1255 N. Vantage Point Drive, Suite A
Crystal River, FL 34429
www.Mobiform.com

MOBS PDF Report

Mobiform Software, Inc. (OTCBB: MOBS) develops software for the compelling Visualization of Real-Time Data. Mobiform has produced exceptional data visualization solutions for manufacturing, power & utilities, automation, and other fields of business that have a need for displaying information in real time.

The Company

Mobiform is located in Crystal River, Florida. Its primary business is the development of software products and technologies for visualizing and displaying information in real time. With sufficient investment to grow the business in 2007, the Company was given the resources to fully develop its current technology base. Mobiform has started to generate revenue from its software products, entered into numerous licensing agreements to have its technology used by other software firms and has attracted the attention of Fortune 500 companies.

Management

Mobiform was founded by Allen Ronald DeSerranno. Mr. DeSerranno has been developing software since age 14 and has delivered real world software products to a variety of vertical markets over the past 20 years. Mr. DeSerranno was a development lead for Rockwell Automation designing and delivering industrial automation solutions vital to companies like Kraft and General Motors. He was also the Chief Technical Officer for Motivus Software which was acquired by Citrix. Mr. DeSerranno has taught advanced software engineering in places like Stockholm, Manila, New York and Toronto to world class companies like Microsoft, Intel and Emerson.

More information on Mr. DeSerranno and his Management Team is located in Appendix “A”.

Funding

Mobiform was funded by the Founder along with friends and family from 2004 through 2006. A $500K round of financing was completed in late 2006 followed by a $400K bridge and a $3.25M round of financing in 2007 by Mercer Capital. Ronald DeSerranno, Mobiform’s Founder and Chief Executive Officer, along with his affiliates and/or family members, own 49.62% of outstanding shares of common stock.

Revenue

Mobiform has been in a research and development stage since inception. Revenue has just started to materialize from the technology developed and will grow significantly year over year. Revenue for the Company is generated from three different streams.

Technology Licensing

Much like an automobile parts supplier who manufactures and distributes parts to the big automakers, Mobiform has made portions of its technology available to other software companies to use in their software products. In the past 18 months Mobiform has entered into several licensing agreements with companies building software solutions for Healthcare, Smart Grid, Industrial Control and line of business solutions.

The first companies to enter into agreements with Mobiform are just completing their software products and making them available to their customers. The first royalty payments on these agreements have started to trickle in for Mobiform. As the products from the other companies reach market over the next year, high margin recurring revenues from the existing agreements is projected to grow to over $1,000,000 annually. Mobiform intends to keep growing this portion of its business. In the start of this quarter alone (Q3, 2009), Mobiform has entered into three additional agreements for use of its technology in the products of other software companies.

To see a list of some of the software applications and companies using Mobiform Technology, refer to Appendix “B”.

Consulting Services

Mobiform has made trials of its technology available to the public. These trials have resulted in the recognition of Mobiform as a sophisticated and talented solutions company, leveraging the latest Microsoft technologies.

Mobiform does generate some revenue from consulting and training, but considers consulting as a form of relationship building and intelligence gathering. It does not consider it to be its primary source of revenue. Mobiform has provided consulting expertise to Microsoft, Intel, Emerson, Rockwell and General Dynamics.

Industrial Control Systems

When you hear the term ‘real time data’ most people correctly envision a stock ticker, updating with the latest financial information.

Real time data is also used in virtually every industrial, manufacturing and production facility (Petro Chemical, Oil and Gas, Manufacturing, Automotive, Electricity Distribution and Facilities Management). Real time data comes from everywhere in these operations, from temperature sensors, tank levels, rotation, vibration, pressure, and measurements of gas mixtures. Some operations monitor up to 100,000 points of data in real time.

Software for monitoring these types of facilities is known as SCADA (Supervisory Control and Data Acquisition) or HMI (Human Machine Interface) systems. The market for these types of products is in excess of $20B.

Status Vision Designer

After 3 years of research and development, Mobiform released its own industrial monitoring and control solution, Status Vision Designer® in Q1 of 2009. Status is a powerful data visualization software package that allows the user to design highly graphical screens that represent their facility.

Users of the software can connect the controls on the screens to real-time industrial data on the plant floor. The screens can then be published and viewed by anyone within the company or from the web.

To see a more detailed description of the vertical markets and application of Status, refer to Appendix “C”.

Mobiform is assembling a global network of resellers and system integrators to resell Status. Sales are being done direct in the United States and internationally through resellers including:

• Easymatics – UK
• Jeo & Jonbo - Korea
• Syscon, SA de CV - Mexico
• European System Technologies - Russia
• Riverplus – Thailand
• Maclevindo Syntergris - Indonesia

The Company has also been contacted by Fortune 500 companies interested in rebranding Status as their own product with distribution in their sales channel. The first purchase order for Status was received in May, 2009. The company that purchased the software has successfully deployed it for monitoring oil and gas wells in Texas.

