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PeerApp Proprietary and ConfidentialUltraBandContent Delivery Platform1Content Delivery PlatformInternet Content Caching CDN: Premium ServicesUB5000 ProductAgendaBroadband Model DisruptionCrossing the Video Chasm

Source: Cisco Systems 2009Margin ErosionARPUs are stagnant, the OPEX and CAPEX network costs are rising, payback of network investment is uncertainBit PipeOperators to get into the Internet video value chain, to fend off threats from competition and over-the-top providers, to increase their subscribers stickinessSupply & Demand GapOperators invest into next-gen broadband, yet depend on Internet services to make use of the capacity and drive adoption of top-tier packagesPeerApp Proprietary and Confidential3CostARPUMargins3

UltraBand: Content Delivery PlatformPeerApp Proprietary and Confidential4Best Effort ServicesYouTube, filesharing, software updatesPremium ServicesInternet TV, Premium OTT, CDNNetwork OptimizationCore & backhaul savings through edge delivery Improvements of aggregation network utilizationAccess network convergenceContent AccelerationImproved content delivery times Elimination of video bufferingQuality improvement for dynamic bitrateReporting & Telco BIInternet applications SLA and classification Content, device and subscriber profiling

Service DeliveryTiered policies by subscriber, time-of-day, Internet serviceContent filtering & controlCDN content management

4Common platform for delivery of best effort OTT services and SLA servicesOpen Garden supportDistribution of OTT servicesIP CDNTV EverywhereClustered software solution based on COTS hardwareFlexible network integration options1G to 40G scaleRouter/DPI integrationSeamless scalabilityUltraBand CDPSolution OverviewPeerApp Proprietary and Confidential5Aggregation NetworkIP CoreInternet

SLA servicesBest effortWeb 2.0 File sharing

WebTV

WebTV

UltraBand5Open GardenSingle Policy FrameworkPeerApp Proprietary and ConfidentialPremium DeliveryBest EffortDeliveryBlockedMrs. Smith$Ms. Johnson$$Mr. Williams$$$Jones Family$$$$

66Company ProfileCustomers growing by 15%/quarter; 90% annual revenue growthPeerApp Proprietary and Confidential7The leader in carrier-grade content delivery, Internet/OTT video caching and traffic management2004201020092008200720062005PeerApp USA EstablishedBoston HQUS Patent in Video Caching and P2P Acceleration Granted20 CustomersUltraBand Launched (P2P)EU Patent in Video Caching and P2P Acceleration Granted30 CustomersUltraBand with HTTP Video10 CustomersUltraBand 20Gbps Launched75 CustomersPlanned:Content Delivery Solution >100 CustomersProfitabilityP2P W e b 2 . 0 7PeerApp: Global ReachPeerApp Proprietary and Confidential8

Over 100 Customers and Growing Rapidly200 Systems installed around the world16M Users serviced 16 PB/M content delivered from cache

BostonSao PaoloBogotaMiamiSingaporeHong KongLondonPeerApp HQPeerApp OfficesPeerApp Customers

Tokyo8Content Delivery PlatformOverviewPeerApp Proprietary and Confidential9CostARPUMarginsCost ContainmentReduce network costs by up to 30% through saving of network opex and capex costsReduce churn by improving broadband service levelsARPU Growth and DifferentiationIncrease competitiveness and stickiness by combining broadband with premium contentLaunch new Internet-based services9Content Delivery PlatformInternet Content Caching CDN: Premium ServicesUB5000 ProductAgendaPeerApp Proprietary and ConfidentialInternet Content CachingRecovery of Backhaul Bandwidth

Operators face growth of bandwidth consumption at the rate of 50-100% year-over-year, driven by video and other large Internet contentOperators are required to continue investing into network equipment and capacity, while ARPU is staticUltraBand offers consistent rates of backhaul capacity recovery, holding down the growthReduces backhaul provisioning by meeting flashcrowd demandMaintains service level in time of backhaul capacity degradation

Transit Link FailureFlashcrowd PeakBackhaulCache111111PeerApp Proprietary and ConfidentialCaching 2.0History and Relevance of Internet Caching12Caching 1.0 became irrelevant as bandwidth consumption of interactive Web became stagnant and networks caught upCaching 2.0 focuses on video and media applications, that drive up consumption through quality increases and show no signs of abatementPeerApp is only Caching 2.0 vendor to offer transparent caching of all Caching 2.0 services and protocols in one engine

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Internet Content CachingInternet Quality of ExperienceISP subscribers look at throughput based KPIs as a main measure of ISP service levelTouting of blazing speeds is the main branding mechanism for ISPs to upsell subscribers to top-tier broadband packages

BackhaulCache13PeerApp Proprietary and ConfidentialCaching of popular content within access network allows network operators to accelerate and control subscribers QoECaching SLAs depend on last mile and aggregation network capacity only

Last mile upgrade1313Internet Content CachingApplication SLA impact14PeerApp Proprietary and ConfidentialApplication TypeAcceleration ImpactProgressive downloadNear-100% reliability for SD content, no freezes and bufferingEnablement of HD contentDynamic playback streaming(HTTP/FMS/WMS)Improved video qualityFile sharing (P2P/HTTP)Faster completion of downloadsEnablement of larger content objectsApp downloadsFaster completion of downloadsInstantaneous deliveryWeb browsingFaster web page load times (