Internal document

Sales Brief
October 2017

IP Routing portfolio
Introduction
Nokia’s IP routing business is focused on delivering the routing infrastructure required to address the shift to video,
cloud-based services, LTE/5G and Internet of Things (IOT).
Communications Service Providers (CSPs) can create, deliver, and monetize IP-based network services for residential,
enterprise, and mobile customers. Webscale companies can address unbounded traffic growth and achieve the highest
levels of network and asset efficiency. Public sector organizations and private enterprises can roll out new mission-critical
and business applications.
Our routing portfolio offers the right product mix to meet the scale, performance, and capability requirements of modern
IP networks while offering compelling economic benefits. Customers can choose between and create a network mix of a
variety of systems based on in-house custom-designed, or off-the-shelf silicon.

The IP Value Proposition

Nokia market position
• Based on 2Q 2017 analyst reports (Dell'Oro and IHS-Markit), Nokia has a #2 market position in IP Edge Routing
globally; #2 market position for total routing in EMEA and CALA regions and a strong and growing market share in the
IP Core routing segment. The worldwide Router & Carrier Ethernet Switch (CES) market (Dell’Oro July 2017 forecast
report) is forecasted to be $16.8 B in 2021.
• We have shipped 760K+ IP systems since 2003 with >700 SP IP customers, including 50 of the world’s largest SPs
and 690+ customers in a range of industry segments including transportation, energy, government, and large
enterprises
• We have achieved 3B US$ annual IP revenues for the past 3 years with 10+ years of annual YoY revenue growth

Why Nokia for IP Routing?

Nokia IP networking solutions help CSPs, webscale companies, enterprises and public-sector organizations prepare for the
future by building much bigger, safer, and more adaptive networks. In June 2017 Nokia launched (IP Networks Reimagined)
their newest generation of IP routing silicon (Nokia FP4 2.4 Tb/s routing silicon) which powers new and existing FP silicon
based IP routing platforms. This launch also introduced a new insight-driven automated model (powered by our Deepfield
and Network Services Platform (NSP) solutions) which leverages massive data from the network, and rapidly translates it
into insights that can be automatically programmed at a granular level to improve network behaviors and performance.
With these announcements, Nokia introduces “cloud-scale routing “to meet the evolving needs of modern IP networks.

Our routers enable, CSPs, webscale companies, enterprises and public-sector organizations to
• Increase market share by delivering more compelling, personalized applications and services
• Grow revenues by expanding into new markets or addressing new customer segments
• Support enterprise WANs with high-performance IP routing and seamless connectivity to the data center, the
internet, branch offices, and field devices
• Transform legacy networks and maintain mission critical operations

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Our customers can transform their IP network with:

• Custom routing silicon (Nokia 2.4 Tb/s FP4 is our latest generation of IP routing silicon) based platforms that deliver
unprecedented scale and density without compromising capability or performance
• Off the shelf (Broadcom) silicon based platforms, which offer the right economics for interconnectivity within data
centers and across the WAN (IP aggregation and IP mobile transport applications)
• A feature-rich router operating system that provides very high reliability and scale for IP/MPLS features and functions
• Flexibility to choose between physical and virtualized IP routing functions based on business and technology
requirements while maintaining consistency of operations throughout your network
• Enhanced, network-based intelligence and control to enable real-time optimization of network services and minimize
the impact of security threats, such as Distributed Denial of Service (DDoS) attacks
• Carrier SDN control for dynamic and programmable network configuration that minimizes delays, errors, and
operational complexity in addition to supporting faster service rollouts than ever before
• Real-time visibility and control which enables dynamic responses to changing traffic patterns and security threats

