WSMM Technology January Newsletter_vF.pdf

3
TABLE OF CONTENTS Technology
I. Tech IPO Market 5
II. Blockchain and Cryptocurrency 11
III. AI Coverage 23
IV. Deal Coverage 32

4
Tech IPO Market Technology
III. AI Coverage 23

5
Deeper Insights into the Tech IPO Market
1990’s
DOT-COM
BOOM
Surge in tech IPOs,
often fueled by
speculative
investments. Many
companies went
public with little or
no profits, leading
to a subsequent
market crash in the
early 2000s
2000’s
Post Dot-Com
Correction period
where investors
became more
cautious. Focus
shifted to sustainable
business models and
profitability, leading
to a decline in the
number of tech IPOs
2000-
2010
WEB2.0
The rise of
social media
companies like
Facebook and
LinkedIn went
public. Investor
interest revived,
with a focus on
user base and
revenue growth
2010’s
Tech Unicorns
and disruptive
innovation
Disruptive innovations,
particularly in the
sharing economy and
fintech, led to a
resurgence of interest in
tech IPOs, like Uber and
Airbnb. They went
public, often facing
profitability challenges
2020’s
Current
Landscape
Investors
emphasize
sustainable growth,
profitability, and
long-term viability.
The success of
companies like
ARM, with a focus
on advanced
technologies and
strategic
positioning,
indicates a
maturing market
ASIA-
PACIFIC
50%
AMERICA
30%
EMEA
20%
HISTORY OF TECHNOLOGY IPO’s
Regional IPO Contribution
TECHNOLOGY
28%
HEALTHCARE
9%
FINANCE 8%
Other
55%
IPO VALUATION 2023

6
ARM Initial Public Offering (Advanced RISC Machines)
$56.10
$78.57
Tracking ARM Stock Since IPO
Company
Overview
Core
operations
• Processors, graphic processors and system-on-chip (Soc)
solutions
Market
Presence
• ARM processors are in 95% of smartphones with an
ecosystem that includes over 1000 Technology partners
• 180 Billion chips contain ARM technology
Global
Impact
• 90% of world population uses ARM products .
• Leading technology company in processor architecture
as it is an industry standard for mobile and embedded
devices
Financial
Position
• ARM holding increased revenue by 28% over year basis.
• Biggest contributor is license revenue which is up 106%
over the last year
Strategic
positioning
• ARM boosted sales in the premium phone segment.
• This comes after they licensed CPU for embedded AI
• Higher market share has helped increase the royalty
revenue
IPO
Performance
and valuation
• ARM share price has increased 40% since its debut
in IPO in September
• Company was valued at $65 billion after selling 95,5
million shares at $56 a share
EPS PE EV/Revenue EV/EBITDA MARKET CAP
2.1x 71.7x 26.7x 238.7x $77.7B
Future potential and market growth
• ARM’s successful IPO: The successful IPO indicates a boost in investor
confidence in the tech industry, reflecting positive sentiment towards tech
companies entering the public market
• Tech sentiment: ARM's triumph could fuel a broader resurgence in the tech
IPO market, as successful public offerings often attract investor interest,
encouraging more tech firms to pursue IPOs
$45.00
$50.00
$55.00
$60.00
$65.00
$70.00
$75.00
$80.00
9/11/2023
10/1/2023
10/21/2023
11/10/2023
11/30/2023
12/20/2023
1/9/2024
*Sources: Yahoo Finance, ARM 10k

7
Klaviyo, Inc. IPO Milestone and Strategic Growth Outlook
$-
$5.00
$10.00
$15.00
$20.00
$25.00
$30.00
$35.00
$40.00
Tracking Klaviyo, Inc. Stock Since IPO
Future Growth and Market Potential
• Utilizing IPO for Growth: Klaviyo aims to use the net proceeds from its IPO for
expansive growth plans. With a strong total TTM revenue growth rate of nearly
54%, the company is poised to capitalize on the significant market opportunity
in marketing automation software and services, expected to continue its rapid
growth trajectory
• Strategic Diversification and Innovation: Klaviyo plans to diversify its
product offerings and innovate its technology. This strategy will build upon the
company's existing success by exploring new market segments and adapting
its product line to meet the evolving needs of a diverse, global customer base
Company
Overview
Klaviyo, Inc.
Overview
Main Services
and Business
Activities
Financial
Health and
Market
Position
• Klaviyo's platform integrates with various e-
commerce platforms and offers services including
email marketing, text marketing solutions, mobile
push notifications, and a customer data platform to
optimize marketing campaigns and data utilization
• The company's financials have shown strong top-line
revenue growth and a swing to positive operating
profit, with free cash flow for the twelve months
ending June 30, 2023, being $49.7 million
• Klaviyo's efficient spending on capital expenditures and
marketing expenses as a percentage of total revenue
indicates a strong and efficient growth strategy
Top
Customers
• Klaviyo is a technology company, founded in 2012,
specializing in marketing automation through its
software-as-a-service (SaaS) platform
• The platform is integrated with over 300
applications and is used by over 130,000 businesses
• Top customers include: Every Man Jack, Balsam Hill,
Huda Beauty, Titan Fitness, Jenni Kayne
IPO Details
and Valuation
• Klaviyo's IPO involved the sale of 19.2 million shares,
with the company pricing its shares at $30 each,
above the initial indicated range of $25 to $27. This
pricing gave Klaviyo a valuation of $9.2 billion
• The IPO was led by major financial institutions such
as Goldman Sachs, Morgan Stanley, and Citigroup