Competition

Given the size of the industry, there are many players serving the industrial control system market. One only needs to visit Industrial Links at http://www.iainsider.co.uk/scadasites.htm to see a glimpse of the number of companies. However, the number of ‘true’ HMI software companies is not a particularly large list. HMI/SCADA systems are very complex and require a great deal of capital investment to develop. The players segment into small companies and large companies, with medium sized companies being conspicuously absent.

Many very small firms exist with custom HMI systems that have been developed in house by two or three developers over several years. These companies are often system integrators with a dozen employees that found a niche with a large customer and developed an application to service the particular client. The sales of these types of software products are minimal as the software is very focused for a particular need. More often than not, the small companies’ revenue is derived around services that go hand in hand with the software with minimal revenue coming from the software itself. These types of applications usually have minimal functionality and cannot compete as a sophisticated world class HMI system with a global market and distribution potential. Large players in the market include Rockwell, Siemens and Invensys. These companies have been selling HMI systems since the early 1990’s with sales in the hundreds of millions of dollars.

What is conspicuously absent is the number of midsized competitors in the HMI market. This is presumably because many midsized HMI vendors became acquired by larger companies. For example, Rockwell acquired RSView from Dynapro and Invensys acquired Wonderware.

A handful of promising small vendors do exist who focus on HMI/SCADA systems. Given the 4 year investment in development of Status, Mobiform has the ability to establish itself as a significant provider of HMI technology. Mobiform would initially be grouped in with these smaller software firms with a focus on HMI/SCADA and the potential to grow to a midsized organization. Example companies include:

• ClearSCADA - Revenue $18.9M
• Inductive Automation – Revenue less than $20M
• Indusoft – Revenue $3.9M

Market Size

Given the horizontal nature of Decision Control Systems and their prevalence in manufacturing, it is not a surprise that the size of the industrial monitoring market is approaching $20B. The market covers many individual verticals, including automotive, petrochemical, manufacturing, energy, pharmaceuticals and facilities management. The energy market alone for HMI systems is in excess of $1B.

The following information was collected on industry leaders in the HMI/SCADA market in order to provide an estimate of potential market size. The financial figures shown below are taken from the companies’ respective annual SEC 10-K or audited financial statement documents. An effort was made to separate out the portions of the business for these firms where HMI/SCADA revenues reside.

Invensys (Wonderware)

Invensys is a leading supplier of industrial automation and information software solutions. At the time of this writing Wonderware states that over one-third of the world’s plants and facilities run Wonderware software solutions. Based on the company’s audited financial statements for FYE March 2008 Invensys’ gross revenue for 2008 was $5.2 billion. The Process Systems segment accounted for $1.7 billion, or 30%, of the gross revenue.

Siemens

Based on Siemens FYE September 2008 audited financial statements, Siemens’ Industry Automation division revenue was approximately $13.1 billion.

Rockwell Automation

Rockwell’s 2008 fiscal year Income Statement set gross revenue for 2008 at approximately USD$5.7 billion with Architecture & Software at $2.4 billion and Control Products & Solutions at $3.3 billion.

Appendix “A’ – Management Team

Ron DeSerranno - Chief Executive Officer

Mr. DeSerranno is a founder and CEO of Mobiform Canada, which was organized in March, 2003. Since Mobiform’s October, 2005 acquisition of Mobiform Canada, he has been Chief Executive Officer and a Director of Mobiform Software Inc. His software development career first began at the Space and Atmospheric Research Group, Physics Department, at the University of Western Ontario working as a research assistant in Atmospheric Physics. He became a Microsoft Certified Trainer and Consultant and delivered courses on advanced software development to companies like Intel, Microsoft and Emerson in New York, Stockholm, Manila, Toronto and Seattle.. From 1996 to 2000, he was a Development Lead for Rockwell Software, Inc. where he spearheaded the development for Rockwell’s flagship industrial automation product RSView, an invaluable tool used globally by companies like Kraft and General Motors. In 2002 he served as the Chief Technical Officer for Motivus Software Ltd. which was acquired by Citrix Corp. Mr. DeSerranno is considered one of the leading authorities on XML based graphics technologies and has been designing and delivering world class software products for many years. Mr. DeSerranno attended college in Environmental Technology, Computer Support and as a Programmer Analyst. He holds a degree in Environmental Sciences in from the University of Western Ontario. He is not a director of any other reporting company.

Debra Gardner – Director

Ms. Gardner has over 20 yrs of management experience with the last 15 years in the technology field. Ms. Gardner’s experience includes service as the Sr. Business Operations Manager for Oracle’s Streaming Media Group, leading the expansion of Technology Conservation Group, Inc. into five countries in three years, and implementing ISO level policies and procedures based on best business practices for various companies. Ms. Gardner has a variety of experience in Contract and Procedure development. Ms. Gardner has served as Assistant to the President for Konica Photo Imaging and Stetron International, a leader in audio electronics.

Brian Thornton

Mr. Thornton has over 15 years of technical and management experience. He holds a Degree in Computer Science and is Certified as a Software Engineer. Prior to Mobiform, Mr. Thornton served in key roles as Senior Software Engineer and Development Lead for Compro Technologies Inc, where he designed and developed innovative telecom solutions for a global client base. He has 10 years experience in the development lifecycle within the telecommunications industry. Mr. Thornton has also served as a Software Consultant for Thoroughbred Software, providing development assistance to a broad range of engineers and instructing courses in Business Basic and UNIX.

