![What is IP? - Patent procedure
• U.S. operates on a first-to-invent basis
• Canada and other countries operate on a first-to-file basis
• Patent filing and prosecution
– Provisional filing (U.S. & Canada) [optional]
– Utility filing (US non-provisional) – must contain claims
– Examination of claims
– Rejection
– Allowance
• Patented
– Issuance of patent
– Patent only is enforceable after issuance (grant)
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Uploaded byEurocal Group & Silicon Valley Link
Workshop presentation Kielce Technology Park 9 Nov 2011
This document provides an introduction to Silicon Valley. It discusses the history and evolution of Silicon Valley from the Gold Rush era to present day. Key events and figures that helped establish Silicon Valley as a global center of innovation are highlighted, including Frederick Terman who helped link Stanford to industry, William Shockley who founded Fairchild Semiconductor, and the growth of risk capital and venture capital firms. The workshop agenda and goals of leveraging global ecosystems and thinking globally from the start are also outlined.
Workshop presentation Kielce Technology Park 9 Nov 2011
- 1. I Session: Introduction to Silicon Valley Confidential Presentation Materials
- 2. Welcome to Silicon Valley Confidential Presentation Materials
- 3. Silicon Valley Workshops Kielce Technology Park Poland – November 9th 2011 High Velocity Company Growth: Best Practices & Successful Growth Strategies from Silicon Valley, CA in partnership with Confidential Presentation Materials
- 4. Who We Are EurocalGroup, LLC. helps technology companies and entrepreneurs launch their new venture and establish their global presence in Silicon Valley, California. Providing strategic and operational US market entry strategies, technology and educational services to help companies think, plan and execute globally. Silicon Valley Link provides hands on strategic marketing and business development services for small technology companies that seek to expand their presence in the U.S. Silicon Valley Link works with U.S. and European technology companies to build a presence in Silicon Valley - a global gateway to the North American, Pacific Rim and Latin American markets. Confidential Presentation Materials
- 5. Workshop Agenda • ISession: Introduction to Silicon Valley • II Session: Marketing, Business Development and Sales • III Session: Intellectual Property • IV Session: Agile Pitching • V Session: Expanding to the US • Summary and Wrap up Confidential Presentation Materials
- 6. Goals for theWorkshop Key Objectives for Workshop • Takeaways – Think Global from the start – Leverage Ecosystems Globally – Develop Local Ecosystem to Go Global – Solve real Global problems – it’s not only about the technology • Future – Build sustainable bridges to Global centers – Get connected & Stay connected – this is a process! Confidential Presentation Materials
- 7. San Francisco BayArea: Facts & Figures 7000 square miles (18000 square Km), of which 1600 (4160 Sq. Km) are Bay water. If it would be a circle r= 47 miles (or 76 Km) Includes 9 counties and 101 cities Diverse population of approx. 7.5MM encompassing all races and ethnic groups Mild year‐round climate High Avg. 72F (22C) and Low Avg. 46F (8C) strongly influenced by the cool currents of the Pacific Ocean. Confidential Presentation Materials
- 8. Home to….. and to….. Confidential Presentation Materials
- 9. and now to… ColorLabs, Inc. Nicira Networks, Inc. Palo Alto, CA 94301 Palo Alto, CA 94303 Region: Silicon Valley Region: Silicon Valley Website: www.color.com Website: www.nicira.com $ Received: $40,999,900 $ Received: $25,900,000 Financing Sequence: 1 Financing Sequence: 3 Stage of Development: Stage of Development: Early Early Stage Stage Industry: Software Industry: Software Description: Develops Description: Develops a Web-based applications. software which transitions data Investors in Q1 2011 : centers to cloud infrastracture. Bain Capital Investors in Q1 2011 : Redpoint Ventures Andreessen Horowitz Sequoia Capital Lightspeed Venture Partners Undisclosed Firm New Enterprise Associates, Inc. Confidential Presentation Materials
- 10. SILICON VALLEY 1849TO 2011 Startups from 1849 to 2011 Gold Rush mindset continues… Confidential Presentation Materials
- 11. What happened inNorthern California? • Gold Rush mentality – forced innovation • Attracted adventurers and pioneers • Influence on culture • The real winners were……. Confidential Presentation Materials
- 12. Raw Materials ofSilicon Valley Pioneer Mentality Ecosystem / Culture / Mindset fosters innovation and entrepreneurship Confidential Presentation Materials
- 13. Evolution of SiliconValley Marc Andreessen INTERNET Steve Jobs PERSONAL COMPUTERS Gordon Moore INTEGRATED CIRCUITS Innovation Networks Hewlett Packard DEFENCE 1950 1960 1970 1980 1990 2000 Confidential Presentation Materials
- 14. World War II,Korea and the Cold War Stanford/Military/Industry Ecosystem • Stanford did basic research in electronics • Stanford and SRI do applied research • Microwave and systems companies in Silicon Valley produce equipment for the military Companies • Sylvania Electronics Defense Laboratory (1953) • GE Microwave Laboratory (1956) • Electronics Systems Laboratories (1964) Confidential Presentation Materials
- 15. Frederick Terman ― theFather of Silicon Valley‖ • Stanford Professor of Engineering 1926 -encouraged his students, William Hewlett and David Packard to start a company • Dean of Engineering 1946 • Provost 1955 By 1950 Stanford was the ―MIT of the West‖ Stanford becomes center of excellence for NSA, CIA, Navy and Air Force Confidential Presentation Materials
- 16. Terman Changes theRules Silicon Valley as we know it starts here • Graduate students encouraged to start companies • Professors encouraged to consult for companies • Terman and other professors take board seats • Technology transfer/IP licensing easy • Getting out in the real world was good for your academic career ALL BASED on MILITARY FINANCING Confidential Presentation Materials
- 17. William Shockley Other fatherof Silicon Valley….. Head of radar bombing training for the Air Force Co-inventor of the transistor (Nobel Prize 1956) Founded Shockley Semiconductor 1955 8 rebels leave Shockley to form Fairchild Semiconductor Robert Noyce and Gordon Moore leave Fairchild to found Intel 65 other chip companies founded over the next 20 years by alumni of these companies Confidential Presentation Materials
- 18. Emergence of RiskCapital & Profit Focus 2nd Engine of Entrepreneurship in Silicon Valley SBIC Act of 1958 Govt matches private investments 3:1 Corporate (Bank of America/American Express) Private (Pitch Johnson, Bill Draper) Limited Partnerships Shift funding from military to private = profit focus Confidential Presentation Materials
- 19. Venture Capital Venture Capitalindustry grows…… Sutter Hill Ventures (1964) Kleiner Perkins (1972) Sequioa (1972) A Watershed Moment in 1978 Capital Gains - slashed from 50% to 28% Employee Retirement Income Security Act 1979 – pension funds can invest up to 10% of holdings Confidential Presentation Materials
