1. Improving Your Bottom Line with Cost-effective Access Solutions Presented by: Dario Zipris VP Sales RAD Data Communications Customers’ Event Crete, May 2007

2. Improving Your Bottom Line CE2007 Slide 2 Global Telecommunications Connections, 2004 – 2007 What to look at? Mobile and Ethernet/Broadband markets! Source: Point Topic, 2007

3. Improving Your Bottom Line CE2007 Slide 3 Competitive Environment in the Mobile Operators All world regions have suffered declining ARPU in the first three quarters of 2006 Mobile operators are looking for alternatives to compensate for the effect of declining revenues on their bottom line Mobile voice service is a saturated market where price wars are common New Mobile Virtual Network Operators (MVNOs) are competing for other operators’ customers Source: Strategy Anlytics, Nov. 2006 0 5 10 15 20 25 30 35 40 45 50 N. America Average CALA Average Asia- Pacific Average C/E Europe Average W. Europe Average MEA Average ARPU Q1-Q3 05 Q1-Q3 06 6% 9% 10% 15% 16% 7%

4. Improving Your Bottom Line CE2007 Slide 4 More Revenues with Data Services? Generate new revenues by offering new mobile data services Data services are taking off in the market BUT: Revenue per data bit transported is lower than the revenue per voice bit Is the market ready to pay for the data services? The amount of traffic to transport in order to compensate for declining voice revenues is going to grow significantly The data services might saturate your voice network the core of your profit! And for very low income Source: Strategy Anlytics, Nov. 2006 0 0,5 1 1,5 2 2,5 3 3,5 4 Mobile Data ARPU Q1 05Q2 05Q3 05Q4 05Q1 06Q2 06Q3 06

5. Improving Your Bottom Line CE2007 Slide 5 Ethernet in EMEA Already an Interesting Revenue Stream Early rollouts dominated by Ethernet over fiber and ATM Eth-over-MPLS and Eth-over-SDH are the biggest opportunities Revenues ($ Million)

6. Improving Your Bottom Line CE2007 Slide 6 Market Players: Service Providers Your Challenges Low margins on traditional services Increased competition Your Winning Strategy Protect your customer Base Add new services on existing platforms New revenue stream with new services Your Possible Solutions Ethernet services over any network Expand your metro as a nationwide service Legacy & Voice traffic over any Platform

7. Improving Your Bottom Line CE2007 Slide 7 Market Players: Mobile Operators Your Challenges ARPU Decreasing Questionable ROI of data services Your Winning Strategy Reduce your backhauling expenses with traffic aggregation 3G deployment: new revenue stream Smooth migration to PSN Your Possible Solutions Deploy today a future proof Backhaul platform Voice Compression and Traffic optimization Effective HSDPA Traffic handling

8. Improving Your Bottom Line CE2007 Slide 8 Market Players: Utilities and Transportation Your Challenges Old communications platforms for today’s needs Pressure to provide data and entertainment services Your Winning Strategy Modernization of data infrastructure New services: Internet, information boards, ticketing etc. Internal corporate service Your Possible Solutions Leverage your existing infrastructures Multi-service Platforms: low and high bandwidth service integration

9. Improving Your Bottom Line CE2007 Slide 9 Coping with your Challenges Better utilization of your existing infrastructure Offering more attractive services Improving your and your customer’s bottom line!

10. Improving Your Bottom Line CE2007 Slide 10 Market Players: Utilities and Transportation Your Challenges Old communications platforms for today’s needs Pressure to provide data and entertainment services Your Winning Strategy Modernization of data infrastructure New services: Internet, information boards, ticketing etc. Internal corporate service Utelco Your Possible Solutions Leverage your existing infrastructures Multi-service Platforms: low and high bandwidth service integration

11. Improving Your Bottom Line CE2007 Slide 11 Power Substations Connectivity over Legacy Multi service applications connectivity over SDH STM-4 STM-1 SCADA Control Center SCADA Copper ADM E1 120 X E&M n x E1 OP-XLE1 n x E1 F.O n x E1

12. Improving Your Bottom Line CE2007 Slide 12 Highways and Railways over NGN Legacy traffic control system and voice over MPLS rings UK Highway Rumanian Railways Korean Subways MP ETH GBE ETH Fast Ethernet Resilient Ring Over MPLS Regional Control Center MP ETH DataVoice ETH MP ETH DataVoice ETH Modems MP ETH GBE Israel Railways

