Neonto - Industrial Revolution in Software Design
Before Henry Ford, cars were artisanal products. Today, cars are built by robots and designed in CAD. Neonto does the same for software applications. We take software from artisan craft to a controlled process. It's the Industrial Revolution 4.0.
Neonto was founded in 2013 to solve an enormously expensive problem in software development.
The Neonto team has worked in both mobile apps and web since the turn of the century. In all those projects, it was clear that there is a lot of wasted hand-crafted labor during an app's development process. A particular pain point was the "hand-off" between designers and developers: communicating design intent using static prototypes and "style guides" is extremely limited and unable to pre-empt actual problems the software team will face as soon as the app is tested by real users. This leads to excessive iterations of programming and design work.
Once an app is complete, a project team team faces another problem: reusability. The traditional approach is to use software libraries and frameworks. This approach has many intrinsic limits (runtime overhead, dependency management etc.), and most importantly, it does nothing to help designer-developer communication. To make software truly reusable, designers should be able to design using the work done for a previous app.
Neonto has created a unique set of tools that solves these problems. We've spent years developing and working with pilot customers to build a world-class native software package that can adapt to any platform.
Our two most powerful assets are:
a) A unique visual design tool for modeling software apps. The tool supports advanced navigation, responsive mobile UIs, rich media and dynamic data. The tool can be extended limitlessly and the interfaces are provided to UI designers' favorite tools (e.g. Sketch).
b) The Design Compiler. This is a completely different approach to multi-platform technology. We are "framework-less", instead we add support for new platforms by adapting visual modeling and code generation tools to each platform's native approach.
The power of the Design Compiler was demonstrated when the Neonto team added support for Samsung's Tizen smartwatch platform to the Native Studio product. (This work was supported by Samsung and targeted Tizen's C language based API.)
Neonto's latest product is React Studio (https://reactstudio.com), which launched in March 2017. This product shows how Neonto's product portfolio can smoothly adapt to catching a "rising wave" in software technology. ReactJS is a web app technology created by Facebook. Interest in React is growing extremely fast, and it's one of the most popular technologies currently being researched for web app development.
By creating React Studio, we are in a unique position to benefit from React's growth and also the more general megatrend towards dynamic web apps (rather than passive web sites). Creating mobile-friendly web apps is still difficult, and even experienced teams struggle with all the new tools and requirements. Many web app development projects are derailed because teams are still learning and inventing best practices as they go along.
Neonto's approach offers a much more controlled approach: designs are guaranteed to be translated into working code, and new code can be encapsulated in a way that allows the full application to be managed from the visual model. The advantages of this workflow only grow larger as the team gains more experience with it.
React Studio attracted over 1100 beta users from its beta launch in November 2016 (+ over 3000 contacts to the Beta waiting list). Our previous Native Studio product has over 3500 users in 120 countries. We previously had a free edition of Native Studio, which has been discontinued in February 2017 to focus on converting users to the paid Native Studio package.
Unsere Geschäfts- und Marktsituation
Going forward, we now have 3 products for designers and developers: React Studio for web apps, Native Studio for native mobile apps, and Enterprise Digitalization Accelerator Suite for large companies which face challenges in their digital transformation. Additionally we have Neonto Cloud Store for our community to sell their own Neonto add-ons.
The Business Model
Neonto uses monthly subscription business model to offer the products to our customers:
- Native Mobile Suite $199/seat per month (includes 14 days trial),
- React Studio Monthly fee $39.90/seat per month, and
- Enterprise Digitalization Accelerator Suite $399 / 1 seats per month with setup fee $50k
- Neonto Cloud Add-On services $25/month
- Code Butler consultation (quoted offer)
- Enterprise Digitalization Accelerator Suite Consulting (quoted offer)
Piloting and Customer Validation
During our product development phase we offered various free and differently segmented paid editions of the current Native Studio for pilot and customer validation purposes.
Breakdown of our current customer and userbase:
Neonto products are been used
- 120+ countries
- 3600+ users
- 700+ B2B Customers with 1 Seat (Free or Paid)
- 50+ B2B Customers more than 2 Seats (Paid)
Customer base has grown 60% month-on-month since July 2016.
