Bloom Energy : INVESTOR PRESENTATION

INVESTOR

P R E S E N T A T I O N

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Disclaimer

This presentation is made pursuant to Section 5(d) of the Securities Act of 1933, as amended, and is intended solely for investors that are qualified institutional buyers or institutions that are accredited investors (as such terms are defined under the rules of the Securities and Exchange Commission ("SEC")) solely for the purposes of familiarizing such investors with Bloom Energy Corporation ("Bloom," "we," "us" or "our") and determining whether such investors might have an interest in a securities offering contemplated by Bloom. Any such offering of securities will only be made by means of a registration statement (including a prospectus) filed with the SEC, after such registration statement becomes effective. No such registration statement has become effective, as of the date of this presentation. This presentation shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

This presentation regarding Bloom has been prepared solely for informational purposes and is strictly confidential. We request that you keep any information we provide at this meeting confidential and that you do not disclose any of the information to any other parties without Bloom's and the underwriters' prior expressed written permission.

This presentation includes forward-looking statements. All statements contained in this presentation other than statements of historical facts, including statements regarding our future operating results and financial position, our business strategy and plans, and our objectives for future operations, are forward-looking statements. The words "believe," "may," "will," "estimate," "continue," "anticipate," "predict," "intend," "could," "would," "should," "expect," "plan" and similar expressions are intended to identify forward-looking statements. We have based these forward-looking statements largely on our current expectations and projections about future events and trends that we believe may affect our business, financial condition, operating results, and prospects . These forward-looking statements are subject to a number of risks, uncertainties and assumptions including our limited operating history and our nascent industry; the distributed generation industry is an emerging market; we have incurred significant losses in the past and we do not expect to be profitable for the foreseeable future; our Energy Servers have significant upfront costs, and we will need to attract investors to help customers finance purchases; risks of manufacturing defects; if our estimates of useful life for our Energy Servers are inaccurate or we do not meet service and performance warranties and guarantees, our business and financial results could be harmed; the availability of rebates, tax credits and other tax benefits, and other financial incentives; we derive a substantial portion of our revenue and backlog from a limited number of customers; our products involve a lengthy sales and installation cycle; our business is subject to risks associated with construction, cost overruns and delays; the failure of our suppliers to continue to deliver necessary raw materials or other components; we must maintain customer confidence in our liquidity and long-term business prospects; and a material decrease in the retail price of utility-generated electricity or an increase in the price of natural gas would affect demand for our Energy Servers. Moreover, we operate in a very competitive and rapidly changing environment in which new risks emerge from time to time. It is not possible for us to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause our actual results or performance to differ materially from those contained in any forward-looking statements we may make. In light of these risks, uncertainties and assumptions, the future events and trends discussed in this presentation may not occur and actual results could differ materially and adversely from those anticipated or implied in the forward-looking statements.

The forward-looking statements in this presentation represent our beliefs and assumptions as of the date of this presentation. Except as required by law, we are under no duty to update any of these forward-looking statements after the date of this presentation. You should, therefore, not rely on these forward-looking statements as representing our views as of any date subsequent to the date of this presentation. Moreover, except as required by law, neither we nor any other person assumes responsibility for the accuracy and completeness of the forward-looking statements contained in this presentation.

This presentation also contains estimates, projections and other statistical data made by independent parties and by us relating to market size and growth and other data about our industry and our business. This data involves a number of assumptions and limitations, and you are cautioned not to give undue weight to such estimates. We have not independently verified the accuracy and completeness of the information obtained by third parties included in this presentation. In addition, projections, assumptions and estimates of our future performance and the future performance of the markets in which we operate are necessarily subject to a high degree of uncertainty and risk.

By attending or receiving this presentation you acknowledge that you will be solely responsible for your own assessment of the market and our market position and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of our business.

1. Total Addressable Market (TAM) and Serviceable Addressable Market (SAM)
2. As of March 31, 2018
3. 2017 was anomalous due to loss of the Federal Investment Tax Credit (ITC)
4. From the first generation to our current generation Energy Server

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O U R M I S S I O N

Make clean, reliable energy affordable

for everyone in the world

M O D U L A R O N - S I T E

AlwaysON

THE BLOOM

ENERGY SERVER

• Modular Fault-Tolerant Architecture
• Mission Critical Reliability
• No Downtime for Maintenance
• Converts Abundant Natural Gas/Biogas to Electricity without Combustion
• Clean: Low/no CO2, Virtually no NOx, SOx, or Particulate Emissions

