KPN is a major telecommunications company in the Netherlands, Germany, and Belgium. The document discusses how machine-to-machine (M2M) services differ from traditional mobile services in their marketing, technical, and financial realities. It argues that long-term partnerships across the M2M value chain are necessary to optimize technical processes and customer education. KPN seeks to partner with connectivity resellers, solution developers, and application service providers to provide integrated global M2M solutions across Europe.

2. Profitable & long-term partnerships in M2M Joost Fleuren MSc MBA Strategy & Business Developer Marketing Strategy & Innovation department KPN Business Market M2M Exchange, Brussels, 17 November 2009 Break out session: Telecoms Business Strategy

9. Explained: not easy to vertically integrate or partner module gateway or embedded hardware device mgmnt platform Connectivity Connectivity mgmnt M2M integration services ICT Integration M2M Application EU US Asia Satellite Network stability Usage statistics provisioning Large quantities Time To Mrkt Data optimization Battery powered WiFi Zigbee WiMax Helpdesk tools Secure trans. Mission critical Configuration mgmnt Usage statistics power usage size power usage size Technical supply chain reality harsh environments Dual GSM Quatro GSM WiFi # I/O ports data logging updates local funct. Firmware update harsh environments Repair by replace Updat mgmnt WiMax Access control usage alerts pre- / postpaid selfservice Industry spec. Time To Mrkt API’s Security Multilingual B2C helpdesk Each solution requires a different set of capabilities from the value chain partners. # produced

11. MNO’s have influence but get a small slice of the pie… …especially compared to regular Voice and Data offering. Money making reality * Beecham research, “M2M and the Internet of things”, October 2008

12. The answer?

13. From this… Hardware Connectivity Connectivity mgmnt platform Integrator services ASP Hardware Connectivity Connectivity mgmnt platform Integrator services ASP Hardware Connectivity Connectivity mgmnt platform Integrator services ASP Hardware Connectivity Connectivity mgmnt platform Integrator services ASP customer customer customer customer customer

14. … to this. Hardware Connectivity Connectivity mgmnt platform Integrator services ASP Hardware Connectivity Connectivity mgmnt platform Integrator services ASP Hardware Connectivity Connectivity mgmnt platform Integrator services ASP Hardware Connectivity Connectivity mgmnt platform Integrator services ASP Customers Application type 1 Customers Application type 2 Customers Application type 3 Customers Application type 4 M2M solution M2M solution M2M solution M2M solution Together as partners: marketing consultive selling development deployment

16. Practice what you preach…

17. KPN’s track record in M2M Hardware Connectivity Connectivity mgmnt platform Integrator services ASP - 2007 2008 2009 M2M Development partners 2010 initiatives in development M2M Connectivity partners To partner with us to provide EU wide connectivity, outside our NL, D, B sales footprint. Continue to offer best in class connectivity platform. To ensure that requests for M2M services are being met with the best partners available. Be the preferred partner for ASP’s who want to become and stay most efficient by offering integrated global communication Core capability