WEATHER FORECASTING ON STEROIDS
Ed Keible
Executive Chairman
Cornelius, NC 28031
650 224 0296
www.tempoquest.com
Gene PacheChief Operating Officer
Omaha, NE 68144
402 578 1722
www.tempoquest.com
• Market for customized forecasts is > $8 billion annually• More rapid and accurate forecasts can dramatically
o Improve business profitability o 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
• Inaccurate and imprecise forecasts are a problem for many industries, e.g. transport and transportation
• Current technology is outdated, slow and inaccurate• Consequently, unable to reduce business risks as weather shifts
occur
PROBLEM
OUR SOLUTION
TQI is developing proprietary AceCAST™ tools to be run on high performance computers delivering:• 3X improvement in accuracy• 10X reduction in processing time
Precipitation Forecast
Current WRF Forecast
TQI AceCAST™ FORECAST PRECISION
AceCAST™ WRF Forecast
20 mins using 100 CPU cores 20 mins using 1 GPU core
Rest of World
$3 billion
19K
1.9K
United States
$5 billion
8K
1K
Total available market*1
Available user seats*2
Total customer base*3
MARKET*
• 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
TECHNOLOGY
MARKETING MODEL
• Targeting high value verticals• Software as a service• Annual license fee per seat• Upgrade fees• Fee-based hardware usage
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
INITIAL TARGET CUSTOMERS
• 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
HIGH OPERATING LEVERAGE
ClientCustomized
ForecastAccuracy
EnterpriseProvider
ForecastSpeed
COMPARATIVE ANALYSIS
NOAA
Panasonic Weather
Weather Company
Metra Weather
AccuWeather
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
TIMELINE
Ed Keible, Executive Chairman and CEO• Fortune 300 senior executive; 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 seven start-ups; software, internet, weather satellite instruments• Fortune 500 senior executive; 10 years
OUR TEAM
Allen Huang, PhD, Chief Technology Officer• “Distinguished Scientist” at University of Wisconsin, SSEC• 25 years experience in developing satellite and forecasting software
Don Berchoff Vice President & GM Americas, Metra Weather, New Zealand• Former Director, Science & Technology, National Weather Service• COL USAF (Ret.) 25 Years U.S. Air Force Meteorologist
Fred Thompson President & CEO, Collaborative Communications, Inc.• Award Winning Advertising and PR Executive• 30 Years Madison Ave Advertising, PR Experience
Stan Posey HPC Program Manager, Solutions in Earth System Modeling, NVIDIA, Inc• Manager NVIDIA High Performance Computing Strategy for Earth System Modeling
David Crain, PhD President & CEO, GeoMetWatch Corp• PhD in Atmospheric Science• 25 Years Experience in Satellite Meteorology
Dan Pepper President, CEO, Pepper Consulting• 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 0 1 4 18 33 43 53
# of Seats 0 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
Mmm$10mill
• $5 million for product development to beta testing in 2017
• $5 million for subsequent revenue acceleration
$10 million in two $5 million tranches:
EXIT STRATEGY
• IPO or• Acquired by major weather forecast provider (most likely)
