Executive Summary

This White Paper describes HotPools™ technology; a unique ZyTrax hardware and software combination that enables IP Network Operators (Internet or Intranet) to optimize the balance of investment to cost for network access equipment and services. New services may be developed by ISPs and Intranet operators that balance High Quality of Service with the budgetary needs of customers and clients. HotPools™ represents an incremental and low risk technological approach but a radical step forward in terms of service and profitability.

HotPools™ manages pools of 'links' (in any combination of Wired or Wireless) that are dynamically connected and "bundled" based on user demand, usage patterns, configuration and budget:

HotPools™ provides the following benefits:

• Multiple links are treated as a single connection irrespective of the connection type (wired or wireless) to which the channel is connected.

• New capacity (wired or wireless) may be added incrementally based on service need, not supplier packaging.

• QoS features enable delivery of precisely shaped and managed user traffic.

• Capital outlay is directly tied to capacity requirement (and therefore revenue or costs).

• Capital costs are typically 25% - 50% of equivalent competitive solutions.

Permanent Virtual Access (PVA) is a service model that allows the ISP or Intranet operator to offer all the benefits of permanent access while not consuming dedicated resources (router capacity or access lines). ZyTrax PVA uniquely provides both Inbound and Outbound Internet/Intranet access.

• A single wired channel (or wireless cell group) using PVA will typically service 4 to 16 users concurrently with minimal degradation in service and throughput.

• New services can be developed by the ISP or Intranet operator tailored to suit user budgets. Examples of Outbound services are instant e-mail, low volume Web site access, Internet voice/telephony.

• Access costs are typically 25 - 50% lower depending on traffic and loading patterns.

HotPools™ and Permanent Virtual Access products are the optimum way for ISPs to compete aggressively on service price while maintaining and enhancing profitability. For the Intranet operator they offer the ability to tie costs directly to quality of service requirements. Additional information on PVA may be found here.