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Digital Entertainment on Campus: The Ruckus Approach Michael Bebel CEO, Ruckus Network, Inc. IFPI – International Federation of the Phonographic Industry – The Recording Industry 2006 Piracy Report Industry Response - Technology Digital Rights Management (DRM) – Enables protected

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digital entertainment on campus the ruckus approach

Digital Entertainment onCampus:The Ruckus Approach

Michael Bebel

CEO, Ruckus Network, Inc.

slide2

IFPI – International Federation of the Phonographic Industry – The Recording Industry 2006 Piracy Report

industry response technology
Industry Response - Technology

Digital Rights Management (DRM) – Enables protected

online distribution

DRM

  • Content locked in DRM requires a key
  • that contains usage rights enabling various
  • business models including:
    • Permanent Downloading
    • Subscription Downloading
    • PPV or Rental
industry response technology5
Industry Response - Technology

Digital Rights Management (DRM) – Interoperability Problem

DRM

Fairplay

Open Magic Gate

the ruckus approach
The Ruckus Approach

What is RUCKUS? “Free & Legal”

A college community focused, advertising supported online media company enabled by technology and fueled by passion

Market Opportunity:

  • Entry point is 16.5 million full time college students
    • Media Servers on Campus – Optimizes user experience and reduces bandwidth costs
    • According to Harris Interactive, U.S. college students carry $122 billion in spending power, including $24 billion in discretionary spending
21 st century student profile
21st Century Student Profile

Trend Setters…Defining Media consumption

The computer is the media center

  • Average of 6 hours a day online
  • Most media is consumed through a PC

Music & movies are essential elements of their identity

  • 3,200 average number of music tracks on their PC
  • 92% listen to music daily
  • Watch at least 1 movie/week…often ‘jump around’

Sharing & Networking is a critical part of everyday life

  • New channels for Communication and expression
  • Sharing…part of a digital ‘identity’

Ruckus Bridges the gap…delivers lasting value

  • A library of licensed content that Social Networks do not offer
  • An online ‘community’ that music services lack

Digital Media is about discovery & sharing…building identity & prestige!

ruckus today
RUCKUS Today

RUCKUS: Digital Media Community

Music…Unlimited Access

  • 2.8 million tracks and growing…Key:stay current
  • Next generation Music Discovery

Video (Beta)… Movies, Music Videos and Shorts

  • Unlimited access to hundreds of titles
  • Movies: Independent films – Major studios…coming soon
  • TV – coming this Fall

Sharing…Creating Connections through shared interests

  • Enable Discovery & Sharing…licensed Content

Monetization

  • Banner & Videos Ads
  • Sponsorships

RUCKUS is all about Sharing & Discovery!

experience expectations
It’s Working:

Delivery Network in place, local caching on campus optimizes user experience

Over 120 schools live with a full pipeline

Proven Adoption Rates

60+% of on campus students register in the first week

100s of thousands of active users downloading tens of millions of songs on a monthly basis

Positive Usage Patterns

50% of users return weekly

8 Sessions per week (5 player, 3 site)

150 to 200 minute Average Player Sessions

10 page views per Site Session

Moving Forward

Announced “Free for All” students program on Jan. 22

Adding more content and media types

More robust Video offering in the Fall

Experience & Expectations