Do Business Faster and Farther With Verizon Ethernet Services

1. Do Business Faster and Farther With Verizon Ethernet Services Thom DeVos 04/11/14

2. 2012 U.S. WAN Manager Survey Market Landscape: Buyer Insights Q. What are the top three factors influencing your organization's use of WAN Ethernet services? 1% 35% • Relative cost continues to be a key driver of Ethernet adoption; price/capacity benefits of Ethernet vs. private line • Flexibility and ease of implementation are key drivers closely aligned with Ethernet’s granular, incremental properties • E-Line services are generally available up to 10 Gbps, making the service ideal for high-bandwidth connectivity requirements 35% None of the above 35% Familiarity with Ethernet technology 45% Multi-protocol application support 45% Control over routing Availability of higher data rates compared to other WAN technologies 50% Ease of implementation 53% Flexible, scalable bandwidth options Lower cost compared to other WAN technologies U.S. WAN Manager Survey: Carrier Ethernet Services, doc #240391, March 2013.

3. Verizon Ethernet ServicesFast, Secure, Reliable

4. Ethernet Supports Your Business-Critical Applications

5. Ethernet WAN Solution Service Characteristics Secure, Flexible Support for Your Extended Enterprise

6. Verizon Ethernet Portfolio

7. Ethernet Access

8. Ethernet Access Scalable Access to Public IP, Private IP, and Ethernet Services • Ethernet Access to WAN solutions • Access to Public IP (Internet Dedicated), Private IP (our Layer 3 MPLS VPN), Ethernet Switched E-Line, and Ethernet Switched E-LAN Simplified interfaces and CPE • Scalable bandwidth from 1 Mbps to 1 Gbps, on 10M, 100M, and/or GigE UNIs* • Flexibility to terminate one or more Ethernet connections over the same UNI or to support VLAN transparency for a single Ethernet connection Architecture provides common platform for WAN and access to the Internet, Private IP and Ethernet Services *1 Gbps to 10 Gbps on 10GigE UNIs available in select U.S. markets

9. Multiple Ethernet Services Over Single Connection • Multiple Ethernet connections delivered over a single Ethernet Access UNI • VLAN tagging provides traffic separation Private IP* GigE 20 Mbps EVC Customer Premises 6 Mbps EVC 2 Mbps EVC Firewall 10 Mbps EVC Public IP* GigE Customer Switch/Router Single Physical Cable Verizon Managed Switch VLAN 400 VLAN 650 Ethernet VLAN 200 VLAN 220 E-Line GigE Access FE/GigE LAN GigE E-LAN Multi-service feature to access Public and Private IP is available in the US and targeted for international availability in 2014.

10. Ethernet Access to Private IPQoS for More Efficient Support to Network Applications • Standard Private IP features and SLAs • Connects directly into the Private IP provider edge device routers in U.S., Americas, Europe and Asia Pac that switch traffic to the gateway for access to the network • Protocol well-suited for both existing and emerging services, allowing for a universal networking architecture

11. Ethernet Access to Public IPScalable, IP-based WAN with Ethernet Familiarity • Internet Dedicated Ethernet (IDE) • Uses established Ethernet technology and extends it beyond the local area network (LAN) • Provides a flexible, seamless broadband bridge that breaks the capacity bottleneck in the local loop • Scalable from 1 to 1,000 Mbps (10Gbps as ICB) • Connect to Verizon Ethernet-based Metro Area Network, SLAs and extensive support through IP network monitoring and issue notification • Large data file transfer, data center access, headquarters-to-remote-office networking, VoIP, and video capabilities

12. Ethernet AccessArchitecture Customer Access Networks Access Node Service Edge and Backbone Private IP 3rd Party TDM Network Public IP Verizon On-Net TDM Metro Network E-Line 3rd Party Switched Ethernet E-LAN Verizon TDM/Ethernet Converter 3rd Party TDM/Ethernet Converter

13. Ethernet AccessAvailability Expansive Access Through Proprietary and Third-Party Infrastructure • Consistent customer experience using Verizon Ethernet Access • Extensive on-net and off-net services in many areas of the U.S., Europe, and Asia-Pac • Rigid certification of third-party providers for Ethernet NNI connectivity *Ethernet services vary by location and provider. See your Verizon Account Manager for details.

