Intelligent Interconnects in the VoIP Peering Environment Alan R. Bugos Vice President of Advanced Technology and Engineering

Defining Voice Peering VoIP Peering can generally defined as a process of interconnecting two different VoIP networks with or without an underlying commercial relationship associated with the voice traffic Intelligent VoIP Peering can be realized when business logic and intelligence are applied in the address resolution process to enhance the interconnect (quality), value or reduce cost (LCR)

What is Peering?

VoIP Islands: With ENUM ENUM capability enables signaling (address resolution) and direct interconnects between VOIP networks After ENUM lookup, the PSTN is by-passed with efficient and cost effective use of VoIP networks ENUM Registry or Database PSTN Internet

Cost Reduction using ENUM (Example: North America Termination) Cost reduction can be significant savings as ENUM registries and databases expand Example: A carrier terminates 4 Million minutes/day to North America region If 1 % of termination points are reached via ENUM and NA termination cost is $0.005 per minute (Average) Savings per day: $200.00 Savings per year: $73,000.00 At 10% address resolution via ENUM , yearly savings increases to $730K!

ENUM/Peering Benefits Advantages Capitalizing on the “Trend is our Friend” Model (TDM to IP migrations) within the carrier industry Reduction in circuit MRC Reduction in CapEx (GW and DACS ports, A/C, colo space, maintenance costs, etc.) More use of SBCs (SBC ports are less expensive) ENUM Address resolution is simple (DNS-like) and can scale highly Use of ENUM services to enable direct IP end point termination (at significantly lower costs)

ENUM/Peering Concerns Issues and Concerns Lack of CDRs since many of these peering networks are transport Troubleshooting – may (often) require all three parties involved to solve issue Peering network business models may not make sense although these models are in process of definition (flat rate, Volume-based, membership, or per query models) SPIT and VoIP security concerns when ENUM registries are “open” to queries Hidden costs: Peering fabric/networks still need to address issues associated with IP physical transport (Private vs Public networks), Discovery/Location, interworking, interoperability, media and trans-coding, policy/trust/security, commercial, etc.

Use of ENUM and VoIP Peering Networks ENUM Registry (REMOTE) IP Phone Private ENUM Registry IP Phone VoIP Peering Network IP Phone SBC VoBB Service Provider B IP Network SBC SBC VoBB Service Provider C IP Network VoBB Service Provider A IP Network 2 3 A TDM or VoIP call enters iBasis Network The E.164 (phone) number is presented and resolved through an ENUM registry or DB (Intelligent Business Logic is applied) A SIP URL and IP End-point identified with the E.164 phone number VoIP call is terminated at lower cost directly to the IP Phone or PC client over the Internet Gateway or SBC IP 4 1 TDM or VoIP Call PSTN Customer Tandem - Transit Switch Route Engine with Intelligent ENUM Database (Address resolution and routing logic)

Uses of ENUM and Intelligent Peering Intelligence and business logic can be applied to the ENUM data, not just E.164 to SIP URL Carrier-ENUM: Direct Peering and toll by-pass, private, secure, operator-controlled discovery of IP-based applications and services. SoIP: Service over IP controlled end-to-end SoIP addressing includes VoIP and Video over IP. Routing with or without business logic applied: LCR, Quality, Route Optimized Number-Portability (LNM/MNP) : Highly efficient portability resolution with traditional SS7 interfaces. Calling Party Identification (CPI): Highly flexible, carrier-defined CNAM address resolution logic including integrated access to the industry leading TARGUSinfo CNAM database. SMS and MMS: Portability-corrected addressing for cross-operator (mobile operators) SMS and MMS services. Special routing applications (TDM-VoIP Call Diversion with Presence Databases) Redirecting undesired traffic - Fax and Modem Re-direct Breakout 3 major area for benefits to iBasis, termination, orgi, new services What is the reality of this opportunity, cost saving and expanding network, threats

Summary ENUM is a technology that can provide for intelligent interconnects across multiple IP-based services and applications With the use of ENUM, intelligence and business logic can be applied to each specific service to enhance its value. Business models may change and need clarity. The future use of intelligent peering and ENUM will provide for new exciting services in the near future.

Thank You! abugos@ibasis.net www.ibasis.com

Welcome to the New iBasis October 2007, iBasis merged with KPN Global Carrier Services One of the world’s largest carriers of international voice traffic: more than 20 billion minutes of int’l voice traffic in 2006 Profitable & financially strong: no debt

More Than 1000 Customers

Key Discussion Points Will peering work and how will service providers make money? Will carriers provide the numbers needed for ENUM registries? Will the hidden costs hamper the growth or peering and use of ENUM? Will MNP/LNP be the first practical use of ENUM? How much will we invest in securing the data? Is this a major concern amongst end-users and carriers? Should wholesale carriers consider the creation of their own peering and ENUM registry solution for routing and number portability? Who are the major technology enablers (registries) of ENUM? What are your organization’s thoughts on ENUM?