Deutsche Telekom Ag · XETR:DTE
Deutsche Telekom — Investor Presentation (March 2016)
69 slides from Deutsche Telekom's investor presentation, March 2016
Slide 1: Deutsche Telekom Company Presentation
DEUTSCHE TELEKOM COMPANY PRESENTATION
Slide 2: Overview
DEUTSCHE TELEKOM COMPANY PRESENTATION OVERVIEW 01 Deutsche Telekom 02 Strategy & Transformation 03 Network, Products & Innovation 04 Service & Brand 2
Slide 3: Deutsche Telekom Profile
DEUTSCHE TELEKOM PROFILE Customers & Markets Facts & Figures Customers Markets Telekom in figures, 2015 Employees & responsibility Present in 50 countries Revenue € 69.2 bn Employees worldwide: 225,000 156 m mobile customers 8,600 trainees and cooperative 29 m fixed-network customers/ Ge
Slide 4: Facts & Figures: Germany
GERMANY 40 million mobile customers € 22.4 billion revenue Biggest (V) DSL provider in Germany € 8.8 billion EBITDA 12.6 million broadband lines 68,638 employees 2.7 million IPTV customers incl. satellite 110,354 employees in Germany overall Financial figures taken from DT's 2015 annual report DEUTS
Slide 5: Europe & United States
Europe & United states Europe: Present in 13 countries 52.2 million mobile customers 5 million broadband lines T-Mobile US: 3.9 million IPTV, satellite, cable customers 63.3 million mobile customers iPhone in all European markets USD 32.07 million revenue € 12.7 billion revenue USD 7.36 million EBIT
Slide 6: T-Systems
T-SYSTEMS Information technology and telecommunications services in all industries: automotive, finance, transport, retail & public sector € 8.6 billion revenue Pioneer in cloud computing € 0.8 billion EBITDA Corporate customers, multinational corporations & public sector 46,000 employees Financial
Slide 7: How We See Ourselves
HOW WE SEE OURSELVES WHAT CONNECTS US. It is in our nature to seek the company of others: humans need this interaction in Our network is an artery pumping life: fast, reliable and secure. order to move forward. Sharing fosters closeness. It is the very reason we choose to It provides easy access to
Slide 8: We take responsibility
We take responsibility Data privacy Diversity Sponsorship Leading role in data privacy & data security Leading role in societal and diversity-related issues Commitment to culture & sport Data Privacy Report & Pioneer as first to introduce Group-wide Amateur & professional sports Security on th
Slide 9: We take responsibility: Corporate Responsibility
We take responsibility CORPORATE RESPONSIBILITY Sustainability & social engagement Groundbreaking projects Environmental and climate protection Group climate protection target: E.g., CO2 reduction, efficient use of resources, 20% less CO2 by 2020 sustainable mobility Social engagement & stakeholde
Slide 10: Our Guiding Principles
OUR GUIDING PRINCIPLES Customer delight and Respect and integrity Team together – Best place to perform I am T – simplicity drive our guide our behaviour Team apart and grow count on me action DEUTSCHE TELEKOM StrategY & Transformation Network, Products & INNOVATION Service & BRAND 10 Guiding Princi
Slide 11: Overview
DEUTSCHE TELEKOM COMPANY PRESENTATION OVERVIEW 01 Deutsche Telekom 02 Strategy & Transformation 03 Network, Products & Innovation 04 Service & Brand 11
Slide 12: Changing industry's paradigms
Changing industry’s paradigms internet of things virtualization data analytics convergence digitization self-service sharing bandwidth modularization mix and match All-IP softwarization individualization coverage reliability apps convenience hybrid networks synchronity LTE stability simplicity open
Slide 13: Customer trends
Customer trends sharing in a connected world LTE WLAN FIBRE Phone by Apple Seamless connectivity Contract by Telekom Individual Telekom.de LTE 16:45 38 % HYBRID mix & match 25 different apps1 Sharing is the new having Appification: one use case, one app Intuitive and simple interfaces – mobile
Slide 14: Technology trends
Technology trends convergence & virtualization SOFTWARIZATION VIRTUALIZATION CONVERGENCE DATA ANALYTICS Software defined networks Network function virtualization Hybrid Modern in-memory platform Service Programming Service A Service B Fixed net for Transact & analyze data in real-time base load
Slide 15: Business model trends
Business model trends OTT disruption TELCO BUSINESS MODEL OTT BUSINESS MODEL Asset-heavy Asset-light network invest portfolio extension 5 5 Usage-based Ad-based monetization monetization Open Closed 4 platforms 1 PREMIUM FREEMIUM 1 platforms 4 SERVICE SERVICE Interoperable De-facto standards DISRUPT
