SURPASS - The network of the future Key Message Lifeworks breaks through the limitations of today‘s communications by providing better control over information, making communications more convenient and intuitive, and offering applications independent of the location and the underlying infrastructure. Value Proposition LifeWorks removes the barriers between home networks, enterprise networks as well as wireline and wireless carrier networks. It offers seamless, intuitive and appropriate access to all kind of application, independent of device and location. It provides presence-aware real-time communication and is easy to use. Siemens differentiation I&C combines all telecommunication related units together Broad focus from Mobile Consumer Products over enterprise and supplier equipment to services Experience in all kind of networks

Information and Communication Networks Siemens is the unique partner of choice for communication solutions – worldwide, today and in the future. We enable our customers to increase their profitability, excel in their market, and exploit new business opportunities. As part of the Siemens global network of innovation, we provide future-proof, end-to-end solutions and service featuring highest quality and flexibility. Our 3 Key Messages: Customer Orientation = Partnership (Trustworthy, reliable usw.) We make our customers more profitable Our End-to-End solutions are state of the art, furture proof and smoothly add value to your investments/network. Everything is under the roof of Siemens AG. 16.04.2017 page 2 (c) Siemens 2004

LifeWorks is our vision Wireline Wireless Individual Service Provider Enterprise Public domain Enterprise domain 16.04.2017 page 3 (c) Siemens 2004

From disparate networks and services ... Tomorrow Transparency Merging and bridging of networks LifeWorks a new unrestricted way of communication LifeWorks will drive the need for changing networks – convergence of voice and data applications will become state-of-the-art. Transparency The future is about fully transparent networks without borders between wireline, mobile and enterprise domains. Siemens is the only vendor who is equally strong in all of these segments Flexibility The key to flexibility is a converged network, i.e. an all-IP network.  One all-IP network leads to minimum OPEX for carriers maximum flexibility for the user; ubiquituous availability of any application fully transparent communication exchange between user devices and network elements such as e.g. application servers.  Siemens offers a comprehensive portfolio of IP-enabled equipment to build end-to-end carrier-grade IP networks. Bandwidth One of the most crucial requirements for new services is the availability of sufficient and flexible bandwidth in the core and to the user. Siemens offers both, bandwidth and flexibility. We equip all our products with low-cost Ethernet interfaces to simplify end-to-end communication between Ethernet-based enterprise networks, consumer products, and application server. QoS Our competence in IP network technology builds on our strong and intimate cooperation with Juniper as well as on our own development of real-time VoIP technology (hiE, hiQ). The Siemens/ Juniper partnership not only comprises a solid and successful reseller relationship (i.e. Siemens being one of the largest Juniper sales channels worldwide) and a financial commitment (i.e. Siemens being one of the largest financial shareholders of Juniper Networks) but also – since early 2003 – a joint development activity (-> RESIP-project) which addresses the challenges of implementing end-to-end NGNs which help service providers to efficiently provide high-quality, real-time communication services (such as voice and video) over large-scale IP networks. Flexibility Fully converged, end-to-end services Bandwidth Ethernet-based communication across the network QoS Resilient IP network with carrier-grade QoS ... to unified, simple service provisioning 16.04.2017 page 4 (c) Siemens 2004

SURPASS – the Future is Yours ... Open interfaces and standards make SURPASS adaptable to any existing infrastructure Transparency SURPASS gives carriers and service providers exactly the modular building blocks they need. Flexibility SURPASS offers easily scalable end-to-end Ethernet technologies for access and transport Bandwidth Discover the Extraordinary Benefits of SURPASS   New Revenue Opportunities: The flexible architecture of SURPASS with its open platforms allows you to quickly create and implement new revenue-generating services to fulfill your customers’ needs (alternatively: to satisfy your customers’ demands). The result is the fast introduction of highly profitable applications while maintaining full carrier-class performance. Secure Investment: SURPASS offers you the infrastructure necessary for creating new revenue-generating services quickly and cost-effectively while protecting your existing investments. Its modular design and open interfaces allow for limited upfront investment and pay-as-you-grow strategies, secure business now and open lucrative opportunities for the future. Modularity: When it comes to building a new network or expanding the existing one, SURPASS gives carriers and service providers exactly the modular building blocks they need. These customized solutions can be applied as and when needed, so that network operations are perfectly optimized at all times. Open Interfaces: With its open interfaces and standards, SURPASS is adaptable to any existing infrastructure and enables cost-efficient provisioning of innovative services. It is precisely this flexibility that makes SURPASS a perfect match in a multi-vendor environment. SURPASS takes the telecommunications market beyond today’s limits and exploits the opportunities of IP-converged voice/data communications, offering a step-by-step entry into the world of NGN and a smooth migration to an all-IP and optics network. Resilient IP networks meeting highest standards of Quality of Service QoS 16.04.2017 page 5 (c) Siemens 2004

