THE DIGITAL CANVAS 2008 X:MediaLab, Sydney - 07.03.2008 Assia Grazioli-Venier. CEO Flypaper.tv [email_address]

2007 DIGITAL CANVAS Apple innovates: iPhone, Apple TV BBC launches iPlayer, plans for Kangaroo Joost ruffles feathers Facebook frenzy Advertising evolving Merger Mania STICKING AROUND? SHAKE IT UP! NEW! KING OFTHE JUNGLE!

Apple innovates: iPhone, Apple TV

BBC launches iPlayer, plans for Kangaroo

Joost ruffles feathers

Facebook frenzy

Advertising evolving

Merger Mania

MERGER MANIA $680m $45b $160m Technology drives innovation! $3.1b $6b

LATEST STATS Eyeballs migrating online Est. 1,319,872,109 Internet users worldwide (about 20.0% of the population worldwide) (Source: InternetWorldStats) This year will see China overtake the US as the most populous Internet nation in the world (Asia-Pacific region will top 500 million Internet users) Number of active Internet homes increased 1.96 percent over the previous month. BBC audience 16-24 yrs olds most on the move, 70% views down on BBC1, 3.5m  20m online IPTV statistics US video web users: 45% growth in 2007 10 billion videos viewed by U.S. Internet users in December 2007, led by YouTube. The global number of IPTV subscribers predicted to increase 29x by 2010 (Source: eMarketer) # people in the UK watching TV online increased by 63% in 2007 (641m to 1.2b) Strike surge 18 percent surge in US video traffic during strike Social networks 1 in 5 adults have visited a social networking website, and 20% of regular Internet users have visited past 30 days. South Korea, 49% of all adults have visited at least one social network in the past US ad spending will climb to $1.6b in 2008, from $290m in 2007, a 70% rise Global online ad expenditure will reach $486b in 2008, a 6.7% rise

Eyeballs migrating online

Est. 1,319,872,109 Internet users worldwide (about 20.0% of the population worldwide) (Source: InternetWorldStats)

This year will see China overtake the US as the most populous Internet nation in the world (Asia-Pacific region will top 500 million Internet users)

Number of active Internet homes increased 1.96 percent over the previous month.

BBC audience

16-24 yrs olds most on the move, 70% views down on BBC1, 3.5m  20m online

IPTV statistics

US video web users: 45% growth in 2007

10 billion videos viewed by U.S. Internet users in December 2007, led by YouTube.

The global number of IPTV subscribers predicted to increase 29x by 2010 (Source: eMarketer)

# people in the UK watching TV online increased by 63% in 2007 (641m to 1.2b)

Strike surge

18 percent surge in US video traffic during strike

Social networks

1 in 5 adults have visited a social networking website, and 20% of regular Internet users have visited past 30 days. South Korea, 49% of all adults have visited at least one social network in the past

US ad spending will climb to $1.6b in 2008, from $290m in 2007, a 70% rise

Global online ad expenditure

will reach $486b in 2008, a 6.7% rise

CHALLENGES How to engage with consumers? How to maintain brand/content ownership in a mobile market? How to monetize and establish business model - standard currency?

How to engage with consumers?

How to maintain brand/content ownership in a mobile market?

How to monetize and establish business model - standard currency?

2008 TRENDS The year of mobile Content Wherever, Whenever Battle of the living room Telcoms, Broadcasters, Game Consoles, STBs Semantic web The New Fad The King of IPTV emerges Kangaroo? Joost? Hulu? Apple? Content continues to be king Bebo TV, MySpace TV, Current TV US Presidential race & Beijing Olympics Surge traffic and Spend Advertising industry gets smarter New Metrix, New Creatives Social networks go niche linkedin, flixster, etc. Watch out for Netlog, Vuze, Damaka, Twine, Netflix INNOVATION , INNOVATION, INNOVATION

The year of mobile Content Wherever, Whenever

Battle of the living room Telcoms, Broadcasters, Game Consoles, STBs

Semantic web The New Fad

The King of IPTV emerges Kangaroo? Joost? Hulu? Apple?

Content continues to be king Bebo TV, MySpace TV, Current TV

US Presidential race & Beijing Olympics Surge traffic and Spend

Advertising industry gets smarter New Metrix, New Creatives

Social networks go niche linkedin, flixster, etc.

Watch out for Netlog, Vuze, Damaka, Twine, Netflix

INNOVATION , INNOVATION, INNOVATION

WE’VE TESTED THE WATERS

NOW JUMP IN!

2008 YEAR OF MOBILE Portability of content Content is on the move iPhone, Widgets, Social Profiles, Xbox Open Source, Ministry of Sound Mix iPhone effect Consumers want a ‘smart phone’ Google Android = gPhone? Implications for advertisers No more spam! Be polite… Add value to consumers Consumers = Brand Evangelists On The Move! iPhone Vs gPhone Music Wherever Whenever

Portability of content

Content is on the move

iPhone, Widgets, Social Profiles, Xbox

Open Source, Ministry of Sound Mix

iPhone effect

Consumers want a ‘smart phone’

Google Android = gPhone?