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- 23. Silicon Valley Ecosystem Public Policy Infrastructure (Hard) Education Geography People Climate Diversity Working Infrastructur Human Values Conditions e ( Soft) Capital Clustering Role & Networking Models Risk Culture Capital Early Adopters Risk Tolerance – Rewarded with Value Confidential Presentation Materials
- 24. Societies that SupportEntrepreneurship & Innovation Entrepreneurial Oriented Cultures High status for Rich deal flow entrepreneurs Multiple exits & Risk capital - Liquidity events availability High quality firms Embrace w/ Global potential Risk Enabling environment Pull rather than Push Failures are valued experiences Confidential Presentation Materials
- 25. Societies that SuppressEntrepreneurship & Innovation Non-Entrepreneurial Oriented Cultures Low status for Poor deal flow entrepreneurs No exits & Risk capital - liquidity events unavailable Low quality firms w/o Risk avoidance Global potential Excessive fear of Push rather than Pull failure Criminalization and/or social pariah status of Failures Confidential Presentation Materials
- 26. Knowledge Based Innovation Innovation+ Entrepreneurship = $VALUE “Every great advance in science has issued from a new audacity of imagination.” John Dewey Confidential Presentation Materials
- 27. Innovation enables thecreation of “TEMPORARY MONOPOLIES” Confidential Presentation Materials
- 28. Innovation is aRenewable Resource Luckily while innovation is scarce, it is a renewable resource. Unlike finite natural resources, ideas can spread and benefit whichever countries are best positioned to take advantage of them, regardless of where they are invented. George Bernard Shaw wrote: “If you have an apple and I have an apple and we exchange apples, then you and I will still each have one apple. But if you have an idea and I have an idea and we exchange ideas, then each of us will have two ideas.” Confidential Presentation Materials
- 29. Ecosystem + Networkingis KEY to promote Value Creation 100s of Entrepreneur networking events every week Confidential Presentation Materials
- 30. Incubators and Accelerators Confidential Presentation Materials
- 31. Special Mention: SerialEntrepreneurs Love or Money? Silicon Valley entrepreneurs are all over the map when it comes to personality and motivation. Some are purely mercenary -- one hit and they're out. Others just love the technology, and the business is a side effect. Still others just love starting and building companies. More of them There are simply more entrepreneurs now -- due to the amazing surge in venture capital and the culture of startups over the last 10-15 years -- so you'd expect more serial entrepreneurs just based on that. Speed of Company Creation A lot of new companies simply develop faster these days than they did in the past. Microsoft and Oracle, for example, both needed 10 years of incredibly hard work to get to their IPOs (both founded in '76, IPO in '86), and they only had a few hundred employees each when they went public -- and those were the two biggest software successes of their era. Marc Andreessen, Co-founder Mosaic, Ning, Andreessen Horowitz VC Confidential Presentation Materials
- 32. Smartcamp Project • Youngcompanies looking to solve problems (using technology) • Innovative approaches to using technology (not necessarily the most advanced) to: 1. Solve a real problem 2. Globally • The key successful mix combines technological ability with a global approach to business management, business development, and operational capabilities. Confidential Presentation Materials
- 33. Smartcamp Finalists • Theoverall winner: San Francisco-based company, Streetline www.streetlinenetworks.com that takes the pain, cost, time and gas usage out of searching for elusive parking spots in San Francisco, LA and soon other major cities. • Two other companies received special mentions: – Sproxil www.sproxil.com a Boston-based company providing innovative brand protection and pharmaceutical anti-counterfeiting strategies to developing countries. – TreeMetrics www.treemetrics.com a Cork-based software company deploying 3D laser scanning technology to optimize forestry management Confidential Presentation Materials
- 34. Societies that SupportEntrepreneurship & Innovation Entrepreneurial Oriented Cultures High status for Rich deal flow entrepreneurs Multiple exits & Risk capital - Liquidity events availability High quality firms Embrace w/ Global potential Risk Enabling environment Pull rather than Push Failures are valued experiences Confidential Presentation Materials
- 35. Silicon Valley Ecosystem Public Policy Infrastructure (Hard) Education Geography People Climate Diversity Working Infrastructur Human Values Conditions e ( Soft) Capital Clustering & Role Networkin Models g Risk Culture Capital Early Adopters Risk Tolerance – Rewarded with Value Confidential Presentation Materials
- 36. NEXT PRESENTATION Confidential Presentation Materials
- 37. II Session: Marketing,Business Development and Sales in a global economy IdaRose Sylvester Managing Director Silicon Valley Link November 2011 idarose@siliconvalleylink.com Confidential Presentation Materials
- 38. Presenter: IdaRose Sylvester • Founder of Silicon Valley Link, connecting European entrepreneurs to the US market • Driving value in marketing and sales, at reduced cost and risk, timed and scaled for the market • Polish entrepreneurial heritage • 20 years in strategic marketing • International startup experience Confidential Presentation Materials
- 39. Agenda • The SiliconValley view on marketing, business development, and sales • The importance of these functions • Organizing for success • Deeper understanding – Marketing – Business development – Sales • Business models • Case studies • Q&A Confidential Presentation Materials
- 40. What is thepurpose of marketing, business development and sales? Confidential Presentation Materials
- 41. Startups typically think •We don’t have time for marketing, business development or formal sales (just give us your Rolodex!) – We are so unique the product will sell itself • We don’t have money for marketing, business development or sales (just go viral!) – We are so unique the product will sell itself • We don’t understand the value of marketing, business development or sales – We are so unique the product will sell itself Confidential Presentation Materials
- 42. In reality Your product will not sell itself Confidential Presentation Materials
- 43. Not fancy falsehoodsto make you look good Confidential Presentation Materials
- 44. Not proving youare the “best” Confidential Presentation Materials
- 45. Honestly: not aboutmaking money Confidential Presentation Materials
- 46. The purpose ofmarketing, business development and sales Confidential Presentation Materials
- 47. A closer lookat marketing Confidential Presentation Materials
- 48. “A rock pileceases to be a rock pile the moment a single builder contemplates it, bearing within them the image of a cathedral” Antoine de Saint-Exupery Confidential Presentation Materials
- 49. Marketing: What itdoes • Defines your main objective for the global market • Understands the market forces that help you meet your objective • Discovers and mitigates risk for your biggest market obstacles Confidential Presentation Materials
