OverActive Media Corp. (TSXV:OAM)
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Status Update

Nov 19, 2025

Babak Pedram
Head of Investor Relations, OverActive Media

Jeez, for the few minutes of delay, we've been facing some technical issues, unfortunately. To start, I'll give you a little overview of OverActive, and I'll pass the call to Adam. OverActive Media is a digital media and entertainment company with operations in Toronto, Madrid, and Berlin. The company combines high-margin digital revenue streams, sponsorships, content licensing, creator monetization, and in-game digital sales, with ownership of two of the most valuable Esports franchises in the world. With global partners like Telefónica, Bell, Pepsi, Red Bull, and AMD, OverActive is positioned as a scalable media platform backed by rare, appreciating franchise assets. The company is listed on the TSX Venture under the symbol OAM, on the OTC under the symbol OAMCF, and on the Frankfurt Exchange under the symbol 0RB. Today, Mr.

Adam Adamou, co-founder and CEO of OverActive Media, will provide an overview of the business, including the company's growth strategy and clear roadmap for Active Voices, OverActive's proprietary AI-powered creator monetization platform. At the end of the session, we'll also address the questions investors have submitted by email. Over to you, Adam.

Adam Adamou
Co-founder and CEO, OverActive Media

All right, thanks, Babak. First of all, let me start by apologizing. If we were using the Active Voices platform instead of the Zoom platform, I think this presentation would go off without a hitch. One of the challenges that we're having with Zoom right now is that we have a number of slides here that require sound on your end. We have some Active Voices examples. Obviously, Active Voices is all about sound and language. We have some event samples that require sound. For whatever reason, even though every time we've done this before, it seems to work, now when we're going live, it is not working. Obviously, we're out of time here to work out the technical difficulty. I am going to go through that anyway. I'm not going to change my presentation here. I'll go through the voice areas pretty quickly.

I apologize in advance because I think those sound clips make a big impact here on what we are doing. If you are kind enough to come and join us here on this webinar, I will be kind enough to kind of come back and offer a direct follow-up if you are interested, where I can go through these with the sound that they deserve. Apologies upfront. Zoom is what it is. If it was Active Voices, it would work, I assure you. In any case, my name is Adam Adamou. I am the CEO of OverActive Media. Thank you so much for being here. Let me start with a bit of context. OverActive is a global entertainment and technology company built around one of the most passionate fan communities in the world. That community is our engine.

It's large, it's young, it's deeply engaged, and it gives us a distribution footprint that most companies in Esports or media never achieve. Everything we build, our content, our partnerships, our digital products, and now our AI technology grows out of that fan base. That's the core of the company. It's the foundation for the story I'm going to walk you through today. All right, before we go any further, here's our disclosure about forward-looking statements. The key point for you is this, though. The strategy you're going to hear today is grounded in real fans, real engagement, and real revenue channels. Our perspective on the future is based on what we're already seeing inside of our ecosystem right now. To understand OverActive, the first thing you need to grasp is our reach. We connect with more than 100 million fans around the world.

These are audiences in Canada, in the United States, in Europe, in Latin America, in China. They follow our teams, our creators, and our content. These are young, digital native consumers with strong purchasing power, as you can see here from these statistics. If you're not deep in Esports, think of this as one of the most active global youth entertainment audiences in the world. OverActive sits right in the middle of it. With the global audience, we've built this real business momentum. Our revenue curve has been climbing, and margins are strong. We've been taking significant steps, I would say, over the past year, two years, to simplify the business, focus on what scales, and build a model that moves towards profitability. This isn't driven by any one region or any one brand.

This is the product of a global fan base and a more focused operating structure that we've been implementing inside of the business. This is the engine that drives our business worldwide. Esports brings fans into our world, and then content and creators keep them connected. Membership creates these predictable, recurring revenues. Our technology, especially Active Voices, lets us take that entire ecosystem, global, across languages and markets. That slide will get stronger every single time we add a new fan in every single region. Fan after fan after fan, the business grows as the fan base grows. Because of that engine, we now operate as a global entertainment and technology platform. Esports is the starting point, but the value is in the layers that we build around it.

