Making corrective lenses more affordable

Making corrective lenses more affordable OptiOpia, Inc. The Opportunity Auto-Refractor Overview Team Status April 1, 2011 Saul Griffith, Ph. D. David Grosof, Ph.D., M.B.A. EFTA01114281 The World's #1 Vision Problem "Uncorrected refractive error is the major and most easily avoidable cause of vision loss" - Brien A Holden Confidential to Opt'°pia April 1, 2011 Presentation to Jeffrey Epstein 1 EFTA01114282 7 OptiOpia's Founding Strategy Opportunity 500 Million to 1 Billion people need single vision glasses and can pay $5 or more for good far vision OptiOpia's Approach Make vision screening and refraction easier Lower the cost of delivering prescription lenses Products Low-cost auto-refractor Desktop spectacle lens molder Confidential to Opti°pia April 1, 2011 Presentation to Jeffrey Epstein 2 EFTA01114283 Neglected Global Demand for quality low cost eyeglasses Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 3 EFTA01114284 Global Perspective - Possibility for Major Impact 4Bn Don't Need 500M - 1Bn Need but don't have 1Bn Have Source: World Health Organization. Brien Holden 0 al. • 1Bn People Need -Majority can afford -$5 glasses • $40Bn Existing Market • >$75Bn Economic Damage from uncorrected refractive error • >150MM blind or severely visually impaired • > 400 MM impaired by presbyopia Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 4 EFTA01114285 111FIC •• Two Sides to the Problem N 18 Measure refractive error at low cost Problem: • Scarcity of trained optometrists / ophthalmologists • Lack of low cost, low skill, refraction device Solution: • Automatic refraction requires little skill to operate • Robust, low cost, accurate vision testing device • Design for "minimal environment" without phoropter 2. Deliver corrective lenses at low cost Problem: • High capital costs of equipment to fabricate lenses • Skilled, trained technicians required to operate fabrication equipment • Capital tied up in large inventory of lens blanks at multiple distribution layers Solution: • Much less expensive equipment • Low technical skill requirements • Little / no inventory of blanks to carry Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 5 EFTA01114286 Current Auto-refractors Today's auto-refractors (ARs) are for offices in US, EU, Japan Almost all use id i'LLIEfl targets Technician uses to help doctor prescribe more quickly & accurately Highly accurate - unless accommodation fluctuates 6 Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein EFTA01114287 Current Auto-refractors Two Portable Models Welch-Allyn SureSight ($5,000) is failing Right Medical RetinoMax (ex-Nikon) is more expensive (>1M Yen or $12,000) Extensive research in US by NEI on value for screening 3-5 year-old children Table-top models range in price, quality & after-market service $6,000 to $15,000 The OptiOpia Auto-Refractor will be manufactured for less than $200 COGS and priced for each region $2,500 - $5,000 for US; < $1,000 for very poor regions Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein EFTA01114288 OptiOpia Autorefractor - Additional Product Benefits Fixed or Portable Stabilize Accommodation with Familiar & Interactive Targets Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 8 EFTA01114289 Subjective Refraction See-through feature + manual control of lens power = subjective refraction capability Streamlined refractive service delivery: no need to reposition at phoropter station Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 9 EFTA01114290 Special Product Benefits Monocular Subjective Refraction Capability Phoropter not necessary for many patients Device is more powerful with more skilled operator Confidential to OptiOpla April 1, 2011 Presentation to Jeffrey Eps An F p 2 T 0 Z 3 LPED 4 PECFD 5 XDFCZ! e morsv e 9 10 20/200 2 0/100 20/70 20/50 20/40 20/30 20/25 20/20 EFTA01114291 Children & Special Patients Objective refraction (ARs & retinoscopy) is necessary method for • young children (< 7) • mentally disabled • across a language barrier (And is a useful method for routine refractive service on all patients) .nfidential to OptlOpla April 1, 2011 Presentation to Jeffrey Epstein 11 EFTA01114292 OptiOpia Autorefractor - Key Product