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Small and Medium Enterprise Administration, Ministry of Economic Affairs International Startup Campus Demonstration Program Startup Terrace 2018 Selection Award Application Guide Version 14 June 2018 Organizer: Small and Medium Enterprise Administration, Ministry of Economic Affairs Executor: The Taipei Computer Association and the China Productivity Center Foundation Contact person for receiving applications for the program: Industrial Development Group of Startup Terrace Project Office 10075 3F., No.51, Sec. 2, Chongqing S. Rd., Zhongzheng Dist., Taipei City Service hotline: +886-2-2395-7970 Fax number: (02)2396-6350 E - m a i l: ST@cpc.org.tw URL:http://www.sbir.org.tw (If any change to the application guide, the announcement on the program website shall prevail)

Contents TOC Appendix A. Program Application Form Appendix B. Contract of the Project Appendix C. Issues to Inform upon Personal Information Collection and Consent Form for Personal Information Provision 2

Small and Medium Enterprise Administration, Ministry of Economic Affairs International Startup Campus Demonstration Program Startup Terrace 2018 Selection Award Application Guide I. Program A. Basis of the Program Establish small startup companies, attract international teams to enter and be stationed in, and turn Linkou Universiade Athletes Village into National Startup Campus Demonstration of northern Taiwan according to the meeting of post-competition use and management of Universiade Athletes Village of Executive Yuan on 25 January 2017; preliminary meeting of post-competition use and management of Universiade Athletes Village of Executive Yuan on April 6; meeting of post-competition use of Universiade Athletes Village of Ministry of the Interior on April 25; and meeting resolution of Executive Yuan Premier Lai Ching-Te's inspection of Universiade Athletes Village on September 23. To evaluate and select startups with potential to increase investment, attract enterprises and international talents to enter and be stationed in the Startup Terrace thus develop clustering effect, the Small and Medium Enterprise Administration of Ministry of Economic Affairs (hereinafter referred to as the Administration) hereby initiates "Startup Terrace 2018 Selection Award (hereinafter referred to as the Award)" based on the "Guidelines of Incentive of International Startup Campus Demonstration Program" in the hope of gaining domestic and international startup momentum, building the Startup Terrace into innovation ecosphere in Taiwan and creating a brand of global startup campus. B. Purpose of Implementation The purpose of implementing the Award is to select outstanding startups domestically and internationally to enter and be stationed in the Startup Terrace, take the surrounding 2 km areas of the Startup Terrace as the demonstration of innovative field of "micro city of the future" and together build an international startup campus. C. Location of the Base The base of "Startup Terrace" locates at either side of the intersection of Wenhua 1st Rd. and Ren'ai Rd. of Linkou District, adjacent to Linkou Junior High School and Linkou High School. Designate the entire A6 building, entire A7 building, 1F storefronts of A3 building and the entire B5 building in the area of 3,490 units of council house in New Taipei City (utilized as Universiade Athletes Village in 2017) to develop the "Startup Terrace", total floor area is about 59,382 square meters 3

Figure 1 Location of "Startup Terrace" D. Current traffic condition Primary access roads being 10 minutes drive on Wenhua 1st Rd. heading south, which connects with Sun Yat-Sen Expressway and takes 22 to 40 minutes to Taipei city; 46 minutes to Taipei city by bus; and 36 to 42 minutes to Taipei city by Taoyuan Airport MRT. The distance between "Startup Terrace" and Taoyuan Airport MRT A9 station is about 2.2 km: Figure 3 Walking distance between "Startup Terrace" and Taoyuan Airport MRT E. Application of the field This program will turn Universiade Athletes Village into international startup campus, connect the functionalities of eating, clothing, housing, transportation, education and entertainment in the surrounding 2 km areas, revitalize the said surrounding area by innovative solutions and act 4

as the demonstration of micro city of the future in Taiwan. Application of the field includes smart buildings, smart health care, smart education, smart energy saving, smart business, smart tourism, smart transportations, smart agriculture, smart government, intelligent disaster preventions, smart security and smart homes. 5

