Corporate Overview

Ringbacks & Karaoke Tones:Ringbacks & Karaoke Tones:

Beyond Ringtones, Beyond Ringtones,

The latest music & entertainment The latest music & entertainment

for cellular callersfor cellular callers

CANTO 2006, Punta Cana, Dom. Rep.CANTO 2006, Punta Cana, Dom. Rep.

21 June 200621 June 2006

Porfirio SuarezPorfirio Suarez

Director of Business Development, Director of Business Development,

Latin America & CaribbeanLatin America & Caribbean

• Why talk about Ringbacks & Karaoke Tones?• Trends in Mobile Data and Content revenues

• Ringback y Karaoke Tones Service Description

• Technical Implementation Methods

• Business Models to Consider

• InterOP Technologies Overview

• Why talk about Ringbacks & Karaoke Tones?• Trends in Mobile Data and Content revenues

• Ringback y Karaoke Tones Service Description

• Technical Implementation Methods

• Business Models to Consider

• InterOP Technologies Overview

AgendaAgenda

Trends in Mobile Data and Content Trends in Mobile Data and Content RevenuesRevenues

Trends in Mobile Data and Content Trends in Mobile Data and Content RevenuesRevenues

U.S. Mobile Subscriber Monthly Consumption of Content and Applications, July 2005

Activity Projected Percentage U.S. Change From

Monthly Mobile Previous

Reach (000s) Subscribers (%) Survey (%)

Sent or received text message 67,542 37.3 0.1

Retrieved news and information via browser 24,325 13.4 6.6

Used personal e-mail 20,359 11.3 2.6

Used photo messaging 18,752 10.4 10.5

Purchased ring tone 17,551 9.7 1.4

Used mobile instant messenger 17,375 9.6 0.1

Used work e-mail 10,461 5.8 8.5

Purchased wallpaper or screensaver 6,955 3.8 5.7

Downloaded mobile game 6,233 3.4 4.7

Source: M:Metrics Inc., 2005

Wireless Feature Interest

Wireless Feature/Service Households

Interested

(%)

Receive local weather and/or traffic alerts through text messaging 20

Download ringtones 18

Ringback service (a song clip plays for callers instead of a basic ring) 16

Use a wireless phone to make dinner or hotel reservations 16

Access the latest news, weather, sports, etc., from newspapers or other publications 13

Make small purchases, such as using vending machines or public transportation, by entering a code on a wireless phone

13

View regular television shows over a wireless phone 10

View short clips or highlights of TV shows, newly released movie previews, or sporting events on a wireless phone 7

View sports programs, such as ESPN, over a wireless phone 6

Source: TNS Telecoms, 2005

Ringtones Global Statistics The Ringtone market was worth just $3.2

billion in 2003. Lion’s share of personalization segment which

will be worth $6.5 billion in 2008 - or $9.3 billion if you include Ringback Tones as well. $2.8 billion in Ringbacks Revenue by 2008!

Market for mobile entertainment in general will be worth a whopping $27 billion in 2008.

Mobile Music Market For Cellular Subscribers:

Started with Ringtones Mobile Music downloads are taking off!

For Cellular Callers Ringbacks is the next step for expanding the

mobile music experience to cellular callers

• Replace the ringing sound traditionally

heard by the calling party.• Provide a highly personalized

service for each unique subscriber.• Subscribers can entertain callers

with popular, customizable

content while they await an answer.

• Replace the ringing sound traditionally

heard by the calling party.• Provide a highly personalized

service for each unique subscriber.• Subscribers can entertain callers

with popular, customizable

content while they await an answer.

Ringbacks are Network Based…Ringbacks are Network Based…

Retention tool:

You can’t take it

with you!

Retention tool:

You can’t take it

with you!

No handset roadblocks

to limit penetration

and complicate

roll-out.

No handset roadblocks

to limit penetration

and complicate

roll-out.

Works with entire

customer base.

Profitability is realized

with modest penetration.

Works with entire

customer base.

Profitability is realized

with modest penetration.

Ringbacks Represent Increased Ringbacks Represent Increased Carrier Revenue OpportunitiesCarrier Revenue OpportunitiesRingbacks Represent Increased Ringbacks Represent Increased Carrier Revenue OpportunitiesCarrier Revenue Opportunities

Carrier Branded Web Provisioning…Carrier Branded Web Provisioning…

Subscribers can easily access Ringbacks using a simple web interface, with access to Karaoke Tones, Music, True Tones, Sounds, Sports Anthems, and more.

Subscribers can easily access Ringbacks using a simple web interface, with access to Karaoke Tones, Music, True Tones, Sounds, Sports Anthems, and more.

Multiple Subscriber User Interfaces Multiple Subscriber User Interfaces

Universal Access to Your Account… Universal Access to Your Account…

• Web-based User Interface• SMS• WAP• IVR • Carrier Customizable…

• Branding• Content Categories/Genre• Content Selection

Superior Platform Architecture Superior Platform ArchitectureUnlimited Scalability Technology TrueScale™ Streaming Unlimited Scalability Technology TrueScale™ Streaming

Content Control Administration System (CCAS) Fresh content is regularly pushed out to carrier administrator for review and selection.

Enables and supports an UNLIMITED number of content downloads, both platform-wide, as well as at the subscriber level.

• Control the experience for each caller based on day of the week, or even time of day.

• Playlist and shuffle feature.• Track content purchasing trends by title and genre.• Optional ring overlay feature.• Optional caller greeting feature.• Notify subscribers of approaching content expiration dates

via email or SMS.

