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  • 1. Opening Remarks Ed Keating, VP Content Division, SIIA
  • 2. David Silverman, Partner PricewaterhouseCoopers LLP
  • 3. Q4/Full Year 2007 Update January 2008 Shaking the MoneyTree™ PricewaterhouseCoopers/ National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 4. PricewaterhouseCoopers / National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial David Silverman Partner – Technology & Venture Capital Practice February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 5. About The Report • PricewaterhouseCoopers and the National Venture Capital Association produce the MoneyTree Report™ based on data from Thomson Financial • ‘Core’ measure of equity investments in venture-backed companies in the United States • Companies have received at least one round of financing involving a professional VC firm or equivalent • Captures: tranches, not term sheets, foreign VCs, qualified private placement • Excludes: debt, bridge loans, recaps, roll-ups, IPOs, PIPEs, leasing, etc. • MoneyTree™ Report in its 13th year • Results online at www.pwcmoneytree.com, www.nvca.org, www.venturexpert.com February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 6. MoneyTree Total Investments: Q1 1999 – Q4 2007 ($ in billions) $32.0 $28.4 $28.2 $26.4 $24.0 $23.3 $22.1 $16.0 $13.1 $12.8 $11.4 $11.0 $8.0 $8.3 $8.1 $7.6 $7.5 $7.3 $7.0 $7.0 $6.9 $6.8 $6.6 $6.4 $6.3 $6.3 $6.3 $6.0 $6.0 $5.9 $5.8 $5.6 $5.3 $5.1 $5.0 $5.0 $4.9 $4.6 $4.5 $4.3 $0.0 1999 2000 2001 2002 2003 2004 2005 2006 2007 1999 2000 2001 2002 2003 2004 2005 2006 2007 # of Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Deals 918 1304 1420 1865 2130 2109 1930 1742 1284 1219 1000 975 887 848 688 719 691 736 712 783 712 847 685 838 724 820 785 809 868 944 900 918 858 1018 974 963 February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 7. MoneyTree Total Investments: 1980 – 2007 Annual Venture Capital Investments ($ in billions) 1980 to 2007 $120 $105.1 $100 $80 $54.1 $60 $40.6 $29.4 $40 $26.6 $23.0 $22.5 $22.0 $21.1 $19.7 $14.9 $11.3 $20 $8.0 $4.1 $3.7 $3.3 $3.3 $3.3 $3.6 $3.0 $3.0 $3.0 $2.8 $2.8 $2.2 $1.6 $1.2 $0.6 $0 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 19 19 19 19 19 19 19 19 19 19 19 19 19 19 19 19 19 19 19 19 20 20 20 20 20 20 20 20 February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 8. New York Metro Venture Capital Investments by Year 1998-2007 ($ in millions) $10,723 $10,000 $7,500 $5,000 $4,685 $3,606 $2,500 $1,997 $1,865 $1,691 $1,504 $1,438 $1,524 $1,715 $0 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Deals 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 260 473 810 431 220 189 206 168 255 254 February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 9. Investments by Region: Full Year 2007 ($ in millions ) Silicon Valley $10,066.5 New England $3,695.3 # of % Change $ Region San Diego $1,988.8 Deals from 2006 Southeast $1,856.4 Silicon Valley 1,184 5.65% New England 478 18.56% NY Metro $1,715.5 NY Metro 254 -14.20% LA/Orange County $1,647.8 Southeast 243 46.42% Northwest $1,636.4 Midwest 236 32.82% Texas $1,416.5 Northwest 216 37.04% DC/Metroplex 207 8.43% Midwest $1,298.3 LA/Orange County 205 -14.52% DC/Metroplex $1,241.8 Texas 166 -2.28% Philadelphia Metro $861.5 San Diego 159 52.27% Philadelphia Metro 125 12.64% Colorado $564.2 SouthWest 90 7.79% SouthWest $540.9 Colorado 86 -14.61% North Central $525.6 North Central 80 31.15% Upstate NY 32 -11.84% Upstate NY $137.4 South Central 27 17.15% Sacramento/N.Cal $99.9 Sacramento/N.Cal 16 254.63% South Central $92.5 AK/HI/PR 9 -56.26% Total 3,813 10.75% AK/HI/PR $20.5 $0 $3,000 $6,000 $9,000 $12,000 2007 Total: $29.4B in 3,813 Deals February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 10. Investments by Region – Yearly Percent of Total U.S. Investments (% of Total Dollars) Top U.S. Regions 2003– 2007 35.90% 35.60% 35.8% 34.20% 40% 33.3% 30% 15.3% 20% 14.7% 12.60% 12.10% 11.70% 8.60% 7.50% 7.30% 6.90% 6.80% 7.2% 7.1% 5.80% 5.60% 10% 4.90% 4.70% 5.6% 5.4% 4.2% 4.0% 0% Silicon Valley New England San Diego New York Metro LA/Orange County 2003 2004 2005 2006 2007 February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 11. Investments by Industry: Full Year 2007 ($ in millions) Software $5,273.0 Biotechnology $5,215.5 Medical Devices and Equipment $3,897.7 # of % Change $ Industrial/Energy $2,696.3 Industry Deals from 2006 Telecommunications $2,143.1 Software 905 2.72% Biotechnology 