1DMG Confidential

Background: Key Problem Areas  Scalability Ingest and export processes not able to handle burst traffic loads Exponential growth in storage usage and related costs  Development and maintenance More time now spent on maintenance and support activities versus new development Dev environment does not support agile application development 2DMG Confidential

Key Problem Areas continued  Aging code base was not designed to meet current and future demands  Huge demand for DMG services plus focus on short-term benefits led to shortcuts  The technical debt New developers take longer to ramp up New features take longer to develop Testing takes longer Software deployments take longer System has become less stable Extremely difficult to troubleshoot issues 3DMG Confidential

Background: Scope of Complexity 4DMG Confidential

Background: Current Plans  DMG was looking to leverage MCS to store all DMG assets and obtain asset management back-end services  DMG would focus on maintaining customer-facing applications  Expected benefits Better scalability and performance Lower long-term storage costs Cost savings from reduced headcounts not needed to support complex back-end services and corresponding infrastructure 5DMG Confidential

Background: Assumptions  100% of DMR services would be available in MCS solution  DMR services are functionally and architecturally adequate  MCS can meet new SPE feature requests in a timely manner  MCS charges SPE at cost for custom development 6DMG Confidential

Impacts of Assumptions  Chose to apply only short-term fixes to DMR issues rather than implementing complete fixes that would simply end up being “thrown away” once DMR was re- platformed on to MCS  Chose not to work on enhancements if those features are already available in MCS 7DMG Confidential

Concerns / Risks  Will MCS and SPE priorities stay aligned?  Less than 50% of DMR services are enabled in current MCS solution  MCS Dev estimates for closing the DMR and cineSHARE feature gaps are not promising from a timeline or cost perspective  MCS is built on the same legacy code base as EAGL 8DMG Confidential

Recommendations  Find optimal way to leverage MCS services  Build a new digital media platform leveraging modern web technologies, protocols and design practices  Leverage open source/best of breed technologies Ruby on Rails for web development ElasticSearch for search MongoDB for high performance data store Node.js for real-time functionality and mobile APIs  Determine long-term infrastructure strategy 9DMG Confidential

Approach  Migrate users and assets to MCS as required features become available  Leverage MCS for relevant new workflows  As a contingency, redirect Acorn retirement resources to Acorn replacement project based on modern web technologies (new platform)  Assess both MCS and new platform for future potential DMG Confidential10

Benefits of New Platform  Laser focus on current & future SPE customer needs; no negotiation necessary  Better system monitoring which will lead to improved responsiveness to customer requests  Starting with Zero technical debt Continuous Integration/Automated Testing Continuous Deployment  AWS delivers ability to handle burst traffic (ingest & export) & storage growth  Smaller development team over time (labor cost savings)  Allows for opportunity to revisit certain vendor choices (Civolution, Aspera)  Agile approach means that features are delivered quickly as they are built (rather than waterfall approach of delivering bundles of new features in a single, large deployment) 11DMG Confidential

New Platform: Architectural Map  Insert diagram 12DMG Confidential

Benefits of New Technology Stack  Faster development – less lines of code to achieve functionality  Easier to maintain – Ruby and JSON  Easier to ramp up new developers  Better support for open source tools  Better integration for external apps  Better design for future demands  Support for continuous integration and deployment  Enhances collaboration and innovation 13DMG Confidential