jet print april 25, 2007 spin-off company based on the printable electronics patent from osu...

JET PRINTJET PRINT

April 25, 2007April 25, 2007

Spin-Off Company based on the printable electronics patent from OSU researcher Dr.

Chang

(3M) (3M) (JetPrint)(JetPrint) (Viracon) (Viracon)

Buy custom plastic substrate Buy custom plastic substrate ProcessProcess Sell transparent solar film Sell transparent solar film

OverviewOverview

TeamTeam ProblemProblem Current TechnologyCurrent Technology Competition Competition Jet Print AdvantageJet Print Advantage PaybackPayback MarketMarket Strategic PhasesStrategic Phases Financial ProjectionsFinancial Projections

TeamTeam

Inventors Inventors • Chih-hung ChangChih-hung Chang, , Associate Professor of Chemical Associate Professor of Chemical

Engineering at Oregon State University Engineering at Oregon State University

OSU StudentsOSU Students• Evan SekulicEvan Sekulic, , Construction Engineering Management Construction Engineering Management • Tim LoudenTim Louden, , Electrical and Computer Engineering Electrical and Computer Engineering • Nate EdwardsNate Edwards, ECE and Entrepreneurship , ECE and Entrepreneurship • Adam IveyAdam Ivey, Business Administration, Business Administration

MentorsMentors• Todd MillerTodd Miller, OSU, ONAMI, OSU, ONAMI• Chris OriakhiChris Oriakhi, , PhD Chemistry (1996) from OSU, MBA PhD Chemistry (1996) from OSU, MBA

Technology Management & Innovation (2004) from MIT Technology Management & Innovation (2004) from MIT Currently working at HPCurrently working at HP

ProblemProblem

Current EnergyCurrent Energy• Mostly non-renewableMostly non-renewable• Rising CostsRising Costs• Environmental IssuesEnvironmental Issues

Renewable EnergyRenewable Energy• More ExpensiveMore Expensive

Current PhotovoltaicsCurrent Photovoltaics• Mainly Rooftop ApplicationsMainly Rooftop Applications• Large panels needed to produce enough powerLarge panels needed to produce enough power

CurCurrent Technologyrent Technology

Wafer Based:Wafer Based:SpecificationsSpecifications

• Mostly high purity siliconMostly high purity silicon• 10-20% efficiency10-20% efficiency• 4.80 $/W retail4.80 $/W retail

DrawbacksDrawbacks• limited supply of siliconlimited supply of silicon• Higher efficiency is not space efficientHigher efficiency is not space efficient• Not flexible or transparentNot flexible or transparent

CurCurrent Technologyrent Technology

Thin Film:Thin Film:SpecificationsSpecifications

• Many compositionsMany compositions• Most do not use SiliconMost do not use Silicon• 13-30% efficiency13-30% efficiency• 3.00 $/Watt3.00 $/Watt

DrawbacksDrawbacks• Potentially hazardous materialsPotentially hazardous materials• Manufacturing difficultyManufacturing difficulty• NOT TRANSPARENTNOT TRANSPARENT

CompetitionCompetitionEvergreen SolarEvergreen Solar• Wafer Based PVWafer Based PV• Subject to Si price fluctuationsSubject to Si price fluctuations

NanoSolarNanoSolar• Thin Film PVThin Film PV• Roll to roll printingRoll to roll printing

HelioVoltHelioVolt• Thin Film PVThin Film PV

MiasoléMiasolé• Thin Film PVThin Film PV

JetPrint AdvantageJetPrint Advantage

Roll to roll printingRoll to roll printing Non-silicon processNon-silicon process Lower Cost per WattLower Cost per Watt

TRANSPARENTTRANSPARENT They may compete on They may compete on

the rooftops, but we the rooftops, but we will control the will control the windows!windows!

