The document discusses several key points around optimizing mobile broadband data profitability in Western Europe:
- Voice revenue is expected to decline 5% annually while data revenue grows 4% annually, though currently data revenue makes up only a third as much as voice revenue.
- Operators aim to optimize costs and increase EBITDA margins slightly over the next 5 years through measures like network sharing and outsourcing, to compensate for declining revenues.
- Traffic management and controlling technology costs, which make up 15-20% of operating expenses, will be important as mobile broadband traffic grows exponentially in coming years.
My first Qtel Group Keynote address at the Telecoms World Middle East 2012 conference in Dubai. Its been great fun to do this parting with Europe analysis and the Outlook for the next 8 years. As I will not be totally retired by 2020 please remember that you will be able to hold me accountable for some of my predictions ;-) The Good Ones, The Bad Ones and for sure The Ugly Ones ... Enjoy and shoot back!
My first Qtel Group Keynote address at the Telecoms World Middle East 2012 conference in Dubai. Its been great fun to do this parting with Europe analysis and the Outlook for the next 8 years. As I will not be totally retired by 2020 please remember that you will be able to hold me accountable for some of my predictions ;-) The Good Ones, The Bad Ones and for sure The Ugly Ones ... Enjoy and shoot back!
Telecommunications is a highly competitive industry that is always looking to the future. History matters little in a market where competitive advantage has everything to do with technology, execution, and presentation. France Telecom is a leader in this industry. Their Orange brand in paving the way into new markets. Learn briefly about how they are doing in relation to their competitors, the industry, and what other telecoms can learn from their Orange brand.
Case Study: Verizon Wireless: Chasing the Yellow Before They Turn RedCA Technologies
In the age of the application economy, Verizon shows one way they strive to earn user loyalty. By correlating network and application metrics and gaining network and application performance insights, Verizon is able to homogenize behaviors across organizations and focus on fault prevention rather than decreasing time to fix after the fault has already occurred.
For more information on DevOps solutions from CA Technologies, please visit: http://bit.ly/1wbjjqX
I have for some time worked on training notes (eventually a book) that particular targets the un-initiated or persons / companies interested in understanding how Telco works and thinks. Particular focusing on Economics and Business Models.
These notes where used in a recent training I gave in Myanmar and as such many of the examples are particular to Myanmar.
For the initiated this is likely going to be too easy and sometimes even feel like cheating (just a bit).
Stay tuned as I will be updating these particular slides frequently and as I tailor make them for particular requests or interests.
In case you are interested in the actual training get in touch.
It was a great pleasure having this presentation presented at the Tehran 5G Conference in Iran this October, 2016. It kick started my thinking & analysis of the economics of 5G, While 5G have many great technology promises, a lot have to happen with our business models and economics to also cash in on those promises. Enjoy this presentation and stay tuned for many more on this important topic.
A special thanks to Minoo Abedi who presented this work at the conference in Tehran.
Telecommunications is a highly competitive industry that is always looking to the future. History matters little in a market where competitive advantage has everything to do with technology, execution, and presentation. France Telecom is a leader in this industry. Their Orange brand in paving the way into new markets. Learn briefly about how they are doing in relation to their competitors, the industry, and what other telecoms can learn from their Orange brand.
Case Study: Verizon Wireless: Chasing the Yellow Before They Turn RedCA Technologies
In the age of the application economy, Verizon shows one way they strive to earn user loyalty. By correlating network and application metrics and gaining network and application performance insights, Verizon is able to homogenize behaviors across organizations and focus on fault prevention rather than decreasing time to fix after the fault has already occurred.
For more information on DevOps solutions from CA Technologies, please visit: http://bit.ly/1wbjjqX
I have for some time worked on training notes (eventually a book) that particular targets the un-initiated or persons / companies interested in understanding how Telco works and thinks. Particular focusing on Economics and Business Models.
These notes where used in a recent training I gave in Myanmar and as such many of the examples are particular to Myanmar.