8
Future of the Tech IPO Market
FUTURE TRENDS
AI ADVANCEMENT
FINTECH HEALTH TECH
• Surge in AI driven
innovation. Investors
recognize the
potential for
groundbreaking
solutions and
disruption, making AI-
focused companies
appealing candidates
for public offerings
• Surge in digital health
solutions, telemedicine
advancements,
personalized medicine
innovations, and an
emphasis on health
data analytics,
reflecting a growing
market interest in
transformative
technologies addressing
evolving healthcare
needs
• There is a rise in digital
payments, blockchain
and cryptocurrency
innovations, neo-
banking models, and
increased adoption of
AI-driven financial
services. This illustrates
the investors appetite
for transformative
technologies in financial
industry
• Geopolitical Tension:
Tech IPO Market showed resilience despite tensions in the
world. The American-China trade ban, prohibited US investors
to invest in Chinese technologies. Despite this most tech stock
still increased showing its resilience
• Increase Interest Rate and High Inflation:
2023 showcased increase in borrowing costs, lowered
valuations, that affected global IPO success across the board.
Tech was still the top IPO sector showing investor incentives
• Accelerated Digitization:
Tech companies offering solutions for remote work, digital
health, and e-commerce continue to attract attention, reflecting
a sustained interest in pandemic-induced transformations
Future of tech IPO’s
• Promising tech IPO future:
1. With interest rate hikes slowing down along with lower
inflation, we could see company valuations increase, and
investors may regain confidence in the tech IPO market,
potentially leading to a resurgence of initial public offerings
2. The rising of tech stocks that went public last year like
Instacart, ARM and Klaviyo along with declining interest
rates could see a major turn around in tech IPO’s this year.
Tech dynamics and resilience

9
Final Analysis on Tech IPO Market
*Sources: CapIQ , Iposcoop
• The pressure from the late-stage venture capital
could force the IPO window further open in 2024
• There are 257 venture-backed companies that are
likely to be weighing up going public in the next
12 to 18 month
• The types of companies that might be successful
in future IPO endeavors could be those that have
recently brought on a CFO with previous IPO or
public-company experience
• The tech IPO market has seen a resurgence with
deal valuations rising
• the post-IPO performance of tech companies has
been mixed. Many companies reported
underwhelming results during their earnings
calls, and their share prices have either stayed flat
or declined since their debut
Analysis of Tech IPO’s Performance
• Tech IPOs averaged a return of -4.6% last year
• The majority (70%) of the 73 IPOs year-to-date
were trading below their IPO price at the time of
Arm’s deal
Current Performance Tech IPO’s Predictions for IPO Market
-107%
-87%
-67%
-47%
-27%
-7%
13%
33%
53%
Arm Holdings plc (NasdaqGS:ARM) Joint Stock Company Kaspi.kz (LSE:KSPI) Klaviyo, Inc. (NYSE:KVYO)
Maplebear Inc. (NasdaqGS:CART) Hanryu Holdings, Inc. (NasdaqCM:HRYU)
Tracking Top Tech IPO’s Within the LTM (Starting From Sept. 21st)
Gold Line Represents 0%

10
Blockchain and Cryptocurrency Technology
III. AI Coverage 19

11
Introduction to Blockchain and Cryptocurrency
A blockchain is a transparent, self-updating record of transactions (ledger),
shared across a network of computers (nodes). Rather than keeping everything in
one central location, it's like having thousands of identical record books spread
across the globe, all constantly syncing up. This leads to decentralization while
greatly improving security
What is the Blockchain
No single entity controls the
blockchain. Everyone on the network
has a copy of the ledger, and any
changes need to be verified by the
majority. This eliminates the risk of a
single point of failure and
manipulation
As a result of this decentralization,
blockchain technology can reduce
friction in the economy:
• Faster transaction speeds, especially
across boarders
• Anyone with internet access can
send and receive money
• Transaction fees are significantly
reduced
Decentralization
Each record in the ledger is a "block"
containing data and a unique digital
fingerprint. These blocks are chained
together with cryptography, making it
nearly impossible to alter past entries
without changing all subsequent
blocks on every single copy of the
ledger. This creates an incredibly
secure chain of evidence
Analogy: Imagine a bank robbery
involved having to simultaneously
break into thousands of identical
vaults spread across the globe, with
each vault automatically alerting all
the others the moment something
suspicious happened
Security
Banks use centralized data storage, making
them potential targets for cyber-attacks
Banks charge fees for transactions, account
maintenance, and other services
Banks have geographic limitations and require
specific documentation to open accounts
Blockchain is secured through cryptographic
hashing and distributed ledger technology
Blockchain's transaction fees can be lower due
to the elimination of intermediaries (ie. banks)
Blockchain is open to anyone with internet
access, promoting financial inclusion

12
History of Cryptocurrency
Cryptocurrencies are digital assets built on top of blockchain technology. They are special coins that exist only in the virtual world, secured by the mechanisms of the
blockchain. Their functions include:
• Currency of the blockchain: Cryptocurrencies are often used as the currency to run transactions on the blockchain. Each transaction consumes a small amount of the native
cryptocurrency, incentivizing miners to validate and record it on the network
• Application Building: Cryptocurrencies, like Ethereum, support smart contracts, self-executing agreements based on pre-defined conditions. These enable innovative
applications beyond just financial transactions, from decentralized marketplaces to prediction markets.
• Investing and Speculation: The volatile nature of some cryptocurrencies also attracts individuals hoping to profit from price fluctuations
Cryptocurrency and its role within the economy
Cryptographer David
Chaum lays the
groundwork with a
blockchain-like protocol
The Satoshi Nakamoto white
paper sparks the birth of
Bitcoin, the first functional
cryptocurrency and blockchain
network.
Ethereum enters the market,
introducing smart contracts and
enabling a wider range of blockchain
applications
Growing institutional interest in
blockchain and cryptocurrencies.
Stablecoins and decentralized finance
(DeFi) applications start to gain
traction
Bitcoin spikes to $250, up
from $1 in 2011, and public
interest picks up
First Bitcoin price surge followed by a
significant crash. Initial Coin Offering
craze leads to regulatory scrutiny
1982 2008 2013 2015 2017 2020 - Present