477 9.51% Media and Entertainment $1,877.4 Medical Devices and Equipment 385 39.55% Semiconductors $1,848.0 Media and Entertainment 340 10.31% IT Services $1,297.6 Telecommunications 290 -17.37% Industrial/Energy 286 44.15% Networking and Equipment $1,252.1 Semiconductors 210 -13.77% Business Products and Services $840.0 IT Services 202 19.40% Business Products and Services 129 34.19% Electronics/Instrumentation $655.9 Networking and Equipment 124 17.49% Computers and Peripherals $579.6 Consumer Products and Services 102 -6.36% Electronics/Instrumentation 91 -4.86% Financial Services $566.1 Financial Services 88 29.38% Consumer Products and Services $468.2 Computers and Peripherals 66 16.62% Retailing/Distribution 58 91.38% Retailing/Distribution $415.3 Healthcare Services 49 -13.48% Healthcare Services $368.1 Other 11 57.33% Other $11.8 TOTAL 3813 10.75% $0 $2,000 $4,000 $6,000 2007 Total: $29.4B in 3,813 Deals Visit www.pwcmoneytree.com for Industry definitions February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 12. Investments by Industry – Yearly Percent of Total U.S. Investments Top 5 Industries – 2003 to 2007 (% of Total Dollars) 30% 23.80% 23.00% 21.30% 25% 19.30% 19.00% 18.50% 17.90% 17.90% 17.70% 16.80% 20% 13.30% 15% 10.50% 10.50% 9.80% 9.50% 9.20% 9.20% 8.70% 8.50% 8.20% 7.30% 7.00% 10% 3.90% 3.70% 3.50% 5% 0% Biotechnology Industrial/Energy Medical Devices and Telecommunications Software Equipment 2003 2004 2005 2006 2007 February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 13. New York Metro Region Investments by Industry Full Year 2007 ($ in millions) Industry 2007 2006 Biotechnology 24 42 Retailing/Distribution $3.2 Business Products and Services 21 18 Computers and Peripherals 3 5 Consumer Products and Services $23.1 Consumer Products and Services 6 7 Electronics/Instrumentation 5 7 Financial Services 11 15 Computers and Peripherals $18.8 Healthcare Services 1 2 Industrial/Energy 12 8 Financial Services $59.7 IT Services 25 14 Media and Entertainment 41 40 Medical Devices and Equipment 17 11 Medical Devices & Equip $133.9 Networking and Equipment 11 14 Other - 1 IT Services $131.9 Retailing/Distribution 1 2 Semiconductors 6 3 Software 46 60 Industrial/Energy $145.5 Telecommunications 24 20 Total Deals 254 269 Telecommunications $179.8 Media & Entertainment $199.6 Software $203.1 Business Products & Services $218.9 $271.9 Biotechnology $0 $50 $100 $150 $200 $250 Visit www.pwcmoneytree.com 2007 Total: $1,715.4M for Industry definitions February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 14. NY Metro Investments by Industry – Yearly Percent of Total Region Investments Top 5 Industries Time Scale: 2003 – 2007, (% of Total Dollars) 40% 33.7% 35% 27.6% 25.3% 30% 22.5% 22.5% 22.5% 25% 17.1% 15.8% 15.7% 15.3% 20% 12.0% 11.8% 11.8% 11.6% 10.0% 15% 9.0% 8.0% 7.5% 7.8% 6.6% 10% 5.3% 4.4% 4.0% 3.9% 2.3% 5% 0% Softw are Biotechnology Media & Entertainment Telecommunications Business Products & Services 2003 2004 2005 2006 2007 February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 15. Investments by Stage of Development: Q4 2007 ($ in millions) Later Stage $2,637.1 Expansion $2,583.1 # of % Change in Stage of Development $ Amount Deals from Q3 2007 Early Stage $1,363.3 Expansion Stage 320 -10.84% Later Stage 281 -16.61% Early Stage 251 8.46% Startup/Seed 111 48.05% Startup/Seed $427.7 Total 963 -7.82% $0 $1,000 $2,000 $3,000 Q4 2007 Totals: $7,011 in 963 Deals February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 16. Investments by Stage of Development – Yearly Percent of Total Region Investments Time Scale: 2003 – 2007, (% of Total Dollars) 60% 50.9% 55% 43.2% 42.3% 50% 41.5% 40.9% 39.0% 37.6% 45% 36.8% 36.9% 40% 29.3% 35% 30% 17.8% 17.9% 17.6% 25% 16.3% 15.4% 20% 15% 4.3% 10% 3.9% 3.0% 1.7% 2.0% 5% 0% Startup/Seed Early Stage Expansion Later Stage 2003 2004 2005 2006 2007 February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 17. New York Metro Region Investments by Stage of Development: Full Year 2007 ($ in millions) Expansion $659.1 Later Stage $598.4 Early Stage $392.4 Startup/Seed $65.3 $0 $100 $200 $300 $400 $500 $600 $700 Visit www.pwcmoneytree.com 2007 Total: $1,715.4M for Industry definitions February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 18. Investments by Sequence of Financing: Full Year 2007 ($ in millions) 5th and Beyond $8,710.4 First $7,229.6 % Change in # of Financing $ Amount from Deals Second $5,069.7 2006 First 1,267 19.61% 