JON NOWELL HEAD OF PRODUCT MANAGEMENT

ANTHONY LACEY HEAD OF STRATEGIC PROGAMMES

NETWORK OF THE

FUTURE

June 2015

IPVPN Programme Driving Quality of Experience

Adoption of Openreach

EAD2 Improving performance and

predictability

Wholesale Fibre Meeting the demands for more

bandwidth

FUTURE

NOW

New Service models SDN

and NFV

Dark Fibre

NOW FUTURE

Meeting the insatiable demands for more

Bandwidth

G. Fast

High

Capacity

Circuits

Cloud Interconnect

Mobile Data

BACK

Workflow & Automation

HPSA & NSOM

IPVPN

Performance

Monitoring

Order

Management

BACK

OPENREACH EAD2

Setting

Expectations

Managing

Expectations

Customers

Updated

Improved

Self Sufficiency

Jeopardy

Management

Infrastructure Discovery EMP

Clarity Notes

Self Appointing Single Interface

EAD2 is not one system, it has multiple components in the supply chain

Partner/customer

access to Openreach

diaries

Pre-Order Access to

Openreach data to

understand order

complexity

Standalone Tool –

Jan/Feb 16

GUI integration from –

Mar-16

• Replacement for ECO

• Supports Differentiated Order Journey

• Simple orders accelerated

• Complex orders with realistic CDD

• More Detailed KCIS provide greater granularity

• Intermittent progression updates

Online access to the Openreach “civils” contractor’s

updates and notes

Pilot – Mar-16

Monthly drops thereafter

Case Management - Mar-16

Openreach schedule

TBC

New Openreach Portal

to improve complaint

handling and audit trail

Live

BACK EAD 2

WHOLESALE FIBRE

What did the channel want?

Ultimate flexibility

The all important £££

Why TalkTalk Business

BACK

BACK

WE LISTENED AND LEARNT FROM THE CHANNEL

I’m worried

about usage

charges on

FTTC, I can’t

take the risk with

a variable charge

I need to be

able to buy

Wholesale

ADSL and

FTTC from

one supplier

The option of

portal or

simple

integration

through API is

important

I need a

proposition that

commercially

takes into

account the

market I am

addressing

The service

wrap must

address the

differing

needs of our

customers

WHOLESALE FIBRE

BACK

WHOLESALE FTTC – MPF VARIANT Compelling price points for

Partners of all sizes

The Headline

Proposition….

Commit 5K + FTTC lines/24m

LR MPF Rental

Usage Inclusive

40/10 EUA £23.50

80/20 EUA £26

Commit 1K – 5K FTTC lines/24m

LR MPF Rental

Usage Inclusive

40/10 EUA £26.50

80/20 EUA £29

Commit 0 – 1K FTTC lines/24m

LR MPF Rental

Usage Inclusive

40/10 EUA £28

80/20 EUA £31

40/10 – Inclusive LR, FTTC & usage

80/20 – Inclusive LR, FTTC & usage

Voice – MPF call tariff

Connection Fee - £80

Early Termination Fee - £0

Contract – 12 months

Delivered on our Next Generation Network

Available at c2800 exchanges

We take the risk on usage

• Risk free FTTC

• Inclusive data usage

• Fixed monthly cost

Control Your Costs

• One fixed price for LR, FTTC & usage

• No early termination fee

Single Provider

• Single provider for ADSL and FTTC

• Single interconnect to deliver both

Our experience

• Market leading provider of Wholesale

services

• Wealth of experience in providing FTTC

services to Partners for both consumer and

business

Why TTB?

BACK

Access Options

– Wholesale Fibre can be delivered over TTB MPF Today

– Launch for WLR in Q4

Interconnects – Two options

– Same interconnect as your existing broadband (2nd VLAN)

– New Interconnect

– We won’t charge for usage either way

Ordering

– Portal

– API

WHOLESALE FIBRE – HAVE IT YOUR WAY

WHOLESALE FIBRE

BACK

A RISK FREE COMMERCIAL PROPOSITION TO ALLOW YOU TO MAXIMISE MARKET POTENTIAL…. Price Point 1

Commit 5K + FTTC lines/24m

Product TTB MPF

Contract 12m

LR MPF Rental

Usage Inclusive

Voice MPF Call Rates

40/10 EUA £23.50

80/20 EUA £26

Price Point 2

Commit 1K – 5K FTTC lines/24m

Product TTB MPF

Contract 12m

LR MPF Rental

Usage Inclusive

Voice MPF Call Rates

40/10 EUA £26.50

80/20 EUA £29

Price Point 3

Commit 0 - 1000 FTTC lines/24m

Product TTB MPF

Contract 12m

LR MPF Rental

Usage Inclusive

Voice MPF Call Rates

40/10 EUA £28

80/20 EUA £31

Connection/Disconnection costs – Connection: £80 ETF: £0

WHOLESALE FIBRE

BACK

TALKTALK BUSINESS WHOLESALE MPF FTTC WHY TALKTALK BUSINESS?

