For AERLIS

Maio 2012

Olá a todos......

Portuguese do it better

Portuguese Globalization DNA

PricewaterhouseCoopers

The new paradigm

PricewaterhouseCoopers

The new Paradigm

PricewaterhouseCoopers

Source: Brazilian Central Bank

PricewaterhouseCoopers

We need the answer

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Uncertain, Risky, etc

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PricewaterhouseCoopers

The answer “Creative Economy”

PricewaterhouseCoopers

PricewaterhouseCoopers

Brands / Companies People / consumers

Connectivity / Technology

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Dangerous

Leaders

ENERGY

FOCUS

Incomplet Leaders Effective

Leardership

Incapable

Leaders

High

High

Low

1 4

3 2

20 % 10 %

30 % 40 %

PricewaterhouseCoopers

“The new

empires will the

empires of the

mind”

PricewaterhouseCoopers

“If you do not design the future someone or something else will design it for you”

PricewaterhouseCoopers

The Kitchen

The Opportunity: Global Market

• Today Videogames Market is twice the

music market

• The profits of the videogame market are

bigger than music and film industry

• In 2010 video game market worth around

$56Bn

• In 2011 videogame market will worth

around $65Bn

The Opportunity: Global Market

• Today console market is the biggest market,

but Mobile and Online gaming will

experiencing the biggest growth till 2015

• By 2015 the Videogame market will be around

$82BnThe app market account with $8Bn of the

$56Bn videogame total market.

• The app market will grow to $35Bn in 2015

• By 2015, the app market estimations are to

have 98Bn of downloads of apps

The Opportunity: Global Market

• There are today around 445M new generation

consoles in people home´s

• For 2012, we expect to rise that number

between 1,5% and 3%

• There are around 5Bn mobile phones worlwide.

• On the Smartphones side, in 2011, there are

670M users globally

• In 2015, there will be 1,5 Bn smartphones

worlwide, this represents a CAGR of 56,6%

between 2010-15

The opportunity: Global Market – Social Networks are the new consoles

• Facebook has now more than 1Bn users

(third largest country in the world)

