1. R I g h t s R e s e r v e d t o C P q D - 2 0 0 2 1 April 2002 IEEE ICC 2002 Antonio Carlos Bordeaux Rego A MODERN PUBLIC TELECOM PLATFORM A Unified Payphone and Internet Access Solution

2. R I g h t s R e s e r v e d t o C P q D - 2 0 0 2 2 Challenges to Brazilian Telecommunications To increase access to telecommunications services, specially basic telephony, for low income population To develop globally competitive technology, but, at the same time, adequate to Brazilian socioeconomic situation Case:A Modern Public Telecom Platform developed by CPqD - Same solution for payphone and Internet Access Case: A Modern Public Telecom Platform developed by CPqD - Same solution for payphone and Internet Access

3. R I g h t s R e s e r v e d t o C P q D - 2 0 0 2 3 Public Payphone Issues Drawbacks in traditional coin fed payphones High expenses OAM  Vandalism and stealing  Coin collecting Loosing Business Low Teledensity (1,5 payphones per 1000 inhabitants)

4. R I g h t s R e s e r v e d t o C P q D - 2 0 0 2 4 Proposal: Card Based System Requirements Low cost OAM Easy to use for low income population High immunity to forgery and vandalism Local and long distance call from the same terminal CPqD solution Develop New Inductive Card Technology Platform Public Payphone Solution

5. R I g h t s R e s e r v e d t o C P q D - 2 0 0 2 5 System Components Inductive Card Payphone Terminal Remote Supervision & Management System – SSR Mechanism: magnetic induction Inductive Card It is made of 100 passive microcircuits, each one connected to a fuse Operation senses the fuse Open: credit not valid Short: credit valid  t Burn: credit vanish Inductive Card Platform

6. R I g h t s R e s e r v e d t o C P q D - 2 0 0 2 6 Inductive Card Features Contactless inductive mechanism. Easy to use: can be inserted in any position. High immunity to moisture, dust, heat, UV, X-ray, EMF, etc. Low production cost in large quantity (~ US$0.10 per card). Internal codification identify each service provider, issuer, manufacturer, etc. Extra revenue: advertising on both sides. Inductive Card Platform

7. R I g h t s R e s e r v e d t o C P q D - 2 0 0 2 7 Payphone Terminal Power-fed by telephone line All electronic: microprocessor based Low cost (about US$300.00) Very low demand for maintenance Contactless static reader – no mechanical moving parts Compatible with existing network and easy to install Inductive Card Platform

8. R I g h t s R e s e r v e d t o C P q D - 2 0 0 2 8 SSR – Remote Supervision and Management System Management of up to 32,000 payphones terminals Constant monitoring of operational conditions Supervision of self collect payphone tables Flexible: configuration according to operator needs Easy corporate systems interoperability Scalable: new features addition with customized modules Multiuser: Client/Server architecture Inductive Card Platform

9. R I g h t s R e s e r v e d t o C P q D - 2 0 0 2 9 Inductive Card Platform

10. R I g h t s R e s e r v e d t o C P q D - 2 0 0 2 10... Inductive Cards Terminals Inductive Card Platform

11. R I g h t s R e s e r v e d t o C P q D - 2 0 0 2 11 Public Payphones Location Universalization Targets Anatel (Brazilian Regulatory Agency) Rules These rules require that users should not have to walk more than a certain distance to find a payphone terminal, and also to find a reseller of pay phone cards. Where is the best payphones placement? Management Tool: SAGRE TUP This module manages the payphones placements, assuring compliance with regulatory requirements.

12. R I g h t s R e s e r v e d t o C P q D - 2 0 0 2 12 SAGRE: Competitive SW Technology SAGRE is a set of applications, developed and supported by CPqD, to manage the outside plant and automate the network planning process, based on Vision* GIS and Oracle Functions assisted by SAGRE Outside Plant Registration and Urban Mapping Outside Plant Network Planning Market Analysis for Outside Plant Network Planning Management: Engineering, Deployment, Facilities Inventory and Maintenance Business Impact 14 million fixed lines (50%..) and 2 million mobile lines (20% Brazilian lines) 9 Telecom Operators (Telefonica, Telemar, Brasiltelecom, Embratel and others)

13. R I g h t s R e s e r v e d t o C P q D - 2 0 0 2 13 Inductive Card Platform Achievements Profitability per payphone terminal 1991 : US$500 revenue per year / US$520 cost per year 2001 : US$400 revenue per month / US$50 cost per month Inductive Card payphones deployment 1991: Coin technology/ 236,000 terminals 2001: Card technology/ 1,5 million terminals Monthly production – cards 60 million Business impact Five companies manufacturing payphones terminals Daruma, Icatel, Siemens, Ericsson, Splice Five companies manufacturing inductive cards Thomas de La Rue, CMB, Interprint, CSM, ICE International business Bolivia

14. R I g h t s R e s e r v e d t o C P q D - 2 0 0 2 14 Future: Public Access to Internet Public Access to Internet is the technology which provides managed IP access to VAS (e.g. ISP) through multiservice terminals equipped with inductive card reader as a prepaid way of collection Service Access Manager (OAM): dotIP Manage subscribers IP “sessions” to value-added services (VAS) such as ISPs Control and supervise users’ credit consumption from inductive card

15. R I g h t s R e s e r v e d t o C P q D - 2 0 0 2 15 bordeaux@cpqd.com.brhttp://www.cpqd.com.br