Hai-Young Yang Director Lucent Technologies Korea June 13, 2006

1. IMS for MMoIP(VoIP) Service in Cable Network Hai-Young Yang Director Lucent Technologies Korea June 13, 2006

2. What is IMS? • An IP multimedia and telephony core network • IMS is defined by 3GPP and 3GPP2 standards organizations • Based on IETF (internet) protocols • IMS applies equally well to wireless and wireline access carriers • Supports IP to IP sessions over cable, DSL, 802.16, 802.11, CDMA packet data, GSM/EDGE/UMTS packet data, etc. • Equivalent to IP telephony systems being invented by some operators such as Verizon wireline. Both use IETF protocols. But IMS is standards-based. Business Implications: IMS cost-effectively enables lifestyle-targeted, blended services, positioning the operator to “own” the subscriber regardless of how they access the network Lucent Technologies – ProprietaryUse pursuant to company instruction

3. IMS - Industry Standard Architecture • IMS (IP Multimedia Subsystem) is: • Same framework for any kind of access (wireless or wireline) and any kind of traffic – VoIP, data, multimedia, supporting multiple clients and endpoints • Defined with Open Standard Interfaces -> 3GPP and 3GPP2, and based on IETF Protocols (SIP, VoIP, RTP, ...) • Standardized interfaces between applications, core & transport network layers, and back-office systems • Provides coordination or synchronization as required • Capable of Interworking with PSTN and Legacy IN Based Services (8xx, LNP, etc) Lucent Technologies – ProprietaryUse pursuant to company instruction

4. Common contacts across services Enterprise & personal lists, enhanced with capability indicators Multimedia enriched communication Multiumedia information can be sent and received during a voice call Voice enriched data applications Predictable service interactions Operator can set defaults for service interactions to maximize ease of use and service quality; Subscribers can set policies on how they want their services handled, Retain ownership of the subscriber Provide better quality services than IP today avoid migration of value to the client device Differentiate services from competition and sell more services Choose the applications to create blended services; Home control same services even when the user roams More cost-effectively deliver high value, new lifestyle services to market Minimize client-server airlink traffic by leveraging IMS network information Reduce costs of new services through common applications infrastructure Reduced OPEX Centralised data and common functions Standardised QoS, roaming, billing IMS Benefits For End-Users For Service Providers Building Blocks for Lifestyle Targeted Blended Services Lucent Technologies – ProprietaryUse pursuant to company instruction

5. HDTV VoD Premium Video Digital Video DVR Basic Video Long Distance Voice Broadband Data Local Voice Wireless Voice The Real Opportunity: Blended Services,Not Just Bundled Services Bundling alone will not create lasting incremental value. • Bundling alone will only shrink the customer’s spending as value is eroded • Seamless blending of voice (wireline and wireless), data and video services required to realize full revenue potential • Providers with scale and wireline + wireless networks will have an advantage • Providers with a strong convergence story/vision will flourish and dominate Bundling drives commoditization and price erosion 250 200 Feature Driven Monthly ARPU (U.S. Dollars) 150 100 50 0 Voice, Video & Data Voice Only Voice & Data Blended services = Increased revenues, customer loyalty • Everyone is bundling to retain subscribers. • Bundling simplifies billing - does not reduce other OpEx. Source: Adapted from “Telcos Take on Cable with Video Delivery,” The Yankee Group, February 2004, page 8. Lucent Technologies – ProprietaryUse pursuant to company instruction

6. $5.47 $1.23 $3.34 $1.70 2007 2004 INCREMENTAL MONTHLY ARPU 2004 2005 2006 2007 ARPU Increases With Lifestyle Services New Services = New Revenues For Service Providers 40% increase in revenue-per-year $4B Lifestyle Services - Rich media entertainment - Interactive - Context sensitive - Highly personalized Activity Agent LIFESTYLE DRIVEN $3B Portable Travel Agent IP TV Live Wire Unified Communications $2B Location-Based Service FEATURE DRIVEN $1B Push-to-Talk Media/ Content Instant Messaging 0 Source: Lucent Primary Market Research and Modeling, 2004 Lifestyle services help the operator maintain relationships with subscribers, regardless of how they access services Lucent Technologies – ProprietaryUse pursuant to company instruction

7. Current Vertically Integrated Services Converged Services Arch. Data Voice Video USER INTERFACE … … APPLICATION DB DB DB SESSION Subscriber Data ENDPOINTS To Deliver Lifestyle Converged Services, the Approach to Service Delivery Needs to Change • Today’s point solutions are expensive and don’t readily support new ‘lifestyle’ targeted blended / converged services • Core Networks need to embrace a Service Delivery Framework that enables blended services Key Attributes: Distribution, Consolidation, and Convergence Lucent Technologies – ProprietaryUse pursuant to company instruction

