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Our Strategy

Nikola Ljushev,
CEO

Digital transformation today brings vast possibilities and tools that enable us to move forward in a fast manner, but it also opens up numerous challenges. Our network and the new technologies are the foundations of the digital society and our goal is not to stop until we connect everyone. But, this is only the beginning. We have a much greater responsibility – to shape a better future for everyone. Technology is our greatest expertise and, thereby, it is the strongest tool in our fight against the environmental and social challenges.

Widespread and complete connectivity constitute the first step towards an equal digital society . That is why we are investing in and upgrading the infrastructure with the latest technologies even in the most inaccessible places. We are equally dedicated to the development of both the fibre optic and the 5G infrastructure and this year we also received an official confirmation for having the best network through the prestigious acknowledgement of the US company Ookla®.

We are using the latest technologies also for the purposes of dealing with climate change. With our smart city solutions we are enabling savings in electrical energy, water and power and we are reducing the harmful CO2 emissions. As a digital transformation partner, we are also helping the companies reduce the use of electrical energy by using cloud services. We are taking one step ahead with eco-actions for reducing electronic waste, as well as renewing the green zone by making investments to that end every year.

We firmly believe that the digital future belongs to everyone and thence we are working with full dedication of reducing the digital gap and we are fighting against online hate speech. We are calling upon young people to be the creators of a safe and democratic internet space, open to everyone. The ethics of the digital world that we are creating is one of the greatest challenges upon which the future of all of us, especially young people, depends. Thence, this year we started the initiative: „Together for hate-free internet“ in which we actively included young people, we gave them a chance to speak their minds, we provided them with tools and the knowledge to fight for a hate-free internet and be the beacons of change.

Today, the challenges ahead of us are complex and there are no simple answers. However, we have a motive to be an active driver in finding solutions because our goal is to be the leading digital and sustainable telecommunications company. We are continuing to work with full dedication for a shared and sustainable digital future.

Sustainable digital future for everyone

Slavko Projkovski

We are investing in the present while thinking about the future. Our network and the new technologies are a key tool to tackle climate change. However, we are taking a step further by ensuring that the care for the environment is a part of our daily work. That is why we remain committed to sustainable practices, introducing sustainable products, devices and solutions. We are completely CO2 neutral and via circular economy we are increasingly making an impact with a view to reducing electronic waste. Our strategy is clearly defined and long-term – to be the leading digital operator that strives for a shared sustainable future.

Slavko Projkoski

Emilija Andonovska

Our goal is to offer much more than just telecommunication services and to use technology in order to open up a new world of experiences for our customers, their families and friends. Our ambition is to open a new chapter in which the life experiences and the satisfaction of our customers are in the centre of our activity – we want to grow from a telecommunications operator into a valuable daily companion engaged for the satisfaction of the customers at a completely new level.

Emilija Andonovska

Maja M. Naumovska

We have an ambitious plan – not to stop until we connect everyone. The digital society should enable an equal access for everyone and that is the reason why we are continuously investing in and upgrading the network infrastructure with the latest technologies, even in the most inaccessible places. We are equally dedicated to the expansion and the development of both the fibre optic and the 5G infrastructure for our shared digital future. This year, our technological leadership was also officially confirmed with the prestigious acknowledgments: Ookla® for the best network and the measuring of the mobile network quality by the Agency for Electronic Communications.

Maja Milosavlevska Naumovska

Marjan Bogatinovski

We are committed to being a reliable partner for the digitization of the businesses and the institutions, but also to lead the digital transformation of the entire society. With the new technologies we are saving water and electricity and we are reducing the harmful CO2 emissions. With our innovative ICT solutions we are leading the evolution of smart cities in Macedonia. We are using the power of technology as our tool to be a driver of sustainable practices and of a better future for all.

Marjan Bogatinovski

HIGHLIGHTS
2023

CO2 neutrality

E-bills 84% which enabled saving 55 tonnes of paper

Electrical energy 60% from renewable sources

Energy savings 80% through Telekom cloud

Biodegradable packaging 100% for our devices

Recycled 16.000 mobile phones

Digital inclusion 25.000 users

Customer satisfaction #1

TRI*M 94 Points

Employee satisfaction 63%

Diversity 45%

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We are committed to connecting everyone, everywhere, through the best network

We are committed to connecting everyone, everywhere, through the best network

We have an ambitious plan – not to stop until we connect everyone. The digital society should enable an equal access for everyone and that is the reason why we are continuously investing in and upgrading the network infrastructure with the latest technologies, even in the most inaccessible places. We are equally dedicated to the expansion and the development of both the fibre optic and the 5G infrastructure and we are working diligently on our shared digital future. This year, our technological leadership was also officially confirmed via the prestigious acknowledgment of the US company Ookla® for the best network.

