Integrating with Existing

Infrastructure

Mobile Payment: Market Segments

Obopay Confidential 2

• Mobile Money (Wireless Money):- Fastest growing in emerging markets where low bank and card usage. (mPesa, Obopay)

•Digital Content (Carrier Billing)

- High growth but economics (fees and payment timing) make it difficult to scale to other segments.

•Retail Acceptance (NFC)

- New and traditional actors providing solutions. Long roll out. (Visa, Isis, Square, Verifone)

% of Payment Volume by Market Segment

2009-2010

% of Payment Volume by Market Segment

2014

Source: NFC Value According to Juniper. Digital Value: According to Gartner. Mobile Money Value: Credit Suisse Mobile Industry Overview

Retail Electronic Payments in India 2009-2010

Obopay Confidential 3

(RBI) No. 9A: Retail Electronic Payment Systems (in Millions)

Month/ Year

Total Electronic

Payments

Electronic Clearing Services (ECS)National Electronic

Funds Transfer

(NEFT/EFT)

Card Payments#

NECS/ECS (Credit) ECS (Debit) Credit (18.3mn Cards) Debit*(181mn Cards)

1 2=(3+4+5+6+7) 3 4 5 6 7

Number Amount Number Amount Number Amount Number Amount Number Amount Number Amount

2009-10 718.16 $ 152,197 98.13 $ 26,136 149.28 $ 15,450 66.34 $ 91,002 234.24 $ 13,739 170.17 $ 5,871

Consumer Expenditure in 2010 $952 Billion

Electronic Payments in 2010 $152 Billion

Cash Payments in 2010 $ 800 Billion

GDP in 2009-2010 was $1.430 Trillion

Obopay Has leveraged Bank and Payment

Infrastructure Globally

Obopay’s strong partnerships, best of breed functionality and differentiated

technology will enable it to begin rolling-out of its services around the world

Obopay Confidential 4

Product Evolution

Classic P2P Advanced Obopay Mobile Payment Solutions TodayInitial Obopay

Internet

Obopay

User

Obopay

User

Prepaid Card

ATMMerchant

Non-

Obopay

User

Obopay

User

Obopay

User

Business Merchant

Obopay

User

Obopay

User

ATMGovernment

Payment

Processors

Indirect

BanksPrepaid

Card

Direct

Banks InternetPayment

Networks

Wireless

Carriers

Non-

Obopay

User

Obopay Confidential 5

Mobile Money Service

6

Payment Providers

Handset Banks Telco’s Retailers Insurance SmallBusiness

NonProfits

Countries

India

Kenya

US

Senegal

+4

Capabilities

All phones

Multi-network

Out of network payments

Very low cost model

Obopay has built a unique, hard to replicate platform and mobile technology to service

payment transactions across use cases, markets and geographies

P2P

E/M Commerce

Mobile Check

Topup, Bill Pay

Retail (POS and mPOS)

Casual Commerce

CashBank Acct

Card Obopay

Load, link or transact Transact or unload

CashBank Acct

CardObopay

Universal Access

Consistent Experience

Mastered Security

Embedded in web and other

applications

Great User experience

New use cases quickly and

efficiently

Packaging

Branding

Processing Rules

Collaboration with external

systems

Master Transaction Account/

Paypal model

Link/transact to bank accounts,

cards, payment networks

Create multiple options for

payment arbitrage

Bridge Payment ecosystems

and prepaid mobile account

option

Universal PaymentsMobile Assets Innovation Framework

Obopay Confidential 7

Create Largest

Network Effect

Mass Market

Offerings

Drive volume/

profitability

Mobile Money Technology Leadership

Market Market

opportunity

Mobile prepaid and Virtual Money

Youth and families

SME short term, longer term Retail

M-commerce

Donations

Market

Needs

Send money anytime/anywhere instantly

Load/unload funds instantly from accounts

Request payments from peers, clients

Text to donate from bank or card

Top up, bill pay, buy online

Vertical solutions (disbursements)

Obopay

solution

Solution Instant money transfer to anyone including

direct from bank account and cards

Get Paid for SME

Web and mobile checkout, Facebook

widgets, Social Short codes

Prepaid accounts and cards

Deployment Mobile Money as a service for MasterCard,

Banks, Insurance, Major Retailers

Domestic

Cross border to Mexico

Opportunity M-commerce, ecommerce, wallets

International Remittances

Long term retail

Case Study: US

8

MoneySend International

Obopay Confidential 9

Strategic Partnership : FIS Global

Obopay Confidential 10

FIS and Obopay are bringing a rapid deployment solution

for Mobile Money to U.S. banks

When : 2008 Strategic Partnership

Why FIS Global:

Largest technology provider to Financial Industry

Payment processing, online banking, bank back-office

Services 14,000 Banks

What : People Pay by Obopay

Obopay is providing its platform to FIS banks with

customized branding, terms

Obopay operates the platform

How : Go-to-market

Non exclusive agreement

Distribution to community and regional banks

FIS sales force

Payment

Processors

Debit network support

Star & NYCE

• Obopay added support for PIN-less debit and credit with STAR and NYCE.

