2. Confidentiality & Non-Disclosure
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Disclosures
2
3. Problem
3
Machines
do Breakdown
OVER $50 B IN LOSSES EACH YEAR IN U.S.
Machines
are Everywhere
ROTATING MACHINERY IS IN ALL FACTORIES
Machine Maintenance
Current Maintenance
Methods are Inadequate
TOO EXPENSIVE, COMPLICATED, IMPRACTICAL
FANS/BLOWERS COMPRESSORS MOTORS PUMPS GEARBOXES
¤ Used in production globally
¤ Pervasive in all industries
¤ Many machines are aging
¤ ↓Production quality
¤ ↓Operating efficiency
¤ ↑Maintenance costs
¤ ↑Spare parts inventory
¤ On-premises, route-based
¤ Require expensive equipment
¤ Require analysis software
¤ Require specialized training
¤ Data is collected manually
¤ Monitoring is intermittent
¤ Hardware/software upkeep
¤ IT systems integration issues
4. Nexscient
TM
Machine Health Monitoring
Wireless
IIOT Sensors
Leveraging Industrial IoT,
wireless sensors nodes mount
on existing machinery and
seamlessly transmit data to
Nexscient™ Cloud for analysis.
DATA COLLECTION
Machine Learning/AI
Machine learning/AI analytics and
a powerful rule-based expert-
system analyze collected data to
deliver accurate and timely
actionable insights so potential
problems can be addressed
before they occur.
AI ANALYTICS
Cloud Computing
Nexscient™ Cloud facilitates a powerful
subscription-based monitoring service
for continuous visibility into machine
health and operating performance.
INFRASTRUCTURE
Our Solution
4
Nexscient™ brings together Industrial
Internet of Things (IIoT), machine
learning/artificial intelligence (AI) and
Cloud computing technologies to offer
a low-cost, high performance, remote
monitoring solution for predictive
maintenance applications.
5. Wireless IIOT Sensors
A key component of Nexscient is the wireless sensors
nodes, called Nexscient Nodes. These autonomous
data collection beacons simply mount on existing
machinery, regardless of age or type, connect to our
Cloud-based monitoring service, and wirelessly
transmit collected data for analysis and diagnosis.
AI Analytics
Our platform incorporates a combination of rule-
based logic and machine learning/AI to achieve a
short- and long-term view of the machine’s health.
We use AI algorithms, such as anomaly detection
and regression analysis to conduct root cause
assessments and estimate remaining useful life.
Underlying Magic
5
Continuous Remote Monitoring
RULE-BASED LOGIC MACHINE LEARNING
NexscientTM
Platform
ACOUSTIC VIBRATION TEMPERATURE
Nexscient NodesTM
6. 01
02
03
Monthly Subscription Service
A simple, cost-effective solution for continuous monitoring.
No Equipment to Purchase
Nexscient Nodes™ are included at no additional charge.
No Integration Required
Externally mounted – no integration hassle or expense.
Monitoring as a Service
Features
6
NexscientTM is uniquely differentiated
through the combination of its proprietary
Nexscient Nodes, AI analytics, and
streamlined monthly subscription service.
Unlike most other predictive maintenance
solutions on the market today, we take a
unique approach by offering a subscription-
based, continuous remote monitoring
solution that is (i) autonomous and machine
agnostic, (ii) without the need to purchase
test equipment, (iii) no requirement for
integration with other IT or control data
systems, (iv) easy to install and easy to use,
(v) without any specialized training.
Why NexscientTM
is different
from other products…
04
Quick and Easy Installation
Virtually Plug ‘n Play – fraction of the time to install.
7. Benefits
7
Nexscient
TM
System
Nexscient’s predictive maintenance solution
is capable of preventing asset failure by
analyzing production equipment data to
identify patterns and predict issues before
they happen.
NexscientTM can help drastically improve
machinery availability by as much as 75%
and reduce maintenance costs by up to
30%. According to a report from McKinsey
Global Institute on the Internet of Things,
predictive maintenance can lead to
a savings of anywhere from $200 billion to
$600 billion for manufacturers by 2025.*
Maintenance Cost
↓30%
REDUCTION
REDUCES LABOR AND PARTS EXPENSE
Machine Availability
↑75%
INCREASE
IMPROVES PRODUCTION THROUGHPUT
Unexpected Failures
↓55%
DECREASE
REDUCES COLLATERAL DAMAGE
Production Quality
↑20%
IMPROVEMENT
IMPROVES PRODUCT QUALITY & YIELD
*McKinsey Global Institute. "Unlocking the Potential of the Internet of Things." James Manyika, Michael Chui, Peter Bisson, Jonathan Woetzel, Richard Dobbs, Jacques Bughin, and Dan Aharon. June 2015.
9. Edge Processing
Edge processing is applied on collected data to
optimize bandwidth, reduce latency and lessen
the processing burden on core infrastructure.
Secure communication via WiFi 802.11 b/g/n is
achieved with TLS 1.2 over TCP connection
supported by AES-256, WPA, WPA2 encryption.
Secure Connectivity
Each wireless node utilizes three high
performance sensors for collecting machine data:
acoustic, vibration and temperature.
High Performance Sensors
Nexscient NodesTM
NEXSCIENTTM MACHINE HEALTH MONITORING
9
10. Web & Mobile Apps
NEXSCIENTTM MACHINE HEALTH MONITORING
10
Interactive Dashboard
Presents an overview of the monitored machines in the
facility along with their respective real-time status.
Shows facility health trend and other key metrics
Graphically presents machines in alert state, by sensor
Displays maintenance status and tracks pending issues
Activity journal logs all issues with detailed descriptions
Smart Alerts & Work Orders
Automatic alerts are issued to designated personnel
describing the impending failure condition.
