Push to Talk – features v1.0

2

Draft

Instantaneous one-to-one and one-to-many communication channel

One single handset for mobile and push to talk calls Adds voice dimension to messaging Always connected to corporate network using GPRS

Push-to-Talk over mobile is a one-to-one and one-to-many voice communication service that adds a voice dimension to messaging

BenefitsBenefits

Time critical information communicated quickly, efficiently, cheaply and without the need for an intermediary (i.e. secretary) in order to better manage your fleet

One-to-many ‘dispatch’ feature creates a more efficient communication mode between users Instant voice messaging improves the efficiency and accessibility among a group of individuals Convenience with a direct ‘always on’ voice connection Dynamic group creation without operator involvement

TargetsTargets

Typical users would include employees working within mobile and/or stationary groups: Service and repair Retail, distribution Public and private transportation Manufacturing, industrial plants

DescriptionDescription Push-to-Talk over mobile is a direct one-to-one and one-to-many ‘always on’ voice communication service. One-way

communications can be started to both individuals and talk groups with just a push of a key

AttributesAttributes

Overview on “Push-To-Talk”

Launch TimeLaunch Time NewTel “Push-To-Talk” is a secondary service and should be available, functional and fully

supported four months after launchL+4 months

Key Accounts

Key Accounts

Sophisticated Large

Accounts

Sophisticated Large

Accounts

Basic Large Accounts

Basic Large Accounts

Powered SMEs

Powered SMEs

Budget SMEs

Budget SMEs

FinanceFinance Personal Service

Personal Service

Business Service

Business Service ICTICT Oil & GasOil & Gas Constr./

Manufact.Constr./

Manufact.

Connected anywhere by direct connect Ability to send text messages

Rental agencies Construction sites Security

3

Draft Push-to-talk can be offered over a GPRS network. An IDEN-based alternative is also available but not recommended

Push-to-Talk Technical Description

BTS

Operator IS: Provisioning Network

Management Billing and

Customer Care

Operator IS: Provisioning Network

Management Billing and

Customer Care Application Server Subscriber Traffic Group Management

GPRS Network IP Multimedia Core

One-to one

to many

PTT Over GPRS Technical Overview

PTT Over GPRS Technical Overview

PTT over circuit switched cellular networks wastes network and frequency resources

With GPRS packet switching, resources can be reserved only for the duration of the talk spurs

This enables a profitable operation of the service over GPRS networks

For example, a one hour talk session would use 3 minutes of airtime

PTT over circuit switched cellular networks wastes network and frequency resources

With GPRS packet switching, resources can be reserved only for the duration of the talk spurs

This enables a profitable operation of the service over GPRS networks

For example, a one hour talk session would use 3 minutes of airtime

IDEN AlternativeIDEN Alternative

The service has proven to be most successful with Nextel using the IDEN technology and not GPRS

However, PTT over IDEN heavily relies on Motorola as the single main network and handset equipment vendor for the technology

Also, the service over IDEN entails high investments. To cover them, high penetration should be achieved

The service has proven to be most successful with Nextel using the IDEN technology and not GPRS

However, PTT over IDEN heavily relies on Motorola as the single main network and handset equipment vendor for the technology

Also, the service over IDEN entails high investments. To cover them, high penetration should be achieved

4

Draft Push-to-talk service can have simple voice messaging features as well as instant messaging features

Push-To-Talk Service Features and Limitations

Basic Phone Features

Basic Phone Features

Instant Messaging Features

Instant Messaging Features

FeaturesFeatures

One-to-one communications (pressing on a button to speak to the other party)

Conference calls Immediate connection between two or more mobile

phones Possibility or recording messages and sending

them to other users (not in real-time)

One-to-one communications (pressing on a button to speak to the other party)

Conference calls Immediate connection between two or more mobile

phones Possibility or recording messages and sending

them to other users (not in real-time)

Creation of buddy list of friends with whom to communicate

Real-time availability icon showing who is available and who is not

Integration with text instant messaging service Voice chat options Presence management

Creation of buddy list of friends with whom to communicate

Real-time availability icon showing who is available and who is not

Integration with text instant messaging service Voice chat options Presence management

LimitationsLimitations

There is a risk that the service cannibalizes voice and SMS usage

Only a limited number of GSM handsets currently support the service (and most of them are high-end smart phones for the corporate segment)

Communications are on half-duplex mode Communication latency could undermine service

quality There will be a need for a new etiquette for PTT

service use

There is a risk that the service cannibalizes voice and SMS usage

Only a limited number of GSM handsets currently support the service (and most of them are high-end smart phones for the corporate segment)

Communications are on half-duplex mode Communication latency could undermine service

quality There will be a need for a new etiquette for PTT

service use A specific software might need to be downloaded

on the handset for the buddy list and availability application

A specific software might need to be downloaded on the handset for the buddy list and availability application

