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Q & A
Cisco Managed IP Telephony Solution
Q. What is the Cisco Managed IP Telephony solution?
A. The Cisco Managed IP Telephony solution enables service providers to offer profitable,
managed Cisco AVVID (Architecture for Voice, Video and Integrated Data) IP Telephony
services to business customers. The solution, managed by the service provider, includes Cisco
AVVID IP Telephony product components, Cisco and third-party management tools, and IP
telephony design resources. The service provider deploys and provides ongoing support
services for its customer’s Cisco AVVID IP Telephony solution. These services may include
systems, network, and performance management; fault monitoring; network security;
capacity planning; configuration management; and help desk.
Q. What are the market forces behind this solution?
A. Enterprises are seeking to lower costs and increase productivity from converged voice and
data services. According to a Meta Group survey, almost 70 percent of respondents believe
that converging their networks will help them realize moderate to substantial infrastructure
savings. Fifty percent expect moderate to substantial administrative cost savings. And 60
percent expect to achieve moderate to substantial toll bypass savings. This demand for
converged voice and data services is reflected in the growth of the IP private branch exchange
(PBX) market. With compound annual growth rate (CAGR) exceeding 35 percent, IP PBXs
are projected to exceed one-half of all PBX line shipments by 2004, according to Phillips
The managed IP telephony opportunity is accelerated by the growing portion of enterprises
that want to outsource the provisioning and ongoing management of their voice services so
they can focus on core competencies. Businesses can lower internal support and capital costs
in favor of predictable communications expenditures with a Managed IP T