By Michael Shear, President/CEO February 2007 Northern Virginia Presentation Developing Advanced Telecommunications Solutions in support of Economic Growth & Sustainability

USA TODAY – May 11, 2001

Sally Forth March 3, 2006

a S.E.T. of Challenges and all have Economic Impact  Security  Environment  Transportation Not 1 Challenge but

Issues We Are Struggling With  Emergency Preparedness  Continuity of Operations Planning  Reliance on Oil  Air Pollution  Global Warming  Transportation  Sprawl  Economic Viability  Quality of Life

“We can’t solve problems by using the same kind of thinking we used when we created them” – Albert Einstein

Changing the way we look at things Changing perception is sometimes a matter of

Shifting Paradigms  Industrial Worker  Deliverables are physical goods  Components of production need to be gathered at a physical location  Depletion of time and gasoline  Knowledge Worker  Deliverables are information based  Components of production are assembled in cyberspace  Uses time to ‘create’ information value and reduces use of gasoline

Responses  Transportation Based  Single Occupied Vehicle  Carpooling, vanpooling  Mass Transit  Toll Roads  Flextime  Walk, cycle  Technology Based  Telephone, fax  Voic , , internet  Teleconferencing  Telework, instant messaging  Telework centers  Video conferencing  Wireless mobility  Unified Messaging  Collaborative Tools  ‘Virtual Presence’

Land Use = Proximity Transportation = Mobility 3 Methods of Access “Accessibility is a key ingredient of well-being and prosperity in contemporary societies.” AIR POLLUTION FROM GROUND TRANSPORTATION UN and World Bank Long Lead Times 5-7 Years Telecommunications = Connectivity Short Lead Times 1-2 Years

Distributed Workplace A stepping stone in the ‘network economy’ Building a Stronger America with Innovation and Technology

Evolution of IT Solutions for Remote Workers  Telework (Home Based) – Early 1970’s  Telework Centers (Modest Real Estate) – Early 1990’s  Distributed Workplace (Strategic use of Real Estate)

Greater Washington Area Telework Centers

The Challenges of Telework  Not for every knowledge worker  Home environment  Isolation factor/envy factor  Many need separation of work and home  Management oversight resistance  Last mile technology, security and support  Most teleworkers are “occasional” users  Lack of predictability for TDM and COOP  Relies on PSN

POCKETS Distributed Workplace Distributed workplaces are the combined use of a broad range of information technologies and strategic use of real estate for sustainable and secure economic and social advantage.

Enterprise Tenant Proof of Concept TeleSuites are networked throughout a major metropolitan or statewide area

Converged Desktop Technologies

Web Enabled Call Center Distributed Workplace Federal Government Federal Government Enterprise Tenants Enterprise Tenants 3-5 Locations – 1200 employees 5-8 TeleSuites/ Location People /TeleSuite Seat Distributed Call Center/location Broadband LAN/WAN Voice/Data/Video Connectivity End User Systems & Software Support $6,500 – $7,500 Investment/person 3-5 Locations – 1200 employees 5-8 TeleSuites/ Location People /TeleSuite Seat Distributed Call Center/location Broadband LAN/WAN Voice/Data/Video Connectivity End User Systems & Software Support $6,500 – $7,500 Investment/person Pilot Parameters Tech Center & Education Tech Center & Education State & Local Government

Northern Virginia Distributed Workplace Network Concept Metro-Area Topology PSTN PBX Integrated VoIP POCKETS will engineer and coordinate connectivity from Partners and Clients to POCKETS Main-Office or other POCKETS locations. Connectivity integrates with clients main leased-line, Frame Relay or other Wide Area Network strategy. MAN and LAN options include Wireless, Ethernet or Optical links. Design for LAN/MAN/WAN connections include traffic- engineering to allow for Data, integrated Voice (VoIP) and Video Conferencing Capability. These will be as extensions of client’s services into POCKETS sites as remote office locations for clients.

Work Location/Method Benefit Comparison FactorsSingle Location TeleworkDistributed Workplace Productivity011 Attraction & Retention011 Lower absenteeism011 Reduced stress011 Employee satisfaction0½1 Environmental impact0½1 Security-people, systems, data101 Time & money savings to employee0½1 Business continuity0½1 Management Oversight1½1 Family emergencies, inclement weather, work-life balance 0½1

Converting Gasoline Dollars into Local Economy Dollars

DISTRIBUTED WORKPLACE METROPOLITAN JOINT VENTURE PILOT INITIATIVE

Proposed Joint Venture Preparation Phase – Months 0 to 6  Form Local Area JVI staff (3-8 individuals)  Create a planning group consisting of key businesses, organizations, and individuals  Identify prospective initial tenants  Define necessary feasibility reviews  Develop a comprehensive pilot business plan for the local area with support from stakeholders  Apply for appropriate grant programs  Add members as appropriate to the JVI

Proposed Joint Venture Preparation Phase – Months 7 to 12  Complete initial feasibility reviews and identify technology, connectivity, and real estate requirements  Define ICT test and review processes (lab) for distributed workplace technologies evaluation  Identify first tenants and target specific remote workers  Design workscape options with first tenants  Establish human resources and technology migration plan for initial tenant's  Select first real estate locations and begin phased build out

Pilot’s First 50 People  Phase 1 - Discovery processes  Phase 2 - Pre-Implementation planning  Phase 3 - Implementation - (1000 to 1200 over 24 months) SepOctNovDecJanFebMarAprMayJuneAug Phase 1 - Discovery Phase 2–Pre-Implementation Phase 3-Initial 50 people July

Government Participation  Local – MWCOG TLC Program  State – Support for Telework  Federal –  Congress – Government Reforms, Environment, Transportation and Homeland Security  Administration – Proposed Allocation for Innovative Congestion Mitigation  GSA/PBS, DHS, EPA & DOT

Elements of Distributed Workplace

By Michael Shear, President/CEO February 2007 Where Do We Go From Here? Responding to Change in the Information Economy Northern Virginia Presentation