Slide 16: We fight for control over our value points
We fight for control over our value points Customer relationships dominated through app Virtualized access Telco service Retailization of device and content stores, OTT Infrastructure projects through eSIM substitution distribution enforced by eSIM payment solutions and online service moves Access e
Slide 17: Our strategy
Our strategy LEADING EUROPEAN TELCO BEST INTEGRATED WIN WITH LEAD IN CUSTOMER IP NETWORKS PARTNERS BUSINESS EXPERIENCE TRANSFORM PORTFOLIO EVOLVE FINANCIAL TARGETS & EFFICIENCY ENCOURAGE LEADERSHIP & PERFORMANCE DEVELOPMENT DEUTSCHE TELEKOM StrategY & Transformation Network, Products & INNOVATION Se
Slide 18: Our core beliefs
Our core beliefs WE ARE THE TRUSTED PARTNER FOR OUR CUSTOMERS We relentlessly strive for delivering the best customer experience Our products make “life is for sharing” simple, reliable and secure Our networks provide best seamless connectivity Sales and service processes go digital, omni-chan
Slide 19: Our seamless high performing network
Our seamless high performing network TECHNOLOGY LEADERSHIP SUPERIOR SPEED AND COVERAGE – SEAMLESS ACCESS We push a highly competitive fiber based infrastructure and at the same Target picture: Integrated time stick to our capex envelope! 95% LTE pop-coverage1 in 2018 with up to 300 Mbps Fiber ho
Slide 20: Our superior production model
Our superior production model DIGITAL TRANSFORMATION OF CUSTOMER FACING PROCESSES COST EFFICIENCY & SIMPLICITY ALL-IP-TRANSFORMATION PAN-EUROPEAN NETWORK INTEGRATED NETWORK STRATEGY PSTN migration 1 LTE roll-out in all NatCos 2 Optical fiber 3 Vectoring Centralized, virtualized architecture and 4 Hy
Slide 21: Our integrated customer proposition
Our integrated Customer proposition Mobile Internet L S M SERVICE DSL CLOUD KOMMUNI- KATION L Access S M ER ENTER- LEBEN TAINMENT Product world in silos SICHERHEIT Every tariff element to be booked separately Simplified tariff scheme Convergent portfolio, also beyond Data as key differenti
Slide 22: Partnering strengthens our customer proposition
Partnering strengthens our customer proposition WIN-WIN-WIN THROUGH PARTNERING ACHIEVEMENTS AND AMBITION OF PARTNERING 6 CUSTOMERS 2.3 One-stop shopping Subscriber (mn.) Integrated proposition 2014 2018 Best digital products 300 100 Revenue (€ mn.) 2014 2018 PARTNER DT 6 Product reach Plat
Slide 23: Open & interoperable platforms
open & interoperable platforms INDUSTRIAL INTERNET EXAMPLE: CONNECTED CAR Pure Data Platform Car Industry Secure Smart Data fuels the next industrial revolution: Connect. Mgmt. Services Solutions Autocloud Lot sizes of 1 Data-driven services (context & 3rd party data) Autonomous robots Real-
Slide 24: Innovation drives future differentiation
Innovation drives future differentiation INTEGRATED BEST CUSTOMER WIN LEAD IN IP NETWORKS EXPERIENCE WITH PARTNERS BUSINESS INNOVATION @ DT ... PAN-Net/NG-/All-IP Communication “Steckerleiste” M2M ... is leading edge: e.g. Hybrid, QoS Security Strategic Partners Cloud Super-Vectoring, Qivicon Hybr
Slide 25: Europe's most valuable and most reliable telecommunications brand
Europe’s most valuable and most reliable telecommunications brand MOST TRUSTED BRAND FOR INTERNET AND MOBILE COMMUNICATIONS1 Most valuable brand 46 among European telcos 24 24 21 21 19 18 17 15 9 8 Most trusted brand for Internet and mobile communications Source: Institut für Demoskopie Allensbach,
Slide 26: Regulation must keep pace with reality
Regulation must keep pace with reality Revenue Scalability Adjust regulatory frameworks to reinvigorate Access Devices Services User experience Enable economies of scale to yield dynamic industry growth efficiency gains Review pricing regulation Promote market consolidation Allow quality diffe
Slide 27: We follow a clear portfolio strategy
We follow a clear portfolio strategy ACHIEVEMENTS M&A POLICY GOING FORWARD Strategic solution: building FMC market leader 1 Europa Premium valuation: £12.5 bn EV Selective and minor FMC/ICT acquisitions in our core integrated Upside via participation in synergies markets, but only for attrac
Slide 28: We reduce our indirect cost ex TMUS
