INTERNET TRENDS 2014 –

INTERNET TRENDS 2014 – CODE CONFERENCE Mary Meeker May 28, 2014 kpcb.com/InternetTrends 1 Outline 1) Key Internet Trends 2) Status Update – Tech Stocks / Education / Healthcare 3) Re-Imagining Continues 4) Screen + Video Growth = Still Early Innings 5) China’s Epic Share Gains 6) Public Company Trends 7) One More Thing(s) 8) Ran Outta Time Thoughts / Appendix 2 KEY INTERNET TRENDS 3 High-Level User / Usage Trends* • Internet Users Installed Base than Previous Cycle 11 Source: Morgan Stanley Mobile Internet Report (12/09) Advertising / Monetization = Mobile Especially Compelling 12 Internet Advertising = Remains Strong +16%...Mobile +47% to 11% of Total Global Internet Advertising, 2008 – 2013 $125 25%$116 $100 $100 20% $86 $76 $75 15% $64 $62 $50 10% $25 5% $0 0% 2008 2009 2010 2011 2012 2013 Desktop Advertising Mobile Advertising Y/Y Growth 13 Source: PWC Global Entertainment & Media Outlook, 2013. Global Internet Advertising ($B) Y/Y Growth ARPU Upside for Facebook + Twitter Google ARPU = 6x Facebook Facebook = 2x Twitter Annualized Ad ARPU ($) & Mobile % of MAU Annualized Ad ARPU ($) Q1:12 Q2:12 Q3:12 Q4:12 Q1:13 Q2:13 Q3:13 Q4:13 Q1:14 Google ($) $37 $37 $38 $43 $42 $41 $41 $46 $45 Y/Y Growth 9% 6% 6% 14% 14% 11% 10% 8% 8% Facebook ($) $4.00 $4.28 $4.43 $5.15 $4.60 $5.65 $6.14 $7.76 $7.