Bug Labs - Gadget Development Program

Wireless Innova-on Pla/orm Bug Labs’ Blueprint for 2010 1 Thursday, February 11, 2010

What if... ...wireless hardware development were as easy as application development? Thursday, February 11, 2010

Opportunity ...and apply it to hardware? Gadget Developer Program The fastest path from prototype to market. 1. Prototype 2. Produce 3. Distribute Develop your device using the Quickly move to pilot and full Distribute your new gadget pre-certiﬁed prototyping toolset production using integrated using retail and online stores and the wealth of technical Gadget Development and and quickly reach your resources in the Gadget Deployment Platform. audience quickly and Development Center economically. Thursday, February 11, 2010

Revolution You’d unlock an explosion of innovation in hardware. Thursday, February 11, 2010

Long Tail of Electronics Today's Approach – a few devices for the millions - Cellphones - GPS - Digital Video - Smartphones New Markets – millions of devices for the few - Vertical markets - Personalized, networked devices $171B $171B + Thursday, February 11, 2010

Long Tail of Electronics Telemedicine Disease Management Drug compliance Wellness/Prevention Energy Security Media Telemetry Energy Media Utilities Retail/CPG Logistics Industrial Health Care Home Auto M2M CRM ERP Hundreds more... SCM Thursday, February 11, 2010

Wireless Innovation Platform • Pre-certiﬁed BUG product development system • Network/Cloud services – Bundled air-time, off-the-shelf wholesale packages – API access programs + BUG web apps – Security - authentication, encryption services • Support Services – Billing, reporting, call center • Distribution – Retail, online – Direct, channel 8 Confidential Thursday, February 11, 2010

How It Works Three Phases 1. Prototype 2. Produce 3. Distribute Thursday, February 11, 2010

Prototype • Prototype new device with BUG hardware • Develop apps with integrated BUG SDK • Take advantage of BUG cloud services/apps • Use certiﬁed access to wireless network – Seamless connection - turn it on and youʼre on – Incorporate exclusive network APIs into app • Rapidly iterate, get feedback, iterate again • When itʼs right, proceed to step 2... Thursday, February 11, 2010

Produce 1M+ e ts ark Quantity 100k ssm ma to th pa on 1000s fri cti w- Lo ODM 100s Bug Labs Degree of Integration BUG Semi-custom 3rd Party BUG Prototype BUG Full Custom Limited Deployment Full Custom Quantity Quantity Quantity Quantity 1 - 50 100+ 1k - 10k >100k Est. Cost Est. Cost* Est. Cost* Est. Cost* >$500/unit <$500/unit < $300/unit <$100/unit * Per unit cost, not including Non-Recurring Expenses (NRE) Thursday, February 11, 2010

Distribute • Distribute online via BUG Gadget Store • Distribute via Bug Labs Partnersʼ – Retail outlets – Online stores • Take advantage of Bug Labs Partnersʼ – Support services • Billing and reporting • Call center • Security - authentication, encryption Thursday, February 11, 2010

Beneﬁts • Fastest, most economical way to develop and bring to market new wireless devices • Open source IP decreases transaction costs • Certiﬁed hardware and pre-negotiated air time plans removes administrative hurdles • Enables the Long Tail of Electronics! 13 Confidential Thursday, February 11, 2010

Thank You! 14 Confidential Thursday, February 11, 2010

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Bug Labs - Gadget Development Program

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