14. Ethernet Private Line (EPL)

15. Ethernet Private Line (EPL)Support for Mission-critical and Latency-sensitive Apps • Dedicated Time Division Multiplexed (TDM) path through network provides 100% bandwidth throughput based on standard frame size • SONET/SDH architecture provides redundancy and resiliency • SLA is available on Metro, National and International • Helps reduce CPE costs with "plug and play" functionality

16. ETH ETH ETH IP IP IP SONET/SDH GFP Ethernet Private LineArchitecture ADM/NGADM ADM/NGADM SONET/SDH/WDM Network Ethernet Ethernet Ethernet over SONET/SDH Mapping using GFP SONET/SDHHeader GFPHeader MAC Header IP Header IP Payload IP Packet Ethernet Frame GFP Frame instead of HLDC Frame FCS GFP Frame FCS SONET/SDH Frame

17. Ethernet Metro ILEC Services

18. EVPL-Metro and E-LAN Metro Services (U.S.)Flexible, Unified LAN-to-WAN Environment

19. EVPL-Metro (U.S.)Switched Ethernet Architecture Customer Site B Data Services Network Operations (DSNOC) Redundant Management Links LAN Ethernet Switch CPE NID 10 M Service Connection Point IOF Customer Site A Dedicated Fiber Pair Customer’s Virtual Network HQ LAN GigE (1000 M) CPE NID Verizon Metro Network Customer Site C 100 M 100 M LAN LAN NID NID CPE CPE Customer equipment provided by the customer or Verizon

20. E-LAN Metro (U.S.)Switched Ethernet Architecture Customer Site B Data Services Network Operations (DSNOC) Redundant Management Links LAN Ethernet Switch CPE NID 10 M Service Connection Point IOF Customer Site A Dedicated Fiber Pair Customer’s Virtual Network HQ LAN GigE (1000 M) CPE NID Verizon Metro Network Customer Site C 100 M LAN NID CPE Customer equipment provided by the customer or Verizon

21. Ethernet Switched E-Line

22. Ethernet Switched E-LineCost-Efficient High-Speed Bandwidth • Multiple services across the same link • Connect to remote sites across large distances • Both point-to-point and point-to-multipoint configurations • Manage your own network and configurations Supports variable, real-time, and capacity-intensive applications such as storage, video, and VoIP VLANs Customer Service Point-to-Point E-Line EVCs UNI 1 UNI 2 UNI 3 MPLS VPLS VLANsSales VLANs Engineering UNI 4 VLANsSales

23. Ethernet Switched E-Line Speeds * Requires further approvals

24. E-Line Dynamic Bandwidth (U.S.)Manage Network and Control Costs E-Line Dynamic Bandwidth is an ideal solution for your seasonal requirements and intermittent bandwidth demands.

25. Ethernet Switched E-LAN

26. Ethernet Switched E-LANConverge Services onto QoS-enabled Access Network

27. Premium QoS (Real Time Data) is available in the above speeds, in addition to the following increments: 64 Kbps, 128 Kbps, 192 Kbps, 256 Kbps, 384 Kbps, 512 Kbps, 768 Kbps, and 896 Kbps Premium QoS bandwidth must be less than or equal to the E-LAN EVC bandwidth Ethernet Switched E-LAN Speeds * Requires further Verizon approvals Priority Data, Business Data Basic Data E-LAN EVC100 Mbps Priority Data Basic Data Business Data E-LAN EVC100 Mbps Premium QoS20 Mbps Real Time CoS

28. Interconnect Multiple Sites with E-LAN • Protocol-transparent, any-to-any WAN service • Four Classes of Service • Supported over an MPLS infrastructure • MAC address routing • Multicast and Broadcast supported • Standards-based solution: • Defined by the Internet Engineering Task Force (IETF) E-LAN allows all your sites to appear to be on the same LAN, regardless of their geographic locations. VLANs Customer Service Multipoint-to-Multipoint EVC UNI 1 UNI 3 UNI 2 MPLS VLANs Engineering VLANsSales UNI 4 VLANsSales

