Welcome to Business Matters

Today’s topic:

What is VoIP?

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VoIP

• What is it and how can it help my business?

• - VoIP is an acronym for Voice over Internet Protocol

• - Phone service through your Internet connection

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Components of VoIP Solution

• Internet connection • VoIP switch – Hardware and software • SIP Provider – Vendor responsible for connecting VoIP to PSTN • Internal network – capable of supporting VoIP traffic • Phones – VoIP, traditional phones, computer

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Elevated merger and acquisition activity has reduced the number of major players and focused vendor strategies on:

1. Software-centric innovation: Requiring fewer proprietary hardware elements, but shorter technology refresh cycles

2. Delivering a broader UC solution: Extending portfolios beyond voice to include advanced Unified Communications (UC) and collaboration capabilities

3. Enhanced interoperability: Providing greater integration support for third party devices, applications and services

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Vendor Consolidation and a Shift to Software-Based Collaboration Have Transformed the Telephony Market

Core IP Telephony features deliver business and IT value and are standard across leading vendors:

Unified Messaging

Auto Attendant

Central Directory

SIP Signaling

Web Admin

What happens when you make a phone call?

1. VoIP digital call: The phone call begins as a digital signal from your VoIP phone. 2. VoIP Switch: The digital call is sent via the Internet.

3. SIP Provider: Communicates with the end point – VoIP, PSTN, mobile.

4. Receiving: The call recipient receives the call without regard to the origin.

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How Does VoIP Work?

Make and receive calls without worrying about the technology.

How does VoIP work?

World Wide Web

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How does VoIP work?

World Wide Web

VoIP can allow you to make a call directly from:

• VoIP Phone

• Traditional phone with adapter

• Computer

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Why use VoIP?

Reasons to consider VoIP: • Financial Savings • Increased Functionality • New Office, Expansion, Relocation • End-of-Life Equipment

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“ Our PBX vendor had withdrawn not only product, but also support. So the platform we were on was going to be unsupported before long. We had to make a change and the only option offered by vendors was VoIP.

- IS Manager, Municipal Government ”

Lower Cost • Traditional phone services are expensive

• VoIP costs less than traditional sources

• A la carte features

• Single network to carry voice and data

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Lower Cost

• Eliminate long distance calls between sites

• Extension to extension dialing

• Conference calling

• Advanced phone features are free

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Lower Cost Excerpt from a cost analysis for a local client.

• Current Phone Monthly Charges: $386.00 • VoIP Solution Monthly Charges: $171.00 • Savings Per Month: $215.00

• Annual Estimated Savings: $2,580.00 • Estimated Project ROI: 14.20 Months

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Increased Functionality

• VoIP is easy to use (internet browser)

• Puts power of large enterprise phone solutions in the hands of small businesses at an affordable price!

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Increased Functionality

• Easier & Flexible IVR (Interactive Voice Response) • Automatically routed calls • Customer database integration

Incoming Phone calls

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Increased Functionality

• Take your VoIP phone with you • Internet connection

• Answer anywhere

• Work from home

Portability

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Increased Functionality

• Standard features (caller id, 3 way calling, etc.) • Point of presence

• Integrated company directory

• Integration with other applications

• Call rules

• Voicemail to Email

Features

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Other Advantages

• Cost consolidation

• Low maintenance

• Automated and online features

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Organizations pursue VoIP to drive improved collaboration, productivity and operational flexibility

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Top VoIP Drivers Examples

1 Enhance user and team collaboration. • Ability to launch ad hoc team meetings using reservationless desktop audio/video/Web conferencing tools and capabilities

2 Improve overall employee productivity. • Sharing presence information across distributed teams, allowing

individuals to connect appropriately based on user status and avoid “phone tag” loops

3 Improve operational flexibility. • Bridging disconnected systems and consolidating IT administrative tasks and support requests for multiple business communications tools

4 Enhance specific business processes. • Adding click-to-call functionality within CRM application in order to remove cycles from routine customer contact processes

5 Improve enterprise mobility. • Extending standard communications feature sets (extension dialing,

presence) to remote staff and mobile device users to improve reachability

Having all the communication components that I need all in one place – and having one tool to do all the communicating. - Director of Information Management, Healthcare “ ”

The risks of implementing VoIP are less than not implementing VoIP at all.