CA0

5

10

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20

25

Payback

Current

New @ 100%

New @ 30%

Technology

Years

Example BuildingExample Building

Window Area Window Area (200X100X2sides)(200X100X2sides) 40,000 40,000 sqftsqft

Incremental costs:Incremental costs: $384,000$384,000 Payback = Payback = <10 YRS<10 YRS Cal energy price ($0.12/kWh)Cal energy price ($0.12/kWh) Cal solar radiation (medium)Cal solar radiation (medium) Cal tax incentives (average)Cal tax incentives (average)

Market Market

World Solar Energy $7B IndustryWorld Solar Energy $7B Industry

• $1.7B for thin film organic for 2006$1.7B for thin film organic for 2006

• World Solar Cell Production reached World Solar Cell Production reached 2,204 MW in 20062,204 MW in 2006

Annual Photovoltaic Domestic Annual Photovoltaic Domestic Shipments, 1996-2005Shipments, 1996-2005

-www.eia.doe.gov

Photovoltaic Cells and Modules (Peak Kilowatts)

0

20,000

40,000

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80,000

100,000

120,000

140,000

160,000

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005

Year

Pe

ak

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ow

att

s

MarketMarket

Thin Film and Organic Market to reach Thin Film and Organic Market to reach $2.3B by 2011$2.3B by 2011

““Integrated building and construction Integrated building and construction products such as PV enabled roofing and products such as PV enabled roofing and window materials are projected to be window materials are projected to be the largest market opportunity the largest market opportunity measuring $800 million ($US) in 2011”measuring $800 million ($US) in 2011”

Nanomarket.net Nanomarket.net

Market Share of Crystalline Silicon Market Share of Crystalline Silicon Shipments, 1996-2005 Shipments, 1996-2005

www.eia.doe.gov

Market Share of Crystalline Silicon Shipments

50

60

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1996 1997 1998 1999 2000 2001 2002 2003 2004 2005

Year

Per

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Market Share of Thin-Film Market Share of Thin-Film Shipments, 1996-2005 Shipments, 1996-2005

www.eia.doe.gov

Market Share of Thin-Film Shipments

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Photovoltaic Cell and Module Photovoltaic Cell and Module Shipments by Type, 2003-2005Shipments by Type, 2003-2005

Shipments (Peak kilowatts) Percent of Total

Type 2003 2004 2005p 2003 2004 2005p

Crystalline Silicon

Single-Crystal 59,379 94,899 71,901 54 52 32

Cast and Ribbon 38,561 64,239 101,065 35 35 45

Subtotal 97,940 159,138 172,965 90 88 76

Thin-Film 10,966 21,978 53,826 10 12 24

Concentrator 452 0 125 * 0 *

Othera 0 0 0 0 0 0

Total 109,357 181,116 226,916 100 100 100

a Includes categories not identified by reporting companies.

*= Less than 0.5 percent.

P = Preliminary.

Strategic Business PhasesStrategic Business Phases

Phase A: Develop PrototypePhase A: Develop Prototype

Phase B: Testing and ShowcasePhase B: Testing and Showcase

Phase C: Full scale application Phase C: Full scale application

Phase D: Self Manufacturing ExpansionPhase D: Self Manufacturing Expansion

Phase E: Industry LeaderPhase E: Industry Leader

A) Develop A) Develop PrototypePrototype

develop transparent solar cell prototype on develop transparent solar cell prototype on flexible substrate with acceptable power flexible substrate with acceptable power

generation generation

Duration: 12 Months with two research assistantsDuration: 12 Months with two research assistants

Cost: $100,000Cost: $100,000

Funding Source: ONAMIFunding Source: ONAMI

Printing done in current OSU LabPrinting done in current OSU Lab NO office spaceNO office space

B) Testing and ShowcaseB) Testing and Showcase

High tech building integration will provide High tech building integration will provide data and a showcase for the technologydata and a showcase for the technology

Duration: 6 MonthsDuration: 6 MonthsCost: $150,000Cost: $150,000Funding Source: SB research grants and Angel investmentsFunding Source: SB research grants and Angel investments

Printing done by PicoJETPrinting done by PicoJET Applied to exterior of skylight glassApplied to exterior of skylight glass Small temporary office spaceSmall temporary office space

Analyze Licensing PotentialAnalyze Licensing Potential

Build Business:

Capitol investment in printer

Lease office and manufacturing site

Licensing IP:

Identify potential companies

Leverage IP with successful tests

C) Full Scale ApplicationC) Full Scale Application

Find interested owner for 1 full scale Find interested owner for 1 full scale commercial building commercial building