29. U.S. E-Line and E-LAN Provider Edge Locations Seattle Portland Minneapolis Grand Rapids Boston Buffalo Milwaukee Detroit Sacramento Chicago Pittsburgh Des Moines Stamford New York City Newark Baltimore Richmond Washington Philadelphia Cleveland Salt Lake City San Francisco Columbus Indianapolis Denver Cincinnati St. Louis Kansas City Louisville Greensboro Los Angeles Raleigh Broken Arrow/Tulsa Nashville Charlotte Memphis San Diego Albuquerque Phoenix Birmingham Atlanta Dallas Jackson Jacksonville New Orleans San Antonio Houston Orlando Tampa Auburndale Miami

30. International E-Line and E-LAN Provider Edge Locations Helsinki Oslo Stockholm Vancouver Copenhagen Montreal Leeds Dublin Hamburg Amsterdam Warsaw Seoul Rotterdam Toronto London Hilden Tokyo Brussels Prague Paris Osaka Frankfurt Vienna Zurich Milan Delhi Lyon Taipei Monterrey Hong Kong Mexico Madrid Mumbai Hyderabad Bangalore Chennai Singapore Brisbane Perth Sydney Canberra Melbourne

31. Leading the Evolution of Ethernet Innovation 2013 Award for Carrier Ethernet Business Services: • This NetEvents Technology award was presented to Verizon for introducing the most innovative new business service to its enterprise clients within the past 18 months. Vertical Systems Group LEADERBOARDS 2012: • Global Provider Ethernet Services: • Verizon remained among the top three Service Providers on Vertical Systems Group's 2012 Global Provider Ethernet Leaderboard • U.S. Provider Ethernet Services: • Verizon held second position in the year end 2012 Leaderboard. Independent analyst firm Nemertes Research presented Verizon with a 2012 PilotHouse Top Provider Award among Market Leaders for our Carrier Ethernet services: • Our Ethernet services received the highest overall score among all other providers considered in the Nemertes PilotHouse Top Provider Award

32. Leading the Evolution of Ethernet • 2012 Metro Ethernet Forum (MEF) Awards: • “Regional Service Provider” North America • “Best Carrier Ethernet Business Application” APAC – two separate awards submitted with vendors (inaugural award category) • “Best Marketing” Americas • “Global Service Provider of the Year" • 2013 Metro Ethernet Forum Awards: • “Global Service Provider of the Year” • “Best Marketing” Global • “Best Marketing” CALA • “Best Wholesale Ethernet Service” North America “By winning these awards, Verizon is demonstrating leadership and driving development of Carrier Ethernet services within the industry. These awards exemplify Verizon’s continued commitment to deploy innovative services with extensive worldwide reach, which has helped them to win among such a prestigious group of leading Ethernet service providers.” MEF President Nan Chen • Experience and Innovation • Launched one of the first Metro Ethernet services in 1993 • Strong leadership role on the Metro Ethernet Forum chairing the Board of Directors; co-chairing the technical committee • The first Tier 1 Service Provider to offer VPLS (E-LAN) in 2008 (U.S.) • U.S and EMEA products MEF certified • Leadership Awards and MEF Certification distinguish Verizon as a pioneer and leading Ethernet provider Awarded the MEF Ethernet “Global Service Provider of the Year” for FIVE Consecutive Years

33. MNS Competitive ViewGartner Magic Quadrant Verizon Positioned as a Leader in the 2013 Magic Quadrant Global Network Service Providers for the Seventh Consecutive Year Gartner Magic Quadrant for Global Network Service Providers, Neil Rickard, Robert F. Mason, 26 March 2013. Source: Gartner (March 2013) This graphic was published by Gartner, Inc. as part of a larger research document and should be evaluated in the context of the entire document. The Gartner document is available upon request from Verizon Enterprise Solutions. Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings. Gartner research publications consist of the opinions of Gartner's research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.