1. Sony Pictures Entertainment and Sony Network Entertainment: Project Update: Feedback from February 1 Proposal February 13, 2012

2. Integrate Crackle Plus into a Unified Entertainment Experience 1 Let’s create a tightly integrated experience that combines Sony’s video entertainment properties into a more powerful, holistic offering. SNEI & SCEI are creating an entirely new storefront experience for PS3 Presents an opportunity to more tightly integrate than originally proposed. PlayStation Store drives huge traffic New design to be released later this year

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6. Reduce Financial Exposure & Improve Economics 5 Reduce the total spend Two “TV Quality” originals may be too rich for our wallet Partition Crackle Plus into free & pay-gated portions e.g., place some content behind PlayStation Plus subscription wall Will help to strengthen the economics of overall proposition Explore additional alternatives to reduce risk and improve economics

7. PVOD Proposal Feedback 6 Although investigation is not yet complete, likely very challenging to deliver UV in time for initial PVOD content options Willing to support UV, but sunrise timing may need longer runway Can exclusive titles be offered initially without UV linkage? Loss of exclusivity on PVOD offer after first 4 titles greatly diminishes value of proposal Want to see a continuing sequence of titles into 2013 & beyond

8. Marketing 7 MIB 3 trailer exclusive was great. Let’s do more With continued practice, we can create a more powerful impact Could create a dedicated trailer experience that would generate even more traffic while enhancing the overall video merchandising experience Want some commitment to continue trailer exclusives