Telepresence With AT&T and Cisco © 2007 AT&T and Cisco Systems, Inc. All rights reserved.

AT&T and CISCO together… As two recognized scale leaders in the networking space, AT&T and Cisco have aligned resources for customers that bring to bear increased business value, better reliability and security, reduced complexity, tangible competitive advantage and heightened business productivity. AT&T and Cisco bring together the ability to design leading edge network architectures with unified connections and a variety of access options. Both AT&T and Cisco are available in the same geographical areas, our global reach and international coverage expands business productivity. Page 2

Cisco® TelePresence What It Is Today—The Cisco® TelePresence Meeting Quality—It’s All About the Experience High Definition Video—1080p (twice the video quality of 720p) Every participant has “a seat at the table”, Life Size images Eye contact, facial gestures and emotion help create engagement Audio is spatial, sound comes from participants using normal voice levels Imperceptible latency Simplicity—As Easy as Placing a Phone Call Technology invisible to the user One button to push (groupware integration) Reliability—Uses the Network as the Platform Cisco® TelePresence leverages the Network as the Platform along with Cisco® Unified Communications Services to deliver reliability, resiliency, and security This slide shows what it is, what it isn’t and hits on the key differentiators of quality, simplicity and reliability. The purpose built nature of Cicso® TelePresence enables Cisco to engineer in the highest quality (1080p, low latency, spatial audio_, use powerful integrations to the network, UC and enterprise apps (groupware) to provide users simplicity in scheduling and call launch, as well as reliability. Because Cisco also understands networking so well, we’re able to better manage real time applications like voice and video at the lowest possible bandwidth – this enables customers to keep costs down, and use their network investments to maximum advantage. Page 3

The Right Method for the Right Message When Collaboration Value First meetings, final contracts In Person Most impact Interim meetings Decision-making Expertise Rich media Faster, more informed decisions Trust Stronger relationships Video INTERACTIVITY PRODUCTIVITY Audio & Web Conferencing Detailed explanations More data A major user benefit of convergence is the ability to quickly and easily choose the right method of communication for the right message Starting with e-mail, which everyone has today, for time-insensitive messages. As you move up to more interactive methods. At the top of the scale is in-person meetings. Nothing will ever take place of one-on-one meeting for the most critical communications, like first meetings, final interviews, and final contracts. Video is the next best thing to an in-person meeting. I shake hands at a first meeting, but follow up discussions are just as impactful over video. Decision-making is much faster and more information is exchanged face-to-face in a video than could ever be possible with audio and data. Experts can be in multiple locations on the same day. Quick, short messages IM Instant Standard communications Voice Familiar Not time critical E-mail Ubiquitous Page 4

Cisco® TelePresence Vision Go Anywhere the Network Goes Cisco® TelePresence Meeting Virtual Specialist (Branch) Virtual Administrator Work Tele-Medicine Family Visits Virtual Dining Live AT&T’s Global Network As the Platform Remote Classrooms The vision for TelePresence is to deliver these “in person” experiences anywhere the network goes. Today, it’s the work environment, but true to Cisco’s vision to change the way we work, live, play and learn – we see this technology moving into a variety of environments, applications and segments over time. This could be a doctor’s office, the home, the classroom, even recreational environments. The network reaches almost anywhere, and as bandwidth increases and costs drop, there is no reason this can’t move from a corporate environment to the home and anywhere in between. Of course, at all times, regardless of the use model, Cisco® TelePresence will deliver the experience simply and reliably, with highest quality and lowest latency, at the lowest possible bandwidth. Virtual Box Seat Play Learn Page 5

Cisco® TelePresence Meeting Solution Endpoint Offerings Cisco® TelePresence System 3000 12 seats at the virtual table Purpose-built room 15Mbps Bandwidth, High Definition(1080p) Spatial Wideband Audio Imperceptible Latency First products to ship at the end of this year is the CTS 3000 and CTS 1000 CTS3000 is a purpose built room with 12 seats at the virtual table. Room with in a room. Cisco to ship the full complement, Tables everything but the chairs. Available at FCS CTS1000 General purpose room Cisco® Telepresence for 4 seats at the virtual table, single screen. Serves the small conference room environment. Think one on ones with employees, small group conferencing, customer meetings Cisco® TelePresence System 1000 4 seats at the virtual table General purpose room 5Mbps Bandwidth, High Definition(1080p) Wideband Audio Imperceptible Latency Page 6