Our B2B customers are mostly from 4 major segments:
- Design Agencies (Brand, Digital, Innovation, Campaigns)
- Mobile and Web Development Companies
- Sector specific companies in Health, Finance, and Education segments
- Indie Developers and Designers
User base split between discontinued products and new products:
- Personal Edition (Free) users: 1900+ [This edition is now discontinued]
- Native Studio (Trials and Paid editions) users: 600+
- React Studio Beta users: 1100+ (including 150 preorders)
The heart of Neonto products is our Application Design Compiler, which is an evolutionary step beyond current technology libraries and frameworks.
On a quick glance at Native Mobile Suite and React Studio, those look like "just another GUI builders"... but it’s the level of metaprogramming capabilities in our products, which makes it so much more.
Neonto products are not code generators and declarative UI design tools but the products combines features of both of those approaches into a single metaprogramming tool — an "application that writes applications" as guided by designers/developers inputs.
There are two significant practical benefits to this approach. The first is encapsulation safety. This could be compared to type safety. In a programming language with static types, the compiler can catch many kinds of errors before the developer even run the program. The design compiler does something similar, but for entire code fragments, not just individual variables.
The other benefit is framework independence. There are many frameworks out there that promise some kind of platform independence ("write once in language X, run anywhere!")... But the Application Design Compiler approach takes it one level higher. You can actually retarget your app design to a different programming language and framework, just like you can compile a C++ program for a different CPU and operating system.
On the process level, the design compiler enables a new kind of software development workflow that we are calling Design-Accelerated Development.
- A new way of developing cross-platform native mobile and Satellite apps for iOS, Android and Tizen from single product.
- Businesses can reduce the cross-platform app development costs and time-to-market by 50% (estimated average)
- Create working native mobile app prototypes without any coding.
- Generated code is 100% native and customizable
- Businesses can reduce web app development costs and time-to-market by 50-80% (estimated average)
- Create high quality React apps fast from visual designs
- Easy onboarding to React hype
Enterprise Digitalization Accelerator Suite
- A new way of building your app competency
- No platform lock-in
- Tool is suited to business needs (integration, training, white label)
- Businesses can reduce the cross-platform app development costs and time-to-market by 70% (estimated average)
Total Addressable Markets
Native Studio & Enterprise Digitalization Accelerator Suite
Mobile Application market trends and key figures:
- Global app revenues will reach $44.8 billion in 2016 and grow to $80.6 billion by 2020 (NEWZoo: Global Mobile Market Report: App MArket to Gross $44.8BN this year)
- Rapid Mobile Application Development (RMAD) market from 2015 to 2016 was nearly 160%, and expected growth from 2016 to 2017 is a healthy 300%. (Gartner: Market Guide for Rapid Mobile App Development Tools. 6th Sept. 2016)
- Many of the higher growth rate numbers come from startups and smaller vendors, with annual revenue between $1 million and $10 million. (Gartner: Market Guide for Rapid Mobile App Development Tools. 6th Sept. 2016)
- Mobile Application Development Platform (MADP) market exhibited brisk gains in 2015, growing 28.1% to a worldwide size of $973.1 million (Gartner: Market Share Analysis: Mobile App Development Platforms. 20th July 2016)
- The global mobile application development platform market to grow at a CAGR of 27.29% during the period 2016-2020 (PRNewswire: Global Mobile Application Development Platform Market CAGR Growth at 27.29%, 2016-2020: - Mobile backend-as-a-service (MBaaS) on the Rise - Research and Markets. 26th Sept. 2016)
- By 2020, more than 75% of enterprises will have adopted at least one mobile app development platform to accelerate their digital business transformation. (Gartner: Market Guide for Rapid Mobile App Development Tools. 6th Sept. 2016)
We estimate that 2017-2018 we can sell Neonto Native Studio and Neonto Enterprise Digital Suite to 0.025% of estimated RMAD and MADP markets.
