Web Application for sharing editable shirt designs

1. CO N F I D E N T I A L A N D P R O P R I E TA R Y
*** DO NOT DISTRIBUTE ***
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ENABLING THE THE VIRAL SHIRT:
LiveStudio is an application that anyone can master to create
or edit a unique shirt... then when they share the design, their
friends can make their own versions of the new design.
INDEX
License Value Proposition ...................page 2 Server Architecture ...............................page 8
Consumer Value Proposition .............page 3 Shirt Market ............................................page 9
SHARING: A GOOD IDEA ......................page 4 Shirt Examples ......................................page 10 -14
TRAFFIC from Widgets..........................page 5 Notes ..........................................................page 15
Connections - Bridges ..........................page 6 Team ..................................................................page 16
Systems Architecture ............................page 7 Team ..................................................................page 17

2. * * * CO N F I D E N T I A L A N D P R O P R I E TA R Y D O N OT D I S T R I B U T E * * *
Our Value
Because Live Studio is as easy to use as a point-and-click
camera, it can drive sales of personalized merchandise
VIRAL SHIRTS -every shirt has a unique URL, when the
shirt is shared, it can be edited by the recipient from
anywhere on the web... when the second user shares
the design, a new URL is generated for that design.
The layers of a design remain live - any aspect of a
design can be changed, shared and changed again.
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3. * * * CO N F I D E N T I A L A N D P R O P R I E TA R Y D O N OT D I S T R I B U T E * * *
CONSUMER VALUE PROPOSITION
We make high resolution
creative self expression
instant and easy for
everyone
The millions of people who have made a Myspace page or any of the
numerous other types of user-generated content on the web today have
proven that there is demand for creative self- expression. Live Studio simply
delivers point-and-click ease of use for graphical effects on merchandise.
• No learning curve or tutorials required
• Broad range of unique, fun and entertaining artwork and effects
• VIRAL: Image effects remain “live” and edit-able, forever...
ion. On this • Supports posting of live and click-able images on blogs and social
ect
otional conn
an em
n that adds test.
in the vision
ersonalizatio network pages as well as e-mailing editable images to friends.
e the words
P g
ne can chan
design, anyo • No real language barrier (convert FAQ and simple Tabs)
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4. * * * CO N F I D E N T I A L A N D P R O P R I E TA R Y D O N OT D I S T R I B U T E * * *
DRIVING DEMAND FOR PRINT
Effects on shared images remain live and editable
This makes sharing fun and expressive.
Welcome to Live Studio
this picture -click Print
You can do a lot of fun things with this picture...
Edit Print Email Save Upload
Make your own version
Edit this picture -its fun...
widget image of shirt
or Share-key from sleeve of shirt
landing page
shared e-mail
Graphita offers the ability to create expressive graphical images live on the web and share them broadly as low resolution images while maintaining the
integrity of the high resolution print file. Effects remain live and editable. There are many business opportunities around this application; from building
market share with viral images to increasing the amount of print orders business generated by existing customers.
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5. * * * CO N F I D E N T I A L A N D P R O P R I E TA R Y D O N OT D I S T R I B U T E * * *
NEW MARKETS AND CUSTOMERS
Driving Traffic with Promotional Widgets
Visit this Widget: http://www.widgetbox.com/widget/politicalpie
We have been using Flash based widgets to drive interest in personalized merchandise based on specific themes
and content. The example above is obviously political. We currently have a dozen concepts for widgets which we are
testing on several social network sites and look forward to launching a number of them in the very near term.
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6. * * * CO N F I D E N T I A L A N D P R O P R I E TA R Y D O N OT D I S T R I B U T E * * *
C A PA B I L I T I E S a n d CO M M U N I T I E S
Graphita plays a pivotal role in connecting the worlds of
online social communities and the print world
S C R EEN R ES O LU T I O N PRINT RESOLUTION
ONLINE PRINT ORDERS
SOCIAL NETWORKS Trends internationally are towards people preferring
Sustained exponential growth is fueling a
things that are personal and personalized.
fundamental change in where advertising
budgets are spent. We are integrating our ap-
The Hallmark card and merchandise serving the sole
plication with the online community leaders;
purpose of delivering a corporate logo is quite possibly
MySpace, Facebook, Bebo etc.
headed the way of the Dodo.
E-MAIL SHARING DESKTOP PRINTING
We make it possible to share images that
Companies that profit from consumers making prints
can be opened and interacted with -the ap-
can bundle our application to drive consumer inter-
plication retains the editable layers making
est and demand for print consumables.
it possible for all the recipients to make their
own expression on a picture.
PHOTO SHARING On-pack benefit of creativity could help beat com-
moditization and secure brand preferences.
COMMUNITIES
LiveStudio’s flex based web services structure makes it possible for it to
reside on partner sites. We can also function as a conduit from photo
sharing sites, to social networks and the desktop.
