Azuki Systems Overview

1Azuki Systems, Inc. Proprietary & Confidential

ClickZoomTM & In-Video Mobile Advertising

November 2008


Azuki Systems – Company Profile

Azuki Systems is a technology innovator for delivering personalized and interactive mobile media services to consumers, on an Internet scale

Founded in January 2007 by a team of digital media, Web content delivery and mobile veterans and led by top serial entrepreneurs on East Coast

Headquarters in the Boston area and $6.6 million in venture funding from Sigma Partners and Kepha Partners

Mission: Drive mainstream adoption of Interactive Mobile Media Services by streamlining navigation

with snackable forms of media, ensuring content relevancy through contextualization and fostering viral socialization of content and services

Problems to Solve: Automatic creation of consumable content Streamline desktop-mobile content exchange Make backend services accessible from both browser and device applications Extend desktop social networking to mobile, instead of mobile only communities Flexible service monetization options


An Experienced Team with a Successful Track Record

Solid history of solving big industry challenges and deploying solutions on an Internet scale Cheng Wu - Co-Founder & Chairman

– Founded and led Acopia Networks ($210M acquisition by F5 Networks), ArrowPoint ($5.7B acquisition by Cisco) and Arris Networks ($217M acquisition by Cascade/Lucent)

Jim Ricotta – CEO & President– CEO at DataPower ($100M acquisition by IBM), Founder and CEO at SightPath

($800M acquisition by Cisco) and exec at Avid Technology

Balance of team with deep experience across mobile applications, Web content delivery, SaaS and digital media

– Raj Nair – Co-Founder & CTO

– Eric Lin – Co-Founder & VP, Engineering

– John Tremblay – Co-Founder & VP, Marketing

– Andy Roberts – VP, Advanced Technology

– Dan Carney – VP, Operations

– Mark Basler – VP, Business Development

(Video Spotlight) Azuki Systems unveils its latest technology

Click to Play


Mobile Content Revolution Underway

Mobile audience approaching 3.3 Billion consumers Advanced high res screens, processors, device storage New business models and monetization of viewership

Global Mobile Entertainment Market surge Service revenues growing from $20B (2007) to $64B (2012)

Availability of 3G, Wi-Fi and HSPA networks Support rich media and streaming services

Networks and devices becoming more open Off-deck browsing, handset platforms

Entire digital media value chain in pursuit of mobile Content providers, advertisers, Web brands, handset OEMs Universal push of “direct to consumer” strategies

Shift in focus from communications to content orientation

1 Juniper Research, January 20082 eMarketer, March 20083 Strategy Analytics, April 2008

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Mobile Entertainment Revenues

Mobile Advertising Revenues

Mobile Content Consumers

2007 2012

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Mobile Web: From Chasm to Mainstream

1st Generation 2nd Generation

Shift away from carrier on-deck dominance

Manual desktop to mobile content migration

Duplication of desktop content functions from CMS, advertising, social networking

HTML/WAP focused w/rich media after-thought

User experience deficiencies

Handset/OS diversity

Closed, proprietary mobile content platforms

Mobile content derived directly from its desktop sources (open ingestion model)

2-way mobile-desktop exchange for social networking, mashups, search engines

Consumable forms of rich media, content filtering and personalization

Device/OS fragmentation minimized with browser based media delivery

Roll-out services more quickly from the cloud

Basic Mobile

Websites

Interactive Mobile Media RSS

$$


Mobilizing Desktop Content

Challenge Solution

Desktop content too overwhelming for mobile viewing

Automatic process of information reduction to maintain user attention—Runtime personalization of content

Desktop interface is designed for browsing

Mobile requires interface designed for glancing—Based upon snackable media

Extend desktop social networking to mobile with 2-way socialization—Viral user interactivity and sharing

Avoid building separate desktop and mobile communities


Azuki Solution:First to Deliver an Interactive Mobile Media Platform

Smart Phones & Feature Phones

Ad Networks

Pre/Mid/PostRoll Video

Banner

ContentManagement

System

RSS

Content Publisher

User Context & Content Personalization Clues

Social Interactivity

Mobile DesktopSocialNetworks

SMS @

Azuki

MashMedia

Platform

White Labeled Hosted Service

(SaaS)

