SmartGrid Infra LLP is an advanced IoT platform provides smart poles with data acquisition and edge processing capabilities.
Armed with 15 year Smart City contracts, SmartGrid generates revenues from advertisements on IoT based remote LED screens at key traffic junctions.
The platform on smart poles picks up traffic data, weather information and also acts as a network for WiFi and Lora WAN.
Already implemented in multiple locations, SmartGrid is a technological leap forward for tier 2 cities in India.
Winner of the TiE Whizzable Bootstrap award.
2. • Executive Summary
• About SmartGrid
• Current installed infrastructure
• Contracts in hand
• Revenue potential
• Value proposition
CONTENTS
3. EXECUTIVE SUMMARY
This is an opportunity for an acquisition of SmartGrid Infra LLP, which includes its proprietary
technology, infrastructure and assets, and its contracts for 200 locations
Opportunity
• Formed in 2016; SmartGrid provides an integrated platform for Smart City management and dynamic OOH
advertising
• Based on Transworld’s proprietary technology, SmartGrid sets up Smart Poles in key locations across cities
to monitor traffic, while providing LED screens and flex boards for advertising and messaging. The same
technology platform can be used in buses to track, monitor, and ensure security.
About SmartGrid
4. VALUE PROPOSITION
• IPR-protected cloud-based
technology
• Savings of 90% on TCO: Rs. 3 crores+
in 5 years
• 49 Smart Poles already set up
• 27 LED screens, 89 cameras
• Replacement cost Rs. 12 crores
• 15-year contracts with 2 districts in Gujarat
• 200 locations – potential revenues Rs. 18 cr p.a.
• No rent, local taxes or charges for 15 years
• 15-years exclusive advertising rights
• Registered under Ministry of
Information & Broadcasting
(DAVP)
• All contracted locations
approved by DAVP for public
messaging and advertisements
5. ABOUT SMARTGRID
The SmartGrid system is networked and cloud-based, and
can be completely managed online. This provides
customers:
• The ability to monitor traffic by accessing the smartgrid
website from any location, and
• The flexibility to program and advertise on any screen, at
any time, date, location and for any duration.
SmartGrid sets up Smart Poles which house cameras and sensors to capture traffic images and air
quality data. LED Screens installed on the poles can be used for audio visual and static content,
allowing advertisers to upload dynamic and localized content. The Smart Poles can also carry flex
boards for displaying static advertising.
The SmartGrid business is
structured to be financially
profitable, while providing
valuable civic services
6. SMART POLE – OOH ADVERTISING
FLEX ADS
LED SCREEN
CAMERAS
POLE
• Potential for 200 Smart Poles in
strategic locations across 3 cities in
Gujarat
• Digital advertising on LED screens, plus
flex boards at multiple sites on each
Smart Pole
• DAVP Approval from Ministry of
Information & Broadcasting as agency
to run BOC (Bureau of Outreach &
Communications) campaigns –
significantly reduces requirement to
sell commercial ads
8. SMARTGRID STATE-OF-THE-ART TECHNOLOGY…1
Developed on Open
Source platforms
True Cloud-based -
fully integrated with
Amazon Web
Services
IMAGE DATA ACQUISITION
Extraction of frames, compression,
transmission
LOCATION DATA
Interleaved with images, timing etc.
