Network Overview Copyright Level 3 Communications Inc 2002

Network Overview Copyright Level 3 Communications, Inc. 2002. This work is the intellectual property of the author. Permission is granted for this material to be shared for non-commercial, educational purposes, provided that this copyright statement appears on the reproduced materials and notice is given that the copying is by permission of the author. To disseminate otherwise or to republish requires written permission from the author. 0102 2001 Level 3 Communications, Inc. All Rights Reserved. 1

Level 3’s Experience Over the last three years, Level 3’s engineering team recently oversaw the design and physical construction of a $10 billion global network from whiteboard to completion. This project was one of the largest construction projects in history when measured by dollars spent per month n. In addition to physical construction, Level 3 built a global operational organization numbering 4, 500 people in eleven different countries n. Level 3’s management team has extensive network construction experience through MFS and Kiewit n. Level 3 built a Tier 1 IP backbone in less than 3 years n. Level 3 was the first to deploy an MPLS backbone n. Level 3 operates the largest Soft. Switch based network in the world. Soft. Switch based service include voice over IP (with PSTN quality) and managed modem services 0102 2001 Level 3 Communications, Inc. All Rights Reserved. 2

ONTAPSM - World Class Provisioning Process § 0102 ONTAPSM = On-Net Transport Activation Process § Capacity verification at order entry § Acceleration of customer’s revenue recognition § Clear commitment at the time of the order § Reduced exposure to forecasting risk § Vendor-neutral architecture 2001 Masergy “We are big believers in ONTAP. Level 3 was able to turn up a national private-line backbone for Masergy in less than 10 business days. Such rapid provisioning has enabled Masergy to directly tie capital outlays to solid forecasts of demand to offer better service to our own customers. ” – Gerald Poe, Sr. Mgr. Infrastructure Engineering and Provisioning ONTAPSM Winner of the 2002 Frost & Sullivan Customer Service Innovation Market Engineering Award. Level 3 Communications, Inc. All Rights Reserved. 3

ONTAP Process Order to Delivery Process Complete Service Request Design, Assign, and Activate Industry: 10 Days ONTAP : 0. 5 Days Industry: 60 Days ONTAP : 1. 0 Days Process Changes: • Provisioning/billing info validated before sign off Customer Lead • Reservation capabilities Industry: 40 Days ONTAP : 3. 5 Days Process Changes: • Handoffs between organizations eliminated Process Changes: • Handoffs with Field Management eliminated • Real-time consumption management provided • Billing is automatically activated • Remote activation of logical network elements • Credit approval prior to signoff 0102 Test and Turn Up 2001 Level 3 Communications, Inc. All Rights Reserved. 4

Industry Leading Provisioning Time Service Activation Customer Sign Date to Bill Start Date Cycle Time Performance Leading industry cycle times for OC-3 and above services, < 20 days for On-Net services Migration to Level 3 network enabled > 50% cycle time reduction in 2001 Cycle Time 0102 2001 Level 3 Communications, Inc. All Rights Reserved. 5

Meeting Customer Commitments Service Activation Currently meeting 99% of Customer Commitment Dates (CCD) CCD performance reflects change in focus from construction to operation % CCD Met 0102 2001 Level 3 Communications, Inc. All Rights Reserved. 6

Operational Excellence Level 3 is committed to excellent operational performance to enhance our customers’ experience and satisfaction PERFORMANCE RELIABILITY 0102 2001 • Industry leader for core round-trip latency across the Network for IP services • Consistently meet our guarantee of less than 1% packet loss performance for IP services • Network availability guaranteed at 99. 99% for terrestrial On-Net services • Online visibility to network statistics, utilization, and traffic flow through the Online Customer Service Center (OCSC) Level 3 Communications, Inc. All Rights Reserved. 7

Level 3 North America Network n 16, 000 U. S. route miles n Upgradeable 12 conduit system n Private Line Service available in 56 cities nationwide n Substantially completed n Fully owned, homogeneous n No spurs or laterals n 6. 5 Million square feet of colocation facilities 0102 2001 Level 3 Communications, Inc. All Rights Reserved. 8

Level 3 European Network n Cable completed in 4 Q 00 n Initially operates 320 gigabits per second n Upgradeable to 1. 28 terabits per second n Connects Level 3’s US and European networks n Diverse capacity available 0102 2001 Level 3 Communications, Inc. All Rights Reserved. 9