Nokia is a leader in IP Routing

• We have a track record of technology leadership and silicon innovation (First to deliver 10G, 100G and 400G network
processor chipsets and first to deliver 100G and 400G clear channel flows), enabling our customers to be innovators
and time-to-market leaders. FP4 continues this legacy and silicon design leadership (First 2.4-Tb/s NP, First NP to
support 1-Tb/s clear channel flows)
• We offer outstanding investment protection, with every IP platform designed with leading edge hardware attributes
supporting full backwards compatibility when mixing FP3 and FP4-based products, ensuring the flexibility to
accommodate future services and ever-expanding capacity requirements;
• We have extensive experience in working with the world’s leading CSPs to deliver global, large-scale IP transformation
projects (including those at AT&T [U-verse], BT [21 CN], NTT-DoCoMo, America Movil, Verizon, Telefonica, Comcast,
Liberty Global International)
• We have helped many enterprise, industry, and public-sector customers worldwide (including UPMC, AltaLink, Swiss
Grid, SBB, Avinor, City of Dallas, Rio Tinto, Tampnet and others) deploy IP/MPLS networks as part of their mission-
critical infrastructures. Our IP routing solution includes features and platforms tailored to address industry-specific
interface and environmental requirements.
• Public cloud providers, social media companies, application and content providers are becoming critical building
blocks of the global internet infrastructure. These webscale companies can benefit from our comprehensive IP
portfolio which offers massive scale, high performance and real-time automation in webscale data center, edge and
backbone networks. We are actively engaged with webscale companies of all sizes to help deliver the scale and
economies while ensuring the quality experience their customers demand.

Target customer segments

IP routing for CSPs

Residential service delivery networks are being transformed to address IP video requirements and likely market erosion
threats from over-the-top (OTT) providers. Enterprise networks are evolving to embrace the potential of the cloud and
demanding more agility and on demand pricing and operations models. With the larger penetration of FTTx access and
regulatory changes, wholesale access for residential and business services is also becoming more important as a separate
line of business. Mobile networks are transitioning to IP in support of higher speeds, greater reach and new service
models. As they navigate this period of transition, network operators must look beyond basic network connectivity
services. The new world for CSPs is to evolve and leverage their core asset of network infrastructure to layer-on new,
compelling services. This is where the real value of Nokia’s IP Routing strategy emerges. We enable the evolution to

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cloud-oriented services by adopting SDN and NFV technologies to provide service innovation (new services/ improved
models for expanding current services) and service velocity (agility and operations simplifications).
Nokia’s IP Routing portfolio enables the following CSP services:
• Residential Services and their evolution: Delivery of High Speed Internet (HSI), VoIP, IP TV, Video on Demand, Wi-Fi
services and evolution of residential services (Residential Broadband Services solution) to support new deployment
models which leverage IP Routing virtualization deployment models.
• Enterprise services and their evolution: Leveraging SDN, NFV and service orchestration to deliver Dynamic Enterprise
Services. This includes network connectivity services, managed services and cloud services which leverage SD-WAN, IP
VPN, and Carrier Ethernet networking infrastructure and technologies.
• Wholesale services: enabling improved delivery of business and residential services for third-party access seekers
using flexible combination of L2 and L3 connectivity.
• Mobile transport and its evolution: Mobile users expect better connectivity. Cloud-based applications and the
Internet of Things (IoT) are putting tremendous demands on networks. The mobile transport network must be ready
before new architectures, such as centralized and cloud RAN, distributed and cloud mobile core, and Multi-access
Edge Computing (MEC), can be implemented. Our IP mobile anyhaul portfolio is a future-ready solution, which
ensures CSPs are on the path to 5G. Scalable and compatible, it extends your infrastructure investment and allows
you to be one of the first to support ultra-broadband connectivity and IoT applications. Our secure IP backhaul
solutions have been globally deployed with some of the world’s largest operators and are proven to meet the rapid
expansion challenge will streamlining ongoing management and operations.
• Wi-Fi: No operator’s mobile broadband strategy is complete without Wi-Fi technologies and services. The potential for
new revenue generation is compelling, and in many markets competitive positioning demands it. The role of the WLAN
GW has become critical in helping to deliver a simple, secure and seamless user experience across wireline and
wireless networks. The WLAN GW anchors the Wi-Fi access infrastructures, while also providing the gateway to the IP
based wireless and wireline service networks.

