Createai Holdings Inc. · OTC:TSPH
Createai — TuSimple Holdings — Investor Presentation (April 2023)
40 slides from Createai's investor presentation, April 2023
Slide 1: TuSimple Investor Presentation
TuSimple Investor Presentation April 2023
Slide 2: Disclaimer
Disclaimer This presentation and any accompanying oral statements (together, this “Presentation”) contain forward-looking statements. All statements other than statements of historical fact contained in this letter, including statements as to future results of operations and financial position of Tu
Slide 3: Agenda
Agenda ▪ 01 – TuSimple At A Glance ▪ 02 – Investment Highlights ▪ Investment Thesis for AV Trucking Remains Strong ▪ TuSimple’s Track Record of Technology Leadership ▪ Enhancing Corporate Governance ▪ From First Driver Out to First Commercial Launch ▪ Proprietary Domain Controller Enables Near-Term
Slide 4: TuSimple: A Better Path Forward
1 TuSimple: A Better Path Forward TuSimple | Investor Presentation 4
Slide 5: Our mission statement
Our mission is to enable the most safe, fuel-efficient & low-cost freight capacity by developing the best L4 autonomous technology, hardware and go-to-market strategy TuSimple | Investor Presentation
Slide 6: TuSimple Statistics
TuSimple Statistics Refined following 4Q22 restructuring to optimize cost structure: ~1,100 ~60 3 TuSimple Employees Active Global Fleet Terminals ▪ Across three continents ▪ US Fleet: ~35 Trucks as we focus ▪ Reduction driven by strategic ▪ ~25% global workforce on automating one lane focus on auto
Slide 7: Investment Highlights
2 Investment Highlights TuSimple | Investor Presentation 7
Slide 8: TuSimple Investment Highlights
TuSimple Investment Highlights Investment Thesis for AV Trucking From First Driver Out to First 1 Remains Strong Massive addressable market that 4 Commercial Launch Clear roadmap in achieving historical benefits from technology adoption milestone Proprietary Domain Controller Unlocks TuSimple’s Trac
Slide 9: Investment Thesis for AV Trucking Remains Strong
Investment Thesis for AV Trucking Remains Strong 9
Slide 10: Large TAM With Secular Growth Drivers
Large TAM With Secular Growth Drivers An opportunity to revolutionize a traditional market with industry leading technology Global Truck Freight Market (TAM1) Regional Freight Industry TAM1 Global Truck Freight Market: $4tn United States $800bn Global E-Commerce: $3.5tn Global Automotive: $2.8tn Chi
Slide 11: The Need for Autonomous Trucking Remains
The Need for Autonomous Trucking Remains ~3 million Class 8 semi-trucks in the US1 +70% of all freight in the US transported by trucks2 INCREASED DEMAND FROM E-COMMERCE TRENDS FACED WITH A GROWING SHORTAGE OF DRIVERS & SAFETY ISSUES Diminishing Supply Increasing Demand Safety Impact ▪ 2022 driver sh
Slide 12: Operating Cost and ROI at Scale
Operating Cost and ROI at Scale AV Operating Cost Structure Advantage1 AV Cost Elements2 ▪ Insurance ~$2.50 ▪ Tolls No difference 2.5 Other ▪ Permits 2 ▪ ~10% fuel economy improvement Fuel 1.5 ~$1.50 ▪ Base vehicle maintenance Maintenance Other ▪ AV hardware maintenance Incremental Vehicle Fuel ▪ Ca
Slide 13: 28 States Explicitly Allow Driver Out AV Operations
28 States Explicitly Allow Driver Out AV Operations Commercial Vehicle Driver Out Momentum Continues at the State Level 44 states Allow Driver In AV 28 states Allow Driver Out AV WA NH MT PartnersfomCoastoCoast ND VT ME OR MN MA ID SD WI NY RI Momentum towards allowing for testing and WY MI deployme
Slide 14: TuSimple's Track Record of Technology Leadership
TuSimple’s Track Record of Technology Leadership 14
Slide 15: A History of Industry Firsts
