BT MPLS 6 Co SDSCP Product Overview Convergence

BT MPLS 6 -Co. S/DSCP Product Overview

Convergence - market Survey of 250 IT professionals: • 83% Do not know what applications are running on their networks • 84% Are under pressure to maximise resources and contain costs • 76% Continue to upgrade bandwidth Source : Compaq/Packeteer • Growing need to prioritise and partition critical applications • Real time IP applications will improve organisational efficiency and improve business process • The Future is converged IP networks that support real time applications

What is Class of Service? Ability of a network to deliver applications efficiently without affecting its functions or performance according to importance ØBT’s Class of Service strategy is to ensure prioritisation occurs during normal and abnormal network conditions – including customer transient E. g. 10/100 Mbps Ethernet delay. LAN connecting to 2 Mbps WAN link § Access (to & from network) – bandwidth in LAN and core typically larger than access, or ability to reserve access capacity per Class § Core – all ways adequately dimensioned but spikes can occur in case of abnormal traffic patterns and core networking failures – this ensures the most critical applications are delivered across all customers

Market trends - Why 6 Class of Service (Co. S) & DSCP model • Improve market positioning and differentiation • Move to Differential Services (‘Diff. Serv’) de facto standard (IETF Recommended) • Customers IT systems and application are becoming more complex and sophisticated • Support BT’s global ICT, 21 CN and Global Services AAI strategy – MPLS at the core!

Evolving Co. S requirements • At least 4 Classes of Service to support multiple ‘premium’ data applications • Transparency to customer LAN traffic marking to enable end-to-end Co. S solutions • Support for streaming video and other multimedia applications • Advanced ‘technical’ features for complex requirements

6 Classes of Service on BT MPLS

BT’s implementation of DSCP (Diff. Serv) • Class of Service model based on Differential Services (Diff. Serv) standards – these are not formal standards but are actually recommendations • Differentiated Services Code Point, or DSCP, methodology of marking IP packets, the de facto industry standard • Enables BT to move to 6 Classes of Service for customer applications plus and additional separate class for management traffic • Introduction of a true Multi-media Class of Service • More Advanced ‘Customised’ capabilities for more complex customers that provide more technical flexibility

What does this mean for customers here today? • Today, the 3 Co. S model is more feature rich than the new 6 Co. S model • Order book for 3 Class of Service (Co. S) model orders for existing & new BT MPLS customers • Mix of 3 -Co. S (Precedent based) and 6 -Co. S (DSCP based) in same VPN is not possible today • Initially only physical or ‘big bang’ migration of existing customers is supported • BT are not planning any forced migrations to 6 -Co. S model • The current 3 Class of Service model will be continually developed

Supported classes Voice/EF (Expedited Forwarding primarily for voice, equiv to Class 1) Assured Data or Multimedia Class AFx Assued Data AFx (Assured Forwarding) Assured Data AFx Assumed Data AFx Sister “premium” classes, replacing Class 2 Class DE (default, equivalent to Class 3) Class mgmt (BT managed CPE service only) – Not a customer class as is designed for management traffic

Customer Example

DSCP 6 -Co. S Classes of Service Toll quality’ Voice over IP applications Mission-critical data applications E. g. SAP, Siebel, Citrix One Multimedia class can be ordered instead of a customer specified Assured Data class Standard data applications E. g. Mail, Web, FTP

Bursting

Key improvements over 3 Co. S model Other ‘Advanced Customisable’ technical’ features – Overbooking AF classes by up to 400% – Support for DSCP Class Selectors – Transparency on DE (Standard Data) Class – Pre–marking of AF Out Of Contract traffic BT MPLS 6 Co. S/DSCP future proofing your ICT platform

Cont… • Higher speed support Voice Class (EF) for BT managed and customer managed • can order up to 75% EF against port speed (subject to accessspeed & CE model) • 10% scheduling bandwidth for DE now flexible to higher when ordering additional AF or EF classes • No restriction on ordering Co. S mix (e. g. EF and DE only service now available)

Key Customer benefits • 6 Classes of Service!!! The most in the global market! • Advanced ‘Customised’ features to meet complex application and topology requirements • Introduction of a true multimedia class • Future proof Class of Service model • True standards based model to future proof our customers requirements