There's content, creators, merchandise, licensing, membership programs, and now AI, because these layers sit on top of this massive global fan base. The economics become more scalable, as I said, and more diversified as that fan base grows. That's how we grow the business without adding any unnecessary complexity to what we're doing. Now, let's go back to our teams. Our teams compete in two of the most important ecosystems in global Esports: League of Legends in Europe and Call of Duty in North America. These franchise positions give us long-term stability and visibility. They anchor us in basically two of the biggest markets in gaming. The engagement levels we get back reflect all of that. When you look at global viewership, our brands consistently sit among the most watched teams anywhere in the world. You can see that in the chart up here.

These are the most popular Esports team communities on Twitch, but communities of any type on Twitch. We are right there. This is like a monthly chart here. Every single month, we are in the top three to five, I would say, biggest communities on Twitch in the world. That reach drives our long-term partnerships and our commercial strengths. Now, for anyone not familiar with Ibai Llanos, Ibai is one of the most influential digital personalities in the world. Global entertainment brands. The scale you see here makes that very clear. You can see here, that is an Apple event at 2.8 million. That is a Nintendo event at 1.5 million. You can see Ibai's event at 9.2 million. He is bigger by a multiple of these huge Apple and Nintendo events. That is the scale. When Ibai goes live, he reaches audiences that rival the biggest moments in digital media anywhere.

His involvement with us, with KOI, gives the brand something incredibly powerful: cultural momentum. Not because KOI needs it, but because it amplifies the passion that already exists within the community. Ibai brings an energy and a storytelling style and a global audience that deepens what KOI stands for in the minds of the fans. That is why KOI has become such a phenomenon. It is the combination of the teams and the creators and the players and that shared identity and the community behind it. Ibai is part of that community. His presence accelerates it, elevates it, and helps turn KOI into a cultural force. As I said, Ibai is not only a shareholder, he is a business partner. He is a big component of the KOI brand that we work with together every day. That is what makes KOI special.

It's at the intersection of the competition, the players, the creator culture, the global digital fandom. Of course, Ibai's connection to that ecosystem is one of the reasons the brand carries so much cultural weight. Now, I'm going to go to my first video without sound. Look, the numbers can't tell you the scale, but they can show you the identity. They can't show you that identity. You have to see it. You have to feel the emotion and the energy behind the community. To truly understand it, you have to experience the culture around it. You have to see how the fans show up, how they celebrate, how they connect with each other, and how the creators and players sit inside of that ecosystem. I'm going to give you a window into that. Again, apologies, Zoom, no sound.

I think you'll get a sense of the heartbeat here. Okay, I cut that a little bit short. I mean, there's no point if there's not the sound. Let me just kind of go back to that slide and preempting here. Look, what you're seeing there is why KOI is so powerful. If you could hear the sound, there was cheering, there was screaming, there was crying in that particular video. When you see the flags that they showed there, these are flags that fans made themselves and brought it in. Now, the jerseys and the other stuff we sold to them. The fandom is real. It is like something that when you are there, you probably have never seen before. That's why KOI is so powerful. It's not casual viewership. It's belonging.

It's fans identifying with something that's bigger than themselves, something they participate in, and something that they co-create alongside us. That level of connection doesn't just happen by accident. It comes from years and years of building a community around these creators, these players, and these shared moments that actually mean something to people. KOI sits right at the intersection of all of that stuff. That's why the brand travels so well. It's why fans follow it across platforms, languages, and markets. It's why all this engagement is so strong. The numbers consistently outperform almost every other organization in the world. When you understand that emotional connection behind KOI, the business model becomes pretty intuitive. Inside of games like League of Legends or Call of Duty, fans buy these digital items.

Things like these team-branded skins, you can get weapon designs, character outfits, you can get banners, you can get emotes, you can get in-game cosmetics. These items do not improve performance in the game. They do not make you play better, but they express identity. They tell other players who you support and what community you belong to. When fans feel disconnected, those purchases become part of how they participate in the culture. They buy that to be a part of the culture. The same way people wear jerseys or collect merch or rep brands in the physical world, they do the same in the digital world. Our digital sales grow because the community expresses its identity through these items. Fans buy these items directly inside the in-game stores on these platforms like PlayStation, Xbox, Battle.net, or Steam.

They, in many cases, are impulse purchases. They are visible to everyone in the game. They are recurring. New items come out every season. People want to represent that they are part of this community in the game to other people. That is why our digital item revenue crossed over CAD 8 million last year. The economics of this are exceptional. These products cost almost nothing to us to deliver. There is no inventory, there is no shipping, no physical cost. That is why the margins are north of 95%, I would say. When a brand has cultural weight, digital items like this become one of the most efficient revenue streams in the business. These digital items are how you express your fandom inside of the game. Phoenix is how you express it outside of the game. Phoenix is our subscription-based loyalty platform.

