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The Voice of Next Generation Networks TM International IP Telephony Opportunities Ingrid Simunic, PhD. Marketing Director February 6, 2003.

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Presentation on theme: "The Voice of Next Generation Networks TM International IP Telephony Opportunities Ingrid Simunic, PhD. Marketing Director February 6, 2003."— Presentation transcript:

1 The Voice of Next Generation Networks TM International IP Telephony Opportunities Ingrid Simunic, PhD. Marketing Director February 6, 2003

2 VocalTec Communications - Confidential & Proprietary VoIP Market Momentum VoP Penetration in Long Distance Networks World Wide VoIP Minutes Source: Probe Research VoIP Driving the Future of ILD

3 VocalTec Communications - Confidential & Proprietary TDM vs VoP Growth Growth Traffic for VoP in international networks Growth in VoP traffic far surpasses growth in TDM traffic VoP replace the TDM international network TDM traffic to see negative growth starting 2004 Source: Probe Research

4 VocalTec Communications - Confidential & Proprietary The Momentum continues…and is driving Innovation Market Driving Forces Deregulation Increased Competition New Revenues Lower Ownership Cost Faster Time to Market Low margins & customer churn NextGen Softswitch Based Core Tandem Networks Value-Added Services Calling Cards, IP Conferencing, VoIP VPN, Unified Messaging

5 VocalTec Communications - Confidential & Proprietary Conflicting Drivers of Todays Competitive Environment versus Demand for New Revenue Generating Services Lower OPEX and CAPEX

6 VocalTec Communications - Confidential & Proprietary Conflicting Drivers of Todays Competitive Environment EXISTING / INCUMBENT CARRIERS New Revenues Reduce Customer Churn Increase ARPU Lower OPEX Increase Margins Increase Efficiency versus GREENFIELD DEPLOYMENTS Quick Time to Market New Revenues Higher Margins High Efficiency Low OPEX versus

7 VocalTec Communications - Confidential & Proprietary Full range of value-added Service offerings on a Single Platform (Voice VPN, Conferencing, Global Call Center, Calling Card, etc) Quick time to deployment and service operation Fast Return on Investment (ROI) Significantly increase profitability Advanced Softswitch - based Technology Platform Superior Routing Capabilities Packet Tandem Switch Architecture (e.g. NLD & ILD Service, Trunk Replacement) Proven Interoperability and Standards Support H.323, SIP, MGCP, SS7, etc Scalable turnkey and easy Customizable System Addressing Service Providers Needs

8 VocalTec Communications - Confidential & Proprietary Single Platform for Innovative Enhanced Services Deploy our intl/ LD solution today and expand seamlessly on the same open services platform Basic Carrier Services LD and Intl VOIP Net Trunk Replacement Enhanced Carrier Services Exchange Carrier (+IDM) Consumer Services Calling Card Prefix Number (to Service Provider) Association Enterprise Services Voice VPN Centrex (future) One Number (future) Next-Gen/Multimedia Services PC/Web Communications Video-telephony Personal Unified Comm. Presence Web Enabled Contact Centers Web Enabled Call Centers for E-Commerce

9 VocalTec Communications - Confidential & Proprietary International / LD Calling Packet Tandem Switching Class 4 functionality with reduced capex and opex Flexible routing, not limited like PSTN to point to point Centralized and easier management leading to reduced operational costs and faster response to market changes Moving network infrastructure to IP Unmatched Interoperability VT interoperates with 60% of all VoIP ports deployed in virtually every country Wide origination / termination / routes choices SS7 connectivity Homologated SS7 support for international protocols SS7 certification by telcos worldwide (e.g. DT, FT, Global One, Telecom Italia) SS7 tunneling (ensures call continuity) Scalability Fast ROI

10 VocalTec Communications - Confidential & Proprietary Calling Card Solution International LD arbitrage Ethnic minorities will continue to fuel the growth of the industry Low rates to specific destination w/budget control Customized language IVRs The mobile (wireless) market Youth & business – budget control (not postpaid) Cost effective for international calls due to high roaming pricing The Internet Ease of purchase: virtual pp cc + recharge over the Internet pp cc for pc2ph QoS

11 VocalTec Communications - Confidential & Proprietary Origination Termination International VoIP VPN Service Provider Value Proposition VoIP-VPN As The Complete Toll Bypass – Improve Margins Local PSTN charges are significant! VoIP-VPN is an end to end VoIP solution VoIP-VPN improves Service Providers margins by by-passing the origination and termination PSTN networks PSTN PSTN / VoIP V-VPN

12 VocalTec Communications - Confidential & Proprietary VoIP VPN Basic Solution Architecture IP Network ACME IsraelACME Berlin VocalTec NY VocalTec, Israel Service Provider CPE = Customer Premises Equipment VGW = VocalTec GateWay VGK = VocalTec GateKeeper VNM = VocalTec Network Manager Off-net On-net

13 VocalTec Communications - Confidential & Proprietary Founded in 1989, the Internet Telephony pioneer World leader in providing software-driven VOIP solutions Ongoing technical innovations and leadership in the industry standards VocalTec Proven Experience February 1995: Internet Phone March 1997: Invented and developed first gatekeeper July 1999: First deployment of gateway 2000 February 1996: First industry IPO (NASDAQ: VOCL) August 1997: World leading carrier invests in VocalTec April 2001: VocalTec SIP server addresses new markets February 1998: First complete IP Telephony solution (VEA) Deutsche Telekom selects VT as exclusive NGN partner for carrier services

14 VocalTec Communications - Confidential & Proprietary VocalTec Powers the World`s Leading Carriers

15 VocalTec Communications - Confidential & Proprietary One Executive Drive Suite 320 Fort Lee, New Jersey USA THANK YOU !


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