The Onset of Connected TV

Copyright ® 2011 Rovi Corporation. Company Confidential.

The Onset of Connected TV

Presented by Jon Hewson, Advertising Business Director, [email protected]


Contents

• About Rovi

• TV’s Future

• Connected TV Deployment Projections

• Advertising Opportunities

• Summary

Page 2


About Rovi

Copyright ® 2011 Rovi Corporation. Company Confidential.Page 4Page 4

Create – innovate with new features to enhance the user experience

Discover – With data, recommendations and guides, uncover what’s on and when, what’s relevant, what’s trending, what’s new

Acquire – help your customers find their media quickly, easily, without hassle

Enjoy – increase consumer enjoyment through simplicity, choice, and access to content anytime, anywhere

Rovi Powers the Discovery and Enjoyment of Digital Entertainment

Rovi Vision


Rovi power digital entertainment

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• Guide advertising technology active in over 67 million homes worldwide

• Rovi represents advertising in up to 16.5M US homes

• Approximately 122 million viewers use our guide technologies

• 163 million+ CE devices with guide technologies

• 7 million+ CE devices using content networking technologies

• Information on 3 million+ TV programs since 1954

• Information on 2 million album releases and 20 million tracks

• Information on 460,000+ movie titles

Rovi helps people connect to movies, TV shows, music, photos and other entertainment content


Rovi are Enabling The Multi-Platform Future

• Nearly All Devices Will Be Internet ConnectedUsers Will Want Content On Any Device,

Anywhere

Consumers want a similar experience, whether on the PC, in the living room, online or mobile

• Finding and discovering content – whether TV shows, music, movies, personal or user-generated – is becoming increasingly difficult

• Increased fragmentation, time-shifting technologies and TV channel availability are creating challenges for advertisers


TV’s Future


Reports of the demise of Television may have been exaggerated.....


The definition of TV has changed

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Copyright ® 2011 Rovi Corporation. Company Confidential.Page 10

Your TV will start to look like your phone…

The Changing TV Landscape


What is TV now?

• TV = Movie theater

• TV = Video Store

• TV = Radio

• TV = Games Arcade

• TV = Record Store

• TV = Stereo

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Samsung Smart TV

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Smart TV Driver #1

• By 2013, Cisco predicts that 90% of all traffic on the Internet will be Video/Audio

• Today, majority of Internet Video/Audio is consumed on a PC

• But, consumers want this content on the big screen TV in the living room

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75% of Internet traffic is multimedia*

*Source: Wired Magazine, 8/2010


Smart TV Driver #2

• All Major CE brands have launched Internet-connected TVs and Blu-ray players

• Major retailers showcasing connected devices

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Internet TV is going mainstream


Smart TV Driver #3

• Consumer comfort with apps on mobile will likely extend to the TV screen

• Compelling content cases such as LoveFilm, Blinkbox, Picture Box, YouTube, BBC iPlayer and Spotify will drive consumers to connect their TVs to the internet

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Internet is coming to TV as Smart TV and Apps

2005 2010-2011


Connected TV Deployment Projections


Projected surge in IP connected devices

17

UK Installed Base (M Units)

Smartphones Connected TV

BD Players Games Consoles

Tablets0

10

20

30

40

50

60

27.1

1.3 1.5

17.0

1.3

48.3

30.7

20.017.0 16.8

2010 2015

* Source Futuresource Consulting Ltd

Copyright ® 2011 Rovi Corporation. Company Confidential. 18

Connected CE Device Penetration Forecast: W. Europe

Connected Blu-Ray Players**

Game Consoles*

Connected TV**

** IP-enabled, but not necessarily connected or actively used.

* Excludes PS2 and adjusted for multiple console ownership


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Connected TV Market Development: UK

Annual Shipments (m)

9.210.0 10.1 10.1

10.5 10.5 10.8

Millions of units

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Advertising Opportunities


• More advertising types

• More creativity across platforms

• More consumers to reach

• More global reach

• Better audience segmentation

• Better measurement & reporting

• Better targeting

A Multitude of new TV Advertising opportunities


In Summary

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Revolutionary changes are taking place in Television …but they will create enormous opportunities for viewing and for advertising


Questions ?

Thank you.

This document contains confidential information of Rovi Corporation and may not be shared with any party other than the recipient. The information in this document is provided for informational use only and is subject to change without notice. Rovi assumes no responsibility or liability for any errors or inaccuracies that may appear in this document or for any omissions. No part of this publication may be reproduced, stored in a retrieval system, transmitted, adapted, translated in any form or by any means without prior written authorization of Rovi.

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The Onset of Connected TV