It's a fan membership platform. What it does is it gives fans access, rewards, early content, behind-the-scenes experiences, and a feeling of belonging to something that they're proud of. You get a physical card like this. We also offer a digital card. The vast majority of our fans pay an extra CAD 15-CAD 20 to get the physical card so that they can put it in their wallet because they want to be physically close to the brand. This is only available in Europe right now. We only launched it a few months ago. It's a very strong start. For us, it creates recurring revenue, direct relationships, first-party data, and stronger sponsor value. Membership is incredibly powerful in fan-driven businesses like this. It transforms the fan or the viewer into an actual participant. A participant into someone that we can connect with as well.

The margins are exceptional, 99%. This is the beginning of a direct fan ecosystem. It's not just an audience. It is something that we're going to scale around the world. When you have the fans, when you have the customers, business becomes easier. The hardest thing about business is finding the people to sell stuff to. As I said, we've already got these people. The next wave of growth sits directly on top of the community we already have. When you look at loyalty, when you look at owned media and merchandise and licensing, the items that I've got on this list, and there are others as well, we can see more than about CAD 20 million of revenue potential with our existing fan base.

In many cases, they are asking for these things, and we just have not been able to put together the capability until now to deliver them. This is incremental revenue at very high margin. We see this CAD 20 million in revenue potential sitting there, low-hanging fruit, with about CAD 10 million in incremental adjusted EBITDA. This is entirely from channels that make sense for the fan base we serve right now. Like I said, what is important is that none of these require new fans. They simply deepen and monetize the relationship with the fans that we already have. This is the compounding effect of a culture-driven brand like we have. All right. We talked about how our community engages, and we talked about how they buy and how they participate and identify with what we have built and so on.

That entire system sits on top of a fan base that is not only large, but it's global. That's where the opportunity becomes even bigger. While our fans are everywhere, content is still limited by language. Most creators speak one language, and most fans consume in one language. That's the bottleneck, and it's a big one. It's the exact problem we're solving with Active Voices. For those that haven't heard, because we've been tooting our horn quite a bit lately, Active Voices is our AI-powered localization. It's a language localization platform. It unlocks something that creators have never had access to before. It allows them to speak to global audiences in their own voice in multiple languages instantly. It's not like a dubbed voice. It's not a synthetic replacement. It's their voice, their tone, their emotional delivery, their storytelling.

It's recreated across up to a dozen languages. That means that a single video can become native content in English, in Spanish, Portuguese, Arabic, Mandarin, French. Yesterday, somebody asked me if we could do this in Somali. I asked our team, "Okay, it's not one of the 12 languages that we're launching. Could we do it in Somali?" The answer was, "Yeah, we can do it in Somali as well." You can do this without new teams, without editors, without cost scaling with the languages that you're offering it in. For us, strategically, it takes OverActive from being purely a team and content business into something much more powerful. It is something we become a participant in the global creator economy. We become a technology provider. It integrates perfectly with what we already have: our fan base, our content ecosystem, our creator network.

It gives us a high-margin, globally scalable business that's built for the next decade and beyond. All right. Here is how the platform works at a very high level. We start by capturing the creator's voice. Just a couple of minutes of audio. Then the system learns their tone, pacing, emotional delivery. It translates the content using models that understand the context, the humor, the intent. It is not just a vocabulary. It is a delivery. From there, Active Voices distributes directly into YouTube, Twitch, TikTok, Instagram, whatever platform that you are using on your end. It distributes directly into the platform. Creators do not need extra software, editors, post-production, and all of that stuff. Because all of this is automated, each new language version costs almost nothing to produce. For creators, it is the first time they can reach a global audience without multiplying their workload.

For us, it's recurring revenue with extremely attractive economics. All right. Now, here's my examples that you're not going to hear. I am going to go through them pretty quickly. What we show here, theoretically, from your perspective, is we show a version in English, taken from our documentary. I am going to go through this really quickly. We go through that video in English. We have an example here where we do it via Active Voices Spanish. It's the same video, but now the creator, with their real voice, their cadence, their emotional identity, is translated into Spanish. It's not a dub. It's not an impersonation. When you see it, you can believe it. We show that to creators, and they respond very strongly to it. Because for the first time, they can speak directly to fans they were shut out from.

