to download Telecom Italia Annual Report 2011 - Company Reporting

In the Business market, TIM has launched the service known as MDM TIM which enables businesses to
manage confidential information transmitted on a smartphone or tablet used by employees of the
business. In this offering, TIM appears to be a pioneer and an innovator in the market.
Further, continuing with innovation, TIM has upgraded its own network to support the new internet
Protocol IPv6 which will make it possible to sustain the growing demand for voice and data services.
With regard to product, TIM has strengthened its competitive position with an exclusive agreement with
Apple for the sale of the iPad2 across the entire country with a basic offering of 199 reais per month,
with payment by credit card deferred over 12 monthly installments.
On December 16, 2011, the promotion campaign began, with extensive recognition from publicity and
the media, for the sale of the new iPhone 4S in nine Brazilian capital cities. iPhone 4S are on sale in the
16GB, 32GB and 64GB versions, at prices ranging from 1,899 reais to 2,499 reais.
In the market for fixed telephony services, TIM has launched “Fixo ilimitado TIM”, a voice service with a
monthly charge of 39.90 reais giving unlimited national calls to fixed numbers. The customer can also
call TIM mobile numbers within the same monthly charge using the long-distance code 41.
Competition
At the end of 2011, the Brazilian mobile market reached 242.2 million lines. This is 19.3% more than
last year and a penetration of 123.9% of the population (104.7% in 2010). The total net increase for the
year was 39.3 million, exceeding the growth figure of the prior year by 29 million, proclaiming 2011 as
the year with the highest market growth ever recorded.
Report on Operations The Business Units of the Telecom Italia Group – Brazil 64