TATA Telecom Represented at The Mobile VAS SUMMIT 2009 by Virtue Insight

Agenda TATA’s Ambitions in WBA Broadband – The Bangalore Experience Current India Perspective Lesson Learned & Way Forward 1

India: Strong Economic Fundamentals Third Largest Economy by 2050(1) With Highest Projected Growth Rate(1) GDP (US$bn) GDP CAGR (2005-2050E) 50,000 44,453 10% 8.9% 40,000 35,165 7.5% 8% 30,000 27,803 5.9% 6% 5.5% 20,000 4% 2.5% 10,000 6,673 6,074 5,870 1.8% 1.7% 3,782 3,603 2% 1.3% 3,148 0.9% 0 0% Germany Germany China India Japan Russia France US UK US UK China India Japan Russia France Brazil Brazil Increasing Per Capita Income(2) Increasing Household Disposable Income(3) Per Capita Income (US$) Avg HH disposable income CAGR : 10% Rupees (‘000) 1,140 Urban 1,200 500 CAGR CAGR 961 4.6% 5.8% 797 900 3.6% 5.3% All India 640 2.8% 3.6% 600 250 Rural 300 0 0 FY04 FY07 FY08E FY10E FY95 FY90 FY95 FY00 FY05 FY10E FY15E FY20E FY25E (1) Source : Industry Research; currency translated using 2003 US $ rate 2 (2) Source: Street research & RBI website (3) Source: McKinsey Report: The ‘Bird of Gold’ dated May 2007

India: Favorable Demographic Shift Favorable Shift in Income Profile (1) Growing Work Force (15-59 yrs)(2) (15- % of % of population population 100% 1 1 2 1 100% 4 7% 8% 8% 9% 11% 12% 8 19 75% 58% 60% 63% 64% 64% 64% 80% 50% 41 32 25% 35% 32% 29% 27% 25% 23% 0% 60% 43 FY 2001 FY 2006 FY 2011E FY 2016E FY 2021E FY 2026E 0-14 yrs 15-59 yrs >60 yrs 40% 36 Increasing Literacy(3) % literate population 54 90% 85% 80% 20% 35 70% 65% 22 60% 52% 50% 44% 40% 0% 30% FY 2005 FY 2015E FY 2025E 20% Deprived (<Rs. 90,000 pa) Aspirers (Rs. 90,000-200,000 pa) 10% Seekers (Rs. 200,000-500,000 pa) Strivers (Rs. 500,000 - 1,000,000 pa) 0% Globals (>Rs. 1,000,000 pa) FY 1981 FY 1991 FY 2001 FY 2012E Huge base of working class with favorable income levels & literacy rate presents potentially large market literacy (1) Source: Mckinsey Report May 2007 (Income levels are at real 2001 prices) (2) Source: The National Commission On Population May 2006 3 (3) Source: Census of India; 2012 rate is India’s 11th Economic Plan objective

Broadband Market In India – Huge Potential Quick Facts  Among the top in Internet user base (Absolute No’s)  With one of the lowest penetration (in %)  With much lower BB penetration Phone Connections Population 1.2 billion ~400 million Total Population Total Population Urban Population ~400+ million Cable Addressable Urban Addressable Urban Connections population population ~80 million People with Phone (Wireline/ People with Phone (Wireline/ Wireless) connections Wireless) connections Internet User ~70 million Fixed Cable/ Internet/ Broadband Cable/ Internet/ Broadband Connections Connections Connections Internet ~36 million Connections ~11 million Broadband Connections ~5 million 4 Source : TRAI, IAMAI, Management estimates (Estimates for September 2007)

THE BROADBAND ENABLERS International Infra Domestic City Last mile Access Broadband Triangle Alliances & Content Device Tax structure tie-ups Import procedures Open standards -IOT 5

