Web 2.0 Weekly - Oct. 20, 2009 by dapshore

VIEWS: 143 PAGES: 19

GAMING AND ENTERTAINMENT ATTRACTING MORE CASH

SOCIAL NETWORKS THE PLATFORM FOR AN EXPLOSION OF ONLINE ENTERTAINMENT
Among the spaces most touched by Web 2.0 is entertainment (and specifically online gaming). This week’s Web 2.0 Weekly illustrates the recent attraction of the venture funding community to video, gaming, and social networking.
Key highlights include:
• Gaming companies are second to Social Networking in number of companies funded in the past three months.
• Seven of the top 10 share price gainers in the week were gaming-related companies.
• As we highlighted in the last issue, the value of virtual goods market – indelibly a function of social games, such as Farmville – is expected to exceed $1 billion next year.
• Social games are among the fastest growing online user populations. For example, Caf� World (a Zynga game) reached more than 10 million monthly active users since its October 2, 2009 launch.

FOLLOW THE USERS…
Several reasons for the rapid explosion in online gaming interest:
(1) Broadband streaming of video has vastly improved the quality and entertainment value of gaming offerings.
(2) Tie-in with Social Networks, such as Facebook, provides exposure for the myriad third-party game developers to massive and growing user bases who represent high-value target consumers in terms of percentage of time spent online and level of interest in video games.
(3) If the online form of entertainment involves good content, users have demonstrated that consumption will occur wherever it is available. This type of consumption allows for far greater volume of use than conventional gaming.

More Info
									SOFTWARE & SERVICES

20 OCTOBER 2009

WEB 2.O WEEKLY
GAMING AND ENTERTAINMENT ATTRACTING MORE CASH

DAVID SHORE, CFA, MBA 416.860.6784
david.shore@researchcapital.com Damian Wojcichowsky, CFA (Associate), 416.860.7652

SO CI AL N ET W OR K S T H E PL AT F O RM F O R A N E X P L O SIO N OF ON L I NE ENT E RT A IN ME NT
Among the spaces most touched by W eb 2.0 is entertainment (and specifically online gaming). This week’s W eb 2.0 W eekly illustrates the recent attraction of the venture funding community to video, gaming, and social networking. Key highlights include: • • • • Gaming companies are second to Social Networking in number of companies funded in the past three months. Seven of the top 10 share price gainers in the week were gaming-related companies. As we highlighted in the last issue, the value of virtual goods market – indelibly a function of social games, such as Farmville – is expected to exceed $1 billion next year. Social games are among the fastest growing online user populations. For example, Café World (a Zynga game) reached more than 10 million monthly active users since its October 2, 2009 launch.

F OL L O W T H E U S E RS …
Several reasons for the rapid explosion in online gaming interest: (1) Broadband streaming of video has vastly improved the quality and entertainment value of gaming offerings. (2) Tie-in with Social Networks, such as Facebook, provides exposure for the myriad third-party game developers to massive and growing user bases who represent high-value target consumers in terms of percentage of time spent online and level of interest in video games. (3) If the online form of entertainment involves good content, users have demonstrated that consumption will occur wherever it is available. This type of consumption allows for far greater volume of use than conventional gaming.
Capital Market Activity by Sector - Last Three Months
200.0 180.0 160.0 140.0 120.0 (US$m) 100.0 80.0 60.0 40.0 20.0 2,025.0 0.0 SMS/Voice 192.3 Vertical Communities 116.5 Gaming 100.0 Microblog 96.4 Social Networks 67.1 Video 46.0 Infrastructure 39.4 Advertising 37.9 Crowdsourced Content 35.5 Music 34.0 Search 26.1 Enterprise 17.1 Collaboration 17.1 Virtual World 15.8 Mobile 14.0 Comment/Reputation 13.2 Advertising/Mobile 9.0 Analytics 6.0 Media 3.9 Social Commerce 2.8 Aggregation 2.0 Mobile Ad 1.3 Online Learning 0.4 Classified 1

# companies
1 3 8 1 11 6 4 7 4 5 3 4 3 3 5

2

1

3

1

1

1

1

1

This report has been created b y Anal ysts that are emplo yed b y Research Capital Corporation, a Canadian Investment Dealer. For further disclosures, please see last page of this report.
T o ro n t o 4 1 6 . 8 6 0 . 7 6 0 0 Montreal 514.399.1500 w w w . r e s e a rc h c a p i t a l . c o m Vancouver 604.662.1800 Calgary 403.265.7400 Regina 306.566.7550

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THE WEB 2.0 UNIVERSE Eighty-nine public Web 2.0 companies: Our W eb 2.0 universe contains 89 companies, with a combined market cap of approximately $72 billion (Figure 1). The median market cap for the group is $43 million, with average trailing revenue of $161 million (median $43 million). The companies are also generally profitable with a median EBITDA margin of 12.5%. On a valuation basis, the overall average is 4.6x trailing revenue (median 1.9x) and 11.8x trailing EBITDA (median 10.4x). Twenty of the companies have more than 500 employees.
C omparable C ompany Analys is > Web 2.0
C ompany Name
Accelerize New Media, Inc. Actoz S oft C o. , Ltd. AQ Interactive, Inc. As s ociated Media Holdings Inc. B igs tring C orp. B etawa ve C orporation B eyond C ommerce, Inc. B right T hings plc B roadW ebAs ia Inc. C DC C orp. C hangyou. com Limited C hina G ateway C orporation C hines e G amer Interna tional C L IC K E R Inc. C ornerW orld C orporation C yberplex Inc. DADA S pA DX N Holdings B hd Dibz Internationa l, Inc. DigitalP os t Interactive, Inc. DigitalT own, Inc. Dolphin Digita l Media, Inc. E olith C o. Ltd. E xtens ions , Inc. F luid Mus ic C a nada, Inc. F rogs ter Interactive P ictures AG G a mania Digital E nterta inment C o. , Ltd. G a meO n C o Ltd. G eoS entric O yj G iant Interactive G roup, Inc. G igaMedia Ltd. G ravity C o., Ltd G ree, Inc. G ungHo O nline E ntertainment, Inc. Ha nbitS oft, Inc. IAC /InterActiveC orp. IAS E nergy, Inc. is eemedia Inc. J umbuck E ntertainment Limited K AB Dis tribution Inc. K ings oft C o. L td. Lingo Media C orpora tion LiveW orld Inc. LookS mart, Ltd. Magnitude Information S ys tems Inc. Mixi, Inc. Modern T imes G roup Mtg AB MOK O . mobi L imited Myriad G roup AG NE O W IZ G ames C orpora tion NetDra gon W ebS oft, Inc. Neteas e.com Inc. NeuLion Incorporated NeXplore C orporation Ngi G roup Inc. Northgate T echnologies L imited Open T ext C orp. Openwave S ys tems Inc. P erfect W orld C o., Ltd. P NI Digita l Media Inc. Quepas a C orp. OAO R B C Information S ys tems S handa Interactive E nterta inment Ltd. S hutterfly, Inc. S K C ommunications C o., Ltd. S NAP Interactive, Inc. S NM G loba l Holdings S ocial Media V entures Inc. S ocialwis e, Inc. S ohu.com Inc. S park Networks , Inc. S pectrumDNA, Inc. T encent Holdings Ltd. T he P arent C ompany T he9 L imited T heS treet.com, Inc. T ree. C om, Inc. Unis erve C ommunications C orp. United Online Inc. UO MO Media, Inc V a lueC lick Inc. V O IS , Inc. W ebzen Inc. W izzard S oftware C orporation W orlds .com Inc. W ynds torm C orporation XING AG Y D O nline C orp. Y nk K orea Inc. High Low Average Median

L TM as of Tic ker
6/30/2009 6/30/2009 6/30/2009 6/30/2007 6/30/2009 6/30/2009 6/30/2009 3/31/2009 9/30/2008 6/30/2009 6/30/2009 9/30/2008 6/30/2009 5/31/2009 7/31/2009 6/30/2009 6/30/2009 5/31/2009 NA 6/30/2009 8/31/2009 6/30/2009 12/31/2008 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 3/31/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 4/30/2009 3/31/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 12/31/2008 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 12/31/2007 6/30/2009 6/30/2009 12/31/2008 6/30/2009 9/30/2008 12/31/2008 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 8/2/2008 12/31/2008 3/31/2009 6/30/2009 5/31/2009 6/30/2009 7/31/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 6/30/2009 NA 6/30/2009 12/31/2007 12/31/2008 AC LZ A052790 3838 AS MH BSGC B W AV B Y OC AIM:B G T BWBA C HIN. A C Y OU CGW Y G T S M: 3083 C LK Z CWR L T S X :C X C M:DA DXN DIB Z DG LP DG T W DP DM A041060 E XT I T S X :F MN FR G 6180 3812 G E O 1V GA G IG M GRVY T S E : 3632 3765 A047080 IAC I IAS A. E IE E AS X :J MB T S X :K AB 3888 T S X V :LM LV W D LO OK MAG Y 2121 MT G B MK B MY R N A095660 777 NT E S T S X :NLN NXP C 2497 590057 OTE X OP W V PWR D T S X V :P N QP S A R BCI S NDA S F LY A066270 S TVI S NMN S MV I S C LW S OHU LO V S P XA 700 K IDS . Q NC T Y TSCM TRE E T S X V :U S S U NT D U OMO V C LK V OIS W ZE N W ZE W DDD W Y ND O 1B C A052770 A023770

E xc hange
OT C B B K OS E TS E OT C P K OT C B B OT C B B OT C B B AIM OT C P K Nas daqG S Nas daqG S OT C P K GTS M OT C B B OT C B B TS X CM K LS E OT C P K OT C B B OT C B B OT C B B K OS E OT C P K TS X XT R A GTS M TS E HLS E NY S E Nas daqG S Nas daqG M TS E OS E K OS E Nas daqG S OT C B B TS XV AS X TS X S E HK TS XV OT C P K Nas daqG M OT C B B TS E OM AS X SWX K OS E S E HK Nas daqG S TS X OT C P K TS E BS E Nas daqG S Nas daqG S Nas daqG S TS XV OT C B B RTS Nas daqG S Nas daqG S K OS E OT C B B OT C P K OT C P K OT C B B Nas daqG S AME X OT C B B S E HK OT C P K Nas daqG S Nas daqG M Nas daqG M TS XV Nas daqG S OT C B B Nas daqG S OT C B B Nas daqG M AME X OT C B B OT C P K XT R A K OS E K OS E

Trading C urrency HQ
US D KRW JPY US D US D US D US D GBP US D US D US D US D TWD US D US D C AD E UR MY R US D US D US D US D KRW US D C AD E UR TWD JPY E UR US D US D US D JPY JPY KRW US D US D C AD AU D C AD HK D C AD US D US D US D JPY SEK AU D C HF KRW HK D US D C AD US D JPY INR US D US D US D C AD US D US D US D US D KRW US D US D US D US D US D US D US D HK D US D US D US D US D C AD US D US D US D US D US D US D US D US D E UR KRW KRW U nited S ta tes S outh K orea J apan U nited S ta tes U nited S ta tes U nited S ta tes U nited S ta tes U nited K ingdom U nited S ta tes Hong K ong C hina U nited S ta tes T aiwan U nited S ta tes U nited S ta tes C anada Italy Malays ia U nited S ta tes U nited S ta tes U nited S ta tes U nited S ta tes S outh K orea U nited S ta tes U nited S ta tes G ermany T aiwan J apan F inland C hina T aiwan S outh K orea J apan J apan S outh K orea U nited S ta tes C anada C anada Aus tralia C anada C hina C anada U nited S ta tes U nited S ta tes U nited S ta tes J apan S weden Aus tralia S witzerland S outh K orea C hina C hina C anada U nited S ta tes J apan India C anada U nited S ta tes C hina C anada U nited S ta tes R us s ia C hina U nited S ta tes S outh K orea U nited S ta tes U nited S ta tes U nited S ta tes U nited S ta tes C hina U nited S ta tes U nited S ta tes C hina U nited S ta tes C hina U nited S ta tes U nited S ta tes C anada U nited S ta tes C anada U nited S ta tes U nited S ta tes S outh K orea U nited S ta tes U nited S ta tes U nited S ta tes G ermany S outh K orea S outh K orea

C urrent Pric e
0. 55 15, 600 49, 000 0. 01 0. 04 0. 04 0. 11 0. 01 0. 03 2. 53 31. 72 0. 00 475 0. 01 0. 06 1 7. 69 0. 65 0. 00 0. 06 1. 50 0. 38 605 0. 16 1. 38 20. 50 50. 00 90, 100 0. 05 8 4. 81 1. 64 4, 840 217, 500 4, 085 19. 18 0. 10 0. 14 0. 38 0 8 0. 94 0. 04 1. 20 0. 01 640000. 00 329. 00 0. 08 4. 50 37050. 00 5 39. 36 0. 81 1 28200. 00 36. 30 40. 92 2. 53 44. 96 1. 75 1 1. 50 49. 38 15. 92 8210. 00 0 0. 00 0 0. 61 69. 99 2 0 145 0. 01 8. 89 3. 00 7. 90 0. 05 9. 03 0 14 0 2. 65 0. 45 0. 09 0. 10 37. 10 8090. 00 4035. 00

