Telefonica to Launch Dual Persona Service for Mobile Devices, Powered by VMware(R)

BARCELONA, SPAIN--(Marketwire - Feb 28, 2012) - Today at Mobile World Congress, Telefónica Digital and VMware®, Inc. announced the launch of the new Telefónica Dual Persona service. Powered by VMware Horizon Mobile™, the new service will provide a simple way for IT departments to securely provision, manage and de-provision a corporate mobile workspace (email, applications, data, etc.) to an employee's Android device over-the-air, while enabling the employee to better retain the privacy and control of their personal mobile environments.

Telefónica Dual Persona service for Android devices will be available in the second quarter of this year. Additional information on pricing and countries where the services will launch will be made available in the coming months. Both companies are working to make the solution available for other operating systems and mobile platforms in the future.

The companies also confirmed today that the Galaxy SII by Samsung will be the first handset to support the Telefónica Dual Persona service. Samsung is expected to offer service compatibility with all of its devices in the coming months.

Smartphones: The New Corporate Mobile Workspace
The increased computing power of modern mobile devices, coupled with the rise in the number of business ready mobile applications, has resulted in the growing need for companies to manage device lifecycles and the provisioning of mobile applications used by employees. Furthermore, the widespread popularity of smartphones in the consumer market has increased the number of personal devices used in the work environment.

According to Forrester (Forrsights: Mobility Dominates Enterprise Telecom Trends In 2011, July 22, 2011), 60 percent of companies now allow their employees to use personal smartphones and tablets at work and this trend is increasing. The influx of personal devices makes the management of mobile phones and the lifecycle of mobile applications more complicated and creates security and manageability issues for corporate IT organizations. Meanwhile, employees are becoming progressively more concerned about personal data privacy and worry that management and control of their smartphones by IT administrators could be intrusive.

Telefónica Dual Persona Service, Powered by VMware
Powered by VMware Horizon Mobile, the Telefónica Dual Persona service will be offered as part of the Telefónica Cloud Computing service catalog. In addition to dual persona support for Android devices, the Telefónica Cloud Computing catalog helps companies more effectively manage their databases, virtual desktops (PCs) and applications by offering easy to consume cloud-based services.

The Telefónica Dual Persona service will enable IT managers to provision and manage an employee's work profile and mobile applications via a cloud-based instance of VMware Horizon Mobile. Because of this separation, when an employee leaves the company or if a device is lost or stolen, business will be better able to safely and securely remove corporate information from mobile devices, while not having access to an individual personal profile.

The user experience will be intuitive and similar to that of a conventional smartphone on both profiles. Users will be able to switch from one profile to another with a simple click of an app, and they will receive both work and personal notifications within both profiles.

According to Moisés Navarro, Director of Strategy and Cloud Services at Telefónica Digital, "The Dual Persona service brings benefits to both employees and companies -- the employee can use just one device, for both personal and work use while still maintaining privacy -- the company gains greater control and security over corporate information, increased efficiency and cost savings on mobile devices, less provisioning and incident management time and greater employee satisfaction. Importantly, this is all made available via a cloud-based, pay-per-use model."

"Powered by VMware Horizon Mobile, Telefónica Dual Persona service will enable enterprises to securely customize and manage an employee's corporate mobile workspace in isolation from their personal smartphone environment," said Brian Byun, Vice President and General Manager, End-User Computing, Mobile for VMware. "We are excited to bring this technology to market with Telefónica and Samsung. Horizon Mobile embraces personal freedom and enhances employee productivity by delivering a preconfigured, device-independent corporate mobile workspace that is customized to an employee's responsibilities."

Samsung is working closely with Telefónica and VMware to expand the availability of "VMware ready" devices this year.

"With the 'Bring Your Own Device' trend growing faster than ever in enterprise sector, Telefónica's Dual Persona service will undoubtedly be the compelling solution to propel this trend," said Eric Moon, Director of Enterprise Business Team, Mobile Communication Division at Samsung Electronics. "We are very confident that enterprise decision-makers will embrace Samsung mobile devices along with the Dual Persona service thanks to the flexibly provided to both employees and corporate IT. For employees they will have the ability to securely mix work and play on a single Samsung device."

