Fulfilling the Promise of Interactive IP Video Communication

Fulfilling the Promise of Interactive IP Video Communication Presentation for TERENA

The Video Conferencing Industry q HOT but still, the Slowest Emerging Market! q Why? - User Experience § It needs to look real to feel real …That means HIGH QUALITY and very low delay § It needs to be affordable …That means PENNIES/minute § It needs “universal connectivity” …That means calling from anywhere to anywhere 2

Layered Media Value Proposition q Dramatically Lower Cost with Software based H. 264 SVC (G) solution § 10 X price/performance improvement § Resilience and performance § Extensive intellectual property q Significant Quality Improvement (HD/Telepresence) § Resilience § Delay q Scalable Service provider deployment possible including Multipoint q Unified communication: from Tele-presence to Mobile device in one conference 3

Video Conferencing Market Revolution Resolution L High Definition a Cisco, HP, Polycom Tandberg, Life. Size y e r e $10 K-$300 K Endpoint M Quality Interactivity Standard Definition d e d i Existing Technology Low Definition 10 Price-Performances -Interactivity 1000 10, 000 a All Vendors Cisco, Microsoft, Nortel, Avaya, Skype, Yahoo, AOL, Adobe 1, 000 Number of End Points 4

Conventional vs. Scalable Coding Conventional Coding Significant Impact Scalable Coding Minor or No Impact Low Reliability Channel High Reliability Channel 5

Compare H. 264 SVC with conventional H. 26 X 6

Native Rate Matching High Resolution High Frame Rate SVCS 1. 5 Mbps LMI Server SDK High Resolution High Frame Rate Medium Resolution High Frame Rate 512 Kbps Medium Resolution Medium Frame Rate 256 Kbps 128 Kbps Low Resolution Low Frame Rate 7

Traditional Software Video Router Solution replacing MCUs Delivers Real Time Interactive Video Even With Packet Loss Eliminates MCU hardware cost and transmission delay End-User 1 MCU ENCODE SVC DECODE End-User 2 DECODE ENCODE SVC COMPOSE ROUTE LMI SVC Server ENCODE Packet Loss Sensitivity Requires Dedicated Network DECODE End-User 3 X SVC High Cost High Delay Requires Dedicated Hardware Costly Solution. User Experience Can Be Frustrating.

LMI vs. Traditional Technology Traditional Layered Media Packet loss usability threshold <3% >50% Conferencing delay: End-to-end delay: Result: >200 ms >400 ms Non Interactive =20 ms <150 -200 ms Interactive MCU Cost $3, 000 -$8, 000/port $300 -$800/port HDTV Endpoint $8, 000 K-$300, 000 Specific HW PC + HD camera 9

Affordable, High Quality IP Video…At Last! Layered Media HD quality, transmitted over 1. 1 Mbps, using a lap-top computer 10

Business & interactive Video…the Postcard q Fixed - Mobile networks are converging q Data, voice and Video applications are converging to deliver Unified Communications q Web 2. 0 and Business Applications are converging to create more interaction and real time communication q H. 264 (AVC) is the video standard q Video is HOT q Great!! Soon interactive video is available everywhere and will be part of the day to day communication 11

Business and Interactive video… the Reality q Customer expectations in terms of quality and ubiquity are jumping : § § § SD is the minimum, HD is the wish Everywhere is the rule q An H. 264 AVC infrastructure is not scalable or flexible enough to deliver HD or even SD over shared fixed and mobile networks, how to connect Telepresence with CIF Mobile? q There is a disconnection between what the industry is pitching and what it can deliver using existing standard q Pressure is big enough for a new standard to emerge: H. 264 SVC 12

Consumer market is facing the same challenge q Broadband internet is available on PCs and Mobiles q TV and internet are merging, raising the bar in terms of Real Time Video Quality expectations q Web 2. 0 social interaction model is the rule q Web 2. 0 + TV over the internet makes Real Time, High Quality Video interaction from any device the KILLER APPLICATION q This means Interactive HD or SD video must be made widely available ASAP q H. 264 AVC can’t do it q Pressure and timing is right for H. 264 SVC to emerge 13

H. 264 (G) The Unified Video Communication Standard Executive Desks HD conferencing HD/HD Corporate PCs HD/SD IP Video. Phones HD/SD PRIVATE IP / BUSINESS Including wireless ONE conference H. 264 SVC (G) PUBLIC INTERNET Including wifi Telepresence Rooms HD/HD MOBILE NETWORKS 3 G+, HSDPA Regular PCs Nomad PCs HD/SD 3 G+/HSDPA Mobiles HD-SD/CIF 14

Intellectual Property q Extensive – 25 patents § Encoder patents § MCU patents q Hard to circumvent § First team of experts in scalable coding, Vo. IP and video conferencing to bring these disciplines together to deal with the problem § Cover all the essential functions need to replace traditional MCU in the scalable coding domain q Enforceable § Heavily dependant on client / server interaction – exposed to network element 15

LMI SDK Architecture 16

Market Feedback q 80 leading companies in § § IP PBX IM Video conferencing Web conferencing q Different aspects of the technology evaluated § 100% agreed SVC is a great plan § 1/3 have an immediate interest and are in evaluation process § No competition identified 17

Technical Team q The team includes § 12 Ph. D video compression and IP communication § 4 former and current editors of MPEG and ITU-T standards § Track record of 70 pending and issued patents in the video compression and communication space § Brought to market the most widely deployed IP video conferencing solution q Research team: § Alex Eleftheriadis, Chief Scientist, former editor of the MPEG-4 Systems § Thomas Wiegand, Advisory Council, Editor of the H. 264/AVC/SVC video coding standard, Associate Chair of MPEG Video § Henning Schulzrinne, SIP inventor § Michael Horowitz, first to implement H. 264 real time codec 18

Conclusion q Layered Media provides a definitive solution for internet based video communication and conferencing q Results go beyond anything possible with traditional solutions in all measures of price / performance q Technology is provided as easy to integrate SDK q Layered Media developed a wide IPR portfolio for SVCbased video communication q LMI’s team include the world’s leading experts in video coding and communication q We are committed to apply SVC into any communication network and device 19

If you remember only one thing… Layered Media developed a novel, unique and standardbased technology with strong intellectual property. Layered Media is transforming video conferencing by delivering very high quality at significantly lower cost. “The future is here. It is just not widely distributed yet. ” - William Gibson 20

THANK YOU! LAYERED MEDIA EMEA emea. sales@layeredmedia. com