- 50. Marketing functions Promotion Collateral Branding Pricing PR/outreach Go to Market Research strategy Value Competitive IQ proposition Roadmap Target Channel customers, strategy partners Confidential Presentation Materials
- 51. US versus Europeanmarketing practices • Americans don’t have patience to read long explanations, all the details • We are not encumbered by humility, and expect companies to really promote themselves • We like to follow the leader, show us your reference cases, especially if you are entering the US from outside Confidential Presentation Materials
- 52. A few howtos Confidential Presentation Materials
- 53. Learning about yourmarket • Market trends – Talk to industry experts – Talk to industry influencers – Talk to customers, partners and competitors – Go to and read about tradeshows – Read trade magazines, blogs, analyst reports – Competitive assessment – Database searches • Market sizing – Analyst reports, industry reports – Similar markets – Data on part of the market – Clever assumptions Confidential Presentation Materials
- 54. Finding customers &partners • Create potential segmentation – Industry verticals, geography, direct v channel, consumer v business, size of business • Methodologically search for information by segments – Talk to industry experts – Talk to industry influencers – Go to and read about tradeshows – Read trade magazines, blogs – Competitive assessment – Database searches Confidential Presentation Materials
- 55. Creating your valueproposition • Not what your product does, but what problem you solve • Problems are based on ―pain‖ the customer has – Excess expense – Inefficient processes – Boredom • Helping your customer gain a unique competitive advantage Confidential Presentation Materials
- 56. A closer lookat business development Confidential Presentation Materials
- 57. Business development: Whatit does • Defines and manages business models and customer acquisition strategy • Creates connections in the marketplace • Gathers intelligence • Builds long term relationships for competitive advantage Confidential Presentation Materials
- 58. Business development functions Lead generation Business modeling Account planning Sales campaigns Intelligence Licensing Channel development Strategic alliances Confidential Presentation Materials
- 59. A closer lookat sales Confidential Presentation Materials
- 60. "If you arenot taking care of your customer, your competitor will." Confidential Presentation Materials
- 61. "You don’t closea sale, you open a relationship" Confidential Presentation Materials
- 62. "It is notyour customer’s job to remember you. It is your obligation and responsibility to make sure they don’t have the chance to forget you." Confidential Presentation Materials
- 63. Sales functions Defining product/customer fit Long term relationships Deal close Fulfillment & service Contract negotiation Confidential Presentation Materials
- 64. US versus Europeansales practices • US customers have no patience, you have one chance to win and a short sales cycle • US customers expect lifelong, free service • US channel views responsibilities much differently • Making connections via trusted resources, versus cold calling and direct sales Confidential Presentation Materials
- 65. A great salesteam DOESN’T • Rely on smooth talking to win deals – It’s a group of relationship specialists who build trust • Rely on low price and ―special deals‖ to close business – It’s a team the finds the pain point of the customer and shows how value is added • Rely on a giant Rolodex of contacts – Great sales teams rely on relationships, marketing information, customer knowledge and product information Confidential Presentation Materials
- 66. A great salesteam • Keeps warm leads warm • Works closely with the entire team • Builds relationships for the long term • Knows and solves customer problems • Sets price and feature expectations early • Knows who the decision makers really are • Always keeps promises Confidential Presentation Materials
- 67. Putting it together Confidential Presentation Materials
- 68. Turning Technology intoRevenue Operational Visibility Marketing Strategic Vision Marketing Business Reality check Development Sales Results Confidential Presentation Materials
- 69. Turning Revenue intoBetter Revenue Effectiveness Operational Marketing Market Strategic Awareness Marketing Targeting Business Development Product Fit Sales Confidential Presentation Materials
- 70. • Marketing: defineswhere the house should be built, the style that fits customers and features inside • Business Development: draws up the architectural plans and finds contractors, works with customers to ensure features are right • Sales: is the hands on person building the houses Confidential Presentation Materials
- 71. How it comestogether Customers Executives Strategic Business Marketing Development Partners Operational Sales Marketing Engineering Other external stakeholders Confidential Presentation Materials
- 72. Top business models Confidential Presentation Materials
- 73. Key business modeltrends today • Be agile • Accept failure • Fail fast • Be lean • Test and pivot, repeat Confidential Presentation Materials
- 74. Four Steps tothe Epiphany Source: Steve Blank Confidential Presentation Materials
- 75. Putting it alltogether Confidential Presentation Materials
- 76. The Lean Startup ―Don’t be in a rush to get big, be in a rush to have a great product.‖ • Minimal viable product • Product/market fit • Build-measure-learn feedback loop • Spend appropriately, avoid waste Eric Ries, 2010 Confidential Presentation Materials
- 77. The Lean Startuptheory: made very lean Ideas Learn Build Data Code Measure Confidential Presentation Materials
- 78. Putting it alltogether: case studies Confidential Presentation Materials
- 79. Case study: AngryBirds • ―Overnight‖ success – Angry birds was the 100th game for Rovio • Each game was a step towards game mechanics, storytelling, graphics, channel strategy • Once the company was very successful with the game, they became a full product company – Multiple game versions, branded products, movie • Interestingly, they have yet to establish a US presence, choosing instead to have the CEO in the Valley 50% of his time Confidential Presentation Materials
- 80. Case study: Color.com •Strategy one: $41M in venture funding, initially launched as a social photo sharing app, • Result: Derided for being overhyped, not concerned about privacy, lost key executives – PIVOT • Strategy two: Now an ad hoc social networking app • Verdict: respected move, highly visible, unclear future Confidential Presentation Materials
- 81. Case study: Dropbox •Launched as an online storage company, the same time at least 3 dozen other companies entered the market • Strategy one: Spend a tremendous amount of money on classic launch program, big launch. Result: failure, cost of acquisition 4x revenue – PIVOT • Strategy two: Spend tremendous amount of money on classical marketing programs. Result: not much – PIVOT • Strategy three: Give customers incentives to get friends to use system. Result: 100,000 users to 4M users in just over a year Confidential Presentation Materials
