1. ===!"§ Deutsche Telekom Deutsche Telekom AG Zentralbereich Innovation Language Technology as a Motor for Innovation Language Technology at Deutsche Telekom May 2004

2. Page 1 Approach towards Innovation The last mile is wherever our customer is - today, many different technologies co-exist…... in the office. WLAN WiMax DVB... UMTS GPRS GSM... WLAN WiMax DVB... example Ethernet DSL WLAN WiMax...... travelling... At home... PSTN DSL Ethernet FTTH... … thus, integration and creation of seamless customer experience is key.

3. Page 2 Clear needs structure Seven central needs drive human communication IndividualityPleasure ProductivityBelonging Comfort Security Information Source: Zukunftsinstitut, Z_Punkt, various sources at TZD

4. Page 3 Complex communication patterns Peoples private and working worlds and subsequently communication patterns increasingly complex At work At home Out-and-about In free time Coordination with partner Coordination with colleagues Coordination of appointment with workmen Meetings with friends Tailback of tasks to be completed Increasing mobility Less time New life-working hours models Reorganization of families Singularization Knowledge society Erosion of family Information overload Economic crisis Profiling consumption Pleasure society Social insecurity

5. Page 4 Customer Situations/ locations Actual state of fulfilment of needs Congruence between demands and framework parameters not optimal at present Applications

6. Page 5 More efficient fulfilment of needs More complex lifestyles require more customer-focused and individualized ITC solutions Infrastructure development Applications Customer Situations/ locations Integrated Communication Intuitive usability Integrated communication

7. Page 6 Completeness Focus areas cover the entire ITC spectrum and relate directly to the basic communication drivers Intuitive Usability Integrated Communication Intelligent Access Infrastructure Development Network infrastructure Device Application User ITC spectrum Productivity Security Individuality Information Belonging Comfort Pleasure Communication drivers Focus areas Segment-specific definition 4i

8. Page 7 R&D Projects Focus Areas Enablers INTELLLIGENT ACCESS INTEGRATED COMMUNICATION INFRA- STRUCTURE DEVELOPMENT INTUITIVE USABILITY Selection of Enablers based on required capabilities in the Focus Areas Overarching AAA Enhanced user interfaces Multi-access service platform Broadband wireless access Tracking and tracing Pervasive computing Next-generation-network/GSN ZB I supports the realization of the focus areas through selected enablers. Voice Relevance

9. Page 8 Applications & Services Application Area Services / Features Voice technology enables different application scenarios and services. Telephone Services Information Services Messaging Operator Services Enterprise Telephony Mobile Commerce Security Services Voice-activated dialing, Voice commands Voice Portals, Wireless Web, Telematics Voice-activated voice mail, email and unified messaging Concierge services, Intelligentes Freizeichen Call centers, CRM Voice enabled event notification, Mobile transactions Speaker verification, Biometrics Enablers Text-to-Speech Speaker Verification Natural Language Understanding Automatic Speech Recognition

10. Page 9 AAA is relevant for offering services in the prioritized business fields Broadband wireless access Multi access service platform Overarching AAA Enhanced user interfaces Tracking and tracing Pervasive computing Seamless backbone eHealthTelematicsMobile officeTelehomeeGovernment Generic consumer Generic business Identification of patient with electronical medical report (authenti- cation) with smart card Authorization of pharmacy to create ePrescription Authentication via fingerprint for entertain- ment down- loads at destinations Fingerprint authentication for access to company ERP information Authentication for each inhabitant for special services (e.g.,, access to video on demand) Authentication of citizen for administration purposes eVote, eMarriage Authorization to search in libraries Replacement of physical ID Voice recogni- tion for checking voicemail box (authenti- cation) Voice Trust Center for automation of password reset Fingerprint authorization for the execution of banking/ payment transactions Authorization logic for entering high security areas Market potential for Eastern and Western Europe of prioritized business fields 2007 EUR billions Enabling market access to... VoiceIdent: Importance of AAA EXAMPLES 37,9 47,4 n/a

11. Page 10 Build upon the current customer base and make the step-up to an overarching Trust Center that enables: Secure transactions Easy service access Standardized payment and billing solutions Aspiration Current situation DT Group currently authenticates more than 80 million customers via Pot and SIM Card DT Group has access to relevant information for authorization about customers, e.g. payment behavior, customer preferences etc. DT Group sends out more than 80 million bills per month DT Group has a payment relation to over 40 million households in Germany Authentication Authorization Accounting DT Group is participating (technically) in nearly all electronic transactions in Germany DT Group is natural owner of a Trust Center. Source:Team Biometric Trust Center

12. Page 11 Biometrics Various technologies for authentication. Palm print Veins Hand geometry Signature Retina Dynamics of typing IrisFingerprint Face recognition Shape of ear DNA Thermo- pictures Walk Biometric Technologies Voice

13. Page 12 CeBIT 2004 demonstrator was nominated as for Best of CeBIT Award Project was successfully based on Telekom patent (for authentication based on voice print and CLI) 4 new patents have been submitted Communication on patent handling in MyTeamNet VoiceIdent @ CeBIT 2004 Successful Proof of Concept.

