We compete in the electric vehicle and energy storage industries, each of which is undergoing rapid technological advances in the battery and power electronics components. In 2006, we developed inverter technology for use in heavy duty truck and bus markets. In 2007, we completed development of world’s first battery powered heavy-duty electric tractor for the Port of Los Angeles, which included our electric drive system powered by our proprietary flux vector motor controller (inverter) technology. In 2008, we acquired a manufacturer of electric vehicle inverters to complete our product line of inverters that range in power from 10 kW to 240 kW.

In 2009, we developed a lithium BMS we call QANBUSS™ for our trucks and tractors and demonstrated the world’s first lithium battery powered Class 8 truck showcasing our drive system and BMS technology. Our BMS offers many standard features for battery safety, data management, thermal regulation and seamless integration with our drive system via a J1939 Can Bus system. Our BMS monitors individual lithium battery cells during charge and discharge cycles using our proprietary operating system and vehicle algorithms.

In 2011, we developed high frequency rapid chargers for electric trucks and tractors ranging in power from 20 kW to 180 kW. Our battery charger, EQON™, includes our proprietary operating system that seamlessly integrates with our BMS and vehicle controls. In 2011, we deployed a 180 kW charger for use in off-grid energy storage application.

We believe the key to our technology is our operation system that integrates all our core technologies comprised of an inverter, battery charger and BMS system via a single operating system that monitors, computes, calibrates, communicates, diagnoses and stores critical parameters during operation. Our ability during the past four years to analyze such data and then improve upon our operating system has provided us with what we believe to be a valuable intellectual edge over our competitors.

In 2012, we invested significant resources in transitioning our core vehicle technologies to energy storage systems. Our QANBUSS™ system combined with our battery charger technology has allowed us to develop a lithium battery powered energy storage system for the renewable energy sector. In 2012, we installed a 1.0 mega watt hour energy storage system for an off-grid load balancing application. In addition, we also introduced our technology to a variety of telecommunication operators for cell tower backup applications.

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