This document discusses the challenges facing the TV industry from new entrants and changing viewer behaviors driven by increasing device connectivity and mobility. It presents Netgem as a leader in IPTV middleware and set-top boxes that provides a solution called "nCloud" to help broadcasters, cable operators and device makers address these challenges. nCloud aggregates content from multiple sources and allows seamless viewing across devices to meet rising customer expectations of control and portability. It also lowers costs through local streaming and bandwidth optimization while maintaining privacy.

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2. NETGEM SUCCESS STORY
KEY FACTS ABOUT NETGEM
 #1 IPTV middleware & STB in Europe (#3 ww)
 15 years of experience in IPTV
 84,7 M€ turnover 2011 with sound profitability
 20 TV deployments in 15 different countries

3. BATTLE FOR THE CONNECTED HOME
OTT entrants CE Vendors
Popular Content/services Billion USD companies among the
Web/PC experience most popular brands in the world
Ad funded biz model Driving the explosion of connected
Aggressive price strategy devices adoption
Need critical mass of customers Challenged by the transformation
from HW seller to service provider
Broadcasters MSO
Expertise of content Trusted relationship with end users
Decades of popular “one way” TV Capacity to assist & support
Challenged by the emergence of Able to invest in customer
interactivity relationship with cross-sell, bundles…
Need to adapt to new market usages Threaten by the dumb pipe scenario

4. THE MULTISCREEN REVOLUTION
 Explosion of media capable devices in the world
10.9 per citizen in average in the USA, 9.7 in the UK, 9 in the UK, 8 in France
 Creating new customer behaviours
60 % of UK smartphone owners are multitasking while
watching TV (65% of tablet owners)
Sources: Deloitte Yougov december 2011, the Interactive Advertising Bureau (IAB)

5. RAISING NEW CHALLENGES TO THE TV INDUSTRY
New end-users expectations
What do you expect from future TV ?
47% CONTROL everything with mobile or tablet
50% Move contents seamlessly ACROSS DEVICES
56% watch anything I want, on ANY DEVICE
77% watch anything I want, WHEN i want
Average # of device per HH in Europe
In a fragmented world 1,35
0,97
0,68 0,65
0,62
0,56 0,53 0,51
0,39
0,24
0,09 0,06
Sources: Deloitte Yougov december 2011, the Interactive Advertising Bureau (IAB)

6. USE CASES
HD Hybrid TV Experience
nCloud aggregates all possible sources of
media content into a single best of breed
unified main screen TV experience
Control with companion screens
Remote control the STB, access TV
guide, schedule recordings, browse VOD
catalog from smartphones
Push to screen
Personal content shot from Mobile
phones and shared through any upnp app
(imediashare, allshare, Twonky, Tversity…)
Push to store
Watch your personal contents on the
main screen, transfer them seamlessly
onto your safe mediaserver device
A whole Home TV service
Distribute recordings & live TV to all other
connected devices, from tablets to
smartTVs and PCs
Service continuity
Start a movie on your TV and continue on
mobile device, sideload PVR recordings
on your tablet to watch PVR on the go

7. THE PRINCIPLE
is a suite of connected home software and applications which connects to a central
smart client mediaserver STB
With the architecture, the Live TV, On Demand and personal content aggregated on the
main TV screen is shared within the home between any connected screens in a simple & secure
way, under the control of the service provider. All this with a controlled, unified and
consistent Consumer Experience.
1. Price: 1 Live TV
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2 On Demand
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Lower TCO
2. Performance:
Local streaming
Bandwidth optimization
3. Privacy:
Personal content kept at home 3 Personal
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content
4. exPerience
Unified Consumer experience

8. THE PRODUCT
The backbone of advanced connected entertainment services
NETGEM SERVER
TOOLS
Netgem Device
Management
NETGEM SMARTCLIENT Server
Live TV
Netgem Apps 3rd party apps Web Netgem EPG
1 1
Netgem SDK Server
Netgem Smartclient Middleware
DVB-T
DVB-T2
STB 2 On 1
DVB-C Demand
IPTV VOD Content
Management
UpnP
Dedicated Companion Apps
3 Personal
1
content clouds
Rssreaders
OT
T M O
usic n
dem and
IP V
T
tags
B adband
ro

9. A COMBINATION OF SOFTWARE AND HARDWARE
Our Set-top-box Portfolio
N5200 N7700 N8200 N8800
IPTV l l l l
Broadcast TV - l l l
nCloud Core
PayTV - l l l
3D Graphics - l - l
PVR PVR Ready PVR Ready HDD HDD
Broadcast - 1 screen SD 2 screens SD 2 to 4 screens HD
nCloud Download to own - - l l
Advanced Download to go On External drive On External drive l l
Multimedia NAS On External drive On External drive l l
Q4 2012 Q1 2013

10. MOVING TO THE CHALLENGES OF MOBILITY
 A Mobile Box
Pocket size easy to use mobile internet access device
 Which recreactes domestic network
Between any wifi or wired connected devices
Private Box
Commercial WiFi
 And optimize Network
load
3G
Balancing between wifi, hotspots, 3G
4G
and 4G networks according to
operators policies

11. Netgem: Solutions for every operator
Green- •Limit financial risks with incremental capex and limited upfront costs
field •Leapfrog with multi-screen service with nCloud applications
Triple •Integration with legacy platforms
Play •Media server solution with NAS, search and reco, videoconf & gaming
•Reach outside footprint with OTT
Hybrid
•Blend catch-up applications with live
PayTV •Bring multi-screen services at home without new investment
• Limit docsis 3.0 upgrade : re-use HFC live channels
Cable • Enable multi-screen without network overlay
• Fast-time-to-market: existing solution with Nagra and Seachange
•OTT TV experience connecting to MNO’s portal
Mobile •Convergence services: Mobile as remote, IPAD app, Follow-me TV
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12. Thank you
for your attention
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