5th and Beyond 911 23.56% Third $4,371.1 Second 733 0.79% Third 500 2.11% Fourth 402 -2.92% Fourth $4,024.9 Total 3,813 10.75% $0 $5,000 $10,000 2007 Totals: $29.4B in 3,813 Deals February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 19. First Sequence Financing – Investment Amount First Sequence Investments ($ in billions) $10 $8.8 $8.4 $9 $8 $6.2 $7 $5.4 $6 $5 $4 $2.9 $3 $2.0 $1.9 $1.9 $1.7 $1.7 $1.7 $1.6 $1.5 $1.4 $1.4 $1.4 $1.4 $1.4 $1.3 $1.3 $1.3 $1.3 $1.3 $1.2 $1.2 $2 $1.1 $1.1 $1.1 $1.0 $1.0 $0.8 $0.7 $1 $0 2000 2001 2002 2003 2004 2005 2006 2007 Q1 Q2 Q3 Q4 February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 20. First Sequence Financing – Number of Deals First Sequence Deals 957 946 1000 798 800 668 600 385 352 343 400 327 316 317 311 281 281 267 264 258 256 252 249 245 240 234 231 225 221 217 193 187 184 183 181 172 200 0 2000 2001 2002 2003 2004 2005 2006 2007 Q1 Q2 Q3 Q4 February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 21. First Sequence Financing – Percent of Total U.S. Investments 60% 55% 50% 45% 40% 35.6% 34.7% 34.6% 34.6% 33.6% 35% 32.3% 30.8% 31.9% 32.1% 30.4% 30.6% 29.8% 32.4% 29.4% 29.9% 28.3% 27.7% 27.1% 30% 26.9% 26.7% 26.0% 24.9% 24.9% 25.4% 25% 28.0% 27.3% 19.3% 25.1% 24.9% 23.6% 24.0% 24.1% 23.8% 24.7% 20% 22.2% 21.9% 21.4% 21.1% 23.0% 22.8% 22.7% 20.2% 19.9% 20.4% 19.9% 20.3% 15% 17.9% 17.4% 10% 5% 0% Q1 2002 Q2 2002 Q3 2002 Q4 2002 Q1 2003 Q2 2003 Q3 2003 Q4 2003 Q1 2004 Q2 2004 Q3 2004 Q4 2004 Q1 2005 Q2 2005 Q3 2005 Q4 2005 Q1 2006 Q2 2006 Q3 2006 Q4 2006 Q1 2007 Q2 2007 Q3 2007 Q4 2007 % of Total Dollars % of Total Deals February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 22. Median Deal Size vs. Mean Deal Size – Quarterly Total U.S. Investments In Millions ($) $10 $8.7 $8.3 $7.7 $7.8 $7.5 $7.6 $8 $7.1 $7.2 $7.4 $7.4 $7.2 $7.1 $7.0 $7.1 $7.4 $7.4 $7.2 $7.3 $6.6 $6.8 $6.8 $6.8 $6.3 $6.2 $6 $5.0 $4.8 $4.8 $4.5 $4.5 $4.6 $4.5 $4.5 $4.5 $4.5 $4.3 $4.3 $4.0 $4.0 $4.0 $4.0 $4.0 $4.0 $4.0 $4.0 $4.0 $4.0 $3.6 $4 $3.2 $2 $0 Q 1 2002 Q 2 2002 Q 3 2002 Q 4 2002 Q 1 2003 Q 2 2003 Q 3 2003 Q 4 2003 Q 1 2004 Q 2 2004 Q 3 2004 Q 4 2004 Q 1 2005 Q 2 2005 Q 3 2005 Q 4 2005 Q 1 2006 Q 2 2006 Q 3 2006 Q 4 2006 Q 1 2007 Q 2 2007 Q 3 2007 Q 4 2007 Median Deal Size Mean Deal Size February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 23. Post-Money Valuations – Early Stage Companies Q3 2000 to Q3 2007 12 Month Average $40 35.07 $35 $9.9 30.98 $30 $9.4 $25 21.54 $7.6 $20 15.94 16.53 13.74 14.52 $6.0 $15 12.83 $5.4 $6.0 $5.3 $6.1 $10 $5 $25.2 $21.6 $10.5 $10.5 $13.9 $8.5 $8.6 $6.8 $0 Q3 00 Q3 01 Q3 02 Q3 03 Q3 04 Q3 05 Q3 06 Q3 07 Pre-money Valuation Investment Amount P t V l ti February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 24. Post-Money Valuations – Expansion Stage Companies Q3 2000 to Q3 2007 12 Month Average $110 103.47 $100 $21.2 $90 76.52 $80 $16.3 $70 65.54 57.67 60.3 59.92 $15.3 $60 52.38 $14.0 $12.3 $12.6 $50 $13.2 40.13 $40 $30 $10.7 $20 $82.3 $60.2 $39.1 $29.5 $45.1 $46.3 $50.3 $47.6 $10 $0 Q3 00 Q3 01 Q3 02 Q3 03 Q3 04 Q3 05 Q3 06 Q3 07 Pre-money Valuation Investment Amount P t V l ti February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 25. Post-Money Valuations – Later Stage Companies Q3 2000 to Q3 2007 12 Month Average 168.5 $29.4 $150 116.26 113.34 $23.7 $14.4 96.04 $100 83.96 $13.5 $15.7 68.74 67.58 68.87 $16.4 $17.0 $14.3 $50 $139.1 $92.6 $51.7 $53.3 $52.5 $68.2 $99.0 $82.6 $0 Q3 00 Q3 01 Q3 02 Q3 03 Q3 04 Q3 05 Q3 06 Q3 07 Pre-money Valuation Investment Amount P t V l ti February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 26. Full Year 2007 – Most Active Venture Investors Venture Capital Firm Location Total Deals Draper Fisher Jurvetson Menlo Park, California 100 New Enterprise Associates Baltimore, Maryland 87 Intel Capital Santa Clara, California 70 Polaris Venture Partners Waltham, Massachusetts 61 Kleiner Perkins Caufield & Byers Menlo Park, California 56 Sequoia Capital Menlo Park, California 55 Menlo Ventures Menlo Park, California 54 Canaan Partners Westport, Connecticut 50 U.S. Venture Partners Menlo Park, California 49 Accel Partners Palo Alto, California 48 Foundation Capital Menlo Park, California 48 Venrock Associates New York, New York 47 InterWest Partners Menlo Park, California 47 Highland Capital Partners LLC Lexington, Massachusetts 47 February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 27. Thomson Financial U.S. Private Equity Performance Index (PEPI) (Investment Horizon