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Software-defined Architecture and New Economic Model Help Enable Rapid Market Expansion

BARCELONA, Mobile World Congress 2015 - March 2, 2015 - Cisco today announced that AT&T, a leader in emerging devices and telematics services, will use its virtualized mobile Internet solution in helping to support AT&T's auto maker customers in providing advanced connected car services.

According to the Cisco Visual Networking Index Global Mobile Data Traffic Forecast for 2014 to 2019, 11.5 billion mobile-ready devices and connections will be online over the next five years. Machine-to-machine (M2M) connections, which the forecast notes will soon outnumber people, will make up 28% of those connections.

M2M services, such as connected cars, require a fundamental transformation in the underlying mobile architecture -combining virtual with physical networking resources. Virtual resources - connectivity and network services enabled in software rather than hardware - bring a lower entry cost, flexible deployment models, and rapid time-to-market. Carrier-grade performance and spare capacity come with the physical resources.

Supporting Quotes:

Cameron Coursey, Vice President, Product Development and Operations, Internet of Things, AT&T "With this new software-driven mobile Internet solution incorporated in to our offerings, we can help to provide auto makers with advanced connected car services that give consumers more real-time communications services that positively impact the driving experience."

Kelly Ahuja, Senior Vice President, Service Provider Business, Products, and Solutions, Cisco "Our collaboration with AT&T to implement virtual mobile network technology for connected cars marks a significant milestone for innovation in the connected car industry. We are transforming mobile architecture and delivering a powerful new network that marries virtual and physical resources. Virtualization is a means to an end. When coupled with physical technology, it affords new economies of scale that allow service providers like AT&T to innovate faster and deliver a better in-car experience."