2. China Unicom Project Presented By Kirk Topits (July 2003)

3. Who is China Unicom? About China Unicom China Unicom was established in July 1994 and listed on the Hong Kong and New York stock markets in June 2000. China Unicom is China's second largest mobile communication operator with over 70 million mobile subscribers for its CDMA and GSM networks. Presently it has over 300 branches and subsidiaries in the country's 30 provinces, autonomous regions and municipalities directly under the central government. China Unicom is now the only fully licensed service provider in the country, providing a full range of telecom services such as domestic and international long-distance call service, mobile phone and data/IP network communications. The Company has completed the construction of the second largest broadband optical fibre transmission network in China, which serves as the common platform supporting the various networks of cellular communications, domestic and international long distance, data, Internet and paging services. For more details regarding China Unicom Ltd., please visit our website: www.chinaunicom.com.hk www.chinaunicom.com.hk

4. China Unicom wants to leverage its nation-wide fiber optic network by launching the world’s largest video conferencing network. What do they want?

5. Required Components  MCU’s - standards based, Carrier Grade  Full Audio and Video Transcoding, CP with Lecture Mode  Audio/Video Error correction - Packet Loss, Jitter, Seq Errs  Gatekeepers (Multi-Hierarchy and PSTN style dialing using E.164)  Virtual MCU Servers (with automatic cascading)  Customer Interface Portal  Real-time Conference CDR/Billing/Banking Servers  Operator Assisted AND Self-serve conferencing  Web based Conference Control/Scheduling  Integrated in HP Openview with SNMP - Component Level  End Points AND support for ALL China Endpoints  CISCO AVVID Certified  Industry Leader - On Standards Committee - Service Providers

6. Overall Design Objectives  Firewall / Proxy between VPN’s and Networks  Gateway Access to other Networks  Any device To Any device Connectivity  Unified Dialplan and directory  Common Portal for all scheduling and control  Real-time Authorization  Common Billing / Details  High Availability 99.99%

7. Challenges to Polycom  All software developed by Chinese system integrator  It’s ALL Chinese Language - No English  China Based Competition  Political / Social / Business  System must be REAL at Demonstration  Constantly changing requirements  Biggest IP network for Polycom  Demonstrations during 9/11  100% “IP” mentality  Heavy usage by Unicom upper management  Designed for Enterprise Video VPN Services  Largest VIDEO IP network in the world!

8. The Project  Project Team All of the Beijing Office Network Systems R&D /Israel AsiaPac /Atlanta Network Solutions /Milpitas China based system integrator  Time Line Start Q1/2001 RFP and demonstrations Q3/2001 Award Q4/2001 Equipment Install Q1/2002 Internal Launch Q3/2002 Full Customer Launch Q4/2002

9. Networks

10. China Unicom Architecture MCU’s Video EndPoint

11. China Unicom Networks (Simplified!) ATM/FR Fiberoptic BACKBONE (Lucent) ATM/FR Fiberoptic BACKBONE (Lucent) “193” ISDN Network Local PSTN “Last Mile” Local PSTN “Last Mile” GSM / CDMA “13x” Network IP Backbone Network (Cisco/AsiaInfo) IP Backbone Network (Cisco/AsiaInfo) “165” Internet VPN National “100” Video VPN Custome r / VPN Province Video VPN Province Video VPN Province Video VPN Custome r / VPN Custome r / VPN International Partner “0xx” Video VPNs

12. Network Topology Beijing GuangZhou Shanghai ShenYang Wuhan HongKong XiAnChengDu National “100” Video VPN Tier 1 Data Centers Tier 2 Data Centers Tier 1 Backbone Tier 2 Backbone Tier 3 Link Alternate Route

13. Equipment Distribution MCU 组网示意图

14. Gatekeeper Topology 视讯交换层组网结构示意图 目录 GK 北京总部 目录 GK 北京总部 会议电视承载网网 北京 GK 上海 GK 沈阳 GK 西安 GK 广州 GK 武汉 GK 成都 GK 会议电视承载网网 北京、天津 、内蒙古、 山西、河北 省 / 市的 MCU 和 H.323 会议 电视终端 上海、山东 、江苏、浙 江、安徽省 / 市的 MCU 和 H.323 会议 电视终端 广东、广西 、海南、福 建省的 MCU 和 H.323 会 议电视终端 湖北、湖南 、河南、江 西省的 MCU 和 H.323 会 议电视终端 四川、重庆 、云南、贵 州省 / 市的 MCU 和 H.323 会议 电视终端 陕西、新疆 、甘肃、宁 夏省的 MCU 和 H.323 会议 电视终端， 青海、西藏 省的 H.323 会 议电视终端 辽宁、黑龙 江、吉林省 的 MCU 和 H.323 会议 电视终端 Neighbor Networks GK/proxy Neighbor Networks GK/proxy

