1. 0 11/26/2007 Telecom Italia IPTV Service, Platform, Architectures Telecom Italia

2. 1 11/26/2007 Telecom Italia Summary slide  TI NG service platforms - Telecom Italia Services Roadmap  Telecom Italia’s Triple Play service, including Alice Home TV  Functionalities and capabilities  Telecom Italia’s NGN Service Platform - IPTV Architecture and Platform  Self provisioning  Sample of BTV/PPV VoD usage

3. 2 11/26/2007 Telecom Italia Connectivity broadband access Bundle broadband and web content/services Innovative services on other devices (TV, Handsets) multi-device and multi- access broadband environment to provide wired and wireless simultaneous access to voice, internet, content and VAS Advanced services over quadruple play platform, Push to talk over Cell (PoC), Voice Call Continuity (VCC), Instant Messaging, Give strong Data control ……. Services Evolution Provide High Speed access Content portal www.rossoalice.it Videophone over POTS IP TV Instant Messaging F2M Videophone over ADSL Mobile PBX Mail Push Home Monitoring Fixed – Mobile Video Call Messaging convergent platform Dual Mode AAA platform and content portal (Content Management and Digital Right Management platforms) Next Generation Network Service Delivery Platform Double playerTriple player Quadruple player Advanced Service Fully IMS compliant fixed and mobile network VoIP for Business and Consumer DVB-H TI NG service platforms - Telecom Italia Services Roadmap Telecom Italia group sustained his growth through a phased introduction of innovative broadband services and related innovative technologies

4. 3 11/26/2007 Telecom Italia Broadband offer 3-play offer Quantity (IP-DSLAM)1.018Alcatel, Siemens Municipalities421 Potential Customer base 8 M household / 20 M (nation wide) about 40 % IP customer / ADSL customer48% Customer base ADSL ATM > 7 M lines (inc. wholesale) > 5 M Telecom Italia ADSL IP> 300 K 3-play80 K 100K end ‘07 2-play> 900K 1,5M end ‘07

5. 4 11/26/2007 Telecom Italia The TV market in Italy Analog TV  Rai and Mediaset have 95% of market share and revenues with analog FTA (Free To Air); 600 FTA local TV stations! Digital TV  DVB-T (Digital Video Broadcast Terrestrial) is the European standard for digital terrestrial television; adopted 2004  Better quality, more channels, interactivity  Pay per view content  3 milion PPV user (mediaset premium) IPTV (ADSL)  Fastweb >300.000 users  Telecom Italia IPTV > 80.000 users Satellite  News Corp. Sky > 4.000.000 users  Many FTA and PPV channels Mobile TV  3 DVB-H services launched  TIM, Vodafone, 3 Italia (H3G)

6. 5 11/26/2007 Telecom Italia Telecom Italia’s Triple Play service, including Alice Home TV  Commercial Service Started Dec-2005  Digital Television Service via ADSL and ADSL2+  Movies, Sport, TV, News & Music channels  PPV Movies + Sky’s Cinema channels on demand  Interactive channels  DTT Integration (may 07)  Internet  20Mbps, t-browsing, email & VoIP  Telephony  5 additional personal numbers

7. 6 11/26/2007 Telecom Italia Functionalities and capabilities  BTV (dtt and about 80 IP channels)  SKY rebroadcasting with grid EPG  VoD (about 300 titles and 6.000 assets)  Short EPG for VoD e BTV  VoD redirection functionalities of STB based on content type, STB region and VoD cluster status  PPV (basket and soccer)  Content arranged by categories (film, music, news, sport,…)  Multiple payment methods (TI bill, credit card,..)  Search functionalities (title, actor, ….)  Dynamic section of the UI for highlights  Linear channel produced in Telecom Italia (from EPG and asset received from external content provider)  Overlay data (statistics during soccer events)  DAM interface for external content provider  DMP system to manage BTV scheduling  Fully automated process to publish news pills every hours  Automated UI update during STB stand-by  Multicast upgrade of STB firmware image  T-browsing  STB activities report based on SNMP Trap Services

8. 7 11/26/2007 Telecom Italia 2007 developments SKY Gen Mar Feb Apr Mag Giu Lug Ago Set Nov Ott Dic Overlay data - statistic during live events New STB Pirelli DTT Disaster Recovery New listing to provide fast scrolling capabilities SKY Grid EPG New search engine Home Page AHTV Zapping menù Grid EPG for all channel New VoD portal Search engine new layout HDTV Multiroom 2007

9. 8 11/26/2007 Telecom Italia EPG grid

10. 9 11/26/2007 Telecom Italia Partners Virgilio (Matrix) Leader in Italian internet portals  N.1 page views (>37 mln/day)  20 mln unique visitors  Wide range of content and services (news, sport, finance, etc.) First and only broadband portal in Italy  VOD film library, broadcast channels, live Serie A football matches, large music library, ringtones and downloadable games  ~ 3 mln registered users  >5,000 transactions/day Rosso Alice Alice Home TV Innovative IPTV service in Italy  VOD film library, broadcast channels, live Serie A football matches  Recent service launch, 1mln clients by 2008  Telecom Italia has established a solid media base domestically, developing significant capabilities which represent a platform for the further developments assured by the focus on fixed triple play  New agreements with FOX, MGM, Sony  All the 2006-2007 football championship  Live events: i.e. Robbie Williams….. and contents Content Partners

11. 10 11/26/2007 Telecom Italia Self provisioning  The main purpose of the self-provisioning process implementation is to simplify the provisioning process, improving the customer experience and saving money for the Telco:  The final customer has a “Plug ‘n’ Play” first access to the service  TI can cut down all the costs related to password distribution and substitution  TI can remarkably decrease the costs related to customer care/technician assistance during STB first installation and STB substitution

12. 11 11/26/2007 Telecom Italia High level description  The “self provisioning” process designed in TI for Alice Home TV service provides a new and automatic process, to provision new accounts into OMP (the IPTV platform).  When a new STB connects for the first time to OMP, OMP has to:  Verify if the STB is allowed to access the IPTV service  Ask to Service Control for the customer’s information  Update, into its database, the customer’s information  Simulate the customer’s activation of the account (tieing its account to the STB MAC address and to the smart card ID)  Also, the STB swap process is managed as plug & play