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Learning to Embrace Hosted VoIP (SMB-03) Friday, October 13th, 2006 1:15-2:00pm Dan Hoffman President & CEO M5 Networks Contact: 877.88.GET.M5 president@m5net.com www.m5net.com. Businesses Are Choosing IP Phone Systems. IP Phone System Premise-based Phone System
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Learning to Embrace Hosted VoIP(SMB-03) Friday, October 13th, 2006 1:15-2:00pm Dan Hoffman President & CEO M5 Networks Contact: 877.88.GET.M5 president@m5net.com www.m5net.com
Businesses Are Choosing IP Phone Systems • IP Phone System • Premise-based Phone System • Hosted IP Phone System • Hybrid Phone System • IP Phones • IP Connecting Locations • IP Phone Calls for Termination • Traditional Phone System • TDM • Centrex
Percentage of U.S. Enterprises Using IP Telephony The “First Chasm” to Conduct Initial Trials of IP Telephony Has Essentially Been Crossed 80% 67% 54% 60% At Least 1 Site More than 5 sites 40% 40% The “Second Chasm” Between Initial Implementation & Committed Migration 16% 20% 20% 8% 3% 0% Over Half of US Enterprises Use IP Telephony Source: InfoTech
This, in Itself, is a Reason to Go IP • Traditional phone systems supported less and less • No new investments in traditional phone systems • Great amount of new innovation and R&D in IP voice services • Complexity of the hybrid approach could be more trouble than its worth
Moreover, IP systems carry new risks • More expensive systems, handsets • New software • New protocol conversions • IP Termination in its infancy • New Security Challenges • Converged LANS/WANs – QoS, likely infrastructure upgrade • New features = user behavior change • Expectations are high
Providers can exploit IP to eliminate risk • True redundancy in local loop • Eliminating other single points of failure –building, closet, box, CO • Carefully measured response times and uptimes • Pricing model that scales costs • True multiple location solutions • Detail management (directories, 411, 911, caller ID, etc.) • Saving CFO and CTO time • Security
And bring real benefits • Vertical industry applications • Business intelligence • Directory Management
But beware of hidden project costs • Remote Call Forwarding (RCF) • LNP • LAN Wiring & Switching • Power Supply • Remote Phones • Directory Assistance (411) • Office-Wide Paging • Fax Solution • IP Addresses and renumbering
IP Enables Outsourcing • Outsourcing can Save Time & Money • Higher Service Availability, SLAs, etc. • Improved Business Continuity • Simplified Vendor Management • Multiple locations networked • Leveraged Expertise • Training • Installation • Feature Deployment • Security • QoS • Vertical applications • Lower Initial & Ongoing Cost of Ownership • No need to purchase or maintain a phone system • Better line usage - ~30k/simultaneous stream • Better rates/minute without Telco dependencies • Efficient processes