BleuKi
Sean Burke, Frank Dodge, Raffi Isanians
Kevin Hung, and Pao Ting Tu
Moving into the Digital
World
Physical Media is becoming obsolete.
BleuKi
Business Description
What does BleuKi do?
Where the problem?
The BleuKi solution...
How does it work?
BleuKi
BleuKi available for 5 different phone companies
Bluetooth software linking car & cell phone
Open car doors and trunk and disengaging alarm with
cell phone
Use of Proceeds
Assuming initial investments of $500,000 dollars.
First Stage:
developing software
Seek a senior programmer
Purchase components to test and verification
Look into licensing patents
Second Stage:
Find talent in accounting, law, sales and marketing
Use of Proceeds
Employees
32%
Other
28%
Patent
40%
Target Customer: Ford
•
16.1% (112,149 vehicles) in January 2010
Ford will be selling 1,140,000 Cars annually
•
Offers Bluetooth enabled automobiles.
•
•
Apple, HTC, Sony Ericsson, Motorola, Palm and
Google
SWOT Analysis
Strengths
Offers convenience and functionality to busy
consumers
Competitive advantage
Software
Indirect Marketing
SWOT Analysis
Weaknesses
Need expertise in sales, accounting and law.
Competitors have released similar products (Apple and
Denso).
Use of Bluetooth will jeopardize our ability to use other
wireless transmissions.
SWOT Analysis
Opportunities
Affordable solution convenient for smartphone users
(30 million iPhone users and growing)
Bluetooth 3.0 will allow more functionality
Work with Ford to develop BleuKi: they are pushing the
use of technology in everyday use with their Ford Work
Solutions
SWOT Analysis
Threats
Mercedes Benz and Hughes Technologies “MBrace”
system: incorporates our concept along with other
features
Patent 6,697,638 by Denso Corporation blocks our
creation of such a device and requires us to license
from them
Viper Technologies: leader in automotive security
systems and auto-starting systems
Competitors
Viper Smart
BlueKey Wireless
Competitive advantage
Software
Indirect Marketing
Sales and Marketing
Exclusive to Ford Motor Vehicles:
1.2 million yearly sales, most with Bluetooth
Contract: initial factors
5 years
Yearly minimum product sales: 250,000
Individual product cost: $50 or .4% retail value
Included as part of the option package with
Bluetooth
Yearly revenue: $12.5 million for each of the 5
years of our initial contract
Risk Factors
Ford not accepting the
contract
Ford finding a competitor
who could do it for
cheaper
Competitors duplicating
our technology and
targeting a competing car
company
Finance
Initial production cost:
Costs: $300,000
includes product and
software development,
program writing, and testing
Distribution
Marketing Ourselves
Preinstalled in Ford vehiclesOnline web page; download from web page using
PIN # given with purchase
Ford will take care of any
other problems that aren’t
directly connected to the
software
We will support Ford’s
customers.
After Contract
Pursue another contract
with Ford or GM or
multiple auto-makers
Look into also developing
BleuKi for home security
systems, etc.
Sell the company and the
rights to our product
outright
Expected Valuation
RF Micro Devices, a $250 million company acquired
Silicon Wave for $10.8 million after 7 years
Expected Valuation at $55 million
Exit Strategy
Initial investment: $500,000
Percent Ownership by Investors: 20%
Return at end of 5 year contract:
20% of what company is sold for
($11 million of the $55 million)
Management Team
Thank You!
Questions...
If the phone dies...
Ford has keypad code access
on the outside of all their
vehicles.
Charger in the car.