India – Huge Internet Potential… • Poor infrastructure & support • No LLU • Legacy network with long loop lengths • Unorganized cable infrastructure with poor network • 2G + services in the country Current • High Buried Access Costs Impediments • Very low wire line penetration • 200 months of ARPU as Capex for growth • Limited green-field deployment • Limited spectrum for BWA • Limited content offering – restricted utility for access • Far superior roll-out mechanism with the advantage of existing infrastructure of wireless telecom players Wireless to be • Spectrum auction likely in near term – Transforming the Indian industry the technology • Potentially large coverage and faster expansion for choice Wireless is the best technology to drive internet growth in India Wireless is the best technology to drive internet growth in India 6

Auction is WiMAX – FIRST OFF THE BLOCKS expected Dec, 2009 3G Policy is announced  Spectrum to be auctioned to 3-4 players  Greater impact on voice economics rather than data services BWA Policy is announced  Spectrum - Auction is on the Card Two block of 20 MHz in 2.5 GHz band and similar number in 2.3 GHz band. Total 4 blocks – 4 Operators  Bidding would be on service area wise basis. Each bidder can get a block of 20 MHz in 2.3 GHz or 2.5 GHz bands in a telecom service area WiMAX – Available now  ISPs using 3.3GHz spectrum for WiMAX roll-out  At least 3 networks being built in large towns 20 mn subs  Good spectral efficiencies projected by 2010  Already a 4G technology – OFDMA today  Cost of CPE becomes indirect Promising technology option - need catalyst to fuel the deployment 8

Tata Communications Leadership Landscape Industry Leader State-of-the-art Customers  #1 Global wholesale voice Infrastructure  1,500 Gobal carriers  #1 Global submarine cable  200,000 Route km global  600 Mobile operators capacity network  “Fortune 1000” of India  #1 International long distance  300 Points of Presence (PoPs)  5,000+ SMEs in India services in India  20+ Terabit submarine capacity  500,000 Internet and  #1 Enterprise data services in  ~1M Sq. feet of Data Center broadband subs India space  #1 Internet services in India 11

~5000 Sectors Deployed ~60,000 Retail WiMAX FROM TATA and Enterprise Customers One of the first operators to deploy Wimax in India Deployment for both Enterprise and Retail customers Enterprise Deployment : 144+ cities already operational for meeting last mile requirements for Enterprise Customers  Retail Deployment -  Bangalore as a First city was rolled out for Retail in December 2007 with 132 BTS and Now , we are live in ! Bangalore with ~200 BTS Delhi+NCR with ~400 BTS Hyderabad with ~160+ BTS Chandigarh with ~60+ BTS 12

Mega POP Major POP Metro E Major POP Fixed WiMAX Business Drivers 10 G Major POP Retail and SME Major POP 2 * 1G Micro POP  Tata Communication is a leading CWD Micro POP M Son JaPa Gor Broadband Services Providers Micro POP Ring Fari Lud epat m tia akh Bhuba m Alla M pur dab hian Ghala hab ee neshw u ad C Dur Bhi ad Ka ziab Hi RoGuar Aga Asa utt Ro Micro POP lwa Ko rna Chand ss ru ac gap urk Ra wa rtala nso  We have huge Telecom assets Aj ra Al ta al m Jod wa Amri r ad igarh ht t ar k ur Shi ela nc ak hati Jamsh llon Samb l g El hi halpur Ad erhp tsar Luc edhpur ur G 1 G Rings available in terms of – Va Ba Sil ls ur rie Bh vas ad lly Su Ja gao and w Gur Jal kno MPLS WAN Ka uon un np i tu Ne Tirup llo athy An Jam Aggregation switch sanag aru Gand rat n ar ur No Vishaka re r Wara ip patnam  Global Tier 1 Internet Backbone anch ar Himathinag d Ra nagar Building switch jk ar ur De lhi Kol kot id a ngal M ed Vija Ba Samath ak ywa ot roMe ta Hyd  No 1 – Sub Marine Cable Carrier Ra da Khsa or na Ahm edab erab Ka kinK Raja anagar dai mund M ip ba ad ad Bang ry Bh ada ys  Domestic Backbone - ~40,000 km fiber G wa ur Bh lio op Va al M u m alore Ha o or M esa la Tu an n sh r r ila In Jab ba Pu Ch backbone i do i Ve alp rn rei ur i neErna kula enn ai Coimb atorei Bel Man Hu gau galo mk dy uri a m bli m re Tut a  Connect ~4000 Cities Pa nji Sa So ng la Can Ve Ho Er ico od m Pu rn li ne Na Kol pu Na non Mad llo Sa sse Tir  MPLS Backbone connecting 120 Cities r gp hap Sa si Ahm ur tar Bar ore urai re le up ur Tri Ca Pondic ur Lake Cowichan LCN ur Auran Ja am Thri k edna a ch Pa lic m gar gabad lg ati ssur Ko yTrivand herry  Metro Network in 30 Cities Vancouver VCW ao lla raum lg ut ha Laurentides LAU n m All t Cannix2  DWDM and Cisco MPLS Metro ep Toronto TNK ey Cannix W2C W3C Ethernet in top 8 Cities Seattle SEP Montreal MTT Chicago CT8  First Mile remains a challenge in India Toronto TTT New York 32 Ave America NW8 NQT Tier 1 Internet Backbone Denver – Cost , Municipal Clearances , Time Newark NJY NTO to deploy etc San Jose SQN Palo Alto PDI Los Angeles 1 LAA Ashburn AEQ  WiMAX offers an excellent high speed OC-192 Santa Clara SV1 Los Angeles 2 Atlanta A56 connectivity for Retail and SME GE OC LXE Miami MIA -48 OC Dallas 13 DTX NOTA MLN 12 OC 3

