1. NANC Report Future of Numbering Working Group FoN Co-Chairs Jim Castagna, Verizon Don Gray, Nebraska PSC Adam Newman, Telcordia Technologies July 16, 2009

2. Future of Numbering WG Mission To explore changes to the environment, including new and future technologies, the impact of market place and/or regulatory changes and innovations on telephone numbering. Scope: The Working Group will investigate new telephone numbering assignment approaches and future telephone number assignment requirements. The Working Group will identify common criteria and gather data to identify trends and their impact upon numbering resources. The Working Group, if necessary, will analyze opportunities to determine the feasibility and benefit of each and report its findings to the NANC. The Working Group will also analyze various topics that may be given to it from time to time by the NANC and/or FCC. From NANC Training Binder September 9, 2006 2

3. 33 Report Summary Summary of Activity Since Last Report Overview of AID Submissions Since Last NANC Meeting AIM Tracking Matrix FTN-005 Update Future Meeting Schedule 3

4. 4 Summary of Activity Since Last Report FoN met 22 times since the last report Presentations and discussions on FTN-005 FoN continues to review and work a significant number of contributions on the accepted projects 4

5. 5 Overview of Activity Identification and Description (AID) Submissions since Last Meeting Accepted No additional Issues brought forth Presented None Pending Presentation What are the Network Topology and Numbering System Impacts of changes to numbering resources. Addressing, Interoperability, and ENUM Mobile/Nomadic Society Demands and Changing Numbering Requirements (Expanded FTN-4 item) 5

6. FTN-005 – Description Accepted December 12, 2008 Determine whether a shift from the current Commons Model (no individual property rights) to a market-based Property Rights Model (individual property rights with a free and open marketplace) would result in a more appropriate and desirable method for the assignment, management and allocation of NANP Toll Free Numbers. Investigate the pros and cons to determine how each method could impact Numbering Resource Optimization (NRO) and could better serve a vibrant and efficient marketplace. The objective of this analysis is to provide a recommendation to the NANC as to the desirability and feasibility of adopting a Property Rights Model for portable NANP Toll Free Telephone Numbering Resources possibly operating in conjunction with the current Commons Model of allocation. 6

7. Overview of Toll Free Numbering Toll Free Characteristics –Are Regulated by FCC with generally no oversight by States –Assigned directly to Subscribers by Resp Orgs using SMS/800 database –Non-Geographic in nature –Can have Vanity Value –Subscriber pays for incoming call –Multi-Carrier and portable – Facilitates good utilization and competition –Administered by SMS/800 Management Team (SMT) under Tariff –Assignment basis is First Come First Serve (FCFS) –The 800 Easily Recognizable Code (ERC) is largely utilized. The overall utilization for all toll free codes (800/888/877/866) ranges from 98.87% for 800 to 54% for 877. Overall utilization is 80%. Toll Free Stakeholders –Consumers (People that dial Toll Free Numbers) –Commerce and End-Users (Subscribers who answer the incoming calls) –Industry (Carriers & Vendors, e.g., Resp Orgs) –Public Policy (Governmental & regulatory interest) 7

8. Current Environment Consumers (People that dial Toll Free Numbers) Commerce and End-Users (Answer the incoming calls) Industry (Carriers, Service Bureaus & Vendors) Public Policy (Governmental, Regulatory, and Consumer) 8

9. Consumers Easily Recognizable Codes – 1-800-FLOWERS –1-800-CONTACTS –1-800-PROGRESSIVE –1-800-333-3333 (Radisson Hotels) No per call cost to Consumer making the call 1-800 Largely used for consumer to business calls Multifaceted Advertising and message convergence between the POTS the IP Networks 1-800-FLOWERS & www.1-800-FLOWERS.comwww.1-800-FLOWERS.com 9

10. Commerce and End-Users Innovation –1-800-COLLECT started a billion dollar business making it easier for consumers to place collect calls –1-800-CONTACTS, 1-800-DENTIST, 1-800-MATTRES Efficiency –The number is the advertizing –Higher response rate from advertizing –ERC allows focus on message not just number Surety of Assignment (Tenure Insecurity) –Important for business investment and reliability Equal Opportunity but not equal value –First Come First Served (FCFS) creates a level playing field for businesses large, small, new and established to obtain a number. –But, choice of numbers is restricted to un-assigned numbers and there is no established method to obtain a desired number Incentive To Use –Widely understood and part of everyday life 10

11. Industry Carriers/Service Bureaus –Resp Orgs facilitate selection and assignment –Carriers establish routing, route consumer originated traffic, transports if across network, terminate to toll free customer/end user, and provide call details and billing –Service Bureaus provide enhanced toll free functionality of toll free numbers (interactive response, voice recognition, click to talk) Vendors –Offer Enhanced Services (coupled with toll free resources) Transaction Services Security Services Routing Call Centers 11

12. FTN-005 Action Plan List real and perceived rights of end users employing Toll Free portable telephone numbers for legacy and new services. Review existing examples of other property rights models (i.e. Australia) Develop approach for identifying Pros and Cons of each model, for comparative analysis. Identify Pros and Cons for each, Commons and Property Rights Model Prepare paper and distribute to Industry Members for input Identify tentative conclusions regarding numbering policy, NRO and possibly where each model fits best for known services. Present to NANC for further direction 12

13. Activity/Project Identification Matrix (AIM) AID #Title on FormSubmitSubmitter(s)PresentedDispositionNext Step(s) 001New & Future Services02/13/07 (Orig: 2006) Castagna/Gray (co-chairs) 03/05/07Accepted 03/28/2007 Pending Contributions 002Telematics and the use of NANP numbers 04/19/06Karen Norcross (PUC) 03/28/07 03/05/07 Accepted 05/22/2007 Pending Contributions 003Analysis of Commons and Property Rights Models for the allocation of NANP Numbering Resources 12/28/06 (Orig June 06) Jay Carpenter (1-800 AFTA) 05/09/07 05/22/07 11/20/07 Discussion Closed. 004Geographic Issues Impacting Numbering Policy Decisions 01/1907 (Orig May 06) David Greenhaus 800 Response IS 03/28/07 06/20/07 Accepted 06/20/2007 Pending Contributions 005Commons vs. Market Place Model for Toll Free Numbers 12/04/07Jay Carpenter (1-800 AFTA) 12/05/07Accepted 12/05/2008 Developing additional presentations Study of Potential Mis-Use of NANP Resources Outside the NANP Geogrpahical Area 08/28/07FoN Co-Chairs08/28/07Not accepted, include analysis in FTN #4 Project Work as part of FTN # 004 13

14. 14 Meeting Schedule DATETIME August 6, 2009 12:00 pm – 2:00 pm ET September 3, 2009 12:00 pm – 2:00 pm ET October 1, 2009 12:00 pm – 2:00 pm ET 14