Deutsche Telekom with more than 100 million mobile communications customers

January  28, 2007 - In the 2006 financial year, Deutsche Telekom continued to significantly increase its customer base in the domestic and international markets and thus improved its market position. Within Germany, the T-Com and T-Mobile rates, which were newly introduced last year, established themselves successfully on the market.

In the Broadband / Fixed Network area, T-Com again achieved a leading position regarding the acquisition of new DSL customers thanks to the new 3x3 bundled rates. The proportion of self-marketed broadband lines in the T-Com network increased in the fourth quarter to 64 percent from 19 percent in the third quarter of 2006. With 563,000 new broadband retail customers, T-Com recorded the highest quarterly increase for DSL since the broadband technology was launched on the market. Overall, the amount of 3x3 bundle packages sold at the end of the year increased to 3.6 million; more than two thirds of the packages were sold in the Double Play (telephone and Internet) area. Including Resale DSL, i.e. broadband lines marketed by competitors on the T-Com network, the amount of DSL lines increased in the fourth quarter by 878,000 to 10.3 million. T-Com was able to more than double the number of international broadband lines compared to last year to over 1.4 million.

As a result of the T-Mobile@Home calling plan introduced last spring, the Group was also able to benefit from continuing fixed network substitution: More than 1.1 million customers in Germany used this plan by the end of the year. In the mobile communications area, customer numbers increased to significantly more than 100 million through organic and inorganic growth. At the cut-off date, T-Mobile had 106.4 million customers, including the customers of PTC and those of tele.ring which was acquired in Austria. Adjusted for consolidation effects, customer numbers increased by 8.6 million or 8.8 percent.

In Europe, T-Mobile recorded strong inorganic growth as a result of the PTC consolidation in Poland and the acquisition of tele.ring in addition to the organic growth in the national companies. Overall, the amount of mobile communications customers in Europe increased by around 19.8 million customers or 22.9 percent in a year-on-year comparison. In Germany, T-Mobile recorded roughly 746,000 net additions in the fourth quarter, 384,000 of whom opted for a fixed-term contract. Internationally, significant customer growth was achieved primarily by T-Mobile USA: In the USA, T-Mobile recorded 901,000 net additions in the final quarter of 2006, 783,000 of whom are contract customers. At the end of the year, T-Mobile USA thus exceeded the 25 million customer mark.

Development of customer numbers in 2006:

Broadband/Fixed Network	12/31/06 in millions	12/31/05 in millions	Change in millions	Change (percent)
Broadband
Total no. of lines	11.716	8.559	3.158	36.9
Domestic	10.280	7.918	2.363	29.8
of which resale 1)	3.212	1.592	1.620	101.7
International 2)	1.436	0.641	0.795	124.1
ISP rates (total) 3)	8.048	5.531	2.517	45.5
Domestic	6.288	4.454	1.834	41.2
Narrowband
Total no. of lines	38.961	41.243	(2.282)	(5.5)
Domestic 4)	33.192	35.241	(2.049)	(5.8)
of which ISDN	9.035	9.771	(0.737)	(7.5)
International	5.769	6.002	(0.233)	(3.9)
Magyar Telekom 5)	2.972	3.150	(0.178)	(5.6)
Slovak Telekom	1.150	1.177	(0.027)	(2.3)
T-Hrvatski Telekom	1.647	1.675	(0.028)	(1.7)
ISP rates (total) 3)	3.196	4.392	(1.196)	(27.2)
Domestic	3.000	4.062	(1.062)	(26.1)
No. of Internet customers with a billing relationship (total) 3) 6) 7	16.590	15.243	1.3	8.8

Comments on the Broadband/Fixed Network table:

1) Definition of "resale": Sale of broadband lines to alternative providers outside the Deutsche Telekom Group; 2) Access customers on proprietary network, previous year's values have been adjusted; 3) Registered customers. Includes Domestic and Magyar Telekom, T-Hrvatski Telekom and Slovak Telekom, T-Online Spain (Ya.com) and T-Online France (Club Internet), previous year's values have been adjusted; 4) Telephone lines excluding internal use and public payphones, including wholesale services; 5) Including the Magyar Telekom subsidiary MakTel and Crnogorski Telekom (formerly Telekom Montenegro). Previous year's values have not been adjusted; 6) Including domestic and international customers with a billing relationship, broadband and narrowband rates and PAYG (Pay as you go) customers, previous year's values have been adjusted; 7) Iskon Internet is consolidated through T-Hrvatski Telekom with retroactive effect from June 1, 2006. Previous year's values have not been adjusted; Info: Magyar Telekom (Hungary), Slovak Telekom (Slovakia), T-Hrvatski Telekom (Croatia)

Mobile Communications	12/31/06 in millions	12/31/05 in millions	Change in millions	Change (percent)
Mobile customers 1) total	106.419	97.848	8.573	8.8
in Europe	81.378	76.156	5.222	6.9
in the USA (T-Mobile USA)	25.041	21.690	3.351	15.4
T-Mobile Deutschland	31.398	29.523	1.875	6.4
T-Mobile UK 2)	16.905	17.158	(0.253)	(1.5)
PTC 3)	12.228	10.201	2.027	19.9
T-Mobile Austria 4)	3.180	3.119	0.061	2.0
T-Mobile Netherlands	2.552	2.317	0.235	10.1
T-Mobile Czech Republic	5.049	4.634	0.415	9.0
T-Mobile Hungary	4.431	4.194	0.237	5.7
T-Mobile Croatia	2.158	1.903	0.255	13.4
T-Mobile Slovakia	2.201	2.022	0.179	8.9
Other 5)	1.277	1.085	0.192	17.7

Comments on the Mobile Communications table:

1)One SIM card corresponds to one customer in this diagram. Organic customer growth is reported for better comparability: tele.ring customers were also included in the historic customer base, although the shares were not acquired until the end of April 2006; 2) Including Virgin Mobile. The decline on 2005 is based on a change in the definition of Virgin customers since the first quarter of 2006. Since the first quarter of 2006, Virgin customers are reported on a 180-day migration basis (previously 360 days). The 2005 customer figures have not been adjusted. Details in the Group interim report for the 1st quarter of 2005; 3) PTC has been consolidated since 11/06, historic figures are shown and included in the totals in order to illustrate the organic customer trend; 4) tele.ring is consolidated since 05/06, historic figures have been adjusted and are included in the totals in order to illustrate the organic customer trend; 5) Other Countries consists of T-Mobile Macedonia (previously MobiMak) and T-Mobile Montenegro (previously MONET)

T-Mobile Czech Republic, a member of the international telecommunications group Deutsche Telekom, has almost 6.2 million customers, the number-one operator in the Czech market. T-Mobile is an integrated operator: in addition to telecommunications services, it offers comprehensive ICT solutions not only for companies, but also for other organizations and individuals. It provides outstanding services in the high-speed network, which was proved repeatedly by benchmark testing performed by umlaut (former P3) with Best-in-Test seal.

T-Mobile Czech Republic places emphasis on taking a responsible approach to the environment and society. It adheres to fair business practices, helps beneficial applications and services to see the light of day, supports non-profit organizations, small businesses and individuals, and lends a helping hand whenever crisis situations arise. The company’s employees serve as volunteers in many places across the entire Czech Republic.

More information about the company is available at www.t-mobile.cz, www.t-press.cz (the portal for journalists) and www.t-mobile.cz/pomahame (information on the company’s CSR activities).

Contact details of the press unit: press@t-press.cz.