• Obopay’s suggested retail price for crediting a debit card is $.50 to $50, above $50 is 1% with cap of $1

• Utility: Pay a person, the recipient gets immediate credit to their NYCE, STAR prepaid

card or NYCE/STAR connected DDA.– Use case 1: transfer money to your child’s or another person’s bank account immediately

– Use case 2: Collect card payments with immediate, spendable money on your prepaid card or bank account

– Use case 3: Immediate funds transfer between your bank accounts immediately

– Use case 4: cheap and immediate p2p payment funding

Obopay Confidential 11

or

Debits

only

Debit

networks

Debits

And

credits

Immediate, spendable money

Debit card funded payments

provide for cheaper…

Next day

settlement

Debit Network

as a reseller

Get Paid for Business and Non-profit

Obopay Confidential 12

Donate NowText UWCV to 48510

Money Transfer and Social Payments

Obopay Confidential 13

Mobile money

Market Market

opportunity 693 MM adults, 584 MM subscribers,

41% unbanked

Annual consumer spending: $703B, 91% cash

Market

Needs Cash replacement, convenience for small &

essential payments (top up, bill pay)

Cost and Time effective P2P solution

Support for all phone types

Agent distribution and cash in/out, to address

limited reach of banks networks

Compliance with RBI regulations

Obopay

solution

Solution EasyPay (Bill payment, top-up), EasySend

(EasyPay+ transfer, cash out)

Agent management platform

Multi-bank solution

Interoperability with ATM and National Switch

Deployment Direct service: Mobile Money Services

Distributed through Nokia agents

Partnered with Two Retail Banks/Carrier

Agnostic

Opportunity Platform

Additions Agent management platform

Bill Pay, Top Up solution

Merchant platform

Future

growth Acquire smaller un-acquired merchants

200,000+ Retailers as Agents

Interoperability for consumers and merchants

Case Study: India

Obopay Confidential 14

NEFT flow for Consumer

Obopay Confidential15

Sender

Obopay

system

Customer selects “Send Money to Bank Account”

option and chooses to send money to a new/

existing payee

Customer provides recipient name, amount, message and bank A/C details based on new/

existing payee.

Customer confirms the details and

provides his PIN to authenticate the

transaction

System validates the details and ensures whether sender has

sufficient money in his account

A confirmation message is sent to sender that the NEFT request was initiated

Recipient gets a SMS when he receives money into his account

Recipient gets direct credit to his account through NEFT and visits the

nearest branch to withdraw cash

Recipient gets direct credit to his account through NEFT and visits

the nearest ATM to withdraw cash

To Server: Transaction requestTo Client: Status reply from the payment service. This should include the Bank and Branch name corresponding to the submitted IFSC code. The bank and branch name should be stored as part of payee.

Money Client Money Client Money Client

Recipient

Bank AccountBank Account

Start

NEFT transaction

processed by Bank

Obopay System exchanges file with the Bank

On failure a message is sent

to sender

SuccessOn success

message is sent to sender

Sender

NPCI Consumer Flow

Obopay Confidential16

ECS Consumer Flow

Obopay Confidential17

ECS Failure Fee Account

Obopay

BSA

OPS+MAL

Obopay DB

Obopay OPS

Bank

ECS Parking Account Pooled Account

UserFIRE

application

Customer SVA

FIRE

application

Report

Consumer

Admin

Console

Existing ECS

Process

Load

Funds

1

2 3

4 ECS load requests5 ECS processing

ECS credits received

7File

uploadSuccess / Faile

d ECS

7.1

7.2

7.5

6.1 Successful ECS credit

(total amount)

(debit total successful

and failure ECS amount

from last mile credit to

customer SVA)

(credit total successful

ECS amount from last

mile credit to customer

SVA)

Successful individual

ECS credit / Failure

ECS Fee debit

Individual ECS debit

7.3

8

6

ECS Load

Funds Txn

Successful ECS Funds

load confirmation plus

history and balance

update

9

7.4

Succes

s EC

S

notific

atio

nFailure ECS Fee credit

ECS Refund Account

(credit total failure ECS

amount to be refunded

to destination account)

10

BSNL Solution (India)

