Global Expansion of GREE Platform

Noritaka Kobayashi, Ph.D VP GREE Singapore Pte. Ltd. 2012/5/22

Vision to create community of 1 Billion users

3

GREE Company Overview

FY2012, our revenue will be expected to record high

Product Overview

App Portal

Game Dashboard

SNS
* Screenshots are sample images
5

Business Strength

Business Field SNS PlaJorm Game

GREE Registered Users in JAPAN

30,300
(Unit:1,000)

23,380 18,430

9,860 4,290 140 Jan-05 Mar-05 320 Jan-06 Mar-06 1,040 Jan-07 Mar-07 Jan-08 Mar-08 Jan-09 Mar-09 Jan-10 Mar-10 Jan-11 Mar-11 Jan-12 Mar-12
7

Our Achievement

Currently, 230 million users Over 100+ countries

9

Current In-House Social Games

5 years

11

Tips of Mone[zing Know-How

Promo[on Maintenance Games Real Time PDCA

Running plenty of TV commercials.

Refresh games every week, everyday, every midnight.

We do not need your professional sense, but skill. Every decision is based on millions of data.
12

GREE Main Driver of Revenues

13

Global PlaEorm

GREE PlaJorm

15

In-House Social Games for Global Market

Will deliver In-house social games into global market through GREE PlaJorm

16

GREE PlaJorm Global Strategy

GREE PlaJorm which engages users and developers globally by integra[ng GREE and OpenFeint social gaming plaJorm

Global Cost Know-how ARPU

Launch successful social games to global market Leveraging 230 million user base and developers network

Lower costs for developers to release their applica[ons globally

Leverage GREEs tech to build social and protable games to make worldwide developers' games more engaging

Allow overseas developers reach Japan High-ARPU social game users

17

Begin Providing One Global PlaJorm

London

Amsterdam

Beijing

San Francisco

Seoul Tokyo Osaka

Dubai

Singapore So Paulo

18

Why GREE PlaEorm

Growth in Free-to-Play Games

Free-to-play with IAP Longer play = more $$$$ $ Paid Premium Game

Download App
Source: Zynga SEC ling, via In-Stat market intelligence rm.

Time game played

20

Free-to-Play Games Mone[ze

20 of Top 25 Grossing Games are Free to Download!

Source: iTunes store March 5, 2012

21

Goal of Freemium Games

Increase Player Lifetime Value (LTV)!

Life[me Value (LTV)

Revenue = X Per User

Player Reten[on

22

Goal of Freemium Games

Minimize Cost Per Acquisition (CPA)!

Cost Per Acquisi[on = (CPA)

Ad Campaign Costs + Marke[ng Campaign Costs Users Acquired through Campaigns

23

Why Social Games are Special

Game Economics Network eects Life[me Value = Revenue X Per User (LTV)

Player Engagement Cost Per Acquisi[on (CPA)

Requests from friends

24

Notifications from friends

SNS or Social PlaEorm

Social Gaming PlaJorms Win

! ! ! ! Social ! ! SNS Platform ! ! !

Acquisition

Retention

Monetization

25

What we focus Smartphone = Android and iOS

Smartphone Shipments and Future Sales Forecast 4.7 Billion units

3,600

4,700

(Unit:1 million)
SP Shipments

2,600

1.1 Billion units

150 2008
*Data: Gartner

1,700 1,100

300 2009

550

2010

2011

2012

2013

2014

2015
27

High Poten[al for Growth of GREE PlaJorm

4,700
(Unit:1 Million)
SP Shipments GREE Reg. Users

4.7 Billion units 3,600

2,600

1,700 1,100 300 550

150

13

21
2010

170
2011

300
2012 2013 2014 2015
28

2008
*Data: Gartner

2009

Worth Joining PlaEorm

Ecosystem
Worldwide Developers
Unify Developer IDs Expand developer support opera[ons globally Integrate API/SDK Integrate App Portal Unify Applica[on IDs

Developers
Middleware Developer Center Developer Support

SDK/APIs App Portal Android App iOS App 230 Million Users SNS WEB App

Unify User IDs

Worldwide Users
30

Support Language for PlaJorm and Developer Support

Will support Japanese and English for plaJorm and in near future, expand to 14 languages
PlaJorm/User Support Developer Opera[on

Developer Center

Japanese English Chinese Spanish Portuguese German

Korean French Italian Russian Arabic Indonesian Thai Turkish

31

Japanese English Chinese

Japanese English Chinese

PlaJorm Comprehensive Oering

Worlds largest social mobile gaming community Unified global platform Cross promotions through developer announcements Promotional programs

DistribuWon

Localization services

AcquisiWon
Friend invites Incentivized invites Social sharing

Wall posting Gifting

Engagement

Social sharing Push Notifications

Virality

Gifting

International currency management

Dashboard access to game analytics

MoneWzaWon

Unified virtual currency on Android

AnalyWcs

Game, player, and monetization data

32

In-House Social Games for Global Market

Will deliver In-house social games into global market through GREE PlaJorm

33

34

Targeted at males age 25 to 40

BUILD YOUR ZOMBIE EMPIRE
Engaging RPG-based social card collec[on game Original and unique character design that is instantly recognizable Formulate your aqack strategy for massive card baqles U[lizes advanced social features with friends to challenge and baqle to achieve higher rankings

Fusion

Explore

UFO Visit

Targeted at females age 25 to 45

AN ALIEN FAMILYS FUTURE IS IN YOUR HANDS!
More than just crops: Collaborate with your friends to design, build, and grow an en[re Alien village Use advanced customiza[on to strengthen your Alien collec[on Combine and fuse your aliens to create special characters Explore distant planets on your UFO and unlock premium content

Partner List - First Phase Announcement

7 major developers will be releasing Apps for our plaJorm with more to be announced

36

Chinese & Korean GREE PlaJorm Partners

11 Major Developers and More to Come!

37

GREE PlaJorm Site for Developers Released GREE Global PlaJorm

search

38

Vision->Goal to create community of 1 Billion users

39

Goal to create community of 1 Billion users

40

Vision Making the world a beeer place through the power of the Internet.
41

GREE
Dec. 2004

100

GREE
June. 2009

1,000

GREE
Jan. 2012

Join us!

GREE
WaiWng for our new developers And new stas

Today

Come to our booth For more informaWon

Thank you!