We reduce our indirect cost ex TMUS “VARIABILIZATION OF COST” (EX US) … … DRIVEN BY REVENUE GROWTH AND INDIRECT COST REDUCTION Share of direct and indirect1 cost (ex US) € bn -€0.8 bn CAGR ≈ 1-2% 10.4 driven by revenue growth -€0.4 bn Ambition €-1.8 bn ≈ indirect cost1 reduction -€0.5 bn 67% 65% 61%
Slide 29: The best team puts our strategy in action
The best team puts our strategy in action LEADING EUROPEAN TELCO More… Leadership …collaborate, innovate and empower to perform. Live new leadership culture Diversity …international mindset. Foster international job rotation Responsibility …clear leadership and ownership. Ensure clear end-to-end res
Slide 30: Operational and financial priorities per segment
Operational and financial priorities per segment GERMANY EUROPE USA T-SYSTEMS MU Superior All-IP production model First to move to pan-European All- Un-carrier strategy: TSI 2015+ Execution and INS rollout! IP production model 2.2–3.2 mn branded postpaid No. 1 choice for customers via
Slide 31: Overview
DEUTSCHE TELEKOM COMPANY PRESENTATION OVERVIEW 01 Deutsche Telekom 02 Strategy & Transformation 03 Network, Products & Innovation 04 Service & Brand 31
Slide 32: Integrated IP Networks
INTEGRATED IP NETWORKS All-IP Transformation Pan-European Network Integrated network strategy 1 LTE rollout 2 Fiber 3 Vectoring 4 Hybrid Access PAN NET LTE Device Hybrid DSL Shift to IP-Platform until 2018 DT Technology leader Build out of modern infrastructures: European production LTE, Fib
Slide 33: Integrated Network Strategy: Infrastructure
INTEGRATED NETWORK STRATEGY Infrastructure LTE Roll-Out Optical Fiber D: 95% LTE PoP-coverage1 in 2018 D: Glass Fiber household footprint of 1 LTE Roll-Out with up to 300 MBit/s ≈ 80% in 2018 with at least 50 MBit/s EU: 75 – 95%2 LTE-PoP-coverage depending on regulatory adjustments + in 2018 w
Slide 34: Best Network & Network Build-out in Germany
BEST NETWORK & NETWORK BUILD-OUT IN GERMANY Example Germany Leader in broadband quality for mobile and fixed network Innovative products Biggest bandwidths Best network coverage AWARDS For the fives time in succession: Telekom wins the major CHIP network test Connect network test: top po
Slide 35: Best Network Europe
BEST Network EuropE Facts Europe Network coverage 12 Countries LTE in all markets (AMC 2015) LTE coverage Testing LTE Advanced Fibre, Vectoring and Hybrid as Network-Booster 2018: 75 – 95% Europe first IP-Network in Mazedonia and DT worldwide first company with Europe wide IP-network Terastrea
Slide 36: Products & Services
PRODUCTS & SERVICES Consumers Business customers Innovation & Partner Services Cutting-edge mobile communications and Information & communication Partner for infrastructure access broadband experience technology (ICT) solutions and network services TV Outsourcing & cloud services Platfor
Slide 37: Products & Services: Consumers
PRODUcts & services consumers Cutting-edge broadband and mobile communications experience WiFi Mobile Hybrid router communications/ Optical fiber/VDSL mobile Internet IP telephony Communication Innovative Entertainment services services Smart Home DEUTSCHE TELEKOM StrategY & Transformation Network,
Slide 38: Products & Services Consumers: MagentaONE
PRODUcts & services consumers EXAMPLE: GERMANY Service Cloud Communi- Cation MagentaONE Living Entertain- ment Magenta Magenta Home Mobil DEUTSCHE TELEKOM StrategY & Transformation Network, Products & INNOVATION Service & BRAND 38 Products: MagentaONE
Slide 39: Entertainment: (IP)TV and Entertainment Services
Entertainment (IP)TV aND ENTERTAINMENT-services (IP) TV Entertainment-Services Music streaming via Spotify Unlimited music streaming with more than 30 million songs available Deutsche Telekom footprint anywhere over smartphone, tablet, or PC Deutsche Telekom footprint with (IP)TV service Int
Slide 40: Communication Services: Cloud, Security, E-mail
COMMunication Services CLOUD, Security, E-mail Telekom Cloud Security DE-MAIL Photos, videos and music whenever, wherever Telekom Security Package: Secure/legally binding e-mail “from the cloud” Security everywhere – reliable protection against ”No letter, but signed and sealed“ Deutsche T
Slide 41: Smart Home
SMART HOME Smart Home – Home control on the move Control the entire house with Smart Home via a smartphone app and save money as you do so. Enjoy the feeling of having everything under control: Demand-based heating – no more cold homes Start washing machines and other appliances when on the move
Slide 42: Products & Services for Business Customers and Intelligent Network Solutions
