1. ACMA - RadComms2014 UAS Technology an Emerging Strategic Capability in Driving Australian Productivity By Mark Xavier (Group MD/CEO)

2. Focus of this Presentation  UAS/UAV Technology (Overview)  Productivity Benefits (How, What & Where)  A Market Disruptor (Evolutionary vs Revolutionary)  Business Strategy (Options – buy, lease or rent)  Capability Sustainment (Challenges)

3. Ground Control Station Control & data-links 4G, P2P, WAN, etc Sensors EO/other (day / night) Platform Type Real time or Stills Data Information

4. Applications - Actionable Product  HD streaming video – Day/Night;  HD stills – Colour, Hyper/multi spec, 3D models;  Sensing – weather/climate/environment;  Telecom/Mobile - Bandwidth Platforms;  Delivery – food/water, medical, SAR & SFR NB: CASA 600+ applications

5. Small RPAS in emergency management

6. QLD Rural Fire Trials 2010

7.  Real-time appreciation  Rapid decision making  Accurate resource allocation  Task Prioritisation  OH&S support  Tactical view anywhere via www

8. 3D Survey of Mines & other Assets

9. 3D Modelling of terrain and other assets

10. UAS TechnologySupport Human Organization Remote Crew Regulations OperationsMaintenance Operational & Effective

11. Networks of Integrated Systems

12. Productivity Is an average measure of the efficiency of production. The ratio of inputs to outputs in the production process. UAS/UAV Technology will provide the end-user the geospatial information to deploy more cost-effectively:  Labour; and  Capital (including other robots). The result will be significant productivity gains particularly once a multiplier effect can be achieved using other robots and automation. A few % will result in $B to Australia’s GDP bottom line.

13. Example - Robots as a Productivity Multiplier

14. Productivity Benefits – Who?  Mining & Energy  Agriculture & Aquaculture  Forestry & Environment  Infrastructure & Construction  Education & Tourism  Government & Defense  Hi-Tech Industries NB: Any sector that is geospatially challenged!

15. Productivity Benefits – How?  24/7 Automation (Never Sleeps)  Accuracy (cm/mm – revolutionary in many sectors)  Repeatability (Change Management)  Reliability (Continuous Improvement)  Access (Business Model & Low-Cost Options)

16. Productivity Outcome  Higher Quality of Output (Premiums)  Higher Quantity of Output (new markets)  Lower Cost per unit Produced (Efficient)  Reduced Waste (use only what is required)  Continuous Improvement (tech & processes)

17. Productivity – Challenges  Technology Uptake (Capability Development)  Regulatory Issues (Pace of Change)  Public Perceptions (False & Real)  Bandwidth (ACMA Challenge)  Data (Processing, Storage & Privacy/Security)

18. The National Airspace (NAS) < 400ft Operations > 500ft Operations 100ft Buffer/transition zone (Lower Barriers to Entry) Small Systems 1-20kg (Higher Barriers to Entry) Larger Systems 20kg+

19. The National Airspace (NAS) < 400ft Operations > 500-60,000ft Operations 100ft Buffer/transition zone

20. The Market Disruptor < 400ft Operations > 500ft Operations (Low-Regulatory costs) (Hi-Regulatory costs) Revolutionary – New Industry Capabilities Evolutionary – Substitution of current Aviation Capabilities

21. Market Development Example < 400ft Operations > 500ft Operations 100ft Buffer/transition zone (PC on every desk) (IBM - Big Blue)

22. Majority by UOC numbers 99%  < 400ft systems (Tier 1 UAS)  < 7kg electric fixed and or multi-rotor  Visual line of sight (VLOS)  Scope for BVLOS, night & populous ops  Lower cost to purchase, comply & employ

23. Tiered UAS Business Approach  Tier 1 – Organic Tactical ‘tool box’ approach  Tier 2 – Service Agreements with Govt/ASX  Tier 3 – Federal Agencies (ADF/BPC) Tier 1 UAS are revolutionary (new capability tool) Tier 2+ UAS are evolutionary (supplement manned operations) N.B: Access to any tier will be limited by cost & difficulty of employment

24. Business Model Options  Organic developed capability  Purchased 3 rd Party Services  Mixed – organic & 3 rd party services* Usually for overflow or for beyond routine tasks N.B: Volunteer crews in EMS organisations

25. SLSA Beach Trials 2012 Small UAS/UAVs in volunteer based community organisations could be significant

26. UAS TechnologySupport Human Organization Remote Crew Regulations OperationsMaintenance Operational & Effective

27. Correctly Employed UAS/UAV Technology will have a Significant Commercial Multiplier Effect in Driving Australia’s Core Economic Productivity

28. QUESTIONS ?