2. ‘The Martini Effect’ Any Time, Any place, Anywhere! Anthony Harford, Business Consultant, BT Wireless Tel: 0121 230 2719 Email Anthony.Harford@BT.Com Location BCA Edinburgh, 15 February 2001,

3. Agenda 1 BT Wireless Credentials 2 The Market Drivers 3 The Corporate View 4 Consumer Internet Consumer Internet 5Review

4. BT Wireless Leading the Mobile Data Wave SMS...Live Information Services...e-mail Mobile ISP Mobile ISP WAP GPRS UMTS 19992000200120022003

5. M-Commerce Market Drivers

6. Next Growth Wave Globalisation New Technology User Applications Data / Internet Economics The mobile market is at a point of inflexion Drivers of Transformation Customer Needs Increased Competition Deregulation/ Spectrum

7. The emergence of the ‘networked’ society’ …we are at the outset of a truly remarkable revolution where... Anything that can be connected will be!Anything that can be connected will be! Anything that can be digital will be!Anything that can be digital will be! Anything that can become mobile will become!Anything that can become mobile will become! Industrial Revolution Information Society The ‘Networked’ Society Dismantling of traditional industry structures, disaggregation of traditional business models, a wealth of opportunities and considerable threats

8. Voice goes mobileVoice goes mobile Mobile leaps towards IPMobile leaps towards IP Explosive growth in Internet (even greater) growth of IntranetsExplosive growth in Internet (even greater) growth of Intranets Mobile goes ‘broadband’Mobile goes ‘broadband’ The emergence of mobile internetThe emergence of mobile internet The advent of an e-(mobile) commerce boomThe advent of an e-(mobile) commerce boom The emergence of new value chainsThe emergence of new value chains A reshaped competitive landscapeA reshaped competitive landscape Series of ‘paradigm shifts’ …on the contrary ‘the networked society’ is the result of..

9. Devices Infotainment Applications Networks/ Platforms Barclaycard Sega Yahoo! Lastminute.com BSkyB iobox Reuters MTV Nokia AOL Palm Psion Sony Virgin Mobile NTL Handspring Trafficmaster Playstation IBM Orange Vodafone Carphone Warehouse BT Tesco Genie Intense competition for customer attention

10. M-Commerce The Corporate View

12. What is going to enable the Mobile Data Explosion? Affordable, Well designed Terminal Equipment Affordable, High-Speed, non-stop network Standards Based, Low-Cost Software applications

13. General Packet Radio Service: The always on Wireless network GSM Internet SP (WWW) Companies Corporate LAN GPRS Base -Station Third Party Data Network GSM

14. Applications Investment

15. The right Terminal for the right application

16. What will Corporates value? Email, Calendar Email, Calendar Intra-net Information Intra-net Information E-commerce E-commerce Video still image Video still image Road / Traffic Info; Railway mgmt. Fleet management Management; Helpdesk; Security; Synchronisation; ASP’s

17. Mobile Commerce Segmentation corporate SME consumer Intranet access N/a Field processes: sales, engineers; Target sectors? Virtual workspace Personal world Capture & correspond Machine to machine Internet + Extranet access Smaller applications - too much customisation N/a Youth; Internet access; E-commerce + info partnerships Little premium for mobility Small opportunities Customer databases; channel for others to reach our customers Marketing to base low high priority Blurred work and home worlds not fixed machines Mobile machines ‘mass’ versions of corporate solutions Smaller applications - too much customisation ‘mass’ versions of corporate solutions M S

18. M-Commerce Consumer Internet Consumer Internet

19. Vertical Brand Portals BusinessLife StyleCross Over Managed DIY CORP SM E CONS VW C&C PW lo w high MtM

20. CORP SM E CONS VW C&C PW lo w high MtM Horizontal Brand Portals Aimed at Mobile Life or Workstyle Managed

21. So what do customers really want from their applications? Value Work enhancements Work enhancements Life enhancements Life enhancements Fun FunPersonalised Device independentDevice independent Location (in)dependent Location (in)dependent Always relevantAlways relevant Available Easy to access Easy to access Easy to use Easy to use Actionable Actionable Relevance Time critical Time critical Real time Real time Scheduled Scheduled Dynamic Personalised information Anywhere, anytime, any device

22. Which applications are Valuable?

23. Involves money Free Information Application Business value High Personal value Calendar,Mail Schedule WAP GSM GSM Transport 3G High Speed GPRS Low Speed GPRS WAP Phone Phone Terminal Specific device PDA/GPRS GPRS WAP Phone Will pay for Like to know Business Critical User Critical Time Critical Value What are the Value Propositions? Vertical Horizontal Portal Business/ Personal Corp Man Corp DIY

24. M-Commerce Review

25. GPRS Internet An enterprise solution that happens to be wireless. TerminalNetwork Interconnect Integration Application ASP/In House SecurityEncryption End to end security Operating System Form Factor Radio TestingCoverage Internet/Fixed Line Applications / Integration required

26. The 8 questions for an E-business Do you know your customer?Do you know your customer? Do you use multiple channels to interact with customers?Do you use multiple channels to interact with customers? Have you personalised the customer experience?Have you personalised the customer experience? Have you focused on 100% customer satisfaction?Have you focused on 100% customer satisfaction? Do you optimise the value of every customer?Do you optimise the value of every customer? Have you Developed and maintained global customer centric eBusiness architecture?Have you Developed and maintained global customer centric eBusiness architecture? Have you leveraged & extended the eBusiness ecosystem?Have you leveraged & extended the eBusiness ecosystem? Do you cultivate an organisational culture built on eBusiness Excellence and Innovation?Do you cultivate an organisational culture built on eBusiness Excellence and Innovation?

27. M-Commerce Conclusions The market is moving very quickly!The market is moving very quickly! New channels to market will emerge!New channels to market will emerge! You cannot wait for the next technology!You cannot wait for the next technology! Do not buy a technology buy a solution!Do not buy a technology buy a solution! Huge new opportunities to fast movers!Huge new opportunities to fast movers! To be different you have to be different!To be different you have to be different! If it already has not changed the way you do business it is about to!If it already has not changed the way you do business it is about to!

28. ‘Thank You’ Also available for weddings and after dinner speeches Anthony Harford, Business Consultant, BT Wireless Tel: 0121 230 2719 Email Anthony.Harford@BT.Com Location BCA Edinburgh, 15 February 2001,