Cisco® TelePresence Connecting People to Improve the Communications Experience Unique, In Person Experience As Natural as Face to Face Strategic Business Value Customer Intimacy Greater productivity Existing investments deliver new value to the organization, customers Competitive Edge Cisco Innovation Purpose-built product, not service Standards-based Native 1080p, low latency, lowest bandwidth Unified Communications and SONA deliver the quality, simplicity, reliability of a phone call In Summary – TelePresence is a unique, in person experience that really only Cisco can deliver. This builds upon our customers existing investments in the network and Unified Communications to build on customer intimacy, to drive productivity, and to create a real, sustainable competitive advantage. This also represents significant Innovation Again, this is purpose built from the ground up as a cohesive system. This isn’t a loose collection of off the shelf components run as a managed service at higher expense. This enables quality, simplicity, reliability at a low total cost of ownership for our customers. It’s just like a telephone call. In addition, innovations like 1080p, low latency, low bandwidth use, and spatial audio are examples of Cisco’s commitment to the quality of the experience. And of course, this is just the first step; the vision is to take this into a variety of environments, so eventually users can “go” anywhere the network goes. Vision–Go anywhere the network goes! Page 7

AT&T TelePresence Solution AT&T Equipment Solutions - Experienced professionals to qualify, propose, sell, deliver, and maintain Cisco® TelePresence implementations: Equipment Sourcing and Professional Services Delivery scope includes: room assessment, network assessment, equipment procurement management, network design, staging, and implementation Provide program/engagement management for end-to-end accountability Cisco Maintenance: Essential Operate and Select Operate AT&T Converged/Flexible Architecture-Enabling Integration of Services over IP: ATM, AT&T VPN, Enhanced VPN, IP enabled ATM, IP enabled FR, Private Line Services(T3, OC-3, OC-12, Ethernet Private Line Service WAN 1, GPS,) Frame Relay-Fractional DS3, Managed Internet Service, OPTeMan, GigaMan, and Private Network Transport (PNT) Global Reach (with AT&T network services that have global reach) AT&T Global Network Solutions - Design, Implementation and Management: Consulting and Network Optimization Design and Implementation Services Project Management Network design and planning services Upgrades to customers LAN/WAN infrastructure as needed Management Options (relative to connectivity) Managed network service option enables converged network solution backed by industry leading Service Level Agreements to optimize TelePresence application

AT&T’s Value Proposition for Cisco® TelePresence Global Technical Leadership Video team with video applications expertise Consulting and Integration Solutions for complex integration and planning Solutions Center providing Proof of Concept Labs AT&T Engineers providing design and support Unified Communications integrated voice plans and more Video Expertise AT&T Certified to sell TP Globally AT&T specialists with Cisco® TP trained and Certified Engineers Extensive network and product testing by AT&T Labs Extensive project management Endpoint to LAN to WAN design and implementation Complex equipment integration Single Source provider Ability to deliver a total package solution and support all components AT&T is a trusted partner With integrity and a strong financial background AT&T’s clients include most of the Fortune 1000 Global Reach AT&T delivers networks worldwide Network, equipment , managed video service-world wide video expertise and reach Integrated platform voice, video, data AT&T’s Network with Quality of Service, AT&T managed routers and Service Level Agreements AT&T’s Video Expertise ( TP is Cisco® TelePresence) AT&T is Certified to sell Cisco TP Globally 11 AT&T specialists Cisco® TelePresence trained and multiple Certifications from Cisco including AT&T Certified Engineers i.e. Advanced Unified Communications, CCIE- Router, Security, Service Provider, Voice, CCVP, CCSP, CCNP, CCNA, Cisco Advanced Wireless LAN Design Specialist Extensive network and product testing by AT&T Labs Experience in complex equipment integration, project management and design and implementation for LAN and WAN requirements Tight alignment with Cisco Page 9

