Developing and investing in new
technologies, attracting and keeping
the best people, leading markets
and competing freely: innovation
drives everything we do and has
since we started in 1846. The next
pages highlight some of our more
recent achievements following
our stock market listing in
1984
1846
1869
1892
1915
1938
1961
Adastral Park
BT’s research and development campus, one of the world’s
leading centres of technology and telecommunications.
30 years of innovation:
finding a better way of doing things
Open for business.
Three billion British Telecom
shares went on sale 3 December
The first stock market flotation of a major utility
helped to create a new type of share ownership
– one where anyone could join in. It gave BT
the freedom to invest, innovate and develop
to better meet the demands of the market
and of customers.
Innovation has always been at the heart of our business.
Our desire to find the next new thing doesn’t change.
Breakthroughs in equipment, networks and services help
to improve lives, something that goes to the core purpose
of our company.
It’s good to talk –
wherever you are
On 7 January 1985, together with
Securicor, we launched Cellnet,
the first commercial cellular radio
service. Uniquely, we combined
our network expertise with our
partner’s handset skills to be the
first to offer something more,
useful and new. Now 30 years on,
we have our BT Mobile service
and announced our proposed
acquisition of EE.
1985
The world’s first commercial
single‑mode optical fibre link
Running between Luton and
Milton Keynes, these revolutionary
140 Megabits per second optical fibre
cables replaced traditional copper.
Lighter and thinner, they carried more
information over longer distances.
Fibre cables are also easier to install
and maintain, this link taking just
38 days to get up and running.
1st
BT international
office opened
in New York
140
Mbps
Revolutionary
optical fibre
cable speed
The facts tell the story: 4 billion people watching,
27,500 journalists reporting, 14,700 athletes
contacting home. Around four times the data
needs of the Beijing Games in 2008. But unlike
those Games, 2012 was run from one integrated
network. With 80,000 connections, 16,500
phone lines and 14,000 cable TV outlets in 94
locations. That was our innovative and resilient
solution for the ultimate ‘right first time’
challenge. Like everyone involved, we’re proud
to have been part of it.
Switched on – as always
Arguably the biggest step change
in day-to-day communications,
‘always on’ BT Broadband
was launched in April 2002.
For those with a phone line,
it was the simple, one stop shop
and – just over a decade ago –
a massive change in how we all
kept in touch, did business and
entertained ourselves. What’s
more, all it needed was a ‘plug
and play’ set‑up that anyone
could install.
Bringing nations closer.
The world’s first international,
optical fibre undersea cable
1984
The biggest, best and most
connected yet. The London 2012
Olympic and Paralympic games.
1986
85%
1990
2002
2012
The world’s first fully digital
long distance network
of the UK population
had access to Cellnet
after the first year
The first such major transition in the world,
BT’s long distance network turned completely
digital on 3 July after five years of intense work.
Processors now controlled the exchanges,
generating relevant, real-time data and
continuously feeding it to the network managers.
So problems could be identified and remedied,
often before customers became aware of them.
Our cableship Alert laid the submarine cable
between Broadstairs in Kent and Ostend in
Belgium. By allowing direct communication,
it did away with the delays and echoes that
plagued satellite calls. And by transmitting
far more information at much higher speeds,
it transformed the likes of Europe’s financial
sector. A short step across the Channel, but
the first in what’s now a global network of
undersea fibre cables.
170+
countries now part
of an international
network
Find out more about BT’s history at
www.btplc.com/Thegroup/BTsHistory
“We fundamentally proved
in our experiments that we
can get 50% more traffic
over a single piece of fibre
than we previously thought
possible. A great result.
We’re immensely proud
of that achievement ”
Dr. Kevin Smith
Transmission, Futures and
Innovation Technology, based at
Adastral Park, has been with BT for
the last 25 years. His team were
instrumental in setting the record
breaking data transmission speed.
3
Tbps
The real-world
super channel
speed achieved
35
%
Growth in higher
bandwidth demand
every year
2014>15
Speeding up the real world
Setting the record for the fastest data
transmission speed over an operational
optical fibre link.
This year BT and Huawei achieved a super channel speed of 3 Terabits
per second. An incredible feat made even more impressive by being
set over an existing fibre link, using commercial grade hardware
and software in a real-world operating environment. To put that
speed into a real context, it’s the equivalent of transmitting around
100 HD films in a single second.
We think this record shows how our core fibre optic infrastructure
is capable of working even more efficiently in the future.
