Company Profile - Telecom Italia beyond numbers

1. TelecomItalia
beyond numbers
Innovation for everyone
Company Profile 2013

2. 2 | | 3TELECOM ITALIA BEYOND NUMBERS TELECOM ITALIA BEYOND NUMBERS
STRATEGY
4
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FACTS8
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Projects for
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Contents
Projects for the
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TELECOM ITALIA AT
A GLANCE6
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TELECOM ITALIA FOR
SOCIETY
10
SAFEGUARDING THE ENVIRONMENT
BRINGING ABOUT THE SMART CITY
BUILDING DIGITAL SCHOOLS
NURTURING TALENTS
CREATING DIGITAL HEALTHCARE
INTEGRATING DIVERSITY
SUSTAINING INTELLIGENT MOBILITY
SIMPLIFYING PAYMENTS
CONTRIBUTING TO THE DIGITAL AGENDA
12
13
14
15
16
17
18
19
20

3. 4 | | 5TELECOM ITALIA BEYOND NUMBERS TELECOM ITALIA BEYOND NUMBERS
“For change to happen, we will have to stay true to our
primary function, which is to enable people to communi-
cate, but with a decisive change of perspective. We will
need to change our focus to the concept of digital life by
looking at all our customers: individuals, businesses and
public administration.”
Marco Patuano, Telecom Italia Chief Executive Officer
Telecom Italia intends to take part in the digital transfor-
mation currently underway, confirming its historic role as
an engine of Italy’s modernisation, helping attain the
goals of the European Digital Agenda and participating
in the transformation of Brazil, a strategic asset and the
Group’s second most important market.
In order to meet these objectives, it is essential to in-
crease investments in next-generation networks and in
innovation, as is called for in the 2014-2016 industrial
plan. At the same time, the company will keep an eye
on costs and will continue to seek efficiencies and fi-
nancial flexibility (including through extraordinary ope-
rations, aimed at generating value from towers in Italy
and Brazil).
The new plan will also give a strong impulse to efforts to
create a unique and distinctive offer focused on a conver-
gence of high-quality services, also thanks to strategic
deals with content providers (Sky) and credit card networ-
ks (Visa). Similar deals will move the Group’s focus from
traditional communication between individuals to digital
life solutions that will involve individuals, companies and
the public administration.
In the three-year period 2014-2016 the company will
invest some 14 billion euros, of which 9 billion euros
in Italy. In our home market, 3.4 billion euros will be
dedicated exclusively to the development of innovative
assets –nearly triple the figure in the previous plan.
Investments
2014-2016
9billion euros in Italy of
which 3.4 billion
euros devoted to the most
innovative technologies
(compared with 1.3 billion
euros in the previous plan);
11billion reais in Brazil
These investments will be deployed as follows: 1.8 billion euros for the development of fixed-
line broadband through the use of Fibre-to-the-Cabinet and Fibre-to-the-Home; 900 million
euros for mobile UltraBroadBand networks; 700 million euros for cloud computing solutions
and the Sparkle international infrastructure.
All this will enable Telecom Italia to keep the pace with the Digital Agenda and guarantee, by
the end of the plan, an UltraBroadBand coverage of 50% of the Italian population on the
fixed, Next Generation Access Network (NGAN) and 80% of the population on mobile, Long
Term Evolution (LTE) networks. By the end of last year, 42 Italian cities had fibre-optic cabling,
while TIM’s 4G LTE service reached 50% of the population (651 municipalities), making it the
widest-reaching mobile 4G network in the country.
In this context, Telecom Italia has also renewed its commitment to develop next-generation
networks not only in big cities and industrial districts but also in so-called “white areas” where
the time horizon in terms of return on investment is so long that it discourages investors from
building infrastructure.
Investing in technology for new networks also means acting as a stimulus to the country’s
economy. The result is an improvement in services, quality and guarantees – also in terms of
data security and energy efficiency, which is even more important considering that the Group
is the second-largest energy consumer in the country.
In South America, the strategic interest in Brazil remains confirmed. TIM Brasil’s market share
continues to grow in a high-potential country. Here also the focus is on developing next-genera-
tion networks, to which the company has committed more than 11 billion reais in investments
through 2016, a sum which comes on the heels of the 3.9 billion reais invested in 2013.
“It is an industrial plan that extends our commitment, in terms of investments in new genera-
tion networks, data centres and new services, supported by a strict efficiency plan - alongside
the cost reduction programme that has characterised the last few years. A plan for a company
that is totally focused on two main objectives: re-launching the Italian market and growth in
the Brazilian market.”
Marco Patuano, Telecom Italia Chief Executive Officer
Communication represents Telecom Italia’s past, present and
future. But times are changing: the future will be increasingly
about “digital life” and “advanced digital experiences” made
possible by the evolution of technology, by UltraBroadBand
and the spread of new services that contribute to sustainable
economic growth and the improvement of people’s quality of life.
ITALY
Strong increase in
UltraBroadBand (UBB)
investments to favour
structural differentiation
Change the mix between
“innovative” and “traditional”
investments to sustain faster
development of UBB
Delayering network architecture
to gain operational flexibility and
reduce running costs
Access public funds (“Anti-Digital
Divide” and “EuroSud” programmes)
to accelerate fibre deployment in
black and grey areas
BRAZIL
Constant attention to
quality and increased
focus on innovative
components to fully
capture the growing
potential of data
Increase investments to
immediately complete 3G offer and
develop 4G
Higher focus on network
infrastructure and efficiency in
terms of quality and coverage
Continuous deployment of fibre to
support data traffic growth
Develop all opportunities generated
by RAN access network sharing
“In the future we
will need to be even
more efficient, more
competitive, more
sustainable in the long
term. There will be no
future without a healthy
market sustainability.”