13
Spot Bitcoin ETFs Overview (Exchange-Traded Funds)
Nature and Benefits of Spot
Bitcoin ETFs
Involvement of Major
Financial Institutions
Regulatory Landscape
and Market Response
• Spot Bitcoin ETFs are financial products available on standard stock exchanges
• Unlike ETFs that track Bitcoin futures, spot Bitcoin ETFs invest directly in
Bitcoin itself and will be trading close to the NAV of Bitcoin
• These ETFs simplify Bitcoin investment for traditional stock market investors
by providing a familiar investment vehicle
• They eliminate the complexities typically associated with direct Bitcoin
transactions, like purchase, storage, and security
Concept and Significance of Spot Bitcoin ETFs
• SEC Approval of Bitcoin ETFs: Approval of 11 Bitcoin ETFs by the U.S. SEC,
including those from BlackRock, Fidelity, and Grayscale, indicating significant
regulatory acceptance
• SEC Chair Gary Gensler's Statement: "Accompanying the agency's approval of
Bitcoin ETFs, [Gensler] warned that the funds' approval shouldn't be taken as
an indication the agency is backing off crypto enforcement." This emphasizes
the SEC's continued focus on regulatory vigilance in the cryptocurrency sector
Regulatory Perspective and Approvals
• Bitcoin price falls 15% following launch of ETFs, as of 1/23/2024
• On their initial trading day Bitcoin ETFs recorded inflows exceeding $4.3 billion
• Blackrock Inc.'s iShares Bitcoin Trust ETF attracted over $1 billion and
Grayscale's Bitcoin Trust experienced inflows surpassing $2 billion
• Bitcoin has gained roughly +63% since BlackRock filed its ETF application
• Anticipation of Growth: The SEC's approval for a spot Bitcoin ETF and the
upcoming Bitcoin halving event in April are anticipated to create substantial
shifts in both supply and demand for Bitcoin. This is expected to enhance
liquidity and price stability, boosting Bitcoin's legitimacy among established
financial institutions
Market Response and Investment Trends
• BlackRock's Role in Bitcoin ETFs: BlackRock has taken a leading role in the
Bitcoin ETF space, highlighting the growing interest of large asset management
firms in cryptocurrency investment vehicles
• JPMorgan as an Authorized Participant: JPMorgan has been named as an
authorized participant for BlackRock's spot Bitcoin ETF. This is a significant
move, especially considering JPMorgan's CEO Jamie Dimon's previously critical
stance on cryptocurrencies
• The involvement of these major financial institutions and the SEC’s approval of
Spot Bitcoin ETF’s indicates that these institutions recognize the potential and
value of cryptocurrencies as part of their investment strategies
Corporate Involvement and Future Outlook
*Sources: CNBC, Financial Times, WSJ

14
5
12
56
71
124
143
205
524
3,990
6,453
Facebook
Google
Switerland
Bangladesh
Norway
Bitcoin
World's Data Centers
Germany
USA
China
$42,280.23
$40,075.55
$34,000.00
$36,000.00
$38,000.00
$40,000.00
$42,000.00
$44,000.00
$46,000.00
$48,000.00
Tracking Bitcoin Spot Bitcoin ETF Investment Catalysts & Risks
*Sources: Yahoo Finance, Cambridge Centre for Alternative Finance
1. Bitcoin pricing as of 1/26/2024
1Tracking Bitcoin Price Throughout January
Annual Electricity Consumption in Comparison (in TWh)
• Bitcoin devours more electricity
than many countries
• Bitcoin figures as of May 2021
• Country values as of 2019
SEC’s Approval of
Spot Bitcoin ETFs
• Increased accessibility and adoption: Spot ETFs offer a familiar and regulated
investment vehicle for traditional investors, potentially boosting adoption and
driving up demand
• Potential Inflation Hedge: Bitcoin's limited supply (21 million) makes it
attractive as an inflation hedge
• Technological advancements and ecosystem growth: Developments like the
Lightning Network aim to address Bitcoin's scalability limitations, potentially
enhancing its usability and attracting new users
• Clearer regulatory framework & ETF approvals: Increased regulatory clarity
could ease concerns & attract hesitant investors. This could boost market
confidence
Spot Bitcoin ETF Investment Catalysts
• Volatility and Market Risk: Bitcoin's price is notoriously volatile, experiencing
significant swings in both directions. This can lead to substantial losses for
investors, especially during market downturns
• Regulatory Uncertainty: The regulatory landscape surrounding Bitcoin and
cryptocurrencies is still evolving, with potential for government crackdowns or
restrictions. This can deter investors and negatively impact market sentiment
• Technological Risks: The blockchain, is still under development and faces
limitations like scalability and security vulnerabilities
• Security Risks: Bitcoin exchanges and wallets can be targets for hacking and
cyberattacks, leading to theft of investors' holdings. Additionally, individual
investors can be susceptible to scams and phishing attempts
Spot Bitcoin ETF Investment Risks

15
Analyzing Bitcoin ETFs Performance Since IPO
*Sources: Investopedia
-35.00%
-30.00%
-25.00%
-20.00%
-15.00%
-10.00%
-5.00%
0.00%
ARK 21Shares Bitcoin ETF (BATS:ARKB) Bitwise Bitcoin ETF Trust (ARCA:BITB) Ishares Bitcoin Trust (NasdaqGM:IBIT)
Franklin Bitcoin ETF (BATS:EZBC) Fidelity Advantage Bitcoin ETF (TSX:FBTC) Grayscale Bitcoin Trust (ARCA:GBTC)
Hashdex Bitcoin Futures ETF (ARCA:DEFI) Invesco Galaxy Bitcoin ETF (BATS:BTCO) Vaneck Bitcoin Trust (BATS:HODL)
Valkyrie Bitcoin Fund (NasdaqGM:BRRR) Bitcoin Well Inc. (TSXV:BTCW)
Tracking all Bitcoin ETFs (By % Change) Since IPO on Jan. 11th
Performance Range: The ETFs show a decline in
performance over the period, with the majority
having losses between 10% to 30%
Bitcoin ETFs' January volatility mirrors the Bitcoin
market's swings and expectations around the spot ETF
approvals, leading to potential price drops amid "sell-
the-news" events
Market Sentiment: The overall downward trend
could reflect bearish market sentiment towards
Bitcoin or cryptocurrencies during this time frame
Bitcoin ETFs performance may also be impacted by
broader economic factors, such as institutional adoption
and regulatory developments, which can induce
significant price movements in the crypto market

