December 7 2004 SIM Philly Workshop PBX IN

December 7, 2004 SIM Philly Workshop “PBX IN THE CLOUD” The GMACCH Vo. IP Experience Niraj Patel, CIO and EVP GMAC Commercial Holding Corp.

Technology: A Strong Force at GMACCH “GMACCH success in financial services has been facilitated by three core IT principles: - business innovation drives business success technology changes all the time IT brand supports the business brand” The Yankee Group Confidential and Proprietary to GMACCH

Technology Value Creation at GMACCH Initiation by industry pivot point, GMACCH pain point, and/or business process discontinuity Business innovation Enhanced business value Productivity insights Global IT Leadership Technology innovation / investment Enhanced technology value Strong business-IT alignment, strategic governance, IT brand are central to sustaining success Confidential and Proprietary to GMACCH

Validating the “INTRA-PRENEURSHIP” Two Data Points • The “paperless initiative” – Epitome • Speech enablement Confidential and Proprietary to GMACCH

Vo. IP Consumer and Corporate Acceptance Rising “VOIP has very much been in the ‘Dilbert’ stage in the past, but now it’s moving to the ‘Dagwood’ stage” CTO, Cisco Confidential and Proprietary to GMACCH

GMACCM Service Delivery Vision Third Party Applications and Portals GMACCM Applications Attendant Access Side Elements Speech Unified Messaging Audio / Web Conferencing Call Distribution Instant Messaging Hosted PBX Voice VPN Network Side Elements GMACCM Platform Regulatory Services Web Portal Voice Portal Security Accounting & Billing Element Management Media Server Translations & Routing Back End and Operational Support Systems Confidential and Proprietary to GMACCH

Hosted Communications 101 Network Communications Like IP PBX Like Centrex IP-based software model Rich PBX + multimedia functions Web-based control, MACs Scale, reliability Purchase incrementally Centralized control, mgmt. Open, standards-based Best of both worlds Consistent Global Service Delivery Enterprise Sites Confidential and Proprietary to GMACCH

Why Hosted PBX at GMACCH? • Industry lacked true enterprise value § LD bypass only one factor § No comprehensive offerings available • Natural extension to technology needed, along with operational consolidation strategies § Physical equipment had to be removed to achieve centralized leverage • Risk needed lowering § Regulatory § Operational § Capital expenditure § Consistent platform Confidential and Proprietary to GMACCH

GMACCH “Vo. IP-Enabled” For Some Time • International MPLS Network deployed § Global network covers 90% offices § Next generation network infrastructure delivers the efficiency and cost savings inherent with IP architecture • Operational convergence realized § Centralized processes to manage large volumes of traffic at significantly lower costs in place § “Data” has met “telecommunications” Confidential and Proprietary to GMACCH

GMACCH Hosted Voice Platform Enhanced LEC Point of Presence GMACCM Network Operations Center Broadsoft Class 5 Softswitch Network Gateways Softswitches PRI Media Gateways IMT Local Exchang e Switch Masergy IP MPLS Network Broadband Access Analog Phones KTS PBX IP Phones PC Clients Broadband User Access GMACCH Branch with Key System Confidential and Proprietary to GMACCH Branch

Vo. IP Milestones at GMACCH • Localized Speech Auto Attendant – May 2000 • Global MPLS network implemented – January 2002 § Foundation for converged communication platform • Voice Trunking – January 2002 § International and Domestic • IP PBX Deployment – March 2002 § Limited soft phone/IP phone deployment o Lacked geographical virtualization • International Vo. IP termination – January 2003 • Global Speech Auto Attendant – March 2004 § Ensures leverage of VOIP § Centralized infrastructure Confidential and Proprietary to GMACCH

Vo. IP Milestones at GMACCH • Softswitch Implemented – July 2004 § Full feature hosted solution § Geographical virtualization § Next Generation Trunking - SIP Origination • Direct Outward Dial – September 2004 Confidential and Proprietary to GMACCH

QOS: At the core of the Network Wide Area Bridged DLC Routed IPX Routed IP IP only Pure IP with Qo. S Frame Relay 56 KB Spoke & Hub (1) Routed IPX Routed IP Frame Relay Fractional T 1 Spoke & Hub Int’l Frame Relay Fractional T 1/E 1 Spoke & Hub Int’l MPLS(1) T 1/DS 3/E 1/E 3 Fully Meshed MLPS = Multiprotocol Label Switching Confidential and Proprietary to GMACCH

Vo. IP Technology Evolution at GMACCH Switch Architecture Router-based VOIP modules Trunking PBX & ITG VOIP cards (homogenous topology) Off. Net Termination VOIP PBX SIP Origination and Termination Vo. IP Deliverables Confidential and Proprietary to GMACCH Softswitch Do. D (Direct Outward Dial

Vo. IP Value Proposition • Enterprise wide “standard” communications platform § Single system for communication § Links all employees and locations without geographic limitations • Improved service assurance § Carrier-grade performance, survivability, business continuity, risk management • More effective employees § Speedier project execution, reduced travel, enhanced collaboration § Tele-worker/mobile support “find-me, follow-me” • Improved total cost of ownership (TCO), ROI § Converged access = aggregation savings § Open standards = lower cost equipment § Web-based self-service management § On-net voice calling = lower long distance Confidential and Proprietary to GMACCH

Speech: An Early Application Speech Technology Call Center “Screen Pops”, Dealer Loans VRU/IVR – Voice Response/ Interactive Voice Auto. Attendant x 3200 Telephonic Speech Recognition (Speech. Works) Olive Telephonic Speech Reco (Speech. Works) with Natural Text to Speech (Speechify) Confidential and Proprietary to GMACCH Olive. NET Speech. NET – Multimodal Multianswer Speech Reco/Natural Text to Speech

Monetizing the Vo. IP Opportunity • Special Servicing § Increase property revenue with hosted Vo. IP offering § Return property to performing state • Asset Backed Lending § Replace telecommunications capital expense at loan funding § Accelerate franchise expansion Confidential and Proprietary to GMACCH