Small Office / Home Office(SOHO) IP TelephonyWho says You Can’t Run with the Big Dogs?

Agenda

SOHO customer requirements Enterprise-based solutions Carrier-based solutions Conclusion

What does the IP Telephony industry need to offer the SOHO business?

Low cost solution ($200 to $2,000) Little or no technical expertise required Scalable (many SOHOs are in growth mode) Able to handle bursts or peak demand Tools to project a “professional” image “Big company” features

ENTERPRISE-BASED SOLUTIONS

SOHO Communications Infrastructure

Traditional Model 2 or more phone lines

@ $40/line Fax line @40/line or

share a phone line Data line

VoIP Model 1 analog phone line 2 or more IP phone

lines @ $10-$20/line expandable on demand

Never busy fax line Data line

Virtual Private Networks (VPN)

BIGCO VPN Carrier VPN serviceor Leased Lines

T1/T3/OC-n private line ATM Frame relay IP

SOHO VPN Internet Telephony

Less than $200 per each IP phone added

HQOther locations

IP PBX

BIGCO SOHO Add VoIP capability to

existing key system or PBX for $200-$500

IP PBX

PBX with IP Gateway PBX or KTS

PBX Extension for Remote Offices

Deliver PBX extensions for $200 per remote site PBX site $50 to $200 per extension

Ext. 101

Voice and Data Integration

BIGCO SOHO

Voice -

Data -

T1/T3/OC-n

ATM/FR/MPLS/IP

MultiplexerChannel BankVoice-enabled Router $$$

Voice -

Data -

DSL/Cable ModemOrDial-up!! $200

CARRIER-BASED SOLUTIONS

Long Distance and Toll Savings

Traditional IP Telephony

__

____

$200 for the first phone port$50 – $100 for add’l port

$0 – $.03/min LD$.02 - $.20/min Int’l

$.04 - $.10/min LD$.07 - $2/min Int’l

Intra-company Communications

PSTN solutions (SOHO) Issues Calls between

company locations cost $$

Forwarding if busy costs $$

Inflexible call routing Miami, then NYC, then

Voicemail No call queuing

|

__ Incoming Call

Intra-company Communications

VoIP solution (SOHO) Benefits Low or no cost between

locations Low or no call

forwarding cost Flexible, intelligent

routing Call queuing Easy adds and moves Load balancing possible

__ Incoming Call

Gatekeeper/Server

__

__

Call Center

PSTN-based (SOHO) Issues Finite set of trunks Set number of call

paths for queued calls Geographically defined High premises

equipment cost “Nailed up” Growing pains

__ Incoming Call__ Incoming Call__ Incoming Call

Call Center

VoIP-based (SOHO) Benefits On demand expansion

of trunk lines Big company style

queuing Load balancing Dynamic, ideal for

short term use Scalable, just add IP

phone seats anywhere

Incoming Call__

____ Incoming Call__

__ Incoming Call

CallCenters

Teleworkers inhomes

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Challenges we have

Reliability and Availability Quality of Service (voice quality, etc.) Support Interworking

Among IP networks With existing PSTN networks and services Among Internet telephony equipment vendors

Conclusions

IP Telephony can deliver communications products and services needed by SOHO businesses today

Critical characteristics Low cost, solutions in $200 - $2000 range Little technical expertise needed Scalable, flexible, expandable “Big company” feel with full set of features

Opportunity Underserved by traditional players Millions of SOHO businesses and many are growing