GGV Capital Viewpoints:

Internet of Things

@GGVCapital

The Connected World

2000 2005 2010 2015 2020

2 0 0 0 – 2 0 1 0

Internet 1.0: PC

1.4BPC users

globally in 2010

2 0 1 0 – 2 0 2 0

Internet 2.0: Mobile

6.1Bsmartphone users

globally in 2020

2 0 1 5 – 2 0 2 5

Internet 3.0: IoT

50Bconnected devices

globally by 2020

From PC to Things

A more connected

user environment creates

Contextual Everything

O N T H E M O V E

Contextual

Mobile Me

Exercise

Entertainment

Transportation

A T H O M E

Contextual

Home Me

Environment

Sleep / Health

Pets

Deliver Insights

Software

Build content, communities, sharing, intelligence

Mobile app | UX/UI | actionable information

Analyze Data

Data Platform

Build retention, personalization, recommendations

Data storage | processing | management

Collect Data

Hardware/ Sensors

Always on, non-intrusive, intuitive

Sensor technology | product design | manufacturing

T H E I O T S T A C K

Contextual Everything

requires building the right user experience

Successful IoT platforms come in 3 flavors

1 Hardware + Data

2 Hardware + Social

3 Software + Hardware + Fans

Hardware + Data1

Google $3.2B acquisition of Nest | Nest acquisition of Dropcam

Hardware + Social

Facebook $2B acquisition of Oculus

2

Software + Hardware + Fans

Xiaomi from MIUI to phones, routers, TV, tablets, etc.

3

Define your market

User segments

Key needs/usage scenarios

Geographies

Define your model

Know your DNA

Company positioning

Product roadmap

Monetization/ channels

Define your ecosystem

Build vs partner

Open vs close platform

Financing

Where to start?

How to win?

Start with a great product

Develop raving fans and users through great ID/UI/UE, curated content,

services, cutting edge technologies

Go deep, own the space

Pick a segment, identify early adopters, go deep, be patient

Build global teams

Leverage US and China for areas of expertise

Avoid the giants

No Apple, Google, BATX; instead focus on differentiating advantage

GGV case studies

• Sports sensor and data analysis

• US marketing to tennis, baseball and

golf enthusiasts

• China manufacturing

• Data personalization through 3D

swing modeling and compare your

swing to the pros

• Content and marketing via pro players

support

• Innovation in design and

segmentation

• Differentiation as world’s

most elegant wearable

• First solar powered

• Swarovski partnership

• Leverage financing from

both US and China investors

EHANG

• Integration of drone technologies with mobile

device technologies

• From niche to mass market with user control

automation and focus on user-friendly features

• Fully assembled, auto-follow, tilt-control, app

control, GoPro enabled

• Global first company, operating in US and China

• Always-on, location-based sensor

• World’s largest lost and found

• Community-based location

features

• US and China investors

H O M E W O M E N P E T S R O B O T I C S

The Next Connected Categories

Thank you

@GGVCapital