Residential Customers SURPASS – a future-proof Architecture NGN Management SURPASS Next Generation Management SIP NGN Control NGN Control SURPASS Next Generation Switching PSTN/ Mobile Network Media Gateways Application/Video Servers NGN Core SURPASS Next Generation Optics IP/Optical Backbone NGN Access Juniper Networks specifically addresses the carrier needs in the router market. Especially the M- and T-Series are a perfect fit for the core IP network of the SURPASS Next Generation Solution. The M- and T-Series IP Core Routers not only convince by their unreached stability and redundancy features but also by their feature rich performance. Media Gateway Access Gateway Metro Optics SURPASS Next Generation Access Multi-Service Access CPE Triple Play Voice, Video, Data PBX LAN Residential Customers Business Customers 16.04.2017 page 6 (c) Siemens 2004

Flexibility SURPASS – ideal solutions for different customer requirements The following two main scenarios are apparent in the market and explicitly requested by carriers: Further development of existing TDM networks to NGN with a maximum of investment protection With SURPASS hiE 9200 we address the migration market, building on the EWSD installed base Building of overlay networks without touching the existing TDM network With SURPASS hiQ 8000 we address the overlay market and therefore enter a new market segment 16/04/2017 page 7 16.04.2017 page 7 (c) Siemens 2004

SURPASS hiE 9200 – Optimized solution for NGN migration Revenue-Driven Additional revenue potential with new IP-based service offerings Full service and feature portfolio for both IP and TDM subscribers Full support of new value-added services, both SIP- and H.323- based Investment Protection Protection and leverage of existing TDM investment Scalable investment for demand-oriented network development Flexible option to grow with or migrate to an IP-based NextGen Switching solution 16/04/2017 page 8 SURPASS hiE 9200 – flexible & cost-efficient migration to NextGen Switching with maximum investment protection 16.04.2017 page 8 (c) Siemens 2004

SURPASS hiE 9200 Deployment scenarios for NGN migration IP applications New revenue streams with value adding applications Open interfaces Carrier-grade turnkey solutions Time to market with our “we SURPASS” program Unified messag. Confe- rence Synchr. Surfing IP applications IP Trunking IP trunking All established voice-carrier capabilities Converged IP voice/data infrastructure Inter-domain trunking for TDM, SIP and H.323 Carrier-grade and reliable SURPASS hiE 9200 TX TDM Transit Plane Juniper Networks IP platform Carrier-grade, modular architecture Best performance SS7oIP support 99.999% availability Legacy TDM subscribers TDM Trunking IAD/CPG IP-based local access Voice/data over DSL access or other IP connectivity Connection of IP and TDM subscribers directly to the IP network Connection of multiple subscribers via one copper pair New revenue through business-oriented advanced multi-media features IP-based local access IAD Integrated access device CPG Customer premises gateway 16.04.2017 page 9 (c) Siemens 2004

Why NGN and VT? Flattening and Simplifying the Network with VoIP Sample Big Metro Meshed Trunk Network 4 Tandems / 75 End 0ffices / 500K Trks / 2750 TGs Estimated Tandem Layer OPEX: $25M / Year SURPASS hiQ 9200 Softswitch IP QoS Core Network Class 5 Class 5 Local TDM Level Flattened Packet Trunk Network 3 hiQs / 200 hiGs / >700K DS-0s Tandem OPEX reduced by 50%, or more, as tandem & local layers integrated TDM Growth Requires addl. Tandem & re-engineering of entire network 16.04.2017 page 10 (c) Siemens 2004

