June 3-4, 2014 | Renaissance Long Beach Hotel | Long Beach, CA

Royal Caribbean Cruises, Ltd.

Global Connected Aircraft Summit

June 2014

Gregory Martin & Madeleine Vidal

• Royal Caribbean Cruises Ltd. Overview

• Technology Today

• Satellite Communications

• Bandwidth Strategy

O3b

Terrestrial Wireless Broadband

Onboard Wireless Broadband

• RCCL News

• Questions / Comments

Agenda

Innovation is in our DNA

• 42 Ships, 94K Berths

• Six brands

• Second largest Cruise Company in the world

• Three ships on order

Company Overview

Contemporary

Global

Premium

Deluxe

Contemporary

Spanish

Contemporary

German

Contemporary

French

22 Ships 11 Ships 2 Ships 5 Ships

1 Ship

1 Ship

Global Footprint

London Data Hub

Paris Frankfurt

Madrid Data Hub

Stockholm

Shanghai

Singapore Data Hub

Sydney Data Hub

São Paulo Data Hub

Barcelona

Beijing

Miami Miramar

Hallandale Hollywood

Springfield

Wichita

Bayonne

Anchorage Fairbanks

Seattle

Baltimore

Turku

Papenburg

Lisboa

Gosford

Mexico City Data Hub

Genoa

Guangzhou

Weston

Culpeper DC

Miramar DC

State of the Infrastructure Global support services with a local touch Two fully redundant data centers – Miramar, FL and Culpeper, VA 24x7 global network support, leveraging an outsourced provider Upgrading core systems to cloud & HA, moving away from traditional DR

5

Global Data Centers Regional Data Hubs

• 22 Royal Ships

• 11 Celebrity Ships

• 2 Azamara Ships

• 7 Pullmantur/TUI, CDF Ships

one-quarter of mobile users will have more than one mobile-connected device, and 9% will have three or more mobile connected devices.*

smart phones will enter the market over the next five years, about 40% of all handset shipments.** Source: *Cisco, **ABI Research

of travelers expect a “home away from home” experience when they are traveling.*

of travelers are expecting more from hotels with regards to amenities and services now that hotel prices have increased.**

Source: *Amadeus, **Deloitte

Cruise vessel of the future will provide… Significantly enhanced guest experience

Improved crew morale

Faster decision making & real-time remote control

Lower operating costs

Safer work environment

Success depends on…

100x bandwidth of today

Every device IP connected

Multi-path communications

Applications aware network

Retail &

Concession

Mobile

Calling

Services

Video

On

Demand

Entertainment

Video

Conferencing

&

Crew

Training

WiFi

Enabled

Passengers

Satellite Communications Overview

Earth station links back guest internet, corporate data and voice services

Shipboard Bandwidth

9

• 2012 – Migrate majority of the fleet to new satellite platform

• 2013 – Complete satellite platform migration to Harris Caprock

• 8X more capacity

• Incremental Performance gains expected over time

• Revenue Projections are favorable

– Deploy new iCafe system to fleet • Different Revenue Models

– Add satellite capacity as required

• Challenges • Guest demands more capacity at lower cost

• Land like speeds

• Fast and reliable is the norm

• No Roaming

• Mobile is the Platform

• Skype / VOIP support

Mid Earth Orbit (5K Miles)

Current Geostationary Orbit (22K Miles)

Bandwidth Strategy

Overview

v Oasis - Current

Oasis – Regional 100 megs Pools New Contract

• 300 Megs / 140 ms

• Meets Consumer Needs

2020 2019 2018 2017 2016 2015 2013 2012 2011 2014

• 4 megs/700ms

• 10+ Megs / 700 ms

• Does Not Meet Consumer Needs

Oasis – O3B

2014+

• Deploy ultra high speed medium earth orbit satellite solution to Oasis, Allure, Quantum • Terrestrial Wireless Broadband • Create next gen shipboard architecture • Add satellite capacity as required

O3b

• Next Generation Medium Earth Orbit Satellites

• Solves the latency problem - ~200 ms • High throughput – 300+ mbps • Coverage between the 45s • Ka – Band, 700km diameter beams

