1 © NOKIA

Customer NameYour Name

Nokia Broadband SystemsDate

2 © NOKIA

Nokia Excellence

Nokia strives for leadership in the most attractive global telecommunications segments through:

• Speed in anticipating and fulfilling evolving customer needs

• Quality in products and processes

• Openness with people and to new ideas and solutions

3 © NOKIA

Net Sales Grew by 48% in 1999

Net sales by business group:

Nokia Networks 29%

Nokia Mobile Phones 66%

Other Operations 5%

Global balance with aggressive growth in Americas:

0

5 000

10 000

15 000

20 000

1995 1996 1997 1998 1999

Americas 25%

Asia-Pacific 22%

Europe 53%

$US M

4 © NOKIA

Formulation of Nokia Broadband ServicesYour Partner in the Local Loop of the Future!

4Q99

VoIP

AcquiredVienna

Core IPRouting & Security

AcquiredIpsilon

DSL

AcquiredDiamond Lane

WLAN

AcquiredIntalk

W i r e l e s s T e l e p h o n y & D a t a

ConsolidatedPrograms

andElements

RelocatedBBS HQ toPetaluma, CA, USA

Wireless Home

Networking

BroadbandWireless Routers

AcquiredRooftop

Non-stop e-

Business Solutions

AcquiredNetworkAlchemy

Nokia’s rapidly expanding access portfolio

5 © NOKIA

Telephony

NetworkOperator

SmallBusiness

Provides Voice over DSL, high speed Internet access

HomeGateway

NetworkOperator

Provides gateway into home network, including wireless LAN

ContentProvider

Provides accessto information or services

Provides access to applications such as e-mail, WWW hosting, banking

ApplicationProvider

E NA

B

IL

NG

Many New Roles for the Network Operator in the New Access World

6 © NOKIA

Conversent Communications

Nokia Customers

for Broadband Services

7 © NOKIA

U.S. DSL DeploymentsDoubling Each Quarter

Over 25 Carriers Have DSL Deployed in over 50 Cities

YE ‘98

32,400

6,600

39,000

Q1 ‘99

62,000

11,000

73,000

Q2 ‘99

131,000

26,950

157,950

Q3 ‘99

220,000

52,160

272,160

U.S. ILECs

U.S. CLECs

TOTALS

ForecastedTotal DSL Lines

Source: Telechoice

YE ‘00

1.87M

YE ‘01

4.41M

YE ‘02

7.7M

Source: IDC & Nokia

YE ‘99

480,000

175,000

655,000

InstalledDSL Lines

8 © NOKIA

Access

Applications

Backbone

High value-added Information

Business Value Migrating toAccess and Applications

9 © NOKIA

Applications That Will Be Outsourced to ASPs in 2000 by the Small & Medium

Business (SMB) Market

Education and Training

e-Commerce–Catalogs, Transactions, Billing

Communication and Collaboration

Customer Service/Customer Relationship, Billing

Financial and Accounting

Sales Force Automation

Human Resources

Project Management

ERP

S

M

BMARKET

None

0 10 20 30 40 50

Supply Chain Management

OUTSOURCED APPLICATIONS (VOLUME)

Percentage of Businesses Interviewed

10 © NOKIA

Rapid Deployment: the Strategic Imperative for DSL Carriers

2 million active DSL customers in

the US by YE 2000 will determine

early postion in market share for

providers

The stock market values Bell

companies at over $2,000/subscriber

In the next three years 10 million

DSL subscriptions will be sold in the

US

The clear imperative is to rapidly

deploy a DSL network footprint

Services and Support

Complete Equipment Solutions

DSLAM Scalability and Management

Equipment Financing

Consumer Brand

Applications and Market Support

Field Proven Equipment

Vendors:

DSL Rapid Deployment

Partners, not just Suppliers

To succeed you need:

11 © NOKIA

Voice Infrastructure

Lucent

Alcatel

Data Enterprise

Cisco

3Com

Ericcson

WirelessMotorola CopperMountain

Nortel

Next GenIntegratedBroadbandNetworks

Wireline

Access Networks

Nokia is the Access NetworkProvider of the Future

Nokia’s experience in a variety of areas

makes Nokia the logical source for complete

access systems

12 © NOKIA

Nokia Broadband System Components

Network ManagementSystem

Nokia IP Authenticator

Nokia D50

Electronic Cross Connect & Loop Testing

Nokia Security Gateway

Nokia Charging Center (NCC)

Nokia Provideo

Voice Over DSL GatewayCPE

EMS

Nokia SMS1800(Remote Access Node)

13 © NOKIA

Home Networking via Wireless LAN

Nokia Broadband Network SolutionThe Future of the Local Loop

IP Radio/Wireless Local Loop

Nokia IP Authenticator

NMS

NokiaIP solutions NCC

D50 EMS

Small Business Voice over DSL via SDSL

High Speed Internet Access via ADSL

Office Interconnection via Wireless LAN

Voice Gateway

Router / IAD

ATM

Nokia MW1122

INTERNETFirewall

Firewall

14 © NOKIA

Hardware

Software

Network Management System

Nokia SMS1800 Remote Access Node

CPE/VoDSL

Customer Care & Billing

D50 System Overview

15 © NOKIA

Expanding Role for DSLAMs

More ServiceFunctionality

ATM Traffic Mgmt

ATM QoSATM Video Switching

Fiber/Wireless Dist.

MoreDSL

Types

More ServiceTypes

ADSLSDSLIDSLHDSLVDSL

Voice VideoFR

ATM DSLAMs Becoming Full Service Access Systems

16 © NOKIA

Central Office Configuration

ADSL CUSTOMER

SDSL CUSTOMER

IDSL CUSTOMER

CENTRAL OFFICE

ROUTERBRIDGE/MODEM NIC

ROUTERBRIDGE/MODEM NIC

OPTIONALMICROFILTER

MDFPSTN

Corporate

INTERNET

ADSL(Full

Rate or G.Lite

SDSL(2B1Q)

IDSL

DATA

VOICE+DATA

DATA

DS3/OC-3

NID

17 © NOKIA