Touchpoint Group Holdings, Inc. · OTC:TGHI
Touchpoint — One Horizon Group — Investor Presentation (February 2014)
26 slides from Touchpoint's investor presentation, Feb 27, 2014
Slide 1: One Horizon Group Investor Presentation
One Horizon Group " : OHGI 7 ) io ~< anes ' . R » } Inv r Presentation
Slide 2: Safe Harbor Notice
safe harbor notice. , horizon This presentation contains forward-looking statements and management may make additional forward-looking statements in response to your questions. Such written and oral disclosures are made pursuant to the Safe Harbor provision of the Private Securities Litigation Refor
Slide 3: Equity Snapshot
equity snapshot. 8 horizon Share Price! 2/26/14 $6.50 Market Cap ~$229 M Fully Diluted Shares Outstanding 35.2M YTD Revenue? (9/30/13) $13.3M YTD Net Income After Tax? (9/30/13) $5.4M 2013 YE Guidance §214M 1. Raised $6.0m at $7.44/share in Feb 2013. Currently listed on OTCBB. 2. Unaudited
Slide 4: Who we are. What we do.
who weare. what we do. , horizon One Horizon Group provides the world’s first, carrier-grade, mobile VoIP solution. Using our proprietary SmartPacket™ technology platform, we have been able to significantly improve the efficiency by which voice signals are transmitted by radio over the Internet resu
Slide 5: The market opportunity
the market opportunity. 9 smartphone adoption rates climb in target markets horizon nM of units > 67% of al handsets shipped —_ * In 2013, the total number of smartphones 1,600 1,516 shipped around the globe (919 million) will i386 surpass feature phones forthe first time ever 1400 50.1% of all 1 ha
Slide 6: Carriers at the crossroads with challenges
carriers at the crossroads with challenges. ; horizon Operators and carriers are being threatened by third-party, Over the Top (“OTT”) apps. 100’s of millions of subscribers routinely circumvent operators’ platforms. Carriers are losing control of voice and text functions along with billing revenues
Slide 7: A smartphone explosion could lead to a network implosion
a smartphone explosion could lead to a network implosion. horizon Smart phones consume 24X more data than feature phones Tablets consumes 120X more data than smartphones .. what happens to network data? .. what happens to call service quality? .. what happens to telecom operators’ capex requirements
Slide 8: The Horizon VoIP call platform solution
the horizon VoIP call platform solution. ; horizon The white-labeled, total solution for carriers and enterprises is») Connects with any phone system using an optimized IP technology “y) Works via EDGE, GPRS, 2G, 3G, 4G/LTE, WiFi or WiMax Messaging; text, video, picture, location-advertising DX] Adv
Slide 9: Carrier products and services combat OTT
9 carrier products services combat OTT. ; horizon Carrier Products & Services Cross functional features «Fully integrates with users native smartphone address book Single identity or alias number with calling features including app-to-app, app-to-PSTN, PSTN-to-app and voicemail access *Messaging wit
Slide 10: Our business model provides carriers with a method to monetize VoIP calling
our business model provides carriers with a method to monetize VoIP calling. Tier One ¢ 5-yr system’s license fees of $3.0m Carrier Capex Model ¢ Annual maintenance fees ¢ Per subscriber fees of $1 - $4 per subscriber 1-time tiered subscriber fee in the range of $1-$4 per subscriber depending on num
Slide 11: Horizon Call integrates seamlessly with carrier infrastructure
horizon call integrates seamlessly carrier 9 infrastructure and puts carriers in the connection. horizon cartier / Operated) MZ, Singret DICE Horizon Global Exchange = Subserber registration | *VolP signaling = Routing Horizon VoIP Server installation Horizon VolP Server On.net VoIP payload Note: CA
Slide 12: Our customers
our customers. G horizon PP cena BZ singrel “a i C E Kuraygeo Service Indonesia voic com ng) MOBILE Dovos DATA & VOICE SYSTEMS CO IEC TELECOM IEC TELECOM GROUP 12
Slide 13: Efficient technology drives down cost
efficient technology drives down cost. 8 horizon ¢ The world’s most bandwidth-efficient VoIP platform * 100% developed in house, Switzerland; patent-pending * 10x more efficient than SIP (Session Initiation Protocol) ¢« SmartPacket™ technology enables low bandwidth transmission TALKING LISTENING Oth
Slide 14: Case study: savings on international roaming