Duration: 6 MonthsDuration: 6 MonthsFunding Cost: $200,000Funding Cost: $200,000Funding Sources: private investment and VCFunding Sources: private investment and VC

Printing done by PicoJETPrinting done by PicoJET Integrated into commercial windowsIntegrated into commercial windows Small temporary office spaceSmall temporary office space

D) Self Manufacturing ExpansionD) Self Manufacturing Expansion

Expand facilities and equipment capabilities Expand facilities and equipment capabilities so that product can be manufactured in-so that product can be manufactured in-

househouse

Duration: 6 MonthsDuration: 6 Months

Funding Cost: $ 500,000Funding Cost: $ 500,000

Funding Sources: VCFunding Sources: VC

Move to larger Office and Manufacturing SiteMove to larger Office and Manufacturing Site Buy Printer and Post Processing EquipmentBuy Printer and Post Processing Equipment

E) Industry LeaderE) Industry Leader

Increase production and business Increase production and business infrastructureinfrastructure

Funding Source: Self FundedFunding Source: Self Funded

Multiple Printers & Post ProcessorsMultiple Printers & Post Processors Large office and manufacturing facilityLarge office and manufacturing facility Explore other product opportunitiesExplore other product opportunities

Business BasicsBusiness BasicsBuy custom plastic substrate Buy custom plastic substrate ProcessProcess Sell transparent solar film Sell transparent solar film

(3M) (3M) (JetPrint)(JetPrint) (Viracon)(Viracon)

SF materials costSF materials cost $0.50 /SF $0.50 /SF SF selling price to window manufacturersSF selling price to window manufacturers $4.00 /SF $4.00 /SF Printer and post processor cost $300,000Printer and post processor cost $300,000

*Increase team size and equipment as production expands**Increase team size and equipment as production expands*

Financial SummaryFinancial Summary Square FTSquare FT BuildingsBuildings EBTEBT

YR 0) YR 0) 00 00 (10,000)(10,000)

YR 1)YR 1) 40,00040,000 11 (164,600)(164,600)

YR 2)YR 2) 480,000480,000 1212 687,400687,400

YR 3)YR 3) 480,000480,000 1212 795,900795,900

YR 4)YR 4) 960,000960,000 2424 1,668,5001,668,500

YR 5)YR 5) 2,880,0002,880,000 7272 8,542,6508,542,650

Management Team Management Team

CEOCEO• Local expert Local expert • Previous start up experiencePrevious start up experience• Part time consultantPart time consultant

Student TeamStudent Team• Currently 4 studentsCurrently 4 students• Technology and Business BackgroundsTechnology and Business Backgrounds• Add 2 graduate research assistantsAdd 2 graduate research assistants

Head ResearcherHead Researcher• Dr. ChangDr. Chang

Questions?Questions?

Energy And Atmosphere: on-site renewable energy 3 points

Environmental Quality: daylight and views 2 points

Technical DetailsTechnical Details

Wafer-based PVWafer-based PV• c-Si and mc-Sic-Si and mc-Si

Si with dopant from Group III (B) and Group V (P)Si with dopant from Group III (B) and Group V (P)

• mc-Simc-Si High efficiency due to purityHigh efficiency due to purity Circular cell results in wasted space in square panelsCircular cell results in wasted space in square panels

Thin Film PVThin Film PV• CdTe, CuInGaSe (CIGS), GaAs, CuInSe (CIS)CdTe, CuInGaSe (CIGS), GaAs, CuInSe (CIS)


Printable PVPrintable PV• Groups II-VI and Groups I-III-VI are being Groups II-VI and Groups I-III-VI are being

investigatedinvestigated• Inorganic materials are printed using ink Inorganic materials are printed using ink

jet technology with solvent based 'inks'jet technology with solvent based 'inks' This allows semi-transparent printing be This allows semi-transparent printing be

varying the densityvarying the density Efficiency is inversely proportional to Efficiency is inversely proportional to

transparencytransparency


Customer PaybackCustomer Payback• Solar radiation varies from 4 to 10 Solar radiation varies from 4 to 10

kWh/m^2/day in the USkWh/m^2/day in the US Europe is similarEurope is similar Developing countries have higher levels of Developing countries have higher levels of

radiationradiation

• Grid electricity in the US averages Grid electricity in the US averages $0.08/kWh$0.08/kWh

