HomeSense: Thermostat and Musice Entertainment product

TECHNOLOGY ASSESMENT

Home Automation (HA) Market, with further breakdown into various sub-segments:
By Application: Entertainment (home A/V) Lighting Safety and Security By Networking Technology: Wired Power-line Computing Networks

Energy Management

Wireless Wi-Fi Zigbee Z-Wave KNX

Others

HVAC

New innovations no longer programming of the thermostats needed. Option to set preferences and automatically enjoy energy savings/usage, planning for peaks in energy

SMART THERMOSTAT FEATURES

THERMOSTAT COMPATIBILITY WITH

HEATING, VENTILATION AND AIR CONDITIONING SYSTEM

WEB-ENABLED THERMOSTATS
GENERALLY CONNECT DIRECTLY TO A HOMES WIRELESS OR WIRED NETWORK TO ESTABLISH TWO-WAY COMMUNICATIONS

RESPOND TO TRIGGERS AND SETTINGS:

LIFESTYLE MODES ( SLEEP, WORK, VACATION )

HOMESENSE COMPETITORS

Allure Energy ( biggest competitor even if it seems that Homesene is Allure ) Consert Litigation between Nest-Honeywell and Nest-Allure to date

Potential infringement by Honeywell and Allure Energy on Homesense technology. US Patent Application No: 2014/0031,989 and US Patent Application No: 2014/0045,482

Most valuable positions in the market: Nest, Allure Energy, Honeywell, GE and Whirlpool
Source: GTM Research

IP POSITION OF COMPETITORS IMPORTANT FOR HOME SENSE BUSINESS STRATEGY

To know Freedom To operate

What technology to license in

Where is the white space to develop the technology What are the major markets covered by competitors or where is the highest filing
activity taking place , locally or globally.

What competitors are buying or selling

Households Energy management systems

Smart Thermostats Cupersafety S.A.S. DI Montanaro Giuseppe E C. (1) EcoFactor, Inc. (7) Gas Technology Institute (1) General Electric Company (3) Invent.LY, LLC (2) Jetlun Corporation (1) Microsoft Corporation (1) NEST LABS, INC. (6) Qualcomm Incorporated (4) Safeguard Delaware, Inc. (1) Sharp Kabushiki Kaisha (1) Siemens Industry, Inc. (1) Telcordia Technologies, Inc. (1) Trilliant Networks, Inc. (3) Universal Electronics Inc. (4) Unspecified (No Assignee of Record) (5) Verizon Patent and Licensing Inc. (3) EnergyHub GE Honeywell

Open Automated Demand Respond Unspecified (No Assignee of Record) (17) BPL Global, Ltd. (2) Budderfly Ventures, LLC (5) E3 Greentech Enterprises, Inc. (1) ENERALLIES, INC. (1) Expanergy, LLC (1) Green Charge Networks LLC (1) Intercap Capital Partners, LLC (3) Johnson Controls Technology Company (4) MELLENNIAL NET, INC. (1) MILLENNIAL NET, INC. (2) Regen Energy Inc. (3) Rockwell Automation Technologies, Inc. (2) Siemens Aktiengesellschaft (2) Sunverge Energy, Inc. (1) Vedero Software LLC (1)

PATENT LANDSCAPE OF COMPETITORS

BSH Bosch UND Siemens Hausgerate GmbH (2) Electronics and Telecommunications Research Institute (2) Ezville Co., Ltd (1) Fujitsu Services Limited (1) General Electric Company (5) Hanwha Solution & Consulting Co., Ltd (1) Indesit Comapny S.p.A. (1) Indesit Company S.p.A. (6) International Business Machines Corporation (1) Kabushiki Kaisha Toshiba (1) Lsis Co., Ltd. (1) Merloni Elettrodomesti S.P.A. (2) Misawa Homes Co., Ltd. (1) Onzo Limited (1) Robert Bosch GmbH (1) Roke Manor Research Limited (1) Samsung Electronics Co., Ltd. (2) Sony Corporation (1) Tata Consultancy Services Limited (1) Toshiba Corporation (2) Tsann Kuen(China) Enterprise Co.,Ltd (1) Verizon Patent and Licensing Inc. (1) Whirlpool Corporation (1) Wrap SPA (1) Zome Networks, Inc. (2)

ULTIMATE GOALS FOR GOOD IP FOR HOME SENSE:

To protect core idea upon which the startup is founded , To create and maintain a competitive advantage , To protect R & D investment (both time and money) ,

To protect companys brand (once product is sold or service is available, Startups with patent portfolio with potential defensive/offensive use is more attractive for acquisition, Marketing tool for startups (Mark goods/services as patented or patent pending),

Can use licensing as a revenue source/negotiating tool, Startup with strong patent protection will have higher exit value, i.e. the value when listed on a public market or sold in a trade sale. This higher value is a premium paid for a startup with high gross margins resulting from some degree of patent-enabled monopoly protection for its products and services,

A patent portfolio represents downside protection for founders staff, venture capitalists of a startup This means that, even if the business fails, the startup may have value to an acquirer because of the patent portfolio or portfolio can be used as collateral to secure financing

PLAYERS MOST INTERESTED IN HOME SENSE IP

Traditional Thermostat Makers: Honeywell, Johnson Controls ,General Electric More recently these giants are also looking to partner with some of the newer startups that make the
smart software that can manage connected thermostats

service providers (cable companies & phone companies)-Verizon, Comcast &Time Warner Cable
are working with startup iControl

Other smart home vendors: smart thermostat crew needs to find partners in the broader worlds of
consumer electronics (Samsung, Motorola, Microsoft), mobile phones (Motorola, Apple, Nokia), home office gear (Belkin) and alarm system companies (ADT

Big-box retailers, like Best Buy and Lowes, also seem to have a stake in the game, trying to figure out if more shoppers will come into their stores to buy smart home, smart energy and smart thermostat gear. Both retailers made a significant push : Lowes launched a service with the U.K.s AlertMe, and Best Buy launched a new website and store section around the smart home.

FEATURES TO PROTECT

Core Features Of Technology Design of HomeSense thermostat TradeMark &Service Employees Know-How Trade Secret Home Sense Users data Privacy