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certain number of transactions. As merchants exceed their minimum, we receive additional revenue per transaction. For shopping, we receive a 
percentage of the total dollars processed in each transaction, as well as a number of basis points for shopping transactions completed on certain 
Web sites. Transaction fees are recognized in the period the transaction occurs.  
  
Licensing Fees 
  
Licensing fees are generated from the access and utilization of our products and application services. License fee revenue is recognized 
ratably over the term of the agreement.  
  
We have agreements with some customers, merchant banks and aggregators and wireless carriers under which they agree to pay us 
licensing fees, which may include guaranteed minimum fees. These arrangements are individually negotiated and have a range of specially 
adapted features involving various compensation structures. These are often based on the range and extent of customization. These agreements 
generally range from one to three years in duration.  
  
For our wireless agreements, the licensing fees may include a minimum number of users or usages by users. In those cases that do not 
have minimums, or when the minimums are exceeded, we receive per subscriber or per message fees that are generated either on a monthly or 
quarterly basis.  
  
Subscription Fees 
  
We receive monthly subscription fees from our merchant hosting services and our payment authorization services. Subscription fee 
agreements generally range from one to three years in duration. Subscription fee revenue is recognized in the period the services are provided.  
  
Advertising 
  
We monetize the users of our Web sites by selling banner, button and text link advertisements based on cost per click, or CPCs, costs per 
thousand impressions, or CPMs, and other CPM based advertising. Our advertising agreements generally have terms of less than six months 
and guarantee a minimum number of impressions. Actual CPMs depend on a variety of factors, including, without limitation, the degree of 
targeting, the duration of the advertising contract and the numbers of impressions purchased, and are often negotiated on a case by case basis. 
Because of these factors, actual CPMs may fluctuate. Revenues from contracts based on the number of impressions displayed or click throughs 
provided are recognized as services are rendered.  
  
In some cases, we share some of the revenues generated from banner advertising with some of our content providers and with customers 
who have co branded Web pages. We generally retain the right to enter into agreements with and sell the advertising to third parties and we are 
responsible for serving the advertisements and billing the advertisers. After deducting a selling fee, we usually share the revenues with the 
content provider or customer once a minimum impression threshold is achieved.  
  
Development and Integration Fees 
  
Development fees are charged for the development of private labeled solutions for customers. Integration fees are charged for the 
integration of our products and application services into these private labeled solutions. Although these fees are generally paid to us at the 
commencement of the agreement, the fees are recognized ratably over the term of the agreement.  
  
Professional Services 
  
During the fourth quarter of 2001, we established a professional services group to offer services that will help us serve the design, 
integration and support needs of our customers.  
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