1. 1 © 2005 Nokia EC IL 15.11.2005 Enabling the Knowledge Society: The Role of Mobile Communications Ilkka Lakaniemi

2. 2 © 2005 Nokia EC IL 15.11.2005 Outline Global Mobility & Fixed-to-Mobile Substitution Social & Economic Impacts of Mobility The Roles of a Mobile Individual Towards Convergence and a Knowledge-based economy

3. 3 © 2005 Nokia EC IL 15.11.2005 Subscriptions globally, millions 3 billion by 2010 3 billion by 2010 The Mobile World Source: Nokia at 3GSM Cannes, February 2005 0 -92-93-94-95-96-97-98-99-00-02-03-04-10 e 200 400 600 800 1 000 1 200 1 400 1 600 1 800 2 000 2 200 2 400 2 600 2 800 3 000 -05 e Current global penetration 29 % Mobile Fixed voice Broadband

4. 4 © 2005 Nokia EC IL 15.11.2005 0% 10% 20% 30% 40% 50% 60% Sources: National Regulators, ITU, Operators 13 Germany 15 16 Sweden 18 20 USA 30 33 Spain 38 37 France 42 53 Portugal 55 Mobile voice share of total outgoing traffic minutes Netherlands 25 29 Switzerland 21 25 14 12 26 UK 27 24 25 27 Greece 34 22 30 Italy 33 28 31 China 39 23 17 Russia 25 9 32 50 Czech 54 46 45 Hungary 51 37 48 Austria 53 44 48 Finland 55 42 52 18 Norway 24 28 20 21 Mobile Europe: Usage as an Indicator & Driver 200420032002 32% World average 2004

5. 5 © 2005 Nokia EC IL 15.11.2005 Social & Economic Impacts of Mobility Mobility endorses socio-economic development factors (not in order of importance and not exhaustive): 1.community development via network effects 2.efficiency and transparency in governance via improved access and feedback channels 3.social mobility with direct effects on entrepreneurship and gender allocation (focus on developing economies) 4.skills (new competences) and learning improvement via mobility in educational services 5.efficiency in public services via monitoring and faster repair services 6.enhancement of remote working methods via true mobility 7.encouragement in public security perception via remote-monitoring and environmental sensing 8.endorsement of workforce efficiency and productivity via impact on multifactor productivity growth 9.improved public welfare services via efficiency reporting and faster emergency services 10.environmental benefits from improved communication efficiency via reducing transport costs

6. 6 © 2005 Nokia EC IL 15.11.2005 Inhouse Proximity Society Neighborhood Proximity City Professional Role “Enterprise VPN” Family/social member Role “family VPN” Community/Citizen Role eVoting eGovernment services Consumer Role mShopping mLocationing eLearning Environments mCommerce & Identification Work/Life Balance Well-being & Social Aspects Spatial Solutions & Smart Materials Living Logistics & Maintenance The Roles of a Mobile Individual

7. 7 © 2005 Nokia EC IL 15.11.2005 Towards Convergence and a Knowledge- based Economy Convergence in technology, user expectations and business models widespread mobile usage among all age and income groups (universal access) competitive advantage via user-centric technologies real-life test beds (Living Labs) Knowledge-based economy changing work patterns and time communication technologies for collaboration and sharing turning aging societies challenge to possibilities – e.g. enhancing public services and productivity