From Start to Finish Everybody’s talking, everywhere, all the time The Evolution of Mobile Communications from a Technology and Marketing Perspective Dave Neale VP Enhanced Services Telus

Technology Adoption Curve

Adoption of New Technology Products - Canada Disintermediation 30% of all adopters Quest for Trusted Intermediates 47% of all adopters Deference to Trusted Authorities 23% of all adopters Progress of Market Adoption 1 st 2 nd 3 rd 4 th 5 th 6 th Source: Michael Adams, Environics Research Orientation:

The CHASM

Crossing the Chasm innovators 2.25% early adopters 15% early majority 34% late majority 34% laggards 15%

innovators 2.25%

early adopters 15%

early majority 34%

late majority 34%

laggards 15%

Vehicular Telephony (MTS)

The Birth of Portable Phones

The “First Movers” Advantage Access Time Management Senior Executives Government Officers Sales Executives High-Net Worth Individuals

S-Curve of Adoption 1985 1989 1991 1995 1996 2004 2007 ?

First Handheld Phone Motorola DynaTac series 1973 - 1989

S-Curve of Adoption 1985 1989

First “Flip” Phone Motorola MicroTac series 1989 First Miniature Digital Phone Motorola MicroTac series 1995

S-Curve of Adoption 1985 1989 1991 1995 1996 2004 2007 ?

S-Curve of Adoption 1985 1989 1991 1995

S-Curve of Adoption 1985 1989 1991 1995 1985 1989 1991 1995 1996

S-Curve of Adoption 1985 1989 1991 1995 1996 2004 2007 ?

S-Curve of Adoption 1985 1989 1991 1995 1996 2004 2007 ?

Inside the Tornado

Swing Voting (and Churn…)

Late-stage Market Diversification Wireless Data Niche Market Development Mobile Virtual Network Operators Multipurpose Devices

Wireless Data

Niche Market Development

Mobile Virtual Network Operators

Multipurpose Devices

Luxury Phones

Smallest Phone?

Smartphones

Wireless Devices for the Future?

Questions?