Marco Patuano,
Telecom Italia
Chief Executive Officer
“
Strategy
KEY POINTS
OF THE 2014-2016 PLAN
Increase investments in UltraBroadBand – thanks also to the recent
strengthening of the Group’s financial structure – which will then
sustain:
• the increasing adoption of innovative services on the part
of families, companies and the public administration, such
as entertainment, e-learning, e-commerce, e-health and
e-government
• the expansion of broadband coverage following European
Commission indications
• the development in Brazil of mobile data services aimed at an
increased share of the population
LTE (Long Term Evolution):
UltraBroadBand mobile
Also known as new generation 4G network, it allows for
vastly superior transmission speeds and guarantees
coverage also in rural and suburban areas
NGAN (Next Generation Access Net-
work): Fixed-line UltraBroadBand
New generation fibre-optic network that grants high-
speed connections
30Mbit/s downstream
3Mbit/s upstream
100Mbit/s downlink
50Mbit/s uplink

4. 6 | | 7TELECOM ITALIA BEYOND NUMBERS TELECOM ITALIA BEYOND NUMBERS
UltraBroadBand development in Italy
Investments for the community
TODAY (END 2013)
UltraBroadBand
mobile 4G (LTE)
coverage
UltraBroadBand
fixed (NGAN)
coverage
~ 18%
Population reached
by LTE
Population reached by
the next generation fibre
optic network (NGAN)
>50%
TOMORROW (2016)
BRAZIL
Next generation infrastructure
development plan with a
commitment to invest by
2016 more than
11 billion reais
million euros
invested (including
­Telecom Italia
Foundation)
+28%
investment in
the community
­compared to 2012
3.7%
Charities
46.2%
Initiatives in the
community**
50.1%
Investments in
the community*
* Long-term commitment to specific social projects
** Business activities in partnership with humanitarian organizations
Committed to people
2.8
million euros Telecom Italia
Foundation disbursements
Employee training
training hours per head57.4
34%
Social
24%
Historic and
artistic6%
Environment
23%
Educational
13%
Telecom Italia
historic archive
~ 50% 80%
Since 2005, extraordinary investments
made to bring ADSL coverage to some
4,000 municipalities (6 million Italians) in
remote areas
98%ADSL coverage in Italy (at
December 2013)
GEOGRAPHICAL DIGITAL
INCLUSION
Reduction in the use of energy
in voice and data transmission
between 2011 and 2013
ECO-EFFICIENCY
28%
hours per head compared to
2012 for Group employees+109%
For 15 years Telecom
­Italia has been sharing its
initiatives in its Sustainability
Report
46.6
Telecom Italia is the leading Italian ICT Group and
one of the most important players in the large
Brazilian market.
Revenues
23.4
Organic EBITDA
9.7
29%
Brazil
2%
Media, Olivetti
and other
69%
Domestic
Customers
117,848,000
Investments
4.4
Innovation-oriented
­investments in Italy
­during the 2014-2016 plan
~ 3.4
1.4
Brazil
3Italy
TIME FOR
ANNIVERSARIES
2014 marks the 50th anniversary of the
merger in SIP of all of Italy’s previous telephone
companies, as well as the 20th
anniversary of the
transformation of SIP itself into Telecom Italia.
billion euros
billion euros
81%
Italy
19%
Abroad
billion euros
Net financial position
Telecom Italia confirmed as a component of leading sustainability in-
dexes
Employees
65,623
Mobile lines in Brazil73.4million
31.2million
13.2million
Mobile lines in Italy
Retail fixed lines in Italy
increased compared to the ~1.3
of the previous plan
billion euros
Net financial position
26.8
billion euros
63.1%
Men
36.9%
Women
of which 6.9million
retail broadband access
2013 in numbers
Telecom Italia at a glance
out of 9 total

5. 8 | | 9TELECOM ITALIA BEYOND NUMBERS TELECOM ITALIA BEYOND NUMBERS
22 JANUARY
“Italia Connessa” (Connected
Italy) takes a snapshot of the de-
gree of digitization of the Italian
regions. In December the second
edition of the study was released
30 APRIL
Green light for the sale of LA7 to
Cairo Communication
6 AUGUST
TIM among first ten global brands
for customer service on Facebook
in the Social Bakers research
12 SEPTEMBER
Telecom Italia keeps its place in Dow
Jones Sustainability Indexes (DJSI)
3 OCTOBER
All powers assigned to CEO Marco
Patuano after the Chairman’s
resignation
14 OCTOBER
In Milan, Digital Islands enable
innovative services that use cloud
and NFC technologies through
multimedia totems ahead of Expo
2015
12 SEPTEMBER
Telecom Italia Media sells MTV
Italia to Viacom
2013 Key Facts
7 NOVEMBER
2014-2016 strategic plan: 3.4
billion euros in innovative
investments in Italy
13 NOVEMBER
15 new grants to the winners
of Working Capital 2013, which
rewards startups
6 DECEMBER
Issue of mandatory convertible
bonds of Telecom Italia shares for
1.3 billion euros
14 NOVEMBER
Agreement reached for the sale of
the stake in Telecom Argentina
11 DECEMBER
Control centre for Expo 2015
Smart City presented
2 DECEMBER
Telecom Italia on the podium for Italy and Europe KWD
Webranking Awards, which rewards companies for online
corporate communication
0,8
0,75
0,7
0,65
0,6
0,55
0,5
0,45
0,4
0,35
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
31 DECEMBER
Since August, Telecom Italia’s shares have grown 50%,
marking the reversal of the downward trend

6. 10 | | 11TELECOM ITALIA BEYOND NUMBERS TELECOM ITALIA BEYOND NUMBERS
Telecom Italia for society
NURTURING
TALENTS
The future of Telecom Italia is all about generating innovation for people. Indeed, the Group
– also thanks to an acceleration of its digitalisation projects – is working to create a more
inclusive society and make life easier for everyone.Through new platforms, which generate
greater opportunities for connectivity and sharing, innovative solutions – also in education
and healthcare – together with advanced applications will make it possible to get a taste of
the city of the future and help protect the environment.