WHOLESALE FIBRE

Risk Free Usage Single Provider Service Wrap Experience

• A bundled LR, FTTC and

Data usage proposition

• We take the risk on data

usage, not you!

• ADSL and FTTC with a

single supplier

• ADSL and FTTC data

usage segregated and

delivered over a single

interconnect

• Simple and rapid on-

board process

• Simplified operational

processes

• Market leading

provisioning,

management & support

APIs and portals

• Separated usage billing

for ADSL and FTTC to

flex customer

propositions

• Proven heritage in

providing Layer 2

services

• Proven heritage in

providing FTTC services

• Dedicated training (sales

& operational) testing

and on-boarding

BACK

WFTTC traffic can be delivered on the same interconnect as your existing broadband via a separate VLAN to the

existing LLU traffic

If you choose a single interconnect we can separate out FTTC and ADSL traffic and bill accordingly

Existing or new realms can be used for PPPoE usernames

We require you to complete a Service Establishment Form (SEF) and we do the rest

HOW IS FTTC DELIVERED TO ME? OPTION 1 – SINGLE FTTC/ADSL INTERCONNECT

BACK

You can opt for 2 separate interconnects

Existing or new realms can be used for PPPoE usernames

We require you to complete a Service Establishment Form (SEF) and we do the rest

HOW IS FTTC DELIVERED TO ME? OPTION 2 – SEPARATE FTTC/ADSL INTERCONNECT

BACK

Opportunity

Upgrade path – could be seamless

Service model and diagnostics – could be richer and more

diverse

Market Price Reduction – Prices could be lower with clever

NTE purchasing

Managed Handover Reduction Time– Install CPE at the same

time as NTE

Reduced Churn – Competitors solutions will appear different

so harder to compare

BTW – Consumes proposed service and sells current NTE at

cost

Market – might be best for backhaul and high bandwidths

DARK FIBRE ACCESS

Challenges

Delivery – it is the fibre component that is the critical path so

lead-time issues likely to remain

Price - Openreach push on price is for 1Gb minus so starting

high

SLG complication – SLG underwritten by a lower cost

component passes risk up the chain

Engineering – Mobilisation of truckroll for NTE replacement,

end to end testing resource management

Network Capacity – If price gets too low what is Openreach

incentive to put in more capacit

EAD from Openreach

BACK

CLOUD INTERCONNECT ONE CIRCUIT – ANY SERVICE

Internet

VLAN

Layer2

VLAN

MPLS

VLAN

SIP

VLAN

Multi-Service Access circuit or Interconnect

DIA Wholesale VPN SIP

Customer / SI

Shared Service

VLAN

Off net Hosting Cloud Services

Shared Service

VLAN

International

Shared Service

VLAN

Hygiene Hygiene Hygiene

1 2 3

Provide any or all of our services over

the one connection

Add new

products as

released

Find additional products and services to add to the

connection

BACK

There are four forces of change…

1) Coverage of 3G/4G is improving with 5G on the horizon

2) The barrier of data usage costs is decreasing

3) Adoption is increasing with user trust higher than ever before

4) Breadth of use cases are increasing

MOBILE DATA

• Are your end customers looking for converged supply of Mobile data & fixed line ?

• Is this is solution you provide/are looking to provide ?

• What would make be the killer proposition ?

BACK

SDN AND NFV

NFV and SDN are moving into the

commercialisation phase

Benefits of lower costs, flexibility, agility and

TTM are gaining profile

Operating models, OSS and orchestration

are maturing

• Are the market drivers really here yet ?

• What does the channel opportunity need to

look like ?

• What does customer centricity look like ?

BACK

MORE AND MORE BANDWIDTH

The insatiable demands for more and more

bandwidth are increasingly being met;

NGA2 (G.fast) is on trial and promises 330Mbits

& beyond

1Gbps+ services will represent 40% of total

market by 2020

Dark Fibre access in under consultation

FTTP (GPON) footprint increasing

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2013 2014 2015 2016 2017 2018 2019 2020

Move to higher Bandwidth (share of service)

100G

10G

1G

100Mb

Up to 10Mb

• Is there a gap widening in the mid market ?

• If NGA2 becomes the next Broadband what do our customers need us to do differently ?

• In a “utility” future Quality of Experience will become king