- 82. Case study: Zappos.com •Knew online shoe shopping should be popular, but needed improvement, didn’t know how that would look • TESTED the market in a unique way, finding out what customers need to feel comfortable buying shoes online • MEASURED customer results, then built out a full strategy • Result: Highly successful retailer, bought by Amazon for $1.5B Confidential Presentation Materials
- 83. “there are onlytwo mistakes on the road to truth: not going all the way, and not starting” Confidential Presentation Materials
- 84. Thank you! Questions? IdaRose Sylvester idarose@siliconvalleylink.com Confidential Presentation Materials
- 85. III Session: IntellectualProperty Confidential Presentation Materials
- 86. Presenter: Jacek Wolosewicz •Practicing Entrepreneur • Founder of multiple, media related startups. • Verance Corp., developed the current SDMI watermark based content protection and tracking technology. • Holder of multiple patents in the areas of media, security and VLSI design. Educated at CCNY and MIT • IP evaluation consultant at IV, RPX Confidential Presentation Materials
- 87. IP Agenda • Whyis IP Important ? • What is IP? - Types • What is IP? - International • Patenting Costs • Patent Filing Strategy Confidential Presentation Materials
- 88. What is theBig Deal? • $1.8 billion largest infringement award - Centocor Ortho Biotech Inc. v. Abbott Laboratories. • $9 million median damages award in 2009 • $1.5 billion – Intellectual Ventures fund • $90 million – RPX has acquired worth of rights Confidential Presentation Materials 91
- 89. Why do youneed it? - Defense Confidential Presentation Materials 92
- 90. What is IP? TRADE COPYRIGHT MARKS DESIGNS INTELLECTUAL PATENTS PROPERTY TRADE CONFIDENTIAL DRESS INFORMATION/ TRADE SECRETS Confidential Presentation Materials 93
- 91. What is IP? - Basics of IP • Rights granted by statute – Patents – Copyrights – Registered designs / design patents • Rights established through use – Trademarks – Trade dress • Rights established by contract or conduct – Trade secrets/Know-how/Confidential information Confidential Presentation Materials 94
- 92. What is IP? - Different patent perspectives • Scientist: end product of research (inventions, know- how). • Engineer: tool or a process. • Marketer: potential competitive edge vs. potential disaster. • Attorney: intellectual property. • Business person: a type of asset. Confidential Presentation Materials 95
- 93. What is IP?- Patent Features • Only way to protect disclosed technology • Protects inventions • Is territorial • Requirements – Inventorship – Novelty – Inventive step/non-obvious – Adequate disclosure of invention • Registration/Examination • Duration/Maintenance fees • Rights Confidential Presentation Materials 96
- 94. What is IP?- What may be patented? • Apparatus, devices, equipment • Article of manufacture • Method, process • New composition • ―Non statutory subject matter‖ – Laws of Nature – Mathematical algorithms Confidential Presentation Materials 97
- 95. What is IP?- Patent procedure • U.S. operates on a first-to-invent basis • Canada and other countries operate on a first-to-file basis • Patent filing and prosecution – Provisional filing (U.S. & Canada) [optional] – Utility filing (US non-provisional) – must contain claims – Examination of claims – Rejection – Allowance • Patented – Issuance of patent – Patent only is enforceable after issuance (grant) Confidential Presentation Materials 98
- 96. What is IP?- Patent rights • Right to exclude others from practicing the patent claim, a ―negative‖ right • Right to stop others from making, using, selling, offering for sale, and importing the claimed invention Confidential Presentation Materials 99
- 97. What is IP?- Internationalization of patents • Paris Convention – 1883, last amended 1979, 173 countries, WIPO • Priority date based on first filing within a year of international filing • Patent Cooperation Treaty (PCT) • Regional systems (EPO) – European Patent Office • International patenting is expensive Confidential Presentation Materials 100
- 98. What is IP?- Internationalization of patents Confidential Presentation Materials 101
- 99. Why do youneed it? - Financial • Investors – Barrier to entry • Perceived as asset – Higher valuation • University of California receives more patents from the U.S. government than any school in the country, the university has generated about $500 million in revenue in the past five years. (Licensing and Litigation) • Intellectual Ventures went from $150 million to $1.5 billion in the first fund, between basically 2004 to 2008. • RPX has acquired more than $90 million-worth of rights Confidential Presentation Materials 102
- 100. Why do youneed it? - Protection • Google NDA, Facebook and others • NDAs don’t work • VCs don’t sign NDAs • Partners, Clients and Investors – IP Threat Confidential Presentation Materials 103
- 101. Why do youneed it? - Protection •“ Google may disclose certain information under this Agreement it considers confidential and/or proprietary concerning Google's business and/or technology ("Confidential Information")...” • “...Participant shall ensure compliance by Authorized Personnel with the terms and conditions of this Agreement, and shall be responsible for any breach of such terms and conditions by any Authorized Personnel....” • ―Google does not wish to receive any confidential information from Participant, and Google assumes no obligation, either express or implied, for any information disclosed by Participant...‖ Confidential Presentation Materials 104
- 102. Why do youneed it? - Offense • Intellectual Ventures has filed three patent infringement lawsuits against a total of nine companies in three different technology sectors—software security, memory, and integrated circuits. - $1.5 billion fund • Commerce One – e-commerce failure, IP litigation success • Digimarc – business failure, IP litigation success Confidential Presentation Materials 105
- 103. Why do youneed it? - Offense • Google and Nortel have agreed on the sum of $900 million • NTP, they of the suit against AT&T, Sprint et al., won a staggering $612 million from RIM in a 2006 settlement. Confidential Presentation Materials 106
- 104. Why do youneed it? - Defense • ―An average patent case will cost between $3 million and $10 million, and take two to three years to litigate.‖ Average cost of patent litigation. Lawyers USA, August 14, 2006) • Patent swap instead of litigation • Litigation can be on a contingency basis Confidential Presentation Materials 107
- 105. Why do youneed it? – IP Market Funnel Patent Portfolios Brokers, Consultants Intellectual IV,RPX Ventures, RPX, OT OceanTomo, Acacia $$ $$$$ $$$$$ Confidential Presentation Materials 108
- 106. Why do youneed it? – IP Market Confidential Presentation Materials 109
- 107. Patenting Costs •USPTO costs - $330, Small Entity $165 • Small Entity – Established by petition and financial status. Individual, research or academic • Euro Patent Fees - $1,673 • US – $50K • International – $100K • Equity swap + deferred payment • Provisional Filing – 1 year protection Confidential Presentation Materials 110
