1. Positioning SCS500 vs BCM450 vs CS1000 By James Turner

2. So you have a 250 user system which switch? Total cost of ownership Scale Compatibility Flexibility Functionality Usability SMB Solution Criteria considered Source: Four Important Questions for Technology Providers to Answer for SMB Market Credibility, Gartner, Nov 2006 SMBs have similar business challenges and requirements as large enterprises, but have fewer IT resources.

3. Price points PRI, 250 IP/SIP users, 250 VM and 250 mid range handsets £68,000 MSRP £73,000 MSRP £86,800 MSRP

4. BCM 50/450 Nortel Portfolio Positioning 5100250500 Employees in a Business BCM 50 Optimized for the SMB VOLUME and SIMPLICITY market Fully Featured solution targeted at the Enterprise market Software Communication System SCS 1000+ 30 IP and/or TDM PURE SIP Optimized for Value and Customization: Multiple sites with Mobile Employees Collaborative Applications needs Branch, Distributed & Centralized Solution

5. BCM450 R1SCS500 R2CS1000 R5 Market SegmentSMB – IP/IP HybridSMB – Pure SIPEnterprise – IP/IP Hybrid Max Line Size300 IP / 300 Digital1,000 SIP22,500 IP / 5,000 Digital Target Users30-25050-500100-5,000 Customer TypeNew + NorstarNewNew + Meridian 1 Customer Values Value, “All in One”, Integrated Simplicity, User Configurability, UC Scalability, Sophistication, Resiliency Telephony Features AdvancedBasicAdvanced Call Center Integration AdvancedBasicAdvanced Investment Protection YesNo Converged Mgmt (Data) YesNoYes Mobile PhonesYesNoYes Soft PhonesBasic – PC + PDAAdvanced – PCBasic – PC + PDA Advanced Collaboration NoYes BCM450 Positioning Different products aimed at different market segments with different customer needs. 1) CS1000E for New customers, CS1000M for Meridian customers; 2) Advanced Collaboration includes: Video Conferencing, Find-Me-Follow-Me, Embedded IM / Presence.

6. BCM High volume selling model Taxi work horse of the World Multiple variants BCM50/450/CEC upgrade Petrol or Diesel / IP or Digital Optional extras / Applications 400 plus features Select partner customisation Fits 99% sub 250 needs

7. SCS 500 Desirable but not practical for everyone Few variants but every model comes with maximum features Easily customisable SIP foundation Unified Communication platform Less PBX features Low cost UC entry Low cost High availability Simplicity of PAA, FM and set up Future of telecoms

8. CS 1000E Large Capacity Best suited to multi site full hot desking and SRG Completely bespoke Ideal for FTSE 500 Microsoft OCS IBM desk top Market leading contact centre True enterprise product

9. CS 2000 Carrier grade hosted platform Hosted is an emerging product Available through Westcon £120,000rrp based on 3 years and 250 users

10. BT Restricted portfolio Slow to market Minimal mobile work force for face to face Diminishing local business model Constraints on sell out price Low on personal customer service

11. The main rivals Avaya (IP office) IP office growth issues at 200 lack of investment protection Age Cisco (CM express) No digital story which is still key in sub 100 lack of voice pedigree Out of the box add ons Mitel Sub 30 is different platform (Intertel) More servers for application No data offering

12. Developer Partner Programme BCM and SCS500 can deliver applications Empix evolve Mobile convergence, (Skype) and Web CRM ITEL console establish base with BT Advatel Presences, screen base console and phone manager, activity logs, SMS from desk top, number mining, dial from documents, Outlook exchange server integration and call scheduler Oak presence, IM, uncomplicated phone manager and integrator to CRM.

13. BCM and Unified Communications BCM provides a highly effective platform for customers seeking cost effective Unified Communications solutions, using the BCM Developer Partner Program and LAN CTE Clients Nortel can offer:BCM Developer Partner Program Smart Phones allowing: Click to dial Mine Outlook for calendar details Presence IM This can either be Desktop or through a soft console Other Soft phones will soon be available through the SPP UC Ready for SMBs BCM provides access to key feature segments of UC.

14. BCM Message Forwarding Sends an email when a voice or fax message arrives in a subscriber’s mailbox. Option to attach a compressed WAV file to the forwarded email, so the user can play the voice message or display the fax message on the destination device (e.g. BlackBerry). Increases productivity Improves customer service Streamlines business processes Flexible to use with a wide variety of devices No add-on client software needed Consolidates forwarding of voice, fax and email to add another powerful UC feature to BCM! Supported on BCM450 Post-GA 1 New! 1. Expected 1-2 months after BCM450 GA via the BCM Value Add Program.

15. Business Optimised Network Portfolio 2212 6120 6140 ERS 25xx & 45xx ERS 55xx Core switches – 86xx Application Switches and Accelerators WLAN solutions

16. Key takeaways  Nortel has the call servers to meet mid market demands  Complete complementary data portfolio  Full suite of applications  Large legacy opportunity to address (evergreen)