Performance as of 6/30/2007) Fund Type 1 Year 3 Year 5 Year 10 Year 20 Year Early/Seed VC 12.8 7.7 .07 37.1 20.6 Balanced VC 21.6 13.2 8.0 15.9 14.2 Later Stage VC 22.9 9.6 6.5 8.9 13.8 All Venture (through 6/30/07) 17.5 10.2 4.6 19.0 16.4 All Venture (through 6/30/06) 13.9 8.8 -3.5 20.8 16.5 NASDAQ 18.2 8.1 14.4 6.0 9.5 S&P 500 16.8 9.4 10.5 5.4 8.3 Source: Thomson Financial/National Venture Capital Association *The Private Equity Performance Index is based on the latest quarterly statistics from Thomson Financials' Private Equity Performance Database analyzing the cashflows and returns for over 1860 US venture capital and private equity partnerships with a capitalization of $678 billion. Sources are financial documents and schedules from Limited Partner investors and General Partners. All returns are calculated by Thomson Financial from the underlying financial cashflows. Returns are net to investor after management fees and carried interest. February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 28. Analysis of Venture-Backed IPO and M&A Activity # of Total Venture-Backed Average Venture-Backed Number of Venture- Average M&A Date IPOs* Offer Size ($M) Offer Size ($M) backed M&A deals deal size** 2003 29 2,022.7 69.8 291 62.8 2004 93 11,014.9 118.4 339 83.0 2005 56 4,461.0 79.7 347 95.8 2006 Q1 10 540.8 54.1 105 111.2 2006 Q2 19 2,011.0 105.8 104 100.9 2006 Q3 8 934.2 116.8 93 92.7 2006 Q4 20 1,631.1 81.6 61 154.7 2006 57 5,117.1 89.8 363 110.6 2007 Q1 18 2,190.6 121.7 82 156.6 2007 Q2 25 4,146.8 165.9 82 114.0 2007 Q3 12 945.2 78.8 95 206.0 2007 Q4 31 3,043.8 98.2 45 228.4 2007 86 10,326.3 120.1 304 175.9 * Includes all companies with at least one U.S. VC investor that trade on U.S. exchanges, regardless of domicile **Only accounts for deals with disclosed values Source: Thomson Financial/ National Venture Capital Association February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 29. Venture Capital Fundraising* First Time Follow-On VC Raised Year Total Funds Funds Funds ($M) 2002 22 157 179 3,936.9 2003 38 114 152 10,606.1 2004 51 157 208 19,057.6 2005 58 170 228 28,282.6 2006 46 183 229 31,698.1 2007 55 180 235 34,675.9 Quarter Q1 ‘06 19 56 75 6,544.5 Q2 ’06 12 65 77 14,185.5 Q3 ’06 12 55 67 5,375.3 Q4 ’06 15 50 65 5,592.8 Q1 ’07 21 59 80 5,754.2 Q2 ’07 17 68 85 9,141.8 Q3’ 07 15 62 77 8,763.7 Q4’ 07 16 47 63 11,016.2 Source: Thomson Financial/National Venture Capital Association *These figures take into account the subtractive effect of downsized funds Date current as of 1/14/08 February 2008 PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report based on data from Thomson Financial
  • 30. Closing Thoughts & Comments
  • 31. David Silverman Partner – Technology & Venture Capital Practice 646 471.5421 david.silverman@us.pwc.com © 2007 PricewaterhouseCoopers LLP. All rights reserved. "PricewaterhouseCoopers" refers to PricewaterhouseCoopers LLP (a Delaware limited liability partnership) or, as the context requires, other member firms of PricewaterhouseCoopers International Ltd., each of which is a separate and independent legal entity. *connectedthinking is a trademark of PricewaterhouseCoopers LLP.
  • 32. Larry Schwartz, President Newstex, LLC
  • 33. 2007 Presenting Companies • Attributor • Generate Inc. • Cranium Softworks, Inc. • iCopyright, Inc. • Decision Tree Media, Inc. • Inform Technologies • Dragonfly • Near-Time, Inc. • Eurekster, Inc. • Pando Networks, Inc. • The Real Time Matrix
  • 34. Content Creators
  • 35. Content Delivery Companies
  • 36. Content Protectors
  • 37. Business & Investment Climate Update Moderator: • Bambi Francisco, CEO, Vator.tv Panelists: • Robert Levitan, CEO, Pando • Brian Hirsch, Managing Director, Greenhill SAVP • David Silverman, Partner, PricewaterhouseCoopers LLP • Ed Reitler, Partner, Reitler Brown & Rosenblatt LLC
  • 38. Company Presentations • ExpoTV • Health Monitoring Systems Inc. • Linkstorm • TutorVista.com • FeeDisclosure.com
  • 39. ExpoTV SIIA Previews January 2008
  • 40. Mission A movement dedicated to illuminating consumer experiences • Vibrant, purposeful social network • 200,000 product reviews • Portal, commerce & TV partners
  • 41. Largest Product Video Catalog in the world • 200,000 unbiased product reviews – Thousands of independent product- owners – Screened, transcoded, bugged, stored, organized – Purchased full, exclusive rights to creative
  • 42. Web-wide Syndication CONTENT Syndication MEDIA Engine MANAGEMENT UPLOAD PROCESS
