Idealab itself employs about 55 people who provide support to the start-up companies. Employees of
Idealab are compensated by Idealab, hold Idealab stock options, and receive Idealab benefits. Idealab
operating companies are companies that are developed from ideas created by Idealab. They are legally
separate entities managed by independent teams of executives who report to their respective boards of
directors. Employees of Idealab operating companies are compensated by the operating company itself
(not by Idealab), and typically hold stock options in the particular company, and receive that
company's benefits.