MarketingAnalytics

Sub DB

Pre-Roll Ad

Real Time Media Mashup of Content, Ads & UGC

Media 1 Media 2 Mid-Roll Ad Media 3 Media 4

Banner Ads

User GenComments& Ratings



2 / 3G& Wi-Fi

ViralSocializationof Content

Open IngestionModel (Media,

Metadata, Feeds)

Contextual Ad Delivery

Browser Delivered Services


Azuki MashMedia Platform (Snackable User Interface)

Creation of a ‘Snackable Media’ consumption paradigm purposed for mobile

Method for information reduction, aligning shorter form content and quickly getting consumer to desired content

Extend interactivity within limitations of existing feature phones and smart phones

Decomposition of Web, UGC or premium content into smaller, more consumable objects

Media Markers Method for referencing specific portions of snackable

media (commenting, rating, sharing, personalization) Framework for publisher or user created media mashups

ClickZoomTM user interface for novel media navigation, consumption and interactivity

Tiled representation of snackable media with zoom (in/out/left/right) controls

Native browser and media player delivered services Creation of a wealth of new inventory for ads

ClickZoomTM

Interface


Limitations holding rich media advertising back today

Manual process of targeting and stitching pre-rolls

Mobile mid-rolls impractical – unable to replicate desktop model for premium/longer form content

Limited pool of mobile ads & ad slots (1 ad/media)

In-video mobile advertising enabled by ClickZoomTM and snackable media

Chapterization and zoom navigation of content creates a wealth of ad inventory slots

Pre/post roll for each snackable clip (contextual)

Sequencing of campaigns around ClickZoom Interactive ads with user commenting, rating

and sharing for additional viral distribution Able to leverage mobile and desktop ad pools

Azuki MashMedia Platform(In-Video Mobile Advertising)

Zoom into ad tile for

campaigns

Actionable WAP site or

video ad

Pre/post rolls with snackable

clips

Chapterizationof video

User comments, rating &

sharing of ad


Azuki MashMedia Platform (Socialization Engine)

Layer socialization around media for viral user interactivity and sharing (desktop-mobile)

Media Wall Threaded user-generated comments and ratings

around context of media Building community around content

BuddyBlastTM Fluid sharing of a particular rich media experience

w/friends (video, comment, playlist) Enables sharing of a particular view or context (eg.

just last 30 sec of a 2 minute sports video clip) Share via SMS, social networks and desktop

Social networking ‘connectors’ Leverage 2-way exchange between mobile and

desktop social networking APIs (Facebook, OpenSocial) Posting to user’s news feed; importing of user profiles

and friends lists; posting from Web to mobile

Mobile

Web(Desktop)

SocialNetworks

SMSMMS

@


Azuki MashMedia Platform(Personalization Engine)

Real time intersection of contextual user intelligence with ingested content to enable consumer relevancy

Device sensors (location, time, network)

User preferences, tastes and viewing habits

Demographic targeting data

Organization of content catalog Personalization engine performs

group and user analysis involving rules and ranking

Creation of ‘Personalized Media Channel’ Content personalized to user tastes and

real-time context to ensure relevant user experiences

ExplicitUser

Actions

ImplicitUser

Actions

Real-TimeUser Context

User Profile /Registration

Content Search Queries

Social Networking(Friend’s Tastes)

RecommendationEngines

Profiling “Like Users”

ViewingHistory

Rating of Content

Device Capabilities

Location & Presence

Time of Day

Network

Context Clues


Interactive Mobile Media Platforms - Defined

Web & mobile 2-way content exchange to drive scale and operational efficiencies

Automated ingestion and published feeds Connector based architecture (CMS, ad

networks, social networks, sub DB) Creation of ‘snackable’ consumption

paradigm purposed for mobile Dynamic and user creation of services via

media mashup based upon SaaS and without required app download

Content personalization from real time intersection of content and contextual user intelligence

Layer socialization around mobile media for viral user interactivity and sharing

Adaptation of Web, premium and user-gen content with reach to the broadest mobile audiences