BUILDING
DIGITAL
SCHOOLS
Joint labs with universities and
support to start-ups to help
nurture young talent
Connectivity projects and online
lessons are the foundations of
the digital school of the future
109grants assigned since 2009
through Working Capital
2,000students already involved in
the educa@TIon project
SAFEGUARDING
THE ENVIRONMENT
BRINGING ABOUT
THE SMART CITY
Expo 2015, of which Telecom
Italia is a technological partner,
is the occasion to get a peak at
the city of the future
Energy saving projects and
services for customers aimed at
increasing energy efficiency
43million euros,
Telecom Italia’s total
investments in technology
solutions for Expo 2015
1%Telecom Italia’s percentage of
Italy’s total energy use
SUSTAINING
INTELLIGENT
MOBILITY
SIMPLIFYING
PAYMENTS
CONTRIBUTING
TO THE DIGITAL
AGENDA
PROMOTING CULTURE
THROUGH INNOVATION
Telecom Italia supports numerous cultural initiatives,
making available its technology and know-how
to promote digital culture in Italy. The network
thus becomes the channel to bring people closer
and to spread contemporary knowledge through
projects ranging from dance (Metamondi) to
literature (Mantua’s Festivaletteratura), from opera
(OperainWeb) to art (MAXXinWeb), from electronic
music (Meet in Town) to classical (PappanoinWeb)
Applications for innovative,
intelligent transport solutions
Mobile phones as electronic
wallets for safe, daily micro-
payments
The goals established by Italian
and European authorities to
keep pace with innovation
INTEGRATING
DIVERSITY
CREATING DIGITAL
HEALTHCARE
Develop tele-medicine to improve
patients’ lives and reduce
healthcare spending
Information technology to remove
barriers to communication, both
physical and linguistic
400,000euros
in grants from Telecom Italia
Foundation to help people with
communication difficulties
100%the target for broadband (>30
Mbit/s) coverage in 2020
(European Digital Agenda)
14million mobile
phones (estimated) with NFC
technology in Italy in 2014

7. 12 | | 13TELECOM ITALIA BEYOND NUMBERS TELECOM ITALIA BEYOND NUMBERS
Caring for the environment is a challenge for society, one in which technology plays a key role.
Telecom Italia is attempting to combat climate change both by reducing its emissions and by
offering customers efficient virtualisation of products and services and innovative solutions.
What has been done to reduce the
company’s energy consumption?
Telecom Italia has implemented a number of initiatives to reduce its energy
consumption, ranging from the introduction of over 350,000 low-energy LED
bulbs in communal areas to an efficient increase in energy generation for
local, internal use.
The most important project is the Smart Center: a cutting-edge technology
centre that helps manage available resources efficiently. Thanks to 24,300
sensors located in plants, premises, mobile radio stations, offices and sto-
res, the Smart Center continuously monitors half of Telecom Italia’s con-
sumption to identify areas of improvement and propose innovative energy-
saving solutions.
Nine projects win recognition for energy
saving
A series of innovative projects, which lead to significant electricity savings,
have been awarded white certificates from the Italian grid operator (Gestore
dei Servizi Energetici, or GSE).
In 2013, nine Telecom Italia projects were awarded white certificates, ena-
bling the company to make annual energy savings of 23,000 tonnes of oil
equivalent (TOE), worth over EUR 16 mln in financial terms. Another 18
projects, corresponding to an annual energy saving of over 55,000 TOE, are
currently being assessed by GSE.
How has data transmission efficiency
improved?
Increasing the speed and quantity of data transmitted involves ever-higher
energy consumption. The initiatives implemented by Telecom Italia seek to
examine the energy efficiency of services offered by correlating the number
of bits transmitted (data and voice traffic) with the quantity of energy consu-
med for industrial, civil and transport purposes (measured in joules).
Since 2011, the Group has improved its data transport efficiency by 28%;
its target for 2014 is to increase efficiency by 9.6% compared with 2013.
1%
28%
WHAT ARE “WHITE
CERTIFICATES”?
Also known as Energy Efficiency Credits, they cer-
tify that companies have achieved energy savings.
Each certificate corresponds to a saving of one
tonne of oil equivalent (TOE). They have an
economic value in that they can be purchased by
companies to offset high CO2
emissions.