case study: savings on international roaming horizon ¢ Massive savings through : Z bandwidth efficiency SERTLUETS OIA) GE ¢ Make and receive calls using GSM data roaming or WiFi Si peeutss geri ai ® You break out the PSTN GSM provider per minute $3.00 minutes ee : erator termination price ° Target m
Slide 15: Seven clear carrier benefits of deploying One Horizon
seven clear carrier benefits of deploying one horizon. horizon 1. Amobile VoIP platform that carries 10x voice and data Maximizes the value of spectrum Improved call quality Reduced capex vy ek ww N Displace “free” OTT apps with a high quality branded offering 6. Charge for app to PSTN minutes 7. Re
Slide 16: Competitors
competitors. ; horizon 1. Systems integrators that combine various elements of SIP (Session Initiation Protocol) dialers and media gateways — but only where their high bandwidth needs are supported by existing cellular networks 2. Competitors in Horizon’s mobile operators’ end-user space: Vi : Conne
Slide 17: Comparison feature matrix
Ss) comparison feature matrix. ; horizon 2.5G (GPRS) mVolF 2.75G (EDGE) mVolP }G (EV-DO) mVvolP 3.5G (HSPA) mVolF IG (LTE) mVolP Wi-Fi VoIP Wired (ethernet) VoIP WIMAX VolP Fixed Satellite VolF MORE FEATURES THAN ALL COMPETITORS skyPe™ § Mobile Satellite VoIP = VIBER™ [S79] Yes App ta App ValP Calls
Slide 18: Growth strategy one: contract new tier one and tier two carriers
growth strategy one. contract new tier one and tier two carriers. horizon Carriers worldwide is a trillion dollar marketplace with hundreds of tier one and tier two companies all ooh @ TE LE 4 over the world. al rc@ TELUS *TMT analysts estimate that carriers’ business’ will face diminishing returns
Slide 19: Growth strategy two: leverage Chinese JV
growth strategy two. 9 leverage Chinese JV to take market by storm. horizon © China branded apps dominate the marketplace with Coverage Rate of Top Apps viral adoption of popular messaging apps Ql © No app with comparable functionality or technology —ucwebsrawser 7 aoe to Horizon Call ‘Teneent oblas
Slide 20: Compelling LeiXin-JV value proposition
compelling LeiXin-JV value proposition. growth strategy two (cont.) horizon Phase |: App targets youth market, fast adopters More powerful solution ... *Free app2app VoIP calls that work over 3G, 2G and EDGE (first to market) *Free app2app MolIP (Text, Picture and Video Messaging) — like WhatsApp /
Slide 21: Proforma estimates for LeiXin-JV
proforma estimates for LeiXin-jv. 9 growth strategy two (cont.) horizon rapeiesiesuunt LEIXIN 3 YEAR FORECAST $390 390 3es 40 30 3s $290 a 290 26s ‘$240 240 # ==" Total Revenue 2 as 8 2 sis0 Lt iso) Sano = 165 z = Capex. suo er $90 0B teciang umber rent & suo SS cemmsthiias F - I is org ea ow oF al
Slide 22: Growth strategy three: introduce and develop enterprise customers
growth strategy three. Introduce and develop enterprise customers horizon The Enterprise Solution The new mobile workforce expects access to global data and voice resources from anywhere in the world and to be able to collaborate with any colleague anywhere in the world. The world's most efficient m
Slide 23: Horizon management
horizon management. ; horizon * Founded with Abbey Technology in Switzerland in 1999, merged with OHGI in Nov. 2010 and assumed role of Group CTO Co-inventor of the Horizon Platform; has over 20 years experience in software engineering ¢ Previously worked at Credit Suisse, developing their trading d
Slide 24: Selected financials
selected financials. horizon {All data in $000’s) Third Quarter 2013 For the 9 Months Ended Sept 30, 2013 Income Statement Data: Seitemiber so 2013 2012 Revenue 7,209 13,317 8,845 Gross Profit 7,175 12,796 8,458 Income from Operations 5,090 6,275 -679 Net Income (Loss) (b) (c) 4,661 5,454 1,946 Non-
Slide 25: Investment highlights
investment highlights. ; horizon * Only mobile VoIP platform that effectively operates on 2G networks which dominate wireless infrastructure in very sizable, fast-growing Asian and emerging markets * Proprietary SmartPacket™ core technology dramatically improves quality and efficiency of voice and d
Slide 26: Contact us
contact us. , horizon Company Brian Collins, CTO and Founder Tel: +41-79-6422265 brian.collins@onehorizongroup.com www.onehorizongroup.com Investor Relations John Mattio Senior Vice President —- MZ North America Main: 212-301-7130 Direct: 212-301-7131 john.mattio@mzgroup.us 26
One Horizon Group — Investor Presentation (February 2014) on 6ix