10 01 05 Web 2.0 Weekly Special Edition

5 January 2010 Web 2.0 Weekly – SPECIAL EDITION David Shore, CFA, MBA 416.860.6784 2009 Review: A Strong Year for Web 2.0 david.shore@researchcapital.com Damian Wojcichowsky, Associate 416.860.7652 damian.wojcichowsky@researchcapital.com SOFTWARE AND MEDIA

TOP FIVE DEALS OF 2009 The Top Five: Despite over 400 transactions in 2009, it wasn’t hard choosing our Top Five transactions for 2009 (with a little bit of massaging). Our Top Five transactions are: Facebook’s $200 million D round, Twitter’s $100 million E round, the $2.25 billion acquisition of Skype, the almost $1 billion in financing/M&A for Social Gaming companies (including Zynga, Playdom and Playfish), and the incredible per unique visitor value ascribed in the financing for location-based social networking company Gowalla. • Facebook raises $200 million D round: In May 2009, Facebook announced a new financing round – raising $200 million from Digital Sky Technologies. The transaction gave Digital Sky a 1.96% stake, valuing Facebook at $10 billion. This financing brought the company’s total to $678.2 million. This was also the largest financing we recorded in 2009. • Twitter raises $100 million E round: The third largest financing round in 2009 belonged to Twitter – a $100 million Series E in September 2009. The financing reportedly valued Twitter at $1 billion – a remarkable valuation for a company that has not yet formalized a revenue model! More recently, it has been reported that Twitter was actually profitable in 2009 due to the $25 million in search deals it signed in October with Google and Microsoft. • Skype is acquired for $2.025 billion: By far the largest overall transaction in our database in 2009 was the acquisition of a majority position (65%) in Skype from eBay for $2.025 billion – announced in September 2009. The transaction was completed in November 2009. eBay had purchased Skype for $4.0 billion in 2005. • Social Gaming financing activity reaches ~$1 billion (Zynga, Playfish, Playdom, etc.): Perhaps the hottest sector overall in 2009 was Social Gaming. This segment of the W eb 2.0 market had the third highest number of deals (39) and generated almost $1 billion in financing/M&A activity – the second highest total overall (Figure 1). Three transactions in particular stand out in the social gaming space – the $400 million acquisition of Playfish (by Electronic Arts, November 2009), the $180 million financing of Zynga (Series C, December 2009, by Digital Sky), and the $43 million first round of financing for Playdom (New Enterprise lead, November 2009, Series A). There has been much speculation as to how the larger social gaming companies will proceed, with potential IPO or further strategic M&A most likely. F inancing/M&A (2009) B y S ector/Type 2, 500 2, 000 S eries E S eries D 1, 500 S eries C (US $ mm) S eries B S eries A P IP E Debt financing 1, 000 Angel/S eed Acquis ition 500 0 C rowds ourced C ontent Mobile P a yment Microblog Mobile A d T ravel Advertis ing Online Dating B log Online L earning C las s ified P ublis hing C ollaboration S earch Aggregation V ideo Internet R etail W idget G aming Online C alendar S MS /V oice Mobile C omment/R eputation Advertis ing/Mobile V irtual W orld Mus ic Infras tructure E nterpris e W iki Media S ocial C ommerce V is ual C ommerce Micromedia S ocial Networks Analytics V irtual G oods F inancial S ervices V ertical C ommunities Documents RSS Location-bas ed S NS S AS Figure 1. Capital Market Activity, 2009, By Sector Source. Company reports

• Hottest new sector? Location-based social networks (Foursquare, Gow alla, etc.). Unique visitor value skyrockets: Financing activity for location-based social networks really heated up late in 2009. W hile the total financing raised in 2009 was quite small (~$15 million), the hype surrounding location-based SNS companies was substantial. In our opinion, this was highlighted by the $8.4 million December Series B financing for Gowalla. The reported valuation of $28.4 million implies a value of $568 for each of its 50,000 users (Figure 2). That compares to a $40 per user value we estimate for the Foursquare financing in September. E s timated Value per Unique Vis itor S ourc e : C ompany re ports , C ompe te . com $600 $568 $500 $400 ($) $300 $200 $200 $113 $100 $88 $48 $42 $40 $32 $29 $29 $25 $22 $20 $19 $19 $16 $7 $6 $5 $2 $- P la yfis h Y elp Y elp MMC (P oynt) F riendF eed F riends R eunited C lub P enguin P laxo Mint.com B ebo T witter T witter Linkedin S tumbleU pon F ours quare P ageO nce Zynga G owa lla P eople Media F acebook Dec-09 May-08 S ep-09 O ct-08 A ug-09 S ep-09 S ep-09 May-09 Aug-07 F eb-09 F eb-08 Mar-08 J ul-09 Dec-09 Dec-09 Dec-09 N ov-09 Dec-09 May-09 Aug-09 Figure 2. Unique Visitor Value Source. Company reports, RCC estimates, Compete.com

2009 FINANCING REVIEW December – the year ends on a high note: Total transaction value in the W eb 2.0 universe for December is $449.4 million (Figure 3). The number of financings stands at 34, averaging $13.2 million each. In comparison, total capital raised in November was $204.4 million, averaging $10.8 million (19 deals); October was $176.1 million, averaging $5.9 million (30 deals); and September was $232.8 million, averaging $9.0 million (26 deals). Financing Activity Last Twelve Months 500.0 16.0 14.2 450.0 14.0 13.2 400.0 12.0 350.0 10.8 10.0 300.0 9.0 (US$m) (US$m) 250.0 7.4 8.0 7.0 6.9 6.4 6.5 6.2 200.0 5.9 5.6 6.0 4.7 150.0 4.0 100.0 2.0 50.0 0.0 0.0 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09 Aug-09 Sep-09 Oct-09 Nov-09 Dec-09 *May-09 includes $200m FB investment Total Average Dec-09 includes $180m Zynga investment Figure 3. Financings, Last Twelve Months Source. Company reports

September was biggest month: September was the biggest month for capital market activity, driven by the acquisition of Skype for $2.025 billion (Figure 4). After a slow October, financing/M&A activity picked up in the last two months of the year, with December being the largest month for financing (excluding M&A). Total C apital Market Activity - L as t Twelve Months 3, 000 2, 500 2, 000 S eries E S eries D S eries C S eries B 1, 500 S eries A P IP E Debt fina ncing Angel/S eed 1, 000 Acquis ition 500 - Dec-08 J an-09 F eb-09 Ma r-09 Apr-09 Ma y-09 J un-09 J ul-09 Aug-09 S ep-09 O ct-09 Nov-09 Dec-09 Figure 4. Capital Market Activity, by Sector, Last Twelve Months Source. Company reports $10 billion cumulative: W ith $2.8 billion in financing in 2009, total financing for our W eb 2.0 universe is now $9.7 billion (Figure 5). The $2.8 billion raised in 2009 was down 17.2% from the $3.4 billion raised in 2008. Web 2.0 F inanc ing (c umulative) 1,600.0 12, 000.0 1, 431. 6 1,400.0 10, 000.0 1,200.0 1, 067.3 8,000. 0 1,000.0 950.4 830.0 (US $m) (US $m) 800. 0 6,000. 0 713.7 658. 0 662. 0 623.0 600. 0 492. 4 4,000. 0 426. 3 400. 0 338. 7 262. 9 240. 5 2,000. 0 182. 1 173.5 163.8 200. 0 112. 8 95. 9 41. 5 24. 7 59. 4 40.1 59. 7 43.3 - - Q 1 Q2 Q 3 Q 4 Q 1 Q 2 Q 3 Q4 Q 1 Q 2 Q 3 Q 4 Q 1 Q 2 Q3 Q 4 Q1 Q 2 Q 3 Q 4 Q 1 Q 2 Q 3 Q 4 2004 2005 2006 2007 2008 2009 Figure 5. Web 2.0 Financing, by Quarter, Cumulative Source. Company reports

Smaller deal sizes: Deal size averages fell below long-term historical levels in 2009, with Series A-D rounds all below long-term average levels (Figure 6). However, angel rounds were significantly larger than historical levels, averaging $3.0 million in 2009, above the $2.6 million long-term average. Average financing round size 30.0 28.4 28.5 28.5 25.0 24.2 22.4 20.0 (US$m) 14.9 15.0 12.9 10.2 10.0 7.6 6.5 6.3 6.2 5.0 4.4 3.0 2.9 2.6 0.0 Angel/Seed Debt financing PIPE Series A Series B Series C Series D Series E LTM Average Size Overall Average Figure 6. Average Financing Round Size, LTM and Overall Average Source. Company reports Early rounds dominate: As Figures 7 and 8 show, early rounds (Angel/Series A) dominate our financing landscape, in terms of number of deals with almost 50% of deals. Series C rounds raised the most overall (25.8% of dollars raised), just ahead of Series B (25.2%). F inanc ing by Type - 2009 F inanc ing by Type - 2009 (# deals ) S eries C (amount rais ed) 15.6% S eries E 5.0% S eries D 18. 6% S eries D Angel/S eed 6. 0% 7. 2% Debt financing S eries E 0. 9% 1. 4% P IP E 1. 4% S eries B 26. 2% S eries A 15. 8% Angel/S eed 18. 6% S eries C 25. 6% Debt fina ncing 2. 5% S eries A P IP E 28.1% 1.6% S eries B 25. 5% Figures 7 & 8. Capital Market Activity, by Type, Last Twelve Months Source. Company reports

Q4 largest for financing: Figures 9 and 10 show the financing activity by month and quarter for 2009, broken out by early- stage (Angel/Series A), mid-stage (Series B&C), and late-stage (Series D, E, and PIPEs). Q4 was the largest quarter in terms of amount raised, but the second lowest quarter for number of deals. Financing by Type - 2009 (Amount raised) 900.0 828.0 800.0 131.0 700.0 653.2 657.3 660.0 600.0 94.2 222.3 227.3 500.0 Late Stage (D/E) (US$m) 449.4 Mid-Stage (B/C) 532.3 Early Stage (Angel/A) 76.5 Total 400.0 390.3 321.7 241.4 300.0 281.8 301.1 19.0 222.4 230.8 205.0 206.9 203.4 193.7 189.6 312.4 200.0 177.7 31.0 63.2 175.1 5.3 52.5 187.1 48.2 27.0 146.0 133.1 2.0 12.0 105.2 99.8 123.8 96.0 100.0 100.0 103.3 68.6 193.6 121.2 168.7 67.6 164.7 80.2 131.7 75.7 65.4 79.1 76.1 60.5 45.6 47.4 49.1 38.1 49.3 54.9 - 17.5 Jan-09 Feb-09 Mar-09 Q1/09 Apr-09 May-09 Jun-09 Q2/09 Jul-09 Aug-09 Sep-09 Q3/09 Oct-09 Nov-09 Dec-09 Q4/09 Figure 9. Capital Market Activity, by Type, Last Twelve Months, Amount Source. Company reports Financing by Type - 2009 (Number of Deals) 100 91 90 86 9 5 81 80 6 70 67 7 35 60 42 37 Late Stage (D/E) Mid-Stage (B/C) (#) 50 Early Stage (Angel/A) Total 40 40 39 1 37 3 34 30 3 28 17 29 30 2 13 1 2 24 24 21 22 2 46 4 12 16 20 18 2 15 40 18 3 38 2 8 2 19 10 11 14 9 21 22 21 9 10 14 16 15 13 10 7 7 7 6 7 - Jan-09 Feb-09 Mar-09 Q1/09 Apr-09 May-09 Jun-09 Q2/09 Jul-09 Aug-09 Sep-09 Q3/09 Oct-09 Nov-09 Dec-09 Q4/09 Figure 10. Capital Market Activity, by Type, Last Twelve Months, # of Deals Source. Company reports

U.S. dominates financing landscape: Figures 11 and 12 show the financing/M&A activity by country (based on company HQ). The U.S. had the most deals – over 75% of the total (by number of deals). Financing/M&A by Country - 2009 ($) Financing/M&A by Country - LTM (#) UK 7.8% Canada China 4.6% 4.4% Israel 4.1% Canada UK 2.0% 4.1% Luxembourg 31.2% France China 1.3% 3.6% ROW 2.4% Israel 2.9% USA ROW 76.2% 8.5% USA 46.7% Figures 11 & 12. Capital Market Activity, by Geography, Last Twelve Months Source. Company reports TOP 10 LISTS Top 10 funded companies: Facebook tops the financing list for 2009, having raised $200 million (Figure 13). Zynga, with its $180 million round late in the year, came in second ($195 million total), followed by Twitter which raised $135.7 million. No other company raised more than $100 million in 2009. Top 10 Funded Companies - 2009 250.0 200.0 150.0 Series E (US$ mm) Series D Series C Series B Series A 100.0 50.0 0.0 Facebook Zynga Twitter RockYou Turbine Playdom Youku Zoosk Pandora ChaCha Media Figure 13. Top 10 Financed companies, 2009 Source. Company reports

Top 10 acquirers: As lead investor in the Skype acquisition, Silver Lake leads our Top 10 acquirers list for 2009 (Figure 14). Second was Electronic Arts with the $400 million (including earn-outs) acquisition of Playfish. One of the last deals announced in 2009 drove O2 to the #3 spot with its $207 million acquisition of JaJah. Top 10 Acquirers (2009) B y Amount Inves ted 2500 2000 1500 (US $ mm) 1000 500 0 Intuit K ongZhong Ma tch. com O2 Adknowledge S ha nda Intera ctive S ilver L ake Hi-Media S . A. E lectronic Arts IT V E ntertainment L td. Network Figure 14. Top 10 Acquirers, 2009, Amount invested Source. Company reports Top 10 lead investors (# deals): Accel Partners was the most active lead investor in 2009, leading nine transactions (Figure 15). Benchmark Capital was second with seven lead investments, followed by Charles River Ventures with six. Four firms were lead on five transactions. Mos t Deals (2009) B y L ead Inves tor 10 9 8 7 6 5 4 3 2 1 0 Accel B enchmark C harles R iver New Dra per F is her C ana an Augus t S equoia F irs t R ound B es s emer P artners C apital V entures E nterpris e J urvets on P a rtners C a pital C a pital C apital V enture As s ociates P artners Figure 15. Top 10 Lead Investors, # of Deals Source. Company reports