Development
of products and
services that
improve energy
efficiency
Initiatives
to reduce
emissions and
consumption
Promotion of
a culture of
caring for the
environment
improvement in energy
consumption for data
transmission (data and voice
traffic) between 2011 and 2013
Telecom Italia’s energy
consumption compared with the
total in Italy. Equivalent to the
total consumption of all Milan
households in one year
Safeguarding the environment
TELECOM ITALIA’S
COMMITMENT
Ultra-fast communications, making and receiving payments using a mobile phone, digital
totems, apps for “augmented reality”: Milan Expo 2015 will be the forum for trying out all
these services, which will be common in the smart cities of the future. Telecom Italia, the
exhibition’s technology partner, will play a key role in developing these services in the future.
Developing networks and infrastruc-
tures
Telecom Italia will build both the fixed and mobile latest-generation infra-
structure for the Expo site and provide various ICT services.
The “Telecom Italia Data Center – The Cloud Shelter” project was born out of
the idea of enhancing the intangible reality of cloud computing with photos
and videos from the data centre in Rozzano, which will be put to use at Expo.
Three of the most famous photographers of international agency Magnum
Photos - Paolo Pellegrin, Peter Marlow and Harry Gruyaert – have thus given
visibility and aesthetic dignity to Expo’s “central nervous system”.
Digital identity
Telecom Italia will also develop the event’s digital identity to stimulate the
interest of potential visitors and increase the resonance of the exhibition’s
theme, “Feeding the planet, energy for life”. To provide a preview of the Ita-
lian Pavilion, an app has been developed using augmented reality and visual
recognition to let people take a “virtual tour” of the model of the pavilion on
display in Rome.
In Milan, meanwhile, the first 15 multimedia totems have been launched.
These devices use new cloud and NFC technology to provide residents and
tourists with information, as well as let them make bookings and payments.
These digital islands represent open-air “laboratories” for testing services to
be offered at Expo 2015.
The city of the future
The universal exhibition is also an opportunity to stimulate new ideas on
the city of the future. Changemakers, the business acceleration programme
promoted by Telecom Italia at Milan Expo 2015, has the ambitious objective
of developing 10 new ideas to change the lives of at least 10 million people.
The ideas chosen in 2013 benefited from an eight-week intensive accelera-
tion programme.
The “Digital Ideas for Expo City 2015” competition, in conjunction with
monthly magazine Domus, also selected three projects based on cloud com-
puting and NFC technology that could have a positive impact on the region
and on people’s lives.
EXPO 2015: THE NUMBERS
Over 140exhibitor countries
20million visitors expected
43million euros invested by Telecom Italia in
the technology for Expo
MILANO 2015
NUTRIRE IL PIANETA
ENERGIA PER LA VITA
Bringing about the Smart City
DISCOVER THE EXPO
CONTROL CENTER
View the photos of the project “Telecom Italia Data
Center - The Cloud Shelter”, at
expodatacenter.it
Digital islands in Milan ahead of Expo 2015

8. 14 | | 15TELECOM ITALIA BEYOND NUMBERS TELECOM ITALIA BEYOND NUMBERS
The digital school is at the heart of Italian and European growth programmes and smart city
designs.Telecom Italia puts its expertise and technology at the service of schools to develop
digital teaching solutions.
Telecom Italia and the digital school
The main objectives of the solutions offered by Telecom Italia are a reduc-
tion in the educational digital divide and promoting the digitalisation of
schools and classrooms. The rollout of ultra broadband and wi-fi in schools
is key to achieving the objectives of Italy’s National Plan for Digital Schools.
Telecom Italia, in conjunction with Olivetti, created the “Nuvola Italiana” Digi-
tal School at the end of 2013, a project that aims to help schools modernise
and introduce innovation in educational management. The offering enables
schools to adopt modular, scalable solutions for the shared learning and
social learning of educational, administrative and teaching contents, using
web-based environments, online registration-based cloud platforms, school-
family and teacher-student communications management, and collaborative
e-learning. The kit includes interactive multimedia whiteboards and PCs for
lessons in the classroom and notebooks and tablets for students to share
digital content.
Project educ@TIon revitalises schools
educ@TIon is a project that aims to provide a solution for sharing and inte-
racting with various types of material on any type of tool, from multimedia
whiteboards to tablets. The strength of educ@TIon is that it is not linked to
one particular tool and includes applications such as the sharing of digital
books, collaborative environments for the joint creation of multimedia con-
tent and lecture notes, and tools for shared lessons on multimedia whitebo-
ards in the classroom or for distance learning.
Digital technology contributes to the
development of Brazilian schools
TIM Brasil’s Instituto TIM supports various projects that aim to improve the
education and social development of Brazilian children, especially in di-
sadvantaged areas.
Aprender Conectado provides teachers with digital tools to use for teaching
children. Specifically, Instituto TIM provides data chips and free internet con-
nection.
With Math Circle, Instituto TIM has introduced in Brazil an innovative way of
teaching maths, developed by Bob and Ellen Kaplan of Harvard University.
The project, which in 2013 involved 50 teachers across the country, aims
to improve children’s learning experience using more interactive teaching
methods.
