Paul Scanlan President Business and Network Consulting Paul

Paul Scanlan President, Business and Network Consulting Paul. Michael. Scanlan@huawei. com «Worldwide ICT Development Experience» International ICT Round Table | June 24 Uzbekistan, Tashkent

Insights … l The World is changing… West -> East …Industry to Information … l Mobile Internet Cloud technology Several trends will influence Strategy… Climate Change, Rapid Innovation Post 2015 MDGs … l SMART will change our business… Advanced robotics Digital Economy Automation of knowledge 3 -D printing SMART Cities, Transport, Energy etc. … l New Business Models are essential… Collaboration, Alignment, Agreement … HUAWEI TECHNOLOGIES CO. , LTD. Advanced materials Autonomous vehicles Internet of things

Global Systemic Trends … 2020 Global Policy Direction Technology for next 1 -2 bln Sustainable Growth Collaboration New Business Models Improved Business Value New Marketing Propositions Support Market Trends Enhanced Value Proposition Emerging Opportunities Cloud Services Virtualisation – Data, Control, Management & Services Plane Social Digital Inclusion 2020 Economic Waste ge na ma ce ur so Re SMART networking Network 2020 SDN/ NFV ity Homes ur Buildings 5 G SMART Services Water Technology ec Improved Education Io. T/ M 2 M ds HUAWEI TECHNOLOGIES CO. , LTD. Food Security Education SMART Connectivity an End Poverty Governance Resilient Infrastructure Post 2015 Millennium Development Goals Inclusive Growth Energy Transportation Peak Oil Climate Change Healthcare ce Growth Limits SMART Living ien UN Climate Change Paris 2015 Environmental sil Safe Resilient Cities me Smart Re Energy Access nt Sustainable Growth Global Policy Direction Resource efficiency

Massive traffic growth and high density demand Stringent demands for real time communications New use cases M 2 M, Internet of Things Wide variety and variability of services consumed Interconnected Services Broadband Everywhere MIMO Technological Progress Ultra-reliable Communications HUAWEI TECHNOLOGIES CO. , LTD.

Where the Opportunity Lies … Soft. COM Connected Possibilities Smart Cities, Governance, Healthcare, Water, Lighting, Buildings, Transport, Education, Grids and Economics etc. $7. 1 Trillion in 2020 IDC Soft. COM = Software Defined + Tele. COM CT Previous 100 Years Connected Communications HUAWEI TECHNOLOGIES CO. , LTD. IT Past 20 Years Social Internet Next 10+ Years Internet of Everything

The Emerging Digital Economy … Open Agile COTS Programmable Scalable Virtualised Managed Automated Network 2020 Energy Management Resource Management Multi-Trillion $ Opportunity Circular Economy Smart City Rural Environment $1. 62 Trillion Globally in 2020 Smart Global Smart Transportation Buildings $104 Bn $21. 9 Bn Smart Healthcare Smart Water Market worth Global Smart Waste Smart Education Trillion. Dollar $3. 3 Bn $705 Bn $344 Bn Smart Energy Global Smart Market worth Technology $400 Bn The digital age will transform the nature of industries HUAWEI TECHNOLOGIES CO. , LTD. $60 Bn Smart Homes $47 Bn

Emerging Examples (1) … HUAWEI TECHNOLOGIES CO. , LTD.

Emerging Examples (2) … HUAWEI TECHNOLOGIES CO. , LTD.

ICT at the Heart of Complexity… R 3 I 3 2020 and beyond. Building resilient and sustainable solutions Addressing Climate Change and Global Warming Smart Cities Living in the Cloud Smart Citizen Collaboration Smart Grid Smart Education Smart Healthcare Recycle - Inspire HUAWEI TECHNOLOGIES CO. , LTD. Environment Society ICT Technology Economy New accounting methods/Environmental Economics Circular Economy/Genuine Progress Indicator Index of sustainable economic welfare Reduce - Inform 5 Green Sensors Resilient Integrated Traceable 3 D Printing Connected Localised Sustainable Cloud Based Software Defined Networks Internet of Everything Reuse - Involve

