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1© 2001, Cisco Systems, Inc. All rights reserved.
Cisco IP Video/AudioConferencing
222© 2001, Cisco Systems, Inc. All rights reserved.
Agenda
• Cisco AVVID Framework
• Videoconferencing Market
• Videoconferencing Applications
• Cisco IP/VC Product Family
• Cisco Audio Conferencing
• Sample Deployments
333© 2001, Cisco Systems, Inc. All rights reserved.
Cisco AVVID
The Cisco Architecture for Voice, Videoand Integrated Data (AVVID) is the
foundation of converged enterprisecommunication networks.
444© 2001, Cisco Systems, Inc. All rights reserved.
IP Communications System—OptimizesBusiness Communications
IPTelephony
IPTelephony
VoiceInfrastructure
VoiceInfrastructure
IPVideo/Audioconferencing
IPVideo/Audioconferencing
ContactCenter
ContactCenter
Unified Communications
Unified Communications
u Leverage CiscoArchitecture for Voice,Video and IntegratedData (AVVID): anenterprise wide, open,standards basedarchitecture
u Deliver cost effective,reliable systems thatscale with theorganizations needs
u Maximizeproductivityand enhancecustomerservice
u Leverage thedata networkinvestment
Cisco AVVID
IP Communications
5© 2001, Cisco Systems, Inc. All rights reserved.
Videoconferencing Market
666© 2001, Cisco Systems, Inc. All rights reserved.
The Trend Towards IP Networks
CY2002 Statistics for Videoconferencing
– Videoconferencing EP business is over $800 million growing at 12% annually
– 90% of all units shipped are H.323 enabled
– 53% Group Sys. Vs. 47% Desktop sys
– Increased Return On Investment model
Source – Wainhouse Research
777© 2001, Cisco Systems, Inc. All rights reserved.
100%
80%
60%
40%
20%
0%Y00 Y01 Y02 Y03 Y04 Y05 Y06
IP
ISDN
“By 2003, 50% of all Videoconferencing EndPoints Will Be Connected to the IP Network”
Source: Andrew Davis—Wainhouse Research (October 2002)
ISDN to IP Network Transformation
888© 2001, Cisco Systems, Inc. All rights reserved.
Why a Converged Network?
• Circuit Switched – H.320
Older technology - Standalone application
Increased capital and operational costs
Voice focused networks
• Packet Switched – H.323
The future Communications Network = Convergence
Scaled Manageability: Lower Cost/Unit for deployment
Integrated solutions with video, telephony,multicasting, caching, browser add value to the overallapplication experience
Data focused IP enabled networks- Ethernet, ATM, FRS
999© 2001, Cisco Systems, Inc. All rights reserved.
Old World: ISDN Video Network (H.320)
H.320 H.320
H.320
District Office
Remote Office
H.320 H.320
H.320
H.320
Remote Office
OtherSites
PSTN
MCU
101010© 2001, Cisco Systems, Inc. All rights reserved.
Development Center Home Office
CorporateHeadquarters
New World: IPVC Video Network (H.323)
• Customer locations constant• LAN/WAN Configuration• Local Area Network at each site• Wide Area Network connects all sites
MCU
WANWAN
Branch Office
11© 2001, Cisco Systems, Inc. All rights reserved.
VideoconferencingApplications
121212© 2001, Cisco Systems, Inc. All rights reserved.
Videoconferencing Applications
• Distance education
• Business meetings
• Customer service
• Telemedicine
• Human resources
• Corporatecommunication
131313© 2001, Cisco Systems, Inc. All rights reserved.
Videoconferencing Markets
Business MeetingsBusiness Meetings
Customer ServiceCustomer Service
TeleconsultationTeleconsultation
Human ResourcesHuman Resources
CorporateCommunicationsCorporateCommunications
E-LearningE-Learning
Application/Vertical MarketsApplication/Vertical Markets
FinancialServicesFinancialServices HealthcareHealthcare
RetailServices
RetailServices ManufacturingManufacturing EducationEducation
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141414© 2001, Cisco Systems, Inc. All rights reserved.Development Center Home Office
CorporateHeadquarters
Product Development
• Reduce travel with virtualteam meetings
• Use data, voice, and videocollaboration
• Install videoconferencingbridge to support multi-location meetings
• Use gateway to tie intoexisting ISDN networks
Cisco IP/VC MCU
WAN
SolutionSolution
WAN
Branch Office
151515© 2001, Cisco Systems, Inc. All rights reserved.
Education
• Videoconferencing solutionprovides for live, interactiveinstruction
• Bring teachers to students invirtual classrooms
• Students stay in their schools• Teachers don’t have to roam
school to school WAN
SolutionSolution
WAN
U N I V E R S I T YU N I V E R S I T Y
School A School B School C
University
Cisco IP/VC MCU
161616© 2001, Cisco Systems, Inc. All rights reserved.