24 X 7 ONSITE BASE LOAD POWER

Centralized Grid Model

Disrupted

135 Year Old Innovation

Not Meeting Today's Needs

Access	PHYSICAL ACCESS	AFFORDABILITY
Quality of	DIGITAL QUALITY	RELIABILITY	RESILIENCY
Electricity	SECURITY		SUSTAINABILITY

Technology Enables New Solutions

Advances in			Solid State
Big Data & AI	Smart Monitoring	Power
Materials
		Electronics
Science

Bloom Energy is able to address both access and affordability issues while supplying quality electricity

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BASELOAD IS THE LARGEST SEGMENT OF THE MARKET 1 2

POWER DENSITY

COMPARISON

U.S. Generation Mix

Intermittent Sources

10%

(solar and wind)

Natural Gas, Nuclear, Coal and Other3

90%

Of the U.S. Generation Mix

		1 MW Solar
		PV Facility
1 MW
Solar Requires
Bloom Energy
~12,500% More Space
		than Bloom4

Bloom addresses the largest segment of the electricity market

1. Baseload includes dispatchable generation resources
2. EIA; represents U.S. power generation as of August 2017
3. Includes natural gas, nuclear, coal, hydroelectric and other (petroleum liquids, petroleum coke, other gas and pumped storage)
4. 1 MW Bloom Energy = 170 m2 and 1 MW Solar PV = 22,257 m2

Bloom's power density

is well suited to customer

on-site solutions

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SOLID OXIDE FUEL CELL: HOW IT WORKS

Natural Gas

(CH4 - Methane)

Ambient

Air

Fuel Passes

Over Anode

CO + H2

Steam

Reformation

Air Passes Over Cathode

O2

As long as there is fuel, air and

heat, the process continues producing clean, reliable and affordable energy

	Oxygen Ions React	Reaction Produces
	with Fuel in Fuel Cell	Electricity
	CO  CO2	H2  H2O
Anode				e-
Electrolyte
Cathode
	O-2	O-2

Fuel Cell
Anode and cathode are made from	Chemical reaction
special inks that coat the electrolyte and	produces electricity
require no precious metals, corrosive	when connected
acids or molten materials	to a circuit

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DRIVING INNOVATION:

COMPUTING AND DIGITAL POWER

Bloom is following the same path that revolutionized computing and brought

down costs rapidly using modular systems with standard components

Computing

for the Digital

Economy

Transistor

Integrated Chip

Server Blade

Rack

Data Center

Power

for the Digital Economy

Fuel Cell

Stack

Server Module

System

Power Center

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VALUE PROPOSITION: BETTER ELECTRICITY

Reliable	Clean	Lower and
and Resilient	CO2	Predictable Cost2
	$

~50%

less CO2

Grid Electricity Bill

Bloom Electricity Bill

Illustrative

Savings Customer

Time	US Baseload and	Bloom Energy	Today	10 Years	15 Years
		Dispatchable Power			Representative of U.S. states
	Bloom Uninterruptible Power	Generation1
	Power Outages	and	presently served by Bloom Energy
	Undependable Grid Power

NOx Particulates SOx

Optimized solutions match our customers' needs today and requirements tomorrow

1. U.S. carbon dioxide emitting baseload generation and dispatchable power plant emissions
2. Specific to the markets served by Bloom Energy

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BASELOAD POWER FOR MICROGRIDS

800 kW

Microgrid

• 100% of power needs for Elementary School, Library, Senior Center & Health Center
• During outage, also provides power to a local gas station and grocery store
• 4 utility outages avoided since 2017

Grid independence, integrating intermittent technologies with

clean, reliable, always-on generation at the heart of the microgrid

BLOOM: ALWAYS ON MICROGRIDS

Primary		Proven		Available
Primary power eliminates risky		Bloom Energy has deployed 89		Modular, fault-tolerant architecture
and complex transitions to		microgrids across the US,		paired with the underground
backup during grid events		Japan and India		natural gas network provides
				maximum availability

Hurricanes

Earthquakes

Utility outages

Physical damage

Fire damage

Bloom

Installation

Bloom Installation
at Brookside, DE	SHAKING INTENSITY

"Bloom Energy electrical project	Magnitude: 6.0 Earthquake	Bloom protects against	Independent system	Resilient in face of
in New Castle was unaffected	1 MW Bloom Unaffected	major utility fault	architecture continues	historic Napa wildfire
by Hurricane Sandy."			operations through
-Delmarva, Regional President			disruptions

Bloom has protected customers from 1,196 grid events since 2018

PROVEN TRACK RECORD OF PROTECTING CUSTOMERS

5.5	5	11	17
DAYS	DAYS	HOURS	HOURS
- October -	- September -	- March -	- February -
Manufacturing Facility	Retail Store in NY -	Manufacturing Facility	Telecommunications
in CA - Public Safety	Utility Equipment	in NJ - Utility Outage	Facility in CA -
Power Shutoff (PSPS)	Failure		Transmission Line
		Issue