Ingestion

•Media•Ads

Media Mashup

Snackable U/I

Personalization

Socialization

Content Adaptation& Delivery

MobileFeeds

DesktopService

IntegrationOperations &Management

Interactive Mobile Media Platforms

Interactive Mobile Media Services


Scorecard – Delivery of Interactive Mobile Media Services

Snackable Media

Mobile ContentPersonalization

Mobile Content Collaboration

Mixed Media Mashup

Ad Serving (Pre, Post, In-Video)

Desktop-Mobile Content Operations

HTML/WAP Content Adaptation

Video Transcoding & Streaming

Video Portals

Real-TimeMedia MashupVideo, Audio, Photo, Feeds, HTML, Ads

Limited to Web=>MobileWebpageTransformation

Bulk VideoTransformationTechnology Only

Separate Mobile & WebInfrastructure

Technology for Rendering Ads Only

Bias with Own Ad Sales, No In-Video Ads

Ad Partners, Complete In-Video Ad Solution

None Limited to User Bookmarks

Limited

Limited to sharing of links

NoneLimited to sharing of video links via SMS

UGC & Sharing of Media Context (SMS/Facebook)

Filtered Content Aligned to User Context & Tastes

2-Way Exchange of Backend Ingestion/Feeds

1st Generation 2nd Generation

Snackable U/I Purposed for Mobile

No Special Treatment of Rich Media

Lack Navigation within Media

Lack Navigation within Media

Bias with Own Ad Sales, Banner Centric


Different Approaches to Building Audiences and New Levels of Consumer Engagement for Mobile Content

Level of Interactivity

Level ofPersonalization

On-Device Portals

Mobile TV /BroadcastPlatforms

WAP Portals / Storefronts

Web Content AdaptationPlatforms

Mobile Search & Location Platforms

Mobile Social Networking

Solutions

High

HighLow

Low


• Content Relevancy to User Tastes/Context–Along With Targeted Advertising

• Viral Socialization of Short/Long-Tail Content• “Snackable” Media Purposed for Mobile


Mobile Ease of Use - streamline navigation and purposed snackable forms of media for mobile

Personalized User Experience – ensure content & ad relevancy aligned to user tastes and context

User Interactivity Around Media - promote socialization around media to drive viral service expansion

Rapid Service Creation Across Web & Mobile – ease time to market/cost, real-time service refinements and desktop-mobile content exchange

Broad Reach to Audiences – immediate reach to any mobile endpoint via native browser and media player

Service Monetization – enable a wealth of monetization options (build ad inventory, in-video ads, subscription via D2C or in concert with MNOs)

Summary: Core Azuki Guiding Principles

Consumer

Content Publishers & Mobile Operators


Contact Info:

John TremblayCo-Founder & Vice President, Marketing

Azuki Systems, Inc.43 Nagog ParkActon, MA 01720+1 (978) [email protected]


Interactive Mobile Media Services –Real Time Intersection of User Context & Content

TV

Web

Mobile

User GenContent

PremiumSubscription

ContentWeb

Content

RSS

Video PhotoMusic News/Feeds

User Context Digitized Content

• Location, Network, Device• Context Clues

— User Demographic, Tastes & Personality

— Social Graph

• Backend Content Access• Metadata• Content Catalog Dictionary• Ad Targeting Rules

Ads

$$

SocialPersonality

GenderAge

NASCAR Politics Football

Drama Soccer Poker

Cooking Red Sox

Comedy Motorcycles

Income


Packaging - Azuki MashMedia Platform

Web DrivenSolutions

Web API (SOA Oriented)

BasePlatform

Media MashupEngine

MediaTranscoder

MediaCache &StreamServer

MediaObject

DB

UsageAnalytics

Capture &Reporting

SubscriberDB

Interface

Operations &Management

Interface

ContentManagement

SystemIngestion

ClickZoomTM

Module•Snackable Media Framework•Media Slicing•Media Tiling

SocializationModule

•Commenting•Rating•Media Wall•BuddyBlastTM

Ad ServingModule

Ad Network & Trafficing ServerAd Trafficing Ser

Connectors & Metrics

Social Networking

ModuleFacebook / MySpace

Connectors & Widgets

ServiceModules

Interactive Media Portal(Brandable Ref Service)

ClickZoomTM

NavigationTemplate

Facebook /DesktopWidget

Subsystem or External Connectors

PersonalizationModule

•Metadata Dictionary•Contextual Media•Personalized Channels