At the leading edge: Future-oriented IP - Projects within Siemens Project partly funded by the European Community Siemens is the main Coordinator http://www.ist-aquila.org/ Siemens Project in cooperation with universities and research institutes Not only Qos Coordinated by ICN Carrier Networks Cooperation agreement between Siemens and Juniper NGN solutions with QoS, reliability, security, resilience Joint Lab for evaluation purposes “RESIP” – Resilient IP Networks 16.04.2017 page 11 (c) Siemens 2004

Objectives of the Siemens-Juniper Cooperation RESIP Setting the top QoS standards for resilient IP networks Coordinate NGN activities Next Generation Network solutions with quality of service, reliability, security, management and efficient utilization of voice, video and data transmission over a packetized network infrastructure Set up a joint laboratory to validate end-to-end NGN solutions and demonstrate them (“Proof-of-concept lab”) Establish a “de facto QoS standard” for resilient IP networks (“RESIP”), based on existing standards (ITU, IETF, …) The overall goal of the Siemens and Juniper cooperation is to jointly develop end-to-end NGN solutions that are designed to help service providers to efficiently provide high-quality, real-time communication services (such as voice and video) over large-scale IP networks. In detail, the joint development activity comprises the following: Establish a relationship to coordinate NGN activities Develop mutually beneficial, standards-based interfaces to enable interoperability between each others products Set up a joint laboratory to validate end-to-end NGN solutions with … - sufficient Quality of Service (QoS) - sufficient network reliability - sufficient network scalability - an efficient usage of network resources - an easy network operation … and demonstrate them to customers (within the “Proof-of-concept lab” in Munich, Germany – ready for customer visits !!! ) Establish a de facto QoS standard for resilient IP networks (“RESIP”). With RESIP engineering rules and feature sets carriers are able to deploy end-to-end NGN solutions with the highest QoS standards within the industry. 16.04.2017 page 12 (c) Siemens 2004

Benefits based on RESIP-compliant IP Networks Revenue streams CAPEX OPEX Efficient usage of network resources, wire-rate performance almost up to 100% of available network capacity for high priority traffic Even beyond 100%, voice communication is still possible due to packet loss concealment and engineering Self-healing/-restoration, payload flows automatically using new or alternative paths in case of Failures Topology changes Easy way for temporary de-activation of network devices Common infrastructure for services of multiple service classes Voice (over IP) Video (telephony, conference, on demand) Tiered Internet Access Best effort data Business data applications, VPN Satisfied users due to excellent service quality highly available infrastructure 16.04.2017 page 13 (c) Siemens 2004

The Whole is More than the Sum of its Parts + QoS Siemens – Juniper Cooperation Investigates Carrier-grade IP Networks + Reliability + Management + Security Carrier-grade IP Networks 16.04.2017 page 14 (c) Siemens 2004

RESIP Network View Project 2 SURPASS hiE IP TV Middleware SURPASS hiQ Design goals: Scalability 500k -100 million multimedia subscribers Voice, multimedia + best effort data (resource sharing) Multi-domain network solution QoS as required for the delivery of voice and video Failure response < 1 second Deliverables: Design & Engineering rules Lab verification and demo TDM network TDM network Video Server Access SURPASS Media Gateway Aggregation Edge Native Ethernet Switch IP / MPLS core SURPASS hiT Juniper M-/T-Series Router Juniper E-Series Router … so what does this mean? In order to be able to deliver a variety of services ranging from best-effort (data) services to high-quality, real-time, interactive (voice and video) services over a single IP network a number of challenges have to be overcome. First, the IP core network has to become “carrier-grade” bitte erläutern, was carrier-grade bedeutet; hochwertige Übertragung ohne Verzögerung in riesigen Netzen. (similar to today´s TDM-based circuit-switched networks), i.e. Provide sufficient Quality of Service (QoS) to allow real-time communication and interaction between users Bsp.? Provide sufficient network reliability to guarantee continuous revenue generation warum garantiert sie das? Provide sufficient network scalability to allow easy and cost-effective network extension heißt: Das Netz kann jederzeit entsprechend der “Nachfrage” angepasst werden? Ensure an efficient usage of network resources for a lower outlay of capital Am Bsp.erläutern Ensure easy network operation for reduced operational expenses Am Bsp.erläutern SURPASS hiD SURPASS hiX IP Set Top Box IAD / CPG 16.04.2017 page 15 (c) Siemens 2004

