Adaptive Medias, Inc. CEO Qayed Shareef Issues Shareholder Update - Seite 2

Adaptive Media's strategy is working, and beginning to generate healthy financial results.

• In my first quarter as CEO, Adaptive Media had top-line revenue of $373,737, up nearly 14x from the $27,314 reported in the previous quarter (Q2 '13).
  
  
• In Q4 2013, we had sales of $614,216, an increase of 64% over Q3.
  
  
• Revenues for the 2^nd half of 2013, post-merger, were $987,953 vs. sales of $42,314 for the first half of the year, an increase of more than 23x.
  
  
• Losses in the 2^nd half of the year decreased by $2,298,403 compared to the 1^st half of 2013.
  
  

Adaptive Media has successfully begun implementing our clear strategy to increase revenues for publishers, content owners, and advertisers leveraging the considerable financial opportunity that exists across digital media channels.

In the summer of 2013, I was quoted as saying, "We are focused on optimizing revenues for our publisher partners, and increasing efficiencies for our advertisers across all media including display, video and mobile." There are many ways to tactically carry out these goals, and everything we have done to-date has been to fulfill them in the most efficient way possible while remaining true to our core offerings.

At our core, we are a multichannel audience and content monetization company. We rely on programmatic advertising across mobile, video and online display, to power the business. Our content monetization platform and technology provides app developers, publishers and video content developers one of the only end-to-end monetization platforms today. The Company's unique technology helps partners monetize content efficiently across multiple marketing channels and devices. Brand advertisers benefit from our own real-time bidding (RTB) engine that delivers access to programmatic buying plus our base of publisher direct inventory.

The market we are targeting is considerable. According to market research firm eMarketer, the worldwide digital advertising market is expected to grow to $173 billion by 2017. eMarketer forecasts the worldwide mobile advertising market will exceed $29 billion in 2014, and is expected to reach $72 billion by 2017. eMarketer projects the online video advertising market topped $4 billion in 2013, and is expected to nearly triple by 2017 as video becomes the preeminent delivery channel for digital advertising, reaching over two billion people worldwide. Finally, eMarketer estimates U.S. marketers spent $3.34 billion in 2013 on RTB ads, up 73.9% from 2012, and expects U.S. advertisers to spend nearly $9 billion on RTB ads by 2017.