O2 Litmus Mobile World Congress 2009 James Parton, Head of O2 Litmus February 2009

Overview of Telefónica O2 The O2 Group was acquired for €28 billion by Telefónica S.A. in January 2006 Telefónica has a significant presence in 25 countries and a customer base of more than 260 million worldwide Telefónica Europe has more than 44.9 million fixed and mobile customers across Europe and 29,000 employees across the Group. Telefónica Europe’s regional head office is based in Slough, UK. Recent highlights include: T he largest active mobile customer base in the UK (19.1 million mobile customers) Exclusive carrier partner for Apple iPhone 3 G in the UK 6th ‘ Best Big Company ’ to work for in the Sunday Times survey 2008 Association with The O2 Arena, now the most successful music arena in the world

The O2 Group was acquired for €28 billion by Telefónica S.A. in January 2006

Telefónica has a significant presence in 25 countries and a customer base of more than 260 million worldwide

Telefónica Europe has more than 44.9 million fixed and mobile customers across Europe and 29,000 employees across the Group. Telefónica Europe’s regional head office is based in Slough, UK.

Recent highlights include:

T he largest active mobile customer base in the UK (19.1 million mobile customers)

Exclusive carrier partner for Apple iPhone 3 G in the UK

6th ‘ Best Big Company ’ to work for in the Sunday Times survey 2008

Association with The O2 Arena, now the most successful music arena in the world

O2 Litmus Ecosystem – what we have built 3 rd Parties Employees Customers Standard T&C’s Partner Services Technical Support O2 Customer Community Sell Beta & Trial Idea Incubation Commercial Maturity O2 network services exposed via Service Delivery Platform Industrialise successes and offer to Telefónica Customer base Affiliated Communities VC & Innovation Programme Open Telefonica Project Anyone!

Slide Why O2 Litmus? MMS SMS O2 Active & O2 App Store & Device Folder Customers Choose Winners Networks (try to) Choose Winners

What is the role of the mobile operator role in the 2.0 world? There is a collective will for the Mobile Operators to get their strategy right. We have: a revenue based relationship with customers that isn’t solely dependant on advertising networks that can provide rich insights into customers and their behaviour technologies and capabilities that can open up exciting new customer experiences the marketing resources & channels to market to drive adoption, both domestically and globally the relationships to bring together the ecosystem

There is a collective will for the Mobile Operators to get their strategy right.

We have:

a revenue based relationship with customers that isn’t solely dependant on advertising

networks that can provide rich insights into customers and their behaviour

technologies and capabilities that can open up exciting new customer experiences

the marketing resources & channels to market to drive adoption, both domestically and globally

the relationships to bring together the ecosystem

What are the benefits for the customer? Our market research has identified a key group of customers that welcome an opportunity to participate in creating our future The advent of Web 2.0 is creating opinionated, educated, connected and engaged audiences that innovative brands have to tap into to succeed By participating in O2 Litmus, customers: Get a “seat at the table” – their opinion counts They get early access to new technologies and products before anyone else They can feed their thirst for knowledge and enhance their social status Via our ground breaking partnership with Mob4Hire they can earn tangible rewards

Our market research has identified a key group of customers that welcome an opportunity to participate in creating our future

The advent of Web 2.0 is creating opinionated, educated, connected and engaged audiences that innovative brands have to tap into to succeed

By participating in O2 Litmus, customers:

Get a “seat at the table” – their opinion counts

They get early access to new technologies and products before anyone else

They can feed their thirst for knowledge and enhance their social status

Via our ground breaking partnership with Mob4Hire they can earn tangible rewards

What are the benefits for the Developer Community? Sweep away the frustration of engaging and working with a Tier 1 MNO You can now get in front our customers in 18 minutes, not 18 months Direct access to incentivised and selected O2 customers with an opinion Our customers decide the winners, not O2 Refine your products & ideas with direct customer insight Sell as well as develop You retain all IP at all times You retain 70% of revenues You get paid in 5 weeks, not 90 days Access to a wide range of features & services (more on that in a second) A focus on helping you establish successful businesses, not just apps Receive the endorsement of the O2 Litmus community and there could be an opportunity to launch your app into O2's channels and reach a potential audience of over 260 million customers

Sweep away the frustration of engaging and working with a Tier 1 MNO

You can now get in front our customers in 18 minutes, not 18 months

Direct access to incentivised and selected O2 customers with an opinion

Our customers decide the winners, not O2

Refine your products & ideas with direct customer insight

Sell as well as develop

You retain all IP at all times

You retain 70% of revenues

You get paid in 5 weeks, not 90 days

Access to a wide range of features & services (more on that in a second)

A focus on helping you establish successful businesses, not just apps

Receive the endorsement of the O2 Litmus community and there could be an opportunity to launch your app into O2's channels and reach a potential audience of over 260 million customers

What O2 Litmus can offer developers Direct access to O2 customers Direct access to O2 to influence us, O2 Litmus is as much yours as ours Access to an increasing range of O2 network enablers including free location look ups Access to a broad range of partners offering discounted services, including: APPLICATION HOSTING CROWD SOURCED TESTING TESTING & ACCREDITATION VENTURE CAPITAL MARKETING

Direct access to O2 customers

Direct access to O2 to influence us, O2 Litmus is as much yours as ours

Access to an increasing range of O2 network enablers including free location look ups

Access to a broad range of partners offering discounted services, including:

The O2 Litmus Process Rolled out across O2 UK and Telefónica with access to up to 260 million customers worldwide App receives endorsement of the O2 Litmus community and is cherry picked for spin out Developer launches app Into the O2 Litmus Community

And finally… Symbian Java Android Windows Mobile RIM Apple App Store API Soap Symbian Flash Silverlight Linux LBS JSR C++ XML xHTML 3G 2.5G Brew Google

Thank You Connect here: Web: www.o2litmus.co.uk Email: [email_address] Twitter: @jamesparton #o2litmus Blog: www.jamesparton.info LinkedIn: www.linkedin.com /in/jamesparton

Connect here:

Web: www.o2litmus.co.uk

Email: [email_address]

Twitter: @jamesparton #o2litmus

Blog: www.jamesparton.info

LinkedIn: www.linkedin.com /in/jamesparton