The Speedtest Awards of Ookla® reflect the real network performances and confirm the internet speeds and the coverage. This international acknowledgement is awarded to operators with exceptional performances, based on consumer-initiated tests, confirmed by the Speedtest® applications. With this award we have also de facto confirmed that we have the best mobile network, a network with a superior speed, the greatest coverage on the territory of Macedonia and the best quality.

With continuous strategic investments, the company managed in a record time to complete the final cycle of mobile network modernization. So far, 82% of the population throughout the country can use the 5G technology. At this moment, we are the only one that delivers gigabit speeds of 5G mobile internet in most of the towns in Macedonia, including Skopje. The numbers confirm the leadership also in the segment of fiber optic infrastructure which has been intensively expanding throughout the country. At the end of the year, the number of fibre optic access points increased by 14.6 percent as compared to the previous year and it amounts to 314 thousand access points, which is a result of the mass migration of customers from copper to fibre optic infrastructure in all parts of the country where there is fibre optic coverage. We are proud that we are covering almost 3 times more households with fiber optic infrastructure than all other operators on the market together. Fiber optic guarantees speeds and quality, but it is also a very important component in terms of environmental protection – it drastically reduces the electrical energy consumption. Fiber optic transmits data at very large distances and there is no need for boosters, devices being used with copper which consume a lot of electricity. In addition, in order to gain access to copper it is necessary to excavate, which has an impact on the biodiversity, creates additional waste and has a more substantial carbon footprint. Fiber optic cables are made of glass and at the moment they are the most eco-friendly solution.

The decrease of the copper quantity that we excavate is crucial for restricting the global warming. By means of investments in the latest technologies, we are dedicated to environmental protection and to reducing the harmful impact on nature and we are using the technology to that end. The greatest consumer of electrical energy is the mobile network, which comprises approximately 55% of the entire consumption. In order to reduce this trend in the long run, we have already started working based on artificial intelligence based features. We are talking about sensors which are installed at the base station locations, measure the energy required at a particular location and send information to a central platform which processes the data. We are planning to install photovoltaics in the major part of the base stations. This system has been implemented in the data centre in Skopje and it has resulted with savings exceeding 20%. Makedonski Telekom continues investing also in renewable sources of electrical energy with an envisaged long-term investment plan. We remain dedicated to developing the best network and creating innovative services and solutions with a view to ensuring an optimal customer experience.

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We are dedicated to conquering the hearts of the customers

In an era of a technological expansion, our goal is to provide the best network and top service, as well as to redefine the rules and the values in the digital world. Primarily, we aim to enable wide access and and connect everyone with everything that matters to them in their personal and social life in the simplest possible manner. That is why we are working on user-friendly products and services and digital user tools, such as apps and chatbots, which make everyday life and service usage easier. But we are also taking one step ahead

#1

TRI*M INDEX (customer satisfaction
measurement)

We are proud to have a TRI*M index (customer satisfaction measurement) with a value of 94, while the industry standard varies between 50 and 70. According to Love Brands, Makedonski Telekom is the No. 3 brand in Macedonia, far ahead of the competitors, while our position is on the rise every year. This is a reflection of the loyalty of our customers, but it also gives us motivation to be even better.

In 2023 we introduced Magenta Moments, our digital programme for prizes and benefits for the customers, which is a true example of our commitment to provide the customers with much more than just telecommunication services. This programme provides attractive offers and benefits from international, national and local brands in many categories related to lifestyle. The additional value arises from the fact that this is an international programme of Deutsche Telekom which includes benefits for the customers throughout Europe.

Furthermore, T-Phone and T-Tablet demonstrate our dedication to decreasing the digital gap. We do not ensure only connectivity, but also by offering devices at affordable prices we are enabling access to the new technologies for everyone.

In the course of last year we introduced a new, completely innovative access point for customer interaction, thus providing a better experience to the customers, more benefits, continuous 24-hour availability for all services, as well as expansion of the portfolio with fully digital processes for all customer journeys undertaken by the mobile services customers, including also purchasing new lines and mobile number portability.

The focus remained on the improvement of the customer experience when using the mobile app Telekom MK, which is currently providing the customers with a series of digitally available products and services ready to be activated in real time, without any need for human contact, for all mobile, internet and TV customers.