8. IMS is a Services Architecturefor Cable Operators • Mobility is an essential component of the consumer & business offers • ILECs are implementing “grand-slam” bundles – MSOs must match • IMS and IP architectures enable greater ARPU, margin, stickiness and overall operational efficiency • Competitive advantage can be achieved by adoption of a common network and application platform • Economies and new services potentialare better with cable + cellular • Content and Applications (not price)become the differentiator • Unique content-rich services can leadthe consumer market & take share • Will protect against bundle-churn andexcessive bundle discounting An IMS Services Architecture allows a Service Provider to “own” its subscribers even when using elements of other operators’ networks Lucent Technologies – ProprietaryUse pursuant to company instruction

9. Packet Cable Access in IMS Architectures Home Application Layer Unified Suite of Communication Services VoD Servers Telephony Servers Messaging Servers Gaming Servers Home Session Control Layer S/I-CSCF HSS IP/MPLS Transport Cable Private line/Ethernet/WiFi DSL Access Layer Home or Visited Access Network P-CSCF UMTS/CDMA Session Border Controller P-CSCF P-CSCF PDF P-CSCF PDF PDF RACS PDF PCMM Policy Server WLAN GW BRAS RACS Wireless Packet GW CMTS Router/FW DSLAM HLR Enterprise LAN Cable Access Network DSL Access Network AAA SGSN CDMA RAN Modem Modem Public Hot Spots UTRAN 802.11 Access Points Lucent Technologies – ProprietaryUse pursuant to company instruction

10. Cable Access Network UMTS/GPRSRadio Access Network PSTN CableLabs Selected: IMS Architecture with PCMM Cable Access • Extend IMS QoS Policy Decision Function (PDF) to interface with PCMM Policy Server • Allows cable subscriber use of IP Services from peer IMS access networks (e.g. cellular) • Support for WiFi/cellular roaming and session handovers • Peering interfaces for: • Interconnect/inter-operability • Subscriber authentication and roaming • MGW/MRF sharing (vocoding) • Accounting records exchange . . . Application Server Application Server HSS Service Broker MGCF I-CSCF S-CSCF MGW P-CSCF IP TransportNetwork Gq (Diameter) PDF Go PCMM GGSN COPS Policy Server CMTS Gm (SIP) SGSN RNC BTS SIP Cable Modem POTSDevices SIP S-MTA Lucent Technologies – ProprietaryUse pursuant to company instruction

11. Draft 2.0 Architecture Source: CableLabs Application Server-1 Application Server-2 Application Server-3 Applications and Services User Database Presence/ Registration Server Service Proxy Core OSS Edge Edge Proxy Access QoS Policy PCMM Stun/ Turn CMTS SIP UAs NAT/Firewall What the standards give us: PacketCable 1.x and 2.0 • NCS is the underlying protocol for 1.x • SIP is the underlying protocol for 2.0 PacketCable 1.x (not illustrated) • Cable specific definition • Narrowband VoIP focused • QoS • Via DQOS mechanism • Well defined and in deployment PacketCable 2.0 (Illustrated) • Cable specific definition • Supports multimedia services • Text, data, gaming, voice, video, … • QoS • Uses PCMM • Under definition CableLabs adopted IMS as a standard architecture of PacketCable 2.0 Lucent Technologies – ProprietaryUse pursuant to company instruction

12. Services Drive Underlying Cable Operator Infrastructure Decisions – SIP and / or NCS • Cable services today are vertically oriented • Beyond traditional video, IP provides a common logical transport layer for data, IP video, voice, broadband multimedia and converged services • NCS supports narrowband VoIP • SIP supports a wide variety of services ranging from narrowband VoIP to converged services Value, RPU, Differentiation time Narrowband VoIP Broadband Multimedia High Speed Data Video Converged • Analog /Digital Bcast • PPV • VOD • etc • Internet access • IP streaming video • etc. • POTs residential • Enterprise • Games • Video Tel / IM / Conf • Collaboration • Personalized • IPTV • etc. • Wireless / cable • etc. Services • Softswitches • Gateways • etc. • Applications mgr • Session mgr Session / resource Control NCS SIP Protocol DQoS PCMM QoS (Access) IP Logical transport DOCSIS 1.1 -. 2.0 -> 3.0 Mac / Phy Where do you want to be and how do you get there? Lucent Technologies – ProprietaryUse pursuant to company instruction

13. Designed for voice, not multimedia Optimized for legacy endpoints Focused on primary-line features, not multimedia Separates media from control, but not services from session – limited opportunity for OPEX savings Proprietary application server interfaces- difficult to add new 3rd party services Does not address convergence with wireless Subscriber Data Increasingly, Cable operators are viewing this approach as limiting the opportunity for growth PacketCable 1.xThe Softswitch Model Application Application Softswitch (CMS) Embedded Services SG MTA Control MGC NCS TGCP MTA Trunk GW IP Network PSTN Lucent Technologies – ProprietaryUse pursuant to company instruction

