<<

Corporate Overview A note from our lawyers DISCLAIMER:

This presentation contains, and is i.a. based on, forward-looking statements regarding Software ASA and its subsidiaries. These statements are based on various assumptions made by Opera Software ASA, which are beyond its control and which involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements to be materially different from any future results, performances or achievements expressed or implied by the forward-looking statements.

Forward-looking statements may in some cases be identified by terminology such as “may”, “will”, “could”, “should”, “expect”, “plan”, “intend”, “anticipate”, “believe”, “estimate”, “predict”, “potential” or “continue”, the negative of such terms or other comparable terminology. These forward looking statements are only predictions. Actual events or results may differ materially, and a number of factors may cause our actual results to differ materially from any such statement. Such factors include i.a. general market conditions, demand for our services, the continued attractiveness of our technology, unpredictable changes in regulations affecting our markets, market acceptance of new products and services and such other factors that may be relevant from time to time. Although we believe that the expectations and assumptions reflected in the statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievement.

Opera Software ASA makes no representation or warranty (express or implied) as to the correctness or completeness of the presentation, and neither Opera Software ASA nor any of its subsidiaries, directors or employees assumes any liability connected to the presentation and the statements made herein. Except as required by law, we undertake no obligation to update publicly any forward-looking statements for any reason after the date of this presentation to conform these statements to actual results or to changes in our expectations. You are advised, however, to consult any further public disclosures made by us, such as filings made with the Oslo Stock Exchange or press releases.

This presentation is not an offer or invitation to sell or issue securities for sale in the , and does not constitute any solicitation for any offer to purchase or subscribe any securities. Securities may not be sold in the United States unless they are registered or are exempt from registration. Opera Software ASA does not intend to register any securities in the United States or to conduct a public offering in the United States. Any public offering of securities to be made in the United States would be made by means of a prospectus that will contain detailed information about Opera Software ASA and its management, as well as financial statements. Copies of this presentation should not be distributed in or sent into any jurisdiction where such distribution may be unlawful. The information in this presentation does not constitute an offer of securities for sale in Canada, Japan or Australia.

2 I. Overview II. Market Opportunity III. Mobile Consumers IV. Mobile Operators V. Mobile Publishers & Advertisers VI. Summary Opera’s Financial Performance Has been strong since end of 2009 Revenue CAGR of 32% and adjusted EBITDA CAGR of 72% since 2009

Revenue (MUSD) Revenue Growth Adj EBITDA* (MUSD) Adj EBITDA Growth $ 250 45 % $ 70 120 % 40 % $ 60 100 % $ 200 35 % $ 50 30 % 80 % $ 150 25 % $ 40 60 % 20 % $ 100 $ 30 15 % 40 % $ 20 10 % $ 50 20 % 5 % $ 10 $ 0 0 % $ 0 0 % 2009 2010 2011 2012 2009 2010 2011 2012

4 The Opera Cloud for Mobility: Key Strategic Areas Revenue growth driven by and tablets

Mobile Consumers

Mobile Mobile Operators Advertising

5 Opera helps partners reach its massive mobile audience helps Opera power the entire mobile ecosystem 500 mm user reach

250 million users 250 million users

Opera Network Member Opera websites and applications Websites/Applications

Search, operators and developers

Advertisers

Media Optimization Capabilities 6 I. Overview II. Market Opportunity III. Mobile Consumers IV. Mobile Operators V. Mobile Publishers & Advertisers VI. Summary Smartphones Massive opportunity 5 billion users by 2016, up 1 billion from 2012 Smartphones and Tablets dwarfs PC shipments

Source: IDC | 9 5 billion smartphone users by 2016, up 1 billion from 2012 Time spent on smartphones has doubled during last 2 years alone

Minutes spent Applications

140 120 100 80 60 40 20 0 Dec. 2010 Dec. 2011 Dec. 2012

Source: Nilesen Smartphone Analytics (US Smartphone Users)

| 10 Mobile data Massive opportunity A value proposition for the entire mobile data market Mobile data revenue expected to double from 2012 to 2016 ($USB)

$ 1,000 $ 900 $ 800 Mobile Data $ 700 Mobile Data $ 600 $ 500 SMS/MMS SMS/MMS $ 400 $ 300 $ 200 Voice Voice $ 100 $ 0 2012 2016 12 A value proposition for the entire mobile data market Video data traffic expected to consume 67% of global bandwidth by 2017

Where we are today 13 Mobile Advertising Massive opportunity Mobile ad spend expected increase 4x from 2012 to 2016