  • 43. http://www.buy.com/prod/canon-eos-digital-rebel-xt-8-0-megapixel-digital-slr-camera-kit-w-18/q/loc/111/90146079.html
  • 44. 8x video play growth at 2 mil/month Video Plays 2,500,000 2,000,000 1,500,000 1,000,000 500,000 - '07 n '07 l '0 7 '07 t '0 7 t '0 7 07 07 y Ju g v' c' Ma Ju Au Se p Oc No De
  • 45. ExpoTV at SIIA Previews • NY-based, 18 employees • VC funded Dec 2006 (Masthead, Prism, DFJ Gotham) • 2008 focused on moving consumers – working with innovative advertisers and distribution partners
  • 46. Using knowledge and insight to protect community health. Kevin Hutchison, President
  • 47. Hurricane Katrina 49
  • 48. Epidemic Concerns • Epidemic concerns since 2000 … 2001 Anthrax release 2002 West Nile Virus 2003 Severe Acute Respiratory Syndrome (SARS) 2005 Avian Influenza H5N1 How are these threats detected and characterized? 50
  • 49. ‘Accu-Weather’ for Healthcare 51
  • 50. EpiCenter 52
  • 51. ASP Service Analytics 53
  • 52. Current Coverage HMS Confidential 54
  • 53. The Core Team HMS Confidential 55
  • 54. Health Monitoring Systems • Vision – De facto national surveillance system • Accomplishments – Largest surveillance system in the United States – Experience working with 500+ hospitals – Customers in 10 states • Next Steps – Establish partnerships with national data providers – Expand to analysis inside healthcare facilities 56
  • 55. 1 Results 2 How it works 3 Unique value 4 Analytics 5 Clients 6 Company 7 Contact Info Linkstorm Overview SIIA Previews 2008
  • 56. 58 Results Making Advertising more useful to the Customer, Better-performing for the Advertiser Chevrolet: 3X boost in CTR Pontiac: 3X boost in CTR Cisco: 5X increase in CTR Wal-Mart: 9% Conversion rate (lead generation) CD-Wow!: 14% conversion rate (purchasing) SAP: 9% conversion rate (lead generation) Hyundai: 2X improvement in rate of late intender clicks Premiere.com: 35% lift in page views
  • 57. 59 How it works Users self-qualify by taking the actions most relevant to their needs and interests 1) Roll over ad and menus open 3) User reviews navigation options optimized for their 2) User chooses demographic one of many possible navigation paths - in this case based on their demographic. 4) User interested in the FAQ 5) User finds exactly what she is looking for and clicks directly, and deep into advertiser’s site.
  • 58. 3 Unique Value oImproves performance of all web advertising formats Multiple deep links overlaid onto any kind of ad unit Cascading menus provide a better user experience Users find what they want faster More qualified clicks drive greater conversions Unique behavioral insights Learn what offers and areas of your site customers are really interested in Determine how much time users are spending on your menus See which menu items convert Dynamic updating Change menu content and design on the fly Instantly update menus/links regardless of where ads are running Control centrally, either manually or via automation (e.g. data feed) No need to rebuild or re-serve the ad itself. Menu updating is de-coupled from underlying ad unit – which can be banner, button, widget, video, text link, personal ID avatar, paid search result…
  • 59. 461 Analytics oReporting you can act on!
  • 60. 5 Clients oPartial client list and examples More Creative Examples: Wal-Mart: http://www.linkstorms.com/demo/walmart/ homegarden/ Pontiac: http://www.linkstorms.com/demo/pontiac/ cars/index_static.html Overstock: http://www.linkstorms.com/demo/overstoc k/bedding2demo.html Chevrolet: http://www.linkstorms.com/demo/chevy/w cbstv/ Microsoft: http://linkstorms.com/demo/msft/ Cisco: http://linkstorms.com/demos/wpni/ http://www.cisco.com/en/US/products/ps6 790/Products_Sub_Category_Home.html
  • 61. 6 Company Founded August 2000 to commercialize a new linking platform for the Internet created by Internet inventor Dr. Robert Kahn Founded by David Sidman (Wiley, Moody’s, Barclays Bank) after driving this linking platform’s adoption by the Scientific Journal industry (CrossRef) “Legacy” Publishing clients include McGraw-Hill, Harvard Business School Publishing, Cambridge University Press, Hachette Filipacchi Now re-positioned for Online Advertising industry Privately-held, Angel-funded. $9 million raised to date (gradually over 7 years) Investors include Esther Dyson, Jim Rutt, Rich Forman, Marty Kahn Now seeking $5M+ to expand aggressively based on the success of “stealth” projects with Microsoft, Wal-Mart, Cisco, Chevy, etc.
