LAMACOM

Business Plan

Mission Statement

To be the most intuitive guide

for bringing people to their desired destination.

The Need

The need for directions is as ancient as human history. Past solutions included maps, printed guides and innocent bystanders.

In the age of global village, one often finds himself lost in an unfamiliar urban jungle.

Sadly, reliance upon these solutions often ends up in a family crisis….

The Solution – Lamacom

“where do you want to go?”

• St. John hospital. “Turn right at the next

crossroad”

….. “Now turn left to 35

St.”

The Product

“A Box” (Technology product) that enables driving directions service to cellular user.

“A Box” (Technology product) that enables driving directions service to cellular user.

Lamacom

Cellular user Location data , Geographical data

Features

Current - • Directions to desired destination• Re-routing in case of wrong turn and high traffic • Locating nearest desired services

Future - • Organized tour• Self improving database

Market Summary

Our solution is a part of the “cellular location based services” market (LBS).

The Cellular LBS Market contains: – entertainment information– traffic reports– maps and directions– targeted advertising– interactive games– asset/vehicle tracking, etc...

Market Summary

Number of Location-Services Subscribers: 1.26-1.5 Billion subscribers by 2005

(The Yankee Group, The Wall Street Journal)

Cellular LBS Market Size Projections:The conservative projections are $11-20 billion in 2005-6 (Ovum, Kelsey Group)Others state up to $81B in 2005.

Market Summary

Our market, the Cellular Direction LBS, is only a portion of the entire LBS market.

But…• IDC: “Most U.S. consumers want LBS with practical applications”. The 3 top priorities are:

1. emergency assistance (low volume) 2. navigation services3. concierge services that help locate businesses

Market Summary

Based on the data above – • We estimate that the navigation services and concierge services will be at least 40%

of the Cellular LBS market.

• Our projection:By 2005, The Cellular Direction LBS Market is of $4B to $8B annually.

Opportunities

To stay competitive, cellular carriers look for new compelling & practical services to:

- Attract customers- Increase airtime & subscription fees

Market depression & disappointment from Hi-Tech adoption rate, sent them looking for risk free projects with clear revenue stream.

IDC: “LBS - opportunity for new revenue- generators”

Lamacom offers just that…

Technology

Geographical Data

Speech recognitionCellular network

Text to Speech

Location Data

Our Product

Technology Fusion

Using the location data , directions are given according to Current

location through the path : “…In 100 meters turn right to Sokolov st.”

enable re compute the shortest path whenever is needed (navigation mistakes ,traffic jams)

Technology Fusion

Strong binding of the Speech Recognition algorithm and geographical information will ensure greater accuracy and thus intuitive interface:

Enable partial input (no state and city).Match names to closer locations.Unique differentiating algorithm for

locations with similar names.

Technology Fusion

Geographical Data

Speech recognition

Geographical& Location Data

Speech recognition

Others Lamacom “where do you want to go?”

• “Agnon St.” – ‘Agno’

• “Agnon st. No. 55”

• “Agnon st. No. 55 in the north area”

Technology Details

Communicate with external modules by standard interfaces ( ESRI , Nuance )

Destination is found by intersection of multiply data :Location , queries on Geographical database.

Internal data is hold in a Graph Data Structure.

Path is computed by graph algorithms.

Pricing Strategy

Revenue sharing agreement with cellular carriers (50:50) on airtime.

Billing by the Cellular Carrier.

Price 10c per minute

(same price as calling your friend)

Expenses Projections

Per Year 1 2 3

Databases $1M $2M $3M

R&D $1M $1M $1M

Maintenance $0.5M $1M $2M

Overhead $1M $1M $1M

Total $3.5M $5M $7M

Income Projections

According to the usage of less attractive services, the key for calculations are:

Cellular users 1MAdoption rate 3%Service users 30,000Minutes per year 6MRevenue per minute 5c

Total Income $300,000 Income per average user $10

Income Projections

Years 1 2 3

Cellular users 5M 15M 45M

Adoption rate 3% 7% 15%

Lamacom users 0.15M 1.05M 6.75M

Total Revenue ($) 1.5M 10.5M 67.5M

Our Market Share

Total Market $4B

U.S Market $1B

0ur market share $135M / $1B = 13.5%

Competition

Direct: TelevigationA feature in Location Detection products - Locationet, CellPoint, SignalSoft, webraska, TruePositionA feature in Vocal Portals (non-cellular) – BeVocal, TellMe, HeyAnita, VoiceGenie, myAudioPointA feature in Telematics systems – InfoMove, OnStar, ATXIn direct: GPS, online maps, printed guides & maps, etc.

Competition

Lamacom Televigation InfoMove Location

Detection

Voice Portals

Focus Navigation Navigation + infrastructure

Telematics Location Voice

Location Based

Voice Model

Specific General - General

Model Revenue sharing

License / ASP Project License License / Project

Price * Low Medium High Low to Medium

Medium

Threats & Weaknesses

Entering a field with many competitors

Competitive Advantage

Focused: Our focus on the combination of Navigation and

Voice Interface enables:– Best integrated intuitive service– Cost effectiveness – no expenses on unused features.

No Risk Deal: We do all the setup and maintenance, the carrier just

picks up the cash