1. November, 2004 Saeha Soft Co.,Ltd. 828-10 Yeoksam dong Olympia Centre 3F, Gangnam gu, Seoul, Korea TEL : 02)2051-2104 FAX 02)2051-2107 Introduction for Saeha Soft

2. 2 I Business Outline II Market Status III Business Structure Appendix ( Reference Sites ) Table of Contents

3. 3 Leader of Multimedia Solutions based on Video Audio Compression Technology Corporate Identity Business Outline I I Video Chat Solution& Video Consulting Solution SaynSay&InterCall Video Conference Solution& Data Conference Solution MultiView&DateView Remote Education Solution & Seminar Solution SchoolNet & Seminar Technology Development & Market Expansion MultiMedia WebMail& Messenger Video Audio Codec Technology Video Audio Codec Technology Wire&Wireless Internet Contents Service

4. 4 Company Name : Saeha Soft Co., Ltd. Establishment date : 7/23/1999 President : Mr. Chun, Young Address : 828-10 Yeoksam dong Olympia Centre 3F, Gangnam gu, Seoul, Korea Field of Business : S/W Development/ Communication Equipment/Internet Service Products(Service) : Video Conference·Remote Education·Video Chat/Cyber call center/ Internet Contents Development/Communication Equipment URL : http : // www.saeha.com http : // www.saeha.co.kr http : // www.saynsay.com Company Profile

5. 5 1999.07. Start analyzing and development of Video/Audio Codec 2000.02. Establishment of Saeha.com Co., Ltd. 2000.02. Contract with Triz Co., Ltd. for constructing Video Chat site 2000.03. Publication of Say&Say version 1.0, multi-user Video and Audio Chat program 2000.04. Joining in 2000 KIECO 2000.05. Construct remote infant Video Education/Communication Solution in Kwangju Kindergarten Union 2000.06. Construct cyber language school in Korea Herald 2000.06. Construct Video Stock Consulting System in YMC Consulting 2000.07. Construct Video Chat Solution in Princekiss Co., Ltd. 2000.08. Joining in Comdex Korea 2000 2000.08. Provide Online Remote Education Solution to E-Lang tutor 2000.10. Construct Video Chat Solution in Korea Information Technology Co., Ltd. 2000.10. Joining in Korea-China Venture Invest Exhibition(Beijing China, under the Dizzo Venture auspices) 2000.11. Contract with Asia Link I for Peking field market Agent China 2000.11. Strategic contract with e-game net and construct video chat solution (For advancing into European game market) 2000.11. Contract with N-Forum Co., Ltd. for providing Audio Component S/W (For advancing into Japanese education market) 2000.11. Provide messenger program about audio transfer department to Japanese Education site – NANIO 2000.11. Joining in 2000 Singapore Invest Roadshow(Under the auspics of Korea Venture Business Association, Support by MOCIE, SMBA) 2000.12. Construct Video Communication Solution in I.P Telecom Co., Ltd. 2001.01. Construct Video Chat Solution in Duvice Co., Ltd. (marriage information company) 2001.01. Provide Video Call Center System to Digicom Co.,Ltd 2001.02. Provide Remote Video Education Solution to TESOL Co., Ltd. 2001.02. Contract with ALPHA PAC Co., Ltd. Japan for providing Video Communication Program 2001.03. Contract with Humancom Co., Ltd. for providing Audio Chat Solution, Audio Web Board, and Audio Mail S/W 2001.03. Contract with SEAHA JAPAN for Japanese field market agent 2001.03. Contract with I - BIZ NET Co., Ltd for Brazilian field market agent 2001.03. Contract with Comeon Media Co., Ltd. for providing Video Communication Solution for Internet set top box 2001.04. Provide Video Conference S/W to Public Environment Minister Company History

