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Anup M. Manchanda VP, Teleprime [email_address] "Connecting Technology to People Worldwide“ 1305 Wiley Road, Suite 102 Schaumburg, IL 60173 USA US number : 847-252-7100X50SIP: 30264007@sip.epygi.comIndia Number: (040) -24222238 Ext. 36 Josh Robbins , Managing Partner Geckotech, LLC www.geckotechllc.com (312) 948-2996 (312) 491-7399 fax Geckotech, LLC Corporate Headquarters 300 N. Elizabeth Street Suite 510-C Chicago, IL 60607 (312) 948-2995 Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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<ul><li>About Teleprime </li></ul><ul><li>In Business since 1992. Offices in IL, TX, GA, CA, NJ, India. </li></ul><ul><li>Partners with Encore, Patton, Epygi, Cbeyond and others </li></ul><ul><li>Telecom Expertise in Networks, Test Measurement, Legacy to IP Migration. </li></ul><ul><li>Partners with IIT in providing training on VoIP </li></ul><ul><li>Active Member, VPAC Council. Assisted in set up of VoIP Lab at IIT by donating VoIP equipment. Provided Internship Projects to Students of VoIP on VoIP related equipment and services, to Evaluate, test and validate new products/services before bringing to market. </li></ul>Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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<ul><li>About Geckotech </li></ul><ul><ul><ul><li>Founded in 2003 </li></ul></ul></ul><ul><ul><ul><li>Based in Chicago –nationwide VoIP footprint </li></ul></ul></ul><ul><ul><ul><li>Provides fully managed VoIP for SMB market </li></ul></ul></ul><ul><ul><ul><li>Cisco Premier partner + Cisco Powered Network </li></ul></ul></ul><ul><ul><ul><li>Focused efforts – 1 major product line only </li></ul></ul></ul>Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved Geckotech LLC Managed IP Phone Solution

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What is VoIP? Voice-over-IP (VoIP) routes phone calls over an IP network, including private WANs as well as the public Internet. VoIP to VoIP calls can bypass the traditional public-switched telephone network (PSTN), resulting in cost savings and efficiency. Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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Benefits of VoIP: Eliminate or reduce intra-office toll charges. Reduce or Eliminate LD charges. Avoid service/ support contracts on existing PBX hardware Reduce expansion costs via lower costs for MACs Provide productivity benefits for remote and traveling workers who can be empowered with the same integrated capabilities as office workers Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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Cost Considerations of VoIP: - VoIP telecommunication hardware and software eg. IP phones - Network upgrades for possible quality of service and performance upgrades - Implementation labor and professional services - On-going support and administration labor Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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Potential Risks of VoIP: Quality of service/performance User training and adoption Administration and support skill levels and resources Proprietary vs. open systems interoperability Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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<ul><li>Why VoIP? </li></ul><ul><li>Current Communication Systems have: </li></ul><ul><ul><li>Features hidden and difficult to use </li></ul></ul><ul><ul><li>No Control over MAC </li></ul></ul><ul><ul><li>No support for remote workers </li></ul></ul><ul><ul><li>Multiple locations costly and hard to manage </li></ul></ul><ul><ul><li>Upgrades and expansions too costly and unpredictable </li></ul></ul><ul><ul><li>Can’t justify retaining phone system expert on staff </li></ul></ul><ul><ul><li>Difficult maintaining communication between branch offices </li></ul></ul><ul><ul><li>Difficult to manage multiple phone numbers and voicemails </li></ul></ul><ul><ul><li>Too many messages all over the place – voice, cell, email </li></ul></ul><ul><ul><li>Multiple vendors make it difficult to manage invoicing </li></ul></ul>Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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<ul><li>Premise-based PBX( Private Branch Exchange) </li></ul><ul><li>Onsite Phone Switch device that connects office telephones in a business with the public telephone network. </li></ul><ul><li>Route incoming calls to the appropriate extension in an office, and to share phone lines between extensions. </li></ul><ul><li>Over time, many functions have been added, such as automated greetings for callers using recorded messages, dialing menus, connections to voicemail, automatic call distribution (ACD), teleconferencing, and more. </li></ul><ul><li>Hosted PBX </li></ul><ul><li>Delivers PBX functionality as a service, delivered over a private network and/or the internet. The first hosted PBX was introduced to the market in late 1997 by Virtual PBX. Instead of buying PBX equipment, users contract for PBX services from a hosted service. </li></ul>Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved In house staff or Remote Office Admin tool for MAC Operational Expenses * Estimate based on 25 employee company IP, analog IP, analog Telephones Customer premises management U.S. is on-net Facilities/Reach Custom network design, Special Equipment No special Equipment, No new Capital Investment Remote User Features New investment, Installation required No new capital investment, Browser based Upgrades or New Features System Purchase $$ IP Phones, Router, No System or Infrastructure Capital Expense Premise Based Hosted Service Element