5

Draft Benchmarks show that push-to-talk pricing typically consists of a subscription fee and an additional airtime fee

Pricing BenchmarksPricing Benchmarks

Push-to-Talk is typically priced high enough to avoid cannibalizing other voice service but low enough to draw new subscribers

Nextel Walkie-Talkie: Two types of national plans and two for international, with an additional minute sharing plan for Group talk:

Pay-as-you-go national charged for $0.1 per minute per participant, charged to call initiator, for a Group of 20

Unlimited national for $10 per month

International voice calls are pay-as-you-go for $0.2 per call per participant and $10 for unlimited

Orange (Talk Now): Talk Now costs 20p for each 30 minute session or part of it. However, a customer is never charged more than £1 a day on Talk Now in the UK. Once the customer have used up 5 sessions, the rest are free for the day

Push-to-Talk is typically priced high enough to avoid cannibalizing other voice service but low enough to draw new subscribers

Nextel Walkie-Talkie: Two types of national plans and two for international, with an additional minute sharing plan for Group talk:

Pay-as-you-go national charged for $0.1 per minute per participant, charged to call initiator, for a Group of 20

Unlimited national for $10 per month

International voice calls are pay-as-you-go for $0.2 per call per participant and $10 for unlimited

Orange (Talk Now): Talk Now costs 20p for each 30 minute session or part of it. However, a customer is never charged more than £1 a day on Talk Now in the UK. Once the customer have used up 5 sessions, the rest are free for the day

Push-to-Talk Service Pricing Benchmarks

Source: Company websites

“Mike Works Plans”“Mike Works Plans” “Mike Travel Plans”“Mike Travel Plans”

7 plans (differ in monthly fee & number of bundled minutes)

7 plans (differ in monthly fee & number of bundled minutes)

8 plans (differ in monthly rate and long-distance coverage)

8 plans (differ in monthly rate and long-distance coverage)

Number of Plans

Number of Plans

“Perfect for individual users, small teams or larger businesses

“Perfect for individual users, small teams or larger businesses

“Savings for heavy business users who are constantly on the road”

“Savings for heavy business users who are constantly on the road”

Package Positioning

Package Positioning

US$25-150 200-1500 bundled

phone minutes

US$25-150 200-1500 bundled

phone minutes

US$50-300 250-2500 bundled

phone minutes

US$50-300 250-2500 bundled

phone minutes

Subscription Fee

Subscription Fee

US$0.25/voice minute US$0.25/direct

connect minute

US$0.25/voice minute US$0.25/direct

connect minute

US$0.25/voice minute Unlimited one-to-one

direct connect US$0.25 one-to-group

direct connect

US$0.25/voice minute Unlimited one-to-one

direct connect US$0.25 one-to-group

direct connect

Additional Airtime FeesAdditional

Airtime Fees

Example: Telus “Mike” Rate Plans

6

Draft NewTel could offer push-to-talk at a premium monthly subscription fee and with additional charge for usage

Push-To-Talk Pricing Guidelines

Source: Press releases; Ovum

Possible Pricing ModelsPossible Pricing Models

Pricing on TimePricing on Time

Like for normal voice services, the user would pay for the duration of his messages, arguably at a discount compared to normal voice communications

Like for normal voice services, the user would pay for the duration of his messages, arguably at a discount compared to normal voice communications

Pricing Based on Individual Messages

Pricing Based on Individual Messages

Like for SMS, the user would pay for each voice message sent

Like for SMS, the user would pay for each voice message sent

Flat Fees and Bundles

Flat Fees and Bundles

The user would not pay for individual messages but rather a monthly fee for an unlimited access to the service or an access limited to a certain number of messages

The user would not pay for individual messages but rather a monthly fee for an unlimited access to the service or an access limited to a certain number of messages

Recommended Pricing StructureRecommended Pricing Structure

Connection Charges: None

Subscription Charge: Premium price per month (i.e. Dhs xxx over

postpaid plan subscription charge) Additional phone minute charge of Dhs xxx per

minute – so that it does not cannibalize normal voice

Offer ‘instant messaging’ option for Dhs xxx per month on top of GPRS subscription fee

No bundled minutes beyond GPRS plans

Other Considerations: Minimum group size of 5 Corporate users Minutes sharing is not allowed Have to bundle with GPRS

Connection Charges: None

Subscription Charge: Premium price per month (i.e. Dhs xxx over

postpaid plan subscription charge) Additional phone minute charge of Dhs xxx per

minute – so that it does not cannibalize normal voice

Offer ‘instant messaging’ option for Dhs xxx per month on top of GPRS subscription fee

No bundled minutes beyond GPRS plans

Other Considerations: Minimum group size of 5 Corporate users Minutes sharing is not allowed Have to bundle with GPRS