Author: Ingelin Olsen Content Strategy- mission and vision Functionality Demo Summary

Author: Ingelin Olsen Mobile Commerce and the value chain Challenge: –Prices on air time is decreasing –Deregulating from authorities, allowing virtual network operators (Operators that offers full range of telecom services based on traffic routing through existing GSM networks) –IP technology and GSM technology - (WAP) together with a deregulated marked of bearer services allows “VAS- operators” Meet the challenge: –Focus on value added services and Mobile commerce as one of the “corner stones” –Focus on the brand name Telenor and build a strong portal for value added services –New income streams based on revenue sharing from 3. Party content provider (Commissions etc)

Author: Ingelin Olsen Telenor Shall own the store in the pocket How shall we accomplish? –Be a context provider –Untraditional alliances –Customer target group

Author: Ingelin Olsen Context Provider (1) Shopping center Entrepeneure- building owner Electrisity Security services Information services Common online banking services etc

Author: Ingelin Olsen Shopping center Operator Entrepeneure- building owner Electrisity Security services Information services Common online banking services etc Bearer services Security Payment mechanisms Customer support User interface- Customer recognition Service development environment which enables deployment of services from 3. Party content providers

Author: Ingelin Olsen Context Provider (2) The operator is an enabler. The content provider “owns” the service Joint marketing efforts Slogan “ Powered by Telenor Mobil” - Launched a cinema services after this model

Author: Ingelin Olsen Untraditional alliances Content providers which hold top of mind brands Software houses on Internet Bank and financial institutions Internet stores

Author: Ingelin Olsen Customer target group Start out with the focus on ages between years. Use a pivot strategy for new applications, hence expanding the customer target group. Our market research shows: –Our customers are tired of “Infotainment” services, they want real use. –70 % of our customers claims they are willing to buy a new handset to get access to more advances services. –Telenor is perceived as a reliable, and the most likely supplier of mobile commerce services in the Norwegian market. –They are not very price sensitive if the service is of real value to them.

Author: Ingelin Olsen Telenor’s first commerce service Developed in close co-operation with Ericsson AS Our customers will see two applications: –Mobile Wallet –Movie ticket application Our customers can from the mobile phone link onto the internet site of the Norwegian cinemas and browse for information and purchase tickets. Through the service development, Telenor/Ericsson have developed a platform for mobile e-commerce allowing purchases from any store on internet.

Author: Ingelin Olsen An overview: Mobile commerce system Content Provider Financial Institution User Service Administration Merchant

Author: Ingelin Olsen Functionality  When on Internet: Pay with you GSM phone as an option in one of your menus on Internet. The menu option activates the mobile wallet on your phone, hence converting the mobile phone to an advanced smart card reader.  When wireless. A Pico browser implemented on the SIM card with a server component connected to Internet brings a predefined set of business logic form the Internet site to the mobile phone. Attached to the Internet site’s own business logic, the site need to implement an interface to the mobile wallet, so the end user can purchase products from the Internet site via the mobile phone.  The GSM network offers a natural push mechanism, which is very powerful. Combined with an Internet page, the customer subscribes to information of particular interest, and while wireless he or she gets a notice on the mobile when the information they have been waiting for is available. When we bring Internet to the mobile, we also give the end user the possibility to act on these push mechanism, for example an offer to purchase or reserve on special offers while being “on the move “

Author: Ingelin Olsen Technology Mobile Terminal Presentation Mediation Commerce Server OA&M Module Cinema Content Module Commerce Server Access Module Content Access Module User Module MEC -Enabled Merchant on Internet Existing Merchant Systems Payment Server Billing Gateway

Author: Ingelin Olsen Demo Order seats: Pay for your tickets:

Author: Ingelin Olsen Summary Strong believe in business opportunities for Mobile Electronic Commerce. High Internet and Mobile penetration in Norway. Our customers don’t care about the enabling technology, but the offer of useful services to them. Hence, SIM Toolkit is an important technology for us. It serves as ”proof of concept” Platform migration to WAP is a natural next move, but the mobile wallet will reside within the SIM card due to security and preventing fraud. Necessary enabling technologies are both SIM Toolkit and WAP. Crucial to focus on 3. Party alliances to build this new market. In particular content providers with the ”best” brands Focus on service development that gives true value to the customer in a MOBILE situation.

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