Mobile TV Breaks Free!
Introduction
Confidential and Proprietary
Management Team
Experienced Mobile TV Experts
Founder & CEO
• 12 year veteran of the mobile industry spanning carrier, infrastructure, and
mobile TV applications companies.
• Former Vice President of Sales-North America IKIVO (Mobile TV company)
• Sold and built first 2G GSM (T-Mobile), and first 3G UMTS/HSDPA (AT&T)
wireless network during tenure at Nortel and Nokia-Siemens Networks.
• Relationships with Handset OEM’s, Carriers, and Consumer Electronic
Companies.
Founder, VP of Business Development
• Former VP of Sales at Bluestreak Technology (Mobile TV Provider)
• Former Executive at TVGuide Mobile TV Division
• 10 year veteran of wireless content and mobile TV technology
• Past entrepreneurial start-up experience
2
AirCast Mobile, Inc.
Summary
Company Name: AirCast Mobile, Inc.
Offices: Chicago, IL & New York, NY
Founded: 2008
Market Opportunity: $9 Billion U.S. Wireless Smart Phone
Market
Intellectual Property: Patent-Pending Device for Mobile
Phones to Receive Mobile TV signals.
3
Problems with Current
Mobile TV Model
2 Years after launch the main mobile TV
companies have yet to be fully embraced by
consumers. Why?
High Monthly Subscription Fees (For Acceptable ROI)
Limited Handset Choices (Due to Embedded Solutions)
Limited “Choice” in Content (TV only)
Service Quality (Current Wireless Networks Not Built to Sustain
(Prolonged Video Streaming)
4
The Mobile DTV Market
(ATSC-MH)
5
Traditional TV Broadcasting
HD Digital Broadcasts
On July 12, 2009 the U.S. transitioned from Analog to HD Digital Television
High-Definition Digital Signal (720p)
Utilizes existing TV towers and infrastructure for deployment
TV signals covers 99% of the U.S. geography (and part of
Canada/Mexico)
Broadcast TV has existing in the U.S. for the last 81 years
(July 2nd, 1928)
By Law, TV Stations must deploy a free TV signal
6
Digital TV Goes Mobile
Mobile DTV (ATSC-MH)
Realizing the Potential Advertising
Revenue Safety Uses Overall
Profitability
This New FREE Mobile
TV Signal is called
Mobile DTV
880
Regional and National TV Stations
decided to allocate a portion of the
existing HD broadcast spectrum
to mobile devices, and create a new
Mobile TV market.
H.264 Video & AAC HE V2 Audio
7
Television Station Groups
Who Owns the 880 Local Stations
8
Mobile DTV Footprint
Where the 880 Stations Located
9
Where Mobile DTV is Today
33% of U.S. Population Covered!
Currently, 65 station groups are deploying Mobile DTV covering
approximately 33% of the U.S. population with more to come!
10
Interest In Mobile DTV
Magid Media Labs Survey Dec.2009
“Almost 90% of mobile
subscribers expressed interest in
viewing live, local news
programming on the go.”
88% Breaking News Coverage
76% Emergency Reports
75% Weather Information
65% Entertainment Content
44% Live Sporting Events
http://www.fiercemobilecontent.com/story/survey-reveals-surprising-interestlocal-mobile-tv/2009-12-09?utm_medium=nl&utm_source=internal
11
About
12
Business Structure
Two Groups with a Common Goal
Business to Business
Business to Consumer
Handset OEM Focus
Direct to Consumer Focus
White Label Mobile TV
Applications for Android
iPhone/iPod/iPad/Blackberry
Content Partners
EPG Patent Fees
Mobile TV Application with
Integrated Content Partners
AirCast Patent Fees
App Store, Retail and Online
Distribution Channel
“You Pay Us, We Pay
Everyone Else”
Innovative Roadmap for
Applications
13
AirCast Mobile
Mission Statement
“AirCast Mobile designs, develops and sells innovative hardware and
software solutions to enable wireless subscribers to receive and
watch live, local broadcast television on their mobile devices for
FREE.”
Blackberry
iPhone/iPod/iPad Windows Mobile
Android
14
‘AirCase” Hardware Solution
A case & backup battery that provides content
“Patent-Pending” Hardware Receiver
Supports ALL Smart Phone Connections
Houses Battery, and Chipsets
Receives the Over-the-Air Signal
Innovative Software Application
Attractive, user-friendly mobile client used
to view TV broadcast & Program Guide Data
Decodes and Displays Mobile TV Stream
SVG-based (XML) Application Framework
Supports H.264 video and AAC Audio
Devices Targeted
iPhone, iPad, iPod Touch, Blackberry, and Windows
Mobile devices
(Actual Client)
15
Our Software Solutions
• Proprietary Applications Sold Direct to Consumer
–
–
–
–
Apple (iPod, iPhone, iPad), Blackberry
Sold via Application Stores
Mobile TV-Only, Mobile TV+Sports, Mobile TV+DVR
Integrated with Content Partners
• White-Label Applications Sold to OEM’s
–
–
–
–
–
Android, Windows Mobile
Licensed to major CE and Handset OEM’s
Mobile TV-Only, Mobile TV+VOD, Mobile TV+DVR
Bundled with Mobile DTV Accessory Patent (AirCast)
Bundled with EPG Patent Fee
Mobile Accessory Data
From ABI Research Report
In 2009 Consumers spent $55
Billion on Mobile Accessories
$40 billion (73%) was spent on
after-market accessories
35% ($26.6B) is sold via Carriers Stores
33% ($26.6B) is sold via Big Box Store
30% $26.6B) is sold via 3rd Online Resellers
Top 3 Accessories Purchased
Case, Battery, Charger
17
Addressable Market
90 Million Existing Smart Phone Users
iPhone
Android
Windows Mobile
Blackberry
Smartphone Sales Grew
by 50% from Feb to Oct
2009*
iPhone & Blackberry
leading the market
*According to ComScore December 2009 Report
18
Product Roadmap
More Than Just Free TV
More Content = More Value
19
TV-Only Product (Version 1.0)
Mobile DTV-Only Product ($99 MSRP)
TV-Only Receiver “Dongles” and “Cases” for iPhone, iPod
Touch, iPad, Windows Mobile, RIM, and Android Devices.
