Anurag Bist-Lunch & Learn Presentation June 24, 2016

Anurag Bist, Ph.D [email protected]

Investor Presentation Confidential and Proprietary © 2016 Monet Networks, Inc. All rights reserved

UCI Cove Presentation: Product Development & IP June 24, 2016

About me

Anurag Bist, Ph.D. •  Founder/CEO Monet Networks

•  Co-founder VxTel Successful exit of $550 Mil.

•  Co-founder/CEO Moxair

•  20+ issued patents

•  AT&T Bell Labs, Intel, Rockwell

Opportunity How can you map Market Opportunity to a problem you can solve?

*Kyle Nel; Lowe’s Innovation Labs

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problem

Confidential and Proprietary © 2016 Monet Networks, Inc. All rights reserved

What problem are you solving and for whom?

Quantify How can you

quantify the pain point?

Define

Innovate

Articulate the solution

Find innovative methods

for solution

How do you build Product Roadmap?

•  Map identified and validated customer pain points into a number of steps that solve those pain points

•  Define minimal prototype that helps you validate the solution (MVP) •  Find “early adopters” •  Iterate based on feedback •  Meet all stakeholders

–  Listen to Nay sayers more carefully!

•  Redefine product features, re-design, re-launch, get new feedback

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Executing on Product Roadmap

•  Product Requirement Spec •  Validation from customers/partners •  Feature Set Definition

–  Tools – JIRA, GitHub, InVision, Slack, Skype –  Measurement and Metrics

•  Execution and Tracking –  BaseCamp, JIRA –  CRM – Hubspot, Zoho, Salesforce

•  Beta launch and iteration

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Short Term Roadmap

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Brand Platform 1.0

Feature Additions; Beta customers

Mass product roll out, Mobile; Sales & Marketing

Monet Content Engagement Platform

Content Engagement Pilot; Backend Scaling; Adding Content Owners and Publishers

Core Monet Analytics

Q1

Q2 Q3 Q4 Q5

Content Engagement Platform Core Analytics and Generic API Dev Brands Rating Platform

PRODUCT ROADMAP

[Anurag to review / build]

Pha

se 1

2015 Complete Dates

•  Beta-version Brand/Agency App (Web)

•  Initial Brand/Agency Pilots with limited user release

•  Alpha iOS User App

Pha

se 2

P

hase

3

•  iOS and Android Beta-User App•  Multiple Brands and Enhanced

Rewards Redemption

•  Enhanced Analytics and Dashboards •  Indexing and Search Features•  Initial API framework

Nov

XXX

XXX

XXX

XXX

XXX

DecOctSeptAugJulyJuneMayApril

Activities

MarFebJan

Specifying what to build

• How do you map your idea to solve the problem being addressed? • Customer feedback

• Resource planning

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Organizing Resources

• Assemble team to address all parts of product – Example – Algorithms, Architect,

H/W expert, S/W developers, Product Manager, Marketing/Sales – Usability Testing, Design, U/I – Alpha customers/testers

• Hardware and Software Resources • Potential External Dependencies

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Strategies to Estimate time and costs

• Ballpark estimates • Excel spreadsheet planning

•  Iterate with all stakeholders

• Plan with 20% overhead

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How do you track success?

• Tracking implementation of Product Features as planned • Customer demos and feedback

• Metrics! •  Initial launch/trial and on-going metrics tracking

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Milestone Tracking

• All members accountable for their deliverables • Culture of accountability

• Learning from missteps

• Continuous tracking

– Milestones that impact overall company/product progress

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“Crossing the Chasm”

“Crossing the Chasm: Marketing and Selling Disruptive Products to Mainstream Customers” – Geoffrey A. Moore

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How do you Cross the Chasm? • Don’t get lost in initial success with early adopters • Learn from Feedback from the Early Adopter visionaries • Choose a Target Market Segment – beachhead approach •  ITERATE

Work diligently to satisfy Early Majority Pragmatist Understand and go for the whole product

• Positioning your product • Build a Marketing Strategy • Choosing the most appropriate distribution channel and pricing

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•  Acquisition of users •  Engagement and Retention of User •  Tracking Behavior of User in Relation to your App

–  Event Based Monitoring –  Demography, Geography and Behavior Based Monitoring –  Defining Key Metrics for Engagement

•  DAU (Daily Active Users), MAU (Monthly Active Users) •  Cost Per Acquisition; Cost Per Campaign

•  Fine tuning Monetization and linking Product Features to metrics –  App Value = Number of Users x Life Time Value (LTV) –  Ad Monetization: CTR (Click Through Rate), CPM (Cost per thousand impressions) –  Value Defined By

–  Actual Monetization –  Loyalty of Consumers –  Virality –  Marketplace (Downloads, Ratings, Comments) –  Social Feedback

Example: Mobile App

User Acquisition

Engagement and

Retention

Measurement and

Improvement

Monetization

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•  Instagram - “Instant “Fotogram”” - Fast and Cool photo sharing experience –  Pivot Multiple Times to focus on creating a great user experience, gain virailty. –  Launched as Brbn (Square like Photo sharing App), Launched as Instagram in Oct. 2010

–  1 mil. User by Dec. 2010 –  Acquired by Facebook in mid-2012 for 1 Billion dollars. 13 Employees, 9 investors!