EDUC@TION: THE
NUMBERS (2010 – 2014)
13schools involved from Trentino Alto Adige
to Sicily, and Emilia Romagna to Campania
Over 2,000students take part
TELECOM ITALIA
FOUNDATION
Innovative Design of educational processes in
schools
The Foundation has developed, in conjunction with
Italy’s national association of head teachers, a web-
based platform for teacher training and interaction.
The 100 teachers selected for the project took part
in a workshop on innovation in teaching methods
and the use of digital tools in the classroom.
Italy - Brazil Project
Combating poverty and exclusion through an
educational social network that connects 20
high school classes in Italy and Brazil. Over 500
students and 20 teachers have developed a shared
community. It is the Foundation’s first project outside
Italy.
Building Digital Schools
educ@TIon used at the Istituto Buonarroti in Trento
Developing young people and their talent is the key to the country’s growth.This is why
Telecom Italia has created a new model of collaboration with universities that puts the
development of talent at its heart.This new way of doing research involves the creation of
joint laboratories for the industrial transfer of innovation (Joint Open Labs, or JOLs) and
programmes to support young people, such as Working Capital and Changemakers.
OBJECTIVE PROJECTS RESULTS
Developing
young people
To promote young
talent in Italy
New initiatives on the
employment market
relating to training
and entry into the
company, such as
higher education
internships, master’s
degrees and
research doctorates.
Italy (since 2011)
• Over 330 higher education internships granted for final-year engineering and economics students
• Over 100 research doctorate scholarships financed
• Over 70 bright new graduates supported in studying for four second-level professional master’s degrees
• Over 80 young people recruited on permanent contracts to innovative areas in 2013
Brazil
• 120 talented young people selected for the programme “Internships without frontiers” (Estágio sem Fronteiras)
• 16 promising new graduates taken on in strategic areas of the business
• 2,134 senior managers recruited in 2013
New partnership
between industry
and universities
To accelerate industrial
transfer and generate
shared solutions
between the world of
research and business.
Creating a new way
of doing research
using joint open
labs (JOLs) for the
industrial transfer of
innovation
Joint Open Labs (JOL)
• 5 universities involved in the first phase
• Over 350 young people, of whom 200 are working in the company’s areas of innovation
• Interdisciplinary teams focusing on university areas of excellence
• “Open” research at international level in collaboration with organisations such as the European Institute of Technology
and MIT
• Investment of 13 million euros (2012-2015)
• Field testing relating to the company’s areas of interest and in which universities have expertise, generating knock-on effects
locally and encouraging university startups
Support
to startups
To foster new talents
in Italy, and assist with
the creation of new
companies, particularly
web and technology
firms.
Creating incubation
programmes that
offer know-how,
financial resources
and visibility through
two initiatives:
Working Capital and
Changemakers for
Expo Milan 2015
Working Capital - the results (since 2009)
• 109 grants
• 15 accelerated startups and 19 incubated and financed startups, 36 pre-incubated startups
• Working Capital 2014: forty 25,000-euro business grants will be awarded across the 40 accelerator programmes in the
four centres in Italy.
• 4 accelerator centres: Milan, Rome, Catania and Bologna
• Working Capital will also have a crowdfunding platform for ideas, projects and companies to receive financing from the
community
Changemakers for Expo Milano 2015
• 10 new ideas chosen from over 1,500 participants from 21 countries
• 8 weeks of intensive incubation with professionals from various sectors
• Many projects are achieving international visibility
Since 2009, it has supported the crea-
tion and development of new businesses
based on digital innovation.
Business acceleration programme promoted by
Telecom Italia at Milan Expo 2015, with the ambitious
objective of developing 10 new ideas to change the
lives of at least 10 million people.
Nurturing talents
workingcapital.telecomitalia.it | @workingcapital
changemakers.expo2015.org | @cm4expo
2013 saw the launch of:
7new laboratories in
4cities that are going
to join the ranks of the
SKIL JOL, which opened
in Trento in 2011.
Catania
Pisa
Milano
Trento
Torino

9. 16 | | 17TELECOM ITALIA BEYOND NUMBERS TELECOM ITALIA BEYOND NUMBERS
The aim of digital health is to enable doctors and patients to carry out many activities remotely,
thereby improving patient quality of life and reducing health expenditure.Telecom Italia has
promoted the development of tele-medicine to improve the lives of patients in hospital and the
cloud management of health information (electronic health records).
A high-tech bridge to reduce the distance
between very young patients, schools and
families
In 2013, version 2.0 of Smart Inclusion was launched to improve the hospi-
tal stays of very young patients, thanks to a high-tech platform with remote
learning, entertainment and data management services.
CreatedinconjunctionwithCNR(Italy’snationalresearchcouncil)andtheMini-
stry for Simplification and the Public Administration, this year saw the project’s
launch in Italy’s eighth hospital, the Santa Chiara Hospital, Pisa. Using cloud
computing and Telecom Italia’s digital learning solution, educ@TIon, the new
version enables children to access its services from both PCs and tablets.
Improving patient quality of life while
optimising healthcare costs
Nuvola IT Home Doctor enables patients suffering from chronic conditions
or who are undergoing post-hospitalisation follow-up to monitor physiological
parameters (e.g. body weight, glycaemia) at home.
It’s simple for patients to send the relevant figures using a smartphone, PC
or tablet while doctors can monitor the results, receive notification of rea-
dings above or below a threshold, prepare medical reports or consult with
other doctors.