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Attribute Hosted PBX IP-PBX Scalability Essentially unlimited Typically 1-10K users Multisite Networking Uniform Dialing Plans Hard to Manage Dial Plans Full Feature Set Total Cost of Ownership Lower Cost of Outsourcing Higher Costs Overall: key+ Staff and support, Ltd. CPE choices Access(PRI vs. T1) Reliability, resiliency, Carrier-Grade Platforms Five 9s Reliable Cost borne by service provider Cost borne by enterprise Robust IP networking, including Use of Windows and other less-hardened geographic redundancy elements Estimate based on 25 employee company Source: Delphi Inc. Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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Hosted or Premise Based – Which is the better choice? Hosted Employees Telecommute Virtual office vs. Main office High up-front costs are not acceptable On-Going Costs Needs of company may change Incoming call capacity is high No need for outside support for dedicated employees for PBX support. Need a complete set of features. Premise Based Employees physically in same office Higher Up-Front costs and lower or no monthly costs Little likelihood of change in company size Security Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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Example: Premise Based IP-PBX

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Example: Hosted VoIP System 20 Phones w/unlimited usage plans Setup Fees: $2500 Monthly Service Fees: $1500* ($75/seat) Fax line from LEC: $30 *Includes routers, switches, T1 internet w/QoS, all PBX features, unlimited calling, VM, web portal, conference bridge, all hardware is managed and replaced within 24 hours on failure. Also includes full installation, project management, training and 24/7 customer support.

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Questions to Panelists Do you need technical expertise to administer a hosted phone system? Can you guarantee voice quality? How? How do you address disaster recovery? Can remote workers get same features? How do you address Moves, Adds and Changes? What about future features and upgrades? How many people can be “instantly” conference called? Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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Questions to Panelists Can users integrate Outlook Contacts and calling features? What are your options if you lose dial tone at a location? Where does the dial tone originate? What happens to a site if connection to the IP network is lost? Challenges and Experiences with customers in migrating over to your solution? What about putting all your eggs in one basket with a Hosted Solution? E911 related issues with Hosted? What are the security risks of web based administration? Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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Questions to Panelists What are my choices of IP endpoints? these truly open, standards-based endpoints? What are my options for mobility solutions? How is e911 handled for a multi-site distributed organization? Beyond traditional PBX features, what enhanced communications features can I expect? How are features such as: Audio Conferencing, Video Telephony, Unified Messaging, and Presence priced and delivered to the end user? How is reliability addressed: Power failure, Network failure, Bandwidth Constraints, and Denial of Service attacks? Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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Questions to clients How closely tied to your business do you consider your communications systems? Do you consider communications to be a competitive advantage or a commodity? What will your application needs be? Basic contact center or speech enabled self service applications? Basic voice mail or unified messaging integrated with your email systems? Who calls the particular site that you’re considering hosting? Internal customers or external customers? Have you outsourced other applications before or is this your first application that you’ll source? Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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Questions to clients What are the skills of your team? Are you growing or shrinking your IT staff? How is your team funded? How important is security to your business? Are you regulated or under unique requirements due to SOX, etc. What is the age of your equipment? Can it be IP-enabled? What are the drivers to consider a change in your telephony system? What is the age/condition of the data network? Are you doing any IP Telephony today or is your network not yet ready? Who are your data carriers? Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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Example Company XYZ – Corporate in Chicago, 2 remote workers in Chicago, Tech. Support office in Atlanta, GA. Sales and Marketing office in Austin, TX. Admin Support office in India. Calls are routed through a Premise Based IP_PBX located in Chicago. Internal Company Calls. Bill from office in Austin, TX picks up his VoIP device and dials extension for Heather in Corporate office in Chicago. The VoIP PBX server searches and obtains call routing information and routes call to extension at desk or any other phone designated by Heather. Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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External Company Calls. Bill from office in Austin, TX uses his cell phone, and dials Corporate office in Chicago. The VoIP PBX server searches and obtains call routing information and routes call to customer in New York, who sees the company’s central number on his Caller ID on his phone. Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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Inbound Company Calls. Customer from New York dials company’s central number. To speak to Technical Assistance, he dials extension, and call is routed to office or cell phone in Atlanta, GA. During the conversation, Customer wants information about pricing and products. Call is then transferred by office in Atlanta to office in Texas. Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved

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Some Tips – Applies to premise-based only Set up a broadband connection with enough bandwidth to handle outgoing calls at peak traffic times. A rule of thumb: Each call will use 100K bit/sec. of bandwidth. IP router should also have a quality of service feature that can prioritize VoIP transmissions during heavy traffic conditions. Ask your ISP for a static IP address. Choose a VoIP switching device that can work with both IP-based and circuit-switched phone devices. This allows you to migrate gradually without interrupting users' phone services. Source: Nemertes Research Face Off: Hosted vs. Premise Based IP_PBX solution. Which is better for my company? Copyright © 2007 - Teleprime Inc. all rights reserved