equinix / brightroll joint presentation & case study

IAB Ad Technology Marketplace – 1

Scaling Processes for Smarter Real-Time Bidding in Video

Slash network latency and

boost exchange transaction volumes

Lucas Krump Director, BRX Sales

Robert Blackburn Vice President, Content

IAB Ad Technology Marketplace – 2

•  Largest independent video ad platform

•  Reach audiences at scale globally across web, mobile, tablet and connected TV

–  #1 reach, 94% online video ad viewers –  90% of top 50 US advertisers –  17 of top 20 advertising technology companies –  Billions of video ads monthly

About BrightRoll

IAB Ad Technology Marketplace – 3

About BRX

Worlds largest video advertising exchange –  250+ active buyers –  20+ integrated RTB buyers including all

major DSPs –  10 Billion+ RTB bid requests processed

per month

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•  Global Leader in Interconnection, Data Centers & Colocation -- Synergy Research Group, June 2013

•  Widest network neutral footprint –  95 Data centers in 31 strategic global markets

•  Largest balance sheet, capacity investment in our industry –  ~$2B annualized revenue, ~$7B invested 1998-2012

•  Dynamic Ecosystem of Customers –  900+ network service providers –  800+ financial services companies –  1,150+ Cloud & IT service providers –  475+ content and digital media companies

About Equinix

IAB Ad Technology Marketplace – 5

Ad Industry Challenges with RTB

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Industry Challenges •  The exchanges’ bid windows have been shrinking…

For Impatient Web Users, an Eye Blink Is Just Too Long to Wait -- New York Times, Feb 2012

These days, even 400 milliseconds — literally the blink of an eye — is too long … That barely perceptible delay causes people to search less. … People will visit a Web site less often if it is slower than a close competitor by more than 250 milliseconds. … Four out of five online users will click away if a video stalls while loading. “Every millisecond matters.”

-- Arvind Jain, Google speed maestro

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•  ... as largest exchanges set the market trends

Industry Challenges

Google is reducing the number of trading locations to just four: US West Coast, US East Coast, Europe and Asia … Google will be reducing the bid response deadline [from] a 120ms response deadline [which] gave bidders 40ms of network time and 80ms of think time. The new bid response deadline is now set to 100ms.

Google: Ad Exchange RTB Protocol changes are permanent starting April 2 [2012]

-- Web Pro News, Mar 2012

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•  Less think time à fewer bid responses à more throttling

•  Less “think time”, when needed more than ever –  Growing profile data, 3rd party data sources,

more campaign parameters, more algorithms

•  Less “think time” à lower bid ratio

•  Lower bid ratio à increased chance of throttling

Industry Challenges

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Interconnection and the Ad Ecosystem

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Public IP vs RTB •  Public Internet Providers (ISP’s) have invested heavily in their networks

since coming into existence ~20 years ago

•  BUT the public internet is not designed for RTB –  Ubiquitious routing … reach anywhere from anywhere –  Resiliency within and

between metro areas –  Optimized for multiple factors §  Traffic exchange and

contract commitments §  Capacity availability for

underlying transport §  Fewest “network hops” to

destination varies by ISP

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Interconnection •  Interconnection: connection of customer-owned computer & network

equipment directly to another network

•  Examples: telecom networks and financial exchanges & traders

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Ad Ecosystem at Equinix

Finance Ecosystem vs Ad Ecosystem

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Ad Ecosystem at Equinix

Los Angeles

Hong Kong

Silicon Valley

DC Amsterdam

New York

Singapore

Directly connect to Ad Exchanges & Bidders around the globe

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BRX and VideoRTB+

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VideoRTB+

•  First-to-market, ultra-low-latency video solution from BrightRoll, available only at Equinix

–  Boost ad revenue by increasing

successful bid requests –  Improve campaign performance with

industry’s fastest data access for video

–  Significantly reduce latency via a direct connection between bidders and the BrightRoll Exchange

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Case Study & Business Impact

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Case Study •  Structured, realistic testing overseen by Brightroll SVP of Engineering

•  Various scenarios with DSP partner Rocketfuel –  Public Cloud to Public Cloud –  Private Cloud to Public Cloud –  Private Cloud to Private Cloud over public IP –  Private Cloud to Private Cloud over direct interconnection

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Results & Business Impact

The World’s Fastest Real Time Bidding (RTB) Solution •  80% reduction in RTB network latency •  10%+ reduction in average bid response time •  48% increase in successful ad bid rates •  Potential revenue gain from higher transaction volumes on the exchange

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Thank you!

For additional information, please contact

BRIGHTROLL EQUINIX Lucas Krump Craig Seim lkrump@brightroll.com cseim@equinix.com