Other functions to improve the service are being tested including the analysis
of more pathologies, prevention tools and the management of health asses-
sment questionnaires.
The solution is already being used by various health organisations, including
the Rieti area health authority, where 40 patients undergoing anticoagulant
therapy are being monitored without the need for a blood sample to be taken
at home, resulting in savings and benefits for patients. The Palermo area
health authority is also using it for 60 diabetic patients, with the aim of redu-
cing diabetic coma.
Home Doctor is not only suitable for patients with chronic conditions: 2,500
sailors in the Italian Navy undergo cardiac examinations without having to
visit cardiology departments generating savings of nearly 1 million euros.
A cloud for health information
Nuvola It Digital Clinic is Telecom Italia’s new service for
managing electronic medical records. Designed for all
health facilities that want to manage the clinical data of
patients on a fully mobile basis using portable devices,
the solution replaces the old system of paper clinical re-
cords. It can be used with Telecom Italia’s cloud compu-
ting, in accordance with privacy legislation. The service
has already been adopted by various hospitals such as
the Ospedali­Riuniti centre in Bergamo, where doctors
can view, update and share patients’ medical history on
their iPad during ward visits.
Nuvola It Image Archiving – Plus, a solution for virtua-
lising and storing diagnostic examinations and medical
documents, and thus ensuring their authenticity and in-
tegrity, was also created in 2013. This solution has con-
siderable financial advantages considering that around
50 million diagnostic examinations and an equal num-
ber of medical reports that need to be stored are gene-
rated each year. The Santobono Hospital in Naples, for
example, is archiving its x-ray images, involving some 7
terabytes of storage space, in the Telecom Italia cloud
at low cost.
Creating digital healthcare
Smart Inclusion at “Santa Chiara” hospital in Pisa
Information technology can now promote diversity and remove barriers to communication.
Telecom Italia and the Telecom Italia Foundation support innovative projects based on the
use of technologies that try out new forms of education, approaches and tools to overcome
communication difficulties.
Volis Project How can we learn a language that uses signs as words?
Educators, speech therapists and psychologists every day provide support
to hearing-impaired children and those suffering from language disorders.
One of the most complex aspects is assessing children’s understanding of
Italian sign language (ISL). The Volis project, a partnership between the Te-
lecom Italia Foundation and the Institute of Cognitive Science and Techno-
logy of CNR (Italy’s national research council), has led to the creation of a
digital platform that helps assess ISL comprehension levels by means of
tests. Answers to the test are recorded by the platform, enabling educators
to improve and adapt teaching methods in accordance with the needs of
their young patients. Volis is one of the three projects selected by the Tele-
com Italia Foundation following the “Communication Problems” Open Call in
2013. The second project, SI DO RE MI, focuses on children suffering from
autistic disorders, while Cinque Petali (Five Petals) is dedicated to children
with learning difficulties.
2in every 1,000 children are born deaf in Italy
70,000 people in Italy are deaf
Telecom Italia Foundation - helping people
with communication problems:
205proposals in response to the Open Call
400,000euros allocated
3projectsselected:Volis,SIDOREMI,CinquePetali
I speak Italian
Italian for students who have
just arrived in Italy
The number of foreign pupils in Italian schools who have
very recently arrived in the country and who cannot spe-
ak Italian is growing. To help them integrate, the Telecom
Italia Foundation finances the Io Parlo Italiano (I speak
Italian) project, promoted by the Ministry of Education,
Universities and Research. It has been rolled out in more
than 75 schools, involving 450 pupils and 150 teachers,
for a total of 15,000 hours. The objective is to facilita-
te the study of our language among foreign students up
to the third year in junior high schools, with intensive
courses and lab sessions, to help them pass the state
exam and guide them in their choice of high school.
Comunico-IO
Bringing down communication barriers
between the hearing and the deaf
“Comunico-IO” (I communicate) facilitates communication between the
hearing and the hearing-impaired, thereby bringing down the barriers that
isolate the hearing-impaired in society. The project, targeted at employees of
the Telecom Italia Group, fosters integration within the company. In the first
phase, a high-definition webcam made it possible to conduct video chats
in Italian sign language (ISL). Subsequently, an application was created to
convert written messages into voice messages: a useful tool not only in
emergencies but in everyday communication.
Given the project’s success, a new application is being developed that will
enable visually-impaired people to convert voice commands into e-mails or
text messages.
Integrating diversity
Kids in the Volis project

10. 18 | | 19TELECOM ITALIA BEYOND NUMBERS TELECOM ITALIA BEYOND NUMBERS
Getting accident notifications, knowing how fast to drive at catch green lights, car-sharing and
having public transport routes marked out online are just some of the services that underpin
efficient mobility in a smart city.Telecom Italia co-operates in numerous projects designed to
create smart transport systems.
Smart city and intelligent mobility
The smart city needs systems that guarantee safe, efficient and sustainable
mobility. To put this in place, every country and city must have effective data
collection and processing systems in which telecommunications and data
management will play a fundamental role.
In the near future, numerous sensors will be installed on the ground and
in vehicles. These will communicate with each other and with mobility ma-
nagement centres to transmit information about traffic and the state of the
vehicles and their locations to enable improved planning of city services.
Telecom Italia works with many local organisations and takes part in various
European projects to develop innovative smart transport solutions; these in-
clude the Compass4D project with Verona.
