Highlighting key transactions in Web 2.0/Social Media. Provides valuation and price performance metrics and trends on ~100 public companies by sector.

1. Web 2.0 Weekly
“DST cashes up and then spends more”
April 20, 2010
David Shore, CFA, MBA 416.860.6784
dshore@mackieresearch.com
Damian Wojcichowsky, CFA 416.860.7652
This report has been created by Analysts that are employed by Mackie Research Capital Corporation, a Canadian Investment Dealer. For further disclosures, please see last page of this report.
www.mackieresearch.com
Copyright © 2000-2010, Mackie Research Capital Corporation, All rights reserved www.mackieresearch.com

2. Key Developments
Tencent (SEHK:700) invests $300mm in Digital Sky Technologies (investor in Facebook, Zynga etc.)
DST invests $135mm in Groupon at $1.2b valuation
Frogster Interactive Pictures AG (XTRA:FRG) reported revenue for 2009 rose 6x to Euro16.7mm with
net profit of Euro2.3mm
Webzen Inc. (KOSE: A069080) signed an agreement to acquire NHN Games Co., Ltd. for
approximately KRW 240b
The9 Limited (NasdaqGS:NCTY) reported consolidated earnings results for the fourth quarter and full
year ended December 31, 2009. For the quarter, the company reported loss from operations of RMB
220.2mm on revenue of RMB22.5mm
NetDragon WebSoft, Inc. (SEHK:777) announced unaudited consolidated earnings results for the fourth
quarter ended December 31, 2009. For the quarter, the company reported operating profit of RMB
1,584,000 on revenues of RMB 134,190,000.
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3. Public Company Data
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4. Aggregate Public Data
Web 2.0 Public Companies Total Median Max Min
# Companies 98 - - -
Market Cap (US$ mm) 81,864.6 76.0 37,060.2 1.7
Revenue (US$ mm) 90,908.6 22.7 67,563.7 0.0
1 Year revenue growth 4.3% 1178.9% -91.4%
EBITDA as % of revenue - 5.9% 62.7% -91.9%
Net cash (US$ mm) 9,008.8 1.5 1,754.9 -732.7
TEV/Revenue - 1.9x 46.6x 0.1x
TEV/EBITDA - 8.7x 43.5x 0.1x
P/E - 14.1x 92.7x 0.0x
Relative to 52 week high -32.1% -1.9% -98.1%
Source: CapitalIQ
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5. 5
0
5
10
15
20
25
30
Gaming
26
Social Networking
16
Media
10
6
Diversified
6
Marketing
5
Mobile
Source: CapitalIQ
4
Advertising
3
Infrastructure
3
SMS/Voice
3
Enterprise
2
Internet Retail
2
Virtual World
By Sector
2
Dating
2
Music
1
Vertical Communities
1
Collaboration
1
Podcasting
1
Search
1
Video
1
Learning
1
Payment
1
Financial Services
Public Company Distribution
0
5
10
15
20
25
30
35
40
45
United States
Canada
China
South Korea
Japan
Taiwan
Germany
Australia
United Kingdom
Poland
Malaysia
Russia
By Country
Finland
Sweden
Hong Kong
India
Italy
Switzerland
Israel
www.mackieresearch.com

6. Valuation Dashboard – 1 Week
Market Cap EV/Revenue
Flat
Flat
10% 4%
Rising
38%
Falling
43% Rising
53%
Falling
52%
EV/EBITDA P/E
Flat Flat
5% 0%
Falling
Falling 43%
41% Rising
Rising
54%
57%
6 www.mackieresearch.com

7. 7
Source: CapitalIQ
Multiple (x)
0.0x
0.5x
1.0x
1.5x
2.0x
2.5x
3.0x
3.5x
4.0x
4.5x
5.0x
# companies
3/2/2009
3/9/2009
3/16/2009
3/23/2009
3/30/2009
4/6/2009
4/13/2009
4/20/2009
4/27/2009
5/4/2009
5/11/2009
5/18/2009
5/25/2009
6/1/2009
6/8/2009
6/15/2009
Median EV/Revenue
6/22/2009
6/29/2009
7/6/2009
7/13/2009
7/20/2009
7/27/2009
8/3/2009
8/10/2009
8/17/2009
8/24/2009
8/31/2009
Median
9/7/2009
9/14/2009
9/21/2009
9/28/2009
10/5/2009
10/12/2009
10/19/2009
10/26/2009
11/2/2009
11/9/2009
Long-term average
11/16/2009
11/23/2009
11/30/2009
12/7/2009
12/14/2009
12/21/2009
12/28/2009
1/4/2010
1/11/2010
1/18/2010
1/25/2010
2/1/2010
recovering but
2/8/2010
below LT Average
Revenue multiples
2/15/2010
2/22/2010
3/1/2010
3/8/2010
3/15/2010
3/22/2010
3/29/2010
4/5/2010
4/12/2010
4/19/2010
373837393939404039414142434444444445474848484750535356585761636364616162666868697168646870716873717475777575747678788280
www.mackieresearch.com

