Telecommunications service provider in the UAE since 1976 An innovative and reliable operator 6th largest company in the Middle East in terms of capitalization and revenues*1

Services - WAP, GPRS, 3G, MMS, Push To Talk, BlackBerry services and others Mobile subscribers exceeded 4.5 million by the end of 2005, up 23% from 2004*2

Source * 1 - The Middle East magazine*2 – www.etisalat.ae

A world where people’s reach is not limited by matter or distance

To extend this reach

Market Dynamics

Prominent market players in the year 2009: Airtel Vodafone Idea BSNL Tata Indicom Reliance Mobile (RIM)

0

5

10

15Idea Airtel Vodafone BSNL RIM Tata Category

14

24

1713

17

11

Idea Airtel Vodafone BSNL RIM Tata Indicom

14 14 11

2518

2319

20

17

21

14

9 7

1426

18

13

723

16

1112

9 9

0%

20%

40%

60%

80%

100%

Q4 '08 Q1'09 Q2'09 Q3'09

GrowthGrowth inin subscribersubscriber additionsadditions GSM+CDMAGSM+CDMA

Source: COAI & AUSPI

Growth Rate

Market Share (Sept’09)NETT Addition

Category Spends TV (GRPs) PRESS (Rs. Lacs) OUTDOOR (Rs. Lacs)

April-May-June ‘09

July-Aug-Sept ‘09

April-May-June ‘09

July-Aug-Sept ‘09

April-May-June ‘09

July-Aug-Sept ‘09

Idea 3911 4323 331 171 1177 1676

Airtel 3462 4263 721 771 1635 2225

Vodafone 5801 5579 429 338 1633 2142

BSNL 715 2472 423 720 - -

RIM 3358 3969 2165 301 795 1502

Tata 2966 2569 358 312 1521 1776

Aircel 3461 2459 1788 146 3675 2369

Total Category 26658 28348 6227 2808 12560 12690

SOE

Idea 15 15 5 5 9 13

Airtel 13 15 12 22 13 18

Vodafone 22 20 7 10 13 17

BSNL 3 9 7 21 - -

RIM 13 14 35 9 6 12

Tata 11 9 6 9 12 14

Aircel 13 9 29 4 29 19

Overall category TV and Outdoor spends maintained inQ3’09 (July-Aug-Sept) whereas Press spends

dropped due to lower spends by Reliance and Aircel as compared to Q2 ’09 (April-May-June)

Vodafone continued to lead on TV SOV in Q3’09 (April-May-June) Idea, Airtel and Reliance next in

the rung

Airtel and BSNL lead on Print SOV inQ3’09 (April-May-June) where Reliance was leader in Q2’09

(July-Aug-Sept)

Airtel and Aircel lead on Outdoor SOV in Q3’09 (April-May-June)

Currently, the mobile telephony industry is going through significant and competitive changes. Per second billing in the GSM sector is one such change. Every new phenomenon has taken then industry by storm. The industry is lucrative and competition has assumed critical significance as some new entrants in the market have launched operations using marketing strategies as the solitary platform. Some second tier players have joined the bandwagon and are pursuing this segment actively. Established payers in the market are facing challenges from these fledgling occurrences and it remains to be seen whether the much talked about trends such as per second billing are here to stay or just passing fads. Whether at all consumers are satisfied with their service providers on long term usage is a question, the answer to which may determine the future strategy of the already established brands or new ones.

At the awareness level, a brand like Etisalat has done wonders with spreading its word as reliable service providers. This will be the biggest trump card in leveraging Etisalat in India. Already, it has captured enough attention in the market to generate general benefit expectations as also first time trials. However, what is important is the benefit the user receives after actually experiencing the service. The gap between the expected and experienced benefit is responsible for establishing a pattern in usage in the future.  Therefore, it becomes imperative to study the triggers for a customer to shift from a current usage brand to another. Research should help Etisalat understand this behavioural phenomenon, the gap in the expected benefits and also the post usage satisfaction of switcher.

The primary question here is what the impact from the launch really is, why it is and whether it will last. Therefore, the following should be double checked before the launch as pre emptive measures with competitors:  •Understand the triggers responsible for a shift to new service provider•Understand consumer benefit expectations with the shift•Understand consumer experience with the shift•Study post usage satisfaction with respect across the following touch points:

BillingRechargeRetailsCall centreNetwork