Priorities for EU-Brazil research and development Cooperation

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1 This document is part of Portugal Telecom s intellectual property and its usage or transmission without express written consent is forbidden. Priorities for EU-Brazil research and development Cooperation

2 PT is a global telecommunications operator focused in Portugal, Brazil and Africa Million customers EUR bn revenues Revenues (%. 1H12) Portugal International 2

3 PT s track-record in cloud computing, smart cities and TV services will be made available to support EU-Brazil projects PT S TRACK-RECORD PLANNED INITIATIVES IN BRAZIL Innovative cloud based offering supported by the largest DC network in Portugal Cloud Pioneer cloud computing services with flexible and differentiated service 1.6 million homes considered the best fibre roll-out by the FTTH Council Europe Fibre Fibre rollout aiming at reaching 2.5 million homes passed by 2015 M2M platform capable of aggregation, processing, storage and provision of information M2M Application development with the aim of providing information to the end users One of the most advanced Pay-TV offerings and an international case-study Pay-TV Complete Residential Bundle with innovative Pay-TV offer 3

4 10.2 a) Cloud Computing for Science PT S TRACK-RECORD PLANNED INITIATIVES IN BRAZIL Innovative cloud based offering supported by the largest DC network in Portugal Cloud Pioneer cloud computing services with flexible and differentiated service Porto 1 Data Center 700 m 2 Azores 1 Data Center 80 m 2 PORTO Data Centers thousand m 2 of IT rooms Lisbon 4 Data Centers m 2 Madeira 1 Data Center 40 m 2 LISBON thousand servers Pbytes of storage 4

5 PT has just invested in the largest data center in Portugal Size of data centers in Portugal*. Thousand m 2 Installed Capacity 5.0 Covilhã Data center ** Size*** Atlântico pavillions tennis courts Player Player Capacity Player Player million movies billion songs músicas Others 4.5 * Includes only the server area, i.e excludes technical, support and operation areas ** Depending on the relocation of part of the installed capacity *** Including technical areas of support and operations (75,500 m2) 5

6 Covilhã, data center of international scale Data center of global scale Top 10 data centers in the world Thousand m 2 expands PT s international presence Lakeside TC QTS 92 NGD 75 Terremark WW 70 Microsoft (Chicago) 65 Microsoft (Dublin) 51 i/o DCs 50 DFT 45 Microsoft (San Antonio) Source: Businessweek 02/07/2009; Green M3; Datacenter Knowledge.com 6

7 SmartCloudPT offering promotes efficiency and flexibility for businesses Software (SaaS) Platform (PaaS) Infrastructure (IaaS) Microsoft Office Office tools anywhere Invoice express Billing online /website Domains Website & account management Internet presence Virtual servers Dedicated Servers Remote backup Online data protection PHC Business FX Managing of core business areas Sharepoint Collaboration and document administration Virtual drive Data storage 7

8 c) Smart services and applications for a Smarter Society PT S TRACK-RECORD PLANNED INITIATIVES IN BRAZIL M2M platform capable of aggregation, processing, storage and provision of information M2M Application development with the aim of providing information to the end users

9 Leadership in the deployment of next generation networks Fixed Network Mobile Network Homes with FTTH/B Thousands 2,159* Leader in the launch of 4G Others 1, , , , Modernization of the entire 2G network E Traffic off-load via WiFi Transmission network with capacity of 40 Tbps and speeds up to 100 Gbps Connection of ~ 90% of mobile stations with fibre optics * Assumes only increase in the number of additional homes passed by PT, i.e, 600 thousand additional houses by the end of 2011 Source: FTTH Council, Yankee Group; INE ( total number of households in Portugal 5.7 million) 9

10 10.2 d) Hybrid broadcast-broadband TV applications and services PT S TRACK-RECORD PLANNED INITIATIVES IN BRAZIL PT research interest for objective 1.3 outcome b) Open Innovation for Internet-enabled Services and next One of the most generation advanced access (NGA) Pay-TV services in "smart" Complete Cities Residential Bundle Pay-TV offerings and an with innovative Pay-TV offer international case-study Timeline of PT Pay TV services (branded MEO) Launch of the Meo Fibra in May, leveraged on the best fiberoptic network in Europe, according to the FTTH Council, a network reaching 1.6 million homes in Portugal; Leadership in the introduction of 3D in Portugal, with the first 3D commercial (the most watched ever in Portugal); Pioneer launch of multi-screen offer with Meo Online, to watch channels and movies on the computer, and launch of Meo Remote, with command on the tablet or mobile phone; Multi-platform entertainment offering with Music Box and Meo Games (videogame platform, without need to have a console) MEO tops 1 million customers MEO customers can enjoy a MEO experience on multiple screens, not only inside and outside the home. Meo customers represent 93% of fixed broadband customers of PT and 38% of its fixed lines, at the end of 2011 PT also provides the following features in MEO: interactive applications, 3D content, multiscreen offer with MEO Go. MEO Customers have access to broadcast channels, recordings (PVR), video on demand, music and game rental. There are more than 150 channels available, including exclusive content, high-definition and 3D content. 10

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