PALANTIRI SYSTEMS NYSERDA BIA Presentation 2010. The Current Situation: Fragmented Communities of People, Assets and Information © 2010 Palantiri Systems,

PALANTIRI SYSTEMS

NYSERDA BIA Presentation2010

The Current Situation:Fragmented Communities of People, Assets and Information

© 2010 Palantiri Systems, Inc. All rights reserved.2

OwnerOperator

Utility

Mainten-ance

Provider

Remanu-facturing /

Spares

Equipment OEM

Significant FinancialConsequencesOf Downtime

SupplyChain

The Complication:Widely Dispersed Small Chunks of Data With No Big Picture


OwnerOperator

Utility

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Remanu-facturing /

Spares

Equipment OEM

Maps

Status /Diagnostics

Mainten-ance

History

Spares

Weather

SupplyChain

Inability to provide coordinated response.

Loss of time /rev/ logistics.

Documents &

Discussions

Status /Diagnostics

The Question: How do we bring together a fragmented community to provide a coordinated response?


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Equipment OEM

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History

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Weather

Heavy IT infrastructure is a non-starter for the

constituents

SupplyChain

Documents &

Discussions

The Solution:Context Driven Collaboration Through Community Interaction


OwnerOperator

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Remanu-facturing /

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Equipment OEM

SupplyChain

Lightweight, loosely coupled IT

infrastructure

Dynamic, real-time community with both people and

devices

Maps

Status /Diagnostics

Mainten-ance

History

Spares Weather

Community

Documents &

Discussions

Easy integration of new participants and data sources

Scalable, cloud based, SaaS

solution

The Palantiri Systems Platform

A real-time, context driven collaboration community with both people and devices as members.


People Devices

Enterprise ApplicationsEnterprise 2.0 Collaboration Meets the Internet of

Things

Value Proposition: Community + Connectivity + Context


Source - 2009 Aberdeen Study and Palantiri customer data

• Better logistics/coordination• Example: Coordinate $250,000 crane rental for optimum usage.• Example: Current lead time for gearbox repair is 14 weeks @ 2500/day

• Ecosystem engagement through community interaction– 93% improvement in their ability to capture customer insight that drove a

new product or service development– 82% improvement in identifying and reducing brand risk– 63% customer service cost reduction through community alone

• Significant cost reductions with community + connectivity– Anywhere from 50% to 95% problems solved without a site visit– MTTR down from 10+ hrs to < 2 hrs

• Scalable value added services revenue – Better identification of experts and dissemination of tribal knowledge– All-in service contracts up to 74% (from 10).

Market Size

• Focus on Renewables & Intermediate Storage– Solar: Over 1 million inverters deployed by

2010– Wind: 25,000 turbines deployed with 30%

CAGR• Similar value proposition in other areas

– Hot backup, hydro/tidal, smart grid


“The market for developing and servicing device networking and

monitoring solutions remains relatively open and fragmented …

There are millions of devices presently available for networking representing billions of dollars in

potential revenue.”- Harbor Research 2010

Business & Funding Status

• Product developed & launched – $400K run rate for 2010.– Completely bootstrapped with no external funding and debt free.– Currently seven customers using our SaaS Platform.

• Well defined revenue model

• Patented technology: Both issued and pending.• Preliminary work with several Clean Tech startups.

– Infinirel (Solar), Winddrives (Wind), Tenrehte (Smart Grid)


Large Enterprises Medium Small BusinessSet Up Fee $5,000 $5,000 $5,000

Monthly Hosting Fee per Instance $15,000 $5000 $500

Max Users per Instance Unlimited 1000 50

First Year Professional Services $100,000 $25,000 $15,000

Follow On Yearly PS $75,000 $20,000 $10,000Add-ons (Apps, signalers, etc) /month $1,000 $500 $500

Average Number of add-ons 5 4 3

Annual Revenue per Customer $300,000 $100,000 $25,000

Our Competition & Sustainable Advantage


Microsoft SharePoint

IBM Lotus Conn.Cisco Enterprise Collaboration,

Salesforce Chatter

HomegrownAxeda Systems

NextNineNumerexPo

rtal

s &

Com

mun

ity S

uite

s

Device Connectivity

• Key differentiators with our real-time enterprise and device integration.

• First to market with a core technology approach rapidly being validated in tangential segments by the likes of IBM, Google, Cisco, and Facebook.– XMPP is the heart of the emerging

“real-time Internet”.

• A strong channel with vendors in both the embedded controls and application software space.

• A unique approach with key technology patent issued.– Other potential patents identified and awaiting funding.

Financials


Year1 Year2 Year3 Year4 Year5 Year6$0

$5,000,000

$10,000,000

$15,000,000

$20,000,000

$25,000,000

Revenue EBIT

RevenueYear1 Year2 Year3 Year4 Year5 Year6

Total Revenue $534,000 $1,864,000 $4,080,000 $8,370,000 $14,550,000 $21,095,000

Revenue Growth 0% 249% 119% 105% 74% 45%

Total Expenses $351,602 $1,108,600 $2,170,012 $3,455,124 $4,350,660 $4,847,996

EBIT ($62,602) ($129,600) $109,988 $2,094,876 $6,599,340 $12,167,004

Funding Requirements & Use of Funds

• Palantiri Systems is seeking $1M in funding.– Goal is to hone focus on clean energy ecosystems.– Add market expertise and strong Marketing push.– Develop specific applications for each buying persona.

• Use of funds– Vertical specific sales/marketing – 75%– Build out operations support staff – 20%– Additional patent/IP protection – 5%