State prices exceeding $0.11/kWh are not State prices exceeding $0.11/kWh are not uncommonuncommon

(Phase A)(Phase A) (Phase B&C)(Phase B&C) (Phase D&E)(Phase D&E) (Phase E)(Phase E)

Year 0Year 0 Year 1Year 1 Year 2 Year 2 Year 3Year 3 Year 4Year 4 Year 5Year 5

Beginning Cash BalanceBeginning Cash Balance 0 0 ($10,000)($10,000) ($164,600)($164,600) $687,400$687,400 $795,900$795,900 $1,668,650$1,668,650

Cash Inflows (Income):Cash Inflows (Income):

GrantsGrants 100,000100,000 150,000150,000

VC & investmentVC & investment 200,000 200,000 500,000 500,000

Sales & ReceiptsSales & Receipts 40,000 40,000 1,920,000 1,920,000 $1,920,000$1,920,000 $3,840,000$3,840,000 $11,520,000$11,520,000

Total Cash InflowsTotal Cash Inflows $100,000 $100,000 $390,000 $390,000 $2,420,000 $2,420,000 $1,920,000$1,920,000 $3,840,000$3,840,000 $11,520,000$11,520,000

Available Cash BalanceAvailable Cash Balance $100,000 $100,000 $380,000 $380,000 $2,255,400 $2,255,400 $2,607,400$2,607,400 $4,635,900$4,635,900 $13,188,650$13,188,650

Cash Outflows (Expenses):Cash Outflows (Expenses):

AdvertisingAdvertising 0 0 40,000 40,000 192,000 192,000 192,000 192,000 384,000 384,000 1,152,000 1,152,000

shippingshipping 0 0 1,500 1,500 12,000 12,000 $12,000$12,000 $24,000$24,000 $72,000$72,000

InsuranceInsurance 0 0 5,000 5,000 10,000 10,000 $15,000$15,000 $30,000$30,000 $60,000$60,000

MaterialsMaterials 10,000 10,000 10,100 10,100 240,000 240,000 $240,000$240,000 $480,000$480,000 $1,440,000$1,440,000

R & DR & D 100,000 100,000 70,00070,000 140,000140,000 $210,000$210,000 $210,000$210,000 $210,000$210,000

PayrollPayroll 0 0 0 0 100,000 100,000 $150,000$150,000 $200,000$200,000 $250,000$250,000

management salarymanagement salary 0 0 310,000 310,000 390,000 390,000 $570,000$570,000 $790,000$790,000 $1,010,000$1,010,000

Professional Professional ConsultingConsulting 0 0 40,000 40,000 40,000 40,000 $60,000$60,000 $80,000$80,000 $100,000$100,000

Rent or LeaseRent or Lease 0 0 60,000 60,000 120,000 120,000 $120,000$120,000 $120,000$120,000 $120,000$120,000

office Suppliesoffice Supplies 0 0 3,000 3,000 6,000 6,000 $8,000$8,000 $8,000$8,000 $10,000$10,000

Utilities & TelephoneUtilities & Telephone 0 0 5,000 5,000 8,000 8,000 $10,000$10,000 $10,000$10,000 $12,000$12,000

Loan RepayLoan Repay $264,500$264,500 $661,250$661,250 $0$0

SubtotalSubtotal $110,000 $110,000 $544,600 $544,600 $1,258,000 $1,258,000 $1,851,500$1,851,500 $2,997,250$2,997,250 $4,436,000$4,436,000

Other Cash Out Flows:Other Cash Out Flows:

Capital PurchasesCapital Purchases 300,000 300,000 $250,000$250,000

depreciationdepreciation $50,000$50,000 $50,000$50,000 $100,000$100,000

equipment parts maintenanceequipment parts maintenance 10,000 10,000 $10,000$10,000 $20,000$20,000 $60,000$60,000

Total Cash Total Cash OutflowsOutflows $110,000 $110,000 $544,600 $544,600 $1,568,000 $1,568,000 $1,811,500$1,811,500 $2,967,250$2,967,250 $4,646,000$4,646,000

