Quarterly update webcall on BT’s 21CN programme 28 th April 2009 Welcome to the BT's 21CN programme is subject to consultation and further development. Dates and other details should be treated as indicative only, and subject to change

Agenda The 21CN strategic priorities review and what this means Pathfinder progress and plans/ next steps Key Consult21 engagement activities Q&A session & poll Speakers: –Bill du Cann, Nigel Scott, Bob Corner & Chris Basey

21CN strategic review and what this means Nigel Scott BTW, Industry Consultation BT's 21CN programme is subject to consultation and further development. Dates and other details should be treated as indicative only, and subject to change

21CN strategic priorities – key points 21CN Strategic Priorities 2009/10 briefing issued in March 09 Acknowledges the changed global economic outlook Includes BT’s view that the future economy will be fibre-led – enabled with the successful delivery of the 21CN core infrastructure A fibre-led future allows BT to consider leapfrogging technologies The priorities for 2009/10 are operationally simpler to deliver It completes the transition of the programme to be more customer and market- led and we will sustain 20C longer than previously envisaged Looking to extend fibre network as far as possible to cater for the huge amount of telecoms traffic driven by current & future technologies Migration plans being developed based on local condition of 20CN

21CN strategic priorities – financial year 08/09 successes In the financial year 2008/9, we have: Completed the rebuild of BT’s core and transmission networks in the UK Introduced Ethernet services across the widest national footprint in the UK market Introduced 21CN broadband to an addressable market of 10 million UK homes and businesses – 40% of the addressable market Successfully migrated end users to 21CN voice services in South Wales as part of Pathfinder Launched BT’s global network of virtualised data centres

21CN strategic priorities – what does it really mean for our products going forward? WBC & Ethernet

21CN strategic priorities – what does it really mean for our products going forward? Voice

21CN strategic priorities – what does it really mean for our products going forward? TDM

21CN strategic priorities – what does it really mean for our products going forward? Interconnect: NGNCC

Openreach Fibre plans which support NGNs BT sees the future as a fibre led mixed economy

21CN Deployment Strategy Plan (DSP) The: - 21CN Deployment Strategy Plan (DSP) - Summary of 21CN Product Plans - Service availability schedule were issued on 15 th April and are available via the secure area of the Consult21 website. For access to the secure area* please NB: Access is only available to our CP customers

Pathfinder progress & plans moving forward Bob Corner (BT Design) Chris Basey (BT Design) BT's 21CN programme is subject to consultation and further development. Dates and other details should be treated as indicative only, and subject to change

Voice migration first phase of voice pilot activity – Pathfinder The voice migration and pilot activity in preparation for voice network migration is known as Pathfinder This pilot activity involves voice line migrations only at present The pilot is taking place in a small area of South Wales Pathfinder is providing learning and helping to build confidence for large scale migrations All planning and operational activities are carried out in close collaboration with a working group of service providers We are contacting service providers with customers in the area ahead of migration activities

Where & when is Pathfinder happening? Completed exchange migrations

Where & when is Pathfinder happening? Future migrations ** Llandaff, Whitchurch & Llanishen are now being migrated on 7 th May – this deferment was on CPs’ request (original date was Maundy Thursday 9 th April)

Pathfinder 1 migration and upgrade plan Treharris Migration Ferndale & Tonyrefail Migrations Cardiff S Migration Caerphilly Migration Llandaff, Whitchurch & Llanishen Migrations 19/2 05/3 12/3 26/3 23/4 Roath D&E Migration Pathfinder 1 Complete Approx Customer lines Network upgrades May July/Aug Ynysybwl Migration Penarth Migration 05/02 22/01 Current position 7/5

Pathfinder current facts and figures Over 50,000 working customer voice lines have migrated to 21CN* Last migration was Roath on 23 rd April – successful migration – no significant issues raised since migration Largest System X migration to date Physical transfer of lines were completed in under two hours Average outage was one minute 45 seconds Over 12.5 million calls have been carried over 21CN * Numbers may change due to churn

Learning from Pathfinder so far Slow start approach taken is the proven, correct approach Have proved the technology, processes and supporting tools with CPs Fault numbers currently running at or below figures for 20CN Have been some critical CPE issues – payment machines – lines are being groomed or regressed No significant issues with Caller Display, burglar alarms or ATMs No recent significant platform issues, or interim upgrades required to date

Pathfinder – the next steps – Pathfinder Volume POTS Moving into “Pathfinder Volume POTS” Again voice migrations only Will complete the further 7 DLEs in South Wales - Cardiff, G, L, E, F, Bridgend, Cardiff B, Pontypridd Will complete the migration of up to 260K lines Will take place January 2010 through to July 2010 Same technology & architecture as Pathfinder – Ericsson based call server July 2009 – September Call Server and MSAN upgrades in Pathfinder area Will provide key learning following migration of a complete DLE in a night