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ZERO-CARBON ENABLED

Can integrate into campus low or no-carbon initiatives

Offsite solar	Directed	Onsite	Renewable
hydrogen
or wind RECs	biogas	biogas

All while providing reliable, onsite, 24x7 power in a compact & sleek form

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BLUE CHIP CUSTOMERS ACROSS VERTICALS

Cloud Services				Consumer			Education
& Technology				& Retail

Media		Financial			Healthcare
& Telecom		Services

Rapid Commercial Adoption, Including 25 of the Fortune 100 and 42 of the Fortune 500

Representative sample for select verticals	14

OUR MARKET OPPORTUNITY

$175B

$165B

$40B

$21B

# of	1	5	11	14
Markets
	2009	2012	2015	Current

	Global Market
Global C&I TAM	FOR ELECTRIC POWER
IN 2016
$1.6T	$2.4T

Serviceable Addressable

Market (SAM)

IN MARKETS WHERE WE

CURRENTLY HAVE INSTALLATIONS

$175Bn1

1. U.S. data per EIA 2015 C&I revenue; includes our markets in Japan, India and Korea

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U.S. C&I ELECTRICITY MARKET OPPORTUNITY1

C&I Power Price (¢/kWh) / C&I Revenue ($Bn)
30
$61Bn	$50Bn	$57Bn	$45Bn
25	23% of U.S. Market Opportunity	27% of U.S. Market Opportunity	21% of U.S. Market Opportunity
29% of U.S. Market Opportunity
24.8 - 9.5 ¢/kWh	9.3 - 8.4 ¢/kWh	8.4 - 7.8 ¢/kWh	7.8 - 6.4 ¢/kWh
436 TWh	559 TWh	708 TWh	637 TWh
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15

10

5

0

HI AK RI CT MA CA NH NY VT NJ ME MD DE FL WI KS AZ MI CO TN SD OH NM MS ND PA MN GA MO NE AL IL NC MT VA IN SC NV OR UT WY AR ID KY WV TX IA LA OK WA

High		Medium	Medium-Low	Low
Non-Bloom States	Current Bloom States	Current Bloom "Mission Critical" Only States

1. Source: EIA data for commercial and industrial customers as for the year 2015	16

INTERNATIONAL C&I MARKET OPPORTUNITY

Industrial Power Price (¢/kWh)2

Expansive Growth Opportunity

Top Ten Countries by Generation1

14.6	14.5	14.3
$608Bn
		11.8	11.4	11.0
market opportunity						9.6
for the ten largest							8.2
international markets1							7.6
									5.0
Japan	Germany	United Kingdom	India	Brazil	France	South Korea	Mexico	Canada	Saudi Arabia
$102	$59	$32	$196	$56	$43	$48	$23	$34	$13

1. Excluding China and Russia
2. Power price data from IEA, Indian Ministry of Power, National Electric Energy Agency of Brazil and Saudi Electricity and Cogeneration Regulatory Authority

Market Opportunity ($Bn)

Current Bloom Countries

Active Market Development

Non-Bloom Countries

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GROWING CUSTOMER BASE

47%

of New Contracts are from New Customers1

1. By number of Bloom purchase orders
2. As of December 31, 2019

LAND AND EXPAND MODEL

68%

of Order Volume is

from Existing Customers2

1. Includes closed sales that have not been installed yet
2. As of December 31, 2019

Certain Solar

Apple Inc.

Intel Corporation

Walmart

Equinix, Inc.

Kaiser Permanente

Diamond State Generation

Partners, LLC.

AT&T Inc.

The Home Depot, Inc.

Korea

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F I N A N C I A L

OVERVIEW

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SALES MODEL & PURCHASE OPTIONS

How We	What We
SELL	SELL
	PRODUCT +
	INSTALLATION
DIRECT SALES
MODEL
	O&M CONTRACT
	(5 TO 20 YEARS)

Customer Purchase

OPTIONS

CAPITAL PURCHASE

Direct of customer

balance sheet

LEASES

A couple of lease options

POWER PURCHASE

AGREEMENT

(PPAs)

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BLOOM'S CUSTOMER VALUE PROPOSITION

1 MW Bloom Energy		Bloom Delivered Cost of
Server Purchase ($mm)				Power (¢ / kW)1
	Financing	10¢ - 14¢
		1¢ - 2¢
		Cost
				Gas Cost
				2¢ - 3¢
				Product, Install
				and Service
					Cost
				7¢ - 9¢
Product + Install Cost $4.8mm to $6.6mm
Service Cost $3.6mm (over 15 years)

Cost Savings vs.