16
Varying Assets Compared to Bitcoin Including Opinion Based Final Analysis
Traits of Money Gold
Fiat
($ Dollar)
Crypto
(Bitcoin)
Fungible (interchangeable) High High High
Non-Consumable High High High
Portability Moderate High High
Durable High Moderate High
Highly Divisible Moderate Moderate High
Secure (Cannot be counterfeited) Moderate Moderate High
Easily Transactable Low High High
Scarce (Predictable Supply) Moderate Low High
Sovereign (Government Issued) Low High Low
Decentralized Low Low High
Smart (Programmable) Low Low High
*Sources: Investopedia
• Final Analysis (opinion based): The involvement of major financial institutions like BlackRock, JPMorgan, Fidelity Investments,
Arc Investments, and others in Bitcoin ETFs, along with the SEC's approval, signals a major shift in Bitcoin's mainstream
acceptance. This movement is not only indicative of Bitcoin's growing prominence in the traditional financial world but also
highlights its key traits of being highly secure and easily transactable. These developments represent a substantial change in the
perception and acceptance of Bitcoin, reflecting its strengths as outlined in the chart

17
Binance Overview
1.5M
13.3M
16.5M
21.5M
28.6M
31.0M
0.0M
5.0M
10.0M
15.0M
20.0M
25.0M
30.0M
35.0M
$59 $516
$401 $1,071
$9,580
$5,290
$(2,000)
$-
$2,000
$4,000
$6,000
$8,000
$10,000
$12,000
2017 2018 2019 2020 2021 2022
Binance Annual Users 2017 to 2022
Binance is a crypto-exchange platform founded by Canadian Chinese entrepreneur
Changpeng Zhao in 2017. The platform gained popularity due to low transactions fees, fast
processing speeds, and the issuance of its own native coin BNB. Today, the company is one of
the largest crypto exchanges with daily trading volumes of approximately 15 Billion USD
In Nov. 2023, Zhao pleaded guilty of money laundering charges from imposed by the US’s
SEC. Binance faced 4.3 Billion USD in fines and with the former CEO facing up to 18 months in
prison. Some other charges faced by Binance include operating an unregulated exchange on
U.S. grounds, misleading investors, unregistered offer and sale of crypto assets
History
History
Service
Role
SEC
Spot
Trading
Binance
Pay
Peer-to-
Peer
Binance
Earn
Company Overview
Binance Annual Crypto Exchange Volume

18
Fallout of SVB and the Impact on Crypto
The uncertainty of SVB’s collapse initially imposed a large strain
on the overall crypto market. Major crypto companies such as
Circle, Roku, and Block-Fi held deposits of $3.3B, $487M, and
$227M before the bank’s shutdown. When federal regulators
took over (March 10, 2023), Circle’s stable-coin USDC unpegged
from the dollar at $0.89 due to the company holding 8% of the
coin’s reserves in SVB
After the FDIC insured depositors, USDC recovered its 1 to 1 peg
with USD and major coins such as BTC and ETH rose 6.03% and
9.29%. However, SVB’s shutdown sparked a major debate
between crypto enthusiast and the banking sector. Some criticize
crypto companies for their overreliance on traditional banking
systems, with FDIC’s intervention being a clear example. Others,
use SVB’s case as reminder to all for a need to shift into DeFi
ETH
BTC
-10.00%
-5.00%
0.00%
5.00%
10.00%
15.00%
Daily Returns of BTC and ETH during SVB's Fallout
SVB announces $1.8B
loss and Cap Raise
Federal regulators
shutdown operations
FDIC reopens SVB
insuring depositors
SVB’s influence on Crypto Banking Sector vs Cryptocurrency and Fintech

19
Blockchain Technology Explained (High-Level)
Every time a transaction takes place on the blockchain, the following takes place:
1. Transaction takes Place: Individuals initiate an exchange of value or
ownership on the blockchain, such as sending cryptocurrency or transferring
a digital asset (ie. NFT)
2. Broadcast to Network: The transaction details become public knowledge.
The transaction spreads across the network to inform each node that a
transaction is been initiated
3. Validation: Each computer on the network checks if the transaction adheres
to the blockchain's pre-defined rules, like ensuring sufficient funds exist and
that no double-spending attempts occur. This is done to ensure integrity and
prevent fraud
4. Consensus: The majority of computers must agree on the transaction's
validity before it's officially recorded, fostering trust and collective decision-
making
- Proof-of-Work: Solving Math for Consensus: miners compete to solve
complex mathematical puzzles to earn the right to add the next block
to the chain and claim a reward (Bitcoin mining)
5. Block Addition: The approved transaction is permanently added to the
blockchain's history, becoming a new block that's cryptographically linked to
all previous blocks. This creates an unbreakable chain of evidence, preventing
hackers from manipulating the blockchain
Blockchain Transaction mechanism Blockchain applications beyond cryptocurrency
Supply Chain
Management
Healthcare
Real Estate
Blockchain provides a transparent
ledger, helping trace products from
origin to consumer. Thus, companies can
address sources of contamination,
leading to increased consumer trust and
regulatory compliance
Blockchain’s unalterable nature makes it
ideal for storing sensitive healthcare
data. This ensures that medical records
are accurate, consistent, and only
accessible by authorized personnel
Blockchain can simplify property
transactions by reducing
paperwork. Smart contracts
in blockchain technology can automate
payments and property transfers.
Additionally, it can verify property
ownership and history

20
Investment Opportunities in Blockchain and Cryptocurrency (Ben)
Investment Opportunities in Blockchain and Cryptocurrencies
Direct Cryptocurrency Investment:
• Focus on established cryptocurrencies like Bitcoin and Ethereum. These are known for their longevity and have shown resilience over time.
• Consider a long-term investment horizon to potentially benefit from price appreciation
• Invest in stablecoins pegged to traditional assets like USD for relative price stability (ie. USDT)
Decentralized Finance (DeFi):
• Earn interest on your cryptocurrency by lending it out in lending protocols: Utilize DeFi lending platforms to lend your cryptocurrency assets. This can generate
interest income, similar to a traditional savings account but in the crypto ecosystem
• Participate in liquidity pools and market-making for potential rewards
• Explore yield farming strategies for potentially higher returns (higher risk)
Blockchain Stocks and ETFs:
• Invest in companies directly involved in blockchain development and applications (ie. Nvidia or Amazon)
• Consider blockchain-focused ETFs for diversified exposure without directly holding cryptocurrency (ie. BLOK)
Risks and Returns
Risk 1: Volatility
Risk 2: Regulation
Risk 3: Technical
Complexity
Cryptocurrencies are very volatile, experiencing significant price
swings that can lead to substantial losses. The value can rapidly rise
and fall in response to news, speculation, and market forces
The regulatory landscape surrounding cryptocurrencies is still
evolving and varies from country to country. This can create
uncertainty and could negatively impact its value and use
Using cryptocurrencies can be technically complex, especially for
newcomers. Understanding blockchain technology, private keys, and
different wallets can lead to potential mistakes and loss of funds

