1 © Nokia Siemens Networks Document classification

The future of broadband

2 © Nokia Siemens Networks

Broadband has become utility like electricity or water

3 © Nokia Siemens Networks

Broadband is the fastest growing utility service

0

5

10

15

20

25

30

35

40

2007 2008 2009 2010 2011 2012 2013 2014 2015

An

nu

al tr

affic

(E

xa

B)

Global Mobile Traffic Forecast

NSN 2009 NSN 2011 Cisco 2010

Cisco 2011 Informa 2010 ABI 2010

By 2020

Networks needs to be

ready for 1000 fold

traffic increase of

mobile data traffic

550% more mobile

broadband phone

subscriptions:

2015: 2.3B*

*Total mobile subscriptions over 9B

4 © Nokia Siemens Networks

Independence in time, place and usage leads to unpredictability

Sudden peaks

User ContentCoreRadio

25-80% overcapacity 30-50% overcapacity

Time12am 12am

City

Suburbs

Residential

Broadband demand at

Different times, various locations

5 © Nokia Siemens Networks

Data network efficiency & increased revenues are essential

Google, Facebook

Skype are going to

dominate the voice

market

World’s largest VoIP

long-distance

carrier

“Traditional operators were

used to selling water in the

desert, such as voice

communication and SIM

cards. They need to

urgently change their

operating model. Most now

have to make up their minds

– are they network players

or not?”*

Financial reality

Network investment

5x

Data

Revenues

5x

Voice Data*Source: Roman Friedrich

(Booz & Company)

What is the right

operating model?

Voice

6 © Nokia Siemens Networks

How to make existing communication networks flexible

Self-aware

self-adapting

Inter-linked

architectureSoftware-defined

applications on

multi-purpose

hardware

Evolutionary

7 © Nokia Siemens Networks

Get your broadband whenever and wherever you needTowards 2020: 1 GB per user

Waiting for broadband

• Connection too slow?

• Better experience required?

• Pipe too small?

• New quality level needed?

Intelligent Broadband

Management

• Optimize and adapt content

and service

• Provide end-to-end Quality

of Service

• Content closer to the

customer

Bring capacity where

needed

• Unleash capacity frozen in

the network

• Dynamically provide core

and radio capacity to deliver

services and content

• Efficiently channel traffic

through the transport

network

8 © Nokia Siemens Networks

Liquid Net has an immediate business and user impact

Premium services with premium experience

Higher revenue potential of more than 50%

Superior customer experience and new revenues

Unleash up to 80% of unused baseband capacity

Up to 65% capacity gain in the cell

High OPEXsavings in the corewith• up to 80%

footprint reduction in the core

• up to 65% lower energy consumption

Up to 60% TCO savings in transport network

Enhanced capital and operational efficiency

Network following my demands instantly

Reduced risk of churn of 25% of high end smart phone users

9 © Nokia Siemens Networks

Liquid Net iconic products provenUtilize what exists - build even on multi-vendor installed base

Europe:Multi-Layer

Optimization to prepare for upcoming

demands

Europe: Network innovation with active antenna system

Europe: Extension from Radio to end-to-end

Quality of serviceEMEA: Content Delivery

Network for multinational carrier

APAC: Liquid Core into multivendor network

APAC: Towards Core virtualization

LiquidNet

10 © Nokia Siemens Networks

With Liquid Net we innovate today’s network to meet the forthcoming broadband wave

• Unleash frozen network capacity

• Fluidly adapt to meet unpredictable broadband demand

• Enhanced network capital efficiency

• Superior user experience and new revenues

11 © Nokia Siemens Networks Document classification

Thank You

For further information on Liquid Net, please

refer to Nokia Siemens Networks’ website at

www.nokiasiemensnetworks.com/liquidnet.