2010 Trends in Digital Technology & Content affecting licensing.

1. Digital Technology & Content Licensing Trends in 2010 And Why We Should Care Licensing Committee Conference Call California Bar Association December 3, 2009 James C. Roberts III, Esq. (in conjunction with Larry Gerbrandt, Media Valuation Partners) GLOBAL CAPITAL LAW GROUPPC

2. Summary: Cloudy with Chance of Continued Change (and no meatballs). Continued Weak Economy. The Media Industry: Creative Destruction. Technology: Platform Changes & Convergence. International: Privacy Matters. Hollywood Wants More: Ownership & SAG, et al. Other Legal Matters: Bilski, Patent Exhaustion, etc.

4. US economy may be technically in a recovery but employment will not rebound and little money will be available for investments.

5. Private equity and venture capital will look elsewhere—e.g., cleantech and biotech.

6. Europe and ROW no better off:

8. Probable BK and restructuring and difficult issues of IP rights.

10. The Cable Model to save the day?

11. Multi-platform distribution will emerge.

12. Metrics Matter (Nielsen announcement 12/2/09).

13. Ad sales still in silos (though changing).

14. Pay for online/digital content? The new model?

15. Big Players: Google, Facebook & Apps

17. Risks of derivative works with new licensees?

18. Rewrite metrics and rights to data?

19. App Store may require simpler licenses.

20. Google Book Settlement a harbinger?

22. Faster, cheaper machines (e.g., netbooks) & true collaboration.

23. The Cloud.

24. Apps, the Cloud and Chrome will reduce software prices.

25. True Convergence: Multi-platform now available and in-home convergence on its way, but …

27. Do underlying licenses impede Cloud migration?

28. Impact of Google Chrome on content deals with, e.g., Microsoft?

30. Expect transnational application (“across the Pond”).

31. EULAs will be scrutinized (much as with FTC).

32. Trademark and related IP rights clarified (or muddied).

34. EU trademarks will increase in importance.

36. “Hollywood owns it all” will be pushed to acquire technology rights (Hollywood v. Silicon Valley model).

37. Downstream/cross-stream Claims of Royalties/Payments?

40. Patent Exhaustion opinions clarifying (and weakening?) downstream licenses?