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Limited access to support

Difficulty obtaining replacement parts

Business cost of extended downtime

Loss of mission-critical service

“ We had an antiquated phone system – we could not even get parts on eBay. We had to do something.

- CIO, Insurance Firm ”

28% 17% 45%

11% 26% 17% 7% 50%

0%

100%

Executing on UC Planning for UC Evaluating UC No Plans for UC

2010

2008

VoIP is evolutionary, not revolutionary – enterprises are slowly, but steadily, moving in this direction

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Overall, 28% of enterprises surveyed are currently executing on their VoIP strategy. But the majority are still evaluating VoIP as part of their communications roadmap.

Since 2008, the market for VoIP has steadily progressed and the majority of organizations are now evaluating and planning VoIP strategies to help improve business communications.

26%

29%

33%

25%

11%

21%

10%

25%

51%

37%

48%

45%

11%

13%

10%

5%

0% 20% 40% 60% 80% 100%

1-250

251-1000

1001-5000

5001+

% Respondents

Com

pany

Siz

e by

FTE

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You define where and when you communicate. Imagine being able to receive your office phone calls on any phone. When you are on cell phone or on the hotel phone, others in your office will see you are on the phone – your “presence” stays with you. With mobile convergence some VoIP vendors can provide you with ability to easily transfer your calls from any phone back to your desk or another caller without interrupting the call, allowing you to take your office on the road.

In some instances you can integrate your backend ERP applications with your VoIP phone system. Access real data, trigger events and enable business processes with incoming calls. Automatically access your caller’s records. Know everything you need to know about your caller even before you pickup the phone.

Today’s conversations involve more than just your voice. Ensure your vendor of choice has the ability to provide you with the features you need. Features like high definition (HD) video calls, call conferencing, presence awareness and chat, just to name a few.

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The Switchboard is available for every user. Drag-and-drop calls, chat, update your CRM system and so much more. All built into the Web interface Many vendors charge for additional features, others include them all. Check with your vendor to ensure they have the features and functions you need.

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Info-Tech Research Group 25

What is a Value Score?

Digium captures the Value Award, delivering the best value in the IP telephony market

NEC

0 ShoreTel

12

Toshiba

34

Mitel

39

Alcatel- Lucent

48

Avaya

55

Interactive Intelligence

79

Siemens

87

Cisco

97

Digium

100 Average Score: 55

The Value Score indexes each vendor’s product offering and business strength relative to their price point. It does not indicate vendor ranking. Vendors that score high offer more bang for the buck (e.g. features, usability, stability, etc.) than the average vendor, while the inverse is true for those that score lower. Price-conscious enterprises may wish to give the Value Score more consideration than those who are more focused on specific vendor/product attributes.

On a relative basis, Digium achieved the highest Info-Tech Value ScoreTM of the vendor group. Vendors were indexed against Digium’s performance to provide a complete, relative view of their product offerings.

For an explanation of how the Info-Tech Value Index is calculated, please see the slide entitled Value Index Ranking Methodology in the appendices.

For an explanation of how normalized pricing is determined, please see the slide entitled Product Pricing Scenario & Methodology in the appendices.

Champion

VoIP FAQ What kind of equipment do I need? computer & specialized phone or VoIP capable switch

Is there a difference between making a local call and a long distance call?

What type of phone quality do you get with VoIP? get with VoIP?

If I have VoIP service, who can I call?

Can I use my computer while I talk on the phone?

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How much bandwidth do I need?

VoIP FAQ What are some disadvantages of VoIP? Power outages 911 & directory assistance

Does my computer have to be turned on? Internet & VoIP capable phone

How do I know if I have a VoIP phone call?

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Can I keep my current phone numbers if I move to a VoIP solution?

How can Twin Oaks Technology help?

• Free consultation and analysis

• Custom solution to fit your business

• Local Service

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Thank you for attending Business Matters

What is VoIP?

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