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Dedicated to the digital transformation of society

We are covering multiple municipalities with smart public lighting: Skopje, Makedonska Kamenica, Cesinovo-Oblesevo, Vasilevo, Kriva Palanka and soon Kocani. The digital smart lighting solutions enable the enhancement of the quality of lighting and the safety, while on the other hand, also the energy consumption is reduced and the quality of life of the citizens is improved.

The digital smart lighting solutions enable the enhancement of the quality of lighting and the safety, while on the other hand, also the energy consumption is reduced and the quality of life of the citizens is improved. With the smart parking solutions we are ensuring a more efficient use of motor vehicles and we are making an impact on the reduction of harmful gases in the air. With the smart water meters for remote metering of the water consumption the losses in water supply are reduced and the water consumption is streamlined in view of the fact that water is increasingly becoming a priceless resource. In Telekom Cloud, our very efficient data centres consume up to 80% less energy as compared to the consumption generated when the customers are using their own infrastructure.

We are also taking one step ahead by developing our own innovative solutions, such as the solution for smart electricity metering and management, which ensures control of the consumed and produced electricity and other electricity parameters

The solution, which is intellectual property of Makedonski Telekom, offers a web and a mobile cloud application which enables monitoring the consumption in real time, as well as the quality of the delivered electrical energy. This solution enables regular monitoring of the consumption and a proactive reaction, thereby also minimizing the costs. The solution may be used by all companies and institutions and it is ideal for companies that have substantial and variable electrical energy consumption, as well as their own photovoltaic systems.

Our commitment to be a reliable partner for the digitization of the businesses and the institutions, as well as a driver of sustainable practices, has reflected on the increase of the TRIM index in Q3 of 2023 by a difference of 30 points as compared to the main competitor and the retention of the No. 1 position in B2B DT EU.

Telekom Cloud 80% energy SAVING

Digitalna transformacija
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Dedicated to the best team

Our employees are the cornerstone of our organization. Their dedication, professionalism and passion are the driving force behind all our successes and that is why their development and well-being matter to us. This year, we continued investing in their improvement, implementing numerous initiatives and organizational changes aimed at better cooperation and productivity.

New way of working, a flexible structure

We presented the concept ‘New way of working’ in order to inspire a dynamic and collaborative working environment. This approach enables the teams to have a greater autonomy and flexibility, which yields increased productivity and engagement on the part of all members, as well as an increased contribution to the success of the company. Now, each member of the team has a greater responsibility for the results, while the merits for the successes are shared. This change leads to an elevated productivity and engagement, while priority is given to the cooperation and the growth of the team. We introduced an agile methodology with structures such as ‘Tribes’, ‘Streams’, ‘Squads’, for functions that add value, and ‘Hubs’ and ‘Canters of Expertise’ for operational support.

With these changes, we have created a culture of adaptability, innovations and flexibility, ready to respond to the volatile market needs.

Programmes for the development of skills and acquiring new knowledge

We have undertaken various initiatives for supporting the development of the employees’ skills, as well as for fostering learning opportunities, while we enabled the members of our team to reach their full potential.

In 2023, we offered a series of trainings to our employees on topics such as artificial intelligence, machine learning with Python, software development, data analysis, generative artificial intelligence, Cloud technologies, DevOps, customer-centric communication and data visualization with Power BI.

We introduced the Learn.Step.Grow programme, uniting all courses and opportunities for local development. The twenty-one day challenge was aimed at improving the skills of the employees, assisting them to transition from Power BI to Power Platform, by means of daily learning and tasks. With the Learn.Step.Grow programme a community of about 40 employees, learning and development enthusiasts, was established. The implementation of Microsoft 365 and the various lectures delivered by Microsoft Teams improved the use of the new tools and applications.

The programme titled Power to People validates the exceptional contributions of our teams every 3 months, thus inspiring dedication and passion to succeed. Career development is of crucial importance for the engagement, the performance and the loyalty of our employees. This has been in our focus since 2021, while in 2023 we conducted the first career development survey throughout Europe, aimed at making positive changes in our working environment.

Caring for the mental and physical health

In 2023, we were firmly dedicated to the health and well-being of our employees by means of various activities and initiatives. We are convinced that the well-being of the employees is essential for our collective success, which is the basic philosophy of our organization. We organized a 3-month challenge in which the employees competed, collected kilometres and fought for the reduction of the CO2 emissions. The goal was to jointly pass 60,000 km by walking, running, hiking and biking, thus significantly reducing the CO2 emissions.