• Google + reached around 40M users

• Linkdin has more than 132M of users

• Twitter has now more than 100M users

Global Market

• The Mobile Industry is growing

exponentially

• The CPU capabilities of the smartphones

are doubling every six months

• Tablets and Smartphones are becoming

Mainstream and similar to consoles in

terms of

• Tablets are entering our lives faster than

expected

• Younger Consumers according to

Nielsen, intend to have a tablet Within 3-6

Months

3 – Underlying Magic / Technology

• The importance of fun in our lives – Homo

Ludens,

• The power of Combining Ideas, Brands, Talented

People, and Technology, to give people what

they want: that´s Biodroid

• Unique Value proposition

• New generation of Global Products

• More Real, More fun

• Knowledge Economy

• Experience Economy

• App Economy

• All aspects of our lives will be touch by this

industry

6 – Biodroid Team

Ricardo Flores

• Production Director at Biodroid Group

• University Professor in ESCS

• Before joining Biodroid, worked for several Mobile

Gaming Companies

• Holds a BSC in

Biodroid

Seed

Diogo Horta e

Costa

Biodroid

Tiago Ribeiro Ricardo

Flores

Management Level

Operational Level – Operations

zoom in

• Finance & IR

• Sales & Marketing

• HR & Business

Development

• Partnerships & Alliances

• Operations Manager

• R&D & Innovation

• Production Team

• Project

Management

• IT Strategy

Project

X1

Executive Producer GDD Team HW &

SW Budget

Production

Plan

Project

Xn

Executive Producer GDD Team HW &

SW Budget

Production

Plan

Op

era

tio

ns

0

Consoles

•On-line

Consoles

•Retail

Mobile

• Tablets

•Mobile Devices

•Handheld Consoles

Advertgames & Serious

Games

Digital Branding Agency

Consumer Market Corporate Market Government & Public

Institutions Market

Publisher Publisher Self

Publishing

Self

publishing Marketing

Capabilities

Biodroid

Maximizing Revenues Opportunities

Minimizing Risk & Uncertainty

6 - The Answer: Business Portfolio Management

The Answer: Biodroid Business Structure

Biodroid

Entertainment

Biodroid Group

• IP Hunting &

Licensing

• Publishing

Deals

• Game

Development

Studio

• QREN R&D,

Innovation

Center

•

Interactive

Simulation

/Learning

Content

1 Pp 29 Pp

Biodroid

Productions

Biodroid

Digital

Agency

Biodroid

Simulation

Labs

• Digital

Branding

Strategy

• Social

Networks

Marketing

5 Pp 20 Pp

• Very Talented Team

• Mix of International & National Human Capital

• 30% International people from UK, US,

Belgium and Brasil

• 70% National people from Top

Universities mainly IST, Politécnico,

ESCS

• Project Management & Control Process skills

• Creativity & Innovation as main Features

• Strong Collaborative & Learning Environment

• Customer centric organization

IP´s & Global Brands

Products Distribution

Channels Target

Audiences

Business Model – Consumer Segment, Global Brands/IP´s Driven Business

The solution Framework

1 2 3 4

Global Brands

Branded Games

Casual Games

Premium Games

Advert Games

Branded Entertainment

Retail & Online Consoles

Smartphones App Stores

Social Media

Manufactures App stores

Consumer

Corporate

• Flow of investments into digital Space

• Huge opportunity to monetize

• Global IP´s and Global Brands need to play this

game.

• Entertainment is the key value driver

• Reduces Promotion Investments

• Community Engagement & Viral Behaviour

Business Model: Corporate Segment

• Games are now the most powerful mass media

for Brands across the globe,

• Brands are seeking cross platform audiences,

Advertising is doing the same

• In-game advertising opportunities

• Advergames opportunities

• Around-game advertising opportunites

• Gamification means the use of game design

techniques and mechanics to solve problems

and engage audiences.

Titles Portfolio Example (Consumer Segment)

• 50,000 units of Let´s play pet hospitals were

produced for 15 European Countries

• 50,000 units of Miffy were produced, for 7

European Countries

• 900,000 downloads of Billabong (version 1),

437 days of sale and still growing !!!!!!!!!,

version 2 is on the way.

• 20,000 units sold of CR7 in 15 days, with no

promotion at all yet

• MSO is already being delivered to the gaming

press

Current Status: Titles Portfolio Example (Corporate Segment)

• EDP has now more than 5,000 active users

with no promotion, and will be actively used at

schools and universities during 2012 and 2013

• The game of Eligydium was 15 weeks on the

top ten of SAPO

• More than 15,000 visitors of Planeta BES with

no Promotion. Bes Art, Bes photo and

Fundação R.E.S.S. have their own virtual

museum inside.

• Popota more than 65.000 downloads in Java

• Abola is going to be an amazing European

Facebook Game

Current Status: R&D Projects (Software Sales)

• QREN non-refundable funding of 1,2M€ till 2013

• The Life Engine Project will generate:

• Software Prototype Tool to be

commercialized Worlwide

• Replika Game for PSN (Playstation

Network on-line)

• Replika is the first Biodroid IP

• This software allows biological behaviour

for the game characters (unique)

• The Energy Wars will be:

• Game platform simulator engine of

Macroeconomic Energy Model

• Game for XBLA (Microsoft xbox live

arcade)

Lessons Learned

• Corporate Segment allows steady Cash Flow

• Offset Major Fixed Costs of the Factory

• Production sinergies

• The Shift: From the Consoles to the Mobile

(Smartphones & Tablets) and Social Media

customer base, due to exponential growth of

customer base

• Leverage Revenue Streams

• Customer Base Growth

• Cross selling opportunites

• Short term Monetization

t

Revenues

0

Mobile, Social Media,

Web/PC

Corporate Segment

Consumer Segment

PT

BRZ, EUR

ROW

Cash Flow

Consoles

Mobile, Social

Media, Web/PC

What Lies Ahead

Glo

bal

Gro

wth

• International Expansion

• UK – London

• Brazil – SP

• Reinforce Sales FirePower

• Marketing Capabilities - Dedicated

Team

• Product Management

• Campaign Management

• Worlwide Promotion

PricewaterhouseCoopers

Getting more with less and less……..for More

PricewaterhouseCoopers

Obrigado pelo vosso tempo