SYS-CON MEDIA Authors: Roberto Medrano, Dmitriy Stepanov, Gilad Parann-Nissany, Srinivasan Sundara Rajan, Sean Houghton

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Citrix Data Shows Mobile Subscriber Experience on Wireless Networks Differs from Perception

The Citrix ByteMobile Mobile Analytics Report published today for the first quarter of 2013, provides insights into subscriber behavior and related factors that determine quality of experience (QoE) for mobile data services today. The findings highlight subscriber behavior on various mobile applications and the impact this has on operator networks. In conjunction with the report, consumer survey findings were also published by the company to compare consumer perspectives against behavior patterns. The data points to a contrast between what mobile device owners think they know about their devices and plans, and what the reality is when consuming content.

“These findings are unique in comparing actual subscriber behaviors on wireless networks with what people think their usage patterns are like,” said Chris Koopmans, vice president and general manager of Service Provider Platforms, Citrix. “Combining the ByteMobile report with the consumer survey provides additional insight into subscribers’ views of their mobile experiences and the impact this behavior has on operators’ networks. This real-world data is further validation that network providers need to improve their subscribers’ mobile experience in order to differentiate their services and better monetize an increasing volume of traffic.”

The Mobile Analytics Report summarizes data traffic patterns from a global cross-section of Citrix ByteMobile customers’ mobile networks and provides insight into the current state of the mobile ecosystem. The report illustrates how subscribers use their wireless devices and the impact of such use on operator networks. It also reveals subscriber use of social networking and mobile health applications, quantifies the impact of advertising on the mobile network, and highlights Web video user experience statistics. Among the findings:

Health apps and games dominate mobile traffic

People are increasingly using mobile devices to support health goals and track their fitness progress. Personal fitness applications dominate the category, generating 50 percent of the total mobile health related data traffic on wireless networks. Additionally, 39 percent of subscribers use a fitness specific application, while 47 percent use a pregnancy-related application. Interestingly, pregnancy monitoring applications generate nine percent of the total mobile health related data traffic on wireless networks.

Mobile gaming continues to be popular among subscribers. The report found that the three most popular games played while connected to a wireless network are Words with Friends, Temple Run and Angry Birds.

Video remains king of mobile traffic

The Mobile Analytics Report reveals that 20 percent of subscribers watch mobile videos on a given day, with 74 percent of consumer survey respondents seeking out most videos they watch. Of the videos consumed on mobile devices, 92 percent are low-resolution video at 360p or less. However, a majority of survey respondents (64 percent) said they thought they were viewing high-resolution video. This indicates a clear disconnect in the quality of video a subscriber thinks they are consuming versus the reality. The latest report further reveals that two out of 10 mobile subscribers watched video on mobile devices, generating more than 50 percent of the total mobile data traffic on wireless networks. Today, mobile video subscribers watch an average of two minutes of video content at a time, doubling the time spent consuming video as reported in the February 2010 Mobile Analytics Report.

The need for speed

In addition to video, mobile Web usage also consumes a large amount of mobile data traffic, and the consumer survey shows that people require speedy download times or they will abandon the effort. Nearly a third of survey respondents give up in eight seconds or less, pointing to the need for more mobile Web pages to download at this speed.

While approximately 50 percent of mobile Web pages download in eight seconds or less across wireless networks, 20 percent of pages requested take longer than 20 seconds to download. When it comes to a poor mobile Web experience, more than half (51 percent) of mobile device owners blame their provider, while 49 percent blame the website. The Mobile Analytics Report confirms that wireless networks across North America deliver the fastest Web page download times in the world.

Advertising consumes subscriber data allowance

The Mobile Analytics Report discovered mobile advertisements containing video content generate 10 times more data per advertisement than those without video. Interestingly, the report revealed the top four advertising networks, both by subscriber reach and total data volume generated, are owned by Google – Double Click, Google, Admob and 2mdn. For smartphone subscribers, mobile advertisements consume one percent of the total monthly data traffic generated. While minimal, this percentage is expected to increase as mobile advertising continues to grow.

Methodology

The findings in the Citrix ByteMobile Mobile Analytics Report are generated from Smart Capacity™ Mobile Analytics, the company’s mobile data traffic reporting solution. The Mobile Analytics Report anonymously sources data traffic statistics from 3G and 4G networks of Citrix ByteMobile’s global tier-one customer base and provides insight into the current state of the mobile ecosystem. Its findings have been cited widely by industry market research firms and the media.

The consumer survey was conducted by Wakefield Research (www.wakefieldresearch.com) on behalf of Citrix. It was distributed among 1,000 U.S. adult smartphone or tablet owners ages 18 and older, between January 8 and 15, 2013, using an email invitation and an online survey. Quotas were set to ensure reliable and accurate representation of the U.S. adult smartphone or tablet owner population 18 and older.

About Citrix ByteMobile

Citrix ByteMobile® Smart Capacity platforms enable mobile operators to deliver the best possible experience to their subscribers under all network conditions and to differentiate their services based on subscriber usage. The company’s solutions have been deployed in the mobile networks of more than 130 operators worldwide to manage escalating demand for capacity due to video and other rich multimedia content and applications. With Smart Capacity, mobile operators can improve utilization of existing capacity and control operating expenses, while increasing revenue growth and profitability. To learn more, visit www.bytemobile.com.

About Citrix

Citrix (NASDAQ:CTXS) is the cloud computing company that enables mobile workstyles—empowering people to work and collaborate from anywhere, accessing apps and data on any of the latest devices, as easily as they would in their own office—simply and securely. Citrix cloud computing solutions help IT and service providers build both private and public clouds—leveraging virtualization and networking technologies to deliver high-performance, elastic and cost-effective services for mobile workstyles. With market leading solutions for mobility, desktop virtualization, cloud networking, cloud platforms, collaboration, and data sharing, Citrix helps organizations of all sizes achieve the kind of speed and agility necessary to succeed in an increasingly mobile and dynamic world. Citrix products are in use at more than 260,000 organizations and by over 100 million users globally. Annual revenue in 2012 was $2.59 billion. Learn more at www.citrix.com.

ByteMobile, the ByteMobile logo, Smart Capacity, and Smart Capacity at the Core are trademarks, service marks and/or registered trademarks of Citrix Systems, Inc. in the United States and other countries. All other trademarks, service marks and product names used herein are the property of their respective owners.

For Citrix Investors

This release contains forward-looking statements which are made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933 and of Section 21E of the Securities Exchange Act of 1934. The forward-looking statements in this release do not constitute guarantees of future performance. Those statements involve a number of factors that could cause actual results to differ materially, including risks associated with the impact of the global economy and uncertainty in the IT spending environment, including in revenue growth and recognition of revenue, products and services, their development and distribution, product demand and pipeline, economic and competitive factors, including risks associated with international growth and IT consolidation, as well as other risks detailed in the Company's filings with the Securities and Exchange Commission. Citrix assumes no obligation to update any forward-looking information contained in this press release or with respect to the announcements described herein.

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