These capabilities sit on top of a bunch of strategic advantages that make this platform uniquely valuable. That is Toby speaking in Spanish here. We have another example where we show it in Mandarin, which is also very effective. I will kind of go through it really quickly here because you cannot hear it. Okay. Let us just go back to the differentiators here and speak about why this is the right app, the right product for the right market at the right time. There are a lot of AI tools emerging out there. This is specifically designed, at first, for the creator's base. We have designed it as a product that fits that market in three ways. We understand this space. This is where we come from. We have credibility with these creators in this space because we are so big.

The first part is authenticity. It preserves the creator's personality. That's very important if you're a creator, right? That's why people watch you for your personality. It maintains that. Fans connect with creators because of their identity, the voice, the tone, the emotion. Active Voices keeps all of that authentically intact. Second is scale. Once the model is trained, creators can convert their entire content library into multiple languages at nearly zero marginal cost. That is incredibly powerful for creators with hundreds of thousands of videos. Like, boom, you've got them. Third, particularly for this market, but it should matter for every market, is protection. The voice model belongs to the creator. Their IP is secure, and they control how and where it is used. That is their most valuable asset, is their identity. This preserves that asset with them. They own their identity.

Now, add to that the fact that the platform is API-ready. Large partners like telecoms, media companies, agencies can integrate it directly into their own workflows. That gives Active Voices value far beyond any typical consumer tool. The strategy to scale this is pretty straightforward. It's proven in the creator economy. We understand how this works. We do it all the time. We start with the big creators, the major ones. These are people who already have strong audiences and who immediately benefit from multilingual reach. They give us case studies and visibility and credibility out there. Those are the leaders. The next layer is agencies and creator networks. This is where the scale accelerates quickly because a single partner here can onboard dozens or maybe even hundreds or thousands of creators at once.

Finally, the long tail is like the millions of creators who do not have editors, translation teams, and who desperately want global reach and who simply need an affordable automated tool. Each one of these phases strengthens the next. Each one compounds usage, and each tier grows the margin. You have to do it in that order to build the credibility to dominate it. All right. The scale of the creator economy is pretty big. Creators earned more than $24 billion last year. That is excluding Asia and, in particular, China. That is not every platform. That is just the big range of the platforms that are really the low-hanging fruit in the West. It is $24 billion last year. That number reflects only the audiences that they can currently reach, one language, one market at a time. Active Voices changes that.

It turns every creator into a global creator. When someone adds English or Spanish, Portuguese, Arabic, Mandarin, Hindi, the revenue that follows them is entirely new. New views, new ad dollars, new sponsorship value. None of it exists today. When we talk about capturing 1% of the market, it is not taking share. It is creating it. We are growing the pie, not redistributing it. At that scale, that becomes $240 million that moves through the platform. Then $70 million-$120 million comes to us directly. All of that is revenue that would not exist at all without Active Voices. That is the opportunity: unlocking global audiences, expanding the creator economy, and doing it with a high-margin technology layer that scales with every single creator who signs up. Opportunities like that come down to execution. The question is always, who is building it?

Do they have the team and the partners and the structure to scale it globally? Let me show you the group that's doing exactly that. This is the team executing the strategy. We have leadership across Esports, media, technology, operations, and commercial growth. These are people who understand how to turn global audiences into global businesses. It's a group that knows how to scale, how to partner, and how to operate at the intersection of culture and technology. You can see the same strength in our shareholder base. We've got institutional partners, global telecoms. We've got cultural leaders like Ibai and PK and The Weeknd. It's a rare combination. It's strategic capability and cultural relevance. It gives us reach and credibility in markets most companies can't access. Underneath this leadership group is a corporate structure that is built for long-term execution.

We've got aligned ownership, stable governance, and, frankly, the financial foundation to scale the platform. Here's the snapshot. It's a focused capital structure. As I said, strong shareholder alignment. Got a shareholder base that's invested in the long-term success of the company. It gives us the stability to operate, the flexibility to grow, and the confidence to invest in the areas that matter most: culture, content, and technology. Let me close with this. OverActive began with a global community that cared about what we built. That community created a cultural engine with real scale. That to $30 million in revenue, 29% CAGR on the revenue side, the margins that we have, the business that we have, the reach that we have, the global scale that we have.

