Post on 01-Nov-2014
description
Your Digital Media Library, Anytime, Anywhere
MxMedia Sp. z o.o. © 2012 • www.mxmedia.eu • @MxMediaEu
MxMedia Sp. z o.o. © 2012 • www.mxmedia.eu • @MxMediaEu
Today’s Media Environment needs a Change
• As technology evolves content security has been decreasing
• DVD sales down
• Illegal downloads up
• Limited Legal Recourse – ACTA collapse in Europe
• Digital sales still in infancy stage
• No clear, high revenue alternative to DVD model present – Still
searching…
• Mobility of content
• Compatibility across platforms
• No user playback restrictions
• Wide availability of High Quality digital content
• Premium Home Entertainment and On-the-Go experience in one
• Want to pay for only what they want
Content Owners
End Users’ Expectations
MxMedia Sp. z o.o. © 2012 • www.mxmedia.eu • @MxMediaEu
Proposition Real-time
transactional
and
consumer
info
Content
Owners
Internet
connection not
needed
Play content on
over a Billion
devices
currently in the
market
No restrictions
on the amount of
allowable
display devices
High quality
content on any
platform
Share and Play
media anytime
anywhere
off-line
No late fees on
rentals
End Users
Complete
Content
Security and
Protection
New EST
(sale) and
TVOD
(rental)
distribution
channel
Solving industry’s biggest challenge:
Meeting Content Owner
Requirements with End User
Expectations
Sustainable
monetization
of digital
content
MxMedia Sp. z o.o. © 2012 • www.mxmedia.eu • @MxMediaEu
Michal Furmaniak
CEO
• Manager
• Marketer
• Entrepreneur
• Community Leader
• Inspirer
Blazej Kowalski
COO
•Academic
• Designer
• Implementer
• Researcher
Meet The Team
Michal Kowalski
CTO
• Designer
• Entrepreneur
• Innovator
• Inspirer
• Developer
Igor Hansen
Chief Engineer
• Designer
• Developer
• Inventor
• Author
Marta Lazar
CFO
• Financier
• Chief
Accountant
• Financial
Controller
Who is MxMedia, the innovator ?
• Technology specialists of digital content distribution
• Experienced, entrepreneurial, passion driven, outside-the-box thinkers
• Providers of a unique mass media digital distribution system
• Patent holders
Advisors
• Jim Taglierini – Founder and President of Accessible Software
• Joseph Horacek III – Manatt, Phelps & Phillips, founding partner and
chairman of the motion picture and television department
Legal Counsel - McDermott Will & Emery LLP and MSDS Legal
MxMedia Sp. z o.o. © 2012 • www.mxmedia.eu • @MxMediaEu
Users can rent and purchase films
from the online platform or self-
service digital Kiosks in Standard and
High Definition formats, in less than 60
seconds, directly onto a patented
micro Player device.
With the touch of a button the unique
Player plays back the downloaded
digital content off-line directly onto
any contemporary television,
computer, tablet or other mobile
device via its HDMI or WiFi output.
The secure playback can occur
anytime anywhere, independently of
the operating system available on the
display device.
Titles will never be out of stock and
there will be no rental late fees. With
multiple revenue sources and flexible
client payment options the system can
be adapted in any region. Download,
store, share and play what you want,
when you want it.
Solution Delivery
mumeGo™ = Multi Media to Go
MxMedia Sp. z o.o. © 2012 • www.mxmedia.eu • @MxMediaEu
Market
$101 Million
$12.4 Billion
Value of retail and rental home entertainment market (DVD, BD, Digital, TV VOD)
Poland © International
Video Federation
2012*
Europe © International Video
Federation 2012*
$18 Billion
$80 Billion
World © 2011 IHS Inc.
US ©2012 Bloomberg L.P.