Additional InterOP RBT Functionality…Additional InterOP RBT Functionality…

Introducing…Introducing…Introducing…Introducing…

Carrier Branded User InterfaceCarrier Branded User Interface

Subscribers can easily access Karaoke TONES™ using a simple web interface Subscribers can easily access Karaoke

TONES™ using a simple web interface

Fun, Easy to Use, and IntuitiveFun, Easy to Use, and IntuitiveSubscribers sample Karaoke TONES™

with or without LyricsSubscribers sample Karaoke TONES™

with or without Lyrics

Easily mix and adjust vocal tracksEasily mix and adjust vocal tracks

Subscribers use their Wireless phone to record and save

Subscribers use their Wireless phone to record and save

Flexible TechnologyFlexible Technology

Utilizes TrueScale™ streaming technology• 500,000 selections per server• 6,000 simultaneous connections per server

IVR trunking flexibility• Use any standard E1/T1 technology

Leverages standard IP streaming protocols for maximum inter-vendor compatibility

Utilizes TrueScale™ streaming technology• 500,000 selections per server• 6,000 simultaneous connections per server

IVR trunking flexibility• Use any standard E1/T1 technology

Leverages standard IP streaming protocols for maximum inter-vendor compatibility

Karaoke content ranging from POP, Rap, Hip-Hop, Country to Seasonal hits.

Pull from vast library of existing Karaoke libraries.

Full lyric synchronization, music and vocal tracks.

New Karaoke content produced each month pulled from Billboard top 100 and UK charts.

Karaoke TONE™ Content CreationKaraoke TONE™ Content Creation

Ringback TonesRingback TonesImplementation MethodsImplementation Methods

Ringback TonesRingback TonesImplementation MethodsImplementation Methods

Ringback Tones Implementation

Three primary Implementation Methods

1.) Standard Telephony

2.) IN Triggers

3.) Switch Modification

Standard Telephony Utilizes tromboning mechanism

Requires RBT platform to remain in the call

Short term savings are quickly overwhelmed by resource inefficiency.

Several methods have been used Steering digits CSMSC modification

IN Triggers

Utilizes standard SCP based IN networking Resource efficient method of deployment RBT platform remains “out of the call” May require an expensive network wide

upgrade.

Switch Modification

Switch patch or feature which creates an internal IN trigger in the switch

Resource efficient as RBT platform remains “out of the call”

Full benefits of IN method, without the network wide upgrade.

Minimal Impact on CDR creation.

Gateway MSC

HLRServing

MSCRBT

Platform

IncomingCall

1

Business Models to ConsiderBusiness Models to ConsiderBusiness Models to ConsiderBusiness Models to Consider

Carrier Revenue ModelsPostpaid Subscribers Examples: Monthly Subscription Fee $0.99 - $2.99 Multiple Ringback Content Downloads $0.99 - $2.99

Prepaid Subscribers1) Apply same model as postpaid Monthly Subscription Fee $0.99 - $2.99 Multiple Ringback Content Downloads $0.99 - $2.99

2) Market as “pure content play” Single/integrated price for

% share of service subscription fee $1.99/30 days & default Ringback Content Download $2.99/60 days

Valid for (1, 2, 3) months of Ringback Service

Ringbacks Purchase Models Platform

Purchase Platform Carrier keeps majority or all of monthly fee

Revenue Share Agreement Platform provider keeps majority of monthly fee

Content Revenue Share with Content Provider

InterOP Technologies OverviewInterOP Technologies OverviewInterOP Technologies OverviewInterOP Technologies Overview

InterOP Technologies...InterOP Technologies...

• Established Market Leader in Hosted Messaging and

Data Services in North America.

• Over 100 Product Deployments with 35 Wireless

Carriers in North America in under 4 Years.

• Corporate Headquarters in Ft. Myers, Florida

• Established Market Leader in Hosted Messaging and

Data Services in North America.

• Over 100 Product Deployments with 35 Wireless

Carriers in North America in under 4 Years.

• Corporate Headquarters in Ft. Myers, Florida

A Long History of SuccessA Long History of Success• InterOP is the culmination of over 2 decades of

innovative success as an application development firm, and a wireless carrier.

• Chairman James A. Dwyer is founding member and former Chair of CTIA.

• Launched and operated the first commercial non-test Cellular network in the U.S. (Indianapolis-1984)

• Primary influence on Federal Communications Commission to reward multiple Cellular licenses per U.S. market in 1979.

• InterOP is the culmination of over 2 decades of innovative success as an application development firm, and a wireless carrier.

• Chairman James A. Dwyer is founding member and former Chair of CTIA.

• Launched and operated the first commercial non-test Cellular network in the U.S. (Indianapolis-1984)

• Primary influence on Federal Communications Commission to reward multiple Cellular licenses per U.S. market in 1979.

InterOP Technologies- SummaryComplete ownership and control of the technology

and systems, coupled with a carrier’s mindset makes InterOP a tremendous carrier resource.

Complete ownership and control of the technology and systems, coupled with a carrier’s mindset makes InterOP a tremendous carrier resource.

• Proven, long-term success in the wireless industry.

• Reliable, carrier-grade systems.• Innovative, revenue-focused application

design• Rapid development cycle

• Proven, long-term success in the wireless industry.

• Reliable, carrier-grade systems.• Innovative, revenue-focused application

design• Rapid development cycle

Thank You!Thank You!

Porfirio SuarezPorfirio Suarez

GSM +1 305 496 7781GSM +1 305 496 7781

psuarez@interoptechnologies.compsuarez@interoptechnologies.com

www.interoptechnologies.comwww.interoptechnologies.com