A History of Industry Firsts Founded as one Received Began Launched Completed Autonomous of the earliest AV strategic autonomous Autonomous over 200,0001 Domain trucking pure investment from freight Freight Network autonomous Controller plays NVIDIA operations with miles for UPS2 partnership with UP
Slide 16: Completion of the Only Fully Driverless Semi-Truck Runs on Open Public Roads
Completion of the Only Fully Driverless Semi-Truck Runs on Open Public Roads Validating our Technology on the Path Towards Safe, Reliable and Cost-Effective L4 Autonomous Freight Capacity ✓ No Human in the Vehicle ✓ 7 Total Missions ✓ In Total Over 550 Miles Driven ✓ No Human Intervention ✓ 80 Mile
Slide 17: TuSimple is the Only Player to Complete Truck Driver Out
TuSimple is the Only Player to Complete Truck Driver Out AV Trucking Robotaxi The Technological Advantages of Autonomous Trucks Complexity ▪ Fewer Corner Cases: Highway focused operations and clearly defined traffic / ODD1 More Complex Vehicle Less Complex Vehicle rules More Defined ODD More Expansi
Slide 18: A Leader in AV Trucking IP
A Leader in AV Trucking IP Worldwide Patents and Applications1 Approximate Coverage of TuSimple Granted Patents (Worldwide)4 TuSimple Company A Company B Company D Company C Company E Company F 0 500 1000 1500 Granted Patents Publications ▪ TuSimple’s industry leading patent portfolio of 500+ global
Slide 19: Enhancing Corporate Governance
Enhancing Corporate Governance 19
Slide 20: Strong Management Team in Place
Strong Management Team in Place Cheng Lu Eric Tapia Shannon DiPietro Evan Dunn Chief Executive Officer Chief Financial Officer Chief Human Resources Officer General Counsel Lei Wang Jing Zhu SVP, Technology SVP, Software Graham Taylor Robert Rossi Ryan Amerman Sr. Director, Hardware Engineering VP,
Slide 21: Active Improvements to Corporate Governance
Active Improvements to Corporate Governance ✓ Board consist of majority of independent directors (5 out of 7 Board Members) ✓ Complementary skillset to help Company in achieving it strategic priorities ✓ Since December 2022, reconstituted independent Audit Committee and Government Security Committee
Slide 22: Progress Removing Outstanding Overhangs
Progress Removing Outstanding Overhangs FMCSA Closes Investigation into April 2022 Incident ▪ Details of the Incident: A TuSimple truck made contact with a concrete median divider while our autonomous system was being engaged ▪ Prompt Action Taken: Engaged closely with FMCSA in answering questions a
Slide 23: From First Driver Out to First Commercial Launch
From First Driver Out to First Commercial Launch 23
Slide 24: Driving Towards First to Commercial Launch
Driving Towards First to Commercial Launch Building on prior achievements, a clear and achievable roadmap to be first to launch commercial autonomous freight operations 2022 Driver Out Pilot ▶︎ Expanded Safety + Increased Reliability + Improved Cost Effective = 2024 Commercial Launch Commercial laun
Slide 25: Phased Launch of TuSimple Capacity
Phased Launch of TuSimple Capacity Phased Approach Requires Fewer Resources Systematically Adding Routes ▪ Launching one route is sufficient to proving commercial viability ▪ Operations near Tucson increases efficiency and reduces costs ▪ Optimizing safety and performance Phase 1: Tucson to Phoenix
Slide 26: Two Development Paths towards Commercialization
Two Development Paths towards Commercialization Complementary Business Models Remain the Same TuSimple Carrier-Owned Capacity Capacity ▪ TuSimple enables OEMs to ▪ TuSimple automates freight routes manufacturer autonomous trucks1 ▪ Strategic route-by-route expansion ▪ Required to sell to third-party
