mobile tv breaks free! introduction confidential and proprietary
TRANSCRIPT
Mobile TV Breaks Free!
Introduction
Confidential and Proprietary
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Management TeamExperienced Mobile TV Experts
Founder & CEO
• 12 year veteran of the mobile industry spanning carrier, infrastructure, and mobile TV applications companies.• Former Vice President of Sales-North America IKIVO (Mobile TV company) • Sold and built first 2G GSM (T-Mobile), and first 3G UMTS/HSDPA (AT&T) wireless network during tenure at Nortel and Nokia-Siemens Networks.• Relationships with Handset OEM’s, Carriers, and Consumer Electronic Companies.
Founder, VP of Business Development
• Former VP of Sales at Bluestreak Technology (Mobile TV Provider)• Former Executive at TVGuide Mobile TV Division• 10 year veteran of wireless content and mobile TV technology• Past entrepreneurial start-up experience
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AirCast Mobile, Inc.Summary
Company Name: AirCast Mobile, Inc.
Offices: Chicago, IL & New York, NY Founded: 2008
Market Opportunity: $9 Billion U.S. Wireless Smart Phone Market
Intellectual Property: Patent-Pending Device for Mobile Phones to Receive Mobile TV signals.
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2 Years after launch the main mobile TV companies have yet to be fully embraced by
consumers. Why?
High Monthly Subscription Fees (For Acceptable ROI)
Limited Handset Choices (Due to Embedded Solutions)
Limited “Choice” in Content (TV only)
Service Quality (Current Wireless Networks Not Built to Sustain (Prolonged Video Streaming)
Problems with Current Mobile TV Model
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The Mobile DTV Market(ATSC-MH)
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Traditional TV Broadcasting HD Digital Broadcasts
High-Definition Digital Signal (720p)
Utilizes existing TV towers and infrastructure for deployment
TV signals covers 99% of the U.S. geography (and part of Canada/Mexico)
Broadcast TV has existing in the U.S. for the last 81 years (July 2nd, 1928)
On July 12, 2009 the U.S. transitioned from Analog to HD Digital Television
By Law, TV Stations must deploy a free TV signal
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Digital TV Goes MobileMobile DTV (ATSC-MH)
This New FREE Mobile TV Signal is called
Mobile DTVH.264 Video & AAC HE V2 Audio
Realizing the Potential Advertising Revenue Safety Uses Overall
Profitability
880 Regional and National TV Stations decided to allocate a portion of the existing HD broadcast spectrum
to mobile devices, and create a new Mobile TV market.
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Television Station GroupsWho Owns the 880 Local Stations
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Mobile DTV FootprintWhere the 880 Stations Located
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Where Mobile DTV is Today33% of U.S. Population Covered!
Currently, 65 station groups are deploying Mobile DTV covering approximately 33% of the U.S. population with more to come!
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“Almost 90% of mobile subscribers expressed interest in viewing live, local news programming on the go.”
88% Breaking News Coverage 76% Emergency Reports 75% Weather Information 65% Entertainment Content 44% Live Sporting Events
Interest In Mobile DTVMagid Media Labs Survey Dec.2009
http://www.fiercemobilecontent.com/story/survey-reveals-surprising-interest-local-mobile-tv/2009-12-09?utm_medium=nl&utm_source=internal
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About
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Business StructureTwo Groups with a Common Goal
Business to BusinessHandset OEM Focus
White Label Mobile TV Applications for Android
Content Partners
EPG Patent Fees
AirCast Patent Fees
“You Pay Us, We Pay Everyone Else”
Business to ConsumerDirect to Consumer Focus
iPhone/iPod/iPad/Blackberry
Mobile TV Application with
Integrated Content Partners
App Store, Retail and Online Distribution Channel
Innovative Roadmap for Applications
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AirCast MobileMission Statement
“AirCast Mobile designs, develops and sells innovative hardware and software solutions to enable wireless subscribers to receive and watch live, local broadcast television on their mobile devices for FREE.”
iPhone/iPod/iPad Windows Mobile AndroidBlackberry
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‘AirCase” Hardware Solution
“Patent-Pending” Hardware Receiver Supports ALL Smart Phone Connections
Houses Battery, and Chipsets Receives the Over-the-Air Signal
Innovative Software ApplicationAttractive, user-friendly mobile client used
to view TV broadcast & Program Guide DataDecodes and Displays Mobile TV Stream
SVG-based (XML) Application Framework Supports H.264 video and AAC Audio
Devices TargetediPhone, iPad, iPod Touch, Blackberry, and Windows
Mobile devices
(Actual Client)
A case & backup battery that provides content
Our Software Solutions
• Proprietary Applications Sold Direct to Consumer– Apple (iPod, iPhone, iPad), Blackberry– Sold via Application Stores– Mobile TV-Only, Mobile TV+Sports, Mobile TV+DVR– Integrated with Content Partners
• White-Label Applications Sold to OEM’s– Android, Windows Mobile– Licensed to major CE and Handset OEM’s– Mobile TV-Only, Mobile TV+VOD, Mobile TV+DVR– Bundled with Mobile DTV Accessory Patent (AirCast) – Bundled with EPG Patent Fee
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In 2009 Consumers spent $55 Billion on Mobile Accessories
$40 billion (73%) was spent on after-market accessories
Mobile Accessory Data From ABI Research Report
35% ($26.6B) is sold via Carriers Stores
33% ($26.6B) is sold via Big Box Store
30% $26.6B) is sold via 3rd Online Resellers
Top 3 Accessories Purchased
Case, Battery, Charger
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iPhoneAndroid
Windows MobileBlackberry
Smartphone Sales Grew by 50% from Feb to Oct
2009*
iPhone & Blackberry leading the market
Addressable Market90 Million Existing Smart Phone Users
*According to ComScore December 2009 Report
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More Than Just Free TVMore Content = More Value
Product Roadmap
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TV-Only Receiver “Dongles” and “Cases” for iPhone, iPod Touch, iPad, Windows Mobile, RIM, and Android Devices.