For the initiated this is likely going to be too easy and sometimes even feel like cheating (just a bit).
Stay tuned as I will be updating these particular slides frequently and as I tailor make them for particular requests or interests.
In case you are interested in the actual training get in touch.
It was a great pleasure having this presentation presented at the Tehran 5G Conference in Iran this October, 2016. It kick started my thinking & analysis of the economics of 5G, While 5G have many great technology promises, a lot have to happen with our business models and economics to also cash in on those promises. Enjoy this presentation and stay tuned for many more on this important topic.
A special thanks to Minoo Abedi who presented this work at the conference in Tehran.
Delivered at the Network & Services Management Conference in Bonn, Germany on December 6th 2016. It comprises Deutsche Telekom's strategy and vision as it relates to real time network & services management and aggressive automation through AI and applied machine learning. It is fairly high-level but does include reference for further study and read-up, particular towards IETF and RTC publications.
The future of spectrum pricing S Zehle Coleago 24 jan 17 szColeago Consulting
Paper on radio spectrum pricing by Stefan Zehle, CEO, Coleago Consulting, presented at Middle East and North Africa Spectrum Management Conference in Doha, 24th of January 2017
The October 2016 spectrum auction in India ended in failure as none of the 700MHz spectrum was sold. ICT development failure as none of the 700MHz spectrum was sold rusulting in negative consequences for mobile users, a blow to ICT development in India and failure to deliver National Telecoms Policy 2012. The auction also failed in fiscal terms because of its failure to reach the revenue target from the sale of spectrum. Based on advice from TRAI, the Government of India planned to raise Rs 536,239 crores (US$ 80 bn) but only raised Rs 65,789 crores (US$ 10 bn).
Reducing the cost per gigabyte - a 3d b consult white paperToomas Sarv
As mobile data usage is growing rapidly each year, and is expected to grow even more aggressively by 2020, the price per Gigabyte for the subscriber is reducing over time across all markets... At the same time, it is increasingly challenging for operators to find monetization schemes for their LTE networks that are in correlation with traffic growth and price drops in one formula. Their own cost of Gigabyte is not decreasing at the same pace as the price per Gigabyte for their subscribers.
Paper on the future of spectrum pricing in the context of new spectrum assignments for 4G and 5G presented at the 3rd Annual Spectrum Management Conference in Bangkok
Keynote delivered at European CTO Telecoms Forum looking at Telco World beyond the initial roll-out and path to 5G. Will Marketing lapfrog out of the Access-based thinking and really sell what Technology enable with converged broadband networks, cloud and visualization supporting IoT, Industry 4.0, Connected Car@s (or X in general) and so forth.
If you are interested in the slide or discussions related to the content, don't be a stranger, get in touch!
Depending on the market up to 2020 the amount of spectrum assigned to mobile operators will increase by a factor of 1.7 to 2 times and beyond 2020 by a further 8 to 10 times. Current thinking with regards spectrum pricing and assignment needs to be revised to solve the economic equation to allow 5G.
The DRC is considering imposing a tax on voice bundles of USD 0.0075 per minute, USD 0.003 per SMS and USD 0.00005 per MB. At the same time, the regulator has prohibited any price increases. The net effect will be to slow investment and economic growth. The new proposed taxes on SMS, minutes and data will limit the commercial freedom of mobile operators and force SMS, voice, data and mixed bundles to be withdrawn because prices cannot be increased. The net effect will be an indirect price increase through the withdrawal of bundles. This will hit the poor hardest.
I had the pleasure to provide this keynote at Deutsche Telekom AG Spectrum Summit 2022, talking about the enterprise value of being the best mobile network in a market or the word, as well as what it takes to make it to the top of the top mobile networks in the world.
