September 29, 2007 Analyzing Media in Virtual Worlds Chris Carella, Chief Creative Officer The Electric Sheep Company

Opportunities Esc Proprietary and Confidential Extend Valuable IP Create a deeper relationship with the viewer Build a community Increase Viewer loyalty Transmedia = Deeper Stories Return on Investment A vMTV resident hangs out while drinking a Pepsi

Extend Valuable IP

Create a deeper relationship with the viewer

Build a community

Increase Viewer loyalty

Transmedia = Deeper Stories

Return on Investment

Game Worlds Vs Social Worlds Esc Proprietary and Confidential Game Worlds Massive Multiplayer Online Games Triple A game budgets 15 months - 3 years dev time Social Worlds 3D social networks Event driven User created content Games in Social worlds

Game Worlds

Massive Multiplayer Online Games

Triple A game budgets

15 months - 3 years dev time

Social Worlds

3D social networks

Event driven

User created content

Games in Social worlds

Media Project Analysis

Community Esc Proprietary and Confidential People are the content Sustained group of users Common interest Forming social networks Shared experiences Virtual Laguna Beach The L Word in Second Life

People are the content

Sustained group of users

Common interest

Forming social networks

Shared experiences

Building Community Esc Proprietary and Confidential Celebrate user Empower user Human touch Community Team Community Roundtable Encourage social experiences Virtual Laguna Beach iVillage, Girls Night Out

Celebrate user

Empower user

Human touch

Community Team

Community Roundtable

Encourage social experiences

The Narrative Esc Proprietary and Confidential A guided and familiar experience Follow along with the show Original story Cross-over potential Provides Entertainment! Virtual Laguna Beach, Winter Formal

A guided and familiar experience

Follow along with the show

Original story

Cross-over potential

Provides Entertainment!

Transmedia Story Telling Esc Proprietary and Confidential Explore the world of ... Deeper Engagement More time with the property Drive users back to broadcast ROAR, The Game

Explore the world of ...

Deeper Engagement

More time with the property

Drive users back to broadcast

Programming Esc Proprietary and Confidential Program the world like you program broadcast Answers: “What do I do?” A reason to visit Social Entertainment New Content Sustained events 1 - time events Talent appearances Changing environments New Digital goods Episodic narrative Justin Timberlake in SL Bantam Dell, Author Event

Program the world like you program broadcast

Answers: “What do I do?”

A reason to visit

Social Entertainment

New Content

Sustained events

1 - time events

Talent appearances

Changing environments

New Digital goods

Episodic narrative

Games Esc Proprietary and Confidential Design social games Limited run Ongoing game Social networking Smokin’ Aces, Second Life Assassin Shockwaves Water Fight

Design social games

Limited run

Ongoing game

Social networking

Machinima Esc Proprietary and Confidential Low cost animation Create characters Create sets Douglas Gayeton My Second Life: The Video Diaries of Molotov Alva Eden’s Garden

Low cost animation

Create characters

Create sets

Broadcast into the Virtual World Esc Proprietary and Confidential Broadcast live media Broadcast recorded media On demand media Allow Viewers to Interact Socially With the media Games around the media Major League Baseball, Yankees vs Redsox

Broadcast live media

Broadcast recorded media

On demand media

Allow Viewers to Interact

Socially

With the media

Games around the media

Reporting on the Virtual World Esc Proprietary and Confidential Reuters covers SL Full-time staff reporters Blog Heads Up Display Office hours Real world interviews Video podasts Reuters in Second Life Adam Pasick, Virtual Worlds Bureau Chief

Reuters covers SL

Full-time staff reporters

Blog

Heads Up Display

Office hours

Real world interviews

Video podasts

Other Potential Strategies

Digital Goods Only Esc Proprietary and Confidential

User Ownership Esc Proprietary and Confidential Motorati: User Created Content

Virtual World Exclusive Content Esc Proprietary and Confidential Virtual cinematics Virtual live acting Improv Audience participation

Virtual cinematics

Virtual live acting

Improv

Audience participation

Discussion Esc Proprietary and Confidential Chris Carella, Chief Creative Officer The Electric Sheep Company [email_address] 703.400.6533 Chris Carella is Satchmo Prototype