  • 62. 7 Thank You! David Sidman Founder/CEO Linkstorm 212-792-1847 dsidman@linkstorms.com PUP (Portable Universal Profile): http://dx.linkstorms.com/10000.2/dsidman www.linkstorms.com
  • 63. We Are The Global Internet Education Market Leader Presented by John Stuppy, MBA, Ph.D. President, TutorVista.com
  • 64. Agenda TutorVista Global Private Ltd TutorVista.com edurite TutorVista INDIA (tutoring) (content) (schools, centers) OPPORTUNITIES Partnership: Re-sell, Up-sell, Link, Distribute, License Investment
  • 65. Agenda TutorVista Global Private Ltd TutorVista.com edurite TutorVista INDIA (tutoring) (content) (schools, centers) OPPORTUNITIES Partnership: Re-sell, Up-sell, Link, Distribute, License Investment
  • 66. TutorVista in the News
  • 67. TutorVista.com Service One-on-one, live TutorVista.com tutoring is delivered using an online conferencing software platform: • Natural 2-way voice conversation • Interactive virtual whiteboard • Experienced professional tutors • Scheduled & instant sessions • Unlimited tutoring & test prep • Rich content library/resources • Cover 30+ subjects • Threaded Text chat Affordable – Convenient – Effective
  • 68. TutorVista.com Partnership Opportunities • Differentiate your products/services & add value – Link from your products/services to free tutoring – Up-sell/cross-sell Tutoring, Test Prep & Live instant help • Publishers • PC Hardware • Web site • • Software Education services Link $’s • Etc. • Revenue share over customer lifetime value or receive one-time sign-up fee payment
  • 69. Agenda TutorVista Global Private Ltd TutorVista.com edurite TutorVista INDIA (tutoring) (content) (schools, centers) OPPORTUNITIES Partnership: Re-sell, Up-sell, Link, Distribute, License Investment
  • 70. 1. New content group – 200+ SME’s, artists, designers, animators, m/media experts – Serving 600 schools / 600k students / 200k PC’s / 1M CD’s 2. 6,000+ simulations, animations, videos – Hands-on engagement 3. 1000’s print pages 4. Fast, affordable, quality content development shop
  • 71. 5. PowerPoint-enabled instructional tool – Students/teachers can build e-Learning decks – Tool manages all content from all sources = open platform – Seamlessly incorporate & use learning objects in PPT slides 6. Custom content draws traffic to your web site & increases relevance/value – Increase your page ranking – Multiply your ad revenues
  • 72. Partnership Opportunities • License/use our simulations, animations & videos – Annual subscription fee or Pay-if-they-use-it models – Differentiate your products/services with this rich content • We’ll develop custom e-Learning & print for you – Fast, top quality, affordable – Use content as part of your marketing strategy • Resell our PowerPoint e-Learning tool
  • 73. Agenda TutorVista Global Private Ltd TutorVista.com edurite TutorVista INDIA (tutoring) (content) (schools, centers) OPPORTUNITIES Partnership: Re-sell, Up-sell, Link, Distribute, License Investment
  • 74. TutorVista INDIA Business Overview • Huge opportunity in K-12 in India including: – 1 million schools; 200++ million students 1. TVI Tutoring & Test Prep centers – $4 billion market; 120 million students – National brand with 500 centers by FY ‘10-11 – Use worksheets, books, objects & CD-ROMs 2. TVI English Coaching • $500 million market
  • 75. TutorVista INDIA Business Overview 3. TVI national/international branded private schools 4. Distribute Products & Services to India Schools
  • 76. TutorVista INDIA Investment & Partner Opportunities • Seek investor – $15M – Goal: $500M company in 3-5 years • Open up your products/services to India – Schools; millions of students; tutoring/test prep centers World’s Largest Student Market
  • 77. What We’re Looking For Summary • Sell/up-sell Tutoring, Test Prep, live help partnership – Rev-share or sign-up fee • Content Partnership – License/resell library/tools – Outsource development – Multiply ad revenues & improve SEM/SEO TutorVista INDIA • Investment & Partnership – The India Market • Test prep centers • Schools / Vocational • Private schools
  • 78. About TutorVista Global Private Ltd Management Team Investors • K. Ganesh (Founder, CEO) • Sequoia Capital – CEO/founder Customer Asset / • Lightspeed Venture Partners ICICI OneSource • Manipal Education Group – CEO Wipro British Telecom – Featured in The Economist Contact • John Stuppy (President) – CTO, Sylvan Learning Systems • TutorVista.com – VP Product Development, ETS • edurite – CIO, Princeton Review – John Stuppy, 410-935-0936 or john@tutorvista.com • TutorVista INDIA • Ravi Kannan (CTO) – K. Ganesh, +91 9845054263 or – Co-founder McAfee.com ganesh@tutorvista.com
  • 79. Increasing Financial Literacy January 2008 FeeDisclosure.com Fee Disclosure, LLC 32107 Lindero Canyon Road, #200, Westlake Village, CA 91362 818.338.8755 Office * 818.475.5341 Fax
  • 80. Real Estate and Mortgage Transaction Costs Housing and Urban Development (HUD) estimates that real estate closing costs exceed $53B per year, excluding real estate commissions. It is estimated that $17B+ is overcharging and unwarranted fees (junk fees) 2007 Trailing Annual Closing Costs (+$53B) (per HUD) Junk Fees $17B Standard Fees $36B
  • 81. Examples of Excessive Fees Examples of Junk Fees Avg Costs Fee Range ($) Email Fee $25 10 to 250 Adobe PDF Fee $75 75 W9 Fee $55 50 to 100 Patriot Act Fee $50 50 Document Preparation $175 125 to 350 Document Printing $150 25 to 250 Sub-escrow $150 50 to 350 Loan Tie-In Fee $150 25 to 250 Copy Fee $25 15 to 50 Credit Review Fee $50 25 to 150 Lock-In Fee $50 25 to 300 Appraisal Review Fee $150 100 to 400 Total $1,105 $575 to $2,450 *Source: Management estimates
  • 82. The Fee Disclosure System
  • 83. Quick Quotes for Consumers
  • 84. Fee Disclosure Process
  • 85. Fee Disclosure – Transaction Report
  • 86. Fee Disclosure – Transaction Report Details
  • 87. Fee Disclosure is the Market-Based Solution A market in need of direction ► +$53B in transaction fees & $17B in excessive fees ► Consumer abuse and discrimination Consumer will demand Fee Disclosure Reports ► Raise the financial literacy of consumers Real estate agents and mortgage professionals will be required to provide Fee Disclosure ► Vendors need to re-connect with clients Fee Disclosure will become the industry leader ► Transparency builds trust