US D Market C ap ($m)
15.4 113. 2 29.8 0. 4 2. 4 1. 2 4. 9 5. 9 2. 5 268. 1 1, 744. 6 0. 0 1, 231. 9 0. 7 5. 7 76.7 182. 6 42.6 0. 0 4. 6 41.1 20.4 36.7 7. 1 66.6 76.9 234. 1 97.4 65.8 1, 718. 7 262. 2 45.6 2, 423. 2 278. 7 75.0 2, 539. 5 7. 1 6. 6 16.2 0. 6 1, 120. 1 10.8 1. 3 20.5 5. 4 1, 102. 8 3, 113. 5 7. 3 192. 9 654. 5 334. 9 5, 094. 2 85.0 39.0 39.1 26.4 2, 297. 6 211. 3 2, 211. 2 55.0 17.8 208. 1 3, 321. 1 405. 3 288. 1 3. 8 0. 0 0. 0 27.0 2, 683. 0 50.6 6. 8 33,964.6 0. 2 223. 1 91.8 85.3 1. 1 757. 1 9. 5 1, 197. 5 4. 1 31.4 22.7 4. 7 1. 8 286. 5 101. 6 18.0 33,964.6 0. 0 811.1 42.6

US D L TM Total R ev ($m)
4. 4 108. 7 66.1 0. 1 0. 1 9. 4 11.7 0. 0 0. 0 361. 6 241. 2 6. 7 61.6 2. 5 6. 8 89.8 241. 9 77.1 NA 1. 0 0. 0 0. 6 15.4 NM 5. 3 9. 6 140. 6 81.9 5. 4 198. 5 183. 6 49.1 156. 0 119. 5 60.7 1, 392. 3 0. 0 1. 6 16.7 67.9 139. 1 1. 2 10.6 56.8 0. 1 136. 8 1, 971. 4 0. 7 63.0 207. 3 89.3 472. 4 21.5 1. 7 93.0 82.9 785. 7 191. 7 255. 6 21.0 0. 2 157. 4 629. 0 218. 6 192. 7 3. 5 2. 0 0. 1 0. 0 485. 1 50.5 0. 1 1, 391. 6 112. 0 250. 6 67.0 216. 6 17.1 949. 8 0. 8 563. 6 0. 0 23.2 5. 3 0. 1 NA 58.9 57.4 11.9 1,971.4 0.0 161.2 57. 1

US D L TM Total E B ITDA ($m)
(3.7) 25. 9 (2.0) (2.3) (1.5) (12. 6) (12. 8) (2.7) (4.6) 25. 1 147.2 (6.6) 34. 7 (1.2) NM 9.7 31. 8 11. 1 NM (1.4) (1.8) (3.4) (3.6) NM (5.1) (4.5) 25. 1 20. 1 (17. 4) 124.1 NM 16. 6 93. 7 26. 6 1.4 52. 7 (0.6) (5.0) 7.2 4.0 61. 4 (1.9) (0.1) (4.4) (2.5) 46. 2 302.9 (2.4) 3.4 55. 7 25. 7 297.4 (13. 0) (13. 3) 6.9 (41. 5) 205.1 4.9 142.2 2.3 (10. 6) 20. 6 296.7 27. 3 12. 5 0.9 (0.7) (0.1) (5.6) 209.6 10. 8 (2.5) 680.3 (13. 5) 85. 5 1.9 (0.7) (0.2) 203.2 (0.4) 99. 0 (1.0) 2.3 (4.5) (0.7) NM 17. 0 12. 4 1.3 680.3 -41.5 39.0 1. 7

E B ITDA %
-83. 3% 23. 8% -2. 9% NM NM NM NM NM NM 6. 9% 61. 0% -98. 9% 56. 3% -45. 8% NM 10. 8% 13. 1% 14. 4% NM NM NM NM -23. 6% NM -95. 2% -47. 0% 17. 9% 24. 5% NM 62. 5% NM 33. 9% 60. 1% 22. 2% 2. 3% 3. 8% NM NM 42. 8% 5. 8% 44. 2% NM -1. 2% -7. 8% NM 33. 8% 15. 4% NM 5. 4% 26. 8% 28. 7% 63. 0% -60. 3% NM 7. 4% -50. 0% 26. 1% 2. 6% 55. 6% 11. 0% NM 13. 1% 47. 2% 12. 5% 6. 5% 27. 0% -34. 8% -60. 6% NM 43. 2% 21. 3% NM 48. 9% -12. 0% 34. 1% 2. 9% -0. 3% -1. 0% 21. 4% -54. 2% 17. 6% NM 9. 9% -84. 9% NM NM 28. 8% 21. 6% 10. 5% 63. 0% -98. 9% 6.1% 12. 5%

TE V/L TM R evenue
4. 6x 0. 7x 0. 1x 12.6x 0. 9x 0. 7x 6. 1x 0. 0x 18.8x 0. 3x 2. 4x 0. 6x 1. 0x 0. 7x 6. 7x 36.7x 2. 5x 11.2x 7. 8x 1. 5x 0. 3x 12.1x 1. 0x 14.8x 2. 0x 1. 0x 0. 6x 3. 6x 0. 6x 8. 1x 8. 2x 0. 0x 7. 2x 1. 9x 9. 1x 3. 0x 3. 1x 2. 1x 3. 5x 25.3x 0. 3x 3. 0x 0. 5x 0. 7x 2. 5x 0. 0x 1. 6x 1. 5x 0. 6x 1. 1x 4. 5x 4. 5x 1. 0x 26.9x 0. 2x 0. 4x 0. 4x 0. 2x 1. 1x 12.6x 1. 9x 4. 5x 4. 0x 1. 9x 36.7x 4.6x 1. 9x

TE V/L TM E B ITDA
3.1x 10. 5x 10. 0x 33. 4x 5.8x 7.3x 5.2x 8.4x 1.1x 24. 6x 9.2x 43. 5x 15. 2x 1.4x 18. 3x 21. 3x 12. 2x 11. 6x 7.3x 11. 3x 20. 9x 1.3x 23. 0x 0.3x 12. 5x 23. 0x 2.3x 10. 4x 4.5x 14. 0x 5.0x 10. 7x 13. 8x 8.9x 43. 5x 11.8x 10. 4x

E mployees
11 NA NA 3 4 51 101 NA 46 2, 227 628 37 NA 22 16 NA NA NA NA 7 3 NA NA 2 NA NA NA NA 115 1, 570 751 469 NA NA NA 3, 200 NA NA 79 NA 2, 463 NA NA 90 14 NA 2, 969 NA 405 NA 3, 109 3, 109 237 NA NA NA 3, 411 590 2, 096 NA 74 NA 3, 124 514 NA 11 33 NA NA 3, 197 183 7 6, 421 347 1, 626 310 700 NA 1, 469 NA 1, 189 4 328 110 1 NA 246 NA NA 6, 421 1 936 246

Figure 1. Web 2.0 Universe Summary Source. Capital IQ

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C A P I T A L M A R K E T S A C T I V I T Y (M & A A N D F I N A N C I N G ) October keeping pace: Total transaction value in the W eb 2.0 universe for October is $125.2 (vs. $89.5 million at time of last publication). The week ending October 19 has brought 11 financings to the sector bringing the total for October to 20 transactions averaging $7.8 million each (vs. an average of $9.0 million last week). The largest transaction in the week was the $16 million financing of HubSpot, a W eb marketing optimization solutions developer. The biggest deal in the month is Yext at $25 million. In comparison, total capital raised in September was $232.8 million, averaging $9.0 million (26 deals); August was $208.5 million, averaging $7.7 million (27 deals); and July (35 deals) $191.4 million, averaging $5.5 million.

Financing Activity Last Twelve Months
400.0 14.6 350.0 14.0 16.0

300.0

12.0

250.0

9.7 9.0

10.0

(US$m)

200.0 7.0 7.0 6.5 150.0 4.9 7.1 6.6 6.2 5.5

7.6

7.8 8.0

6.0

100.0

4.0

50.0

2.0

0.0 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 Series1 May-09 Series2 Jun-09 Jul-09 Aug-09 Sep-09 Oct-09

0.0

*May-09 includes $200m FB investment

Figure 2. Financings, Last Twelve Months Source. Company reports

(US$m)

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Deal round-up for October (to date): The large deal highlights for the month include: • • Yext – an online directory provider – raised $25 million. PopCap Games – a developer of casual games played on multiple types of devices – raised $22.5 million in its first round of funding. DailyMotion – a French online video content provider – raised $22.1 million through a Series C financing. Engine Yard – provider of managed hosting and deployment solutions for Ruby and Rails applications – raised $19 million in a Series C financing. HubSpot – provider of online enterprise marketing application – received $16 million in Series C financing.

• •

•

All other deals in the month were in the amount of $10 million or less. For additional details on financings, see Figures 23 and 24 (at end of note).

Financing & M/A Summary - Last Three Months
200.0

180.0

160.0

140.0

120.0 (US$m) Oct-09 100.0 Sep-09 Aug-09 80.0

60.0

40.0

20.0

0.0 Skype Mint Twitter Turbine Friends Reunited Smith & Tinker Yext NowPublic PopCap Games DailyMotion Ensequence iLike Engine Yard HubSpot Livebookings Dopplr Zoove RichRelevance Spigit Ooyala MediaMath FeedRoom Traffiq Mzinga InXpo Bill.com Edo Interactive Jobvite NextBio Riot Games InnoCentive OneRiot Balihoo Reality Mobile Boxee Imeem Vuclip HiveLive Polyvore YuMe Fanbase Booyah MOG Sometrics Scout Labs NeoEdge Amie Street Alliance Health Unisfair KODA Mocapay ViVu Conduit Labs OurStage Z2Live Scoreloop Fwix Vantrix Fizzback MashLogic Roblox Technorati Greystripe iSocket Tremor Media RightsFlow Loomia Plista FourSquare EduFire Tiny Pictures ChessCube DataSync DailyBooth Linkedex Fluther TransGaming Inc. Linksify Listia iSyndica VEVO Gigpark OnLive Gamelab.com

Figure 3. Capital Market Activity, Last Three Months Source. Company reports

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Social Networks the most active sector: Social Networks experienced the most financing activity among our W eb 2.0 sector categories in the past three months by number of transactions (11). Gaming follows with eight transactions. Advertising is the next most active (7), followed by Video (6) (Figure 4). The $2.0 billion acquisition of Skype skews the dollars transacted to the SMS/Voice segment, while the $170 million acquisition of Mint brings the Vertical Communities segment to the second highest total.
Capital Market Activity by Sector - Last Three Months
200.0 180.0 160.0 140.0 120.0 (US$m) 100.0 80.0 60.0 40.0 20.0 2,025.0 0.0 Vertical Communities Gaming Microblog Enterprise Mobile Collaboration Music SMS/Voice Infrastructure Search Social Networks Video Crowdsourced Content Advertising Virtual World 192.3 116.5 100.0 96.4 67.1 46.0 39.4 37.9 35.5 34.0 26.1 17.1 17.1 15.8 14.0 Comment/Reputation 13.2 Advertising/Mobile 9.0 Analytics 6.0 Media 3.9 Social Commerce 2.8 Aggregation 2.0 Mobile Ad 1.3 Online Learning 0.4 Classified 1

# companies
1 3 8 1

11

6

4

7

4

5

3

4

3

3

5

2

1

3

1

1

1

1

1

Figure 4. Capital Market Activity, by Sector, Last Three Months Source. Company reports

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C A P I T A L M A R K E T S A C T I V I T Y (P R I C E P E R F O R M A N C E ) Web 2.0 index continues to outpace NASDAQ recovery: Our W eb 2.0 index (market-cap weighted) essentially mirrored the performance of the NASDAQ composite index from mid-2008 until earlier this year. However, the index has recently had a much stronger recovery relative to the NASDAQ index (Figure 5).

Web 2.0 Index Price Performance
250

200

150

100

50

0 1/12/2009 1/26/2009 2/23/2009 3/23/2009 4/20/2009 5/18/2009 6/15/2009 6/29/2009 7/13/2009 7/27/2009 8/10/2009 8/24/2009 9/21/2009 11/3/2008 12/1/2008 10/20/2008 11/17/2008 12/15/2008 12/29/2008 10/5/2009 2/9/2009 3/9/2009 4/6/2009 5/4/2009 6/1/2009 9/7/2009 10/19/2009

Index: Web 2.0 (Market Cap)
Figure 5. Web 2.0 Price Performance Source. Capital IQ

^COMP - Share Pricing

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Broad-based price improvement: Twenty-seven companies in our universe had positive stock price performances over the past week (for stocks with prices greater than $1) (Figure 6), while 17 companies showed negative 1-week returns. Gaming companies saw broad-based increase: The biggest gainer of the week was The9 Limited (NasdaqGS:NCTY), an online game developer – up 17%. Tencent Holdings Ltd. (SEHK:700) – a Chinese online gaming company – closed up 14%. Frogster Interactive Pictures (XTRA:FRG) – maker of interactive online games – closed up 14%.

