Touchpoint Group Holdings, Inc. · OTC:TGHI
Touchpoint — One Horizon Group — Investor Presentation (July 2014)
27 slides from Touchpoint's investor presentation, Jul 21, 2014
Slide 1: One Horizon Group Investor Presentation July 2014
optimized VoIP for operators and carriersfast, carrier-friendly, mobile VoIP One Horizon GroupOHGIInvestor PresentationJuly 2014
Slide 2: Safe Harbor Notice
* safe harbor notice. 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 Reform Act of
Slide 3: Equity Snapshot
* equity snapshot. NASDAQ OHGI Share Price 7/15/14 $4.29 Market Cap 7/15/14 ~$151.0 M Fully Diluted Shares Outstanding 35.2 M FY 2013 Revenue $9.1 M FY 2013 Net Income After Tax ($0.7) M
Slide 4: Who We Are, What We Do
* who we are. what we do. Horizon’s proven IP optimization is deployed across satellite and networks such as 2G 3G.Horizon VoIP the only voice solution specifically engineered for wireless internet connections. All existing VoIP solutions are based on SIP, or wired, Ethernet connections.Horizon is t
Slide 5: The Market Opportunity
* the market opportunity. smartphone adoption rates climb in target markets In 2013, the total number of smartphones shipped around the globe (1,004.2 million) will surpass feature phones for the first timeLatest generation of Android smart phones cost ~$25.00 to produceChina expected to lead 2014 s
Slide 6: Why Do Carriers Care?
* Why do carriers care? Operators and carriers are at a crossroads and 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 from ea
Slide 7: A Smartphone Explosion Could Lead to a Network Implosion
* a smartphone explosion could lead to a network implosion. Smart phones consume 24X more data than feature phonesTablets consumes 120X more data than smartphones… what happens to network data?… what happens to call service quality?… what happens to telecom operators’ capex requirements? Severe Stre
Slide 8: The Horizon VoIP Call Platform Solution
* the horizon VoIP call platform solution. Carrier-Branded App is available for download from iTunes and Google Play The white-labeled, total solution for carriers and enterprisesConnects with any phone system using an optimized IP technologyWorks via EDGE, GPRS, 2G, 3G, 4G/LTE, WiFi or WiMaxMessagi
Slide 9: Horizon App Advertising
* Advertising Horizon App Advertising allows GSM Operators to reach the subscribers using the Horizon Messaging ServerMessages can be delivered containing multi-media ads and web links for customers to click-through or replyARPU ModelMultiple Revenue Models Horizon Messenger – Advert Delivery Opport
Slide 10: Carrier Products and Services Combat OTT
* carrier products services combat OTT. 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 with app-to-app, app-to- PSTN, push to talk
Slide 11: Our Business Model Provides Carriers a Method to Monetize VoIP Calling
* our business model provides carrierswith a method to monetize VoIP calling. 5-yr system’s license fees of $3.0mAnnual maintenance feesPer subscriber fees of $1 - $4 per subscriber Carrier Capex Model600 Tier One Operators Minimum up-front license feesPer subscriber activation feeAnnual fee of $1 -
Slide 12: Horizon Call Integrates Seamlessly with Carrier Infrastructure
* horizon call integrates seamlessly carrier infrastructure and puts carriers in the connection. 1. Signalling- Calling party requests destination route from Carrier’s Global Exchange 2. Signalling- Carrier’s Global Exchange completes presence check on destination party 3. Signalling- Carriers Globa
Slide 13: Our Customers
* our customers. Tier 1 Addressable Market over 50m Tier 2 Addressable Market over 1m Satellite Addressable Market under 1m
Slide 14: Efficient Technology Drives Down Cost
* efficient technology drives down cost. TALKING LISTENING Other VoIP (G.729) 24 kbps 24 kbps Horizon 4.1 kbps5.4 kbps7.4 kbps 0.25 kbps All include IP headers All include IP headers All include IP headers The world’s most bandwidth-efficient VoIP platform100% developed in house, Switzerland; patent
Slide 15: Case Study: Savings on International Roaming
