Innovate – Monetizing Mobile Broadband and OTT Speaker Michael Martinsson, Fixed Broadband and Convergence Market Category Driver. Presentation from the Broadband World Forum, Amsterdam, 2012.

1. Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012
Monetize broadband
and over-the-top
Michael Martinsson
Head of Marketing, Fixed Broadband & Convergence
Ericsson

2. Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012
Coming up with a
great idea is just
the beginning of
innovation

3. Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012
now
35 Billion apps
downloaded
3g > 1 billion q2 2012
50% of smartphone traffic
on ericsson networks
mobile data growth
doubled between q1 2011
and q1 2012
6.3 billion
mobile
subscriptions
Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012

4. Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012
Sharing global experience
Ericsson
Consumer
Lab
Traffic and
Market Data
Report
Partner in
Operator
Innovation
Labs
Business
Logics
workshops
Monetizing Mobile Broadband and OTT | Commercial in confidence | © Ericsson AB 2012

5. Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012
Innovation. growth.
Existing Products
Existingmarket
New Products
Newmarket
MARKET PENETRATION PRODUCT DEVELOPMENT
MARKET DEVELOPMENT DIVERSIFICATION

6. Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012
Innovation. growth.
Existing Products
Existingmarket
New Products
Newmarket
MARKET DEVELOPMENT
PRODUCT DEVELOPMENT
DIVERSIFICATION
MARKET PENETRATION

7. Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012
Market penetration
Exchange for services Win airtime
› Turkcel callers hear ad
instead of ring tone
when calling users
Win free
Airtime by
accepting to
receive ads
› Entel customers collect
points when using
operator services
I got MBB
for my
points
› Telering users receive
2 to 3 ads by SMS/
MMS on weekdays
I accept to
receive ads to
lower my bill
Lower price
Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012

8. Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012
Innovation. growth.
Existing Products
Existingmarket
New Products
Newmarket
MARKET DEVELOPMENT DIVERSIFICATION
PRODUCT DEVELOPMENTMARKET PENETRATION

9. Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012
Volume Time Location Content Terminal Speed
Product development
How much data volume
can you use?
How fast can you
download or upload?
How long and/or when
can you use data service?
Where can you use data service?
What applications (music, video, etc) can you get?
Which terminals
can access data service?
Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012

10. Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012
Shared data plans
Example: Unlimited Talk & Text with
8 GB Shared Data
Monthly Line Access Per Device
$40 $30
$20 $10
Monthly Account Access
Example: Monthly access fee per
device
USB modem
Mobile Hotspot
Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012

11. Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012
Apps and cloud services
Source: Teliasonera.com; Telkomsel.com; Orange.com
Unlimited social network
› Telcomcel customers
pay a flat fee per day,
week or month
› Telia customers buys
a Spotify premium
subscription bundled
with Telia access
I bring my
jukebox
on the go
Premium music service
› 12 Swapables today. 1-
2 included in base
packages. Can be
changed every month.
› Zero rated data
Premium app packages
All I want is to
stay close to my
friends
Panther 26 Tariff
Samsung Galaxy S2
200 minutes
Unlimited Texts
750 MB of Internet
Two Swapables
£26 a month
Monetizing Mobile Broadband and OTT | Commercial in confidence | © Ericsson AB 2012

12. Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012
Innovation. growth.
Existing Products
Existingmarket
New Products
Newmarket
PRODUCT DEVELOPMENTMARKET PENETRATION
DIVERSIFICATIONMARKET DEVELOPMENT

13. Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012
Market development
Connected Cars
› GM OnStar and
operators offers
connected services to
6 million cars
Personal Navigation
› Vodafone provides
TomTom a single
global SIM
Fleet Management
› Orange UK provides
service providers with
SIM cards and
connectivity
Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012

14. Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012
Innovation. growth.
Existing Products
Existingmarket
New Products
Newmarket
MARKET DEVELOPMENT
PRODUCT DEVELOPMENTMARKET PENETRATION
DIVERSIFICATION

15. Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012
Open-up for innovation
PartnersPlatforms
Platforms
Network Operator
Broker
Content / Service Provider
Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012

16. Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012
Let’s re-think business
Existing Products
Existingmarket
New Products
Newmarket
Incentivist
One-trick-
pony
Invisible
MARKET PENETRATION PRODUCT DEVELOPMENT
MARKET DEVELOPMENT DIVERSIFICATION
Incentivist
Here &
Now
Premium
Management
Add
on
Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012

17. Monetize Broadband and OTT | Commercial in confidence | © Ericsson AB 2012