Paul Kenefick, Vice President at Alcatel-Lucent in the US, says that all available analysis projects massive growth in broadband services, particularly in mobile broadband, but that users will continually be seeking more as third party content and applications also booms. The communications industry is moving fundamentally from a service provider-centric model to a user-centric model. The US needs coherent broadband policymaking that will drive sustainable private sector activity but analyses need to look beyond simple penetration levels into other factors. International comparisons are also relevant.

1. International Institute of Communications Telecommunications and Media Forum December 1, 2009 Paul Kenefick Vice President, Public Affairs Americas Region

4. Not only a quantitative increase but a qualitative increase in consumer demand | September 2009 Cost Challenge Traffic Revenues Time Mainly voice Multimedia/multiservice Video and content rich services are booming… Affordable broadband, proliferation of smart devices, multiplicity of multimedia/video applications. Consumers increasingly intolerable of poor quality . … but users expect more… Simple, personalized access and interaction, across any device. Application Enablement is application continuity and session continuity . … and access to 3 rd party apps & content Paid for by advertisers, free to end-users – network providers extract limited value. Moving from service provider centric model to a user centric model.

5. Beyond the initial access point, networks are increasingly converged for cost and management purposes, also to provide the seamless user experience. NMS, EMSs Converged Aggregation Service Router (BNG/MSE) Service Router SGW / PGW IP / MPLS Converged Backbone IP / Optical Converged Backbone Converged Edge 7750 SR Ethernet/MPLS Transport Converged IMS SDE Converged Policy Mobility Management (MME)

9. www.alcatel-lucent.com www.alcatel-lucent.com