6. 6 2001.05. Provide Video Conference S/W to Pusan Dong-Myoung Information University 2001.05. Designated as promising small and medium enterprise in 2001 2001.06 Joining in 2001 SEK 2001.07. Contract with Welove Soft Corp Taiwan for exporting Video Solution and making field market agent 2001.07. Contract with U.S. Marry Me In Co., Ltd. for exporting 1:1 Video Solution and making field market agent 2001.07. Provide Video Education S/W to E.M. Information School 2001.08. Joining in Comdex 2001 2001.08. Provide Video Chat Solution to U2VISION 2001.09. Provide Video Conference Solution to LG electronic in Chang won 2001.09. Certificated as Venture Enterprise (New Technology Developing Enterprise) 2001.10. Provide Video Conference S/W to Kok Sung Education Minister 2001.10. Provide Video Chat and Remote Education S/W to Fire Defense Agency 2001.11. Provide Video Conference S/W to Daegu Local Police Agency 2001.11. Provide Video Conference S/W to Seoul Local Police Agency 2001.12. Provide Video Conference S/W to Gyeonggi-Do Education Minister 2001.12. Provide Video Conference S/W to Mercantile Marine Local Police Agency 2001.12. Provide Video Conference S/W to Jun-Buk Local Police Agency 2002.03. Provide Remote Education S/W to I-bill Soft Co., Ltd. 2002.03. Provide Video Conference S/W to One-Click Co., Ltd. 2002.04. Provide Video Conference S/W to Itop Soft Co., Ltd. China 2002.04. Provide Video Conference S/W to U-Sung electronic Co., Ltd. 2002.05. Provide Document Conference S/W to Polycom Confernet site 2002.06. Provide Intercall S/W to MSL Co., Ltd. 2002.06. Provide Video Loan S/W to Fusion Co., Ltd. 2002.06. Provide Video Conference S/W to YDC Digital Co., Ltd. 2002.06. Provide Intercall S/W to Digital Com doctor 2002.07. Joining in 2002 SEK 2002.07. Contract with Intervision Co., Ltd. for general business of Remote Education Solution 2002.07. Contract with DigiEnjoy Technology for providing Video Conference Solution in Taiwan

7. 7 2002.07. Provide Video Interview S/W to LG electronic 2002.08. Construct Video Conference & Chat System in Dae-Sin Information Communication 2002.08. Joining in 2002 Comdex Korea 2002.08. Provide Video Conference Solution to Pentax Co., Ltd Japan 2002.08. Provide Video Consulting S/W to Timetoworld Co., Ltd. 2002.09. Provide Video Conference S/W to Nemo Sigma Co., Ltd. 2002.09. Foundation of an annex laboratory 2002.10. Contract with Keidan for exporting Video Conference S/W in Spain 2002.10. Provide Video Conference S/W to Korea Microcomputer Minister 2002.12. Industry of Choice INNO-BIZ 2002.12. Provide Video Chat S/W to C&L Enterprise INC Canada 2002.12. Provide Video Conference S/W to Korea condo 2002.12. Provide Video Conference S/W to Kolong Glotec Co., Ltd. 2003.02. Provide Video Conference S/W to Shenyang Public Peace Department China 2003.02. Provide Video Conference S/W Creo Co., Ltd. Japan 2003.02. Provide Video Conference S/W to KCC Co., Ltd 2003.02. Provide Video Conference S/W to Panama Science Technology Minister (International cooperation) 2003.03. Provide Video Conference S/W to Winby3 Japan 2003.03. Provide Video Conference S/W to Kddi Co., Ltd. Japan 2003.03. Provide Video Conference S/W to MACSTEEL U.S. 2003.03. Provide Video Conference S/W to Bremen Education Minister Germany 2003.03. Provide Video Chant and Video Conference S/W to Nacos Japan 2003.04. Provide Video Conference S/W to Kolong Construction Co., Ltd. 2003.04. Provide Multiviedo Standard Package 450Copy to Digi Enjoy Taiwan 2003.04. Provide Video Chat and Video Conference Solution to ChinaTelecom China 2003.04. Provide Remote Surveillance System(TBAS) to Mitsubishi Electronics Inofrmation Network Co., Ltd 2003.04. Provide Video Communication Solution to Information Village construction controled by Self-Governig Administration Department 2003.05. Provide Video Conference S/W to Mexico Bank Association Mexico 2003.05. Construct Video Conference System in StreamX(Mexico) for E-Mexico project 2003.06. Provide Video Conference S/W to Itmex 21 Singpore 2003.06. Construct Video/Audio Conference System in Braille * Audio Electronic Education Information Center in Nasalet University

