28.06.2016 1 28.06.2016 D2-Vodafone 2 28.06.2016 The company The Company Owners Milestones Corporate Structure Facts and Figures Competition Situation Owners Milestones Corporate Structure Facts and Figures Competitive Situation 3 28.06.2016 Vodafone Holdings The Company Owners Vodafone Milestones Corporate Structure Facts and Figures Competition Situation D2 is part of the largest mobile communications company in the world 4 28.06.2016 D2 Milestones The Company Owners Milestones Corporate Structure Facts and Figures Competition Situation 5 May 1988: German Minister for Post announces tender for D2 licence an October 1988: Mannesmann founds project team for D2 licence July 1989: So-called “post reform“: division of the Deutsche Bundespost into companies / first time competition allowed in telecommunications: mobile communications December 1989: Awarded D2 licence January 1990: Foundation of Mannesmann Mobilfunk GmbH June 1991: Extension of licence contract to areas of the former East Germany Juni 1992: Start commercial network operation End 1992: 100,000 D2 customers December 1993: Break even 28.06.2016 D2 Milestones The Company Owners Milestones Corporate Structure Facts and Figures Competition Situation 6 May 1995: Tarif for private customers (D2-Fun) / 1 m customers in the D2 network August 1996: The TeleCommunications Act ends voice monopoly for fixed network services April 1996: Commercial start of Short Message Service December 1996: D2 network covers 99% of population October 1997: Launch of D2 CallYa prepaid products/3.2 m customers in the D2 network January 1998: D2 markets mobile radio and fixed network converged (today: D2 Twinstar) August 1998: 5 m customers September 1998: D2 uses a cell broadcast centre as worldwide first network operator 28.06.2016 D2 Milestones The Company Owners Milestones Corporate Structure Facts and Figures Competition Situation 7 January 1999: D2 builds UMTS test network and begins the first UMTS call in Germany August 1999: D2-WAP: the Internet goes mobile August 1999: D2 first company to offer personalised WAP portal October 1999: Purchase of 1800 MHz frequencies January 2000: Best voice quality through EFR February 2000: 10 m customers August 2000: D2 purchases UMTS licence / 15 m customers October 2000: First location-based WAP services only at D2 November 2000: Launch of HSCSD (High Speed Circuit Switched Data) February 2001: Launch of GPRS (General Packet Radio Service) Juli 2001: First UMTS-Speechcall August 2001: First UMTS-Datacall 28.06.2016 Proximity to the Customer The Company Owners Milestones Corporate Structure The Company Structure Facts and Figures Competition Situation Regional Branches Centres Shops Client Service 8 28.06.2016 The Company Structure The Company Owners Milestones Corporate Structure Chairmanship Technical Jürgen v. Kuczkowski Helmut Hoffmann The company structure Sales A Marketing M Finance F Personnel/Legal P Karl-Ludwig Dilfer Dr. Michael Paetsch Albert Weismüller Dr. Karl-Heinz Strache Finance Regional Branches Sales Technical Regional Branches Regional Branches Facts and Figures Competition Situation North/East TT AV FF 9 North North/West West Rhine-Main South/West South East 28.06.2016 Revenue, Employees, Investments The Company 13.2 Owners Milestones Corporate Structure 10.0 Revenue in billion DM 9.100 Facts and Figures Revenue, Employees, Investments 7.900 9.4 7.300 Customer Growth Million Thresholds Reached More and More Quickly 5.800 Employees Competition Situation 4.800 5.6 4.2 3.400 3.6 2.600 2.200 7.3 7.1 5.4 4.5 Investments in billion DM (accumulated) 2.9 2.7 2.4 1.7 1.7 0.9 Ende 1993 10 1994 1995 1996 1997 1998 1999 2000 28.06.2016 Customer Growth The Company Kunden in Millionen Owners Milestones Corporate Structure 21,7 20 19,2 18 Facts and Figures Revenue, Employees, Investments Customer Growth Million Thresholds Reached More and More Quickly Competition Situation 16 14 12 10 9,5 8 6 6 4 3,5 2 0 0,1 0,5 0,85 1,45 2,3 Ende 1992 1993 1994 1995 1996 1997 1998 1999 2000 06/2001 11 28.06.2016 Top 10 - Digital Mobile Radio Operators in Europe The Company Owners Milestones Corporate Structure Subscribers In Thousands 24000 Facts and Figures Competition Situation 20000 Top 10 Vodafone UK Cellnet SFR Orange