1. Lynotech
Empowering Publishers

2. Lynotech
Lynotech is a multiplatform audience knowledge system for premium publishers which
allows them to deliver targeted audiences directly to advertisers, provides useful user
insights to content creators and sales teams, and allows to build better services for users,
driving superior digital revenues for publishers.
Lynotech does what Google would do if it was a Premium Publisher.

3. The Problem
¤ Premium Publishers have lost approximately
50% of their overall advertising revenues in the American Newspapers have lost 55,6% of
past five years (2006-20011).
their advertising revenues in the past 5
¤ They haven’t been able to increase digital years (2006-2011).
revenues enough to compensate this fall.
Newspaper Assosiaciation of America
¤ In the offline world, advertising revenues
depend on Publisher’s brands and the size of
their audiences.
¤ In the online world, user’s knowledge is the key
driver for revenues.
Spanish newspapers have lost 51% of their
¤ Premium Publishers hardly know anything advertising revenues in the past 4 years.
about their users, therefore they still sell Infoadex
advertisement spaces, not audiences.

4. The Problem
¤ Other agents present in the display advertising
market value chain retain most of the final value
paid by advertisers, reducing Premium Publishers
revenues, by transforming advertising spaces into
online audiences and delivering it directly to the
market.
¤ Publishers can’t disintermediate the value chain to
increase their share of the market because they
don’t have advertising products demanded by
advertisers.
Terence Kawaja’s 2010 IAB presentation "Parsing the Mayhem: Developments in the Advertising
Technology Landscape.” outlined the distribution of revenue through the ad technology chain. Since
May 2010 the situation has gotten worse as there are more players in the game.

5. Lynotech’s Solution
Lynotech transforms user’s data generated by Premium Publishers into knowledge through state of
the art data processing technologies, and provides publishers with adequate interfaces to manage
that knowledge in order to enhance its value.
Each Publisher is owner of the user’s knowledge generated in its sites. Lynotech will help publishers
to use this knowledge to:
¨ Design their editorial strategies based on users insights to increase their audience and therefore
their influence.
¨ Create a higher value advertisement product that allows publishers to sell segmented audiences
instead of advertising spaces and develop new commercial strategies.
¨ Capture more market value and disintermediate the advertising selling ecosystem by creating a
bridge that reaches advertisers and agencies directly with premium targeted advertising
products.

6. Market Size
USA 2011 Europe 2010* Spain 2011
Premium
Publishers Internet Ad Revenue (m$) 31.896,55 22.713,15 1.141,24
Internet Total Available Market 11.100,00 7.495,34 550,44
Display Ad Revenue (m$) (34,8%) (33%) (48,23%)
Displays
Last Years Display Ad
Advertising 15% 21,10% 12,60%
Revenue Growth (%)
Market Size in
9.102,00 523,75
millions of Premium Publishers (m$) Not available
(Top 50: 90%) (Top 30: 95%)
dollars, Newspapers (m$) 3.249,40 Not available 148,40**
according to
the Interactive Sources:
IAB USA – Internet Advertising Revenue Report Full Year 2011: http://www.slideshare.net/pmereles/iab-internet-advertising-revenue-report-full-year-2011
Advertising IAB Europe – European Online Advertising Expenditure 2010 (2011 Report not available yet*): http://www.slideshare.net/pmereles/iab-
europe-2010
Bureau (IAB) IAB Spain – Estudio sobre Inversión Publicitaria en Medios Digitales: http://www.slideshare.net/IAB_Spain/estudio-de-inversin-en-publicidad-digital-total-
ao-2011-iab-spainpwc
data
Newspaper Association of America
**Deloitte–AEDE March 2012 Newspapers Digital Editions Ad Revenue x 12

7. Business Model
Lynotech charges Premium Additionally, Lynotech charges
Publishers a monthly fee Premium Publishers a percentage
according to the size of their of the advertisement revenues
audience.
achieved thanks to the user’s
knowledge provided.

8. Competition
Apparently, there are many competitors, but…
¨ They all fight to keep control of their piece of
cake and increase market’s opacity.
¨ They all keep user’s knowledge for themselves
in order to monetize it elsewhere.
¨ None of them really helps Publishers build
better audiences.
¨ None of them maximize advertising revenues
for Publishers, they maximize their own
revenues.
…none of them meets fully Premium Publishers needs.

9. Lynotech’s Advantage
None of the players in the market addresses this matter from a Premium Publishers
point of view: no agent meets fully their needs.
Publishers need to own their user’s knowledge in order to drive growth in the online
market:
¨ Delivering better contents to increase their online audiences.
¨ Delivering personalized services to increase user’s engagement.
¨ Delivering higher value products to advertisers (targeted audiences vs. spaces) to increase
their revenues per user.
¨ Disintermediating the current value chain to capture more market value.
¨ Developing new commercial strategies to maximize in-site audiences monetization.

10. Go To Market
¤ Lynotech already has an agreement with a premium local newspaper publisher
to develop and enhance it’s user’s knowledge technology: months 1-6.
Trojan Horse
¤ Lynotech will silently develop and polish the sales and editorial interfaces that
Strategy
will help publishers enhance their incomes and audiences: months 6-9.
¤ Lynotech will start testing targeted campaigns without advance: months 6-9.
¤ With results in it’s hands, Lynotech will try to impulse a wide agreement with
the Spanish Premium Publishers to add as many Editorial Groups as possible
Silent to it’s initiative, in order to avoid other online advertising agents
Concentration
countermeasures: months 9-12.
¤ At the same time, Lynotech will start to impulse similar editorial agreements
in different European markets and in the US.

11. Lynotech’s Team
¤ Paul de Mulder
¤ Guillermo Ramos
Freelance business consultant specialized in Economist with extensive experience in
media groups with four years of experience Venture Capital, Private Equity, Fundraising,
working in the industries transformation.
Strategy, Start Ups, Valuations and Business
Plans.
¤ Luis Fajardo
¤ José Rizo
IT Engineer specialized in Software Experienced IT/engineering professional
Development Management with five years of focused on Real Time System developments for
experience developing communication the Aerospace Industry.
systems and air navigation aids.
¤ Key Hire:
¤ Key Hire:
One Artificial Intelligence Specialist to help Two experienced coders in systems
polish the user’s knowledge system. Already integration to connect the user’s knowledge
Identified.
system with the rest of Lynotech’s tools.

12. First Steps
Lynotech has applied to Wayra, Telefonica’s startup accelerator program, which offers:
¤ Funding: Up to EUR 50,000 and alternative ways of funding, such as external VCs and internal
funds from other Telefonica’s ventures.
¤ Advisory: technical and specific advisors in topics like marketing, taxes, patents and intellectual
property, legal frameworks, business regulations and financial issues.
¤ Infrastructure and working space: world-class co-working space.
¤ Mentoring & Networking: a good opportunity to benefit from synergies and access to valuable
knowledge.
¤ Training: from top universities, technical and business schools
¤ Technical Development: regular talks and consultancy from Telefonica I+D engineers.

13. Lynotech
Empowering Publishers