21
Case Study: Sam Bankman-Fried and Ethical Considerations
From Forbes (Opinion): The Ethical Polarities of Crypto
“The ethical case in favor of crypto falls apart. None of the positive claims can be sustained. It does not promote financial inclusion, but
exposes the most vulnerable groups to greater risk and higher cost. It does not guarantee privacy or anonymity. And it is certainly not a
plausible solution for improving democracy”
“The negative case, on the other hand, is strong – and getting stronger. Fraud is growing explosively. Criminality dominates the crypto-
economy. Hacking is on the upswing, and would seem to be out of control. Bitcoin’s energy footprint and transaction costs – already bad,
actually increase with scale. All the trends that the ethicists would care about are going in the wrong direction. If there is a better case to
be made for the positive value of crypto, it will have to come from elsewhere”
Ethics
and
Expectations
in
Crypto
Currency
Nov 2, 2022
Nov 2, 2023
Nov 11, 2022
Nov 9, 2022
Jan 3, 2023
Dec 13, 2022
Oct 2, 2023
Jul 26, 2023
Competitor Binance
exits out of FTX’s bailout
of $8 Billion after due
diligence
In the Bahamas,
Bankman-Fried faces
charges by DOJ, SEC,
CFTC
After attempted witness
tampering, a gag order is
placed on Bankman
FTX declares chapter 11
and Sam Bankman-Fried
steps down as CEO
Bankman-Fried
extradite in the U.S.
pleads not guilty
Criminal trials over
SBF’s mismanagement of
customer funds start
CoinDesk
reports
Balance
Sheet
Alameda
Research
Jury
convicts
Bankman-
Fried on all
counts

22
AI Coverage Technology
III. AI Coverage 23

23
128
89
87
85
85
79
67
57
56
55
55
50
44
44
44
39
38
36
30
0 20 40 60 80 100 120 140
Travel
Retail
High-tech
Chemicals
Basic Materials
Consumer Packaged Goods
Healthcare Systems
Telecommunications
Insurance
Aerospace and Defense
AI's Value Creation / Trading Comps
15%
16%
69%
AI can improve
performance over other
analytical techniques
AI necessary to capture
value (Greenfield)
Full value captured using
non-AI techniques
AI Value Creation
Sector
Breakdown
Breakdown of use cases by applicable technique
Companies
Day Close Price
($ USD)
52w High Price
($ USD)
% change of
52-Week
Shares O/S
(Millions)
Market Cap
($M USD)
Enterprise Value
($M USD)
EV/ EBITDA
(LTM)
EV/EBITDA
(FY)
EV/Revenue
(LTM)
$ 409.72 $ 409.98 -0.06% 7,432.3 $ 3,002,113.70 $ 2,963,849.70 26.4x 28.1x 13.6x
$ 153.51 $ 153.78 -0.18% 12,516.0 $ 1,913,936.10 $ 1,824,447.10 18.2x 15.02x 5.97x
$ 401.02 $ 402.92 -0.47% 2,569.9 1,012,885.70 $ 988,638.70 17.5x 13.98x 7.8x
$ 624.65 $ 628.49 -0.61% 2,470.0 1,507,465.70 $ 1,500,211.70 66.9x 46.01x 33.4x
$ 630.23 $ 636.25 -0.95% 452.0 277,496.40 $ 273,734.40 37.1x 25.52x 14.1x
Median 26.4x 25.5x 13.6x
Average 33.2x 25.7x 15.0x

24
Roadblocks to AI Implementation
Organizations will
have to develop robust
data maintenance and
governance processes
and implement modern
software disciplines
Software
Human
Capital
Demand for these skills
far outstrips supply at
present; some estimate
fewer than 10,000
people have the skills
necessary to tackle
serious AI problems
Key data engineering
challenges include
data creation or
acquisition, defining
data ontology, and
building appropriate
data “pipes”
Hardware
Successful
Integration

25
AI in M&A Activities
• One of AI's biggest advantages is being able to aggregate vast amounts of data
from financial statements and news articles which is important for establishing
patterns and can even help speed up the process in relevant information of
specific criteria that M&A firms are looking out for. By setting these custom
parameters AI can help narrow down potential targets that align with the firm
• With predictive analysis AI can identify potential risks and opportunities which
can greatly speed up the time in which due diligence is completed
AI's Role in M&A Recent AI involvement in M&A
Other Uses
AI's Role in M&A
• Project Management: Aside from predictive analysis and its use in identifying
key targets, AI can also help in project management by coordinating tasks,
timelines, and resources for analysts thus helping employees
• Market Sentiment Analysis: AI can analyze market sentiment to gauge how
investors and stakeholders perceive the potential acquisition, which
could influence valuation decisions
Integrating AI into M&A is a complex undertaking given the intricacies of M&A
transactions. Successfully implementing AI into the deal process demands
meticulous planning and execution, requiring considerable effort to ensure that it
adds substantial value, justifying the investment of both time and resources for
organizations
Notably, the recent unveiling of OpenAI's ChatGPT store introduces a promising
development in specialized GPT models tailored for distinct tasks. Take LegalGPT,
for instance, specifically designed to handle legal matters and streamline the
process of dealing with legal documentation. This focused specialization
demonstrates the potential for more tailored GPT models in the future, such as
those finely tuned for financial modeling. While the full extent of these
possibilities is yet to be realized, it opens the door to a future where increasingly
specialized GPTs may revolutionize specific aspects of complex processes like
financial modeling in M&A
Human
Involvement
and Expertise
• M&A processes often involve a high level of human judgment,
negotiation, and relationship-building. While AI can enhance
various aspects of the process, there may be a perception that
certain elements require the nuanced understanding and
expertise of human professionals
Confidentiality
and Security
Concerns
• M&A transactions often involve sensitive and confidential
information. Companies may be hesitant to adopt AI
solutions due to concerns about data security and the
potential for leaks during the deal-making process