` Oasis / Allure of Seas

Routes

BELIZE

HONDURAS

EL SALVADOR

COSTA RICA

PANAMA

CAYMAN

ISLANDS

JAMAICA

THE

BAHAMAS

HAITI

DOMINICAN

REPUBLIC

PUERTO RICO

MARTINIQUE

ST. LUCIA

GRENADA

TRINIDAD AND

TOBAGO

ST. VINCENT AND

THE GRENADINES Caribbean Sea

Gulf of Mexico

Atlantic

Ocean

COLOMBIA VENEZUELA

GUYANA

SAINT

MAARTEN

200km

NICARAGUA

CUBA

Terrestrial Wireless Broadband Broadband

• Cost Effective

• Higher Capacity

• Port of calls per ships

• Ships per port of call

Onboard Wireless Broadband

GUEST PRESENCE GUEST ACCESS GUEST EXPERIENCE

Mobile Device Detection

Seamless, secure Wi-Fi onboarding

Local Services

DETECT CONNECT ENGAGE

Ubiquitous Wi-Fi –

Improved mobile experience

Business Scenarios

Business Benefits

• Higher hotel revenue through higher guest dwell time

on property (10% - Hyatt) and repeat visits

• Higher conference wireless upsell through extended

coverage of conference experience throughout property

(6x - MGM)

• Monetization – mobile data offload

• Alignment of future mobile network integration to hotel

wireless network (802.11u & Passpoint)

• Pervasive Wi-Fi coverage across property – public spaces,

conference area, outdoors, guest rooms

• Uniform guest experience across property

• Tiered guest access

• Mobile network integration (802.11u & Passpoint)

• Cellular data offload

Mobile Internet Is a Necessity

Source: Cisco IBSG March 2012

Changes broadband provider for free public Wi-Fi

Gets Wi-Fi via subscriptions or loyalty plans

Thinks free public Wi-Fi from broadband provider extremely important

Gets public Wi-Fi for free

Wi-Fi is the predominant access technology

WOW: The Power of Mobility

• Direct Revenue

– Push content for events, excursions, products & services to Guest by location, time of day and/or based on what you know about the Guest

• Queue times – divert Guest to other venues for faster service

– Cabin based content and services no longer restricted to the cabin (pay per view movies at the pool)

– Opportunity with increased bandwidth to offer access to off ship content and services via the Guest device at a premium cost

– Single number reach – cabin to cell, cell to cabin: all one number to communicate.

• Leverage calling plans to drive more margin (cabin to shore vs. cell to shore) from any device and anywhere on the ship

• Analytics

– Monitor paths, dwell, long lines

• Ability to redirect guests and crew based on data

• Staffing optimization based on traffic counts and dwell

• Tracking and monitoring back of the house support crew in an effort to help streamline movement and process (logistics, servers, etc.)

• Provide path and dwell times to vendors for better merchandising and service (almost all non F&B and casino operations re run by 3rd party vendors on a rev share model)

– Safety

• Detect passenger in Crew or restricted areas

• Determine closest crew to incident or area of need

Innovation Opportunities

o Near Port Highspeed Wireless Backhaul

o Next Generation of High Speed / Low Latency Satellites

o Earth Station Evolution to Cloud

o Data Transfer Optimization

o New Antenna Technology

o New Wireless Technologies

RCCL News - Setting the Bar

• Boatloads Of Bandwidth: A New Wow For Oasis And Allure (5/21/14)

– "A great vacation today also means keeping friends updated over social media, and enjoying downtime with streaming content played on tablets and phones, not just movies on TV in your stateroom.

– "But matching or exceeding the best on-land service was a tough challenge when the nearest cell tower or cable hook-up was 1,000 miles away. But real breakthroughs are what we do. And once we cracked the download code, we also got to dream up some pretty interesting new uses for all that connectivity. Our ships go to incredible places -- and this makes getting there even more incredible”

Adam Goldstein, President & CEO, Royal Caribbean International

• http://online.wsj.com/article/PR-CO-20140321-904688.html

Questions / Comments? Gregory Martin

gmartin@rccl.com

https://www.youtube.com/royalcaribbeanintl