Target Segments  Residential Customers  Product /Services Residential  Driven by:  High Speed Internet – Price  Content/Applications – Fragmented – Wide range of application/content – Always-on All You Can Eat  Branch & Small Business  Product /Services SMB  Driven by:  High Speed Internet – Dial-up Migrating to broadband  Hosted SME Applications – Looking for Web presence  MPLS L2 and L3 VPN  Branch Office Connectivity/Dealer  Product /Services Network/WareHouses/Factories/Plants  High Speed Reliable Internet Enterprise  Driven by:  MPLS L2 and L3 VPN – Reliable and SLA driven Services  Managed VoIP etc – Complete E2E Solution  Managed Services 14

Drivers for Technology selection and Roadmap Remove the ‘Feasibility’ Challenges  Create a citywide network using Wimax rather Retail than point to point availability Break Installation Timelines Scope 4 Metro Roll-out  Create a simple easy to install process followed by other key  Migrate to Customer Self Install city coverage. Scalable for future 1 million subscriber Timeline capacity by 2010 3.3 GHz currently Additional spectrum Spectrum on 2.3 / 2.5Ghz after Spectrum Auction in Dec, 09 802.16d(2007) moving Standard to 802.16e(2009) 100s of Mns of Dollars Investment ($$$$ ) 15

144+ WiMax Cities Rolled out by Tata WiMAX Shimla Cities Ludhiana Enterprise Amritsar Mohali Patial Chandigarh Retail a Karnal Ambala Hissar Meerut Gurgaon Delhi Gaziabad Bareilly Faridabad Noida Alwar Jaipur Lucknow Jodhpur Ajmer Agra Gandhinagar Asansol Allahabad Ahmedabad Jhansi Kharakpur Anand Ranchi Kolkatta Baroda Bharuch Jabalpu Surat r Jamshedpu r Mumbai Nagpur Raurkela Pun Cuttack e Satara Kolhapur Vizag Hyderabad Vijaywada Eluru Nellore Hossur Mysore Chennai Bangalore Salem Coimbatore Palakkad Trissur Madurai Cochin Ernaculam Tuticorin Allepey Kottayam Trivandrum 16

Agenda TATA’s Ambitions in WBA The Bangalore Broadband – Experience Current India Perspective Lesson Learned & Way Forward 17

WiMAX Case Study: Bangalore – Some Key Facts India's 5th largest city and the fastest growing city in Asia. Silicon Valley of India Delhi 8 Mn people and over 10,000 industries 86% literacy ( national avg – at 61%) Kolkata Mumbai More than 1000 software companies Hyderabad The population of the IT industry folks in Bangalore Bangalore is 5% i.e 400,000. Chennai Higher per capita income The city is the third-largest hub for HNIs Biotechnology is a rapidly expanding field in the city. Bangalore accounts for 47% of SAFE biotechnology companies in India. 18

