Oki Electric Begins Full Operation of a Japan's Largest Integrated Voice/data IP-VPN Network

"Oki is a leading company in Japan providing integrated voice/data IP-VPN services and VoIP (Voice over Internet Protocol) services on dedicated leased lines to many companies with dozens of branches," said Keiichi Tezuka, General Manager of the Network System Integration Division at Oki Electric. "We have been evaluating various technical issues by establishing the network, so that we may be better prepared to offer high-quality and reliable integrated voice/data IP-VPN networks to customers with larger networks."

Capitalizing upon its expertise in providing IP-VPN and VoIP services to the business market, the company has been working with Japan's top-class carriers to evaluate voice and data integration over an IP-VPN network from the earliest stages in 2000, when these type I carriers began offering IP-VPN services. Along with offering the services to business users, Oki also markets VoIP equipment, such as the "BV1250 Internet Voice Gateway," as well as additional network equipment.

The integrated voice/data IP-VPN network introduced by Oki expands to cover more than 300 Oki group company sites, and more than 25,000 employees use the network. In this process, Oki first changed its frame-relay data networks to the IP-VPN, and then gradually integrated the dedicated PBX phone networks into VoIP using Oki's VoIP equipment.

Through the introduction and evaluation of the network, Oki has succeeded in developing several technical breakthroughs, including multiple simultaneous voice channels with high voice quality even alongside data in a low-speed network: two channels at 64kbps and four channels at 128kbps. Oki has also succeeded in voice/data integration without parceling the voice into small data packets, which enables smooth data transfer. The company realized the establishment of an intelligent enterprise network based upon IP-VPN services, by integrating even the mission critical systems using the QoS (Quality of Service) function, enhancing network reliability and security. The network also brought about a reduction in the TCO, including a 40% reduction in communications cost and an 80% reduction in network operation and management costs.

"Based upon the know-how's we got from the network, Oki is expanding the scope of its IP-VPN services via '@PTOP' to include larger business networks with thousands of sites, and enhancing its offerings with one-stop services from network construction to operation and maintenance, including any outsourcing services necessary for the smooth implementation of IP-VPN networks," said Tezuka.

Major results of the introduction of integrated voice/data IP-VPN

< Technical >

1. Technical breakthroughs
   
   

   -Multiple simultaneous voice channels on low-speed data network:

   By combining Oki's jitter buffer technology used in VoIP gateway equipment with the IP-VPN priority-control function, it is possible to provide two channels of simultaneous voice communication at 64kbps, and four channels at 128kbps, even with integrated data.

   -Voice/data integration on ATM and frame-relay access lines:

   Oki's network design displays no loss and less delayed packet transfer, for high voice quality even when using ATM or frame-relay for an access network, where packet losses and delays sometimes occur.

   -No data degradation on voice/data integrated network:

   Oki's jitter buffer technology enables the integration of voice communications into a data network without parceling the voice into small data packets, which results in increases data headers and the ineffective data transfer. Thanks to this technology, data traffic is ensured to take advantage of the maximum open bandwidth on the integrated voice/data network.

2. Establishment of an intelligent enterprise network based upon IP-VPN service
   
   

   -Integration of a mission critical system to the network using the IP-VPN QoS function:

   Traffic for mission critical business can also be prioritized with the IP-VPN QoS function, so not only voice but other applications - even those dealing with mission critical business data -- may be integrated into one converged network.

   -Enhancement of network reliability using dynamic routing:

   Dynamic routing, established at major sites, provides redundancy, improving network reliability. It is also possible to distribute traffic among several lines via load balancing, which prevents network shutdown.

   -Enhancement of communication security by dividing the VPN into groups:

   To maintain the security of group company Intranets, this integrated voice/data IP-VPN network is separated into the different VPN networks of the various companies, allowing communication between VPN networks to be monitored and filtered.

< TCO reduction >

1. An approximately 40% reduction in communications cost
2. Outsourcing of the existing dedicated frame-relay network lines and equipment to a carrier
3. An approximately 80% reduction in operation and management costs resulting from network integration and equipment outsourcing

About Oki Electric Industry Co., Ltd.
Founded more than a century ago in 1881, Oki Electric Industry Co., Ltd. is Japan's first telecommunications manufacturer, headquartered in Tokyo, Japan. With more than 25,000 employees worldwide, Oki Electric provides customers with top-quality products and technologies for telecommunication systems, information systems and electronic devices.