1. Strategic Liberty Global Channels
Property
Description
Strategic Value to SPE
SPE Division
Valuation Range
Online video service focused on programming funny and irreverent content for the young male demographic
Leads the category with an audience of 9.5MM domestic and 15.8 MM global users as of January 2007
Owns a large base of content targeted at the young male demographic, funds popular amateur producers and develops content in house
NBC producing original series “Breakers” for exclusive distribution on Break.com
Successfully monetizing traffic today through relationships with blue chip advertisers
Leverages SPE’s investment in Grouper and complements Grouper’s channel-based programming strategy
Moves SPE’s digital services to leadership in a critical and highly competitive convent vertical / audience segment
Provides differentiated content and programming expertise
Attracts additional advertisers
SPT
$55MM to $65MM
Leading online virtual world for the teen demographic
Built an attractive and actively engaged audience with over 7MM registered users and 2MM unique users each month
Users have demonstrated early demand for streaming video inside virtual world, purchase of virtual goods
Quickly becoming an online promotional outlet of choice for studios to market upcoming films
Potential to increase value of Club Penguin acquisition by retaining users across a broader age range
Digital licensing and distribution opportunity for streamed video and mobile products
Opportunities to promote Sony film and TV products
$200+MM
TOTAL
SPE Internal Use Only