Education: Leveling the playing field
• Increase teachers development and skills
• Increase individuals contribution toorganization
• Make the most of limited resources
• Reduce barriers to education – time ormoney
• Provide a level playing field
• Increase student learning opportunities
171717© 2001, Cisco Systems, Inc. All rights reserved.
Telemedicine
• Videoconferencing providesfor live, interactive presencein the operating room
• Remote consultationperformed by specialists
• Patients stay in a local hospital• Medical experts advise during
complicated surgeries WAN
SolutionSolution
Operating Room Remote Clinic Emergency
Medical Center
MEDICAL CENTER
Cisco IP/VC MCU
181818© 2001, Cisco Systems, Inc. All rights reserved.
Residential
• Video “telephony” provides forlive, interactive communication
• Bring families together to visitand share
• Replaces the telephone andcomplements instantmessaging
WAN
SolutionSolution
WAN
Service Provider Core
Cisco Infrastructure including IP/VC
GW
MCU
GK
191919© 2001, Cisco Systems, Inc. All rights reserved.
Cisco IP/VC Product Family
• Network solutionsfor H.323-basedvideoconferencing
• Enables interactivevideo over IP networks
• Provides solutions foreducation, business,medicine andgovernment
202020© 2001, Cisco Systems, Inc. All rights reserved.
Introducing the IP/VC Family
• Cisco MultimediaConference Manager
H.323 Gatekeeper/Proxy
• Cisco IP/VC 3540Multipoint control unit
H.320 to H.323 gateway
T.120 data conferencing server
Rate Matching
• Cisco IP/VC 3511Multipoint control unit
• Cisco IP/VC 3521, 3526H.320 to H.323 gateways
Choice of PackagesChoice of PackagesMulti-Function Modular
Single-Function Compact
212121© 2001, Cisco Systems, Inc. All rights reserved.
H.323/H.320 Gateway
IP/VC 352xIP/VC 3540IP/VC 352xIP/VC 3540
H.323 MCU
IP/VC 3511IP/VC 3540IP/VC 3511IP/VC 3540
H.323Group System
H.323Desktop
H.323Desktop
H.323Desktop
An IP/VC-Based EnterpriseVideoconferencing Network
GK/ProxyMCMMCM
GK/ProxyMCMMCM
VTA
H.320Room System
IP/VC 3530IP/VC 3530
H.320Room System H.320
MCU
ISDN
H.320Desktop Analog
Phone
PSTN
IPWAN
222222© 2001, Cisco Systems, Inc. All rights reserved.
Cisco IP/VC Ecosystem
Cisco IP/VC FamilySupports H.323
Compliant Endpoints
Cisco IP/VC FamilySupports H.323
Compliant Endpoints
IP/VC CompatibleSchedulingSolutions
IP/VC CompatibleSchedulingSolutions
232323© 2001, Cisco Systems, Inc. All rights reserved.
Strategic Collaboration
• Cisco AVVID Partner
Video Systems AVVID Verified
Interoperability with Cisco IPVC
• Cisco iQ EcoSystem Partner
iQ = “Internet Quotient”
Internet Focused Business Alliance
Complementary Products & Solutions
242424© 2001, Cisco Systems, Inc. All rights reserved.
Cisco AVVID Partner Program
• Deploy voice, video and datasolutions on an open,standards-based architecture
• Deliver tested, verifiedproducts and services
• Provide interoperability andco-marketing with partners
252525© 2001, Cisco Systems, Inc. All rights reserved.
Why Choose Cisco?
• Customer Benefits• “Network of Networks”
•Voice and Video integration through AVVID
•Design expertise for real-time IP networks
•Intelligent network services
•Quality of Service
• Customer Benefits• “Network of Networks”
•Voice and Video integration through AVVID
•Design expertise for real-time IP networks
•Intelligent network services
•Quality of Service
• Network management for video
• Open, standards-based
• Investment protection forH.320 equipment
• Interoperability through H.323
• Cisco SMARTnet serviceand support Migration paths
• Videoconferencing, broadcastingand video on-demand
• Scalable solutions
• High availability
262626© 2001, Cisco Systems, Inc. All rights reserved.
IP Video CommunicationHard Cost Savings
• Reduced wiring in new buildings(labor and materials) – Voice, Video,Data on one network
• Reduced training and educationexpenses
• Reduced communications expenses
• IT staff consolidationT&E CostsT&E Costs
NetworkNetworkAdministrationAdministration
Equipment andEquipment andMaintenanceMaintenance
272727© 2001, Cisco Systems, Inc. All rights reserved.