26
• 77% expressed
concern AI will cause
job loss as soon as next
year
• 400 million workers
could be displaced
globally by AI-related
advancements
• The manufacturing
industry is expected to
gain $3.8T by 2035
• WEF projects 97m jobs
created to counteract
displacement
• Software and data
engineer demand is
expected to grow
significantly
Will there be an AI Bubble?
Key Statistics
Expected market size
to reach $407B by
2027
21%
estimated
net impact
on US GDP
by 2030
Expected annual
growth rate of
37.3% from 2023
to 2030
64% of
businesses
expect AI to
increase
productivity
Impact on Employment & Workforce
Public sentiment and business leader expectations believe AI
implementation and value creation are still in their infant
stages. There is still a significant runway for growth.
However, the impact on job displacement is greater than
resulted job creation
Positive Negative

27
Future of AI and Quantum Computing
Where is AI going?
Full
Realization
of Value
Continuous
Learning
• AI that can continuously learn and adapt to changing circumstances without extensive retraining could offer
a vast and dynamic range of opportunities
Energy-
Efficient
• Energy-efficient AI models could address concerns about the environmental impact of large-scale AI
deployments. More sustainable AI solutions could see increased adoption and contribute to positive societal
and environmental outcomes
Ethical AI
• Addressing ethical concerns and mitigating biases in AI algorithms could result in broader applicability of
AI in diverse societal contexts
I hypothesize that three pivotal factors will shape groundbreaking developments in
AI, ushering in a new era of significant value creation. First, Continuous Learning
and Adaptive Learning is poised to revolutionize the capabilities of AI. The ability for
AI systems to continuously learn, evolving dynamically without the need for
extensive retraining on fresh data, is a game-changer, unlocking unprecedented
possibilities. Secondly, Energy Efficiency stands as a crucial determinant in the
widespread integration of AI across diverse products and services. Breakthroughs in
energy-efficient AI models are not just about sustainability; they hold the potential
to bring AI into the fabric of our daily lives, making it an integral part of everyday
products and services. Lastly, the paramount importance of Addressing Ethical
Concerns in AI cannot be overstated. Establishing trust is imperative for the
acceptance and responsible use of AI. By robustly addressing ethical considerations,
we pave the way for AI systems that are not only powerful but also reliable and
trustworthy, instilling confidence in their application across various domains
Intersection of AI and Quantum Computing
Quantum machine learning (QML) is an emerging
field that combines quantum computing with
machine learning techniques. QML algorithms,
such as quantum neural networks, have the
potential to outperform classical machine learning
models, especially in handling certain types of
complex data structures. Quantum computers
leverage the principles of quantum mechanics to
perform computations at speeds unattainable by
classical computers. This immense processing
power could exponentially accelerate AI
algorithms, enabling the handling of more
complex problems and larger datasets

28
Top AI Startups
• Valuation: $29B
• Total Funding: $11.3B
• OpenAI is the most highly valued AI startup
in the world. The company unveiled GPT-3
or Generative Pre-trained Transformer 3, its
breakthrough LLM with 175 billion
parameters
• Valuation: $5B
• Anthropic wants to build Large Language
Models that are reliable, interpretable, and
steerable
• Valuation: $7.3B
• Total Funding: $600M
• Scale wants to accelerate the development of
AI applications by providing high-quality
training data. through data annotation, data
management, and machine learning
operations
• Valuation: $4.5B
• Total Funding: $400M
• Hugging Face offers developers to browse and
use thousands of pre-trained machine learning
models
• Valuation: $4B
• Inflection AI is an AI studio that aims to build a
personal intelligence (PI) AI for general public
use
Cohere
Valuation: $2.2B
Total Funding: $445M
Dialpad
Valuation: $2.2B
Asapp
Valuation: $1.6B
Cresta AI
Valuation: $1.6B
Jasper
Valuation: $1.5B
Most Valuable AI Startups

29
Ethical and Social Implications of AI
• AI Ethics: Address ethical
considerations in AI development and
deployment, such as bias and privacy
concerns.
• Social Impact: Explore AI's
broader social implications, including its
potential to address or exacerbate
societal challenges.
AI Ethical
Considerations
Bias:
• The algorithms
themselves can
introduce bias based
on the design choices
made by developers.
This can happen
unintentionally or due
to the inherent biases
of the developers
• If the data used for
training is biased, the
AI model may
perpetuate or even
exacerbate existing
biases
Privacy Concerns:
• AI systems often
require large amounts
of data and may
involve sensitive
information. There is a
risk of unauthorized
access of this data,
leading to privacy
breaches
• AI technologies has
been used for mass
surveillance and
tracking individuals.
This raises concerns of
privacy rights
Accountability:
• Ethical AI
development
involves taking
responsibility for
issues that may
arise. This includes
addressing bias,
responding to
unintended
consequences, and
continuously
monitoring and
updating systems to
ensure ethical use
• AI can automate repetitive and mundane tasks, freeing up human
resources to focus on more creative, complex, and value-added
activities
• Increased efficiency in various industries can lead to economic
growth and improved productivity
Automation and Efficiency:
• The rise of AI-driven technologies, such as virtual assistants and
social robots like AI girlfriends , may contribute to social isolation as
individuals spend more time interacting with machines than with
other humans which can spawn its own flurry of problems
Social Isolation:
• AI-powered educational tools can provide personalized learning
experiences, catering to individual needs and learning styles
Education and Accessibility:
Potential Societal Implications

