ENTERTAINMENT TONIGHT! A GUIDE TO REACHING ENTERTAINMENT AUDIENCES ON MICROSOFT ADVERTISING

1. ENTERTAINMENT TONIGHT! A GUIDE TO REACHING ENTERTAINMENT AUDIENCES ON MICROSOFT ADVERTISING Media consumption is becoming a multi-screen activity and this is a growing trend.The availability of smartphones and tablets are changing media habits. eMarketer estimates that 50% of the U.S. online population is viewing videos online, 49% of the online video viewers watch TV shows online and 29% view video on their mobile devices.1Microsoft Advertising offers advertisers a diverse entertainment audience that includes Television Watchers, Movie Goers and Gamers across premium, branded, multi-screen opportunities. ENTERTAINMENT AUDIENCES ON MICROSOFT ADVERTISING ARE DIVERSE IN TERMS OF AGE AND GENDER. 91M 39M 19M TELEVISION WATCHERS2 MOVIE GOERS2 GAMERS3 52%FEMALE 62%in the 35-64 age group 55%in the 24-49 age group 56%MALE 55%in the 18-34 age group 52%MALE BEYOND THE CLICK: DISPLAY ADVERTISING CAN INCREASE THIS AUDIENCE’S LIKELIHOOD OF PERFORMING A FOLLOW-UP SEARCH FOR YOUR BRAND. We looked at a selection of television and movie advertisers’ campaigns to see how they performed for our Television Watcher and Movie Goer audiences respectively. Television Show advertisers saw more brand search activity by younger users who were exposed to their ads: 573% in the 18-20 group, 305% in the 21-24 group, 356% in the 25-29 group.4 Multiple exposures to movie ads makes an impact on Movie Goers. Brand search activity increased by 505% after just a single exposure. After 5 exposures brand search activity jumped to 968%.4 603% 310% lift after exposure to movie ads lift after exposure to television ads Source: 1) (Source: eMarketer, Nov 2011) 2) Source: Nielsen @Plan, Q 4, 2011 3) Microsoft Advertising internal reports, January 2012 4) Microsoft Advertising Internal Reports for US, January 2011

2. CONNECT TO AND INFLUENCE ENTERTAINMENT-SEEKING AUDIENCES WITH MICROSOFT ADVERTISING. PRODUCT OPPORTUNITIES FOR ENTERTAINMENT ADVERTISERS: XBOX is a key channel for reaching diverse audience segments, including families, gamers, families of young children etc. • Television Watchers: Find this audience on these Microsoft Advertising sites.1 • (Unique users in millions) homepage homepage .com homepage 28.8 27% 18% 10% 13% 28.1 11% 9% 23.3 10% 9% 21.5 10% 8% 15.6 40M GLOBAL USERS4 YOUNG, AFFLUENT AUDIENCE5 4% 15.3 8% 7% 6% 7% 11.2 5% 6% 8.0 5% 7.1 4% 7.0 4% INCREASE IN USERS AFTER THE LAUNCH OF KINECT5 65% • Movie Goers: This audience navigates through many Microsoft Advertising sites.2 • (% of total site visits) NEW PRODUCTS specials SKYPE 40Munique users, young affluent and social. With Skype, your brand becomes the center of an intimate social network.6 • Gamers: Various Microsoft Advertising properties attract the Gamers audiences.3 • (% of unique users) MOBILE 53Munique users across all mobile devices.7 specials Sources: 1) Source: Nielsen @Plan, Q4 2011 2) Microsoft Advertising internal reports for US, January 2012, 3) Microsoft Advertising internal reports for US, January 2012 4) Microsoft internal estimates 5) Simmons Spring 2011, New Media Study 6) comScore Media Metrix, Jan 2012, 7) Microsoft Advertising Internal Reports, 2011