Opening a New Revenue Stream From Advertising On IEEE Xplore…Update Jim Vick Staff Director Advertising Business IEEE Media June 22, 2011

2 Feb. Recap – The Opportunity Enhance user experience by displaying additional relevant content related to topics IEEE Xplore users are actively researching New incremental revenue … by capitalizing on IEEE Xplore page view inventory ($1MM+) Minimal risk of putting this content on the PUBLIC pages of IEEE Xplore

3 Feb. Recap -Three Phase Strategy Objective: protect integrity of IEEE Xplore by gauging user perceptions/acceptance of ads –Phase 1: focus group interviews of initial target audience –Phase 2: limited public rollout of ads on select pages viewed by anonymous users –Phase 3: full rollout of ads to targeted set of anonymous user pages

4 Current Status / Update Business Plan Completed Completed business plan/presentation previewed in Feb was ed to committee Also available on the Community site

5 Current Status / Update Summary P&L from Biz Plan Requested in Feb:

6 Biz Plan Key Assumptions Non-contextual net CPM (Cost Per Thousand) will increase as more endemic advertisers buy impressions on Xplore Contextual net CPM will decrease over time as more dependence on Google AdSense (vs. Hire Reach) Operating expense percentages will remain the same

7 Biz Plan Key Assumptions Ctd Full roll-out of ads will occur in July 2012 Monthly non-authenticated page views will increase 5% each year Ad impressions per PV (Page View) will increase from 1.60 in 2012 to 1.90 in 2015 Ratio of non-contextual (89.5%) to contextual (10.5%) will remain the same

8 Proposed Phase 1 Activity Interview ~20 anonymous/guest users to determine if ads change their perception or usage of Xplore Original targeted completion proposed in February was June 2011 Moving completion to November Series report

9 Phase 1 & 2 Status –Phase 1 more difficult than anticipated to identify and contact anonymous/guest users –Disparate locations of respondents (e.g. China, Egypt, etc.) challenged scheduling of Phase 1 focus group interviews –Start of Phase 2 not until Q at earliest due to IEEE Xplore technical resources being fully deployed towards IBP

10 Proposed Revised Schedule Complete Phase 1 (focus groups) and present results at November 2011 Board Series Launch Phase 2 (public launch of ads on select IEEE Xplore pages) in late Q1/early Q –Potential to complete this earlier by shifting some technical resources from IBP (with support from executive management) Launch Phase 3 (full rollout of ads on targeted non-authenticated pages) in July 2012

Thank You 1/31/201611