II. Program A. Qualification for Application: Legally established or registered domestic or foreign startups. (A) Object of the Award shall meet the following requirements: 1. Fit the announced subject of call for proposals. Subject of the year (2018) is "micro city of the future", proffering proposal to establish innovative field and develop innovative application services by taking the IoT application as the core development of construction. 2. The results of program execution or its research and development shall be within the designated area of the program (that is the surrounding 2 km areas of the Startup Terrace). 3. The applying business must be a startup (according to the principles of recognizing startups announced by the Administration), each business can only proffer one proposal; A foreign company must establish a company in Taiwan and change its registered address into the location of Startup Terrace before case closed. (B) The following do not meet the qualification for application and will be rejected: branches of foreign profit-seeking enterprises established in Taiwan or has applied for related awards from Taiwanese government authorities with the same or similar projects. (C) Startups that receive award shall fulfill the following obligations: 1. Enter and be stationed in Startup Terrace for 1 year (enjoys special offers on office space and accommodation during this period) and attach the contract of stationing in Startup Terrace when execution. 2. Change registered address of the company into the location of Startup Terrace before case closed. 3. Obtain investment priority and joint marketing of Taiwanese business or accelerators (can also integrate with accelerators already stationed in the Startup Terrace) before case closed. B. Description of Application: (A) This program can only be applied online (http://startup.sbir.org.tw/startup/useron.aspx). The online application period is from 9:00 AM of 1 July 2018 (Sun) to 5:30 PM of 10 July 2018 (Tue), delayed applications and deliveries in hard copies will be rejected. Please complete the application at your earliest convenience during the system operating hours to avoid application failure due to busy Internet. For foreign companies, please apply through E-mails. (B) Please prepare the following required information when applying: 1. One application form (please log into and fill out in the application system). 2. One PDF file of the presentation (please attach the file in the system; the file size shall not exceed 10M). 3. A set of scanned electronic files (PDF or JPG) of the copies of company registration form, 6

Contact business registration transcript and factory registration certificate (please stamp company seal and legally authorized representative's seal) (please attach the file in the system); For foreign companies, please provide a set of scanned electronic files (PDF or JPG) of certificates of establishment with official stamps (such as company seal and legally authorized representative's seal). 4. Please provide a set of scanned electronic files of the "Issues to Inform upon Personal Information Collection and Consent Form for Personal Information Provision" signed by the 1responsible person of the company, 2program manager, 3program contact person and 4accountant participating in this program. (please attach the file in the system) 5. For foreign companies applying through E-mail deliveries, please provide word file of document 1/ PDF file of document 2/ scanned electronic files in PDF or JPG of documents 3~4. The subject of the E-mails shall all be: Startup Terrace 2018 Selection Award- Company. (C) Checklist for Application Information: 1. Project Office conducts initial check on the application information, and will notify its official receipt of the information by E-mail after confirming the provision of required information; applications that fail to meet the requirements will be rejected. 2. All information submitted for program application shall be filed for review, thus will not be returned whether or not the application is approved or the applicant withdraws. (D) Customer Service: Unit Address Telephone number Industrial Development Group Project Office of Startup Terrace of the Administration Mailing address: 10075 3F., No.51, Sec. 2, Chongqing S. Rd., Zhongzheng Dist., Taipei City E-mail:ST@cpc.org.tw +886-2-2395-7970 Ms. Lin 7

Notification of rejection Failed The accepting of proposals to the program will be announced; Project Office will in principle complete its review and publish the review results within 45 days from the date of official receipt. A. Review procedure: III. Program Review procedure for applications The vendor qualified for application shall prepare all required information, fill out the application form and submit its application to the Project Office of the program. Flow chart Vendors Submit program application Project Office conducts initial check on the application information; applications that fail to meet the qualifications will be rejected. Failed Review of qualification documents Passed Official receipt Prepare required information and being officially received after Project Office's confirmation. Program Review Meeting Convene the Program Review Meeting and explain by conducting a presentation. For foreign companies, reviews and presentations can be done by video conferences. Note: Please kindly understand that we will not accept any supplementary information after the Program Review Meeting. Advice and conclusion of the review of proposal will be delivered for the approval of the Small and Medium Enterprise Administration, Ministry of Economic Affairs. Project Office will post the list of selected applicants on the program website after the approval. Note: For foreign companies, result of the review will otherwise be notified through E-mail. The end Approved by the Small and Medium Enterprise Administration, Ministry of Economic Affairs Publish the list of selected applicants Passed Contract execution of the program 8

Vendors approved shall sign the program contract according to the "4. Contract Execution and Implementation of the Program" B. Main elements of program review: Innovation and practicality that fit the subject of call for proposals. (A) Vendors need not bring the hard copy of the presentation. Please kindly understand that the contents of the presentation cannot be changed on the date of the meeting. (B) The presentation must include the following items, please elaborate. 1. The goal of the program and its innovation and practicality (propose to establish innovative field and develop innovative application services). 2. The implementation method and execution procedure of the program. 3. The degree of control over critical technologies. 4. Intellectual property analysis (Is intellectual property right of another person involved? If yes, how to resolve?) 5. Expected benefits of the program 6. Elaboration of the overall using of budget. C. Approval of the program: Project Office will compile the results of program reviews and deliver for the approval of Small and Medium Enterprise Administration, Ministry of Economic Affairs. The list of selected applicants will be posted on the program website. 9