We introduced yoga at the workplace, thus enabling the employees to practice yoga before or after the working hours. This strategic investment in the well-being of our employees has demonstrated our dedication to creating a positive and healthy working environment.

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Zivotna sredina

Dedicated to a sustainable future

Dedicated to the environment

Through digitization and responsible action we are dedicated to protection against climate changes and deceleration of the effects arising from them, while our focus is also on circular economy and the preservation of biodiversity.

Reducing CO2

We are taking measures to protect the climate by reducing CO2 emissions, preserving the resources and using energy more efficiently. The energy consumption rises in parallel with the intensive digitization and, therefore, we committed to efficiently use energy and to transition to renewable energy sources. Our goal is to become climate neutral by 2025 in terms of our own CO2 emissions by reducing them by 95% and compensating for the rest, wherein, by 2040 we are aiming to become entirely climate neutral. This goal refers to the entire Group and it is based on the Paris Climate Agreement. The main measures for achieving this goal are the efficient use of energy and the transition to new, energy-efficient technologies in the entire telecommunications infrastructure, as well as its optimization. We are working on data processing in two particularly efficient data centres where we are optimizing the cooling of the available IT technology.

Makedonski Telekom is already CO2 neutral; it uses renewable energy sources to a maximum extent, while in terms of the energy used from non-renewable sources it compensates by investing in projects in the sphere of social responsibility, which have been verified by relevant international bodies. Our activities to achieve this goal are focused on modernizing and optimizing the technology in the network infrastructure and in the data centers. Other measures include efficient management of the company's assets and our vehicle fleet. In turn, our sustainable product and service solutions help the customers reduce resource and energy consumption, thereby significantly reducing CO2. An example of this are services based on cloud technology: using software and IT infrastructure in TelekomCloud can reduce up to 80% of energy compared to using own infrastructure.

Furthermore, we are managing the company's property and fleet more efficiently to minimize the impact on climate change. Our sustainable product and service solutions help the customers reduce resource and energy consumption, thereby significantly reducing CO2. An example of this are services based on the cloud technology: using software and IT infrastructure in TelekomCloud can reduce up to 80% of energy compared to using own infrastructure.

Circular economy

Our corporate responsibility strategy is also focused on supporting circular economy. By 2030, we want to be a leading company in this field and apply it to our technologies and devices. We have been working on the design of products made of recycled materials, by repairing and reusing the equipment we extend its useful life, we are using packaging that is completely made of recycled and biodegradable materials, while holistically managing all types of waste. Thus, our products and services help the customers and the community in general to save resources.

Sustainability via design

Products should have a long life and be recyclable. Within the framework of sustainable products, we launched an initiative to recycle smart phones, enabling the customers to participate in circular economy. Furthermore, Makedonski Telekom takes care of the maintenance of the customers’ devices through which internet and television services are provided. The device that powers MagentaTV is made from 100 percent recycled materials and carries the #GreenMagenta tag.

Biodiversity

We are committed to the preservation of biodiversity and our main focus is reforestation of the regions afflicted by fires, which is another confirmation of our responsibility towards society and the environment. This activity is closely related to the actions for collecting old mobile devices. In terms of forestation actions, we not only support but also encourage forestation projects and actively participate in them together with a large number of employees and the local community.

We are investing in the present while thinking about the future. Our network and the new technologies are a key tool to tackle climate change. But we are taking a step further by ensuring that the care for the environment is a part of our daily work. That is why we remain committed to sustainable practices, introducing sustainable products, devices and solutions. We are completely CO2 neutral, and through circular economy we are increasingly making an impact with a view to reducing electronic waste. Our strategy is clearly defined and long-term – to be the leading digital operator that strives for a common sustainable future.

BY 2025 CLIMATE
NEUTRAL

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Sustainability tags –
#Green Magenta and #Good Magenta

In today’s connected world responsibility is of crucial importance; responsibility that goes one step beyond creating a superior infrastructure; responsibility for sustainability and preservation of natural resources, responsibility for reducing the digital gap and creating an equal digital society; responsibility for a shared sustainable future.

With the #GreenMagenta and #GoodMagenta tags, Deutsche Telekom is highlighting the responsibility towards the environment and society.

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Good magenta

#GoodMagenta stands for initiatives that bring about positive changes in the digital world and have an impact on reducing the digital gap. In light of the foregoing, the creation of a better and safer internet space is of exceptional importance.

