Portable Gaming Spotlight, 2Q13 August 2013
1 Installed Base Trends 2 2Q13 Gamer Spending Deep Dive 3 Key Themes & Takeaways, 2Q13 2
Worldwide Smartphone Installed Base Shares, 1Q13 & 2Q13 75% +1.6 pts +0.1 pts - 2.0 pts +0.4 pts 50% 1Q13 2Q13 25% 0% Android ios Symbian All Others Source: IDC, 2013 Android extended its lead by 1.6 share points BlackBerry & Windows-based devices comprised most of All Others The smartphone installed base grew to nearly 1.25B in 2Q13 The consumer tablet installed base topped 180MM in 2Q13 3
Worldwide Gaming- OpBmized Handheld Packaged Game Shipments & Digital Full Game Sales Volume, 1Q13 & 2Q13* 12 10 8 1Q13 2Q13 Millions (Units) 6 4 2 0 Nintendo 3DS Sony PlayStaEon Portable & Vita Nintendo DS/DSi Hardware platforms span all SKUs * This slide now reports combined packaged game shipments & digitallypurchased copies of these same games (titles that only receive digital distribution are excluded). Source: IDC, 2013 Overall, card/disc shipments were roughly flat compared to 1Q13 The gaming-optimized handheld installed base was ~200MM in 2Q13 Digital sales advanced incrementally 4
1 Installed Base Trends 2 2Q13 Gamer Spending Deep Dive 3 Key Themes & Takeaways, 2Q13 5
Worldwide Share of ios & Google Play Downloads & Consumer Spending AQributable To Games, 1Q13 & 2Q13 100% Games: Share of App Store Downloads 100% Games: Share of App Store Consumer Spending 75% 75% 1Q13 50% 50% 2Q13 25% 25% 0% ios App Store Google Play 0% ios App Store Google Play Source: App Annie, 2013 Games continued to lead app store growth in 2Q13 Games represented ~40% of downloads in both app stores Google Play spending was driven by games even more so than was ios Includes all applicable smartphones & tablets, plus ipod touch 6
Worldwide Portable Game Consumer Spending, 1Q13 & 2Q13 150 Indexed Consumer Spending on Games (ios 1Q13 indexed to 100) 100 50 0 ios App Store Google Play Gaming- OpEmized Handhelds 1Q13 2Q13 Gaming-optimized handheld revenue includes packaged & digital All ad revenue excluded Source: App Annie & IDC, 2013 Game spend on Google Play surpassed that of gaming-optimized handhelds in 2Q13 Both ios App Store and Google Play grew game sales from 1Q13 to 2Q13 7
Portable Game Consumer Spending Shares by Region, 1Q13 & 2Q13 100% 75% 50% 25% 0% +1.4 pts 1Q13 2Q13 1Q13 2Q13 1Q13 2Q13 ios App Store Games +2.4 pts Google Play Games +4.8 pts Gaming- OpEmized Handhelds North America Western Europe Asia- Pacific Rest of World Source: App Annie & IDC, 2013 Asia-Pacific gained in share of consumer game spending on both Google Play and ios App Store Western Europe rebounded in the gaming-optimized handheld category 8
Top 5 Grossing Portable Games Worldwide by PlaYorm, 2Q13 Rank ios App Store Google Play 1 Clash of Clans Supercell, Finland Puzzle & Dragons GungHo Online, Japan Gaming- OpBmized Handhelds Tomodachi Collection: Shin Seikatsu (New Life) N3DS; Nintendo, Japan 2 Puzzle & Dragons GungHo Online, Japan Candy Crush Saga King, United Kingdom Animal Crossing: New Leaf N3DS; Nintendo, Japan 3 4 5 Candy Crush Saga King, United Kingdom Hay Day Supercell, Finland The Simpsons TM : Tapped Out Electronic Arts, United States (Windrunner) for Kakao WeMade, South Korea (Cookie Run) for Kakao Devsisters, South Korea (Fives) 2013 for Kakao CJ E&M, South Korea Luigi's Mansion: Dark Moon N3DS; Nintendo, Japan Donkey Kong Country Returns 3D N3DS; Nintendo, Japan New Super Mario Bros. 2 N3DS; Nintendo, Japan = New entrant to Top 5 in 2Q13 (not in Top 5 for 1Q13) Source: App Annie & IDC, 2013 9
1 Installed Base Trends 2 2Q13 Gamer Spending Deep Dive 3 Key Themes & Takeaways, 2Q13 10
Key Themes & Takeaways, 2Q13 Google Play game spending surpassed that of gaming- opemized handhelds in 2Q13 Consumer spending on games for ios App Store & Google Play combined rose to 4x that of gaming- opemized handhelds Games represented over 40% of app downloads and over 70% of app revenue in both the ios App Store and Google Play Google Play game revenue conenued to come mostly from the Asia- Pacific, especially Japan & South Korea Gaming- opemized handheld spending grew in Western Europe Nintendo 3DS conenued to lead in gaming- opemized handheld so\ware spending 11
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