“SIP Trunking From 10,000 Feet” Mark Bresler Vice President of Channel Sales

A Replacement for TDM Circuits SIP Trunking A Simple Definition… SIP or Session Initiation Protocol, is an open industry standard built on top of mature Internet standards, like TCP/IP and DNS. SIP’s openness allows an ITSP’s voice equipment to interoperate with enterprise voice equipment over an IP network. The logical voice channel established between them is known as a SIP Trunk

SIP Trunking on the Fast Track The Surge in IP PBX Sales Fast Tracking Deployment of Service TDM PBX phone systems continued their steady decline in popularity, evidenced by a 22% drop in worldwide TDM PBX manufacturer revenue between 2005 and 2006, while IP PBX phone system sales continue to surge, growing 18% in the same period according to Infonetics Research Synergy Research estimates that by 2008 at least 55%of all available PBX’s are expected to be IP enabled Worldwide IP PBX segment is forecast to grow at a spectacular CAGR of about 33% on a cumulative basis up to 2010 says AMI Partners Gartner states that shipments of TDM CPE most likely to cease altogether by 2010 These statistics are indicative of the overall paradigm shift from circuit switched to packet switched voice communications and represent one of the greatest opportunities the sector has ever realized 4 www.ITEXPO.com

The Surging IP PBX Market Yankee Group, 2007

Value Proposition VAR’s, Distributors Increased Profits for VAR’s Sell more of your core products and services Receive a greater share of client’s spend Establish client reliance (stickiness/loyalty) Reduce labor cost – shorter installation time, fewer MAC’s and site visits Reduce customer acquisition costs Faster deployments mean clients bill sooner and commissions are paid quicker 6 www.ITEXPO.com

Value Proposition for End Users Lower Overall Voice and Data Spend Realize extensive savings (up to 70%) over traditional TDM Reduce transport costs by eliminating multiple local loops Lower soft costs associated with multiple provider model Spend less on miscellaneous fees associated with TDM carriers Utilize legacy TDM CPE by deploying a VoIP gateway 7 www.ITEXPO.com

Additional End User Benefits Increased Efficiencies Optimize LAN/WAN through Converged Service Architecture Achieve Real-Time Communication including Video, IM & Presence Enterprises with SIP enabled IP PBXs have the flexibility of keeping some TDM lines or circuits for redundancy SIP Trunking is extremely scalable and business continuity options are inherent in the solution Time to Deploy SIP Trunks can be in a matter of hours vs. legacy TDM which can take weeks or months 8 www.ITEXPO.com