8. 8 2003.06. Provide Video Conference S/W to Japantelecom Japan 2003.06. Provide Video Conference S/W to ChinaUnicom China 2003.06. Provide Video Conference S/W to Edubox 2003.06 Deliver Data Conferenec Solution to Water Resources Development Corporation 2003.07 Deliver Data Conferenec Solution to LG chemical 2003.07 Deliver Data Conferenec Solution to Import/Export Minister 2003.07 Deliver Video Education S/W to Dae-gyo EOL 2003.07 Construct Video Conference S/W to Kwangwon-do Education Minister 2003.08. Joining in 2003 Comdex Korea 2003.08. Provide Video Conference S/W to Get Together Live Canada 2003.08 Provide Video Chat S/W to CuLove China 2003.08. Provide Video Conference S/W to KPPI Japan 2003.08. Provide Video Conference S/W to POSCO 2003.08 Deliver Document Conference Solution to KT InfoTech Co., Ltd. 2003.09. Provide Video Chat S/W to 17say.com China 2003.09 Deliver Video Conference S/W to Pusan Shoes Business Union 2003.10. Certificated as Venture Enterprise (New Technology Developing Enterprise) 2003.10. Provide Video Communication S/W to Gunsarang.net 2003.10. Provide Video Module to NHK(Hangame) 2003.10. Provide Audio Module to Nacssnet 2003.10. Provide Videoconference System to the first business of Kyeonggidomin local information 2003.10 Provide Data Cooperative Solution to Korean Highway Corporation 2003.10 Deliver Video Conference S/W to Wando Mercantile Marine College 2003.11 Deliver Video Conference S/W to Unification Center in Self-Governing Administration Department 2003.11 Contract with Simyang Sam-Hyung Electronic Finite Public Affair China for Video Chat charged service jointly 2003.11. Provide Video Conference S/W to CTC Japan 2003.12 Provide Video Chat S/W to Humancom Co., Ltd. 2003.12. Provide Data Conference Solution to Polycom-korea Inc 2003.12. Provide Video Conference System to Health Medical Examination Office of Gangwon Province 2003.12 Contract with VIVICOM Co., Ltd. German for exporting Video Conference S/W

9. 9 2004.01 Contract with EPION TECH Co., Ltd Japan for Video Conference S/W 2004.02 Provide Video Conference S/W to Environment Minister 2004.02 Contract with Information Communication Finite Public Affair China for exporting Video Chat S/W 2004.02 Contract with CNC China for Video Communication and Video Conference Solution charged service jointly 2004.03 Provide Data Conference Solution to Seoul City Hall 2004.03. Provide Video Conference S/W to Hite Co., Ltd 2004.03. Provide Video Conference S/W to Ini Consulting 2004.04. Provide Video Conference Solution to Hanil Cement Co., Ltd 2004.03. Contract with Shanghai Xinhua Telecom Web TV Co., Ltd China for Video Conference and Viedo Communication Solution charged service and making field market agent jointly 2004.04. Contract with Beijing Coolyoung Information Technology Ltd. Finite Public Affair China for Video Communication Solution charged service jointly 2004.04 Contract with Fushun CX Science&Technology Development Co., Ltd Finite Public Affair China for Viedo Communication Solution charged service jointly 2004.05 Provide Video Education System to Kumho elementary 2004.05. Provide Video Conference S/W to SeongBuk-Gu District Office 2004.05. Provide Video Conference System to Taeyang metal Co., Ltd 2004.05. Contract with Shenzhen EC-Tonen Technology Ltd Finite Public Affair China for Video Communication Solution charged service jointly 2004.05 Provide Video Conference S/W to Haan elementary in GwangMyeong City 2004.05. Provide Video Chat S/W to Huey Yang Digital in Taiwan 2004.05. Provide Video Conference S/W to DaeHan Duct Eng.Co 2004.06. Provide Video Conference S/W to Jupiter Innovations Co., Ltd Singapore 2004.06. Provide Document Conference S/W to Moatech Co., Ltd 2004.06. Provide Document Conference S/W to Bucheon Local Police Agency 2004.06. Contract with PC DEPOT Corporation Japan for Service Development related to Video Conference S/W 2004.06. Provide Data Conference Solution to Samyang Data Systems 2004.06. Provide Video Conference S/W to Jupiter Innovations Co., Ltd Shingapore 2004.07. Provide Video Conference System to 365Homecare (An affiliated company of Samsung Co., Ltd) 2004.07. Provide Video Conference System to Information Village(the third) designated by Self-Governing Administration Department 2004.08. Provide Video Education System to Namhae Chinyang High School in Kyeongnam 2004.09. Provide Video Education System to Namhae Education Minister 2004.09. Selected by Eisai Inc as company providing Video Conference System

