MEMORANDUM

Date: October 14, 2002

To: President's Council

Via: ITC

From: NETS and NCAB

Subject: New Telephone System Recommendation

Recommendation

After testing and engineering review by NCAB members, the NETS and NCAB is recommending that UCAR proceed with the deployment of Voice over IP phone technology to replace our aging PBX system.

Overview

Data and voice communications facilities have traditionally been managed separately at UCAR. During the last few years, there has been an industry trend toward the merging of digital voice and traditional data communications. As voice data transitioned from analog transmission to digital transmission, the difference between the data types became negligible from a transmission point of view -- it's all just ones and zeros. Networks can move digital data no matter what the source. Economies of scale can, and have, been realized by combining voice and data types onto fiber optic transmission networks at the national and metropolitan level. The resulting cost savings have largely driven the merging of voice and data.

A new technology has emerged and matured over the last two years that will even further blur the difference between voice and data networks. Voice over IP (VoIP) technology is designed to operate on local networks, rather than just metropolitan or national networks. VoIP in its full implementation is the complete merging of data, voice, video, and networks. Traditional separate voice systems such as PBXs, telephone cabling infrastructure, and proprietary telephone handsets are replaced with computer-based call managers, VoIP telephones, and voicemail devices that are Ethernet attached just like any other networked device. With a VoIP system, the same cabling infrastructure that is used for traditional network devices can also be used for VoIP devices. Such a combination simplifies the overall cabling infrastructure and lowers total costs of installation and maintenance. The same network monitoring system can be used to monitor both VoIP and data network devices.

As a result of successfully testing VoIP in a NETS and NCAB testbed during FY 01 and FY02, NETS and NCAB are confident in recommending full deployment of VoIP technology throughout UCAR over the next fiscal year. The NCAB members that tested the VoIP system are: Mark Bradford/JOSS, Tim Fredrick/ACD, Tres Hofmeister/RAP, Terry Murray/DIR/ISS, Bunny Pfau/HAO, Mark Moore/CGD, Brandon Slaten/ATD, Pat Waukau/MMM, Greg Woods/CISL. All NETS staff members tested the VoIP system.

A DRAFT deployment plan that shows the scope of telephones to be replaced and the scope of new equipment to be acquired is included. NETS will cover this transition out of existing funds.

Advantages of VoIP Technology

• Single system deployment
  • Employees with offices in multiple buildings could have same phone number and single message box.
• A single cabling system to provide both network and telephone service
• Simplification of adds/moves/changes for telephones
  • Users pick up their phones and move to their new office
• Ease of expansion to the system
• Ease of adding/upgrading features
• Standardization of equipment for both data and voice facilitates training and increases breadth of expertise
• Advanced re-dial and directory features
• Potential cost saving of local phone lines (fewer needed)
• Potential cost savings of long distance calls to other VoIP centers
• Single equipment location for both data and voice equipment
• Less spare equipment needed
• System setup time is the same or less then traditional telephone systems
• Potential for enhanced E911 service such as detailed staff locator
• A number of our partner universities and institutions are also in the process of deploying VoIP for the same reasons as outlined above, and we can and have leveraged their expertise.

Technical Readiness of VoIP

Voice over IP has been in use for many years. Many large corporations were the first to use VoIP to save on long distance charges to their remote offices. By combining their voice and data traffic over the same network connection, they were able to save the costs of added lines for voice calls or long distance charges.

In the past three years, VoIP has moved increasingly to local networks, and the installed base is growing rapidly - Cisco just announced shipment of their 1 millionth VoIP phone. IP telephones have been developed based on standards and have many new features and options not currently available with traditional telephones. Since VoIP rides on top of the existing network infrastructure, the conversion from a traditional telephone system is simpler than the replacement of a traditional system and may be performed incrementally. 

NETS took the approach of evaluating the new technology by installing a testbed, which could later become a fully operational system. NETS began the evaluation of VoIP over a year ago and is satisfied with its outcome. The Marshall Field Site is now fully operational as a testbed using VoIP and its related technologies. In addition to the testbed, NETS staff working on this project have attended various VoIP deployment and design sessions and performed extensive testing over the past year. NETS believes the VoIP technology is ready for further deployment.

VoIP Design

One of the major advantages of VoIP over existing PBX or exchange systems is the ability of the VoIP network to provide redundancy. The system can be designed so that each site can backup another site for its main call routing functions. Additionally, since the system uses the network backbone, redundant connections can be used to provide multiple paths to the call routing equipment and gateways to the local telephone company.

Redundant servers can supply call management, gateway, and voice mail services. Uninterruptible Power Supplies (UPS) can provide backup functionality in the event of a major power failure. Even generator backup can be designed into the system so extended power failure periods can be handled.

Since the VoIP system rides on the existing network cabling, no new cabling for the system is needed. This will make the conversion to the VoIP system fairly transparent to the end user.

Any VoIP roll out at a site would include the following:

• User training of new phone system
• Setup of call routing and voice mail servers
• Swapping port modules in existing network switches
• Installing the new IP telephone for each user
• Removing the old telephone and connection

Other companies who have performed the VoIP conversion of their existing telephone system seem to prefer the swapping of the new telephone for the old telephone in one step. This process guarantees that the new telephone system will be used instead of the old familiar telephone. Our testbed experience confirms this.

This plan attempts to take into account advancements in the equipment as it is deployed. Unlike traditional systems, we will be able to add new features and upgrade the system just by the installation of new software to the servers.

Cost

Since the network cabling upgrade process to all UCAR sites is in its final stages, now is an opportune time to use these resources to upgrade the telephone exchange system. NETS current schedule to begin again on the cycle to re-cable the UCAR sites does not begin until the 2005-6. This 2001-2006 time frame just happens to coincide with the planned replacement cycle of the existing PBX systems.

The cost comparison of traditional PBX systems to that of a VoIP system is difficult to determine since the two systems are vastly different. A traditional PBX system requires a single large processing unit where as a VoIP system uses multiple components and shares components of the installed network system. Additionally, the VoIP system inherently provides redundant components, which the traditional PBX system does not employ.

Phased VoIP roll-out

The installation of the VoIP system will be performed using a phased approach. A difficult decision arose in the telephone technology deployment for Center Green since we did not want to install outdated PBX equipment. We chose to install VoIP technology in anticipation of approval.

Conclusion

Now is the time to upgrade to a VoIP infrastructure since the voice mail systems and telephone PBX systems are due to be replaced and current equipment is having higher failure rate and is at end-of-life . Unlike traditional PBX systems, the VoIP system is based extensively on standards. Over time, this should provide an increased variety in the number of hardware and software solutions available from a wider variety of vendors at more and more attractive prices. VoIP installations use a modular design with multiple components to produce a complete system. This design inherently increases redundancy and makes upgrades of the individual components have far less of an impact on the system as a whole.

Therefore, we request formal approval to proceed with deployment of VoIP technology throughout UCAR.