Charting the Future, Connecting the Globe

CTG keeps you in touch with the emerging trends, the leading innovation companies, and the key players in sustainable innovation around the world.

#cleantechSF

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Total $ Amount Total Deal Volume*Excludes outlier deals above $350M Powered by data from i3

> $88bn invested across > 11,000 venture & growth capital deals, 2002-16

15 years of the “Cleantech” Innovation Theme

#cleantechSF

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Total $ Amount Total Deal Volume*Excludes outlier deals above $350M Powered by data from i3

15 years of the “Cleantech” Innovation Theme

Cleantech encompasses knowledge-based technology products/services that: Provide superior performance at lower costs Greatly reduce or eliminate negative ecological impact Improve the productive and responsible use of natural resources

Doing more with less

Thank you

Where are we today? Taking Stock of the Journey

#cleantechSF 05

Healthy portfolio diversification has taken place

…to 4 x $1 billion dollar sectors in 2016

Source: Quarterly Investment Monitor Jan 2009 Source: Quarterly Investment Monitor Jan 2017

From solar domination in 2008…

#cleantechSF

The Rise of the Platform Company The Spread of “As a Service” – MAAS, DAAS, WIAAS

A very different set of company types has emerged

Source: Towards a Distributed, Digital and Flexible Energy System, 2017 Global Cleantech 100 Report

#cleantechSF

Change is marked, in the most active innovation funders

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#cleantechSF

There was a marked step up in Asian investors in North American companies

Our East meets West theme played out strongly in 2016

Source: Quarterly Investment Monitor Jan 2017

#cleantechSF

Our East meets West theme played out strongly in 2016

The same pattern plays out in the 2017 Global Cleantech 100

#cleantechSF

The Intersection of Industry and Digital widens the pool

Source: CTG Insights, November 2016

#cleantechSF

Thank you

Where are we today?

The Ecosystem is in good health

#cleantechSF 012

West Coast

East Coast

Global Prizes

International Business Plan Competitions

Innovation Support is Everywhere for the 2017 startup

#cleantechSF

Danny Kennedy

Managing Director California Clean Energy Fund

#cleantechSF

#cleantechSF

Acquirer Target Deal Size

Strategic M&A activity seems to be on the rise

$5bn

$752m

$2.4bn

$1.8bn

$4.3bn

The number of companies in our Cleantech Index®

(CTIUS) has reduced 2007-16 from a high ~80 to today’s

53, in part due to rising M&A activity:

- 20 CTIUS companies were acquired 2007-12

- 26 CTIUS companies were acquired 2013-16

Select 2016 Acquisitions of CTIUS companies

#cleantechSF

Fundraising 2016 has been a better year for funds’ fundraising

$100m

$200m

$200m (first close)

$125m (second close)

$135m $100m

€50m (first close)

Jan 2016 Dec 2016

(“opens” new industrial innovation fund – 3 LPs to date)

#cleantechSF

2016: an extraordinary year for billion $ announcements

A$1bn Clean Energy Innovation Fund

$3bn US China Green Fund

$1bn (over 10 years) OGCI Climate Investments

$1bn (over 20 years) Breakthrough Energy Ventures

2016

#cleantechSF

Thank you

Where from here?

Signals of the Future: a few macro thoughts

#cleantechSF

Solar’s march towards cost-competitiveness is all predicated

on falling costs

Affordability is Everything

PV modules - 138x

cheaper since 1976

6x cheaper since

2008

LED’s market volumes beat forecasts every year,

because of the plummeting cost

15x cheaper

than in 2008

With an EV Li-Ion battery pack 70% cheaper than in 2010 and China promoting hard, especially with buses, EV’s

look set to be a story of the next 15

Proterra’s Catalyst e2 bus

#cleantechSF

In the past 10 years…

Processing costs have declined by 60x

The cost of bandwidth have declined by 40x

Sensor costs have dropped from $1.30 to $0.60.

