1 WP1 Technical Overview Progress since last meeting Budapest 24 – 25 th November 2004 Mike Fitch, BT

2 WP1 Overview WP1 : Applications and Services WP1.1 Applications and Services Development D01 was delivered in Feb 04 No activity since last meeting WP1.2 Business Modelling M9 delivered in July 04 M12 delivered 17 th Nov 2004 on business models, acceptance criteria and some example models of services WP1.3 Architecture Design / Interworking Trial and measurements for Internet to trains and moving vehicles, report issued 5 th Oct 04 Network and applications designed and demonstrated in trial 1 at Defford, report issued 10 th Nov 04

3 Milestone M12 Issued 17 th Nov 04 Business models, acceptance criteria, services likely to make money Available on CAPANINA website

4 M12 Business models and acceptance criteria – assumptions Design costs are the same for all services, £300k manpower and variable equipment / installation Operational costs extrapolated from current experience (eg cellular / network costs Discounted cash flow models with at least 12% discount rate and preferably 18% Positive cumulative discounted cash flow after maximum of 3 years Inflation and depreciation on capital are both 2% PA Numbers of users is estimated from mobile market predictions but carry large uncertainty, especially with WiMax and other broadband initiatives

5 M12 Example services that might make money (in order of likelihood) Broadcast based broadband delivery Large number of small users WiFi / /WiMax backhauling Medium number of medium users Broadband to moving vehicles Medium number of medium users Special events and disaster recovery Small number of large users - although the case for providing this depends on more than money Internet connection to homes and offices Not enough users in coverage area, small market segment