1. FUTURE CITIES
PORTUGAL TELECOM
VISÃO PARATelecom COMMUNITIES
Portugal AS SMART
January 2013 Janeiro 2013
Janeiro 2013

2. GLOBAL
TRENDS
01

3. 01 GLOBAL TRENDS
THE INCREASE OF PEOPLE IN CITIES AND RESOURCE SHORTAGE…
Without faster productivity growth,
Sub-Saharan Africa will meet only 13% of its own food
demand by 2050
9.3
(Group)
Billion people on earth by 2050
(United Nations, Department of Economic
50% Increase Water Use
in Developing Countries
by 2025
(UNEP, WWAP 2006)
and Social Affairs, Population Division (2011)
2.000.000.000
New urban residents expected in the next 20 years
(UN-HABITAT State of the World’s Cities Report 2010-2011)
It is estimated that
cities consume
(United Nations)
75% Of World energy
and generates 80% of greenhouse gases
January 2013

4. 01 GLOBAL TRENDS
…REQUIRE NEW APPROACHES...
Number of Smart Phones in the world Estimation of connected M2M devices The Growth of Cloud-Based Big Data
2012 489k 2,4x
2016 1,174M
# 2012 1b 2012 2,6B 3,2x Revenue grow at 31,7%
per year
Sales/ year 1,5b 2016 8,4B $23.8 billion mark in 2016
In 2016
Source:
Strategy Analytics; PT - Yankee Group, Global ConnectedView Forecast, Sep 2012 Worldwide – GSMA Connected Life Position Paper; IDC and SOAworld January 2013

5. 01 GLOBAL TRENDS
…ON THE WAY WE MANAGE OUR CITIES.
Source:
Future Cities, Ranking of European medium-sized cities – Vienna University of Technology, University of Ljubljana, Delft University of Technology January 2013

6. PORTUGAL
TELECOM
02

7. 02 PORTUGAL TELECOM
PT IS READY TO HELP OVERCOME THESE CHALLENGES…
100 Million clients
Portugal
Portugal
Telecom
Angola
Unitel, Multitel,
Elta
Hungary
Hungaro
Digitel HDT
Kenya
Billion euros revenue
3.3 Cape Verde
Cabo Verde
Telecom,
Kenya Postel
Directories
Directel Cabo
Verde Macau
Companhia
Of revenue in international Brazil Telecomunicações
59% operations
Oi,
Contax, todo!,
UOL,
Macau
Timor
PT Inovação Timor
Telecom
In the markets where it is Botswana
Nr.1 present Mascom
Wireless
Mozambique
Listas
S. Tome e Principe Telefónicas
Companhia Namibia de Moçambique
Santomense de Mobile Teledata
Telecomunicações Telecommunications
Listed on Euronext, NYSE and Company
on DJStoxx and FTSE4Good
Source:
Strategy Analytics; PT - Yankee Group, Global ConnectedView Forecast, Sep 2012 Worldwide – GSMA Connected Life Position Paper; IDC and SOAworld January 2013

8. 02 PORTUGAL TELECOM
…SINCE IT HAS BEEN PREPARING FOR THESE CHANGES…
High capacity transport
State-of-the-art access network network Processing and storage
Fiber (FTTH) 4G, 3G, 2G Wi-Fi National Backbone Data Centers Networks
IP/ MPLS
Source:
PT January 2013

9. 02 PORTUGAL TELECOM
… STEADLY CHANGING ITS CORE BUSINESS …
100%
4%
REVENUE PERFORMANCE 12%
16%
OUT+SI+TI
19%
OUTSOURCING + SI + TI 33%
SALES
7%
Increased from 4% in 2003 to 19% in 2010 MOBILE DATA
43% 7%
MOBILE DATA 9% 42%
Focus on smart phones and broadband offering, 50% FIXED
DATA
grew 0.1% in 2003 to 7% in 2010
10% 33%
FIXED DATA 12% MOBILE
VOICE
Accounted for 33% of the revenue in 2003. 53% 11%
Gained expression, but with the growth of new
34% 25%
FIXED
VOICE
business areas returned to 33%
22%
MOBILE VOICE 0%
Relative weight of 11% of the revenue 2003 2005 2007 2010
FIXED VOICE
CAGR
Decreased from 55% (2003) to 22% (2010) 4,5%
Source:
PT January 2013

10. 02 PORTUGAL TELECOM
…MAKING IT FUTURE PROOF.
2012-15
BUSINESS
TRANSFORMATION
• Business consulting
2010-11 • Internet of Things (M2M)
and Future Cities
CLOUD &
APPLICATIONS • Collaboration and mobility
2005-09 for technology adoption
• XaaS Models • Convergence; ICT models for
IT &
• ISs, in selected verticals XaaS
2000-05 DATACENTRE
G • Global Outsourcing of • Multichannel access for
DATA • IT and hosting IT systems business processes
90’s & INTERNET services
• Migration of legacy • Digital content management
• Dissemination of
VOICE & • Security accesses
Internet access • Customer relationship with
CIRCUITS • IP voice and data • Managed • Application video and social networking
over VPN´s services development
• Voice and Value
• Dematerialization and
Added Services • Self-service Web • Infrastructure • IT based BPO
processes virtualization
• Private Data Outsourcing
Networks • Online Channels
• E-business
PA S T FUTURE
January 2013

