Intrusion Inc. · NASDAQ:INTZ
Intrusion — IPO Roadshow (October 2020)
27 slides from Intrusion's IPO roadshow presentation, Oct 5, 2020
Slide 1: Roadshow Presentation October 2020
Roadshow Presentation October 2020
Slide 2: Disclaimer
This presentation has been prepared by INTRUSION Inc. (the “Company”) solely for informational purposes based on its own info rma tion, as well as information from public sources. This presentation has been prepared to assist interested parties in making their own evaluation of the Com pany and does
Slide 3: Transaction Summary
TRANSACTION SUMMARY OFFERING DETAILS ISSUER: INTRUSION Inc. (Nasdaq: INTZ)* TRANSACTION: Follow - On and Secondary Offering with NASDAQ Uplisting OFFERING SIZE (INCLUDING OVER - ALLOTMENT OPTION): 2 million primary shares + 1.1 million secondary shares (by insiders) OVER - ALLOTMENT OPTION: 30 days
Slide 4: INTRUSION Leadership
INTRUSION LEADERSHIP JACK BLOUNT President & CEO 40 years in technology as a visionary in the personal computer, local area networking, ERP, mobile computing, big data, cybersecurity and AI. CIO of USDA, the 4th largest data center in federal government SVP of Business Development at Novell, helping
Slide 5: Our History
OUR HISTORY 1983 INTRUSION is established, building secure, fiber optic LAN equipment 1991 Corporate espionage case is uncovered, producing a historically - large settlement for the client & positioning INTRUSION as a formative watchdog in cybercrime. 2001 2004 2012 INTRUSION Savant launched, offeri
Slide 6: Key Business Highlights
KEY BUSINESS HIGHLIGHTS Differentiated cybersecurity vendor undergoing dramatic TAM expansion under new leadership 1 New management team brings emphasis on growth and vision for INTRUSION 2 INTRUSION has an irreplaceable, proprietary data asset that has historically been under - monetized 3 Highly d
Slide 7: $3 trillion in global cybercrime losses in 2019
$3 trillion in global cybercrime losses in 2019, projected to grow to $6 trillion by 2021 SIZE OF PROBLEM & OPPORTUNITY GROWTH OF LOSSES RESULTING FROM CYBERCRIME (BY YEAR) *The Economic Impact of Cybercrime: No Slowing Down by Center for Strategic and International Studies (CSIS) McAfee ** CyberSec
Slide 8: Common Misconceptions About Cybersecurity Threats
“If our firewalls stay updated, the network will stay protected” “Software and hardware from trusted vendors are secure when delivered” “Bad actors can be locked out with the right tools” “The right number of people with the right talent will keep the network safe” Myths… …Realities Firewalls are br
Slide 9: Rogue Agents Are on Your Network Now
1 2 ROGUE AGENTS ARE ON YOUR NETWORK NOW ACCEPT THAT BAD ACTORS CANNOT BE KEPT OUT FOCUS ON TECHNOLOGY THAT IDENTIFIES BAD ACTORS ON YOUR NETWORK EMPLOY A SOLUTION THAT CAN NEUTRALIZE BAD ACTORS IN REAL - TIME RATHER THAN GENERATING ALERTS The market doesn’t need yet another ‘door lock’ when adversa
Slide 10: Existing Solutions
EXISTING SOLUTIONS a vi INTRUSION G 10
Slide 11: TraceCop: Network Forensics Tool for Federal Customers
Monetized over 20+ years as a Network Forensics Tool for Federal Customers CUSTOMERS CONSIST OF FEDERAL AGENCIES, INCLUDING THE DOD AND THE TREASURY HOLDS MORE THAN 400 TERABYTES OF THREAT - ENRICHED DATA REVENUE MODEL IS BIFURCATED DEPENDING ON CUSTOMER REQUIREMENTS: > Analytical services delivered
Slide 12: TraceCop Is the Most Complete System for Internet Attribution
INTRUSION TraceCop ™ IS THE MOST COMPLETE SYSTEM FOR INTERNET ATTRIBUTION Only reputation engine of its kind with indexed Internet ownership data and traffic flow Domain WhoIs 12 million IPv4/IPv6 netBlock allocations 830 million observed domains since 2002 21 billion historical hostname/IP associat
Slide 13: INTRUSION Savant Network Appliance
