AVerMedia
Corporate ProfileMay, 2009
ByMoses Lee

AVerMedia Group Overview
Founded in 1990, Specializing in Designing, Manufacturingand Marketing of Multimedia Entertainment(MPD),Presentation(PPD) and Digital Surveillance Products(NVD).

 Annual Turnover (2008 ): US$ 148.1 Million

 Consecutive profitable years: 18 years Plus Employees (AVerMedia Group): 1183

 RD Engineers (AVerMedia Group): 371

 Branding / ODM: 70% / 30%

AVerMedia Group includes AVerMedia Technologies Inc., AVerMediaInformation Inc., and all of the oversea affiliates.
Updated on May. 2009
Exchange Rate: 1:33 (US$:NT$)

22009 CES Best of Innovations Award & two CES 2009 Innovations Design &Engineering Awards••

EB1704HB WiFi-4 security system entered the top echelon of cutting-edge
products as a recipient of a CES 2009 Innovations, Design andEngineering Award in the Integrated Home Systems category. Not only
was this system selected as a 2009 Innovations honoree, but was also
recognized as a 2009 Best of Innovations product!
AVerTV Hybrid TVBox 11 and AVerTV Hybrid PocketExpress were both
selected as CES 2009 Innovations Design and Engineering Award
Winners in the Video Accessories category.
3

2008 Outstanding I.T. Applications Product Award &2009 iF Product Design Award
AVerVision CP300’s achievements now
inclusive of the 2008 Outstanding I.T.

Applications Product Award and 2009 iF
Product Design Award. AVerVision CP300

was chosen as one of the innovative
products from the large pool of entries toreceive this prestigious award, reinforcing
its success in integrating cutting-edge
electronics, optics, and mechanicaltechnologies.

4

2008 Taiwan Excellence Gold Award

AVerMedia won the recognition ofTaiwan Excellence Gold Awards
with the new AVerVision SPB350
simplicity yet rich functionalities
and user-friendly operation.
5

Best Choice of COMPUTEX TAIPEI 2008

AVerTV Volar GPS805 is the world’s first DVB-T USB dongle
receiver with integrated GPS capability

Best Choice of COMPUTEX TAIPEI 2008 Award
revealed the award list on June 3,2008. According
to the jury, because the categories are more
complete and more closely in touch with thenewest industry trend, the Best Choice this year
can better illustrate the creativity, technical skills
and specialty of the product itself………
6

2008 CES Innovations Design & Engineering Award

AVerTV Hybrid NanoExpress

AVerTV Hybrid Volar MAX

AVerTV Hybrid Volar MAX and AVerTV Hybrid NanoExpress were both selected as CES 2008 Innovations
Design and Engineering Award Winner in the Video Accessories category. Each year, CES Innovations
award winning products have been served as benchmark for the latest and most advanced in consumer
technologies, showcasing the latest design and engineering innovations.
72009123452008
123102007
124-

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Medium-Sized Enterprises
Sinyi Realty Inc.
Everlight Chemical Industrial
Hiwin Technologies
ZyXEL Communications Corp.
PLANET Technology Corporation.
Phoenix Precision TechnologyCorporation
Advantech Co.
AVerMedia Technologies
ATEN International Co., Ltd.
Makalot Industrial

AVerMedia is ranked Taiwan’s Top 50 Corporate Citizens for three years
by CommonWealth Magazine.
8

Global Marketing & Service Network
Netherlands, Moscow,
Amsterdam Russia
Ruesselsheim,
Milton Keynes,
Frankfurt,
London,Germany
UK
Shanghai
China
Tokyo
Japan

Paris,
FranceTaipei,TaiwanMadrid,
Spain
Bangkok ,Thailand

Milpitas,
CAUSA

Subsidiaries and Global Network of Distributors, System

Integrators, VARs, and ODMs Over 75 Countries

9New Factory of AVerMedia

10

Revenue (1990-2008)
NT$Million

consolidated112009- Q1 Financial Results

2008- Annual Financial Results

3 yrs Income Statement

Balance sheet highlights

Key Financial indicators

2006~09-Q1 Quarterly Revenue/Profit

Breakdown of ROE

Dividends distribution
4.77

5EPS
Cash
Stock

4.5
4
3.5

3.26

3.00

3.4

3.04

3
2.34

2.5
2

1.43

1.5 1.02
10.502001

2002

Year

2003

2004

2005

Cash

2006

Stock

2007

2008

Total

2008

2.40

96 %

0.10

4%

2.50

2007

2.20

73 %

0.80

27 %

3.00

2006

2.00

85 %

0.365

15 %2.365

2005

1.37

58 %

1.00

42 %

2.37

2004

1.57

55 %

1.26

45 %

2.83

2003

1.52

60 %

1.01

40 %2.53

2002

0.79

44 %

0.99

56 %

1.78

2001

0.51

50 %0.51

50 %1.0219

Product Portfolio
Multimedia Product- Watch TV on NB solution- Analog TV Tuner- Hybrid TV Tuner- Digital TV Tuner- Digital Home Solution (ViiV, MCE & Vista)- External TV Tuner Box

