Singapore Telecommunications Limited · SGX:Z74
Singapore Telecommunications — Investor Day (July 2010)
29 slides from Singapore Telecommunications's investor day presentation, Jul 5, 2010
Slide 1: Optus Investor Day: Mobile Business Overview
Optus Investor Day: Mobile Business Overview Andrew Buay MD Products & Delivery 5 July 2010
Slide 2: Forward looking statements - important note
2 Forward looking statements - important note The following presentation may contain forward looking statements by the management of SingTel Group relating to financial trends for future periods, compared to the results for previous periods. Some of the statements contained in this presentation that
Slide 3: Today
3 Today 1 Market overview 2 Recent performance 3 Future opportunities & strategy
Slide 4: Today
4 Today 1 Market overview 2 Recent performance 3 Future opportunities & strategy
Slide 5: Within the telco market, strong growth has come from mobile
5 Within the telco market, strong growth has come from mobile… TELECOMMUNICATIONS MARKET REVENUE MOBILE MARKET REVENUE 3.8% 8.8% CY08 CY09 CY08 CY09 … and is expected to continue Source: JP Morgan
Slide 6: Underpinned by leading subscriber and ARPU growth amongst developed economies
6 … underpinned by leading subscriber and ARPU growth amongst world’s developed economies CY09 SUBSCRIBER GROWTH CY09 ARPU GROWTH Italy Germany Spain UK France Australia Singapore Germany France Italy Spain UK Singapore Australia Source: Merrill Lynch and JP Morgan
Slide 7: MBB and handset data along with fixed to mobile substitution drive mobile growth
7 MBB and handset data along with fixed to mobile substitution are the key drivers of mobile market growth ~60% Due to MBB / handset data ~30% Due to fixed to mobile migration ~10% Due to new entrants Source: Optus internal analysis, carrier disclosures
Slide 8: Sustained shift from fixed to mobile for both voice and data
8 Sustained shift from fixed to mobile is happening for both voice and data SEQUENTIAL CHANGE IN MOU (MILLIONS) PSTN USAGE RAPIDLY DECLINING (8.6% 1H10 v 1H09) MOBILE ONLY HOUSEHOLDS INCREASING (approaching 8%, circa +3ppts since Dec 07) 6m June 08 6m Dec 08 6m June 09 6m Dec 09 “…Today we have one
Slide 9: Within mobile, a shift from voice to data versus international peers
9 Within mobile, we see a shift from voice to data, with strong performance versus international peers PERCENTAGE OF SERVICE REVENUE FROM DATA CY09 AUSTRALIA VS. DEVELOPED ASIA PACIFIC AUSTRALIA VS. ASIA PACIFIC, NORTH AMERICA & EUROPE Japan Australia Singapore New Zealand Korea Australia Asia Pacif
Slide 10: Australian consumers are changing their behaviour
10 It is clear that Australian consumers are changing their behaviour Overall average Mobile phone services used: smartphones vs all mobile phones Smartphone users Make & 83 Check 17 receive calls Check email 17 48 96 Browse websites/email internet 15 48 Send & 80 surfing 43 receive SMS 94 Browse Vi
Slide 11: New more capable devices are rapidly evolving and penetrating our customer base
11 New more capable devices are also rapidly evolving and penetrating our customer base
Slide 12: Mobile networks are also developing rapidly to improve customer experience
12 Mobile networks are also developing rapidly to improve customer experience MOBILE NETWORK DEVELOPMENT 100 / 40Mbps Actual Customer 50 / 20Mbps Experience 42 / 11Mbps > 15 Mbps 21 / 5Mbps 10-12 Mbps 7.2 / 2.0Mbps 8 Mbps 5 Mbps 3 Mbps Latency (Delay) Optus LTE trial HSPA HSPA+ LTE underway
Slide 13: Application innovations are increasingly focused on mobile platforms
13 With more capable devices and networks, application innovations are increasingly focused on mobile platforms NEW APPLICATIONS EMERGING TAKING EXISTING SERVICES TRANSITION TO MOBILE ADVANTAGE OF THE MOBILE ENVIRONMENT “…25% of all Facebook usage is mobile…”
Slide 14: Layar video
14 Layar video
Slide 15: Today
15 Today 1 Market overview 2 Recent performance 3 Future opportunities & strategy
Slide 16: Service revenue growth
16 SERVICE REVENUE GROWTH 14.3% 14.3% 13.3% 11.6% 11.0% 10.9% 8.1% 5.9% 3.8% 1.7% 0.3% Sep-07 Dec-07 Mar-08 Jun-08 Sep-08 Dec-08 Mar-09 Jun-09 Sep-09 Dec-09 Mar-10
Slide 17: Strong customer acquisition momentum
17 … and underpinned by strong customer acquisition momentum MOBILE NET ADDS (000S) (Six months to) HIGHLIGHTS Prepaid Postpaid * FY10 Postpaid mobile subs 17% FY10 Total mobile subs 9% Mar-08 Sep-08 Mar-09 Sep-09 Mar-10 * Excludes 272,000 prepaid customers deactivated in the December 2009 quarter
Slide 18: Smartphone and innovative data services leadership has driven usage and ARPU uplift
18 Smartphone and innovative data services leadership has driven usage and ARPU uplift Consumer & business app stores • First Australian operator • Over 1,000 apps available at launch POSTPAID ARPU GROWTH EXCLUDING MBB Q1FY10 6% Q2FY10 7% Service express iPhone application view your Q3FY10 6% bills
Slide 19: MBB subs
19 MBB SUBS 87% 907 486 111 Mar-08 Mar-09 Mar-10
Slide 20: Independent reviews show Optus network performance has considerably improved
20 Independent reviews show that Optus’ network performance has considerably improved and closed the gap on Telstra IDC OVERALL RATING OF MOBILE NETWORKS “…Optus has invested greatly -23% into its network…the results have led to the network leaping forward in terms of performance...” “…with the Optu
Slide 21: The Customer Experience program continues to deliver improvements
21 The Customer Experience program continues to deliver improvements • On-line sales & service used by >1.6m customers • Customer contact via online or agent • 22% reduction in call centre traffic relating to post-paid • 19% reduction in call centre traffic relating to pre-paid Customer Service & Pr
Slide 22: Today
22 Today 1 Market overview 2 Recent performance 3 Future opportunities & strategy
Slide 23: We continue to innovate our Postpaid and Prepaid proposition
23 We continue to innovate our Postpaid and Prepaid proposition PRE-PAID POST-PAID
Slide 24: We are aggressively expanding our smartphone portfolio
24 We are aggressively expanding our smartphone portfolio
Slide 25: Investment in the mobile network has supported demand and increased reach
25 Investment in the mobile network has supported demand and increased reach – we have plans to expand coverage and capacity further 60% DEC 07 96% DEC 08 > 97% MAR 10 OPTUS CONTINUES TO INVEST 3G MOBILE COVERAGE EXPANSION: SIGNIFICANTLY IN AUSTRALIA: • Transmission • 96% population 3G coverage at D
Slide 26: Capitalise on the explosion in wireless data, including machine to machine
26 Looking further ahead, we will capitalise on the explosion in wireless data, including machine to machine
Slide 27: Personalisation redefining customer experience
27 Personalisation redefining customer experience
Slide 28: Optus Social View video
28 Optus Social View video
Slide 29: Optus Investor Day: Mobile Business Overview
Optus Investor Day: Mobile Business Overview Andrew Buay MD Products & Delivery 5 July 2010
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