14. Next Generation VoIP NetworksThe IMS Model App App App • Focus on revenue growth from new services and applications • Infrastructure designed for voice, data, multimedia and other applications • Optimized for new endpoints (next generation VoIP clients) and new access technologies (VoDSL, VoBB, 802.11, 802.16, etc) • Legacy endpoints can be adapted to provide ubiquitous services across all endpoints • Separation of functions optimized for next generation services: session, data, applications, PSTN interfaces • Well defined application interfaces for easy to deploy third-party services • Converged architecture for simultaneous fixed and wireless access Service Brokering HSS Common Data Session Control MGC / SG SIP IP Network SIP Trunk GW SIP AGCF SIP SIP PSTN SIP Line Access GW Legacy LAG CableLabs selected IMS as a foundation technology for PacketCable 2.0 Lucent Technologies – ProprietaryUse pursuant to company instruction

15. Subscriber Data Transition from PacketCable 1.x to IMS Application Application App App App Softswitch (CMS) Service Brokering HSS Common Data Embedded Services SG Session Control MTA Control MGC MGC / SG SIP IP Network SIP NCS TGCP Trunk GW SIP AGCF MTA Trunk GW SIP SIP PSTN Line Access GW IP Network PSTN Legacy LAG All the functional elements map from the Softswitch model to the IMS model, but transitions are expensive and error prone. Better to start with the IMS architecture, rather than evolve to it . Lucent Technologies – ProprietaryUse pursuant to company instruction

16. SIP vs. NCS Lucent Technologies – ProprietaryUse pursuant to company instruction

17. Architecture Alternatives – By Primary Signaling Protocol Lucent Technologies – ProprietaryUse pursuant to company instruction

18. Lucent Cable Services Solution Lucent Technologies – ProprietaryUse pursuant to company instruction

19. Breadth of MMoIP Services Professional Consulting:Define a viable and secure MMoIP solution NETWORK BUSINESS CONSULTING Develop MMoIP business model, market entry strategies and technology options, defining a blueprint for transformation RELIABILITY & SECURITY Assess strength of network security, design and implement elements to enhance security, and enable ongoing business continuity and disaster recovery NETWORK READINESS ASSESSMENT Assess network features, capacity, and recovery needed to support MMoIP, to validate transmission capabilities and service quality NETWORK, OSS & APPLICATIONS DESIGN Create the solution architecture & network infrastructure to support MMoIP with the existing network & systems OPERATIONS ANALYSIS & OPTIMIZATION Analyze existing operations against best practices, and support developing new operations models to support multimedia services SOLUTION VERIFICATION TESTING Configure a lab environment and test to validate the interoperability of products and components as part of the overall solution PROJECT MANAGEMENT Establish plans, scope, controls, and tracking processes to guide the implementation of solutions; manage vendors and final acceptance processes HEAD END CONSTRUCTION Deploy head end equipment per design specifications, including site survey, antenna orientation, video signal reception tests and content acquisition tests ENGINEERING & INSTALLATION Perform detailed engineering and installation of associated equipment and Service distribution hierarchy INTEGRATION & VALIDATION Conduct field integration and validation of end-to-end systems components across multiple systems and across the network • Deployment: • Create and implement a MMoIP solution Maintenance & Management: Outsource key elements of MMoIP solution TECHNICAL SUPPORT & HARDWARE MAINTENANCE Deliver remote support via phone, modem or VPN, for rapid response, diagnosis, & resolution of system issues & outages, ensuring system currency with most up-to-date software fixes NETWORK & SECURITY MANAGEMENT Provide ongoing remote network management of an MMoIP solution using state-of-the-art tools and technology, as well as highly skilled technicians, ensuring 24x7 service Lucent Technologies – ProprietaryUse pursuant to company instruction

20. BSS Cust Care & Billing Mediation Backoffice VOIP Network OSS Fault Mgmt Perf Mgmt Svc Mgmt Provisioning Softswitch #1 P S T N Media Gtwy Applications STP Prepaid, SMS Messaging Announcements Media Gtwy Security Softswitch #2 IP/MPLS Data Network HFC network VOIP Network & Back Office Integration VOIP SI • Multi-vendor VOIP SI • Network, Backoffice • Residential and Business • end-users • Bell Labs VOIP QoS, • reliability analysis • Multi-year multi-vendor • maintenance Linking and testing of system components to merge their functional and technical characteristics into a comprehensive, interoperable system Lucent Technologies – ProprietaryUse pursuant to company instruction

21. Testing & Operational Readiness • Validation Requires • Functionality Testing • Operational Testing System level integration verification is critical to overall success Validate End to End Architecture Validate System Level Performance Validate Sub-System Level Performance Telephony Core Network OSS/BSS Security Validate Component Level Performance Call Server Signaling Gateways Media Gateway Controller Media Gateways Media Servers Application Servers(Voice Mail, SMS) Lucent Technologies – ProprietaryUse pursuant to company instruction