Jukka-Peka Joensuu

Sea Lion Project Update

Barents meeting

Jukka-Pekka Joensuu

Executive Vice President

15.10.2015

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Jukka-Pekka Joensuu Confidential

Finnish Government decides to invest to the future with a new 20 M€

capital injection followed by institutional investors and debt

financers for a 100 M€ transaction

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” New investments create a growth path for the Finnish and European economy”

“Increased connectivity enables new innovations and provides new opportunities

for global companies in industrial internet”

“European Commission has approved the Finnish state’s capital investment on the

Finland-Germany sea cable project”

“Wholesale: Access to the network will be offered on transparent and non-

discriminatory terms to all interested third-party operators”

Jukka-Pekka Joensuu Confidential 3 10/21/2015

Cinia Group Legal and Operational Structure

Board of Directors, Group Executive Team and Cyber Security Advisory Board

Software Services Business Line

Connectivity Services Business Line

System Services Business Line

Owners of the company: • State of Finland (government) 77,5 % -- since 2013 • Private financial investors 22,5 % -- since 2014

Key characteristics: • Over 10.000 km’s of own backbone network – additional 3.000 km’s under construction • Over 200 own professionals to build and operate nationally critical systems in open system environment • Serving many major Finnish traffic and energy distribution operators • Has a strategical ambition:

• To build and expand the Cloud Backbone to fuel the Finnish and European economy • To internationally offer system solutions created for Finnish private and public sector customers

Jukka-Pekka Joensuu Confidential

Highlights to invest in Finland and European cross border services

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Competitive advantages why investing in Finland

Legislation to reduce the energy taxes for data centers

Lower cooling-energy requirements due to the cold weather

Availability of large base of qualified human resources; both

technical and operational

Most reliable power grid in Europe and the availability of multi-

source power (fossil, hydro & nuclear)

Relatively strong international telecom connectivity infrastructure

Facilitating High speed connections enables clustered services and

new services

Cutting edge connectivity services

Highly growing hosting services market

Independent company with strong public-private ownership structure

Trusted bridge

between East and West

Strong commitment

towards privacy and

data protection

Stable political system

Clear legislative

system and transparent

telecom regulatory framework

Jukka-Pekka Joensuu Confidential 5 10/21/2015

Sea Lion Facts and Figures

• The Sea Lion, Cinia’s submarine

cable system from Helsinki in Finland

to Rostock in Germany

• 8 fiber pairs

• Total submarine cable length:

approximately 1,172 km

• 15 repeaters along the submarine

system

Jukka-Pekka Joensuu Confidential 6 10/21/2015

Sea Lion system carries 120 Terabits/seconds

• The repeatered Sea Lion system

is designed to carry

• up 15 Tb/per fiber pair equals

to 120 Terabits/seconds for

the whole system

• Using current technology the

system is capable to transport

• up to 100 wavelengths

• 100 Gb/s per wavelength

Jukka-Pekka Joensuu Confidential 7 10/21/2015

Sea Lion - shortest route from East to West

• Low latency, high quality and cyber security

• RTD

Helsinki – Frankfurt 19,36 ms

• A separate, diverse beach manhole in Rostock

• A diverse cable from BMH to backbone routes in Rostock

• Backhaul available both in Helsinki and in Rostock

Jukka-Pekka Joensuu Confidential 8 10/21/2015

Available services from the Sea Lion

• Fiber pairs (limited amount)

• Spectrums (1/3, 1/6, 1/8)

• Wavelengths

• Potential further connections:

Baltics, UK, Benelux and France,

Eastern Europe, Russia and the

planned Arctic cable

Jukka-Pekka Joensuu Confidential

Cinia and Hetzner partnership promotes the direct

connectivity and DC-to-DC market

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- German market is a very important market for Cinia

- Hetzner Online business model is a very good partnering model for Cinia

- Digital factories and high level of automization are building the winning case for the next wave of industrialisation

- SME market is playing a vital role in the Single market concept for Europe

Jukka-Pekka Joensuu Confidential

SeaLion – key dates within the next months

10 10/21/2015

• Starting date for cable laying October 12th, 2015

• Commissioning and acceptance January - February 2016

• Ready for Service estimate Q1/2016

Jukka-Pekka Joensuu Confidential 11 10/21/2015 21.10.2015 11

To Middle East and Asia

To Asia

To USA

“Global cities power the world economy”

Enabling big data, corporate customers and operators to bring connectivity and high speed services all over Europe

Establish high speed networks connecting all the major metropoles

Establish 20 Points of Presence (PoP) around Europe

To Asia

CINIA will connect

Finland to the

European Hubs and

beyond

Cinia network will extend across Europe in the future

Jukka-Pekka Joensuu Confidential

Bridging Asia and Europe with high speed networks is essential

12 10/21/2015

Aki Uljas Confidential

Jukka-Pekka Joensuu

Executive Vice President

Cinia Group Oy

+358 40 179 8855

jukka-pekka.Joensuu@cinia.fi

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