10. 10 Sao paulo INIT Co.,Ltd Sales Agency (2001.03) Taipei DigiEnioy Technology Sales Agency (2002.7) Vancouver AAxxeha Soft Inc. Joint Venture(2003.03) Present Status of Export Yangju ChinaTelecom Co., Ltd Sales Agency Shanghi(2003.09) ShinhwaTelecom Co., Ltd Sales Agency(2004.03) Singapore ITMEX Co., Ltd Sales Agency(2004.06) Tokyo Saeha-Japan Co., Ltd Sales Agency(2001.03) YokohamaNacos Co., Ltd Sales Agency(2003.03) Bremen VIVICOM- International GmbhSal es Agency(2003.12) Barcelona Leidan Co., Ltd Sales Agency (2002.06)

11. 11 What is video solution ?What is video solution ? As a sophisticated solution, it enables you to have video conferences or phone calls with more than two remote sites and send video mails with one another. In addition, it enables to send and receive variety of documents and data in real time to have the same effect as if you have the conferences or phone calls in the same place in real time. Video Solution of Saeha SoftVideo Solution of Saeha Soft Developed with its own technology, the video solution of Saeha Soft is state-of-the-art internet-based video solution that allows anyone to enjoy video conference, remote education, or video chatting on his own PC in the most comfortable environment. Market Status 1. Introduction II

12. 12 Average annual growth of domestic market : 17.5% Annual growth of PC-based video solution : 59.8% Domestic/Foreign Video Solution Market Trend Domestic/Foreign Market Trend As for domestic video solution market, starting with public offices in 2002, nowadays many civil manufacturers have been emerged as major clients, which means the video solution market is now set on its way. Increased usage of civil manufacturers is mainly due to the change of corporate management such as alliance with foreign partners, demand of quick decision making and plant construction in foreign countries. Besides manufacturing industry, financial sector is increasingly using it to meet client s request for sharing information in real-time. In case of desktop-based video and document conference market, in particular, it is expected that the local technology has high possibilities to be exported to foreign market conversely. Unit: USD 2002200320042005 Int l Video Solution Market 490 mil424 mil369 mil Domestic Video Solution Market 14.70 mil16.70 mil20.94 mil25.93 mil Domestic PC-based Video Solution Market 3.49 mil5.53 mil9.87 mil15.54 mil 2. Market Analysis

13. 13 3. Video Conference Market Status of Video Conference 1) Hardware video conference – High cost 2) Software video communication – Low cost PictureTel 15.7% Tandberg 9% Sony 6% Others 10.3% Polycom 49.1% VTEL 3.8% VCON 4.1% NEC 2% Market share of H/W video conference market Wainhouse Research (as of 2000) Software video communication M/S messenger Other messengers (Yahoo, etc.) Others Meeting point CU-See ME Self-made program Video communication S/W usage S/W H/W Usage of Video Communication Hardware video communication

14. 14 50% 35% 10% 5% Equipment Solution (S/W) Others (SI DB setup) Solution + Equipment (S/W) System (server) 30% AV System 35% Education Appliances 15% Others 15% Imple men tation 5% Supply of H/W system for remote education S/W related to VOD (Media player, REAL, etc.) 45% Education related tool (Tools for educational matters, educational administration, authorizing tool, etc.) 30% Supply of S/W for remote education Related package S/W 15% Others 15% 4. Remote Education Number of domestic cyber education providers : approx. 1000 How it comprises : Education service provider – 50%, contents provider - 39%, solution and others - 11% Cyber education market forecast by the Ministry of Commerce, Industry and Energy : 2002 – \1.4 tril, 2003 - \1.07 tril (sharp growth with 32.5% of annual growth rate) Cyber education solution comprises : educational matters info system, educational administration ERP, remote education system, authorizing tools of teaching plan Together with the internet education boom for the last 3 years, related solution providers have been highlighted. As there was lack of demand for solution in 2002, the solution providers expanded its area to portal sites through securing contents (Jan.3, 2003 issue of Electronic Times) As one of the measures to solve such low demands, there are more and more needs for real-time interactive video communication based on the existing remote education system. There are more demands of remote education solution which consist of live lecture storage system, electronic white board, AV equipment using interactive video system for remote education. Sales of Remote Education System