Patented network appliance designed to carryout bidirectional protocol decoding in RAM INTRUSION Savant ™ FOR REAL - TIME PROCESS FLOW ANALYSIS > Extract identifiers (URLs, hosts, emails, IPs) > Accumulate the number of times an event occurs > Record a histogram of number of times traffic appears fo
Slide 14: A New Family of Solutions
ANEW FAMILY OF SOLUTIONS a vi INTRUSION G 44
Slide 15: Leverage TraceCop and Savant in New Enterprise Solutions
Leverage foundational TraceCop and Savant platforms in expanded new solutions for the Enterprise INTRUSION Shield ™ FAMILY REPRESENTS A NEW PARADIGM FOR CYBERSECURITY EXISTING SOLUTIONS INTRUSION TraceCop ™ “Who breached my network?” INTRUSION Savant™ “Is someone operating on a network?” AI APPLIED
Slide 16: INTRUSION Shield Offers Network Security From the Inside-Out
INTRUSION S hield ™ OFFERS NETWORK SECURITY FROM THE INSIDE - OUT Patented technology layers AI on top of TraceCop database, enabling real - time blocking of malicious traffic PLUG - N’ - PLAY IMPLEMENTATION INTRUSION Shield VALUE PROPOSITION Does not replace existing network elements; rather, Shiel
Slide 17: Shield Uses AI to Block Malicious Traffic
INTRUSION SHIELD™ DOES NOT SEND THOUSANDS OF ALERTS, Shield USES AI TO BLOCK MALICIOUS TRAFFIC 17
Slide 18: Shield Strategy & Market Size: Security-as-a-Service
S hield STRATEGY & MARKET SIZE: SECURITY - AS - A - SERVICE (SAAS) $20 per seat, per month pricing model designed to drive mass adoption in commercial enterprise market AGGRESSIVE RAMP UP OF RECURRING REVENUE Leverage established distributor network and channel reach of roughly 12,000 U.S. resellers
Slide 19: Shield Preliminary Beta Results
INTRUSION Shield ™ PRELIMINARY BETA RESULTS Sample of what 3 d ays of protection looks like for 3 companies in the Beta program 19
Slide 20: Shield Preliminary Beta Results: Customer Comments
INTRUSION Shield ™ PRELIMINARY BETA RESULTS Customer A “Shield was very easy to install and we were seeing breaches being blocked in only minutes!” Customer B “We were amazed by the number of malware connections that were getting blocked every day and that most were outbound connections.” Customer C
Slide 21: Shield Family of Solutions Roadmap
INTRUSION Shield ™ FAMILY OF SOLUTIONS ROADMAP A new family of solutions targeting important sub - segments the Enterprise & SMB markets Shield Shield CLOUD Shield LT (Lateral Traffic) Shield RE (Remote Employees) Shield WIFI Shield MOBILE 21
Slide 22: Financial Overview
FINANCIAL OVERVIEW WW nrrusion any
Slide 23: Financial Performance
FINANCIAL PERFORMANCE Historical performance driven by TraceCop HISTORICAL REVENUE AND EBITDA PERFORMANCE ($ in millions) 2016A 2017A 2018A 2019A 1H’20 $6.10 $6.86 $10.28 $13.64 $3.46 ($1.08) ($0.54) ($1.11) $2.61 $4.69 Revenue EBITDA 23
Slide 24: P&L Snapshot
P&L SNAPSHOT This information should be read in conjunction with our consolidated financial statements and the related notes included in our Prospectus including “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” 24
Slide 25: Balance Sheet Snapshot
BALANCE SHEET SNAPSHOT This information should be read in conjunction with our consolidated financial statements and the related notes included in our Prospectus including “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” 25
Slide 26: Key Investment Highlights
KEY INVESTMENT HIGHLIGHTS Differentiated cybersecurity vendor undergoing dramatic TAM expansion under new leadership 1 New management team with CEO that has repeated success in technology turnarounds 2 INTRUSION has a uniquely valuable , dynamica lly growing, threat - enriched Big Data Cloud of data
Slide 27: Invest in a Cyber Defense Solution That Works
CYBERSECURITY AS AN INDUSTRY HAS FAILED. INVEST IN A CYBER DEFENSE SOLUTION THAT WORKS! 27