Slide 27: Long-term TuSimple Roadmap
Long-term TuSimple Roadmap 2021 2022 2023 2024 2025 2026 - 2030 Cost Significant Cost Reduction: Competitive with Significant Cost Effective Removing Support Vehicles Human Operation Advantage Number of Driver Out 1 3-5 10’s Lanes Number of Driver Out ~10 10’s 10’s 100’s Trucks Driver Driver Out Com
Slide 28: Proprietary Domain Controller Enables Near-Term Monetization Opportunities
Proprietary Domain Controller Enables Near-Term Monetization Opportunities 28
Slide 29: TuSimple Domain Controller (TDC) is a Competitive Advantage
TuSimple Domain Controller (TDC) is a Competitive Advantage TDC Overview ▪ Partnership between NVIDIA and TuSimple announced in January 2022 ▪ Ground up hardware design serves as autonomous truck’s centralized compute unit ▪ Enables TSP to provide fully integrated hardware & software autonomy soluti
Slide 30: TDC Unlocks An Array of Commercial Opportunities
TDC Unlocks An Array of Commercial Opportunities Production Timeline: ▪ Q2 2023 C-sample units followed by production units in Q4 23 ▪ Powered by NVIDIA DRIVE Orin-X SoC (system-on-a-chip) with 254 TOPS TDC can work seamlessly with different configurations of sensors and application software to enab
Slide 31: One Holding Company, Two Distinct Businesses
One Holding Company, Two Distinct Businesses 31
Slide 32: Independent Entities with High Intrinsic Value
Independent Entities with High Instrinic Value TuSimple’s US and CN operations are fully-independent entities with only limited corporate function overlap Shared Cost Savings Common Reporting US utilizes data annotation services and Treasury1, Compliance Functions procures hardware from China Ops On
Slide 33: China | Opportunity and Achievements
China | Opportunity and Achievements Product Offerings L2+/L3 Driver In ADAS in Collaboration with NVIDIA L4 Autonomous Freight Network ▪ Building upon partnership with NVIDIA to provide integrated ▪ Build Autonomous Freight Network on the most software and hardware for ADAS solutions for the China
Slide 34: China | Commercial Launch Roadmap
China | Commercial Launch Roadmap 2023 2024 2025 2026 OEM Customer TuSimple L2+ / Conditional L3 systems by 2025 Production Target Driver Out in 2023 in Shanghai, expand additional ODD in 2024 in China, commercial launch in 2025 L4 Operations International Commercial operations in Japan and Australi
Slide 35: Financials and Forecasts
3 Financials and Forecasts TuSimple | Investor Presentation 35
Slide 36: 2023 Key Considerations
2023 Key Considerations TuSimple ended 2022 with ~$1B in Cash and Short-Term Investments1; Refined 2023 Strategy Reduces Revenue and OpEx While Protecting our Balance Sheet 2023 Cash & Short- Revenue OpEx Capital Expenditure Term Investments ▪ Intentional reduction of ▪ $55 mil. - $65 mil. of cash ▪
Slide 37: Long-Term Framework
Long-Term Framework Substantial Revenue and Network Scaling opportunity has not changed TuSimple technology Initial focus on commercial Launch of Carrier Owned remains industry leading and launch TuSimple Capacity, Capacity required to scale to we continue to believe we path to positive cash flow te
Slide 38: In Conclusion
In Conclusion TuSimple | Investor Presentation 38
Slide 39: Focusing on What it Takes to Win
Focusing on What it Takes to Win Creating shareholder value through building on our technology leadership, creating near-term monetization opportunities, and proactively protecting our balance sheet 1 2 3 Investment Thesis for AV TuSimple’s Track Record Enhancing Corporate Trucking Remains Strong of
Slide 40: Thank You
Thank You TuSimple | Investor Presentation 40
TuSimple Holdings — Investor Presentation (April 2023) on 6ix