The Resource Efficiency Revolution:

How it’s changing the global economy

ALTS TX 2018
October 9, 2018
2200 Sand Hill Road, Suite 250  Menlo Park, CA  (650) 275-7420

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We Have A Problem: Air Pollution

83 million Chinese are expected to die of lung disease in the

next 25 years.

Source: Harvard School of Public Health, Lancet 2008; 372: 1473–83

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The Next Challenge: India

• 13 of the 20 most polluted cities in the world *

• 1.2 million deaths annually due to air pollution in India**

*World Health Organization (WHO)

**Greenpeace India Report

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Solution on Horizon: Old World > New World

Solar PV Resource
Coal Efficiency
Wind
Big Data
Oil & Gas Cellulosic IoT
Biofuels Sharing Economy

$100s Millions $10s Millions $1s Millions

10 – 20% gross margins 20 – 30% gross margins 60 – 80% gross margins

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Renewables have already won

Renewable energy surpassed fossil fuels in 2013

*Power generation capacity additions (GW)

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Costs reaching inflection point in every sector

Solar & EV
Battery Costs
Dropping
Quickly
Avg EV Battery Cost, $ per KWH

2017 2018

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 What happened with solar

100 ($/w)

99 GW
75 GW

~$ 77.00
Solar Panel Cost ($/Watt)

56 GW

Global Solar Install (GW)

50 GW

25 GW
15 GW??

~$ 0.30
1977 1979 1981 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 2013 2015 2017
2017
Years
Silicon PV Cells ($/Watt) Globally Annual Installations (GW) • Source: Wall Street research, IEA

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 What happened with solar

100 ($/w)

99 GW
75 GW

$1000
~$ 77.00
Solar Panel Cost ($/Watt)

56 GW

Global Solar Install (GW)

50 GW

25 GW

$<200

~$ 0.30
1977 1979 1981 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 2013 2015 2017
Silicon PV Cells ($/Watt)
Years
Globally Annual Installations (GW) • Source: Wall Street research, IEA

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Tesla Model 3 – Becoming Best Selling Car

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Resource Revolution: Countries prohibiting gas powered vehicles

Targeting zero emissions for all new cars

and vans by 2025

All new cars to be electric by 2030

Moving to all electric by 2030 “General Motors

believes in an all-
electric future”
Ban sale of diesel & gasoline cars by 2040

End sale of diesel & gasoline cars by 2040

Introduced legislation to ban diesel and

gas cars by 2040.

Moving towards banning the internal

combustion engine
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Global shift to electrification

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Energy Opportunities

Home Energy
Blockchain / Peer 2 Peer Mobility / EV
Automation

Customer
Smart Buildings Data & Analytics
Engagement

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Transportation Opportunities

Mobility enabled
EV Charging EV Storage
Smart Cities

Autonomous Advanced Analytics

Connected Car
Vehicles and AI

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What’s Next: New Ethos

“If you don’t cannibalize yourself,

someone else will.”

-- Steve Jobs

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What’s Next: New Technologies

Nexus of new technologies AND new business models

Internet of Things Big Data Sharing Economy

Internet of Things

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What’s Next: New Customers

Millennials: Changing the global economy

Who are they?
• Ages 18 to 34
• 75 million people
Why do they matter?
• Largest generation in the U.S. by 20%
• Growing buying power ($200B today)

What do they care about?

Energy Internet of Things Transportation Water

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 People are Making Real Money…
$52.0 billion

$48.0 billion
$15.1 billion
$15.0 billion
$11.5 billion
$3.2 billion
$3.2 billion

$2.6 billion

$1.8 billion
$1.2 billion
Market capitalization updated as of the end of Q3 2018 * WG Invested Companies

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The Inflection Point is coming

1900 1913

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