Optical Investment Directions Internet 2 Fall Member Meeting

1. Optical Investment DirectionsInternet 2 Fall Member Meeting Rod Wilson Director, Advanced Technology Investments rgwilson@nortelnetworks.com

2. Nortel Networks Ottawa Labs

3. Optical Network Platform Evolution • Traditional: Transport + DCS • Digital Hierarchy, DCS for interconnect • OC-n Hierarchy, linear and rings • High number of NEs & fiber (2.5G) • PMO: Optical Transport • OC-n/WDM hierarchy (CWDM, DWDM) • Linear, rings and mesh interconnect • Integrated circuit switching • Reduce number of NEs & fiber (WDM) • FMO: Optical and Packet Transport • Optical Network Intelligence • New Circuit Prov’n & Test Models • Integrated Packet Switching • Improved bandwidth utilization • Target: Integrated L2 Transport • Converged transport for all services • Grid Computing N/Ws, 100GE, TE • Reduced # of NE’s and interconnect OC-48 OC-12 OC-48 OC-192 PMO (Present Method of Operations) MSPP MSPP 0:1 Ring FMO (Future Method of Operations) OCS Mesh MSPP MSPP Target

4. SDH/SONET DWDM/OTN 2.5G 2.5G 2.5G 2.5G HDX / OME Nortel Terminals 10G 10G x NGM 10G 10G Investing in Switching Innovation Advanced L2 Services l Services Advanced Optics Integration Core Packet Switch OC12/48/192 RPR Mesh Protection/Restoration GFP 2.5/10G RPR GE/10Ge Scalable OXC • Layer 2 Integration • Integrated TDM and Packet Fabric • Scalable / Modular • Full Network Transparency • Sonet/SDH  OTN • GFP / VCAT / LCAS • G.Modem / TPE / VCAT • Bandwidth Efficiency • Service / Fault Correlation • Per Lambda Dispersion Compensation • Compensate when necessary • Reduce Unnecessary OEO and expensive Bulk Dispersion compensation • Fast end to end provisioning • Intelligent restoration • Seamless Integration within Existing Network • Sonet/SDH look and feel • ADM consolidation with Integrated OXC capabilities • Reliable and Fast Switch times • Robust and Scalable • Interworking with Installed Base • Introduction of SFP

5. Optical mixer Local Oscillator 2.5G 2.5G 2.5G 2.5G Nortel Nortel Terminals Terminals 10G 10G x NGM 10G 10G Investing in Photonics Innovation Agile Coherent Rx Higher Order Modulation Layer 0 ASTN Next Generation E/O Engine Remotely Configurable OADM • Removal of last colored components • Higher capacity, better impairments avoidance • Simpler OADM nodes • Encryption for customer separation • Higher bit-rate Services • 4 times Spectral Efficiency improvement • Fiber quality agnostic • No reach impairments for higher bit rates • Fast end to end provisioning • Intelligent restoration • Per Lambda Dispersion Compensation • Compensate when necessary • Reduce Unnecessary OEO and expensive Bulk Dispersion compensation • All Optical Dynamic lambda access • Reduction in optical patch cords

6. MSP Optical Multiservice Edge Shelf Overview Packet & Transponder configurations Grooming configurations • Description • 4 per bay solution • 19” wide shelf, 8U high, single depth • 1.0” pitch cards – 14 service slots • Any Slot = Any Service • Dual SPs integrated shelf comms • Single width Fabric • 80G / 160G/ 320G • X-Conn slot usable for optical card when switching fabric not required • Capabilities • 10G slots (8) … 10GE LAN per Slot • 20G single width HS slots (4) • 40G double width HS slots (2) • 100baseT communication links • S/W and OAM • Evolution of current S/W platforms • Site Manager and Optical Manager (smooth operations fit) OTR/Packet Access Panel OCP Fiber Routing 10G Service 10G Service 10G Service 10G Service 20G Service 20G Service 160G X-conn 160G X-conn 20G Service 20G Service 10G Service 10G Service 10G Service 10G Service SP SP PWR M I C 14” PWR 17 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 11” 17” Flexible, Scaleable, Cost-Efficient Configurations

7. Access Network OME Target Application:Scaleable Dynamic Optical Connectivity Servers Storage UNI Edge Network OPTera Connect HDX Data Layer UNI Core Router Core Network OME 6500 OPTera Metro Servers OME 6500 Storage Key Features Meaning… • Expand service offerings with bandwidth on demand • Increase traffic by enabling new applications • Infrastructure optimization simplification • Automating manual operations • Authenticated auto-discovery of client peers • Policy-based bandwidth management • Usage Monitoring & performance verification • Cross-layer network coordination • Enabling multiple service classes Harnessing customizable bandwidth from the edge for any application

8. Dramatic simplification of the Line DWDM system: lowest initial first cost, removal of operational complexities and expensive optical components Enhanced capacity and reach through technology enhancements on the Service NEs One Line DWDM platform with building blocks to support cost-optimized metro, regional, long haul applications Reduced Operating costs w/ common spares, training, operations, documentation... Next Gen DWDM line platformCommon Philosophy, common design approach Service NEs DX/HDX/HDXc l1 Common Photonic Layer DT Vendor ‘x’ OM5200 l n OM3500 OME6500 Meaning… Regional Optical Networks can play on the same fibre but remain independent of each other

9. Thank you