Executive Summary
Sonoran Video Systems, an innovator in the visual technology industry, has recently brought to market, two new broadcast-quality video playback solutions, the Coyote Q3G, and the Coyote S12G playback servers for the live events, broadcast, house of worship, permanent installations, and digital signage industries. We are seeking seed money for working capital, and to accelerate the rollout of our new product, the Q12G mid 2020.
Promotion Video
Company Overview
Sonoran Video Systems LLC is a privately held company based in Tempe, Arizona. Dave McBride and Tandy McBride are majority partners with 87% equity, while the minority partners hold the remaining 13%. Dave has a solid background in the broadcast and live events industries as a high resolution video engineer and has strong industry relationships. Prior to running Sonoran Video Systems, Dave built and sold a software company called Show Pro Software, a live events script management application for corporate stage managers. Tandy has many years experience as a corporate meeting planner, operations manager, and entrepreneur and has a BSBA in Entrepreneurial Studies from Hawaii Pacific University. Tandy manages the day-to-day operations including accounting, payroll, HR, contracts, BOM and inventory control. One of Sonoran’s minority investors has a very strong background in manufacturing and has a loyal team of electrical and mechanical engineers on staff. Their 14,000 SF electronics manufacturing facility in Mesa, AZ is ISO 9001/AS9100 certified. Additional minority stakeholders include 2% to friends and family with extensive professional experience in the live events industry as video engineers and graphic designers.
Sonoran has a team of both contract staff and 2 full-time employees (besides Dave and Tandy). Employees include a computer technician/ junior software coder, and a senior full stack software engineer (Lead Developer). Contract staff includes several software engineers from different disciplines.
Traction
• Team of nearly 20 specialized professionals have contributed to development of the Coyote, spanning two and a half years.
• Released beta 1.0 in spring 2019, v1.0 in summer 2019, and released v2.0 in January 2020. Over 50,000 lines of code have been written in the past few months alone.
• Significant investment in the software IP, with high barriers to entry, not easy to replicate. The invention itself is a culmination of many years of hands-on experience, and technical know how by our founder, Dave McBride as a video engineer for live corporate events.
• Custom manufactured chassis, with a local company. Have implemented modifications for next batch of chassis to accommodate new Q12G specs. Sonoran owns the CAD, and step
files.
• Custom manufactured SDI cable assembly for 12G, developed exclusively for Sonoran.
• Designed and implemented custom audio boards, with features not currently available in other media servers.
• Coyote prototypes designed, tested, and built.
• FCC and CE Certification.
• Four production-run units in house for demo purposes.
• Began shipping pre-orders in Spring 2019. All Coyote pre-orders have been fulfilled.
• Established relationship with contract manufacturer to procure materials and assemble box builds locally in Arizona. Reduced lead times to 7-10 days for new orders. Ready to scale!
• Established need for product with $350,000+ sales to date.
• Nearly 1M in warm market leads in sales pipeline. Sales pipeline includes: the largest Audio Visual company in the country, the largest AV company in the world, many large AV companies, Disney, Mattel, and many others.
• Modern web site, https://www.sonoranvideosystems.com with many link backs from various industry press mentions.
• Social media presence on Facebook and LinkedIn.
• Established CRM for our sales team to manage leads; and have over 2,000 contacts in the live event industry on our email list. We’ve been planting seeds and generating brand and product awareness during our development phase.
• Tempe office space operational; functional space includes: client demo area, tech lab, accounting/operations, storage/breakroom, final assembly, software installation, testing, and shipping to customers.
• Inventory control system has been implemented and syncs with accounting system. We are able to manage purchase orders, inter-facility transfers, pick lists, bill of materials, builds
(including contract manufacturing builds), and shipments within the system.
• Customer support system (phone and email tickets) in place and support team is on hand to promptly answer tickets as needed.
The Gap in the Market
With multi-screen sync rolls, and 4k playback becoming the norm in the live events, digital signage and broadcast industries, the need for powerful, easy-to-use playback solutions is growing. Low-cost playback software currently available in the marketplace lacks professional hardware support, and struggles to meet the high demands of todays live show environments. Media servers on the other end of the spectrum, with all the bells and whistles, are expensive (up to five times the cost of our solution), overly complicated, and require specialized operators (upwards of $1,000/day). Often, gear needs to be substituted last minute due to lack of availability of specialized techs. Powerful Playback, Simplified The Coyote Playback Servers are uniquely positioned between playback software and media servers. They feature four 3G SDI outputs that can be configured as independent, spanned, sync roll, or UHD playback. The S12G model also has the ability to be configured for a single 12G output. Each Coyote also has a dedicated HDMI multi-view output for a local operator monitor. The Coyote is one of the first playback solutions to offer a 12G output. https://www.aja.com/news/userstories/515 The Coyote Playback Server is controlled using our free client software, called Coyote Control, an intuitive and easy-to-use software application for Windows or Mac. With a simple learning curve, the Coyote does not require a specialized operator, which should be a consideration for ROI-based decisions. Drag-and-drop functionality with preset based software allows for easy set up and reliable playback. Set up and play assets in minutes not hours. Select from pre-made preset layouts, and the math is done automatically. Ingesting assets is simple; videos, still images, and audio files may be ingested from the 3.1 USB or the 2.5” SSD Drive on the front panel, onto the internal ultra high speed M.2 NVMe storage. Both Coyote models have three options for internal storage - 512Gb, 1T, and 2T solid state storage. The Coyote can also be controlled externally using UDP/TCP commands, with any popular third-party controller. The Coyote is compatible with Christie Spyder, Barco E2, and any professional switcher with SDI inputs. There are four network ports, two 1 Gb/s, for control and network audio, and two 10 Gb/s ports designed for asset transfer and future ready for video over IP. Audio outputs include analog XLR balanced stereo, Dante, and SDI embedded up to 32 channels. HDR10 was just added to the Coyote and can be selected in system creator. HDR is quickly becoming mainstream and fortunately the Coyote is one of the first and only playback solutions on the market to offer HDR. Most new Projectors and LED panels/processors can display HDR content. We recently found out that the X80 and E2 processors can now take HDR in and ONLY on the SDi input. This is a big win for the Coyote.
Built as an all-in-one playback solution the Coyote is priced to be the most affordable in the industry, rivaling the quality of playback systems costing up to 5 times more. List price is $9,995 for the Coyote Q3G, and $12,495 for the Coyote S12G model.
https://www.sonoranvideosystems.com