  • 88. Company Overview Founded in 2005, based in Westlake Village, California Featured in New York Times, CNBC and ABC Currently, 30,000 vendor members 30 Employees • Development • Operation Support • Call Center Patent-pending software database system Seeking partnerships, alliances and funding • Real estate and mortgage industry
  • 89. Company Presentations • Vator.tv • Lingospot, Inc. • ArchieMD, Inc. • Keibi Technologies • Courtroom Connect
  • 90. Catalyzing innovation Confidential Information
  • 91. Where startups launch and grow up Profile Network Competitions News Accomplished: Vator has created a platform where startups are discovered. Goal: Vator wants to be the place where startups GROW UP. Startup/entrepreneur needs: Funding, Business Development, Promotion, Infrastructure Growth Confidential Information Page: 94
  • 92. Clupedia Gains Momentum through Vator Showcased Distributed Confidential Information Page: 95
  • 93. Interactive Company Profile (in your own voice) Not a static company profile (think Hoovers, Yahoo, and CrunchBase) Confidential Information Page: 96
  • 94. Interactive newsroom Community News and Commentary Vator Produced Content • SaaS strategy workshops • MC Hammer launches DanceJam • VC TV interviews • Ron Conway talks angel investing • Mashable breaks news on Vator • Mark Cuban shares lessons Confidential Information Page: 97
  • 95. Competitions - the Nexus Where the Vator community gets direct access to investors, acquirers, and the media Coming soon: Competition widget Confidential Information Page: 98
  • 96. Vator Community Who’s On Vator • Entrepreneurs • Small business owners • Creatives - screenwriters, filmmakers, authors • Investors • Service providers • Commentators Vator found its Web developers and marketing consultants on the site Crushpad wins opportunity to meet with blue-chip firm Redpoint Ventures HailCab is found by venture capitalists TasteTV, Thumbplay, D.light Design win opportunity to present at AlwaysOn conferences Confidential Information Page: 99
  • 97. Company Overview Based in San Francisco and founded in 2006 by leaders in Who’s in community: Entrepreneurs, Investors - angels the media and entrepreneurial communities. Launched and VCs, Service providers, Industry contributors June 2007. Objectives/Needs: More than 800 companies/pitches, up 433% since 150 in A) Get entrepreneurs to use Vator to market/build their June. Total views nearing 1.5 million company B) Get service providers to showcase their services to our community Angel investors include Peter Thiel (co-founder PayPal), Richard Rosenblatt (MySpace/Demand Media), Georges C) Get sponsors for the site/competitions or partners to Harik (Google) launch co-branded competitions D) Distribution partners for Vator profiles and content Confidential Information Page: 100
  • 98. Lingospot Inc. The Lingospot Addressable Business Current The Problem Solution Market Model Status
  • 99. Agenda The Problem The Lingospot Solution Addressable Market Business Model Current Status
  • 100. The Problem The Lingospot Addressable Business Current The Problem Solution Market Model Status
  • 101. Links: Binding the Web Together
  • 102. The Problem With Links Interlinking is expensive - either have dedicated staff - or don’t do interlinking Links become stale very quickly - updating links is very expensive
  • 103. Lingospot Solution The Lingospot Addressable Business Current The Problem Solution Market Model Status
  • 104. Automatic, Dynamic Interlinking…
  • 105. …and more
  • 106. Addressable Market The Lingospot Addressable Business Current The Problem Solution Market Model Status
  • 107. Addressable Market 2008E Content Page Views 1.3 Trillion Expected Lingospot reveals 130 Billion Effective CPM $5.00 2008E Addressable Market $650 Million 2012E Addressable Market $1.7 Billion
  • 108. Business Model The Lingospot Addressable Business Current The Problem Solution Market Model Status
  • 109. Value Proposition Drive page views - 2-5% increase with zero effort Increase time spent - Average reveal is 3-5 seconds Provide behavioral insights
  • 110. Business Model Monthly licensing fee - Based on monthly page views Revenue share on advertising
  • 111. Current Status The Lingospot Addressable Business Current The Problem Solution Market Model Status
  • 112. Current Status Product - Launched in 7/07 (beta since 6/06) Team - Combined 50+ years relevant experience - Business Experience: Time, Business Week, Reader’s Digest, Clear Channel, Yahoo, ValueClick, Primedia - Education: MIT, Columbia, Caltech, UCLA, Georgetown Financing - Raised $550K in 6/07 - Seeking $3-$4 Million
  • 113. ArchieMD We embrace the public demand to better understand health Visualization and Interactivity are key educational drivers
  • 114. Products 3-D Models Human Figures Organ Systems Medical Devices/ Equipment Clinical Environments
  • 115. ArchieMD Content Experts Educational Designers Digital Artists Programmers
  • 116. Products Animations 1200 High Quality 3-D Animations showing: How the Body Works Disease and Injury Procedures/Surgeries Diagnostic Technologies
  • 117. Interactive Products Web Viewable Interactive Products: Explore Inside Body Virtual Operating Room Interactive Informed Consent Drug Education Virtual Autopsy
  • 118. Markets Health Consumers Internet Health Portals Hospital/Healthcare Systems General Public
  • 119. Markets Litigation Jury Education 300 Law Firms Generic Animation Customized Animation
  • 120. Potential Markets K-12 Education Health Litigation Professions Patient News Education Media Health Consumer
  • 121. SIIA Previews Paul Remer, CEO January 29th, 2008
  • 122. UGC: Opportunities and Challenges Challenges for Publishers Monetization Risk • Many Advertisers will not • Brand Damage participate in UGC • Member / Consumer retention • Those who do will only pay • Legal Exposure / Regulation remnant CPM’s
  • 123. The Keibi Opportunity Deliver a world-class platform for UGC Moderation and Inventory Optimization Establish Keibi Certified™ as a de-facto standard for trust and quality in the UGC market Keibi Moderation Suite Publishers Keibi Keibi Moderation Certification Services Services
