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A Brave New Word and How to
Get There from Planet Greece

Alex Eleftheriadis, Ph.D.
Chief Scientist and Co-Founder
Vidyo, Inc.
November 15, 2012
Vidyo in a Nutshell

!   Develops Internet-based videoconferencing products for enterprises
!   Founded in 2005 by Ofer Shapiro, Avery More, and Alex Eleftheriadis
!   First products launched in January 2008
!   $99MM+ from
    ! Sevin Rosen, Star Ventures
    !   Four Rivers Group, Juniper, Menlo Ventures, Rho Ventures,
        QuestMark Partners
!   Employees: 300+
!   HQ in the US
    !   Worldwide offices: France, Germany, Hong Kong, India, Italy, Japan, UK


                                                                                                          2
                               Copyright © 2012 Vidyo, Inc. – All Rights Reserved |   November 15, 2012
Vidyo Momentum

                                                                        2,000+ Fortune 100 and SMB customers
                                          Deployed
                                          Customers                     25+ service providers and 300+ resellers globally
                                                                        65 million Google+ users1 ─ powered by Vidyo

                                                                     20 Awards
                                          Industry
                                                                     On WSJ’s Top 50 Ventured-Backed companies 3 years in a row
                                          Recognition
                                                                     World Economic Forum 2013 Technology Pioneer


                                                                        Ground breaking video conferencing architecture
                                          Innovation                    First to deliver multi-party HD VC over the Internet
                                                                        22 patents awarded, 54 pending

                                           Extendable                   5 OEM partners including Google, Ricoh, Hitachi
                                           Platform                     50+ partners creating ground breaking applications
                                                                        100s of Healthcare, Education & Gov’t applications
                                                           /
1 Source: http://techcrunch.com/2011/12/27/google-user-count
                                                               Copyright © 2012 Vidyo, Inc. – All Rights Reserved |
                                                                                                                                  3
Vidyo Changed Industry’s Economics
                 Room Telepresence                       High Quality
                  Room Telepresence                                                                  New Paradigm
                                                                                         “By 2015, over 200 million
            •    Great experience                                                        workers globallyno delay
                                                                                         •  Quality: High fidelity, will run
            •    Well-utilized 100 hours/month                                           •  Reach: BYOD, Internet, wireless
            •    Super-expensive $400/hour                                               corporate-supplied to scale
                                                                                         •  Savings: Software, priced
            •    Does not scale                                                          videoconferencing from
                              z                                                          their desktops.”
                                                                                                             z
                                                                                                                       – Gartner
                                                                                                                       ID Number: G00173005




High Cost                                                                                                                                     Low Cost

                 MCU Video Conferencing                                                            Web-based Services
                 •  Expensive                                                             •  Free but limited
                 •  Under-utilized 10 hours/month                                         •  Unpredictable
                 •  Does not scale or deliver                                             •  Does not deliver on
                                                                                             performance
                                  z                                                                               z



                                                          Low Quality
                                                                                                                                                         4
                                            Copyright © 2012 Vidyo, Inc. – All Rights Reserved |   November 15, 2012
Scalable Video Coding and the VidyoRouter
                                                  High Resolution Layer




                                                          Base Layer
                                                            2 Mbps                            High Resolution - High Frame Ra
                                                                                               High Resolution High Frame Rate
      Source                                      High Resolution Layer
High Resolution Layer



                                                          Base Layer
     Base Layer                                            500 Kbps                       Medium Resolution - Medium Frame Rate
                                                                                           Medium Resolution - Medium Frame Rate



                                                          Base Layer
                                                           3G/4G
                                                       Low Bandwidth
                                                                                              Low Resolution - Low Frame Rate
                                                                                               Low Resolution - Low Frame Rate



                                                                                                                                   5
                        Copyright © 2012 Vidyo, Inc. – All Rights Reserved |   November 15, 2012
Significantly Lower Costs
   Example: For 600 HD Conference Participants

