m2 m template - agriculture 2-3-11 final

M2M in Agriculture

Why my smartphone is now my best farm hand

Lew RothVP Business Development, ClimateMinder

Overview

• The agriculture opportunity

• Affordable data collection enabled by M2M

• Technology integration is challenging, but not the main business challenge

• Application software that makes “farm sense” of the data is a stronger adoption driver than ROI

Water • Water availability and cost

is the biggest issue for agriculture

• More efficient irrigation practices increase yield and quality

• New pressure on growers– 2009 California Water

Legislation

• Agricultural output needs to double by 2050

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US Irrigated Farmland

57 million acres of irrigated farmland in US

Irrigation Water Withdrawal by Method

50%

7%

43%

Sprinkler

Micro-irrigation

Surface

Flood

Sprinkler

Drip

* Irrigation statistics by “Estimated Use of Water in the United States in 2005” Report, USGS, U.S. Department of the Interior

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Example High Value Crops in CA

Berries Nuts Grapes (All) Vegetables

151K Acres10K Farms

1.8M Acres39K Farms

1M Acres25K Farms

2.7M Acres23K Farms

Highly perishable berry crops can yield of $30,000 + per acre

Grower Needs

• Getting quantitative, reliable field data

• Soils profiling and soils management

• Turning irrigation ON

• Turning irrigation OFF

• Optimizing use of fertilizers

• Microclimate monitoring (frost, excessive heat)

• Pest control

Crop and Irrigation Monitoring and Control Solution

What is ClimateMinder?

ClimateMinder is a wireless climate and soil monitoring and control system for agriculture.

It helps growers use water more efficiently and increase yield while reducing costs.

In addition, system enables:

Immediate frost response

Healthier nutrient/pesticide application

Better micro-climate coverage

Run-off minimization due to over-irrigation

How does it work?

Data Gathering Data Transmission Data Access

Irrigation Control

Supported Sensor Types• Ambient Temperature & Humidity

• Light / Solar Radiation

• Soil Moisture, Temperature, EC

• Leaf Wetness

• Tensiometer

• Wind

• Rain

• Flow

Sensor Node / Soil Station

Sensor Node / Soil Station

Cellular Gateway

Low Cost GrowFlex

Patent-pending, redundant & cost effective wireless monitoring & control system with mesh technology

GW

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Growers Requirements• “How it works” matters less than “that it works!”

• Fully integrated and supported services model

• No wires in the field

• No PC needed on-site

• Data is remote, accessible, safe, and backed up

• No software to be installed or updated

• Low power consumption, long battery life

• Portable nodes with good coverage e.g., 1 per 10 acres and easy to set up

Web Application Software

Configuration Map

Dashboard

Sensor Readings

Interactive Soil Profile Charts

When to Irrigate?

Degree Days and More…

Daily Custom Reports (in PDF)

Alerts via SMS or Phone

Growers Notepad

Mobile Application Software

GrowMobileTM Screenshots

GrowMobileTM Screenshots

GrowMobileTM Screenshots

Customer Value PropositionTotal Acreage 100

Crop Strawberry

Assumptions / Variables

Water cost per acre-foot $200

Pesticide cost per acre $200

Avg. Tonnage per Acre 30

Avg. Crop Value per Ton $1,100

Seasonal Water Need per Acre (acre-foot) 3.20

Incremental Profit Margin for Extra Yield 10%

Crop Value per Acre $33,372

Water cost per acre $640

Total Annual Water Costs $64,015

Total Annual Pesticide Cost (Including Material & Application) $20,000

Customer Value PropositionCase 1 Case 2

ROI Item Savings

Increased

Profit

Percent

Improvement

/

Risk

Avoidance Savings

Increased

Profit

Percent

Improvement

/

Risk

Avoidance

Reduction in Wasted Water Due

to Optimized Irrigation $3,201 5% $6,402 10%

Reduction in Wasted Pesticides

Due to Premature

Application $1,000 5% $2,000 10%

Reduction in Wasted Crop Due

to Failure to Spray/Control $3,771 0.10% $3,771 0.10%

Reduction in Loss Due to Proper

Frost Management $3,771 0.10% $3,771 0.10%

Improvement in Quality or Yield

Due to Optimized Irrigation $3,372 1% $16,859 5%

Total Annual Benefit $11,742 $3,372 $15,943 $16,859

Sum of Savings and Benefits $15,114 $32,802

Case 1 Case 2

Pay back period 9 months 4 months

Annual return on subscription 9x 20x

Recent Adopters

• Bolthouse Farms (Carrots)• Bay View Farms (Strawberries)• Pacific Berry Farms (Strawberries)• Berry Valley Farms (Strawberries)• McGrath Family Farms (Organic Pumpkins)• Catalinos Berry Farms (Raspberries)• Driscoll’s (Raspberries & Hyroponic Strawberries)• Mandalay Berry Farms (Strawberries)• Saticoy Berry Farms (Strawberries)• …

Where is the value to the grower?

• Sophisticated micro-climate monitoring and control

• User friendly web-based software

• Enhanced mobile user experience through GrowMobileTM

• Innovative & affordable service model

• Easiest installation and maintenance in the industry

• No local PC required. Data stored remotely

• Flexibility to add or remove sensors

• Continuous support and warranty

Thank you…ClimateMinder, Inc.

3501 Ocean View Blvd.

Glendale, CA 91208

Phone: 818-495-4922

1868 Greenwich St.,

San Francisco, CA 94123

Phone: 415-742-8636

www.ClimateMinder.com