5 Myths about M2M

“ Powering an Enhanced M2M Value Chain”

Corporate Overview and Mission

Headquarters in Montreal, Canada

Founded in 2001

Mission to lead HLR/HSS market for multi-profile subscriber management

Solution tailor-made for M2M MNOs and SPs

Commercially available, field-proven solution

Selected and deployed by leading mobile players in Americas, EMEA and Asia

Partnerships with Comverse, Ericsson, ALU, Cisco, Oracle, Sonus, Starent

4 straight quarters of profitability

Blueslice Story: Convergence Begins At the Level of the Subscriber

5 myths about M2M

Myth #1: M2M Applications are very costly

Reality: Opportunities Exist to Make Cellular M2M Cheaper

Concerns about ARPU

Focus on quality network usage

Generate revenue from underutilized GPRS networks

Reconsider the M2M value chain

Reality: A Device is Different from a Consumer Differentiate how a network views a consumer vs a device to make M2M cheaper

Quality per device

Drive quantity per user

Generate usage of GPRS

Demands high data rates

Lower ARPU

High ARPU

Low traffic

High Traffic

Myth 2: MNOs need to dedicate expensive network resources for M2M

Reality: Reconsider the Value Chain

Carriers  concerned about expensive network resources, ARPU eroded

M2M SPs  need better device management, range of services, cost control

Businesses  want wider range of M2M apps

Solution? Network equipment designed for M2M volumes & a new value chain

Need to compensate for low ARPU

MNO charges on “quantity” of info

M2M no longer degrading ARPU

Recognition of “value” of info per device

Devices managed like consumer profiles Setup & usage revenue model Devices managed as per high volumes Usage-only revenue model M2M Devices M2M Reseller Mobile Network Operator (MNO) Customers Customer Interfaces Provisioning M2M DB Asset M2M Applications Charging Monitoring Mobile Applications Traditional Wireless M2M Value chain – revenue models disconnect: M2M Devices M2M BU or M2M Service Provider MNO Customers Customer Interfaces Provisioning M2M DB Asset M2M Applications Charging Monitoring Mobile Applications New Wireless M2M Value chain – better alignment of revenue models:

Myth #3: GSM and M2M profiles must be disconnected across multiple databases

Reality: Optimize Network Management & Service Opportunities

Host GSM profiles & M2M profiles on ONE box with XML access and carrier interworking

Customizable fields, profile flexibility

non-3GPP data, e.g. serial #s

Optimal device management

Adapted to M2M volumes

Reality: Profiles Can Be Consolidated Across Multiple DBs

Myth #4: Even though M2M business is global, it is difficult to connect services across multiple countries

Reality: Better roaming model to reduce costs & offer consistent services in multiple markets

One asset, multiple IMSIs

Myth #5: Each device must have its own IMSI and MSISDN & these are locked 1:1

Reality: New Opportunities with Device Identities

IMSI and MSISDN ranges are expensive

Easier to justify costs by sharing MSISDNs and IMSIs or eliminating them

Unlock the 1:1 connection

1. A village with 1 IMSI:

2. Devices without MSISDN:

Bonus Myth:

If we ignore M2M, it will go away

Reality: M2M Is Growing Steadily & Ripe For Exploitation

Untapped mass market

Voice markets saturated

How can carriers make sums of money from it?

Access to more applications?

Not going away!

Sources: ABI Research, The Economist

Blueslice Customers & Partners

“ Powering an Enhanced M2M Value Chain”

Backup Slides

Market Forces: Creating multi-profile subscribers Convergence Device Diversification Global Mobile Roaming Machine-to-Machine Dual-mode & FMC VoIP Service Providers Quad-Play & MSO Truphone Global Mobile Roaming Machine-to-Machine Dual-mode & FMC VoIP Service Providers Quad-Play & MSO Growth in Mobile Profiles Multiple identities Multiple numbers Multiple devices Multiple domains Multiple applications Towards multi-profile subscribers

Subscriber Convergence For Network Simplification & FMC Opportunities Subscriber Profiles & Global Schema SIP Registrar Domain Selection Function SIP Redirect Server HLR/AuC HSS SS7/MAP DIAMETER GSM Registration Agent SIP REGISTER SIP INVITE SIP REGISTER FMC SIP-AS AAA RADIUS

Simplifying management of multi-profile subs PROBLEM

Legacy platforms manage subscriber profiles in disparate silos

Subscriber management costs are high

Profiles distributed in many nodes

No central view of customer data

Profile duplication & de-synchronization

Each roaming identity requires HLR entry

Incompatible registration & authentication

Independent call routing/mediation

OSS Multi-profile subscriber GSM/ UMTS SIP/VoIP IMS WiFi, WiMAX, 4G SIP Reg HSS HLR/ AuC M2M DB App Servers SOLUTION SIP Reg HSS HLR/ AuC M2M DB App Servers