Sustaining intelligent mobility
THE ADVANTAGES OF A
CONNECTED CAR
• Optimises transport times by providing
information on traffic and the availability of
parking spaces
• Provides information on routes and access to
urban areas
• Reminds drivers of vehicle maintenance
schedule
• Enables personalised insurance solutions to be
created
• Enables vehicle to be located in case of theft
• Informs emergency services in the event of an
accident, indicating precise location
Car manufacturers and telecommunications com-
panies have set the following objectives for smart
mobility*:
• More than 20%of vehicles sold will
include connectivity devices by 2015
• By 2025every new car will be able to
connect through multiple devices
* GSMA, the international association of mobile operators
CARS AND TRAFFIC LIGHTS TALK
TO EACH OTHER IN VERONA FOR
SMART TRAFFIC
Along with six other European cities, Verona is piloting various smart
traffic and road safety systems as part of the European project
Compass4D. As a partner of the project, Telecom Italia has made its
high-speed mobile (4G) technology available, which is fundamental
for ensuring smooth and rapid communication. Devices have been
mounted on test vehicles (cars and buses) that communicate
with the surrounding road infrastructure and warn drivers of any
road accidents and roadworks and provide them with traffic light
information. Furthermore, certain public utility vehicles, such as
buses running late or emergency vehicles, can be given a green light
as soon as they approach a junction.
In the second phase, residents will be able to access the various
applications through their smartphones, even when travelling on foot
or by bicycle.
Find out more at compass4d.eu | @Compass4D
Verona seen from the screens of the Compass4D project
Near Field Communication (NFC) technology lets you pay for your shopping and other everyday
purchases, for using the metro, getting into your office and accessing tourist information in the
city with just your mobile. No more season tickets, keys or credit cards. NFC technology allows
you to carry out rapid and contactless transactions using a mobile phone.
NFC technology
Near Field Communication (NFC) technology enables fast and secure elec-
tronic transactions to be carried out using a mobile phone and offers various
advantages:
• use your mobile phone to make payments or interact with turnstiles, re-
aders or information tags, without having to always carry different cards
and season tickets with you
• be user-friendly
• guarantee fast and secure data transfer
What are its uses?
NFC FOR EXPO 2015
Telecom Italia and TIM took part in the Isole
Digitali (Digital Islands) project, providing:
22interactive totems
1platform that provides informative
multimedia content for citizens and tourists,
thanks to the cloud infrastructure of the Italian
Cloud
Some of these totems are equipped with NFC
technology that can interact with residents’ and
tourists’ mobile phones and tablets for booking
and purchasing tickets for events, bike-sharing
and more.
Find out more in
Bringing about the Smart City (page 13)
TIM mobile wallet coming soon
Telecom Italia has been involved for some time in the development of NFC
services based on the use of SIM cards in mobile phones. On the back of va-
rious pilot projects launched in recent years, Telecom Italia in 2013 built the
enabling platform, worked with the main suppliers to develop commercial so-
lutions and concluded important agreements with Visa and Intesa Sanpaolo
on mobile proximity payments (NFC).
Contactless payments with a Visa card will be the key service of the “TIM
mobile wallet”, an “open” digital wallet that can be used to make payments
for small everyday items, such as bus tickets or coffee, simply by holding up
your mobile phone within range of the enabled terminal. Payments of more
than 25 euros will require a password.
NFC services have significant growth prospects, since most smartphones
sold today are enabled with NFC technology. By the end of 2014, there will
be more than 14 million NFC mobile phones in circulation and in two years
around 10% of users are expected to make use of multiple services made
available by this technology.
BUYING A TICKET GETTING INTO THE
OFFICE SHOPPINGUSING SERVICES VIEWING
INFORMATION
GROWTH
PROSPECTS IN
NFC SERVICES
14million: the number of NFC mobile
phones expected to be in circulation by end-2014
10%of users will use
NFC services by end-2016
Simplifying payments

11. 20 | | 21TELECOM ITALIA BEYOND NUMBERS TELECOM ITALIA BEYOND NUMBERS
Telecom Italia sees innovation and technology contributing to a digital world where living
standards are better for individuals and companies.The path has been mapped out by the
Italian Digital Agenda, a programme created on the basis of the Digital Agenda for Europe
– one of the seven initiatives of the “Europe 2020” strategy for smart, sustainable and
inclusive growth.
A MORE EFFICIENT
PUBLIC ADMINISTRATION
The Digital Agenda Observatory of Polytechnic
University of Milan estimates the following annual
savings from the introduction of digital into the
public administration:
Over 1 billion euros from electronic billing
6.8billion euros from digital healthcare
5billion euros by going from 5% to 30% share
of electronic payments for goods and services
(eProcurement)
From Europe to the regions: the future
challenges for a digital life
The Italian Digital Agenda, created following the guidelines of the European
Agenda, is intended to stimulate the country’s economic growth through
incentives to use technology. In addition, the programme is expected to ge-
nerate significant savings for public authorities.
Contributing to the Digital Agenda
In order to achieve these objectives, it is vitally important to invest in techno-
logy and network infrastructure and to do so throughout Italy, not just in the
big cities and districts.
To bridge the technological gap that has opened up in lower-income areas
of the country, between 2005 and 2013, Telecom Italia carried out a major
investment programme in which it provided ADSL coverage to approximately
4,000 new municipalities, equivalent to more than 12% of the population.