ReactJS market trends and key figures:
- React is downloaded 4 times more than Angular. (Source: NPM Compare)
- React downloads has grown 3500% during last 12 months. (W3Techs: Usage statistics and market share of React for websites. )
- ReactJS Reddit popularity stats are growing on average 40%+ per month. (Source: NPM Compare)
- There are more than 1 billion active websites on the Internet right now (Internet Live Stats), and estimated 96200 ReactJS based websites (SimilarTech)
We estimate that 2017-2018 we can sell Neonto React Studio to 3% of estimated ReactJS Early Adopters, est. 1500 developers/designers.
Together we have more than 40 years of experience in mobile development, and 100 years of experience in software development. We've seen things you wouldn't believe -- at both large companies and startups! We know what the challenges are globally, and we're confident in the unique value proposition of our approach.
Pauli Olavi Ojala
Founder and CTO
Entrepreneur with background in arts, film and content creation software. Sold his first company to Vidpresso Inc. Engineer at Tinkercad (acquired by Autodesk). Worked on award-winning mobile games already in early 2000s.
Founder and CMO
Background in software development and photo finishing industry. Antti has also been a professional photographer and still plays floorball on a professional level.https://www.linkedin.com/in/anttisihlman/
Global business executive, entrepreneur and technologist with background at Nokia (Qt) and AsiaPacific Tech companies.https://www.linkedin.com/in/timokytomaki
Head of Design
Degrees in both industrial design and engineering, HCI researcher at Aalto University (Helsinki).https://www.linkedin.com/in/yitahsieh/
Mobile application developer with background in the gaming industry: Rovio, Prank, Universomo.https://www.linkedin.com/in/juha-pellinen-72348a11/
Chief Customer Development Officer
Experienced Portfolio and Business Manager at Nokia, background in Supply Chain Management, Business Development and Analysis.https://www.linkedin.com/in/junlifinland/
Creative content creator, linguist studying marketing and communications.https://www.linkedin.com/in/saija-liukonen-823a31112/
Nicht börsennotierte Wachstumsunternehmen sind risikoreiche Investitionen. Eine risikoreiche Investition birgt z.B. das Risiko des Verlusts Ihrer Investition, mangelnde Liquidität, unregelmäßige oder seltene Dividenden und Verwässerung Ihrer Beteiligung. Bitte lesen Siediese Risikowarnung sorgfältig, bevor Sie eine risikoreiche Investition tätigen.
Es wird empfohlen, sich mit dem Anlageziel Ihrer Wahl vertraut zu machen, Risiken durch Investitionen in mehrere Anlageziele zu reduzieren und Ihr Anlageportfolio mit liquiden Anlagen auszugleichen. Wir empfehlen Ihnen auch, die spezifischen Risikobeschreibungen der Zielgesellschaft zu beachten, die Sie in den Pitchmaterialien finden.
Dem Pitch liegt ein Bonitätsbericht bei, der für die Investitionsentscheidung relevant sein kann
- Unique Product Portfolio
- All products ready to enter global markets
- Pricing (based on low COGS) compared to older cross-platform runtimes or Frameworks
- Ahead of the next big technology waves
- Inbound Marketing, i.e. Google search
- Financial constraints
- Media presence in its infancy
- Limited resources
- Global userbase, but no effective global partner network yet
- Speed to deliver
- Several big global trends expanding markets for Neonto products
- To gain "low-code/no-code" and Rapid Mobile Application Development (RMAD) -markets
- To gain ReactJS tooling market share
- Existing global mobile and web markets still growing massively
- Optimal timing for the next big technology waves, i.e. IoT, 5G, Digitalisation
- Timing - too early if the markets moving slower than anticipated
- Unsuccessful funding round will force Neonto to grow too slow
- Relatively small team can get impacted if not able to hire more resources or existing resources exit the company.
- Ability to find competent resources for the ramp up after the funding round
Limiting Factors and Obstacles
- Revenue - Current revenue streams from Product portfolio and earlier Angel funding do not support sustainable growth for break even 2017.
- Resources - Current resources are overloaded with supporting activities and not been able to ramp up Sales in a scale needed.
- Relevance - Neonto or Neonto’s products do not yet have enough online visibility and relevance to support needed Sales growth