Alcatel-Lucent Alcatel Lucent / ICO Mobile Interactive TV ICO Investor Conference Olivier Coste, President, Alcatel-Lucent Mobile Broadcast Reston Virginia May 2, 2007

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Service Provider’s offer of Digital TV is a reality today

Alcatel-Lucent is enabling service provider business transformation 2 | ICO Investor Conference May 2, 2007

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Mobile TV, a great opportunity for service providers Over 220 operators have already launched mobile video services, ~110 Live TV (+40 in 12 months)…

FRANCE (Orange sources) 3.6M subs with Mobile TV ready sets 51 Million TV sessions in 06 Average 43‘ per month (06)

USA (OVUM sources) Started Nov 03 1M subs in April 06 (2M expected for Q1 07) Retail (ATT 06) monthly fee $19.99

3 | ICO Investor Conference May 2, 2007

KOREA (TU Media sources) Launch May 05, 1.2M subs in Feb 07 Average: 63’ per day Monthly subscription: $10 basic + $4 option + $2 for VOD

ITALY (Tre sources) Started June 06 140k subscribers in 6 weeks ~10€/month (various packages)

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Beyond “TV on Mobile”: Combining Multicast and Interactivity

Interactivity: Innovative & added value service range, active advertising Advertising

Up-selling

Voting

Alerting

Mobile TV Access

M-Commerce C

M lticast: Access subscription Multicast: s bscription and a audience dience 4 | ICO Investor Conference May 2, 2007

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Alcatel-Lucent’s Mobile TV solution offer System Architecture, Design & Optimization

E2E Solution Integration Space Segment

CHIPSETS TERMINALS

Broadcasting & Service Delivery Terrestrial Backhauling

Application & Service O&M

5 | ICO Investor Conference May 2, 2007

DVB-SH/DVB-H DVB SH/DVB H Networks N t k 3G/3G+/WIMAX Networks

N Network k IInstallation, ll i O&M

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E bli Enabling

DVB-SH standard to optimize hybrid operation DVB-SH means evolution of DVB-H to higher frequencies (