STRATEGY

PROBLEMS AND OPPORTUNITIES OF THE INTERNET of THINGS (IoT)


Problems:


• Cost - Current tag technologies cost $10 - $100 for “active tags” and $0.05 to $0.15 for “passive tags”. None of these costs are a viable option for the IoT, requiring trillions of tags

• Security - Tipping point created by global hackers and ransomware attacks thru trillions of smart sensors/devices and the ease of connectivity. Criminal data breaches cost $1.6T per year

• Counterfeiting - Costs manufacturers over $1.8T per year. Inventory shrinkage (theft) costs $47B per year

• Brick and Mortar - Stores rapidly losing market share to eCommerce, which is a $2.3T global market growing 26% per year and currently projected to exceed $4.8T by 2021


Opportunities: Monetize the IoT Holy Grail

• Tag every item in the world with a Matrics2 RNID TAP, at the eventual cost of < $0.01

• A simple single tap of a Smart Phone to any Matrics2 tag allows users to trace and track a product’s life cycle, curtail counterfeiting and theft, enable direct, and targeted marketing


TARGET CUSTOMERS & LOW HANGING FRUIT


Possible Strategic Partners


• SICPA—Cigarette Tax Stamps; cannabis

• Midsouth RFID - Wine Authentication



Customer Segments


• Retail - embedding shelf tags, packages or products with NFC chips, retailers enable one- or two-way communication between those items and customers’ NFC-capable smartphones

• Sports & Events – Event admission and transportation, as well as, eliminating counterfeiting

• Government - Voting, passports, government IDs, etc., will be uniquely verifiable

• Grocery/Food & Beverage - uniquely identified through the supply chain

• Brick & Mortar – Enabling the brick and mortar stores to compete with on-line shopping

• Pharma – track and trace expensive or regulated drugs

• Consumer Package Goods - Including food & beverage, beauty, personal care, and home care — can no longer rely on traditional ways of doing business

• Smartphone Manufacturers – phone verification to access the Matrics2 data base

• Cannabis Growers – track and trace from seed to sale