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“Hosted Voice Services: Are They Right for You?” Andy Morrow Executive Director-VoIP Product Management, SBC Communications www.sbc.com.

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Presentation on theme: "“Hosted Voice Services: Are They Right for You?” Andy Morrow Executive Director-VoIP Product Management, SBC Communications www.sbc.com."— Presentation transcript:

1 “Hosted Voice Services: Are They Right for You?” Andy Morrow Executive Director-VoIP Product Management, SBC Communications www.sbc.com

2 IP Telephony Offers Great Benefits Reduced Expenses (Admin, LD, Toll) Less Network Complexity Increase Employee Flexibility Anywhere-Anytime Access Increased Employee Productivity More Collaboration Options New MultiMedia Offerings Improved Customer Service

3 But Also Presents Significant Questions What technology platform should I implement? Will I need to throw out my existing investment? Will I really save money over my existing TDM solution? Can I operate in a hybrid environment? Do I have the staff to operate a VoIP network? Will my new VoIP investment become obsolete too soon? Will my selected platform be able to support new applications? Do converged networks really work? Will my business really recognize the promise of VoIP?

4 Customers Have Multiple VoIP Options Reliance on Managed- Service Provider Low High Owned/Leased OptionOutsourced/Hosted Option Owned VoIP PBX Owned VoIP PBX Managed VoIP PBX Managed VoIP PBX Outsourced VoIP PBX Outsourced VoIP PBX Hosted Economies

5 SBC PremierSERV SM Solutions Reliance on Managed- Service Provider Low High Owned/Leased OptionOutsourced/Hosted Option IPT Support Services IPT Support Services IP Telephony Advantage IP Telephony Advantage Managed Care Managed Care Hosted IP Communications Service Hosted IP Communications Service Economies SBC PremierSERV SM Consulting Services

6 Architecture based on standards such as SIP & MGCP. Customers have choice of phones and can interwork traditional and IP PBXs into the network Feature Server Feature Server Feature Server Feature Server Packet Network PSTN IP Phones Your Business Network LAN Can reside as part of the hosted network Core Packet Network Interface Interfaces to trunks or lines Centrex or PBX Interworking Call processing Connection management Advanced features GUI Service Creation Media Gateway Controller (Softswitch) Gateway Media Gateway Hosted Architectures Offer Economies of Scale

7 Wireless – PDA, Laptop, Cell Phone Hosted Branch 3 DS-1/FR Private IP Backbone (MPLS Core) Frame/ATM Hosted Branch 2 DS-1/FR VoIP PBX Branch 4 DS-3/IP IP NVPNs Can Provide The Infrastructure For A True Converged Network Metro Optical HQ Site 1 Opt-E-Man Hosted Branch 1 DS-1/FR VoIP PBX Branch 5 OC-3/ IP DSL – SOHO PSTN Access Gateway

8 A TCO Analysis Will Point You To The Right Solution For Your Business TCO Items To Be Considered Cost of Required Equipment Infrastructure Upgrade Expenses Toll and LD Expenses Administrative/IT Support Expenses Power/Space Expenses Lifecycle Upgrade Expenses New Application Benefits

9 Hosted Solutions Often Win On A TCO Basis Monthly Total Cost per Station $53 $55 $93 $35 $37 $69 Illustrative Customer Examples 100-Station Customer Monthly Total Cost of Ownership per Station 1000-Station Customer Monthly Total Cost of Ownership per Station Hosted VoIP SolutionManaged VoIP PBX SolutionManaged TDM PBX Solution Monthly Total Cost per Station

10 Do I Go With A Hosted or VoIP PBX Solution? Factors Favorable to Hosted Multiple sites, geographically dispersed High percent interlocation/ on-Net calling Customer wants to migrate to VoIP over time. Hosted is economically very scalable Customer has a mixture of telecom platforms (i.e., Centrex, VoIP PBX, PBX) – requires interoperability Customer does not want or have capital dollars to spend on a system Customer prefers a fully managed solution Factors Favorable to VoIP PBX Fewer sites, geographic concentration Low volume of on-Net calling Availability of existing WAN Bandwidth. No need for incremental upgrades Willingness to perform a flash cut Desire for single global/national telecom platform Willingness to spend capital dollars Preference for do it yourself management Need for customized vertical applications

11 Customers Have Many Service Provider Types To Choose From ILECs CLECs IXCs Virtual Network Operators System Integrators

12 Assuring Service Provider Accountability Understand exactly what you are contracting for and what you will get Make sure that your vendor provides an End To End SLAs and holds ultimate accountability Understand all of your costs - including short and long term upgrades Understand your provider’s underlying network infrastructure, security capabilities, and reliability Understand your provider’s after sales support capabilities - user training-help desk-problem resolution Talk with reference customers to make sure their experience has been positive

13 Issues to Consider When Choosing a VoIP Managed Services Provider Can the Managed-Services provider help me evaluate all of my options, or are they biased? 1. 2. 3. 4. 5. Does the Managed-Services provider have the skills to design, deliver and maintain a complex IP network? Can the Managed-Services provider assist me in developing a migration plan from my current platform? Does the Managed-Services provider have a product evolution plan? Will the Managed-Services provider be able to deliver the true potential of VoIP?


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