Hi, my name is Emil Michael, I’m the Chairman and CEO of DPCM Capital. I’m a four-time entrepreneur, and my latest endeavor was being the Chief Business Officer at Uber, effectively the number two, where I focused on raising money, added up to about $15 billion over my four years there. I ran our China business, and our Enterprise business, along with our Russia business.

Thanks, Emil. As Emil said, my name is Alan Baratz and I’m the CEO of D- Wave Systems. D-Wave is the quantum computing hardware, software, and services company. Quantum computing uses quantum mechanical effects, including superposition, entanglement, and tunneling to compute problem solutions significantly faster than they can be computed using classical computers.

We are focused on working with Global 2000 companies to help develop and deploy real business applications as opposed to just focusing on government funded research experimentation which is pretty much where all of the other quantum computing companies are focused today.

Okay that’s a little bit on applications, customers, and our go-to-market model. Let me now switch gears and talk for a few minutes about our products.

As I said, our current generation quantum computer is our 5,000-qubit Advantage quantum computer. We brought that system to market about a year ago. And a few months ago, we made generally available our Advantage performance update.

This was a new chip; they used a modified fabrication process with some new materials to deliver even better performance than our original Advantage quantum computer. In fact, this system can deliver up to a 2X performance improvement on spin glass optimization problems which are some of the hardest of the optimization problems.

However, it’s not just about the hardware, it’s also about software. Our software includes our Leap quantum cloud service, our hybrid solvers for using classical compute in combination with quantum compute, and our software development tools. When we brought our Advantage performance update to market a few months ago, we also launched a new hybrid solver called our constrained model solver.

In addition to delivering better performance than our previous hybrid solvers, this solver for the first time raised the level of abstraction for developers building applications on our quantum computer. So specifically, if you’re a data scientist, or a data analyst, and you’re accustomed to building applications by using linear programming, or quadratic programming, or mixed integer programming, our new hybrid solver can now take those application models, and automatically map them to the quantum computer.

Moreover, when we bring our gate-model quantum computer to market, we will be enhancing our cloud service, our software development tools, and our hybrid solvers to support both our annealing, and our gate-model quantum computers. Let me talk for a minute about our Leap quantum cloud service.

As I mentioned, we brought this to market back in 2018, as the first real-time quantum cloud service. Leap is a very comprehensive service offering. It provides everything from real-time access to our quantum computers, to access to our hybrid solvers, to access to our complete suite of software development tools.

It includes a full integrated developer environment so you can program your applications right there inside of Leap with nothing to download. It also includes application templates for quick start in developing applications, and a whole host of learning and educational materials.

Moreover, as I mentioned, this was designed not just for research experimentation but also to support real business applications at production of scale. Our Leap cloud service is currently backed by a 5000-qubit Advantage quantum computer and the Advantage performance update that we brought to market a few months ago. When we brought the Advantage performance update to market a few months ago, we also announced the roadmap for our next generation Advantage quantum computer called Advantage 2.

This system will have over 7000 qubits, increased connectivity, and increased coherence time. All three of these elements are extremely important because it’s increased qubits, increased connectivity, and increased coherence time that allows us to solve larger, and more complex problems faster and faster. In fact, our plan going forward is that every couple of years, we will deliver a new annealing quantum computer with more qubits, more connectivity, and more coherence.

Finally, from a product perspective, I want to talk about our new gate-model program. We also announced this a few months ago. What makes D-Wave unique in our approach to gate-model systems is that we are focused on driving quickly to a scaled, error-corrected gate-model system. We’re not taking the same path that everybody else in the quantum industry has taken.

Their approach has been to fabricate a few qubits, attach some I/O lines, and try to wiggle the qubits to get them to do something. That’s experimentation. We’re focused on commercial. We focused on commercial with our annealing quantum computer, and now we’re focusing on commercial with our gate- model program.