Now, with Active Voices, we're adding a technology layer that opens markets and revenue streams most creators have never been able to reach. Esports gave us the foundation. Creators gave us the connection. Technology now gives us the global scale. All right. We have the audience. We have the strategy and the platform to build something really meaningful here over the long term. We're focused on executing exactly that. All right. That's the end of my presentation here. Thank you for joining us. Very much appreciate your time. As I said, reach out directly if you want to get the full clips there with the audio. Babak, why don't I turn it over to you? I think you've got some questions. Let me know if I can stop sharing my... No, I'm going to keep the screen here.

I'm going to keep the screen here. I want to go over the questions.

Babak Pedram
Head of Investor Relations, OverActive Media

No problem. Yeah, thanks, Adam. We have received a few questions by email. The majority of the questions are on Active Voices, but we've got a few questions on the Esports part of our business as well. I'll go through those first. First question asked, what is the construction status of the live arena in Toronto?

Adam Adamou
Co-founder and CEO, OverActive Media

Live arena in Toronto. That is still part of our long-term plan. That is still kind of out there in the ether as it has been for a long time. I don't have anything new to talk about on that. You can be assured that if there's a change in status, we will publicly announce it. We're not going to keep that a secret.

I think, look, that's an opportunity that needs to be. When we go forward, we'll absolutely be accredited to what we are already doing. That's not something that I wake up every day and focus on right now. As you can see, I've got enough on my plate right now. When that happens, we'll add that.

Babak Pedram
Head of Investor Relations, OverActive Media

Very good. The next question asked, with your presence in the League of Legends and the Call of Duty League, how do these franchise assets contribute to your long-term value and differentiate OverActive from all the other Esports organizations out there?

Adam Adamou
Co-founder and CEO, OverActive Media

Okay. There's two points there, right? One is, how do they contribute to our value? I think this is something obvious to a lot of non-endemic, like a lot of sports fans.

When they take a look at the numbers, they see that the value of franchises has just grown exponentially. In the 1980s, early 1990s, you could probably buy an NBA franchise for like $20 million, $30 million. Now it starts at $1 billion if you buy the smallest market team. It goes up to $5 billion-$6 billion for whatever the number is, right? We see WNBA and all these other things that are basically huge valuations on those franchises. We own, in terms of, in particular, let's just focus on League of Legends. Our League of Legends franchise looks at viewers as many of these traditional sports in terms of viewership, in terms of numbers, in terms of fans. It has a younger core, right?

The average age of the viewer of League of Legends is probably at least a decade younger than any other sport out there. We bought our franchise for roughly less than one-third of what you would need to pay to buy that slot today. We have seen an increase in those franchise values already, right? We own them outright. This is not something that I need to pay anybody any more money to own. We have Call of Duty as well on the side over here. When we take a look at the value of our franchise in terms of third-party transactions, we see that in the north of $30 million range.

By that, what I'm saying is that to buy a League of Legends franchise in the LEC, which is our league, just the slot, not the business, not the revenues, not the branding, not the name, not the players, just for the right to play in there, those rights have been selling for between third parties, north of CAD 30 million. We believe this is a franchise asset play. Our fans are going to grow. They're not going to wake up one day and decide they don't want to watch this. You just don't wake up one day and say that you don't want to watch hockey anymore. These are long-term fans, and we think these are long-term values. They're scarce, and they're growing in value.

Now, in terms of what differentiates us from other Esports organizations, look, we have one of the largest fan bases in the world. We can host events that have 10,000 people show up, like you saw in that video clip. That is a key differentiator. What we are seeing is the market differentiating between organizations like us that have huge passionate fans and those that do not. The value and the sponsors and the publishers are moving in the direction of bigger fandom, which is what we offer.

Babak Pedram
Head of Investor Relations, OverActive Media

Perfect. The next question asks, following the integration of KOI and Movistar Riders, what operational improvements or performance milestones should investors expect from your Esports teams over the next 12 to 18 months?

Adam Adamou
Co-founder and CEO, OverActive Media

Okay. We are about halfway. We have a three-year plan for the integration of the acquisitions, right?

