Agenda

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Agenda

• Who are Cerebrus Solutions Limited ?
• The Revenue Assurance Challenge
• Cerebrus Product Portfolio and Unique
  Differentiators
• Why buy from Cerebrus ?
• Agreed Next Steps

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Cerebrus Solutions

• Founded in 1997 as Nortel Networks Fraud
  Solutions business
• Significant RD investment
• 2001 Planned spinout with key investor Argo
  Global Capital
• Agilent Technologies - Cerebrus Solutions
  partner organisation and shareholder
• Market leading SS7 Solutions Provider (acceSS7)
• Core Business
• Telecom Fraud Management Revenue Assurance
  Domain Knowledge Expertise
• A Leading Provider of Revenue Assurance Fraud
  Management Software Solutions to the Telecoms
  Industry
• World leader in GSM Fraud Management Solutions
• Global Reach Regional Focus
• America's, East, West and Med Europe, Middle East
  and Africa, ASIAPAC

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Cerebrus Customer Base
EMEA
Asia Pac
Americas
Global customer base consisting of both mobile
and fixed line operators
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Revenue Lo
Lost CDRs 3
Fraud 3-5
Lost Revenue
Average leakage of 1 8 million/telco (PWC)
Revenue Realized

Source Analysis Survey for BT May-June 2001 of
representative sample of telecom providers around
the world.
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Financial Impact

• Omnipoint announced US9.6 Million sting.
• Market cap down US1.1Bn when Revenue up 200
• Stock price fell from US28 5/8 to US7 5/16

Asia Cell Phone Firms May Lose Up to 30 of
Revenue . because of revenue leakage from
fraud, bad debts or poor billing systems.
PricewaterhouseCoopers Singapore ... Also noted
.. 1 gain in revenue translated to a 10
increase in shareholder value.

• 40 Bn pa lost to Telecom Fraud
• Source FIINA, Daily Telegraph (Oct 2000)
• Now 60Bn pa. Source FIINA ( Oct 2002)
• 1-5 of turnover may be attributable to fraud
• 20-30 of bad debt may be fraud
• Overall actual cost of fraud has been measured at
  90 of the uncollected revenue

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Evolution of Telecom Fraud
2.5G/3G FRAUDS Gaming Manipulation Quality
Manipulation PRS Inflation by Trojan Content
Inflation by Trojan Content Resale Mcommerce
Resale Advertising Manipulation Transaction
Manipulation By Pass
Subscription Roaming IN Billing IMSI cloning Call
forward Pre-paid PRS CDR suppression Magic
phones Social engineering Voicemail hacking
3rd party billing Calling card Tumbling
ESN Cloning Ghosting PBX DISA
Meter tampering Black Box Red Box
Payphone tapping
Operator Services
Teeing in
1900
2003
1950
1970
1980
1990
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Current Fraud Threats
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Fraud is a global problem
Market Location
US24.6 Billion
Source Chorleywood Consulting
CSL has been aligned to support Operators in
these regions
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The Right Approach to Fraud Management! Myth or
Truth ?

• Fraud Systems detect fraud?
• Seek Maximum Visibility for Good Decision Making
• You can stop fraud?
• Minimise its Impact
• Is there a panacea/universal remedy ?
• Focus on Return on Investment
• Can we build an FMS in house?
• Yes, however
• Stay with your core business. Work with Experts!
• Do Fraudsters really seek out the point of least
  resistance?
• Find a Comprehensive Solution that offers
  Protection from new and evolving Frauds
• All FMS Vendors are the same?
• Are they?

Payback on Cerebrus is typically achieved within
6 months or less
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Cerebrus Total Solution
Correlator
C3G
RoamAssure
Enhanced Revenue Assurance
CORE
BIY
Neural Network Profiler
3G
Interface Manager
De dup/Consolidate
MIY
First Line Defenses
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CerebrusRE Core Components
Score increases as more alarms are raised
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Alerts Raised
Increasing threshold levels
Events Ignored
All Calls
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Risk Assessed Scenario 1
Current Signature

• Multi dimensional profiles
• Time
• Duration of Calls
• Network Features
• Destinations
• Call Mix
• Etc, etc..

The signature is uniquely and automatically
decayed as the Neural Network continually
learns from new experiences, whilst in situ
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Risk Assessed Scenario 2
Current Signature

• Multi dimensional profiles
• Time
• Duration of Calls
• Network Features
• Destinations
• Call Mix
• Etc, etc..

Again the Neural Network continually learns from
new experiences.
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• Logical and Operator specific scoring and
  prioritisation of fraud threats

Score increases as more alarms are raised
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Why choose CerebrusRE FMS?

• Reduced Fraud Losses
• Improved Profitability and Shareholder Confidence
• Rapid Response Fraud Attacks
• New and Evolving frauds
• Solution Excellence
• Proven Solution with established customer base
• Unique Hybrid Solution Recommended by GSM
  Association and FIINA
• Builds a profile of each individual subscriber
  and compares it to known patterns of fraud and
  normal behavior
• Benchmarked to be 10 times more accurate in fraud
  detection than conventional rules thresholds
  system alone
• Enhanced Operational Efficiency
• Rapid Payback
• Excellent Product and Services Roadmap
• Service Excellence
• Tools alone will not solve your fraud issues
• Operator specific consultancy and support

The Only True Self-learning Adaptive Neural
Network
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Complimentary Solutions

• Comprehensive Revenue Assurance Solution
• Identifies Revenue Leakage by comparing
  different data feeds
• Provides end-to-end visibility across the value
  chain
• Interconnect Reconciliation

• Enables rapid transfer of roaming data records
  to the home network
• Reduces the threat of roaming related frauds
• Supports fraud and credit control management
• Cost-effective, PP solution

• The Operators choice of excellence in FMS

Cerebrus Solutions 100 Focused on Fraud and
Revenue Assurance
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Thank You
Protecting your revenues is our business
Prasad Nomula General Manager (Telecom
Solutions) Almoayed Group w.l.l Kingdom of
Bahrain Tel [phone] Mobile 973
39420425 Mail nprasad_at_almoayedgroup.com URL
www.almoayedgroup.com