26 May Bratislava EXPO. David Hovey. C Cisco and/or its affiliates. All rights reserved.
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1 26 May 2011 Bratislava EXPO David Hovey C Cisco and/or its affiliates. All rights reserved. Cisco Public 1
2 C Cisco and/or its affiliates. All rights reserved. Cisco Public 2
3 C Cisco and/or its affiliates. All rights reserved. Cisco Public 3
4 0.95 billion registered cars in use 1.15 billion landlines 1.4 billion PCs of any kind in use 1.5 billion Credit Card holders 1.6 billion TV homes 1.8 billion Internet users 4 billion FM radio users 5.2 billion mobile phone subscriptions 3.7B unique users, 75% global per addressable capita penetration 6.8 billion people on the planet? Source : TomiAhonen C Cisco and/or its affiliates. All rights reserved. Cisco Public 4
5 C Cisco and/or its affiliates. All rights reserved. Cisco Public 5
6 More Mobile Connections Faster Mobile Speeds >465 million Devices >85Mm2m Nodes 2G>3G>4G 10-fold Speed Increase Enhanced Computing Rich Media Apps/Content Mobile Outgrows Fixed 3X Video = 61% of Traffic Mix Source: Cisco Visual Networking Index (VNI) Global Mobile Data Traffic Forecast, C Cisco and/or its affiliates. All rights reserved. Cisco Public 6
7 95+% revenue from voice Point to point business model Consumption charged Internet Voice is free Flat Internet More and more for same price 100 years of Fixed telecoms Faster and faster years of Mobile telecoms 95+% revenue from voice Consumption charged Internet Point to point business model Voice is free More and more for same price Faster and faster Flat Internet C Cisco and/or its affiliates. All rights reserved. Cisco Public 7
8 Terabytes / Month 400, , , , , , ,000 50, PB per mo 25 PB per mo 56 PB per mo 110 PB per mo 102% CAGR EB per mo 346 PB per mo Source: Cisco Visual Networking Index (VNI) Global Mobile Data Traffic Forecast, C Cisco and/or its affiliates. All rights reserved. Cisco Public 8
9 In CEE, there will be 59 million mobile-only Internet users in Source: Cisco Visual Networking Index (VNI) Global Mobile Data Traffic Forecast, C Cisco and/or 2011 its affiliates. Cisco and/or All rights its affiliates. reserved. All rights reserved. Cisco Public 9
10 (kbps) CAGR Global Global Speed All Handsets Global Speed Smartphones ,465 2,220 60% 614 1,038 1,443 1,953 2,608 3,424 4,404 34% By Region Middle East &Africa ,142 1, % Latin America ,260 91% Central &Eastern Europe ,704 2,786 89% Asia-Pacific % Western Europe ,696 2,708 3,919 5,336 64% North America ,071 1,556 2,198 2,996 3,994 41% Japan 769 1,394 2,009 2,631 3,353 4,282 5,509 32% Source: Cisco Global Internet Speed Test (GIST) results and other independent speed test findings C Cisco and/or its affiliates. All rights reserved. Cisco Public 10
11 Smartphone = 24 X (monthly basic mobile phone data traffic) Handheld Gaming Console Tablet Mobile Phone Projector = 60 X = 122 X = 300 X Laptop = 515 X Source: Cisco Visual Networking Index (VNI) Global Mobile Data Traffic Forecast, C Cisco and/or its affiliates. All rights reserved. Cisco Public 11
12 CEE 3400% Growth Growth Macro Capacity Average Macro Cell Efficiency Spectrum Source: Agilent & Cisco VNI C Cisco and/or its affiliates. All rights reserved. Cisco Public 12
13 Mobile Operators : Cisco : Cisco Partners Technical Business Operator Competitors Voice Revenues Walled Garden B2C Model Traditional Expertise 2G, 3G...Circuit Network Services Access Focus Point to Point End User Experience OTT Co-opetition Multimedia Revenues Hosted, OTT, App Store B2B2C&Vertical Markets Mobility / IP Expertise 3G, 4G, Wi-Fi, Femto IP Cloud Services Services Focus New, very different KPIs Connectivity Collectivity Collaboration C Cisco and/or its affiliates. All rights reserved. Cisco Public 13
14 Network Monetization, Optimization, and Service Velocity Broadcasters Advertisers Cloud Services Networks Client Devices Content Aggregators Application Developers Retailers Open Standards IETF, IEEE, GSMA and Others HTML, XML, IMS, XMPP, etc. C Cisco and/or its affiliates. All rights reserved. Cisco Public 14
15 Broadcasters Advertisers Cloud Services Content Aggregators Application Developers Retailers C Cisco and/or its affiliates. All rights reserved. Cisco Public 15
16 Business Tablet Rich Media Collaboration Secure & Integrated Seamless Mobility HD Video Cisco Collaboration Suite End-to-End Security Centralized Management Open Operating system (Android) Business Applications C Cisco and/or its affiliates. All rights reserved. Cisco Public 16
17 H.264 video standard High-definition 720p video Cisco TelePresence Interoperability Video Out Built-in Cameras Dual Independent Displays HDMIPort USB/Bluetooth Virtual Desktop Cisco Cius Keyboard/ Mouse C Cisco and/or its affiliates. All rights reserved. Cisco Public 17
18 Data Traffic (Cost) $ Profitability Gap Revenue (ARPU) Increase Revenue New Business Models New Services and Partnerships Reduce Costs Manage Over The Top Optimal Use of Expensive Assets Improve Experience 3-Screen Experience, Session Shifting Managed, Quality Experiences C Cisco and/or its affiliates. All rights reserved. Cisco Public 18
19 Policy Video / Data Function Integration Offload $1 Invested Saves $40 Medium Network = $800M/5yrs Enhanced Experience + Lower TCO C Cisco and/or its affiliates. All rights reserved. Cisco Public 19
20 Video B2B2C ~$250M Potential New Revenues Tiered Pricing Vertical Markets Create, control, partner C Cisco and/or its affiliates. All rights reserved. Cisco Public 20
21 C Cisco and/or its affiliates. All rights reserved. Cisco Public 21
22 Cloud Networks Clients Collaboration Connectivity Collectivity C Cisco and/or its affiliates. All rights reserved. Cisco Public 22
23 Thank you. Ďakujem vám. Visit Desktop Virtualisation Experience and introduction to Cisco CIUS session C Cisco and/or its affiliates. All rights reserved. Cisco Public 23
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