The9 Limited Tencent Holdings Ltd. Frogs ter Interactive Pictures Giant Interactive G roup, Inc. S ohu.com Inc. United Online Inc. Perfect World Co., Ltd. K ings of t Co. Ltd. DA DA S pA Chines e Gamer International Open Tex t Corp. Modern Times G roup Mtg A B S handa Intera ctive S park Netw orks , Inc. Y nk K orea Inc. Changy ou.com Limited Ngi G roup Inc. Netea s e.com Inc. G amania Digital Cy berplex Inc. V alueClick Inc. G ameOn Co Ltd. XING A G IA C/InterA ctiveCorp. TheS treet.com, Inc. My riad Group A G LookS mart, Ltd. Quepas a Corp. CDC Corp. G ree, Inc. NetDragon WebS oft, Inc. G igaMedia Ltd. Mix i, Inc. A Q Interactive, Inc. Y D Online Corp. Openw ave S y s tems Inc. Tree.Com, Inc. S K Communications Co., Ltd. Webz en Inc. A ctoz S of t Co., Ltd. HanbitS oft, Inc. PNI Digital Media Inc. S hutterf ly , Inc. NEOWIZ Games Corporation Eolith Co. Ltd. Gravity Co., Ltd -0.25
Figure 6. 1-Week Price Performance Source. Capital IQ

1 Week P rice P erformance
14.4% 13.9% 11.1% 10.3% 8.9% 7.0% 7.0% 6.2% 6.0% 5.7% 5.3% 4.0% 3.8% 3.7% 2.8% 2.7% 2.6% 2.6% 2.4% 2.0% 1.8% 1.2% 0.8% 0.7% 0.4% 0.0% 0.0% 0.0% -1.2% -1.6% -1.6% -1.7% -1.8% -1.8% -1.9% -2.2% -2.4%

17.4%

-10.4% -19.6% -0.2 -16.0% -0.15 -0.1

-4.3% -5.2% -5.7% -5.9% -6.6%

-0.05

0

0.05

0.1

0.15

0.2

Page 8

P U B L I C C O M P A N Y I N D U S T R Y N E W S (P A R T N E R S H I P S , F I N A N C I A L R E S U L T S , N E W P R O D U C T S )
K ey Developments
C ompany
F idelity Inves tments C anada L imited; F luid Mus ic C anada, Inc . (TS X: F MN); Hows on Tatters all Inves tment C ouns el L imited; S omers et E ntertainment Inc ome F und (TS X:S OM.UN)

Headline
F luid Mus ic C anada, Inc. (T S X: F MN) s igned a s upport agreement to acquire S omers et E ntertainment Income F und (T S X : S O M. UN) from a group of s hareholders for C AD 26. 1 million.

Notes
F luid Mus ic C anada, Inc. (T S X: F MN) s igned a s upport agreement to acquire S omers et E ntertainment Income F und (T S X: S OM.UN) from a group of s hareholders for C AD 26. 1 million in cas h and s tock on O ctober 12, 2009. T he groups of s hareholders are Andy B urges s , G ordon G ibs on, J anis F inkels tein, Allan S ilber, S heldon F inkels tein, J ay S mith, J as on Hendeles , F idelity Inves tments C anada L imited and Hows on T atters all Inves tment C ouns el L imited. F luid Mus ic will acquire all of the outs tanding S omers et trus t units at the election of the tendering holder (a) $2. 12 in cas h per unit; (b) 1. 1 common s hares of F luid. F luid will intend to immediately proceed with a compuls ory acquis ition or s ubs equent acquis ition trans action to acquire the remaining units . C hines e G amer International plans to s pread its new game Hero O nline in the C hines e Mainland. C hines egamer is now talking with s ome mainland companies about the authorization of operating right and expected to achieve royalty from overs eas , namely, higher than US D 5 million. E ffective O ctober 14, 2009, W oozyF ly Inc. will change its O T C B B s tock ticker s ymbol to W ZY F Q from W ZY F . S AP AG and Open T ext C orp. announced another expans ion of their s ucces s ful s trategic relations hip. S AP has s elected O pen T ext E xtended E C M for S AP for res ale under the name the S AP ® E xtended E nterpris e C ontent Management (S AP E xtended E C M) application by O pen T ext. Hors eR acing T V Inc. and NeuL ion announced the debut of a new s ervice dedicated to the s port and lifes tyle of hors e racing. W ith acces s to over 70 tracks from acros s the country and around the world, HR T V brings the thrill of live racing to viewers online through a uniquely branded video portal where fans can acces s all the bes t hors e racing action. P owered by NeuL ion technology, a leading s ervice provider of live and on demand s ports and international programming, HR T V 's broadband s ervice gives racing fans the ability to watch live race coverage, the HR T V channel and unparalleled acces s to racing's greates t circuits , on a 24 hours per day, s even days a week bas is . T he one-of-akind s ervice features live races , video-on-demand, audience polling and more. Additionally, s ubs cribers have acces s to various content and a full complement of the network's award-winning original programming including: 'Ins ide Information, ' 'P urs uit of the C up, ' 'Agains t the Odds , ' 'Acros s T he B oard' and more. P erfect W orld C o. L td. inves ted $3.44 million to s et up a new company in T aiwan. Neteas e.com Inc. - C onference P res entation C alls

C hines e Gamer International (G TS M:3083) W oozyF ly, Inc . Open Text C orp. (Nas daqG S :OTE X); S AP AG (DB : S AP ) NeuL ion Inc orporated (TS X: NL N)

C hines e G amer International E nhance C ros s -S trait E xpans ion W oozyF ly Inc. will C hange its T icker to W ZY F Q from W ZY F S AP AG and O pen T ext C orp. E xpand G lobal R es eller Agreement NeuL ion Incorporated and Hors eR acing T V Inc. Announce Debut of a New S ervice

P erfec t World C o., L td. (Nas daqG S :P W R D) Neteas e.c om Inc . (Nas daqGS : NTE S ) is eemedia Inc . (TS XV: IE E )

P erfect W orld C o. L td. Inves ts $3. 44 Million to S et Up New C ompany in T aiwan Neteas e.com Inc. - C onference P res entation C all

is eemedia Inc. Delivers B lackberry-L ike S ervice to Mas s - is eemedia Inc. announced the availability of is eemail(T M), a new B lackberry-like s ervice that eliminates the need for Market Mobile P hones expens ive data plans or high-end phones to receive emails and rich attachments on the go. T he s olution will be s pecifically attractive to wireles s s ervice providers and O E Ms who s upport almos t two billion mobile phone s ubs cribers in emerging markets where the penetration of s martphones is virtually non-exis tent. T he C ompany als o announced that a s oon-to-be-dis clos ed carrier is now implementing the is eemedia s ervice in India. Informa predicts there will be 4. 81 billion mobile phone s ubs cribers by 2012, with the majority of the next billion s ubs cribers coming from emerging markets . P ortio R es earch further s tates that nine of the top ten highes t growth markets over this period have one key defining factor in common-they are all low income per-capita markets . T herefore hands ets s old into thes e emerging markets will continue to be mainly lower-priced devices . S ites earch C orporation Announces R es ignation of J orge de los S antos as Director O pen T ext C orp. Announces New R eleas e of O pen T ext E mail Management for Micros oft E xchange O n O ctober 13, 2009, Mr. J orge de los S antos res igned as a member of the B oard of Directors of S ites earch C orporation. O pen T ext C orp. announced its lates t new releas e of O pen T ext E mail Management for Micros oft E xchange, a fullfeatured email management s olution that helps companies reduce s kyrocketing email s torage requirements and enhance their ability to res pond to eDis covery reques ts . B y offering unprecedented control and automation, companies can automate and s afeguard the dis pos ition of unimportant email and provide common-s ens e mechanis ms for us ers to identify and retain bus ines s -critical mes s ages . O pen T ext's email management capabilities are an integral part of the O pen T ext E C M S uite, which provides the broades t, mos t comprehens ive s et of integrated E C M capabilities on the market. T he new O pen T ext E mail Management 10 for Micros oft E xchange s ys tematically captures bus ines s value and intended record email mes s ages , and als o offers a reliable and cons is tent method for identifying and deleting unimportant or trans itory email. Q uepas a C orp. announced the launch of its P apacito dating application. T he launch of the P apacito application is part of Q uepas a's overall monetization s trategy which will focus on dis tributed s ocial media and applications tied into Q uepas a's virtual economy, which will facilitate both virtual gifting and purchas es of V IP s ubs criptions within this new dating application and s cheduled future applications . As dating and flirting is among the top activities on Q uepas a, the company believes that this new application will enhance us er experience and thus drive s ignificant engagements . P apacito aims to capitalize on the bas ic human interactions prevalent in s ocial networks by facilitating this type of interaction with a fun and engaging s ocial game. T he application will allow us ers to anonymous ly admire other us ers by adding them as their 'P apacito. ' T o increas e game play and extend functionality, more gues s es per game will be available via both ala carte pricing and a monthly s ubs cription fee payable via QDollars , the Q uepas a premium virtual currency.

S ites earc h C orporation Open Text C orp. (Nas daqG S :OTE X)

Quepas a C orp. (OTC B B : QP S A)

Q uepas a Launches its P apacito Dating Application

ZipL oc al Inc . (TS XV: ZIP .H)

ZipL ocal Inc. R eports Unaudited C ons olidated E arnings ZipL ocal Inc. reported unaudited cons olidated earnings res ults for the fourth quarter and full year ended J une 30, 2009. R es ults for the F ourth Q uarter and F ull Y ear E nded J une F or the quarter, the company has pos ted s ales of C AD 621, 223 compared to C AD 837, 782 for the s ame period a year 30, 2009 ago. Net los s and comprehens ive los s was C AD 77, 850 compared to C AD 1, 697, 886 or C AD 0. 02 bas ic and diluted per s hare for the s ame period a year ago. Net cas h us ed in operating activities was C AD 162, 605 compared to C AD 518, 758 for the s ame period a year ago. F or the full year, the company has pos ted s ales of C AD 2, 802, 805 compared to C AD 3, 969, 909 for the s ame period a year ago. Net los s and comprehens ive los s was C AD 1, 983, 123 or C AD 0. 02 bas ic and diluted per s hare compared to C AD 6,302, 258 or C AD 0. 09 bas ic and diluted per s hare for the s ame period a year ago. Net cas h us ed in operating activities was C AD 1, 535, 554 compared to C AD 4, 960, 397 for the s ame period a year ago. P urchas e of property, plant and equipment was C AD 15, 817 compared to C AD 138, 105 for the s ame period a year ago.

Figure 7. Key Developments Source. Capital IQ

Page 9

VALUATION Online Gaming companies lead market-cap charts: Fifteen companies in our W eb 2.0 universe top US$1 billion in market capitalization (Figure 8). Fifty-seven of the 89 companies have market caps under US$100 million, with 25 under US$10 million. Online gaming companies dominate the top of the list, led by Tencent Holdings (SEHK:700) with a market cap near US$30 billion.

Market C ap (US D m)
Tencent Holdings L td. Neteas e. c om Inc. S handa Interac tive Entertainment L td. Modern Times G roup Mtg A B IA C/InterA ctiveCorp. S ohu. c om Inc. Perfec t World Co. , L td. Gree, Inc. Open Tex t Corp. Changy ou. com L imited G iant Interac tive Group, Inc. Chines e Gamer International V alueClick Inc. Mix i, Inc. K ings oft Co. L td. NEOWIZ Games Corporation United Online Inc. S hutterf ly , Inc. NetDragon WebS oft, Inc. S K Communications Co. , L td. XING A G G ungHo Online Entertainment, Inc. CDC Corp. GigaMedia L td. Gamania Digital Entertainment Co. , L td. Openw ave S y s tems Inc. OA O R B C Inf ormation S ys tems My riad Group A G The9 L imited DA DA S pA A c toz S of t Co. , L td. Y edangOnline Corp. NeuL ion Incorporated G ameOn Co L td. TheS treet.c om, Inc. Tree. Com, Inc. HanbitS oft, Inc. Cy berplex Inc. Fluid Mus ic Canada, Inc. Frogs ter Interac tive Pic tures A G GeoS entric Oy j PNI Digital Media Inc. DigitalTow n, Inc. Gravity Co., L td S park Netw orks , Inc. Eolith Co. L td. DXN Holdings B hd NeXplore Corporation Ngi G roup Inc. Webz en Inc. A Q Interactive, Inc. Northgate Tec hnologies L imited S ocialw is e, Inc. Wiz z ard S oftw are Corporation Dolphin Digital Media, Inc. B roadWebA s ia Inc. LookS mart, L td. Quepas a Corp. J umbuck Entertainment L imited A c celeriz e New Media, Inc. Y nk K orea Inc. L ingo Media Corporation B ey ond Commerc e, Inc. UOMO Media, Inc S pec trumDNA , Inc. Ex tens ions , Inc. B right Things plc is eemedia Inc. CornerWorld Corporation Worlds . c om Inc. MOK O. mobi L imited DigitalPos t Interac tive, Inc. IA S Energy , Inc. Magnitude Information S y s tems Inc. S NA P Interac tive, Inc. V OIS , Inc. L iveWorld Inc. B igs tring Corp. B etaw ave Corporation Wynds torm Corporation Unis erve Communications Corp. K A B Dis tribution Inc. A s s oc iated Media Holdings Inc. CL ICK ER Inc. The Parent Company China Gatew ay Corporation S NM Global Holdings Dibz International, Inc. S ocial Media V enures , Inc. 0
Figure 8. Market Cap Ranking Source. Capital IQ

