1. Changing the VoIP Paradigm Creating Value From Convergence Stef van Aarle, Vice President of Marketing & Strategy Lucent Technologies

2. Competition Technology Regulation End-User Dynamics Convergence of Market and End-User Forces Prosumer

3. Market Trends For the Enterprise - Seamless Communications!  Users want access to their communications and entertainment services from many places…  Home, office, on-the-go  …using several different devices…  PC, telephone, mobile phone  …without having separate accounts  Single sign-on, common contacts, information/content delivery  New family of intelligent, interactive, location-based broadband services  Anytime, anywhere access to messages, contact lists, calendars and conferencing  Live video to handheld devices  Mobile access to speech-enabled web services The seamless blending of services and applications will grow the “telecom wallet”

4. Bringing Together the Best of Yesterday’s and Tomorrow’s Technology DATA Price efficient High speed Application development Bandwidth Leverage IP network Rapid innovation VOICE 99.999% Reliability Feature rich Application rich Scalable Easy to Manage Ease of use Enterprise Needs Have Changed Best of Both Worlds Business-driven Scalable Flexible & open Multi service Multi location Low TCO Reliable & Secure Easy to manage

5. Convergence Market Trends for the Service Provider Value Over IP™ Is the Ultimate Differentiator for Service Providers Value Over IP™ Is the Ultimate Differentiator for Service Providers  Complete network and organizational convergence  End User Controls seamless network experience Bringing the Network to You ! Blended Lifestyle  New revenue and service stickiness VALUE EXISTING NETWORKSNEXT GEN CONVERGENCE  Convergence of network elements  Cap-ex and op-ex control  MPLS enabled network  Leverage existing networks  End user demand for one stop shop  Top-line growth via brand extension  B/Office Integration  Dependent on access, network, and device Virtual Bundling Network “IP” Network “IP” Value over IP ™ Value over IP ™

6. Next Gen Convergence Model Seamlessly Bringing the Network to You Access Independent Device Independent “Always-On” Profile-Aware

7. Making It Relevant – Interactive Services  Watching Bloomberg TV news items via high-speed data access  Conference on a colleague via VoIP or IM to see the news  Discuss investment opportunities linked to news while researching segment companies  Send video clip with an email or voice message to colleagues who couldn’t conference on  Later, click to set up and dial conference call with colleagues, researchers, et. al.

8. Susan (HQ VP) Mark (Branch Office staffer) answers Susan’s IM/voice call Tim & Linda (Branch Office staffers) are unavailable Making it Relevant – “presence-Powered” Instant Person-to-Workgroup Communications Interaction In a Nationwide Retail Store

9. The Business Case is Changing “The increased availability of both (IP-PBX and Hosted IP PBX) will cause Enterprise customers to take a hard look at their needs and requirements to evaluate when and how they should make the transition to VoIP” IDC, Study #28803 “the decision is not whether to implement IP telephony, but how--whether to pursue a premises convergence or a services convergence strategy” Yankee Group, Enterprise Computing and Networking The New CIO Mandate Source: The Yankee Group, 2003 Large Initial Capital Outlay Greater Control Minimal Capital Outlay Outsourced Customer Owned – IP PBX owned, operated and maintained by enterprise. Hosted IP PBX – Hosting partner owns and manages the IP PBX at its facility. Managed IP PBX – IP PBX owned, operated and maintained by the service provider at enterprise site Large Initial Capital Outlay Reduced Operational Cost Evaluate the features and future you are expecting from your investment

10. VoIP 2.0 Challenges – Beyond the Business Case  User & Network Migration  Streamlined User Migrations From Legacy to Next Gen VoIP (Bulk Migrations)  Minimize Downtime During Network Cutover  Network Security  Traditional Threats + New Vulnerabilities  Must Address Each Security Layer as Part of an Overarching Security Design Confidentiality, Authentication, Access Control, Availability, Non-repudiation, Privacy, Integrity  Service Quality  Packet Loss, Latency, Jitter, Delay All Need to Be Measured BEFORE and AFTER Deployment  Use Multiple Benchmarks to Measure VoIP Quality For an Enhanced End-User Experience  Evolution Strategy  Maintaining High Quality in ALL Data and Voice Applications  Ensuring Traffic Prioritization for Business Critical Applications  Network Resiliency, Reliability & Availability  VoWiFi Implementations  E911/CALEA  Power Requirements …and many more

11. IP/MPLS Core Internet IP Network Media Resource Server Application Servers Softswitch MiLife™ ISG Media Gateway SDHLR Cable Program Management Knowledge Management Single point for coordination and accountability Understanding of total project lifecycle IP Network 2G/3G Packet Mobile Network 802.xx Access Circuit Mobile Network Multivendor Integration Expertise: One Consistent, Comprehensive Approach Business Strategy Business Strategy Solution Architecture Solution Architecture SolutionImplementationSolutionImplementation Operate & Maintain Operate & Maintain Innovations Complete NGN Eco-System Demand Generation Trusted Advisor

12. Summary End User Demand Is in the Drivers Seat and Its Changing VoIP = Low Cost Voice Next-Generation Convergence based on: “Value over IP” For the Enterprise and the Industry Always-On Access & Device Independent Presence-Aware

13. Stop By To Learn More Booth # 203 VoIP Readiness Convergence Security Mobilizing IP