The first year is kind of getting to know everybody, right? The second year is starting to put the right pieces into place. The third year is finding the synergies and putting the pieces together in the most optimal way. We're about halfway through that process. We're about a year and a half, maybe a little bit more than that, through the process. We bought these, I think, March of 2024, and we're in November of 2025. What we've seen is kind of just an explosion in reach, in audience, in fandom, in sponsorships. We're one of the few companies of any type, in any industry, in any kind of place where we've seen good solid growth in sponsorship revenue over the last couple of years, I would say. That is because of our expanded reach. I would say things are going very well between the pieces here.

I think we've done a fantastic job. The team has really come together. I think over the next year and a half of our program, we're going to start tightening things up a little bit more. We know what works and what needs to change now. We have the plan to basically make those adjustments. I think you're going to see more creative growth, more profitability, and a simplification of the business model. I think all of those things are coming together. This is one of the easiest consolidations I've ever done. I'm very proud and happy of the team that's really been assembled to put it together with me.

Babak Pedram
Head of Investor Relations, OverActive Media

Thanks, Adam. The next few questions are all focused on Active Voices.

Bring them on.

The first one asks, can you walk us through the long-term vision for Active Voices and how it fits into the OverActive strategy as a digital media company rather than a traditional Esports operator?

Adam Adamou
Co-founder and CEO, OverActive Media

Okay, look, the Esports and the culture and all of the stuff that I've talked about in the first half of my presentation all go together as Active Voices. We wouldn't be as strong in that market if we weren't who we are elsewhere. The technology behind it is interesting and it's fantastic, and I'm very proud of it. It is not a play that relies on the technology itself. It relies on what we are doing beyond that to bring it to market and to execute on that side. What we offer as a credible, trusted source in the creator space is more valuable than the underlying technology.

I really don't ever go into a meeting with somebody that basically says, "Hey, this is a technology thing. Let me compare it with something else." I don't know that anybody knows of anything else that you can compare this to. What they're basically saying is, "We trust you because you know us. And so we want to work with you. Show us how the stuff works so that we can basically figure it out alongside you." Those things go together. If we weren't who we are, I wouldn't be as excited about that product because we are able to open doors that other people can't. That's the key. Let me kind of put that over there. That's kind of our critical advantage in that market. Now, what we see here in terms of Active Voices is exactly what I said in the presentation.

Most creators have their one voice, and they target one audience. If you think of the Kardashev scale of creator content, you have your local market, then you have multiple languages, and then you have global culture. Nearly every creator is stuck in that level one of their local language, local market. What this does is it immediately opens up phase two in the multiple languages. That allows them to basically become culturally relevant in the entire world. That, I believe, is among the most explosive opportunities available out there. Look, language has been solved. We are going to be able to basically move into a world where language does not matter. The audience that some of these influencers, content providers, and everybody else out there that is doing this can reach can expand by a multiple. All of that revenue is accretive.

We're not eating into stuff. We are growing the market. That is why it's so exciting. That is phase one, though. When I was doing the presentation, I talked about phase one, phase two, phase three about our execution strategy. We're going to go straight to phase one. I hope to share announcements with you over there because we're doing a lot of exciting things. Phase two is when you bring the agencies, the influencer agencies, and the other groups out there that basically want to offer this to their creators and influencers as something that they can basically add as a value add. We have interest over there as well. Beyond that, this is an infrastructure play: telecoms, movie, film. If I can take a video game, I was having this discussion.

If you publish a video game, I'm not going to mention any games because I don't want to kind of have people thinking about who I'm talking to and who I'm not. If you think of a video game, a video game is published in a whole bunch of different languages. You publish it in English, then you got to do German, Spanish, Greek, whatever the languages are. Then you got to hire voice actors for all of those things that have to basically read the script and understand the intonation and all of the other stuff. What if you could do that with the one language, put it through the model, and the model could use that same voice, use that same tone, use that same presentation, and now you can do it in not only 12 languages, but 50.

That is the scale of what I'm talking about. That is how we're going to work through the system.

Babak Pedram
Head of Investor Relations, OverActive Media

Thanks, Adam. The next question is, how scalable is Active Voices from a cost structure standpoint? What does gross margin look like at scale? How quickly can it become a meaningful contributor to your digital revenue?

Adam Adamou
Co-founder and CEO, OverActive Media

Yeah, I think, first of all, the key at its ground level, if you are a creator, we want to structure this so that all of the revenue that we provide through our service is incremental to you. I want this model to be you sign up with Active Voices. We log into our API.