This led to ADSL broadband coverage for the country of 98% at the end of
2013, close to European Digital Agenda target.
Digital
Agenda for
Europe
Italian
Digital
Agenda /
Growth 2.0
decree
Regional
Digital
Agendas
• Single digital market
• Broadband
• Digital inclusion
• Public services
• Research and innovation
• Green economy
• Single registry / digital identity /
Electronic billing
• Digital Public Administration
• Digital education
• Digital health
• Digital legal system
• Smart communities
• Knowledge and ability to listen
• Regional industrial policies
• Delegated areas (e.g. health)
• Regional implementation
COVERAGE
TARGETS
Today (end 2013)
~ 50%LTE coverage
~ 18%NGAN coverage
Tomorrow (2016)
80% of Italian population reached by LTE
(new 4G mobile network)
>50% of fixed-line population reached
by new fibre-optic fixed network (NGAN)
By the end of 2016, partly thanks to the increase in investment in ultra-broadband technology
set out in its three-year plan, Telecom Italia will serve more than 50% of the population with a
fixed high-speed connection (NGAN) and 80% with a fourth-generation mobile network (LTE).
The goals of the Digital Agenda for Europe for 2020
At the beginning of 2010, the European Commission presented the Europe 2020 strategy, with
the aim of preparing the economic and social framework for the challenges of the next decade.
The key initiatives included the adoption of a Digital Agenda for Europe, which seeks to increase
Internet coverage and enable households and businesses to get the most out of the single digital
market.
Italia Connessa and Telecom Italia’s digital
check-up
With the Italia Connessa (Connected Italy) initiative, Telecom Italia looked
at the different levels of digital development and partnered some regional
administrations in conducting a thorough digital check-up. The municipality
of Grugliasco (Turin) won the Italia Connessa contest, which was intended
to promote a culture of innovation among local administrations of medium-
sized Italian municipalities.
The second Italia Connessa was presented in December 2013 and paints a
mixed picture. Italy seems to be behind the European average in most indica-
tors, with the exception of basic broadband coverage (at 98%).
Just over half the population accesses the Internet, well below the European
average (53% in Italy versus the EU figure of 70% and the 2015 target set by
the European Union of 75%), and Italians remain rather sceptical regarding
online purchases (17% of the population buys goods online, compared with
the 2015 European target of 50%, an objective that has already been met
and exceeded by numerous EU countries).
TIMETABLE AND
DEADLINES FOR THE
ITALIAN DIGITAL AGENDA
Like the Digital Agenda for Europe, the Italian
Digital Agenda has a time horizon to 2020.
The Agenda establishes a steering committee
to manage the six working groups which must
implement 101 actions:
• Infrastructure and security
• eCommerce
• eGovernment and open data
• Digital informatisation and digital skills
• Research and innovation
• Smart communities
In 2013, the Digital Agenda was boosted by the
“Decreto del Fare” (“Decree of doing”, Legislative
Decree 69/2013).
BROADBAND
(2020 TARGET)
Citizens covered
by basic
broadband
Broadband
coverage of over
30 Mbit/s
Use of
connection of
more than 100
Mbit/s
100%
50%
100%
75%
15%
60%
Population
that makes
purchases on the
internet
Small and
medium-sized
companies that
buy and sell
online
Citizens who
use the public
authorities’
digital services
50%
50%
33%
DIGITAL INCLUSION
(2015 TARGET)
SERVICES
(2015 TARGET)
Residents who
regularly use the
internet
Vulnerable
groups who
regularly use the
internet
Maximum
percentage of
population who
have never used
the internet
DIGITAL
AGENDA FOR
EUROPE
The Digital Agenda is one of
the seven key initiatives of the
Europe 2020 strategy, which
sets EU growth objectives to
2020.

12. 22 | | 23TELECOM ITALIA BEYOND NUMBERS TELECOM ITALIA BEYOND NUMBERS
27 MAY
Telecom Italia introduces innova-
tive solutions for health, security
and the territory to promote the
digitization of the Public Admini-
stration
11 FEBRUARY
Telecom Italia takes ultra fast
broadband technology to SMEs
with Tuttofibra
5 MARCH
Launch of TIM’s new “Sempre Sicuro” (Always Secu-
re) service to protect smartphones and tablets from
theft and damage and to keep all data secure
15 APRIL
TIM Brasil launches TIMmusic: an
application allowing users to access
millions of tracks at low prices
Main commercial offerings in 2013
12 JUNE
Telecom Italia launches “Roa-
ming Tutto Incluso” (all-inclusive
roaming), the first “disposable”
solution for business clients
15
10 SEPTEMBER
Telecom Italia launches “Tutto”:
internet and unlimited calls from
home to all mobile phones
7 OCTOBER
Telecom Italia launches new app that converts
smartphones into home phones
12 NOVEMBER
Telecom Italia and Visa Europe:
agreement to enable mobile
payments
13 DECEMBER
TIM’s ultrabroadband service LTE (4G) reaches the
cities of Cremona, Ravenna and Varese
23 DECEMBER
Telecom Italia creates a new
mobile app for the Italian
Pavilion of Expo 2015
31 DECEMBER
Foggia, Salerno, Latina, Lucca are
among the latest cities added to the new
generation fibre-optic network NGAN in
2013

13. 24 | TELECOM ITALIA BEYOND NUMBERS
telecomitalia.com/company-profile