Internet Protocol Television Project for Leading Television Co.

Business Scope: Internet Protocol Television - Installations and Technical Support. Expansion of operations to cover more than a 500,000 connections opportunity.

We are a registered company in Malaysia associated with major telecom players. We are providing services in the business of Internet Protocol Television. Internet today has not only become a part of our lives but it is become the way of life. The Television and Broadcasting Industry is now moving over to making available their content and products over the internet. This paradigm shift from DTH to IPTV is the latest in the power struggle and will decide who emerges on top. Consumers in the USA and Canada watch television on the internet.

Malaysia is a pioneer in the Asian Market who is migrating from the conventional DTH format to the IPTV format. In the last year alone there have been conversion rate of 20%. With all the major players trying to make most of the opportunity, and the government promoting IPTV in all earnestness, it is evident that television will be viewed in Malaysia using the IPTV only. This migration is estimated to take place over the next 3 years.

Our company is a registered vendor with the largest telecom and entertainment group in Malaysia with exclusive rights to manage the migration from DTH to IPTV in 2 states. With an installation base of over 200,000, the opportunity is huge. However, the scale-up plan is to cover 5 states having an opportunity of over 500,000 connections.

The project value is estimated about USD2.0m in year 1, USD3.5m in year 2 and USD5.0m in year 3.

All installations will be followed by Maintenance contract which is an additional opportunity to the existing one.

1) Our Client has 56% market share with over 3.6m customer base

2) Our Client has the maximum television content.

3) Our Client is the pioneer in Television and Entertainment business.

4) As the existing customer base is being targeted for migration, there is no competition.

5) Other Telecom Players can also be our clients.

There is absolutely zero risk in this opportunity. The rate per service is fixed and the operational cost has been stabilized. The calculations are simple to arrive at the P&L.

The funding will be used for the operational cost to provide services to the client, procurement of tools and accessories and if required then transport vehicles.

We entered this project with a small mandate. But now we fore see a much larger opportunity. We did not plan for such large mandates. This is why we seek outside funding.

Opportunity for the investor : 40% stake in our company.

The project will need initial funding of 70% over 3 months in the first year and 30% at the begining of 2nd year.

Investor Opportunity: 30% ROI