Global Broadband Objectives in 2020 … Broadband to 90% of the rural population Broadband to 55% of households 140 Countries with NBP ICT environment conducive to innovation HUAWEI TECHNOLOGIES CO. , LTD. Decrease of 30% Gas emission by ICT sector

The Socio-Economic Benefits of Broadband… Competitiveness Economics Productivity Employment e-Commerce Security Broadband Connects & Enables Everything Energy Education HUAWEI TECHNOLOGIES CO. , LTD. Traffic Healthcare Lives

Case: Malaysian National Broadband Initiative Internet Penetration Rate “Innovation Economy: Paving the Way to Prosperity" Prime Minister of Malaysia Supply Demand Percentage --- DATO’ SRI MOHD NAJIB TUN ABDUL RAZAK 80 Connect Remote Village 2+ Mbps 10+ Mbps HSBB 4, 679 1. 1 424 centers Million Sets Increase Internet Access Point Netbook Subsidy Malaysia National broadband Initiative was launched from 2009 HUAWEI TECHNOLOGIES CO. , LTD. Source: Malaysia USP report, World bank 31. 7 21. 1 20 2008 2009 2010 2011 2012 2013 Subscription Rebate Villages e-Public services 40 67. 1 0 GDP Per Capita Change 10538. 1 8460. 4 US Dollars BBGP 55. 6 60 62. 3 66 7277. 8 World financial crisis 2008 2009 2010 2011 2012 2013

Broadband Key Effects 10% Increase of Broadband 1. 38% Zhao Houlin 3% Increase of GDP Increase of Employment Rate Secretary-General, ITU 3. 6% HUAWEI TECHNOLOGIES CO. , LTD. Increase of Productivity

Uzbekistan ICT Progress & Transformation Framework Practical changes of people life quality, openness for enterprises Data Openness e-GOV Participation Transparency On-line services People & Enterprises Broadband Basement Information Security Ensure safety Technology enabler IDI 4% Yo. Y ICT Development HUAWEI TECHNOLOGIES CO. , LTD. Index Mindset change Legal Framework

Regional ICT Development Plans Overview ICT Program ICT Scale Turkey ICT 2013 -2023 $ 32 B - $ 160 B Belarus ICT 2015 -2019 $ 1. 2 B - $ 9 B Kazakhstan ICT 2013 -2020 $1 B–$8 B Uzbekistan ICT 2013 -2020 $1 B–$3 B Georgia ICT 2014 -2018 $ 0. 8 B - $ 6 B Ukraine ICT 2013 -2018 $ 0. 6 B - $ 1. 2 B Azerbaijan ICT 2013 -2020 $ 0. 3 B - $ 1. 2 B HUAWEI TECHNOLOGIES CO. , LTD. Source: Country ICT report 2014

Uzbekistan: Transformation to the Digital Society Stage Objective Target Infrastructure Deployment of fundamental network Infrastructure 200 G 100 G 25% Internet Gateway Backbone Fixed Broadband households penetration @8 M average speed National Data. Center National GSM/UMTS Net e-Gov 100% village with fiber connection e-Government service on-line Investment in e-Human Capital HUAWEI TECHNOLOGIES CO. , LTD. 2015 -2017 Infrastructure Expansion of broadband network coverage and Internet usage 500 G 400 G 50% Internet Gateway Backbone Fixed Broadband households penetration @20 M average speed IDC based: B 2 B/B 2 C on-line National LTE + Wi. Fi Net +10 e-Government initiatives: e. Custom, e-Education, e-Health, Smart. City, etc 2017 -2019 Utilization Expansion and Integration of information resources, advanced utilization of knowledge and information 1 Terra 70% Internet Gateway Backbone Fixed Broadband households penetration @100 M~1 G avg speed Smart. Home, Digital. Socienty 5 G Network Utilization of national knowledge resources; integration of nationwide information resources 2020 ~

Thank you Copyright© 2015 Huawei Technologies Co. , Ltd. All Rights Reserved. The information in this document may contain predictive statements including, without limitation, statements regarding the future financial and operating results, future product portfolio, new technology, etc. There a number of factors that could cause actual results and developments to differ materially from those expressed or implied in the predictive statements. Therefore, such information is provided for reference purpose only and constitutes neither an offer nor an acceptance. Huawei may change the information at any time without notice.