Business. Backed by TELUS • TELUS Confidential • Page 1

The TELUS Fibre Optic Network

Fibre optics: Supporting business growth and positioning your community for success

Tuesday, April 19, 2016

Zouheir Mansourati, Vice-President Broadband Network Implementation

Investing in our future

What HowWhyAdvancing Canada’s place in the world by laying the foundation for future growth and development.

We are determined to improve the lives of Canadians through technology and advanced health care.

TELUS is connecting Canadians to the global market through Fibre-to-the-Premise (FTTP) – the next wave in the evolution of business and household infrastructure.

Business. Backed by TELUS • TELUS Confidential • Page 4

The evolution of the connected premise

1800s

1900s

1920s

2010

Electricity

Running Water

1940s

1960s

Telephone over copper

Central Heat

Fibre to the premise:The next wave in the

evolution of business and household infrastructure

Natural Gas

1990s

DSL Internet

Business. Backed by TELUS • TELUS Confidential • Page 5

Why Fibre-optic Communication

Copper Cable Coaxial Cable Fibre-optic Cable

Fast – Reliable – Resilient

Original phone services Distance limitations Weather sensitive

Original TV services Shared loop;

congestion

High bandwidth Transmission over long

distance Higher resilience and

insensitivity to environmental factors (e.g. noise, humidity, salt)

Connecting communities

Feeder

Fibre Distribution Hub

Network Access Point & Multiport Optical Network

Terminal

Distribution DropCentral Office Service Box

Underground

Optical Line Terminal

Feeder

Fibre Distribution Hub

Network Access Point & Multiport

Distribution

Drop

Pole

Optical Line Terminal

Aerial

Optical Network Terminal

Central Office

Business. Backed by TELUS • TELUS Confidential • Page 7

Changing technology driving growth

Standard definition

3 Megabits/second

High definition

8 Megabits/second

Ultra high definition

25 Megabits/second

Investing in the community

Fibre enables cloud computing which benefits small-to-medium size businesses who will no longer need to host software applications in-house.

Cloud computing

Enhances students’ educational opportunities by enabling next-generation learning systems and technology such as digital textbooks, video conferencing, interactive whiteboards and mobile devices.

Education

Fibre enhances telecommuting options by reducing employee travel time and costs, reducing real-estate footprints and facilitating high-speed downloads and uploads.

Telecommuting

Fibre helps improve medical outcomes through faster diagnosis and treatment. It reduces costs and travel time for patients and improves quality and accuracy of medical records.

Health services

Fibre attracts business travelers with fast and reliable networking speeds and high-tech business conferences that require state-of-the-art technology.

Hospitality services

The “Internet of Things” will transform everyday life through “smart objects” equipped with sensors and network connectivity, allowing them to send and receive data. Fibre provides the bandwidth to power the “Internet of Things”.

The “Internet of Things”

Future-proofing the home

Smart alarms

Lighting control

Home health monitoring

Appliance sensors

Security

Environmental monitoring

Connected vehicles

Gardening sensors

Damage/leak sensors

Next-gen entertainment

Business. Backed by TELUS • TELUS Confidential • Page 10

Building a foundation for the Connected Canadian

10

Business. Backed by TELUS • TELUS Confidential • Page 11

Internet of Things solutions for business

Digital signage

Asset tracking

Failover

Fleet management

Logistics

Lone worker

Remote monitoring

Security

*Part of a TELUS-wide $1B investment in the City of Vancouver over the next 5 years (October 2, 2015)

“When our work is complete, Vancouver will be among the first cities in the world to benefit from this new infrastructure, and will be the largest metropolitan centre in

Western Canada with gigabit-enabled fibre optic connectivity.”

Darren EntwistlePresident and Chief

Executive Officer

Investing in Vancouver’s futureIn 2016 alone: Over the next 5 years:

$160 million capital investment in TELUS Fibre

(estimate)

Up to 76,000premises passed

9,000customers connected

$450 million* capital investment in TELUS Fibre

(estimate)

236,000premises passed

103,000customers connected

Where and when?

Additional information at fibre.telus.com/vancouver

Coming June

Coming May

Planned for future phases

Available now

Partially available

Coming 2016

Business. Backed by TELUS • TELUS Confidential • Page 14

The benefits of Fibre Optics for developers

Differentiate your

product

Attract commercial tenants

Influence real-estate values

Business. Backed by TELUS • TELUS Confidential • Page 15

Re-thinking the Build Decision

Process takes 8 – 10 weeks from receipt of full documentation.

• Transparency

• Predictability

• Economic Viability

Engage

Assess

Discuss

Decide

Business. Backed by TELUS • TELUS Confidential • Page 16

StartBuild New development

I share my plans & receive education on process, standards,

options, Q&A

“What I want to do & when I want to do it”

We agree to proceed & I

provide TELUS my unique

development details

(e.g. dates, drawings)

Easily figure out who to talk

to about my development

TELUS helps me complete my permit applicationI sign the agreements

defining roles and responsibilities for each

party

While I wait for permits TELUS proactively

follows up with me to keep track of when I’m

ready to proceed

I tell TELUS when I’m ready for conduit to be placed &

the TELUS team places it to my property line

I tell TELUS when my property is ready to be connected to the

distribution network

When I’m ready to proceed TELUS works with me to provide my

design

Case file is created for my

development & I get the ID so that I have it for my next

call

I am informed of indicative cost for

completing my development

Within 8-10 weeks I am informed of build decision

I receive final cost for my development

My payment is easily processed, I receive confirmation & the

construction dates from my Case Manager

The TELUS team completes the

connection from my house to the distribution

network

My Case Manager follows up to confirm I’m happy

All is ready for resident to move in

End

I’m ready to start working on my next development

The Developer Journey

Thank you