TV-Only Product (Version 1.0)Mobile DTV-Only Product ($99 MSRP)
Actual iPhone Application
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Interactive Product (Version 1.5)Mobile DTV + Services ($99 MSRP)
Real Time Voting (Non-SMS for American Idol)
Breaking News, Weather, Stock Tickers
Data Collection Advertising Revenue
Free TV + Premium Content Streamed Over 3G/wifi
Video-on-Demand integration with Content Partners
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Watch your Favorite Teams Live with additional info streamed to your phone
Interactive Sports ExampleLive Sports with value-added stats
Sports related information can be displayed and streamed via 3G while the user watches the live sporting event in
real-time via Mobile DTV.
Get player stats, team standings, breaking news, or follow another game
play by play all while watching a live game!
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DVR Product (Version 2.0) Industry’s First for Smart Phones! ($99 MSRP)
New Hardware: Innovative hardware configuration that utilizes a memory card to directly record your favorite programs to the accessory.
New Software: Simple user interface to designate shows as “Favorites”, and to set up view future recordings.
1 GB card = 2 hours of Recordings
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Pico Projector Integrated
Can be used with Mobile TV, VOD, SD Card
Movies, iPhone Video
ProjectorPico Projector ProductBusiness Users ($299 MSRP)
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Distribution Channels
Handset OEM (B2B)
“Entertainment” Packaged Bundles
for OEM’s
Big Box Retailer (B2C)
Best Buy
CostCo
Walmart
Application Stores (B2C)
iTunes
Windows Marketplace
Android Market
Direct to Consumer (B2C)
AirCast
Amazon
Others
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Financial Projections Pro-Forma (B2B + B2C)
51.9%
53.8%
57.7%
61.5%
$(1,000,000)
$9,000,000
$19,000,000
$29,000,000
$39,000,000
$49,000,000
$59,000,000
$69,000,000
$79,000,000
$89,000,000
Year 1 Year 2 Year 3 Year 4 Year 5 Year 6
Rev
enu
e &
Op
erat
ing
In
com
e
46.0%
48.0%
50.0%
52.0%
54.0%
56.0%
58.0%
60.0%
62.0%
64.0%
Gro
ss
Ma
rgin
Total Hardware Sales Operating Income/Net Profit Gross Margin
3% Smart Phone Market Penetration by Year 6
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Our Current Partners
AirCast Mobile enjoys the support of industry leading companies who share our commitment to the Mobile DTV market.
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Milestone Achievements
2009 – Fundraising/Prototype Creation
2010 – “TV-Only” iPhone Product Launch, Online Sales, $99 MSRP
2011 – “Interactive” Product, OEM/Carrier Agreement, $45 Wholesale
2012 – “DVR” Product, Big Box Retailer Launch $60 Wholesale
2012 – “Projector” Product, Direct to Consumer $299 MRSP
2013 – Achieve 1 Million Devices Shipped (In Aggregate)
2014 – Achieve 2 Million Devices Shipped (In Aggregate)
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Early Interest In AirCastOn-Going Customer Discussions
T-Mobile has expressed interest in our Solution• Ability to offer Mobile TV without ANY network infrastructure investment• Mobile TV is of “high” interest amongst younger demographics.• Can utilize newly launched 3G network to increase 3G ARPU
Sprint has expressed interest in our Solution• Sees benefit from a non-embedded solutions (ie accessories)• Can utilize 3G/4G network for interactivity features• Increased Retail ARPU (average revenue per user)
LG has expressed interest in our Solution• Committed to showcase our products in national TV commercials
Samsung is interest in partnering with AirCast• Interested in licensing our software for Accessories
Motorola has expressed interest in our Solution• Entertainment “bundles” to launch new Android Handsets (Cliq, etc)
Early Consumer Demand 1500 Pre-Orders taken without knowing price or availability for iPhone product via YouTube.
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AirCast Mobile is a finalist for the “Most Innovative and Upcoming Mobile Startup in 2009” Award by the CTIA & MobiTechFest
Industry Recognition
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Investment Request
In order to lead the marketplace by offering the first mobile accessory that provides TV content;
AirCast Mobile is seeking $2 million in startup funding.
These funds will use to launch our products, secure an exclusive distribution deal with a major handset
OEM or Carrier, and provide the financial backing to be successful in the mobile marketplace.
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To view a demo of our applications please visit:
http://www.youtube.com/watch?v=60Qj1dtPLdw
http://www.youtube.com/watch?v=ojwFX1V7NTc
http://www.youtube.com/watch?v=I9l7XkyahRk
Mobile TV Breaks FREE!
7308 Circle AveForest Park, IL 60130
(708-366-8609)