Mobility-as-a-Service 2016-05-19 Urban Mobility trends ~2x +34% Mobility-as-a-Service is having the power to solve key urban challenges. First some facts: Within 2 decades, the global population will have grown with 12%; The urbanization will have grown with even 34%; However, the mobility demand will have even doubled in the same period! This is putting some huge challenges to the cities Transport CO2 emissions will double by 2050 In large cities, up to 40% of gasoline use is spent in cars looking for parking Transportation is accounting for 14 – 25% of household expenses Traffic jams result in 5.7 billion person-hours of delay annually in the United States Source: MGI CityScope; The future mobility of the world population – Andreas Schafer, David G. Victor (2000); Bill Ford – Blue Print for Mobility; McKinsey © Ericsson AB 2016

Mobility-as-a-Service 2016-05-19 Mobility as a SErvice Passenger Information Systems Multi-Modal Fare Collection Systems © Ericsson AB 2016

mobility-as-a-service ONE-STOP-SHOP FOR TRAVEL SERVICE COMBINATIONS 2016-05-19 mobility-as-a-service ONE-STOP-SHOP FOR TRAVEL SERVICE COMBINATIONS TRAVEL NEEDS COMMUTE TO WORK COMMUTE TO SCHOOL BUSINESS TRIPS VISIT FRIENDS AND RELATIVES TRAVEL TO EVENTS TRAVEL TO SPORTING ACTIVITIES Simplicity Mobility Service Provider New and more loyal customers TRAVEL SERVICES ADDITIONAL SERVICES Mobility-as-a-Service enables customers to use the best transport option for their individual needs at any time. E.g. fastest, cheapest, most comfortable and/or most sustainable transport, without having the complexity of planning or transactions. A key foundation for the MaaS service is the provision of sufficient travel services: Public transport is a critical part of that Furthermore services like car/ride sharing are key to Taxi can be added to complement the service and reach the necessary travel guarantee The Mobility-as-a-Service broker provides Simplicity to the users: - easy to find, buy and use travel services And it provides new and more loyal customers! - expose travel services in a new context - be more attractive by combining travel services The value-propositions for the different stakeholders become: The mobility-as-a-service broker: Ericsson provides the enabler for bundled multi-operator, multi-modal offering customized for the need for each travelling Citizen: The citizens get attractive, convenient, affordable transport regardless of transport operator and transport mode City: The city gets an enabler for sustainable, scalable and manageable transport services RENT POOL SHARE TAXI PUBLIC TRANSPORT RENT TRAVEL GUARANTEE BONUS PROGRAMS © Ericsson AB 2016

Mobility-as-a-Service 2016-05-19 Car sharing, Car rental, Taxi, Bus, Tram, Train, Bike 180 participants/ 70 paying households 6 months Flexible subscription (average € 135 per month) 20 cars in storage >12 000 bookings/transactions Ubigo Pilot Ericsson cooperates with its partner UbiGo, a proven MaaS provider that was the first to share successful results with the pilot in Gothenburg. This was a joint effort with Chalmers University for a behavioral study on Mobility-as-a-Service. URBAN MOBILITY Image: Lindholmens Science Park © Ericsson AB 2016

Mobility-as-a-Service 2016-05-19 2015-04-24 Behavior impact 50% Changed mode of transport % 40% Changed their trip planning Some key results of the UbiGo pilot: 50% changed their mode of transport, where car sharing and public transport had by far the strongest growth; 40% changed the way they plan trips. They were more involved and pro-active to make better choices; 25% changed the “travel-chains” on how they get from A-to- B. 25% Changed their ‘travel-chains’ Car Sharing Public Transport Car Rental Taxi URBAN MOBILITY © Ericsson AB 2016 5

Mobility-as-a-Service 2016-05-19 Reason for existence Curiosity Convenience Economy Environment Before Motivation for usage After +32% Another result is that the customers were extremely happy with this paid service. When comparing their situation before they used this service to the situation at the end of the pilot: There has been an increase to 92% satisfied people; Of which, a growth of 32% in ‘Very Satisfied people’. Reason to start using the service initially was mainly driven by curiosity. At the end of the pilot the key motivation to continue with the service was very strong on convenience, much above economic reasons. They say that: It has become easier to pay for the travel; The service has given them better control of their travel expenditures; The service has given them access to more modes of travel. Concluding, the pilot was successful both from commercially as well from customer perspective. Ericsson considers this as a good proof for the MaaS business model. URBAN MOBILITY © Ericsson AB 2016

Mobility-as-a-Service 2016-05-19 2015-04-24 © Ericsson AB 2016 7