I great privilege to end Ampleon Technical Conference 2021 (Nijmegen, Netherlands) with a keynote contribution on what makes Telco tick and more on what to expect from real 5G. It was as well more than 20 years since I had seen many of my old Philips colleagues (now Ampleon) which made this event very special for me as well. Of course, also super cool to see the innovation level and relevance to our deployed RAN infrastructure.
Keynote presentation at Day 2 Telecoms Europe 5G Conference. Describing, my view of the 5G standalone deployment dynamics, best timing and what benefits to customers and ourselves (MNOs) to expect. I genuinely believe that to have a successful 5G Core SA deployment we need to learn from New IT cloud native transformation journeys.
Contribution to Informa's Telco AI World Summit 2020, talking about driving data-powered innovation and automation at pace and scale. Looking Telco automation and AI frameworks working towards Zero Touch (autonomous network operations) with Zero Defects and Zero Complaints. If you are interested in a copy or want to discuss furher don't be shy reach out.
I developed this presentation to discuss the framework for automation and autonomic operations in particular in the Finance domain. It is high level introductory but includes guidance of how to best select AI and RPA projects with higher implementation success rates. If you are interested in a copy dont be shy! Reach out!
I gave this presentation at Deutsche Telekom AG's Digital Ethics Conference in Bonn on March 13 2019. It provides the background for how biases may occur in machine learning systems and what may go wrong if not corrected (or minimized).
This collection of slides are meant as a starting point and tutorial for the ones who want to understand AI Ethics and in particular the challenges around bias and fairness. Furthermore, I have also included studies on how we as humans perceive AI influence in our private as well as working lives.
My keynote from this weeks (June 12, 2018) 5G World conference in London. I focus here on AI for Telcos and in particular what can be done in the network and IT parts of the network. Making the point that there remains a lot of low hanging fruits which are simpler and easier to solve than present day image and NLP challenges. It is amazing how much you can do with fairly simple ML architectures with out going to state-of-art DL frameworks.
Had the great privilege to deliver this presentation at one of Europe's finest alternative tech conferences. Enjoyed it immensely. Check it out http://brainbar.com/#speakers and join next year!
Keynote presentation at our Magyar Telekom "AI for Everyone" conference in Budapest at 21st of March 2017.
You will find a the blog companion here: https://aistrategyblog.com/ which provides insights into how we humans perceive AI. Enjoy the read if you get there.
If you would like to have the presentation or have any questions please get in touch, don't be shy!
My presentation on the road to 5G at the 24th EMEA CTO Telecoms Forum. January 29th 2018, Berlin, Germany. 5G and AI has nothing to do with magic. They are real technologies. Why wait for 5G? Get started on LTE and on the path of conversion. Why AI, or more accurately machine learning, and intelligent automation is going to be crucial for managing an increasingly complex networked ultra-converged technology landscape.
If you want a copy please dont be a strange get in touch!
This presentation was given at our Big Data Days Event. The presentation provides a comprehensive (albeit high level) view of the important parts of Big Data in Network Technology.
Inspirational talk on AI (artificial intelligence) and machine learning, i.e., how to give birth to an AI. Introductory and intentionally kept simple for non experts and non technical executives. Care should be taken not too over interpret some of the intentional simplified statements in the presentation.
Introduction to Artificial Intelligence. Not complex and should be relative easy to follow. Be aware that due to its high levelness (and no voice over) some care should be taken by the simplified examples used.
My Wi-Fi & Small Cell MENA presentation delivered 27th of October 2014 in Dubai.
If you want a copy don't hesitate to contact me and don't miss out on my blog either www.techneconomyblog.com ... which have a lot more prose around the nice pics! ;-)
Many of the topics addressed in this presentation can also be found in explained in more detail at my Blog http://techneconomyblog.com/
Gave this presentation at the Telecoms World Middle East 2014, 29th September. Had a lot of fun putting this work together and got me thinking a lot about the future of networking and the challenges we (Telcos) will be facing in preparing our networks for the next thing. This is a bout the Next Thing although its in reality "hitting" us now.
