CONFIDENTIAL 1

Grouper 3.0 OverviewApril 2007

CONFIDENTIAL 2

Grouper 3.0 Opportunity

Number of Videos in the Category

“Hollywood” Content Viral Video

Num

ber o

f V

iew

ers

The Opportunity

• High quality content viewed by many

• Less viral and offers less variety than UGV

• Combine the viral nature of user-generated video with the quality of “Hollywood” content

• Unlimited variety of content• Highly viral• Lacks quality of traditional

studio content

CONFIDENTIAL 3

Grouper 3.0 Overview

• Leverage the best of breed editorial and technology to surface the most appealing content

• Acquire and produce viral vides to populate Grouper’s core channels

• Engage users and partners to build a meaningful pathway to fame

• Syndicate Grouper channels across Grouper’s large & growing global video network

• Build a global video ad network by leveraging Sony TV sales and rep firms

CONFIDENTIAL 4

Recent Updates Built the Foundation for a Channel-based Service

Home Page At Acquisition: Immersed Users in a Wide Variety of User Generated Video

Home Page Today: PresentsEditorialized Content on a Channel Basis

Video wall cycled through a mix of user

submitted videos

Home Page Emphasizes Featured Channels

CONFIDENTIAL 5

Grouper 3.0 Builds on the Channel Model with Programmed Content for Well-defined Verticals

“Sound Check”Example of a Premium Grouper 3.0 Channel

Focused on Independent Music

Users can browse through multiple

channels at any time

CONFIDENTIAL 6

Programming Strategy

Channel-based Programming

Content PyramidsFame Partnerships

• Tap into passionate content communities

– Attract content creators– Engage audience to

rate videos

• Organize content for easy browsing and discovery

• Create context for users to submit videos based on channel themes

• Lend credibility to channels

• Attract users by providing opportunities to become famous

• Provide an editorial voice as a “tastemaker” for the channel

• Generate marketing & PR

• Offer content syndication opportunities

• Provide high quality editorial

• Bridge the gap between independent and professional videos

• Create a path to recognition for content creators

• Encourage users to interact by ranking videos and creating playlists

• Award cash prizes to “People’s Choice” winners

CONFIDENTIAL 7

Channel-based Programming

Launch in June with 7 Premium and 10 Basic ChannelsExpand to 15 of each by December

Premium

Basic

“The Best Content That’s Not on Television”• Seize a new programming opportunity

unavailable to broadcast television

• Evolve traditional UGV by using programming “pyramids”

• Brand channels with a strong point-of-view

“Contextualized User-Generated Video”

• Organize UGV and third-party content into channels based on entertainment genres

• Differentiate through editorial voice, multi-platform distribution and path to recognition

Sample Channel Concepts

• Action Sports – Skate, surf, ride

• Citizen Journalism – News, opinions

• Travel – Stories, insights, guides

Sample Channel Concepts

• Spoof and Sketch – sketch comedy and spoof busting

• Wicked Animation – not Disney

• Sound Check – Unsigned bands rise to fame

Tony to Update

CONFIDENTIAL 8

Spoof Central The Internet is awash with spoofs. Spoof Central will be the premier destination.

Sony Pictures Television, The Onion, Mad TV, National Lampoons, SNL

In The OfficePassion center for all things office humor. The cult of the film "Office Space" coupled with the popularity of the "The Office"

Steve Carrel, Ricky Gervais, Dilbert, Mike Judge, Office Space

SoundCheck Video magazine covering independent music. Band focus.

Sony BMG, Spin Magazine, Rolling Stone, Clear Channel

WTF WTF is the sketch comedy the SNL guys really want to do, but can't on network TV

Sony Pictures Television, SCTV, Groundlings, Late Night Talk Shows

Wicked Animation Short-form, edgy animation. Sony Pictures Imageworks, Animax, ILM, Pixar, Lucas Films

Get Mortified “The place to post your past". Assets will be used for video "Shoebox" and "Shortbus" TBD

The Line-Up From nationally touring comics to amateur Christopher Walken impersonations.

