Slide 1: Quantum Analyst Day May 2022
QUANTUM ANALYST DAY • MAY 2022
Slide 2: General Cautionary Note
GENERAL CAUTIONARY NOTE D-Wave’s ability to develop and maintain its brand and reputation, developments and projections relating to D-Wave’s competitors and industry, the impact of health epidemics, including the COVID-19 pandemic, on D-Wave’s business and the actions D-Wave may take in This present
Slide 3: Cautionary Note Regarding Non-GAAP Financial Measures
CAUTIONARY NOTE REGARDING NON-GAAP FINANCIAL MEASURES This Presentation includes certain financial measures (including on a forward-looking basis), such as Adjusted EBITDA, Adjusted EBITDA margin • In connection with the statutory plan of arrangement under the Business Corporations Act (British Colu
Slide 4: Certain Risks Related to D-Wave
CERTAIN RISKS RELATED TO D-WAVE The risks presented below are certain of the general risks related to the D-Wave’s business, industry and ownership structure and • If D-Wave cannot successfully execute on its strategy, including changing customer needs and new technologies and other are not exhausti
Slide 5: Certain Risks Related to D-Wave (Continued)
CERTAIN RISKS RELATED TO D-WAVE (CONTINUED) • D-Wave is subject to export and import controls and economic sanctions laws that could impair its ability to offer its products or make its platform available in some jurisdictions, or subject D-Wave to liability if it is not in compliance with applicabl
Slide 6: DPCM Capital: Board of Directors and Advisors
DPCM Capital, Inc (NYSE: XPOA) a special purpose acquisition company RAISED $300M BO A RD O F D IRECTO RS CHIEF EXECUTIVE OFFICER E m i l M i c hae l Peter B.A ., Harv ard Univ e rs ity Diamandis J.D ., S tanford Law S c hool CA REER HIGHLIG HTS Chie f Bus ine s s O ffic e r at Ube r, playe d a piv
Slide 7: What is Quantum Computing? Agenda
What is Quantum Computing? Commercialization of Quantum *LIVE* Customer Conversation Demo Technology & Products Transaction & Financials Wrap-Up and Q&A 7 COPYRIGHT © D-WAVE SYSTEMS INC.
Slide 8: Our Mission
8 OUR MISSION TO UNLOCK THE POWER OF QUANTUM COMPUTING TO BENEFIT BUSINESS AND SOCIETY 8 COPYRIGHT © D-WAVE SYSTEMS INC.
Slide 9: D-Wave at a Glance
9 D-WAVE AT A GLANCE . HQ: Vancouver, B.C. EMPLOYEES: 180+ (70% R&D) MARKET LEADER First real-time quantum 5,000+ qubit system 250+ early applications cloud platform BUSINESS MODEL: The Quantum Cloud Company STRONG CUSTOMER BASE QUANTUM AS A SERVICE (QCaaS): Volkswagen Real-time access to quantum/hy
Slide 10: Uses Quantum Mechanical Effects to Solve Complex Computational Problems
USES QUANTUM MECHANICAL EFFECTS TO SOLVE COMPLEX COMPUTATIONAL PROBLEMS SOLVE PROBLEMS THAT SOLVE CURRENT PROBLEMS HAD BEEN UNSOLVABLE FASTER AND/OR BETTER Unimaginable Social & Economic Impact Reduce Costs Increase Revenue 10 C O P Y R I G H T © D - W A V E S Y S T E M S I N C .
Slide 11: The Power of Quantum Computing
THE POWER OF QUANTUM COMPUTING THE PROBLEM Optimizing sharing of resources between hospitals 0 1 0/1 BITS limit the number of possible QUBITS allow quantum computers solutions a classical computer can see to see all possible solutions at at one time, making it much more once, making it much easier t
Slide 12: Primary Approaches to Quantum Computing
PRIMARY APPROCHES TO QUANTUM COMPUTING ANNEALING GATE-MODEL AN EASIER ON-RAMP HIGHER INVESTMENT TO QUANTUM COMPUTING COST & LEARNING CURVE ANNEALING Natively optimization OR Suited to differential equations Commercial today GATE 7+ years to commercialization COMBINATORIAL OPTIMIZATION LINEAR ALGEBRA
Slide 13: The Commercialization of Quantum Technology
13 T H E C O M M E R C I A L I Z AT I O N OF QUANTUM TECHNOLOGY Experimental / Research Product Commercialization Advantage Advantage Performance Advantage 2 Advantage 3 D-Wave One D-Wave Two D-Wave 2X 2000 Q 2000 Q LN ANNEALING Transition to Commercial Product (ONLY D-WAVE) Transition from governme
Slide 14: D-Wave Differentiators
D-WAVE DIFFERENTIATORS QUANTUM FULL STACK PROVIDER REAL-TIME QUANTUM ANNEALING CLOUD SERVICE Annealing & gate systems, Required for cloud service, software tools, for in-production applications optimization problems professional services FIVE GENERATIONS THREE MILLION FIRST MOVER TIMES SPEED-UP ADVA
Slide 15: D-Wave Enables the Full Quantum Expected TAM
15 D-WAVE ENABLES THE FULL QUANTUM EXPECTED TAM 1 . Computational Combinatorial Optimization Linear Algebra & Factorization Differential Equations Problem (Machine learning & cryptography) (Simulation) LONG-TERM ANNEALING ANNEALING OR GATE MODEL GATE MODEL $450B - $850B TAM 15-30 Years (DWAVE ONLY)
Slide 16: The Challenge of Evaluating Quantum Technology
THE CHALLENGE OF EVALUATING QUANTUM TECHNOLOGY GATE FIDELITY LOGICAL QUBITS COHERENCE TIMES WHICH MATTER? PHYSICAL QUBITS ERROR RATES CONNECTIVITY ONLY THOSE THAT LEAD TO A COMMERCIAL BUSINESS 16 C O P Y R I G H T © D - W A V E S Y S T E M S I N C .