The Level 3 Conduit Advantage At some point it is more cost effective to light additional fibers. At some point it is more cost effective to use next generation fiber. Level 3 conduits support both options. 0102 2001 Level 3 Communications, Inc. All Rights Reserved. 10

Lowering the Cost of Transport SMF 10, 000. 00 N 2 DSF LEAF Gen 4 Level 3 Cost Curve 1, 000. 00 Gen 5 Gen 6 Gen 7 100. 00 Gen 8 n Level 3 built its Network to be upgradeable, leveraging new generations of fiber and optronics in 12 parallel conduits Gen 9 Unit Cost 10. 00 $ per Gbps mile n Newest generations purchased in large scale = best unit cost 1. 00 0. 50 0. 01 1990 1995 2000 2005 2010 Source: Corning, Inc. , Nortel Networks, Inc. , Level 3 Engineering 0102 2001 Level 3 Communications, Inc. All Rights Reserved. 11

The Level 3 Network Is Completely Route Diverse The Level 3 network does not have any spurs or laterals – it is completely route-diverse. It is important to be sure that the topology map a provider shows you is a true representation of their network. Network Spurs Sometimes carriers want you to see this. Richmond POP In reality, this is often what the network truly looks like. POP Non-Diverse City Laterals/ Collapsed Rings 0102 2001 Level 3 Communications, Inc. All Rights Reserved. 12

Metro Networks n Broad geographic coverage • 27 major North American markets • 9 major European markets n Deep metro presence at duct level n Industry-leading Colocation facilities • 70 Global “Carrier Grade” Colocation Data centers • 6 million square feet of colocation space • 2, 150 total local route miles • 500+ On-Net buildings • Up to 864 fibers per cable, per conduit 0102 2001 Level 3 Communications, Inc. All Rights Reserved. 13

Metro POP Route Diversity Level 3 has complete diversity in our metro networks and facilities. Carrier service Provision/ gateway facility As in the case of intercity networks some carriers lead you to believe that they have complete diversity. Non Diverse Entrance Facilities What you should beware of What carriers want you to see On-Net building/ Non Diverse Risers in Gateways Customer location 0102 2001 Level 3 Communications, Inc. All Rights Reserved. 14

The Level 3 IP Network 0102 2001 Level 3 Communications, Inc. All Rights Reserved. 15

IP Logical Diagram Level(3) Gateway Vo Voice Interne t MOSS ice Ov Q er M ualit PL y VP S tu N nne ls Core MPLS Network Voice Network Crossroads (Collocation) Level (3) Internet Network Voice Interne t Management /OSS Network MOSS Voice Internet VPN DIA (Metro TDM) EPOP (Metro Ethernet) Peering (public Internet) Interne t MOSS 0102 Managed Modem Management VPN Over MPLS tunnels 2001 Level 3 Communications, Inc. All Rights Reserved. 16

Industry-Leading Performance n Uniform Global Network • Designed and built for performance from the ground up n MPLS-enabled backbone • Carries multiple protocol traffic • Improves routing and Qo. S n Peering • > 600 peering sessions, 51+ Gb of Connectivity in North America • 95% Private peering n Consistently Ranked in Top 3 by Keynote Systems 0102 2001 Level 3 Communications, Inc. All Rights Reserved. 17

(3) Packet Ethernet, Frame Relay and ATM over MPLS Ethernet Switch VLAN Level 3 MPLS Backbone (LSR) LER Virtual Circuit A VC Virtual Circuit C DLCI LER – Labeled Switched Router Ethernet Switch VC Virtual Circuit B ATM Switch Router Running Frame Relay LER VLAN ATM Switch DLCI Router Running Frame Relay ATM Switch LSR – Labeled Switched Router 0102 2001 Level 3 Communications, Inc. All Rights Reserved. 18

North America Peering Interconnection Peering Capacity: 51+ Gb/s active 2. 0 Gb/s 11. 6 Gb/s 6. 2 Gb/s 3. 7 Gb/s 7. 8 Gb/s 7. 1 Gb/s 932 Mb/s 6. 4 Gb/s 0102 2001 Level 3 Communications, Inc. All Rights Reserved. 19

Level 3’s Academic and Research Community Focus n Dedicated team of sales, marketing, business development and engineering resources n Efforts focused on national network initiatives, consortia and traffic aggregators, not on individual institutions n Specific product programs for academic and research community 0102 2001 Level 3 Communications, Inc. All Rights Reserved. 20

Thank You! Robert. Hagens@level 3. com 0102 2001 Level 3 Communications, Inc. All Rights Reserved. 21