Smart maintenance order recommendations are
generated with easy-to-follow instructions for guided
inspections and/or corrective maintenance procedures.
11. The Opportunity
Addressable Market
The global predictive maintenance market
is expected to grow from $11.20 billion in
2022 to $19.96 billion by 2026, at a
Compound Annual Growth Rate (CAGR) of
15.5% during the forecast period,
according to a market research report
published by IoT Analytics Research.
GLOBAL PREDICTIVE MAINTENANCE
~$20 BILLION
Market Size
11
Highly Fragmented
Nascent & Growing
Spans Globally
$6.50
$8.20
$11.20
$13.30
$15.98
$17.32
$19.96
$-
$5.00
$10.00
$15.00
$20.00
$25.00
2020 2021 2022 2023E 2024E 2025E 2026E
US$
in
Billions
12. Subscription Service
Business Model
12
Free Installation Support
Technical assistance is provided at no charge for
the initial configuration and installation.
Unlimited User Accounts
Each subscription includes an unlimited number of
seats per location for team member access.
24/7 Live Monitoring
Continuous data streams to our secure Cloud-
based service to provide 24/7 live monitoring.
Nexscient Nodes Included
Depending on the plan, each subscription includes
a number of Nodes at no additional charge.
$750 PER MO. | 100 NEXSCIENT NODES
Bronze Starter
$2,700 PER MO. | 450 NEXSCIENT NODES
Silver Professional
$4,800 PER MO. | 900 NEXSCIENT NODES
Gold Enterprise
Monthly Subscription Plans
NexscientTM
is a monthly subscription service. Offer 90-
day risk-free trial – includes 6 Nexscient Nodes.*
*90-day risk-free trial requires a $500 deposit, refunded upon return of equipment. Subscription plans require 3-year contractual commitment.
EXAMPLE - FOR DEMONSTRATION PURPOSES ONLY
13. Marketing & Sales
13
Direct Sales
We plan to market our services directly
to businesses through traditional sales
efforts and by establishing a presence
at select trade shows geared towards
businesses in our market segment.
Channel Partners
We intend to establish partnerships with
test equipment and analysis software
suppliers, which will also enable cross-
promotions into the market through their
advertising and sales force efforts.
OEM Alliances
We expect to form strategic alliances
with original equipment manufacturers
(OEMs) of industrial equipment, such as
motors, pumps, compressors, gearboxees
and other rotating machinery.
14. Competition
14
PERFORMANCE is computed based on several electronic and mechanical factors including sensor frequency range and response, battery life, ruggedness, compliance certifications, and
ease of installation, among other things. COST is computed as Total Lifecycle Cost, which accounts for the initial cost of equipment plus recurring expenses over 3 years.
NEXSCIENT
Nexscient™ introduces a turnkey, continuous remote monitoring solution
that delivers accurate and timely results comparable to expensive high
performance test equipment… but at a fraction of the cost.
Uniquely Positioned
15. Founder
Fred E. Tannous
As founder and Chief Executive Officer, Mr. Tannous is responsible for
overseeing all aspects of the Nexscient’s vision, strategy, and product
development. Fred has over 35 years of experience in finance,
engineering and new business development and previously held
senior level positions at Fortune 500 companies and several start-ups.
Over the course of his professional career, he has worked extensively
with numerous emerging companies, including taking them public
through self-underwritten IPOs to maximize value and craft exit
strategies. Mr. Tannous has helped effect transactions valued at more
than $1.2 billion as well as launching several of his own start-ups.
PRESIDENT & CEO
15
During his 15 years working at Hughes as an electrical engineer, Fred
worked on advanced radar signal and data processing techniques for
electronic counter-counter-measures used in radar systems onboard
F-14, F-15 and F-18/A fighter aircrafts. While there, he has co-authored
several papers on proprietary and unconventional methods for
detecting and countering radar jamming.
Subsequently, after returning from business school, he transitioned to
the business side of technology in his position as Manager of
Investments & Acquisitions at DIRECTV, Inc., at the time a wholly owned
subsidiary of Hughes. There, he worked with the CFO in financial
operations and was responsible for valuing, structuring and executing
strategic investments while overseeing the company’s portfolio having,
at its high, a market valuation of over $1 billion.
Fred earned a Master of Business Administration (MBA) from the
University of Chicago (Booth) Graduate School of Business. He also
holds a Master of Science (MS) and a Bachelor of Science (BS) in
Electrical Engineering from the University of Southern California (USC).
Led by Experienced Entrepreneur
16. Financing Request
Seed Round Funding
We are seeking $1,000,000 in equity capital to
continue product development, software
programming, prototype testing activities, and
launching our pilot program in a key target market.
Preliminary Prototypes
We’ve completed fabrication of our
preliminary prototypes and currently
finalizing plans for a pilot program.
Design & Development
We have several years and significant relevant experience working
with low cost, high performance wireless sensors and AI-powered
analytics with the objective of introducing a streamlined, continuous
remote monitoring solution for predictive maintenance.
Pilot Program
We plan to commence a limited deployment of our
NexscientTM machine health monitoring system at a
local manufacturing facility as part of our continuous
improvement efforts and path to commercialization.
Current Status
16
We believe the timeliness of this project brought together by
our management team combined with our proprietary sensor
technology, predictive AI algorithms, and highly differentiated
business model, will enable us to gain market share for our
machine health monitoring system and generate significant
revenues and profits for our shareholders.
17. Nexscient, Inc.
2029 Century Park East, Suite 400
Los Angeles, CA 90067
(310) 494-6620
info@nexscient.com
nexscient.com
Contact
17
Fred E. Tannous
President & CEO
fred@nexscient.com
+1 (213) 500-8700
Tarek N. Choufani
Chief Operating Officer
tarek@nexscient.com
+1 (310) 494-6620