30
Conclusion and Key Takeaways
The transformative impact of AI on various industries is undeniable, and it continues to evolve at a rapidly. AI technologies have the potential to revolutionize the way
businesses operate, enhancing efficiency, productivity, and decision-making processes. Despite the immense potential, many companies have yet to fully integrate AI into
their workflows, facing various challenges and hesitations. One major reason for the slow adoption of AI is the complexity and cost associated with its implementation.
Integrating AI systems often requires significant upfront investment, both in terms of technology infrastructure and employee training. Despite these challenges, forecasts
consistently indicate that AI will continue to advance and play an increasingly vital role in shaping the future of various industries. As AI technologies mature, and offer
greater customization options, the barriers to adoption are likely to diminish. While many industries have yet to fully integrate AI into their workflows, the ongoing
disruption caused by AI and the promising forecasts suggest that widespread adoption is on the horizon. Overcoming challenges related to costs, job displacement
concerns, and awareness will be crucial for businesses to harness the full potential of AI
Key Insights Summary
FUTURE OUTLOOK
AI Innovation and Industry Disruption Regulatory Frameworks Mass Integration and Collaboration
• The future of AI can transform and innovate
across various industries. As AI matures, investors
recognize the potential for groundbreaking
solutions and disruption, making AI-focused
companies more valuable
• It seems as though it is only a matter of time for
regulations come and set rules and boundaries for
how AI can be used and how people are held
responsible. Policymakers will play a key role in
shaping the ethical guidelines and regulations that
govern AI applications.
• The future of AI involves increased collaboration
between , such as blockchain, 5G, and the
Internet of Things (IoT), will create synergies
that amplify their impact. This collaborative
integration is expected to result in more holistic
and effective solutions

31
Deal Coverage Technology
III. AI Coverage 23

32
-84%
16%
116%
216%
316%
416%
516%
616%
Cisco Systems, Inc. (NasdaqGS:CSCO) Palo Alto Networks, Inc. (NasdaqGS:PANW)
Arista Networks, Inc. (NYSE:ANET) Fortinet, Inc. (NasdaqGS:FTNT)
Juniper Networks, Inc. (NYSE:JNPR) Super Micro Computer, Inc. (NasdaqGS:SMCI)
Hewlett Packard Enterprise Company (NYSE:HPE)
Networking Hardware Industry Overview
• With the surge in data traffic, there's a heightened need for networking
solutions that can handle high speeds. This demand is driven by the
growing volume of data being transferred across networks, necessitating
robust and efficient hardware to support these data flows
• The adoption of cutting-edge technologies like 5G and the Internet of
Things (IoT) is on the rise. These technologies require advanced
networking hardware to function effectively, thus driving the industry's
growth
• As more businesses transition to cloud computing, the need for networking
hardware that supports cloud services and applications increases. This
trend is bolstered by the shift towards remote work and the reliance on
cloud-based platforms for various business operations
Increasing
Demand for High-
Speed Networking
Solutions
Proliferation of
Next-Generation
Networking
Technologies
Growing Demand
for Cloud-Based
Services and
Applications
Deal Flow Drivers
Tracking Top 7 Industry Players Share Price Percentage Change (%)
• The global hardware market grew from $111.44 billion
in 2022 to $121.34 billion in 2023, with a projected
increase to $164.21 billion by 2027, showing robust
growth in the industryThe IT Hardware Market is
estimated to grow from USD 130.86 billion in 2024 to
USD 191.03 billion by 2029, with a CAGR of 7.86%
• The introduction of 5G technology is expected to boost
the adoption of connected devices in organizations
• Increasing digitization in the public sector is
significantly driving the IT hardware market
• In 2022, the hardware segment accounted for over
57% of the global revenue in this market
Industry Key Facts
Gold Line Represents 0%

33
Juniper Networks Company Overview
Company
Overview
Inception
Business
Segments
Product Lines
• Juniper Networks is a multinational corporation
headquartered in Sunnyvale, California. It specializes in
networking products like routers, switches, network
management software, network security products, and
software-defined networking technology
• Founded: 1996
• Founders: Pradeep Sindhu
• Juniper's product families include T-series (core
routers), MX Series (edge routers), EX Series
(Ethernet switches), QFX Series (datacenter switches),
and SRX Series (security products), plus a range of
software solutions and WLAN products
Customers and
End Markets
Company
Overview
Key Areas of
Expansion for
Juniper
Networks
• 1. AI-Native Networking Digital Experience Twin:
Implementing Mist AI for proactive network issue
identification & resolution
• 2. Marvis Virtual Network Assistant for Data Centers:
Offering AI-native assistance for managing various
hardware in data centers
• 3. AI Data Center Solution Expansion: Enhancing AI
training and inference clusters with advanced networking
architecture and management
• Initially focused on core routers used by
ISPs, expanded into edge routers, data centers,
wireless networking, and other networking areas
• It holds significant market shares in routers,
switches, and security products
• Juniper serves a wide range of markets, including
internet service providers, large enterprises, and
various sectors needing advanced networking/ security
Income Statement Historical:
($M USD) FY21 FY22 FY23
Total Revenue: 4,735.4 5,301.2 5,648.5
(-) Cost of Sales -1995.3 -2342.9 -2426.8
Gross Margin: 2,740.1 2,958.3 3,221.7
Gross Margin % 57.9% 55.8% 57.0%
(-) Total Operating Expenses: -2309.7 -2419 -2597.4
Operating Income (EBIT): 430.4 539.3 624.3
EBIT Margin: 9.1% 10.2% 11.1%
EBITDA 667.8 757.0 824.0
EBITDA Margin: 14.1% 14.3% 14.6%
(+/-) Other Income (Expense) - - -
Earnings Before Income Tax (EBT): 310.1 531.5 428.3
(+/-) Income (Loss) from Discont. Ops - - -
Net Income to Parent: 252.7 471.0 366.3
Net Income Margin: 5.3% 8.9% 6.5%
Balance Sheet
Total Assets: 8,887.0 9,326.7 9,404.8
Total Liabilities: 4,570.1 4,851.6 5,073.6
Total Equity: 4,316.9 4,475.1 4,331.2
• Increasing Gross Margin: Juniper Networks has seen consistent growth in
gross margins, improving cost efficiency or market pricing power
• Consistent Revenue Growth: There's a steady increase in revenue across
product sales and services, especially in the AI-Driven Enterprise segment
• Fluctuating Net Income: While there's overall growth in operating income and
EBITDA, net income has shown fluctuations, suggesting variability in factors
affecting profitability
Key Takeaways from FY21 to FY23 Financials