Have fun and Enjoy!
In case you have any questions or comments don't hesitate to get back to me.
I enjoyed giving my "Small Cell Economics" presentation at the Small Cell MENA Conference in Dubai (October 7th, 2013). You will (or might) find this one particular provoking (even for me) but please bear in mind that the last thing I want is for you to think that Small Cells doesn't work or can be a great tool ... rather I like you to work on how to solve some of the problematic scaling issues in large-scale small cell networks.
In connection with the EU Water Project awarded to CNR Catania, I gave this inspirational talk to Physics Students at Catania University and old research colleagues on how to transition from Academia to the often very non-scientific world of Corporation. How to keep your sanity, curiosity (i.e., “But Why?”) and continue to have fun throughout your career.
Hereby my Broadband MEA 2013 keynote presentation (delivered 20 March 2013).It's an Extended Re-Mix, rather than the limited slides required for the 15 minutes talk. Hopefully this gives a more rounded view on Growth Dynamics related to mobile data demand and supply in mobile networks as well as the Economics involved (which is often forgotten when the usual suspects gets exited about x1,000 challenges).
Take also a peek at my Blog on the topic:
http://techneconomyblog.com/2012/11/02/the-economics-of-the-thousand-times-challenge/
Enjoy!
Btw. apologies for the fairly hopeless format conversion in this presentation ( it looks better in real ppt format ;-).
UiPath Test Automation using UiPath Test Suite series, part 4DianaGray10
Welcome to UiPath Test Automation using UiPath Test Suite series part 4. In this session, we will cover Test Manager overview along with SAP heatmap.
The UiPath Test Manager overview with SAP heatmap webinar offers a concise yet comprehensive exploration of the role of a Test Manager within SAP environments, coupled with the utilization of heatmaps for effective testing strategies.
Participants will gain insights into the responsibilities, challenges, and best practices associated with test management in SAP projects. Additionally, the webinar delves into the significance of heatmaps as a visual aid for identifying testing priorities, areas of risk, and resource allocation within SAP landscapes. Through this session, attendees can expect to enhance their understanding of test management principles while learning practical approaches to optimize testing processes in SAP environments using heatmap visualization techniques
What will you get from this session?
1. Insights into SAP testing best practices
2. Heatmap utilization for testing
3. Optimization of testing processes
4. Demo
Topics covered:
Execution from the test manager
Orchestrator execution result
Defect reporting
SAP heatmap example with demo
Speaker:
Deepak Rai, Automation Practice Lead, Boundaryless Group and UiPath MVP
Kubernetes & AI - Beauty and the Beast !?! @KCD Istanbul 2024Tobias Schneck
As AI technology is pushing into IT I was wondering myself, as an “infrastructure container kubernetes guy”, how get this fancy AI technology get managed from an infrastructure operational view? Is it possible to apply our lovely cloud native principals as well? What benefit’s both technologies could bring to each other?
Let me take this questions and provide you a short journey through existing deployment models and use cases for AI software. On practical examples, we discuss what cloud/on-premise strategy we may need for applying it to our own infrastructure to get it to work from an enterprise perspective. I want to give an overview about infrastructure requirements and technologies, what could be beneficial or limiting your AI use cases in an enterprise environment. An interactive Demo will give you some insides, what approaches I got already working for real.
State of ICS and IoT Cyber Threat Landscape Report 2024 previewPrayukth K V
The IoT and OT threat landscape report has been prepared by the Threat Research Team at Sectrio using data from Sectrio, cyber threat intelligence farming facilities spread across over 85 cities around the world. In addition, Sectrio also runs AI-based advanced threat and payload engagement facilities that serve as sinks to attract and engage sophisticated threat actors, and newer malware including new variants and latent threats that are at an earlier stage of development.
