Vienna, 04 August 2015

• Demand for ultrafast broadband as a driver of higher revenues and widespread optimism within the telecom industry
• A change in media usage leads to a new kind of convergence between telecommunications operators and classical media
• A1 NOW as response to changed media consumption patterns

The change in media consumption patterns, which has been underway in recent years, continues unabated moving forward. Current internet-capable smartphones and tablets are increasingly used by customers, resulting in a gradual growth in data consumption, while at the same time customer demands in terms of network infrastructure quality are also constantly rising. For a long time, this development has been critically monitored by telecom operators, who had to invest billions of euros in broadband infrastructure to provide customers with fast and high-quality Internet access. Now, a wave of optimism is spreading across the industry and several operators have recognized the signs of the time. As a result, this paradigm shift is leading to a new kind of convergence between telecom operators and classical media.

Telecom providers are currently profiting from the growing usage of streaming services and devoting concerted efforts to developing premium offerings to seize the new media opportunities. The rollout of network infrastructure towards high-speed broadband allows for higher transmission rates and data volumes, thus creating the necessary preconditions for a perfect media experience. Convergence offerings combining telecommunications services with TV, music and Internet services offer classical telecom operators considerable competitive advantages, allowing them to clearly differentiate themselves from pure-play OTT service providers. In recent times, the Austrian subsidiary of the Telekom Austria Group A1 has started to take all these major changes into due account and is currently revolutionizing its classical TV portfolio.

Starting from now, A1 NOW will provide innovative on-demand functionalities and possibilities, thus creating a brand new TV viewing experience. Approximately 1,000 customers of different Austria network operators will test these new A1 NOW functionalities and develop them to market readiness.

A1 NOW functionalities at a glance:

• Linear TV: 40 live TV channels can now be watched anytime on smartphones, tablets and the web when on the go.
• Series and films: customers can enjoy approximately 3,000 on-demand films and series on up to five different devices.
• Cloud recording: the entire program of the 40 A1 NOW channels can be stored for up to 7 days and watched later. Up to 10 hours of compelling content can be recorded and stored for over three months.

Background Information about A1 TV

A1 has started to offer TV services to its customers at an early stage. With a total of 259,000 subscribers, A1 TV is one of the most popular TV offerings in Austria. Since the launch of the new A1 TV at the end of 2012, a wide range of new programs have been offered: an extended range of HD services excluding contents as well as the complete SKY program are brought into more and more households via A1 fixed-line Internet. Since last year, a new breed of control features has been available for A1 TV customers via the A1 TV App.

• Thanks to a practical recording function, recording via the A1 media box recorder can be planned anytime also on the go. Therefore, A1 TV customers won't miss any episode of their favorite series.
• From the latest version onwards, the A1 TV App will also perform several TV remote control functions. Customers will be able to choose whether they prefer to simply press the logo of the desired channel or zap through the channels via an integrated mini remote control.
• Thanks to the A1 TV App, the channel list of the A1 media box can be easily reordered with the swipe of a finger to suit customers' individual preferences.
• In addition, the A1 TV App displays the entire TV program for the following 10 days, providing information about all films and series available in both the A1 video library and A1 TV Mobile, which provides access to a total of 40 TV channels when on the go.

A1 TV will continue to be offered moving forward: the guaranteed bandwidth via fixed broadband Internet access still creates the best prerequisites to enjoy a classical TV viewing experience at home.