While increasingly resembling the movie industry in its reliance on blockbusters, video games have accomplished their rapid growth through a fairly traditional retail distribution system; a notable difference compared to the sophisticated monetization mechanisms the movie industry has created around distinct release windows.

The entire monetization roadmap of a movie typically spans from its initial release in theatres to a variety of free (advertising supported), rental, purchase and subscription models, to a variety of cable/satellite centric bundling approaches. Revenues from the initial release of a movie in theatres account for only 25% of its total revenue potential.

At the same time, the video games industry has focused on retail distribution without employing any other mechanisms to monetize a fast growing catalog of existing content. The potential to significantly increase revenues from the first release window and enable the creation of a movie-like release windows monetization pattern for video games is where Exent believes the opportunity lies.

Exent's In-Game advertising solutions enables new monetization opportunities for new and existing back catalog games, through various In-Game advertisement methods, advergaming and community building solutions. With Exent In-Game advertising, there is no need to access any of the games' source code, and without the need for implementing a development stage.

With Exent In-Game advertising, the following can be achieved:

• Launch In-Game advertising campaigns on all assets, new and old, with no need for SDK integration
• Exploit units already sold in retail
• Use demo games as a new revenue source
• Recoup revenues from pirated games
• Generate revenues from game trials
• Leverage older assets in the form of advergames

There are several markets positioned to take advantage of this opportunity:

• Publishers - In-Game advertising significantly reduces content costs and generates additional revenues. By introducing In-Game advertising, publishers benefit from a new release window for video games that is supported by advertising revenues. In addition, publishers can use demo games as a new revenue source, recoup revenues from pirated games, leverage older assets in the form of advergames, and monetize on units already sold in retails and even used/installed on users' machines.
• Service Providers - by incorporating ad-supported offerings into their digital distribution services, broadband service providers, can generate ancillary revenues and enable mass market penetration, subsidizing content costs and user fees.
• Media companies - leveraging their relationship with advertisers and their identification as an entertainment provider, media companies are uniquely positioned to duplicate the movie industry model for video games, allowing mass market penetration by ad-supported models, up-selling to premium offerings.
• Brand Owners and Ad Agencies - the mass penetration of broadband Internet has created a major decrease in linear TV programming viewing. Overall, playing video games has been recognized to be the #1 activity while online . Therefore, advertisers are increasingly turning to the various gaming communities to recoup lost advertising dollars.
• PC & Consumer Electronics Manufacturers - by bundling Exent's In-Game advertising technology on their devices, PC OEMs position themselves as part of the value-chain for the lucrative In-Game advertising business, allowing them to share some of the associated revenues.

All of Exent's In-Game advertising Solutions are based on Exent's In-Game advertising technology.