Shared Networks: Leveraging Assets August 6 - 2013 1 Background 10th Anniversay – A trade Association founded 10 years ago this summer – A Network Company (LLC) founded in August 2010 2 Background • Formed as a trade association: – 10 years old this summer – Chartered with 15 Members – 29 today – A joint marketing and information sharing model • Started INDATEL Services LLC: – 3 years old in this month – The “Network of Networks” – Aggregation POP at 350 E. Cermak, Chicago • Going forward: – Continuing with a combination of Marketing Services and Network Services for and with our Members under the LLC 3 Board of Directors INDATELgroup INDATEL Services • Jim Walter – President (702 Communications) • John Summersett – Vice President (Great Lakes Comnet) • Corey Jensen – Secretary/Treasurer (Vision Net) • Scott Hoffmann – Director (WIN) • Paul Ludwick – Director (Nebraska Link) • Scott Hoffmann – President (WIN) • John Summersett – Vice President (Great Lakes Comnet) • Kelly Dyer – Secretary (Indiana Fiber Network) • Jim Walter – Treasurer (702 Communications) • Tony Russell – Director (Kansas Fiber Network) 4 “The Power of One” 5 Growing the Organizations • Some interesting numbers - to go with the maps……. 6 Members • 29 Members • RLEC Majority Owned • 500 RLECS 7 Network The “Network of Networks” • 70K+ route miles of fiber • 850 + POPs • Anchored at 52 of top 100 MSAs 8 The Power of Scale at work… – Marketing: • • • • • Comptel Spring & Fall tradeshows Website Word of mouth Collateral materials Consistency is the Key! – Sales: • Numerous testimonies of circuit sales via the INDATEL marketing efforts • Today – Seeking national opportunities to sell across the Member’s networks – Master Service Agreements – TDM to Ethernet circuit evolution – Leveraging the INDATEL Services technology investments…. 9 Growing the Organization (cont.) • A natural shift to a Network Company, while maintaining the Trade Association values……. – Positioned to lead in providing Rural Broadband Connectivity Solutions – Leveraging Scale when & where it makes good business sense – Some examples where the Power of Scale and Leveraging Assets is working……. 10 Network Services • IP Services Aggregation for our Members: – CDN Peering – IP Transit Services – Other Content Aggregation Services • Ethernet Exchange Services: – Wholesale Carrier to Carrier, and – Enterprise circuits – Adding NNIs and Tier 1 POPs • Master Services Agreements: – Making it easier and more cost effective to do business with our growing number of Members • Leveraging the “Power of Scale” ….. 11 Data Services Aggregation POP - 350 E. Cermak – Chicago, IL Cisco ASR 9010 INDATEL Members: • 1Gbp, and 10Gbp Ports • Layer 3 • CDN Peering • Transit IP Service • Layer 2 • Ethernet Exchange • 16 of 18 Members Connected CDN Peering Service with: • Google • Akamai • Limelight • Equinix IBX • Netflix (30+ Gbps Peak BHR Traffic) • Others Router Equipped with: • 12: 10Gbps Ports – 10 working • 40: 1Gbps Ports – 18 working • Flowing 60Gbps+ Peak Busy Hr traffic CONFIDENTIAL Transit IP Service with: • Cogent • Hurricane Electric coming soon Ethernet Exchange Service with: • Member to Member Circuits • Exchange to Exchange: • Equinix & Telx • Member to Other Service Providers 12 Connectivity Members: 1. Bluebird-INA 2. SDN 3. Bluebird-MNA 4. GLC 5. DCN 6. KFN 7. INS 8. VisionNet 9. ACT 10. 702 Communications 11. IFN 12. WIN-Wisconsin 13. Enventis 14. KFN 15. CNI-IFN Ohio 16. NebraskaLink 17. RASORNET - coming soon 18. TLSN – coming soon CDN Peers (Direct Connects): 1. 2. 3. 4. Google Akamai Limelight Netflix Equinix IBX Peers: 1. Facebook 3. Frontier 5. Microsoft 7. Hurricane Electric 9. Edgecast 11. IPTransit 13. Amazon 15. UPC Broadband 2. CDNetworks 4. 123Net 5. Rackspace 8. Neustar 10. Softlayer 12. HNG # 14. Shaw Cablesystems 16. IRIS # High Winds Network Group 13 INDATEL Services Chicago POP/ Ethernet Exchange Customer “A” Location Served by Vision Net Member at Big Sky, MT Vision Net Ethernet Exchange Circuit 20 Mbps Ethernet Layer 2 VLAN Circuit – Initiated by Vision Net: Traverses 6 Segment providers: 1. Vision Net’s Member 2. Vision Net Router & Network 3. INDATEL Services Router 4. INA Router & Network 5. MNA Router Router & Network 6. 3rd Party Network CONFIDENTIAL Bluebird-INA Bluebird-MNA Customer “Z” Location Cape G., MO – Off Net Loop 14 Other Sharing Examples • Tandem Switching Deployments: – The business opportunity that launched many Statewide Networks – Platforms for VOIP evolution • Digital Video Head Ends: – A large capital investment that demands cost sharing in most cases • Shared Class 5 Switching: – Indiana Fiber Network – Several other States evaluating – Leverages Tandem Switch and Fiber Network Investments 15 Summary • Time to move faster on National Networking Opportunities with…… – Services that demand the Scale of INDATEL: • Voice LD (IP Evolution) – leverage “on-net” opportunities • Content Aggregation Services – existing & emerging • Interstate Ethernet Circuits for Enterprise – expanded NNI’s – New Revenue and Cost Savings initiatives for our key stakeholders by leveraging: “The Power of Scale” 16 Contact Max Huffman Executive Director & COO max.huffman@indatelservices.com (816) 718-0952 www.indatelgroup.org 17