1. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 1 Cover Page World Electronics Forum November 16, 2009 Shenzhen China

2. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 2 Zoran Global  HQ-Si Valley; 10 Countries, ~1250 Employees  Solutions on a Chip:  DTV, STB, DVD / BluRay / Media Players  Digital Cameras, Video Cameras, Camera Phones, Printers  In over 500 Millions Homes and Products

3. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 3 Global Digital Media Explosion CAGR Sources: IFPI, iSuppli, YouTube, Euromonitor, IDC, Zoran Video ~500 billion hours of video content in the “cloud” by 2015 40% Connected Devices ~12 billion devices by 2015 used to access internet 20% Photos ~450 billion digital photos captured worldwide in 2009 15% Music > 40 billion downloaded digital tracks in 2008 25%

4. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 4 $/MIP Performance Enabling New CE Products 1 MIPS performance level, includes embedded cores and MIPS-equivalent of HW accelerators 2 TV 3.0 features include 3D, Connected TV, Advanced User Interaction, 4 Mpix/480 Hz etc. DVD Players (1997) First Digital Cameras (1989) First HDTV (2001) DVD Blu-Laser (2006) Nintendo NES Game Platform (1985) First PMPs (2002) Camera Phones (2004) First P&S DVC (2005) First CD Player (1982) Digital Audio (1994) First Satellite TV (1992) MIPS 0 1 10 100 1,000 10,000 100,000 = 1 GIP MIPS HD Video P&S Cameras (2008) 0 1 10 100 1,000 10,000 MIPS 1 $/GIPS 1,000,000 100,000 10,000 1,000 10 1100,000 100 19801985200020052010199019952015 TV 3.0 2 (2010  ) Medical/DNA Device

5. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 5 Evolution of TV A few channels RF Signal Early Days of TV Limited Regional Content (Controlled by Networks) Single TV Network TV

6. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 6 Content controlled by the Operators ~100s channels Cable, Satellite Age of Cable & Satellite Network TV Satellite & Cable Much More ContentMultiple TVs / STBs

7. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 7 Satellite & Cable Content now out of Control …? Network TV unlimited “channels” + other content Unlimited ContentConnected Home Age of Internet and Connectivity

8. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 8 Content and Information On the Move Age of Internet and Connectivity Satellite & Cable Network TV Anywhere to Anywhere Photos Drive Content Anywhere

9. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 9 Cloud Content Many Sources of HD Content … Blu-ray, HQ-DVD Terrestrial TV STBs (Satellite, Cable, IPTV) 1080p DVC, Digital Camera Media Players HD Camera Phone

10. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 10 3D and More Coming to the TV  3D Digital Cameras and TVs  Content Navigation / Personalization  Gesture Control UI  Social Viewing That 3D Picture is so cool …!

11. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 11 Consumer Medical is The Next Big Thing

12. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 12 12 Zoran Now in over 300 Million Homes WW Now in more than ½ Billion Homes & Products Worldwide Thank You

13. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 13 Backup

14. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 14 Zoran Proprietary and Confidential Wireless transmission of personal medical data / diagnostics http://www.cambridgeconsultants.com/ DELIVERY—Cambridge Consultants has announced the first demo of the emerging industry standards for medical device interoperability. The Vena platform is a breakthrough software solution on a single chip that allows medical devices such as blood pressure monitors to transmit data wirelessly. The development gives consumers, especially those with chronic conditions, the ability to monitor their own health accurately, systematically and independently. This platform uses low-cost wireless technology and will allow devices to deliver medical readings to a central monitor located in the home, or even to an online health record, such as Google Health or Microsoft Health Vault. The Vena software solution can be added to a medical device using hardware with a potential cost of less than US $10 at the appropriate volumes and could even be available in medical devices by the end of 2008. For the first time, the Vena platform embeds both the emerging IEEE 11073 standard, which ensures compatibility of data exchanged between different types of devices, and the emerging Bluetooth Medical Device Profile, optimised for the secure transport of medical data, onto the single chip. Successfully concept tested with a pulse oximeter and weighing scales, the platform will be expanded to include other types of devices including blood pressure monitors—Cambridge, United Kingdom + Boston, Massachusetts Just some food for thought

15. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 15 The Connected TV Battlefield Who will win the “Eye-balls”? Lean-forward Interactive Lean-back Enjoy more Content Content Delivery Networks OEMs Operators, MSOs (Multiple Services Operators)

16. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 16 Lean-Forward Interactive TV  Expands Consumer Viewing Experience  Sports statistics / Extra data  Alternate views  Home shopping (context promotions)  Collaborative viewing  Information services  Challenges:  Less relaxing for user  More challenging User Interface  Monetization unclear

17. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 17 Lean-Back and Enjoy More Content  Networks gave us a few channels  Cable/Satellite gave us a few hundred  Internet promises us millions of channels  Challenges:  Finding Content with simple UI  Search, Browsing, Recommendations  Monetization unclear

18. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 18 Operators and MSOs  Cable Operators/MSOs  Broadband (Potential)  Strong TV brands in key markets  Telcos can also offer mobile  Satellite Operators respond by integrating with Broadband  Challenges:  Broadband levels playing field vs. CDNs, OEMs  “Open” Internet Content  Adapting business model  Adapting advertising to DVRs and Internet MSO = Multiple Services Operator

19. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 19 Content Delivery Networks and OEMs  Many opportunities to provide differentiated content and services  Premium Content  Premium Global Content  Long-tail content  User-Generated Content (incl. Photo / Videos)  Music  Community sites  Targeted advertizing  Challenges:  Building critical size  Widget approaches vs. Walled Gardens  Search, Browsing, recommendations MSO = Multiple Services Operator

20. Copyright  2009 Zoran Corporation All Rights Reserved World Electronics Forum, Nov 16 th, 2009 20 Cloud Content Many Sources of HD Content … Blu-ray, HQ-DVD Terrestrial TV STBs (Satellite, Cable, IPTV) 1080p DVC, Digital Camera Media Players HD Camera Phone Powered by