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By Susan Breidenbach
Network World, 09/27/99

The vision of a single network delivering voice and data to enterprise desktops has been like a mirage: It never gets any nearer and disappears if you look too closely. But the images of convergence may finally be more than thirst-induced fantasies.

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Thanks to technology advances and emerging standards that are enabling a new generation of products, convergence is moving beyond call centers and other niches. The traditional PBX at corporate headquarters is in no immediate danger, to be sure, but small precursors to its ultimate IP-based replacement are starting to appear in branch offices.

The original premise of convergence - to save money by collapsing two network fabrics into one - is still valid, but the focus is shifting to the applications, enhanced communications and ease of management a single network enables.

Think about how frustrating it is to repeat tracking information to successive customer service representatives when you call a courier service to check on a shipment and get transferred five times. A converged voice/data network turns voice into an application that can be integrated with database software so tracking information can move with the call.This means database vendors can start voice-enabling their products.

"This is the sort of thing that will drive the migration to converged networks," says Jim Daugherty, general manager of data services marketing for AT&T.

Such enhanced communications are increasingly critical in an Internet economy in which the customer is king and your competitors are only a click away. Also important is the ability to support a legion of mobile workers and telecommuters.

"When my wife calls to tell me she's going into labor, it's no big deal for an IP-based switch to look into my scheduler, find the conference room I'm in and forward the call there," says Christian Renaud, manager of product marketing for Cisco's enterprise voice business. "Getting a traditional PBX to do that would take a whole fleet of Andersen consultants."

Because IP is distance-insensitive, convergence will help employers cope with tight labor markets by letting people work from almost anywhere. With a single line, you can give home-based employees LAN access, Internet access, a PBX extension, voice mail and features such as speed dial.

Call center operations are a primary beneficiary. Anyone anywhere on the enterprise network, including remote individuals attached via the Internet, can become part of a virtual call center that works off a single database of customer and product information. Call center managers will be able to create databases of incoming calls and at the end of the day send the five worst calls to the product managers, for example.

"That's the whole ball of convergence wax - the ability to do things you couldn't formerly do cost-effectively," says Don Hausman, product manager for 3Com's voice solutions group in Andover, Mass. 3Com's NBX 100, acquired through a merger with NBX this spring, is helping define a new class of network server that functions as an IP-based PBX.

3Com, like NBX before it, has concentrated on providing a complete plug-and-play voice and data product to small offices that don't have resident IT staffs. While the target has been small businesses, large enterprises are starting to adopt iPBXs for branch offices.

Cisco has a competing product, acquired through its merger with Selsius Systems in October 1998. The system, aimed more at the enterprise than 3Com's NBX 100, is assembled from components that include CallManager call-routing software for Windows NT; two models of IP phones; and assorted gateway interface cards and routers needed for WAN connections. Cisco is now targeting smaller businesses with Media Convergence Server, a bundled version preinstalled in a server.

Cisco stays away from the iPBX label. "That's like calling automobiles horseless carriages," Renaud says. Convergence is moving voice onto data networks, and "iPBX" implies the opposite, he explains.

Vertical Networks, a start-up in Sunnyvale, Calif., is challenging the two data communications giants. It offers a more completely integrated box, called InstantOffice, that incorporates hub and router functions as well as IP telephony. However, Vertical doesn't deliver voice over IP to the desktop. Instead, it uses two wires - one to the PC and one to a traditional phone - from its box, says Reed Henry, Vertical co-founder and vice president of marketing.

That approach is fine with Laptop Lane, which is using InstantOffice to provision T-1 lines to the business centers it's creating in major domestic airports.

Merrell"We could set up these centers without convergence, but we'd have to charge customers more and we'd make less," says Bruce Merrell, president and CEO of Laptop Lane.

Moore's Law marches on

In their crafting of more fully integrated wares, iPBX developers are benefiting from faster and less expensive processors, better coder/decoders, single-chip Display Systems Protocols and standards stabilization.

"There's been more combination of previously stand-alone devices - router, hub, switch, PBX, DSU/CSU - into a single platform," says Tom Jenkins, a senior consultant with TeleChoice in Owasso, Okla. You don't get best of breed, but the integrated device is more reliable and easier to manage. Jenkins also sees more interoperability, due primarily to partnerships among equipment vendors.

The initial wave of iPBX platforms - including Lucent's first iPBX, scheduled for release before year-end - is aimed at small offices with less than 100 users. Several of the traditional voice PBX manufacturers have scheduled enterprise-class iPBX systems for release in 2001, and Nortel Networks has promised one by mid-2000.

