Confidential © Copyright 2003 Personeta Inc.
The Next-Generation Intelligent Network
The Case for IP “Centrex”
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Centrex was a Good Idea Key Assumption:
Few intrinsic benefits to organizations from owning and maintaining PBX equipment
However, Centrex did not evolve with the times Lacks support for mobility, IP/IT
applications and services, and geographical distribution of branch offices
Traditional Centrex is inflexible Device (Class 5) based Expensive to implement, manage and
maintain
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There is a Market for Centrex In 2001, there were 16.5 million lines served
by Centrex (Frost & Sullivan) At an average of $5/month per served line
this represents annual revenues of nearly $1 billion
Compelling business case for customers: While an organization with 500 lines will
pay $30K annually in basic Centrex subscription fees
Versus fully-burdened annual salary of a PBX system administrator is $80K (plus capital expense, etc.)
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IP “Centrex” - Two Approaches Soft Switch Approach
Class 5 replacement with most traditional Centrex limitations
Does not serve existing Centrex customers or migrate
Network-Based Approach Device independent, avoiding inherent
limitations Provides service to both IP and traditional
customers Centrex features without limitations
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TappS Enables Network Solutions
PSTNPSTN VoIPVoIP MobileMobile
TappSTappS NSC NSCTappSTappS NSC NSC
Service logic maintained in centrally manageable location
Uninterrupted service for existing customers
IP customers receive latest bells and whistles
IP media servers replace VRUs for IVR
Mobile employees remotely accessible
Remote branches integrated into numbering plan
Taveling employees have virtual office
IP Data IP Data NetworkNetwork
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Thinking Outside the Service Box Any service is a bundle of features Different customers require different features
All customers don’t need all features all the time (and they don’t want to pay for them!)
Features combined in different ways redefine the service and its chargeable value to the customer
Flexibility presents, in itself, compelling value for the end-customer!
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Voice VPNVoice VPN
Number TranslationNumber Translation
Feature Layering
Small and medium size
businesses pick and
choose service features for unique bundles
“Premium” features leverage underlying layers for high-end
customers
Call HandlingCall Handling
Network IVRNetwork IVR
Advanced RoutingAdvanced Routing
Voice Voice PortalPortal
Bas
ic
PBX
feat
ures
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Feature Bundling – an Example
Private Numbering Plan (PNP)
Call Hold
Call Transfer
Call Forwarding
Closed User Group (CUG)
Outgoing Access Privileges
Private Numbering Plan (PNP)
Call Hold
Call Transfer
Call Forwarding
Closed User Group (CUG)
Outgoing Access Privileges
Abbreviated Dialing
Direct Inbound Dialing (DID)
Abbreviated Dialing
Direct Inbound Dialing (DID)
Time-of-Day Routing (TDR)
Do-Not-Disturb Routing (DND)
Origin-Dependent Routing (ODR)
Time-of-Day Routing (TDR)
Do-Not-Disturb Routing (DND)
Origin-Dependent Routing (ODR)
Auto-AttendantAuto-Attendant
Enterprise DirectoryEnterprise Directory
Advanced Speech Recognition (ASR)Advanced Speech Recognition (ASR)
Basic package = $3.50/line/month
Each feature = $.75/line/month
Each feature = $1.50/line/month
Package = $3.50/line/month
Package = $3.50/line/month
Package = $2.50/line/month
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Feature Bundling – an Example
Private Numbering Plan (PNP)
Call Hold
Call Transfer
Call Forwarding
Closed User Group (CUG)
Outgoing Access Privileges
Private Numbering Plan (PNP)
Call Hold
Call Transfer
Call Forwarding
Closed User Group (CUG)
Outgoing Access Privileges
Abbreviated Dialing
Direct Inbound Dialing (DID)
Abbreviated Dialing
Direct Inbound Dialing (DID)
Time-of-Day Routing (TDR)
Do-Not-Disturb Routing (DND)
Origin-Dependent Routing (ODR)
Time-of-Day Routing (TDR)
Do-Not-Disturb Routing (DND)
Origin-Dependent Routing (ODR)
Auto-AttendantAuto-Attendant
Enterprise DirectoryEnterprise Directory
Advanced Speech Recognition (ASR)Advanced Speech Recognition (ASR)
X 100 lines = $350
X 100 lines = $75
X 100 lines = $150
X 50 lines = $75
X 100 lines = $350
X 100 lines = $250
X 100 lines = $75
Total Monthly Cost = $1,325
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Promotional Bundling – an Example
Carrier Carrier Transport Transport NetworksNetworks
Carrier Data Carrier Data NetworkNetwork
OSS/OSS/BSSBSS
RealtimeCharging Engine
Promotion: Take the Basic Hosted IP PBX Package
and get 3000 free minutes of off-net calls per month.
TappSTappS NSC NSCTappSTappS NSC NSC
DEBITDEBITDEBITDEBITDEBITDEBITDEBITDEBITDEBITDEBIT
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Promotional Bundling – an Example
Carrier Carrier Transport Transport NetworksNetworks
Carrier Data Carrier Data NetworkNetwork
OSS/OSS/BSSBSS
RealtimeCharging Engine
Promotion: Take the Basic Hosted IP PBX Package
and get 3000 free minutes of off-net calls per month.
TappSTappS NSC NSCTappSTappS NSC NSC
BILLBILLBILLBILLBILLBILLBILLBILLBILLBILL Balance = 0
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Value for Service Providers Differentiation that retains valued customers
and opens new SMB opportunities Allows extension of existing resources with
next-generation features Subscription oriented, rather than relying on
declining network access charges Offloads significant provisioning tasks to the
customer to widen operating margins Enables creative marketing of feature bundles
at low cost (and low risk) Increases opportunities for penetration of
other network-based business voice services
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Value for Customers Compelling alternative to buying and
maintaining an IP PBX Flexible, customizable feature bundles to
better meet specific enterprise needs Self-provisioning to enable customization
monthly, daily… even hourly Charging based on features actually used
rather than monolithic service
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Conclusion There is a real market for hosted IP PBX
“Centrex-type” features Simply changing the device does not
overcome the inherent limitations of Centrex Requires a service-centric approach that
delivers features across networks Flexibility and creating chargeable value are
key issues
Confidential © Copyright 2003 Personeta Inc.
Thank Youwww.personeta.com