Traditional MCU: 114U
                                               •       10X better density
                                               •       10X lower cost
                                               •       10X better quality
                                               •       10X lower power




                                  6U: VidyoRouter                                     Virtual VidyoRouter
                                                                                      Cloud Compute


     Utilizing fewer, off-the-shelf servers to save up to 90%
                                                                                                            6
                    Copyright © 2012 Vidyo, Inc. – All Rights Reserved |   November 15, 2012
Vidyo Redefines Endpoint Economics




TouchScreen Executive Desktop                    iMac – 1440p                                       Room System <$20,000




      iPhone      Samsung Android                               iPad2                                      Telepresence

           Superior end user experience at significantly lower costs
                                                                                                                           7
                                Copyright © 2012 Vidyo, Inc. – All Rights Reserved |   November 15, 2012
Unprecedented Reach and Scale




                                                                                      8
           Copyright © 2012 Vidyo, Inc. – All Rights Reserved |   November 15, 2012
The Videoconferencing Industry’s Switch to SVC




 Announced
Plans for H.264 SVC


  Deployed
     Based on
      Vidyo’s                                                             Non-scalable Legacy H.264
    Technology


                      Scalable Codec




                                                                                                          9
                                                                                                              9
                               Copyright © 2012 Vidyo, Inc. – All Rights Reserved |   November 15, 2012
Day 1




                                                                           10
Copyright © 2012 Vidyo, Inc. – All Rights Reserved |   November 15, 2012
“A Brave New World”




                                                                             11
  Copyright © 2012 Vidyo, Inc. – All Rights Reserved |   November 15, 2012
Hornblower Series




                                                                           12
Copyright © 2012 Vidyo, Inc. – All Rights Reserved |   November 15, 2012
Ship of the Line: HMS Victory (launched 1765)

                                                                                 Bow Detail, 2007
       Portsmouth, 1900




                                                                                                     13
                          Copyright © 2012 Vidyo, Inc. – All Rights Reserved |   November 15, 2012
How to “Join the Navy”

!   Technology and historical context is “irrelevant” (changes all the time)
!   The process is repeatable
  !   Clarity of Goal
  !   People are key:
      !  Knowledge & Training
      !  Commitment to the Common Goal
      !  Find the right role for each person
      !  Hard work (relentless pursuit of perfection)
!   Talent and luck accelerate the process, they don’t replace it
!   Persistence – the mistress of Success



                                                                                                          14
                               Copyright © 2012 Vidyo, Inc. – All Rights Reserved |   November 15, 2012
“It’s more fun to be a pirate than to join the navy.”
                                Steve Jobs




                                                        15
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Vidyo's Scalable Video Conferencing Revolutionizes Communication