We use proxy images to keep high resolution images on the server side. Essentially, we allow the right resolution of image to
be at the right place for the right task.; Screen resolution for web, print resolution for reproduction. This allows our application
to potentially support multiple channels - bridging the gap between massive online social communities and the expressive
possibilities of sharing in the real world.
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7. * * * CO N F I D E N T I A L A N D P R O P R I E TA R Y D O N OT D I S T R I B U T E * * *
Systems Architecture
We chose the LAMP platform for cost, scalability and broadly supported adoption with Web 2.0 applications.
Adobe’s Flex is used for the application interfaces, with Flash for Graphita’s supporting website.
Site Interfaces FLASH 9
Cust. Data
LiveStudio
LiveStudio Interfaces FLEX 2/3
Content MySQL v.5
Mgmt.
SYNC
PHP
Customer
Zend AMF Remoting Framework
Proxy Res
Files
LiveStudio Systems PHP
HASH w/ Public URL
JPEG
72 dpi
Image Customer
Object SYNC
Magick High Res
Library
Files
Proxy Files PROPRIETARY
INTERPRETATION ENGINE
HASH w/ Public URL
SCRIPTS: C / PHP / PERL
FLASH / SWF and PNG
AUTOMATED PROCESSING OF
Shared Images and Widgets RGB EPS, TIFF, JPEG, PNG TO
STANDARD HIGH RES. JPEG
300 dpi
Object
Image Layer Data
Library
RenderFiles MySQL v.5
PNG - 300+ DPI
Image Share KeysPage 7
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MySQL v.5

8. * * * CO N F I D E N T I A L A N D P R O P R I E TA R Y D O N OT D I S T R I B U T E * * *
Hosting Architecture
Our current deployment hosting architecture is based on a clustered Linux, servers using Cent O/S and Apache Server
Firewall(s) Optional VPN
Device
300 Mbps Agregate / 130,000
Gigabit Private Network and
Load Balancer(s) Gigabit Backup Network
Optional
Redundant Device 300 Mbps Agregate / 130,000 Fail-Over Network Configuration
NIC Bonding / Catalyst Switches
Web Server Web Server
Single Quad 2GB RAM 100GB RAID1 Single Quad 2GB RAM 100GB RAID1
App. Server App. Server
Dual Quad 2GB RAM 100GB RAID1 Dual Quad 2GB RAM 100GB RAID1
MySQL Server MySQL Server
Single Quad 2GB RAM 100GB RAID1 Single Quad 2GB RAM 100GB RAID1
MySQL Clustering
SERVICES
Dedicated
Transaction and Port Monitoring
Direct Attached
Vulnerability Assessment Scan
Storage
Intrusion / DDoS etc. Managed Tape
Back-up
3 x 300 GB RAID 5 (Primary)
DBA services
3 x 300 GB RAID 5 (Mirror) with
MySQL support
Dual/Active Controllers /Hot Spare
NOTE: Image storage could be shared with existing storage
for books, as LiveStudio references the un-edited original.
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9. C O N F I D E * *T*I A L N F ID E N T IP R I E T AD Y R O P R I E TT T O D O AN * *T* D IO TN O B UD IE T R * B U T E * * *
CO AN D PRO AL AN R P SUBJEC ARY ND O D S RI T T S **I
N
Custom Shirt Marketplace
Graphics / Editing Users/ Market
Largest of customer driven marketplaces. Revenue
LIMITED editing of 3.5 M est.
sharing. Limited customization capability on main site.
textual elements
Acquired www.click-shirt.com -very tool-oriented.
Tech leader in custom shirts. Limited customization
LIMITED 1.2M est.
of pre-existing designs. Large customer driven
not Graphics
marketplace and community. Strong deals on content.
Community and marketplace for artists and semi-
NONE 0.3 M est.
professional graphics talent. No real customization at
all. No brand content.
Growing site and compelling customization tool that is
Create but not Edit 0.2 M est.
capable of creating new shirts. Not editing existing shirts.
Growing site (5x Graphita traffic) Flat clip art and type.
Create but not Edit 0.2 M est.
Not taking advantage of full color Direct To Garment (DTG).
Smaller Players There are a growing number of boutique shirt sites enabled by new Direct-To-Garment printing technology. We have categorized the
sites that focus on making shirts here, while sites with community that could be revenue sharing partners are on the next page.
t-shirts.com Growing site. Flat basic clip art and type
UberPrints.com (Similar traffic to Graphita) Direct to garment technology -inexpensive shirts and rough, basic graphics engine for making custom shirts.
QOOP.com very good placement on social network sites, with very little revenue in shirts. Very weak player with good distribution.
e-custom.com small competent DTG shop. Rough design tool.
www.thattshirtsite.com small player with a decent shirt design tool.
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15. APPENDIX
User-Gen Space Poised for
Growth
July 05, 2007
By Mike Shields/Mediaweek
Social networking sites will command the biggest slice of the UGC ad pie. NEW YORK User-generated content on the Web is
set to rapidly shift from a budding consumer trend to a serious business over the next five years.