28, 711.6 5, 565. 3 3, 337. 9 2, 716. 1 2, 548. 7 2, 509. 0 2, 250. 1 2, 142. 8 2, 097. 2 1, 818. 9 1, 512. 6 1, 255. 2 1, 127. 8 970. 1 968. 2 676. 6 659. 8 399. 7 341. 0 308. 1 284. 5 277. 4 264. 9 261. 7 225. 2 208. 7 208. 1 192. 5 189. 7 159. 7 124. 6 105. 5 98. 6 93. 0 87. 5 83. 1 76. 7 74. 9 73. 3 68. 4 65. 8 59. 8 55. 0 52. 0 47. 1 45. 2 39. 4 36. 3 33. 4 32. 1 29. 6 29. 4 27. 0 23. 5 19. 9 19. 5 19. 5 19. 1 17. 0 16. 8 16. 8 12. 1 11. 3 10. 4 9. 7 8. 9 5. 9 5. 9 5. 7 5. 2 4. 9 4. 5 4. 2 4. 1 3. 8 3. 3 2. 5 2. 1 2. 0 1. 8 0. 9 0. 6 0. 6 0. 6 0. 3 0. 0 0. 0 0. 0 0. 0 500 1, 000 1, 500 2, 000 2, 500 3, 000 3,500 4, 000

Page 10

TEV/Revenue (LTM) averages 4.6x: The overall average TEV/Revenue (LTM) multiple for our group is 4.6x (vs. 4.6x last week) (Figure 9). Having recovered from a negative end of month in September, we now see three companies trading above 25x revenue – Dolphin Digital Media, Inc. (OTCBB:DPDM) at 36.7x, Tencent Holdings Ltd. (SEHK:700) at 26.9x, and NexPlore Corporation (OTCPK:NXPC) at 25.3x. The median of 1.9x is on par with last week’s multiple. Note that we exclude multiples greater than 50x. Twenty-nine companies have multiples under 1.5x.

T E V/L T M R evenue (x)
40. 0
36.7

35. 0 30. 0
26.9 25.3

25. 0 20. 0 15. 0
11.2 18.8 14.8 12.112.612.6

10. 0 A verage, 4.6 5. 0 0. 0
3.0 3.0 3.1 3.5 3.6 2.0 2.1 2.4 2.5 2.5 1.4 1.5 1.5 1.6 1.9 1.9 1.9 0.4 0.4 0.5 0.6 0.6 0.6 0.6 0.7 0.7 0.7 0.7 0.9 1.0 1.0 1.0 1.0 1.1 1.1 0.0 0.0 0.0 0.10.2 0.2 0.3 0.3 0.3 4.0 4.5 4.5 4.54.6

7.2 6.1 6.7

7.8 8.1 8.2

9.1

Figure 9. TEV/Revenue Ranking Source. Capital IQ

TEV/Revenue (LTM) by country/exchange: W e have also calculated multiples based on where the companies are listed or domiciled. Figure 10 shows the average TEV/Revenue multiples by stock exchange. The OTCBB has the largest number of companies (18), trading at an average multiple of 8.1x (vs. 8.4x last week). On a geographic basis, the United States has the most companies (38), trading at an average of 5.0x revenue (vs. 5.2x last week) (Figure 11). Ten of the companies are Canadian (average 4.3x revenue).
Average TEV/LTM Revenue - By Exchange
14.0 12.4 12.0 12.1 10.0 (x) 8.0 6.0 4.0 2.0 OTCBB OTCPK GTSM 0.0 SEHK HLSE TSE TSX ASX XTRA TSXV 10.2
(x) 14.0 12.0 10.0 8.0 6.0 4.0 8.1 7.1 5.9 5.0 4.9 4.8 4.3 3.0 1.9 1.8 1.0 0.7 0.7 0.3 Germany Hong Kong China India Finland Canada United Japan Australia Switzerland Malaysia Taiwan Sweden South Italy 0.0 0.0 0.0 Grand Total 88 Russia 1 United 1

NasdaqGM

CM

OSE

NasdaqGS

OM KOSE

RTS

BSE

AIM

# Companies

3

1 2 18 11 2 5 4 2 4

1 2 1 14 1 6 1 1 5

AMEX

1 1 1 1
# Companies 1 10 3 2 38 6 2 10

NYSE

KLSE

SWX

Figures 10 & 11. TEV/Revenue Ranking (Exchange, Country) Source. Capital IQ

L iveWorld Inc . C hina G atewa y C orporation O AO R B C Information S y s tems AQ Intera ctive, Inc . T he P a rent C ompany U nis erve C ommunications C orp. G a meO n C o Ltd. C LIC K E R Inc. N orthgate T echnologies L imited T heS treet.com, Inc . T ree.C om, Inc. O penwave S y s tems Inc . IAC /InterAc tiveC orp. J umbuc k E nterta inment L imited S NAP Intera ctive, Inc . C y berplex Inc . P erfect World C o. , Ltd. C DC C orp. Ac toz S oft C o. , Ltd. DXN Holdings B hd B ey ond C ommerce, Inc . DADA S pA S pa rk N etwork s , Inc . H anbitS oft, Inc . G igaMedia Ltd. S N M G loba l Holdings United O nline Inc . Y nk K orea Inc . S K C ommunica tions C o., Ltd. G a mania Digital E ntertainment C o., S hutterfly , Inc . Modern T imes G roup Mtg AB V alueC lic k Inc . Y D O nline C orp. G ungHo O nline E ntertainment, Inc. NetDra gon WebS oft, Inc . C ornerWorld C orporation E olith C o. Ltd. P N I Digital Media Inc. O pen T ex t C orp. My riad G roup AG NE O WIZ G ames C orporation NeuLion Inc orporated is eemedia Inc . XIN G AG Wiz z ard S oftware C orporation S ohu.com Inc . S ocia l Media V entures Inc . Acceleriz e New Media , Inc . C hangy ou.com L imited DigitalP os t Intera ctive, Inc. Mix i, Inc . F rogs ter Intera ctiv e P ic tures AG K ings oft C o. Ltd. Lingo Media C orporation MO K O .mobi L imited F luid Mus ic C a nada , Inc. G eoS entric O y j UO MO Media, Inc As s ociated Media Holdings Inc . G ree, Inc . C hines e G amer Interna tional NeX plore C orporation T encent Holdings Ltd. Dolphin Digital Media, Inc.

Average TEV/LTM Revenue - By Country
12.1

8.1 6.2 5.9 5.6 5.1 4.8 3.6

3.0 2.7 2.0

2.0 1.9 1.8 1.0 0.7

0.4 0.3

0.0 0.00.0

2.0 0.0

1

1

8

1

1

1

1

Page 11

TEV/EBITDA (LTM) averages 12.1x: The average multiple for the 35 companies with positive EBITDA (and multiples under 100x) is 12.1x LTM EBITDA (vs. 12.2x last week), led by HanbitSoft, Inc. (KOSE:A047080) 43.5x multiple (Figure 12). Twelve companies have EBITDA multiples under 7x. The median multiple is 10.5x (vs. 10.0x last week).
T E V/L T M E B IT DA (x)
50. 0 45. 0 40. 0 35. 0 30. 0 25. 0 20. 0 15. 0 10. 0 5. 0 0. 3 O AO R B C Information S y s tems 0. 0 1. 1 G ameO n C o L td. 1. 3 1. 4 J umbuck E ntertainment L imited P erfec t World C o. , L td. 2. 3 S NAP Interac tive, Inc . 3. 1 4. 5 5. 0 A verage, 12.1 5. 2 5. 8 7. 3 7. 3 8. 4 8. 9 11. 6 12. 2 12. 5 10. 4 10. 5 10. 7 11. 3 9. 2 10. 0 13. 7 13. 8 14. 0 15. 2 18. 3 20. 9 21. 3 23. 0 23. 0 24. 6 33. 4 43. 5

G amania Digital E ntertainment C o. , Ltd.

G ungH o O nline E ntertainment, Inc .

NE O WIZ G ames C orporation

P NI Digital Media Inc .

S K C ommunic ations C o. , Ltd.

Modern T imes G roup Mtg AB

C hines e G amer International
0.3 Russia 1

DXN Holdings B hd

C hangy ou. c om L imited

C DC C orp.

S park Network s , Inc .

NetDragon WebS oft, Inc.

T heS treet. c om, Inc .

U nited O nline Inc .

O pen T ex t C orp.

IAC /InterAc tiveC orp.

Y D O nline C orp.

C yberplex Inc.

S ohu. c om Inc .

V alueC lic k Inc .

Mix i, Inc .

O penwave S y s tems Inc.

Y nk K orea Inc.

G ree, Inc .

XING AG

Figure 12. TEV/EBITDA Ranking Source. Capital IQ

TEV/EBITDA (LTM) by country/exchange: Figure 13 shows the average TEV/EBITDA multiples by stock exchange. The OTCBB has the largest number of companies (18), trading at an average multiple of 2.3x. On a geographic basis, the United States has the most companies (38), trading at an average of 10.6x EBITDA (Figure 14). Ten of the companies are Canadian (average 13.4x EBITDA).

Actoz S oft C o. , L td.

Average TEV/LTM EBITDA - By Exchange
25.0 23.0 20.0 15.0 (x) 10.0 5.0 GTSM NasdaqGM 0.0 TSXV NasdaqGS KOSE SEHK OSE TSE OM CM 20.9 18.0 15.7
25.0 20.0

Average TEV/LTM EBITDA - By Country
20.9 18.0 15.0

14.013.8 12.8 12.2

10.8

14.0 13.8 13.4 12.2

(x)

9.2

10.0

10.6 10.5 9.5 7.3 5.2 1.4 0.0 Switzerland 1

7.3

5.8 5.2 4.5

2.3 OTCBB

1.4 0.3 RTS ASX

5.0 0.0 Germany Canada Hong Kong China

AMEX

XTRA

KLSE

TSX

K ings oft C o. L td.

Malaysia

United States

Japan

Taiwan

South Korea

Italy

# Companies

4

2

6

5

5

2

3

1

14

1

1

4

1

2

18

2

1

# Companies

3

8

6

2

10

1

38

1

10

1

1

Figures 13 & 14. TEV/EBITDA Ranking (Exchange, Country) Source. Capital IQ

Australia

Sweden

2

H anbitS oft, Inc.

S hutterfly , Inc.

DADA S pA

Page 12

P/E (LTM) averages 18.8x: The average multiple for the 33 companies with positive earnings (and multiples under 100x) is 18.8x LTM EPS (vs. 18.8x last week), led by Tencent Holdings Ltd. (SEHK:700) with a 69.3x multiple (Figure 15). Twelve companies have P/E multiples under 10x. The median is 13.3x.

P /E L T M (x)
80.0 69.3 70.0 60.2 60.0 51.4 50.0 40.0 29.4 30.0 20.0 10.0 2.5 0.0 T he9 Limited Neteas e.com Inc. P erfect World C o., Ltd. 2.9 A verage, 18.8 6.7 6.9 7.1 9.7 15.9 16.0 13.3 13.6 13.9 14.9 10.4 10.8 12.0 12.0 18.0 20.1 22.3 38.3 34.0 43.7 53.6

3.2

4.6 J umbuck E ntertainment Limited

NE O W IZ G ames C orporation

G amania Digital E ntertainment C o., Ltd.

G ungH o O nline E ntertainment, Inc.
0.0

Modern T imes G roup Mtg AB

C hines e G amer International

DXN H oldings B hd

C hangy ou.com Limited

S NAP Interactive, Inc.

G ameO n C o Ltd.

O pen T ex t C orp.

C y berplex Inc.

G igaMedia Ltd.

NetDragon W ebS oft, Inc.

Figure 15. P/E Ranking Source. Capital IQ

P/E (LTM) by country/exchange: Figure 16 shows the average P/E multiples by stock exchange. The OTCBB has the largest number of companies (18), trading at an average multiple of 12.3x. On a geographic basis, the United States has the most companies (38), trading at an average of 12.6x earnings (Figure 17). Ten of the companies are Canadian (average 22.6x EPS).