18

Obopay Confidential 18

Market Market

opportunity 39 MM people, 21 MM subscribers by 2011,

80% + cash economy

Market

Needs Replacement for cash for person-to-person

and person-to-merchant transactions

Convenient solutions for Bill Pay, Top Up

Support for al phone types, agent distribution

and cash in/out

Mobile Money part of competitive dynamics

between Telecom Operators

Obopay

solution

Solution Agent management platform, stored value

account, money transfer, airtime top-up,

account management

Viral customer acquisition (invite), Cardless

ATM withdrawals, deposit at the POS

Dual language support

Mobilized bank accounts

Deployment Licensed platform with on-going revenue

share

Operator distribution (YU), Partnership with

Equity Bank

Opportunity Platform

Addition Agent management platform

Implementation experience in market with

low bank penetration

Future

Growth Extension to Uganda, Congo, East Africa

Inbound Remittance

Multi-Bank

Case Study: Kenya

Obopay Confidential 19

Case Study: Kenya

Obopay Confidential 20

Card less ATM Cash Withdrawal

Obopay Confidential21

Load Unload Funds & Cash In/Out using CBS

Obopay Confidential22

Bulk Payment Processing (Bulk Send)

Obopay Confidential 23

Bulk Payment Processing (Bulk Receive)

Obopay Confidential 24

Obopay Confidential 25

Helping Partners Drive Innovation

Helping a mobile carrier - YU

in Kenya to sign up consumers

through 2000+ Agents in Kenya

Case Study: Senegal

Obopay Confidential 26

Market Market

opportunity 13 MM people, 4% banked

One of West Africa’s most dynamic mobile market (

37% annual growth)

Market

Needs Solution for unbanked consumers

Merchant payments (utilities, mobile, informal )

Person to person transfers

Cash in/out solution

Obopay

solution

Solution Stored Value accounts, money transfer, bill pay

Agent network management

Pooled account by Bank branch

Deployment Managed Service

Distribution through Société Générale branches and

commercial partners network (CMS) and TIGO

(Mobile Network Operator)

Société Générale and partners marketing, sales

Opportunity Platform Additions Bank agent cash–in

Localized Platform (Multiple Languages, Multiple

Currencies)

Future

Growth Expansion to SSA, Eastern Europe

Advanced use cases for Eastern Europe

Common operations across country hubs

Europe to Africa and Eastern Europe Remittance

Enterprise and Small Merchants

Card less ATM Cash Withdrawal

Obopay Confidential 27

Obopay Confidential 28

Architecture

Obopay Confidential 29

Universal Access

Obopay Confidential 30

SMS &

Hosted IVR

Widgets

NFC Proto

Smart

Phones

SIM

Toolkit &

USSD

J2ME

GPRS

J2ME SMS

Bearer

Mobile

API

Agent Framework for Extending Reach

Registration

Know Your Customer

Cash – In

Cash-Out

Viral Cash-Out

ATM Card Distribution

Merchant Sign Up

Liquidity Management

Liquidity Management

Support for Multiple Distribution Networks

Features

Obopay Confidential 31

Regional DistributorMNO

Account model

Transacting

Account

(Send/Receive)

Direct Bank

Account

(e.g. Citi, Yes)

P2P Association

Account

(e.g. MCMS)

Prepaid

Account

(Card-ed/Virtual)

(e.g. eFunds)

Debit /ATM Networks

Linked

Account (s)

(Load/Unload)

Real-time

Instruments

Credit Card

Non real-time

Instruments

(e.g. ACH)

Device

Info

Personal

Info

Authentication Info

P2M Association

Account

(e.g. Card On File)

Program

Profile

Info

Obopay Confidential 32

Transaction Engine

Real-time

Debit /ATM Networks

Customization & integration model

Obopay Environment Partner Environment

SMS with Carrier or

Aggregator

SSO (IDP)

Payment APIs

Partner

MobilePartner

Web

Batch File Submit

Batch File Receive

Batch File Submit

Batch File Receive

API Connector's)

SSO (SP)

SMS Agg

Connector

Reports

Customize

Topup Agg

Connector

Merchant

Web

Consumer

Web

Consumer

& sMerchant

WAP

Consumer

SMS/IVR

Consumer

IVR

Consumer

& sMerchant

J2ME/SMS

Consumer

Agent &

sMerchant

Native GPRS

Settle & Reconcile Customize

Topup with Carrier or

Aggregator

Billpay Agg

ConnectorLocalization Customize

Agent

Web

1

2

4

5

6

7

8

9

Consumer

Prepaid Cards

Program

Configuration

Billpay with Biller or

Aggregator

3

Obopay Confidential 33

On Premise

IVR

ISO8583

Web

Services

Sockets

HTTP/S

Custom

Issuer

Integration Types & FI Partner Types

Stored Value

Processors

… PP Card

Processors

…

Association

Networks

…ATM/Debit

Networks

…

Direct Bank

…

Web Svcs

HTTP/S Sockets

ISO8583

Custom

Integration Types FI Partner Types

Obopay Confidential 34