11. FUTURE
CITIES
03

12. 03 FUTURE CITIES
FUTURE CITIES ARE BASED ON TODAYS´S TECHNOLOGIES…
Web 2.0 & social
IT networking
(Interactivity)
BUILDING Advanced Open acess to Digitally
BLOCKS analytics
(Fact-based decisions)
public data
(Many eyes)
controlled
devices
(Realtime Control)
OF Open standards, Geospatial Internet of
SOA and Platforms Things M2M
DIGITALLY ecosystems
(ITassembly) (Place based data) (Realtime Data)
ENABLED Ubiquitous
connectivity
Web2.0 and
social
Collaboration Cloud
Computing
Platforms
CITIES (Always on)
networking
(Convenience) (Teamwork) (IT as a service)
Source:
Ovum January 2013

13. 02 PORTUGAL TELECOM
…THAT REQUIRE A MULTI LAYER TECHNOLOGY ECOSYSTEM…..
SERVICES
APLICATIONS
PLATFORMS
INFRASTRUCTURE
SERVICE END TO END IN THE FOUR LAYERS IN A INTEGRATED FORM January 2013

14. 03 FUTURE CITIES
…THAT ARE COMPLEX TO DEPLOY AND MAINTAIN…
To deploy and maintain several different systems
from several different providers is a challenge
that Future Cities have to overcome.
Future Cities solutions are typically
characterized by:
• Different HW Sensors and devices
• WiFi, 3G, LTE…
• Cloud
• M2M
• High Volumes of data, from different
sources
• High number of users (doubts and
problems)
• Geographical dispersion
• ...
Source:
ITIL January 2013

15. 03 FUTURE CITIES
…THAT NEED TO BE AVAILABLE 24/7 TO EVERY CITIZEN…
Future Cities need to Even the smallest failures
Citizens need online
have continuous may have a huge impact
support
operational management in end users
January 2013

16. 03 FUTURE CITIES
…AND HAVE A SOCIAL/ ECONOMICAL RATIONALE.
Quick wins generate
Citizens are willing to pay Future Cities grow
savings that may fund 2nd
for services if they organically and not from
wave investments
recognize the value the top down
(and so forth)
January 2013

17. 03 FUTURE CITIES
PT PROVIDES DATACENTERS AND CLOUD SERVICES…
January 2013

18. 03 FUTURE CITIES
…THE MOST ADVANCED NETWORK CONNECTIONS…
January 2013

19. 03
M2M User Interfaces Operation Center Services Marketplace
FUTURE CITIES M2M Service Delivery Broker
Operation, Supply & Readiness
Field Force Management
Vertical Applications
In-Memory
Customer Care
VA1 VA2 VAn
Provisioning
3rd Party Other
Business
Services PT Services
Billing
Intelligence
- AN INTERNALLY DEVELOPED M2M PLATFORM;
M2M Core Platform Services
Network
Devices
1 2 3
Machines are more intelligent and able to communicate with each other in real time.
It is another step in the evolution of machines and devices that we use on a daily basis.
They exchange data, act automatically to resolve problems and resort to human intervention in
only the most critical situations.
January 2013

20. 03
M2M User Interfaces Operation Center Services Marketplace
FUTURE CITIES M2M Service Delivery Broker
Operation, Supply & Readiness
Field Force Management
Vertical Applications
In-Memory
Customer Care
VA1 VA2 VAn
Provisioning
3rd Party Other
Business
Services PT Services
Billing
Intelligence
- SERVICES THAT OPTIMIZE THE CITIES RESOURCES;
M2M Core Platform Services
Network
Devices
Smart Street Lighting Mobile Parking Payment
• Reduce energy costs up to 40%
• CO2 reductions
• Easy and efficient management
• Easy to use
• Practical
• Management and control in a fast,
simple and effective way
www.smartm2mpt.pt January 2013

21. 03
M2M User Interfaces Operation Center Services Marketplace
SMART CITIES M2M Service Delivery Broker
Operation, Supply & Readiness
Field Force Management
Vertical Applications
In-Memory
Customer Care
VA1 VA2 VAn
Provisioning
3rd Party Other
Business
Services PT Services
Billing
Intelligence
- IN MEMORY BUSINESS INTELIGENCE;
M2M Core Platform Services
Network
Devices
January 2013

22. 03 FUTURE CITIES
…MAKING FUTURE CITIES TODAY!
In order to manage Future Cities, it will be necessary a
comprehensive technological architecture
Trough the know-how in ICT and in deploying, maintaining and
ICT supervising new innovative services PT is ready to help
Future Cities
Several solutions are already available in cloud, ready to be used
and explored
January 2013