4 Mobile Global Media Enablement Leader! + Video content delivery system for consumer and enterprise applications + Peer delivery capability across DSL, Cable, WiFi, Fiber and 3G networks + 30+ million PC peer client downloads across U.S. and UK + 40,000+ pieces long-form video content + 6 years of commercial experience + Mobile services: music, commerce, messaging and personalization + 600+ million accessible mobile subscribers globally + 75+ direct carrier connections for SMS, PSMS, content delivery + 400,000+ mobile content catalog items + 7+ years of commercial experience Broadband
5 The Evolving Set of Challenges + Cost Effective vs. Profitable Moving from cost centers or marketing expenses to PLs Managing the remix of content licensing Settling on a business model: ad supported, pay per view, subscription + Content Quality – Not about short crappy content… in most places Delivering TV/DVD/HD Quality Content Optimize delivery for wide range of uses + Scalability - Meeting the 5x-10x-10x scalability challenge in less than 2 years 5x higher encode rate; 1.5-3Mbps instead of 300-600kbps 10x more views; millions per day 10x in average video length; 22-44 minutes instead of 1-3 minutes + Managing the End User Experience Path to the Plasma TV Disc space usage Local content management (consumer desktop) + These are Global Businesses
6 Online Video Consumers by Region - Asia? Source: ABIresearch, 3Q 2006 Subscribers (millions) Note: Aggressive forecast. Some of these will be dial-up users, as many dial users view video today in Flash format, etc.
7 Online Videos Viewed by Region Source: ABIresearch, 3Q 2006 Videos Viewed (millions) Note: Aggressive forecast.
8 Online Videos by Revenue Model - Ads, Ads, Ads! Source: ABIresearch, 3Q 2006 Revenue (millions) Note: Aggressive forecast.
9 Online Video Users by Device Source: ABIresearch, 3Q 2006 Users (millions) Note: Aggressive forecast.
10 The 3-Screen Experience – Not One Piece, 3 Screens PC TV Mobile Mobile Storefront Contestant Voice Tones Performance Ringtones Contestant Graphics iTV Campaigns Voting, Polling Sweepstakes Broadcast Integration Internet VOD HD Broadcast Replays Contestant Profiles HD Performance Archive
11 US Broadband Video Landscape Matrix Source: ABIresearch, 3Q 2006
12 BBC > > HIGHLIGHTS + All the BBCs popular TV shows are made available online at the time of original broadcast + Electronic Program Guide (EPG) is very sophisticated and allows for user rating, meta tag search, etc. + Service will initially be a free service for UK residents (uses IP blocking for geography filtering) + Ultimately similar services will be rolled out under ad supported and premium subscription business models + Kontiki powers the complete delivery and end–user experience infrastructure
13 AOL Hi-Q and In2TV > > HIGHLIGHTS + 100s of TV Quality downloads from Warner Bros, Nickelodeon, Comedy Central, A&E, MTV, … + Kontiki is the delivery infrastructure that powers the AOL Hi-Q system and the more recently launched In2TV content portal + Kontiki is fully integrated with the ad serving solution at the point of origin + Kontiki is also integrated with the DRM facility used to protect the rights held content distributed through Hi- Q/In2TV + AOL Hi-Q supports a mix of business models including: free, ads supported free, pay per download and subscription based models
14 British Sky Broadcasting > > HIGHLIGHTS + Sky service built as a cross-medium experience offered free to their premium satellite TV customers + Offers over 300+ movie titles and 100+ unique pieces of sports content on a regular basis + User experience/EPG is very smooth and was built in flash on top of the extensible Kontiki framework + Users are authenticated via the Sky billing system in place for satellite subscribers + Kontiki fully integrates with the Microsoft DRM system at the point content origin
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