1. Business Review: Focus on Telecom 2013 John Gole November 2013

2. Telecom Services Revenue in CEE 2013 Growth Rate (forecast) © IDC Visit us at IDC.com and follow us on Twitter: @IDC 2 Slovenia Slovakia Russia Romania Poland Hungary Estonia Czech Republic Croatia Bulgaria Source: IDC EMEA Telecom Services Database, Q3 2013 Throughout the region, nearly all markets are suffering decline in telecoms services revenues. Romania actually suffers less than many others.

3. © IDC Visit us at IDC.com and follow us on Twitter: @IDC 3 Telecoms Industry Under Pressure Regulation What Explains The Weakness in The Telecoms Services Market? Regulation is one key factor: termination rates, roaming, licensing…

4. © IDC Visit us at IDC.com and follow us on Twitter: @IDC 4 Source: CTU, IDC How Much Have Termination Rates Fallen? An Example From The Region

5. © IDC Visit us at IDC.com and follow us on Twitter: @IDC 5 Telecoms Industry Under Pressure RegulationEconomics Falling Prices Devaluation of Voice and Messaging Investments Required OTT Players Changing Consumer Behavior Not Just A Matter of Regulation

6. © IDC Visit us at IDC.com and follow us on Twitter: @IDC 6 ChallengesOpportunities Mobile BroadbandCloud Services Content (video, music, apps, games) M2M ConnectivityRegulationEconomicsFalling Prices Devaluation of Voice and Messaging Heavy InvestmentsOTT Threats Changing Customer Behavior Mobility Management Unified Communications M2M SolutionsDevice SalesEnergy Can telcos manage all of the challenges? Will the opportunities outweigh the challenges?

7. Outlook for 2014? © IDC Visit us at IDC.com and follow us on Twitter: @IDC 7