UK Omnitel TIM 4000 D2 Vodafone 8000 T-Mobil D1 12000 Tele.Moviles 16000 Orange France Market Shares 0 12 Dated: 1 August 2001 28.06.2016 Market Shares in Germany The Company Owners Milestones Corporate Structure D2: 39.2 % D1: 39.8 % Facts and Figures Competition Situation Top 10 E-Plus: 13.7 % Market Shares E 2: 7.3 % 13 Dated: 1 Juni 2001 28.06.2016 The Market Success Service Quality Committed Employees Customer Care Excellent Technology Mobile Communications for all Customer Communication Committed Employees • Many young, creative people Average age: 32 years* • Strong commitment High degree of employee loyalty • Internal quality management • Qualified training programmes • Unique programme for promoting personal competency (specialist knowledge, methodology, social competence) 14 Dated: 31. August 2001 28.06.2016 The Future The Future Market Potential The Mobile Internet New Standard UMTS Market Potential The Mobile Internet New Standard UMTS 15 28.06.2016 Mobile Communications Penetration in Europe The Future Market Potential Mobile Communications Penetration The Mobile Internet New Standard UMTS Luxemburg 84,4 % Italien 82,18 % Island 73,7 % Österreich 80,53 % Finnland 77,94 % Niederlande 75,22 % Schweden 74,92 % Norwegen 74,42 % Dänemark 74,23 % GB 73,85 % Irland 70,38 % Schweiz 69,06 % Deutschland 66,97 % Frankreich 57,08 % 16 Customers as a Percentage of the Population Dated: 1 August 2001 28.06.2016 Trailblazer in Mobile Internet The Future 17 Growth-Promoting Services • MessagePlus (4/98) Juni 01 Dez. 00 Mrz. 00 Dez. 99 Juni 99 • Publisher (4/99) Mrz. 99 New Standard UMTS Dez. 98 D2 WAP Sept. 98 Mobile Internet 850 800 750 700 650 600 550 500 450 400 350 300 250 200 150 100 50 0 Juni 98 The Mobile Internet Short Messages per Month (in millions) Mrz. 98 Market Potential • SMS with D2 CallYa (7/99) 28.06.2016 D2 WAP: Internet Becomes Mobile The Future Market Potential The Mobile Internet Mobile Internet D2 WAP New Standard UMTS • Started in August 1999 as the first network operator in Germany • The D2 WAP portal is the gate to the online world • D2 services with WAP: informative, interactive and communicative • Attractive, varied and up-to-date: WAP services of D2 partners • First provider of location-based services 18 28.06.2016 UMTS: Mobile Multimedia The Future Market Potential The Mobile Internet New Standard UMTS Mobile Multimedia UMTS in Germany UMTS at D2 Possible Services: • Faster Internet and Intranet Access • Live Video Transmission • Up-to-Date Online Catalogue • Active Navigational Aid for Road Traffic • One Individual Telephone No. Worldwide 19 28.06.2016 UMTS in Germany The Future Market Potential The Mobile Internet New Standard UMTS Mobile Multimedia December 1995 D2 organises first UMTS world congress in Dresden January 1998 Norming commission (ETSI) agrees on UMTS standard January 1999 D2 sets up UMTS test network / First UMTS call in Germany UMTS in Germany UMTS at D2 February 2000 Regulatory Authority announces conditions for auctioning UMTS licences July 2000 Auction for 4-6 UMTS licences November 2000 Contracts with system manufacturer 2002 Commercial launch of first UMTS services End of 2003 UMTS network covers at least 25 % of the population End of 2005 UMTS network achieves area coverage for 50% of the population 20 28.06.2016 UMTS at D2 The Future Market Potential The Mobile Internet New Standard UMTS “D2 starts from the front line“ Mobile Multimedia UMTS in Germany UMTS at D2 On August 17, 2000 D2 was awarded a UMTS licence 2 packages of 2 x 5 MHz in the paired and one package of 1 x 5 MHz in the unpaired frequency spectrum were purchased at the auction. In November 2000, D2 Vodafone concluded agreements with system manufacturers for the new UMTS technology. As early as July 2001, the first UMTS voice call took place in the pilot network in Munich. This was followed by the first UMTS data call in August 2001. The commercial launch of the first UMTS services is scheduled for the end of 2002. With the new mobile radio generation UMTS, D2 will ultimately converge radio mobile and Internet and develop all possible multimedia services. Profound market know-how, a broad customer basis and a nationwide network are excellent starting conditions for this. 21