Actual iPhone Application
20
Interactive Product (Version 1.5)
Mobile DTV + Services ($99 MSRP)
Free TV + Premium Content
Streamed Over 3G/wifi
Video-on-Demand integration
with Content Partners
Real Time Voting (Non-SMS for American Idol)
Breaking News, Weather, Stock Tickers
Data Collection Advertising Revenue
21
Interactive Sports Example
Live Sports with value-added stats
Watch your Favorite Teams Live with additional info
streamed to your phone
Sports related information can be
displayed and streamed via 3G while the
user watches the live sporting event in
real-time via Mobile DTV.
Get player stats, team standings,
breaking news, or follow another game
play by play all while watching a live
game!
22
DVR Product (Version 2.0)
Industry’s First for Smart Phones! ($99 MSRP)
New Hardware: Innovative hardware configuration
that utilizes a memory card to directly record your
favorite programs to the accessory.
New Software: Simple user interface to designate
shows as “Favorites”, and to set up view future
recordings.
1 GB card = 2 hours of Recordings
23
Pico Projector Product
Projector
Business Users ($299 MSRP)
Pico Projector Integrated
Can be used
with Mobile TV,
VOD, SD Card
Movies, iPhone
Video
25
Distribution Channels
Direct to
Consumer (B2C)
Handset OEM
(B2B)
Big Box
Retailer (B2C)
Application
Stores (B2C)
AirCast
“Entertainment”
Packaged Bundles
for OEM’s
Best Buy
iTunes
CostCo
Windows
Marketplace
Amazon
Others
Walmart
Android Market
26
Financial Projections
Pro-Forma (B2B + B2C)
3% Smart Phone Market
Penetration by Year 6
64.0%
$79,000,000
61.5%
$69,000,000
62.0%
60.0%
$59,000,000
Gross Margin
Revenue & Operating Income
$89,000,000
58.0%
57.7%
$49,000,000
56.0%
$39,000,000
54.0%
53.8%
$29,000,000
52.0%
51.9%
$19,000,000
50.0%
$9,000,000
48.0%
$(1,000,000)
46.0%
Year 1
Year 2
Total Hardware Sales
Year 3
Year 4
Operating Income/Net Profit
Year 5
Year 6
Gross Margin
27
Our Current Partners
AirCast Mobile enjoys the support of industry leading
companies who share our commitment to the Mobile DTV
market.
28
Milestone Achievements
2009 – Fundraising/Prototype Creation
2010 – “TV-Only” iPhone Product Launch, Online Sales, $99 MSRP
2011 – “Interactive” Product, OEM/Carrier Agreement, $45 Wholesale
2012 – “DVR” Product, Big Box Retailer Launch $60 Wholesale
2012 – “Projector” Product, Direct to Consumer $299 MRSP
2013 – Achieve 1 Million Devices Shipped (In Aggregate)
2014 – Achieve 2 Million Devices Shipped (In Aggregate)
29
Early Interest In AirCast
On-Going Customer Discussions
T-Mobile has expressed interest in our Solution
• Ability to offer Mobile TV without ANY network infrastructure investment
• Mobile TV is of “high” interest amongst younger demographics.
• Can utilize newly launched 3G network to increase 3G ARPU
Sprint has expressed interest in our Solution
• Sees benefit from a non-embedded solutions (ie accessories)
• Can utilize 3G/4G network for interactivity features
• Increased Retail ARPU (average revenue per user)
LG has expressed interest in our Solution
• Committed to showcase our products in national TV commercials
Samsung is interest in partnering with AirCast
• Interested in licensing our software for Accessories
Motorola has expressed interest in our Solution
• Entertainment “bundles” to launch new Android Handsets (Cliq, etc)
Early Consumer Demand 1500 Pre-Orders taken without knowing price or
availability for iPhone product via YouTube.
30
Industry Recognition
AirCast Mobile is a finalist for the “Most Innovative and
Upcoming Mobile Startup in 2009” Award by the CTIA &
MobiTechFest
31
Investment Request
In order to lead the marketplace by offering the first
mobile accessory that provides TV content;
AirCast Mobile is seeking $2 million in
startup funding.
These funds will use to launch our products, secure
an exclusive distribution deal with a major handset
OEM or Carrier, and provide the financial backing to
be successful in the mobile marketplace.
32
Mobile TV Breaks FREE!
To view a demo of our applications please visit:
http://www.youtube.com/watch?v=60Qj1dtPLdw
http://www.youtube.com/watch?v=ojwFX1V7NTc
http://www.youtube.com/watch?v=I9l7XkyahRk
7308 Circle Ave
Forest Park, IL 60130
(708-366-8609)
33