Bangalore Case Study for WiMAX Roll out: Coverage & Services Launched with 150 BTS in Dec 2007, currently at ~approx. 200 BTS  All sites shared with TTSL – (Tata CDMA mobile Operator with 26.33 Million as in Oct 08).  Backhaul on predominantly fiber  3.3 Ghz, 12 Mhz, 3 Mhz/sector, 4 sectors  85% of the city covered  Outdoor SS – truck roll required  Introduced 3rd party SS to work with the BTS  Arguably the first network in Wimax 16d to have fully interoperable 3rd party SS  SS installed at between 3 to 12 mtrs height, typically  Over 12,000 customers installed in first 5 months & ~35,000 currently. 19

Design Assumptions •Cell edge – QPSK Bangalore – Complete coverage •Building edge coverage •SS height 3 m to 12 m •85% Probability of service by area •Area of coverage approx 300 Sq Km 16 QAM QPSK BPSK 20

Bangalore Case Study -Product Customization, Retail  2 Mbps is the standard speed for volume-based plans in India – which are the highest selling plans. However, considering the speeds and the number of customers expected per BTS sector – customer offering tweaked to ensure higher % of 256 Kbps sales. Go Unlimited! % of Speed Customers 2 Mbps 5% 1 Mbps 1% 512 kbps 7% 384 kbps 1% 256 kbps 86% While traditionally, WiMax users are on DHCP to enable them to pick up the strongest signal rather than tying them to a BTS, the need of a Static IP for a SMB customer in effect, locks the SMB to a BTS. 21

BS & SS IN BANGALORE 22

SS/CPE – Outdoor 23

5-10% Of ARPU Open Garden Portal : Content and Applications http://www.tataindicombroadband.in/ 24

Some of our partners – Home Services Applications / Services Entertainment/ Video Education/ Learning 25

Current Product Portfolio – Business Services E Biz Applications  Field Force Automation - mSales E-Biz Collaboration  Collabrix - Web meeting tool with secured IM, VoIP Audio, Web conf Collaboration  Live Documents - create, save & collaborate docs on a browser  Hosted Intranet / Extranet - myeoffice Security Security  PC Security  Server Security  Mobile Security Hosting  PC Back-up  Web filtering – e-checkpost  Mobile Back-up (Under Development) Hosting  Domain Name Registration  Website Hosting (Windows)  Business Mail  Web2SMS 26

Key Learning: Technology and Customer Experience The WiMAX Advantage: Bangalore BENEFIT MEASURE Over 85% Bangalore covered Extensive Coverage & increasing Increased Reliability Complaints lower by 50% Network Stability 99.85% Network Uptime Increased Efficiency 97% Orders installed within 7 days Easier Complaint Management Over 60% complaints resolved on Call Retail 0 28

Spectrum Road Ahead … Auction On Card 16”d’ Roll Out 16”d’ Roll Out 16”e” Roll Out for for Pan India Retail Cities Enterprise Network Cities Highlights Highlights Highlights •3.3 Ghz •3.3 Ghz •2.5/2.7 Ghz •4 City Roll Out •141 City Roll Out •Pan India Deployment •Retail & Enterprise Req •Only Enterprise Req •Retail & Enterprise Req •Extensive Coverage •Limited Coverage •Extensive Coverage •Fixed/Outdoor CPE •Fixed/Outdoor CPE •Fixed/Nomadic/Mobile •Carrier Class Voice •USB/Indoor CPE •TDM Like Services •Indoor CPE 29

Devices for Mobile WiMAX: Laptops, MIDs and HTC Mobile phone Laptops MIDs SAMSUNG MONDI Samsung NOVA Samsung PDA DO-A/1x/Wifi Samsung PMP LG PDA Sodiff E&T PMP 30

TATA – Taking Broadband to the masses with Wimax 31

TATA Telecom Represented at The Mobile VAS SUMMIT 2009 by Virtue Insight

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