GLOBAL IP-MEDIA TELECOM NETWORK WITH CDN. Global Network Infrastructure:

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1 GLOBAL IP-MEDIA TELECOM NETWORK WITH CDN Global Network Infrastructure:

2 DIGITAL PASSION LTD 1 About the Company : Company A incorporated in UK associate company of a R & Dleader is in the process of creating unique media delivery mechanism to empower & revolutionize the American, European and other media market, where there is no scope for new entrants. This service to practically create the Worlds Largest Virtual Telecom Network The company Leapfrog competition by bringing a totally captivating, a consumer friendly environment of entertainment, information and transactions to living rooms and public places, without need of any license and last mile tie-up. It would be available easily through public internet. Company A to bring cutting edge IPTV technology that enables superior interactive user experience while creating maximum profit potential for content providers. Bring Live & On-Demand Entertainment, News, Information, Learning, Shopping and Worldwide Web Experience on TVs with a Simple Set-top Box. For home users or businesses, provide an exciting, enriching, captivating and useful experience of live and on-demand home entertainment, news, information, international telecasts, shopping, messaging, sharing, banking, trading, video-conferencing and utility automation through a simple TV set-top box. Combine the best digital media-information working together with established players thriving to ride on the wave of creating their own secure space. Joining hands with one of the only two satellite companies, now looking for a rescue and battling for their existence on account of loosing their precious exclusivities to IPTV platforms. Creating alliances with broadcasting companies, Google, Yahoo, Apple, e-bay, Amazon and many more applications where only a robust platform with captive audience will lead. In time to come application technologies will get obsolete but ideas will be more innovative. Struggle to survive will be stiff and vehicle to distribute would become Gate Way to Home. THE TIME WINDOW IS SMALL BUT COMPANY A IS FULLY EQUIPPED WITH MULTILEVEL SCALABLE TECHNOLOGY PLATFORM. ITS PATENTED IPTV TECHNOLOGY IS SINGLE WINDOW, END TO END,

3 ROBUST & ACCOUNTABLE. TIME TO SCALE UP IS QUICK. IT CAN STAND UP TO THE AMBITION OF BEING A LARGE GLOBAL MEDIA TELCO. 2 Business Objectives: A Private Limited company incorporated for Global Market having ownership of Global Multimedia Infrastructure for distribution of all types of content in the world wide market 100% indemnification from Content Aggregator company B against any unlawful content Company A to having a Dish farm and complete IP Media NOC in Taiwan for efficient multimedia processing, management and distribution The Global Multimedia Infrastructure to be located at Chungwa Telecom, Taiwan which will be facilitated by Phyllis Co. Ltd., Taiwan Tri-party agreement to be executed between Company A, Phyllis and Chunghwa Telecom where Company A has the complete domain knowledge to operate IPTV and Multimedia Services Chungwa Telecom a leading Global Telecom Provider from Taiwan is a 15 billion dollar group having Infrastructure facilities worldwide Phyllis Co. Ltd a 40 year old reputed company representing Chunghwa Telecom and endorsing the common agreement of the Tri-party will be providing local offices, Infrastructure, Manpower and other resources at a cost per month in addition to the charges to be paid to Chunghwa Telecom for hosting the system etc. DPL also would be providing the equipment and systems whereas the equipment and systems would be housed in the Data Center of Chunghwa Telecom Initially in the first phase the Company to procure Infrastructure for 1000 Live / Archive TV Channels along with Movies, Movie Premiers, Sports and other versatile content to be distributed up to 500 million subscribers Cost of Infrastructure comparison divided over per subscriber & total Infrastructure cost NUMBER OF AOOROX. INFRA-STRUCTURE THE TOTAL INFRAS-STRUCTURE SUBSCRIBERS COST PER SUBSCRIBER IN EUROS INVESTMENT REQUIRED IN BILLION EUROS 100 MILLION MILLION

4 500 MILLION TOTAL INFRA STRUCTURE COST BILLION EUROS TIME REQURIED TO IMPLEMENT 18 MONTHS, TRIALS 6 MONTHS, TOTAL TIME REQUIRE 24 MONTHS TO START OPERATIONS Advantages of DIGITAL PASSIONS LIMITED over Competitors Sr. No DPL Competitors 1 Single Window End-to-End Solution provider Various vendors provide various components leading to requirement of an external Integrator adding cost of implementation 2 100% Accountable Accountability distributed with various vendors hence difficult to co-ordinate for support 3 Capable of Streaming content over extremely low bandwidth networks starting from 42 Kbps 4 Device Agnostic supporting multiple formats and platforms 5 Cost of implementation low Cost of implementation very high 6 Extremely robust offering virus proof, hack-proof environment 7 Highly scalable 8 Works seamlessly even on Public Internet 9 Intelligent Network Adaptive Streaming ensuring delivery of content over dynamic bandwidth networks 10 Capability to incorporate host of Value Added Services