KING Research Project Future IP platform for Next Generation Networks The goal of the research project KING* is to establish a comprehensive carrier class solution that complies with the three major requirements: Quality of Service, prioritized high quality services Network Reliability, maintain QoS traffic also in failure situations Efficient Network Management Automated Network Control KING started in October 2001 with term of 3 years KING is carried out by Siemens AG jointly with 2 research institutes and 5 universities KING is partially funded by the German Ministry of Education and Research (BMBF) NAC stateless core Network Control Server * Key Components for the Internet of Next Generation KING Partners 16.04.2017 page 16 (c) Siemens 2004

KING key elements: Network model Service Control Call Control Network Management Network Control Server NAC NAC Core Edge 16.04.2017 page 17 (c) Siemens 2004

Prioritized Queueing + Traffic Distribution KING key elements: Target architecture Call Control Proxy Server Call Control Proxy Server Network Control Server Bandwidth Management Bandwidth Management IP I Customer Gateway I NAC NAC IP Access IP Core IP Access Customer Gateway IP IP I I Voice Video Data IP Edge IP Edge Voice Video Data IP IP Forwarding with Prioritized Queueing + Traffic Distribution I Inter-Carrier Interface (Call Control, Policies und Transport) 16.04.2017 page 18 (c) Siemens 2004

SURPASS Application Strategy Innovative applications are in our strategic focus We focus on a common set of applications, enabling services and network resources for communication w/o barriers across enterprise, mobile and fixed carrier networks We cooperate with industry leading partners to offer applications via open platforms We support to arrange for content for streaming and lifestyle services We offer seamless solution integration and customization Carriers provide business solutions in the network - within an IP network the features are available network wide Carriers can offer similar feature set as known from enterprise networks Enterprises expect additional applications from the carriers within their IP Centrex network All applications will be available also in a carrier scenario SURPASS - Your way to LifeWorks 16.04.2017 page 19 (c) Siemens 2004

SURPASS Application Strategy we SURPASS Partner Program PSE SMC We SURPASS partners act in different application areas With our partners we offer a wide range of applications 16.04.2017 page 20 (c) Siemens 2004

SURPASS Next Generation Switching Worldwide references SONOFON More than 70 contracts/trials in over 35 countries! 16.04.2017 page 21 (c) Siemens 2004

Wall Street Journal recognizes LifeWorks as a breakthrough innovation "Siemens wants to have phones, computers and PDAs act as if they're all parts of a common system." Gold medal in category Network –Internet Technologies – Broadband Bronze medal for overall innovative concept Jury of ten technology and business experts Field of 130 European entries 16.04.2017 page 22 (c) Siemens 2004

Siemens Is Open For Business ANDY MATTES At Siemens we’re OPEN FOR BUSINESS. Open-standards solutions are the only way to achieve a truly user-defined communications experience and true interoperability. So whether your job is to make sure that the technology in your back office supports Sarbanes Oxley or whether you biggest concern is how to bring a small new site into your network as quickly and painlessly as possible, the key is standards-based solutions. Let’s keep the momentum going. The future is in our hands. And speaking of the future, let’s listen one more time to the class of 2010 to hear their vision of communications. 16.04.2017 page 23 (c) Siemens 2004

Thank you Curt Badstieber Siemens AG ICN CN 4E Curt.Badstieber@siemens.com 16.04.2017 page 24 (c) Siemens 2004