1. CONFIDENTIAL Grouper: Prosumer Expansion Opportunity

2. page 2 Executive Summary Grouper currently focuses on a simple, elegant solution for users to watch and share videos Grouper’s long-term leadership will require further expansion –Increase emphasis on near-professional quality user generated content (“prosumer” content) –Increase options for monetizing content and sharing revenue with users –Add studio content from SPE and others Selected acquisition candidates would provide a complementary tool set to address prosumers’ needs –Robust tools for users to program and promote videos –Support for a wide range of revenue models (ad-supported, subscription, and sell- through) with the ability to share revenue with users –User or advertiser sponsored contests to increase submission of high quality videos

3. page 3 Number of Videos in the Category Millions Thousands Millions Dozens SPE and Grouper have an opportunity to address the lack of near-professional quality “prosumer” content Studios “Professional” User Generated Video Sites “Consumer” Number of People Viewing Current Gap “Prosumer” Area of Opportunity  Increase distribution for near-professional quality user generated videos  Broaden base of Studio content  Increase ability to target  Acquire content at a lower cost  Increase distribution for near-professional quality user generated videos  Broaden base of Studio content  Increase ability to target  Acquire content at a lower cost

4. page 4 “Light Users” and “Prosumers” have distinct needs Watch Share Create Passive viewing or simple browsing Upload and leave placement decisions to the service Easy solutions for sharing with friends (one click publishing, P2P) Light editing tools Active engagement with in-depth channels Share content in a marketplace -Program content (channel creation, movie micro-sites) -Promote content (ads, syndication) “Prosumers” own editing tools but need publishing tools “Aspiring prosumers” need basic editing tools Needs of The Light User (Grouper Focus Areas) Needs of The “Prosumer” (Emerging Opportunity) Monetize Not critical, “it’s just for fun” Share in revenues Multiple revenue models required

5. CONFIDENTIAL Competitor Comparison page 5

6. page 6 Focus Areas and Differentiators of Online Video Sites Focuses exclusively on high quality user content Displays videos from contest winners after elaborate screening process Simple, elegant user experience for exploring a wide range of content Attract users with a wide range of content (“Video Wall” with 80% click through) Easy tools for sharing content with friends and on other sites Traditional user generated site that differentiates through user revenue sharing Focus on higher quality “prosumer” generated content and programming Supports a broad range of revenue models and user revenue sharing Enable user driven promotion through movie microsites, channels, press releases, rich blogs and banner ads Focuses on light video editing tools Working to build a larger base of user generated and studio content Focuses on hosting various contests for different types of content (photo, audio, video) Allows users to submit, create and vote on contest entries

7. page 7 Competitor Comparison EASY ONLINE VIEWING Wide range of videos on home page Genre-based channels USER GENERATED PROGRAMMING User Channel Creation User created Movie “Microsites” CONTENT PROMOTION/SHARING User Generated Ads User Generated Blogs/Chat User Generated Press Releases P2P Client One Click Posting to MySpace/Other Sites Editor’s List/Contest Winners MONETIZATION Ad Insertion/Filtering User Revenue Sharing Sell-through / Subscription VIDEO EDITING TOOLS Downloadable Online