Slide 17: The Elements of Quantum Commercialization
THE ELEMENTS OF QUANTUM COMMERCIALIZATION IS A COMMERCIAL 68% QUANTUM COMPUTING COMPANY PRODUCTIZATION APPLICATIONS THE KEY QUALITIES OF OF OUR QCaaS REVENUE IS A COMMERCIAL FROM COMMERCIAL CUSTOMERS QUANTUM COMPANY 55 MORE THAN TWO DOZEN FORBES GLOBAL + ADOPTION MARKET 2000 CUSTOMERS COMMERCIAL CUS
Slide 18: Strong Demand for Quantum Solutions Already Exists
18 STRONG DEMAND FOR QUANTUM SOLUTIONS ALREADY EXISTS 39% 81% of companies have quantum use cases in mind in the next three years1 33% of business leaders see quantum’s impact as OF COMPANIES ARE EXPERIMENTING WITH “transformational” to society1 QUANTUM TODAY 1 31% of enterprises have abandoned comp
Slide 19: Now Serving Key Markets
19 NOW SERVING KEY MARKETS LO G I S T I C S PHARMA FINANCE Shipping container logistics Protein folding Portfolio risk reduction and Employee scheduling Clinical trials return optimization Farm to market food delivery Drug discovery Marketing campaign optimization Last mile vehicle routing Fraud det
Slide 20: From Implementation to Execution
SELECT CUSTOMERS FROM IMPLEMENTATION TO EXECUTION PHASE 1 PHASE 2 PHASE 3 PHASE 4 DISCOVERY QUANTUM POC PRODUCTION PILOT IN PRODUCTION USE CASE IDENTIFICATION PROOF PILOT BUSINESS & SELECTION OF CONCEPT APPLICATION VALUE Business Goals Solution Requirements Pilot Development Full-Scale Deployment
Slide 21: The Computing Industry Is at a Inflection Point with Quantum Technology
THE COMPUTING INDUSTRY IS AT A WITH QUANTUM TECHNOLOGY 1977 1980 1999 2011 2014 2020 Personal Computer Internet / IOT Wireless Internet Smart Phones Applied AI / ML Quantum Computing (Apple IIE / IBM) (Compuserve / AOL) (AT&T) (iPhone / Palm) (Alexa) (Advantage) MATURE MARKET TAM $198B TAM1 $478B TA
Slide 22: Quantum Applications and Use Cases
Quantum Machine Learning Manufacturing Digital Twin Schedule Optimization Portfolio Optimization Clinical Decision Support Modeling Cryptocurrency Adoption Grocery Optimization Last Mile Routing 22 C O P Y R I G H T © D - W A V E S Y S T E M S I N C .
Slide 23: Only D-Wave Has a Commercial Technology Stack
2 3 O N LY D - WAV E H A S A A COMMERCIAL TECHNOLOGY STACK QUANTUM COMPUTERS CLOUD-SERVICE DEVELOPER TOOLS PROFESSIONAL SERVICES 5 generations of Cloud access to the D-Wave quantum Open-source developer tools Customer onboard to annealing quantum computers computer & quantum hybrid solvers built in
Slide 24: The Importance of Owning Your Own Cloud Infrastructure
T H E I M P O R TA N C E O F O W N I N G Y O U R OWN CLOUD INFRASTRUCTURE THE STOLEN CUSTOMER POACHED INNOVATION Limited Access to Customer Identity Partner Gains Key Business Insights Limited Influence on Customer Journey Partner Benefits from Product Led Growth BUSTING THE MYTH THAT YOU NEED AN IN
Slide 25: Relentless Product Delivery
EXCITING NEWS: RELENTLESS PRODUCT DELIVERY First US-based Advantage quantum computer, available in Industry's first hybrid solver with continuous variables to the Leap quantum cloud service. run on a quantum computer. 25 C O P Y R I G H T © D - W A V E S Y S T E M S I N C .