15. The Demonstrations

16. Physical Demonstration Layout Polycom/Atlanta Unicom/Beijing Lab/Beijing ISDN Network Public Internet Polycom/HongKong Polycom/London Polycom/Atlanta ADSL

17. Logical Demonstration Layout Hong Kong Atlanta London MCU#2MCU#1 MCU#3 MCU#4 Conference #4 Conference #1 Conference #3 Conference #2 UNICOM - Beijing Lab - Beijing Polycom - Atlanta Conferences Created Cascade @384 KB Local EP @384 KB ISDN EP @384 KB Remote EP @128 KB Conference Uptime 10 Hours

18. The Final Demonstration Results… CHINA UNICOM SELECTS POLYCOM AS A MAJOR SYSTEMS PROVIDER OF BUSINESS VIDEO COMMUNICATIONS SYSTEMS FOR THE WORLD’S LARGEST IP VIDEO COMMUNICATIONS NETWORK China Unicom selects Polycom’s MGC-100, PathNavigator and ViewStation to bring business quality video communication services to the People’s Republic of China. HONG KONG and MILPITAS, Calif., Feb. 28, 2002 – China Unicom (HKSE: 0762; NYSE: CHU) and Polycom ®, Inc. (NASDAQ: PLCM), today announced that China Unicom has selected Polycom as one of its major system providers for the world’s largest Internet Protocol (IP) video communications network. According to the contract, China Unicom is purchasing US$(multi) million worth of video communications systems from Polycom beginning in the fourth quarter of 2001 and continuing during the first quarter of 2002, in addition to the contractual purchase of other equipment and software, resulting in the world’s largest IP video communications network covering over 300 cities in China including Hong Kong. Through the cooperation with operators outside China, China Unicom will extend its business to other countries.

19. The Deliverables (Phase I)  Polycom 34 MGC’s in 30 Provinces 8 PathNavigators (1 master and 7 regional) GK Support 20,000 registered / 2,000 on-line endpoints (Possible 200 conferences/day, 50% cascaded) 800 Polycom Endpoints (Equipment) Installation  China System Integrator Internet Portal interface for customers Directory Services Integrated accounting, billing, banking Complete network management package (HP Openview) Virtual MCU

20. The Design

21. Applications Created  Account management  End-Point Registration  Scheduling  Virtual MCU (cascading, failover)  Conference Control  Operator Services  “CDR” Collection and Conversion  Billing  WEB Portal  Time Synchronization  HP Openview Traps/Alarms  HP Openview Analysis

22. Architecture Overview 34x MCUs 7xPathNavigators API Central Servers Top PathNavigator MGC Manager Clients Primary Data Center Provinces

23. Management Architecture HP Openview SNMP Server 34 MCUs Banking Credit Card System WEB Portal Server User Interface, Registration PathNavigators SNMP Scheduling Server Virtual MCU C/C++ API WEB Portal Conference Control Server C/C++ API CDR Collection Servers C/C++ API Database Server Provinces Primary Data Center PN API

24. Gatekeeper Deployment SQL Server Primary PathNavigator Backup PathNavigator SQL Server Primary PathNavigator Backup PathNavigator SQL Server Primary PathNavigator Backup PathNavigator SQL Server Primary PathNavigator Backup PathNavigator Central Admin Servers Primary Data Center Pre-Registered EP Only Neighbor GK’s Only Provinces (7 Zones)

25. The Portal

26. (WEB Site Home Page) Login Forgot Password UserName Password Video Conference Operation Center Registration Center (Operator Assisted) Conference Reservations (Login Required) Conference Control (Login Required)

27. CreateConference AccountInquiry (Logged In User - Main Menu) Video Conference Operation Center ConferenceControl ContactUs Logout

28. (Account Inquiry) User Info Modify Address Book Con f Info Reservation Inquiry Conf Inquiry History Billing Info Balance Return Reservation Inquiry NumberName Start Time DurationTypeStatusCmd Contact Us Logout Conf Control New Conf Video Conference Operation Center

29. Conf Name Password Password Confirm Conference Meeting Room Available Endpoints Selected Endpoints Chair Site Participant Site Video Conference Operation Center Contact Us Logout Conf Control Account (New Conference)

30. NameRequestor Master Site Start Time End Time Extended Available EP Dial In/Out Add EP Terminate Lock Delete Party Status/Reconnect Dial In/Out Audio Mute Speaker Name Refresh Currrent Time Video Conference Management System (Conference Control) New Conf Account Contact Us Logout

31. Conclusion…

32. 34 on-line MGC’s!

33. The Polycom MGC has been declared as THE standard for IP Conferencing. H.323 compliance is defined as compliance with the Polycom MGC-100. 10 Signed up customers Over 4,000 registered endpoints. Target 10,000. 25 conferences/day, 150 / week Average duration 3-4 hours

35. Phase II is in planning stage. 20x Additional MGC-100 6x Additional PathNavigators Additional Capacity to existing MGC-100