Investor Overview

Summer 2015

2

Purpose To connect under-served fans & enthusiastswith genre-specific & lifestyle-specific

video content & community

A portfolio of fan-focused, micro-SVOD video channels

3

Broadband penetration at 79% in US SVOD services adoption at 52%+ in US with 35% year-over-year growth Over-the-top (OTT) video service subscribers to surge to 330M+ in 2019 from 90M in 2014

Market Shifts

Mass market OTT players – Netflix, Hulu, Amazon – use “something for everyone” strategy Few OTT players adopting “everything for someone” approach – deep, genre-specific content &

community

Customer Opportuni

ty

Much genre-specific content not in demand by mass market OTT services (focus on high-potential originals)

Content licensing windows continue to collapse / multiply Creates opening to acquire genre-specific and independent content cost-effectively

Content Opportuni

ty

Channel break-even at 50K subscribers Low-cost online customer acquisition channels Cloud-based platforms enable minimal upfront capital investment

Favorable Economic

s

Opportunity

3

Curated, genre specific content

Content

Fan focused product design

Customer Experience

Highly social experiences

Community

Multi-platform & device access

Connection

Low price point with high value

price ratio

Cost Advantage

Our Approach

4

5

We Are

David WolfeChief Executive Officer

Kirk JohnsonHead of Product

Gary RosenfeldHead of Business

Development

Mike LangCo-Founder,

Board Member

Dan MarchFounder,

Board Member

6

First Channel: Horror

Screambox beta launched end of 2014

Currently $3.99 monthly subscription fee

8k subscribers as of August 2015

Positive customer feedback & strong user engagement

Key platform partnerships signed : Roku Microsoft Xbox Sony PlayStation

7

User Feedback

“Awesome site. Every movie I have watched so far is awesome! And no buffering or pixelating. And to top it all of, it’s at a great price! What’s not to like?”- Bill M.

“First let me say that Screambox is outstanding! I’m a huge fan of the horror genre and am sure your product is going to be a huge success.”- Michael C.

“The fact that this is the first of its kind geared towards us die hard horror fans makes it badass in my book.” - Lauren C.

“I’m in, hell yes.”- Nick M.

“I’ve been waiting for something like this.”- Ciara S.

“I just signed up your channel on my Roku and love this already. Your categories are too funny.”- Dori G.

“Started my free trial today. I don’t expect I’ll be cancelling once the 30 days is up. The website is the best of ideas.”- Zach B.

“This seems like a good idea. My Netflix has nothing but horror suggestions but they don’t have that many horror movies.”- Jay J.

8

Subscriber Unit Economics

Lifetime Value = subscriber lifetime x (subscription price – [direct costs + content costs])

Nov-14

Dec-14

Jan-15

Feb-15

Mar-15

Apr-1

5May

-15Jun

-15$0

$5

$10

$15

$20

$25

$4 $3 $4$5

$6$7 $6 $7

$13

$15$14

$18$16

$15

$20

$17

Blended SAC Lifetime Value*

-

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

3,349

4,445 4,892

5,492

6,717 6,676

7,577 8,020

25%

21% 22%18% 20% 21%

16% 19%

Subscribers % Churn

Subs

crib

ers

% C

hurn

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Beta Key Performance Indicators (KPIs)

Phase Key User Actions Beta KPIs Market Averages / Comps

Acquisition Clicks on ad unit ~3% click-thru rate (CTR) <1% CTR

Visits Screambox.com 50K unique visits / month 60% organic / 40% paid

NA

Activation Signs up for account 25% visit-to-account conversion rate

30K accounts to date

2-5% visit-to-account rate

Starts 30-day trial 33% account-to-trial conversion rate

14K trials to date

NA

Revenue Becomes subscriber @ $3.99 / month

70%+ trial-to-subscriber conversion rate

7,500 subscribers as of May 31st ~$7 blended subscriber acquisition

cost ($ SAC)

<$10 micro SVOD $ SAC $15-20 mass market SVOD

$ SAC

Retention Continues subscription 20% churn rate or 5 month lifetime $21 lifetime value (LTV) or ~3x LTV

/ $ SAC multiple

5-7% steady-state mass market SVOD churn

3x+ LTV / $ SAC multiple target

Comes back to service 2-4x average weekly log-in NA

Engagement

Streams video ~10 hours / month / user ~15 titles / month / user

Netflix 30-50 hours / month / user

Engages with community

25K Facebook fans 2x Facebook average engagement

(likes, comments, shares)

NA

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Platform Opportunity & Schedule

Platform Est. Base Date

10M Launched

25M Q1 2015

20M Launched

65M Launched

50M Oct 29, 2015

225M Launched

110M Oct 26, 2015

180M L6aunched

Total Estimated Installed Base 800M – 1B

Appendix

Motor Sports

Guns / Hunting

Martial Arts

Horror

Snow Sports

Jazz

Surfing

MilitaryFashion

Astronomy

High School Sports

Large & addressable marketCurrently underserved

Accessible contentRapid concept testing

Analytics-based selectionSource & deploy content

Develop & launch key device minimum viable products (MVPs)

Begin to scale user acquisition approachesGet to 20K subscribers in 6 monthsIncrease content investment & develop original

programmingExpand device footprint & accelerate product innovation

Accelerate branding & marketing effortsDedicated channel team

Fantasy Sports

Identify & Validate

Launch & Beta

Magic

Scale & Grow

Comics

~$1.5M per channel to break-even

Channel Development

Cycling

FilmNoir

DIYLaw

Enforcement

BollywoodWeight

Loss

FishingMedieval

Times

LGBT Broadway

12

13

Beta Year 1 Year 2 Year 3 Year 4 Year 5

$-

$10,000,000

$20,000,000

$30,000,000

$40,000,000

$50,000,000

-

200,000

400,000

600,000

800,000

1,000,000

$239,400.0

$3,016,440.

0

$9,216,900.

0

$19,750,50

0.0

$32,917,50

0.0

$46,084,50

0.0

$(453,809.7

) $738,671.8

$4,279,765.

9

$9,656,392.1

$17,300,78

3.3

$22,843,64

3.3 10,000 60,000

175,000 375,000

625,000

875,000

Revenue Contribution Average Subs

Mill

ions

of

$s

Thou

sand

s of

Sub

s

Per Channel Economics

13

ChannelBreak-even

SubscriberLifetime Value

Subscriber Break-even: 50k Subs

Beta Year 1 Year 2 Year 3 Year 4 Year 5 $-

$3

$6

$9

$12

$15

$(20)

$-

$20

$40

$60

$12

$7 $6 $5 $5 $5 $(7)

$22

$36

$49 $51 $47

$ SAC (Blended) Lifetime Value (Net)

$ SA

C

Life

time

Valu

e