- 108. Patent Filing Strategy • Provisional vs. Patent – Disclosure – critical; Claims less important in Provisional • Search – A Gamble • Disclosure – Cover everything possibly related • Think BIG – broad independent claims • Think Specific – detailed dependent claims • Continuation in kind – Related material; early date Confidential Presentation Materials 111
- 109. NEXT PRESENTATION Confidential Presentation Materials
- 110. IV Session: AgilePitching The art of selling you Networking, pitching and the importance of the relationship IdaRose Sylvester Managing Director Silicon Valley Link November 2011 idarose@siliconvalleylink.com Linkedin.com/in/idarosesylvester Confidential Presentation Materials
- 111. Agenda • The importanceof networking • The importance of pitching – What is a pitch? – Why does it matter? – Elements of a good pitch – Develop your own pitch • Competition Confidential Presentation Materials
- 112. Networking • Business isessentially who you know, and the strength of those relationships Confidential Presentation Materials
- 113. In today’s businessenvironment • People are busy • People are smart • Everyone is doing something interesting How do you convince someone to listen to you, and remember you? Confidential Presentation Materials
- 114. Here’s how • Tellsomething interesting and unique about you, especially related to the situation in which you are • Find out something interesting and unique about a person • Learn something about a person that you can do to help them • Put these three together and create a reason to follow up Confidential Presentation Materials
- 115. Practice Confidential Presentation Materials
- 116. The art ofthe pitch Confidential Presentation Materials
- 117. What is apitch? • We pitch (throw) a baseball, we pitch (set up) a tent, we pitch to a certain level (set our expectations) and we pitch ideas (sell them to others) • A short, structured message for an audience from which you want something, such as money • Usually very short, 30 seconds to 10 minutes • Must persuade that your technology, marketing strategy, market position, business model, finances, operations and other factors are worthy of their attention, sound, valid • Always the first step, never the last Confidential Presentation Materials
- 118. Why you shouldlearn pitching: everyone is in sales Confidential Presentation Materials
- 119. A pitch isnot: • A deep technical explanation • A long discussion of your business plan • Proof you are going to be the next Facebook or Google In fact, pitching is NOT about closing a deal, winning a customer, or landing a story in the press, it is about GETTING TO THE NEXT STEP Confidential Presentation Materials
- 120. What IS apitch? A successful pitch takes your entire business (and the thousands of hours of your effort) and distills it down to a 10 minute or less story: What you do What pain it removes from the customer Why you do it best Why you are the best to do it And how money will be made Confidential Presentation Materials
- 121. Key aspects ofgood pitching style • Concise (short and to the point) • Clear (leave no doubt about what you do well) • Compelling (leave no doubt what you do is important) • Credible (prove YOU can do it) • Concrete (be specific about your product, technology and needs, the problem it solves) • Customized (know your audience) • Conversational (sound like a real person) Confidential Presentation Materials
- 122. The elevator pitch Confidential Presentation Materials
- 123. The elevator pitch Confidential Presentation Materials
- 124. An elevator pitchoutline Who you are: I am (name), the (title) of (company name) Optional comparison: We are the x to the y or Optional statement about your success: We are the leading… Intriguing question or fact: Did you know x? We help ___(describe your customer)________ to _____(describe the problem they have that you solve)______. Optional: Specific customer example Our product (name) does (describe key feature/benefit). Unlike (competitor), we (describe your key differentiator). The Ask (what you are looking for this person might provide) Close (contact information and next steps) Confidential Presentation Materials
- 125. An Elevator PitchSample Confidential Presentation Materials
- 126. An elevator pitchexample I am IdaRose Sylvester, the Director of Business Development for IDchecker. We are the leading supplier of instant, online identity verification. Did you know that every 3 seconds, an identity is stolen? In the US alone, 15M identities are stolen every year! We help companies in the financial, HR, online shopping, banking and travel industries quickly, cheaply and automatically verify identity documents, saving time and preventing fraud. Both our customer and the consumer benefits. We work with eBay, Paypal, Travelex, RBS and many more global brands. Our product is an online service that verifies copies of identity documents from over 200 countries, both electronically verifying the data and having a final check made by international identity document experts. Unlike our competition, we offer more flexible solutions, faster time to verification, and better accuracy. We are expanding into the US, and I would appreciate speaking with someone at your company who manages fraud or compliance to learn more about US market dynamics. Can I get your business card, so I can call you next week to connect to someone at your company? Confidential Presentation Materials
- 127. Key elements ina pitch Confidential Presentation Materials
- 128. The comparison • Weare the Groupon for clean energy products • We are like Skype for business telecommunications • We are like Facebook for garden industry • Our product is like a digital video recorder, but for web video Confidential Presentation Materials
- 129. The Problem • Youmust solve a real problem. Solving the problem for your customers will improve their business (or life), make or save them money, in a significant way. • Good: 500M people around the world own a mobile phone but do not have access to electricity. This hurts telecom revenue growth, and it prevents people developing areas from communicating, preventing commerce. Our cost effective solar charger solves this problem. • Bad: Confidential Presentation Materials
- 130. The Ask • Good:We need $1.5M in funding to build our demonstration platform, and then market it to the 20 channel partners we have identified. The money will also help us hire 6 more engineers, and will last us 6 months, at which point we believe we will be commercially viable • Bad: Confidential Presentation Materials
- 131. Pitch Creation Confidential Presentation Materials
- 132. Now it isyour turn • Form teams • 30 minutes helping each other with pitches • Pitch competition & awards Confidential Presentation Materials
- 133. An elevator pitchoutline Who you are: I am (name), the (title) of (company name) Optional comparison: We are the x to the y or Optional statement about your success: We are the leading… Intriguing question or fact: Did you know x? We help ___(describe your customer)________ to _____(describe the problem they have that you solve)______. Optional: Specific customer example Our product (name) does (describe key feature/benefit). Unlike (competitor), we (describe your key differentiator). The Ask (what you are looking for this person might provide) Close (contact information and next steps) Confidential Presentation Materials