Presentation Product- Document Camera

Network Video Product- Digital Video Surveillance20External marketing trend• Multimedia Products– Strong demand in Notebook PCs: annual demand ofaround 140 million sets ( less than 2% of attachment
rate of TV Tuner in Notebook PCs except Japan)

21ODM solution

Hybrid Mini card

DVB-T Mini cardHybrid Mini PCI

Hybrid ATSC

Hybrid DVB-T

Analog Worldwide

DVB-H SDIO

DVB-T Mini card

Analog Worldwide Hybrid DVB-T

ATSC

Hybrid PCIe22

ISDB-T

ISDB-T

DMB-THDMB-TH

MiniPCI TV Tuner card for NB

23

ODM main customers

24Analog TV Tuner / PVR
 Watch, Record & Enjoy TV / Video on PC

 Desktop PC Solution

AVerTV (Studio) 503

AVerMedia AVerTV PVRHigh-Quality TV Tuner Card TV Tuner Card, H/W compression

 Notebook PC Solution

AVerTV Hybrid Express Slim

AVerTV USB MCE

Express Tuner CardUSB TV Tuner,
H/W compression25Hybrid TV Tuner Card Watch Digital Terrestrial and Analog TV on PC

USB Solution
Analog TV

EXPress Card Solution

DVB-T

CardBus Solution

VCD\DVD Player26

PCI Solution

Location Service Solution

1.connecting your TV antenna or video device output to the Base Station .
2.The Base Station grabs the TV or video signal from the source.
3.The digital media process converts the signal into digital data and compresses
the data using a Windows- codec.
4.Then broadcasts the stream video in real time via the PC Ethernet port.
5.You access the stream via your home network or a broadband connection
using the installed player on your computer.
27

Windows 7 & Media Center TV pack 2008••••

Microsoft will launch Windows 7 at 3Q of 2009.
Windows 7 includes Windows Media Center TV pack 2008 features
MCE TV Pack 2008 support Worldwide TV tuner solutions
AVerMedia is listed Windows Media Center PBDA (Protected Broadcast DriverArchitecture) Partners that announced at IBC 2008.

28

Windows OS vs PC Shipment

Vista VersionPrice(Est.)

Windows 7 Home Starter

TV Function(MCE TVPack)

Upgrade toTV Function

XVVWindows 7 Home Basic$ 200

X

Windows 7 Home Premium$ 260

V

Windows 7 Professional$ 300

VWindows 7 Ultimate$ 320V29

Watch DVB-H TV Solution

South of Taiwan starts
broadcasting to enter into the trial stage.
AVerMedia provides DVB-H platform aspart of the solutions.

30External TV Tuner BOX Watch Digital Terrestrial TV on PC Monitor/TV

or

AVerTV DVB-T STB7
Digital Terrestrial TV Set-top-Box

 Watch Analog TV / Video on PC Monitor

AVerTV DVI Box9
TV/Video viewing w/ highdefinition 1920x1200（WUXGA）
TV Box31

Portable Document Camera Display 3D Objects or Documents on Projector /Monitor / TV

AVerVision SPC300
Digital Portable DocCam
Super High Quality, Fast Auto Focus,
PIP & Spilt Screen, 48X total ZOOM

Portable Gooseneck

Portable Mechanical Arm

Portable Dual Arm

Platform DocCam• AVerVision CP130• AVerVision CP150• AVerVision CP300• AVerVision300e• AVerVision300AF• AVerVision SPC300• AVerVision530

32

AVerVision Business Outlook• Top 3 document camera brand worldwide• Reap major market shares in USA, South Asia, and many key countriesin Europe• Offer most complete product line in the market from portable toplatform• Has delivered double digit growth for consecutive 6 years

33Document Camera Applications

34

Document Camera Business Potential• A huge market potential with double digit annual growth rate
• Vision:• Long-term:
Equip every classroom a document camera• Singapore: classroom attached rate around 90%• Short-term:
Build up at least one multi-media classroom in every school with adocument camera

