This document provides an overview of digital technology and internet usage in Russia. Some key points: - Internet penetration in Russia reached 43% by 2012, up from 37% in 2009, driven by growth in broadband access and younger generations adopting the internet. - Social networks like VKontakte and Odnoklassniki have much higher reach among Russian internet users than Facebook and MySpace. - Russians spend more time online than users in other European countries, averaging 16 hours per month on the internet. - Younger Russians were early adopters of the internet while older generations are now starting to use it more regularly.

1. DIGITAL RUSSIA
Technology enabling change

2. Methodologies……“horses for courses”
Base 32,500 6,000 42,000
Sample 10yr+ 12yr+ 16yr+
Cities 100k+ 100k+ All Cities
Universe 62.5m 60.5m 110m
Period / Q1 09 May 09 Mar 09
Reach 3 months Monthly Quarterly
Internet
23m 29m 37.5m
Users
% of Pop 37% 48% 33%

3. 43% penetration forecast by 2012
Source: TGI Russia 2009 Q: Used…in last 3 months / emarketer

4. Russia & CIS status
Russia Ukraine Belarus
Population 142m 46m 10m
Internet Universe 38m 7m 3,4m
Penetration 32% 15% 29%
Mobile Subscriber 192m 56m 8,5m
Penetration 132% 121% 85%
Broadband 4m 800k 470k
Total Online $ $630m $14m $6m
Est. % share 6% <2% 5%

5. We are the fastest growing internet population in
Europe
Spending 16 hours on average per month
YOY
Change +27% +21% +15% +15% +12% +10% +9% +6%
Source: comScore World Metrix ; Age 15+ - Home & Work Locations*

6. “Gen Y” established the internet base
Now the “boomers” are adopting
35yrs+
+27%
18-34yrs
-11%
Source: TGI Russia 2008, 10+ Pop, 100k cities

7. 40% of .ru traffic comes from CIS or beyond!!
Source: Rambler RuMetrix

8. Internet penetration is reaching saturation
amongst young audiences
Age 12-17 18-24 25-34 35-44 45-54 55+
Moscow
5.7m Net Pop 94% 97% 89% 76% 54% 18%
61% pen.
Monthly Reach
Russia
29m Net Pop
87% 86% 70% 53% 34% 10%
48% pen.
Net Universe Internet audience
Source: TNS Base Study 12+ May 2009

9. City penetration driven by broadband
St. NW
Moscow
Petersburg, Excl. St. Petersburg
65%
62% 35%
Central
Excl. Moscow
31%
South
36%
Privolzhskiy Far East
31% Ural
Siberian 32%
34%
31%
Source: TGI Russia 2009

10. x2 more for mobile in the regions
St. NW
Moscow
Petersburg Excl. St. Petersburg
91%
91% 85%
Central
Excl. Moscow
80%
South
83%
Privolzhskiy Far East
78% Ural
Siberian 84%
80%
79%
Source: TGI Russia 2009

11. Russia is not far behind UK’s 13% mobile penetration
Source: Mforum Analytics April 09 / Nielsen

12. Russia in world context

13. Global giants have an uphill challenge
Russia USA UK
Site Monthly Site Monthly Site Monthly
Reach Reach Reach
Yandex.ru 26 382 386.14 Google.com 190 086 398.49 Google.co.uk 31 258 480.51
Vkontakte.ru 17 425 906.11 Yahoo.com 142 912 418.61 Facebook.com 19 602 915.25
Mail.ru 20 681 914.03 Facebook.com 87 760 743.65 Google.com 14 739 319.67
Odnoklassniki.ru 10 066 175.08 Youtube.com 66 144 804.09 Youtube.com 11 121 692.72
Google.ru 9 587 006.72 MySpace.com 49 041 536.09 Yahoo.com 13 103 717.47
Rambler.ru 9 110 079.52 MSN.com 47 574 116.91 Live.com 12 660 529.03
Google.com 6 099 028.83 Live.com 36 605 442.64 bbc.co.uk 10 199 782.89
Youtube.com 4 097 465.74 Craigslist.org 22 021 025.02 ebay.co.uk 6 681 412.01
Narod.ru 4 968 390.71 Wikipedia.org 31 249 222.14 msn.com 8 629 723.53
Livejournal.com 3 872 423.58 ebay.com 22 817 962.87 wikipedia.org 5 877 147.28
Wikipedia.org 4 013 661.56 aol.com 29 785 123.20 blogger.com 3 846 947.11
Torrents.ru 2 596 247.13 blogger.com 28 302 539.45 amazon.co.uk 2 912 465.05
Source: Alexa.com

14. “Thinking about using the Internet, which of the
following have you ever done?”……
29 markets
17,000 respondents
Australia
China
France
Germany Austria
Hong Kong Canada
Italy Czech Republic
Philippines Brazil Denmark
Russia Greece Hungary
Singapore India Netherlands
South Korea Japan Poland
Spain Mexico Romania
Added Wave 1
UK Pakistan Switzerland Added Wave 2
USA Taiwan Turkey Added Wave 3
Source: Mediabrands Social Media Tracker study

15. We are a nation….

16. .... faces....
“Upload my photos to a photo sharing website” Active Internet Universe
Source: Mediabrands Social Media Tracker study

17. ….rising video fans….
“Watching Video Clips” Active Internet Universe
100% Wave 1 2006 Wave 2 2007 Wave 3 2008
80%
% Watch Video Clips
68%
60%
40%
20%
0%
Source: Mediabrands Social Media Tracker study

18. ….bloggers….
“Write my own blog/weblog” Active Internet Universe
50% Wave 1 2006 Wave 2 2007 Wave 3 2008
40%
% Write a Blog
30%
28%
20%
10%
0%
Source: Mediabrands Social Media Tracker study

19. ….unbelievable networkers!
“Create a profile on a new social network” Active Internet Universe
80% Wave 1 2006 Wave 2 2007 Wave 3 2008
74%
60%
% Create a profile
40%
20%
0%
Source: Mediabrands Social Media Tracker study

20. SOCIAL NETWORKS

21. 18m Russian “social networkers”
(58% reach of internet population)
Source: European Social Networking Reach by Country
Total Europe, Age 15+ - Home & Work Locations*
Source: comScore World Metrix; December 2008

22. Most engaged networkers
Source: comScore World Metrix ; Age 15+ - Home & Work Locations*; Highest
Engagement Social Networking Country Audiences May 2009

23. Facebook and myspace who?
Source: comScore World Metrix ; Age 15+ - Home & Work Locations* May 09

24. Introduction of paid-for services impacted Odnoklassniki’s
exclusive audience share
Source: TNS Web-Index, Audience 12-54, Cities 100k+

25. Creative…..NEWS CLIPPING….style
Russian firm buys stake in Facebook
27.05.2009
“The Russian investment group Digital Sky Technologies (DST) paid
$200m for a 1.9pc stake in the company
“…MySpace is going to shut down its Russian office on the 30th of
June…. expected to attract at least 1m Internet users