Welcome to The Austin Technology Incubator

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Welcome toThe Austin Technology Incubator
July 12, 2002
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Business Description
ATI provides strategic, operational, and
infrastructure support to promising early-stage
high tech ventures. The University of Texas ATI
is supported by the City of Austin and the
Greater Austin Chamber of Commerce, and works
with a variety of investors, professional service
providers, and industry leaders to benefit its
member companies.
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ATI Business Model

• Use of university space free of charge
• 21/ft2/year charged monthly
• 1 equity participation fee
• City and Chamber support (25K/year)
• Various consulting agreements bring in
  additional revenues

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The Austin Model
Business
Academic
Government
Community
Talent
Technology
Capital
Know-How
Market Needs
Successful Value-Added Technology Innovation
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IC2 Institute ofTechnology Commercialization
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ATI Background Company Mission
Support early-stage, high-risk, high-tech
companies by assisting them to

• Solidify management teams
• Secure adequate financing
• Get their products to market

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ATI Background Community Mission

• Grow technology companies that
• generate wealth
• create jobs
• strengthen Austins global reach
• add value to university programs.

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ATI Accomplishments
Founded in 1989 to create wealth, generate jobs,
diversify Austins economy, and be a learning
laboratory for UT faculty, students, and
staff First Director Ms. Laura Kilcrease NBIA
Incubator of the Year in 1994 Incubated
incubators in Silicon Valley, Houston, and
Charleston, SC International reputation by
recruiting startups from Brazil, Israel, India,
Canada, Australia, Japan
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ATI Metrics Biz creation

• 110 member companies over 10 years
• 65 graduate companies
• 26 current companies
• Four NBIA award-winning companies
• ATI companies have created 2,850 high paying jobs

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ATI Metrics Wealth creation

• ATI companies generated 280M in 2000 revenues
  1.2B since 1989
• Three graduates are public on Nasdaq DTM,
  Concero, Encore Orthopedics
• Dozen graduates have been bought, including
  Metrowerks by Motorola for 95M, Evity by BMC for
  100M, Exterprise by CommerceOne for 75M, DTM
  Corp. by 3D Systems Corp. for 45M
• Companies have raised gt 300M in last three years

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ATI Metrics Innovation

• DTM Corp. and Silicon Metrics spun out of UT
  Engineering
• CEDRA Corp. spun out of Radian Corp. and
  Exterprise Corp. spun out of 3M
• Fourth State Technology first spin out of
  Sematech and ETI first spin out of MCC
• True Dimensions spun out of NASA research
• Isochron Data Corp. and several other Moot Corp.
  winners spun out of UT Biz school

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ATI Metrics Student programs

• Moot Corp
• Internships
• MBA practicum
• MSSTC program
• Independent projects
• Class projects

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ATI Value Proposition

• Great value Full service package at 1 equity,
  real-estate at below mkt rate
• The ATI Brand - a child of UT the community,
  strong history, loyal support
• Independence - allow companies to make own
  decisions entrepreneur is the client
• Cooperation - we work with a variety of
  investors, service providers
• Diversity of technologies

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SERVICES
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Web-Based Services
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ATI Examples of Assistance

• Locate mgt team
• Prepare for strategic acquisition
• Provide mentors
• Connect with strategic partners
• Impart critical business know-how

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ATI Admissions Process
Present to ATI
Company Submits Executive Summary
ATI Internal Review
Success Committee
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Product Criteria
Technology
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Business Criteria
Management skills
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Other Organizations

• Austin Technology Council - consortium of local
  technology companies
• The Capital Network - matching investors to early
  stage companies
• Texas E-Commerce Association - consortium of
  e-commerce business
• TiE Austinglobal network of professionals that
  nurtures entrepreneurs in/from India
• RapidIOindustry association setting the standard
  in embedded system interconnect

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Clean Energy Initiative

• First of the National Alliance of Clean Energy
  Incubators
• 150K State of Texas grant, 120K DoE grant
• Richard Amato, first director
• Emphases
• Renewable energy technologies
• Energy efficiency
• Energy management systems