5 11 Security at par with banking standards 12 Extensive Data mining enabling service provider to access complete subscriber usage reports INTERTIOL CONSORTIUM : FOR 500 MILLIONS SUBSCRIBERS INFRA TIME 24 MONTHS, INVESTMENT BILLION EUROS. DIGITAL PASSIONS LTD. : : FOR 500 MILLIONS SUBSCRIBERS INFRA TIME 6 MONTHS, INVESTMENT ONLY 5.00 BILLION EUROS. 4 Target Subscribers: The target subscribers would come from various platforms viz. IP Box Smart TV PC Browser Smart Phones and Tablets operating on Android and ios 5 Targeted Distribution Segments: The Global Multimedia Infrastructure would cater to following segments: Direct to Consumer Services Media Groups Telecom Groups / MVNOs Investor Groups All the above segments will have to tie-up with DPL in order to provide seamless IPTV services to their Target Subscribers. The Global Multimedia Delivery Platform of Company A will enable these

6 segment operators to create a niche service, satisfy subscriber demands and generate new revenue streams 5.1 Direct to Consumer Services: A comprehensive Global IPTV service would be deployed delivering various Multimedia contents like TV Channels, Movies and other Infotainment Major attractions would be First Day First Show Movie Content to be acquired by Company B Maximize subscriber reach with various Marketing & Sales mechanisms would be implemented Services would be offered free of cost and the revenues would be generated from Advertisements Higher subscriber numbers would ensure additional revenues out of Value added services 5.2 Media Groups: Objectives: Media Groups are keen to have a Global reach for their Live or Archived content Prime objective of a Channel is to create its Brand Equity Endorsement for brand equity would require reliable and detailed data of true viewer ship patterns Conventional Cable TV and Satellite platforms impose extensive legal formalities and logistic complexities putting constraints for Global reach About 20 million USD would be required to distribute a channel globally which would not include cost of up-linking to various locations, creating awareness, sales and marketing Tie-up with regional operators would consume lot of cost and also time Current Scenario: Most of the TV channels are meant to be driven by Advertising revenues

7 Only top brass are able to achieve Ad revenue targets Commercial viability of Ad-revenue based business model is not feasible on account of lack of authentic statistical audience data Most channels, though funded by investors cant get viewer ship numbers from their management team Even in cases where the channel is available as part of a bouquet the actual viewer ship details are unavailable Advantage with Company A ( Associate Co of GMPL ) : Company A would offer a single window solution for end-to-end deployment of IPTV service The Infrastructure would be offered as a single package deal Highest grade of technologies available to monetize on Rich Ad revenues from Global Ad reservoirs The Media Group can easily afford 5-10% of the 20 million USD p.a. for distribution to enhance its reach and get vouch able, reliable and usable data. 5.3 Telecom Groups / MVNOs: The Telecom Groups can be broadly classified into two categories viz. DSL Service Providers BWA (Broadband Wireless Access) Service providers viz. 3G/4G/LTE DSL Service Providers: The DSL Service Providers operate low bandwidth networks basically for Internet surfing Changing existing networks for enabling IPTV services would be very difficult proposition for these operators The Low bandwidth Streaming solution of Company A would enable these Telecom operators to offer IPTV services over their existing networks thereby generating additional revenues BWA Service Providers: The BWA Service Providers operate very sensitive and dynamic networks wherein huge expenses have been incurred on raising the infrastructure

8 The Intelligent Network Adaptive Streaming from Company A would enable these Service Providers to efficiently deliver IPTV services to their subscribers 6 Business Cases Case 1: Europe & USA In US and UK the market has been catered in a big way by MVNOs representing Telcos The MVNOs mainly entered the market promoting low cost IP telephony along with distribution of basic services Over the period they also started distribution of 3G services With changing times the market has saturated leading to significant drop in voice revenues The 3G distribution has been very expensive (data prices ranging average 10 dollars for gigabyte) hence hardly any takers. The consumers are barely using the services for 6 months to one year With such scenario and growing inflation retaining existing subscriber base has become a huge cost and giving up the business is not a logical solution A competitive Data package with Free Media Streaming would easily enable these MVNOs to retain as well as grow their subscriber base High volume business would generate sizable revenue to be split 1/3 : 1/3 : 1/3 among Telco, MVNO and Company A respectively Case 2: Countries like Indonesia, Iran Indonesia: Population of Indonesia is 23 crores (4 th in world) The country is largely divided into 17 thousand islands Major Telecom networks are wireless rather than wired The data packages available at 384 kbps or 512 kbps restrict Telecom providers to offer quality IPTV services