15. 15 5. Video Chat Obstacles of charging chatting sites Netizens reluctance to accept charging / Free contents providers still exist Lack of substantial experience and know-how of creating profits through the site Insufficient technical and systematic foundation in site management system, billing system, digital authorization security, security, formatting, and relevant regulations 2004 2001 20002002 Video chatting sites opened competitively Free service provided for a certain period Business worsened since they could not find proper income resource except ads and e-commerce. Even those did not guarantee profitability. Charging of video chatting & internet service sites emerged as a hot issue. OhMylove and eyemeeting : Flat-rate billing system SeeNJoy : Charging by item and added function under process Plan to activate charging chatting site (Top priority challenge – plan a site to persuade web users who will be charged) Minimize their resistance by applying such type like Premium Service Personalization : Need to figure out each user s interest and their strong needs Need to use various licensing strategies : using authority for each function, period, usage limitation, licensing price policy, etc. It would be better to evaluate the strategic incidental profits like ads, e-commerce, profits from contents sale rather than direct profits through licensing itself. Billing policy : Pay-on-demand type is more desirable than flat-rate system (subscription). Additional charging sites expected to appear More complicatedness expected by diversified functions and items

16. 16 Business Structure MultiView DataView SchoolNet Semiar MultiMedia WebMail&Messenger Wire&Wireless Internet Contents Service Say & Say InterCall Web-based solution that realizes video conferences anywhere in the world www.saynsya.com / www.17say.com www.tvsay.com / www.hawa.com www.gunsarang.com / www.norischool.com Real-time video & voice transmission, interactive chat solution State-of-the-art remote education & seminar solution using internet communication Easy Customization, provide a variety of pamphlet. A variety of function and a simplification of character 1. Product Configuration III

17. 17 Video transmission technique image transmission on internet protocol Video data management technique large volume of data processing Streaming technique private internet broadcasting enabled VoIP technique internet voice transmission technique Video conference of multiple people, chatting technique video/voice exchange, and chatting enabled simultaneously on the internet Image compression technique Developed by ourselves based on the int l standard H.263 algorithm Optimized for our own DVR (Digital Video Recorder) Compression technique developed based on MPEG4 Voice processing technique Simultaneous speaking of multiple speakers under implementation Low transmission bandwidth and high compression voice technique developed Possible to implement based on int l standard G.723.1 algorithm Have video interpretation & image quality improvement techniques. Digital video/voice processing Multimedia Data processing Data Transmission / Network Video transmission technique internet video transmission, various protocol (TCP/UDP) video transmission technique Video/voice data management technique real-time data processing technique Video & voice transmission technique under the F/W, NAT environment P to P, Client/Server can be implemented 2. Key Technologies

18. 18 2-1. MV-Phone – Outline of the product MV-Phone is the ultra modern on/off integrated system which makes possible for multi audio/video conference with the use of VoIP (Voice Over IP) along with the existing general telephone/mobile phone. Service system on the basis of IP formed with ARS, UMS, VoIP and multiple application solution provides audio/video and text communication system without limitation of the time and the space and assists to establish wire/wireless community. PSTNInternet WEB Telephone Mobile Phone PSTN Telephone Mobile Phone Voice Portal Service System Multi Video Conference WEB / DB Server IVR System Billing / Authentication Server WEB PSTN/VoIP Infrastructure

19. 19 PSTNInternet WEB Telephone Mobile Phone Video Conference System PBX Voice Middleware Billing Server PSTN WEB/ DB Server Telephone Mobile Phone MMoIP Multi Conference System [ Domestic User / Overseas Node ] WEB MV-Phone - H/W Architecture