- 134. V Session: Expandingto the US: a primer Confidential Presentation Materials
- 135. Why learn fromSilicon Valley If you can make it here, you can make it anywhere! Confidential Presentation Materials
- 136. Sooner or later… …everyone comes to Silicon Valley Confidential Presentation Materials
- 137. Three truths aboutSilicon Valley • Many of your early adopter customers are there • Many of your partners are there • And many of your competitors are there Confidential Presentation Materials
- 138. Things you shouldknow about Silicon Valley • We work long hours • We don’t take extensive vacations • We have few formal holidays • Management style is fairly flat • People are expected to be fast learners, self starters • People change companies every 18 months • There are no employment laws protecting workers Confidential Presentation Materials
- 139. Three questions: movingbeyond borders • Poland is a sizeable market, but is it big enough? – US market is 7x+ as big • Does your product have natural global reach? • What must you do to expand globally? – New customers – Customization – Organization Confidential Presentation Materials
- 140. Making the choiceto expand to the US • Move headquarters • Create full subsidiary • Create field office • Hire reps • Other solutions Confidential Presentation Materials
- 141. Contemplating the move:questions to ask • Are you personally committed and ready for the change? • Do you understand the commitment required by your organization and is it ready to change? • Are you ready financially? • Is the market timing right? • Do you know the right steps to make? • Do you have the patience to build a new market? Confidential Presentation Materials
- 142. Top mistakes madeby European companies entering the US • Come too soon • Come too late • Lack of market testing • Lack of feature and messaging adjustment • Impatience • Lack of appropriate resources Confidential Presentation Materials
- 143. The steps toyour own US epiphany REPEAT! Measure readiness Test Succeed assumptions Measure & Execute assess Confidential Presentation Materials
- 144. Step one: stopand think • Don’t move headquarters or people, yet Confidential Presentation Materials
- 145. Step two: areyou ready? – Tested (minimally viable) product, or better, fully developed – Revenue positive – Reference customers – Corporate commitment to change • Revenue • Efforts • Global support Confidential Presentation Materials
- 146. Step three: testassumption – Who are your customers in the US – What do they value from your technology and company – What are their feature, price, service requirements – How do they buy product – What does your messaging need to be Confidential Presentation Materials
- 147. Step 3.5: howto • How do you test these assumptions? – Visit US a few times, meet the right people – Hire local resources to help you with ongoing and formal testing – Network, network, network Confidential Presentation Materials
- 148. Step four: measureand evolve • Measure and assess, evolve – What features do you need to offer in the US – At what price – To which customers – And what message? • What effort, timing, resources will it take to evolve? • Upon consideration, is this still an attractive option? Confidential Presentation Materials
- 149. Step five: execute •Execute – Create US appropriate messaging – Create US launch strategy (channels, marketing) – Decide nature of presence in the US – Take steps to set up presence (legal, visas, HR, physical) • Succeed Confidential Presentation Materials
- 150. Resources you likelywill need • US attorney familiar with US incorporation, visa issues and IP • Mailing address • Bank account • Support from local embassy, trade and development arm (if available) • Localization support • Insider knowledge Confidential Presentation Materials
- 151. How to makeit in the US • US focused messaging • Know your customer • Build reference cases • Sell value, not features • Build relationships, connect and network Confidential Presentation Materials
- 152. Thank you! Questions? George Slawek George.slawek@eurocalgroup.com Jack Wolosewicz jack.wolosewicz@eurocalgroup.com IdaRose Sylvester idarose@siliconvalleylink.com Confidential Presentation Materials
Editor's Notes
- #9 Old guys on the leftNewer entrants quick description of each
- #10 Color LabsNicira is accelerating the transformation to cloud infrastructure by delivering software that virtualizes the network. The company was founded by networking research leaders from Stanford University and University of California at Berkeley, and is led by proven entrepreneurs in networking, virtualization and security. Investors Nicira is advised and backed by leading venture capital firms Andreessen Horowitz, Lightspeed Venture Partners and NEA as well as recognized industry veterans such as Diane Greene and Andy Rachleff.
- #12 California needed to be self sufficientEstablished centers of finance and trade in Boston, NY other East Coast cities did not want to risk supplying and trading with CAReal winners were industries that supported the gold miners NOT the miners themselves
- #18 California needed to be self sufficientEstablished centers of finance and trade in Boston, NY other East Coast cities did not want to risk supplying and trading with CAReal winners were industries that supported the gold miners NOT the miners themselves
- #24 Public Policy - Low cost of launching and building a company ADDEducation - Universities and IP management and commercialization, spin offs, spin-outs Human Capital - Community of like-minded individuals-deep and rich networks. Having literally tens of thousands of bright tech minds around you to listen to and challenge those ideas, as you do in Silicon Valley, gives entrepreneurs a critical competitive advantageRole Models – Serial EntrepreneursRisk Capital - Angel and venture capital financingEarly Adopters – Clients and Potential partners (large and small) Culture – Clustering & Networking – Incubators, acceleratorsInfrastructure (soft) – World-class IP community of experts incl. lawyers, consultants – who understand the needs of startups and how to work with themInfrastructure (hard) – The truth is people come up with good ideas when they have the motivation and intelligence to do so, not when they’re surrounded by people who don’t know what they’re talking about. Having literally tens of thousands of bright tech minds around you to listen to and challenge those ideas, as you do in Silicon Valley, gives entrepreneurs a critical competitive advantage.The truth about Silicon Valley is that ideas matter more than anything. A Stanford, Berkeley, USF, CalTech (or any of the dozens of world-class universities in the SF Bay Area) student with an idea can turn it into a Yahoo. Or a Google. Or countless other success stories. They are surrounded by people who want them to succeed, who are willing to give them money to support their ideas, and then help them grow it.