Grid Over Time

$	Grid Electricity Bill

Illustrative

Savings Customer

Bloom Electricity Bill

Today

10 Years

15 Years

Resiliency	Predictability	Sustainability	Cost Savings

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1. Reflects typical 15-year power purchase agreement.

DEMONSTRATED COST & PERFORMANCE IMPROVEMENT

Model No.	2008	2011	2013	2015	2019	2020/2021
Output			+	+	+	+
Efficiency			Mission	Biogas &	Energy	Carbon
		Critical	Hydrogen	Storage	Capture
Cost ($/kW)
	Bloom ES5000	Bloom ES5700	Bloom ES5710	Bloom ES5	Bloom ES5	Bloom ESX
	100 kW	200 kW	250 kW	500 kW	500 kW	750 kW
	48%	55%	60%	63%	65%	>65%
	$18,1361	$11,934	$10,346	$7,082	$3,023	<$2,715

• Today's Energy Servers deliver 5x as much power than the first generation
• The latest generation of energy server offers best in class electrical efficiency
• 18% annualized cost reduction over last 5 years; 18% cost reduction Y/Y 2018 to 2019
• Achieved a 34% cost reduction from
  Q3'18 down to $2,420/kW in Q3'20.

1 Costs are approximate as new cost system implemented in 2014

$8,000

$7,000

$6,000

$5,000

$4,000

$3,000

$2,000

	$7,150					Product Cost of Acceptances Historical Trend
$7,082	4 %
	YoY Reduction
							$5,404
	$5,886
											$4,621
				$4,776	33 %							$4,504
							YoY Reduction
							$4,128			$3,814		20 %	$3,672	4 %		$3,501
												YoY Reduction
															YoY Reduction
											$3,402		$3,159	$3,023	18 %
	33% Annual Cost									YoY Reduction
		Reduction												$2,715
	2015						2016				2017	14% Annual	2018		2019
			Q1			FY Average		Q4			Cost						22
												Reduction

OUR VALUE PROPOSITION

Grid Customer Case Study	20% Cost Reduction	Additional 20% Cost Reduction

($/kW)	(¢/kWh)	($/kW)	(¢/kWh)	($/kW)	(¢/kWh)
11,324
	11.4
		9,322
			10.0
				7,718
					8.9

Revenue per Unit

Delivered Cost of Power

Revenue per Unit

Delivered Cost of Power

Revenue per Unit

Delivered Cost of Power

1. Operating metrics

2. Service Cost calculated using GAAP service cost divided by the number of acceptances in the quarter

3. Service Cost calculated using GAAP service cost over the life of the contract

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KEY FINANCIAL HIGHLIGHTS

Acceptances

GAAP Revenue

Non-GAAP Gross Margin

Adjusted EBITDA

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Q3'20 P&L RESULTS1

				Q3'19								Q3'20
	Upfront								Upfront
	Product +			Electricity			Total		Product +			Electricity			Total
Metrics	Install								Install
Acceptances (100kW)	302			-		302		288			26		314
ASP ($/kW)2	6,126								4,983
Total Installed System Cost	3,671								3,362
($/kW)
Unit Level Profit ($/kW)	2,455								1,621
				Q3'191								Q3'201
	Upfront		On-going / Ratable		Total		Upfront		On-going / Ratable		Total
	Product +		Service	Electricity	Total				Product +		Service	Electricity	Total		Q3'20
P&L ($'000)	Install		On-Going		Q3'19		Install		On-Going
Acceptances (100kW)	302			-		302		288			26		314
Revenue	185,004	23,665	15,638	39,303	224,307		157,679	26,141	16,485	42,626	200,305
COGS	110,873	35,407	27,317	62,724	173,597		96,813	32,742	11,195	43,937	140,750
Gross Profit	74,131	(11,742)	(11,679)	(23,421)	50,710		60,866	(6,601)	5,290	(1,311)	59,555
Operating Expenses						44,575							44,192
Operating Income						6,135							15,363
Adjusted EBITDA						34,877							27,673

1.	Does not include Stock Based Compensation.	25
2.	Q3'20 ASP does not include one-time benefit of $14.2 million associated with deferred revenue

	TARGET LONG-TERM MODEL
Target (%)
Revenue	100%
Gross Margin	30%
Engineering / R&D	8% - 9%
SG&A	7% - 8%
Operating Expenses	15% - 17%
Operating Margin	13% - 15%

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AlwaysON

2 0 2 0 I N V E S T O R P R E S E N T A T I O N

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