2. Index 1. Korean Mobile market Overview 2. Korean Mobile Trend 3. Penetration Strategy for Korean market 4. NEOWIZ as Mobile Publisher in Korea Q&A

3. 1. Korean Mobile market Overview

4. Korean Mobile Market Overview US CHINA ENG KOREA JPN GER FRA CAN SPAIN million Numbers

5. Korean Mobile Market Overview

6. US KOREA ENG FRA GER JPN … AVG of World (%) Smartphone Penetration Rate As of JUL 2012

7. Korean Mobile Market Overview

12. Smart phone Internet access Mobile web Mobile app Web Wifi  Korean mobile users are more ‘MOBILE’ dedicated  Korea has good network infrastructure with ‘Unlimited data service’  Korean mobile users are more ‘MOBILE’ dedicated  Korea has good network infrastructure with ‘Unlimited data service’ * Source : KISA 2012.8 Smart phone Access Network

13. Korean Mobile Market Overview * Source : KISA 2012.8 Down loaded mobile apps (multi select, %) Number of Installed APP Number of Frequently used APP Game Comm Music Utility Map Weather News Video Shopping Stock Life TV Education eBook office

14. Korean Mobile Market Overview 2012.2Q Game contents usage survey Mobile game Online game (client + web) Online game (client only) Online game (web only) Arcade game Console game Board game Web hard/P2P game Software buying Never * Source : Korea Creative Contents Agency 2012.8 Have ever played!

15. Korean Mobile Market Overview * Source : Korea Creative Contents Agency 2012.8 2012.2Q Game playing time (min) Online game (client) Software Online game (web) Board game Video Console game Web hard / P2P game Mobile game Arcade game Others

16. Korean Mobile Market Overview * Source : Korea Creative Contents Agency 2012.8 2012.2Q Game contents Buying rate Mobile game Online game (client + web) Online game (client) Online game (web) Arcade game Video Console game Software buying Board game Web hard / P2P game Never Have ever bought!

17. Korean Mobile Market Overview Major Application Usage Time (Min/Day) game SNS news entertainment etc Game + SNS  48%  Social Game Insight 1

18. Korean Mobile Market Overview ‘Mobile + Web‘  Cross platform ArcadePC Con- sole Mobile Global Game Growth Expectation per Genre Insight 2

19. 2. Korean Mobile Trend

20. Korean Mobile Trend KAKAO TALK 36,000,000 registered users in Korea 63,000,000 registered users worldwide Each users’ average KAKAO friends number 93.5

21. KAKAO TALK  iOS Top 30 Download Rank in Game category (2012.10.30) Korean Mobile Trend

22. KAKAO TALK  Android Top Daily Active User Rank in Game category (2012.10.31) 1.Dragon Flight 2.Any pang 3.Candy pang 4.I love coffee 5.Korean draw something 7. Puzzle zoozoo Casual Killing time Friendly Casual Killing time Friendly Korean Mobile Trend

23. KAKAO TALK  Simple & Easy & Playing together & Competition Korean Mobile Trend 1heart after 8min Heart for gift Ranking among friends 1min/PLAY Dragon item with strong force 5mil RMB/DAY (peak) Any pangDragon Flight

24. T STORE T store, bigger market share over Apple and Google market ※ Source: SK estimation Korean Mobile Trend

25. T STORE 17.3M Accumulated subscribers Accumulated Downloads Developers Business performance as of October 8, 2012: 988M33K Registered Apps & Contents 0.37M Monthly Transactions US$ 12M Monthly Active Users 9M Korean Mobile Trend

26. Korean Major Mobile platform T STORE Paid Downloads : Game > VOD > Utilities > Music … Free Downloads : Utilities > Game > Fun > Education …  Game (w/ In-Game Purchases) is the most profitable category, whereas utility (w/ In-App Ads) records the most downloads Paid DownloadsFree Downloads

27. Korean Major Mobile platform T STORE Game is the most preferred and profitable application. ※ Source: SK Data (Oct 2011)

28. T STORE Carrier-billing 2011 Achievement  Stand-alone - D/L: 183,842 - Revenue: U$ 568K  In-App Purchase - D/L: 278,090 - Revenue: U$ 483K Examples of Global Games (Sep 18, 2012) 165,837 D/L 1,000 KRW (U$1) May 22, 2012 Gameloft 348,064 D/L 3,000 KRW (U$3) March 18, 2011 RealNetworks AP 649,890 D/L Free July 14, 2011 RealNetworks AP 141,132 D/L 2,200 KRW (U$2) July 12, 2011 GREE 1,131,684 D/L Free July 25, 2011 GREE 14,658 D/L 1,100 KRW (U$1) July 11, 2012 Rovio 97,111 D/L 1,200 KRW (U$1) Nov 11, 2010 Strastar 97,369 D/L 5,000 KRW (U$4) July 28, 2011 Joymoa 43,608 D/L 5,000 KRW (U$4) May 24, 2012 Gameloft 36,341 D/L 5,000 KRW (U$4) Dec 7 2010 Gameloft Korean Mobile Trend

29. 3. Penetration Strategy for Korean market

30. Penetration Strategy for Korean market  Good brand Easy to memorize English is acceptable  Cultural translation Ordinary expression Natural feeling  Easy tutorial User friendly Detail explain  Local SNS KAKAO Facebook  Simple UI  3D or qualified graphic design Good network infra No concern of file size 1. Localization

31. Penetration Strategy for Korean market  Apple store  Telecom market T store Olleh store U+ store  Google play  KAKAO TALK 2. Multi Channeling iOS Android

32. Penetration Strategy for Korean market  Local payment Different SDKs  Minimized version Unified payment SDK Fast update Frequent communication with users  Cross border issue Local account tax Income transfer  Local Operation SNS Promotion / Target marketing PR CS  Synergy User pool Cross selling 3. Partnership

33. 4. NEOWIZ as mobile publisher in Korea

34. NEOWIZ as Mobile publisher in Korea

35. RPG SHOOTING CASUAL WEB GAME SPOR TS  Online Game lineup: Develop and publish 45+ titles Expanding both locally and internationally  Game portal Pmang.com : 6 million monthly UV, 25 million RU  #1 Korean game publisher: presence in 49 countries  2011 revenue: $660 million

36. NEOWIZ as Mobile publisher in Korea Representing Products  Mobile Social Platform  High Quality Applications  10mil registered users  Covering all major platforms

37. NEOWIZ as Mobile publisher in Korea  Mobile Game lineup: Develop and publish 20+ titles globally 欢乐王国 逆转三国

38. NEOWIZ as Mobile publisher in Korea TOGETHER WE CAN MAKE GREAT SUCCESS STORY THANK YOU eliot@neowiz.com