Macrocosm Venture Plan: Presentation

Steve Puma Fall 2008

Mission Create a world that works for everyone, in the shortest possible time. Make tools that: – Empower the individual – Leverage Mass Collaboration – Focus on the biggest problems

The Problem •  Climate change is one of the greatest

challenges ever to face mankind

•  Individuals want to educate themselves and have a direct impact

•  Organizations want to engage "the public

•  Very few solutions meet these needs!

Trends

• Fast-growing interest in climate change • Explosive growth in

electronic game market • Not ONE mass-market

sustianability focused game

Trends • Intermsofboththepowerofgamingcomputersandtheprolifera6onofci6zenawarenessaboutenvironmentalissues,therehasn'tbeenabe;er6metointroduceagamewithastrongsustainabilityoreco‐focus."—JamaisCascio,founderofWorldchanging.com

• “Gamesareaverypowerfulandtotallyunderu6lizedtoolthatorganiza6onsofallkinds–notjustbusinesses,butnon‐profitsandgovernmentstoo–canusetotacklethesechallenges.”—DavidEdery,Authorof'ChangingtheGame:HowVideoGamesareTransformingtheBusinessWorld'

Customer Need Contribute my ideas towards solving global climate change

CustomerNeed Imp Sat Opp

Contributemyideastowardssolvingglobalclimatechange 7.3 0.0 14.5

minimizetheamountof6meittakestolearnhowtocontributemyideas… 4.5 1.1 8.0

minimizetheamountofspecializedknowledgerequiredtocontribute… 3.6 1.1 6.2

increasethenumberofsolvableclimatechangechallengesthatIcancontributemyideasto 3.6 0.5 6.7

increasethenumberofpeoplethatwillinteractwithmyideas 6.8 1.1 12.6

increasetheamountofknowledgethatIpossessaboutsolvingglobalclimatechange 8.6 3.7 13.6

increasetheamountofmonetarycompensa6onthatIreceivefromcontribu6ngmyideas 5.5 1.1 9.9

increasetheamountofposi6vefeedbackthatIreceiveaboutmyideas 4.5 1.1 8.0

minimizethe6menecessarytotrackmycontributedideas 3.6 1.1 6.2

increasethelikelihoodthatmyideaswillhaveadirect,measurableimpacttowardssolvingglobalclimatechange 8.2 0.5 15.8

Target Customer “Enviro-Gamers”

TargetCustomer Descrip6on

TargetpopulaAonsize 10,122,766

DemographicCharacterisAcsAge:35‐55,Income:$40,000+Playvideogames,60/40Male/Female

Frequencyofperformingthejob 2‐3hoursperweek

Willingnesstopay $334.00

Purchasedecisions InfluencedbyraAngs,friends,family

Solution

PlaYorm •  SoZwareSimula6onGame

BizModel•  UnitSalestoretailcustomers•  Directonlinedistribu6on/publishing

Features

•  Real‐World•  ExpertChallenges•  LearningSimula6ons• MassivelySingle‐Player• WorldBuilder

Value Add

CustomerNeedExis6ng

Sa6sfac6onNew

Sa6sfac6on ValueAdd

minimize the amount of time it takes to learn… 1.1 1.1 0.0%

minimize the amount of specialized knowledge… 1.1 1.3 1.26%

increase the number of solvable climate change challenges… 0.5 2.0 3.75%

increase the number of people that will interact with my ideas 1.1 2.5 7.36%

increase the amount of knowledge that I possess… 3.7 3.8 2.06%

increase the amount of monetary compensation "that I receive… 1.1 2.0 4.82%

increase the amount of positive feedback that I receive… 1.1 2.0 4.82%

minimize the time necessary to track… 1.1 1.4 1.77%

increase the likelihood that my ideas will have a direct, measurable impact towards solving global climate change 1.1 2.0 3.75%

AddedValue 29.47%

Addressable Market

Target customer population 10,122,766

Frequency of purchase (times per year) 0.5

Willingness-to-pay to get job done perfectly $334.00

Discount for satisfaction level your product will achieve 20.00%

Discount for competition 74%

Discount for customer buying power 100%

Other discounts 100%

Potential price point $49.21

Annual potential addressable market $250,194,279

Unit Economics

UnitPrice $49.21

GrossMargin 87.38%

Life6meValue $30.90

Acquisi6onCosts $24.17

EconomicValue $6.73

Sustainability Percentofaddressablemarketwhomakelifestylechanges 5% 10% 25%

Numberofpeople 91,105 182,210 455,524

BehaviorChanges TonsofCO2SavedperYear

Buyproductswithrecycledcontentandrecycleathome

9,110 18,221 45,552

Replace10lightbulbswithC/F 45,552 91,105 227,762

Adjustthermostatby2degress 91,105 182,210 455,524

Buyamorefuelefficientcar(+10MPG)

455,524 911,049 2,227,622

Value Chain

OurCompany

IntellectualProperty

GameDeveloper

DevelopmentSofware

GameConsoleManufacturers

DistribuAonWebsite

RetailCustomer

GameReviewWebsiteStandards,

Technology

FriendsFamily

GamingConsoles

OURPRODUCT

InsAtuAonalPartner:

GovernmentorNGO

CorporatePartner

Competitive Advantage

Game TheSims2 SimCity Ci6esXLImageEarth

FutureFlow

Company Maxis TiltedMill MonteCristo Microsof Microsof

Type lifesimulaAon citysimulaAon citysimulaAonSeriousgame,simulaAon

Seriousgame,simulaAon

UnitsSold 100Million 10Million Notyetreleased

Price $19 $49 Notyetreleased,mostlikely$39‐$49

Benefits

•  Realism• Userscangenerateandsharetheirowncontent

•  Complex•  RealisAc• Userscangenerateandsharecontent

• MulAplayer/Online•  Socialnetworking•  ComplexEconomics

•  Console•  Climatechange•  EducaAonal•  RealisAc

•  Console•  Climatechange•  EducaAonal•  RealisAc

Financing

Projec6ons Year1 Year2 Year3 Year4 Year5

Revenue $0 $27,342,000 $18,963,000 $57,388,702 $37,926,000

GrossProfit $0 $23,892,106 $16,570,332 $50,147,647 $33,140,663

Op.Profit ($1,254,249) $7,143,176 $2,255,120 $13,518,823 $5,376,794

Units 0 558,000 387,000 1,171,198 774,000

Employees 10 20 25 30 35

EOYCash $401,097 $10,851,761 $12,457,745 $18,523,811 $22,393,928

NewEquity $1,680,000 $7,730,000 $0 $0 $0

Thank You!