Content. Telecom & Media in brief Market trends and sales development R&D transformation Tieto mobile applications Key themes going forward

Transcription

1 Telecom & Media Battle of convergence Capital Market Day 25 November 2010 Helsinki, Finland Willem Hendrickx Telecom & Media

2 Content Telecom & Media in brief Market trends and sales development R&D transformation Tieto mobile applications Key themes going forward

3 Telecom & Media professionals innovating and delivering for 10% 25% MEDIA CONTENT OPERATORS PROVIDERS NETWORK MOBILE EQUIPMENT DEVICE PROVIDERS MANUFACTURERS 50% 15% 3

4 Service portfolio R&D services full spectrum Software and hardware development From strategic advisor to maintenance Services for all stages of product development Key competences to accelerate time to market of new products/solutions Flexible R&D capacity to smoothen out temporary or cyclical needs Outsourcing of non-core assets IT services Outsourcing System Integration Digital service Design IT supporting R&D processes Cloud Services R&D services IT services 46% 54% 4

5 Market trends in 2010 Strongest companies are investing Operator segments have picked up, boosted by IT renewal Devices segment growing, boosted by manufacturer competition on Open Source (Android, Meego and Symbian) Media companies continue to outsource IT Positive development also in the network equipment manufacturers; sales still on a lower level than a year ago Key competences and off-shore capabilities are crucial 5

6 Sales development Nine-month sales up 2% when excluding the divestment in France Pipeline has grown by 23% since January 2010 Margins up substantially due to lower costs and improved efficiency Share of net sales 31% 30% 39% Sweden Finland International 6

7 R&D transformation Fast and efficient Main offshore countries China, India and Poland 55% of R&D hours delivered from offshore Tieto s R&D efficiency up by 14% R&D hours Onshore Offshore 7

8 Tieto one-stop-shop for Mobile Solutions Innovation & concepting Ready made components Multi-platform application development Maintenance and operation services Back-end solutions and integration Tieto is among the top 3 mobile R&D development partners in the world User Experience Mobile R&D specialists globally combined with deep domain knowledge of different industries. Solutions in all major smartphone platforms in the world. Focus in the Future! Nokia Qt AlliancePartner Member of Forum NokiaPro 8

9 iphone app for an insurance company Emergency car crash Gather information for insurance claims handling Call emergency number Find nearest address/position Save insurance claims images Road support Learn first aid Contact the company Call Center The application has been covered in several news articles and rated as a recommended application by Amobil and received positive feedback from the users. Local services Available in the Norwegian, Swedish and Danish App Stores.

10 R&D IT and labs Value triangle Operational efficiency Unit cost Infra costs OPEX Processing in finance Asset utilization BUSINESS VALUE Project lead times SW development effort CAPEX R&D 10

11 Key themes for us going forward Capturing the opportunities Transformation continues Drive efficiency Off-shoring R&D lab outsourcing Everything goes mobile! Use our combined knowledge to capture market share Demand for R&D services in new technologies will increase Media companies looking for new revenue streams Operators are looking for partners in new services areas Vertical expertise, IT and R&D services New business models and a new go to market approach partnerships are the key to win the race! 11

12