LAUNCH OF IP TELEPHONY SERVICES Data Infosys Ltd in association with Proxy solutions (P) Ltd Company Intro Data Infosys Ltd, a Jaipur based leading category “A” ISP has entered into a strategic partnership with Proxy Solutions Pvt. Ltd, Hyderabad with an objective to spread VoIP services all over India Credibility Data Infosys, according recent TRAI, report has the 5th largest customer base in India. Proxy is into telecommunication services and has its 100% owned subsidiaries in India, Singapore, Malaysia & The US. Credibility Sky Communications is a wholesale carrier of internet telephony minutes situated in Central Business District of Singapore. Tech support and management office is setup in Hyderabad. 16 E1 capacity of IP interconnect equipment has been installed and currently 50% of the capacity is being utilized in Singapore. 22 E1 capacity of TDM interconnect equipment has been installed and 2 E1’s are utilized. The office is well equipped with all necessary computer / networking facilities including bandwidth. Telephone - Two lines currently serves the location. Additional 5 GSM phone lines for centralised customer care. Other utilities are already provided. Credibility Sky Communications will offer technical support internet telephony solutions to the venture partner and terminate VoIP tele traffic worldwide. SkyComm is currently offering / supporting SIP and H323 based internet long distance calling services in Singapore, Malaysia and in Srilanka (Retail Business) SkyComm will offer services – Premium calls, Economy calls and customized destination services for call centers. There appear to be class of competition, the largest of which consists of incumbent service providers and smaller service firms. The competitive edge for SkyComm and the venture partner will be to expand on already existing relationships / established network. Technology is obviously a critical component of this business: It will be important to stay up to date on both equipment and knowledge to remain competitive in the future. Locations Jaipur and Hyderabad have been identified for the launch of the IP telephony services. All other metro and cosmopolitan cities of India will be added to its list by the end of 2nd quarter. Is IP Telephony gaining credibility Market research firm Telegeography indicates that IP Telephony is carrying 10 percent of all international voice traffic – approximately 18 billion minutes, up from 9.9 billion minutes in 2001 across the globe Benefits of IP Telephony Circuit-switched traditional PSTN is being challenged by the cost beneficial and operational efficiencies of IP telephony. Around the world the Internet Telephony market is around 4 to 5 percent of the total voice traffic. In India it is currently about 2%, this leaves the incumbent players a fair scope for growth. Market Strategy Technological advances and methodological approaches to quality-of-service have proven that VoIP is capable of meeting, and indeed exceeding, the quality of circuit voice. According to IDC with India’s IP telephony market expected to grow at CAGR (Compounded Annual Growth Rate) of 119 % through 2005 DIL - Proxy intend to provide quality, affordable means of communication overseas and allow corporate groups to leapfrog the traditional development curve when building their telecom infrastructure. What are we up to ? Data Infosys and Proxy are fully geared up to grab this market share. Data Infosys along with Proxy intends to capture at least 10% of the total IP Telephony market share in India estimated to be around 30 million minutes in 2005. According to iLocus this is estimated to grow to 211 million minutes by 2007. What we provide We provide our services with online billing solutions with the IP terminal at the customer end connected to an digital billing machine. With start of our services we intend to clock around 300,000 minutes per month in the initial six months and hope to touch around 500,000 minutes per month by the year end, this is exclusive of the call centre and BPO segment traffic. Other Premium Services In addition we plan to offer mobile users the ability to retrieve voice mail from their email boxes, provide electronic secretarial services with find-me/follow-me capability and support broadband data and voice service for the SOHO (Small Office Home Office) market. How are we priced ? The rates will be affordable for example calling US, UK will be Rs.1.50, Gulf around Rs.8, and other attractive packages are designed for corporate group’s including the Call Centers and BPO companies. With these rates, we aim to bring international calling on par with local, STD calls and we assume that calling within India over a period of time will be uniform and is expected to be priced around Rs.1/-. Network Diagram of Data Infosys (Web Hosted Billing) VoIP Server Area Router Internet Layer 2 Ethernet Switch Internet Data Infosys (NOC) VoIP Gateway AAA VoIP Testing Center DB Server Customer Support Center Web Hosted Billing Server Network Diagram of Data Infosys (Network Operations Center) H.323 Gatekeeper SIP Gatekeeper Replicated Billing Server Replicated Database Server Internet Layer 2 Ethernet Switch VoIP Server Area Router VoIP Gateway VoIP Testing Center Customer Support Center VoIP Virtual PBX Inter Office Connectivity VoIP Gateway Data Head Office VoIP Gatekeeper Database server Internet Router Switch Router Internet Data Infosys Router Data VoIP Gateway Branch Office Call Shops VoIP Gatekeeper Database server Pay Phone Switch Phone Booths VoIP Gateway Internet Data Infosys Router Cyber Cafe / Tele Center Switch Internet Router Internet VoIP Gateway Data Network Diagram of Call Shops / Tele Centers Corporate / Residential VoIP Service VoIP Gatekeeper Database server Switch Internet Subscriber 1 Data Infosys Internet Router Subscriber 2 Router Multi-port VoIP Gateway Subscriber 3 Local Cable Operator VoIP Gatekeeper Database server VoIP Gatekeeper Database server Switch Switch Internet Router Router Data Infosys Regional NOC Data Infosys Regional NOC Switch Router Directory Gatekeeper Primary Database server Data Infosys Central NOC Switch AAA DB Server Router Web Hosted Billing Server Directory Gatekeeper Primary Database server Data Infosys Central NOC Internet Internet Subscriber 1 Data Infosys IP Telephony Network Diagram Internet Cyber Cafe / Tele Center Call Shops Switch Subscriber 2 IP Phone VoIP Gateway VoIP Gateway Data Router Phone Booths Subscriber 3 All subscriber units shown are either H.323 or SIP Terminals Internet Telephony services will be provided to the customers of the venture company initially. Premium Calls: These services are priced high with QoS and attain MOS of 4.6 to selected destinations. Economy Calls: These services are priced at par with the market competitive rates to all A-Z locations. Customized Calls: These services are provided to call center for bulk usage of minutes and wholesale pricing is charged. The following reflect the market segmentation for this business. The size and growth numbers are based on Tele traffic analysis provided by Tele-geography Home Office Businesses - The largest and fastest growing segment, this segment is obviously defined as small businesses / call shops / cyber cafe’s that are based primarily out of the owner's home / space. This is not the same as simple home users, and is high volume traffic generators. Small Businesses - Defined as call center as businesses with 1 to 25 employees, this is the second largest generator of internet telephony minutes. Home Users: The last but not the least of internet telephony users are from the domestic segment. Sky Communications Pvt. Ltd will adopt a price matching strategy rather than entry pricing. A survey of local internet telephony businesses revealed the following: Distributor Pricing Reseller Pricing End-User Pricing 3.Our Products -2 port gateways, 4 port gateways, and dialer IP phones Our Motto With starting of our services we wish that relationships will be established and old ones will be rejuvenated with calls becoming cheaper.