Top 10 lead investors (amount invested): W hen analyzing amount invested, Digital Sky Technologies was the largest lead investor in 2009, participating in $380 million of transactions (Figure 16). Insight Venture Partners was second ($100 million), followed closely by Benchmark Capital with $99.4 million. Top 10 Inves tors (2009) B y Amount Inves ted 400 350 300 250 (US $ mm) 200 380. 0 150 100 50 100.0 99. 4 91. 9 70.5 52. 5 50.0 50.0 49. 0 41.0 0 G ranite G lobal B enchmark C a pita l Morgentha ler New E nterpris e Ins ight V enture S oftba nk G reylock P artners T echnologies Accel P artners C a naa n P artners Digita l S ky V entures As s ociates V entures P a rtners Figure 16. Top 10 Lead Investors, Amount Invested Source. Company reports Top 10 acquisitions: The largest acquisition in 2009 was the $2.025 billion acquisition of Skype (Figure 17). In second place was the $400 million Playfish acquisition, followed by the $207 million JaJah acquisition. Top 10 Acquisitions - 2009 2500 2000 1500 (US$ mm) 1000 2025 500 400 207 170 80 80 50 44 42 41 0 Skype PlayFish Jajah Mint Shanghai People Media Super Rewards Ku6 Friends AdLink Internet Dacheng Reunited Media Network Figure 17. Top 10 Acquisitions, 2009 Source. Company reports

C A P I T A L M A R K E T S A C T I V I T Y (P R I C E P E R F O R M A N C E ) Web 2.0 index outpaces NASDAQ in 2009: Our W eb 2.0 index (market-cap weighted) essentially mirrored the performance of the NASDAQ composite index for the first three months of 2009. Since then, the index has diverged in a much stronger recovery relative to the NASDAQ index (Figure 18). Web 2.0 Index Price Performance 250 200 150 100 50 0 1/5/09 1/19/09 2/2/09 2/16/09 3/2/09 3/16/09 3/30/09 4/13/09 4/27/09 5/11/09 5/25/09 6/8/09 6/22/09 7/6/09 7/20/09 8/3/09 8/17/09 8/31/09 9/14/09 9/28/09 10/12/09 10/26/09 11/9/09 11/23/09 12/7/09 12/21/09 Index: Web 2.0 (Market Cap) ^COMP - Share Pricing Figure 18. Web 2.0 Price Performance Source. Capital IQ

Strong 2009 performance: Fifty-three companies in our universe had positive stock price performances in 2009 (Figure 19), while 27 companies showed negative or flat returns. The performance for the group was led by Fluid Music Canada, Inc. with a 400% return in 2009, followed by Chinese Gamer International with a 353% return. Twenty-five of the companies saw their stock prices at least double in 2009. The worst performance was by Beyond Commerce, Inc. dropping 98.4% in 2009. BroadW ebAsia Inc. also fell more than 90% (-90.9%). 2009 P rice P erformance Fluid M usic Canada, Inc. 400.0% Chinese Gamer Internatio nal 353.5% NEOWIZ Games Co rpo ratio n 277.2% Openwave Systems Inc. 235.1% M ultiplied M edia Co rpo ratio n 227.3% Tencent Ho ldings Ltd. 221.6% VOIS, Inc. 200.0% M OKO.mo bi Limited 200.0% Fro gster Interactive P ictures A G 1 % 98.1 Cyberplex Inc. 192.3% iseemedia Inc. 184.6% DigitalP o st Interactive, Inc. 1 .3% 81 Gravity Co ., Ltd 180.0% OA O RB C Info rmatio n Systems 179.5% SK Co mmunicatio ns Co ., Ltd. 172.7% GungHo Online Entertainment, Inc. 155.8% Webzen Inc. 1 % 53.1 Gamania Digital Entertainment Co ., Ltd. 150.3% Tree.Co m, Inc. 1 % 45.1 Shutterfly, Inc. 143.7% A Q Interactive, Inc. 1 32.3% Kingso ft Co . Ltd. 1 % 30.1 P erfect Wo rld Co ., Ltd. 1 .6% 21 Gree, Inc. 1 2.6% 1 M o dern Times Gro up M tg A B 103.4% A ccelerize New M edia, Inc. 85.7% Netease.co m Inc. 82.6% CDC Co rp. 80.6% Changyo u.co m Limited 65.9% A cto z So ft Co ., Ltd. 61.6% Shanda Interactive Entertainment Ltd. 57.7% DXN Ho ldings B hd 57.1 % Uniserve Co mmunicatio ns Co rp. 50.0% Extensio ns, Inc. 50.0% NeuLio n Inco rpo rated 42.6% ValueClick Inc. 42.4% NetDrago n WebSo ft, Inc. 40.3% M ixi, Inc. 33.8% B igstring Co rp. 29.7% Open Text Co rp. 28.8% IA C/InterA ctiveCo rp. 28.6% United Online Inc. 24.4% Spark Netwo rks, Inc. 17.6% So hu.co m Inc. 16.9% YD Online Co rp. 1 % 6.1 XING A G 13.2% Giant Interactive Gro up, Inc. 1 .2% 1 HanbitSo ft, Inc. 10.4% P NI Digital M edia Inc. 9.2% Quepasa Co rp. 5.3% Eo lith Co . Ltd. 4.4% B right Things plc 4.0% SpectrumDNA , Inc. 3.3% Geo Sentric Oyj 0.0% Lingo M edia Co rpo ratio n -5.0% DA DA SpA -14.4% Jumbuck Entertainment Limited -20.5% M yriad Gro up A G -24.2% Ynk Ko rea Inc. -25.3% A sknet A G -26.1% M agnitude Info rmatio n Systems Inc. -28.0% TheStreet.co m, Inc. -30.7% So cialwise, Inc. -38.6% GameOn Co Ltd. -40.0% Lo o kSmart, Ltd. -40.5% NeXplo re Co rpo ratio n -44.0% SNA P Interactive, Inc. -45.7% B etawave Co rpo ratio n -47.9% The9 Limited -49.2% GigaM edia Ltd. -50.5% Ngi Gro up Inc. -52.2% Wo rlds.co m Inc. -55.0% DigitalTo wn, Inc. -55.6% UOM O M edia, Inc -58.0% No rthgate Techno lo gies Limited -59.4% Wizzard So ftware Co rpo ratio n -64.2% Do lphin Digital M edia, Inc. -74.4% Co rnerWo rld Co rpo ratio n -88.0% B ro adWebA sia Inc. -90.9% B eyo nd Co mmerce, Inc. -98.4% -200.0% -100.0% 0.0% 100.0% 200.0% 300.0% 400.0% 500.0% Figure 19. 2009 Price Performance Source. Capital IQ

(US $m) - Source. Capital IQ 10, 000 20, 000 30, 000 40, 000 50, 000 60, 000 70, 000 80, 000 90, 000 VALUATION J an-05 F eb-05 Mar-05 Apr-05 May-05 J un-05 J ul-05 Figure 20. Total Market Capitalization, Monthly Aug-05 S ep-05 Oct-05 Nov-05 Dec-05 J an-06 F eb-06 Mar-06 Apr-06 May-06 J un-06 J ul-06 Aug-06 S ep-06 Oct-06 Nov-06 Dec-06 J an-07 F eb-07 Mar-07 Apr-07 May-07 J un-07 J ul-07 Aug-07 S ep-07 Market C apitalization Oct-07 Nov-07 Dec-07 J an-08 F eb-08 Mar-08 Apr-08 May-08 J un-08 J ul-08 Aug-08 S ep-08 Oct-08 Nov-08 Dec-08 J an-09 F eb-09 80 public companies we track hit an all-time high at the end of 2009, reaching $77.4 billion (Figure 20). Mar-09 Apr-09 May-09 J un-09 J ul-09 Aug-09 S ep-09 Oct-09 Nov-09 Dec-09 Page 13 2009 ends at record high: After bottoming in November 2008 at $28.8 billion, the combined market capitalization of the

Tencent the gorilla: Tencent Holdings (SEHK:700), with a market cap of approximately US$39.5 billion, has driven a large portion of the gains over the last year (Figure 21), rising from a market cap of $9.8 billion in November 2008. The other big contributors have been CYOU (+$1.8 billion), TSE:3632 (+$2.8 billion), MTG.B (+$2.1 billion), NTES (+$2.5 billion), and SNDA (+$1.9 billion). AC L Z A052790 Market C apitalization 3838 XT R A: A5A BS GC B W AV B Y OC AIM: B G T 90, 000 BWBA C HIN.A C Y OU G T S M: 3083 CWR L T S X: C X C M: DA DXN 80, 000 DG L P DG T W DP DM A041060 E XT I T S X: F MN 70, 000 FRG 6180 3812 G E O 1V GA G IG M GR VY T S E : 3632 60, 000 3765 A047080 IAC I IE E AS X: J MB 3888 50, 000 T S XV :LM L OO K MAG Y 2121 (U S $m) MT G B MK B T S X V : MMC MY R N 40, 000 A095660 777 NT E S T S X: NL N NXP C 2497 30, 000 590057 OT E X OP W V PWR D T S XV :P N QP S A R BCI S NDA 20, 000 S FLY A066270 S TVI S C LW S O HU L OV 10, 000 S P XA 700 NC T Y TS CM TR E E T S XV : US S U NT D UO MO - V C LK V O IS May-05 Nov-05 May-06 Nov-06 May-07 Nov-07 May-08 Nov-08 May-09 Nov-09 J an-05 Mar-05 J ul-05 S ep-05 J an-06 Mar-06 J ul-06 S ep-06 J an-07 Mar-07 J ul-07 S ep-07 J an-08 Mar-08 J ul-08 S ep-08 J an-09 Mar-09 J ul-09 S ep-09 K O S E : A069080 W ZE W DDD O1B C A052770 A023770 Figure 21. Market Capitalization, By Company & Month Source. Capital IQ

Online Gaming companies lead market-cap charts: Thirteen companies in our W eb 2.0 universe top US$1 billion in market capitalization (Figure 22). Forty-six of the 80 companies have market caps under US$100 million, with 28 under US$25 million. Online gaming companies dominate the top of the list, led by Tencent Holdings (SEHK:700) with a market cap of approximately US$39.5 billion. Market C ap ($US mm) Tenc ent Holdings L td. 39524.0 Neteas e.c om Inc. 4888. 4 S handa Interac tive Entertainment L td. 3549. 7 Modern Times G roup Mtg A B 3266. 2 G ree, Inc. 2763. 0 IA C/InterA c tiveCorp. 2733. 1 Open Tex t Corp. 2289. 1 S ohu.c om Inc. 2209. 9 Perf ec t World Co. , L td. 1980. 3 Changyou. c om Limited 1838. 1 G iant Interactiv e G roup, Inc. 1594. 3 Mix i, Inc. 1217. 0 Chines e G amer International 1107. 4 K ings of t Co. L td. 905.9 V alueClick Inc. 869.9 NEOWIZ G ames Corporation 734.8 United Online Inc. 618.6 S K Communic ations Co. , L td. 561.6 S hutterf ly, Inc. 463.7 G ungHo Online Entertainment, Inc. 311.5 NetDragon WebS of t, Inc. 275.4 G amania Digital Entertainment Co. , L td. 260.7 CDC Corp. 237.5 XING A G 232.1 My riad G roup A G 205.8 OA O R B C Information S y s tems 193.9 Openw ave S ys tems Inc. 193.1 The9 Limited 179.8 G igaMedia L td. 178.8 DA DA S pA 136.8 A ctoz S oft Co. , L td. 128.8 Webz en Inc. 114.1 Fluid Mus ic Canada, Inc. 104.7 Tree. Com, Inc. 101.3 Y D Online Corp. 94. 8 Eolith Co. L td. 77. 9 GameOn Co L td. 76. 7 Cyberplex Inc. 74. 6 NeuLion Incorporated 74. 0 TheS treet. com, Inc. 72. 8 HanbitS of t, Inc. 72. 1 Frogs ter Interactiv e Pictures A G 64. 1 S park Netw orks , Inc. 61. 7 PNI Digital Media Inc. 53. 0 G eoS entric Oy j 51. 3 G rav ity Co. , L td 46. 7 A Q Interactiv e, Inc. 40. 1 DXN Holdings B hd 36. 4 DigitalTow n, Inc. 32. 8 Ngi Group Inc. 32. 6 NeXplore Corporation 31. 2 Quepas a Corp. 25. 5 S ocialw is e, Inc. 24. 3 Multiplied Media Corporation 22. 4 A s knet A G 21. 8 Northgate Tec hnologies Limited 20. 2 A c celeriz e New Media, Inc. 18. 7 Wiz z ard S oftw are Corporation 18. 2 LookS mart, L td. 16. 8 MOK O. mobi Limited 15. 9 Y nk K orea Inc. 15. 1 J umbuc k Entertainment Limited 13. 5 Ex tens ions , Inc. 13. 3 V OIS , Inc. 11. 9 Dolphin Digital Media, Inc. 11. 7 Lingo Media Corporation 11. 2 is eemedia Inc. 9. 2 Magnitude Inf ormation S ys tems Inc. 8. 0 S pectrumDNA , Inc. 7. 6 B right Things plc 5. 6 Worlds .c om Inc. 4. 8 B roadWebA s ia Inc. 4. 2 S NA P Interactiv e, Inc. 4. 1 DigitalPos t Interactiv e, Inc. 3. 9 UOMO Media, Inc 3. 7 B etaw av e Corporation 3. 7 CornerWorld Corporation 2. 9 B igs tring Corp. 1. 5 Unis erv e Communic ations Corp. 1. 4 B eyond Commerc e, Inc. 1. 2 0 500 1, 000 1,500 2,000 2, 500 3,000 3, 500 4, 000 Figure 22. Market Cap Rankin Source. Capital IQ

TEV/Revenue (LTM) averages 2.47x: The overall median TEV/Revenue (LTM) multiple for our group is 2.47x (Figure 23). The multiple at year-end dropped slightly from 2.53x at the end of November. The average multiple troughed in October 2008 at just 1.40x and peaked at 4.49x in January 2007. Note that we exclude multiples greater than 100x. E V / R evenue 5.0x 80 4.5x 70 4.0x 60 3.5x 50 3.0x C ompa nies (#) Multiple (x) 2.5x 40 2.0x 30 1.5x 20 1.0x 10 0.5x 0.0x 0 Ma y-05 Ma y-06 Ma y-07 Ma y-08 Ma y-09 Nov-05 Nov-06 Nov-07 Nov-08 Nov-09 J a n-05 Ma r-05 J ul-05 S ep-05 J a n-06 Ma r-06 J ul-06 S ep-06 J a n-07 Ma r-07 J ul-07 S ep-07 J a n-08 Ma r-08 J ul-08 S ep-08 J a n-09 Ma r-09 J ul-09 S ep-09 Median C ount Figure 23. TEV/Revenue, By Month Source. Capital IQ

