgmt. ERP Increasing Network Intelligence 21 Cisco s Collapsed Softswitch BTS10200 BTS Softswitch architecture Collapsed Class 4 and Class 5 architecture Combines both local and transit services on common platform Multiple Protocol Support (H.323, SIP, MGCP) Services enabled Transit services (Class 4 offload) PRI offload Local (Class 5 offload) 22 Copyright Printed in USA.
12 Summary Individual pockets of VoIP technology have taken root and are seeing solid growth Service Providers are anxious to begin interconnecting these VoIP networks together Transit revenue Service revenue Voice, Data, Managed Services As voice drives Service Providers to transform their networks new sources of revenue will become available to them from entertainment, content and storage Cisco is in the best position to help services providers transform their networks Copyright Printed in USA.
13 Cisco Safe Harbor This presentation may contain projections or other forward-looking statements regarding future events or the future financial performance of the Company. These projections or statements are only predictions. Actual events or results may differ materially from those in the projections or other forward-looking statements. Please see the Company s Annual Report to Shareholders and its filings with the SEC, including its recent filings on Forms 10-K and 10-Q, for a discussion of important risk factors that could cause actual events or results to differ materially from those in the projections or forward-looking statements. 25 Copyright Printed in USA.
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