View castpresentation november_2010

Proprietary and Confidential. ©2010 ViewCast, Inc. All rights reserved.

Powering the Future of Digital Media

2 Proprietary and Confidential. ©2010 ViewCast, Inc. All rights reserved.

Safe Harbor Statement

Certain statements in this presentation contain "forward-looking" information within the

meaning of the Private Securities Litigation Reform Act of 1995, which reflects the

company's current judgment on certain issues. Such statements apply to future events and

are subject to risks and uncertainties that could cause actual results to differ materially.

Important factors that could cause actual results to differ materially from forward-looking

statements include, but are not limited to, the ability of the company to develop and market

new products, market conditions, technological change, and competition.

All forward-looking statements attributable to ViewCast or any person acting on its behalf

are expressly qualified in their entirety by the cautionary statements set forth herein.

ViewCast undertakes no obligation to update any forward-looking statement about

circumstances or events that occur after the date on which the forward-looking statements

are made.

For a detailed discussion of these and other cautionary statements and factors that could

cause actual results to differ from the Company's forward-looking statements, please refer

to the Company's reports on Form 10-K, 10-Q and other Reports on file with the U.S.

Securities and Exchange Commission.


The Growing Demand for Digital Media

Digital media is everywhere

On multiple types of devices

―The sum of all forms of video will account for over 91 percent of

global consumer traffic by 2013.‖ (Cisco® Visual Networking Index -2009)


ViewCast - What We Do

ViewCast develops hardware and software products that transform, manage

and deliver digital video, audio, images and media files over broadband and

mobile networks. ViewCast Media Platform VMp® – digital asset management software

ViewCast Niagara® – encoding systems for video and audio

ViewCast Osprey® – cards for capturing video and audio

Our products simplify the complex workflows required for the delivery of news,

sports, music and other video content to computers and mobile devices.

We sell to broadcasters, businesses, educators and governments to

repurpose their content, reach new markets, expand their audiences and

create new revenue streams.


About ViewCast

Streaming industry pioneer

– The streaming media industry was built on the power and reliability of our first

digital media product line, Osprey® video capture cards

– More than 370,000 Osprey video capture cards have been deployed globally

Video life cycle management leader

– ViewCast provides live streaming and media management solutions to a global

clientele of broadcasters, governments, educational and corporate entities

Established in 1994, public in 1997

Corporate and manufacturing facilities in Dallas

Global distribution and sales channels

~80 employees


Common Requirements of the Market

As we look at existing and emerging application areas, we believe

they exhibit common requirements:

o Capture, ingest, transform, index, manage, govern, deliver, report

We believe there’s a growing demand for a general-purpose digital

media framework to support multiple application areas across various

lines of business and vertical markets.

ViewCast has created a wide-ranging framework for building

audiences, organizing workflows and creating new revenue streams in

today’s digital media marketplace.


The Digital Media Workflow


Solutions

Osprey®

video capture cards

Niagara®

streaming systems

SimulStream®

ViewCast Media Platform (VMp™)

Capture & Encoding Management


A Unified Solution

A unified video life cycle management solution

ViewCast Media Platform – VMp™

o A modular, scalable and extensible platform for managing the entire life cycle of

digital media

o Everything from live video capture – to media management – to delivery


ViewCast Market Opportunity

Digital media is now a mainstream strategic business tool for enterprises—

including education and corporate enterprise, and consumer segments—while

advertising, media and entertainment look for increased viewership over a

variety of devices.

Market opportunity is now expanded to approximately $1.53 billion based on

2010 Frost & Sullivan reports regarding the global transcoders and EVC/DAM

markets, along with management’s estimates.

o The Enterprise Content Management solutions market alone is expected to reach

$902 million in 2011. • (2010 Frost & Sullivan reports).

The rapid expansion of these markets has underscored the need for

structured, secure and scalable digital asset and media management

solutions delivered comprehensively.