0. 0 5. 0 10. 0 15. 0 20. 0 25. 0 30. 0 35. 0 40. 0 45. 0 (x) G a meO n C o Ltd. # Companies As k net AG 0.0 5.0 10.0 15.0 20.0 25.0 Source. Capital IQ Source. Capital IQ T heS treet.com, Inc . 3 OTCPK 20.7 B eta wav e C orporation 1 HLSE AQ Intera ctive, Inc . 12.0 SEHK T ree.C om, Inc. 11.6 Figure 24. TEV/Revenue Ranking OTCBB P erfect World C o., Ltd. 11.4 U nis erve C ommunications C orp. 3 16 2 ASX 10.7 J umbuc k E nterta inment L imited 2 GTSM N orthgate T echnologies L imited 8.2 3 TSX O penwave S y s tems Inc . C y berplex Inc . 5 TSE 6.8 5.4 G igaMedia Ltd. 5 TSXV C DC C orp. Figures 25 & 26. TEV/Revenue Ranking (Exchange, Country) 8 KOSE DXN Holdings B hd 3 XTRA Ac toz S oft C o. , Ltd. S NAP Intera ctive, Inc. 1 SWX DADA S pA 2 AMEX 3.9 3.3 3.2 3.2 2.5 IAC /InterAc tiveC orp. 0.0 0.1 0.1 0.1 0.3 0.3 0.4 0.4 0.4 0.4 0.5 0.5 0.6 0.6 0.6 0.7 0.8 0.8 0.8 1 OSE United O nline Inc . OM B ey ond C ommerc e, Inc. H anbitS oft, Inc . NasdaqGS Y nk K orea Inc . Average TEV/LTM Revenue - By Exchange 1 14 1 CM S pa rk N etwork s , Inc . 1 KLSE 2.3 2.0 1.7 0.8 0.6 V alueC lic k Inc . NetDra gon WebS oft, Inc . 1 BSE G a mania Digital E ntertainment C o., Ltd. 4 NasdaqGM 0.4 0.2 0.9 1.0 1.0 1.2 1.2 1.3 1.3 1.6 1.6 S hutterfly , Inc . 1 RTS 0.0 Y D O nline C orp. C ornerWorld C orporation Modern T imes G roup Mtg AB P N I Digital Media Inc. companies (29), trading at an average of 7.7x revenue (Figure 26). (x) Webz en Inc . G ungH o O nline E ntertainment, Inc. 0.0 2.0 4.0 6.0 8.0 10.0 12.0 14.0 T E V/L T M R evenue (x) NeuLion Inc orporated 1.7 1.9 2.0 2.2 2.3 2.3 2.4 # Companies S K C ommunica tions C o., Ltd. 1 Finland O pen T ex t C orp. 12.0 XIN G AG 2 Australia 10.7 My riad G roup AG United S ohu.com Inc . 29 7.7 States 2.8 2.9 2.9 3.2 3.3 3.4 N E O WIZ G ames C orporation China 10 7.4 Wiz z ard S oftware C orporation 3.8 DigitalP os t Intera ctive, Inc. 3 Taiwan 5.7 is eemedia Inc . 6 4.8 Japan UO MO Media, Inc Acceleriz e New Media , Inc . 5.1 5.1 5.2 5.7 9 Canada C ha ngy ou.com L imited South K ings oft C o. Ltd. 9 3.3 3.3 Korea F rogs ter Intera ctiv e P ic tures AG 6.0 6.0 6.7 3 Germany Lingo Media C orporation 3.2 Mix i, Inc . 8.1 8.1 1 Switzerland 3.2 G eoS entric O y j 12.0 G ree, Inc . 1 Sweden 2.0 E olith C o. Ltd. 13.113.2 1 Italy C hines e G amer Interna tional 0.8 14.9 F luid Mus ic C a nada , Inc. 17.6 Average TEV/LTM Revenue - By Country 1 Malaysia 0.6 NeX plore C orporation MO K O .mobi L imited 20.721.0 1 Hong Kong Corp. (40.4x), and Dolphin Digital Media, Inc. (42.1x) (Figure 24). Twenty-one companies have multiples under 1.0x. T encent Holdings Ltd. 27.4 1 India B igs tring C orp. 40.4 0.6 0.4 Dolphin Digital Media, Inc. 42.1 1 Page 17 Russia 0.0 TEV/Revenue (LTM) by country/exchange: W e have also calculated multiples based on where the companies are listed or domiciled. Figure 25 shows the average TEV/Revenue multiples by stock exchange. The OTCBB has the largest TEV/Revenue (LTM) by company: Three companies trade above 25x revenue – Tencent Holdings Ltd. (27.4x), Bigstring number of companies (16), trading at an average multiple of 11.4x. On a geographic basis, the United States has the most

TEV/EBITDA (LTM) averages 11.6x: The median multiple for the 41 companies with positive EBITDA (and multiples under 100x) is 10.75x LTM EBITDA (Figure 27). The median multiple has risen slightly from 10.50x at the end of November but is still well below the peak of 23.7x in April 2006. The median is up significantly from the recent trough levels around 5.5x. E V / E B ITDA 25. 0x 45 40 20. 0x 35 30 15. 0x C ompa nies (#) Multiple (x) 25 20 10. 0x 15 10 5.0x 5 0.0x 0 Ma y-05 Ma y-06 Ma y-07 Ma y-08 Ma y-09 Nov-05 Nov-06 Nov-07 Nov-08 Nov-09 J a n-05 Ma r-05 J ul-05 S ep-05 J a n-06 Ma r-06 J ul-06 S ep-06 J a n-07 Ma r-07 J ul-07 S ep-07 J a n-08 Ma r-08 J ul-08 S ep-08 J a n-09 Ma r-09 J ul-09 S ep-09 Median C ount Figure 27. TEV/EBITDA , By month Source. Capital IQ

TEV/EBITDA (LTM) by company: Uniserve Communications Corp. (40.2x) and SK Communications Co., Ltd. (43.7x) have the highest multiples in the group (Figure 28). Fourteen companies have EBITDA multiples under 7x. T E V/L T M E B IT DA (x) 50. 0 43. 7 45. 0 40. 2 40. 0 35. 0 30. 0 27. 7 25. 7 24. 5 25. 0 22.6 21. 0 20. 0 14. 9 13. 8 14. 2 15. 0 12. 7 12. 8 13. 0 13. 2 10.5 10.8 11. 0 11. 2 9. 4 9. 7 10. 3 10. 0 7. 6 7. 8 8. 0 5. 8 6. 0 4. 4 4.5 4.8 5. 0 5. 4 5. 0 3. 4 4. 1 4. 2 0. 2 0. 3 0. 7 1. 0 0. 0 NE O WIZ G ames C orporation J umbuck E ntertainment L imited G amania Digital E ntertainment C o. , Ltd. G ungH o O nline E ntertainment, Inc . P NI Digital Media Inc . C hines e G amer International U nis erve C ommunic ations C orp. O AO R B C Information S y s tems C hangy ou. c om L imited G ameO n C o L td. T ree. C om, Inc . C DC C orp. S K C ommunic ations C o. , L td. Modern T imes G roup Mtg AB U nited O nline Inc . T heS treet. c om, Inc . S NAP Interac tive, Inc . O pen T ex t C orp. NetDragon WebS oft, Inc . C yberplex Inc . AQ Interac tive, Inc . V alueC lic k Inc . S park Network s , Inc . S ohu. c om Inc . Y D O nline C orp. IAC /InterAc tiveC orp. G ree, Inc . Mix i, Inc . E olith C o. L td. XING AG P erfec t World C o. , L td. Y nk K orea Inc. O penwave S y s tems Inc . Webz en Inc. S hutterfly , Inc. K ings oft C o. L td. DADA S pA Actoz S oft C o. , L td. Figure 28. TEV/EBITDA Ranking Source. Capital IQ TEV/EBITDA (LTM) by country/exchange: Figure 29 shows the average TEV/EBITDA multiples by stock exchange. The OTCBB has the largest number of companies (14), trading at an average multiple of 4.8x. On a geographic basis, the U.S. has the most companies (29), trading at an average of 8.1x EBITDA (Figure 30). Average TEV/LTM EBITDA - By Country Average TEV/LTM EBITDA - By Exchange 20.0 30.0 26.5 18.2 18.0 25.0 16.0 17.6 20.0 14.0 17.2 18.217.6 12.0 13.8 12.6 (x) 15.0 (x) 13.8 13.1 10.0 10.8 10.3 10.0 10.8 10.5 9.7 8.9 8.0 8.1 7.5 6.0 6.0 5.8 4.8 4.5 6.0 6.0 5.0 1.0 0.3 4.0 0.0 1.0 2.0 OTCBB GTSM NasdaqGM KOSE TSE OSE SEHK NasdaqGS RTS OM CM XTRA AMEX TSX TSXV ASX 0.0 0.3 Germany Canada Japan Hong United China Russia Italy South Korea Kong States Taiwan Australia Sweden # Companies 5 8 2 1 5 3 1 3 14 4 1 2 16 3 2 1 # Companies 9 3 9 1 6 3 1 29 10 1 2 1 Figures 29 & 30. TEV/EBITDA Ranking (Exchange, Country) Source. Capital IQ

P/E (LTM) averages 21.0x: The median multiple for the 32 companies with positive earnings (and multiples under 100x) is 17.7x LTM EPS (Figure 31). This is up from 16.0x at the end of November and well above the 8.8x trough multiple in November 2008. The peak multiple was 37.4x in April 2006. P /E 40. 0x 40 35. 0x 35 30. 0x 30 25. 0x 25 C ompa nies (#) Multiple (x) 20. 0x 20 15. 0x 15 10. 0x 10 5.0x 5 0.0x 0 Ma y-05 Ma y-06 Ma y-07 Ma y-08 Ma y-09 Nov-05 Nov-06 Nov-07 Nov-08 Nov-09 J a n-05 Ma r-05 J ul-05 S ep-05 J a n-06 Ma r-06 J ul-06 S ep-06 J a n-07 Ma r-07 J ul-07 S ep-07 J a n-08 Ma r-08 J ul-08 S ep-08 J a n-09 Ma r-09 J ul-09 S ep-09 Median C ount Figure 31. P/E, By Month Source. Capital IQ

P/E (LTM) by company: Five companies have multiples greater than 50x – GungHo Online Entertainment, Inc. (60.6x), W ebzen Inc. (61.4x), Mixi, Inc. (63.1x), Tencent Holdings Ltd. (68.6x), and HanbitSoft, Inc. (70.0x) (Figure 32). Four companies have P/E multiples under 10x. P /E L T M (x) 80.0 68.6 70.0 70.0 63.1 60.6 61.4 60.0 48.5 49.9 50.0 40.0 37.3 33.7 31.4 30.0 27.3 22.8 19.9 20.5 17.9 18.1 20.0 13.4 13.5 11.6 12.4 9.8 6.5 7.1 8.0 10.0 5.3 2.0 2.3 2.4 2.6 3.8 1.7 0.0 NE O W IZ G ames C orporation J umbuck E ntertainment Limited G amania Digital E ntertainment C o., Ltd. G ungH o O nline E ntertainment, Inc. C hines e G amer International DXN H oldings B hd C hangy ou.com Limited G iant Interactive G roup, Inc. G ameO n C o Ltd. Modern T imes G roup Mtg AB T he9 Limited S handa Interactive E ntertainment Ltd. Neteas e.com Inc. S NAP Interactive, Inc. O pen T ex t C orp. C y berplex Inc. G igaMedia Ltd. Y D O nline C orp. IAC /InterActiveC orp. NetDragon W ebS oft, Inc. S ohu.com Inc. S park Network s , Inc. G ree, Inc. Mix i, Inc. T encent H oldings Ltd. XING AG P erfect World C o., Ltd. W ebz en Inc. H anbitS oft, Inc. K ings oft C o. Ltd. Actoz S oft C o., Ltd. Figure 32. P/E Ranking Source. Capital IQ P/E (LTM) by country/exchange: Figure 33 shows the average P/E multiples by stock exchange. The OTCBB has the largest number of companies (16), trading at an average multiple of 22.8x. On a geographic basis, the U.S. has the most companies (29), trading at an average of 18.3x earnings (Figure 34). Average P/E - By Exchange Average P/E - By Country 50.0 70.0 45.0 60.6 45.0 60.0 40.0 50.0 35.0 40.0 39.8 39.3 30.0 32.7 31.4 34.0 28.2 (x) 31.4 30.5 (x) 30.0 25.0 22.7 22.8 20.0 18.3 20.0 20.5 18.1 18.1 11.6 15.0 13.9 6.5 5.3 10.0 3.8 1.7 10.0 5.3 3.8 0.0 0.0 0.0 5.0 OTCBB GTSM NasdaqGM OSE TSE KOSE SEHK NasdaqGS OM XTRA AMEX TSX KLSE NYSE SWX ASX 0.0 Germany Japan Canada United China Malaysia South Korea States Taiwan Australia Sweden # Companies 1 5 8 3 3 2 16 2 1 14 3 1 2 1 4 1 # Companies 6 9 3 9 3 29 1 10 1 2 Figures 33 & 34. P/E Ranking (Exchange, Country) Source. Capital IQ

