Smart People Buy Dumb Pipes

the netcentric opportunity Market Players Competitors: Primarily global & regional • Global ⚫ Lumen Technologies • NTT • Telia (recently sold) Regional • AT&T • Tata • DT . Customers Connect in Data Centers . CDNs • Access Networks • • Verizon Streaming/OTT . ASPS Market Dynamics • New applications drive bandwidth - File Sharing/Gaming/Video/Streaming • Product sold on a per Mbps basis from 1 Gbps to 400 Gbps • Internet connectivity is a pure commodity ― Speed, connection equivalent • Cogent prices new services at 50% of market We win on price Rapid Growth/Declining $/bit ARPU (Rev/Mbit) Avg Tbyts/s $18 $16 $14 $12 $10 $8 $6 $4 $2 $0 cogent Smart People Buy Dumb Pipes Sequential Revenue Growth 70 60 HN WAS2 15% 10% 50 40 5% 30 0% 20 -5% 10 -10% Avg 1.3% 30 5

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