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Information and Communication Networks Revolutionizing the Way People Communicate Andy Mattes, Member of the ICN Executive Board Bear Stearns Technology Conference 2004, New York
Information and Communication Networks
Revolutionizing the Way People Communicate
Andy Mattes, Member of the ICN Executive BoardBear Stearns Technology Conference 2004, New York
Siemens AG
Automation and Control
19,977*
I & C
22,291*
Lighting
4,172*
Medical
7,422*
Power
10,366*
Trans-portation
13,072*
IC Networks
7,122*
IC Mobile
9,964*
Siemens Business Services
5,205*
* FY03 sales in millions of euros
2
IC Networks and Siemens AG segments
Carrier
n 350+ carriers in 105 countries
n #1 worldwide in TDM digital switch ports and reliability
n #1 in Next Generation switching (VoIP) – 80+ SURPASS solutions ordered
n No. 1 in DSL customer premises equipment (CPE)
n #2 worldwide in x-DSL Broadband Access (1.1 million ports shipped in 1Q/2004)
n Technology leader in metro optics and long-
Enterprise
n Leader in Real Time Communications – one million enterprise customers in over 80 countries; more than 70% of Fortune 500 are our customers; 3 million systems installed; 86 million workpoints and clients
n No. 1 in IP communication solutions for enterpriseswith 14 million IP enabled clients and more than 250,000 IP convergence systems
n Big choice of devices with access to all HiPath features; i.e. TDM and IP Phones, SoftClients, Mobile and Cordless Phones, Phones with special security!
Information and Communication NetworksFY03: € 7.1 billion; 33,000 employees
3
Siemens ICN – a global powerhouse
Sales
1,618 37
(4%) 184
Q2 FY04in millions of euros
Change YoY
GroupProfit
3,318 88
(5%) 386
HY 04in millions of euros
Change YoY
4
1,773
5%
3,622
0%
New ordersIC
Net
wor
ksIC
Net
wor
ks
Price pressure continues
Sales
1,587 48
(7%) 385
HY 04in millions of euros
Change YoYCarr
ier
Profit
1,737 92
(2%) -
HY 04in millions of euros
Change YoY
Ente
rpri
se
5
1,820
(7%)
1,805
3%
New orders
Profitable in carrier andenterprise segments
Three levers for sustainable success
Global competitivenessdriven by cost control and process efficiency
Customer focusGrowing customer base and migrating installed base
InnovationShaping the future with LifeWorks
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How 2gIP delivers on vision
Apps andservices
DiverseCPE
Convergedvoice
and data
CTI
Cost Operationalefficiency
Productivityimprovement
Processimprovement
Business view
Technology view
Tactical Strategic
Un
ifie
dF
rag
men
ted
Global Competitiveness
Customer focus
Innovation
1gIP
2gIP
7
8
Global Competitiveness
Customer focus
Innovation
Wireline
Publicdomain
Wireless
Enterprisedomain
Individual
ServiceProvider
Enterprise
LifeWorks –customer oriented innovation
Voice Portal
• Contacts/Calendar
• Web
• Messages
Global Competitiveness
Customer focus
Innovation
HiPath OpenScape boosts productivity
Video-TelephonyAudio/Video on Demand, Personal Video Recorder
Gaming Internet on TV
Carrier controlledHome Gateway
”Speedstream Home Entertainment”
Broadcasting
Stefanie: What do you think about this movie...?
Messaging (SMS,MMS)
Exploiting TV to generate new revenues
Global Competitiveness
Customer focus
Innovation
Wrap up
Global powerhouse
Financially strong
LifeWorks innovation shapes future market
Profitable growth
11
Global Competitiveness
Customer focus
Innovation
12
LifeWorks video
13
Appendix
Carrier customer wins in the US
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SURPASS hiQ 8000 for hosted IP servicesPure IP softswitch for next generation services and applicationsSBC
SURPASS hiQ 8000 for hosted IP servicesVoice-over-cable, IP-based solution builds incremental revenues with new converged services
SURPASS hiQ 8000 for hosted IP servicesSURPASS Business Connection for next-generation IP services
SURPASS hiT 7500 for long haulExtends 2000km+ providing a cost effective, reliable and easy to manage all-optical network
EWSD and SmartRemote Switching Platforms Service and major network technology upgrades implemented for operational cost benefits
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Enterprise customer wins in the US
§Identity Management Solution Supporting 190,000 Employees§Synchronization Across All Corporate Systems (e.g. Lotus Notes, Global Directory, Microsoft platforms, etc.)§Won Head-to Head Bake-off Against SUN, Microsoft, and IBM
§Smartcard-based Identity Management Solution§Secure Access to Information Systems and Buildings§Will Support 200,000 Employees, Contractors and Partners§Integrated with Existing PKI and Physical Security Investments
§90% IP to the User Desktop - 400 x optiClient 130 Soft Clients; 400 x optiPoint 600 IP Phones§Soft Clients Replace Phone for All Laptop & Mobile Users §Unified Messaging and Contact Center
§Multi-Vendor Support Desk and Lifecycle Services –77 Communications Vendors§BB&T-branded Support For 28,000 Employees§1700+ branch locations
§Siemens DirX MetaDirectory solution is repository for security services
Siemens Investor Relations Team
Webpage: http://www.siemens.com Investor Relations
e-mail: [email protected]
Fax: +49-89-636-32830
Marcus Desimoni +49-89-636-32445
Constantin Birnstiel +49-89-636-36165
Christina Schmöe +49-89-636-32677
Irina Pchelova +49-89-636-33693
Disclaimer:This presentation contains forward-looking statements based on beliefs of Siemens' management. Suchstatements reflect the company's current views with respect to future events and are subject to risks and uncertainties. Many factors could cause the actual results to be materially different, including, among others, changes in general economic and business conditions, changes in currency exchange rates and interest rates, introduction of competing products, lack of acceptance of new products or services and changes in business strategy. Actual results may vary materially from those projected here. Siemens does not intend or assume any obligation to update these forward-looking statements.
