1. 1 Mobile Video Advertising Veronis Suhler Stevenson Tips to Viewing PowerPoint On-Line in Slide-Sorter View (multiple slides): 1.Right click anywhere on this slide. 2.Choose “Edit Slides” from the drop-down list. 3.In the lower left corner of the window, choose the icon. This presentation was updated: February 2010

2. 2 Veronis Suhler Stevenson Mobile advertising will continue to grow in 2009, but at a slower pace, as brand advertisers scale back their media buys during the recession, particularly those they consider experimental, like mobile. Growth will accelerate during the rest of the forecasted period (2010-2013) as SmartPhone and third-generation (3G) network penetration rises and advertisers follow users. However, the telco providers will hinder growth as advertisers will continue to struggle with the technical hurdles of tying campaigns across carriers and devices, even as interest in the platform increases. Source: Veronis Suhler Stevenson Communications Industry Forecast 2009-2013

3. 3 Veronis Suhler Stevenson Traditional media has been very active expanding their content onto mobile platforms, particularly with the growth of iPhone applications (apps). Numerous local television and radio stations, newspapers, and cable MSOs have developed an app for weather and traffic reports, while national networks have provided apps for financial information and sports. iPod competitors, such as Microsoft and Nokia, have announced plans to open up app stores in 2009. Source: Veronis Suhler Stevenson Communications Industry Forecast 2009-2013

4. 4 Year200320042005200620072008 Total Spending on Mobile Advertising Spending ($ millions) $441103046341,1411,519 Growth (%)150.0%176.4108.680.033.1 Video Spending ($ millions) $272764127189 Growth (%)250.0%285.7137.098.448.8 Share (%)4.5%6.48.910.111.112.4

5. 5 Source: Veronis Suhler Stevenson Communications Industry Forecast 2009-2013 Year20092010201120122013CAG* Total Spending on Mobile Advertising (Forecast) Spending ($ millions) $1,8032,2613,0484,3726,806 Growth (%)18.7%25.434.843.555.735.0 Video (Forecast) Spending ($ millions) $2413204627161,212 Growth (%)27.3%33.044.455.069.2148.4 Share (%)13.3%14.215.216.417.8 * Compound Annual Growth 2008-2013

6. 6 Veronis Suhler Stevenson Mobile video ad spending increased 48.8% to $189 million in 2008, as AT&T joined Verizon in offering live and on-demand video, and other streaming media ran across Sprint and iPhone platforms. Mobile video use, while growing, still only involves at best 5 percent of subscribers. Recession pressures will restrain consumers from spending on these premium services. The Open Mobile Video Coalition (OMVC) is trying to create a standard for broadcasting over-air digital TV signals to handsets, which could energize spending on traditional TV brands. Source: Veronis Suhler Stevenson Communications Industry Forecast 2009-2013

7. 7 3G Subscribers Source: Veronis Suhler Stevenson Communications Industry Forecast 2009-2013 (PQ Media)

8. 8 U.S. Mobile TV Subscribers Source: Veronis Suhler Stevenson Communications Industry Forecast 2009-2013 (PQ Media, DataMonitor)

9. 9 Thank you!