PRODUCTS & SERVICES FOR BUSINESS CUSTOMERS AND INTELLIGENT NETWORK SOLUTIONS Information & communication technology (ICT) solutions Intelligent network solutions ICT EXPERTISE & Dynamic it access Automotive Cloud Portfolio (cloud computing) Collaboration Mobile enterprise Energy Health care (cloud s
Slide 43: T-Systems – performance
T-Systems – performance Industry expertise IT & Telecoms expertise Pioneer in cloud computing Manages 70% of the top 100 companies in all Integration of IT and telecoms: ICT delivery T-Systems has offered solutions via industries across Germany management, E2E monitoring and E2E SLA, dynamic p
Slide 44: Zero Distance presents new challenges for all decision-makers
Zero Distance presents new challenges for all decision-makers Drive innovation Customer expectations User expectations The shop comes to the customer Fast access The customer builds the product Intuitive usability The product talks, the crowd acts Users & business areas buy IT Keep the E
Slide 45: Zero Distance calls for transformation of ICT
Zero Distance calls for transformation of ICT Transformation toward Cloud & Big Data Collaboration Mobile Business intelligence Collaborative workplace structures BYOD Harmonization of IT-systems Interaction with customers and partners Management of mobile devices & apps Multi-cloud ma
Slide 46: Migrating infrastructure to the cloud
MIGRATING INFRASTRUCTURE to the cloud Business requirement CIO Challenge Manage millions Data analysis and utilization of end customers instead (big data) of 100 retailers! Data privacy Highly flexible, reliable infrastructure (cloud) Billing Compliance Differentiation Faster provisioning of n
Slide 47: Dynamic IT access (Cloud Computing)
Dynamic IT access (Cloud Computing) What is truly important Security Reliability Transformation Flexibility Data is governed by German data Fail-safety (24/7 availability) Optimization of networks, servers Parallel use of private and protection regulations Access from anywhere must be and
Slide 48: Dynamic IT access (Cloud Computing) References
Dynamic IT ACCESS (Cloud Computing) ReferenCeS Security Reliability Transformation Flexibility Cloud business collaboration platform Transformation towards a high Consolidation of business-critical Big hybrid public and private cloud Maximum security and compliance availability cloud IT services
Slide 49: Transform Collaboration
TRANSFORM Collaboration Business requirement CIO Challenge Where do your Collaboration tools with social Employees share large files? media features available globally Dropbox? (dynamic workplace) Knowledge transfer Integration of social media into Sharing instead core applications of sending
Slide 50: Collaboration Global Examples
COLLABORATION GLOBAL EXAMPLES Shell Automotive Industry Barmer GEK Cloud Unified Com- Cloud Unified Com- Web, Social Archiving Access Readiness & munication & Readiness & munication & & Mobility & Content & Voice Management Collaboration Management Collaboration Enabling Management Services Solution
Slide 51: Mobile Enterprise
Mobile ENTERPRISE Business requirement CIO Challenge WHAT Services do you offer your Context-based services for customers customers on a mobile basis? mobile applications via secure connection Protect Manage extensive variety of devices mobile data and operating systems Link business apps Pr
Slide 52: Mobile Enterprise Success Stories
MOBILE ENTERPRISE SUCCESS STORIES Mobile Enterprise Services Luggage localized anywhere in the Optimization of inefficient, costly world, always arrives at its destination public citizens’ offices Administrative costs involved in Mobile information & luggage management are reduced communicat
Slide 53: Intelligent network solutions provide T-Systems customers with new business models
Intelligent network solutions provide T-Systems customers with new business models Energy Health care Connected car Services for the highly complex energy grid of Solutions for connecting doctors, patients, hospitals, Integration of cars and trucks into the Internet and the future health insurance p
Slide 54: Partner Services & Platforms
PARTNER SERVICES & PLATFORMS Platforms & partnerships for innovative services 1 2 4 3 Media distribution Connected Internet and Machine-to-machine home product partnerships communication Partner services for infrastructure BusinessMarketplace Access/voice services/ Partner for business customers net