About Samsung Electronics Co., Ltd.
Samsung Electronics Co., Ltd. is a global leader in semiconductor, telecommunication, digital media and digital convergence technologies with 2011 consolidated sales of US$143.1 billion. Employing approximately 222,000 people in 205 offices across 71 countries, the company operates two separate organizations to coordinate its nine independent business units: Digital Media & Communications, comprising Visual Display, Mobile Communications, Telecommunication Systems, Digital Appliances, IT Solutions, and Digital Imaging; and Device Solutions, consisting of Memory, System LSI and LCD. Recognized for its industry-leading performance across a range of economic, environmental and social criteria, Samsung Electronics was named the world's most sustainable technology company in the 2011 Dow Jones Sustainability Index. For more information, please visit www.samsung.com.

About Telefónica
Telefónica is one of the world's largest telecommunications companies by market capitalization. Its activities are centered mainly on the fixed and mobile telephony businesses, while its broadband business is the key growth driver underpinning both.

It operates in 25 countries and has a 300 million-strong global customer base. Telefónica has a strong presence in Spain, Europe and Latin America, regions which are driving the Group's growth.

Telefónica is a 100% private company, with more than 1.5 million direct shareholders. Its share capital consists of 4,563,996,485 ordinary shares traded on the Spanish stock exchanges (Madrid, Barcelona, Bilbao and Valencia) and on those of London, Tokyo, New York, Lima and Buenos Aires.

About Telefónica Digital
Telefónica Digital is a global business division of Telefónica. Its mission is to seize the opportunities within the digital world and deliver new growth for Telefónica through research & development, venture capital, global partnerships and digital services such as cloud computing, mobile advertising, M2M and eHealth. Telefónica Digital will deliver these innovative products and services to Telefónica's 300 million customers as well as leveraging the power of the internet to enter new markets. It is headquartered in London with regional centres in Silicon Valley, Sao Paolo, Spain and Tel Aviv. Jajah, Terra, Tuenti, giffgaff and 48 are all part of the Telefónica Digital group of companies.

About VMware
VMware (NYSE: VMW) is the leader in virtualization and cloud infrastructure solutions that enable businesses to thrive in the Cloud Era. Customers rely on VMware to help them transform the way they build, deliver and consume Information Technology resources in a manner that is evolutionary and based on their specific needs. With 2011 revenues of $3.77 billion, VMware has more than 350,000 customers and 50,000 partners. The company is headquartered in Silicon Valley with offices throughout the world and can be found online at www.vmware.com.

VMware and VMware Horizon Mobile are registered trademarks and/or trademarks of VMware, Inc. in the United States and/or other jurisdictions. The use of the word "partner" or "partnership" does not imply a legal partnership relationship between VMware and any other company.

Forward-Looking Statements
This press release contains forward-looking statements including, among other things, statements regarding the potential benefits, planned features and expected availability of the Telefonica Dual Persona Service powered by VMware Horizon Mobile, statements regarding the expected growth of the use of smartphones for corporate purposes and statements about the growth of concerns related to the use of mobile devices for personal and business purposes. These forward-looking statements are subject to the safe harbor provisions created by the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from those projected in the forward-looking statements as a result of certain risk factors, including but not limited to: (i) adverse changes in general economic or market conditions; (ii) delays or reductions in consumer or information technology spending; (iii) competitive factors, including but not limited to pricing pressures, industry consolidation, entry of new competitors into the virtualization market, and new product and marketing initiatives by our competitors; (iv) our customers' ability to develop, and to transition to, new products and computing strategies such as cloud computing and desktop virtualization; (v) the uncertainty of customer acceptance of emerging technology; (vi) rapid technological and market changes in virtualization software and platforms for cloud and desktop computing; (vii) changes to product development timelines; (viii) VMware's ability to protect its proprietary technology; and (ix) VMware's ability to attract and retain highly qualified employees.. These forward looking statements are based on current expectations and are subject to uncertainties and changes in condition, significance, value and effect as well as other risks detailed in documents filed with the Securities and Exchange Commission, including our most recent reports on Form 10-K and Form 10-Q and current reports on Form 8-K that we may file from time to time, which could cause actual results to vary from expectations. VMware assumes no obligation to, and does not currently intend to, update any such forward-looking statements after the date of this release.