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Corporate Overview

Ringbacks & Karaoke Tones: Beyond Ringtones, The latest music & entertainment for cellular callers CANTO 2006, Punta Cana, Dom. Rep. 21 June 2006 Porfirio Suarez Director of Business Development, Latin America & Caribbean. Corporate Overview. Agenda.

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Corporate Overview

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  1. Ringbacks & Karaoke Tones: Beyond Ringtones, The latest music & entertainment for cellular callers CANTO 2006, Punta Cana, Dom. Rep. 21 June 2006 Porfirio Suarez Director of Business Development, Latin America & Caribbean Corporate Overview

  2. Agenda • Why talk about Ringbacks & Karaoke Tones? • Trends in Mobile Data and Content revenues • Ringback y Karaoke Tones Service Description • Technical Implementation Methods • Business Models to Consider • InterOP Technologies Overview

  3. Trends in Mobile Data and Content Revenues

  4. Ringtones Global Statistics • The Ringtone market was worth just $3.2 billion in 2003. • Lion’s share of personalization segment which will be worth $6.5 billion in 2008 - or $9.3 billion if you include Ringback Tones as well. • $2.8 billion in Ringbacks Revenue by 2008! • Market for mobile entertainment in general will be worth a whopping $27 billion in 2008.

  5. Mobile Music Market • For Cellular Subscribers: • Started with Ringtones • Mobile Music downloads are taking off! • For Cellular Callers • Ringbacks is the next step for expanding the mobile music experience to cellular callers

  6. Replace the ringing sound traditionally • heard by the calling party. • Provide a highly personalized • service for each unique subscriber. • Subscribers can entertain callers • with popular, customizable • content while they await an answer.

  7. Ringbacks are Network Based… • Retention tool: • You can’t take it • with you! • Works with entire • customer base. • Profitability is realized with modest penetration. No handset roadblocks to limit penetration and complicate roll-out.

  8. Ringbacks Represent Increased Carrier Revenue Opportunities

  9. Carrier Branded Web Provisioning… Subscribers can easily access Ringbacks using a simple web interface, with access to Karaoke Tones, Music, True Tones, Sounds, Sports Anthems, and more.

  10. Universal Access to Your Account… • Multiple Subscriber User Interfaces • Web-based User Interface • SMS • WAP • IVR • Carrier Customizable… • Branding • Content Categories/Genre • Content Selection

  11. Superior Platform Architecture • Enables and supports an UNLIMITEDnumber of content downloads, both platform-wide, as well as at the subscriber level. Unlimited Scalability Technology TrueScale™ Streaming • Content Control Administration System (CCAS) • Fresh content is regularly pushed • out to carrier administrator for • review and selection.

  12. Additional InterOP RBT Functionality… • Control the experience for each caller based on day of the week, or even time of day. • Playlist and shuffle feature. • Track content purchasing trends by title and genre. • Optional ring overlay feature. • Optional caller greeting feature. • Notify subscribers of approaching content expiration dates via email or SMS.

  13. Introducing…

  14. Carrier Branded User Interface Subscribers can easily access Karaoke TONES™ using a simple web interface

  15. Fun, Easy to Use, and Intuitive Subscribers sample Karaoke TONES™ withor without Lyrics Easily mix and adjust vocal tracks Subscribers use their Wireless phone to record and save

  16. Flexible Technology • Utilizes TrueScale™ streaming technology • 500,000 selections per server • 6,000 simultaneous connections per server • IVR trunking flexibility • Use any standard E1/T1 technology • Leverages standard IP streaming protocols for maximum inter-vendor compatibility

  17. Karaoke TONE™ Content Creation • Karaoke content ranging from POP, Rap, • Hip-Hop, Country to Seasonal hits. • Pull from vast library of existing • Karaoke libraries. • Full lyric synchronization, music and • vocal tracks. • New Karaoke content produced each • month pulled from Billboard top 100 • and UK charts.

  18. Ringback TonesImplementation Methods

  19. Ringback Tones Implementation • Three primary Implementation Methods • 1.) Standard Telephony • 2.) IN Triggers • 3.) Switch Modification

  20. Standard Telephony • Utilizes tromboning mechanism • Requires RBT platform to remain in the call • Short term savings are quickly overwhelmed • by resource inefficiency. • Several methods have been used • Steering digits • CSMSC modification

  21. IN Triggers • Utilizes standard SCP based IN networking • Resource efficient method of deployment • RBT platform remains “out of the call” • May require an expensive network wide upgrade.

  22. Switch Modification • Switch patch or feature which creates an internal IN trigger in the switch • Resource efficient as RBT platform remains “out of the call” • Full benefits of IN method, without the network wide upgrade. • Minimal Impact on CDR creation.

  23. Serving MSC RBT Platform Gateway MSC HLR IncomingCall 1

  24. Business Models to Consider

  25. Carrier Revenue Models • Postpaid Subscribers Examples: • Monthly Subscription Fee $0.99 - $2.99 • Multiple Ringback Content Downloads $0.99 - $2.99 Prepaid Subscribers 1) Apply same model as postpaid • Monthly Subscription Fee $0.99 - $2.99 • Multiple Ringback Content Downloads $0.99 - $2.99 2) Market as “pure content play” • Single/integrated price for • % share of service subscription fee $1.99/30 days • & default Ringback Content Download $2.99/60 days • Valid for (1, 2, 3) months of Ringback Service

  26. Ringbacks Purchase Models • Platform • Purchase Platform • Carrier keeps majority or all of monthly fee • Revenue Share Agreement • Platform provider keeps majority of monthly fee • Content • Revenue Share with Content Provider

  27. InterOP Technologies Overview

  28. InterOP Technologies... • Established Market Leader in Hosted Messaging and Data Services in North America. • Over 100 Product Deployments with 35 Wireless Carriers in North America in under 4 Years. • Corporate Headquarters in Ft. Myers, Florida

  29. A Long History of Success • InterOP is the culmination of over 2 decades of innovative success as an application development firm, and a wireless carrier. • Chairman James A. Dwyer is founding member and former Chair of CTIA. • Launched and operated the first commercial non-test Cellular network in the U.S. (Indianapolis-1984) • Primary influence on Federal Communications Commission to reward multiple Cellular licenses per U.S. market in 1979.

  30. Complete ownership and control of the technology and systems, coupled with a carrier’s mindset makes InterOP a tremendous carrier resource. InterOP Technologies- Summary • Proven, long-term success in the wireless industry. • Reliable, carrier-grade systems. • Innovative, revenue-focused application design • Rapid development cycle

  31. Thank You! Porfirio Suarez GSM +1 305 496 7781 psuarez@interoptechnologies.com www.interoptechnologies.com

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