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The Business Units of the <strong>Telecom</strong> <strong>Italia</strong><br />

Group<br />

Domestic<br />

The Domestic Business Unit operates as the consolidated market leader in the sphere of voice and data<br />

services on fixed<br />

and mobile networks for final retail cus<strong>to</strong>mers and other wholesale opera<strong>to</strong>rs. In the<br />

international field, the Business Unit develops fiber optic networks for wholesale w cus<strong>to</strong>mers (in Europe,<br />

in the Mediterranean and in South America).<br />

The Structure<br />

of Businesss Unit<br />

The Domestic Business Unit is organized as follows:<br />

(*)<br />

Principal companies: <strong>Telecom</strong> <strong>Italia</strong> S.p.A., Matrix S.p.A., 4GH group, Telecontactt Center S.p.A., Path. Net S.p.A., Telenergiaa S.p.A., HR Services S.r.l.<br />

and Shared Servicee Center S.r.l..<br />

The principal operating and financial data off the Domestic<br />

Business Unitt are now reported accordingg <strong>to</strong><br />

two Cash-generating units (CGU):<br />

• Core Domestic: includes all telecommunications activities inherent <strong>to</strong> t the <strong>Italia</strong>n market. Revenues<br />

are broken down in the following tables according <strong>to</strong> the net contribution of each market segmentt <strong>to</strong><br />

the CGU’s results, excluding intrasegment transactions. The sales market segments defined on the<br />

basis of the “cus<strong>to</strong>mer centric” organizational model are as follows:<br />

– Consumer: comprises the aggregate of voice and internet services s and products managed<br />

and<br />

developed for f persons and families in<br />

the fixed and mobile telecommunications<br />

markets, from public telephony <strong>to</strong> the web portal/services off the company Matrix;<br />

– Business: is constituted by the aggregate of voice, data, internet and ICT solutions services<br />

and<br />

products managed and developed for SMEs (small and medium enterprises) and a<br />

SOHOs (Small Office Home Office) in the fixed and mobile telecommunications markets;<br />

– Top: comprises the t aggregatee of voice, data, internet and ICT solutions services and a<br />

products managed and developed for Top, Public Sec<strong>to</strong>r, Large Account and Enterprise<br />

clientele in the fixed and mobilee telecommunications markets;<br />

– National Wholesale: consists of the management and development off the portfolioo of<br />

regulated and unregulated wholesale services for fixed and mobile telecommunications<br />

opera<strong>to</strong>rs in the domestic market;<br />

– Other (Support Structures): includes:<br />

– Technology & IT: constitutes services related <strong>to</strong> the development, building and operation<br />

of network infrastructures,<br />

real estate properties and plant engineering, delivery<br />

processes and assurance regarding clientele services in addition <strong>to</strong> the development and a<br />

operation of information services;<br />

– Staff & Other: services carried out by Staff functionss and other support activities<br />

performed by minor companies of the Group also offered <strong>to</strong> the market and other<br />

Business Units. .<br />

<strong>Report</strong> on Operations<br />

The Business Units of the <strong>Telecom</strong> T <strong>Italia</strong> Group – Domestic<br />

45

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