* case study:savings on international roaming Massive savings through bandwidth efficiencyMake and receive calls using GSM data roaming or WiFiYou break out the PSTN minutesTarget markets:Travellers outside your territoryOverseas visitors in your territoryMigrant populations Savings with Horizon Sav
Slide 16: Seven Clear Carrier Benefits of Deploying One Horizon
* seven clear carrier benefits of deploying one horizon. A mobile VoIP platform that carries 10x voice and dataMaximizes the value of spectrumImproved call qualityReduced capexDisplace “free” OTT apps with a high quality branded offeringCharge for app to PSTN minutes Recapture lost voice and messagi
Slide 17: Competitors
* competitors. 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 networksCompetitors in Horizon’s mobile operators’ end-user space: Horizon call is the only
Slide 18: Comparison Feature Matrix
* comparison feature matrix. SKYPE™VIBER™ SIP/G.7XXWHATSAPP™IMESSAGE 2.5G (GPRS) mVoIP 2.75G (EDGE) mVoIP 3G (EV-DO) mVoIP 3.5G (HSPA) mVoIP 4G (LTE) mVoIP Wi-Fi VoIP Wired (ethernet) VoIP WiMAX VoIP Fixed Satellite VoIP Mobile Satellite VoIP App to App VoIP Calls (toll free) App to Landline/mobile
Slide 19: Growth Strategy One: Contract New Tier One and Tier Two Carriers
* growth strategy one.contract new tier one and tier two carriers. Carriers worldwide is a trillion dollar marketplace with hundreds of tier one and tier two companies all over the world.TMT analysts estimate that carriers’ business’ will face diminishing returns if they cannot learn to further mone
Slide 20: Growth Strategy Two: Leverage Chinese JV
* growth strategy two.leverage Chinese JV to take market by storm. App Active Users (million) Skype 1.93 LINE 18 Kakao Talk 28 Whatsapp 43 WeChat 300 Mobile QQ 500 China branded apps dominate the marketplace with viral adoption of popular messaging appsNo app with comparable functionality or technol
Slide 21: Compelling LeiXin-JV Value Proposition
* compelling LeiXin-JV value proposition.growth strategy two (cont.) More powerful solution … Phase II: App2anyone true mobile VoIP targets broad audiencePrice sensitive mobile subscribers seeking to reduce monthly spend on voice & messagingSubscribers with international travel or family overseas Ph
Slide 22: Proforma Estimates for LeiXin-JV
* proforma estimates for LeiXin-jv.growth strategy two (cont.) All figures in $MM Addressable Market for LeiXin-JVAt the end of 2013 there are 1.23 billion mobile phones in use in China; 700m are Smartphones OHGI holds 45% Share in JV
Slide 23: Growth Strategy Three: Develop Enterprise Customers
* growth strategy three.Introduce and develop enterprise customers The most bandwidth-efficient VoIP solution designed from ground up for mobile: From 2 kbps (not SIP-based, not-G.729 based)Optimized packet flow, delivery and playbackExcellent call quality, reduced latency and jitterExtends enterpri
Slide 24: Horizon Management
* horizon management. Mark White, CEO Martin Ward, CFO Brian Collins, Founder & CTO CEO since 2004 of predecessor companyOver 20 years experience in telecom and electronicsPreviously founded Next Destination Ltd., a distributor for Magellan GPS; previously was CEO of Garmin Europe, building European
Slide 25: Selected Financials
* selected financials. (All data in $000’s) Income Statement Data: 3 Months EndedMarch 31, 2014 3 Months EndedMarch 31, 2013 Year Ended December 31, 2013 6 Months Ended December 31, 2012(restated) Year Ended June 30, 2012 (restated) Revenue 1,185 1,919 9,106 6,959 2,612 Gross Profit 687 1,466 6,653
Slide 26: Investment Highlights
* investment highlights. Only mobile VoIP platform that effectively operates on 2G networks which dominate wireless infrastructure in very sizable, fast-growing Asian and emerging marketsProprietary SmartPacket™ core technology dramatically improves quality and efficiency of voice and data transmiss
Slide 27: Contact Us
* contact us. CompanyBrian Collins, CTO and FounderTel: +41-79-6422265brian.collins@onehorizongroup.comwww.onehorizongroup.comInvestor RelationsMatthew SelingerSenior Vice President – MZ North AmericaTel: +1-949-298-4319mselinger@mzgroup.uswww.mzgroup.us
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