This means driving to a scaled, error-corrected system as quickly as possible. And there are a number of very important and very challenging technologies that we had to develop as a part of our annealing program that are directly applicable to our gate-model program. For example, multi-layer qubit fabrication, we are the only company that fabricates qubits in a multi-layer stack as opposed to a single layer on a wafer.

This is very important because that’s what allows us to get the qubit density that we are getting today. That’s why we have 5000 qubits when our competitors are generally at about 50 qubits. However, when you fabricate qubits with that kind of density, you become very sensitive to slight differences in the fabrication process across the chip.

And as a result, the qubits can all perform slightly differently from one another. This drives the need to be able to tune those qubits. You need to be able to design and build qubits where you can read parameters from the qubits, and then adjust those parameters to homogenize the qubits so that they all perform identically. This is very challenging, and another hard technology that we had to perfect as a part of our annealing quantum system.

Third is on-chip control. We are the only company in the world that has control on the same chip as our qubits. This is very challenging because of cross talks between the control elements and the qubits.

Actually, cross talk just between qubits is very challenging, but once you add control, it makes it significantly more difficult. And we’ve worked through how to manage that so that we are now able to deliver systems that have control on the same chip as the qubits.

This is extremely important as it’s what allows us to read qubit parameters and adjust them. That’s how we homogenize the qubits. It also gives us on- chip addressing and pipelining for rapid programming and readout. This is why we’re able to control our 5000-qubit quantum computer with only 200 I/O lines where everybody else in the industry has one I/O line per qubit.

Moreover, all of these technologies that we had to develop for our annealing quantum computer, they are all directly applicable to building a scaled, error- corrected gate-model system. And we are the only company that has those technologies available. Our competitors haven’t even started working on developing them.

Before I hand it over to John Markovich, who is our CFO, to talk about financials, I want to take a minute to say that we also have a very strong and complete management team. The company is managed by myself and John. We have an exceptional R&D team in both hardware and software. And we have a complete go-to-market organization, including sales, marketing, and professional services.

So thank you for your time. And now, I’ll turn it over to John to spend some time talking about the financials.

John Markovich:

In preparation for this transaction, we have developed a very comprehensive bottoms-up five-year financial plan and are projecting in excess of 160% growth in revenue over the next five years, commencing with a targeted $11 million in revenue for this year. That represents a significant double-digit increase over last year’s revenue.

Approximately 40% of our 2022 $11 million revenue objective is supported by contracted bookings with another 5% supported by the renewal of contracts that were entered into in prior periods. D-Wave has a highly diversified commercial customer base that includes approximately two dozen Forbes Global 2000 companies.

The growth in our revenue will be driven by a number of drivers, including the broadening of our customer base through significant expansion of our direct sales organization, and our network of channel partners with approximately 25% of the use of proceeds from this transaction to be applied towards our go-to-market initiatives.

Also, an expansion in the number of applications that we are addressing with our customers, as well as an expansion in the number of applications being used by each customer, and lastly an increase in the average transaction size or revenue per customer over the forecast period.

Underpinning these internal growth initiatives is the projected growth of the optimization portion of the TAM that Alan highlighted earlier. Although we believe that we have virtually no competitors in the optimization sector, our financial projections assume that we only capture 15 to 30% of the optimization portion of the TAM, depending upon the year.

And our revenue projections do not include any revenue contributions from the linear algebra and factorization portions of the TAM that our annealing technology can address or from our gate model program.

The 57-84% growth in gross margins is driven principally by the gradual shift in our revenue mix towards the higher margin cloud-based platform-as- a-service recurring revenue that increases from approximately 50% of total revenue this year to about 95% of total revenue over the forecast period.

With respect to the cash dynamics of the business, the targeted net proceeds from this transaction provides us with a fully funded business plan. Over the next several years we plan to invest aggressively in software and systems development as well as the go-to-market initiatives that I mentioned earlier.

And we are projecting that the business turns cashflow positive on a sustained basis in the first quarter of 2025.