A Look at Hosted VoIP

A Look at Hosted VoIPMegatrends and New ParadigmsSpeaker: Frank Grillo, EVP Marketing for Cypress

Communications

3January 23-25, 2008 • Miami Beach Convention Center • Miami, Florida USA www.ITEXPO.com

• Making technology a tangible differentiator is a privilege to be won or lost by IT.

• Technology ownership is no longer a sure thing. IT asset ownership is a choice, not an obligation.

• Enterprises are embracing hosted delivery models—software as a service (SaaS), LAN/WAN services, desktop management, and business continuity and hosted VoIP.

• Hosted VoIP market will increase from $375 million in 2006 to $3,165 million in 2011.

Megatrends and New Paradigms

Source: Gartner, Inc.


Hosted VoIP Market Segments

• Hosted IP PBXs• IP Centrex• Communications as a Service

(Similar to SaaS where customers pay for usage rather than for ownership)

“Communications as a Service is the most recent and innovative of the hosted VoIP delivery models.”

Gartner, Inc.Hosted VoIP Market Trends Report of North America 2006-2011Daniel O’Connell and Eric Goodness, Authors


IP PBX

• Located at your site or vendor’s location• It’s still connected to the same old telephone network• People who build it may not be the people who support it

Benefits

• Highly customizable

• Lower capital and operational costs

Drawbacks• Multiple providers to manage• LAN/WAN management typically

separate• You get what you want – but at a

price $$• Poor geographical redundancy –

unless you’re paying big $$• You’re still on the hook for upgrades

and maintenance


IP Centrex

• Infrastructure located at provider site• Switch owned and managed by the provider• Switch shared among multiple customers

Benefits

• You don’t have to buy and deploy a switch

• Potential lower operational costs

Drawbacks• Immature service providers• Very limited service set• Limited geographic span• Unmanaged LAN/WAN• Lack of end-to-end solution • Lack of national network

limits business continuity protection


• Complete integrated solution—phones, voice/data access, voicemail, PBX functionality, unified communications and collaboration applications.

• High-touch service with full LAN/WAN management, remote monitoring, MACs and managed QoS.

• Off-premises hosting with POP and circuit diversity, CPE redundancy and WAN failover.

Benefits

• Highly customizable

• Inherent business continuity

• No equipment capital outlay

• Nationwide coverage

• Single vendor for everything

Drawbacks• You don’t “own” anything• You’re not “in control”

Communications as a Service


What to Keep in Mind

• Superior Network

• Engineered for 99.999% availability

• Voice calls prioritized over data and no single point of failure

• Purpose-built to deliver VoIP services

• Real-time proactive network monitoring

• Fully redundant for maximum availability

• Self-correcting

• Calls don’t touch the public Internet

End-to-End Solution• Quality of Service guaranteed from desktop throughout the network• Full LAN/WAN integration• Advanced multimedia, collaboration and traditional calling features• Vendor with a legacy of providing excellent products and support• Highly scalable


Minimize your total cost of ownership• No capital expense• Eliminate risk and obsolescence• Flexibility—scale as your business grows and changes

Inherent business continuity• Geographical and network redundancy• POP and circuit diversity• Equipment redundancy

Make it Easy• Turnkey solution • One vendor for voice, data and LAN integration• Off-load ancillary functions

What to Keep in Mind (continued)

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A Look at Hosted VoIP

Business