9 Iran: Company A solution would be ideal for such Telecom providers operating on such low capacities but desiring to serve large subscriber base Country like Iran has subscribers with good spending capacities The country has strong Media restrictions A data plan of 512 kbps costs about 180 USD per month The subscribers hence won t mind to spare about USD for quality IPTV services Company A solution hence would be ideal for managing and providing quality IPTV services on existing networks in Iran Case 3: India Scenario in India: It has been the fastest growing industry in India. The telecom players have put huge investments for Licenses and now they are investing huge sums in network infrastructure to spread out their services. 3G, 3G+ is making its entry in big way. For 3G & 3G+, INR crores have been paid to the Government of India, as the licensing cost. There is a huge cost being put up for raising the infrastructure. There is also an extra recurring cost put in the man power getting recruited for this business. The 3G Funding is done by Banks and Financial Institutions (except BSNL and MTNL they ve cash reserves) for Short Term and Long Term durations where interest rates are ranging between 6% and 10% per annum. Commercial Realities: The bandwidth on the spectrum is not high There is no successful 3G application so far. The current business driver so called is only more data Prepare for a slow start; however hefty license fees are already paid Videos and music can fuel 3G usage; video is must

10 The charges for data or based on per minute affordable to only few people. You-tube one of the favorites but can choke the network with even very few subscribers in the cell. If the prices are lowered down, it s un-affordable to service providers as more people will come on the network, it will get choked. All existing technologies fail to provide more subscribers on line, at affordable prices and than make the economics viable. No body on an average prefers watching video for more than 5-7 minutes on average cell phone screens. Bigger the screen like on tablets can cater more hours of viewing, however good quality video required will consume lot of bandwidth making the commercial & technical model un-viable due to limitations of bandwidth on 3G spectrum. Advantage of Company DPL: Access to key VoD content, Bollywood content in terms of Music / Music Video Launch, star chats, promos, You-Tube and many top video sites all converted to pass through Company A infrastructure to cater at high quality and low data rates. The Value added services can be catered based on Interactivity, Location information and Subscriber profile Personalized Greetings, targeted / Mass. Must watch advertisements Video-On-Demand and Channel Archival to be viewed at comfort while on the Move Ideal to cater products, services, information meant for Upper class Captive audience such as: o Mutual Fund, Investments, insurance, real Estate products in Audio-Video format Participation in online Training / Seminar / Conference Online shopping of premium / niche products. Case 4: Saudi Arabia Saudi Telecom though being cash rich is incapable to support IPTV services to large number of subscribers on account of low bandwidth networks

11 A huge demand for IPTV services exist as high number of subscribers are capable to pay premium for such services Tie-up with Company A will enable Saudi Telecom to reach the IPTV services to maximum number of subscribers generating huge revenues 7 Investor Groups: Investor group desirous to venture into Media or Telecom business in their territory can utilize Company A Infrastructure The infrastructure would enable the group to deploy Global Media services in quick time Company A with its domain expertise can assist the Investor group with entire know how for operating and managing the services Company B Content Aggregator The Company would be dedicated for Aggregation of various types of Content viz. o Live / Archived TV Channels: Various Diasporas o Movies: English, Hindi, Other Indian languages and Other International languages o Sports Content: Live / Archived o Other Infotainment Content In 90% Cases the Content Owners will pay for the Distribution cost and Up-Linking charges In 10% cases all the charges will be borne by Company A whereby the Advertising revenue would be shared on 50:50 basis with the Content Provider MAIN HIGHLIGHTS OF THE INFRA STRUCTURE : INTERTIOL CONSORTIUM : FOR 500 MILLIONS SUBSCRIBERS INFRA TIME 24 MONTHS, INVESTMENT BILLION EUROS. DIGITAL PASSIONS LTD. : : FOR 500 MILLIONS SUBSCRIBERS INFRA TIME 6 MONTHS, INVESTMENT ONLY 5.00 BILLION EUROS.

12 DIGITAL PASSIONS LTD CAN PROVIDE THE GLOBAL SERVICE FREE OF COST & RATHER EARN OVER PER SUBCRIBER BASIS.

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