  • 1. A Brave New Word and How to Get There from Planet Greece Alex Eleftheriadis, Ph.D. Chief Scientist and Co-Founder Vidyo, Inc. November 15, 2012
  • 2. Vidyo in a Nutshell !   Develops Internet-based videoconferencing products for enterprises !   Founded in 2005 by Ofer Shapiro, Avery More, and Alex Eleftheriadis !   First products launched in January 2008 !   $99MM+ from ! Sevin Rosen, Star Ventures !   Four Rivers Group, Juniper, Menlo Ventures, Rho Ventures, QuestMark Partners !   Employees: 300+ !   HQ in the US !   Worldwide offices: France, Germany, Hong Kong, India, Italy, Japan, UK 2 Copyright © 2012 Vidyo, Inc. – All Rights Reserved | November 15, 2012
  • 3. Vidyo Momentum 2,000+ Fortune 100 and SMB customers Deployed Customers 25+ service providers and 300+ resellers globally 65 million Google+ users1 ─ powered by Vidyo 20 Awards Industry On WSJ’s Top 50 Ventured-Backed companies 3 years in a row Recognition World Economic Forum 2013 Technology Pioneer Ground breaking video conferencing architecture Innovation First to deliver multi-party HD VC over the Internet 22 patents awarded, 54 pending Extendable 5 OEM partners including Google, Ricoh, Hitachi Platform 50+ partners creating ground breaking applications 100s of Healthcare, Education & Gov’t applications / 1 Source: http://techcrunch.com/2011/12/27/google-user-count Copyright © 2012 Vidyo, Inc. – All Rights Reserved | 3
  • 4. Vidyo Changed Industry’s Economics Room Telepresence High Quality Room Telepresence New Paradigm “By 2015, over 200 million •  Great experience workers globallyno delay •  Quality: High fidelity, will run •  Well-utilized 100 hours/month •  Reach: BYOD, Internet, wireless •  Super-expensive $400/hour corporate-supplied to scale •  Savings: Software, priced •  Does not scale videoconferencing from z their desktops.” z – Gartner ID Number: G00173005 High Cost Low Cost MCU Video Conferencing Web-based Services •  Expensive •  Free but limited •  Under-utilized 10 hours/month •  Unpredictable •  Does not scale or deliver •  Does not deliver on performance z z Low Quality 4 Copyright © 2012 Vidyo, Inc. – All Rights Reserved | November 15, 2012
  • 5. Scalable Video Coding and the VidyoRouter High Resolution Layer Base Layer 2 Mbps High Resolution - High Frame Ra High Resolution High Frame Rate Source High Resolution Layer High Resolution Layer Base Layer Base Layer 500 Kbps Medium Resolution - Medium Frame Rate Medium Resolution - Medium Frame Rate Base Layer 3G/4G Low Bandwidth Low Resolution - Low Frame Rate Low Resolution - Low Frame Rate 5 Copyright © 2012 Vidyo, Inc. – All Rights Reserved | November 15, 2012
  • 6. Significantly Lower Costs Example: For 600 HD Conference Participants Traditional MCU: 114U •  10X better density •  10X lower cost •  10X better quality •  10X lower power 6U: VidyoRouter Virtual VidyoRouter Cloud Compute Utilizing fewer, off-the-shelf servers to save up to 90% 6 Copyright © 2012 Vidyo, Inc. – All Rights Reserved | November 15, 2012
  • 7. Vidyo Redefines Endpoint Economics TouchScreen Executive Desktop iMac – 1440p Room System <$20,000 iPhone Samsung Android iPad2 Telepresence Superior end user experience at significantly lower costs 7 Copyright © 2012 Vidyo, Inc. – All Rights Reserved | November 15, 2012
  • 8. Unprecedented Reach and Scale 8 Copyright © 2012 Vidyo, Inc. – All Rights Reserved | November 15, 2012
  • 9. The Videoconferencing Industry’s Switch to SVC Announced Plans for H.264 SVC Deployed Based on Vidyo’s Non-scalable Legacy H.264 Technology Scalable Codec 9 9 Copyright © 2012 Vidyo, Inc. – All Rights Reserved | November 15, 2012
  • 10. Day 1 10 Copyright © 2012 Vidyo, Inc. – All Rights Reserved | November 15, 2012
  • 11. “A Brave New World” 11 Copyright © 2012 Vidyo, Inc. – All Rights Reserved | November 15, 2012
  • 12. Hornblower Series 12 Copyright © 2012 Vidyo, Inc. – All Rights Reserved | November 15, 2012
  • 13. Ship of the Line: HMS Victory (launched 1765) Bow Detail, 2007 Portsmouth, 1900 13 Copyright © 2012 Vidyo, Inc. – All Rights Reserved | November 15, 2012
  • 14. How to “Join the Navy” !   Technology and historical context is “irrelevant” (changes all the time) !   The process is repeatable !   Clarity of Goal !   People are key: !  Knowledge & Training !  Commitment to the Common Goal !  Find the right role for each person !  Hard work (relentless pursuit of perfection) !   Talent and luck accelerate the process, they don’t replace it !   Persistence – the mistress of Success 14 Copyright © 2012 Vidyo, Inc. – All Rights Reserved | November 15, 2012
  • 15. “It’s more fun to be a pirate than to join the navy.” Steve Jobs 15
  • 16. 16