Then what? Moving into planned voice migration Planned (scale) voice migration will be at a slower pace & smaller scale –We plan to run 21CN and 20CN in parallel for longer Migrations will flow onwards from Pathfinder Volume POTS Migrations will be DLE by DLE Migration schedule will be driven by a mixture of 21CN and 20CN factors Revised schedule is under development and will be advised to CPs in accordance with agreed leadtimes

Other plans - timeline

08/09 Fiscal 09/10 Fiscal10/11 Fiscal11/12 Fiscal Issue 15 Apr 09 July 08May 09 Remigration of regressed/groomed analogue lines Pathfinder - POTS Only Migration of customers by concentrator/multiple concentrator unit at a time in Pathfinder catchment Jan 10Jul 10 Proves: Baseband voice on 21CN using FTEL CMSAN, ETL CS (TSS4.1.1); Migration from System X DLEs. Proves: Baseband voice on 21CN using FTEL CMSAN, ETL CS (TSS4.1.1); Migration from System X DLEs. Huawei NI - All Products dates TBC Migration of customers by concentrator unit at a time; Migration of all products in a night in Belfast Pathfinder 1 POTS ~75K Pathfinder 1 POTS ~75K Pathfinder Volume POTS ~275k Pathfinder Volume POTS ~275k Pathfinder Volume All Products Pathfinder Volume All Products Pathfinder - POTS Only Migration of customers by DLE at a time in Pathfinder catchment Proves: Baseband voice on 21CN using FTEL CMSAN, ETL CS (TSS 4.0); Migration from AXE10 and System X Proves: Baseband voice on 21CN using FTEL CMSAN, ETL CS (TSS 4.0); Migration from AXE10 and System X Proves: Baseband voice on 21CN using Huawei CMSAN, ETL CS (TSS 4.1.1) Migration from AXE 10 Proves: Baseband voice on 21CN using Huawei CMSAN, ETL CS (TSS 4.1.1) Migration from AXE 10 London - All Products dates TBC Migration of customers by DLE at a time; Migration of all products in a night in Thamesmead Midlands - All Products dates TBC Migration of customers by DLE at a time; Migration of all products in a night in Redditch Proves: Baseband voice on 21CN using Huawei CMSAN, ETL CS (TSS 4.1.1) Migration from System X Proves: Baseband voice on 21CN using Huawei CMSAN, ETL CS (TSS 4.1.1) Migration from System X Pathfinder – ISDN & Fline Products dates TBC Migration of customers by concentrator/multiple concentrator/DLE; Migration of all ISDN products in a night Pathfinder ISDN Proves: Baseband voice on 21CN using FTEL CMSAN, ETL CS (TSS 4.1.1) for ISDN and Featureline; Migration from AXE10 and System X Proves: Baseband voice on 21CN using FTEL CMSAN, ETL CS (TSS 4.1.1) for ISDN and Featureline; Migration from AXE10 and System X 35k POTS, 1,200 ISDN2 & 200 ISDN30 44k POTS, 2,100 ISDN2 & 180 ISDN30 43k POTS, 2,100 ISDN2 & 180 ISDN30 21K ISDN2 1,900 ISDN30 Proves: Baseband voice on 21CN using Huawei CMSAN, ETL CS (TSS 4.1.1); Migration from System X Proves: Baseband voice on 21CN using Huawei CMSAN, ETL CS (TSS 4.1.1); Migration from System X Huawei Northern Ireland Huawei Northern Ireland HNI ISDN Service Trials HNI ISDN Service Trials Oct 09 Proves: Baseband voice on 21CN using Huawei CMSAN, ETL CS (TSS 4.1.1), for I30e, I30DASS, I2e Proves: Baseband voice on 21CN using Huawei CMSAN, ETL CS (TSS 4.1.1), for I30e, I30DASS, I2e NGN CC CS & CMSAN Upgrades Under Review Pathfinder ISDN Service Trials Pathfinder ISDN Service Trials Aug 10

Key Consult21 engagement activities Bill du Cann BTW Consult21 BT's 21CN programme is subject to consultation and further development. Dates and other details should be treated as indicative only, and subject to change

Consult21 News NICC B2B Standard definitions Consult21 headlines Consult21 News NGN CC Contract Options Condoc Consult21 News MSIL Service Resilience Condoc Consult21 News Datasets survey completed Consult21 News Sector based market workshops held Consult21 News Broadband video and content webinar Consult21 News Use of FTTC in 21CN broadband workshop Consult21 News Pathfinder reviews and briefings

Consult21 forthcoming activities Consult21 News MSIL Service Resilience product definitions Consult21 News TDM (data) Sub 2Mbit/s feasibility report Consult21 News Datastream consultation conclusions Consult21 News Pathfinder Volume POTS preparation Consult21 News Sector based market workshops follow up Consult21 News Next Customer Experience event 4 th June Consult21 News Pathfinder summary update webcall 15 th May

Useful information & how to get engaged More information? then contact Or visit these sites The Consult21 website: The independent public information website covering the process of migration: For general information about BT’s 21CN programme go to:

 Answers Questions

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