Average P/E - By Exchange
70.0 60.0 50.0 (x) 40.0 30.0 20.0 10.0 GTSM 0.0 SEHK OSE TSE KOSE OM XTRA 38.2 35.1 31.9 29.4 18.6 14.9 13.9 12.3 11.0 7.1 OTCBB NasdaqGS
(x)

60.2

6.9 TSX

4.6 ASX

2.0 NasdaqGM 0.0 NYSE

50.0 45.0 40.0 35.0 30.0 25.0 20.0 15.0 10.0 5.0 0.0

Average P/E - By Country
43.7

29.4

24.7 22.6 14.9 14.6 12.6 12.4 7.1 4.6 0.0

Germany

Canada

Japan

United States

China

Malaysia

South Korea

Australia

Taiwan

Sweden

# Companies

1

5

3

2

2

6

1

2

18

14

1

4

2

1

5

# Companies

6

2

3

10

1

10

38

8

1

2

Switzerland 1

AMEX

KLSE

Figures 16 & 17. P/E Ranking (Exchange, Country) Source. Capital IQ

Italy 1

T encent H oldings Ltd.

S park Network s , Inc.

IAC /InterActiveC orp.

Y D O nline C orp.

S ohu.com Inc.

Worlds .com Inc.

H anbitS oft, Inc.

Actoz S oft C o., Ltd.

K ings oft C o. Ltd.

G ree, Inc.

XING AG

Mix i, Inc.

Page 13

UPCOMING EVENTS
E arnings C alendar
C ompany
Modern Times Group Mtg AB (OM:MTG B) Changyou.com Limited (NasdaqGS:CYOU) Sohu.com Inc. (NasdaqGS:SOHU) IAC/InterActiveCorp. (NasdaqGS:IACI) ValueClick Inc. (NasdaqGS:VCLK) Open Text Corp. (NasdaqGS:OTEX) Shutterfly, Inc. (NasdaqGS:SFLY) Openwave Systems Inc. (NasdaqGS:OPWV) Tree.Com, Inc. (NasdaqGM:TREE) United Online Inc. (NasdaqGS:UNTD)

Date & Time
Wednesday, October 21, 2009, 9:00 a.m. EDT Monday, October 26, 2009, 7:00 a.m. EDT Monday, October 26, 2009, 8:00 a.m. EDT Tuesday, October 27, 2009, 11:00 a.m. EDT Tuesday, October 27, 2009, 4:30 p.m. EDT Tuesday, October 27, 2009, 5:00 p.m. EDT Wednesday, October 28, 2009, 5:00 p.m. EDT Thursday, October 29, 2009, 5:00 p.m. EDT Friday, October 30, 2009, 11:00 a.m. EDT Wednesday, November 4, 2009, 5:30 p.m. EDT

Quarter
Q 3 2009 Q 3 2009 Q 3 2009 Q 3 2009 Q 3 2009 Q 1 2010 Q 3 2009 Q 1 2010 Q 3 2009 Q 3 2009

C onf C all Details
http: //www. mtg. s e/en/Inves tors /C onference-ca lls /R egis tra tion/ 1-866-314-5050 1-800-901-5248 www. iac. com/inves tors http: //www. va lueclick. com/ 1-800-814-4861 719-325-4880 877-941-8416 1-888-428-9470 877-718-5098

Figure 18. Earnings Calendar Source. Company reports

Page 14

C omparable C ompany Analys is > Web 2.0
Pric e P erformanc e
C ompany Name A ccelerize New Media, Inc. A ctoz S oft C o. , L td. A Q Interactive, Inc. A s s ociated Media H oldings Inc. B igs tring C orp. B eta wave C orpora tion B eyond C ommerce, Inc. B right T hings plc B roadW ebA s ia Inc. C DC C orp. C ha ngyou.com Limited C hina G a tewa y C orporation C hines e G a mer International C LIC K E R Inc. C ornerW orld C orpora tion C yberplex Inc. DADA S pA DXN Holdings B hd Dibz Interna tional, Inc. DigitalP os t Intera ctive, Inc. DigitalT own, Inc. Dolphin Digital Media, Inc. E olith C o. L td. E xtens ions , Inc. F luid Mus ic C anada, Inc. F rogs ter Intera ctive P ictures AG G amania Digita l E ntertainment C o., L td. G ameO n C o L td. G eoS entric Oyj G ia nt Interactive G roup, Inc. G igaMedia L td. G ra vity C o., Ltd G ree, Inc. G ungH o Online E ntertainment, Inc. H anbitS oft, Inc. IAC /InterA ctiveC orp. IAS E nergy, Inc. is eemedia Inc. J umbuck E ntertainment Limited K AB Dis tribution Inc. K ings oft C o. L td. L ingo Media C orpora tion L iveW orld Inc. L ookS mart, L td. Ma gnitude Information S ys tems Inc. Mixi, Inc. Modern T imes G roup Mtg AB MO K O .mobi L imited Myriad G roup AG NE O W IZ G ames C orporation NetDra gon W ebS oft, Inc. Netea s e. com Inc. NeuLion Incorpora ted NeXplore C orpora tion Ngi G roup Inc. Northgate T echnologies Limited O pen T ext C orp. O penwa ve S ys tems Inc. P erfect W orld C o., Ltd. P NI Digital Media Inc. Q uepa s a C orp. O AO R B C Information S ys tems S ha nda Interactive E nterta inment L td. S hutterfly, Inc. S K C ommunications C o. , L td. S NA P Intera ctive, Inc. S NM G loba l H oldings S ocial Media V entures Inc. S ocialwis e, Inc. S ohu.com Inc. S pa rk Networks , Inc. S pectrumDNA, Inc. T encent H oldings Ltd. T he P a rent C ompany T he9 L imited T heS treet.com, Inc. T ree.C om, Inc. U nis erve C ommunica tions C orp. U nited O nline Inc. U OMO Media, Inc V alueC lick Inc. V OIS , Inc. W ebzen Inc. W izzard S oftwa re C orporation W orlds .com Inc. W ynds torm C orpora tion XING A G Y D Online C orp. Y nk K orea Inc. H igh L ow Average Media n C urrenc y US D KR W JPY US D US D US D US D GB P US D US D US D US D TWD US D US D C AD E UR MY R US D US D US D US D KR W US D C AD E UR TWD JPY E UR US D US D US D JPY JPY KR W US D US D C AD AU D C AD HK D C AD US D US D US D JPY SEK AU D C HF KR W HK D US D C AD US D JPY INR US D US D US D C AD US D US D US D US D KR W US D US D US D US D US D US D US D HK D US D US D US D US D C AD US D US D US D US D US D US D US D US D E UR KR W KR W Tic ker AC L Z A052790 3838 AS MH BSGC B W AV B Y OC AIM:B G T BWBA C H IN.A C Y OU CGWY G T S M:3083 CLK Z CW R L T S X: C X C M:DA DXN DIB Z DG LP DG T W DP DM A041060 E XT I T S X: F MN FR G 6180 3812 G E O1V GA G IG M GR VY T S E :3632 3765 A047080 IA C I IA S A. E IE E AS X: J MB T S X: K AB 3888 T S XV :LM LV W D LO OK MAG Y 2121 MT G B MK B MY R N A095660 777 NT E S T S X: NL N NXP C 2497 590057 OT E X OP W V PWRD T S XV :P N QP S A R BCI S NDA S F LY A066270 S TVI S NMN S MV I S CLW S O HU LO V S P XA 700 K IDS . Q NC T Y TS CM TR E E T S XV :US S UNT D UO MO V CLK V O IS W ZE N W ZE W DDD W Y ND O1B C A052770 A023770 E xc hange OT C B B K OS E TS E OT C P K OT C B B OT C B B OT C B B A IM OT C P K Nas da qG S Nas da qG S OT C P K GTS M OT C B B OT C B B TS X CM K LS E OT C P K OT C B B OT C B B OT C B B K OS E OT C P K TS X XT R A GTS M TS E H LS E NY S E Nas da qG S Nas da qG M TS E OS E K OS E Nas da qG S OT C B B T S XV AS X TS X S E HK T S XV OT C P K Nas da qG M OT C B B TS E OM AS X S WX K OS E S E HK Nas da qG S TS X OT C P K TS E BSE Nas da qG S Nas da qG S Nas da qG S T S XV OT C B B R TS Nas da qG S Nas da qG S K OS E OT C B B OT C P K OT C P K OT C B B Nas da qG S A ME X OT C B B S E HK OT C P K Nas da qG S Nas da qG M Nas da qG M T S XV Nas da qG S OT C B B Nas da qG S OT C B B Nas da qG M A ME X OT C B B OT C P K XT R A K OS E K OS E US D Market C ap ($m) 15.4 113.2 29.8 0.4 2.4 1.2 4.9 5.9 2.5 268.1 1, 744.6 0.0 1, 231.9 0.7 5.7 76.7 182.6 42.6 0.0 4.6 41.1 20.4 36.7 7.1 66.6 76.9 234.1 97.4 65.8 1, 718.7 262.2 45.6 2, 423.2 278.7 75.0 2, 539.5 7.1 6.6 16.2 0.6 1, 120.1 10.8 1.3 20.5 5.4 1, 102.8 3, 113.5 7.3 192.9 654.5 334.9 5, 094.2 85.0 39.0 39.1 26.4 2, 297.6 211.3 2, 211.2 55.0 17.8 208.1 3, 321.1 405.3 288.1 3.8 0.0 0.0 27.0 2, 683.0 50.6 6.8 33,964. 6 0.2 223.1 91.8 85.3 1.1 757.1 9.5 1, 197.5 4.1 31.4 22.7 4.7 1.8 286.5 101.6 18.0 C urrent P ric e 0.55 15, 600 49, 000 0.01 0.04 0.04 0.11 0.01 0.03 2.53 31.72 0.00 475.00 0.01 0.06 1.28 7.69 0.65 0.00 0.06 1.50 0.38 605.00 0.16 1.38 20.50 50.00 90, 100 0.05 7.59 4.81 1.64 4, 840 217, 500 4, 085 19.18 0.10 0.14 0.38 0.01 7.95 0.94 0.04 1.20 0.01 640,000.00 329.00 0.08 4.50 37,050.00 4.91 39.36 0.81 0.70 28,200.00 36.30 40.92 2.53 44.96 1.75 1.40 1.50 49.38 15.92 8,210.00 0.35 0.00 0.04 0.61 69.99 2.46 0.14 145 0.01 8.89 3.00 7.90 0.05 9.03 0.11 13.74 0.01 2.65 0.45 0.09 0.10 37.10 8,090.00 4,035.00 1 Wk -8.3% -5.2% -1.8% -35.7% 0. 0% -40.0% -30.5% 0. 0% -87.0% 0. 0% 2. 8% -86.7% 6. 0% 18.4% 0. 0% 2. 4% 6. 2% 6. 6% 20.0% 0. 0% -25.4% 0. 0% -16.0% -64.4% 2. 2% 13.9% 2. 6% 1. 8% 0. 0% 11.1% -1.6% -19.6% -1.2% -5.3% -5.7% 0. 8% 68.3% 16.7% 0. 0% -50.0% 7. 0% 4. 4% -48.8% 0. 0% 71.4% -1.7% 5. 3% 5. 3% 0. 4% -10.4% -1.6% 2. 6% -15.6% 16.7% 2. 7% -3.5% 5. 7% -1.9% 7. 0% -5.9% 0. 0% 0. 0% 4. 0% -6.6% -2.4% -30.0% -5.3% -53.3% 3. 4% 10.3% 3. 8% -30.0% 14.4% 0. 0% 17.4% 0. 7% -2.2% 25.0% 8. 9% -8.3% 2. 0% -7.4% -4.3% -6.2% -10.0% 0. 0% 1. 2% -1.8% 3. 7% 71.4% -87.0% -3.8% 0. 0% 1 Mth -15.4% -21.0% -6.7% -35.7% 107.3% -40.0% -38.2% 10.0% -87.0% -9.6% -18.1% -86.7% 4.4% 80.0% 0.0% 0.8% 7.0% 7.4% NM 9.1% 0.0% 2.7% -30.9% -11.1% -1.4% 17.2% -1.2% -10.6% 0.0% -2.2% -10.6% -16.7% -1.7% -12.1% -1.6% -7.4% -56.1% 133.3% -2.6% -99.2% -4.4% -6.0% 2.5% -8.4% 20.0% 6.8% 3.5% 12.9% 5.1% -10.4% -17.5% -13.0% -19.0% 16.7% 5.4% -16.8% 5.7% -10.3% 1.7% -7.9% -20.0% 42.9% -8.9% -8.3% -12.5% -12.5% -52.6% -65.0% 5.2% 1.0% 12.8% -36.4% 14.7% -30.0% 3.0% 12.4% -0.8% 25.0% 8.7% -15.4% 9.7% 25.0% -6.4% -6.2% -10.0% 0.0% 12.4% -11.2% -3.9% 133.3% -99.2% -4.6% -3.2% 3 Mth -3.5% -43.5% -16.1% -55.0% 0.0% -63.5% -65.0% -8.3% -87.0% 14.0% -28.0% -86.7% -0.2% -10.0% 20.0% -15.2% 28.4% 73.3% 20.0% 1.7% -25.0% 26.7% -25.3% 100.0% 53.3% 65.3% -21.9% -13.4% 25.0% -5.7% -2.4% 0.0% 39.5% 3.6% -12.2% 9.4% -8.2% 64.7% 0.0% -99.2% 15.4% -21.7% 17.1% 7.1% 60.0% -6.2% 36.2% 31.7% 1.1% 16.3% -19.9% -5.4% 1.3% 55.6% -17.1% 5.8% 10.5% -11.5% 34.2% 9.4% 55.6% 100.0% -14.5% 9.0% -14.0% -22.2% 12.5% -89.1% -23.8% 9.3% 0.4% -6.7% 44.2% -75.0% -1.9% 48.5% -18.3% -50.0% 10.7% 0.0% 19.9% 0.0% -23.2% -4.3% -35.7% 0.0% 30.2% -2.5% -31.6% 100.0% -99.2% 0.0% 0.0% 6 Mth 12.2% 3. 7% 6. 5% 500.0% 192.0% -72.0% -93.8% -21.4% -93.3% 107.4% 21.2% 0. 0% 151.3% 80.0% -57.1% 5. 8% 51.4% 109.7% -88.0% 215.8% -45.5% -24.0% -8.3% 6. 7% 294.3% 134.3% 55.5% 0. 9% 66.7% -6.5% -28.1% 67.3% 72.5% 77.8% -11.2% 18.8% -57.9% 40.0% -17.4% -98.6% 115.4% 4. 4% -59.0% -8.4% -20.0% 48.5% 72.7% -7.1% 9. 8% 29.1% 12.6% 31.5% 44.6% -12.5% -21.7% -13.5% 18.8% 110.8% 175.5% 6. 1% 47.4% 200.0% 10.3% 45.8% -17.0% -53.3% -55.0% -76.7% 74.3% 50.1% 10.3% -6.7% 129.3% -41.7% -7.0% 21.5% 38.6% 25.0% 88.5% 37.5% 39.2% 66.7% -4.0% -25.0% -47.1% -41.2% 30.7% -16.3% -12.7% 500.0% -98.6% 29.4% 10.3% 1 Yr 10.0% 94.8% 30.1% 12.5% 48.1% -70. 0% -95. 1% -4.5% -95. 0% 105. 7% NM -80. 0% 537. 6% -97. 4% -70. 0% 184. 4% 9.9% 97.0% -97. 6% 71.4% -25. 0% -62. 0% 45.8% 60.0% 245. 0% 455. 6% 284. 6% 28.9% 150. 0% 23.6% -12. 1% 113. 0% NM 80.6% 49.1% 19.7% -49. 2% 133. 3% -10. 6% -99. 4% 297. 5% -27. 7% -68. 5% -33. 3% -20. 0% 5.1% 103. 1% 64.6% -20. 8% 517. 5% 69.9% 105. 6% 28.6% 16.7% -62. 8% -54. 1% 75.6% 237. 3% 189. 9% -2.2% -29. 6% 0.0% 110. 4% 137. 3% 76.6% 75.0% -98. 5% -96. 5% -69. 5% 56.5% -22. 6% -12. 5% 229. 7% -99. 1% -31. 0% -19. 6% 205. 0% -72. 2% 30.5% -35. 3% 115. 4% -33. 3% 204. 6% -47. 1% -50. 0% -50. 0% 34.1% 30.5% -46. 8% 537. 6% -99. 4% 45.2% 16.7% 52 Week -20.3% -56.7% -41.0% -55.0% -29.8% -85.5% -95.1% -44.3% -99.0% -35.5% -34.4% -93.3% -8.5% -97.8% -87.2% -35.7% -6.1% -5.8% -97.6% -39.4% -57.1% -63.8% -47.8% -84.2% -13.8% -4.4% -27.3% -40.7% -16.7% -20.7% -37.8% -37.6% -9.2% -22.3% -38.5% -9.9% -63.9% -12.5% -35.0% -99.2% -16.1% -43.0% -83.6% -39.7% -60.0% -14.3% -1.1% -21.0% -40.0% -17.5% -31.3% -18.8% -37.7% -51.7% -68.3% -58.4% -1.0% -19.2% -11.0% -24.6% -41.7% -11.8% -24.0% -12.2% -36.1% -67.6% -99.3% -99.3% -72.8% -3.2% -26.6% -68.9% -0.4% -99.3% -46.6% -27.7% -39.6% -50.0% -4.5% -89.6% -1.4% -78.3% -43.4% -74.0% -62.5% -80.4% -2.3% -34.8% -53.6% -0.4% -99.3% -42.9% -38.5%

