Qualcomm & Qualcomm Ventures in Game industry

1. Qualcomm & Qualcomm
Ventures in Game industry
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2. Qualcomm : Leadership Position Across
Businesses
$15B revenue, $110B market cap
Consumer
Mobile Computing Networking
Electronics
Feature and Tablets, Gaming, Switches,
Smartphones Laptops, eReaders, DTV, Routers,
All-in-One PCs STBs, PNDs Gateways, PLC
Qualcomm Atheros
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3. Qualcomm Ventures
OVERVIEW
 Qualcomm’s corporate venture group with a $500M evergreen fund
 Formalized in 2000
 Dedicated team of 17 individuals
 Investment Managers located in US, China, Europe, India, Israel, Brazil and Korea
 56 active investments
 Investment focused in six general areas across wireless value chain
 Applications, Software and Services
 Components and Semiconductor
 Consumer Devices
 Energy
 Healthcare
 Infrastructure
 Key Benefits
 Relationships and access to technology expertise
 Strong relationships with leading operators, suppliers, developers & OEMs
 Established connections with Venture Capitalist community
 Support our portfolio companies towards an appropriate exit (IPO or M&A)
 Access to our internal R&D resources (people, products and platforms)
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4. Qualcomm Ventures
INVESTMENT GOALS
 Accelerate and influence the growth of the wireless market
 Stimulate demand for Qualcomm technologies, wireless products, apps & services
 Creating new and complementary technologies and businesses
 Enabling new markets (vertical and horizontal)
 Enhance demand for wireless data applications and services
 Support our corporate and business units’ strategic goals
 Gain early access to emerging technologies and businesses
 Target strategic investments that don’t compromise financial ROI
 Generate strategic return on product sales, royalties
 Generate equity ROI
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5. Qualcomm Ventures QPrize
 International Seed Fund Competition
 $1,000,000 in Prize Funding
 8 regional competitions
 China, W-Europe, E-Europe, India, Israel, Brazil, S. Korea, North America
 Each regional winner secures $100,000 in prize funding
 Grand Final
 Regional Winners invited to Qualcomm Ventures CEO Summit (Oct, 2012) to
compete for an additional $150,000 in prize funding
 What are we looking for?
 Entrepreneurs & Start-ups Seeking Initial Funding
 Requirements: <$2M funding from friends & family plus no institutional money
 Strong Management Teams
 Innovative Products & Services in Technology
 Viable Business Plans
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6. Qualcomm Ventures CEO Summit
QCV CEO Summit recap.
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7. Current Investments
Core Investments Targeted Verticals
Components &
Applications, Software and Services Consumer Devices Energy
Semiconductors
Healthcare Infrastructure
YongChe
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8. QCV’s investments into game
• $10M investment with Intel • $2.5M investment
• Acquired by EA in 2006 with NEA and
Benchmark
2001 2004 2011 2012
• $3M investment
with Carlyle • $2M investment
• Acquired by Walt
Disney in 2007
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9. QCV’s interest in Game industry
Financial
Strategic
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10. Financial
Strategic
Exciting time for investors & game developers
• Game private investment doubled
in 2011
• Together with IPOs, total game
investment nearly quadrupled
• Game M&A more than doubled in
2011
• Quality investment demand still
exceeds supply, but soon may
change
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11. Financial
Strategic
Most activities in online and mobile
• Discrepancies in private
investment and M&A, especially
in mobile
• Demand and supply in private
investment may reverse
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12. Financial
Strategic
Online / mobile big bang
• Online / mobile
growing scale and
share
• Consumer markets
fragment
• Solid & profitable
business models
• Equipped with specific
skills and approached
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13. Financial
Strategic
Asia is leading the way
• Stagnant console
• Online / mobile reaching
$41B by 2015 (50% of
global game market, 14%
CAGR)
• China 36%, Korea 12%,
Japan 10%
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14. Financial
Strategic
Korea will become more important
market for investors
• Users : ‘000~’000,000 • Users : ‘000~’000,000 x 100
• ARPU : $~$$$ • ARPU : ₵~$$
• Cost : $M ~ $’0sM • Cost : $’0sK ~ $Ms
• Operating profit : (-) ~ 20% • Operating profit : (-) ~ 70%
• Growth rate : (-) ~ <10% • Growth rate : (-) ~ 100%
• Business model : unit sales, subscription, • Business model : unit sales, free, virtual
virtual goods goods, ads
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15. QCV’s interest in Game industry
Financial
Strategic
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16. Financial
Strategic
Snapdragon Leadership: Android
225+ 30+
Designs Launched Manufacturers Shipping
with Qualcomm with Qualcomm
Qualcomm Supports Android from High Volume to High End
Source: Qualcomm data.
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17. Financial
Strategic
Snapdragon Leadership: Windows
Snapdragon Powers Windows
The Only Processor
…And Spans to
That Powers Windows
Power Windows 8
Phone…
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18. Financial
Qualcomm has core Gaming expertise Strategic
• Dedicated Advanced Gaming team to support customer gaming efforts
• In house game studio composed of former console lead game programmers and artists
• Dedicate gaming business team working with top game Developers & Publishers
• Providing unique and exclusive titles for OEM pre-load opportunities
• Complete Ecosystem for Game Developers: Dev Kits, Adv. GPU tools, and expert support
Bringing a bigger and better gaming experience to Snapdragon
Over 100 Optimized Games
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http://gaming.qualcomm.com

19. Financial
Strategic
Engagement Model for Snapdragon GamePack
OEMs/Carriers choose which games from
1 gaming.qualcomm.com for preloads
Gaming team will facilitate introductions with
2 publishers/developers
OEM/Carrier determine business model directly with
3 publishers/developers
Gaming team will work with developer to optimize and
4 enhance games
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20. Financial
Strategic
Homerun Battle 2
Developer Com2US
Publisher Com2US
Launch Date April 2012
Snapdragon 2 weeks
Exclusives and Snapdragon uniforms
Enhancements
Platforms S3, S4 (Smartphones, Tablets)
Android
Genre Casual
Pricing TBD
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21. Backup
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22. 3D Development Tools for Snapdragon
SDK Profiler
 Multiple Technologies  Most Comprehensive Profiling Tool on Mobile
• GL ES 1.x, 2.0, 3.0, VG • Low level integration with 100s of registers,
 Comprehensive Collection of Utilities Advanced Features
• Emulator, Geometry/Texture Optimizers etc.  Very Effective and Useful Tool
 Variety of Samples • Saves Significant Development Time and Money
• Samples, Demos, Advanced Shaders  Works on Commercial Devices and Apps
 Thorough Documentation  No change required
Available for Free on “developer.qualcomm.com”
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23. Snapdragon Mobile Development Platform
 A complete application development platform
 Shows real-word performance ahead of commercial launches
 Commercial-like device that heps bring apps to market faster
 Create, Test and Optimize
 Gives developers early access to new Snapdragon features
 Access to Adreno and power measurement tools
Available for MSM8x55 and MSM8x60
www.bsquare.com/qualcomm
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24. Snapdragon Gaming Middleware Support
Vision Engine
Unreal Engine 3 CryEngine3
Alternativa Platform: Adobe’s Molehill
Allegorithmic: Procedural Texturing
Gaming UI
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25. Complete Ecosystem for App Developers
Hardware Tools Software Tools High Volumes, all OS
Trepn
developer.qualcomm.com
Enormous target opportunity for mobile developers
Qualcomm provides the tools and support you need
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