The demand for higher bandwidth grows by around 35% every
year. From film streaming to mobile apps, the different ways we
consume entertainment, stay in touch and do business, all put
pressure on internet service providers.
The high speeds we’ve achieved across existing infrastructure mean
our customers can enjoy superfast broadband without interruptions
or delays, and without paying much more for it either.
Find out more about 3TB super channel speed trials at
www.btplc.com/Innovation/Innovationnews/Huawei3TB
Q
A
What’s changed most during your time
at BT?
We’ve always done really cool research. The aim of
this has shifted so that we’re making sure we develop
ideas and solutions that can apply to our network.
Q
You set the record for the fastest data transmission
over fibre. Other than speed, what does this
capability allow people to do?
A
We are incredibly proud of that achievement but it’s
not just about setting records. It’s about enhanced
customer experience, the ability to do all the things
that you’re used to doing online but much easier,
much faster and much quicker.
Q
A
With increasing consumer and business demands,
what’s next in terms of technological advances?
We need to keep pushing our ability to maximise
capacity and innovate to go beyond that capacity.
I think what we’ll see is a more agile optical world
which is a very exciting and pioneering area to be in.
Watch my video online at
www.bt.com/annualreport
The Openreach
Next-Generation Field Apps
With millions of customers to support,
getting the right engineer, with the right
skills, to the right location, at the right time,
can be a major challenge.
To dispense with the enormous amounts of paperwork each job used
to generate, we created our Openreach Next-Generation Field Apps.
Loaded onto smartphone devices, now issued to 14,000 of our field
engineers, they make sure each engineer has the information needed
to do a great job for their customers.
“It improves my
working life and
speeds things up.
And my customers
love it too.”
Tomasz Kulawinski
Field engineer
Field engineer Tomasz Kulawinski installs and repairs telecoms services
across a large urban area. He has over 20 years’ experience. Handed
a device loaded with our job management software, Tomasz now
receives new assignments on the move, completes reports in real time,
and gets to jobs faster using in-built satnav. By making his life easier,
the Apps ensure he also gets more work done. Tomasz says he’s proud
of this new device: “I pull it from my pocket and pick up new jobs just
like that. It improves my working life and speeds things up. And my
customers love it too.”
Since its launch, the suite of Field Apps has transformed our
operational efficiency while showing that we’re always ready to
embrace new technology and thinking, giving our team of engineers
the extra time and space they need for each customer.
Find out more about this story and
Openreach at www.openreach.co.uk
Assignments received
on the go
Easy to contact the
customer in advance
of the visit
Today’s tools to improve productivity
Handed a smartphone loaded with the Openreach
Next-Generation Field Apps, our engineers can get to
the next job quicker, spend more time with the customer
and complete reports in real time.
Connecting more of us to the customer journey
Openreach has distributed 16,000 devices – 2,000 to
managers and supervisors and 14,000 to field engineers.
Making sure our teams are up to date and up to speed.
Engineers can quickly
report progress during
the working day
Customers can
provide feedback on
the engineer visit
Contributing to greater staff satisfaction
Since launch, the quarterly Openreach employee survey
has seen an increase in the number of engineers agreeing
they have the tools and equipment needed to do their
jobs well.
Delivering real customer satisfaction
The Enhanced Customer Journey App helps engineers
put the customer at the centre of the job from task
assignment through to job closure.
All engineers can keep
connected with peers
and company news
Watch the video online at
www.bt.com/annualreport
2014>15
Click on happiness
We’re working with Coca-Cola to bring free
internet access to impoverished communities
in South Africa.
Like all good ideas, it’s simple. Coca-Cola’s dispensing machines
are everywhere, so where better to find web access than alongside
your cold drink?
The pilot project was launched in Umtata in the Eastern Cape province
and Nelspruit in the Mpumalanga province. Locations were carefully
chosen for their accessibility and popularity – near taxi ranks,
schools or food stores – to maximise use.
Coca-Cola is installing the drinks dispensing coolers, while we’re
doing what we do best – the design and support, the connectivity
and internet access offered for free via wi-fi through every machine.
There’s no charge from us; no need to buy a can of coke; and everyone
can access the internet for as long as they want.
Coca-Cola South Africa, Coca-Cola Fortune and BT Global Services
hope to grow the project and install what we’re calling wi-fi coolers
wherever they’re needed across South Africa. Helping to support
and grow more sustainable communities.
Find out more about this story and
BT Global Services at www.globalservices.bt.com
Jean-Marc Frangos
Managing Director
External Innovation,
BT Technology,
Service & Operations
“By giving people access to
free wi-fi, we help them build
the knowledge crucial to the
future of their communities.