811.1

Figure 19. Price Performance Source. Capital IQ

Page 15

C omparable C ompany Analys is > Web 2.0
Valuation Multiples C ompany Name
Accelerize New Media, Inc. Actoz S oft C o., Ltd. AQ Intera ctive, Inc. As s ocia ted Media Holdings Inc. B igs tring C orp. B etawave C orpora tion B eyond C ommerce, Inc. B right T hings plc B roadW ebAs ia Inc. C DC C orp. C hangyou.com Limited C hina G atewa y C orpora tion C hines e G amer Interna tional C L IC K E R Inc. C ornerW orld C orporation C yberplex Inc. DA DA S pA DXN Holdings B hd Dibz Interna tiona l, Inc. DigitalP os t Interactive, Inc. DigitalT own, Inc. Dolphin Digital Media, Inc. E olith C o. L td. E xtens ions , Inc. F luid Mus ic C a nada, Inc. F rogs ter Interactive P ictures A G G amania Digital E ntertainment C o., Ltd. G ameO n C o Ltd. G eoS entric Oyj G iant Interactive G roup, Inc. G igaMedia Ltd. G ravity C o., Ltd G ree, Inc. G ungH o O nline E nterta inment, Inc. Ha nbitS oft, Inc. IAC /InterActiveC orp. IAS E nergy, Inc. is eemedia Inc. J umbuck E ntertainment Limited K A B Dis tribution Inc. K ings oft C o. Ltd. Lingo Media C orpora tion LiveW orld Inc. LookS ma rt, L td. Magnitude Information S ys tems Inc. Mixi, Inc. Modern T imes G roup Mtg AB MOK O .mobi Limited Myriad G roup AG NE OW IZ G ames C orporation NetDra gon W ebS oft, Inc. Netea s e.com Inc. NeuLion Incorporated NeXplore C orporation Ngi G roup Inc. Northgate T echnologies Limited O pen T ext C orp. O penwave S ys tems Inc. P erfect W orld C o., Ltd. P N I Digital Media Inc. Q uepa s a C orp. O AO R B C Information S ys tems S handa Interactive E nterta inment Ltd. S hutterfly, Inc. S K C ommunications C o., Ltd. S N AP Interactive, Inc. S N M G lobal Holdings S ocial Media V entures Inc. S ocialwis e, Inc. S ohu.com Inc. S park N etworks , Inc. S pectrumDN A, Inc. T encent Holdings Ltd. T he P a rent C ompany T he9 L imited T heS treet.com, Inc. T ree.C om, Inc. Unis erve C ommunications C orp. United Online Inc. UO MO Media, Inc V a lueC lick Inc. V O IS , Inc. W ebzen Inc. W izzard S oftware C orporation W orlds .com Inc. W ynds torm C orporation XIN G AG Y D Online C orp. Y nk K orea Inc. High Low Average Median

S ec tor
Direct Marketing G aming G aming Mobile Ins ta nt Mes s aging Media S ocial Networking S ocial Networking S ocial Networking G aming G aming Mobile G aming Direct Marketing C ontent A dvertis ing S ocial Networking S ocial Networking S NS Apps C ontent S ocial Networking S ocial Networking G aming C ontent Media G aming G aming G aming Mobile G aming G aming G aming S ocial Networking Media G aming Media V ideo C ontent S ocial Networking C ontent G aming L earning S ocial Networking Direct Marketing S ocial Networking S ocial Networking Media S ocial Networking Mobile G aming G aming G aming V ideo C ontent Media Direct Marketing C ollabora tion Mobile G aming Digita l Ima ging S ocial Networking Media G aming Digita l Ima ging S earch Dating Media S ocial Networking S ocial Networking G aming S ocial Networking Media P orta l Media G aming Media P orta l S ocial Networking Media Media Media S ocial Networking G aming P odca s ting C ontent C ontent S ocial Networking G aming G aming

C ountry
U nited S ta tes S outh K orea J apan U nited S ta tes U nited S ta tes U nited S ta tes U nited S ta tes U nited K ingdom U nited S ta tes H ong K ong C hina U nited S ta tes T a iwa n U nited S ta tes U nited S ta tes C ana da Italy Mala ys ia U nited S ta tes U nited S ta tes U nited S ta tes U nited S ta tes S outh K orea U nited S ta tes U nited S ta tes G erma ny T a iwa n J apan F inland C hina T a iwa n S outh K orea J apan J apan S outh K orea U nited S ta tes C ana da C ana da Aus tra lia C ana da C hina C ana da U nited S ta tes U nited S ta tes U nited S ta tes J apan S weden Aus tra lia S witzerla nd S outh K orea C hina C hina C ana da U nited S ta tes J apan India C ana da U nited S ta tes C hina C ana da U nited S ta tes R us s ia C hina U nited S ta tes S outh K orea U nited S ta tes U nited S ta tes U nited S ta tes U nited S ta tes C hina U nited S ta tes U nited S ta tes C hina U nited S ta tes C hina U nited S ta tes U nited S ta tes C ana da U nited S ta tes C ana da U nited S ta tes U nited S ta tes S outh K orea U nited S ta tes U nited S ta tes U nited S ta tes G erma ny S outh K orea S outh K orea

P rimary E xc hange
OTCB B K OS E TS E OTCP K OTCB B OTCB B OTCB B AIM OTCP K N as da qG S N as da qG S OTCP K GTS M OTCB B OTCB B TS X CM K LS E OTCP K OTCB B OTCB B OTCB B K OS E OTCP K TS X XT R A GTS M TS E H LS E NY S E N as da qG S N as da qG M TS E OS E K OS E N as da qG S OTCB B T S XV AS X TS X S E HK T S XV OTCP K N as da qG M OTCB B TS E OM AS X SWX K OS E S E HK N as da qG S TS X OTCP K TS E BS E N as da qG S N as da qG S N as da qG S T S XV OTCB B R TS N as da qG S N as da qG S K OS E OTCB B OTCP K OTCP K OTCB B N as da qG S AME X OTCB B S E HK OTCP K N as da qG S N as da qG M N as da qG M T S XV N as da qG S OTCB B N as da qG S OTCB B N as da qG M AME X OTCB B OTCP K XT R A K OS E K OS E

Ticker
AC LZ A052790 3838 AS MH BSGC B W AV B YOC AIM:B G T BWBA C HIN.A C Y OU CGW Y G T S M:3083 C LK Z CW R L T S X: C X C M:DA DXN DIB Z DG L P DG T W DP DM A041060 E XT I T S X:F MN FR G 6180 3812 G E O1V GA G IG M GR VY T S E : 3632 3765 A047080 IAC I IAS A.E IE E AS X:J MB T S X:K AB 3888 T S XV : LM LV W D L OOK MA G Y 2121 MT G B MK B MY R N A095660 777 NT E S T S X:NL N NXP C 2497 590057 OT E X OP W V PWRD T S XV :P N QP S A R BCI S NDA S FLY A066270 S TVI S NMN S MV I S CLW S O HU L OV S P XA 700 K IDS .Q NC T Y TS CM TREE T S XV :US S U NT D UO MO V CLK V OIS W ZE N W ZE W DDD W Y ND O1B C A052770 A023770

US D Market C ap ($m)
15.4 113.2 29.8 0.4 2.4 1.2 4.9 5.9 2.5 268.1 1,744.6 0.0 1,231.9 0.7 5.7 76.7 182.6 42.6 0.0 4.6 41.1 20.4 36.7 7.1 66.6 76.9 234.1 97.4 65.8 1,718.7 262.2 45.6 2,423.2 278.7 75.0 2,539.5 7.1 6.6 16.2 0.6 1,120.1 10.8 1.3 20.5 5.4 1,102.8 3,113.5 7.3 192.9 654.5 334.9 5,094.2 85.0 39.0 39.1 26.4 2,297.6 211.3 2,211.2 55.0 17.8 208.1 3,321.1 405.3 288.1 3.8 0.0 0.0 27.0 2,683.0 50.6 6.8 33,964.6 0.2 223.1 91.8 85.3 1.1 757.1 9.5 1,197.5 4.1 31.4 22.7 4.7 1.8 286.5 101.6 18.0 33,964.6 0.0 811.1 42.6

TE V/L TM R evenue
4.6x 0.7x 0.1x 12.6x 0.9x 0.7x 6.1x 0.0x 18.8x 0.3x 2.4x 0.6x 1.0x 0.7x 6.7x 36.7x 2.5x 11.2x 7.8x 1.5x 0.3x 12.1x 1.0x 14.8x 2.0x 1.0x 0.6x 3.6x 0.6x 8.1x 8.2x 0.0x 7.2x 1.9x 9.1x 3.0x 3.1x 2.1x 3.5x 25.3x 0.3x 3.0x 0.5x 0.7x 2.5x 0.0x 1.6x 1.5x 0.6x 1.1x 4.5x 4.5x 1.0x 26.9x 0.2x 0.4x 0.4x 0.2x 1.1x 12.6x 1.9x 4.5x 4.0x 1.9x 1.4x 36.7x 0.0x 4.6x 1.9x

