Arka lighting lecture 3 value prop

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Arka lighting lecture 3 value prop

  1. ARKA LightsHigh Performance Heat Dissipation Technology for LED Ligh  Hypotheses: • Improved novel (integrated) thermal dissipation technology can significantly improve LED lighting performance and reduce cost • Our technology allows direct replacement of commercial high lumen but low efficiency incandescent bulbs with LEDs without light quality/output compromises • This can deliver a scalable business model
  2. CANVAS FOR ARKA – Version 1LED manufacturers System integration Higher Trade Presence, CommerciGovernment lumens in the publications, alAgencies (DOE) Awareness same form shows Customer Building factor - Indoor Reduced s Applications Suppliers Certifications number of Web based -Replacement LEDs demos, Lamps educationEnvironmental Experienced Increased Direct Salesconscious Groups manufacture reliability to r as a InstitutionsLuminaire partner LuminairesManufacturers Requires no IP Manufacturers infrastructure Systems changesASME,Professional Design OEMSGroups Component supplier costs Sale of Products Developments Costs Cost of Sales
  3. GETTING OUT OF THE BUILDING We’re talking to (some combination of):  OEMS  Architects (Rita Koltai – Koltai Lighting Design)  Technical Experts/Consultants (Stanford University), Prof. Robert Davis, (CMU)  Lighting designers and manufacturers (Greenray Lighting)  Lighting Distributors (Stanford Lighting)  Facility Managers (Sheraton Hotel)  Retail Outlets (Pottery Barn)
  4. CUSTOMER FEEDBACK1) Prof. Robert Davis, Founder of CREE – a leading LED company - Heat transfer is a major issue. Not sure whether the internal phonon reflectance may in fact be the leading thermal limit.2) Prof. James Harris, EE Department, Stanford University - Heat transfer issue – The phonon reflection increases significantly with the doping of new materials. This reduces thermal conductivity of the LED. Eventually it becomes the limiting factor. Need to include reduction in the thermal conductivity in the heat transfer modeling. - Bought six PAR38 lights for his family room last week. Wants them to last 20-30 years as changing them with a ladder was a major hassle. - Light intensity was lower than incandescent bulbs it replaced. Not happy about that.
  5. CUSTOMER FEEDBACK3) Mr. Mo, Co-owner of Greenway Lighting, Santa Rosa, California - T8 lighting (tube light replacement) is their main product. PAR38 replacement is needed, but not available today. They recommend PAR30, a much lower intensity product. The available PAR38 do not meet the lighting intensity and light quality demands for replacing the current incandescent lights. - Replacing light bulbs is a major hassle. Costs $400 to rent a cherry picker to replace bulbs – makes very expensive. Need to have longer life. - Offered a business proposition to do thermal design of his LED lights on a consultation basis (Not an attractive business model for us due to very low returns and limited
  6. CUSTOMER FEEDBACK4) Prof. George Tayo, ME Center for Design, Stanford University - LEDs are evolving very rapidly. Thermal issues are similar to PCs – cooling will remain major issues as performance and quality envelope will continue to expand.5) Mr. Bruno (maintenance supervisor) – Sheraton Hotel, Palo Alto - Use 100’s of PAR38 in this hotel. Replace every 6 months or so. Would be happy with longer life product - Current weight of LEDs might prevent them from being used in establishments with high ceiling. (Heavy aluminum heat sink adds significantly to weight).
  7. CUSTOMER FEEDBACK6. Pottery Barn Staff – Pottery Barn, Palo Alto  Title 24 has changed the procurement patterns of corporate headquarters regarding light fixtures – no dimming or two- way switches (Need to become familiar with local laws)  Use incandescent lights for all general illumination (counted 34 in front foyer alone) without dimming or daylight control. Extensive use of CFLs in displays (not directional so less suitable for task lighting).7. Paul (salesperson) – Stanford Electricals - • Advocate of LEDs; largely ‘self-educated’ • Indicated that rising prices (~30% in last 6 mths) of fluorescents (due to phosphor costs) and falling LED prices will boost LED sales • Indicated unwillingness of smaller retailers to experiment with new suppliers products’ • Highlighted form factor of LEDs and emphasized that products need to be used without changing current infrastructure. • Seeing significantly increased adoption of LEDs by customers (particularly over last 5 mths)
  8. CANVAS FOR LED – Version 2LED manufacturers System integration Higher TradeGovernmentAgencies (DOE) lumens in the Presence, publica Commerci Thermal same form tions, shows al modeling of LED factor Customer Suppliers cooling Awareness Lower Web based - Indoor s Building purchase demos, Applications Certifications education cost -ReplacementEnvironmental Lampsconscious Groups Experienced Increased Direct Sales (PAR38) manufacture reliability toLuminaire r as a InstitutionsManufacturers Reduced Luminaire partner weight Manufacturers IPASME, Requires noProfessional Systems Design infrastructureGroups changes Component supplier costs Sale of Products Developments and Certification Costs Cost of Sales
  9. IMMEDIATE NEXT STEPS Conduct further interviews to asap validate value proposition and channel hypotheses  OEMS and Institutions  Specifiers and Contractors Begin work on key activities including reduction of technology to practice (prototyping)
  10. SUMMARY Contacted 8 diverse feedback nodes (experts, customers, supply chain) Partially validated three components of the initial canvas.  Learned more about possible value proposition.  Modified key activities to include thermal modeling  Recognized need for engaging with OEMs asapDisclaimer – The conclusions drawn here are based on a limiteddata collected. Further validation will be conducted.
  11.  Thank you!
  12. PROBLEMS WITH EXISTING LEDS Cannot deliver enough lumens to replace existing incandescent bulbs Heavy weight Low life due to higher temperaturesOur Enhanced Heat Transfer Technology Higher heat removal ability allows  Lower operating temperature  Increased lumen intensity per LED  Reduced number of LEDs  Increased life

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