AT&T Networking…The AT&T Difference Performance Agility Control Security Enhancing operational efficiencies and productivity The AT&T Global MPLS network allows you: Use a common access to launch voice, video and data Prioritize packets to allow a smooth flow of all services Secure your network Manage your network growth Monitor the “health” of all the components of your Network Increasing time-to-market and workflow responsiveness Dedicated Video technical experts and Sales Consultants Project Managers available to help you manage your network implementation and on-going usage MPLS is a flexible solution that will grown with your business Network routing allows you to set back-up support in case of an emergency Strengthening visibility and real-time adaptability across the enterprise One number to call for all your network and video related needs Professionals working as your experts for trouble shooting and support Manage your network with the AT&T Equipment Monitoring Services Global Network support Protecting against the unexpected Network security provides end-to-end protection for all your communications Voice Video Data On-going Quality Assurance for network reliability and Service Level Agreements Page 10

Single Infrastructure Packet-Based Multiservice Network AT&T Converged IP Network FROM: TO: Corporate Sites Business Partners HQ Remote Worker End User HQ End User Corporate Sites Business Partners Single IP Network Consistent Reliability End-to-end Quality of Service What is MPLS* Traditional Data Services Voice Video Internet Access Single Infrastructure Packet-Based Multiservice Network Supports Quality of Services Classes of services for different applications Traffic Prioritization Any–to–any connectivity Provides virtual private networks (VPN) Secure Connection to the Internet *Multi Protocol Label Switching Page 11

AT&T Your ‘Network Integrator of Choice’ Single Source Provider for Conferencing/video applications One number to call for all video related services Worldwide video expertise and reach Network Equipment Managed Video AT&T Global MPLS Network Integrated platform voice, video, data Service Level Agreements Quality of Service and AT&T Managed Routers Network of Certified Partners Custom Collaboration Media Room Integration - video-site surveys, design, consulting and construction Technical Leadership Video team, Consulting, Solutions Center Proof of Concept Labs, and Certified Video Engineers

Business Value for Your Business Industry Leaders In Networking provide to you Reliability and Security Reduced Complexity Tangible Competitive Advantage Heightened Business Productivity Leading Edge Network Architectures Global Reach Expanding Your Business Productivity

Use for extra discussion points with customers BACKUP SLIDES Use for extra discussion points with customers Page 14 This is a divider slide. Rotate between green, blue and orange. [note: this text should be white]

AT&T Differentiators Vision Operational Experience Architecture In 1998, AT&T was the first carrier to announce an MPLS-based service MPLS is an enabling technology, not an offer or a feature Operational Experience 50,000 deployed MPLS ports, supported by scalable and automated processes MPLS specific monitoring and maintenance systems Architecture 4th generation, OC 192 MPLS core in the US Fully redundant, Global measurement infrastructure Security Secured at every layer – facilities, infrastructure, control plane, user interface Predictive, proactive, holistic, and flexible Reach Global reach – covering over 800 cities in 127 countries Broad array of access options: 56k, to OC48, Frame, ATM, PL, DSL, Ethernet Remote access options: Dial, DSL, Wi-Fi, 3rd party broadband Automation Automated implementation – AT&T Labs patented tools Link directly to your business processes – Award winning Business Direct® platform Page 15

Cisco® TelePresence Manager Simplifying the Experience One Button to Push Familiar Tools Real-Time Services* Unified Call Manager Cisco Network Reporting Billing Administration Applications Email Web CTM is the glue between Cisco® Telepresence and Cisco Network and IP Communications platforms It is the core of user simplicity, ease of use for the customers Room Scheduling through enterprise group ware, don’t break convention Cisco® 7970 is the user interface Days agenda on the phone One button to push call launch Virtual concierge services through integration with Contact Center CDR and reporting through Cisco® CCM Item Cisco® TelePresence Manager User Scheduling Unified Contact Center Management *Roadmap Page 16