8. 8
Source: CapitalIQ
Multiple (x)
# companies
0.0x
5.0x
10.0x
15.0x
20.0x
25.0x
3/2/2009
3/9/2009
3/16/2009
3/23/2009
3/30/2009
4/6/2009
4/13/2009
4/20/2009
4/27/2009
5/4/2009
5/11/2009
5/18/2009
5/25/2009
6/1/2009
Median EV/EBITDA
6/8/2009
6/15/2009
6/22/2009
6/29/2009
7/6/2009
7/13/2009
7/20/2009
7/27/2009
8/3/2009
8/10/2009
8/17/2009
8/24/2009
8/31/2009
Median
9/7/2009
9/14/2009
9/21/2009
9/28/2009
10/5/2009
10/12/2009
10/19/2009
10/26/2009
11/2/2009
11/9/2009
11/16/2009
Long-term average
11/23/2009
11/30/2009
12/7/2009
12/14/2009
12/21/2009
12/28/2009
1/4/2010
1/11/2010
1/18/2010
1/25/2010
below LT average
remain depressed
2/1/2010
2/8/2010
EV/EBITDA multiples
2/15/2010
2/22/2010
3/1/2010
3/8/2010
3/15/2010
3/22/2010
3/29/2010
4/5/2010
4/12/2010
4/19/2010
2120 2022 22 2323 2222 2324 2322 2424 26 2626 2626 2526 2628 30 2830 3334 3640 3738 3638 39 3837 3740 4140 4041 41 4143 4243 4342 4848 4748 49 4947 4745
www.mackieresearch.com

9. 9
Source: CapitalIQ
Multiple (x)
# companies
0.0x
5.0x
10.0x
15.0x
20.0x
25.0x
30.0x
3/2/2009
3/9/2009
3/16/2009
Median P/E
3/23/2009
3/30/2009
4/6/2009
4/13/2009
4/20/2009
4/27/2009
5/4/2009
5/11/2009
5/18/2009
5/25/2009
6/1/2009
6/8/2009
6/15/2009
6/22/2009
6/29/2009
7/6/2009
7/13/2009
7/20/2009
7/27/2009
8/3/2009
8/10/2009
8/17/2009
8/24/2009
8/31/2009
Median
9/7/2009
9/14/2009
9/21/2009
9/28/2009
10/5/2009
10/12/2009
10/19/2009
10/26/2009
11/2/2009
11/9/2009
11/16/2009
Long-term average
11/23/2009
11/30/2009
12/7/2009
12/14/2009
12/21/2009
12/28/2009
1/4/2010
1/11/2010
1/18/2010
1/25/2010
2/1/2010
below LT average
2/8/2010
P/E multiples also
2/15/2010
2/22/2010
3/1/2010
3/8/2010
3/15/2010
3/22/2010
3/29/2010
4/5/2010
4/12/2010
4/19/2010
1719 2019 18 1818 1919 1920 1918 1919 19 2021 2425 2525 2526 26 2629 3030 2932 3132 3235 36 3636 3637 3839 3737 37 3635 3632 3130 3332 3232 32 3232 3130
www.mackieresearch.com

10. 10
-
5.0
10.0
15.0
20.0
25.0
# Companies 2
Infrastructure
3
SMS/Voice
7
Social Networking
4
Diversified
2
Music
1
Learning
5
Marketing
4
Mobile
1
Vertical Communities
Gaming
20
1
Podcasting
1
Collaboration
EV/Revenue
1
Search
1
Video
4
Advertising
2
Internet Retail
3
Enterprise
2
Dating
9
Media
1
Financial Services
1
Virtual World
-
5.0
10.0
15.0
20.0
25.0
30.0
35.0
40.0
45.0
Average Valuation – by Sector
# Companies
1
Search
2
Enterprise
4
Diversified
1
Mobile
6
Media
1
Collaboration
2
Internet Retail
5
Social Networking
EV/EBITDA
1
Financial Services
Gaming
12
3
Marketing
1
Dating
1
Advertising
www.mackieresearch.com