THE WEB 2.0 UNIVERSE Eighty public Web 2.0 companies: Our W eb 2.0 universe contains 80 companies, with a combined market cap of approximately $77.3 billion (Figure 35). The median market cap for the group is $72.4 million, with average trailing revenue of $176.5 million (median $59 million). The companies are also generally profitable with a median EBITDA margin of 15.6%. On a valuation basis, the overall average is 5.4x trailing revenue (median 1.9x) and 11.7x trailing EBITDA (median 10.0x). Twenty of the companies have more than 500 employees. C omparable C ompany Analys is > Web 2.0 Trading C urrent US D Market US D L TM Total US D L TM Total E B ITDA TE V/L TM TE V/L TM C ompany Name L TM as of Ticker E xc hange C urrency HQ P ric e C ap ($m) R ev ($m) E B ITDA ($m) % R evenue E B ITDA E mployees Accelerize New Media, Inc. 9/30/2009 AC LZ OT C B B US D U nited S tates 0. 65 18. 7 4. 1 (1.5) -36. 5% 5.7x - 11 Actoz S oft C o. , Ltd. 9/30/2009 A052790 K OS E KRW S outh K orea 17, 050 128.8 118. 8 26. 4 22. 2% 0.7x 3. 4x NA AQ Interactive, Inc. 9/30/2009 3838 TS E JPY J apa n 68, 300 40. 1 71.4 3.6 5.1% 0.3x 5. 0x NA As knet AG 9/30/2009 X T R A: A5A XT R A E UR G ermany 3 21. 8 101. 1 (2.3) -2.3% 0.1x - NA B igs tring C orp. 9/30/2009 BS GC OT C B B US D U nited S tates 0. 02 1.5 0. 1 (1.0) NM 40. 4x - 4 B eta wave C orpora tion 9/30/2009 B W AV OT C B B US D U nited S tates 0. 13 3.7 8. 4 (14. 3) NM 0.1x - 48 B eyond C ommerce, Inc. 9/30/2009 B Y OC OT C B B US D U nited S tates 0. 02 1.2 13.5 (12. 4) -91. 9% 1.0x - 86 B right T hings plc 3/31/2009 AIM: B G T AIM GBP U nited K ingdom 0. 01 5.6 0. 0 (2.7) NM - - NA B roa dW ebAs ia Inc. 9/30/2008 BWBA OT C P K US D U nited S tates 0. 05 4.2 0. 0 (4.6) NM - - 46 C DC C orp. 9/30/2009 C HIN.A Na s daqG S US D Hong K ong 2. 24 237.5 334. 2 20. 0 6.0% 0.6x 10.3x 2, 227 C hangyou. com Limited 9/30/2009 C Y OU Na s daqG S US D C hina 33.42 1, 838.1 255. 3 157. 4 61. 7% 6.0x 9. 7x 628 C hines e G amer Interna tional 9/30/2009 G T S M: 3083 GTS M TWD T a iwan 424.00 1, 107.4 68.8 39. 9 58. 0% 14. 9x 25.7x NA C ornerW orld C orporation 7/31/2009 CWR L OT C B B US D U nited S tates 0. 03 2.9 6. 8 NM NM 1.9x - 16 C yberplex Inc. 9/30/2009 T S X: C X TS X C AD C a nada 1 74. 6 109. 0 12. 1 11. 1% 0.5x 4. 5x NA DADA S pA 6/30/2009 C M: DA CM E UR Italy 5. 91 136.8 236. 1 31. 0 13. 1% 0.8x 6. 0x NA DXN Holdings B hd 8/31/2009 DX N K LS E MY R Malays ia 0. 55 36. 4 78.5 (85. 2) NM 0.6x - NA DigitalP os t Interactive, Inc. 9/30/2009 DG LP OT C B B US D U nited S tates 0 3.9 1. 2 (0.9) -73. 8% 5.1x - 7 DigitalT own, Inc. 8/31/2009 DG T W OT C B B US D U nited S tates 1. 20 32. 8 0. 0 (1.8) NM - - 3 Dolphin Digital Media, Inc. 9/30/2009 DP DM OT C B B US D U nited S tates 0. 21 11. 7 0. 3 (4.6) NM 42. 1x - NA E olith C o. Ltd. 9/30/2009 A041060 K OS E KRW S outh K orea 595.00 77. 9 5. 9 2.8 47. 6% 13. 2x 27.7x NA E xtens ions , Inc. 9/30/2009 E XTI OT C P K US D U nited S tates 0. 30 13. 3 0. 0 NM NM - - 2 F luid Mus ic C anada, Inc. 9/30/2009 T S X: F MN TS X C AD U nited S tates 1. 75 104.7 5. 6 (3.0) -54. 0% 17. 6x - NA F rogs ter Intera ctive P ictures AG 6/30/2009 FR G XT R A E UR G ermany 17.50 64. 1 9. 4 (4.4) -47. 0% 6.7x - NA G ama nia Digital E nterta inment C o. , Ltd. 9/30/2009 6180 GTS M TWD T a iwan 55 260.7 152. 2 25. 1 16. 5% 1.6x 9. 4x NA G ameO n C o L td. 9/30/2009 3812 TS E JPY J apa n 73500. 00 76. 7 76.5 18. 0 23. 5% 0.0x 0. 2x NA G eoS entric O yj 9/30/2009 G E O 1V HL S E E UR F inla nd 0. 04 51. 3 4. 5 (18. 5) NM 12. 0x - 118 G iant Interactive G roup, Inc. 9/30/2009 GA NY S E US D C hina 7. 04 1, 594.3 202. 3 137. 9 68. 2% - - 1, 570 G iga Media Ltd. 3/31/2009 G IG M Na s daqG S US D T a iwan 3. 28 178.8 183. 6 NM NM 0.6x - 751 G ravity C o., Ltd 9/30/2009 GR VY Na s daqG M US D S outh K orea 2 46. 7 51.2 18. 1 35. 4% - - 469 G ree, Inc. 9/30/2009 T S E :3632 TS E JPY J apa n 5720.00 2, 763.0 202. 9 117. 9 58. 1% 13. 1x 22.6x NA G ungHo O nline E ntertainment, Inc. 9/30/2009 3765 OS E JPY J apa n 252000 311.5 116. 4 25. 9 22. 3% 2.3x 10.5x NA HanbitS oft, Inc. 9/30/2009 A047080 K OS E KRW S outh K orea 3830.00 72. 1 59.1 (0.3) -0.6% 1.0x - NA IAC /InterActiveC orp. 9/30/2009 IAC I Na s daqG S US D U nited S tates 20.71 2, 733.1 1, 359. 6 82. 4 6.1% 0.8x 13.2x 3, 200 is eemedia Inc. 9/30/2009 IE E T S XV C AD C a nada 0 9.2 1. 9 (4.2) NM 5.1x - NA J umbuck E ntertainment Limited 6/30/2009 AS X: J MB AS X AU D Aus tralia 0 13. 5 17.1 7.3 42. 8% 0.4x 1. 0x 79 K ings oft C o. Ltd. 9/30/2009 3888 S E HK HK D C hina 6 905.9 143. 5 57. 7 40. 2% 6.0x 14.9x 2, 271 Lingo Media C orpora tion 9/30/2009 T S XV : LM T S XV C AD C a nada 0. 95 11. 2 1. 4 (2.3) NM 8.1x - NA LookS mart, Ltd. 9/30/2009 LO O K Na s daqG M US D U nited S tates 0. 98 16. 8 54.0 (4.5) -8.4% - - 90 Magnitude Information S ys tems Inc. 9/30/2009 MAG Y OT C B B US D U nited S tates 0. 02 8.0 0. 1 (2.3) NM - - 14 Mixi, Inc. 9/30/2009 2121 TS E JPY J apa n 732, 000 1, 217.0 134. 7 44. 5 33. 0% 8.1x 24.5x NA Modern T imes G roup Mtg AB 9/30/2009 MT G B OM SEK S weden 356 3, 266.2 1, 942. 0 274. 4 14. 1% 2.0x 13.8x 2, 969 MO K O .mobi Limited 6/30/2009 MK B AS X AU D Aus tralia 0. 15 15. 9 0. 7 (2.5) NM 21. 0x - NA Multiplied Media C orporation 9/30/2009 T S XV : MMC T S XV C AD C a nada 0. 18 22. 4 0. 2 (4.7) NM - - NA Myriad G roup AG 6/30/2009 MY R N SWX C HF S witzerland 4. 85 205.8 63.0 3.4 5.4% 3.2x - 405 NE O W IZ G ames C orporation 12/31/2008 A095660 K OS E KRW S outh K orea 40550. 00 734.8 212. 7 57. 1 26. 8% 3.4x 12.7x NA NetDragon W ebS oft, Inc. 9/30/2009 777 S E HK HK D C hina 4. 04 275.4 91.4 27. 8 30. 4% 1.3x 4. 4x 2, 426 Neteas e.com Inc. 9/30/2009 NT E S Na s daqG S US D C hina 37.77 4, 888.4 483. 1 291. 9 60. 4% - - 3, 109 NeuLion Incorporated 9/30/2009 T S X: NLN TS X C AD C a nada 0. 67 74. 0 24.9 (16. 1) -64. 5% 2.4x - 237 NeXplore C orporation 6/30/2009 NX P C OT C P K US D U nited S tates 0. 56 31. 2 1. 7 (13. 3) NM 20. 7x - NA Ngi G roup Inc. 9/30/2009 2497 TS E JPY J apa n 24400. 00 32. 6 78.8 3.1 3.9% - - NA Northgate T echnologies Limited 9/30/2009 590057 BSE INR India 27 20. 2 47.7 (51. 2) NM 0.4x - NA O pen T ext C orp. 9/30/2009 OT E X Na s daqG S US D C a nada 40.60 2, 289.1 814. 5 211. 1 25. 9% 2.9x 11.2x 3, 900 O penwave S ys tems Inc. 9/30/2009 OP W V Na s daqG S US D U nited S tates 2. 31 193.1 190. 5 6.2 3.3% 0.5x 14.2x 590 P erfect W orld C o. , Ltd. 9/30/2009 PWR D Na s daqG S US D C hina 40 1, 980.3 286. 2 157. 4 55. 0% 0.4x 0. 7x 2, 096 P NI Digital Media Inc. 9/30/2009 T S XV : P N T S XV C AD C a nada 1. 66 53. 0 23.2 3.9 17. 0% 2.2x 12.8x NA Q uepa s a C orp. 9/30/2009 QP S A OT C B B US D U nited S tates 2. 00 25. 5 0. 2 (9.8) NM - - 74 O AO R B C Information S ys tems 12/31/2007 R BCI R TS US D R us s ia 1. 40 193.9 156. 3 20. 4 13. 1% 0.0x 0. 3x NA S handa Intera ctive E ntertainment Ltd. 9/30/2009 S NDA Na s daqG S US D C hina 52.78 3, 549.7 694. 6 317. 3 45. 7% - - 3, 124 S hutterfly, Inc. 9/30/2009 S F LY Na s daqG S US D U nited S tates 18.06 463.7 223. 1 27. 0 12. 1% 1.6x 13.0x 514 S K C ommunications C o. , Ltd. 12/31/2008 A066270 K OS E KRW S outh K orea 15600. 00 561.6 197. 7 12. 9 6.5% 2.8x 43.7x NA S NAP Interactive, Inc. 9/30/2009 S TVI OT C B B US D U nited S tates 0 4.1 3. 4 0.5 15. 6% 0.8x 4. 8x 11 S ocialwis e, Inc. 6/30/2009 S C LW OT C B B US D U nited S tates 0. 51 24. 3 0. 0 (5.6) NM - - NA S ohu. com Inc. 9/30/2009 S O HU Na s daqG S US D C hina 57.46 2, 209.9 501. 0 218. 4 43. 6% 3.3x 7. 6x 3, 197 S park Networks , Inc. 9/30/2009 LO V AME X US D U nited S tates 3. 00 61. 7 47.5 10. 0 21. 0% 1.2x 5. 8x 183 S pectrumDNA, Inc. 9/30/2009 S P XA OT C B B US D U nited S tates 0. 16 7.6 0. 1 (2.5) NM - - 7 T encent Holdings L td. 9/30/2009 700 S E HK HK D C hina 169 39, 524. 0 1, 589. 0 811. 6 51. 1% 27. 4x - 6, 194 T he9 Limited 12/31/2008 NC T Y Na s daqG S US D C hina 7. 16 179.8 250. 7 85. 5 34. 1% - - 1, 626 T heS treet. com, Inc. 3/31/2009 TS CM Na s daqG M US D U nited S tates 2 72. 8 67.0 1.9 2.9% 0.1x 4. 2x 310 T ree.C om, Inc. 9/30/2009 TR E E Na s daqG M US D U nited S tates 9. 29 101.3 217. 1 9.7 4.5% 0.3x 7. 8x 700 U nis erve C ommunications C orp. 8/31/2009 T S XV : U S S T S XV C AD C a nada 0. 06 1.4 16.6 0.2 0.9% 0.4x 40.2x NA U nited O nline Inc. 9/30/2009 U NT D Na s daqG S US D U nited S tates 7 618.6 996. 8 212. 9 21. 4% 0.9x 4. 1x 1, 469 U OMO Media, Inc 7/31/2009 U O MO OT C B B US D C a nada 0 3.7 0. 8 (0.4) -54. 2% 5.2x - NA V alueC lick Inc. 9/30/2009 V C LK Na s daqG S US D U nited S tates 10 869.9 545. 7 130. 8 24. 0% 1.3x 5. 4x 1, 189 V OIS , Inc. 6/30/2009 V O IS OT C B B US D U nited S tates 0. 01 11. 9 0. 0 (1.0) NM - - 4 W ebzen Inc. 9/30/2009 K O S E :A069080 K OS E KRW S outh K orea 11200. 00 114.1 23.6 2.6 11. 0% 2.3x 21.0x 328 W izzard S oftware C orpora tion 9/30/2009 W ZE AME X US D U nited S tates 0. 34 18. 2 5. 2 (3.9) -76. 4% 3.8x - 110 W orlds . com Inc. 9/30/2009 W DDD OT C B B US D U nited S tates 0. 09 4.8 0. 1 (0.6) NM - - 1 XING AG 9/30/2009 O 1B C XT R A E UR G ermany 30.80 232.1 61.0 16. 5 27. 0% 2.9x 10.8x 266 Y D O nline C orp. 12/31/2007 A052770 K OS E KRW S outh K orea 7350.00 94. 8 58.9 12. 7 21. 6% 1.7x 8. 0x NA Y nk K orea Inc. 12/31/2008 A023770 K OS E KRW S outh K orea 3290 15. 1 12.2 1.3 10. 5% 1.2x 11.0x NA High 39, 524. 0 1,942. 0 811.6 68. 2% 42. 1x 43.7x 6,194 Low 1.2 0.0 -85.2 -91. 9% 0.0x 0. 2x 1 Average 966.1 176.5 45.1 11.8% 5.4x 11.7x 1,015 Median 72. 4 59.0 3. 4 15. 6% 1.9x 10.0x 319 Figure 35. Web 2.0 Universe Summary Source. Capital IQ

