BRASIL TELECOM SERVICE VISION

1ICT – OSA/Parlay Workshop 2006 – Brasil Telecom


BRASIL TELECOM SERVICE VISION

and OSA/Parlay

March/2006


Our Footprint

Third largest RBOC-like Company in Brazil

Dominant market position in its concession area (Region II)

9.6 million Lines in Service (LIS)

95% market share for local services

58.7% market share in the interregional LD segment and a 33.8% market share in the international LD segment (quarterly average)

Metropolitan access networks in São Paulo, Rio de Janeiro and Belo Horizonte

Provides bandwidth services through a 2-ring, 22,000 km submarine fiber-optic cable system, connecting Brazil, USA, Venezuela and Bermuda

23% of the Brazilian

population (42 million

inhabitants) and

27% of the country’s GDP

(US$100 billion)

Key Statistics

BRP 12 Months*

Mkt Cap (02/21/06) R$MM 7,326

Gross Revenues R$MM 14,687 EBITDA Margin 33.6%

* 2005 unaudited result.


Who We Are...

• 10 million clients – fixed-line telephony

• 3.2 million active internet clients – ISP (BrTurbo, iBest, iG)

• more than 2.2 million mobile accesses

• more than 1 million broadband subscribers

• Market value of more than R$ 7 billion

• Revenues in 2005 of R$ 14 billion

• FMCA (Fixed Mobile Convergence Alliance) executive member


Dominant position in the Market

Increasing leadership

58%

Inter-region33%

International

Success in new segments

95%

Local*

91%

Intra-sector

84%

Intra-region55%

Data*

9%

Mobile

* Q2/2005


Success in mobile telephony

622

1.345

2.213

4Q04

2Q05

4Q05

(thousand lines)Accesses in Accesses in

ServiceService

ARPU of R$ 27.8 31% of post-paid clients

Note: ARPU: Average revenue per user and SAC: Subscriber acquisition cost


Challenges in a Convergent World

Voice Cannibalization

Fixed Mobile Substitution

Broadband Commoditization

Trends

Multi Media Services

Fixed-Mobile Convergent Services

Content Services

Reaction


Marketing drivers

• New business model aim to retain operator’s margin;

• Cost and time reduction for new service suppliers and applications;

• Break barriers for convergent service development;

• Reduce service deployment delays between different markets;

• Increase application developers universe.


Network evolution

PSTN

STP

STP

SCP

Metro

OSS/BSSService Layer

Control Layer

Transport Layer

Media Layer

Access Layer

Softswitch /MSC Server

Media GatewayMedia Server SNOC

BandwithBroker

TrafficEngineer

LDAPServer

Radius ServerM

M

Application Servers

Service Broker

PROVISIONING

BILLING

RNC

PSTN

STPSTP

STPSTP

SCPSCP

Metro

OSS/BSSService Layer

Control Layer

Transport Layer

Media Layer

Access Layer

Softswitch /MSC Server

Media GatewayMedia Server SNOC

BandwithBroker

TrafficEngineer

LDAPServer

Radius ServerM

M

Application Servers

Service Broker

PROVISIONING

BILLING

RNC


NGN Deployment

2001 2002 2003 2004 2005 2006

IN Services

NGN Wide Area Centrex

NGN Multi-Media Conference

GSM/GPRS/EDGE Network

Parlay/OSA Gateway

VoIP Service


Service Layer Vision

PSTN

NGN (IP)

LEX

MGW

SSP

INAP

LEX

POTS

IAD/ADSL

SIP Phones

SMSC

SGSN

GGSN

PLMN

GPRSBackbone

BSS

Internet

GMSC

HLR

CAMEL/INAP

GSM

SIP

Softswitch

Parlay

Application Servers

MAP

MMSC/WAP GW

GW Parlay/ OSA

Web Portal

PSTN

NGN (IP)

LEX

MGW

SSP

INAP

LEX

POTS

IAD/ADSL

SIP Phones

SMSC

SGSN

GGSN

PLMN

GPRSBackbone

BSS

Internet

GMSC

HLR

CAMEL/INAP

GSM

SIP

Softswitch

Parlay

Application Servers

MAP

MMSC/WAP GW

GW Parlay/ OSA

Web Portal


Service Layer Vision – path to All IP

Parlay

Application Servers

GW Parlay/ OSA

PSTN

IPLEXMGW

SSP

POTS SIP Phones

SMSC

SGSNGGSN

BSS

MSCServer

HSS

GSM/EDGE

MGC

Web Portal

S-CSCF

P-CSCF

I-CSCF

MRF

RAN

WCDMA

MGW

IMSIAD/ADSL

MMSC/WAP GW

LBS(SUPL)

WiFi AP

WiFi SIP Phones

Parlay

Application Servers

GW Parlay/ OSA

PSTN

IPLEXMGW

SSP

POTS SIP Phones

SMSC

SGSNGGSN

BSS

MSCServer

HSS

GSM/EDGE

MGC

Web Portal

S-CSCF

P-CSCF

I-CSCF

MRF

RAN

WCDMA

MGW

IMSIAD/ADSL

MMSC/WAP GW

LBS(SUPL)

WiFi AP

WiFi SIP Phones


OSA/Parlay SCFs in BrT

• MPCC/UI CAMEL

• MPCC/UI INAP-CS1(+)

• MPCC/UI SIP (planned for 2006)

• HOSA UI (SMS and MMS Messaging)

• User Status

• User Location (planned for 2006)


Lessons learned

• Service Development and Deployment

• Convergent Services Operational Model

• Network Integration and Vendor Partnership

• Vendor’s implementation maturity

• Business Model


Thank You!

[email protected]: +556134158434Mobile: +556184018034

Sebastiao Boanerges RibeiroNetwork Architecture

Documents

BRASIL TELECOM SERVICE VISION