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7 Content diversity Open Platform 1. Platform Conversion 3D Smart TV 2. Content Service Broadband TV 3. UX & Input Device Digital TV 4. Ecosystem Analog TV Interactivity 7/27

8 Smart TV will drive the market like smart phones and tablet PCs. ipod (2002) Blackberry (2002) iphone (2007) Android (2009) ipad (2010) 8/27

9 PC Market Place App Store Smart media Smart Share (DLNA + Media Link) UX Billing Search / Recommendation Application Framework Ads / Purchasing SNS Services Membership Game Console Linux Security App Developer 9/27

10 Market Impact New Player Traditional Player Boundary of mobile phone/tablet PC/smart TV is merging H/W SoC S/W Platform Broadcasting - TV-centric SoC - CE device Smart TV - Major broadcasting - MVPD* (Cable, Satellite, IPTV, etc) - PC/Mobile-centric SoC -Google: Google TV -Apple: Apple TV -Microsoft: MediaRoom -OTT ** (Netflix, Hulu, Maxdome, Orange VoD, more) - Competition caused by market entrance of traditionally strong IT players - Competition between TV vs. IT platforms -New players entering into TV market with mobile experiences - Linear broadcasting changes to competition with OTT - Hybrid service from broadcasters (HbbTV, OHTV) 10/27 * Multichannel Video Programming Distributor ** Over The Top

11 Platform Performance Requirement Web is an open platform, and getting lots of attention as the next PC/Smart Devices Platform. Native App vs. Web App Web Development Environment Portability Platform independent, WRT 1) Flexibility Variety of plugins, VM, script support Open Standard W3C standard DODM Develop Once Deploy Many High Hardcore gaming Productivity Sports Media Production Utilities Entertainment Music Navigation Web as the next TV service platform Users already have online experiences Internet contents are already available on TV Premium contents exists on web Web application is quite popular already Low Casual Gaming Books Health / Fitness Education Lifestyle Social networking Medical reference Finance Weather Travel News 11/27 Low (Web) 1) WRT(Web Run-Time): Web App/widget installation and execution environment Platform Dependency High (Native)

12 LG provides open Smart TV platform for easy development application Web App (javascript/ HTML5) Web Core Smart Share Flash App Open APIs Flash Engine Native App Game Engine Native - C/C++ - DVR, EPG, Input dev., and more DRM DTV Frame work Open GL ES Database Media Player/ Streaming Web Browser - Javascript /HTML5 Flash Engine - Flash Player 11 - Flash Air /27

13 Unified dev Tool Various SDK Dev Guide Documents App Register / Manage Sales/Calculation Manage /27

14 Serving 165 countries as of today 게임 엔터테이먼트 생활 3D 게임 14/27

15 LG Smart TV supports banner, loading, and pre-roll advertisement. 15/27

16 Value chain is shifting from network broadcasters to content owners/distributors and platform vendors. Market Power Shift Contents Owner Contents Distributor Network (Broadcaster) Terminal (Platform) Consumer evolves to digital home 16/27

17 As of August 2011, there are more than 200 Premium Contents in Video, Info, Music, Sport, Game, etc 17/27

18 Search all contents that exist both inside and outside of LG Smart TV, and recommend based on usages. VOD Live & TV Replay Content (Search/ Recommend) Share 18/27

19 - Simple and easy to use User experience (UX) - Use variety of input devices to make LG Smart TV experience nice and friendly Search Search by Web VOD & Catch-up TV (6) Harry Potter and the Deathly Hallows: Part1 (2010) Harry Potter and the Half-Blood Prince (2009) Harry Potter and the Order of the Phoenix (2007) More... You Tube (20) TV program Podcast Harry Potter and the Deathly Hallows : Part1 (2010) 148 min 8.9/10 Adventure, Family, Fantasy Director David Yates WriterChristopher Nolan StarsDaniel Radcliffe, Emma Watson, Rupert Grint +2 As Harry races against time and evil to destroy the Horcruxes, he uncovers the existence of three most powerful objects in the wizarding world: the Deathly Hallows. App Smart Share Half view Back Exit 19/27

20 Exists on ios App Store and Android Market 20/27

21 SDK Type IDE API s Web Eclipse + LG plugin LG Browser Open API Technical Specification Flash Adobe CS4/5 + LG plugin LG Flash Open API (FOA) Reference Guide Native SDK Marmalade Open GL ES + others 21/27

22 LG provides Smart TV SDK for developers to make application easily Implement Build IDE Open API Concept & Design Test & Debugging Samples & Doc. Emulator IDE : Integrated development Environment 22/27

23 LG provides WYSIWYG IDE development environment to support HTML5 WYSIWYG IDE based on Eclipse Support debugging Web page error through emulator Layout Editor Object/Event Viewer Property/Event Palette control buttons, labels, text fields Automatic code generation Watch, Calendar and so on App creation for reuse property fix Import and use 3rd party open libraries * What You See Is What You Get 23/27

24 One Touch GUI Design (Visual Design & Code Modification at the same time) 24/27

25 [ Web content on LG DTV Emulator ] Functionality of LG DTV Emulator LG DTV Emulator has the same browser engine as real LG TV, which is based on webkit User can access internet contents from Open URL window with actual URL Being able to play flash contents via embedded Flash plug-in 25/27

26 IDE / Emulator Packaging Tools 26/27

27 1. LG is a world leading brand which consumers recognize. Also LG can provide reach to global consumers. 2. Opportunity for Smart TV marketplace is growing exponentially. Now is the time to take the advantage. 3. Ecosystem for LG Smart TV embraces open platforms, that can create partnerships and monetizing opportunities. 4. LG provides web, flash, and native SDK. 27/27