Full Service Broadband an Ericsson View of the Future Michael Martinsson Marketing Director Business Unit Networks Ericsson AB

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 2 A world of exciting possibilities Broadband & TV Broadband goes mobile Ericsson Full Service Broadband

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt Broadband growth >1.8 billion subscriptions Subscriptions (Millions) Mobile Broadband Fixed Broadband 2011 Broadband becomes personal Source: OVUM, Strategy Analytics & Ericsson (based on reported subscriptions)

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 4 Broadband goes mobile – Fast !! Mobile OperatorBroadband Operator 3G/HSPA, CDMA2000 etc.

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 5 DSL vs 3G data card uptake in Austria Source: Lehman

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 6 Mobile Broadband Study - Sweden  General interview responses –Like that it’s simpler than DSL or WiFi –Was faster to get than fixed connection –Some got better speed than with fixed connection –Want bundled offer, one bill –Users want - 100% want Flat fee, no limits  Conclusions –Complement to fixed and in new places –Instead of fixed but used the same way –Largest portion of subscribers are “Late Followers” Source : Ericsson Consumer Labs

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 7 Strong momentum for HSPA >148 commercial launches >69 countries At all continents >900 million subs on HSPA enabled networks >400 commercial devices Source: GSA (Global mobile Suppliers Association) Oct 2007

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 8 A world of exciting possibilities Broadband & TV Broadband goes mobile Ericsson Full Service Broadband

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 9 Passive Traditional scheduled TV Chatting Active Personalization Advertising Sharing Podcast TV On Demand MobilityVoting User generated content Personalization and interactivity demand two-way communication TV as we know it is changing New consumer value proposition

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 10 Ericsson’s TV vision A new media experience over Full Service Broadband Personal Interactive Communication Setting new demands on broadband connectivity

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 11 Telefonica (Spain) -Video call service launched  New video call service launched June 2007  Video calls between fixed video phones and 3G mobile phones available, will be extended to the TV (via set-top box)

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 12 Worlds First Interactive Mobile TV NRK Interactive mobile TV The most used feature was chat Viewing time doubled from 2.5 to 5 min 40% of people that downloaded client use it daily SMS Voting for Music Videos SMS to Mobile chat client

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 13 A world of exciting possibilities Broadband & TV Ericsson Full Service Broadband Broadband goes mobile

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 14 Internet Wireline Wireless Cable Connectivity Revenues Communication Revenues Advertising Revenues Content Distribution Revenues Converging business landscape

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 15 Broadband expansion Full Service Operator Fixed and Mobile Broadband Operator

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 16 Full Service Broadband Broadband services to a screen of your choice

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 17 Broadband services to a screen of your choice Full Service Broadband

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 18 Source: Ericsson and market estimate Traffic growth driven by TV, video and Internet Global mobile and fixed traffic Strong traffic growth related to broadband

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 19 Transformation Network transformation in focus From voice to a network for distribution of all services Full Service Broadband Network

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 20 Full Service Broadband Network

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 21 Full Service Broadband Network Standard Services and IMS

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 22 IMS  45+ commercial contract ~50% of announced contracts  Majority of leading operators to commercially launch by end 2007 Market

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 23 Full Service Broadband Network Multi Access Edge

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 24 Multi Access Edge  Leading technology in IP-edge routing  Leading position in mobile access edge (SGSN & GGSN) Market  ~50% growth in total IP-Edge market by 2009* Source: Infonetics 2006

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 25 Full Service Broadband Network Wireless Access

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 26 Mobile Broadband Access  Accelerating HSPA rollouts  Powers 50% of all commercially launched HSPA networks  72 commercial HSPA networks around the world Market

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 27 Full Service Broadband Network Wireline Access

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 28 Fixed Broadband Access  Triple play triggers investment in fiber access  ATM to IP DSLAM migration opens new market window  Leading GPON solution  Complete broadband Access Portfolio  Growing market share – 3rd largest DSL vendor Market

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 29 Full Service Broadband Network Transport

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 30 Transport  Broadband access growth creates traffic bottlenecks Market  Leading position in microwave, complemented by Marconi  Marconi brought strong optical position – 350 operators

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 31 Complete Portfolio

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 32 Transport Providing migration paths forward Partnership for progress independent of starting point

Introducing the Demonstrations

Top right corner for field-mark, customer or partner logotypes. See Best practice for example. Slide title 40 pt Slide subtitle 24 pt Text 24 pt Bullets level pt 34