Making it easier to get
online also helps businesses
to spread prosperity where
it’s most needed”
What’s on TV next?
These days we expect to be able to watch
whatever programmes we want, when we
want and wherever we want.
We’re not sure if it’s what Logie Baird had in mind. But as an innovator
himself, we think he’d appreciate what we’ve done with his invention.
Find out more about this story and BT Consumer
at www.productsandservices.bt.com
Of course, more choice doesn’t always mean better options. It can
mean we just have more decisions to make before we find something
we want to watch. But it’s in the area of making an informed choice
that the technological story and the human aspect merge.
According to a ‘10-year outlook’ report compiled by our research and
technology team, the way we interact with and view television will
change even more radically over the next decade. TV content will be
broadband-driven and consumption of it will be on smart TVs, closer
to computers than televisions. So, we’ll have the world to choose from,
but even greater scope to individualise the way we view it.
But while TV schedules decline in importance, research suggests there
is still great demand for some kind of guide to all the content that’s
available. The trusted voice who’ll direct us towards what’s relevant and
good. It’s a role being taken on by recommendation engines and social
network sites. And to be noticed, the established television networks
will have to be on them.
Of course, we’re in the thick of this. We use the power of broadband to
help people get the TV they want, in the manner they want. We need to
help content providers, ranging from programme-makers to interactive
games-makers, to offer options for people at home or on the move.
“People are spending more
time online and less time
on standard linear TV
viewing, so are now less
willing to pay ‘full fat’ TV
pricing. This gives BT TV a
strong growth opportunity
from offering a selection
of high-end sport and
entertainment at great
value prices.”
Extraordinary TV
for everyone
YouView combines
the power of highspeed broadband with
the world of choosing,
watching and
recording content.
Brilliant settop boxes
Our YouView+ box
lets customers pause
live TV and record
up to 300 hours of
programmes with 7
days of catch-up TV.
Delia Bushell
Managing Director
of BT TV and BT Sport
What you want,
when you want it
BT TV is our TV service,
offering 3 great TV
packages for our
customers - each with
up to 70 Freeview TV
and radio channels.
We never stand still
Coming up with new ideas and developing new
technologies is core to what we do at BT.
This page gives you an idea of the range of those
ideas, designed to push technology further
than before. All intended to improve people’s
lives in welcome, relevant and affordable ways.
The Internet of Things
“There are now more devices connected to the Internet than people” says
John Davies, a chief researcher at BT. By providing the networks that connect
all these devices, BT is also developing ways to analyse and combine the
data they produce, creating an amazing fund of information to drive the
development of new services. The number of connected objects is expected
to reach 50 billion by 2020 – meaning a transformation in how we live in our
cities, travel, manage our lives sustainably and draw on different services.
Smart City programme
As cities grow they risk outstripping
the infrastructures they rely on.
The Milton Keynes Smart City
programme is pioneering a solution
with the MK Data Hub. Using cloud
and big data technology, it sources
information from energy, transport,
water use and weather to create a
fuller picture of the city’s real-time
needs, so resources can be managed
better and more sustainably.
2015>
Taking a quantum leap
“Innovation has always
been in BT’s DNA.
Today, we bring the
best of our creative
thinking together
through the ‘BT
Ingenious’ programme”
Dr. Tim Whitley
Managing Director,
Reseach & Innovation
and Adastral Park
Find out more about this at
www.btplc.com/Innovation
G.fast Technology
Last summer, we conducted the first
technical trials of G.fast technology.
This ultrafast broadband has the potential
to deliver speeds of up to 500Mbps to most
homes within a decade. It keeps us ahead of
much of Europe and means we join the ranks
of world leaders such as Japan and South
Korea. We’re also currently expanding our
fibre network by working with the public
sector across the UK to help achieve an
estimated superfast broadband coverage
of 95% in the next few years.
Watch the video online at
www.bt.com/annualreport
Normal computers keep billions of bits of data
in just one of two definite states. Theoretically
quantum computers could evaluate all this
data in every possible combination, which
means they could solve vast numbers of
problems at the same time – even including
things other computers can’t answer.
We’re exploring what quantum technology
can do in our world.
Can we create ultrafast communications,
distributed across the country and made
totally secure by fundamental physics?
And can we provide a quantum signature,
making it impossible to impersonate you?
We’re working on it.
Find out more about BT Technology, Service
& Operations at www.btplc.com/Thegroup/
Ourcompany/Groupbusinesses/BTTSO