14. Page 13 timeline VoiceIdent Use what you sell – VoiceIdent first deployed Telekom-internally, subsequently e.g. for external call center, finally for other types of voice applications. complexity Use what you sell: VoiceIdent used for password reset within Deutsche Telekom Subsequently, VoiceIdent is used for other call center automations July/2004January/2005July/2005January/2006July/2006January/2007 VoiceIdent deployed for automation of external call centers with password reset being the initial application VoiceIdent used for Deutsche Telekom services (T-Netbox, Rechnung Online, ISDN configuration etc.) VoiceIdent - Phase 2 [VoiceIdent] Wide range of Deutsche Telekom and 3 rd party voice applications enabled by VoiceIdent (payment etc.) [VoiceIdent] VoiceIdent – Next Steps

15. Page 14 Voice is an important part of communication, but not the only one. Different Perspective Man kann nicht nicht kommunizieren. Beispiel 3D Displays Nano-Schalter Nano-Sensoren Virtual keyboards Augen-Maus Emotions-Erkennung 3D Drucker RFID-Tags

16. Page 15 Backup

17. Page 16 Customer Behavior and Needs In-depth understanding of drivers behind trends are used for business case evaluation of enablers and disruptive technologies. Drivers of Beha- viors & Needs Afforda- bility Requirement to act Impact on DT high low limited strong Evaluation for prioritized analysis Conveni- ence Convenience Technical Ability Mobility Time Budget Efficiency Support Belonging / Peer Pressure Affordability Margin / Scale.. Trend Clusters Behaviors & Needs Aging, Health Fitness Singling Personal Rewarding Mediatization Servicing Specialization Knowledge Workers Financial Pressure.. Technical Ability Mobility Time Budget Efficiency Support Belonging Margin / Scale..

18. Page 17 Desire for Comfort Productivity Focus area: Intuitive Usability Simplify your life Applications must be easy to operate for all users of a target group. Intuitive operation of products and services generates greater efficiency and effectiveness. Acquisition of larger customer groups for more complicated products and services as well (design for all). Voice authentication instead of password Service control by way of natural speech Individualized dialog systems Programming of settings is often cryptic at present Authentication is usually done with a password or by entering a PIN Input: *67# Hello Ms. Müller, how can I help you? Hello! Today Tomorrow

19. Page 18 Focus area : Intelligent Access Always best connected Technology must ensure the optimal connection in every situation without any help from the user. There are no limits to accessibility and communication. Services are available via different devices and networks according to each situation. Seamless handover Best quality available Provision of necessary bandwidth in each case User must dial explicitly into a specific network via a device Often necessary to dial into a new network when location changes Today Tomorrow GPRS ISDN UMTS DVB-T W-LAN ISDN Desire for Comfort Belonging Productivity Security

20. Page 19 Focus area: Integrated Communication Everything talks Networked applications must satisfy individual needs increasingly independently. Today Tomorrow Direct communication from machine to machine relieves the user and makes processes more effective. Context-sensitive and personalized products and services generate higher added value. Everday objects will be intelligent Networking of all objects and devices New forms of communication and interaction Intelligent applications by way of spontaneous networking Stand-alone devices in private sphere Desire for Information Comfort Belonging Productivity Security Pleasure Individuality

21. Page 20 IP network Focus area: Infrastructure Development High quality at reasonable cost The cost/benefit ratio of production systems must be optimized. Today Tomorrow Optimization of the infrastructure has priority for Deutsche Telekom. More efficient production systems enable higher bandwidths and better quality without increased costs. Simplified and unform core network Equal treatment of voice and data in core network Network convergence reduces costs and increases quality, e.g. lower supply times Parallel networks currently exist (PSTN, IP network,...) Service-specific growth Corporate network IP-Netz Desire for Productivity PSTN ISDN

22. Page 21 Project description: German Version VoiceIdent:06151-4283-121 English Version VoiceIdent:06151-4283-122 German Version VoiceIdent + Ring tone download:06151-4283-123 Demo