The latest edition of the OT/ICS and IoT security Threat Landscape Report 2024 also covers:
State of global ICS asset and network exposure
Sectoral targets and attacks as well as the cost of ransom
Global APT activity, AI usage, actor and tactic profiles, and implications
Rise in volumes of AI-powered cyberattacks
Major cyber events in 2024
Malware and malicious payload trends
Cyberattack types and targets
Vulnerability exploit attempts on CVEs
Attacks on counties – USA
Expansion of bot farms – how, where, and why
In-depth analysis of the cyber threat landscape across North America, South America, Europe, APAC, and the Middle East
Why are attacks on smart factories rising?
Cyber risk predictions
Axis of attacks – Europe
Systemic attacks in the Middle East
Download the full report from here:
https://sectrio.com/resources/ot-threat-landscape-reports/sectrio-releases-ot-ics-and-iot-security-threat-landscape-report-2024/
DevOps and Testing slides at DASA ConnectKari Kakkonen
My and Rik Marselis slides at 30.5.2024 DASA Connect conference. We discuss about what is testing, then what is agile testing and finally what is Testing in DevOps. Finally we had lovely workshop with the participants trying to find out different ways to think about quality and testing in different parts of the DevOps infinity loop.
GDG Cloud Southlake #33: Boule & Rebala: Effective AppSec in SDLC using Deplo...James Anderson
Effective Application Security in Software Delivery lifecycle using Deployment Firewall and DBOM
The modern software delivery process (or the CI/CD process) includes many tools, distributed teams, open-source code, and cloud platforms. Constant focus on speed to release software to market, along with the traditional slow and manual security checks has caused gaps in continuous security as an important piece in the software supply chain. Today organizations feel more susceptible to external and internal cyber threats due to the vast attack surface in their applications supply chain and the lack of end-to-end governance and risk management.
The software team must secure its software delivery process to avoid vulnerability and security breaches. This needs to be achieved with existing tool chains and without extensive rework of the delivery processes. This talk will present strategies and techniques for providing visibility into the true risk of the existing vulnerabilities, preventing the introduction of security issues in the software, resolving vulnerabilities in production environments quickly, and capturing the deployment bill of materials (DBOM).
Speakers:
Bob Boule
Robert Boule is a technology enthusiast with PASSION for technology and making things work along with a knack for helping others understand how things work. He comes with around 20 years of solution engineering experience in application security, software continuous delivery, and SaaS platforms. He is known for his dynamic presentations in CI/CD and application security integrated in software delivery lifecycle.
Gopinath Rebala
Gopinath Rebala is the CTO of OpsMx, where he has overall responsibility for the machine learning and data processing architectures for Secure Software Delivery. Gopi also has a strong connection with our customers, leading design and architecture for strategic implementations. Gopi is a frequent speaker and well-known leader in continuous delivery and integrating security into software delivery.
Key Trends Shaping the Future of Infrastructure.pdfCheryl Hung
Keynote at DIGIT West Expo, Glasgow on 29 May 2024.
Cheryl Hung, ochery.com
Sr Director, Infrastructure Ecosystem, Arm.
The key trends across hardware, cloud and open-source; exploring how these areas are likely to mature and develop over the short and long-term, and then considering how organisations can position themselves to adapt and thrive.
Elevating Tactical DDD Patterns Through Object CalisthenicsDorra BARTAGUIZ
After immersing yourself in the blue book and its red counterpart, attending DDD-focused conferences, and applying tactical patterns, you're left with a crucial question: How do I ensure my design is effective? Tactical patterns within Domain-Driven Design (DDD) serve as guiding principles for creating clear and manageable domain models. However, achieving success with these patterns requires additional guidance. Interestingly, we've observed that a set of constraints initially designed for training purposes remarkably aligns with effective pattern implementation, offering a more ‘mechanical’ approach. Let's explore together how Object Calisthenics can elevate the design of your tactical DDD patterns, offering concrete help for those venturing into DDD for the first time!