Key Roadmap Highlights Business to Business Call Connection Directory Services Cisco® TelePresence-Certified Service Provider AT&T Cisco® TelePresence User Interface Cisco® TelePresence User Interface Firewall/ NAT Firewall/ NAT Cisco ® Unified Call Manager Cisco® Unified Call Manager Cisco is the right company at the right time to solve for true B to B connectivity – this is broken today with traditional video conferencing deployments This is How Business-to-Business will be able to “Do the Deal” at the virtual table With dial tone Reliability With Simplicity With Confidence We are solving for a firewall and NAT traversal strategy that is secure and scaleable We are solving for a commercially viable “Certified Telepresence Connection” with our SP partners. MPLS core, Metro E and DS-X last mile connection Directory Services and Authentication QOS and SLA’s that meet our bandwidth and real time media requirements Certificate Authority Cisco® Unified Communications AT&T Network as the Platform Page 17

What is MPLS? Per the MPLS Forum: Multi-Protocol Label Switching (MPLS) is a key development in [IP] Technologies that will assist in adding a number of essential capabilities to today’s best effort IP networks, including: Traffic Engineering Providing Traffic with different qualitative Classes of Service (CoS) and quantitative Quality of Service (QoS) (e.g. SLAs) Provide enhanced restoration and provisioning capabilities Provide IP based Virtual Private Networks (Killer Application) De facto IETF Standard for IP VPNs (RFC 2547) Traffic Engineering Class of Service / Quality of Service Providing IP-VPNs (RFC 2547) Main reason carriers are deploying it is to deploy IP VPNs. Page 18

MPLS Enabled Networks No External/Internet Routes on the Core e-BGP i-BGP e-BGP Or Static So … we turn on MPLS … MPLS runs a Label Distribution Protocol (LDP) amongst all of these edge devices and across the core and they establish Label Switched Paths (which feel a lot like PVCs). And there is basically a full mesh of these Label Switched Paths established amongst these edge routers. If a Packet from the outside comes into an edge router rather than simply picking an OSPF next hop he forwards that packet right into one of these LSPs and puts a label on the packet at that point when it arrives at the next core router the Core Router knows what the Label Switch Path is (he participated in the LDP) and he forwards that packet along based on a “PVC-type” of connectivity – switching an inbound label to an outbound label on another interface. The beauty of this approach from a scaling perspective is the core routers never had to look at the IP destination address to make that decision. All they had to look at was the label. So as it goes across the network, when you come to an eventual egress point, the edge router says “well, I’m the edge of an MPLS domain,” he pops the label off and looks at the IP address and makes a routing decision. So the only place that true IP routing decisions need to be made is at the Ingress where you route into a label switched path and at the Egress, where you map from a label switched path to an outbound interface. All that the core routers need to be doing in that scenario is doing label switching across the core. You run OSPF in the core to learn the topology, and then the paths are created. You have OSPF running within the cloud, the key difference here is when you have MPLS enabled in the network, the only thing that OSPF needs to know about are the internal routes (he needs to know about the internal topology of this common backbone). And the only job of this common backbone at that point is to take packets in at one edge device, and shove them out another edge device elsewhere and the core does not need to know those external routes or addresses to accomplish that as long as he has established label switched paths, but you still need the OSPF, just to be able to route from one edge to the other which is how the label switched path finds its appropriate route across the network. WITHIN THE AS IGP defines connectivity for internal routes LSP established for each internal route in particular, LSP between each pair of edge routers BGP populates label as next hop instead of recursive lookup to find IP path to next hop. No need to redistribute external routes!!! Route chosen using OSPF Simple short label exact match LSP: Label Switched Path Identified at the edge node Route look up once and associated label assigned to the packet LSR: Label Switch Router E-LSR: Edge Label Switch Router No External/Internet Routes on the Core Page 19

Better Performance as well as cost savings Class of Service Better Performance as well as cost savings Mission critical apps are prioritized; but no application will be starved Applications are mapped to “Classes” and assigned priority and bandwidth DiffServ Real-time: LLQ Video Conferencing ERP SAP CRM DiffServ Premium: CBWFQ DiffServ Best Effort Web Browser Cost savings achieved due to better management of the existing bandwidth without suffering from performance degradation

Drivers for Collaboration Productivity Increases Workforce Globalization Reduction in time to market Increased interaction with partners Large Research Institutions Teaching Hospitals Governments Local and National Business Executive Meetings Human Resources Customer Service for Remote Support Sales Presentations and Demonstrations Design and Collaboration between Teams Consulting Interaction outside Vendors and Clients Page 21