IP Routing for Webscale

Webscale is a mindset and approach, initially embodied by the big cloud/application service providers (Google, Amazon,
FB, Netflix, MSFT…) Webscale companies span diverse segments and industries; ranging from SaaS, PaaS, travel, TV &
video streaming, content delivery, data storage, gaming, social apps, etc.
Webscale companies have unique requirements
• Webscale companies are faced with building very high capacity networks to deliver huge amounts of internet traffic
from and between their data centers.
• The network must have massive capacity and it must be reliable, easy to run, secure and cost effective.
• Besides scale which is an obvious need, automation and open frameworks are very important for these customers
• Webscale networks are not just about the datacenter. It’s the datacenters as well as the connectivity between
datacenters and wide area network and Internet peering roles
Nokia IP networking solutions (IP networking for webscale) help webscale companies build bigger, smarter, safer and more
automated webscale networking infrastructure.
• We leverage our 15+ year expertise and success in the largest CSP networks to offer unique capabilities that matter
to webscale customers
• Nokia continues to innovate with new technology & products (7750 SR-s series based on FP4 silicon and the 7250
IXR-6/IXR-10 platforms based on off the shelf Broadcom silicon) which are purpose built for webscale, providing
choice between custom and merchant silicon based platforms to meet specific roles and requirements within
webscale networks.
• Our proven, highly reliable and feature rich router operating system – SR OS provides significant benefits compared
to vendors who offer limited software features.

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• Our insight-driven automation framework leverages model driven programmability (Netconf /YANG and streaming
telemetry), SDN (Nuage DC SDN and Nokia NSP for Carrier SDN) and big data analytics (Deepfield) solutions to
streamline and simplify operations.
• Benefit from enhanced packet intelligence and control for surgical IP payload filtering. Pit the massive capacity of our
2.4 Tb/s Nokia FP4 routing silicon against volumetric DDoS attacks and free up scrubbing center resources for
application-level DDoS attack mitigation

IP Routing for industries

Nokia provides mission critical WAN and private WAN solutions for organizations in many industries, including
transportation, energy, government, healthcare, finance, education, and other enterprises. We help them meet essential
communications and business needs with a WAN that combines the best of IP/MPLS, optical, and microwave technologies.
Our IP routing portfolio enables an IP/MPLS network infrastructure which supports network resiliency, quality of service,
virtualization, convergence and a management platform that automates and simplifies operations.
An MPLS enabled IP network,
• Is highly scalable and reliable with advanced capabilities, including non-stop routing, non-stop services and FRR
• Addresses a range of QoS requirements
• Optimizes bandwidth usage through traffic engineering
• Has extensive OAM tools for troubleshooting and maintenance

Nokia IP Routing Portfolio

Our IP routing portfolio offers the right product mix to meet the scale, performance, and capability requirements of
modern IP networks, while offering compelling economic benefits. CSPs, enterprise, industry, public sector and webscale
customers have the freedom to choose physical platforms (based on customized or off-the-shelf silicon) and/or
virtualized systems, based on their specific network and business requirements.

The portfolio includes:

• 7950 XRS (eXtensible Routing System): Drawing on our proven custom silicon, software, and systems integration
innovations, the 7950 XRS product family helps build IP core (IP backbone) networks with enough headroom to meet
capacity demands well into the next decade.
• 7750 SR (Service Router): The Nokia 7750 Service Router (SR) product family (based on FP silicon) provides high-
performance networking which helps support an extensive range of IP applications and network functions for service
provider, webscale and enterprise networks.
• 7450 ESS (Ethernet Service Switch): The Nokia 7450 Ethernet Service Switch (ESS) family of IP/MPLS based Carrier
Ethernet switch routers is designed to deliver advanced Carrier Ethernet services. It also provides metro Ethernet
aggregation of fixed and mobile networks.
• 7250 IXR (Interconnect Router): The 7250 IXR product family enables high-scale interconnect for data center, WAN,
and IP anyhaul networks. The Nokia 7250 IXR-6 and IXR-10 platforms deliver terabit-scale interconnectivity within
data centers and across WANs in service provider, webscale and enterprise networks. The 7250 IXR-R6 is purpose-
built for mobile anyhaul, fixed-mobile convergence, and mission-critical applications.
• 7705 SAR (Service Aggregation Router): The 7705 SAR is a compact aggregation/routing platform for fixed and
wireless IP network transformation, supporting MBH for service providers and mission critical WANs for enterprise,
industry, and public-sector deployments
• 7210 SAS (Service Access Switch): The 7210 SAS product family provides the deployment flexibility, service richness
and operational intelligence needed to extend IP/MPLS and Carrier Ethernet throughout the access and aggregation
network.