IP Video CommunicationStrategic Benefits
• Increased employee productivity
• Increased employee morale
• More opportunities to share bestpractices, information
• Improved internal and externalcustomer service
• Better use of IT, network andhuman resources
28© 2001, Cisco Systems, Inc. All rights reserved.
IP Audio Conferencing
292929© 2001, Cisco Systems, Inc. All rights reserved.
CCC Overview
• IP-based audio conferencing solution
• Brings participant from IP and PSTN into a singleconference
• Works with Cisco CallManager
• Supports up to maximum of 100 ports
• Simple web-based user interface for scheduling
• Single point user accounts and permissionsmanaged from CallManager
• Cisco IP phone services integration
Enterprise Productivity Application
303030© 2001, Cisco Systems, Inc. All rights reserved.
Primary Benefits
Scalability & Flexibility:
Scale from 20 ports to 100 ports. Flexibility to build as they grow. Customers can purchase licensesin increments of 10, 40, or 80 ports.
Simplified Administration
Directory integration simplifies user account and policies management and eliminates potential ofmiss configurations and errors.
Lower Cost of Ownership
CCC is a complete system and can support up to 100 ports on a single Windows 2000 based Intelsystem, it eliminates the need to deploy and manage multiple devices.
Interoperability
It interoperates with IP networks and the public switched telephone network (PSTN), henceconference participants can join regardless of location.
Business Benefits
- Allows IP and legacy phones to come together in a single meeting.
- scalable cost effective
- seamless administration ease of installation/maintenance
313131© 2001, Cisco Systems, Inc. All rights reserved.
Security Features
• User Login
User-id and password to schedule or modify conference
• Conference ID
Assign an ID to conference
• Password Protected Conferences
Assign passwords to conference to restrict unauthorized access.
• First In Conference Notification
• Entry/Exit Tones
Distinct entry and exit tones are played into the conference whensomeone joins or leaves that conference
• Hide conference (privacy)
Conferences visible to only conference creator and administrator.
323232© 2001, Cisco Systems, Inc. All rights reserved.
• ROI ExampleONLY
• (Use on-line ROI Calculator forspecific customer ROI)
Return On Investment (ROI)
Conferences Per Month 400
Average duration of conference call (min) 60Average # of participant per conference 6
Total Minutes utilited Per Month 144000
Service Provider Per/min/user charges $0.12
Total Monthly conferencing Expense $17,280
One Time Capital Expense List Price
Cost of the systems ( CCC SW + Server) 100 ports $78,000Cost of Two CallManager (SW + Server) $23,990
Cost of GW w/ 2 PRI ports $14,000Total One time expenses $115,990
Recurring Charges
PRI line Charges (Monthly Recurring) $1,600Support & Administration $4,000
Other Charges $0
Average Monthly Recurring Expenses $5,600Monthly Saviings $11,680
ROI on Capital Equip. Expense (Months) 9.93
Complete ROI tool availableOnwww.cisco.com/parnter/cnic .
Plus:ü leverage Network resourcesü Network savingsü Simple Administrationü Business productivityü Future Proof
33© 2001, Cisco Systems, Inc. All rights reserved.
ROI Case Study
343434© 2001, Cisco Systems, Inc. All rights reserved.
IP Video Communications ROI Example
($40,000)New materials, authoring etcProduction Costs
Yearly
PCs, upgrades, network, A/Vequipment, training
30% of total (per Merril Lynch)
% time wasted – material not needed,taught too early, etc
Approx. $2,500/trip; 2 trips/year, 10days total, plus misc. charges
100 junior, 10 senior
CONDITIONS
174%, 456%1-year, 5-year ROI
($120,000)On-Going maintenance
7 monthsTime-to-Breakeven
$380,000Savings Year 1
($520,000)Additional investments*
$280,000Improved Achievement
$90,000Time Savings
$570,000Travel Costs
110Number of trainees
DATAPARAMETER
* Assumes company has reasonable PCs and network abilities
353535© 2001, Cisco Systems, Inc. All rights reserved.
IP Video Communications ROIProductivity Improvement Example
Boost Sales Productivity and Revenues:
83% of 500 sales employees are expected to make $1million sales quota based on traditional methods. Byusing e-Communication, the company expects toimprove the product training process, give reps moreface time with customers, and increase % of quotamakers from 83% to 93%.
$50M$ Improvement
$465M93% quota revenues
$415M83% quota revenues
$1 MSales Quota per rep
500Sales staff
363636© 2001, Cisco Systems, Inc. All rights reserved.
IP Video Communications ROI CaseStudy—Cisco & E-learning
Sales Force:
• $30M in hard savings & productivity
Engineering:
• $4M in hard savings & productivity
Manufacturing:
• $2M in hard savings & productivity
Other:
• $6M in hard savings & productivity
Total Savings
$42M in FY2001
373737© 2001, Cisco Systems, Inc. All rights reserved.