C omparable C ompany Analys is > Web 2.0 P ric e P erformanc e C ompany Name C urrency Ticker E xc hange US D Market C ap ($m) C urrent P ric e 1 Wk 1 Mth 3 Mth 6 Mth 1 Yr 52 Week A ccelerize New Media, Inc. US D AC LZ OTC B B 18.7 0.65 0. 0% -11.0% 0. 0% 62.5% 85.7% -18.8% A ctoz S oft C o. , L td. KR W A052790 K OS E 128.8 17,050 -6.8% -22.0% -5.3% -33. 8% 61.6% -52.6% A Q Interactive, Inc. JPY 3838 TSE 40.1 68,300 50.8% 68.9% 34.2% -1.7% 132.3% -17.7% A s knet AG E UR XT R A:A 5A XT R A 21.8 3.03 -3.8% -16.1% -2.3% -3.5% -26.1% -26.5% B igs tring C orp. US D BS GC OTC B B 1. 5 0.02 20.6% -17.2% -33.3% -29. 4% 29.7% -57.9% B eta wave C orporation US D B W AV OTC B B 3. 7 0.13 4. 2% 56.3% 56.3% 56.3% -47.9% -47.9% B eyond C ommerce, Inc. US D B Y OC OTC B B 1. 2 0.02 0. 0% -50.0% -85.2% -94. 9% -98.4% -98.9% B right T hings plc GBP AIM:B G T A IM 5. 6 0.01 13.0% 6.1% 3. 8% -13. 3% 4. 0% -47.4% B roadW ebA s ia Inc. US D BWBA OTC P K 4. 2 0.05 -44.4% -44.4% -78.3% -78. 3% -90.9% -97.5% C DC C orp. US D C H IN.A Nas da qG S 237.5 2.24 -2.6% -8.9% -9.3% 48.3% 80.6% -42.9% C ha ngyou.com L imited US D CY OU Nas da qG S 1,838.1 33.42 -0.2% 1.2% 2. 7% -16. 0% NM -30.9% C hines e G a mer International TWD G T S M:3083 GTS M 1,107.4 424.00 3. 4% -1.6% -9.8% -4.3% 353.5% -18.3% C ornerW orld C orpora tion US D CW R L OTC B B 2. 9 0.03 0. 0% -40.0% -50.0% -50. 0% -88.0% -92.7% C yberplex Inc. C AD T S X: C X TSX 74.6 1.14 -0.9% -7.3% -12.3% -30. 9% 192.3% -42.7% DADA S pA E UR C M: DA CM 136.8 5.91 1. 1% -5.9% -14.8% -8.0% -14.4% -27.9% DXN Holdings B hd MY R DXN K LS E 36.4 0.55 -1.8% -1.8% -8.3% 48.6% 57.1% -20.3% DigitalP os t Intera ctive, Inc. US D DG LP OTC B B 3. 9 0.05 -8.2% -15.1% -19.6% 28.6% 181.3% -54.5% DigitalT own, Inc. US D DG T W OTC B B 32.8 1.20 18.8% -14.3% -40.0% -41. 5% -55.6% -65.7% Dolphin Digital Media, Inc. US D DP DM OTC B B 11.7 0.21 -2.4% -26.8% -48.8% -57. 3% -74.4% -74.4% E olith C o. Ltd. KR W A041060 K OS E 77.9 595.00 4. 4% 6.3% -18.5% -20. 1% 4. 4% -48.7% E xtens ions , Inc. US D E XT I OTC P K 13.3 0.30 -33.3% 0.0% 25.0% 200. 0% 50.0% -70.3% F luid Mus ic C anada , Inc. C AD T S X: F MN TSX 104.7 1.75 1. 2% -12.5% 25.0% 150. 0% 400.0% -18.6% F rogs ter Intera ctive P ictures A G E UR FR G XT R A 64.1 17.50 0. 3% -1.4% -2.7% 54.9% 198.1% -18.6% G amania Digita l E nterta inment C o. , Ltd. TWD 6180 GTS M 260.7 54.70 8. 7% 18.8% 14.3% -7.3% 150.3% -20.5% G ameO n C o Ltd. JPY 3812 TSE 76.7 73, 500.00 11.5% 17.8% -17.5% -32. 9% -40.0% -44.7% G eoS entric Oyj E UR G E O1V H LS E 51.3 0.04 -20.0% 0.0% -20.0% 0.0% 0. 0% -33.3% G ia nt Interactive G roup, Inc. US D GA NY S E 1,594.3 7.04 0. 4% -1.4% 6. 8% -11. 3% 11.2% -26.4% G igaMedia Ltd. US D G IG M Nas da qG S 178.8 3.28 3. 1% -17.6% -29.9% -41. 5% -50.5% -57.6% G ra vity C o., L td US D GR VY Nas da qG M 46.7 2 17.5% 12.8% -5.6% 52.7% 180.0% -36.1% G ree, Inc. JPY T S E :3632 TSE 2,763.0 5, 720.00 3. 8% 24.3% 19.2% 59.8% 112.6% -5.0% G ungH o Online E nterta inment, Inc. JPY 3765 OS E 311.5 252, 000.00 60.0% 71.8% 9. 6% 0.0% 155.8% -10.0% H anbitS oft, Inc. KR W A047080 K OS E 72.1 3, 830.00 -4.4% 4.4% -7.9% -18. 1% 10.4% -42.3% IAC /InterA ctiveC orp. US D IA C I Nas da qG S 2,733.1 20.71 4. 6% 6.6% 8. 0% 28.8% 28.6% -2.7% is eemedia Inc. C AD IE E T S XV 9. 2 0 0. 0% -5.1% 42.3% 117. 6% 184.6% -31.5% J umbuck E nterta inment L imited AU D AS X:J MB AS X 13.5 0 3. 3% -6.1% -20.5% -20. 5% -20.5% -38.0% K ings oft C o. Ltd. HK D 3888 S E HK 905.9 6 4. 6% 10.3% -7.1% 12.2% 130.1% -32.2% L ingo Media C orpora tion C AD T S XV :L M T S XV 11.2 0.95 0. 0% -1.0% -5.0% -20. 8% -5. 0% -33.6% L ookS mart, L td. US D LO O K Nas da qG M 16.8 0.98 -5.7% -8.3% -14.7% -18. 2% -40.5% -45.0% Ma gnitude Informa tion S ys tems Inc. US D MAG Y OTC B B 8. 0 0.02 -5.3% -5.3% 100.0% 93.5% -28.0% -53.8% Mixi, Inc. JPY 2121 TSE 1,217.0 732, 000.00 -5.5% 4.6% 25.6% 28.9% 33.8% -15.4% Modern T imes G roup Mtg AB SEK MT G B OM 3,266.2 355.90 3. 7% 14.8% 19.4% 54.4% 103.4% -0.1% MO K O .mobi Limited AU D MK B AS X 15.9 0.15 -9.1% 25.0% 130.8% 114. 3% 200.0% -25.0% Multiplied Media C orporation C AD T S XV :MMC T S XV 22.4 0.18 2. 9% 5.9% 33.3% 125. 0% 227.3% -23.4% Myriad G roup AG C HF MY R N S WX 205.8 4.85 1. 0% 0.0% 4. 8% -2.8% -24.2% -24.2% NE O W IZ G ames C orpora tion KR W A095660 K OS E 734.8 40, 550.00 2. 4% -4.0% -4.9% 25.5% 277.2% -9.7% NetDra gon W ebS oft, Inc. HK D 777 S E HK 275.4 4.04 2. 0% -5.8% -19.8% -29. 0% 40.3% -43.5% Neteas e. com Inc. US D NT E S Nas da qG S 4,888.4 37.77 0. 2% -5.0% -14.0% 12.6% 82.6% -22.1% NeuLion Incorpora ted C AD T S X: NL N TSX 74.0 0.67 1. 5% -8.2% -33.0% -8.2% 42.6% -48.5% NeXplore C orpora tion US D NXP C OTC P K 31.2 0.56 -11.1% -24.3% -13.8% -20. 0% -44.0% -44.0% Ngi G roup Inc. JPY 2497 TSE 32.6 24, 400.00 -6.1% 9.9% 0. 7% -32. 2% -52.2% -59.3% Northgate T echnologies L imited INR 590057 BSE 20.2 27.05 -2.0% -16.4% -35.4% -29. 8% -59.4% -62.8% O pen T ext C orp. US D OT E X Nas da qG S 2,289.1 40.60 1. 1% 6.0% 9. 4% 10.3% 28.8% -2.0% O penwa ve S ys tems Inc. US D OP W V Nas da qG S 193.1 2.31 -0.3% -2.0% -7.9% 5.6% 235.1% -26.1% P erfect W orld C o., L td. US D PWRD Nas da qG S 1,980.3 39.80 -3.1% -11.8% -11.5% 34.7% 121.6% -21.2% P NI Digital Media Inc. C AD T S XV :P N T S XV 53.0 1.66 -2.9% 0.6% -14.0% 10.7% 9. 2% -22.1% Q uepa s a C orp. US D QP S A OTC B B 25.5 2.00 -9.1% 43.9% 25.0% 100. 0% 5. 3% -20.0% O AO R B C Informa tion S ys tems US D R BCI R TS 193.9 1.40 -12.7% -12.7% 20.5% 55.3% 179.5% -17.8% S ha nda Intera ctive E nterta inment L td. US D S NDA Nas da qG S 3,549.7 52.78 2. 3% -0.6% 9. 8% -0.7% 57.7% -18.8% S hutterfly, Inc. US D S F LY Nas da qG S 463.7 18.06 -0.8% 20.4% 15.5% 33.8% 143.7% -4.0% S K C ommunications C o., Ltd. KR W A066270 K OS E 561.6 15, 600.00 27.9% 106.9% 76.3% 58.4% 172.7% -4.3% S NA P Intera ctive, Inc. US D S TVI OTC B B 4. 1 0.38 26.7% 90.0% 8. 6% -15. 6% -45.7% -64.8% S ocialwis e, Inc. US D S C LW OTC B B 24.3 0.51 4. 1% 4.1% -16.4% -26. 1% -38.6% -50.0% S ohu.com Inc. US D S O HU Nas da qG S 2,209.9 57.46 1. 4% 2.1% -11.1% -5.2% 16.9% -20.5% S pa rk Networks , Inc. US D LO V A ME X 61.7 3.00 0. 0% 27.7% 34.5% 29.3% 17.6% -11.0% S pectrumDNA, Inc. US D S P XA OTC B B 7. 6 0.16 3. 3% 10.7% 19.2% -46. 6% 3. 3% -65.6% T encent H oldings Ltd. HK D 700 S E HK 39,524.0 168.50 4. 3% 14.9% 37.1% 89.9% 221.6% -0.3% T he9 L imited US D NC T Y Nas da qG S 179.8 7.16 -1.5% -7.9% -5.6% -24. 4% -49.2% -57.0% T heS treet.com, Inc. US D TS CM Nas da qG M 72.8 2.38 0. 8% 2.9% -18.8% 17.7% -30.7% -33.0% T ree.C om, Inc. US D TR E E Nas da qG M 101.3 9.29 -0.4% 46.1% 19.1% -1.8% 145.1% -28.9% U nis erve C ommunica tions C orp. C AD T S XV :U S S T S XV 1. 4 0.06 50.0% 50.0% 50.0% -25. 0% 50.0% -40.0% U nited O nline Inc. US D UNT D Nas da qG S 618.6 7.31 0. 9% 5.1% -5.2% 14.3% 24.4% -22.7% U OMO Media , Inc US D UO MO OTC B B 3. 7 0.04 -16.0% -30.0% -65.3% -68. 9% -58.0% -96.0% V alueC lick Inc. US D V C LK Nas da qG S 869.9 10 2. 5% 5.6% -20.3% 1.9% 42.4% -27.2% V OIS , Inc. US D V O IS OTC B B 11.9 0.01 0. 0% 0.0% 200.0% -16. 7% 200.0% -47.8% W ebzen Inc. KR W K O S E :A069080 K OS E 114.1 11, 200.00 -5.9% 0.9% 6. 7% -30. 2% 153.1% -45.9% W izzard S oftwa re C orporation US D W ZE A ME X 18.2 0.34 -8.1% -19.1% -26.1% -32. 0% -64.2% -64.2% W orlds .com Inc. US D W DDD OTC B B 4. 8 0.09 0. 0% -10.0% 0. 0% -21. 7% -55.0% -60.9% XING A G E UR O1B C XT R A 232.1 30.80 1. 8% -6.4% -13.2% 2.3% 13.2% -18.9% Y D Online C orp. KR W A052770 K OS E 94.8 7, 350.00 6. 5% 20.1% -14.6% -18. 2% 16.1% -40.7% Y nk K orea Inc. KR W A023770 K OS E 15.1 3, 290.00 -1.5% -11.0% -15.6% -52. 2% -25.3% -62.2% H igh 60.0% 106.9% 200.0% 200. 0% 400.0% -0.1% L ow -44.4% -50.0% -85.2% -94. 9% -98.4% -98.9% Average 966.1 1.8% 3.8% 2.0% 8.5% 56.1% -37.2% Media n 0. 2% -0.3% -5.2% -3.2% 28.6% -33.2% Figure 36. Price Performance Source. Capital IQ