Evolution vs. revolution

The question is, just how complete and scalable will any first-generation enterprise iPBX be?

Traditional PBXs have hundreds or even thousands of call-control features that have to be migrated from the highly disciplined and connection-oriented voice world to the anarchic and connectionless environment of data communications. How do you place a call on hold when it is just a bunch of packets that are mixed in with a lot of other packets?

Lucent expects traditional PBXs to host a lot of these call-control functions as iPBXs are adopted to support advanced applications that integrate voice and data.

"Most IP PBX vendors haven't even thought about doing things like call-detail recording or time-of-day routing," says Karyn Mashima, chief technology officer and vice president of strategy for Lucent's business communications group. "And scalability is always very hard to do in data networks, while voice PBXs are proven to scale to tens of thousands."

Lucent is adding IP trunks and features to its Definity voice switches so they can act as central servers and continue to handle much of the call control. Central and remote PBXs can communicate via IP, eliminating the need for costly T-1 lines. "Within a few months, we will be able to support IP phones off Definity," Mashima says.

Customers get a lot of the benefits of convergence while avoiding a forklift upgrade and retaining the traditional PBX's reliability and scalability. Of course, this approach leaves separate voice and data networks running to the desktop, supported by two different types of switches that have to be maintained and managed.

RileyDonald Riley, chief information officer at the University of Maryland (UM) in College Park, doesn't mind that approach. It has about 120 users experimenting with Lucent's IP-enabled Definity switch and MMCX multimedia platform, as well as Cisco IP phones and 3Com wireless-IP Palms.

"What we don't understand yet is the scalability issues," Riley says. "We have 32,000 students and 10,000-plus faculty and staff, and we're not far enough into it to know if [the technology] will scale up to that level. A whole food chain has to buy into this IP telephony to make it work end to end."

Start small

Convergence may not be ready for prime time on a large scale, but you shouldn't ignore it.

"You have to start looking at it now," says David Dines, a senior analyst with Aberdeen Group, a market research firm in Boston. "Take a small branch office with an old phone system and turn it into a pilot site. Use the site to try to solve a business problem that you can't resolve cost-effectively with the old system, like using skills-based routing to send customers to the best available person in a distributed call center. See how it works and impacts the network."

Companies should also look for "green-field" opportunities. One such example would be when a branch operation is being moved into new construction office space that has no voice or data network.

"Now that the traditional PBX companies are getting into this business, there is no problem finding a reliable supplier," says Jack Chase, director of enterprise products for Natural Microsystems, a Framingham, Mass., company that makes boards and software used in convergence products.

But make sure the equipment supports downloadable upgrades so you can accommodate new or evolving standards. The LAN side reached a watershed this past year with the ratification of the IEEE 802.1p and 802.1Q standards for QoS, and the list of products that support the International Telecommunication Union's H.323 specification continues to grow.

But H.323 was originally designed to deliver video over a single LAN and does not scale to enterprise or carrier backbones well. A better bet for a general call-control standard is the Megaco/H.248 specification being worked on jointly by the IETF and ITU. Developers have not scheduled a completion date for Megaco; nonetheless, Megaco does appear to be supplanting the IETF's proposed Media Gateway Control Protocol standard.

Anyone looking to converge large voice and data networks also should ensure that the equipment they buy can be upgraded to support Session Initiation Protocol, a proposed IETF call-signaling standard.

Soft savings

Don't expect the iPBXs to cost less than the traditional devices they are replacing. While analysts expect the prices to drop dramatically over the next year, you may pay a bit of a premium today. For example, one user says he spent about 15% more when he decided to go with 3Com's NBX 100 instead of a Toshiba key system.

beyer"Upfront cost wasn't the issue," says Barry Beyer, president of Disbrow Manufacturing, a producer of paperboard boxes in East Orange, N.J. He was looking for additional features, such as caller-selectable call-forwarding options and better caller-ID integration with his company's accounting system. Since March, Disbrow has been based on a converged network that uses Ethernet to deliver data and voice services to the company's 18 employees.

"The voice quality is better than what we had before," says Beyer, who was replacing a Comdial key system. "Also, upgrades are free and can be downloaded, so I expect this platform to last a lot longer than any traditional phone system."

By consolidating administration and management, converged networks reduce operational costs, and they also make it a lot less expensive to move phones when employees change offices. Moving a regular phone attached to a traditional PBX is labor-intensive and expensive - it costs $250 on average.