AWS, Real CLOUD CAPABLE
Flexible, scalable, Data Recovery, BCP,
instant up
MAP SERVER
Integrated, fully licensed, no Google
fees
EMERGENCY RESPONSE INTEGRATION
Maps, mobile teams, control rooms
MAILS, ALERTS, SMSes
Integrated notifications
DATA STORAGE AND ARCHIVAL ON AWS
Data for analytics in the Cloud
CONTROL ROOM IN THE CLOUD
Disaster response, instant & flexible
CLUSTERING (REDUNDANCY)
No license fees
9. SMARTGRID STATE-OF-THE-ART TECHNOLOGY…2
UPLOAD, DELIVER, DISPLAY, SCHEDULE
Images, audio, video, PDF, PPT
AD AGENCY LOGIN, ACCOUNT MGMT,
PAYMENT GATEWAY
ORPHAN CAPABLE TO 7 DAYS
In case of loss of connectivity
GRANULAR AD SCHEDULING
Ads can be scheduled in micro time
segments
LIVE STREAM
Social media feed
PUBLIC WIFI
Access and management
INTELLIGENT ADVERTISING
AI based targeted advertising
10. TCO SAVINGS OVER 5 YEARS DUE TO SMARTGRID
SMARTGRID VS OTHER
90% savings of over Rs. 3 Cr in TCO over 5 years due to SmartGrid technology
Figures in Rs. Lacs SMARTGRID STANDARD SAVINGS (5 Yrs)
UPFRONTCOST
Licenses
Database system
Map Server
Application 0 74.50
Hardware 0 25.50
TOTAL UPFRONT COST 0 100.00 100.00
ONGOINGCOST
AMCs 15.00
Storage 6.00
Data backup 6.00
Bandwidth 3.60 3.60
Monitoring 24 x 7 3.60 25.00
TOTAL ONGOING COST 7.20 55.60 242.00
5 – Year TCO 36 378 342
16. CURRENT INSTALLED INFRASTRUCTURE
LOCATION ONLY POLES
POLES WITH
SCREENS + CAMERAS
ONLY CAMERAS CAMERAS
Godhra, Gujarat 4 10 1 22
Halol, Gujarat 1 12 0 27
Junagadh, Gujarat 1 5 15 40
TOTAL 6 27 16 89
Total Poles: 49 Total Screens: 27 Total Cameras: 89
17. CONTRACTS IN HAND
Junagadh Municipal Corporation,
Gujarat
• Smart Surveillance and Monitoring
System
• October 19, 2017
• Irrevocable contract for 15 years
• 60 locations
• 24x7 camera coverage to be provided
• SmartGrid has exclusive advertising
rights and right to provide cellular
services for 15 years
• Exemption from all local and municipal
taxes, levies, charges etc. for 15 years
Panchmahal District Administration,
Gujarat
• Smart Surveillance and Monitoring
System
• July 29, 2016
• Irrevocable contract for 15 years
• 140 locations
• 24x7 camera coverage to be provided
• SmartGrid has exclusive advertising
rights and right to provide cellular
services for 15 years
• Exemption from all local and municipal
taxes, levies, charges etc. for 15 years
18. REVENUE AND PROFIT POTENTIAL
DAVP registration significantly improves the location occupancy for digital and flex ads
SUMMARY
(STEADYSTATE
Figures in Rs. Lacs)
ANNUAL
REVENUE
OPERATING
PROFIT
CAPEX
Option 1: Run
System as is
264 195 -
Option 2: Upgrade
System to add
missing Screens
452 299 99
Option 3: Add
missing Screens +
Balance locations
1,843 1,261 1,383
CONSERVATIVE ASSUMPTIONS YEAR 1 YEAR 2 YEAR 3
DIGITAL AD REVENUE
Ads per month 4 6 8
Revenue/Ad/month 5,000 8,000 10,000
Total Revenue 20,000 48,000 80,000
FLEX AD REV – TOP
Ads per month 1 1 1
Revenue/Ad/month 4,000 5,000 6,000
Total Revenue 4,000 5,000 6,000
FLEX AD REV – BOTTOM
Ads per month 1 1 1
Revenue/Ad/month 5,000 6,000 7,000
Total Revenue 5,000 6,000 7,000
Cell Tower Revenue 3,000 3,000 3,000
Location occupancy 60% 70% 80%
19. SMARTGRID VALUE PROPOSITION
REPLACEMENT
VALUE OF BUSINESS
• Replacement cost of
business Rs. 12 crores
(hardware, technology,
operations)
• 15-year contracts for 200
locations (rent-free, local
tax-free)
• DAVP registration
TECHNOLOGY
• State-of-the-art, IPR-
protected technology
• All locations (poles,
buses, etc.) networked;
• Cloud-based system for
monitoring and dynamic
advertising
• Annual TCO savings of Rs.
50 lacs+ compared to
standard technology
CONTRACTS IN
HAND
• Potential Revenues of
Rs. 18 crores per year
and Operating Profit of
Rs. 12 crores from
contracted 200
locations
DAVP APPROVED
• SmartGrid and its
Gujarat locations have
been approved by
Ministry of Information
& Broadcasting,
Government of India,
for BOC (Bureau of
Outreach & Comm)
campaigns