THE WORLDS FASTEST MOST PRECISE FORECASTS AT A GLANCE Market for - - PowerPoint PPT Presentation

THE WORLD’S FASTEST MOST PRECISE FORECASTS

Ed Keible

Executive Chairman

Cornelius, NC 28031 Ed@tempoquest.com 650 224 0296 www.tempoquest.com Gene Pache

Chief Operating Officer

Omaha, NE 68144 Gene@tempoquest.com 402 578 1722 www.tempoquest.com

• Market for customized forecasts is > $8 billion annually
• More rapid and accurate forecasts can dramatically
• Improve business profitability
• Reduce societal risk; e.g. Juno Debacle in NYC
• TQI’s AceCAST™ software provides these improvements
• 30% of software completed to date
• Management and programming teams in place to complete

remainder

• A low capital, high margin business

AT A GLANCE

PROBLEM

• Current forecasting technology is outdated, slow and

inaccurate (3 hours delay from data collection)

• Slow, inaccurate and imprecise forecasts are a problem for

many industries, e.g. transport and transportation

• Currently, users are unable to rapidly reduce business risks

as weather shifts occur

OUR SOLUTION

TQI is developing proprietary AceCAST™ tools to be run on high performance computers delivering:

• 3X improvement in accuracy
• 10X reduction in data processing time (that which takes

hours today will take minutes)

Precipitation Forecast Current WRF Forecast

TQI AceCAST™ FORECAST PRECISION

AceCAST™ WRF Forecast

20 mins using 100 CPU cores 20 mins using 1 GPU core

MARKET*

Total available market*1 Available user seats*2 Total customer base*3 Rest of World $3 billion 19K 1.9K United States $5 billion 8K 1K

TECHNOLOGY

• AceCAST™ is based on the most used tool, WRF (weather

research and forecasting) software

• AceCAST™ is WRF coded to run on high performance GPU

accelerators, e.g. NVIDIA Tesla™

• AceCAST™ is customizable by market and client seat

MARKETING MODEL

• Targeting high value verticals
• Software as a service
• Annual license fee per seat
• Upgrade fees
• Fee-based hardware usage

INITIAL TARGET CUSTOMERS

Weather Critical Verticals have Hundreds of Seats:

• Transport i.e. UPS, Fed Ex
• Transportation i.e. United, American, Southwest, Delta
• Energy traders i.e. Calpine, Royal Dutch Shell
• Reinsurance i.e. Munich Re, Swiss Re
• Sovereign nations are a longer term target

HIGH OPERATING LEVERAGE

• Minimal staffing & capital expenditures
• Hardware provided by commercial cloud enterprise
• Outsource programming and “help desk”
• Sales by established regional reps
• Target current WRF customer base

Client Customized Forecast Accuracy Enterprise Provider Forecast Speed

COMPARATIVE ANALYSIS

NOAA Panasonic Weather Weather Company Metra Weather AccuWeather

TIMELINE

2014 2015 2016 2017 2018

J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J

Ed Keible, Executive Chairman and CEO

• Raychem (Fortune 300) executive VP; 20 years
• Endwave, start-up CEO & Founder, 15 years, IPO and sale
• Director / Advisor of several other start-ups and IPOs

Gene Pache, Chief Operating Officer

• Five years weather related start-up management, COO, founder, GeoMetWatch

Corp

• Founder of several start-ups; software, internet, weather satellite instruments
• Fortune 500 senior executive; 15 years; ITT Corp, Nashua Corp, Raychem Corp

OUR TEAM Allen Huang, PhD, Chief Technology Officer

• “Distinguished Scientist” at University of Wisconsin, SSEC
• 25 years experience in developing satellite and forecasting software
• World leader in using accelerators in weather forecasting models

Don Berchoff, Metra Weather, Vice President & GM Americas,

• Former Director, Science & Technology, National Weather Service
• COL USAF (Ret.) 25 Years U.S. Air Force Meteorologist

Fred Thompson, Collaborative Communications, Inc, President & CEO,

• Award Winning Advertising and PR Executive
• 30 Years Madison Ave Advertising, PR Experience

Stan Posey, NVIDIA, Inc, HPC Program Manager, Solutions in Earth System Modeling,

• Manager NVIDIA High Performance Computing Strategy for Earth System Modeling

David Crain, PhD, GeoMetWatch Corp, President & CEO

• PhD in Atmospheric Science
• 25 Years Experience in Satellite Meteorology

Dan Pepper Pepper Consulting, President, CEO,

• 25 Years Experience, Software Development, Marketing

ADVISORS

Space Science & Engineering Center, SSEC, University of Wisconsin, Madison

• World’s premier developer of algorithms for satellite meteorology projects.

NVIDIA Corporation, Santa Clara

• Developer of GPU accelerators and CUDA programming language

METRA Weather New Zealand

• Provides businesses weather intelligence

GeoMetWatch Corp, Ft Wayne

• Developer of hyperspectral sounder constellation in geosynchronous orbit

Hyper Sensing, Inc., Madison

• Commercial algorithm developer and consultant to industry

ALLIANCES

FINANCIAL PROJECTIONS

TempoQuest

YR 1 YR 2 YR 3 YR 4 YR 5 YR 6 YR 7 Financial Projections R & D R & D Operations Operations Operations Operations Operations # Customers 1 4 18 33 43 53 # of Seats 10 208 1828 3324 4349 5384 # of EMPLOYEES 2 2 11 20 35 45 55 REVENUE $0 $100K $11.1M $38.8M $69.6M $90.1M $110.9M EXPENSES $2.4M $1.8M $3.3M $8.1M $12.9M $16.9M $20.4M PROFITS

• $2.4M
• $1.7M

$7.7M $30.6M $56.7M $73.2M $90.5M

INVESTMENT REQUIREMENT

• $3 million for product development to beta testing

in 2017

• $2 million for contingencies and revenue

acceleration $5 million in two parts:

EXIT STRATEGY

• IPO or
• Acquired by major weather forecast provider (most likely)