2012 Smart TV > Communication Strategy

1. 2012 Smart TV > Communication Strategy

2. Contents Market Overview & Business Objectives Smart TV Communication Strategy

3. MARKET OVERVIEW : M/S PERFORMANCE Samsung as the market leader continues its dominant position in both Smart TV and LED TV Total CTV Market share in 2011 Market share by key segments Smart TV 38.9% Etc. 24.1% 38.6% 38.5% 34.9% 9.7% 53.4% 12.8% 25.0% 45% LED TV 40% 19.4% 35% Etc. 28.7% 15.8% 30% 12.9% 25% 44.8% 6.0% 20% 11.7% 10.8% 15% 12.7% 8.2% 10% 13.8% 5% 0% 2008 2009 2010 2011 ※ Source: 2011, NPD, Dollar base (Smart TV filtered by Network Capability) ※ Source: NPD, Dollar base 2/45

4. MARKET OVERVIEW : BRAND PERFORMANCE However, Samsung is still behind Sony in Brand Preference despite its rapid growth and strength in dealer recommendation BAS (MPSA*) DAS (RR*) 2009 2010 2011 2009 2010 2011 * MPSA: Most Preferred Single Answer (%) * RR: Dealer Recommendation Rate (%) ※ Source: 2011 1H BAS / DAS data 3/45

5. 2012 BUSINESS STRATEGY Our Objective is to firmly establish ‘Beyond Comparison’ position in both Smart TV and LED TV Beyond Comparison(Cho Gyuk Cha) Clearly Differentiate Smart TV Benefit Accelerate Transition to LED TV Differentiated Smart TV features(Smart Interaction and Evolution) Unique Samsung Smart Content Increased locally relevant content LED TV made accessible with F-LED TV 4/45

6. 2012 BUSINESS OBJECTIVE 2012 Business Strategy will allow us to achieve growth in our strategic categories; Smart TV Series 7 / 8 sales by +15000 units 1

7. Contents Market Overview & Business Objectives Smart TV Communication Strategy

8. PRODUCT STRATEGY: Smart TV consumer needs Consumers expect variety of internet content and easy web searching from Smart TV ComplicatedUser experience is the biggest pain-point in Smart TV usage Future Smart TV Usage and Expectations Current Usage and Pain-points ofSmart TV • Smart TV usagetakes too long and is complicated • Consumers expect ‘new content’ from Smart TV Smart TVExpectations (Top 2%) • SamsungSmart TV • Consumer Perceptions • Positive on Overall and Content Quality • Negative on UX due toToo many steps • Especially, App access hard Smart Interaction ConceptAcceptance(Top 2%) ※ Source: Consumer Tracking 2011 Q2~3 ※ Source: 2011 Online buzz tracking / 2011 Line-up study

9. PRODUCT STRATEGY: Competition New entrants who will try to change the rule of the game is a potential threat,especially Apple TV Existing Players New Entrants Sony Internet TV Apple TV • Input device • Device Connectivity “The simplest user interface.” – Steve Jobs Seamless sharing with other Apple Devices • Enjoy high-quality web content • Entertainment choices leveraging Sony pictures • Separate platform from Google TV • Content & Services • Content Access/Storage Pool of content and services readily used “Automatic and effortless” cloud service LG Smart TV • Magic motion remote includes gyroscope for navigating menus and playing games • Expected to have Voice control on the magic motion remote • Smart TV Upgrader for non-smart TVs (add-on device) Google TV • Launched Google TV 2.0 upgrade Nov. ‘11 • Improved UX, enhanced search, improved web content to feel more like TV

10. PRODUCT STRATEGY: Samsung vs Competition In 1H, new Smart TV will pre-empt market with clear differentiation with Smart interaction & content, while in 2H Smart evolution will be focused as a point of difference vs Apple TV Interaction Content Evolution Picture Design Convergence Existing Players New Entrants Signature services Superior local Killer apps Evolution Kit New features/content every year Finest picture quality with Micro Dimmingtechnology AllShare play service between multi-Samsung devices Voice and Motion control Face Recognition Super Narrow bezel with arch flow stand Samsung No signature services Lack local killer apps Company X Voice and Motion control in ‘magic control’ Narrow bezel but no arch flow stand No strength in picture quality DLNA N/A N/A Potential of Playstation move No signature services Lack local killer apps Pushed Monolithic design with little success Heritage over picture quality , continues with Bravia engine Company B Potential D2D sharing b/w Sony Devices N/A Company A To have ‘Siri’ with comprehensive voice control To leverage ‘iCloud’ service and ‘Air Play’ To leverage ‘iTunes’ content base N/A N/A N/A N/A Potential to introduce on Google platform No signature servicesAndroid market expansion to TV Company G To utilize Android platform N/A N/A N/A Strong Average Weak ※ Source: Competitor Intelligence from Product Strategy team

11. PRODUCT STRATEGY: 2012 Smart TV Strategy In 2012, Samsung Smart TV will achieve ‘unrivaled differentiation’ throughdevice/UX innovations and unique and relevant content Device/UX Content Content 2011 2012 Build Category Unrivaled Differentiation Smart Interaction • Voice/Motion control &Face recognition Samsung Apps / Smart Hub • Focus on communicating Appsand Smart Hub Services Smart Evolution • Market’s 1stEvolution capability to make your TV New every year • New Family Services with a focus on Family Story • Locally relevant Apps • Seamless sharing with AllShare Smart Content

12. MARKETING PLAN : WHO WHO Smart TV Target WHAT Unrivaled differentiation of our positioning

13. MARKETING PLAN : WHO – Smart TV Target Smart TV targets seek ‘connectivity and new content’ that will enhance over all TV experience (14.1% of gen. pop.) Target Insight • Love watching with family/friends • Newer features and Screen resolution are fairly important • Most influential are consumer reports, expert opinions and various online sources • In-store experience is vital • Seek new value added features (connectivity, content) & benefits that enhance the total TV experience • Willing to spend above average • Combines male youngster and oldies likewise, with an average income Replace pic. Content / Online Connectivity In-store

14. MARKETING PLAN : WHAT WHO Smart TV Target WHAT Unrivaled differentiation of our positioning

15. MARKETING PLAN : WHAT – Communication Strategy 2012 Samsung Smart TV communication should; Deliver on the business objective of ‘Beyond Comparison’ 1 Drive innovative brand image through technology leadership positioning 2 Reinforce Category positioning 3 3 Communicate call-to-action of experiencing & purchasing new Smart TV 4 1 2 3 4 • Business Objective • BrandImage • CTV CategoryPositioning • Call to Action Innovative Tech.Leadership ‘Transforming viewing together’ Experiencing & Purchasing ‘Beyond Comparison’ The Future of Smart TV NOW 2012 Communication Strategy “El Futuro de la Televisión, HOY” 14/45

16. MARKETING PLAN : WHAT – Communication Strategy “The Future of Smart TV, NOW” will be delivered by; Highlighting Smart Interaction and Smart Content 1 And Smart Evolution (Make your TV new, every year) 2 ““El Futuro de la Televisión, HOY”” Smart Content Smart Interaction Smart Evolution • Family Services (Family Story, Kids, Fitness) • Voice control • Motion control • Face recognition • Evolution Kit + Locally relevant Applications (+1,400 Apps globally) + AllShare play Key Message ‘Make your TV new, every year’ 15/45

17. Thank you.