15 Mobile ad revenue will follow mobile audience

Source: Mary Meeker, KPCB (Kleiner Perkins Caufield Byers) 2012 16 I. Overview II. Market Opportunity III. Mobile Consumers IV. Mobile Operators V. Mobile Publishers & Advertisers VI. Summary Opera’s mobile user base: 250 million active users Recent growth driven smartphone users

Smart Phone 250,000,000

200,000,000

150,000,000

100,000,000

50,000,000

0

18 More than 50 million Android users 10% browser market share

60,000,000

50,000,000

40,000,000

30,000,000

20,000,000

10,000,000

0 Key features on Android Opera Owned and Operated Properties Areas of monetization

Partnerships Search Advertising 21 Mobile consumers: Very strong long term growth

Revenue driven by Opera/Skyfire Monetization of Opera O&O mobile user/audience growth Properties via partners

Opera Mobile Users (Mill) 400 350 Ads 300 250 200 Opera/Skyfire 150 Web/App 100 Users 50 Search Store 0 2009 2010 2011 2012 2013 2014 2015 22 I. Overview II. Market Opportunity III. Mobile Consumers IV. Mobile Operators V. Mobile Publishers & Advertisers VI. Summary Commercial partnerships with 120+ operators

60+ million Opera users activated 24 A Broad Operator Portfolio Spanning from access, to monetization, to network management

Smartphones, Tablets & Mi-Fi Rocket Horizon Boost Platform Optimizer

Opera Web Pass

Opera Mini co-brand Feature phones

Increase revenue Manage traffic | 25 Skyfire Rocket Optimizer delivers 50-60% boost Lift in Supported Users at Bottlenecked Network Nodes

Video and Audio 64% Savings

HTTP Images 20% Savings 45% Savings

Supersize the Network, Make Capacity Elastic Solution generating over 38% savings on total peak data at congestion points. Equivalent to boosting capacity on Spectrum, RAN and backhaul by 60% 26 Horizon Strategic Proposition

• For consumers, Skyfire Horizon fills lack of personalization, extensions and toolbars

• Horizon provides a “wingman” for users, both pre- embedded or as a download across multiple browsers

• For operators, challenge as they lose contact with their customers on leading smartphone platforms, traditional “portals” dwindling

• Creates “beach front” property for operators or portals, similar to Co-Brands – enables Opcos ability to generate advertising, search, and eCommerce revenue + communicate with subs

• Cloud CMS platform seamlessly updates client, giving Operators a cloud publishing platform 27 Operators: Strong Revenue Growth

Opera & Skyfire Revenue Building Blocks Operator Value Proposition

Rocket Optimizer Data plans / revenue

Horizon Extension Platform Grow subs Reduce churn Opera Boost High Growth Content revenue Web Pass for Smart phones Reduce network cost Audience Analytics Ad revenue Opera Mini Co-brand Capex savings Mature Opera Mini Data Plans Mobile store 28 I. Overview II. Market Opportunity III. Mobile Consumers IV. Mobile Operators V. Mobile Publishers & Advertisers VI. Summary Mobile Publishers & Advertisers (Opera Network Members) Mobile Advertising Platform that covers the full value chain

Consumer Retail Packaged Goods Finance Lifestyle B2B v v v v v

Advertisers

Publishers

30 Core Metrics (Opera Network Members) Significant Market Reach and Presence

50B+ 250M+ Ad impressions monthly Monthly unique consumers

13k+ $400M+ Mobile sites & Apps Publisher revenue enabled in 2012

31 Marquee Publisher Customers: Premium Brands 20 of the top 25 Media Companies around the World

32 Marquee Advertisers: Premium Brands 70 of the top 100 AdAge Advertisers in the U.S.

33 New Offering: Performance Advertising

34 Mobile Publishers and Advertisers (Opera Network Members)

Revenue growth facilitated by increased And driven by Ad dollars from display and audience reach via partner network. performance advertisers.

AdMarvel Audience Reach (Mill) Existing Markets New Markets

400 US (60% CAGR* 2012-2015) Country 2012-2015 UK (57% CAGR* 2012-2015) 350 CAGR* 80% 300 Ad revenue 250 follow the Indonesia 87% audience 200 86% Brazil 80% 150 43% 100 Western 40% 50 Europe 0

35 I. Overview II. Market Opportunity III. Mobile Consumers IV. Mobile Operators V. Mobile Publishers & Advertisers VI. Summary Summary: Pillars of Long-Term Growth

Continue to build up a Mobile ad and partner dollars massive mobile audience will follow the audience

Strong Long Term Revenue Growth

Provide highly value added products to key player in the Grab unfair share of mobile ecosystem: smartphone users Operators

37