1. Presenters Name Date Location Click to edit Master title Business Models for Mobile TV Mehdi KADHI Tunis, 29 th & 30 th April 2009 This document is confidential and is intended solely for the use and information of the attendee of this Event. Copyright 2008 S2M FZCO. All Rights Reserved.

2. 1 ©2008 S2M FZCO. Challenges and Key success factors for Mobile TV Network coverage and quality Outdoor, indoor and in-car Significant costs of proper indoor and extra-urban coverage Top quality and diverse content Mix of conventional and mobile specific Pan-Arab, local and international programming Interactive value added services Wide choice of devices at affordable prices Mobile phones, portable media players, in-car devices, laptops, etc. Solid economic case – suitable return on investment High infrastructure, content, device and marketing costs Niche market potential Seek economies of scale through cost and risk sharing Mutually beneficial business model Mobile operators (and other service providers), Content providers, Device manufacturers, Technology vendors, Consumers Joint and intensive marketing Subscription based vs. Free-advertising based service Source: Teleanalytics Mobile TV Adoption vs. Network Quality

3. 2 ©2009 S2M FZCO. 6 pillars for Mobile TV The business model cannot be dissociated from technology, commercial and regulatory, all should be driven by Mobile TV key success factors

4. 3 ©2009 S2M FZCO. S2M will launch an S-band satellite capable of delivering mobile TV services to the Arab world South Korea: – 2005 China: – 2008 North America – 2002 - sat. 2008 Europe – sat. 2009 India: Devas Multimedia Similar Systems in Operation or Under Development S2M-1 Satellite

5. 4 ©2009 S2M FZCO. Sources & packages mobile content for delivery to S-band devices Delivers content package to mobile operator for resale to its customer base Promotes Mobile TV service, registers customers & distributes S- band devices & S2M decryption keys Manages customer care & collects service fees S2M Repackages S2M content & prices it for its own customer base Creates new video, audio or data content specifically for mobile format Delivers mobile broadcast content to S2M Repurposes traditional video, audio or data content for use in mobile format Manages encryption & broadcast of content over satellite network S2M Advantages: Unique collaborative ecosystem Deploys & operates mobile TV broadcasting platform Content Provider Mobile Operator

6. 5 ©2009 S2M FZCO. S2M Advantages: Share costs between several countries and several operators Need to ensure suitable return on investment Significant investments required for Mobile TV Stringent network performance requirements High content costs Limited market maturity Uncertain market opportunity A shared system would substantially reduce the cost of deploying and operating the service Neutral third party mobile TV broadcast service provider Service available to 40+ mobile operators in the region Service available to 200+ TV and Radio channels S2M allows to share infrastructure, content and device costs between several countries and several operators

7. 6 ©2009 S2M FZCO. 100+ compatible devices available in other markets Attractive market potential for device manufacturers 350mm+ people under coverage 200mm+ mobile subscribers 35+ device manufacturers including Mobile handsets/ Smart phones/ PDAs In-car Audio/Video and Personal Navigation Devices Wifi/Bluetooth/USB dongles Personal Media Players Affordable dongles to kick start mobile TV adoption S2M Advantages: Wide choice of devices at affordable costs Device variety and Price Ranges China Example Source: Teleanalytics, November 2008

8. 7 ©2009 S2M FZCO. S2M Advantages: Top quality and diverse content Leverage cultural and language similarities in Arab countries Arab countries share, to a large extent, the same content interests A single platform covering the entire Arab region is best suited for the delivery of common channels Efficiently acquire, develop and deliver shared content Allows content customization to cater for specific interests on a country by country basis Allows content differentiation for each operator S2M media subsidiary for content aggregation, repurposing, reformatting and interactivity

9. 8 ©2009 S2M FZCO. S2M Advantages: Ubiquitous coverage Hybrid solution Satellite for cost effective region- wide coverage Terrestrial repeaters for indoor coverage EDGE/3G/Wimax/LTE for VOD and interactive services Cost effectively extend coverage beyond urban areas Urban as well as rural coverage Indoor, outdoor and in-car service Satellite Mobile TV Infrastructure 1 2 3a 3b 4

10. 9 ©2009 S2M FZCO. S2M Advantages: Harmonize frequency, technology and solution throughout the Arab region Single technology, solution and frequency for all countries Extend access to the service beyond national boundaries Similar projects are under deployment in Europe to harmonize mobile TV solutions Solaris Mobile (Eutelsat and SES): satellite launched in 2009 Inmarsat S2Ms Geographic Reach

11. 10 ©2009 S2M FZCO. Interoperability One technology standard, one system and one frequency for all countries under coverage Coverage Coverage everywhere including urban and rural areas outdoor, indoor and in-car and while traveling within the region Infrastructure Substantial economies of scale in infrastructure Costs are shared between several countries Content Most efficient solution to deliver pan-Arab content Regional as well as local programming Devices Widest choice of devices at affordable prices Business Model Mutually beneficial business model for mobile operators, content providers and device manufacturers Technology Higher spectrum efficiency, commercially and technically proven Existing or under deployment in S. Korea, North America, Europe, China, India Summary of S2M advantages Best customer experience for end-users, widest reach for content providers, most efficient economic model for operators

12. 11 ©2009 S2M FZCO. www.S2Mgroup.com Dubai Airport Free Zone Building 6E-A, Suite 425 P.O. Box 293680, Dubai, UAE