Short Inter Stream Overview

Establishing Fairness and Transparency for the Global Broadband Ecosystem

THE INTERSTREAM ASSOCIATION BROADBAND TELEVISION

FEBRUARY 2009

2009 InterStream, LLC ! Private & Confidential ! All Rights Reserved

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InterStream Mission & Problem Statement The InterStream Association is a multi-industry organization responsible for creating, enabling and promoting a fair and transparent global Internet infrastructure which secures delivery of licensed content to broadband-connected consumers. INTERNET SERVICE PROVIDERS •

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Declining margins on existing products & services requires a new, higher-margin service to be deployed Lack of an industry-wide infrastructure for mediating (i.e., segmenting) traffic according to the needs of applications for broadband-connected consumers has resulted in a broken economic model for peering and transit where supply & demand are not balanced CONTENT PROVIDERS

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The quality of the consumer experience for content delivered over broadband connections is inconsistent due to the best-effort design of today's Internet Lack of robust audit & enforcement mechanisms and technology to protect online intellectual property rights 2009 InterStream, LLC ! Private & Confidential ! All Rights Reserved

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Content Distribution: Current Limitations What content providers & consumers want: A TV/DVD/HD EXPERIENCE

What ISPs & CDNs currently provide: SMALL IMAGES PIXELATION FREQUENT PAUSES LOSS OF AUDIO & VIDEO SYNC

2009 InterStream, LLC ! Private & Confidential ! All Rights Reserved

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Why can't ISPs & CDNs Provide Better Service? Origin Server (content)

Internet Exchange

Transit Network

Broadband Service Provider Broadband Provider's Network

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ISPs control their own networks, but not the quality of service on other networks

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CDNs can not break through the last-mile bottleneck

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Enough bandwidth already deployed in the last-mile DVD quality video= ~1.5 Mbps

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No industry standard service level agreement (SLA) between last-mile networks Network infrastructure not capable of mediating (i.e., segmenting) traffic according to application requirements

2009 InterStream, LLC ! Private & Confidential ! All Rights Reserved

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InterStream Solution (Simplified) Internet Exchange

Origin Server (content) Transit Network

PC

Broadband Service Provider

Set-Top Box

Broadband Provider's Network

Wireless Devices Media Grid Engine

Secure Mediation Controller (resident in edge services router)

Hardened Playback Device w/S-ISTP

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InterStream Association will drive adoption of industry-wide SLAs

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Precision release of traffic through bottlenecks

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More efficient use of existing capacity

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Mediates bottlenecks into: Diamond, Best-Effort, & Truck Lane (for P2P) Services

Result: reliable & consistent consumer viewing experience Enough for DVD and better quality video 2009 InterStream, LLC ! Private & Confidential ! All Rights Reserved

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Mediated Bandwidth Concepts

“Diamond Lane” Service Appropriate for Streaming Video “Best Effort” Service Appropriate for “Bursty” unthrottled Web traffic

2009 InterStream, LLC ! Private & Confidential ! All Rights Reserved

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Throttled, “Truck Lane” service for sustained transfers such as P2P

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Content is Global

CONTENT

Content Providers are GLOBAL Users are GLOBAL Pirates are GLOBAL

USER Laws are LOCAL

Weaker jurisdictions shelter pirated CONTENT

2009 InterStream, LLC ! Private & Confidential ! All Rights Reserved

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Global Jurisdiction USER

Licensed Content

The InterStream Media Grid is GLOBAL Media Grid Media Grid

A single jurisdiction for anti-piracy and content-protection Media Grid

Pirated CONTENT removed per InterStream Terms Of Service

Media Grid

Unlicensed Content 2009 InterStream, LLC ! Private & Confidential ! All Rights Reserved

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InterSteam Pilot & Roll-Out Plan Phase

Goal

1a

1b & 1c

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Deployment of ISTP plugin and Media Grid Engines to test premium network services

Status Currently testing in New York City, San Jose, and Los Angeles Testing to begin late Winter/early Spring 2009 in South America, Europe, and Asia

Deployment of Secure Mediation Controllers to secure last-mile bottlenecks against competing TCP flows

Commercial Operation of the InterStream Media Grid

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Secure content distribution via hardened playback device connected to the television

Testing to begin Summer 2009

Participants (new) nuMetra ! Tier 1 carriers #1-3 ! Media Grid Engine Supplier !

Tier 1 & 2 carriers #4-6

Last-mile ISPs ! Secure Mediation Controller Supplier !

Fall 2009 Testing to begin Summer 2010

2009 InterStream, LLC ! Private & Confidential ! All Rights Reserved

Consumer electronics manufacturer(s)

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Proposed InterStream Association Structure InterStream Oversight Board (IOB) Defines Charter, Governance Procedures & Operating Agreements

Advice and Consent Of Working Groups

Sets Fees and Budget

Name

Industry Focus

Goal

CE Manufacturers

A hardened playback device for early release window and high value content

Terms Of Service & Anti-Piracy

Content Providers

Policies & mechanisms for the audit & enforcement of intellectual property rights

Technology & Mediated Bandwidth Agreement

Carriers & ISPs

QoS & mediation standards B2B agreements

Working Groups

Content Protection

© 2009 InterStream LLC - Private and Confidential - All Rights Reserved