11. 11
0.0
5.0
10.0
15.0
20.0
25.0
30.0
35.0
40.0
45.0
50.0
0.1
Perfect World Co., Ltd.
Ngi Group Inc.
Asknet AG
Cyberplex Inc.
Source: CapitalIQ
RealNetworks Inc.
Jumbuck Entertainment Limited
Betawave Corporation
Tree.Com, Inc.
Uniserve Communications Corp.
Actoz Soft Co., Ltd.
Glu Mobile, Inc.
GameOn Co Ltd.
Points International Ltd.
GigaMedia Ltd.
Openwave Systems Inc.
Northgate Technologies Limited
DADA SpA
Internet Group SA
IAC/InterActiveCorp.
TheStreet.com, Inc.
AOL, Inc.
0.20.20.20.40.40.40.4 0.40.40.50.50.50.50.6 0.70.70.80.80.80.90.9
CDC Corp.
United Online, Inc.
CornerWorld Corporation
AQ Interactive, Inc.
The New York Times Company
EV/Revenue Ranking
OAO RBC Information Systems
Beyond Commerce, Inc.
Gamania Digital Entertainment Co., Ltd.
infoGROUP, Inc.
HanbitSoft, Inc.
YD Online Corp.
ValueClick, Inc.
Spark Networks, Inc.
NetDragon WebSoft, Inc.
0.9 1.0 1.0 1.0 1.2 1.2 1.2 1.3 1.3 1.5 1.6 1.6 1.6 1.7
Ynk Korea Inc.
Shutterfly, Inc.
Score Media Inc.
SNAP Interactive, Inc.
PNI Digital Media Inc.
Velti Plc
Modern Times Group Mtg AB
NeuLion Incorporated
XING AG
Oriented Media Group Berhad
UOMO Media, Inc
1.8 1.9 1.9 2.1 2.12.22.22.3 2.32.32.4
GungHo Online Entertainment, Inc.
SK Communications Co., Ltd.
Sohu.com Inc.
Myriad Group AG
Webzen Inc.
Open Text Corp.
iseemedia Inc.
NEOWIZ Games Corporation
revenue multiple
2.6 2.73.0 3.23.23.23.33.3
Wizzard Software Corporation
Taleo Corp.
Spectrum has highest
DigitalPost Interactive, Inc.
4.1 4.5 4.7
WebMediaBrands Inc
Kingsoft Corporation Limited
Changyou.com Limited
5.4 5.45.5
Lingo Media Corporation
Accelerize New Media, Inc.
6.0 6.4
Mixi, Inc.
Frogster Interactive Pictures AG
7.8 8.4
Unilava Corporation
HUGHES Telematics, Inc.
Fluid Music Canada, Inc.
9.39.4 9.9
Gree, Inc.
Chinese Gamer International
12.4
15.4
GeoSentric Oyj
Paid Inc.
20.0
MOKO.mobi Limited
20.6
Tencent Holdings Ltd.
22.2
Bright Things plc
31.4
SpectrumDNA, Inc.
46.6
www.mackieresearch.com

12. 12
0.0
5.0
10.0
15.0
20.0
25.0
30.0
35.0
40.0
45.0
50.0
Perfect World Co., Ltd.
Jumbuck Entertainment Limited
0.1 0.9
Source: CapitalIQ
GameOn Co Ltd.
Actoz Soft Co., Ltd.
Cyberplex Inc.
AOL, Inc.
2.1 2.2 2.3 2.6
United Online, Inc.
4.5
ValueClick, Inc.
Sohu.com Inc.
5.7 6.2
YD Online Corp.
Gamania Digital Entertainment Co., Ltd.
DADA SpA
infoGROUP, Inc.
EV/EBITDA Ranking
Spark Networks, Inc.
The New York Times Company
CDC Corp. 6.9 7.1 7.2 7.5 7.5 7.8
Uniserve Communications Corp.
XING AG
PNI Digital Media Inc.
Changyou.com Limited
NetDragon WebSoft, Inc.
7.9 8.2 8.4 8.4 8.6 8.7
Tree.Com, Inc.
Velti Plc
9.7 10.3
GungHo Online Entertainment, Inc.
10.7
Open Text Corp.
NEOWIZ Games Corporation
11.8 12.1
Kingsoft Corporation Limited
Score Media Inc.
12.8 13.4
Shutterfly, Inc.
Tencent has
highest valuation
IAC/InterActiveCorp.
Openwave Systems Inc.
13.9 14.0 14.0
Ynk Korea Inc.
Modern Times Group Mtg AB
Gree, Inc.
16.5 16.6 16.8
Mixi, Inc.
21.3
Chinese Gamer International
22.9
TheStreet.com, Inc.
28.9
Taleo Corp.
31.6
SK Communications Co., Ltd.
39.6
Tencent Holdings Ltd.
43.5
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Excluding EV/EBITDA > 100x