LF Energy Webinar: Electrical Grid Modelling and Simulation Through PowSyBl -...DanBrown980551
Do you want to learn how to model and simulate an electrical network from scratch in under an hour?
Then welcome to this PowSyBl workshop, hosted by Rte, the French Transmission System Operator (TSO)!
During the webinar, you will discover the PowSyBl ecosystem as well as handle and study an electrical network through an interactive Python notebook.
PowSyBl is an open source project hosted by LF Energy, which offers a comprehensive set of features for electrical grid modelling and simulation. Among other advanced features, PowSyBl provides:
- A fully editable and extendable library for grid component modelling;
- Visualization tools to display your network;
- Grid simulation tools, such as power flows, security analyses (with or without remedial actions) and sensitivity analyses;
The framework is mostly written in Java, with a Python binding so that Python developers can access PowSyBl functionalities as well.
What you will learn during the webinar:
- For beginners: discover PowSyBl's functionalities through a quick general presentation and the notebook, without needing any expert coding skills;
- For advanced developers: master the skills to efficiently apply PowSyBl functionalities to your real-world scenarios.
GraphRAG is All You need? LLM & Knowledge GraphGuy Korland
Guy Korland, CEO and Co-founder of FalkorDB, will review two articles on the integration of language models with knowledge graphs.
1. Unifying Large Language Models and Knowledge Graphs: A Roadmap.
https://arxiv.org/abs/2306.08302
2. Microsoft Research's GraphRAG paper and a review paper on various uses of knowledge graphs:
https://www.microsoft.com/en-us/research/blog/graphrag-unlocking-llm-discovery-on-narrative-private-data/
The Art of the Pitch: WordPress Relationships and SalesLaura Byrne
Clients don’t know what they don’t know. What web solutions are right for them? How does WordPress come into the picture? How do you make sure you understand scope and timeline? What do you do if sometime changes?
All these questions and more will be explored as we talk about matching clients’ needs with what your agency offers without pulling teeth or pulling your hair out. Practical tips, and strategies for successful relationship building that leads to closing the deal.
The Art of the Pitch: WordPress Relationships and Sales
Maximizing Data Profitability
1. Next Generation Telecoms Summit - Portugal 30. September 2009 Kim Kyllesbech Larsen (T-Mobile). T-Mobile Confidential and Proprietary All rights reserved. No part of this report may be reproduced in any material form without the written permission of the copyright owner.
2. Some discussion points …. Mobile broadband data is profitable (or can be made so). (data) Profitability can be optimized (but how?). Cost distribution & allocation is an important remedy for broadband data profitability assessment (though in the end total cost is what matters). Technology is important for data profitability with focus on cost & performance (e.g., network sharing & traffic management). In the end what really matters is overall profitability. T-Mobile Confidential and Proprietary All rights reserved. No part of this report may be reproduced in any material form without the written permission of the copyright owner.
3. Top internet applications going mobile – the demand for mobile broadband. E-mail / browse Play on-line Share photo Download music Stream music Social networks Video shows Watch movie Up-to 11 hours per week ca. 5 min per day (Free 100MB/month) 35+ min per day, 800+ mio photo & 8+ mio video uploads per month, 30+ mio mobile users 3.3 mio iPhone users ↑ (July 2008) 64 - 128 kbps stream 30+ mio accounts & 2.8+ bn songs ↑ 7 mio Hulu users (Apr’09), 325 min / viewer and an average Hulu video 10+ min 10 mio users & 700k instant watch (Jan’09) 100+ bn emails/day, 40+% > 5 MByte ↑ T-Mobile Confidential and Proprietary All rights reserved. No part of this report may be reproduced in any material form without the written permission of the copyright owner.