Together for hate-free internet

As creators of the digital future, our task is to also influence the creation of its ethics. Hate speech on the internet is one of the biggest challenges today that affects everyone, especially young people. As the generation that spends most of their time online, they are the most exposed to hate speech and peer online violence. According to the UReport survey, as many as 24% of young people who have access to the internet have at least once felt unsafe online in the course of the last year.

It is a phenomenon of modern society that has been causing increasing concerns and problems for young people, but also for their parents, guardians and educators. In this respect, we have a responsibility to make a positive change, to participate in creating a safe internet space.

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internet bez omraza

Hate-free internet
We are ensuring that the voice of young people is heard in the fight for hate-free internet.

Our motive is a safe internet and as many young people as possible fighting against violence and encouraging creative and positive energy online. That being said, the opinion of their peers means the most to young people. Therefore, in order to ensure that an initiative has as much impact as possible it should be led by young people, wherein they are the creators, the participants and the faces of the campaign.

That is how we have created the youth initiative: "Together for hate-free internet" in which we actively included young people, we gave them a chance to speak their minds, we provided them with the tools and knowledge to fight for a hate-free internet and be the beacons of change.

This initiative is part of the long-standing partnership between the Foundation Telekom for Macedonia and UNICEF, whose goal is to involve children and young people in tackling some of the biggest challenges that their generation is facing.

Youth campaign
Cyberbullying Bye-Bye!

Under the slogan "Cyberbullying Bye-Bye!", the campaign includes over twenty videos for social media. Some include messages like "Words carry weight, so choose them carefully" to draw attention to the harmful effects of cyberbullying. Others include messages urging young people themselves not to be passive observers and to offer support if they witness any cyberbullying.

The campaign was launched on social media on the International Day Against Hate Speech. The passion, dedication and creativity of the young people who worked on this campaign is clearly visible in the final product. We are proud of their achievement and we believe that it will positively impact many other young people. For this initiative, we received an award for commitment in the field of social responsibility from the American Chamber of Commerce in North Macedonia (AmCham) and Konekt within the USAID project "Partnerships for Giving".

Workshops for socializing and creating

The initiative began with an open call to children and young people from the country to participate in workshops to create a safe internet campaign. During the workshops, 30 children and young people participated in design thinking sessions to conceptualize a campaign and develop messaging. Young people learned more about online peer violence, how to recognize and prevent it, they defined goals for behavior change and worked on a narrative. Through co-creation with psychologists, creative experts and communication experts, they worked on the plan and concept for the campaign, while creating videos and other communication materials. They discussed problems and their solutions, studied and worked together with professionals, created videos together, acted, directed and socialized.

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Green Magenta

#GreenMagenta is used for products, projects, measures and initiatives that bring a positive change to reduce climate change and to boost a responsible use of resources.

These tags are given to exceptional initiatives from the entire Group.

Initiative for reducing electronic waste – Eco-discount

As part of the Deutsche Telekom Group, we are committed to reducing the harmful impact on nature in our daily work also by means of encouraging green initiatives. Climate change affects us all and we have a shared responsibility to make a difference. Circular economy is our strategic commitment, and one of the main elements of circular economy is the reduction of electronic waste and the reuse of materials from old mobile phones.

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Together for environmental protection

With our campaign for the collection of old mobile phones in 2023 we collected as many as 16,000 electronic devices. But the local campaign has an even bigger goal – restoration of the areas that were affected by large wildfires in the last few years. In 2023, the initiative for the forestation of the areas afflicted by wildfires continues in partnership with the Scout Association of Macedonia, via the “Borenka” project.

“Borenka” is an action in which all citizens can participate as the creators of a virtual forest and as volunteers for forestation by means of joint actions taken by the municipalities and the Scout Association. Makedonski Telekom undertakes to plant a natural tree for every drawn tree in the eastern part of the virtual forest.

At the end of the year, in the joint reforestation action in which more than 100 volunteers and Telekom employees participated, new trees were planted for the restoration of the green belt in the eastern region.

In addition to the actions on the ground and the creation of a virtual forest, this partnership strengthened and developed the volunteering spirit and the education of the youngest about environmental protection. In the last few months, over 3000 children from Macedonia were part of the educational workshops arranged by "Borenka", where they learned how important forests are and drew their own tree in the virtual forest.

The restoration of the natural resources and the reduction of electronic waste are our duty and strategic priority. With the partnership with the Scout Association of Macedonia we are expanding our field of action and we are initiating education and mass actions in order to make a real difference.

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