The API basically allows you, or we can do it for you if you prefer, to click, click, click, click what you want to do, choose the languages, the markets, and the people that you want to be involved in. We want all of that to be done through our platform so that all of the connections to YouTube or Twitch or Instagram or whatever are done through the platform. That is the way that it works. The revenue comes into the platform and then we share it out with the creator. What the creator sees from their end is a check coming in that he was not getting before. From their perspective, do this and you get more money. It is as simple as that. From our end, that is incredibly accretive.

It doesn't cost me more in any kind of material way to add an incremental language. If I've already got your voice and I've already got it kind of modeled, and then you come back and you say, "Hey, I want to do Swahili," I can do Swahili. There you go. It doesn't cost me anything. That creates revenue and I get a cut of that. It is incredibly scalable. We want it to be done inside of our platform. This is not a technology sale. We're not going out there and selling the technology. We're selling the platform, the ease of use, the growth, the scale, and the voice. It is very high margin. It is recurring. It is done inside of the system. Look, the key component that we're going to adjust is the share.

What share do we get versus what share do you get when we kind of put it together? I think, look, as we start, that share will probably be favorable to us. Over time, that share will probably decrease relative to the growth of the market. Our revenues will always be going up. With scale, we can basically take a slightly smaller amount as we kind of grow the platform. From our perspective, again, huge margins, most of it going to the bottom line.

Very good. Next question asks, how do you plan to leverage your Esports brands and creator partners to fuel adoption of Active Voices?

Look, I do not want to get into that because we have not announced specific details there. We are going to be making announcements with respect to our side of that over the next little while.

I think it's a big opportunity for us, given that we're a multi-language, multi-location organization with fans around the world for us to basically make this accessible to them. You'll hear more on that shortly. That's easy to do. It's just a question of time.

Babak Pedram
Head of Investor Relations, OverActive Media

Sounds good. With your shift towards high-margin digital media and AI-driven products, what should investors expect in terms of margin expansion and recurring revenue over the next 12 to 24 months?

Adam Adamou
Co-founder and CEO, OverActive Media

Yeah. Look, you're going to see both as this grows, right? I mean, you saw how the numbers work over there. It takes some investment upfront, and that investment has been done. The revenues are just basically going to grow over time with low marginal costs on an ongoing basis. I don't see that there's a lot of additional investment that's necessarily required in the technology here.

We're going to be fine-tuning it from where we have, from where we are. I think that investment has been done, I would say. The revenues now are going to come across a fixed investment that's in the past. Those margins are going to be very high. I think it can scale dramatically.

Babak Pedram
Head of Investor Relations, OverActive Media

Perfect. Thanks, Adam. One last question that we've received focuses on the valuation expansion of the company. How do Active Voices and your core franchise assets, the LEC and Call of Duty League, work together to strengthen your valuation and position OverActive as an asset-backed growth company?

Adam Adamou
Co-founder and CEO, OverActive Media

Look, I'm not going to position myself here as an investment analyst. That's not my job. I do think that we have a lot of potential, I think, at the current valuation is the way that I look at it.

Look, I was talking about—and maybe I'm going to go off the cuff over here—if somebody's buying a League of Legends slot for $35 million, and you kind of go back and you take a look at our valuation with everything that I've just talked about, I mean, what can I say? I mean, I think that you have that as a hedge at the bottom end. Everything else is gravy on top of that. Everything else on the Esports business, the fans, the events, the franchises, the sponsors, the revenue, the 100 million fans, all of that stuff is, from my perspective, the way that I look at this, the way that I discuss and describe this to my friends, all of that stuff is gravy on top of that franchise that is worth $35 million for the slot.

You have Active Voices on top of that. You have optionality over optionality over optionality. The market will catch up. I think the market is starting to catch up. I think we have not been telling this story because we have been busy building it. Now I am going to go on top of the rooftops and scream out the story because I think every part that we need is in place now. I just need to let people know.

Babak Pedram
Head of Investor Relations, OverActive Media

Perfect. Thanks, Adam. There are no further questions. I would like to thank everyone for your interest in OverActive Media. If you have any additional questions, please do not hesitate to reach out to us directly. This concludes today's webinar. You may disconnect. Thanks again, everyone, and Adam.

Adam Adamou
Co-founder and CEO, OverActive Media

All right. Thank you, everybody.

Babak Pedram
Head of Investor Relations, OverActive Media

Have a great day.

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