Benefits Portable Rugged Accurate Easy-to-Use Low-Cost ow ow' Confidential to Opt'°pia April 1, 2011 Presentation to Jeffrey Epstein 12 EFTA01114293 PirV Scheiner Double-Pinhole Principle 11 Two parallel beams of light intersect at a single retinal locus in emmetrope and in ametropia at 2 loci with separation proportional to absolute value of ametropia 3 Pairs of Beams IDEAL LENS Emmetrope RETINA Myope Hyperope Our approach is to cancel the refractive error with a variable-power optic Three meridia suffice to measure astigmatism Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 13 EFTA01114294 Low Cost Autorefractor - Design Features Inexpensive <$200 COGS vs. current $5,000 - $15,000 • Mass-produced high-performance components Lasers, CMOS imaging, Microprocessor • Modern plastic optics manufacture Special Variable Optic Lens (confidential) Portable, Rugged & See-through - Compact Design Easy to use - (features of competition) Accurate - "See-through" feature • increases stability of accommodation: patient looks at real world and device "auto-focuses" to correct prescription • enables fine-tuning of prescription by trained eyecare professional or technology-assisted vision tester LEO/ Variable Optic Patient's Fho °detect or Bement Eye Array .4 , / --- ;_ i -C-------- r o. Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 14 EFTA01114295 Autorefractor Specifications 8c Components Specifications Prescriptive Range: ±12 D sphere, 4D cylinder by nulling method; full range is TBD empirically Portable (similar or less weight and volume than Retinomax) Battery Powered Compact & Potentially Supports a Wearable Design Patient sees real target in examining room (10 degree linear field of view) More stable accommodation achieved, thus addressing the major source of error in objective refraction Real target is superior for pediatric, anxious and naïve patients Enables near-vision testing However: cannot so easily be located in outer office suite Components Infrared illumination of retina (850 nm VCSEL laser) 4 favorable cost trends CMOS imaging chip for fundus reflection 4 favorable cost trends Simple optical design: 2 apertures, 4 lenses, 2 beam-splitters; only 2 moving parts Embedded processor (not specified yet) 4 favorable cost trends The special component: The variable-power optic, which requires Precision plastic molding 4 favorable cost trends Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 15 EFTA01114296 Current Prototype Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 16 EFTA01114297 Autorefractor specifications (routine) Routine Specifications Display screen for display of external eye and alignment, results and settings Touch pad and remote control, for fast easy subjective refraction Thermal printer Data port for office management systems, telemedicine prescriptions, & lens molder Carrying case Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 17 EFTA01114298 OptiOpia - where are we & where are we going From Auto-refractor Technology to Manufactured Product Optical Design - completed, optimization under way Motion Control of Variable Power Lens several designs compared, built one now manufacturable, patentable, compact, robust Specialty lens fabrication -vendor identified Image Processing - tools in place, building <- Now Design and Testing of the "auto-focus" control in development Model Eye testing <- Now MILESTONE Limited human testing Design for Manufacture and pre-production prototypes (contractor identified) Clinical Equivalence Testing Regulatory Clearance, IP Defenses "Clinical Rules Engine" because ametropia # best prescription Field testing Identifying influential, reputable partners for field testing of pre-production auto-refractors Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 18 EFTA01114299 OptiOpia - who are we 8c where are we going The Company Team Building - Bruce Moore - NECO professor, pediatric optometrist, internationally recognized clinical expertise; World Bank - Dan Laser - entrepreneur, engineering PhD, CEO Wave80 Diagnostic - Charles Campbell - expert on auto-refractors and ophthalmic optic devices - Engineers (mechanical and electronic) Planning Market Entry - Strategy, Alliances & Research - Opportunities