Markets We Serve

Broadcasters and Narrowcasters

Federal, State, and Local Government

Enterprises

Mobile and Wireline Carriers

Education and Training

Retail and Consumer Package Goods

Content Delivery Networks

Digital Signage Integrators

Other industry verticals

such as advertising,

medical and insurance


Customers

Streaming customers

DAM customers


ViewCast Sales Channels & Marketing

Strong brand recognition and positive product reputation provides a

solid platform for expanding sales programs and marketing awareness

• Global Sales (direct and indirect)

• Distributors, resellers

• OEMs, VARs, major Internet network/equipment/software providers

• OEM for global leader in IP based networking routers and products


Revenue Trend with YTD 2010 (9 mths)

(millions)

$13.98

$15.99

$17.36

$13.91

$12.36

2006 2007 2008 2009 2010 YTD


Net Income Trend with 2010 YTD (9 mths)

($1,751)

$843 $531

($2,801)

($693)

2006 2007 2008 2009 2010 YTD

(thousands)

•Bottom line improvement and increase in working capital expected from increasing sales and lower expense levels entering into 2010

•Return to profitability Q3 2010


Quarterly Revenue Trend Q3 ‘09 to Q3 ‘10(millions)

•Positive sequential revenue growth last four quarters averaging 12% per quarter

•53.5% Q3 YOY, 18.2% 9/30 YTD YOY

•Sales growth trend expected to continue in all product categories

$2.96

$3.45 $3.68

$4.14 $4.55

$0.0

$1.0

$2.0

$3.0

$4.0

$5.0

$6.0

Q3 09 Q4 09 Q1 10 Q2 10 Q3 10


Quarterly Operating Income (Loss) Trend(in thousands)

($743) ($275) ($283) ($340)

$51

Q3 09 Q4 09 Q1 10 Q2 10 Q3 10


Summary Financial Data

2010 2009 2009 2008

Revenues 12,365 10,460 13,906 17,362

Margin % 61.2% 63.2% 63.2% 68.7%

Operating expenses (8,145) (8,997) (11,447) (11,235)

Operating income (loss) (573) (2,389) (2,664) 693

Net income (loss) (693) (2,499) (2,801) 531

EBITDA 46 (1,819) (1,875) 1,173

9/30/2010 12/31/2009

Cash and equivalents 872 368

Total current assets 5,316 4,069

Total current liabilities 3,520 2,013

Long-term debt ( capital leases) 34 47

Note payable 4,820 5,013

2010 2009 2009 2008

Common Stock 36,017 34,938 35,171 32,110

EPS Diluted (0.04)$ (0.09)$ (0.10)$ (0.01)$

Stated Dividends (615) (615) (820) (820)

Nine months Twelve Months

(thousands)


Driving Value

Key assets and value drivers o Some of the best established brands in the business

o Doubled our addressable market with Ancept acquisition, adding a

robust software platform to expand solutions for customers

o Four consecutive quarters of growth averaging 12% each quarter

o New experienced and effective leadership in sales and product

development

o Our marketplace remains among the most active, dynamic

industries available, with a recent spike in interest from potential

customers, partners, M&A candidates and interested financial

parties.


Growth Acceleration Initiatives

2010 -2011o Double the sales force in 2011

o New VMp DAM entry price point

o Niagara Adaptive Streaming technologies

o Next generation Osprey product line

o Complementary technology/product acquisition


Investment Summary

Enabling technology and products for a strong growth market

Sustained improvement in revenue and bottom line

Extensive product line with strong brands and reputation for quality

Strong product-differentiation: designs, performance, IP

OEM, marketing, and technology partnerships with industry leaders

Acquiring and developing new technologies at attractive valuations

Attractive stock valuation


Digital media is changing the way we conduct business, communicate and entertain.

ViewCast is powering the future of digital media.

Proprietary and Confidential. ©2010 ViewCast, Inc. All rights reserved.

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