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©KDDI CORPORATION ALL RIGHTS RESERVED User-centric Services created by Connected Everything over the KDDI's multi-networks Masashi Usami General Manager R&D Strategy Division KDDI Corporation 13 March 2014 Global Electronics Forum 2014, Singapore

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©KDDI CORPORATION ALL RIGHTS RESERVED

User-centric Services created by Connected Everything over the KDDI's multi-networks

Masashi Usami General Manager

R&D Strategy Division KDDI Corporation

13 March 2014 Global Electronics Forum 2014, Singapore

1 ©KDDI CORPORATION ALL RIGHTS RESERVED

• Variety of telecom services …Mobile(3G, LTE), FTTH, BWA(WiMAX)

• Dominant market share of Cable TV business

• Mobile banking business …Joint venture of Bank of Tokyo-Mitsubishi UFJ and KDDI

Who is KDDI ?

Mobile FTTH Cable TV

As of December 31, 2013

28%

12% NTT Group

[Market Share of KDDI Group in Japan]

JIBUN BANK wins Honorable Mention

for Disruptive Business Model

[Mobile Banking Business]

(Multi-channel)

Others

53% Others

NTT

docomo

SOFTBANK

MOBILE

As of June 30, 2013 As of September 30, 2013

Source: TCA, MIC and HOSO Journal[December 2013]

eAccess

App

2 ©KDDI CORPORATION ALL RIGHTS RESERVED

Contents ■ Big Change of Telecom Industry

■ Smart devices connected to TV

■ Smart devices connected to Automotive

■ Smart devices connected to Sensor, Wearable

■ Smart devices connected to e-Money

■ KDDI's concept of user-centric services over the future multi-networks

3 ©KDDI CORPORATION ALL RIGHTS RESERVED

0

800

12年3月 12年6月 12年9月 12年12月 13年3月

Total number of SmartPhones Data Traffic

×2.4

Big surge of Smart Devices and Data Traffic

0

1,400

12年3月 12年6月 12年9月 12年12月 13年3月

×2.1

3G

LTE

2012 2013 2012 2013

4 ©KDDI CORPORATION ALL RIGHTS RESERVED

LTE penetration

112.5 Mbps

75 Mbps 10MHz width or more

5MHz width or more

15MHz width or more

20MHz width Commence in August 150 Mbps

37.5 Mbps

Actual Population Coverage Ratio August 2013

Maximum DL Data Rate

72%

31%

6%

Bandwidth

Enhance peak data

rate

Actual Population Coverage Ratio of 800MHz Band LTE

99% at the end of March 2014

20MHz width of LTE is commenced in some areas in this August

800 MHz Band LTE

4

5 ©KDDI CORPORATION ALL RIGHTS RESERVED

Traffic

High

Low

Shinjyuku

Ikebukuro

Residential area

Business Area

Home Wi-Fi 利用促進

(Mesh resolution:100m)

Accommodating traffic in pinpoints by using verious technologies and base stations, such as Pico cells, Femto cells, Wi-Fi offloading etc.

Traffic distribution in100m x 100m

Pico-cell at heavy traffic spots

Traffic distribution is uneven and not uniform, but varies greatly depending on time and locations.

6 ©KDDI CORPORATION ALL RIGHTS RESERVED

Spectrum Bandwidth

700MHz + 800MHz

+ 900MHz + 1.5GHz

+1.7GHz + 2.1GHz …

Spectrum Efficiency

Traffic Control

Density of sites Traffic Offload to Multi

Networks

Decrease traffic Increase Capacity

Traffic Restriction

How to cope with increasing data traffic

FTTH

CATV

Wi-Fi

7 ©KDDI CORPORATION ALL RIGHTS RESERVED

What is “3M Strategy”?

Multi-Use

Multi-Network

Multi-Device

Anywhere, anytime via

most appropriate NW

A variety of contents and services

Using your favorite devices

4G LTE

3G

WiMAX

Wi-Fi

FTTH

CATV

App

TV-STB Smartphone Tablet PC

8 ©KDDI CORPORATION ALL RIGHTS RESERVED ©KDDI CORPORATION ALL RIGHTS RESERVED

Smart devices connected to TV

9 ©KDDI CORPORATION ALL RIGHTS RESERVED 9

Cooperation of smart phone and TV • User-centric system with content recommendation and automatic download to

a smart phone according to the user preferences accumulated on a cloud

• Playback synchronized video with SNS chattering on a smart phone and

transfer those to TV via DLNA by intuitive operation

• Screen sharing between smart phone and TV for gaming

Cloud system

Video Game User Log Download

Social EPG

10 ©KDDI CORPORATION ALL RIGHTS RESERVED

Free-viewpoint 3D Video • Technical Overview

– Automatic 3D model reconstruction without a complicated calibration process forced in typical multi-camera system

– Photo-realistic image production from natural video sequences even for huge space like a stadium

• Target Application

– TV programs with free-viewpoint accessibility • Ex.) Live streaming of soccer match from the viewpoint of favorite player

11 ©KDDI CORPORATION ALL RIGHTS RESERVED

★Free Viewpoint 3D Video (Demo1)

12 ©KDDI CORPORATION ALL RIGHTS RESERVED

★Free Viewpoint 3D Video (Demo2)

13 ©KDDI CORPORATION ALL RIGHTS RESERVED

Space Reconstruction toward 2020 • Immersive experience by 3D space reconstruction

– Telepresence to produce converged space by real scene and virtual world

• Technology

– Content production utilizing various immersive display devices

– Reproduction of ultra-high realistic experience with user interaction

• Consecutive change of audiovisual experience according to human action

• Vibration according to walking, etc.