Choosing BT MPLS 6 Co. S The Benefits

Why choose BT MPLS – 6 Co. S ØHighest number of classes (6) available to the global market ØBT offers full ICT Network to Application capabilities with 6 Co. S providing a strong foundation Ø Full Diff. Serv support including support for Class Selectors ØClass of Service in the core network ØEnhanced resiliency for critical applications ØRe-routing of traffic in the event of failure ØDefault bursting capability for Assured Data and Multimedia

Why choose BT MPLS – 6 Co. S • Resiliency in the network – Cost effective architecture in the core • Prioritising packets accordingly end to end – Guarantees performance • Ability to provide more bandwidth than ordered by the customer • Only Class of Service 2 • Flexibility with the ability to burst to 90% of access/port speed • Cost effective customer access

BT MPLS offers true end to end Co. S Enhanced Resiliency • Class of Service in the core enables BT to more efficiently provide backup bandwidth to customer applications. • BT can even meet SLA targets in failure situations, resulting in a highly resilient service at a competitive price. Guaranteed Performance • In an any-to-any network environment, service providers cannot control where customers send their traffic. • Class of Service in the core network ensures that network performance targets can still be met, even in case of unexpected or sudden changes in core network traffic profiles.

BT MPLS offers true end to end Co. S • BT extends the prioritisation of customer traffic to the core of its MPLS platforms. • Class of Service queues in the core network ensures that network performance targets can still be met, even in case of unexpected or sudden changes in core network traffic profiles. • BT’s Co. S scheme ensures that “queues” are in the heart of its network from the edge to the core. – The queues in the BT MPLS networks allows complete end to end prioritisation of customer applications – Ensures that a voice application keeps priority over a data application, or an Oracle transaction is delivered before an Intranet download

6 Co. S/DSCP Feature Support

A wide range of features supported on 6 Co. S model • BT Managed CPE and Customer Managed CPE • Resilience – Failover port • IP Clear Reach (UK A-end sales only) • Multiple VPN • Static and Dynamic routing support • LL (n x 64 k, E 1/T 1, nx. E 1/T 1, E 3/T 3, STM 1) • Frame Access (incl IP Enabled) • DSL access (DE Class ONLY) • ISDN DBU (FR access only) • Multiple Default Routes, Multiple Specific routes • SLA including standard class packet delivery • DSL (DE Class only) • CE to CE & Core reporting

New Features coming up on 3 Co. S model • STM-4 (622 Mb) access • Internet gateways in US (NY & San Jose), Frankfurt, Stockholm, Tokyo and Sydney • Ability to support multiple customer VPNs on a single access • Standardisation of Packet Delivery SLA for Class 3 traffic • Route specific SLA for network performance • CE to CE SLAs for BT managed customers • Port utilisation reports for DSL access • FRF. 16 to replace Per-destination based solution today to combine multiple E 1/T 1 circuits (e. g. 4 Mb, 6 Mb, etc) • Service delivery lead-time process improvements

Class of Service Support on Access Types

SLA & Reporting on 6 Co. S model • Service Level Agreement – same core network performance SLA as 3 Co. S model (Round trip delay, Packet Delivery, Jitter) – Same cross portfolio SLA • MPLS customer reports – Standard reports offered – Class of Service Usage ‘rather’ than Class of Service Utilisation – CE to CE usage reports available for all 6 Classes of Service – Customer opting for Multimedia Class will also obtain an Jitter performance report

BT MPLS 3 Co. S vs. 6 Co. S Model • BT will continue developing both the 3 Co. S and 6 -Co. S model throughout Year 2005 • BT will continue to accept 3 Co. S model orders for existing customer – all contractual commitments will be fulfilled • Customers will have the ability to keep adding sites and upgrades on the 3 -Co. S model • Mix of 3 -Co. S (Precedent based) and 6 -Co. S (DSCP based) in same VPN cannot be technically supported!

Pricing Benefits The new structure is…. . – Simpler and easier to explain and price a network – More predictable – Competitive and easy to compare – Gives a point of differentiation And it brings yet another reduction in Co. S 1 and 2 pricing in some bands