*EUR/USD 1.30
MxMedia Sp. z o.o. © 2012 • www.mxmedia.eu • @MxMediaEu
MxMedia’s 1st Market Share Goal
Year
2014
2016
2018
Market Share Goal
.9%
4.7%
6%
Value of Market Share
$104 million
$578 million
$737 million
*Netflix – 2011 US Market Share 17.7% - $3.2 Billion © DEG 2012 and © Netflix 2012
Redbox – 2011 US Market Share 9% - $1.6 Billion (and rising YOY) © DEG 2012 and © Coinstar 2012
Europe
MxMedia Sp. z o.o. © 2012 • www.mxmedia.eu • @MxMediaEu
2013 2014 2015 2016 2017 2018
Profit & Loss (in '000 EUR)
Revenues 199 78 236 242 116 388 922 403 727 486 101
Operating Income (OpInc) -2 728 11 349 57 235 105 833 112 063 138 955
OpInc pessimistic (Sensitivity Analysis)* -2 713 4 153 39 925 80 580 87 364 109 864
Financial Model and Projections
* 30% lower market share
-100,000
0
100,000
200,000
300,000
400,000
500,000
600,000
2013 2014 2015 2016 2017 2018
Profit & Loss Statement (in '000 EUR)
Revenues Operating Income (OpInc) OpInc pesymistic (Sensitivity Analyzis)
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
2014 2015 2016 2017 2018
No. of users per market (in '000)
PL
FR
ES
DE
GB
IR
MxMedia Sp. z o.o. © 2012 • www.mxmedia.eu • @MxMediaEu
Financial Model and Projections
2014 2015 2016 2017 2018
Profitability Ratios
Gross Profit Margin 26,5% 29,1% 30,0% 30,8% 31,4%
Return on Sales (ROS) net 11,7% 18,9% 21,9% 22,4% 23,1%
Return on Assets (ROA) 23,8% 40,4% 53,9% 59,9% 64,3%
Exit Opportunity
Sale or IPO at
2.5 x 2015 Revenue
• MxMedia will make for a lucrative investment even with conservative projections
-10,000
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
2013 2014 2015 2016 2017 2018
Discounted OpInc & Cash Flow (in '000 EUR)
Discounted Operating Income
Discounted Net Income (subject to dividend)
Discounted Equity Cash Flow (DECF)
MxMedia Sp. z o.o. © 2012 • www.mxmedia.eu • @MxMediaEu
Competition Comparison:
Value benefit to
consumer
Operational costs
Mobility of
content
Compatibility
with devices
Recurring cost
regardless of usage;
limited premium
content selection
Works on any operating system;
can play on over a billion
televisions, computers, tablets,
and mobile phones
DVD or Blu-ray player is
required; cannot play on
tablets or mobile phones;
Streaming only
works with internet
connected devices
High upfront costs; high
logistics, restocking and
invetory costs
High upfront content
costs because of
SVOD model; high
streaming costs
Limited upfront costs, rev share
per transaction; content and
infrastructure management fully
automated and remotely managed
No recurring fees; no out of stock
titles; buy or rent what you want;
no late fees; premium content
Limited content selection;
frequent out of stock titles;
late fees
Can be securely stored,
transferred and copied anywhere;
plays off-line
Content must be stored
on disc; portability is
limited
Must be online to
view digital content
MxMedia Sp. z o.o. © 2012 • www.mxmedia.eu • @MxMediaEu
These guys CONFIRMED they like it:
These guys will LOVE it:
MxMedia Sp. z o.o. © 2012 • www.mxmedia.eu • @MxMediaEu
• Patented Technology (P.399271, EP 12179755.9)
• Accepted by Major Movie Studios as a new type of distribution channel
• In advanced business talks with Major, mini Major and independent Movie Studios
• Letters of intent from major retail chain partners for the deployment of digital content delivery Kiosks
• $1.4 million EU technology grant Finalist
• Member of the Power Matters Alliance
MxMedia’s current Milestones:
Current Partners for startup in Poland:
• We are partnering with international retail chains for the placement of digital Kiosks
Outlets: 750 ( + another 300 to be added)
1100
(includes partner salons)
450+
MxMedia Sp. z o.o. © 2012 • www.mxmedia.eu • @MxMediaEu
NOW WE NEED YOU!!!
$1.5 million Goal
Funds will be used for:
• Prototype completion and,
Toward initiating service deployment in Europe with a:
• Premium content library of at least 1000 titles,
• Minimum of 200,000 Player devices,
• Guaranteed 750 self-service digital content delivery Kiosks,
• Internet content delivery platform,
• Marketing, operational and capital expenses
MxMedia Sp. z o.o. © 2012 • www.mxmedia.eu • @MxMediaEu
JOIN US SO WE CAN CHANGE
THE ENTERTAINMENT
WORLD TOGETHER
Michal Furmaniak
m.furmaniak@mxmedia.eu
www.mxmedia.eu • @MxMediaEu • angel.co/mxmedia
Czerniakowska St. 71, 00-715, Warsaw, Poland
Tel: +48 602111698
New Bond House, 124 New Bond Street, W1S 1DX, London , UK
Tel: +44(0)2033 551 759