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Bosco Eduardo Fernandes Chairman, UMTS Forum ICTG and Manufacturers Sector Group

Business Models & Profitability. Bosco Eduardo Fernandes Chairman, UMTS Forum ICTG and Manufacturers Sector Group www.umts-forum.org. Mobile in Motion. 3G was designed for Data and Multimedia services NOT voice!!!! It‘s characteristic‘s encompass Broadband capabilities.

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Bosco Eduardo Fernandes Chairman, UMTS Forum ICTG and Manufacturers Sector Group

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  1. Business Models & Profitability • Bosco Eduardo Fernandes • Chairman, UMTS Forum ICTG and Manufacturers Sector Group • www.umts-forum.org

  2. Mobile in Motion • 3G was designed for Data and Multimedia services • NOT voice!!!! • It‘s characteristic‘s encompass Broadband • capabilities. • Current Business models are based on Circuit • switched Voice! This is also valid for tarif • structures!!!! • ARPU is falling but the operators will not • go bankrupt! • Today service offering is moving towards • Bundling-do users really want this?

  3. Turbulence in the Industry • Skype reaches 100 million downloads, has 54+ million users,1,500,000+ connected anytime, carried 7 billion+ free minutes!! Closing in on 15 billion by late July, and with eBay to become the biggest Teleco in the World offering voice services to 168 million users. • Google talk, will soon also offer Voice and IM services. • Application Hosting and WEB Hosting is becoming very popular. • Bit-Pipe Carrier Business can be profitable-e. g. Yahoo Broadband. Many easy solutions with a small fraction of investment! ->Business is moving to the Edge?

  4. IMPACT • IMS will be the major turning point for driving up mobile data revenue. 3G and FMC service convergence! • This however, brings new challenges in terms of managing and implementing 3rd Party applications and content and synchronizing these with devices. • Perhaps -Adopting the Amazon, eBay model would help? - Understanding predictive User intelligence, dynamic pricing, micro market segmentation. Supply chain optimisation and organisational design. • New tariff structures and user choice of service might be a way out?

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