Affordability Drives the Internet of Everything

#cleantechSF

Three to Watch in the next 15

Disruptive Forces will expand to more industries yet

#cleantechSF

Three to Watch in the next 15

Disruptive Forces will expand to more industries yet

1. Mining companies respond to pressure to innovate

The market capitalisation of

the Top 40 mining companies

dropped 37% in 2015, a drop

disproportionately greater

than that in mining

commodities prices (PwC

2016)

#cleantechSF

Three to Watch in the next 15

Disruptive Forces will expand to more industries yet

1. Mining companies respond to pressure to innovate

2. Next Generation Transportation Technologies

Permeate Shipping in the Drive for Efficiency

The market capitalisation of

the Top 40 mining companies

dropped 37% in 2015, a drop

disproportionately greater

than that in mining

commodities prices (PwC

2016)

#cleantechSF

Three to Watch in the next 15

Disruptive Forces will expand to more industries yet

1. Mining companies respond to pressure to innovate

Only 27% of CEOs across the chemicals sector agreed

that 3D printing was “strategically important” to their

organizations (PwC 2015)

3. De-centralization, Localization and Personalization visits the Chemicals World Supply Chains Re-Invented by bio-chemicals and 3D Printing

2. Next Generation Transportation Technologies Permeate Shipping in the Drive for Efficiency

The market capitalisation of

the Top 40 mining companies

dropped 37% in 2015, a drop

disproportionately greater

than that in mining

commodities prices (PwC

2016)

#cleantechSF

With 3 billion more on-line by 2020, 1 billion more on the planet by 2030, a flow of “Reverse Innovations” is likely to strengthen

Innovation Will Continue to Globalize

#cleantechSF

Jules Besnainou

Director of Product Development Cleantech Group (CTG)

#cleantechSF 027

What new technologies will have an impact on energy, industry and agriculture in the next 10 years? Where

are they today? What are early applications in our world of energy and data?

At the Cutting Edge

#cleantechSF 028

What new technologies will have an impact on energy, industry and agriculture in the next 10 years? Where

are they today? What are early applications in our world of energy and data?

At the Cutting Edge

#cleantechSF 029

What new technologies will have an impact on energy, industry and agriculture in the next 10 years? Where

are they today? What are early applications in our world of energy and data?

At the Cutting Edge

#cleantechSF 030

What new technologies will have an impact on energy, industry and agriculture in the next 10 years? Where

are they today? What are early applications in our world of energy and data?

At the Cutting Edge

#cleantechSF 031

Prof. Whitesides

Harvard

Anna Gilles

ENS Lyon

Sravan Puttagunta

Civil Maps

Ana Trbovich

Grid Singularity

Hicham Oudghiri

Enigma

What new technologies will have an impact on energy, industry and agriculture in the next 10 years? Where

are they today? What are early applications in our world of energy and data?

At the Cutting Edge

#cleantechSF

#cleantechSF

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#cleantechSF

#cleantechSF

Thank you

Can technology trump all before it?

Keeping it Real

#cleantechSF

Digital Innovation alone doesn’t get us to zero carbon by 2050

Not Everything Moves at the Same Pace

Water innovation is lagging its energy “cousin”

#cleantechSF

How fast will technologies be adopted?

Incumbents Do Not Innovate Fast

Will the “finance to scale” be available?

#cleantechSF

What impact will the new US Administration have, on what and whom, and when?

3:15pm – 5:00pm | Cyril Magnin Ballroom Policies and Politics, Probabilities and Possibilities: What issues should we pay attention to, what can we change?

Nicole Lederer

Tom Rand Dr. Barbara Buchner,

Mark Bauhaus

Mike Mielke

Michael Terrell

Jon Powers

#cleantechSF

2002 2017 2032

Digitized, distributed energy becomes the standard, challenging the utility business model

Utilities make money by regulating traffic, providing operating and emergency services

Rooftop solar panels out of fashion in NA + EU

Replaced by solar tiles + omnipresent storage

Screens, smart glasses, handheld devices, buttons progressively disappear

Tech becomes invisible (e.g. smart lenses), online and offline converge. Revolutionizes manufacturing, logistics, maintenance.

Industry fully digitized and automated, AI + robotics

Some major cyber-attacks along the way

CRISPR has taken over genetics, engineering most of what we eat for durability and nutrition

It is increasingly hard to define what “natural produce” is

Most cars and buses are fully autonomous, bringing cost of transportation and pollution down

The average miles driven/person has increased as cars park outside of cities while waiting for owners

2017 is a year on a multi-decade journey

Thank you for you kind attention

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CTG at a Glance