Media '08 - Presentation by Assia Grazioli-Venier

Slide 1: THE DIGITAL CANVAS 2008 Media ‘08, Sydney - 07.03.2008 Assia Grazioli-Venier. CEO Flypaper.tv assia@flypaper.tv

Slide 2: 2007 DIGITAL CANVAS Apple innovates: iPhone, Apple TV BBC launches iPlayer, plans for Kangaroo Joost ruffles feathers Facebook frenzy Advertising evolving Merger Mania STICKING KING ARO UND? O FTHE JUNGLE! SHAKE NEW! IT UP!

Slide 3: MERGER MANIA Technology drives innovation! $3.1b $680m $6b $160m $45b

Slide 4: 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

Slide 5: CHALLENGES 1. How to engage with consumers? 3. How to maintain brand/content ownership in a mobile market? 5. How to monetize and establish business model - standard currency?

Slide 6: 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

Slide 7: WE’VE TESTED THE WATERS

Slide 8: NOW JUMP IN!

Slide 9: 2008 YEAR OF MOBILE Portability of content Music Whe re ve r • Content is on the move Whe ne ve r • iPhone, Widgets, Social Profiles, Xbox • Open Source, Ministry of Sound Mix iPho ne iPhone effect Vs • Consumers want a ‘smart phone’ gPho ne • Google Android = gPhone? On Implications for advertisers The Mo ve ! • No more spam! Be polite… • Add value to consumers • Consumers = Brand Evangelists

Slide 10: IMPORTANCE OF DATA Data + Meaning = Engagement Engagement = Brand Control = Longevity What application What sites are you on? Your camera is do you use most? How long? outdated! Let me sell How often do Where have you been? you a newer version… you travel? What do you like to do with your friends?

Slide 11: 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 or or • Experience not quite right… • What happens when Kangaroo opens its doors? Vs.

Slide 12: IPTV CONTENT Leading the pack • Bebo TV: Quarterlife • MySpace TV: KateModern • Ministry of Sound TV + ToughCookie = Party Bus • Current TV + VC2pods Suggestions to content providers • Work with sponsors from start Fully Inte ractive • Keep production costs low Pro gram ming! • Integrate interactivity within concept ENGAGE!

Slide 13: SEMANTIC WEB The social graph just connects people The semantic graph connects everything… PEOPLE Companies Emails Places Products Interests Services Web Pages Activities Documents Projects Events Multimedia GROUPS

Slide 14: SEMANTIC WEB 2007 - 2009 • Early Adoption MAKE THE DATA SMARTER • Ad Few ‘killer’ apps • Other apps start to integrate A.I 2010 - 2020 SEMANTI C WEB • Mainstream Adoption • Semantics widely used in Web content and apps LINGUISTICS TAGGIN 2020 + G STATISTIC • Next big cycle: Reasoning and A.I S • The Intelligent Web • The Web learns and thinks collectively MAKE THE SOFTWARE SMARTER PRODUCTIVITY OF SEARCH http://www.mindingtheplanet.net AMOUNT OF DATA

Slide 15: PRIVACY DEBATE

Slide 16: 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? Is Facebook still worth $15b? • SCALABILITY & CRITICAL MASS • UNIQUE CONSUMER BEHAVIOR

Slide 17: 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

Slide 18: PICK UP YOUR PAINTBRUSH! • Embrace • Engage • Experiment • Partner • Stick to your strengths • Launch quickly Be Bold, Be Cautious …GOOD LUCK!

Slide 19: THANK YO U Assia Grazioli-Venier. CEO Flypaper.tv assia@flypaper.tv