1. Digital Immigrants and Natives Driving the Future Chuck Albright Panasonic Global Communications Suite Global Communication Suite Product Management Manager

2. Ground Based GSM and 3G Communication Service Transfer of operation data Panasonic Global Communication Suite In-flight Ku-Band Communications Service High Speed Access to the Internet and transfer of operational data Global Aeronautical Mobile Satellite Service (AMSS) Broadcast TV distribution system and service GSM phone for Voice, SMS and Data Services Available as standalone on Classic, SBB or integrated with eXConnect on Ku Panasonic Airborne Television Network The GCS also provides the platform deliver the Panasonic Airborne Television Network Service:

3. Patrick Brannelly’s Opening Remarks at WAEA Connectivity SFW in Los Angeles, March 2010 Finding a way to bring in-flight connectivity to passengers is ultimately necessary for carriers, according to Brannelly. "Changes are coming. We're not going to stop it. We have to be thinking much further ahead." "The world, our customer base, is becoming mobile in their communications needs. [They are] always on, 24/7. We need to be ready as a group to serve them.“ Everyone has that moment when they realize technology has changed the world

4. My Story—The Good Ol’ Days Folsom Field Sept 1989—Rolling Stones Concert

5. The New World Soldier Field Sept 2007—Rolling Stones Concert

6. The free iPhone app, Virtual Zippo Lighter, has been downloaded over three million times since its debut last October, Zippo and Moderati have announced. The feat makes it one of the most popular and prevalent branded applications in the App Store’s history, according to the duo. http://news.softpedia.com/news/Virtual-Zippo-Lighter-for-iPhone- Downloaded-3-Million-Times-108140.shtml Today

7. Two Groups (Personas) –Digital Immigrants Individuals who have Adopted Technology Want to be Connected On-demand –Digital Natives Individuals who have been RAISED on Technology REQUIRES to be “Always On Connectivity” Connectivity is now a Part of Life Consumer Communication Needs are Transitioning

8. Vital Information: 25 years old M.S. in Bio Chemistry Works at a Seattle Biotech Co. Her Favorite Things: Talking to her boyfriend Facebook Shopping on line Watching Cable News or Sports SMS Messaging Karen’s Stats: Most SMSs in 1 month: 10,034 Highest monthly Mobile bill: $425 Average # of Amazon orders: 2.5/week Cable News or Sports constantly on in background Karen’s Story—The Future Market

9. How Karen Stays Connected

10. Karen is the New Market Karen is a Digital Native Karen Wants to Always Be Connected

11. Digital Natives require more than email and web surfing Methods for communication, connectivity and associated applications are exploding. Demands for services and access to information is the same at home, work, holiday, and from anywhere. Lifestyle on the ground = lifestyle in flight. Technology trends on the ground drive technology trends in flight. Bandwidth is no longer the constraint. The Karens’ of the world are defining our future.

12. Developments in Mobile Broadband—Steaming Content is Growing

13. Content Viewing Preferences—Viewers more discriminating in what they watch; not just watching what’s on http://www.retrevo.com/content/blog/2010/04/internet-killing-cable-tv How much TV watched on Internet/online? 83% vs. 64%

14. What Do People Want—TV and AVOD are Complimentary

15. What Do Consumers Want? Ability to choose –AVOD –Real Time TV –Internet –GSM Phones Bundled and integrated services Just in Time Services—The world has a “now” culture

16. What Content? Day 0 (Live) Day 30(ish) (Traditional IFE) Content Value Just In Time Time Day 1 – 29 Early window content Short Subject Documentaries, Dramas, Sitcoms

17. Panasonic Airborne Television Network Quality Programming 7 – 8 Core Channels Major Networks Currently Signed- up or in final negotiations – BBC World News – Al Jazeera – Bloomberg – EuroNews – France24 – NHK World Premium Scalable System capacity to grow channel line-up Regional Programming available given market demand

18. In-Flight Television: Panasonic’s Approach Leverage eXConnect Network –Global distribution capability –Transoceanic coverage In-Flight specific content licensing Same Content security (encryption) as for PAC IFE systems Conditional Access for aircraft specific subscription management

19. Coverage Areas Television service possible anywhere data service is provided –Business decision as to whether to provide service in a given region

20. GSM / GPRS network Access through mobile phone and smartphone (iPhone, Blackberry), laptop with GSM/GPRS card Voice calls, texting (SMS), e-mail and limited web-browsing (GPRS) WiFi or wired IP network Access through WiFi device (laptop or WiFi PDA), Ethernet cable at seat, or seatback IFE “Live “ Internet Web browsing, VPN support, VOIP, Video-conferencing, IPTV Real Time TV—Part of the Bundled Solution

21. Future Developments On-Board Advertisement Insertion –Advertising “Spots” in broadcast TV feed negotiated with Content Providers –Local/Regional Advertisements/Commercials inserted over ads in native stream –Enables airline specific ad sales PATN Custom Produced Content –Live Sporting Events

22. Panasonic’s View on Real Time Television Not a substitute or replacement for stored video content –Exception is Continental US Domestic Fleets Live Satellite Delivery only justified for a limited set of content –Only highly perishable, transient content –News, Sports, Weather, Financials, and Special Events Live Satellite Delivery complements traditional IFE, and other Communications Services –Provides distribution channel for content not currently served well in IFE

23. Karen is happy when she is connected