Slide 55: Partner services for infrastructure
partner services for infrastructure Partner for infrastructure access and network services Fixed network Mobile Fixed-network and mobile products for service providers and partners Access: unbundled local loop line, Products for the conventional retail bitstream access; ”contingent model“ and di
Slide 56: Partner for Media Distribution: Tolino
PARTNER FOR MEDIa DISTRIBUTION TOLINO Tolino Vision e-Reader Partnering with the biggest book dealers in Germany Biggest collection of reading material on the market with more than 1.2 million titles In-device storage for up to 2,000 eBooks Open ecosystem Battery life of up to 7 weeks 25
Slide 57: Platform for the Connected Home: Qivicon
PLATFORM FOR THE CONNECTED HOME QIVICON Partner platform for the connected home/home automation Open and independent platform for partners Standardized solutions for flexible, easy integration of partners Success is evidenced by the more than 20 development, consulting and sales partners on bo
Slide 58: Partnering: Innovation with Partners
PARTNERING Innovation With PartnERS Digital Life- Mobile Security Cloud Music streaming Security style devices solutions DEUTSCHE TELEKOM StrategY & Transformation Network, Products & INNOVATION Service & BRAND 58 Partnering
Slide 59: M2M/Machine-to-Machine
M2M/Machine-TO-Machine Automatic Information exchange between machines/devices 1 (machines, automates, cars, container etc.) M2M solutions from a single source 2 Partner model offers wide spectrum of industry solutions 4 3 Transport and Logistics Personal Health Agricultural Daimler: connected c
Slide 60: Platform for Cloud Services: Business Marketplace
PLATFORM FOR CLOUD SERVICES BUSINESS MARKETPLACE Partner platform for cloud services for small and medium-sized enterprises Marketplace for business applications Open partner solution for software providers BusinessMarketplace Software Security Workplace Plattform Infrastructure Collaboration as
Slide 61: Innovation Vital to Our Success
INNOVATION Vital TO OUR SUCCESS Culture of innovation Promoting innovation Breaking free of the silo mentality Seeing mistakes in a positive light Start-up mentality: never Culture of openness: share and advance ideas Tolerance of “failure” and more respect for new simply accept the status quo
Slide 62: Focus on Innovation
FOCUS ON INNOVATION NEW IDEAS COME FROM IN-HOUSE DEVELOPMENTS & PARTNERS innovation: VITAL TO SUCCESS! In-house developments Partnerships & cooperation Start-up backing & shareholdings DeutschlandLAN MyPhonebook IPTV Programm Manager HomeTalk app Entertain Inflight Railne HotSpot-finder Customer Cen
Slide 63: Innovation Think Tanks
INNOVATION ”THINK TANKs“ T-Systems Digital Business Unit T-Labs Innovation Center T-Venture Hubraum Incubator Group-wide development Development and backing Integration of Investment in/venture Backing/active realization of and management of of new ideas in start-ups and customers/partners
Slide 64: Innovation Success Stories
INNOVATION SUCCESS STORIES Example: Entertain Example: mytaxi.net In-house development Advancement of business idea by Intelligent Apps GmbH IPTV market launch in 2006 Launched in 2011 Multi-functional, networked & interactive Went international in 2012 Entertain to-go: via tablet, PC
Slide 65: Overview
DEUTSCHE TELEKOM COMPANY PRESENTATION OVERVIEW 01 Deutsche Telekom 02 Strategy & Transformation 03 Network, Products & Innovation 04 Service & Brand 65
Slide 66: Best Customer Service
BEST CUSTOMER SERVICE EXAMPLE: Germany Awards for customer service Awarded regularly: TÜV technical inspection service’s ”good“ seal for customer service European Business Award: EU accolade awarded for excellence and an innovative and successful business model throughout Europe Customer service
Slide 67: Our Brand Positioning: Life Is for Sharing
UNSERE MARKENPOSITIONIERUNG ERLEBEN, WAS VERBINDET OUR BRAND POSITIONING LIFE IS FOR SHARING DEUTSCHE TELEKOM StrategY & Transformation Network, Products & INNOVATION Service & BRAND 67 Brand Positioning
Slide 68: Our Brand Positioning: Life Is for Sharing
OUR BRAND POSITIONING LIFE IS FOR SHARING International Brand Active Tv Commercials DEUTSCHE TELEKOM StrategY & Transformation Network, Products & INNOVATION Service & BRAND 68 Brand Positioning
Slide 69: Thank You!
THANK YOU! |
Deutsche Telekom — Investor Presentation (March 2016) on 6ix