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6. Western Europe mobile environment is a study in cost optimization, while exploring new growth opportunities with mobile broadband data. Financials WEU market dynamics Revenue Opex Ebitda GROWTH (APAC / CEE) OPTIMIZATION (WEU) Years Customer subscriptions ARPU Years -2.0% pa +2.4% pa Steady-state like (WEU) T-Mobile Confidential and Proprietary All rights reserved. No part of this report may be reproduced in any material form without the written permission of the copyright owner. -2.0% pa
7. The service revenue distribution is expected to undergo significant differences with mobile broadband deployment. 2008 (HSPA) 2012 (HSPA+/LTE) 2020+ (LTE) Revenue 1,2 1 Pyramid Research Western Europe June 2009, 2 Country by Country extrapolated and aggregated from Pyramid data. Mobile broadband data revenue will become increasingly important component of the total revenue. T-Mobile Confidential and Proprietary All rights reserved. No part of this report may be reproduced in any material form without the written permission of the copyright owner. 100% Data Voice & SMS 80% Data 20% Voice & SMS 90% Data 10% Data 35% > Voice & SMS 65% <
8. Mobile broadband traffic is expected to grow explosively over the next 10 years. Today 2020+ Throughput 1 100+ (CAGR 50% pa) Volume 1 300+ (CAGR 70% pa) T-Mobile Confidential and Proprietary All rights reserved. No part of this report may be reproduced in any material form without the written permission of the copyright owner. > > Can technology cost be controlled under such conditions?
9. The structure of profitability. Total Revenue Technology cost (ca. 15% – 20% of Opex) Usage cost − Market invest − = EBITDA Personnel Other cost − − − Network depreciation (ca. 10% to 20%) − = Contribution Margin (after depreciation) Spectrum amortization − = EBIT Total Opex WEU between 22% and 44% with an average of 35% 2 Data revenue share 1 15% and 35% incl. msg. 1 Pyramid Research Western Europe June 2009, 2 Merrill Lynch European Telecoms Matrix Q3 2009. T-Mobile Confidential and Proprietary All rights reserved. No part of this report may be reproduced in any material form without the written permission of the copyright owner. Conceptual view
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12. Volumetric based costing (€ per Byte) is often evoked to safe-guard profitability. While the concept is straightforward to use, it is also flawed due to wrong assumption that data traffic is voice-like. It is compelling to use volumetric-based costing and pricing rationale – though it might be wrong Minimum Cost per Byte Volumetric network capacity Maximum Cost per Byte Volumetric customer demand Profitability can be “safely assumed” if the “Price per Byte” is chosen somewhere in-between Vastly different data-traffic profiles (and resulting cost) can result in the same volumetric demand. Conceptual view T-Mobile Confidential and Proprietary All rights reserved. No part of this report may be reproduced in any material form without the written permission of the copyright owner.
13. Main cost and investment driver for network capacity is busy hour traffic throughput – managing broadband traffic and quality of service levels will be essential to managing technology cost. Same volumetric demand can cause vastly different network cost and invest levels. TRAFFIC PROFILE 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of Day Throughput 9 HOURS 4 HOURS 1 2 Traffic profile 2 same volume as 1 but 40% higher busy hour throughput To keep same user experience in busy hour more network capacity needed Higher invest level and network OPEX required Conceptual view T-Mobile Confidential and Proprietary All rights reserved. No part of this report may be reproduced in any material form without the written permission of the copyright owner.
