13 March Global Electronics Forum 2014, Singapore KDDI CORPORATION ALL RIGHTS RESERVED

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1 User-centric Services created by Connected Everything over the KDDI's multi-networks Masashi Usami General Manager R&D Strategy Division KDDI Corporation 13 March 2014 Global Electronics Forum 2014, Singapore

2 Who is KDDI? App Variety of telecom services Mobile(3G, LTE), FTTH, BWA(WiMAX) Dominant market share of Cable TV business Mobile banking business Joint venture of Bank of Tokyo-Mitsubishi UFJ and KDDI [Market Share of KDDI Group in Japan] [Mobile Banking Business] Mobile FTTH Cable TV eaccess SOFTBANK MOBILE 28% NTT docomo Others 12% NTT Group (Multi-channel) Others 53% JIBUN BANK wins Honorable Mention for Disruptive Business Model As of December 31, 2013 Source: TCA, MIC and HOSO Journal[December 2013] As of June 30, 2013 As of September 30,

3 Contents Big Change of Telecom Industry Smart devices connected to TV Smart devices connected to Automotive Smart devices connected to Sensor, Wearable Smart devices connected to e-money KDDI's concept of user-centric services over the future multi-networks 2

4 Big surge of Smart Devices and Data Traffic Total number of SmartPhones Data Traffic, G 0 LTE 2012 年 3 月 12 年 6 月 12 年 9 月 12 年 12 月 年 3 月 年 3 月 12 年 6 月 12 年 9 月 12 年 12 月 13 年 3 月 3

5 800 MHz Band LTE LTE penetration Actual Population Coverage Ratio of 800MHz Band LTE 99% at the end of March MHz width of LTE is commenced in some areas in this August Bandwidth 5MHz width or more 10MHz width or more Actual Population Coverage Ratio August % 31% Maximum DL Data Rate 37.5 Mbps 75 Mbps Enhance peak data rate 15MHz width or more 6% Mbps 20MHz width Commence in August 150 Mbps 4 4

6 Traffic distribution is uneven and not uniform, but varies greatly depending on time and locations. Accommodating traffic in pinpoints by using verious technologies and base stations, such as Pico cells, Femto cells, Wi-Fi offloading etc. Home Wi-Fi 利用促進 Residential area Ikebukuro Pico-cell at heavy traffic spots Business Area Traffic KDDI distribution CORPORATION ALL RIGHTS in100m RESERVED x 100m Shinjyuku (Mesh resolution:100m) Traffic High Low 5

7 How to cope with increasing data traffic Decrease traffic Increase Capacity Traffic Control Spectrum Bandwidth 700MHz + 800MHz + 900MHz + 1.5GHz +1.7GHz + 2.1GHz Traffic Restriction Spectrum Efficiency Traffic Offload to Multi Networks Wi-Fi FTTH Density of sites CATV 6

8 What is 3M Strategy? Multi-Use App A variety of contents and services Multi-Network Anywhere, anytime via most appropriate NW 4G LTE 3G WiMAX Wi-Fi FTTH CATV Multi-Device Using your favorite devices TV-STB Smartphone Tablet PC 7

9 Smart devices connected to TV 8

10 Cooperation of smart phone and TV User-centric system with content recommendation and automatic download to a smart phone according to the user preferences accumulated on a cloud Playback synchronized video with SNS chattering on a smart phone and transfer those to TV via DLNA by intuitive operation Screen sharing between smart phone and TV for gaming Download Video Game User Log Social EPG Cloud system 9 9

11 Technical Overview Free-viewpoint 3D Video Automatic 3D model reconstruction without a complicated calibration process forced in typical multi-camera system Photo-realistic image production from natural video sequences even for huge space like a stadium Target Application TV programs with free-viewpoint accessibility Ex.) Live streaming of soccer match from the viewpoint of favorite player 10