C omparable C ompany Analys is > Web 2.0 Valuation Multiples P rimary US D Market TE V/L TM TE V/ NTM TE V/L TM TE V/NTM C ompany Name S ec tor C ountry E xc hange Tic ker C ap ($m) R evenue R evenue E B ITDA E B ITDA P /L TM E P S P /NTM E P S P /TangB V Accelerize New Media, Inc. Direct Ma rketing U nited S ta tes OT C B B AC LZ 18. 7 5. 7x - - - - - - Actoz S oft C o., Ltd. G aming S outh K orea K OS E A052790 128. 8 0. 7x - 3.4x - 17.9x - 1. 9x AQ Interactive, Inc. G aming J apa n TS E 3838 40. 1 0. 3x - 5.0x - - - 0. 7x As knet AG G aming G ermany XT R A XT R A: A5A 21. 8 0. 1x - - - - - - B igs tring C orp. Ins ta nt Mes s aging U nited S ta tes OT C B B BSGC 1. 5 40.4x - - - - - - B etawave C orporation Media U nited S ta tes OT C B B B W AV 3. 7 0. 1x - - - - - 2. 5x B eyond C ommerce, Inc. S ocial Networking U nited S ta tes OT C B B B YOC 1. 2 1. 0x - - - - - - B right T hings plc S ocial Networking U nited K ingdom AIM AIM:B G T 5. 6 - - - - - - - B roadW ebAs ia Inc. S ocial Networking U nited S ta tes OT C P K BWBA 4. 2 - - - - - - - C DC C orp. G aming H ong K ong Nas daqG S C HIN .A 237. 5 0. 6x 0. 6x 10. 3x 4.9x - - 10.1x C hangyou. com L imited G aming C hina Nas daqG S C Y OU 1,838. 1 6. 0x 5. 0x 9.7x 7.7x 12.4x 10.9x 9. 6x C hines e G amer International G aming T aiwan GTS M G T S M:3083 1,107. 4 14.9x - 25. 7x - 33.7x - 16.1x C ornerW orld C orpora tion C ontent U nited S ta tes OT C B B CW R L 2. 9 1. 9x - - - - - - C yberplex Inc. Advertis ing C ana da TS X T S X:C X 74. 6 0. 5x 0. 4x 4.5x 3.6x 6. 5x 6. 8x 2. 6x DADA S pA S ocial Networking Italy CM C M:DA 136. 8 0. 8x - 6.0x - - - - DXN Holdings B hd S ocial Networking Ma lays ia K LS E DXN 36. 4 0. 6x - - - 5. 3x - 0. 7x DigitalP os t Intera ctive, Inc. C ontent U nited S ta tes OT C B B DG L P 3. 9 5. 1x - - - - - - DigitalT own, Inc. S ocial Networking U nited S ta tes OT C B B DG T W 32. 8 - - - - - - - Dolphin Digital Media , Inc. S ocial Networking U nited S ta tes OT C B B DP DM 11. 7 42.1x 0. 8x - - - 0. 8x - E olith C o. Ltd. G aming S outh K orea K OS E A041060 77. 9 13.2x - 27. 7x - - - 0. 9x E xtens ions , Inc. C ontent U nited S ta tes OT C P K E XT I 13. 3 - - - - - - - F luid Mus ic C ana da, Inc. Media U nited S ta tes TS X T S X:F MN 104. 7 17.6x 17.6x - - - - 7. 6x F rogs ter Intera ctive P ictures AG G aming G ermany XT R A FR G 64. 1 6. 7x - - - - - 8. 1x G amania Digita l E nterta inment C o., L td. G aming T aiwan GTS M 6180 260. 7 1. 6x - 9.4x - 27.3x - 3. 3x G ameO n C o L td. G aming J apa n TS E 3812 76. 7 0. 0x - 0.2x - 8. 0x - 0. 9x G eoS entric Oyj Mobile F inla nd HLS E G E O1V 51. 3 12.0x - - - - - - G iant Intera ctive G roup, Inc. G aming C hina NY S E GA 1,594. 3 - - - - 1. 7x 14.9x 0. 3x G igaMedia L td. G aming T aiwan Nas daqG S G IG M 178. 8 0. 6x 1. 1x - 22.6x 7. 1x - 1. 5x G ravity C o., Ltd G aming S outh K orea Nas daqG M GR VY 46. 7 - - - - 0. 0x - 0. 0x G ree, Inc. S ocial Networking J apa n TS E T S E :3632 2,763. 0 13.1x - 22. 6x - 48.5x - 23.0x G ungHo O nline E ntertainment, Inc. Media J apa n OS E 3765 311. 5 2. 3x - 10. 5x - 60.6x - 9. 9x H anbitS oft, Inc. G aming S outh K orea K OS E A047080 72. 1 1. 0x - - - 70.0x - 2. 0x IAC /InterActiveC orp. Media U nited S ta tes Nas daqG S IAC I 2,733. 1 0. 8x 0. 8x 13. 2x 5.6x 11.6x 30.4x 1. 4x is eemedia Inc. C ontent C ana da T S XV IE E 9. 2 5. 1x - - - - - - J umbuck E nterta inment L imited S ocial Networking A us tralia AS X AS X:J MB 13. 5 0. 4x - 1.0x - 3. 8x - 1. 2x K ings oft C o. L td. G aming C hina S E HK 3888 905. 9 6. 0x - 14. 9x - 19.9x - 4. 8x L ingo Media C orporation Learning C ana da T S XV T S XV :L M 11. 2 8. 1x - - - - - - L ookS mart, Ltd. Direct Ma rketing U nited S ta tes Nas daqG M LO OK 16. 8 - - - - - - 0. 7x Magnitude Information S ys tems Inc. S ocial Networking U nited S ta tes OT C B B MAG Y 8. 0 - - - - - - - Mixi, Inc. S ocial Networking J apa n TS E 2121 1,217. 0 8. 1x - 24. 5x - 63.1x - 8. 1x Modern T imes G roup Mtg AB Media S weden OM MT G B 3,266. 2 2. 0x - 13. 8x - 18.1x - - MOK O.mobi L imited S ocial Networking A us tralia AS X MK B 15. 9 21.0x - - - - - 14.2x Multiplied Media C orporation Mobile C ana da T S XV T S XV :MMC 22. 4 - 5. 5x - - - - 16.2x Myria d G roup AG Mobile S witzerland SWX MY R N 205. 8 3. 2x - - - - - - N E OW IZ G ames C orporation G aming S outh K orea K OS E A095660 734. 8 3. 4x - 12. 7x - 37.3x - 18.9x N etDragon W ebS oft, Inc. G aming C hina S E HK 777 275. 4 1. 3x - 4.4x - 13.4x - 1. 5x N etea s e.com Inc. G aming C hina Nas daqG S NT E S 4,888. 4 - - - - 2. 6x 14.2x 0. 7x N euL ion Incorporated V ideo C ana da TS X T S X:NLN 74. 0 2. 4x - - - - - 10.0x N eXplore C orporation C ontent U nited S ta tes OT C P K NXP C 31. 2 20.7x - - - - - - N gi G roup Inc. Media J apa n TS E 2497 32. 6 - - - - - - 0. 6x N orthgate T echnologies Limited Direct Ma rketing India BSE 590057 20. 2 0. 4x - - - - - - O pen T ext C orp. C ollabora tion C ana da Nas daqG S OT E X 2,289. 1 2. 9x 2. 5x 11. 2x 9.3x 49.9x 13.6x - O penwa ve S ys tems Inc. Mobile U nited S ta tes Nas daqG S OP W V 193. 1 0. 5x 0. 5x 14. 2x 4.4x - 32.6x 2. 7x P erfect W orld C o. , Ltd. G aming C hina Nas daqG S PWRD 1,980. 3 0. 4x 1. 9x 0.7x 3.7x 2. 4x 11.5x 1. 1x P N I Digita l Media Inc. Digital Ima ging C ana da T S XV T S XV :P N 53. 0 2. 2x 1. 9x 12. 8x 5.9x - 10.4x 11.5x Q uepas a C orp. S ocial Networking U nited S ta tes OT C B B QP S A 25. 5 - - - - - - - O AO R B C Information S ys tems Media R us s ia R TS R BCI 193. 9 0. 0x - 0.3x - - - - S handa Interactive E ntertainment Ltd. G aming C hina Nas daqG S S N DA 3,549. 7 - - - - 2. 3x 14.6x 0. 4x S hutterfly, Inc. Digital Ima ging U nited S ta tes Nas daqG S S F LY 463. 7 1. 6x 1. 5x 13. 0x 8.0x - - 2. 8x S K C ommunications C o., Ltd. S earch S outh K orea K OS E A066270 561. 6 2. 8x - 43. 7x - - - - S N AP Interactive, Inc. Da ting U nited S ta tes OT C B B STVI 4. 1 0. 8x - 4.8x - 22.8x - 2. 2x S ocialwis e, Inc. S ocial Networking U nited S ta tes OT C B B S CLW 24. 3 - - - - - - - S ohu. com Inc. G aming C hina Nas daqG S S O HU 2,209. 9 3. 3x 2. 9x 7.6x 6.5x 13.5x 15.5x 4. 0x S park N etworks , Inc. S ocial Networking U nited S ta tes AME X LO V 61. 7 1. 2x - 5.8x - 20.5x - 27.8x S pectrumDNA, Inc. Media U nited S ta tes OT C B B S P XA 7. 6 - - - - - - - T encent H oldings L td. P ortal C hina S E HK 700 39,524. 0 27.4x - - - 68.6x - 30.5x T he9 L imited G aming C hina Nas daqG S NC T Y 179. 8 - - - - 2. 0x - 0. 1x T heS treet. com, Inc. Media U nited S ta tes Nas daqG M TS CM 72. 8 0. 1x 0. 1x 4.2x - - - 0. 9x T ree.C om, Inc. P ortal U nited S ta tes Nas daqG M TR E E 101. 3 0. 3x 0. 3x 7.8x 9.1x - - 1. 5x U nis erve C ommunica tions C orp. S ocial Networking C ana da T S XV T S XV :US S 1. 4 0. 4x - 40. 2x - - - - U nited Online Inc. Media U nited S ta tes Nas daqG S UN T D 618. 6 0. 9x 0. 9x 4.1x 3.6x - 5. 6x - U OMO Media, Inc Media C ana da OT C B B UO MO 3. 7 5. 2x - - - - - - V a lueC lick Inc. Media U nited S ta tes Nas daqG S V C LK 869. 9 1. 3x 1. 4x 5.4x 5.3x - 16.5x 4. 7x V O IS , Inc. S ocial Networking U nited S ta tes OT C B B V OIS 11. 9 - - - - - - 63.2x W ebzen Inc. G aming S outh K orea K OS E K OS E :A069080 114. 1 2. 3x - 21. 0x - 61.4x - 1. 1x W izzard S oftwa re C orpora tion P odca s ting U nited S ta tes AME X W ZE 18. 2 3. 8x - - - - - - W orlds .com Inc. C ontent U nited S ta tes OT C B B W DDD 4. 8 - - - - - - - XING A G S ocial Networking G ermany XT R A O1B C 232. 1 2. 9x - 10. 8x - 31.4x - 6. 7x Y D O nline C orp. G aming S outh K orea K OS E A052770 94. 8 1. 7x - 8.0x - 9. 8x - 2. 9x Y nk K orea Inc. G aming S outh K orea K OS E A023770 15. 1 1. 2x - 11. 0x - - - 0. 7x H igh 39,524. 0 42.1x 17.6x 43. 7x 22.6x 70.0x 32.6x 63.2x L ow 1. 2 0. 0x 0. 1x 0.2x 3.6x 0. 0x 0. 8x 0. 0x Average 966.1 5.4x 2.5x 11.7x 7.2x 23.5x 14.2x 7.0x Median 72. 4 1. 9x 1. 2x 10. 0x 5.7x 15.7x 13.9x 2. 6x Figure 37. Valuation Comparison Source. Capital IQ