13. Improving Your Bottom Line CE2007 Slide 13 China Light & Power Shell Nigeria GASProm Russia Surgutneftegas Russia Russia Shanghai Subway CPTM-Brazil Rome Station Ofotbanen Norway Corporate Networks Successes EDF France Israel Railways

14. Improving Your Bottom Line CE2007 Slide 14 Service Providers Your Challenges Low margins on traditional services Increased competition Your Winning Strategy Protect your customer Base Offer new services on existing platforms New services: new revenue stream Your Possible Solutions Ethernet services over any network Expand your metro as a nationwide service Voice over any Platform

15. Improving Your Bottom Line CE2007 Slide 15 Packet Switched Network Eth/IP/MPLS Metro Ethernet Access Edge Device Customer Premises ETX UTP GE/FE FO GE/FE Customer Premises Edge Device GE/FE FO GE/FE ETX CPE Gmux-2000 Ethernet E1 PBX LAN IPmux-11/14 Customer Premises FE GE STM-1 E1/E3 PSTN CPE No 1 in deployed TDMoIP lines Smart CPE enlarges your service portfolio, additional revenues Pseudowire technologies for legacy service emulation Corporate voice savings Short List 21 Century

16. Improving Your Bottom Line CE2007 Slide 16 Customer Premises CPE FE Ethernet over Existing SDH Infrastructure Packet Switched Network Eth/IP/MPLS SDH/SONET Network ADM 10/100BaseT Customer Premises 10/100BaseT NG ADM FE CPE FE CPE GE/FE Customer Premises GE NG ADM Egate GE/FE STM-1/E1 E1/T1 RIC n x E1/T1 IP-DSLAM Customer Premises n x E1 MP-4100 ETX Fiber ETX

17. Improving Your Bottom Line CE2007 Slide 17 Metro Expansion over SDH Evolutionary Multi-service Solution Gmux-2000 GE STM-1 E1/E3 GE/FE STM-1/E1 Egate Your Benefits From City to Nationwide coverage Wide Service portfolio Intelligent CPE: Revenue increased by SLA differentiation Better utilization of existing resources Advantages of RAD’s Solution Money saving SDH concentrator Single supplier of Voice and Ethernet Services TDMoIP Voice to the PSTN Network Packet Switched Network Eth/IP/MPLS Edge Device GE/FE FO GE/FE Edge Device GE/FE FO GE/FE ETX CPE Ethernet E1 PBX LAN FE CPE ETX IPmux SDH/Sonet Network ADM 10/100BaseT n x E1/T1 RIC STM-1 FCD-155 LAN n x E1/T1 RIC 10/100BaseT IP-DSLAM E3/T3 Edge Device Edge Device

18. Improving Your Bottom Line CE2007 Slide 18 10/100BT n x EoCU Bonding GbE LA 10BT Branch DSLAM EoCU LA DSLAM Branch GbE Adding Ethernet Access Solution Extending the reach of the provider’s network over a variety of access technologies Consistent Ethernet service across different access technologies Headquarters ETX 1000Sx GbE ETX 100Fx/ GbE Metro Ethernet 10BT Branch Service Provider Packet Switched Network RIC SDH RIC GbE STM-1/OC-3 10BT 100BT EoPDH n x EoPDH Bonding Branch EoPDH Egate Branch RIC 10BT

19. Improving Your Bottom Line CE2007 Slide 19 Ethernet over SDH Successes Alternative/City Carriers: Nepal Telecom Incumbent Carriers:

20. Improving Your Bottom Line CE2007 Slide 20 IPVgate CPE PBX Customer Premises Back-office Provider’s Site LAN Tel Lines (POTS, ISDN, E1) End-to-End VoIP Solutions in one week!! Integrated VoIP Access System Time to Service = 1 Week ! Low initial investment Unique Quality of Service RADview-SC/IPV Management & Monitoring database Smart CPE IPVgateP Gateway IPVswitch Class5 SoftSwitch ADSL IP Phone or SIP client PSTN or Cellular IP Network IPVsuite

21. Improving Your Bottom Line CE2007 Slide 21 Service Provider’s Business Model – Simple and Clear Invest-As-You-Charge Economics