TE V/ NTM R evenue
0.1x 0.8x 4.7x 17.7x 0.5x 0.9x 1.4x 10.0x 1.0x 7.3x 0.6x 0.6x 6.6x 6.2x 1.8x 2.7x 2.5x 0.5x 3.5x 2.1x 1.0x 1.5x 3.9x 20.6x 0.2x 0.5x 0.4x 1.1x 2.0x 3.0x 1.5x 20.6x 0.1x 3.4x 1.5x

TE V/L TM E B ITDA
3. 1x 10.5x 10.0x 33.4x 5. 8x 7. 3x 5. 2x 8. 4x 1. 1x 24.6x 9. 2x 43.5x 15.2x 1. 4x 18.3x 21.3x 12.2x 11.6x 7. 3x 11.3x 20.9x 1. 3x 23.0x 0. 3x 12.5x 23.0x 2. 3x 10.4x 4. 5x 14.0x 5. 0x 10.7x 13.8x 8. 9x 13.7x 43.5x 0. 3x 12.1x 10.5x

TE V/NTM E B ITDA
7.4x 8.2x 28.8x 4.5x 6.2x 4.8x 13.0x 4.6x 1.5x 12.6x 19.6x 13.3x 9.3x 9.4x 4.6x 6.6x 6.9x 5.3x 8.0x 8.6x 48.9x 12.8x 8.2x 4.3x 7.6x 8.3x 4.9x 48.9x 1.5x 10.3x 8.0x

P /L TM E P S
16.0x 12.0x 43.7x 6.9x 7.1x 20.1x 9.7x 2.0x 10.4x 0.0x 51.4x 60.2x 13.3x 12.0x 4.6x 22.3x 53.6x 14.9x 34.0x 13.6x 2.9x 38.3x 3.2x 2.4x 6.7x 15.9x 13.9x 69.3x 2.5x 0.0x 18.0x 29.4x 10.8x 69.3x 0.0x 18.8x 13.3x

P /NTM E P S
8.8x 10.7x 26.1x 7.8x 17.3x 1.5x 15.8x 9.7x 26.4x 34.3x 3.4x 16.1x 46.7x 16.0x 11.9x 15.8x 1.5x 14.5x 31.6x 14.3x 14.0x 4.7x 13.6x 19.2x 57.9x 50.8x 6.8x 21.4x 16.9x 57.9x 1.5x 18.5x 15.8x

P /TangB V
1.8x 0.5x 0.2x 11.8x 21.1x 3.0x 0.9x 3.3x 6.2x 9.4x 3.0x 1.2x 54.3x 0.3x 2.2x 0.0x 23.8x 20.8x 2.1x 1.2x 5.4x 1.5x 0.0x 6.2x 19.3x 0.5x 0.8x 7.3x 7.5x 17.2x 1.8x 0.8x 6.2x 0.8x 3.1x 1.5x 19.2x 0.9x 2.4x 2.1x 5.2x 51.8x 68.0x 30.9x 0.1x 1.2x 1.1x 7.8x 26.3x 0.0x 9.1x 3.4x 0.9x 68.0x 0.0x 9.0x 3.0x

Figure 20. Valuation Comparison Source. Capital IQ

Page 16

C omparable C ompany Analys is > Web 2.0
S ummary by C ountry
C ompany Name United S tates C a na da C hina S outh K orea J a pa n T a iwa n Aus tralia G erma ny S witzerla nd Hong K ong F inla nd Ita ly United K ingdom India S weden R us s ia Ma lays ia Norwa y G rand Total 38 10 10 8 6 3 2 2 1 1 1 1 1 1 1 1 1 1 89 US D Market C ap ($m) C hina U nited S ta tes J a pan S weden C anada T a iwa n S outh K orea G ermany Hong K ong Ita ly R us s ia S witzerla nd F inland Malays ia India Aus tralia U nited K ingdom Norway G rand Total 49, 633. 4 5, 811. 3 3, 871. 5 2, 974. 2 2, 488. 2 1, 733. 6 1, 527. 4 317. 0 294. 6 165. 4 160. 9 92. 0 65. 9 39. 8 31. 0 22. 1 6. 0 0. 1 69,234.6 Avg US D Market C ap ($m) C hina S weden J apan T aiwan Hong K ong C anada S outh K orea Ita ly R us s ia G ermany U nited S ta tes S witzerla nd F inland Malays ia India Aus tralia U nited K ingdom Norway G rand Total 4,963. 3 2,974. 2 645. 3 577. 9 294. 6 248. 8 190. 9 165. 4 160. 9 158. 5 152. 9 92. 0 65. 9 39. 8 31. 0 11. 0 6. 0 0. 1 777.9 US D L TM Total R ev ($m) C hina United S tates S weden C a na da S outh K orea J a pa n T a iwa n Hong K ong Ita ly R us s ia India Ma lays ia G erma ny S witzerla nd Aus tralia F inla nd Norwa y United K ingdom G rand Total 4,152. 4 3,887. 3 1,982. 6 1,015. 0 707. 3 634. 4 385. 8 361. 6 242. 6 156. 2 82. 8 77. 1 68. 7 40. 0 17. 8 5. 5 2. 3 0. 0 13,819.5 US D L TM Total E B ITDA ($m) C hina S weden United S tates C a na da J a pa n S outh K orea T a iwa n Ita ly Hong K ong R us s ia G erma ny Ma lays ia Aus tralia S witzerla nd Norwa y United K ingdom F inla nd India G rand Total 2, 070. 2 304. 6 290. 0 200. 0 186. 0 121. 9 59. 8 31. 9 25. 1 20. 4 12. 5 11. 1 4. 5 0. 8 -1. 1 -2. 7 -17. 5 -41. 4 3,276.1 E B ITDA % C hina A us tralia T aiwan J apan S weden Mala ys ia Italy R us s ia S outh K orea Hong K ong S witzerla nd C anada G ermany U nited S ta tes India Norway U nited K ingdom F inland G rand Total 48. 8% 42. 8% 37. 1% 24. 2% 15. 4% 14. 4% 13. 1% 13. 1% 12. 7% 6. 9% 1. 9% -8. 5% -9. 1% -21. 9% -50. 0% -50. 6% NA NA 5.1%

Figure 21. Comparison by Country Source. Capital IQ

C omparable C ompany Analys is > Web 2.0
S ummary by E xc hange
C ompany Name OT C B B Na s daqG S OT C P K K OS E TS E Na s daqG M TS X T S XV S E HK AME X AS X XT R A GTS M SWX HL S E CM BS E NY S E OS E AIM OM RTS K LS E OT C NO G rand Total 18 14 11 6 5 5 4 4 3 2 2 2 2 1 1 1 1 1 1 1 1 1 1 1 89 US D Market C ap ($m) S E HK Nas da qG S TS E OM NY S E K OS E GTS M XT R A OS E Nas da qG M TS X OT C B B CM R TS SWX T S XV AME X HLS E OT C P K K LS E BS E AS X AIM OT C NO G rand Total 31, 520. 4 24, 385. 7 3, 569. 2 2, 974. 2 1, 750. 4 1, 437. 0 1, 430. 0 317. 0 302. 3 279. 7 243. 6 230. 9 165. 4 160. 9 92. 0 76. 6 68. 5 65. 9 65. 8 39. 8 31. 0 22. 1 6. 0 0. 1 69,234.6 Avg US D Market C ap ($m) S E HK OM NY S E Nas da qG S GTS M TSE OS E K OS E CM R TS XT R A SWX HLS E TSX Nas da qG M K LS E AME X BS E T S XV OT C B B AS X AIM OT C P K OT C NO G rand Total 10,506. 8 2,974. 2 1,750. 4 1,741. 8 715. 0 713. 8 302. 3 239. 5 165. 4 160. 9 158. 5 92. 0 65. 9 60. 9 55. 9 39. 8 34. 2 31. 0 19. 1 12. 8 11. 0 6. 0 6. 0 0. 1 777.9 US D L TM Total R ev ($m) OM S E HK Na s daqG S CM NY S E RTS OS E K OS E TS E GTS M BSE Na s daqG M K LS E TS X SWX XT R A AME X OT C P K T S XV AS X HL S E OT C B B OT C NO AIM G rand Total 1,982. 6 540. 0 498. 6 242. 6 198. 5 156. 2 116. 1 106. 0 103. 7 101. 1 82. 8 82. 4 77. 1 46. 4 40. 0 34. 3 27. 9 16. 5 12. 0 8. 9 5. 5 2. 3 2. 3 0. 0 13,819.5 US D L TM Total E B ITDA ($m) Na s daqG S S E HK OM TS E NY S E K OS E GTS M CM OS E RTS Na s daqG M XT R A K LS E AME X AS X SWX OT C NO AIM TS X T S XV HL S E OT C P K BSE OT C B B G rand Total 1, 796. 0 767. 5 304. 6 160. 2 124. 1 103. 2 59. 8 31. 9 25. 8 20. 4 15. 6 12. 5 11. 1 6. 2 4. 5 0. 8 -1. 1 -2. 7 -4. 3 -4. 6 -17. 5 -34. 1 -41. 4 -62. 4 3,276.1 E B ITDA % NY S E AS X S E HK GTS M Nas da qG S TSE OS E OM K LS E CM R TS K OS E Nas da qG M T S XV S WX XT R A A ME X TSX OTCB B OTCP K BSE O T C NO A IM HLS E G rand Total 62. 5% 42. 8% 40. 6% 37. 1% 30. 4% 24. 6% 22. 2% 15. 4% 14. 4% 13. 1% 13. 1% 9. 6% 7. 7% 5. 6% 1. 9% -9. 1% -31. 8% -34. 7% -38. 8% -41. 5% -50. 0% -50. 6% NA NA 5.1%

Figure 22. Comparison by Exchange Source. Capital IQ

Page 17

Financ ing - L as t Three Months (US $ m)
F in. Amount (Million) Month Aug-09 C ompany Name Turbine S mith & Tinker Mint Zoove R ichR elevance Traffiq MediaMath B ill.c om E do Interactive InnoC entive OneR iot B alihoo B oxee P olyvore Fanbas e MOG OurS tage Z2L ive K ODA S coreloop R oblox Tremor Media iS ocket R ights Flow P lis ta C hes s C ube L inks ify iS yndica DailyB ooth Aug-09 Total S ep-09 Twitter E ns equenc e L ivebookings Mzinga InXpo J obvite R iot G ames NextB io Imeem Vuc lip YuMe B ooyah NeoE dge Allianc e Health Networks Unis fair C onduit L abs Mocapay Fwix Vantrix Mas hL ogic G reys tripe L oomia FourS quare E duFire Fluther Trans Gaming Inc. OnL ive S ep-09 Total Oct-09 P opC ap G ames DailyMotion E ngine Yard HubS pot S pigit Ooyala R eality Mobile S ometrics Amie S treet ViVu Fizzbac k Tec hnorati DataS ync DailyB ooth L inkedex L is tia Oct-09 Total G rand Total UK US A US A US A 1. 0 1. 0 0. 4 2.4 28.8 2.0 33.2 61.6 30.5 160.3 57.1 128.6 2.0 88.3 110.0 US A US A UK US A 1.2 3.0 2.6 2. 0 US A US A US A 6.5 4.0 3.9 US A F ra nce US A US A US A 10.0 10.0 US A US A UK US A US A US A US A US A US A US A US A US A US A US A US A US A US A US A C anada US A US A US A US A US A US A C anada US A 0.6 2.0 16.9 22.5 22.1 19.0 16.0 52.3 27.9 23.1 110.0 232.8 22. 5 22. 1 19. 0 16. 0 10. 0 10. 0 6.5 4.0 3.9 3.0 2.6 2.0 1.2 1.0 1.0 0.4 125.2 579.6 0. 6 0. 5 1. 5 1.4 1.3 2.5 2.0 2.8 2.6 3.0 3.0 5.0 4.0 3.3 3. 1 6.0 6.0 5.0 9.0 8.3 8.0 8.0 16.0 10. 0 20. 0 C ountry US A US A US A US A US A US A US A US A US A US A US A US A US A US A US A US A US A US A US A G erma ny US A US A US A US A G erma ny S outh Africa US A US A US A 1. 3 0. 5 0. 4 0. 0 25.8 11.5 77.6 43.6 63.2 100.0 2.0 1.5 1.4 2. 2 2.0 3. 0 2.8 3.0 3.0 5.0 5.0 6.0 5.6 8. 5 7.3 7.0 7.0 10. 0 8.5 12.5 10.0 Type of financ ing Angel/S eed Debt financ ing S eries A S eries B 29.0 14.1 13. 2 S eries C S eries D 50. 0 S eries E Grand Total 50. 0 29. 0 14. 1 13. 2 12. 5 10. 0 10. 0 8.5 8.5 7.3 7.0 7.0 6.0 5.6 5.0 5.0 3.0 3.0 3.0 2.8 2.2 2.0 2.0 1.5 1.4 1.3 0.5 0.4 0.0 221.6 100. 0 20. 0 16. 0 10. 0 9.0 8.3 8.0 8.0 6.0 6.0 5.0 5.0 4.0 3.3 3.1 3.0 3.0 2.8 2.6 2.5 2.0 1.5 1.4 1.3 0.6 0.5