35

Reports indicate the trends
TOP 1
The Multimedia Classroom
LCD projectors, interactive white boards, document
cameras, and other display technologies are beginning tochange the face of today’s classroom.
Source： Technology & Learning November 15, 2005

Report of the Teaching andLearning in 2020 Review GroupThe new technologies have an impact on a school in three mainareas:• …
• the creation and delivery of lesson materials, including teachers’and pupils’ use of whiteboards, visualizers, handheld voting
devices and tablet PCs to enable reproduction of and access toresources• …
Source：Report of the Teaching and Learning in 2020 Review Group, 2006

36

Top 10 wish list as selected byAmericans in education field

37

Educational Budget Growth %38

AVerDiGi SurveillanceStandalone DVRs
AVerDiGi SA9000E Pro- Advanced 16 Ch. hybrid embedded DVR with video
loop out ports.

AVerDiGi SA6032E RACK- 16CH~32CH Hybrid and Real-Time Standalone NVR

Windows DVRs
AVerDiGi NV9000E

AVerDiGi NV8416 E4-16CH D1 Real-Time h/w
compress Hybrid DVR
Solution-World's No.1 PCI-e x 4 interface
capture card for faster data
streaming

AVerDiGi NV6480 Express-Single 16 Ch. DVR PCI Express,
480fps display/recording

AVerDiGi NV5000-Up to 16 Ch.,120~240fps
display/recording, remotemonitoring via internet or PDA

39

AVerDiGi Surveillance
Embedded DVRs
AVerDiGi EB1704HB WiFi-4/ WiFi-4 LITE
- 4CH Embedded Hybrid NVR which can support
both IP and Analog cameras

AVerDiGi SEB5116- Super slim 16CH embedded real-time DVR
with GUI

AVerDiGi EB1304NET SATA
- 4CH Light Weight Standalone
DVR

AVerDiGi EH5116 Pro- The First 16CH Full Functional Embedded
Hybrid DVR in The World

40

AVerDigi Surveillance
AVerDiGi EB1704Hybrid

AVerDiGi EB1304NET- 4 Ch. standalone security- 4CH Multiplex Networking

digital video recorder w/network access

DVR

Standalone DVRs

AVerDiGi EB1304 MOB

4CH Mobile DVR
41Mobile DVRs

Surveillance Application

The AVerDiGi Central Monitoring System Software (CM3000)enables users
to access and monitor multiple DVRs simultaneously for a wide range ofapplications. Features include: instant notification on DVR latest status orevents, supports remote PTZ and I/O control for alarm events, up to quadmonitor outputs, full remote DVR control, etc.

42Surveillance Awards & Certifications

With the honor from CES, AVerDiGi
EB1704HB WiFi-4 LITE became abright start in Time Square, NY

TAIWAN EXCELLENT
AWARDGOLD MEDAL(PoznańInternational Fair)

Innovations inTechnology
Award (IHTA)"Editor's Choice" bySDM“Gold Award” by HWM

BuyCOMs' “Goldaward”

CocoonTech.com –“Home Security Softwareof the Year.”43Internal organization capability
Multimedia
ProductNetworkVideoProductPresentation
ProductCulture
Technology
Brand

Growth Drivers

44

Culture
CultureTechnologyBrand• Core Value– Down-to-Earth– Value Creation– Self- Devotion– Service to Society• Humanity- Self Awareness / Transcendence /Honesty & Integrity

45

Technology
CultureTechnology
Brand– Video conversion between analog
and digital– Leading technology for TV tuners in the fieldof Notebook PCs– Patents : 138 of patents being granted, 247 ofpatents application in the process– Product awards

46Brand• MultiMedia products: Brand premium incertain geographical areas,
like Spain, Russia and East Europe etc.

CultureTechnologyBrand• DoCam: Distinguished as one of the firstmovers with strong presence in K-12. Education
market in the U.S. with brand recognition inheritedfrom the glamour of previous product lines.

47

Presentation Products Potential market size
• No statistic data investigating the market
size of DocCam.
– Number of schools: the maximum market size
can be derived from number of schools. Take
USA as an example, there are 90,792 K-12
schools in the US. If we assume each school has
30 to 40 classrooms and each classroom shallinstall one DocCam, the potential market is 3 M
units in total.

48

Quality & Environment Management
 ISO 14001 Environment Manage System- Lead – Free Process (by the end of 2006)
 ISO9001: 2000 Version Quality System
 OHSAS:18001

 Passed the Quality System Audit by first tier companies.
 Certificate of Sony Green Partner4949

Q&A