A. Contract execution of the program: (A) All contract periods of the program shall start from 1 September 2018 till 31 August 2019, the duration of the program is 12 months. Contract execution of all approved projects will be held on the same date. The applicant shall prepare program application form, presentation for the review, contract executed by the vendor, contract of stationing in Startup Terrace and certificate of subsidy. The contract execution and payment request shall be conducted at the program office (please peruse Appendix B. Contract of the Project). The signing vendor shall finish the execution before the designated deadline in the approval notice, if the vendor is unable to do so, it shall request an extension by written notice and can only extend the execution deadline after consent (the extension shall be no more than a month). Any delay hereof shall be deemed as a waiver of right to the award. B. Award payment: (A) The number of cases receiving the award shall not be more than 30 cases, and the award amount for each case shall not exceed 900,000 NTD. A selected applicant which is a non-domestic enterprise shall pay taxes according to Tax Laws of R.O.C (20% income tax and 5% business tax). (B) Program funding will be divided in to 2 installments; the first installment which equals to 50% of the award amount will be paid after the contract execution and the preparation of related document in paragraph 1 of "(3) Obligations in 1. Qualification for Application of II. Program Application" of this Guide. The second installment which equals to 50% of the award amount will be paid when submitting work results report at the closing of the case with the attachment of related documents of the fulfillment of obligations in paragraphs 2 to 3. The aforementioned payment shall be reviewed by the review committee members, and the payment process will begin after their approval. (C) Signed vendor shall provide an account under the name of the company dedicated for award payment. C. Closing of the program: (A) The executing vendor shall submit work results report at the closing of the case in accordance with the signed contract. (B) If the program office confirms to be true after investigation that the signing vendor violates provisions of the contract or cannot close the case on schedule, which cannot be improved within the deadline, the program office can terminate or cancel the contract and recover the award amount paid. D. Matters to be cooperated: IV. Contract Execution (A) If the selected applicant violates provisions in the "Guidelines of Incentive of International Startup Campus Demonstration Program of the Small and Medium Enterprise Administration of Ministry of Economic Affairs", provides false statement or infringes rights of others, which has been confirmed by the program's Project Office to be true after investigation and cannot be improved within the deadline, its qualification can be canceled 10

(B) according to the regulations, and the given trophy, certificate or the award amount paid can be recovered. As to the acceptance, review, approval, examination, payment or recovery of the award amount, withdrawal and other related business in this Guide, the Organizer can designate its authority or designate or assign other authorities, organizations or execution units to handle. 11

V. Other principles and notes A. To comply with the Personal Information Protection Act, all responsible person of the company, program manager, program contact person and accountant participating in this program shall provide "Issues to Inform upon Personal Information Collection and Consent Form for Personal Information Provision". B. To ensure the fairness and secrecy of the review, the program office, review committee members and relevant personnel have signed non-disclosure agreements, and will comply with the principles of confidentiality and conflict of interests. C. Intellectual property rights derived from the execution results of the program shall belong to the applicant (including co-execution vendors stated in the proposal, except for the subcontracted perform auxiliary); however, for national interests and social welfare, the government can for research purposes perform free, non-transferable and non-exclusive execution of such results. D. All information provided and filled out by the applicant shall fit the current status of the applicant and the truth, and can in no way infringe intellectual property rights of other people, such as patent, copyright, trademark or trade secret. Otherwise, the applicant shall take full responsibility and accept any punishment. E. The applying vendor shall elaborate in the proposal the research and development points, execution performance and relevance to this program of any project previously selected by the government. The applying vendor shall also provide the innovative contents, project framework, checklist items and list of participants of the said previous project. F. If the executed project has been confirmed to have received other government subsidies, besides terminating the contract and recovering the award amount depending on the severity of incident, the applicant cannot apply for subsidy of this program within 5 year from the date of termination. G. If it is found that the unit proffering proposal that has been approved for award has violated the letter of consent in the signed project, or the related qualifications examined are not consistent with the identification documents, its qualification will be revoked. H. From the date of application submission, the applicant shall not make improper connection, perform improper propaganda or other misleading or confusing behaviors regarding the application, award program, award amount and other business activities of the applicant. I. The vendor shall not, for the purpose of applying for this program, exaggerate its execution performance and cause a third party or the public to wrongfully believe that the government guarantees the results of research and development or the quality, safety and functionality of the products made. J. If the vendor is subject to a lawsuit due to dispute or other reasons, which leads to an order for enforcement made by the court, this program can suspend the related matters of contract execution or award payment. K. When accepting awards under the program, please maintain sound employees' rights and interests, implement gender equality and encourage and protect employment opportunity of women. 12