Ad spending on Web sites that have built their traffic on user-gen staples like social networking, photo sharing and amateur
video is expected to soar to $4.3 billion in 2011, according to a new report issued by eMarketer. That’s a whopping increase
of 330 percent versus the $1 billion expected to be spent in the space this year—which is itself more than double the $450
million in ad revenue tracked by eMarketer in 2006.
Despite the ongoing challenges facing UGC sites to find a business model that works, and despite continued hesitancy
among some major brands to even go near the explosive space, eMarketer predicts that category leaders such as YouTube,
MySpace, Facebook and Photobucket will lead the charge in terms of legitimizing the medium over the next five years. “The
nearly tenfold increase in user-generated content advertising spending in the U.S. reflects optimism in the ability of compa-
nies like YouTube, MySpace and Facebook to continue to build and retain vast audiences,” says the report.
Plus, users have shown no indication that creating their own Web content for others to consume is a passing fad, found
eMarketer. By 2011, the researcher estimates there will be 95 million Web users creating content online, up from 64 million
last year.
Among the various segments that have exhibited hefty growth over the last several years, eMarketer believes that social net-
working sites will command the biggest slice of the UGC ad pie—perhaps due to how much further ahead sites like News
Corp.’s MySpace as well as Facebook are at monetizing their content than Google’s YouTube. Spending on social networking
sites should balloon to $3.6 billion in 2011, up from the mere $445 million spent last year. By 2011, ad spending on these sites
should account for nearly 7 percent of online advertising, says the report.
Yet UGC video is likely to enjoy a burst of new ad dollars as well. While online video spending in general should grow expo-
nentially over the next five years to $4.1 billion (up from a measly $410 million last year), dollars allocated to user-generated
video should approach a $1 billion over the same time period, according to research compiled by Screen Digest, said
eMarketer. By that time, users will be streaming close to 50 million video clips a year, up from 12.4 billion in 2006, according
to the report.

16. * * * CO N F I D E N T I A L A N D P R O P R I E TA R Y D O N OT D I S T R I B U T E * * *
EXECUTIVE TEAM
David Shantz, CEO
A co-founder of Graphita. David has played an integral role in the founding of more than a
dozen successful start-up companies. Co-founded SRD (acquired by IBM) in 1983, at 19. In
1992, David worked with Alvy Ray Smith (co-founder of Pixar) on the launch of Altamira
Composer, software that advanced digital photo editing. MPower, Encorus, Actona, Velosant,
Atomic Tangerine, BambuRum etc. David has been responsible for the creative direction of the
company, development of it’s products and business models, team and partnerships. Creative
Director of WildOutWest, an early stage venture consulting firm with worldwide clients, since
1997. Avid photographer and professional digital retoucher.
See detailed Profile on Linked-in
Andrew Lockwood, President
Andrew has been actively involved in the company almost since its founding. Andy is a dynamic
International business executive and leader with a 20 year track record of rapidly growing and reshaping
businesses, and has held a number of CEO, General Management, Strategy, Sales and Marketing roles
with both small startups and larger Companies such as BT, Inktomi and Covad. This includes starting a
$1B wireless operator with 2.4m customers.He is particularly focused on clear strategic thinking, building
capable teams, establishing partnerships, and finding fresh new approaches to grow revenues.
See detailed Profile on Linked-in
Zach Saltsberg, CTO
A co-founding Partner in the company, Zach and his team developed the Live
Studio application from a working prototype to our current beta testing version.
Zach and David started working together over 11 years ago. Zach has managed the
development team: Andy, Chris, Judah, and Sarah.
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17. * * * CO N F I D E N T I A L A N D P R O P R I E TA R Y D O N OT D I S T R I B U T E * * *
Mary D’Agostino, Acting CFO
Mary has been a valuable advisor to the company since its founding. She has
held senior management positions in Business Development, client Services
and Marketing at Wells Fargo and Moodys KMV, including being the GFO of
WellsFargo.com and CEO of a start-up funded by FirstData/ eONE Global.
Stanford Business School Sloan Fellow.
Rhonda Shantz, Acting CMO
Rhonda has been a valuable advisor to the company from the beginning.
She has held senior management positions at Intel, IBM, HP and currently at
Symantec, where she runs consumer communications.
Rhonda has also been the Global technology lead for Public Relations firm
Porter Novelli, and oversees our marketing efforts with David and Andrew.
See detailed Profile on Linked-in
Nicole Witeous , Marketing Promotions
Nicole brings experience with direct web marketing, media relations and sales
promotion for mainstream consumer products. Previously worked with Banana
Republic, Intuit, Gap
This is not Nicole’s actual likeness
Michael Leifer, Principal, Guerilla PR - Board Advisor
Mark Lehey, Fenwick & West - Corporate Legal Counsel
Holly Pranger, Pranger Law -Trademark and Copyright Counsel
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