ROI Case Study— Dept of Veteran Affairs
Challenge:
• Build VA Learning University(VALU) Distance Learning Programto ensure optimal workforceproductivity and skill set inresponse to sector dynamics
Dramatic governmental change
Changing employee skillrequirements
Reduced budgets for employeerecruitment, training andretention
Solution:
Cisco IP/TV broadcast servers for VoD andstreaming video
CDM distributes content to CEs at 100+ sites
3640 routers provide remote site connectivity
2 CSS 11000 switches and 2 Content Routersprovide availability and redundancy
Catalyst 3524 switch provides L2/3 IPservices
• VA expects VALU Distance Learning Program to reduce cost per veteran anddependent customers by reducing amount of time required for training.Reductions in travel and required time can be directly translated into “recovered”or “avoided” dollars associated with overall VA training.
• VA expects VALU Distance Learning Program to reduce cost per veteran anddependent customers by reducing amount of time required for training.Reductions in travel and required time can be directly translated into “recovered”or “avoided” dollars associated with overall VA training.
Measuring ROI:Measuring ROI:
383838© 2001, Cisco Systems, Inc. All rights reserved.
IP Video Communications ROI Example
($40,000)New materials, authoring etcProduction Costs
Yearly
PCs, upgrades, network, A/Vequipment, training
30% of total (per Merril Lynch)
% time wasted – material not needed,taught too early, etc
Approx. $2,500/trip; 2 trips/year, 10days total, plus misc. charges
100 junior, 10 senior
CONDITIONS
174%, 456%1-year, 5-year ROI
($120,000)On-Going maintenance
7 monthsTime-to-Breakeven
$380,000Savings Year 1
($520,000)Additional investments*
$280,000Improved Achievement
$90,000Time Savings
$570,000Travel Costs
110Number of trainees
DATAPARAMETER
* Assumes company has reasonable PCs and network abilities
393939© 2001, Cisco Systems, Inc. All rights reserved.
IP Video Communications ROIProductivity Improvement Example
Boost Sales Productivity and Revenues:
83% of 500 sales employees are expected to make $1million sales quota based on traditional methods. Byusing e-Communication, the company expects toimprove the product training process, give reps moreface time with customers, and increase % of quotamakers from 83% to 93%.
$50M$ Improvement
$465M93% quota revenues
$415M83% quota revenues
$1 MSales Quota per rep
500Sales staff
404040© 2001, Cisco Systems, Inc. All rights reserved.
IP Video Communications ROI CaseStudy—Cisco & E-learning
Sales Force:
• $30M in hard savings & productivity
Engineering:
• $4M in hard savings & productivity
Manufacturing:
• $2M in hard savings & productivity
Other:
• $6M in hard savings & productivity
Total Savings
$42M in FY2001
414141© 2001, Cisco Systems, Inc. All rights reserved.
ROI Case Study— Dept of Veteran Affairs
Challenge:
• Build VA Learning University(VALU) Distance Learning Programto ensure optimal workforceproductivity and skill set inresponse to sector dynamics
Dramatic governmental change
Changing employee skillrequirements
Reduced budgets for employeerecruitment, training andretention
Solution:
Cisco IP/TV broadcast servers for VoD andstreaming video
CDM distributes content to CEs at 100+ sites
3640 routers provide remote site connectivity
2 CSS 11000 switches and 2 Content Routersprovide availability and redundancy
Catalyst 3524 switch provides L2/3 IPservices
• VA expects VALU Distance Learning Program to reduce cost per veteran anddependent customers by reducing amount of time required for training.Reductions in travel and required time can be directly translated into “recovered”or “avoided” dollars associated with overall VA training.
• VA expects VALU Distance Learning Program to reduce cost per veteran anddependent customers by reducing amount of time required for training.Reductions in travel and required time can be directly translated into “recovered”or “avoided” dollars associated with overall VA training.
Measuring ROI:Measuring ROI:
424242© 2001, Cisco Systems, Inc. All rights reserved.
Challenges:• Increase professional staff development• Reduce time spent traveling between campuses• Improve quality and increase use of video throughout campuses
Solution:
• Distribute videoconferencing throughout campuses
• Deploy Cisco IP/VC videoconferencing infrastructure for multi-conferencing
• Leverage network QoS to provide high-quality performance
• Reduced costs associated with staff development
• Increased productivity
• Higher-informed and skilled workforce
• Reduced costs associated with staff development
• Increased productivity
• Higher-informed and skilled workforce
Measuring ROI:Measuring ROI:
ROI Case Study—