Technology Sponsorship Program
Reducing Development Risks and Costs For Ourselves and Our Sponsoring Partners
Fields-of-Use
The primary mission of CAP Holdings Company (“CHC”) is to field safe, secure, sustainable, community-based seawater desalination systems. In pursuing our mission we work closely with government labs, institutes, and universities throughout the world to identify and commercialize advanced water treatment and green energy technologies that will lower the costs, and/or increase the quality or sustainability of our community-based seawater desalination systems.
However, the technologies that we are commercializing always have applications beyond “community-based seawater desalination” (e.g., Residential Point-of-Use Water Treatment, Industrial Process Water Treatment, Mining Water Mitigation, Agricultural, etc.). CHC cannot effectively exploit these technologies in all of these various “fields-of-use”. Therefore, through our Technology Sponsorship Program we seek Field-of-Use Sponsors (aka Partners) with commercial capabilities in particular Fields-of-Use other than “community-based seawater desalination”. In this way the cost and risk of technology research and product development is lowered for both CHC and its Technology Sponsors by spreading that cost and risk across multiple Fields-of-Use and Sponsors.
Phase/Gate Methodology
Phase/Gate Methodology forms the backbone of our Technology Research and Product Development Process (R&D Process). Using this method, the R&D Process is broken down into discrete Phases where the technical and commercial viability of the technology is incrementally verified and validated (i.e., the program is incrementally “de-risked”). Phases are separated from each other by “Go/Stop/Change Gates” where the decision is made to continue the program as planned, proceed with a modified plan, or to stop the program. Investment in the R&D Process occurs at each Gate, and every effort is made to organize the R&D Plan so that investment increases as risk decreases.
Although every R&D Project is unique, our Phase/Gate Process generally tracks the Technology Readiness Assessment definitions and progressions used by the U.S. Department of Energy, NASA, and the Oil and Gas Industry.
Sponsorship Structures
There are many ways to structure a Technology Sponsorship, and although exclusive field-of-use licenses, jointly owned exploitation companies, and exclusive supply arrangements are a few of the more obvious structures, CHC welcomes the opportunity to negotiate unique, forward thinking arrangements proposed by individual Sponsors. That said, CHC has a definite preference for sustainable, long term, trust-based relationships that enhance the value of the technology across all fields-of-use (e.g., Intellectual Property Grant Back and Forward Regimes).
Sponsorship Pricing
Sponsorship pricing includes R&D Fees and Residual Revenue (e.g., royalties, profit sharing). The exact price for a Field-of Use Sponsorship depends on many factors including the value of the end-item in the Field-of-Use and its Technology Readiness Level at the time of initial investment. In any event, R&D Fees and Residual Revenue Rates are established using a Value Pricing methodology undertaken during an open and frank negotiation consistent with our preference for sustainable, long term, trust-based relationships.
The primary mission of CAP Holdings Company (“CHC”) is to field safe, secure, sustainable, community-based seawater desalination systems. In pursuing our mission we work closely with government labs, institutes, and universities throughout the world to identify and commercialize advanced water treatment and green energy technologies that will lower the costs, and/or increase the quality or sustainability of our community-based seawater desalination systems.
However, the technologies that we are commercializing always have applications beyond “community-based seawater desalination” (e.g., Residential Point-of-Use Water Treatment, Industrial Process Water Treatment, Mining Water Mitigation, Agricultural, etc.). CHC cannot effectively exploit these technologies in all of these various “fields-of-use”. Therefore, through our Technology Sponsorship Program we seek Field-of-Use Sponsors (aka Partners) with commercial capabilities in particular Fields-of-Use other than “community-based seawater desalination”. In this way the cost and risk of technology research and product development is lowered for both CHC and its Technology Sponsors by spreading that cost and risk across multiple Fields-of-Use and Sponsors.
Phase/Gate Methodology
Phase/Gate Methodology forms the backbone of our Technology Research and Product Development Process (R&D Process). Using this method, the R&D Process is broken down into discrete Phases where the technical and commercial viability of the technology is incrementally verified and validated (i.e., the program is incrementally “de-risked”). Phases are separated from each other by “Go/Stop/Change Gates” where the decision is made to continue the program as planned, proceed with a modified plan, or to stop the program. Investment in the R&D Process occurs at each Gate, and every effort is made to organize the R&D Plan so that investment increases as risk decreases.
Although every R&D Project is unique, our Phase/Gate Process generally tracks the Technology Readiness Assessment definitions and progressions used by the U.S. Department of Energy, NASA, and the Oil and Gas Industry.
Sponsorship Structures
There are many ways to structure a Technology Sponsorship, and although exclusive field-of-use licenses, jointly owned exploitation companies, and exclusive supply arrangements are a few of the more obvious structures, CHC welcomes the opportunity to negotiate unique, forward thinking arrangements proposed by individual Sponsors. That said, CHC has a definite preference for sustainable, long term, trust-based relationships that enhance the value of the technology across all fields-of-use (e.g., Intellectual Property Grant Back and Forward Regimes).
Sponsorship Pricing
Sponsorship pricing includes R&D Fees and Residual Revenue (e.g., royalties, profit sharing). The exact price for a Field-of Use Sponsorship depends on many factors including the value of the end-item in the Field-of-Use and its Technology Readiness Level at the time of initial investment. In any event, R&D Fees and Residual Revenue Rates are established using a Value Pricing methodology undertaken during an open and frank negotiation consistent with our preference for sustainable, long term, trust-based relationships.