  • 124. The Keibi Moderation Suite Power Tools for Human Moderation Step 1: Step 2: Step 3: Get the Data In Analyze and Score the UGC Deliver to Moderators to Decide • Images • Items prioritized from highest to lowest for human review • Instant removal of item, section, or account • Animations • Text Posts • Escalate or alert suspect content • Video Past Community • Widgets (off-hosted content) • Notify User of violation Behavior Input • Catalog Content Proximity & • Decisions fed back into Relationships Correlation system to improve future grading Inage / Text Recognition
  • 125. Keibi Business Model Target Market •• Social Networks Social Networks •Traditional Media Publishers + •Traditional Media Publishers •• Media Hosters Media Hosters •• Brands Brands •• E-commerce E-commerce + Technology Solutions •• Moderation Solution Moderation Solution •• Hosted Solution Hosted Solution •• Moderation Service Moderation Service •• IP: Holistic UGC Grading IP: Holistic UGC Grading •• Certification Service Certification Service + Pricing Sales Model + •• Subscription (SaaS) Subscription (SaaS) •• CPM Rev Share CPM Rev Share + •• Direct Direct •• Channel Partners Channel Partners
  • 126. Questions and Answers History Interested In Meeting • Founded: 2006 • Publishers • VC’s: Catamount, Hunt • Media • Funding: $5.8M • Investors • Location: San Francisco Solutions • Moderation Suite For publishers who want to cut the costs of their moderation efforts while increasing their effectiveness, Keibi provides an enterprise-class, hosted solution (SAAS) for customer service teams that streamlines all phases of the moderation process for user generated content. • Moderation Services For publishers who want to outsource moderation of their user generated content, Keibi provides turn-key content moderation services using the Keibi Moderation Suite and our own highly trained moderation team. • Certification Services For publishers who want to certify inventory containing user generated content to an advertiser’s brand standard in order to increase premium inventory and CPM, Keibi provides a turnkey certification service that guarantees SLA’s against UGC will be met. Team • Paul Remer – CEO – Successful entrepreneur since 1984, 4x Startup CEO/GM: Piczo, Siterra, Cafex and Island Graphic • Jeff Smith – VP Marketing – 16 years experience in marketing and sales management, including Oracle Instill • Johan Wikman - VP Engineering – 22 years experience in management and development at Autodesk, Xippix and Siterra
  • 127. When is a Picture Worth MORE than a  Thousand Words?                                        Advent of Video Will Change Practice of Law (Narrowcasting & Video Databank) Sample Content: http://mslcc.courtroomconnect.net/mslCC/Catalog/ Caremark Comes v. Microsoft Advo v Valassis Genesco United Rentals v. RAM Holdings Judge Higbee Mark Lanier closing argument (Vioxx)  Sidney Poitier testimony (Disney) 1 Confidential
  • 128. CC has already wired 50+ Top Courthouses  with its Permanent Infrastructure: Illinois Chicago Federal Massachusetts Boston Federal New York SDNY EDNY California Northern District of CA Central District of CA Pennsylvania San Francisco Philadelphia Alameda Contra Costa San Mateo Delaware Santa Cruz Kent, New Castle, Sussex Orange County Maryland/DC/VA Baltimore District Court of DC Arizona Fairfax Phoenix Federal Louisiana New Orleans Federal Texas Dallas County Georgia/Florida Houston Federal Fulton Orlando Federal Leon 2 Confidential
  • 129. Cascading Business Model Underlying Communication Services Sell to legal industry Target customer acquisition and foundation for content acquisition Loss leader that makes money.  ~40% margins CVN and RCN Narrowcasting Sell to professional viewers Profitable acquisition of content and establishment of professional online  subscriber community.  Highly profitable. ~60% margins CVN Databank (used for Multi Media Publishing and Research) Sell to professional viewers Recurring income stream while costs of production/capture are already paid Most profitable. ~80% margins 3 Confidential
  • 130. CC Target Markets Law Firms  Financial Media Corporate Counsel Education 4 Confidential
  • 131. Customer Testimonial: “"Being able to use video excerpts of trial testimony would greatly enhance our closing statements by not only reminding the jurors (or judge) what the witnesses said but also how they looked when they said it. It might also be possible to use the video trial testimony of one witness to confront or refresh the memory of another. Even archived excerpts from other trials would be useful as a way to assess, and prepare for, the approaches taken or tactics used by opposing counsel or the trial judge." -David Balabanian, Partner, Bingham McCutchen, former President of the San Francisco Bar Association 5 Confidential
  • 132. Examples of Multi Media Publishing Opportunities Packaging Content Highlights/Dramatic Moments in Trial CDs of David Boies with clips from latest  trial. Big brand name attorney/trials to sell  public information. Video Dossier on Experts Seeing prior contradictory testimony is 10  times more powerful than reading it. Use Content for CLE, Associate Training Post‐trial Interview of Jurors Interactive Features Focus Groups Exhibit/Document Sharing YouTube Professional Commentary 6 Confidential
  • 133. Company Highlights $10m from high profile angel investors Using a “rich content” strategy to win  significant share of legal market Leading corporations and firms already  customers Revenues growing btw 50‐100% per year:  2005=$0.8m; 2006=$1.9m; 2007=$2.5m;  Ramp  rate $4m; $120m+ revenues in 6 years Already have key partnerships with major  strategics Accomplished team of 30 in place Seeking additional $5‐7mm in expansion capital 7 Confidential
  • 134. Summary CC plans to become the leading provider of  videocasts and videobank services to the  $10bn litigation support sector leveraging  the power of the rich media revolution  8 Confidential
  • 135. Closing Keynote: Kevin Ryan, Co-Chairman and Co-Founder, Alley Corp

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