1. Copyright Mobile Lifestreams Ltd 2000 Vision on Location Services Cell Broadcast as kick- start for Mobile Location Presenter: Simon Buckingham Founder and CEO Mobile Lifestreams Ltd

2. Copyright Mobile Lifestreams Ltd 2000 Who is Mobile Lifestreams? Founded in January 1999 Cash flow funded, no VC Aim: to be a long-term independent player Global team of 15 people Expanding executive and non- executive management From publications to consulting to the “Mobile Data Dot.com”

3. Copyright Mobile Lifestreams Ltd 2000 Web Strategy Owner of 500 mobile URLs; B2B and B2C Currently managing over 50 B2B Websites including MobilePositioning.com, MobileCellB.com B2C: Ringtones.com, PictureMessaging.com, MobileWAP.com, MobileDataShop.com

4. Copyright Mobile Lifestreams Ltd 2000 Cell Broadcast Point to multipoint service that is much more efficient than SMS for same transaction Broadcast SMS is too slow and variable and does not scale Lottery, football etc. “concentrated” services need CB not SMS

5. Copyright Mobile Lifestreams Ltd 2000 Cell Broadcast Why hasn’t it taken off and what will help it to take off? Value Chain Analysis Handsets -Applications- Servers- Networks

6. Copyright Mobile Lifestreams Ltd 2000 Handsets Non-standardized (like SMS) Man Machine Interface causes customer service problems Handset vendors must test MMI in advanced CB markets and improve Siemens CB phones are best of breed currently- re-read, forward as SMS, set phone to get one more etc.

7. Copyright Mobile Lifestreams Ltd 2000 User Complexity Another successful issue is up to 999 channels to select from, including a menu channel Unless customers knows right channel number, sees nothing If receives several channels, could become intrusive

8. Copyright Mobile Lifestreams Ltd 2000 Applications Advertising (Cell&Sell), not necessarily location sensitive Traffic and transport Applications enablers such as Materna Application developers such as 1-2-snap

9. Copyright Mobile Lifestreams Ltd 2000 Servers CMG Comverse Network Systems Logica Sema

10. Copyright Mobile Lifestreams Ltd 2000 Networks 30 or so networks have trial or commercial Cell Broadcast Centres installed Limited bandwidth- maximum 1 CB message every 2 seconds is total capacity of CB channel- limits number of applications that can be run over CB channel

11. Copyright Mobile Lifestreams Ltd 2000 Networks What is value of limited bandwidth- how much can/ should networks charge for access to valuable and limited CB channel? Nobody has set a tariff for CB unlike 15 US c for SMS that became widespread

12. Copyright Mobile Lifestreams Ltd 2000 Revenue Streams 1. Triggers for other call types- premium rate voice, SMS etc. 2. Advertising- indirect revenues from merchants 3. Subscription services- recently enabled by SIM Toolkit- can now stop everyone from viewing- send decryption key using SIM Toolkit, else illegible

13. Copyright Mobile Lifestreams Ltd 2000 Existing Operator Challenges Increase Revenue (and share price) Differentiate their service offering Reduce Churn Stay ahead of the Competition Location Based services can address all these challenges!

14. Copyright Mobile Lifestreams Ltd 2000 What is driving the Market? Operator drivers (as above) Infrastructure development as mandated by FCC (June 1996 ruling requiring all mobile network operators o provide location information on all calls to “911” by October 1 st 2001) Terminal advancement / GPS technology End user paradigm shift

15. Copyright Mobile Lifestreams Ltd 2000 Current Market Landscape Most operators realise significance of Mobile Location Services Actual implementations limited apart from trials and vertical markets Recent Strategis Group Survey *: - 17% Location based billing - 15% Traffic / Navigation Updates - 11% Roadside Assistance - 9% Location Info Services - 48% have no MLS in place! *Source: Strategis Group Report: European Wireless Location Based Services - March 2000 Survey of 40 Operators in 12 European Countries

16. Copyright Mobile Lifestreams Ltd 2000 Mobile Location Value Chain Fragmented Multiple technology standards Handsets approaches Server approaches Accuracy Standards Technology is not ready for mass market deployments

17. Copyright Mobile Lifestreams Ltd 2000 Technical Considerations No single standard for Location leading to Analysis Paralysis: - Cell of Origin (COO / Cell ID) - Enhanced Observed Time Difference (E-OTD) - Time of Arrival (TOA) - Global Positioning System (GPS) - Angle of Arrival (AOA) - Signal Attenuation - Intelligent Network Solutions - etc… Accuracy Network / Handset Implementation?