22. Improving Your Bottom Line CE2007 Slide 22 Mobile Operators Your Challenges ARPU Decreasing Questionable ROI of data services Your Winning Strategy Reduce your backhauling expenses with traffic aggregation 3G deployment: new revenue stream Smooth migration to PSN Your Possible Solutions A single backhauling platform: Legacy and PSN Voice Compression and Traffic optimization Effective HSDPA Traffic Handling

23. Improving Your Bottom Line CE2007 Slide 23 2G BTS 3G Node-B E1 IMA DSL Bonding n x DSL Traditional Backhaul Networks STM-1 ATM BSC/RNC Site E1s TDM Ch. STM-1 3G Node-B LA-110 SHDSL ADSL Voice E1 UNI HSDPA 2G -BTS n x E1 TDM n x E1 (IMA) STM-1 3G Node-B n x E1 ATM IMA ACE Multiservice Aggregation n x E1 IMA STM-1 Multiservice Aggregation ACE Over 3 years with RAD 2.5/3G DSL Backhauling Backhauling services offered by FT Global based on RAD Radio Sites TDM/ATM 2G BTS 3G Node-B ATM DSLAM DSL LA-110 SDH / ATM Access Network

24. Improving Your Bottom Line CE2007 Slide 24 2G BTS 3G Node-B 2G -BTS Radio Sites n x E1 TDM NGN Backhaul Networks Allows additional Opex cost reduction (10:1 ratio) Complete portfolio – including DSL-based PW devices Smooth migration to PSN 3G Node-B n x E1 ATM IMA E1 IMA DSL Bonding n X DSL STM-1 ATM BSC/RNC Site E1s TDM Ch. STM-1 LA-110 SHDSL ADSL Voice E1 UNI HSDPA ACE Multiservice Aggregation Multiservice Aggregation ACE Backhauling services offered by FT Global based on RAD TDM/ATM 2G BTS 3G Node-B IP DSLAM PSN Access Network DSL LA-110 Emulated TDM or ATM Service FE/GbE

25. Improving Your Bottom Line CE2007 Slide 25 Effective Handling of HSDPA Traffic 3G RNC ATM Transport Network HSDPA STM-1 FE ADSL2+ 3G NodeB GE IP DSLAM STM-1/ ATM HSDPA n x E1 ATM FE ADSL2+ 3000 NodeB’s for HSDPA Over ADSL Up to 4 x E1 ATM ADSL2+ HSDPA Traffic 3G NodeB RFQ Stage: RAD is Awarded HSDPA Hybrid Global Tender PSN ACE-3402/3600 LA-130 ACE-3100 ACE-3200 3G NodeB

26. Improving Your Bottom Line CE2007 Slide 26 Slashing Your Opex GSM Base Stations BS C Vmux E1s GSM A-bis Optimization A-bis Optimization TDM/IP Transport Network 16-to-1 E1 Compression E1s STM-1 Gmux-2000 STM-1 Gmux-2000 MSC MSC/BSC Vmux-2100 E1s MSC Site Remote MSC Site Voice Trunking E1s TDM Network ROI: 2 to 8 Months

27. Improving Your Bottom Line CE2007 Slide 27 Cellular Backhauling Successes Cameron MSC-to-MSC, MSC-to-PSTN with Vmux/Gmux Cellular Backhauling: Grooming and Aggregation for 2G/2.5G/3G and HSDPA

28. Improving Your Bottom Line CE2007 Slide 28 Utilities & Transportation Your Possible Solutions Ideas to Improve Your Bottom Line – Day 1 Migration to All-IP Networks Personal Meetings & Product Showcase Leverage your existing infrastructures Multi-service Platforms: low and high bandwidth service integration Mobile & Service Providers Your Possible Solutions Ethernet services over any network A single backhauling platform: Legacy and PSN Voice Compression and Traffic optimization Effective HSDPA traffic handling

29. Improving Your Bottom Line CE2007 Slide 29 Ideas to Improve Your Bottom Line – Day 2 Service Providers Your Possible Solutions Summary Leverage your SDH platform to provide new services Expand your Metro/Ethernet as a nationwide service Legacy & Voice over any Platform

30. Improving Your Bottom Line CE2007 Slide 30 Improving your Competitiveness Better utilization of your existing infrastructure Offering more attractive services Evolutionary NG implementation Improving your bottom line!

31. thank you www.rad.com Enjoy the conference! Dario Zipris VP Sales