Ø Monetization when started? None? Focus on User Experience, Gain Eyeballs •  Monetization Today: Actual Use by Brands – Gillete Tag the Weather

App Monetization Success Story

www.esraogucu.com

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Common Mistakes?

• Team lacking right domain expertise required for a critical task • Aggressive planning resulting in inadequate resources

• Going too deep into features without customer/market validation

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Intellectual Property for Startups

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Intellectual Property: Creations/Products of Human intellect or mind. Words, Phrases, or

Symbols Inventions and

Discoveries

Industrial Designs

Intellectual Property

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Musical, Literary, or

Artistic Works

AshmarIP; Founders Institute Mentor Talk; Jan 2015

Recent Large Patent Transactions

Apple wins over jury in Samsung patent dispute, awarded $598.9 million in

damages.

BlackBerry maker Research in Motion paid $612.5 million to

patent holding company NTP to settle a long-running dispute that had threatened to shut down the popular wireless e-mail service

for its 3 million users.

21 AshmarIP; Founders Institute Mentor Talk; Jan 2015

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NY Times Example (Source: LexMachina)


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Complicated Process- NY Times Example


Recent Large Trademark Transactions

Apple has agreed to pay $60 million (£38 million) to Chinese firm Proview to

settle a dispute involving rights to the "iPad" name.

Proview claimed that it owned the rights to the iPad name in the Chinese market

after registering it in 2000.

Payless started marketing the shoes with 4, 5 stripes resembling Adidas. Similarly 267 designs were copied.

Payless Shoesource Inc. to pay

Adidas America Inc. $15 million for infringing on its trademark and shoe

styles.

Adidas Payless


Recent Large Copyright Transactions

Media Rights violated copyright by illegally selling the music of the

Beatles.

Website to pay $950,000 for Beatles piracy.

Employees of SAP's TomorrowNow subsidiary accessed Oracle's

computers without permission and made thousands of unauthorized copies

of Oracle's software to serve TomorrowNow's customers. A fine of

$20 million was imposed on SAP.


Legally recognized exclusive rights granted for creations of the mind/intangible assets.

Intellectual Property Rights

Copyright

Patent

Industrial Design

Trademark

Trade Secret

Geographical Indication

New Plant Variety

Layout Designs

Forms of IP

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Intellectual Property and it’s flavors


IP Protection Type Definition Essentials Duration

Patent Limited duration property right relating to an invention

Novelty, Non-Obvious, and Industrial application

20 years from application filing date

Design Patent Legal protection granted to the ornamental design of a functional item

New, Original, Non-Obvious, Ornamental and article of manufacture

15 years from issuance

Copyright Legal protection for works of authorship, such as writings, music, and works of art that have been tangibly expressed

Fixation, Originality, and Minimal creativity

Life of the author plus an additional 70 years

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IP Flavors


IP Protection Type Definition Essentials Duration

Trade Secret Manufacturing, industrial, or commercial secrets that provides an enterprise with a competitive edge

Maintaining confidentiality As long its doesn't come into public domain

Trademark A word, phrase, symbol, and/or design that identifies and distinguishes the source of the goods of one party from those of others

Distinct symbol, word, phrase, or design

No set duration: Rights expire when owner stops using the mark in commerce.

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IP Flavors


Blood Sugar Machine

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Single Product – Multiple IP Protections

Patent Protection Machine Attributes:

• One touch cost effective measurement

• Distinctive, Smart Shape

• The mark XYZ

• The sugar level determination procedure

• Marketing Brochure

Trademark

Trade Secret

Design Patent

Copyright


Utility Patent

Why IP and Patents lack attention in Start ups?

Too busy fighting fires?

Lack of bandwidth of key resources?

Too Expensive? Can’t afford?

Don’t care. Long gone before patents are granted!

The Idea!

Assembling the Team

Product/ Market/

Customer Due

Diligence

First Product

Prototype Definition, Scoping of Resources

Investor and Partner

Collateral Preparation

Start up Priorities

Start-up Priorities and IP Strategy


•  Global Economy •  Success of any Business Vital Role

•  Obtaining IP protection for products/services that block competitors •  Increasing IP Protections worldwide

Protects Corporate Assets: Price and

Market Share

•  Mapping Competitive Landscape •  Defensive IP Protection Filings •  Effective IP Litigation •  Implementing Strategies to avoid Infringement

Insurance Against Legal Action

•  In and Out Licensing •  Cross Licensing

Chips for Strategic Alliance

•  Immediate effect on bottom line •  Fund R&D to improve products, Increase IP Identify and Monetize

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Importance of IP for Start-ups


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Thank you!

Education

Anurag Bist-Lunch & Learn Presentation June 24, 2016