Tim Draper, Founder, Draper Fisher Jurvetson, keynote address at the 2009 WTIA Fast Pitch Forum & Technology Showcase event.

1. WTIA 2009—Tim Draper November 2008

2. Economic Nuke

3. Nuclear Winter

4. The press painted a grim picture Investors are looking for direction Real estate values have plummeted Stock markets are down Lending is frozen Companies are laying off employees Consumer and capital spending have slowed

5. Monopolies block liquidity: Government Regulations—Sarbox, The 40 Act, 409A Bulge Bracket Distribution Controls—Syndication, Sales, Trading, Investment Banking Nasdaq/NYSE Restrictions—Acceptance Hurdles, Fees Big 3 Standards—FAS 157, FAS 141, FASB Dinosaur Technologies—Stock transfers, Bloomberg

6. Liquidity Crisis

8. Don’t panic

9. Don’t cling to the past

10. Crisis or Opportunity

11. New game

12. With great power… It is all up to you!!!!

16. Inventions in the past 50 years COMPUTERS EMAIL FAX FIBER OPTICS BIOTECH SMART PHONES NANOTECH PHOTOCOPIER SEARCH ENGINES SPACE TRAVEL JETS CREDIT CARDS ICs MICROWAVE NUCLEAR POWER THE PILL DVRs VOICEMAIL SATELLITES INTERNET WEB BROWSERS MRIs DIGITAL CAMERAS CELL PHONES

17. Future possibilities ABUNDANT CHEAP WATER NON-INVASIVE SURGERY ENERGY EFFICIENT BUILDINGS LONG-LASTING BATTERIES INTERACTIVE EDUCATION CLOUD COMPUTING IMMERSIVE 3-D ENTERTAINMENT FOOD DROP CURES FOR CANCER, AIDS & MALARIA GENETIC DISEASE PREDICTION NEAR INFINITE ENERGY SUPPLY NEAR-THOUGHT COMMUNICATIONS NEW LIFE FORMS FOOD SUPPLY CURE FOR HEART DISEASE SELF-NAVIGATING ELECTRIC CARS

18. One thing has not changed…. Innovation is exponential and relentless

19. Companies can post their profile and control access Investors can peruse, connect with companies buy and sell Shares Matching platform connects buyers and sellers of shares Springboard to an IPO

20. Longer term Xchange will allow companies to raise money through an XPO Xchange will allow users to trade shares through the system Springboard to an IPO

21. Liquidity:

27. The Importance of Liquidity: Human flexibility Speed of gratification Fewer desperate buyers/sellers The deal.

28. The Deal

34. Free Trade!!!!!!!!!

36. Without China: No Semiconductors

37. Without China: No Flat Screens

38. Without China: No Memory

39. Without Computers: No Software

40. Without Software: No New Media

45. Never forget: Entrepreneurs are heroes. Create new jobs Build value from nothing Make lives better Rebuild the economy

46. The Riskmaster (all rights reserved) (Lyrics by Tim Draper) Invested all his mattress money Divorced his Prom Queen hometown honey Scraping up his alimony Friends think he’s a little “funny”

47. Needs a “world class CEO.” Just another million or so Get him to some real cash flow So tears and sweat can IPO

48. For 15 years he’s been out gunned Bankers demanding blood refund Company’s looking Moribund Even Draper will not fund!

49. Chorus: He is the Riskmaster Lives fast drives faster Skates on the edge of disaster He is the Riskmaster

50. He’s got a mission Company vision An artist’s ambition Gut intuition Fearless and free employee No guarantee for the corporate escapee

51. Team fights on against the trend Had to lay off his best friend Called a “recession” seems like “depression.” Chapter seven. Is this the end?

52. But then a salesman shouts, “We got it!” The company’s gonna show a profit To think the papers rang, “quixotic” The sky has opened astronautic.

53. Chorus: He is the Riskmaster Lives fast drives faster Skates on the edge of disaster He is the Riskmaster

54. He is on top, on top of the world At last they see it. Vision unfurled! Cashflow landslide! Now everybody wants a piece of his hide. Court wants him tried. Press wants him fried. Anyone this rich must have lied.

55. Chorus: He is the Riskmaster Lives fast drives faster Skates on the edge of disaster He is the Riskmaster

57. To the rescue: shares post