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Jim Dolgonas President & CEO

Jim Dolgonas President & CEO. Peering Presentation to the Quilt October 11, 2006. The Path to a Better Night’s Sleep (aka, what keeps CEO’s awake at night) . CEOs of RONs or Statenets, should always feel threatened. If they don’t they should.

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Jim Dolgonas President & CEO

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  1. Jim Dolgonas President & CEO Peering Presentation to the Quilt October 11, 2006

  2. The Path to a Better Night’s Sleep (aka, what keeps CEO’s awake at night) • CEOs of RONs or Statenets, should always feel threatened. If they don’t they should. • Threats are external-telecos and the like (State govt. networks in some cases) • Threats are internal-”customers/participants” finding/perceiving they can do it better themselves

  3. Why Peering is Important to CEOs- Being Able to Get a Good Night’s Rest • Provide means to deliver value to our members. • CENIC Principle: do what institutions can't do singly themselves. • Peering is one example-commodity and R&E • Telecos and State general purpose nets can't compete.

  4. Measuring Value of Peering • Selective copycatting- Telecos peer so it must be cost effective to do so. • Peering should reduce commodity costs by 2/3. • Demonstrates innovation and leadership. • Being responsible and doing what members can't do themselves. • CENIC's experience-commodity and R&E • But, it MUST WORK! Peers are suspicious.

  5. Integrating Peering as Part of Business Strategy • CENIC's (measured) commodity service is now optional. • Link commodity peering to commodity ISP. • Peering involves fixed costs; commodity ISP variable. • For interim, two component cost model. • Later, make part of fixed fee.

  6. Peering as Part of your 'service offering' How to position with your membership • Peering controls costs - i.e., lowers costs or provides more traffic for same $ • Implements for commodity a model similar to backbone - i.e., not measured usage. • Removes middleman and associated markup. • Leverages all of higher eds traffic to provide improved cost/benefit for all. • Performance

  7. Conclusion • Must continually bring (new) value to customers-commodity and R&E peering does. • Watch out for competition- peering distinguishes us from others. • Peering reduces cost of commodity traffic. • Peering improves performance • The time to act is now. Thank you for your time.

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