Figure 23. Financing, Last Three Months Source. Company reports

Page 18

C ompany Des c riptions - C urrent Month C apital Market Ac tivity
C ompany
Amie S treet Daily B ooth DailyMotion

HQ
United S ta tes United S ta tes F rance

Webs ite
www. amies treet. com www. dailybooth. com www. dailymotion. com

Des cription
Amie S treet, Inc. , a W eb bas ed s ocial mus ic s tore, enables members to dis cover, download, and s hare mus ic. T he company wa s founded in 2006 and is bas ed in Long Is la nd C ity, New Y ork . DailyB ooth lets us ers follow their friends and update them in real-time through the us e of pictures and s ta tus updates . Dailymotion S AR L provides on-line video content in F rance and E urope. It operates a video entertainment W ebs ite tha t provides video s haring s ervices . T he company a ls o ena bles s ha ring of official and profes s iona l contents . Dailymotion S AR L was founded in 2005 and is bas ed in P aris , F rance. DataS ync C orporation develops open s ource cons olidation s oftware. T he company develops DataS ync S uite, a s oftware pla tform that integrates core applications into an open s ource s oftware-a s -a-s ervice web porta l. Data S ync C orporation wa s founded in 2005 and is bas ed in S ioux F a lls , S outh Dakota. E ngine Y a rd, Inc. provides managed hos ting a nd deployment s olutions for R uby and R ails applications . T he company offers a clus ter computing platform, deployment s upport, and data center s ervices . It helps its clients in building s ites and a pplica tions on-dema nd. E ngine Y ard, Inc. was founded in 2006 and is bas ed in S a n F ra ncis co, C alifornia with additiona l locations in the United S tates , C anada, E urope, Is ra el, the P hilippines , Aus tralia, and New Zealand. T he F eedR oom, Inc. provides W eb video s olutions and technology for corporations , media/publis hing organiz ations , and government a gencies . It offers broadband video dis tribution for W eb, s ea rch engines , and podcas ting; broadband video encoding, ma nagement, and delivery; performance reporting; broadband video application des ign and development; media advertis ing s ervices ; s ubs cription a nd regis tration tools ; email video a lert delivery a nd tracking; a nd original content development and production. T he company wa s founded in 1999 and is bas ed in New Y ork, New Y ork . As of S eptember 30, 2009, T he F eedR oom, Inc. opera tes as a s ubs idiary of K IT digital, Inc. T he F izz back G roup Limited provides an on-demand s olution that drives cus tomer engagement at the point-of-experience. Its s olution helps companies to lis ten, res pond, and act in real-time to their cus tomers ' comments . T he offers F iz zback E nga gement P latform that enables multi-channel cus tomer communica tion initiated by the cus tomer or the company in an automated or intervened manner; and F izzback C hannel C onnector tha t collects uns tructured cus tomer feedback covering S MS text, email, voice, W eb, a nd comment cards . It als o provides F iz zback s ervice, which captures and analys es cons umer feedback in real-time. T he company s erves telecom and media, reta il and cons umer goods , financial s ervices , trans portation and tra vel, and leis ure and entertainment indus tries . T he F izz back G roup was formerly k nown as Ins tant Market Intelligence Limited and changed its name to T he F iz zback G roup Limited in J anuary 2007. T he company was founded in 2004 and is bas ed in London, the United K ingdom. HubS pot, Inc. offers B 2B inbound ma rketing s oftwa re. Its products include HubS pot Owner, which generates qualified leads and convert leads into s ales ; and HubS pot Marketer that offers inbound mark eting tools . T he company als o provides s earch engine optimiz ation, bus ines s blogging, competitor analys is , clos ed-loop marketing analytics , W ebs ite editor, lea d tracking a nd intelligence, lead gra der, landing page wiz ard, marketing intelligence, s ocial media, and inbound ma rketing s olutions . HubS pot, Inc. was founded in 2006 and is bas ed in C ambridge, Mas s a chus etts . B as ed in London and S an F rancis co, Linkedex aims to help companies a nalys e the proces s by which s earch engines deliver their res ults a nd achieve higher rankings in na tural (non-pa id-for) s earch for their brands a nd s ervices . L is tia, which launched in Augus t 2009, is eB ay for free s tuff. Us ers get a certain number of credits which they bid for the item, s o whoever wins the auction is the pers on who wanted it the mos t. Us ers get credits in three ways : every us er gets a certa in number automa tically, and you can get more by auctioning items , by referring friends , and by buying them. T he company is bas ed in S unnyvale, C alifornia. O oya la is a video technology company that provides indus try-leading s olutions for managing, dis tributing and monetiz ing high-quality video online. F ounded by former G oogle engineers in April 2007, Ooyala takes a novel approach at delivering video, ta rgeting ads and collecting video a nalytics . S ince launching its flags hip product, B acklot, in December of 2007, O oyala has s igned up over 1000 paying cus tomers including W arner B rothers , AOL/B ebo, National G eogra phic, T V G uide a nd the G lam network. T he company is bas ed in Mountain V iew, C alifornia. P opC ap G ames , Inc. develops and publis hes cas ual games . Its games a re played on the W eb, des ktop computers , cell phones , s martphones , P DAs , pock et P C s , iP ods , iP hones , ga me cons oles , and in-flight entertainment s ys tems . T he compa ny offers its products to W eb portals , retail s tores , mobile operators and developers , and game device manufacturers . P opC ap G ames , Inc. was founded in 2000 a nd is bas ed in S eattle, W as hington. It has operations in C hicago, Illinois ; S an F rancis co, C a lifornia; S hanghai, C hina; Dublin, Ireland; and V eality Mobile LL C provides R ancouver, B . C . , C anada . mobile video and data s haring technology. T he company was founded in 2003 and is bas ed in Herndon, V irginia. S cout La bs is a powerful, web-bas ed application tha t finds s ignals in the nois e to compa nies build better products and s tronger cus tomer relations hips . T he company provides technology and a collaborative platform for companies and their agents to lis ten to cus tomers and engage with them out acros s the Internet. S ometrics , Inc. operates as an analytics and a d platform s tartup compa ny s pecializ ing in s ocial media. It offers analytics and ad managing s olutions that focus on s ocial networking platforms a nd applications . T he company als o provides s ocial a dvertis ing s olutions , s uch as dis plays , engagements , and bra nd as s es s ments , as well as s ocial planners for a dvertis ers . In addition, it offers S ocial Analytics that provide a nalys is for s ocial applications a nd W ebs ites ; S ocial Ad Manager that helps to s erve and optimiz e ads to increas e revenue acros s s ocia l media properties ; and V irtual C urrency Mana ger, a virtual currency platform des igned to provide an interface to manage dis parate offer networks and relations hips for publis hers . S ometrics enables developers to know who’s vis iting their s ites or us ing their applications , including details about activity, tra ffic, demographics , interes ts , a nd s ocia l actions within the s ocial W eb. T he compa ny s upports F acebook, Mys pace, B ebo, F riends ter, a nd hi5 platforms . S ometrics , Inc. wa s founded in 2007 and is headquartered in Los Angeles , C alifornia. S pigit, Inc. des igns , develops , and dis tributes s ocial networking s oftware for bus ines s innovation. It provides s tra tegic and technical cons ulting, webs ite des igning, project forecas ting, C R M applications , employee engagement tra cking, web logs , and currency a nd idea management s ervices . T he compa ny markets its products under InnovationS pigit, IdeaS pigit, and P redictionS pigit brand names . S pigit, Inc. is bas ed in P leas anton, C alifornia. T echnorati, Inc. engages in s earching, s urfacing, a nd organizing blogs a nd us er-generated content on the W eb. It offers various citizen media on the W eb, which include blogs , videos , vlogs , podcas ts , photos , and games . T he company was founded in 2002 and is ba s ed in S an F rancis co, C alifornia. V iV u, Inc. develops participative event platform that enables live video pa rticipation from a pers onal computer, Mac, a nd Linux without any proprietary downloa ds . It offers a s olution for event organiz ers to create, publis h, a nd manage quality video events . T he company provides its products for on-s ite deployment, online meetings and events , s ales pres entations , live interactive training, online events , IT helpdes k s upport, and cus tomer s upport, as well as for face-to-face meetings , ca lendar invitations , outlook integration, e-learning, and video collaboration s ervices . In addition, it offers its s olutions that are us ed in remote training cours es , s ales training on new products , and remote live video caller participation during W ebcas ts . T he company was incorporated in 2008 and is bas ed in S unnyvale, C alifornia. Y ext, Inc. provides online directories . It focus es on repres enting va rious bus ines s es acros s the United S tates . T he company wa s founded in 2006 and is bas ed in New Y ork, New Y ork .

DataS ync

United S ta tes

www. datas yncs uite. com

E ngine Yard

United S ta tes

www. engineyard. com

F eedR oom

United S ta tes

www. feedroom. com

F izzbac k

UK

www2. fizz back. com

HubS pot

United S ta tes

www. hubs pot. com

L inkedex L is tia

UK United S ta tes

NA www. lis tia. com

Ooyala

United S ta tes

www. ooya la. com

P opC ap G ames

United S ta tes

www. popcap.com

R eality Mobile S cout L abs

United S ta tes United S ta tes

www. realitymobile. com www. s coutlabs . com

S ometrics

United S ta tes

s ometrics . com

S pigit

United S ta tes

www. s pigit. com

Technorati

United S ta tes

www. technorati.com

ViVu

United S ta tes

www. vivu. tv

Yext

United S ta tes

www. yext. com

Figure 24. Company Descriptions Source. Company reports, Capital IQ, Crunchbase

Page 19

RELEVANT DISCLOSURES APPLICABLE TO: NONE
LIST OF DISCLOSURE TERMS: 1. None applicable.

ANALYST CERTIFICATION
Each analyst of Research Capital Corporation whose name appears in this report hereby certifies that (i) the recommendations and opinions expressed in this research report accurately reflect the analyst’s personal views and (ii) no part of the research analyst’s compensation was or will be directly or indirectly related to the specific conclusions or recommendations expressed in this research report.

I n f o r ma t i o n a b o u t Re s e a r ch C a p i t a l C o r p o r a t i o n ’ s Ra t i n g S y s t e m, t h e d i s t r i b u t i o n o f o u r r e s e a r ch t o cl i e n t s a n d t h e p e r ce n t a g e o f r e c o m me n d a t i o n s wh i c h a r e i n e a c h o f o u r r a t i n g c a t e g o r i e s i s a v a i l a b l e o n o u r we b si t e a t ww w. r e s e a r ch c a p i t a l . c o m. T h e i n f o r ma t i o n c o n t a i n e d i n t h i s r e p o r t h a s b e e n d r a wn f r o m s o u r c e s b e l i e ve d t o b e r e l i a b l e b u t i t s a c cu r a c y o r co mp l e t e n e ss i s n o t g u a r a n t e e d , n o r i n p r o vi d i n g i t d o e s R e s e a r c h Ca p i t a l C o r p o r a t i o n a s s u me a n y r e sp o n si b i l i t y o r l i a b i l i t y . R e s e a r ch C a p i t a l C o r p o r a t i o n , i t s d i r e ct o r s , o f f i c e r s a n d o t h e r e mp l o y e e s ma y , f r o m t i me t o t i me , h a v e p o si t i o n s i n t h e s e cu r i t i e s me n t i o n e d h e r e i n . Co n t e n t s o f t h i s r e p o r t c a n n o t b e r e p r o d u c e d i n wh o l e o r i n p a r t wi t h o u t t h e e xp r e ss e d p e r mi s si o n o f R e se a r ch C a p i t a l C o r p o r a t i o n . ( U . S . I n s t i t u t i o n a l Cl i e n t s — Re s e a r ch C a p i t a l U . S. A . I n c. ( a wh o l l y o wn e d s u b si d i a r y o f R e s e a r c h C a p i t a l Co r p o r a t i o n ) a cc e p t s r e s p o n si b i l i t y f o r t h e c o n t e n t s o f t h i s r e p o r t s u b je c t t o t h e t e r ms & l i mi t a t i o n s s e t o u t a b o v e . F i r ms o r i n s t i t u t i o n s r e ce i vi n g t h i s r e p o r t s h o u l d e f f e ct t r a n s a ct i o n s i n s e c u r i t i e s d i sc u s se d i n t h e r e p o r t t h r o u g h R e s e a r ch C a p i t a l U . S . A . I n c. , a B r o k e r - D e a l e r R e g i s t e r e d wi t h t h e U n i t e d S t a t e s S e cu r i t i e s a n d E xc h a n g e C o m mi s si o n ) .

Tor on to 4 16. 8 60. 76 00

M ontr eal 51 4. 39 9. 150 0

V anco u ver 60 4. 66 2. 180 0

C al gar y 40 3. 26 5. 740 0

R egi na 306. 566. 7550

www.researchcapital.com


								
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