1 Proprietary & Confidential December 9, 2008 Bandwidth.com Saving You Money Through Voice & Data

1 Proprietary & Confidential

December 9, 2008

Bandwidth.comSaving You Money Through Voice & Data


Agenda

1. Who is Bandwidth.com• The Company• The Network

2. The Traditional Voice Infrastructure• Analog-• Digital PRI

3. The Voice Application (SIP)• Service Savings• Single Site Convergence• Multi-site Convergence

4. Bandwidth.com BoxSet


Bandwidth.com

Founded in 1999, headquartered in Research Triangle Park, NC

First broad-line data provider

Offered businesses ability to compare 20 different carriers with online pricingAPI connections with all Tier 1 providers

Created 1st Installation tracking portal for small and medium business customers

Launched VoIP in 2004

99.3% Customer Retention

#1fastest growing privately held company in North Carolina

#16

Annual award given for a company’s achievements in creating a positive work environment that attracts and retains employees through a combination of benefits, working conditions and company culture.

fastest growing privately held telecom company in the Country

#1fastest growing privately held company in the Country

250% Annualized Revenue Growth

Profitable/Debt Free

Bandwidth.com is a complete provider of telecommunications services to

Small and Medium Sized Businesses in all 50 States

180+ employees dedicated to voice and data sales and support


Bandwidth.com’s Network


1213

Voice as an Infrastructure Service (Analog)

• Numbers Routed Statically

• Single Service Architecture

Summary:

• Limited Redundancy and Failover Options

• Many Companies Involved in Delivering Calls

• Hunting Needed to Send Multiple Calls

Analog Lines

• One Phone Number Per Talk Path

• No Mobility or Flexibility

Caller Denver, CO

Central Office Denver, CO

TANDEM Denver, CO

Long Distance Network

TANDEM Cary, NC

Central Office Cary, NC

Business Phone System Cary, NC

(919)555-1212

(919)555-1212 (919)555-1212

1214Hunt


8 Analog lines (8*30)…………………………………….…... $240.00

4000 min LD (4000*.05) ……………………………………… $200.00

Buy a T-1 (1.5Mb Internet Access) ……………..………… $425.00

Total ………………………………..….. $865.00

Also Remember to Add:

Hunting and other Features (8*5)………………………… $40.00

FCC & Other Regulatory Fees (9.95*8)…………………. $79.60

True Total ………………………………….. $984.60

Analog Service - Financial

The Situation:

• 20 person Office

• 8 concurrent calls(lines)

• Minimum of 500Kb Internet Access

• 4000 Min. LD

The Cost

$49per employee

$985per month

$11,820per year


Voice as an Infrastructure Service (Digital)

• Numbers Routed Dynamically to a Trunk

• Single Service Architecture

Summary:

• Limited Redundancy and Failover Options

• Many Companies Involved in Delivering Calls

• Trunks Can Now take Calls From Multiple Numbers

Digital Trunks

• Sold as a Bundled Offering

• No Mobility and Limited Flexibility

• Many Competing Standards

• Caller ID Issues

Caller Denver, CO


TANDEM Denver, CO


TANDEM Cary, NC


(919)555-1212

(919)555-1212 (919)555-1212


Buy a PRI…………………...………………………………….…... $550.00

4000 min LD (4000*.04) ……………………………………… $160.00

Buy a T-1 (1.5Mb Internet Access) ……………..………… $425.00

Total ………………………………..….. $1135.00

Also Remember to Add:

CallerID………………………………………………………………… $50.00

FCC & Other Regulatory Fees (9.95*8)…………………. $40.00

True Total ………………………………….. $1225.00

Digital Service - Financial

The Situation:




• 4000 Min. LD

The Cost

$61per employee

$1225per month

$14,700per year


(919)555-1212

The Voice Application

• Sets up and Tears Down Calls

• No Bundling Needed

Summary:

• Travels over private and public IP Networks

• Easy to Troubleshoot

• Many Failover and Recovery Options

SIP

• Voice May be Compressed

• CallerID, DID, DNIS Included and many

• Signaling Separated from Audio

• Dynamic Allocation of Bandwidth

Caller Denver, CO


TANDEM Denver, CO


Bandwidth.com Dallas, TX


(919)555-1212 (919)555-1212

The Internet

The Internet


What is SIP?

• Session Initiation Protocol (SIP) – Protocol that defines how

sessions like voice, video, and IM communicate.

– Message is sent as text via UDP on Port 5060


What is a SIP Trunk

• One Concurrent Talk Path• 911/e911 Service• Directory Listing Service• 411 Service• Local Calling• Inward Dialing• Long Distance


BoxSet vol.2……………...………………………………….…... $549.00

Additional 3 Trunks……………...………………….…..…... $75.00

Long Distance ……………………………………………..…… Unlimited

T-1 (1.5Mb Internet Access) …………………....………… Included

Total ………………………………..….. $624.00

True Total …………………………….…….. $624.00

SIP Trunking Service - Financial

The Situation:




• 4000 Min. LD

The Cost

$31per employee

$624per month

$7,488per year

37%Save up to


That is Not ALL the Savings!!!!


Single Site w/out Convergence

InternetNetworkW / T1

T1 RouterRequires IT Technician

VoiceNetworkW / PRI

PBXRequires Telecom Technician

• Voice & Data Separate

• Complex

Summary:

Inefficient

Up to

50%unused

IT Manager Telcom Manager


Single Site Converged

InternetNetworkW / T1

VoiceNetwork

PBXIT Manager

Summary:• Voice & Data Together on

the LAN and the Wan

• Simplified design

Most Efficient

Up to

10%unused

T1 RouterSwitch

Switch

&


Multiple Single Sites Converged

IT Manager

Summary:• Centralized PBX

• Centralized Management

• Service Continuity


Bandwidth.com BoxSet (Bundles)


Bandwidth.com BoxSet (Bundles)


Summary

• Save Money on Service (up to 37% on service alone)

• Save Capital Expense Through Convergence

• Save on Labor by Centralization

• Save Time

• Save Resources

• Choose Bandwidth.com

Documents

1 Proprietary & Confidential December 9, 2008 Bandwidth.com Saving You Money Through Voice & Data