Late Night Talk Shows, Comedy Clubs (Improv, Laugh Factory, The Cellar)

Grouper 3.0 Premium Channels* and Fame Partners

*Channel list is being finalized

Show Concept Potential Fame Partners

Tony to Update

CONFIDENTIAL 9

Fame Partners

• Persons or companies with expertise / recognition within a specific content channel on Grouper

– Persons should have access to compelling ad inventory (e.g., TV spots) – Companies should have an online presence with desire to integrate Grouper

Who Are They?

• Lend credence to Grouper channel and generate marketing/PR buzz• Drive incremental traffic and high quality uploads • Access to new syndication opportunities

Purpose

• Offer use of likeness, name, brand to channel • Provide high profile “celebrity access” path to fame opportunities to at least one

content creator on a monthly basis• Integrate Grouper into partner’s existing online site in a highly visible manner • Cross-platform promotion of Grouper channel throughout the year (e.g., TV spots)• Use admin tool to select “Weekly Partner Picks” which will be promoted as

featured videos on the Channel Page• Record teaser video clips to use as promotion for channel • Maintain high quality profile pages• Attend at least 4 events per year sponsored by Grouper

Partner Commitments

CONFIDENTIAL 10

Fame Partner Integration

Fame Partner offers users exposure in mainstream media

Fame Partner Assists with Editorial, Provides a Subset of Content, and Content Selection

Fame Partner branding incorporated into

channel

CONFIDENTIAL 11

Pyramid Programming Integrates Editorial, Partners, and a Path to Fame

• Produced episodes co-branded with Spin

• Editorial and feature selection managed with input from Spin

• Clips from Spin • Grouper produced• Third party clips• Licensed content• User generated

Sample programming pyramid for “Soundcheck”with Spin Magazine as a Fame Partner & Tastemaker

“The Fray”All Videos

Uploaded to Channel

“Featured”Editorially

ChosenVideos

SpotlightVideo

CONFIDENTIAL 12

Awards Offer Additional Recognition and Engage Users

People’s Choice

Mix of awards granted by editors, partners, and audienceSite allows users to feature their awards in playlists and user profiles

Tastemaker Status

Editor’s Pick / Featured Video

• Awarded monthly to the most viewed video on each channel

• Awarded to featured videos on each channel as selected by Grouper editorial staff and / or Fame Partners

• Awarded to users with most popular video playlists

Leaderboard Rankings

• Awarded to featured videos on each channel as selected by Grouper editorial staff and / or Fame Partners

CONFIDENTIAL 13

Grouper: A Global Video Network

• Grouper’s global video network allows us to seamlessly push channels and videos to an audience of millions

• Videos shared on grouper are visible across hundreds of sites– Syndication deals with leading social networks Hi5, Piczo and Bebo– Expanding the network with AOL, Sprint, MSN, iTunes and other portals to increase reach– Pioneering one-click publishing feature to allow anyone watching a Grouper video to easily

publish to social networks and blogs

• Grouper video can be seen on multiple platforms– Branded channel on Bravia TVs– Bundled with PSP firmware and all Sony VAIOs starting in May– PS3’s high profile effort, Home, will feature video from Grouper – In talks with the Sony camera and camcorder division to power sharing across devices

• Network should reach almost 250mm streams per month by mid-summer; once Grouper syndication deals are fully launched

CONFIDENTIAL 14

Cross-Sony Partnerships MarketingDistribution

PartnersUser Driven

“1 Click”

Grouper Video Network Partners

Digital Imaging

• Power video uploads

• Embed screensaver and software

• Users syndicate playlists via embedded player

• Embed Grouper player on partner sites

• Distribute content “pyramids”

• Purchase advertising on high traffic web sites

• Drive users back to Grouper.com

CONFIDENTIAL 15

The Embedded Player Allows the Grouper Experience to Be Syndicated Across Partners

Consistent BrandingCommon Features- Awards - Ranking- Playlists

Watch this video on Grouper.com Add to Hi5 ProfileAdd a video comment to this video

CONFIDENTIAL 16

Grouper 3.0 Next Steps

• Finalize channels for launch and begin to seed those channels with original content

• Negotiate short-form agreements with potential fame partners

• Finalize site redesign and feature development

• Continue to expand Grouper syndication network / partnerships

• Expand advertising to include new 3.0 opportunities