- #28 Candle, incandescent, fluorescent,halogen
- #30 Create here AND connect to SV
- #32 Benefits of serial entrepreneur communityExpertise and experience sharingAttracts key elements of ecosystem- e.g. capitalSkype guys
- #34 DescriptionsSproxil funded $4MM
- #36 Public Policy - Low cost of launching and building a company ADDEducation - Universities and IP management and commercialization, spin offs, spin-outs Human Capital - Community of like-minded individuals-deep and rich networks. Having literally tens of thousands of bright tech minds around you to listen to and challenge those ideas, as you do in Silicon Valley, gives entrepreneurs a critical competitive advantageRole Models – Serial EntrepreneursRisk Capital - Angel and venture capital financingEarly Adopters – Clients and Potential partners (large and small) Culture – Clustering & Networking – Incubators, acceleratorsInfrastructure (soft) – World-class IP community of experts incl. lawyers, consultants – who understand the needs of startups and how to work with themInfrastructure (hard) – The truth is people come up with good ideas when they have the motivation and intelligence to do so, not when they’re surrounded by people who don’t know what they’re talking about. Having literally tens of thousands of bright tech minds around you to listen to and challenge those ideas, as you do in Silicon Valley, gives entrepreneurs a critical competitive advantage.The truth about Silicon Valley is that ideas matter more than anything. A Stanford, Berkeley, USF, CalTech (or any of the dozens of world-class universities in the SF Bay Area) student with an idea can turn it into a Yahoo. Or a Google. Or countless other success stories. They are surrounded by people who want them to succeed, who are willing to give them money to support their ideas, and then help them grow it.
- #38 Who is in one of these functions? Who likes them?There’s engineering and then there’s everything else. To many startups these are the three dirty words of business, the last thing you want to think about, the thing you fear, the thing you put off until you cant and then relegate the functions to someone you don’t like <<jkDo some quizzing on audience thoughts on marketing, brainstorm style, what do you think when you hear each term, test around for people who know these functions or do them, test for people’s liking of the functions, appreciation for Might want some kind of more interesting audience exercises, need to think about this
- #41 Audience quiz times
- #44 To have the biggest best product out there, or worse, to try to convince the market that your product is the biggest best out there
- #46 This is the end game for the entire company, working together, the result of doing all steps correctly
- #47 Building a bridge between your entire company and the market, a two way bridgeIn essence the market place is part of your marketing team
- #50 Which problem does your product solve or which needs does it serve?How does it do so better than your competitors?Who will benefit from the product?How big is your market opportunity?How do you get the product into the hands of customersWho can help to sell / promote the product?
- #59 Pre and post sales
- #64 Pre and post sales
- #66 You are never a pushy sales person if you build long term relationships and support your potential clients goals by helping him help himselfs
- #67 You are never a pushy sales person if you build long term relationships and support your potential clients goals by helping him help himselfs
- #69 Salesprocess where actual exchange of goods or services against money takes place. The sales process is scalable and well defined.Business Developmentprocess where by means of networking, trial and error, scouting, research and common sense the essential elements of the marketing mix are put in place, like potential customers, potential partners, new business opportunities and product positioning.Marketing(strategic) systematic approach to defining the product or service, value proposition, target customers and price points (operational) use of promotional activities in order to increase the sales of a service or product, including advertising, promotion, pr, web presence, social media and other means
- #70 Salesprocess where actual exchange of goods or services against money takes place. The sales process is scalable and well defined.Business Developmentprocess where by means of networking, trial and error, scouting, research and common sense the essential elements of the marketing mix are put in place, like potential customers, potential partners, new business opportunities and product positioning.Marketing(strategic) systematic approach to defining the product or service, value proposition, target customers and price points (operational) use of promotional activities in order to increase the sales of a service or product, including advertising, promotion, pr, web presence, social media and other means
- #73 Don’t fear your competition, fear your customers, your customers will take their money and run away from you, but your competitors wont. Jeff bezos. AzmnFocus on what will get you to your first sale/salesAnd what will get you there/ knowing your customer and knowing you product fits their needs
- #74 Pre and post sales
- #78 Test and measurement just like engineeringCustomer Discovery is replaced by “market research,” which serves to support your assumptions rather than validate them. The process resembles the scientific method:Observing and describing a phenomenonFormulating a causal hypothesis to explain the phenomenonUsing a hypothesis to predict the results of new observationsMeasuring prediction performance based on experimental testsWhen building a business, the process is used to discover, test and validate the following your business assumptions:A specific product solves a known problem for an identifiable group of users (Customer Discovery)The market is saleable and large enough that a viable business might be built (Customer Validation)The business is scalable through a repeatable sales and marketing roadmap (Company Creation)Company departments and operational processes are created to support scale (Company Building)
- #114 In this session we are going to do something a bit different. Today you will learn about creating your messaging, aka what we call the pitch. I’ll discuss what it is, why it is so important to you and also what a pitch should look like. But then, we are going to actually have you create, or re-create, your own pitches, working in teams. And then, Pop Idol style, we are going to have you present your pitch to us. We will critique and help you refine your pitch, and then we will award a special prize. So sit back for a few, boring traditional slides, and then get prepared to create the foundation of something you can use going forward. And yes, we know you will only have 30 minutes or so to create your pitch, but this is what being agile is all about: create fast, test, and re-create as needed, so we’ll be getting you ready for this too.
