peter diamandis i2i presentation 2009
TRANSCRIPT
incentive2innovate – June’09
Peter H. Diamandis, MDChairman/CEO, X PRIZE Foundation310-741 4880Revolution Through
Competition
“The best way to predict the future is
to create it yourself.”
1927 Orteig Prize: New York - Paris“First team to fly non-stop between
NY and Paris”• Orteig puts up $25,000
• 9 Teams spend $400,000
• Lindbergh, 25 year old underdog wins!
• Results:
1. Top media story of the century
2. Transformed public’s view of Aviation
3. 6,000 180,000 passengers (18 mths)
Ansari X PRIZE“First team to fly 3 people to space, twice within 2 weeks”
Rules:• $10 Million prize purse• Privately funded teams• 3 person reusable spaceship• 100 km altitude• Two flights within 2 weeks
Competing Teams
ARCA Space Transport
Pablo DeLeon
StarChaser
Scaled CompositesDaVinci Project Canadian Arrow
Rocketplane
Armadillo Aerospace
26 Teams, 7 Nations$100 million spent
Multiple approaches tried by many teams
… >6 Billion Media Impressions Worth in Excess of $120 Million
• Highly leveraged: typically 10 – 40x• Efficient: only pays the winner• Sparks new industry development
$2.5M - Start-upSt. Louis
$1B+Industry start
$100MTeams’ spend$10M - Purse
Ansari Family
Hallmarks of an Incentive Competition
FPO
Four X PRIZE Groups
Life Sciences Exploration
Energy &Environment
Education &Global Development
Active X PRIZES
Target area that is ‘stuck’; market failure Clear, objective & simple rules Hard but attainable Can be won in 3 - 8 years Define a problem, not a solution Proper size/type of incentive Multiple purses & bonuses
Incentive Prize (X PRIZE) Design Attributes
Launching above (Super-Credibility) Persistent media exposure Assure there is a “back end business” Open to teams worldwide Telegenic Use of deadlines to drive action Ownership of IP & Media Rights
Incentive Prize (X PRIZE) Design Attributes
Attracting new capital Attract maverick doers Crowd sourcing genius Overcoming existing constraints
(psychological & regulatory) Creating new regulatory framework Increased public awareness -
educate & excite the public
Incentive Prize (X PRIZE) Results
Make heroes of the teams Create global media events Encourage taking intelligent risk Encourage cross disciplinary solutions Launch an industry Driving real-world deployment Change the paradigm
Incentive Prize (X PRIZE) Results