More on convergence

In contrast, IP phones declare themselves using their Ethernet media access control addresses - whenever and wherever they are plugged in to the network. And because the same jack is used for voice or data, network administrators don't have to tag and keep track of different types of outlets.

On the negative side, the prices of IP phones currently start at $350 to $400, while the least expensive traditional phones are in the $100 range. Also, IP phones will double the number of IP addresses that an enterprise is using, and they are subject to Ethernet distance limitations.

"That last 100 feet to the desktop is going to be the hardest to change," says William MacDonald, vice president of business development for Calista, an IP telephony start-up in San Jose recently bought by Cisco. To ease migration, Calista has come up with an interim solution: IP-based PBX extenders that IP-enable traditional digital PBXs and their telephones and turn remotely located phones into virtual extensions.

Calista reseller KLF, a telecom interconnect supplier in Ft. Wayne, Ind., is using the PBX extenders to set up virtual call centers for customers. Using a single ISDN line, KLF can provision a call center agent's home office with a phone connection, Internet link and dedicated fax line. Calls can be routed to the agent's phone just as if the phone were sitting on a desktop at the corporate site.

Five nines or bust

Reliability is a major concern as voice gets moved onto data networks, although part of this is the natural uncertainty that accompanies any paradigm shift.

But one clear danger posed by convergence is the loss of the redundancy that two separate networks provide. People who design voice switches think of downtime in terms of seconds per year because the networks have to be up at least 99.999% of the time.

In contrast, the most highly available routers on data networks today have average annual downtimes measured in minutes, or even hours. While the connectivity demands of the Internet economy are rapidly reducing the tolerance of such outages on the data side, there is still a huge difference between the voice and data requirements.

This gap must be closed because it is clear that users aren't willing to sacrifice any reliability on the voice side. When asked if they'd settle for four nines - 99.99% uptime - on a converged voice/data network that provided a lot more features and capabilities for a lot less money, the answer was a resounding and almost unanimous, "No."

"There's no reason that we can't achieve the same level of reliability in the data world, but we will never get there if we have to keep putting all these resources into evolving a separate voice network," UM's Riley says. "If we try to keep these parallel investments going much longer, the underdeveloped world could leapfrog us to convergence."

Related links

Breidenbach is a freelance technology journalist and consultant. She can be reached at sbreide@aol.com.

Merging to a single lane
A look at how one company is saving money through convergence. Network World Fusion, 9/27/99.

Convergence divergence?
Are voice and data vendors buying into the buzz for their own corporate use? Buzz Issue, 9/27/99.

Network World columnists discuss convergence buzz
Scott Bradner, James Kobielus and Tom Nolle in a 6.5-minute discussion on how to separate the hype from reality. Requires Requires the RealPlayer G2 client.

Convergence showdown
We sponsored a debate at N+I Atlanta among leading voice and data vendors. It revealed interoperability issues and spotty product plans. Network World, 9/20/99.

Cisco convergence vision still a bit cloudy
Network World Fusion, 9/16/99.

Cisco to offer convergence blueprint
Network World, 9/13/99.

The QOS Quagmire
Convergence will live or die depending on how easy it is to implement IP-based QoS through policy-based networking. Unfortunately, policy-based networking is still a work in progress. Network World, 9/6/99.

What organized crime and convergence have in common
Briere and Heckart's view. Network World, 8/30/99.

Policy-based networks: Easier said than done
Network World, 8/23/99.

Widener University has the urge to converge
Voice/data convergence is being tested at Widener University in an ambitious project designed to meld several disparate, application-specific networks into one. Network World, 8/2/99.

IETF and ITU end rivalry, join on convergence standards
Network World Fusion, 7/15/99.

How convergence could cost you money
Rohde's view. Network World, 6/14/99.

Convergence? Try voice over frame
Network World Tech Update, 6/7/99.

Merging your telecom and data network management? Some things to think about

Network World Fusion Focus on Network and Systems Management, 5/26/99.

Nortel rolls out convergence gear
Melds Passport WAN switch with BayRS routing; adds voice to BayStack router. Network World, 4/30/99.

3Com to span Ethernet, ATM nets with QoS
Network World, 4/12/99.

3Com users not converged quite yet
Don't throw away that PBX yet. The move to voice/data convergence is going to take a long, long time, users at a 3Com convergence event said. Network World, 3/23/99.

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