18. Copyright Mobile Lifestreams Ltd 2000 Other considerations Privacy Handset availability Roaming 3 rd party access to Location Info Market evolution: - Accuracy, devices, standards, applications, cost of deployment

19. Copyright Mobile Lifestreams Ltd 2000 Who is doing what? Mobile Location Services are in fact alive and well – users just don’t realise (“vocal” location) Apart “vocal” location majority of Location Services are using Cell ID e.g.: - Location based billing (Libertel, Mannesmann, BT Cellnet, Vodafone UK, Radiolinja etc.)

20. Copyright Mobile Lifestreams Ltd 2000 Desirable “on the move” Content of office or home PC Travel information  Timetables and current status  Directions and maps Location-specific entertainment  Hotel guides  Restaurant guides  Theatre and cinema guides

21. Copyright Mobile Lifestreams Ltd 2000 Categories of Location Services

22. Copyright Mobile Lifestreams Ltd 2000 Technology Schemes Technology SchemeNetwork or Handset based AdvantagesDisadvantages COO (Cell of Origin) NetworkNo modifications needed to networks or handsets Relatively low accuracy E-OTD (Enhanced Offset Time Division) Network Software modified handsets needed TOA (Time of Arrival) NetworkUses existing CDMA network features Relatively low accuracy GPS HandsetGPS is free to useNew handset needed AOA (Angle of Arrival) Network Complicated antennae required IN (Intelligent Network) NetworkLocation Finding System independent

23. Copyright Mobile Lifestreams Ltd 2000 Traffic maps on WAP phones

24. Copyright Mobile Lifestreams Ltd 2000 Device Innovation- the Benefon ESC!

25. Copyright Mobile Lifestreams Ltd 2000 So what are the opportunities? Location Sensitive Billing Info Services Traffic Info / Congestion Pricing Tracking - People (Personal Security) - Products (Courier, Theft, Asset Tracking) - Vehicles (Roadside Assistance / Fleet) Tolling

26. Copyright Mobile Lifestreams Ltd 2000 Location Sensitive Billing Most Established Location Service Price of call based on Location - Home Zone, Shared Zone (e.g. Office), Other Zones (e.g. Airports, Stadiums, Festivals) Enables Operators to target Wire-line minutes Often promotes off-peak traffic Applies to both Prepaid and Postpaid OPPORTUNITY = HIGH

27. Copyright Mobile Lifestreams Ltd 2000 Info Services Already established market (Yellow Pages / Scoot etc..) Content delivery mechanisms User paradigm shift increasing awareness and desire (e.g. WAP) Use Cell ID initially (Service Evolution) Key factor for success of 3G OPPORTUNITY = HIGH

28. Copyright Mobile Lifestreams Ltd 2000 Traffic Info/ Congestion Pricing Some overlap with Info Services but category in own right Existing Infrastructure can be exploited in some cases e.g.: Trafficmaster, existing traffic phone lines Strong consumer interest Regulatory interest (Congestion / Tolls) OPPORTUNITY = HIGH

29. Copyright Mobile Lifestreams Ltd 2000 Tracking Huge potential market 3 key categories (people, products, vehicles) Already several deployments in Vertical Markets In vehicle integration OPPORTUNITY = MEDIUM to HIGH

30. Copyright Mobile Lifestreams Ltd 2000 Revenue Models Flat Rate - addition to subscription (not suited to Prepaid) Per Use - Attractive for Prepaid but can be costly to end user Content - subscription based services depending on content

31. Copyright Mobile Lifestreams Ltd 2000 Market Opportunity Potential US$15 Billion Market?? “One in five consumers would be likely to subscribe to local phone service from wireless carrier if both charged same price – potential US$15 billion market opportunity” – Source: Business Research Group (BRG) Potential US$32.9 Billion Market in Europe by 2005? Total market in Europe of $81.9 billion (2003 to 2005) – Source: Strategis Real Opportunity – difficult to measure – most likely will be incremental revenue gain. ML predict global market of US$20 Billion per year by 2005.

32. Copyright Mobile Lifestreams Ltd 2000 CB Technology Evolution CB is in UMTS release 99 WAP over CB CB for TDMA/ PDC Integration with GPRS point to multipoint

33. Copyright Mobile Lifestreams Ltd 2000 Summary Provides significant opportunity to operators in terms of differentiation, segmentation and revenue Three quarters of location applications could be implemented with little investment Technology fragmentation not conducive to rapid market growth (Standards, APIs etc) Cell Broadcast value chain has come of age- the time is right

34. Copyright Mobile Lifestreams Ltd 2000 Contact Us Simon Buckingham Mobile Lifestreams Tel: +44 7000 366366 Fax: +44 7000 366367 Email:SimonB@mobilelifestreams.comSimonB@mobilelifestreams.com Web: www.mobileLifestreams.com www.mobileLifestreams.com