Slide 26: Leap Cloud Architecture and Hybrid Solvers
LEAP Web UI SAPI-WS IDE Workspaces UI H YBRID SOLVERS CQM DQM BQM AWS AWS AWS ( O R US - WES T) ( O R US -WES T) ( EU CEN TRA L-1) 5000+ Qubits 5000+ Qubits 5000+ Qubits ISI Marina Del Rey, California Burnaby, Canada North Rhine-Westphalia , Germany 26 C O P Y R I G H T © D - W A V E S Y S T E M S I
Slide 27: Built for Business
THE MOST CONNECTED AND POWERFUL QUANTUM COMPUTER BUILT FOR BUSINESS D-WAVE SUPPORTS HYBRID APPLICATIONS OF REAL-WORLD SIZE Up to 1 million variables ANNEALING QUANTUM PROCESSOR DESIGN 5,000+ qubits ONGOING INCREASES IN COHERENCE & CONNECTIVITY NOW SYSTEMS LOCATED IN US, EUROPE & CANADA 27 C O P Y R
Slide 28: Gate Model Technology Comparison
G AT E M O D E L T E C H N O L O G Y C O M P A R I S O N SUPERCONDUCTING ADVANTAGES 1 SUPERCONDUCTING ION TRAP PHOTONIC PROS • Faster gate speeds • Longer coherence times • Infinite coherence times • Proven ability to scale (D-Wave) • High qubit connectivity within a trap • Naturally scalable CONS •
Slide 29: D-Wave's Plan to Deliver a Scaled Gate Model System
29 D - WAV E ’ S P L A N TO D E L I V E R A SCALED GATE MODEL SYSTEM 1 UNIQUE MULTILAYER DEMONSTRATE ON- VALIDATE ERROR FIRST AT-SCALE FAB STACK CHIP CONTROL CORRECTION SYSTEM New qubit design with low On-chip control with no Prototype scalable 5,000 qubit system configurable error rates increase in
Slide 30: Industry Leading Management
INDUSTRY LEADING MANAGEMENT ALAN BARATZ, PhD JOHN M ARKOV IC H TANYA J. ROTHE V IC TORIA BRYDON CEO CFO GENERAL COUNSEL SVP, PEOPLE & 35 years of technology leadership Senior financial executive with Member of the bars of CA and OPERATIONAL EXCELLENCE experience. CEO of D-Wave since extensive experi
Slide 31: Evolution to Revolution: Commercial Quantum Computing
FRAUD EVERLASTING DETECTION BATTERIES DRUG TRIAL DESIGNER OPTIMIZATION DRUGS COMMERCIAL EVOLUTION QUANTUM REVOLUTION COMPUTING GLOBAL PORTFOLIO WEATHER MODELING OPTIMIZATION LAST MILE NEW ROUTING MATERIALS 31 C O P Y R I G H T © D - W A V E S Y S T E M S I N C .
Slide 32: Summary Forecast Financial Performance
SUMMARY FORECAST FINANCIAL PERFORMANCE REVENUE FORECAST 1 REVENUE ($MM) $600 $551 SERVICES REVENUE CLOUD REVENUE $400 $219 $200 $72 $11 $27 $0 2022 E 2023 E 2024 E 2025 E 2026 E % GROSS 57% 66% 75% 82% 84% MARGIN 1 ADJUSTED EBITDA FORECAST 1 Adjusted EBITDA ($MM) Adjusted EBITDA Margin % Adjusted EB
Slide 33: Transaction Expected to Provide D-Wave with a Fully Funded Business Plan
33 TRANSACTION EXPECTED TO PROVIDE D-WAVE WITH A FULLY FUNDED BUSINESS PLAN D-WAVE FORECAST CASH POSITION F ORECAST END OF YEAR CASH BALANCE ($MM) ( 1 ) (2) $800 $600 $522 FORECAST CASH GENERATION $400 $354 $230 $168 FORECAST $200 F ORECAST END OF YEAR $150 BEGINNING CASH BALANCE $91 $77 OF YEAR $16
Slide 34: Transaction Overview
34 TRANSACTION OVERVIEW Opportunity to invest in a leading independent full-stack Quantum Computing SOURCES AND USES 1,2 , $MM provider, offering integrated hardware, software, professional services and SOURCES application development tools delivering real-world impact at scale Existing SPAC Trust $
Slide 35: Share Bonus Structure for Non-Redeeming SPAC Public Shareholders
S H A R E B O N U S S T R U C T U R E F O R N O N - R E D E E M I N G S PA C P U B L I C S H A R E H O L D E R S (1) $ in millions except per-share amounts Illustrative Redemptions -- 10% 20% 30% 40% 50% 60% 6 3 % (2) SPAC Non-Redeeming Shares 30.0 27.0 24.0 21.0 18.0 15.0 12.0 11.0 (+) Bonus Shares
Slide 36: D-Wave Differentiators
D-WAVE DIFFERENTIATORS QUANTUM FULL STACK PROVIDER REAL-TIME QUANTUM ANNEALING CLOUD SERVICE Annealing & gate systems, Required for cloud service, software tools, for in-production applications optimization problems professional services FIVE GENERATIONS THREE MILLION FIRST MOVER TIMES SPEED-UP ADVA
Slide 37: & D - W A V E S Y S
& 37 C O P Y R I G H T © D - W A V E S Y S T E M S I N C .
Slide 38: Quantum
QUANTUM 38 C O P Y R I G H T © D - W A V E S Y S T E M S I N C .