Osman Sultan Chief Executive Officer

1. Osman SultanChief Executive Officer From Infrastructure to Ecosystem Customers are holding our hands Abu-Dhabi TELECOMS CEO Summit MECOM Dubai 16th May 2011

2. The world did not stop changing in few short decades Industrial revolution Land Labor Capital Manufacturing to from Information society - Brainpower/creativity - Digitized Information - Globalization

3. The Arab World led intellectual and Scientific pursuits in the ancient world Historical The Industrial Revolution passed us by Modern Innovation in the Context of the Arab world Present Day The knowledge society is the opportunity for all countries in the world… Will we sit back and let this go?...

4. But it has been the same simple story … (perhaps as old as civilization) Content Experience &Lifestyle Transport Transport Experience & Lifestyle Content

5. Innovation through transformation of borders Channels Appliances Users Component Content Production & Packaging Broadcasting & Distribution Design & Interface Benefit & Value Dynamic Computers Home Appliances PDAs, Mobile Phones Digital cameras, Gaming devices Telecom operators TV and Cable networks Broadband networks Individuals SOHO Companies Students Publishing, Music, Cinema, Press Players Movies Music Interaction News Video Events

6. CONTENT The world of Content From Content Creation… To User Generated Content DATA ..through Content Aggregation MyTube DESIGN Applications Applications SMS Email Web WAP IPTV Gates Applications New Virtual Space The world of Operators Fixed Broadcasting Infrastructure Mobile MTC Operators DESIGN Devices Customers

7. Communication is enabling huge opportunities of creativity / Historical Changes • everyone can design a page as a window to the world • everyone can create and share images or movies • everyone can become publisher or broadcaster

8. Our learning universe is in constant transformation • A transforming telecommunication world, an exploding media world. • new environments, new behaviors, new cultures • fast technology, more capabilities, more speed, more capacity

9. Change = Evolution Rapid Change = Disturbance Disruptive Change = Crisis • New Technologies • New Capabilities • Behaviors New • New Business Models • New Competition • New Flows • New Civilization Models??

10. Applications will be a high-growth area contributing to mobile data revenues. With operators gaining little or no revenue share from vendor-operated application stores, “Do-Nothing” is not an option Bubble size correlates to forecasted 2013 data revenues • CAGR, Revenue and Consumer Penetration of Various Mobile Data Services, Worldwide, 2009-2013 High-growth Applications are potentially a huge market with high growth possibility Consumer Penetration Estimates, %, 2013 Mature Under-developed Compound Annual Growth Rate of Mobile Services , Worldwide, % (2009-2013) Note 1: Captured numbers are industry numbers and not just for operators. Note 2: All the numbers indicate content revenues, and do not include access (data) revenues Source: Capgemini TME Strategy Lab analysis; Informa, “Global Mobile Network Traffic 2007-2012”; Informa, “Global Messaging End User Forecasts”, Nov. 2008; Morgan Stanley, “Mobile Internet”, Dec 2009; Nielsen, “Mobile Media Europe: State of the EU5 Union”, Mar 2009; ComScore, “The Next Big Things: Mobile Internet & Applications - Gaining Momentum”, 2009

11. key assets available to the operator in the app market Example: Monetization engine for 3rd party services through simple m-payment systems. Example: Data packages based on tiers or partnerships with 3rd parties to guarantee (for a premium) network quality for data-intensive apps. Example: Geographical location, usage patterns , content purchases, Demographics, relationships. Examples: Creation of custom Apps, Apps utilizing operator-specific or local content such as news, events, location information, consumption tracking.

12. operators can adopt multiple monetization models from the sale of apps Approach Operators’ Stake Developers’ Perspective Enablers • Possibility of future revenues as a result of application upgrades • Quick monetization method • Additional revenues through sale of virtual goods Return facility within a time period, simpler payment modes Direct App Sales • Instead of managing individual developers, operators deal with a few large ad-serving players • Cross selling of paid applications through the free ad-supported ones • Popularity based revenue share arrangement with operators Better analytics for intelligent targeting In-app advertising • Upfront payment to operators or payment based on number of downloads • Large business houses can create applications that promote their products Improved browser traversing Promo apps • Improves quality of applications on store • Mostly useful applications which can sustain usage over time go for subscription model • Source of continuous revenue • High price premium content can be sold as moderately priced subscription application ‘Lite’ test application or a free cancellation facility Subscription Apps • Operators charge based on usage of applications , which are hosted on the cloud • Quick provision of application upgrades to all users helping improve user stickiness Reliable Networks Usage based apps Source: Capgemini Strategy Lab analysis; Hopkinson Report, ”Which iPhone App revenue model has the most profit potential?”, July 2009; Boxuk.com, “Monetizing your Web App: Business Model Options”, Feb 2009

13. b r a n d operating model strategy An Integrated Ecosystem With Multiple Components Impact GOVERNANCE INSTITUTIONS COMMUNITY MARKET PEOPLE

14. Setting the new players as agents of change in evolving societies facing a restructuring model ensuring the adequate supply and development of knowledge workers demystifying and humanising technology to promote usage, growth and development establishing the corporation as a social citizen But more essentially: Ensuring a fair and ethical practices in driving development.

15. Enabling in our organisations the creation of new Structures, Systems, and “Spirit”. • Building a culture of continuous change • Transforming the traditional and hierarchical model to a process–oriented and customer–focused model • Building the ability for learning and knowledge management • And more than ever…”Think Globally, Act Locally” If not addressed, this is often the biggest threat to success

16. The New Digital Age. • No Arabic destinations of note • The broadband story is unfolding almost everywhere • A Young and increasingly savvy audience • Diversity of people, but common threads Addressing the opportunity of 21st Century Digital Arabia This creates significant business opportunities for regional players

17. Systematically addressing the 3 screens…in 3 languages 21st Century Digital Arabia

19. and looking to the future 6th sense – ubiquitous networked reality

20. The promise of a “brave new world”? An Act of Faith: Communication and Digital Life are accelerating the transformation in this region. Generation Digital Arabia is out there.

21. Thank you