Telepresence Content production for immersive device

Can you see ?

Exciting !!

Audience in stadium

Friend in remote space is overlaid

Curved panel

CAVE (Visually surround)

14 ©KDDI CORPORATION ALL RIGHTS RESERVED ©KDDI CORPORATION ALL RIGHTS RESERVED

Smart devices connected to Automotive

15 ©KDDI CORPORATION ALL RIGHTS RESERVED

Conceptual Image of Connected Vehicle Services

Internet Radio / SNS

Driver’s Abnormal detection, e-call, etc.

Drive record, Diag, PAYD insurance

Intelligent Navi&Probe

Drive assist (Parking, Alert,etc.)

【Typical Mashup Applications】

Personal lifelog Bank

Health &Medical support

Internet Radio & Social Media

Traffic Info & Maps PSAP, Emerg. MNG Agency & CRM/VRM

HEMS/BEMS & Ecological Control

16 ©KDDI CORPORATION ALL RIGHTS RESERVED

Requirements of IVI and Smartphone

IVI can - load data from a smartphone.

- get smartphone's status.

- be personalized.

- utilize smartphone internal devices.

- be notified by a smartphone.

IVI has these requirements to realize the concept.

17 ©KDDI CORPORATION ALL RIGHTS RESERVED

Everything on Your Smartphones, Right on IVI

Kawagoe Toki-no-Kane

Once IVI and your smartphone are connected to Wi-Fi, IVI automatically detects what is on your smartphone – music content, places you plan to visit, etc.

Discovered and

Connect

♪ ♪

Search request

Smartphone IVI

Respond to the request

Request for the destination

Set destination automatically!

Request for music and …

Play music!

Use Case 1

Request

Response

Search

Response

18 ©KDDI CORPORATION ALL RIGHTS RESERVED

Passenger’s Smartphone as Driver’s Assistant A passenger’ s smartphone becomes an assistant utility, while IVI shows the driver supporting information. With the utility, you can arrange the route for the driver.

Driver’s Smartphone

IVI Passenger’s Smartphone

Connect each devices

WebSocket

connection

WebSocket

connection

POI data POI data

Add destinations

Relay POI data to IVI Send POI data

Set additional destinations

Use Case 2

19 ©KDDI CORPORATION ALL RIGHTS RESERVED ©KDDI CORPORATION ALL RIGHTS RESERVED

Smart devices connected to Sensor and Wearable

20 ©KDDI CORPORATION ALL RIGHTS RESERVED

Device Cooperation using smart phone

1)Health Care Device Cooperation - smart phone as a gateway device to accommodate multi-vendor and multi-device health care equipment

Wearable device, Fitness equipment

TV:volume level, 3D mode

Air Conditioner : temperature setting

Illumination:brightness

Curtain: Color

2) Portable Living Space - keeping the device setting in one’s living space portable between the inside and the outside of a home

Application Server

G/W Server

Inside Home

Application

Outside Home

Data

move

21 ©KDDI CORPORATION ALL RIGHTS RESERVED

Smart Devices connected to e-Money

22 ©KDDI CORPORATION ALL RIGHTS RESERVED

Train Ticket and Transit

• Over 70M*1 Japanese people

enjoy “Touch & Go” e-train

ticket through “Felica”

based e-Money system

Retail Chain

• Over 180M*2 of transactions

occur at two Japanese major

retail chains every month

e-Money Now…

Source*1:The Consumer Credit Monthly Sep 2012

Source*2:Nikkei Dec 2013

23 ©KDDI CORPORATION ALL RIGHTS RESERVED

To the Further Growth of e-Money Ecosystem

5 billion*1 0.7 billion*2

Source*1:www.mifare.net, 5 billion cards sold

Source*2:Sony Corporation, 706 million chips shipped

• Although many e-Money cards

were issued in the world,

the usage has been localized

within a country.

Interoperations are desired

so that many people enjoy

e-Money all over the world!

24 ©KDDI CORPORATION ALL RIGHTS RESERVED

KDDI’s Activities for NFC

SK Telecom demonstrated

a commercial NFC service

“NFC&JOY” with KDDI.

Jun,2012 NFC-based ticketing

service@MAE’12

Japan Airlines and KDDI started providing

an NFC-based boarding pass “JAL Touch

and Go” for KDDI NFC handsets.

Oct,2012 NFC-based boarding Pass

Chunghwa Telecom and KDDI demonstrated an

NFC roaming service technology to enable travelers

to keep enjoying NFC services while traveling.

Oct,2013 Information Delivery

Platform@MAE’13

eBCard and KDDI will provide an

NFC-based Korean prepaid service

“cashbee” for KDDI NFC handsets.

Mar,2014 Korean prepaid service

MAE:(Mobile Asia Expo)

25 ©KDDI CORPORATION ALL RIGHTS RESERVED

And more… Asia NFC Alliance

Joint Press Release at MWC2014,

Barcelona, Spain, Feb. 25, 2014

26 ©KDDI CORPORATION ALL RIGHTS RESERVED

More Fusion of Virtual and Real Life

\ $ €

User-centric Services created by Connected Everything over the KDDI's multi-networks

BigData Analysis

27 ©KDDI CORPORATION ALL RIGHTS RESERVED