Dolphin Digital Media, Inc. (OTC BB: DPDM)
Technology
0
Value Proposition
DPDM’s software offers a safe alternative to Myspace or Facebook which offer little to no security as evidenced by the 90,000 registered sex offenders that Myspace kicked off in January 2009 alone. DPDM offers a unique experience for youth combining a safe traditional internet experience along with a secured networking platform where children can connect with other children and enjoy entertainment. Currently there are no products in existence that offers a comparable level of security or customization for children.
DPDM has a huge target market with a built-in audience given the Company’s relationship with Nickelodeon’s largest third party programmer, Dolphin Entertainment.
Overview
Dolphin Digital Media, Inc. (OTC BB: DPDM) is a creator of secure social networking websites for children utilizing state-of-the-art fingerprint authentication technology. Dolphin Digital Media's signature product, Dolphin Secure, is a groundbreaking family Internet solution that gives parents the tools to protect their children from online threats such as cyberbullying and unsolicited chat requests while they are using their home computers. Children registered within Dolphin Secure automatically become members of Dolphin Surf and Dolphin Surf Kids, which are customizable gateways to the internet with full social networking capabilities, wherein the children can establish profiles, search for friends, IM one another, write blogs, upload photos, and play games.
Content for Dolphin Surf and Dolphin Surf Kids will be bolstered by an exclusive, worldwide, ten-year license with Dolphin Entertainment, the leading independent studio for children’s and family entertainment, for the digital rights to its current and future brand properties, which include the mystery franchise “Roxy Hunter” and Nickelodeon’s first ever musical “Spectacular!.” Going forward, Dolphin Entertainment secured more than $100 million in production and marketing financing from Continental Entertainment Capital, an affiliate of Citigroup, in October 2008, for a slate of six feature films targeting teens and tweens that will be distributed through Sony Pictures in North America.
Investment Highlights
The Company’s subscription-based business model provides recurring revenue with significant operating leverage. Management is seeking to attract 1 million subscribers within 18 to 21 months which would translate into $40 million in pre-tax profit.
The Company will promote Dolphin Secure through an internal sales force of over 100 individuals, in addition to traditional media, celebrity endorsements, and public relations initiatives.
DPDM’s low overhead and easily attainable break-even point of 6,000 new subscribers per month positions the Company for rapid near-term growth.
Hurdles to success have been lowered due to a low overhead business model and completion of R&D and IT infrastructure work developing children’s media and entertainment properties.
Company Management has extensive media experience, specializing in the target demo of 6-14 year olds.