Copyright © 2006 VoEX, Inc. All Rights Reserved

Copyright © 2006 VoEX, Inc. All Rights Reserved What is SIP Trunking? What is SIP? Sessions Initiation Protocol Signaling for multimedia sessions over the Internet Setup Modify Tear down Copyright © 2006 VoEX, Inc. All Rights Reserved

Copyright © 2006 VoEX, Inc. All Rights Reserved What is SIP Trunking? SIP is an application-layer protocol SIP trunks can be connected via any Layer 2 protocol Signaling Media Utility Media Coding SDP H.323 SIP RTP DNS DHCP Application Layer Transport Layer TCP UDP Internet Layer IP AALx PPP Physical / Link Layer ATM V.90 Ethernet MPLS Copyright © 2006 VoEX, Inc. All Rights Reserved From: Understanding the Sessions Initiation Protocol, Alan B. Johnson

Copyright © 2006 VoEX, Inc. All Rights Reserved What is SIP Trunking? Signaling Media Utility Media Coding SDP H.323 SIP RTP DNS DHCP Application Layer Transport Layer TCP UDP Internet Layer IP AALx PPP Physical / Link Layer ATM V.90 Ethernet MPLS SIP = Great Equalizer = Open market = Choice! Copyright © 2006 VoEX, Inc. All Rights Reserved

Copyright © 2006 VoEX, Inc. All Rights Reserved What is SIP Trunking? Brief History of American Layer 1/2 Communications 1880 – 1984: American Bell / AT&T Essentially a monopoly 1948: Cable TV 1969: ARPANET Precursor to the Internet – see Al Gore 1977: MCI allowed to compete (common carrier services) 1977: First cell phone test offering 1982 – 1984: Breakup of AT&T 7 Regional Operating Companies Local service monopoly 1994: U.S. Government releases control of the Internet Copyright © 2006 VoEX, Inc. All Rights Reserved

Copyright © 2006 VoEX, Inc. All Rights Reserved What is SIP Trunking? VoIP trunks from service providers use SIP for call control and routing Enables IP/SIP connection to carrier IP networks. SIP sets up and tears down calls call is routed via the carrier’s IP network Calls are handed off to a PSTN gateway for the last mile if they are bound for E.164 numbers. On-net calls remain native, “pure” IP Copyright © 2006 VoEX, Inc. All Rights Reserved

Service Provider Broadband What is SIP Trunking? PSTN TDM SIP Trunk Service Provider Broadband IP network Enterprise SIP + ENUM Other IP network Copyright © 2006 VoEX, Inc. All Rights Reserved

Copyright © 2006 VoEX, Inc. All Rights Reserved About VoEX Global Managed Service Provider Pure VoIP peering Infrastructure Carrier-grade Super Registry ENUM and PSTN phone numbers Connecting any-to-any TDM, IP and Hybrid carriers. Copyright © 2006 VoEX, Inc. All Rights Reserved

Copyright © 2006 VoEX, Inc. All Rights Reserved Blue Chip Customers Copyright © 2006 VoEX, Inc. All Rights Reserved

Copyright © 2006 VoEX, Inc. All Rights Reserved Why SIP Trunking? Save Money Today Take Advantage of SIP-enabled Applications Ready for Prime Time Copyright © 2006 VoEX, Inc. All Rights Reserved

Copyright © 2006 VoEX, Inc. All Rights Reserved Why SIP Trunking? Save Money Today Lower toll charges One-time charge for on-net termination Calls routed to the closest gateway for PSTN termination – may only incur local termination rates Highly competitive rates for off-net domestic and international PSTN termination One unified network for voice and data circuits Reduced trunking costs Reduced hardware costs Efficient personnel usage Other Cost-reduction Methods Copyright © 2006 VoEX, Inc. All Rights Reserved

Copyright © 2006 VoEX, Inc. All Rights Reserved Why SIP Trunking? SIP-enabled Applications Voice, Video, Multimedia Desktop integration (Outlook) Presence Follow-me services “Dial Out” “Peered” across network Copyright © 2006 VoEX, Inc. All Rights Reserved

Copyright © 2006 VoEX, Inc. All Rights Reserved About VoEX Global Managed Service Provider Pure VoIP peering Infrastructure Carrier-grade Super Registry ENUM and PSTN phone numbers Connecting any-to-any TDM, IP and Hybrid carriers. Copyright © 2006 VoEX, Inc. All Rights Reserved

SIP Trunking ROI Analysis Investment Requirements IP PBX SIP Firewall SIP Gateway Copyright © 2006 VoEX, Inc. All Rights Reserved

Copyright © 2006 VoEX, Inc. All Rights Reserved SIP ROI Analysis IP PBX ROI “Internal” ROI Internal Wiring Moves, Adds, Changes Administration Applications “External” ROI Trunking Costs TDM: Trunk vs. Extensions IP: Requisite bandwidth Termination Costs TDM: Local, long-haul contracts IP: On-net transaction fee, On-net termination revenue, highly-competitive PSNT termination, often based on local termination rates Copyright © 2006 VoEX, Inc. All Rights Reserved

Copyright © 2006 VoEX, Inc. All Rights Reserved Why SIP Trunking? SIP Gateway (TDM Origination) “External” ROI Trunking Costs TDM: Trunk vs. Extensions IP: Requisite bandwidth Termination Costs TDM: Local, long-haul contracts IP: On-net transaction fee, On-net termination revenue, highly-competitive PSNT termination, often based on local termination rates Copyright © 2006 VoEX, Inc. All Rights Reserved

SIP Trunking ROI – Based on Real Customers Copyright © 2006 VoEX, Inc. All Rights Reserved

Copyright © 2006 VoEX, Inc. All Rights Reserved SIP Trunking ROI Actual customer savings: 15% - 50% Breakeven: 0 – 90 days ROI (cost-savings/cost) Depends on timeframe selected for savings 12% - 53%, first year Copyright © 2006 VoEX, Inc. All Rights Reserved

Copyright © 2006 VoEX, Inc. All Rights Reserved About VoEX Global Managed Service Provider Pure VoIP Peering Infrastructure Carrier-grade Super Registry ENUM and PSTN phone numbers Connecting any-to-any TDM, IP and Hybrid carriers. Copyright © 2006 VoEX, Inc. All Rights Reserved

Director Business Development About VoEX Thank You Bill Cartmill Director Business Development bcartmill@voex.com Copyright © 2006 VoEX, Inc. All Rights Reserved