C omparable C ompany Analys is > Web 2.0 S ummary by C ountry C ompany Name US D Market C ap ($m) Avg US D Market C ap ($m) US D L TM Total R ev ($m) US D L TM Total E B ITDA ($m) E B ITDA % United S tates 29 C hina 56,945.8 C hina 5, 694. 6 C hina 4,496.8 C hina 2,262.8 C hina 49. 0% C hina 10 United S tates 5, 465.2 S weden 3, 266. 2 United S tates 3,752.1 United S ta tes 393.7 Aus tra lia 42. 8% C a na da 9 J a pa n 4, 440.9 J apan 740. 1 S weden 1,942.0 S weden 274.4 T aiwan 37. 3% S outh K orea 9 S weden 3, 266.2 T aiwan 515. 6 C a na da 992.4 J apa n 213.0 J apan 24. 3% J a pa n 6 C a na da 2, 538.6 C ana da 282. 1 S outh K orea 740.1 C a na da 199.5 S outh K orea 20. 1% T a iwa n 3 S outh K orea 1, 845.8 Hong K ong 237. 5 J a pa n 680.8 S outh K orea 133.5 S weden 14. 1% G erma ny 3 T a iwa n 1, 546.9 S witzerland 205. 8 T a iwa n 404.6 T a iwan 65.0 Italy 13. 1% Aus tra lia 2 G erma ny 318.0 S outh K orea 205. 1 Hong K ong 334.2 Italy 31.0 R us s ia 13. 1% S witzerland 1 Hong K ong 237.5 R us s ia 193. 9 Ita ly 236.1 R us s ia 20.4 Hong K ong 6. 0% India 1 S witzerland 205.8 United S ta tes 188. 5 G erma ny 171.4 Hong K ong 20.0 S witzerland 5. 4% F inla nd 1 R us s ia 193.9 Italy 136. 8 R us s ia 156.3 G erma ny 9.7 G ermany -7. 4% United K ingdom 1 Ita ly 136.8 G ermany 106. 0 Ma lays ia 78.5 Aus tra lia 4.9 C ana da -10. 6% Ita ly 1 F inla nd 51.3 F inland 51. 3 S witzerla nd 63.0 S witzerland 3.4 United S ta tes -15. 4% Hong K ong 1 Ma lays ia 36.4 Mala ys ia 36. 4 India 47.7 United K ingdom -2.7 F inland NA S weden 1 Aus tra lia 29.4 India 20. 2 Aus tralia 17.8 F inla nd -18.5 India NA R us s ia 1 India 20.2 Aus tra lia 14. 7 F inla nd 4.5 India -51.2 United K ingdom NA Ma lays ia 1 United K ingdom 5.6 United K ingdom 5. 6 United K ingdom 0.0 Ma la ys ia -85.2 Mala ys ia NA G rand Total 80 G rand Total 77,284.4 G rand Total 966.1 G rand Total 14,118.5 G rand Total 3,473.8 G rand Total 11.8% Figure 38. Comparison by Country Source. Capital IQ C omparable C ompany Analys is > Web 2.0 S ummary by E xc hange C ompany Name US D Market C ap ($m) Avg US D Market C ap ($m) US D L TM Total R ev ($m) US D L TM Total E B ITDA ($m) E B ITDA % OT C B B 16 S E HK 40,705.3 S E HK 13, 568. 4 OM 1,942.0 Na s da qG S 1,918.2 NY S E 68. 2% Na s daqG S 14 Na s daqG S 22,230.0 OM 3, 266. 2 S E HK 607.9 S E HK 897.1 AS X 42. 8% K OS E 8 TS E 4, 129.4 NY S E 1, 594. 3 Na s daqG S 508.5 OM 274.4 S E HK 40. 6% T S XV 5 OM 3, 266.2 Nas da qG S 1, 587. 9 CM 236.1 TS E 187.1 GTS M 37. 3% TS E 5 K OS E 1, 799.1 TS E 825. 9 NY S E 202.3 NY S E 137.9 Nas da qG S 30. 7% Na s daqG M 4 NY S E 1, 594.3 GTS M 684. 0 RTS 156.3 K OS E 115.4 TS E 24. 7% TS X 3 GTS M 1, 368.0 OS E 311. 5 OS E 116.4 GTS M 65.0 OS E 22. 3% XT R A 3 XT R A 318.0 K OS E 224. 9 TS E 112.9 CM 31.0 K OS E 18. 2% OT C P K 3 OS E 311.5 SWX 205. 8 GTS M 110.5 OS E 25.9 OM 14. 1% S E HK 3 TS X 253.3 R TS 193. 9 Na s daqG M 97.3 Na s da qG M 25.2 CM 13. 1% AME X 2 Na s daqG M 237.6 CM 136. 8 K OS E 86.1 R TS 20.4 R TS 13. 1% AS X 2 SWX 205.8 XT R A 106. 0 K LS E 78.5 XT R A 9.7 T S XV 9. 0% GTS M 2 RTS 193.9 TS X 84. 4 SWX 63.0 AME X 6.0 Nas da qG M 8. 6% SWX 1 OT C B B 166.1 Nas da qG M 59. 4 XT R A 57.1 AS X 4.9 SWX 5. 4% HL S E 1 CM 136.8 HLS E 51. 3 BSE 47.7 SWX 3.4 XT R A -7. 4% CM 1 T S XV 97.3 AME X 40. 0 TS X 46.5 AIM -2.7 AME X -27. 7% BSE 1 AME X 79.9 K LS E 36. 4 AME X 26.4 TS X -7.0 TS X -35. 8% OS E 1 HL S E 51.3 BSE 20. 2 AS X 8.9 T S XV -7.2 OT C B B -48. 2% NY S E 1 OT C P K 48.8 T S XV 19. 5 T S XV 8.6 OT C P K -17.9 OT C P K NA AIM 1 K LS E 36.4 OT C P K 16. 3 HL S E 4.5 HL S E -18.5 AIM NA OM 1 AS X 29.4 AS X 14. 7 OT C B B 2.4 BSE -51.2 BSE NA RTS 1 BSE 20.2 OT C B B 10. 4 OT C P K 0.6 OT C B B -58.3 HLS E NA K LS E 1 AIM 5.6 AIM 5. 6 AIM 0.0 K LS E -85.2 K LS E NA G rand Total 80 G rand Total 77,284.4 G rand Total 966.1 G rand Total 14,118.5 G rand Total 3,473.8 G rand Total 11.8% Figure 39. Comparison by Exchange Source. Capital IQ

F inancing - 2009 (US $ mm) - Top Ten by Type Fin. Amount (Million) Type of financing Fin. Amount (Million) Type of financ ing C ompany Name Ac quis ition C ompany Name Angel/S eed S kype 2025. 0 MediaMath 16. 6 P layF is h 400. 0 E do Interactive 16. 5 J ajah 207. 0 K ontera L td. 15. 5 Mint 170. 0 B oku 13. 0 S hanghai Dacheng Network 80. 0 C aus es 10. 0 P eople Media 80. 0 Imeem 8. 8 S uper R ewards 50. 0 S canS cout 8. 1 K u6 44. 0 S B Nation 8. 0 F riends R eunited 42. 0 B ubble Motion 6. 0 AdL ink Internet Media 41. 2 T ongxue 6. 0 Grand Total 3139.2 G rand Total 108.4 Fin. Amount (Million) Type of financing Fin. Amount (Million) Type of financ ing C ompany Name Debt financing C ompany Name S eries A One Net E ntertainment 10. 0 P laydom 43. 0 T he R ubicon P roject 8. 0 P opC ap G ames 22. 5 T ops y 3. 0 G OO M R adio 16. 0 Loomia 1. 5 Marin S oftware 13. 0 Myngle 1. 3 gW allet 12. 5 C ommunityLend 1. 3 S uperS ecret 10. 0 P ros per. com 1. 0 AdC hina 10. 0 T rans G aming Inc. 0. 5 Nurien 10. 0 Grand Total 26.5 G o Internet Media 10. 0 Intent Media 9. 0 InXpo 9. 0 G rand Total 165.0 Fin. Amount (Million) Type of financing Fin. Amount (Million) Type of financ ing C ompany Name S eries B C ompany Name S eries C G roupon 30. 0 Zynga 180. 0 S mith & T inker 29. 0 P andora Media 35. 0 S ynthas ite 20. 0 C haC ha 30. 0 K aixin001. com 20. 0 DailyMotion 25. 3 C ollective Media 20. 0 S ezmi 25. 0 As ter Data S ys tems 17. 0 T remor Media 20. 0 Livebookings 16. 0 E ngine Y ard 19. 0 Zynga 15. 0 L ithium 18. 0 Offerpal Media 15. 0 S ugar Inc. 16. 0 T umri 15. 0 Millennial Media 16. 0 Grand Total 197.0 HubS pot 16. 0 G rand Total 400.3 Fin. Amount (Million) Type of financing Fin. Amount (Million) Type of financ ing C ompany Name S eries D C ompany Name S eries E F acebook 200. 0 T witter 100. 0 T urbine 50. 0 E mergent G ame T echnologies 12. 5 R ockY ou 50. 0 G lam Media 10. 0 Y ouku 40. 0 News G ator 10. 0 T witter 35. 7 Mzinga 10. 0 Zoos k 30. 0 G rand Total 142.5 E ns equence 20. 0 Ning 15. 0 Zoove 13. 2 QuickP lay Media 12. 0 S endMe Inc. 12. 0 Grand Total 477.9 Figure 40. Top 10 Deals, By Type, 2009 Source. Company reports

F inanc ing - 2009 (US $ m) F in. Amount (Million) Type of financing Month C ompany Name C ountry Angel/S eed Debt financing P IP E S eries A S eries B S eries C S eries D S eries E Grand Total J an-09 C haC ha US A 30. 0 30. 0 As ter Data S ys tems US A 17.0 17. 0 Yodle US A 13. 0 13. 0 AdMob US A 12. 5 12. 5 VirtuOz F ra nce 11.4 11. 4 IMVU US A 10. 0 10. 0 News Gator US A 10.0 10. 0 DE C A US A 10.0 10. 0 Go Internet Media US A 10. 0 10. 0 R ateP oint US A 10. 0 10. 0 Nurien K orea 10. 0 10. 0 L imbo US A 9.0 9.0 One True Media US A 9.0 9.0 P lay Hard S ports US A 8.0 8.0 S undayS ky Is rael 8. 0 8.0 J ibJ ab US A 7. 5 7.5 Xobni US A 7.0 7.0 E vernote US A 6. 5 6.5 Ins ideView US A 6.5 6.5 K ewego F ra nce 6. 2 6.2 Ohai US A 6. 0 6.0 C loudera US A 6.0 6.0 Motionbox US A 6. 0 6.0 Fliqz US A 6. 0 6.0 S ocialMedia US A 6. 0 6.0 Geni US A 5. 0 5.0 AboutUs US A 5. 0 5.0 Gbox US A 5. 0 5.0 S ports blogs US A 5. 0 5.0 S c rapblog US A 4. 0 4.0 OneS eas on.c om US A 3. 5 3.5 E -G lobal S ports Network US A 3. 5 3.5 Tripwolf Aus tria 2. 5 2.5 mE go US A 2. 5 2.5 Hubdub UK 1. 2 1.2 S nooth US A 1. 0 1.0 C overitL ive C a nada 1. 0 1.0 TweetDec k UK 0. 5 0.5 B ac kType US A 0. 3 0.3 Identi.c a C a nada 0. 2 0.2 Meez US A J an-09 Total 9.5 66.2 74.9 112.2 9.0 10.0 281.8 F eb-09 Twitter 35. 7 35. 7 S ynthas ite S outh Africa 20.0 20. 0 Tremor Media US A 18. 0 18. 0 Offerpal Media US A 15.0 15. 0 Imagini UK 13.5 13. 5 E mergent Game Technologies US A 12.5 12. 5 Outbrain Is rael 12.0 12. 0 Tvtrip F ra nce 9.0 9.0 Tongxue C hina 6. 0 6.0 Oodle US A 5. 6 5.6 Tributes .c om US A 4. 3 4.3 TextDigger US A 4. 3 4.3 OneS pot US A 4. 2 4.2 Fetc hDog US A 4. 0 4.0 Mixpo C a nada 4.0 4.0 Virtual Fairground Netherlands 4. 0 4.0 7 B illion P eople US A 3. 0 3.0 FamilyL ink.c om US A 2.9 2.9 Whis tleB ox US A 2. 3 2.3 MobGold C hina 2. 0 2.0 Mendeley UK 2. 0 2.0 Outright US A 2. 0 2.0 Tvinci Is rael 1. 6 1.6 Filtrbox US A 1. 4 1.4 MMO L ife Netherlands 1. 3 1.3 C ake F inancial US A 1. 3 1.3 Invodo US A 1. 2 1.2 fav.or.it UK 0. 7 0.7 F eb-09 Total 13.3 32.3 76.4 23.6 35.7 12.5 193.7 Mar-09 K aixin001.c om C hina 20.0 20. 0 Vidyo US A 15. 0 15. 0 B uzznet US A 12. 5 12. 5 L endingC lub US A 12.0 12. 0 S endMe Inc. US A 12. 0 12. 0 Auditude US A 10.5 10. 5 Ngmoco United S ta tes 10.0 10. 0 Glam Media US A 10.0 10. 0 Vis ible Meas ures US A 10. 0 10. 0 S uperS ec ret US A 10. 0 10. 0 GoViral UK 8. 8 8.8 Greys tripe US A 5. 5 5.5 J ajah Is rael 5.0 5.0 C loudera US A 5. 0 5.0 OMGP OP US A 5.0 5.0 Apture US A 4. 1 4.1 S imulmedia US A 4. 0 4.0 Tynt C a nada 3. 9 3.9 AnyS ourc e Media US A 3. 2 3.2 P ixazza US A 3. 1 3.1 Tops y US A 3. 0 3.0 S ports C ompos ite DE US A 2.0 2.0 B it.ly US A 2. 0 2.0 Hunch US A 2. 0 2.0 AdultS pac e US A 1. 3 1.3 Myngle Netherlands 1. 3 1.3 33Acros s US A 0.8 0.8 Three Melons Argentina 0.6 0.6 Mar-09 Total 1.3 4.3 0.6 46.1 60.3 43.0 17.0 10.0 182.5

Financ ing - 2009 (US $ m) F in. Amount (Million) Type of financ ing Month C ompany Name C ountry Angel/S eed Debt financing PIP E S eries A S eries B S eries C S eries D Grand Total Apr-09 C ollective Media US A 20.0 20. 0 GOOM R adio F rance 16. 0 16. 0 Marin S oftware US A 13. 0 13. 0 The R ubic on P rojec t US A 8.0 5.0 13. 0 FreeW heel US A 12. 0 12. 0 C ellufun US A 10.0 10. 0 C onduc tor Inc . US A 10.0 10. 0 S c anS cout US A 8. 1 8.1 B atanga US A 7.5 7.5 Viximo US A 5. 0 5.0 DoubleTwis t US A 5.0 5.0 IMS hopping US A 4. 7 4.7 B ooyah US A 4. 5 4.5 S ocialtext US A 4.5 4.5 Mixercas t US A 4. 1 4.1 S oundC loud G erma ny 3. 3 3.3 TubeMogul US A 3. 0 3.0 Tribal Nova C a nada 2.5 2.5 Tripbas e US A 2. 0 2.0 S ocialcas t US A 1. 4 1.4 B randtology S ingapore 1. 4 1.4 S c an & Target F rance 1. 3 1.3 J odange US A 1. 2 1.2 Foodis ta US A 0. 6 0.6 Apr-09 Total 15.6 8.0 49.8 52.5 16.1 12.0 154.0 May-09 Facebook US A 200.0 200. 0 One Net E ntertainment C hina 10.0 10.0 20. 0 C yberplex C a nada 12.9 12. 9 Peer39 US A 10. 5 10. 5 OpenX UK 10. 0 10. 0 Intent Media US A 9. 0 9.0 Imeem US A 8. 8 8.8 E veryZing US A 8. 3 8.3 C onnec tE du US A 8.2 8.2 B logHer Inc . US A 7. 0 7.0 WonderHill US A 7. 0 7.0 Gis t US A 6. 8 6.8 Fuhu Inc . US A 6.3 6.3 Azuki S ys tems US A 6. 0 6.0 I L ove R ewards C a nada 5.9 5.9 DocuS ign US A 5.0 5.0 TimeB ridge US A 5.0 5.0 OL X US A 5. 0 5.0 Medialets US A 4. 0 4.0 C loud E ngines US A 3. 3 3.3 R es onate Networks US A 2. 0 2.0 VoxP op US A 1.5 1.5 Mo'Minis Is ra el 1. 5 1.5 L oop'd Network US A 0. 8 0.8 May-09 Total 13.6 10.0 22.9 35.5 26.9 40.8 205.0 354.6 J un-09 S ugar Inc. US A 16. 0 16. 0 Tumri US A 15.0 15. 0 B oku US A 13. 0 13. 0 Wimba US A 12. 0 12. 0 Grab Networks US A 12.0 12. 0 AdC hina C hina 10. 0 10. 0 Goojet S AS F rance 8.5 8.5 E do Interac tive US A 8. 0 8.0 AdMeld Inc . US A 8.0 8.0 beeTV US A 8.0 8.0 blueK iwi S oftware S A F rance 6.5 6.5 Nokeena US A 6.5 6.5 B ubble Motion US A 6. 0 6.0 S ens e Networks US A 6.0 6.0 Zoos k US A 6. 0 6.0 Gather US A 5.3 5.3 MojoP ages US A 5. 0 5.0 Taomee C hina 5. 0 5.0 Animoto US A 4.4 4.4 GameG round Is ra el 4. 1 4.1 R ingR evenue US A 3. 5 3.5 C rowdcas t US A 3. 0 3.0 YuMe US A 2.9 2.9 eR epublik S pain 2. 8 2.8 News er L L C US A 2. 5 2.5 C lickFuel US A 2. 5 2.5 Inigral US A 2. 4 2.4 AdE x Media US A 2.3 2.3 GR OU.P S US A 2. 1 2.1 my6s ens e Is ra el 2. 0 2.0 Yapta US A 2.0 2.0 OneTXT US A 2. 0 2.0 I L ove R ewards C a nada 1.8 1.8 C liqs et US A 1. 5 1.5 Picaboo US A 1.0 1.0 TodaC ell Is ra el 1. 0 1.0 Glubble Netherla nds 1.0 1.0 AdW hirl US A 1. 0 1.0 L iquidP lanner US A 1. 0 1.0 MOG US A 0.5 0.5 Mas hL ogic US A 0. 5 0.5 C ommunityL end C a nada 0.3 0.3 OneF orty US A 0. 2 0.2 J un-09 Total 50.6 0.3 15.3 28.5 71.2 34.0 5.3 205.1