34
$43.40
27.00
35.50
19.18
36.27
53.74
33.98
40.22
36.79
35.55
35.74
$0.54
5.61
8.52
5.80
10.71
25.26
13.29
12.48
25.35
24.50
29.52
$- $20.00 $40.00 $60.00 $80.00 $100.00
Variable
Per Share Value
Assumptions
Trading
Comps
Revenue
LTM
Use Comps of
1.Cisco Systems
2.Ciena Corp
3.Motorola Solutions
4.Garmin Ltd
5.Arista Networks
6.HPE
CY 24
CY 25
Trading
Comps
EBITDA
LTM
CY 24
CY 25
Trading
Comps
P
/
E
LTM
CY 24
CY 25
M&A
Comp
LTM Revenue
• Used Transactions in the Last 12
Months in the Networking
Equipment Space
DCF
Multiple
Method
• WACC of 7.76% - 9.64%
• EBITDA Multiples of 11.2x – 16.0x
Football Field for Juniper Networks
Current Share Price: $36.69 Offer Price: $40.0

35
Juniper’s Forward Multiples Shows that Its Undervalued Compared to Peers
EV / Revenue Multiples for 2024 & 2025
EV / EBITDA Multiples for 2024 & 2025
P/E Multiples for 2024 & 2025
*Sources: CapIQ
3.3 x
1.7 x
5.4 x
3.4 x
10.4 x
1.0 x 2.3 x
3.5 x
1.8 x
5.7 x
3.7 x
11.8 x
1.0 x 2.4 x
0.0 x
2.0 x
4.0 x
6.0 x
8.0 x
10.0 x
12.0 x EV / FY24 Revenue EV / FY25 Revenue
9.4 x 11.8 x
18.4 x
15.2 x
27.3 x
5.3 x 11.7 x
14.3 x
21.5 x
28.0 x
16.9 x
31.5 x
13.2 x
0.0 x
10.0 x
20.0 x
30.0 x
40.0 x
9.8 x 9.5 x
15.3 x 15.5 x
25.4 x
3.3 x
18.4 x
16.2 x
28.0 x 29.0 x
21.1 x
38.3 x
9.3 x
18.1 x
0.0 x
10.0 x
20.0 x
30.0 x
40.0 x

36
$13.00
$14.00
$15.00
$16.00
$17.00
$18.00
$19.00
Hewlett Packard Enterprise
Company
Overview
Inception
Business
Segments
Product Lines
Hewlett Packard Enterprise is a global edge-to-cloud
company that provides solutions to connect, protect,
analyze, and act on data and applications
• HPE was founded on November 1, 2015, following
the split of Hewlett-Packard Company.
• Headquarters: Located in Spring, Texas, USA
Data Storage, Compute, Networking, Software, Services
Customers and
End Markets
Company
Overview
• Intelligent Edge: Offers network security platforms,
including products from Aruba Networks and Silver
Peak Systems
• High Performance Compute & Mission Critical
Systems (HPC & MCS): Focuses on high-performance
computing and mission-critical systems
• Compute: Core server business
• Storage: Provides core storage solutions
• HPE Financial Services: Offers financing services for
customers and partners
• Advisory & Professional Services (HPE
Pointnext): Provides consulting services.
• Corporate Investments: Includes HPE's venture
capital arm and Communications Technology Group`
Tracking HPE Share Price Change
$16.01
$15.89
Key Areas of Expansion for Hewlett Packard Enterprise
• Edge-to-Cloud Strategy Enhancement: Strengthening HPE's position in AI-
native environments with cloud-native architecture integration.
• AI and Cloud Integration: Merging Juniper’s AI and cloud platform with
HPE’s existing networking and AI infrastructure
• Expanded Networking Capabilities: Broadening HPE's networking
solutions, catering to complex and diverse connectivity needs
• Market Expansion: Entering new segments like data center networking,
firewalls, routers, and increasing presence in data centers and cloud
providers
HPE's top 1,000 partners, who have invested in the HPE
GreenLake pay-per-use cloud service, make up 80% of
the company's partner business.
Deal Announcement (Jan. 9th)
Before this, the unaffected stock
price was $17.73 (Jan. 8th)
HPE dropped -10.4% on the
day of the announced deal

37
Hewlett Packard Enterprise Acquiring Juniper Networks Overview Deal breakout , Synergies, and Other Conditions
Revenue
Synergies
Cost
Synergies
Strategic
Synergies
• HPE's acquisition is expected to significantly enhance its
networking business, potentially doubling its size by integrating
Juniper's AI-Driven Enterprise segment which has shown rapid
growth
• The deal is anticipated to realize $450 million in annual cost
savings through operational efficiencies within three years post-
acquisition, contributing to improved profitability
• Combining HPE's and Juniper's portfolios will increase HPE's
revenue from the networking segment and allow for greater
investment in high-growth areas like AI and cloud, while also
improving shareholder returns
Potential Synergy Opportunities
• Acquisition Announcement: Hewlett Packard Enterprise (HPE) has entered into a definitive agreement to acquire Juniper Networks on January 9, 2024
• Transaction Details: Juniper Networks shareholders will receive $40.00 per share in cash. The transaction is valued at approximately $14 billion and represents a
premium of around 32% over the unaffected closing price of Juniper’s stock on January 8, 2024.
• Leadership Post-Transaction: After the acquisition is complete, Juniper CEO Rami Rahim is set to lead the combined HPE networking business, reporting to HPE
President and CEO Antonio Neri
• Transaction Advisors: J.P. Morgan Securities LLC and Qatalyst Partners are serving as financial advisors to HPE. Goldman Sachs & Co. LLC is serving as the exclusive
financial advisor to Juniper Networks
• Note: The acquisition is expected to close in late 2024 or early 2025, subject to regulatory approvals and other customary closing conditions. This acquisition is poised
to accelerate HPE's strategic evolution, expand its total addressable market, and enhance shareholder value by bridging AI-native and cloud-native technologies
*Source: Grandview Research, CapIQ
SASE/SD-
WAN
Opportunity
• The combined entity will further develop its Secure Access
Service Edge (SASE) and Software-Defined Wide Area
Networking (SD-WAN) offerings, a sector that has been
growing rapidly as enterprises look for integrated networking
and security solutions
-27.00%
-22.00%
-17.00%
-12.00%
-7.00%
-2.00%
3.00%
8.00%
13.00%
18.00%
Tracking HPE and JNPR after Announcement of Acquisition
Deal Announcement
(Jan. 9th)

WSMM Technology January Newsletter_vF.pdf

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