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• Virtualized Service Router (VSR): The Nokia Virtualized Service Router (VSR) is a highly flexible virtualized IP edge
router designed and optimized for telco cloud environments. It enables rapid service innovation while lowering
operating costs. With the VSR, service providers can extend service reach, open new markets, and accelerate time to
market.
• Related products/solutions
o Network Services Platform (NSP): The NSP is A carrier SDN platform that unifies service automation,
network optimization and dynamic assurance for delivery of profitable, on-demand network services and
applications
o Deepfield solution: Our Deepfield solution delivers the real-time, multi-dimensional insight needed to
pinpoint and resolve configuration issues, increase subscriber satisfaction, reduce churn, and secure
networks from today’s highly complex DDoS attacks—without the escalating costs of dedicated appliances.

Competitive positioning
The following section provides attack points against our key competitors in the IP routing market.
Cisco
• Cisco’s routing portfolio has historically become fragmented with different routing platforms running different
operating systems required for the delivery of different services.
• Cisco has traditionally relied on third party silicon for building their high-end routers leading to router designs that do
not meet the scale and feature requirements for the new era of Core and Edge routing.
• Cisco’s Edge routers (ASR9K) are built using off the shelf chipsets from EZChip. Our internal assessment based on lab
evaluation of line cards on the ASR9K platform has identified many deficiencies and performance issues that can be
attributed to the EZChip chipset dependency. The evolution of the ASR9K is a bit unclear i.e. will they continue the
EZChip path, offer their own custom silicon or offer Broadcom silicon based line cards.
• Cisco’s platform for core router evolution (the NCS 6000) occupies a very large physical footprint and is based on a
new chip developed in-house by Cisco. Despite being announced over 2 years after Nokia’s 400G FP3 chipset, this
new chip and platform misses the mark and is deficient in several feature areas, and lacks the versatility which Nokia
offers on their FP based routing platforms. Further the NCS 6000 has limited successes to show thus far, raising
questions on the strategic direction of this platform.
• Cisco’s NCS5000 and NCS5500 series of platforms are based on Broadcom “off the shelf” silicon. Cisco has recently
been focussing a lot of efforts in pushing these systems into their install base. In some cases, Cisco is positioning
these systems in roles beyond what the initial chipset was designed for (Broadcom positions their Jericho ASIC as a
switching ASIC). This is clearly an example of Cisco’s well know “Bait and Switch” approach i.e. promise a capability in
the bid stages and when requirements change later - to offer alternative line cards and/or platforms.
• Nokia’s biggest advantage continues to be its silicon leadership, freedom of choice between custom and off the shelf
silicon based systems, our customer installed base and far superior router design and performance.

Juniper
• Juniper initially established themselves as a credible vendor in the early 2000s with their leadership in router
software and the introduction of a new breed of Internet routers that were superior to and offered an alternative to
Cisco at that time. They have tried to expand into other segments (e.g. enterprise), but have recently begun to re-
focus on service provider and cloud provider customers
• Juniper has multiple custom silicon chipsets across their portfolio and product lines. With the introduction of the
latest Nokia FP4 2.4 Tb/s routing silicon, Nokia has a significant advantage over Juniper’s routing platforms (in terms
of systems capacity and scale)
• Juniper portfolio includes their MX series (Carrier Ethernet and IP Edge routers). PTX series (core router) and the QFX
series (For DC aggregation and WAN aggregation)

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• Juniper is a single-play (IP routing) technology vendor, i.e. Juniper has no mobile and fixed access offerings and even
with the purchase of BTI systems lacks a credible Optical portfolio to address the wide range of SP and segment
requirements.