F inanc ing - 2009 (US $ m) Fin. Amount (Million) Type of financing Month C ompany Name C ountry Angel/S eed Debt financ ing S eries A S eries B S eries C S eries D S eries E G rand Total J ul-09 P andora Media US A 35. 0 35. 0 K ontera L td. Is ra el 15. 5 15. 5 Ning US A 15. 0 15. 0 Quic kP lay Media C a na da 12. 0 12. 0 B lekko US A 11. 5 11. 5 C aus es US A 10. 0 10. 0 Outs park US A 8. 3 8. 3 C onnectE du US A 8. 2 8. 2 Acquia, Inc US A 8. 0 8. 0 S B Nation US A 8. 0 8. 0 MediaMath US A 6. 6 6. 6 Metavers um G ermany 6. 3 6. 3 iMemories US A 6. 2 6. 2 Invodo US A 6. 0 6. 0 J ambool US A 5. 0 5. 0 Quikr India P vt. L td. India 4. 1 4. 1 C haC ha US A 4. 0 4. 0 Nexage US A 4. 0 4. 0 S tyleC as ter US A 4. 0 4. 0 OP E N S ports network US A 4. 0 4. 0 TweetDeck UK 3. 2 3. 2 B us c a US A 2. 6 2. 6 P rotonMedia US A 2. 5 2. 5 Akademos US A 2. 5 2. 5 iL oop Mobile US A 2. 0 2. 0 C omunitae S pa in 1. 7 1. 7 Lat49 C a na da 1. 5 1. 5 Aloqa G ermany 1. 5 1. 5 Thread US A 1. 2 1. 2 Tributes .com US A 1. 2 1. 2 C oTweet US A 1. 1 1. 1 C ellufun US A 1. 0 1. 0 C ognitive Matc h L imited UK 1. 0 1. 0 C likthrough US A 1. 0 1. 0 B ookF res h US A 0. 5 0. 5 P eople C apital US A 0. 5 0. 5 Mas her Media US A 0. 3 0. 3 J ul-09 Total 65.0 11.1 36.8 63.0 31.0 206.9 Aug-09 Turbine US A 50. 0 50. 0 S mith & Tinker US A 29. 0 29. 0 Mint US A 14. 1 14. 1 Zoove US A 13. 2 13. 2 R ic hR elevance US A 12. 5 12. 5 Traffiq US A 10. 0 10. 0 MediaMath US A 10. 0 10. 0 B ill.c om US A 8. 5 8. 5 E do Interac tive US A 8. 5 8. 5 InnoC entive US A 7. 3 7. 3 OneR iot US A 7. 0 7. 0 B alihoo US A 7. 0 7. 0 B oxee US A 6. 0 6. 0 P olyvore US A 5. 6 5. 6 Fanbas e US A 5. 0 5. 0 MOG US A 5. 0 5. 0 OurS tage US A 3. 0 3. 0 Z2L ive US A 3. 0 3. 0 K ODA US A 3. 0 3. 0 S coreloop G ermany 2. 8 2. 8 R oblox US A 2. 2 2. 2 Tremor Media US A 2. 0 2. 0 iS oc ket US A 2. 0 2. 0 R ights Flow US A 1. 5 1. 5 P lis ta G ermany 1. 4 1. 4 C hes s C ube S outh Africa 1. 3 1. 3 S C VNG R US A 0. 8 0. 8 Links ify US A 0. 5 0. 5 iS yndica US A 0. 4 0. 4 DailyB ooth US A 0. 0 0. 0 Aug-09 Total 25.8 12.3 77.6 43.6 63.2 222.4 S ep-09 Twitter 100. 0 100. 0 E ns equence US A 20. 0 20. 0 Livebookings UK 16. 0 16. 0 Mzinga US A 10. 0 10. 0 InXpo US A 9. 0 9. 0 J obvite US A 8. 3 8. 3 R iot Games US A 8. 0 8. 0 NextB io US A 8. 0 8. 0 Imeem US A 6. 0 6. 0 Vuc lip US A 6. 0 6. 0 YuMe US A 5. 0 5. 0 B ooyah US A 5. 0 5. 0 NeoE dge US A 4. 0 4. 0 Alliance Health Networks US A 3. 3 3. 3 Unis fair US A 3. 1 3. 1 C onduit L abs US A 3. 0 3. 0 Mocapay US A 3. 0 3. 0 Fwix US A 2. 8 2. 8 Vantrix C a na da 2. 6 2. 6 Mas hLogic US A 2. 5 2. 5 Greys tripe US A 2. 0 2. 0 Loomia US A 1. 5 1. 5 FourS quare US A 1. 4 1. 4 E duF ire US A 1. 3 1. 3 Fluther US A 0. 6 0. 6 Trans G aming Inc . C a na da 0. 5 0. 5 OnL ive US A S ep-09 Total 0.6 2.0 16.9 52.3 27.9 23.1 110.0 232.8

F inanc ing - 2009 (US $ m) F in. Amount (Million) Type of financing Month C ompany Name C ountry Angel/S eed Debt financ ing P IP E S eries A S eries B S eries C S eries D S eries E Grand Total Oc t-09 DailyMotion F ra nce 25. 3 25. 3 P opC ap G ames US A 22. 5 22. 5 E ngine Yard US A 19. 0 19. 0 HubS pot US A 16. 0 16. 0 J ive S oftware US A 12. 0 12. 0 S pigit US A 10. 0 10. 0 Ooyala US A 10. 0 10. 0 S c anS cout US A 8. 5 8. 5 B ox.net US A 7. 1 7. 1 R eality Mobile US A 6. 5 6. 5 W aterc ooler US A 5. 5 5. 5 Vdopia US A 4. 7 4. 7 S ometrics US A 4. 0 4. 0 Amie S treet US A 3. 9 3. 9 Aurora F eint US A 3. 7 3. 7 ViVu US A 3. 0 3. 0 F izzbac k UK 2. 6 2. 6 Tec hnorati US A 2. 0 2. 0 Onehub US A 1. 3 1. 3 DataS ync US A 1. 2 1. 2 C ommunityLend C a na da 1. 0 1. 0 Hot P otato US A 1. 0 1. 0 DailyB ooth US A 1. 0 1. 0 L inkedex UK 1. 0 1. 0 S tatus Net C a na da 0. 9 0. 9 IngB oo US A 0. 8 0. 8 C hango C a na da 0. 7 0. 7 C redit K arma US A 0. 5 0. 5 L is tia US A 0. 4 0. 4 OneF orty US A 0. 2 0. 2 Oc t-09 Total 4.7 1.0 44.6 56.5 67.4 2.0 176.1 Nov-09 R oc kYou US A 50. 0 50. 0 P laydom US A 43. 0 43. 0 S ezmi US A 25. 0 25. 0 Millennial Media US A 16. 0 16. 0 Zynga US A 15. 0 15. 0 E vernote US A 10. 0 10. 0 C ubeTree US A 8. 0 8. 0 Alice.c om US A 6. 0 6. 0 E ventbrite US A 6. 0 6. 0 P lac ecas t US A 5. 0 5. 0 AppNexus US A 5. 0 5. 0 Altruik US A 4. 7 4. 7 C redit K arma US A 2. 5 2. 5 B lekko US A 2. 5 2. 5 P layfire UK 2. 1 2. 1 S impleG eo US A 1. 5 1. 5 P ros per.c om US A 1. 0 1. 0 Adfonic UK 0. 6 0. 6 S c oopler US A 0. 5 0. 5 Nov-09 Total 2.6 1.0 52.3 44.0 52.0 52.5 204.4 Dec -09 Zynga US A 180. 0 180. 0 Youku C hina 40. 0 40. 0 Zoos k US A 30. 0 30. 0 G roupon US A 30. 0 30. 0 L ithium US A 18. 0 18. 0 gW allet US A 12. 5 12. 5 MobGold C hina 12. 0 12. 0 Movik Networks US A 8. 5 8. 5 G owalla US A 8. 4 8. 4 G ogii US A 8. 2 8. 2 L iveMoc ha US A 8. 0 8. 0 S onic Mule US A 8. 0 8. 0 kaC hing US A 7. 5 7. 5 S eekingAlpha Is ra el 7. 0 7. 0 P ageonc e US A 6. 5 6. 5 G enius .com US A 6. 5 6. 5 C urs e US A 6. 0 6. 0 AlikeL is t US A 5. 0 5. 0 P owerR eviews US A 4. 9 4. 9 S maato US A 4. 5 4. 5 S C VNGR US A 4. 0 4. 0 Tonc hidot J a pa n 4. 0 4. 0 Twilio US A 3. 7 3. 7 5 Minutes C hina 3. 5 3. 5 J anR ain US A 3. 3 3. 3 S toc kTwits US A 3. 0 3. 0 Artic le One P artners US A 3. 0 3. 0 W his key Media US A 2. 5 2. 5 Appolic ious US A 2. 4 2. 4 G rapes hot UK 2. 4 2. 4 C enter'd US A 1. 9 1. 9 W eP ay US A 1. 7 1. 7 J inni Is ra el 1. 6 1. 6 G lobalMotion Media US A 1. 0 1. 0 Dec -09 Total 2.5 58.0 101.5 210.9 76.5 449.4 Grand Total 205.1 26.5 38.8 453.5 730.6 734.4 532.3 142.5 2863.7 Figure 41. Financing, 2009 by Company, Country, Round, Month Source. Company reports

RELEVANT DISCLOSURES APPLICABLE TO: NONE LIST OF DISCLOSURE TERMS: 1. None applicable. ANALYST CERTIFICATION Each analyst of Research Capital Corporation whose name appears in this report hereby certifies that (i) the recommendations and opinions expressed in this research report accurately reflect the analyst’s personal views and (ii) no part of the research analyst’s compensation was or will be directly or indirectly related to the specific conclusions or recommendations expressed in this research report. I n f o r ma t i o n a b o u t Re s e a r ch C a p i t a l C o r p o r a t i o n ’ s Ra t i n g S y s t e m, t h e d i s t r i b u t i o n o f o u r r e s e a r ch t o cl i e n t s a n d t h e p e r ce n t a g e o f r e c o m me n d a t i o n s wh i c h a r e i n e a c h o f o u r r a t i n g c a t e g o r i e s i s a v a i l a b l e o n o u r we b si t e a t ww w. r e s e a r ch c a p i t a l . c o m. T h e i n f o r ma t i o n c o n t a i n e d i n t h i s r e p o r t h a s b e e n d r a wn f r o m s o u r c e s b e l i e ve d t o b e r e l i a b l e b u t i t s a c cu r a c y o r co mp l e t e n e ss i s n o t g u a r a n t e e d , n o r i n p r o vi d i n g i t d o e s R e s e a r c h Ca p i t a l C o r p o r a t i o n a s s u me a n y r e sp o n si b i l i t y o r l i a b i l i t y . R e s e a r ch C a p i t a l C o r p o r a t i o n , i t s d i r e ct o r s , o f f i c e r s a n d o t h e r e mp l o y e e s ma y , f r o m t i me t o t i me , h a v e p o si t i o n s i n t h e s e cu r i t i e s me n t i o n e d h e r e i n . Co n t e n t s o f t h i s r e p o r t c a n n o t b e r e p r o d u c e d i n wh o l e o r i n p a r t wi t h o u t t h e e xp r e ss e d p e r mi s si o n o f R e se a r ch C a p i t a l C o r p o r a t i o n . ( U . S . I n s t i t u t i o n a l Cl i e n t s — Re s e a r ch C a p i t a l U . S. A . I n c. ( a wh o l l y o wn e d s u b si d i a r y o f R e s e a r c h C a p i t a l Co r p o r a t i o n ) a cc e p t s r e s p o n si b i l i t y f o r t h e c o n t e n t s o f t h i s r e p o r t s u b je c t t o t h e t e r ms & l i mi t a t i o n s s e t o u t a b o v e . F i r ms o r i n s t i t u t i o n s r e ce i vi n g t h i s r e p o r t s h o u l d e f f e ct t r a n s a ct i o n s i n s e c u r i t i e s d i sc u s se d i n t h e r e p o r t t h r o u g h R e s e a r ch C a p i t a l U . S . A . I n c. , a B r o k e r - D e a l e r R e g i s t e r e d wi t h t h e U n i t e d S t a t e s S e cu r i t i e s a n d E xc h a n g e C o m mi s si o n ) . Tor on to 4 16. 8 60. 76 00 M ontr eal 51 4. 39 9. 150 0 V anco u ver 60 4. 66 2. 180 0 C al gar y 40 3. 26 5. 740 0 R egi na 306. 566. 7550 www.researchcapital.com

10 01 05 Web 2.0 Weekly Special Edition

by David Shore on Jan 05, 2010

Accessibility

Categories

Tags

Upload Details

Usage Rights

1 Embed 2

Statistics

10 01 05 Web 2.0 Weekly Special Edition — Document Transcript