Josh Weeks

Mr. Weeks has a Bachelor of Science degree in Computer Science from Western Carolina University. Mr. Weeks has developed financial software with Metrostat Technologies of Sylva, North Carolina, worked for America Online and Seventhman, a web, software, and business development firm.Mr. Weeks was integral in the development of CityTalent, a web-based remote staffing and project management platform and was formerly a Sr. Programmer for the Board of County Commissioners of Citrus County, FL.

Appendix “B” - Customer Licensing Agreements

Mobiform has technology licensing agreements in place with the following companies in various vertical markets:

Industrial Control and Monitoring Solutions

Matrikon

In late fall of 2008 Mobiform entered into a significant licensing agreement with Matrikon. Matrikon is a major player in the Industrial Controls Systems market with annual revenue of more than $100M. Matrikon has licensed Mobiform controls, XAML design technology and portions of its Status designer into a leading-edge industrial control system application. Matrikon has integrated Mobiform’s technology into their application and is very pleased with the results. Matrikon has started to evaluate some other portions of Mobiform’s latest product offering to include in their existing agreement.

Capstone Technologies

In the fall of 2008 Capstone Technologies entered into an agreement with Mobiform to license its technology into their industrial control solution. Their product is now just going to market. Mobiform has seen its first royalty payments on this agreement.

AREVA

With 70,000 employees, AREVA is a Fortune 500 market leader in the energy sector. They faced mandates to improve situational awareness following the 2003 energy blackout in the Northeastern U.S. It required 24/7 electrical activity monitoring with a detailed depiction of its power system, so operators can analyze the “big picture” to better understand the current situation and predict future courses of action. Mobiform licensed its Aurora technology to AREVA and Aurora is embedded in AREVA’s monitoring software. Aurora functions as the software’s graphics authoring engine for complex visuals of electrical power levels and power stations.

Health Care Solutions

Renaissance IT

Renaissance IT is using Aurora in its embedded form in their Health Care application called RCare Magnum. Aurora is being placed inside of a web application and is responsible for designing the forms used inside of RCare Magnum. RCare Magnum is a comprehensive Healthcare Information Management System for managing the automation needsof everysegmentin the healthcare environment. Engineered onopen-systems environment, RCare Magnum is capable of both retrieving and disseminating patient-specific data (clinical and financial) across the entire health enterprise. With more than 25 incorporated modules, RCare Magnum is designed to fulfill SRIT's vision of the future of healthcare industry IT, by reaching across the continuum of care.

TechTime, Inc.

Mobiform entered into an agreement with TechTime, Inc. in August 2008 to utilize Mobiform Aurora for Architects technology in their STAT Hospital Information Systems product. Tech Time has OEM’d the light weight Aurora designer and branded it as their product. They have started paying royalties to Mobiform on a quarterly basis for sales of Aurora.

Business Application Solutions

Torq Software

In January 2009 Mobiform entered into an agreement with Torq Software, Inc. to license Aurora for Architects technology in their MacroView Studio product. Torq Software, located in Perth, Australia, specializes in developing and maintaining software to improve efficiencies in business processes.

Sobha Renaissance Information Technology, Inc.

While licensing technologies is expected to generate a significant long-term contribution to Mobiform’s revenue stream, the sales and revenue-recognition cycle can be up to 30 months long.

Appendix “C” - Vertical Market Applications

HMI/SCADA Systems are very horizontal products that can be utilized in a number of vertical markets. Data is data, regardless of what vertical it comes from.

Mobiform data visualization technology is currently being used in electrical utility control centers to present a graphical view of the power system and the capability to analyze past and current events as well as to predict potential future issues.

Facilities Management

Status provides a quick and easy method for creating graphical views of building monitoring and control systems. It uses a common Web-enabled user interface to integrate facility functions such as HVAC, lighting, energy, security, fire and elevator giving maintenance personnel and other operators an easy way to display, monitor and control critical key operating parameters in multiple facilities from a single location.

Healthcare

Status offers a data visualization solution that saves time and efficiently supports the overall management of today’s health care and pharmaceutical industry. Status puts real-time process control at a client’s fingertips with the ability to view multiple processes from a single location, while bridging the information gap between management, operations and IT.

Manufacturing

Status gives manufacturers a powerful data visualization and monitoring tool that will help reduce applications development time and operational costs while making the information gap between management and the production floor almost non-existent.

Petrochemical

Oil, gas and petrochemical companies need the ability to easily manage their daily operations while adhering to regulatory requirements. Mobiform’s Status Vision Designer® provides a way to create a real-time visualization system specific to the business needs, while providing a way to effectively manage the operation. Status enables monitoring and control of data – well heads, pumping stations and cooling towers, etc. - between geographically isolated locations from a single location. By linking together individual applications into a more cohesive operations management environment, savings are possible in areas from application development to pipeline distribution.

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