12 Free Viewpoint 3D Video (Demo1) 11

13 Free Viewpoint 3D Video (Demo2) 12

14 Space Reconstruction toward 2020 Immersive experience by 3D space reconstruction Telepresence to produce converged space by real scene and virtual world Technology Content production utilizing various immersive display devices Reproduction of ultra-high realistic experience with user interaction Consecutive change of audiovisual experience according to human action Vibration according to walking, etc. Telepresence Content production for immersive device Curved panel Can you see? Exciting!! Audience in stadium Friend in remote space is overlaid CAVE (Visually surround) 13

15 Smart devices connected to Automotive 14

16 Conceptual Image of Connected Vehicle Services Health &Medical support HEMS/BEMS & Ecological Control Internet Radio & Social Media Personal lifelog Bank Traffic Info & Maps PSAP, Emerg. MNG Agency & CRM/VRM Typical Mashup Applications Internet Radio / SNS Intelligent Navi&Probe Drive assist (Parking, Alert,etc.) Drive record, Diag, PAYD insurance Driver s Abnormal detection, e-call, etc. 15

17 Requirements of IVI and Smartphone IVI has these requirements to realize the concept. IVI can - load data from a smartphone. - utilize smartphone internal devices. - get smartphone's status. - be notified by a smartphone. - be personalized. 16

18 Use Case 1 Everything on Your Smartphones, Right on IVI Once IVI and your smartphone are connected to Wi-Fi, IVI automatically detects what is on your smartphone music content, places you plan to visit, etc. Discovered and Connect Search Response Request Kawagoe Toki-no-Kane Response IVI Request for the destination Set destination automatically! and Request for music Play music! Smartphone Search request Respond to the request 17

19 Use Case 2 Passenger s Smartphone as Driver s Assistant A passenger s smartphone becomes an assistant utility, while IVI shows the driver supporting information. With the utility, you can arrange the route for the driver. WebSocket connection WebSocket connection Passenger s Smartphone POI data Add destinations Send POI data Driver s Smartphone POI data Connect each devices Relay POI data to IVI IVI Set additional destinations 18

20 Smart devices connected to Sensor and Wearable 19

21 Device Cooperation using smart phone Air Conditioner : temperature setting Curtain: Color Wearable device, Fitness equipment 1)Health Care Device Cooperation - smart phone as a gateway device to accommodate multi-vendor and multi-device health care equipment Illumination:brightness TV:volume level, 3D mode 2) Portable Living Space - keeping the device setting in one s living space portable between the inside and the outside of a home G/W Server Application move Application Server Data Inside KDDI CORPORATION ALL RIGHTS Home RESERVED Outside Home 20

22 Smart Devices connected to e-money 21

23 e-money Now Train Ticket and Transit Over 70M *1 Japanese people enjoy Touch & Go e-train ticket through Felica based e-money system Retail Chain Over 180M *2 of transactions occur at two Japanese major retail chains every month Source*1:The Consumer Credit Monthly Sep 2012 Source*2:Nikkei Dec

24 To the Further Growth of e-money Ecosystem Although many e-money cards were issued in the world, the usage has been localized within a country. Interoperations are desired so that many people enjoy e-money all over the world! 5 billion *1 0.7 billion *2 Source*1: 5 billion cards sold Source*2:Sony Corporation, 706 million chips shipped 23

25 KDDI s Activities for NFC Jun,2012 NFC-based ticketing service@mae 12 Oct,2012 NFC-based boarding Pass SK Telecom demonstrated a commercial NFC service NFC&JOY with KDDI. Japan Airlines and KDDI started providing an NFC-based boarding pass JAL Touch and Go for KDDI NFC handsets. Oct,2013 Information Delivery Platform@MAE 13 Mar,2014 Korean prepaid service Chunghwa Telecom and KDDI demonstrated an NFC roaming service technology to enable travelers to keep enjoying NFC services while traveling. ebcard and KDDI will provide an NFC-based Korean prepaid service cashbee for KDDI NFC handsets. MAE:(Mobile Asia Expo) 24

26 And more Asia NFC Alliance Joint Press Release at MWC2014, Barcelona, Spain, Feb. 25,

27 More Fusion of Virtual and Real Life BigData Analysis User-centric Services created by Connected Everything over the KDDI's multi-networks \ $ 26

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