Zapata Quantum Inc

Good day, and welcome to Zabata Computing Holdings, Inc. First Quarter 2024 Financial Results and Business Update Conference Call. As a reminder, this conference is being recorded. It's now my pleasure to introduce Eduardo Royas. Thank you. You may begin.

Thank you. On today's call are Christopher Savoy, Chief Executive Officer and Co-Founder, Yu-Dong Cao, Chief Technology Officer and Co-Founder, and John Zorio, Chief Revenue Officer of Zapata AI. Earlier today, Zapata AI issued a press release announcing its first quarter 2024 results. Following prepared remarks, we will open up the call for questions. Before we begin, I would like to remind you that this call may contain forward-looking statements. While these forward-looking statements reflect Zapata AI's best current judgment, they are subject to risks and uncertainties that could cause actual results to differ materially from those implied by these forward-looking statements. These risk factors are discussed in Zapata AI's filings with the SEC and in the release issued today, which are available in the investor section on the company's website. Zapata AI undertakes no obligation to revise or update any forward-looking statements to reflect future events or circumstances, except as required by law. With that, I'd like to turn over the call to Christopher Savoy, CEO and co-founder of Zapata.

Christopher? Thank you, Eduardo, and greetings to all. We appreciate you joining our inaugural earnings call. Since this is the first earnings call of many, we will spend a few minutes setting some context and highlighting the Zapata AI story before turning to an overview of business, technical, and financial highlights from Q1 and more recent developments. Zapata AI is at the forefront of the industrial generative AI revolution, and we're extremely proud to now be trading on the NASDAQ exchange following the closing of our business combination with Andretti Acquisition Corp. in late Q1. We would like to once again thank the Andretti team for their vision, partnership, and unwavering support. We are confident that our public listing will allow us to further advance our position as a technology leader in this nascent industry while providing the resources required to scale up our business. I look forward to providing our stakeholders with updates on our success on a quarterly basis going forward. Since our founding in 2017, Zapata has been an early pioneer in generative AI, innovating new techniques before the term generative AI entered the zeitgeist as the digital transformation priority that it is now. And we have only accelerated the pace of our innovation as we continue our journey as pioneers and trailblazers today. While much of the industry is focused on large language model and related LLM use cases, We are expanding the scope of what's possible with this revolutionary technology to address mission critical operations, analytics, and business intelligence use cases. Specifically, we are unlocking the powerful insights that can be hidden in real-time data from sensors, nodes, and other previously untapped sources across an enterprise's operating environment. This includes predicting and simulating the future more accurately and in near real time, detecting anomalies more quickly and with higher accuracy, creating virtual sensors to infer data for critical variables that would be difficult or impossible to measure directly, generating optimization recommendations to drive better and faster decision making. And as we've demonstrated working trackside with Andretti Global at any car races, We can run these decision support capabilities in challenging, extreme industrial environments on edge networks. For those unfamiliar, edge refers to processing that takes place nearer to where the data actually originates or where it's actually being generated. Zapata is also unique as one of the only pure play public companies who offer quantum and quantum-based algorithms for generative AI. These techniques deliver unique advantages including more accurate and more expressive AI models. They also provide our customers with an on-ramp to the revolutionary potential of quantum computing, as we expect that the hardware matures in coming years. But today, through these techniques, Zapata is enabling our customers to benefit from the supercharged model and gen AI capability. We have long held that generative AI will be the first place that we see a practical quantum advantage. and we continue to believe this today. We are seeing vast opportunities for what we have coined industrial generative AI, which span many industries, including financial services, telecom, transport, and logistics, government and defense, biotech pharma, and manufacturing, including automotive, energy, chemicals, and materials. Our team has deep experience working across many of these sectors. Throughout our history, Our enterprise and government customers have included Sumitomo Mitsui Trust Bank, BBVA, BP, BASF, DARPA, and Andretti Global. And we have worked with numerous research and university partners. At a time of growing anxiety about big tech monopolizing AI, we are addressing the concerns we hear from our prospective customers every day about being forced to lock in with an AI vendor. With Orchestra, our open source platform for developing and deploying industrial generative AI, we are giving enterprises the freedom to use the best hardware and software tools from across the ecosystem for their unique challenges and use cases. We support a range of deployment options, and all of our models and custom applications can be integrated with and live in production in any customer's environment. During the first quarter, we continue to make strong progress in demonstrating the powerful breakthrough technology we have at our fingertips. To dive deeper into this, in a few minutes, I will turn the call over to our CTO, Yudong Cao. But first, I want to emphasize how excited we are about our sales and business development pipeline. Based on active discussions we are having with potential customers and partners today, we are particularly excited about the opportunity set ahead of us in five key industries. pharma and biotech, financial services, insurance, telecom, and defense. To elaborate a bit, I'll start with pharma and biotech. We are confident that we have the potential to significantly reduce drug development and manufacturing timelines, thus bringing drugs to market faster, while also materially reducing development and production costs. In financial services and insurance, recent work we have delivered has demonstrated our ability to drastically reduce compute costs and runtimes for highly complex risk and compliance models, as well as dramatically speeding up classical approaches to Monte Carlo simulations. These techniques have the potential to transform core operations, freeing up resources, bringing new products to market faster, unlocking substantial savings for customers, and enabling them to make faster, more informed pricing, risk, and trading decisions. In telecom, early customer discussions indicate that there is a potential market for us to deploy the same capabilities and expertise we have delivered trackside for Andretti to anticipate, predict, and respond to network disruptions before they occur. Wait till you hear about the yellow flag prediction. And help telcos optimize their network operations to prepare for high traffic moments while streamlining how they respond to these events. These are billion-dollar challenges. Applying our generative AI and anomaly detection capabilities could allow communication service providers to significantly reduce these types of burdensome and costly events, which in turn could result in major OpEx reduction and improvement in operations agility and customer satisfaction. To this end, we're excited to formally announce our global strategic partnership with TecmoHindra, one of the most highly respected global technology partners in the telecom space. This partnership is a game changer for Sabata, and it provides us access to Tech Mahindra's incredible portfolio of global telecom providers, bringing us closer to where we can do the most good with our quantum-based generative AI solutions, especially our real-time machine learning on the edge, our sensor intelligence platform, and our optimization capabilities. During Q1, we have been in active dialogues with two leading telcos in the U.S. exploring the possibilities in this collaboration. John will speak more about our partnership with TechMahindra in a few minutes. Finally, defense. In this area, we have shown that our technology can build high performance applications that provide literally mission critical decision support capabilities in contested and unpredictable edge environments where timing is of the essence and where connectivity is typically a challenge. We cannot wait to share more as we continue to make progress on these and other opportunities. Now, over to Yudong to summarize our technical highlights from Q1. Yudong? Thank you, Christopher.