- #116 Technology is about how you do it
- #121 Pitch is like “marketing” or “business development” and typically not translated. It’s an unusual word as it means, in English, many things in different circumstances. From a business perspective, though, it is a short, structured message a company would give to an audience it wants something from, typically a VC, or a customer. It’s a form of speech where in a short period of time (as little as 30 seconds and typically no more than 10 minutes), the pitch giver must persuade the audience that the company’s technology, marketing strategy, market position, finances, operations and other factors are worthy of closer study, and possibly investment or purchase.How many of you are familiar with baseball? Poland has a national team that plays in the European Championships. In fact, many American baseball players, historically, were born in Poland, especially in the 1930s when Polish immigration to the US was high.In the US we like to use a lot of baseball metaphors in business. Home run for closing a big deal or doing well at something. Slow and over the plate to describe a situation that is easy to do well in. Strike out, when you have failed. And pitch, which is the act of throwing the ball to the batter, to see if he can hit it.In essence, when you are pitching your company, you are sharing your message with someone to make an impact. Like a baseball pitch, your actual pitch wont last long, but it will determine a lot for you and your future success.How many of you have pitches, either short or long for your company, or have given one in the past? Maybe pry a bit about when/where/what type
- #122 Everyone, everyone, in your company is a sales person for your company, and every person has the responsibility to be able to effectively sell what you do. This is not the job of marketing or the CEOEspecially in a startup, you are always selling your ideas, your product, and YOU, your skills as an entrepreneur.You always represent your company and you never know who you are going to run into, not just in an arranged meeting, but at conferences, while traveling, at parties, while sitting at the bar, they might be your next:The various audiences venture, angels, customers, partners, press, employees, future employeesAnd while there are different pitches for different informal and formal situations, we’ll leave today with a message that you can use just about anywhere, with confidence
- #123 Pitching is about moving to the next step with the person you are speaking withGaining initial CREDIBILITY and LIKEABILITY with your audience, gaining their attention so they want moreIn fact you don’t want to give them everything, you want them to have curiosity so they can ask you more
- #124 This is why pitching is so difficult for people. You know so much, have so much excitement, it is very hard to limit that, which is not a bad thing. The art is to be able to distill the true gems of what you doVery unnatural a first, if I am the expert I should tell you all I know, experts teach classes that last 12 weeks and write long bookspainpremisepeopleproofpurpose1. ConciseAn effective elevator pitch contains as few words as possible, but no fewer.2. ClearRather than being filled with acronyms, MBA-speak, and ten-dollar words, an effective elevator pitch can be understood by your grandparents, your spouse, and your children.3. CompellingAn effective elevator pitch explains the problem your Solution solves.4. CredibleAn effective elevator pitch explains why you are qualified to see the problem and to build your Solution.5. ConceptualAn effective elevator pitch stays at a fairly high level and does not go into too much unnecessary detail.6. ConcreteAs much as is possible, an effective elevator pitch is also specific and tangible.7. ConsistentEvery version of an effective elevator pitch conveys the same basic message.8. CustomizedAn effective elevator pitch addresses the specific interests and concerns of the audience.9. ConversationalRather than being to close the deal, the goal of an elevator pitch is to just get the ball rolling; to start a conversation, or dialogue, with the audience.
- #125 Chris O'Leary1. Concise6. Concrete2. Clear7. Consistent3. Compelling8. Customized4. Credible9. Conversational5. Conceptual
- #127 Learn how to say more than “what floor are you going to” in an elevator. The elevator pitch is meant to convey that impromptu time you meet someone, out of the blue, and have a very short amount of time to say something to them—in theory the amount of time it takes to go the average elevator ride, which is 30-60 seconds. It is ironic we call it this in Silicon Valley, btw, because our tallest buildings are typically no more than 2 floors tall, but we all use this style. Again, it is about never knowing WHO you might meet, WHEN you might meet them, WHERE you might meet, and WHAT impact they may have on you going forward. You might as well use every such chance to but your best face forward. You never know what success might come, what great feedback you will get, and frankly practice makes perfect.
- #128 Basic introOptional metaphor, very popular to create this as a quick fix way to put intrigue and context to you. X is generally a well know product/company/brand and y is your target market segment. We are the Facebook for small enterprise customers. We are the Angry Birds of social health gaming. Optional statement We are Intriguing question did you know… fascinating fact
- #129 I am IdaRose Sylvester, Founder and Managing Director of Silicon Valley Link.We are the McKinsey for the lean, European startup.Did you know that hundreds of European startups make their home in the Silicon Valley, yet thousands more are in Europe, hoping to be there?We help high velocity startups to expand globally, who typically find entering the US market to be too costly, up to $100k, or too much to handle.I serve as an interim VP of marketing and US representative for an Italian company that is waiting until the first 3 customers buy their product before moving to the USOur services minimize the cost, time and risk companies normally take if they expand on their own, and we increase the rate and success of their commercializationUnlike bigger firms, we take a hands on, personal approachCan you please introduce me to some startups who hope to expand to the US?Here’s my card, can I have yours so I can email you next week?
- #130 Basic introOptional metaphor, very popular to create this as a quick fix way to put intrigue and context to you. X is generally a well know product/company/brand and y is your target market segment. We are the Facebook for small enterprise customers. We are the Angry Birds of social health gaming. Optional statement We are Intriguing question did you know… fascinating fact
- #133 You must ask so whatEither from a societal persepctive or if they might be your customer from a what would they care persepctive. Also big numbers. Big dollars. Loss and gain, deal with both.
- #136 Team formation, id companies in audience or nascent ideasTry to split people in companies up as best as possible among those withoutCount the number of pitches and allocate timeAssign floatersIterate: this is quick but agile style. Don’t be afraid to experiment, to create something, which if not your final pitch will be a big step towards creating it!
- #137 Basic introOptional metaphor, very popular to create this as a quick fix way to put intrigue and context to you. X is generally a well know product/company/brand and y is your target market segment. We are the Facebook for small enterprise customers. We are the Angry Birds of social health gaming. Optional statement We are Intriguing question did you know… fascinating fact
- #139 You don’t have to move there, or even visit, although you shouldBut as the song goes, if you can make it there you can make it anywhere. Silicon valley is a place of much opportunity, innovation, money, great weather, great people. But it is also extremely challenging. It’s like going to the best university. You work with and compete against the best and smartest people, many of them with more money than you. But this makes you smarter, and faster, and more motivated. And from this frenzy, you also learn best practices, and these best practices will make you succeed anywhere in the world, even if your local market is what you aspire toLitmus test
- #140 3 strategies: move, satellite, interact remotelyFor certain, someone you want to influence will be there at some point, and someone who wants to influence you too
- #141 Nobody eats at the restaurant where only one customer is!