GlobalCommunicationsandEntertainmentGroupTheGlobalCommunicationsandEntertainmentGroupBusinessConsultingWorldWideWorkshopDecember1996ThomasL.ElliottIIIArthurAndersenGlobalCommunicationsandEntertainmentGroupWelcome!■Anexcitingindustry■Agrowingpractice■ABCsuccessstoryOursuccessisimperativeGlobalCommunicationsandEntertainmentGroupAgenda■StateofthePracticeandIndustryWorldwide■SurveyofMajorGlobalPlayersandTheirStrategies■OurBC“GotoMarket”StrategyGlobalCommunicationsandEntertainmentGroupConvergingIndustriesImagesTextVoiceDataAudio/VideoCreateandCollect(Content)Display(Devices)Store(MemoryDevices)Process(Applications)Distribute(Transport)FunctionsCreateandCollect(Content)Display(Devices)Store(MemoryDevices)Process(Applications)Distribute(Transport)FunctionsImagesTextVoiceDataAudio/VideoFormsFormsPHOTOGRAPHYPUBLICATIONSTELE-COMMUNICATIONSCOMPUTINGENTERTAINMENTCurrentStateFutureStateTransitionSource:Dr.JagdishSheth,InternationalEngineeringConsortium(usedwithpermission)ConvergenceInformationContentInformationHighwaysInformationAppliancesGlobalCommunicationsandEntertainmentGroupAnExplodingMarket1994—$2.15Trillion2005—$7.43Trillion6008007501,8643,2362,329Source:InternationalEngineeringConsortiumCommunicationContentAppliancesGlobalCommunicationsandEntertainmentGroupMultibillionDollarCompaniesWaltDisney$18Bertlesmann14NewsCorp.12Viacom12TimeWarner11GrupoTelevisa9NTT$82AT&T51DeutscheTelekom44BritishTelecom/MCI38FranceTelecom29BellAtlantic/NYNEX26SBC/PacificTelesis22GTE20BellSouth18Ameritech13Telefonica13Sprint13USWEST12BellCanada9ContentHighway*RevenueinbillionsofUSdollarsGlobalCommunicationsandEntertainmentGroupMultibillionDollarCompaniesNTT$.5BellAtlantic$.2AT&T5.7NYNEX.5DeutscheTelecom.3Telefonica8.4FranceTelecom.2Sprint.7BT1.4SBCCommunications.1GTE15.5NewsCorp10.7TelecomItalia1.5USWest5.1BellSouth13.4PacTel.2MCI.3BellCanada2.2Ameritech3.6Telmex0FY‘95NetFees($USMil)FY‘95NetFees($USMil)GlobalCommunicationsandEntertainmentGroupSignificantGrowth--CommunicationsSegment55697384115147$0$20$40$60$80$100$120$140$160199119921993199419951996PracticenetfeesinmillionsGlobalCommunicationsandEntertainmentGroupInternalConvergenceCommunicationsIndustryPractice$147MEntertainment,PrintingandPublishing$134M$281MGlobalCommunicationsandEntertainmentGroupGlobalCommunicationsandEntertainmentGroupRegionalPerformanceNetFees($000)CommunicationPrintingandPublishingEntertainmentTotalAmericas$95,950$31,666$31,573$159,189EMEIA36,98134,20426,81097,995Asia/Pacific14,2365,1204,93124,287$147,167$70,990$63,314$281,471GlobalCommunicationsandEntertainmentGroupServiceLinePerformanceABA47%Tax25%BC24%ABA52%Tax30%BC12%BC15%Tax28%ABA51%EFC6%EFC6%CommunicationsPrintingandPublishingEntertainmentEFC4%GlobalCommunicationsandEntertainmentGroupGlobalStrategies■BuildaGlobalWebofClientandMarketFocusedTeams■AlignWithConvergenceFutureState■ProvideServicesofStrategicRelevance■IncreaseProductivityMoveUpClientValueChainThroughAccountManagementProcessGlobalCommunicationsandEntertainmentGroupGlobalWebEuropeNorthAmericaLatinAmericaJapanKoreaChinaASEANAustralia/NewZealandGlobalCommunicationsandEntertainmentGroupAlignWithConvergenceFutureStateImagesTextVoiceDataAudio/VideoCreateandCollect(Content)Display(Devices)Store(MemoryDevices)Process(Applications)Distribute(Transport)FunctionsCreateandCollect(Content)Display(Devices)Sto...