Telecom Italia technology enablers for new markets
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1 MILAN, 18 OCTOBER 2007 Telecom Italia technology enablers for new markets TI MANAGING DIRECTOR TECHNOLOGY 1
2 Convergent TLC Market and the new Telecom 2.0 approach CAGR ,7% 0,8% 1,8% 2,3% 1,6% ICT services 7,6 8,1 8,4 8,8 9,2 ENTERTAINMENT 12,1% 1,6 1,9 2 2,3 2,7 4,6% Telecom 2.0 Telecom 1.0 MOBILE FIXED FIXED 18,4 17,6 19,7 17,1 19,9 16,8 20,4 16,4 20,9 16,2 2,1% -2% Fixed Mobile Entertainment ICT 2
3 Convergence: The Business Opportunities Voice - Data Convergence 1. ENTERTAINMENT/CONTENT 4. Tlc - Media Convergence Fixed - Mobile Convergence 2. TLC Voice Data Device Fixed Mobile CONSUMER ELECTRONIC IT Tlc - IT Convergence Tlc - Consumer Electr. Convergence 3
4 GRUPPO TELECOM ITALIA Convergence: The Network Model BUSINESS & OPERATION SUPPORT SYSTEM (BOSS) Personal Communication Services Mobile Broadband Access Optical Packet Metro Fixed Broadband Access Edge Nodes OPTICAL PACKET BACKBONE (OPB) Control Layer Service Layer Ne Centric ICT Services Digital Multimedia Services 4
5 Broadband Fixed Access: speed and performance evolution Towards 100 Mbps 3 play bundles : WEB, VOIP, IPTV ~ Mbps VDSL2 Telepresence Multiple access technologies (ADSL, ADSL2+, VDSL, GPON) ~10 20 Mbps ADSL2+ IPTV ~2 6Mbps ADSL flat VOIP ~ kbps ADSL free WEB ~64 kbps Dial Up Time 5
6 Volumes, Coverage, Users on the Broadband Fixed Access Volume traffico (PetaByte) Coverage % ADS L Users (000s) Types of Traffic 6
7 Main European Markets: TI BB customer base Main European Market (BB Accesses) Germany UK France Italy 10,1 Spain Holland Turkey 5,7 4,2 8,5 6,3 7,7 Poland 3,5 6,7 Sweden 2,6 3,3 8% Switzerland 2,4 2,9 6% Portugal Austria 1,7 2,2 8% 1,6 2,1 10% Czech Rep. 1,4 2,2 Hungary 1,3 1,9 Romania 1,0 1,8 19% 10% 22% 3% 24% ,1 23,9 10% 16,0 20,7 9% 15,3 19,0 8% 13,6 10% 11,8 12% 22% Hansenet BB NED Net adds ,9 4,7 3,7 3,5 3,3 0,6 3,5 3,2 0,7 0,5 0,5 0,5 0,9 0,5 0,8 Retail Europe 1,7 TI Customer base Retail Domestic Weight of EU footprint on total 0,4 3,4 1,3 1,9 4,8 5,6 >3,5 6,4 >5,0 7, E 2009E 11% 21% 25% 35% 40% Fonte: Merrill Lynch, TI, IDC, Ovum TI France Telecom Italia 7
8 Broadband Mobile Access: speed and performance evolution Towards 14 Mbps Internet Mobile is growing Multiple Access Technology ~14 Mbps ~7 Mbps HSPA 2 HSPA 2 + MOBILE INTERNET (3G, HSPA, DVBH, ) ~ 3 Mbps HSPA 1 MOBILE TV ~100 kbps ~300 kbps EDGE UMTS ~10 kbps GSM Time 8
9 Volumes, Coverage and Users on the Broadband Mobile Access Traffic Volumes (TeraBytes) Coverage Lines (Mln) Types of Traffic
10 NGN2: High Level Architecture BSS OSS PLATFORM Broadband Area ADSL2+ ( 10Mbit/s) // FTTB // //// IP-DSLAM (4.000) CRM SERVICE DELIVERY CUSTOMER DATA BASE DATA WAREHOUSE SERVICE ASSURANCE WORK FORCE MANAGEMENT BBAN - CN BILLING TRAFFIC & USAGE NETWORK NEUTRAL EM ERP NETWORK MANAGEMENT NETWORK DATA BASE OPTICAL PACKET BACKBONE PERSONAL COMMUNICATION PLATFORM C2P P2P VOIP HSS WEB VIDEO OVER IP IMS DIRECTORY MULTIMEDIA PLATFORM IPTV MSG MSG DVB-H CONTENT ENGINE/DRM GPON RAN - CN MUSIC VIDEO GAMES // IP- MSAN FTTC (ONU) VDSL2 ( 50Mbit/s ) OPTICAL PACKET METRO STORAGE MULTISERVICE EDGE NODE (POP) ICT SERVICES PLATFORM B2B+C MANAGED MESSAGING SERVICES COLLABORATION SOA UTILITY COMPUTING APPLICATIONS FTTH / B ( 100Mbit/s ) STORAGE ON DEMAND MESSAGE STORE DISASTER RECOVERY Ultra Broadband Area Service Centers 10
11 Consumer Market Service Architecture NGN2 enabled Voip HiFi & HD Videocommunication HDTV IPTV Mobile TV WEB 2.0 WEB TV Home Office Home Health Care Home Security ISP2 Services Giga-mail, Storage, Istant Messaging, My Web Site Home Network Assistance + Help Desk SLA Device Management Intallation 4 Play convergent Convergent Voip Istant Messaging mobile My Web Site VDSL2 HSPA2 connectivity ( upstream + ) 11
12 Business Market Services Architecture NGN2 enabled (surveillance) VDSL2 HSPA2 connectivity 12
13 NGN2 access deployment FTTx con VDSL2, ADSL2+ ALL IP Enabled Accesses (000s) NGN2 VDSL2 NGN2 total 13
14 Investments plan for NGN2 project Mln Euro FTTx VDSL2 FTTE ADSL2 Mobile Total 14
15 Wholesale Services in the Open / Not Regulated NGN2 Network Framework IT - PLATFORM CRM DATA WAREHOUSE BILLING ERP Service Center Broadban darea Sub Loop Unbundling and ULL Ultra Broadband Area IP- VDSL DSLAM (ONU) ADSL2+ ( 10Mbit/s) // // //// FTTC// VDSL2 ( 50Mbit/s ) FTTB ( 100Mbit/s ) IP-DSLAM (4.000) SERVICE DELIVERY CUSTOMER DATA BASE Dark Optical Fiber SERVICE ASSURANCE OPTICAL PACKET METRO BBAN - CN RAN - CN STORAGE TRAFFIC & USAGE WORK FORCE NETWORK MANAGEMENT NEUTRAL EM MULTISERVICE EDGE NODE (POP) OLO IP BACKBONE NETWORK MANAGEMENT NETWORK DATA BASE OPTICAL PACKET BACKBONE PERSONAL COMMUNICATION PLATFORM P2P VOIP C2P HSS MULTIMEDIA PLATFORM WEB IPTV DVB-H CONTENT ENGINE/DRM MUSIC B2B+C MANAGED SERVICES STORAGE ON DEMAND VIDEO OVER IP IMS DIRECTORY VIDEO MSG MSG GAMES ICT SERVICES PLATFORM MESSAGING COLLABORATION SOA UTILITY COMPUTING MESSAGE STORE APPLICATIONS DISASTER RECOVERY Inside uilding Sub Loop Unbundling (SLUB) Multiservice Quality Bitstreem interconnection 15
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