HJ UMAR ALI HJ ABDULLAH,ACTING CEO

NOVEMBER 2011

TELEKOM BRUNEI BERHAD

A WAY FORWARD TO THE FUTURE BUILT ON BROADBAND

(TELBRU PERSPECTIVE)

• The sole fixed-line telecommunication provider in Brunei Darussalam

• The leading service provider for Internet and Fixed Broadband services

• Also a leading service provider for leased lines and data services

• Owns 50% of B-mobile, the first third-generation or 3G cellular phone

operator in Brunei Darussalam.

• Provides a comprehensive portfolio of services that include voice, data and

internet services over fixed and wireless platforms

Fixed Line Fixed Broadband

Operator

OUR CORE BUSINESSES

Full spectrum of Fixed line and IP-based Voice services ranging

from prepaid to postpaid

Wholesales with international and local carriers and overseas

cable investment

Varieties of Fixed Broadband, Internet & Multimedia services

Various options of Data Services, such as IPLC, Local

leased circuit, VPN, etc

5

Data

Broadband

Consumer lifestyle changes is impacting fixed voice: fixed not seen as interactive mobile (privacy, SMS) used in preference to fixed social media emerging as a communication mode that doesn’t require verbal

conversation fixed viewed as a “contingency” or “back-up”

VoIP seen as one of the key drivers for falling fixed voice.

BRUNEI MARKET OVERVIEW

• Evolution of bandwidth hungry Internet applications and online contents

changes the market landscape on how user uses Internet

• Over-The-Top (OTT), P2P download and Gaming, Streaming, online interactivity &

Transaction, Social Media, etc, are some of the few drivers of these demand

• Such Paradigm shift results in surge demand for high bandwidth access, which

inherently increase the cost in providing the service to cater for such demand

Broadband

Data

BUT, DEMAND OF HIGH SPEED BROADBAND INCREASING…

SERVICE EVOLUTIONS

Modem

3GMobile

VDSL LTE

ADSL 2+

ADSL

FTTH

New services demand for higher bandwidth capacity

100mbps

1.0mbps

0.1mbps

10mbps

HOME OF THE FUTURE

Unified Communications3D HD TVHDTVInteractive TV

Digital TVInternet TVInteractive ShoppingIPTV

FTTH as THE WAY & STEP FORWARD - TO MONETISE BROADBAND & VOIP AND DRIVE TOWARDS CONVERGENCE

TO PENETRATE INTO THE VERTICAL MARKET WITH CONVERGENCE SERVICES

TO OFFER MORE VALUE TO THE MARKET WITH VALUE-ADDED BUNDLING AND PACKAGING INITIATIVES

WHAT IS FTTH?

1. Fibre-To-The-Home (FTTH) is the technology that uses fiber optic cable

instead of copper cable to deliver telephone & broadband services

2. The benefits are:

• File download and upload in second for quicker back-up or sharing and

transferring of files with others

• Faster internet browsing experience including streaming high-

definition video or contents

• Improved business services such as high definition video conferencing

• Able to support future OTT services that require high bandwidth

• To cater for Full-blown cloud computing services

• Support future National Data center

TELBRU NETWORK EVOLUTIONTELBRU NETWORK EVOLUTION

1999

RaGAM21 Nationwide SDH

network2004

NGN 2006

Metro-E (IP Based)

2011FTTH & WiMAX/LTE

OUR BACKBONE

Point-to-pointPoint-to-pointPDHPDH

Self-healing RingsSelf-healing RingsSDHSDH

Metro-EthernetMetro-Ethernet

CapacityCapacity

19951995 20002000 20082008

565Mbps 565Mbps

2.5Gbps 2.5Gbps

10Gbps 10Gbps

Seamless SwitchoverSeamless Switchover

OUR ACCESS NETWORK

ADSLUp to 8Mbps

Pre-ADSL2Mbps

Dial-up56.6kbps

ADSL2+Up to 24Mbps

FTTH75Mbps

LTE30Mbps

Paradigm Shift in Internet Paradigm Shift in Internet

application & usage behaviorapplication & usage behavior

High Technology/ Industrial Park

VideoSource

Mobile Voice & Broadband

Office Buildings

Internet

VAS server

FTTH NETWORK IN BRIEF

VOIP Gateway

Data Center

Cloud Computing

FTTH BusinessBroadband

FTTH Consumer Broadband

Residential Areas

FTTH ACCESS NETWORK

METRO-ETHERNET

100%

NATIONWIDE COVERAGE WITH MIXED TECHNOLOGY FOR A COST-EFFECTIVE REACHABILITY

CURRENT PHASE 1 - ROLL-OUT IN BRIEF

Area Madang

Homepass

Capacity14,828

Area Gadong

Homepass

Capacity14,377

Area Central

Homepass

Capacity9,778

AreaSungai

Liang

Homepass

Capacity2,565

PANAGA BEDB HOUSING

• No. of Houses – 2,000 (Occupancy as at Nov 2011 – 1,800)

• Trial period commencing 17th October 2011 until 31st January 2012

• Total no. of active users as of 18th Nov 2011 is 251 out of 272 applications

IPTV - To create product stickiness, increase ARPU, value-added

proposition, interactivity, increase broadband penetration

FTTH – POTENTIAL PRODUCTS

Video Conferencing/Video calls – Fixed mobile convergence, Fixed & Mobile video calls targeting mass marketing, Value-added proposition & increase usage & ARPU

E-Campus – Seamless internet access in a private wireless network. Targeting schools, institution, Universities and Enterprises with multiple branches

FTTH – PRODUCTS

CLOUD COMPUTING – Low CAPEX and OPEX, Data access anywhere & anytime, fast to market.

DATA CENTRE – Disaster Recovery for regional enterprises, content providers hosting, improve internet surfing experience with Internet exchange, Cloud computing platform, targeting global market

FTTH – PRODUCTS

INTERACTIVE TERMINALS – Optional terminals for video calls between mobile and fixed network. LCD screen terminal can be used for pushing advertising. Customer can have the option to receive ads with discounted month rental or free usages.

FTTH – POTENTIAL PRODUCTS

FTTH – POTENTIAL PRODUCTSE-HEALTH – Provide high bandwidth infrastructure to cater for high resolution graphic and online consultation

E-EDUCATION – To provide remote classroom and live online education

VARIOUS BUSINESS MODELS

Partnership & Bundling with

System Integrator, CCTV, IPVPN

service provider

TV & computer, Gadget and

retailer shop.

Content & Multimedia

service Provider

Application developers

Mobile Operators,

RSP, Telco, OGN

(eGovt), etc

Family Fixed & Mobile Bundling

cheaper calling for buddies Group calling

PACKAGING & PRICING CONCEPTS(CROSS-BUNDLING)

• Value propositionValue proposition

• LoyaltyLoyalty

• Increase usageIncrease usage

• Improve collectionsImprove collections

Discounted rental for bill payment on

time

Incremental discount with no. of years of patron Video calls

Basic Package $x per month

VOD $x per titleValid for 48 hours

Ala-carte Premium Channels from $x

per month

VOD Sharing with Social Network $x per title

Valid for 48 hours

PACKAGING & PRICING CONCEPTS(IPTV or OTT)

View channels across all devices

THANK YOU

TELEKOM BRUNEI BERHADNOVEMBER 2011