Implications for advertisers

No more spam! Be polite…

Add value to consumers

Consumers = Brand Evangelists

Data + Meaning = Engagement Engagement = Brand Control = Longevity IMPORTANCE OF DATA What application do you use most? How often do you travel? What sites are you on? How long? Where have you been? What do you like to do with your friends? Your camera is outdated! Let me sell you a newer version…

Data + Meaning = Engagement

Engagement = Brand Control = Longevity

IPTV BBC’s iPlayer: “build it and they will come” 3.5 million programmes streamed/downloaded within a fortnight of its marketing launch 17 million programmes watched so far Average of 660,000 programmes downloaded x day Users watch for an average of 25min on iPlayer vs. 1-2 minutes on YouTube Top 10 most popular programming account for under a quarter of those consumed via iPlayer Programmes that are ranked outside the top 50 make up almost half of the total consumption Lessons learned Long-form online Long tail phenomenon exists Must be easy to use, engaging, accessible Kangaroo, Hulu, Fancast, Apple TV etc. Joost? Ruffled our feathers Experience not quite right… What happens when Kangaroo opens its doors? or or Vs .

BBC’s iPlayer: “build it and they will come”

3.5 million programmes streamed/downloaded within a fortnight of its marketing launch

17 million programmes watched so far

Average of 660,000 programmes downloaded x day

Users watch for an average of 25min on iPlayer vs. 1-2 minutes on YouTube

Top 10 most popular programming account for under a quarter of those consumed via iPlayer

Programmes that are ranked outside the top 50 make up almost half of the total consumption

Lessons learned

Long-form online

Long tail phenomenon exists

Must be easy to use, engaging, accessible

Kangaroo, Hulu, Fancast, Apple TV etc.

Joost?

Ruffled our feathers

Experience not quite right…

What happens when Kangaroo opens its doors?

IPTV CONTENT Leading the pack Bebo TV: Quarterlife MySpace TV: KateModern Ministry of Sound TV + ToughCookie = Party Bus Current TV + VC 2 pods Suggestions to content providers Work with sponsors from start Keep production costs low Integrate interactivity within concept ENGAGE! Fully Interactive Programming!

Leading the pack

Bebo TV: Quarterlife

MySpace TV: KateModern

Ministry of Sound TV + ToughCookie = Party Bus

Current TV + VC 2 pods

Suggestions to content providers

Work with sponsors from start

Keep production costs low

Integrate interactivity within concept

ENGAGE!

SEMANTIC WEB The social graph just connects people The semantic graph connects everything… Emails Companies Products Services Web Pages Multimedia Documents Events Projects Activities Interests Places PEOPLE GROUPS

SEMANTIC WEB http://www.mindingtheplanet.net 2007 - 2009 Early Adoption Ad Few ‘killer’ apps Other apps start to integrate 2010 - 2020 Mainstream Adoption Semantics widely used in Web content and apps 2020 + Next big cycle: Reasoning and A.I The Intelligent Web The Web learns and thinks collectively MAKE THE DATA SMARTER MAKE THE SOFTWARE SMARTER TAGGING STATISTICS SEMANTIC WEB LINGUISTICS A.I PRODUCTIVITY OF SEARCH AMOUNT OF DATA

2007 - 2009

Early Adoption

Ad Few ‘killer’ apps

Other apps start to integrate

2010 - 2020

Mainstream Adoption

Semantics widely used in Web content and apps

2020 +

Next big cycle: Reasoning and A.I

The Intelligent Web

The Web learns and thinks collectively

PRIVACY DEBATE

INVESTMENT Innovation shaking the Investment Industries Are you the next media *STAR* of tomorrow? TRAVEL THE WORLD BE THE FIRST TO KNOW Do something in… Mobile Advertising Social Networking Mobile Gaming Online Content What are Investors looking for? SCALABILITY & CRITICAL MASS UNIQUE CONSUMER BEHAVIOR Is Facebook still worth $15b?

Innovation shaking the Investment Industries

Are you the next media *STAR* of tomorrow?

TRAVEL THE WORLD

BE THE FIRST TO KNOW

Do something in…

Mobile Advertising

Social Networking

Mobile Gaming

Online Content

What are Investors looking for?

SCALABILITY & CRITICAL MASS

UNIQUE CONSUMER BEHAVIOR

2008 TRENDS AND A FEW MORE… The year of mobile Semantic web Battle of the living room The king of IPTV emerges Content (will always) be King Advertising industry gets smarter Niche social networks Facebook internationalizes Privacy debate Movie downloads Free music downloads Google VS. Yahoo/Microsoft US Presidential race / Beijing Olympics … TECHNOLOGY DRIVEN INNOVATION

The year of mobile

Semantic web

Battle of the living room

The king of IPTV emerges

Content (will always) be King

Advertising industry gets smarter

Niche social networks

Facebook internationalizes

Privacy debate

Movie downloads

Free music downloads

Google VS. Yahoo/Microsoft

US Presidential race / Beijing Olympics

… TECHNOLOGY DRIVEN INNOVATION

PICK UP YOUR PAINTBRUSH! Embrace Engage Experiment Partner Stick to your strengths Launch quickly Be Bold, Be Cautious … GOOD LUCK!

Embrace

Engage

Experiment

Partner

Stick to your strengths

Launch quickly

Be Bold, Be Cautious

… GOOD LUCK!

THANK YOU Assia Grazioli-Venier. CEO Flypaper.tv [email_address]