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Copyright © 2006 VoEX, Inc. All Rights Reserved 1 What is SIP Trunking? What is SIP? Sessions Initiation Protocol Signaling for multimedia sessions over the Internet Setup Modify Tear down Copyright © 2006 VoEX, Inc. All Rights Reserved 2 What is SIP Trunking? SIP is an application-layer protocol SIP trunks can be connected via any Layer 2 protocol Signaling Application Layer H.323 Transport Layer Media SDP Media Coding SIP RTP TCP Utility DNS DHCP UDP Internet Layer IP AALx PPP ATM V.90 Physical / Link Layer Ethernet Copyright © 2006 VoEX, Inc. All Rights Reserved MPLS 3 What is SIP Trunking? Signaling Application Layer H.323 Transport Layer Media SDP Media Coding SIP RTP TCP Utility DNS DHCP UDP Internet Layer IP AALx PPP ATM V.90 Physical / Link Layer Ethernet MPLS SIP = Great Equalizer = Open market = Choice! Copyright © 2006 VoEX, Inc. All Rights Reserved 4 What is SIP Trunking? Brief History of American Layer 1/2 Communications 1880 – 1984: American Bell / AT&T Essentially a monopoly 1948: Cable TV 1969: ARPANET Precursor to the Internet – see Al Gore 1977: MCI allowed to compete (common carrier services) 1977: First cell phone test offering 1982 – 1984: Breakup of AT&T 7 Regional Operating Companies Local service monopoly 1994: U.S. Government releases control of the Internet Copyright © 2006 VoEX, Inc. All Rights Reserved 5 What is SIP Trunking? VoIP trunks from service providers use SIP for call control and routing Enables IP/SIP connection to carrier IP networks. SIP sets up and tears down calls call is routed via the carrier’s IP network Calls are handed off to a PSTN gateway for the last mile if they are bound for E.164 numbers. On-net calls remain native, “pure” IP Copyright © 2006 VoEX, Inc. All Rights Reserved 6 What is SIP Trunking? PSTN TDM SIP Trunk Service Provider Broadband IP network Enterprise SIP + ENUM Other IP network Copyright © 2006 VoEX, Inc. All Rights Reserved 7 About VoEX Global Managed Service Provider Pure VoIP peering Infrastructure Carrier-grade Super Registry ENUM and PSTN phone numbers Connecting any-to-any TDM, IP and Hybrid carriers. Copyright © 2006 VoEX, Inc. All Rights Reserved 8 Blue Chip Customers Copyright © 2006 VoEX, Inc. All Rights Reserved 9 Why SIP Trunking? Save Money Today Take Advantage of SIP-enabled Applications Ready for Prime Time Copyright © 2006 VoEX, Inc. All Rights Reserved 10 Why SIP Trunking? Save Money Today Lower toll charges One-time charge for on-net termination Calls routed to the closest gateway for PSTN termination – may only incur local termination rates Highly competitive rates for off-net domestic and international PSTN termination One unified network for voice and data circuits Reduced trunking costs Reduced hardware costs Efficient personnel usage Other Cost-reduction Methods Copyright © 2006 VoEX, Inc. All Rights Reserved 11 Why SIP Trunking? SIP-enabled Applications Voice, Video, Multimedia Desktop integration (Outlook) Presence Follow-me services “Dial Out” “Peered” across network Copyright © 2006 VoEX, Inc. All Rights Reserved 12 About VoEX Global Managed Service Provider Pure VoIP peering Infrastructure Carrier-grade Super Registry ENUM and PSTN phone numbers Connecting any-to-any TDM, IP and Hybrid carriers. Copyright © 2006 VoEX, Inc. All Rights Reserved 13 SIP Trunking ROI Analysis Investment Requirements IP PBX SIP Firewall SIP Gateway Copyright © 2006 VoEX, Inc. All Rights Reserved 14 SIP ROI Analysis IP PBX ROI “Internal” ROI Internal Wiring Moves, Adds, Changes Administration Applications “External” ROI Trunking Costs • TDM: Trunk vs. Extensions • IP: Requisite bandwidth Termination Costs • TDM: Local, long-haul contracts • IP: On-net transaction fee, On-net termination revenue, highlycompetitive PSNT termination, often based on local termination rates Copyright © 2006 VoEX, Inc. All Rights Reserved 15 Why SIP Trunking? SIP Gateway (TDM Origination) “External” ROI Trunking Costs • TDM: Trunk vs. Extensions • IP: Requisite bandwidth Termination Costs • TDM: Local, long-haul contracts • IP: On-net transaction fee, On-net termination revenue, highlycompetitive PSNT termination, often based on local termination rates Copyright © 2006 VoEX, Inc. All Rights Reserved 16 SIP Trunking ROI – Based on Real Customers Copyright © 2006 VoEX, Inc. All Rights Reserved 17 SIP Trunking ROI Actual customer savings: 15% - 50% Breakeven: 0 – 90 days ROI (cost-savings/cost) Depends on timeframe selected for savings 12% - 53%, first year Copyright © 2006 VoEX, Inc. All Rights Reserved 18 About VoEX Global Managed Service Provider Pure VoIP Peering Infrastructure Carrier-grade Super Registry ENUM and PSTN phone numbers Connecting any-to-any TDM, IP and Hybrid carriers. Copyright © 2006 VoEX, Inc. All Rights Reserved 19 About VoEX Thank You Bill Cartmill Director Business Development [email protected] Copyright © 2006 VoEX, Inc. All Rights Reserved 20