Huawei
• Huawei’s IP router market successes are typically weighted towards specific countries or geographies (China, APAC,
LAM), which does not represent true global IP routing success
• The 7950 XRS is a technically far superior platform (compared to Huawei’s core routing platforms) as it was built from
the ground up to support a new era of core routing. The 7950 XRS’s superior building blocks include; the industry’s
first 2.4 Tb/s router chipset, mature, robust, field proven routing software, a comprehensive power system design
and an industry-leading thermal design which together deliver a highly scalable, efficient and versatile core routing
platform. We have scored contracts in the largest service provider networks worldwide.
• Huawei has multiple platforms for delivery of Edge services functions. The NE40E-X platforms are primarily positioned
for Business services applications. For residential services applications, they position their ME60 platforms. In
comparison, Nokia’s 7750 SR is a true converged Edge platform which supports delivery of residential, business and
mobile services. Nokia’s biggest advantage against Huawei are Nokia’s global IP presence, IP successes and our
portfolio breadth

Contacts
IP Marketing:

Houman Modarres IP Marketing – IP Routing and Packet Core

Anthony Peres IP Marketing – IP Routing

IP Routing Please refer to the Products section in the

Product Marketing leads IP Routing Sales Center

Carrier SDN & NSM Please refer to the

Product Marketing leads Carrier SDN, Network Management Sales Center

Deepfield Please refer to the

Marketing leads Deepfield Sales Center

Americas:

Andrew Missing IP RBC – NAR Marketing

Jeff Sugimoto IP RBC – Americas (NAR) Consulting Engineering

Jeff Valley IP RBC – Americas (NAR) Consulting Engineering

Mauricio Franco IP RBC – Americas (CALA) Consulting Engineering

APAC:

Xu Dong IP RBC – APAC Marketing

Andrew Dolagnow IP RBC – APAC Consulting Engineering

Brian Walsh IP RBC – APAC Consulting Engineering

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EMEA:

Roland Thienpont IP RBC – EMEA Marketing

Wim Henderickx IP RBC – EMEA Consulting Engineering

Daniel Derksen IP RBC – EMEA Consulting Engineering

Global product tool or global solution tool link

External product page : http://networks.nokia.com/portfolio/products/ip-routing
Sales resource center: https://nokia.sharepoint.com/sites/sales-center/ION/IPRouting

Related products and solutions

Products:
IP Core Router:
7950 eXtensible Routing System (XRS)
IP Edge Router:
7750 Service Router (SR)
IP Interconnect Router
7250 Interconnect Router (IXR)
IP access and aggregation routers:
7450 Ethernet Services Switch (ESS) / 7705 Service Aggregation Router (SAR) / 7210 Service Access Switch (SAS)/
IP Routing Virtualization:
Virtualized Service Router (VSR)
Carrier SDN and Big data analytics:
Network Services Platform (NSP)
Deepfield solution
Solutions:
IP Edge Routing : Build an efficient IP Edge network that will help you generate new service revenue, deliver more
bandwidth and operate more efficiently
IP Networking for Webscale : Build bigger, smarter, safer and more automated webscale networks.
IP Mobile Anyhaul: Deliver flawless mobile experiences and prepare for 5G with solutions purpose-built for ultra-
broadband connectivity and IOT
Dynamic Enterprise Services : Deliver dynamic services which give enterprises the agility, automation and assurance they
need to succeed.
Residential Broadband Services : Deliver reliable, ubiquitous, and personalized residential services for cloud-connected
living and the Internet of Things
Smart Wi-Fi Gateway: Fulfill service expansion strategies by including carrier Wi-Fi capabilities
IP/Optical Integration: Optimize network resources, costs and performance by integrating your IP routing and optical
transport networks

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