identified and prioritized (more work to be done; we were aided by former Sola executive) - Product features analyzed Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 19 EFTA01114300 17 OptiOpia Autorefractor - Key Product Benefits Portable Rugged Accurate Easy-to-Use Low-Cost Confidential to Opti°pia April 1, 2011 Presentation to Jeffrey Epstein 20 EFTA01114301 Making primary eyecare more affordable: OptiOpia Opportunity 1 Billion people need single vision glasses and can pay >= $5 Approach Lower the cost of vision screening and refraction Lower the cost of glasses delivery EFTA01114302 Extra Slides Follow The slides that follow this largely technical presentation may answer questions you may have about the team, market and technology. Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 22 EFTA01114303 Market Segments US, EU, Japan Slow Mature, Wealthy Screening NGO/Govts. Diagnosis Huge Need Distribution Challenge India, China, LDCs Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 23 EFTA01114304 Autorefractor Operation Nulling Mode Patient is aligned, Patient relaxes accommodation and fixates on distant target (+ power to force = "fogging") Retina is illuminated with one of six pencils of near-infrared light Retina is imaged and location of pencil of light back-scattered from retina is found After up to six pencils are imaged, refractive state of eye plus variable lens is computed Variable-power lens is repositioned to make eye+lens "emmetropic" and 6 loci coincident Retinal imaging of 6 loci repeated Converges to make Alvarez lens power = - 1* sphero-cylindrical ametropia* * adjusted by factor for distance of Alvarez lens from cornea Imaging Mode Beyond the "nulling range" of ±12D sph/4D cyl, it is possible to compute ametropia from changes in retinal loci of pencils as a function of the variable lens power. TBD empirically in model and human eyes Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 24 EFTA01114305 Molding Prototype v.III Both lens surfaces cast on flexible molds (top and bottom) Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 25 EFTA01114306 Saul Griffith, PhD, Chairman & Advisor to President of OptiOpia Education Ph.D. (2004) MIT (Media Lab) Thesis: "Growing Machines" Autonomously replicating robots & Programmable assembly (Advisor: Joe Jacobson) M Sc. MIT (Media Lab) Micron and Sub-micron scale rapid prototyping. Designed and developed novel 3-dimensional, multiple material, methods and apparatus for processing nanocrystalline suspensions into electronically functional devices. M.E. (Mechanical Eng.) U. Sydney Fibre Composite Materials; Reprocessing materials B.Met.E U. New South Wales Materials science (Metallurgy thesis) Experience 2009 Entrepreneur-in-Residence, Foundation Capital 2009 Founder, Other Labs Developing supply and demand side energy solutions 2007 Co-Founder, OptiOpia, Inc. 2004-2007 Co-Founder, Makani Power, HowToons, Potenco, Instructables, Squid Labs Honors 2007 MacArthur Fellow, 2007, 2003 Lemelson-MIT Student Prize for invention several others Patents include issued US Patent for lens molder Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 26 EFTA01114307 David Grosof, PhD, MBA Co-founder & President Education M.B.A. MIT. Focus on new venture development & finance. Ph.D. Neurobiology. U. California, Berkeley. Electrophysiological, anatomical, behavioral and modeling studies of biological processing of motion, color and form A.B. Harvard University. History of technology & social change; Neurobiology Experience 2007 Co-founder & President, OptiOpia 2006 Project Manager, Squid Labs 2001-2007 Business development consultant to life science based start-ups 2004 Co-founder, Theregen, Inc. (cell-based therapy for heart) 1997-9 Research Scientist, NASA. Retinal & ocular image processing. 1993-6 Assistant Professor, Ophthalmology, Washington University School of Medicine (St. Louis, Missouri). Scanning laser ophthalmoscopy, clinical methods Honors (selected) National Research Council Senior Research Associateship, NASA Ames Res. Ctr. NRSA Post-Doctoral Fellowship, NIH-National Eye Institute National Science Foundation Graduate Fellow Confidential to OptiOpia April 1, 2011 Presentation to Jeffrey Epstein 27 EFTA01114308