Thursday, April 16, 2009

The Pitch: AA Driving Ventures safely meets the need for speed

The Pitch: AA Driving Ventures safely meets the need for speed
Silicon Valley / San Jose Business Journal
Friday, April 10, 2009

THE BUSINESS: AA Driving Ventures is introducing life-size driving simulators that allow the driver to operate a real vehicle inside a virtual world. The company plans to open Driver Proving Centers in major metropolitan areas, each with three systems/driving lanes that can be used for driver education, law enforcement driver training, drag racing, circuit racing and performance evaluation.

HOW IT WILL MAKE MONEY: The key target markets are in education and entertainment. Drivers will be able to rent blocks of time on the simulator, using a car of their choice. New drivers would practice basic maneuvers, police could practice high-speed chases and race car drivers could practice on a virtual track. All could challenge their skills in complete safety.

BUSINESS, TECHNOLOGY THAT COULD BE DISRUPTED: Existing police and student driver training

MANAGEMENT TEAM: Co-founder Ken Ahmad has more than 25 years of experience in the fiber optics, electronics, aerospace, defense and automotive industries, including as president at Autosport 101, president and CEO at Avrio/Afonics, and vice president and general manager at MRV/Luminent. Co-founder Emil Abelaf has more than 20 years of experience in the fiber optics and communications industries, including senior positions as major account manager at BT&D Technologies Ltd. (purchased by Hewlett-Packard Co.), head of worldwide sales at E-TEK Dynamics Inc., new business development at JDS-Fitel Inc. and national sales manager at Spectra Diode Laboratories Inc.

BOARD OF ADVISERS: Barry Hartzel is president of Hartzel Automotive in Monterey and a champion driver. He is one of two co-founders of the Mazda Miata Racing Class. Edmun Laurea is president and founder of Opak Racing, which produces cars that excel in 25-hour endurance racing, and also distributes Spoon Sports performance products for Japanese cars/racers. John Shettler was a senior automotive executive at General Motors. He served at General Motors as an executive, director, manager and chief designer for GM Interiors.

MONEY BEING SOUGHT: $4 million

PARTNERSHIPS, COLLABORATIONS, AFFILIATIONS: Various police departments, California Highway Patrol, Office of Traffic Safety, AAA, National Hot Rod Association, NASCAR, American Driver and Traffic Safety Education Association

POTENTIAL MARKET SIZE: More than $1 billion, with more than $300 million of that from California. There are about 1 million students in California who take some sort of new driver training every year. Each learner pays $300 to $500 for personal driver training. California funds 26 driving simulator centers to train police and emergency responders. Thousands of owners of high-performance vehicles will have a safe virtual track where these drivers can test their cars and skills.

COMPETITORS: The company said it has no direct competition but competes indirectly with other simulator manufacturers.

At-a-glance
Headquarters:
Sunnyvale
Co-founders:
Ken Ahmad, Emil Abelaf
Founded: 2007
Number of employees: 2
Web: www.aadrivingventures.com
Phone: 408.858.8323