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Providing Integrated Services
Over Copper & Cable
February, 2001
It’s About Time.
Overview
• Today’s Topic: Providing an
Integrated Services Package
Over Copper and Cable
• What’s Cool About
Integration
• Opportunity for Integrated
Services
• Implementing Services
• Strategic Considerations
What’s Cool About Integration
• Integration future proofs the SP’s
business
• Realizes the service providers’
dream: One connection; multiple
revenue streams
• Provides ARPU protection
• Keeps SP on favorable price and
margin curves
• Aids Customer Retention
Integrated Services Opportunity
• Voice
• Security:
– Firewall/Virus Protection
– Filtering
– VPN’s
• Messaging
– Translation
– Integrated
• Video
– Mail
– Conferencing
Opportunity Con’t
• Collaborative Work
– Virtual Meeting
– Shared Whiteboard
• Web Design/Web Hosting
• Caching/Peering
• ASP Services
• ECommerce
Opportunity
• Rough total for all these is in
Multiple Billions of Dollars
• Service integration assures
continued participation as
more and more of everyday
life migrates to networks.
Implementing Services
Voice CPE
ADSL with “derived” voice
Standard ADSL
Data:
Internet, etc.
Data: POTS ADSL Line
ADSL Line Internet, etc.
POTS
–Up to 16 simultaneous voice channels on a single copper pair
–Soft provisioning of additional voice channels - no truck roll
–Integrated voice and data solution
–Focused on SME and high-end residential market
Voice “Bundles”
• SOHO and small businesses
– Package high speed data and multiple voice
lines
– PBX/Key systems attached to/integrated into
modem
– Small Centrex groups
• Residential
– Package of high speed data and multiple
voice lines
– Home working environment (PC, Phone, Fax)
– 2nd and 3rd line (pairgain)
• E.g. Install for 2nd line POTS and be data
ready
Voice Gateways
Service providers Access providers End users
PSTN
Service Service ASAM
management management
GW ...
ADSL-NT
Isp’s ...
ATM or FR pipes
Mini-RAM
IP-tunnels
...
Corporates Data backbone BAS ATM edge ASAM
GW ADSL-NT
...
ATM backbone
Security: DSL Access: PPPoX with L2TP tunneling
CoSine IPSX
CVR
DSLAM
DSL ATU-R
Shasta BSN
IPSec Tunnel
L2TP Tunnel
ATM
ATM Core
Access
SP VR
LAC
DSL ATU-R
STM-1
LAC LNS
PPPoX L2TP Tunnels IPSec Tunnels
Tunnels PPPoE and PPPoA sessions through to the correct CVR
One L2TP tunnel for each enterprise, with the ability for multiple PPP
sessions per tunnel
Leased Line Access: Direct
CoSine IPSX
CVR
Channelized T1
or fractional
service
CPE
Local
Access IPSec Tunnel
Metro ATM
Loops Core
SP VR
CPE Local
Channelized DS3
Access
PPP IPSec Tunnels
Timeslot groups for each customer is mapped from the Channelized DS3
through to their respective C-VR.
IP Services with CoSine solution
• IPSec VPNs
• Managed Firewalls
• VPDN for secure dial
• Extranets
• Frame Relay Integration
Irrespective of method used, once the customer traffic
reaches their CVR, value add IP services such as VPNs,
Firewalls, NAT, Anti Virus, etc can be provisioned exactly the
same way for each subscriber
Putting It All Together
Trends: Business Users (1)
Revenues Managed Data
Services (UD$ billions)
Decentralizing 8
7
6
Outsourcing 5
4
Intra-/Extranet 3
2
Supply Chain Integration 1
0
'03 '04
'01 '02
'00
'99
ASP VPN
Access to
advanced services Web Hosting
for SME/SOHO Virtual
Roaming
Office
Source: Asia/Pacific Telecom Network Services Market 1999-2004, IDC
Trends: Business Users (2)
More than 60% of APAC
Voice-Data companies are integrating
or will integrate data and
Convergence voice.
A large share of these companies will
use Voice over Packet to communicate
across the supply chain (suppliers,
customers and channels/resellers).
Source:WAN Manager Survey - Jul 2000, IDC
Business Services
End-user applications Enterprise
increasingly need more Large Business
network services
which can be provided Access
VOICE VPN Node Small Office
by network PRI, Centrex, VoIP
operators
Home Office
DATA VPN
Internet, Intranet,
Access
Security, Privacy, Management Node
Switch/Router Outsourced Firewall, Routing
E-Commerce, Co-working
WW Local connect (roaming)
Single Authentication
VPN, Security, Privacy
AAA, Billing
Policy, QOS, SLA
VoIP, Fax/IP, Transport
Access
Node
Mobile
Telecommuter
Residential Services
Content Application Provider End-user applications
Server farm increasingly need more network services
Voice
which can be provided by network operators
POTS, ISDN, VoIP
Switch/Router
Dial up Internet
Always on Internet
Videoconference
Web hosting,
Private
E-mail, E-commerce Residential
Access
S&F Fax/IP, VPN, Security, Privacy
Node
Unified messaging AAA, Billing
PPP, tunneling
Audio/Video Streaming IP pool management
Interactive Digital TV
Remote Access Services
RT Fax/IP, VoIP, Transport
Strategic Considerations
• When ?
– Now
– Plan for Migration
• What is proper sequence ?
– Start with most likely to be broadly
adopted
– Build critical mass
– Differentiate to vertical need
– Take a prudent chance
Strategic Considerations
• Functionality at Edge or
Core?
– What works when your customers’ need
it
– What will continue to allow you to
differentiate
– What suits your organization’s skill set
Summary
• Integration can help future
proof an SP’s business
• Integration can begin today
• Take prudent risks to
differentiate toward your key
segments
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