Technology and the Entrepreneur

Technology and the Entrepreneur Rodger Desai Founder & CEO Rave Wireless Inc. New Technologies = Tools that Create Opportunities • • Tools create/exploit markets Tools that allow you to: – get to market more quickly, – more cheaply, – and with more advance capabilities than pre-existing companies Technology and the Entrepreneur 2 But Technology = Business • • Technology misleads, lacks clarity, is faddish Instead, focus on a very specific work-flow or life-flow that is underserved Then perform 3 tests: 1. • 2. Validate that you can unlock significant value Determine a unique way to go to market: – – – A unique business model…(Salesforce.com, iTunes) A unique user interface & packaging…(iPod, Tivo) Unique sales & distribution…(eBay, Red Bull) 3. Validate timing of market Technology and the Entrepreneur 3 Validating Value: “Email is for talking to old people” Technology and the Entrepreneur 4 Rave Wireless as a Example A mobile that helps students manage life: academically, socially, safety Validate Value - Determine Go-ToMarket - Validate Timing Surveyed 100 college chancellors to determine if mobile apps for students was a top 5 priority in the next 3 to 5 year Result: it is a a top 3 priority! Secured an early innovator that paid a premium - - - - 2.6B mobiles, 1.2 planet in 2010 Students now use mobile as the primary way to plan and live Email, TV, DVD down… IM, TXT up Interviewed 1000 students, mobile operator satisfaction for students: 26%. Determined 4 apps that lead to 89% satisfaction - - Sell through college to get large groups of students Leverage student billing for credit Use group buying to provide revenue share to college and savings to student - - Technology and the Entrepreneur 5 The Result: Rave Wireless, Inc. • • • • • An ASP of applications that help students manage their lives through their mobile Focused on “local” content versus mobile entertainment Apps: Social Networking, m-learning & academic, GPS tracking of buses and trains, GPS safety Sell through college to students either on existing mobile or bundled with a new mobile Unlock incredible value LTV goes from $500 to $3500 for mobile operators – Extra cash can be shared with colleges for a new revenue source – Technology and the Entrepreneur 6 Results • • • Raised $17M at $33M valuation in 2005/2006 2006: proof of concept completed 2007: – – – – – – – Launching 75 universities $9M revenue, $40M in backlog; profitable Will drive $30M in revenue for mobile operators Colleges will make $350K profit in first year On track for 300 colleges and $100M in recurring revenue in 2010 Launching “dual mode” (Cell & WIFI hybrid) trial Validating model for a “city mobile phone” as a new market Technology and the Entrepreneur 7 The Rave Applications Technology and the Entrepreneur 8 Rave Essentials >>Class Alerts, Email, Polls, Directories Broadcast Alerts Groups & messaging Campus Directory Email Technology and the Entrepreneur 9 Rave Academic: Course Alerts • Course Management Systems – Alerts for class cancellations, homework updates, group events, local merchant sales access to assignments, grades, course schedules – Mobile Technology and the Entrepreneur 10 Rave Academic: In-Class Response • • • Professor poses a question Students send answers via TXT Answers are tabulated and presented in real-time over the Web Technology and the Entrepreneur 11 Rave Guardian for GSP Safety • Students activate Rave Guardian from their phone when uncomfortable, or have special needs requirements Important to note this is student opt-in, no one is tracked unless activated • Technology and the Entrepreneur 12 Rave Guardian – Campus Police View • Campus Safety is able to immediately investigate cases with location and profile information Technology and the Entrepreneur 13 Rave Transit >>College Shuttle Bus Tracking • All buses on campus are tracked by GPS for student access Technology and the Entrepreneur 14 Application Development Kit • Colleges build their own Rave mobile applications - and share them with other colleges Integrate Rave alerting with other college systems For example: TEXT alert students on a waiting list when class opening becomes available. Example: Laptop availability for loan to students • Technology and the Entrepreneur 15 Rave Transit >>Flight Tracking Technology and the Entrepreneur 16 Rave Transit >>Local Wait Times Bridge to New York City: No delays (Oct 13, 6:01PM) Technology and the Entrepreneur 17 Thank You! Rodger Desai Founder & CEO +1 917 279 9380 Rdesai@RaveWireless.com Technology and the Entrepreneur 18