Ending Cash BalanceEnding Cash Balance ($10,000)($10,000) ($164,600)($164,600) $687,400 $687,400 $795,900$795,900 $1,668,650$1,668,650 $8,542,650$8,542,650

BREAK EVEN BREAK EVEN ANALYSISANALYSIS material cost of .5$/SFmaterial cost of .5$/SF

Year 2Year 2 selling price of 4$/SFselling price of 4$/SF

# Buildings/Year# Buildings/Year SF productSF product Gross RevenueGross Revenue Variable CostVariable Cost Fixed OH & Capital ExpFixed OH & Capital Exp ProfitProfit

00 00 $0$0 $0$0 $1,550,000$1,550,000 -$1,550,000-$1,550,000

11 4000040000 $160,000$160,000 $20,000$20,000 $1,550,000$1,550,000 -$1,410,000-$1,410,000

22 8000080000 $320,000$320,000 $40,000$40,000 $1,550,000$1,550,000 -$1,270,000-$1,270,000

33 120000120000 $480,000$480,000 $60,000$60,000 $1,550,000$1,550,000 -$1,130,000-$1,130,000

44 160000160000 $640,000$640,000 $80,000$80,000 $1,550,000$1,550,000 -$990,000-$990,000

55 200000200000 $800,000$800,000 $100,000$100,000 $1,550,000$1,550,000 -$850,000-$850,000

66 240000240000 $960,000$960,000 $120,000$120,000 $1,550,000$1,550,000 -$710,000-$710,000

77 280000280000 $1,120,000$1,120,000 $140,000$140,000 $1,550,000$1,550,000 -$570,000-$570,000

88 320000320000 $1,280,000$1,280,000 $160,000$160,000 $1,550,000$1,550,000 -$430,000-$430,000

99 360000360000 $1,440,000$1,440,000 $180,000$180,000 $1,550,000$1,550,000 -$290,000-$290,000

1010 400000400000 $1,600,000$1,600,000 $200,000$200,000 $1,550,000$1,550,000 -$150,000-$150,000

1111 440000440000 $1,760,000$1,760,000 $220,000$220,000 $1,550,000$1,550,000 -$10,000-$10,000

1212 480000480000 $1,920,000$1,920,000 $240,000$240,000 $1,550,000$1,550,000 $130,000$130,000

1313 520000520000 $2,080,000$2,080,000 $260,000$260,000 $1,550,000$1,550,000 $270,000$270,000

1414 560000560000 $2,240,000$2,240,000 $280,000$280,000 $1,550,000$1,550,000 $410,000$410,000

1515 600000600000 $2,400,000$2,400,000 $300,000$300,000 $1,550,000$1,550,000 $550,000$550,000

1616 640000640000 $2,560,000$2,560,000 $320,000$320,000 $1,550,000$1,550,000 $690,000$690,000

1717 680000680000 $2,720,000$2,720,000 $340,000$340,000 $1,550,000$1,550,000 $830,000$830,000

1818 720000720000 $2,880,000$2,880,000 $360,000$360,000 $1,550,000$1,550,000 $970,000$970,000

00 11 22 33 44 55

A A B B C C D D EE EE EE

2 research 2 research assistantassistant

1 head 1 head researcherresearcher



3 head 3 head researcherresearcher 3 head researcher3 head researcher


2 skilled 2 skilled workersworkers

2 skilled 2 skilled workersworkers 3 skilled workers3 skilled workers 4 skilled workers4 skilled workers 5 skilled workers5 skilled workers

3 team 3 team membersmembers

3 team 3 team membersmembers

3 team 3 team membersmembers 3 team members3 team members 3 team members3 team members 3 team members3 team members

2 consultants2 consultants 2 consultants2 consultants 2 consultants2 consultants 3 consultants3 consultants 4 consultants4 consultants 5 consultants5 consultants

5 board of 5 board of directorsdirectors

5 board of 5 board of directorsdirectors 5 board of directors5 board of directors

5 board of 5 board of directorsdirectors

1 Executive 1 Executive ManagerManager



4 business staff4 business staff 6 business staff6 business staff 8 business staff8 business staff

Preliminary Staffing Plan

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jet print april 25, 2007 spin-off company based on the printable electronics patent from osu...

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