20. 20 (Say & Say) Video Conference (Multiview) Web-based solution that enables video conference anywhere in the world Easy and simple user interface, video processing between clients through peer to peer transmission Full duplex of voice can be implemented. Large volume of concurrent users supported (video & message – 3000, voice - 300) With no separate HW broadcasting system, conference can be done with minimum spec (PC camera and headset) Various functions that are necessary for conference can be added. Remote Education (School Net) State-of-the-art remote education solution using internet communication Function as real-time interactive remote lecture, on-demand study Function as client for lecturer and student Strong voice compression, replay technique, Multi – Platform supported Video Chatting (Say & Say) Real-time video/voice transmission, interactive chatting solution Simultaneous speaking transmission (max. 4 people) Various additional functions secured such as voice/microphone level control and short keys Increase/decrease of speed can be controlled according to the usage volume Cyber call center (Intercall) Clients can have consultation anywhere as long as internet is provided. Enhanced marketing ability of enterprise and improved customer service Stable message, video, voice implemented on internet 3. Features

21. 21 CU-Seeme Net - Meeting 1:N (1:11)1:1 Saeha Soft Video/voice solution 1:1 or 1:N Video communication ThruCamOh Mylove 1:N1:9 Supported, but cutoff and lost voice occur Supported, but cutoff and lost voice occur supported Modem not supported, Low volume line used Modem supported, Low volume line used High-speed line used High-speed line used Clear voice supported with low packet volume supported Modem partially enabled, Low volume line used Low-speed line can be used by distributed design Voice communication Message Communication Bandwidth (Required line) Server line Supported, but cutoff and lost voice occur Limited support supported Modem not supported, High volume line used Modem not supported, High volume line used High-speed line used, Low-speed line partially supported High-speed line used Classification Technical Comparison Data Sheet for video/voice transmission (1)

22. 22 Expensive server used CU-SeemeNet - Meeting High cost required when server/client equipped High cost required when server/client equipped Saeha Soft Video/voice solution Rather inexpensive per concurrent users Price range ThruCamOh Mylove Rather inexpensive per concurrent users High cost required when server/client equipped Max. 50 people- Expensive server used Expensive server used Unlimitedly expandable with distributed server design System performance can be selected per the number of concurrent users, comparatively inexpensive Number of concurrent users H/W cost 1000 people when using expensive Linux server - Expensive server used Classification Server overloaded, Network concentrated Server overloaded Server load minimized, network distributed, Overseas network can be connected Remarks Server overloaded Walkie- talkie level of voice Technical Comparison Data Sheet for video/voice transmission (2)

23. 23 1-1. Video Conference & Data Conference Solution / Multiview & DataView Multiview Screen Shots DataView Screen Shots WhiteBoard Menu

24. 24 1-2. Remote Education & Seminar Solution / SchoolNet & Seminar SchoolNet Screen Shots Seminar Screen Shots

25. 25 1-3. Interactive Chat & Video Consulting Solution / SaynSay & Intercall SaynSay Screen Shots InterCall Screen Shots Local Video Remote Video Audio Participants information Private menu Partner menu Extensive function button Chat Windows Text Chat

26. 26 1-4. MultiMedia WebMail & Messenger MultiMedia WebMail Screen Shots

27. 27 Messenger Screen Shots Messenger Window Partner Chat Box My Chat Box My Avatar Partner Avatar

28. 28 1-5. Wire&Wireless Internet Portal Service www. saynsay.com (Sep.03/China ) www. 17say.com (Jun.04/China ) www. tvsay.com (Jul.04/China ) www. hawa.cn ( Apr.04/China)

29. 29 cc.xintv.com (Oct.04/China) www. gunsarang.net ( Jun.04/Korea) www. norischool.com (Dec.04/Korea)

30. 30 1-6. MV-Phone

31. 31 LG CNS WeloveSoftEM Information Education LG Electronics Reference Sites

32. 32 www.cool2000.co.krTESOL CYBER ACADEMY Goksung Office of Educationwww.elangtutor.com Reference Sites

33. 33 Environmental management Co Daegu Metropolitan Police Agency Jeonbuk Police Agency Seoul Metropolitan Police Agency Reference Sites