14. Illustration of service BH throughput contribution. Every data service has a different network impact and in principle a different cost impact. Mobile TV high BW impact but relative little volume in this illustration. 60% 50% 40% 20% 8% 7% 3% 2% 2% 1% 1% 0.5% 0.5% 0.5% 0.4% 0.2% 0.2% 100% Mobile TV Premium Service Mobile TV Basic Service Bus. Full Connectivity Full Connectivity Bus. At Home Surfing Music download Bus. Email Pull Peer 2 Peer MIM Confined Connectivity Bus. Confined Connectivity Bus. Email Push Machine 2 Machine Real Ring-tones Email Pull MMS outgoing MMS incoming BH Throughput in Mbps Volume in MB Home surfing (wireless DSL) Conceptual view T-Mobile Confidential and Proprietary All rights reserved. No part of this report may be reproduced in any material form without the written permission of the copyright owner. Home Surfing (wireless DSL)
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16. RAN is the dominant technology cost element. 60% (10% - 12%) Radio Core Network 15% IT & Platforms 25% Services, 10% Maintenance & Repair Other Costs 15% Rental & Leasing 40% Leased Lines 20% Personnel Costs 15% (Illustration) driver: (Sites) driver: (Sites, traffic) driver: (Sites, nodes) driver: (Sites, nodes) driver: (Sites, nodes, traffic) driver: (customers, traffic) driver: (customers) T-Mobile Confidential and Proprietary All rights reserved. No part of this report may be reproduced in any material form without the written permission of the copyright owner.
17. The cost distribution challenge is how to distribute the various cost elements across voice and data services – finding the key(s) (1 of 2) RAN 60% Core 15% IT 25% Technology Cost RAN Cost (2G & 3G sites as key) Ex. 10k locations, 6k 3G Nodes with 80% co-location ratio. IT Cost (2G & 3G customers as key) Core Cost (2G & 3G customers as key) (Illustration) T-Mobile Confidential and Proprietary All rights reserved. No part of this report may be reproduced in any material form without the written permission of the copyright owner.
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22. The mobile data evolution towards introduction of true broadband data access and services. Multimedia cellular Enhanced mobile services Enhanced mobile multimedia Mobile broadband communication Optimised mobile multimedia Year DL Throughput 2G / GSM GPRS / EDGE / EDGE 2. 3G / UMTS Introduction of WCDMA / FDD. 3G / HSDPA Downlink enhanced WCDMA/FDD HSPA / HSPA + Downlink / Uplink enhanced with overall HSPA improvements. Mobile broadband (LTE / NGMN) Broadband radio, IP based wideband Peer to Peer. Near-future wireless cellular. 1 Ultimate performance will depend on available spectrum bandwidth and link-budget. 2000 - 2003 2003 - 2004 2005 - 2006 2007 - 2012 2010+ 32 - 128kbps 64 – 384kbps 0.384 - 4 Mbps 1 0.384 – 14.4+ Mbps 1 30+ (AVG) to 200+ (PEAK) Mbps 1 Mobile broadband Based on “NGMN” paper by J. Horn T-Mobile Confidential and Proprietary All rights reserved. No part of this report may be reproduced in any material form without the written permission of the copyright owner. Conceptual view GSM (GPRS / EDGE) 3G - UMTS Enhanced UMTS Optimised UMTS
23. Ideal view – the ultimate data profitability – full network sharing scenario with 1 access technology (all voice considered data). Total Revenue = Data Revenue EBITDA 40% to 55% < 7% 15% - 20% 6% - 10% 8% - 12% < 10% % of total Revenue Usage cost Market invest Personnel cost Technology cost Other cost T-Mobile Confidential and Proprietary All rights reserved. No part of this report may be reproduced in any material form without the written permission of the copyright owner. (Illustration) EBITDA + 35% 10% – 15% 15% - 20% 10% - 15% 10% - 15% <15% The average WEU Mobile Telco anno 2009.
24. Substantial savings from combining existing 2G, 3G and next-generation networks and jointly extending network coverage. Network sharing and in particular RAN sharing can provides substantial technology cost savings Shared backhaul Fewer sites BSC : Base station controller (2G) BTS : Base transceiver station (2G) RNC : Radio network controller (3G) nodeB BTS RNC BSC Network sharing target Fewer stations Core 2 T-Mobile Confidential and Proprietary All rights reserved. No part of this report may be reproduced in any material form without the written permission of the copyright owner. Shared backbone IT 1 Core 1 IT 2
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28. Thank you for your attention. Contact details : [email_address] M +31 6 2409 5202 L http://www.linkedin.com/in/kimklarsen