{
  "docId": "019dd923-622c-750b-8b99-b032f87a30cd",
  "docSlug": "d09125f46e4d",
  "documentTitle": "Clear Secure, Inc. (YOU)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Spruce Point Capital Management",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2025-04-30 00:00:00",
  "orientation": "landscape",
  "aspectRatio": 1.3333334,
  "pageNumber": 45,
  "pageCount": 85,
  "prevPage": 44,
  "nextPage": 46,
  "slideType": "villain_critique",
  "function": "name_villain",
  "density": "dense",
  "nDataPoints": 2,
  "notes": "The slide uses a combination of a photo of the competitor's hardware and a narrative argument about market displacement.",
  "elementsJson": [
    "headline_text",
    "callout_box",
    "screenshot",
    "paragraph",
    "footnote"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b99-b032f87a30cd/45",
  "deckHref": "/decks/019dd923-622c-750b-8b99-b032f87a30cd",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b99-b032f87a30cd.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b99-b032f87a30cd#slide-45",
  "components": [
    {
      "bbox": {
        "h": 0.12,
        "w": 0.96,
        "x": 0.02,
        "y": 0.16
      },
      "kind": "callout",
      "text": "Not only are the airlines partnering with the TSA on a competing service (Digital ID) but a formidable competitor is also expanding their technology within the TSA at almost lightening speed given new technology adoption by the TSA typically takes years. Spruce Point believes either the TSA's partnerships with the airlines or a competitor such as IDEMIA could completely displace CLEAR's business.",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "f63f4421-7888-4452-ac07-5349ddd16e4a",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "callout",
      "text": "Not only are the airlines partnering with the TSA on a competing service (Digital ID) but a formidable competitor is also expanding their technology within the TSA at almost lightening speed given new technology adoption by the TSA typically takes years.",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd953-3f3f-7598-93f3-56e7782ff9ed",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.6,
        "w": 0.48,
        "x": 0.02,
        "y": 0.31
      },
      "kind": "image",
      "text": "IDEMIA CAT-2 Machine",
      "attrs": null,
      "subkind": "photo",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "23008afb-20ab-482d-b6ef-687cbb775fce",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.55,
        "w": 0.46,
        "x": 0.52,
        "y": 0.35
      },
      "kind": "paragraph",
      "text": "\"IDEMIA, a French security firm, signed a $128m contract with the TSA in 2023 to develop and install CAT-2 facial recognition technology. Today, CAT-2 machines are located in 84 airports nationwide, and will expand to the more than 400 federalized airports over the coming years.\"\n\nIt's unfortunate that a French company beat CLEAR on this endeavor but we believe CLEAR is not an innovative technology company. As the TSA continues to expand its Digital ID program with the airlines and more consumers sign up, Spruce Point believes this will ultimately increase PreCheck throughput and potentially render CLEAR's airport service obsolete. We also believe there is a chance CLEAR could lose airport locations and therefore, diminishes its network effect and value proposition even further.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "5f3be41a-1998-4760-ad10-e43e30a0c62b",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "quote",
      "text": "IDEMIA, a French security firm, signed a $128m contract with the TSA in 2023 to develop and install CAT-2 facial recognition technology. Today, CAT-2 machines are located in 84 airports nationwide, and will expand to the more than 400 federalized airports over the coming years. — IDEMIA contract with TSA",
      "attrs": null,
      "subkind": null,
      "toolName": "Authority citation",
      "toolSlug": "authority-citation",
      "confidence": null,
      "componentId": "019dd953-3f3f-7598-93f3-5a69bb9f9f4a",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.03,
        "w": 0.5,
        "x": 0.01,
        "y": 0.97
      },
      "kind": "source-note",
      "text": "Source: IDEMIA contract with TSA, CAT-2 machine expansion and TSA Digital ID program.",
      "attrs": null,
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "b73b4c4f-d8d6-41ba-adc8-221c674cd6d4",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.08,
        "w": 0.65,
        "x": 0.33,
        "y": 0.02
      },
      "kind": "title",
      "text": "Potentially Significant Displacement From Existing Formidable Competitor",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "913a1298-264d-441e-8995-eca16c121197",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [],
  "arcBeats": [
    {
      "to": 50,
      "from": 21,
      "beatId": "94649fab-d8a2-4e54-9ab1-325a074f74f9",
      "arcName": "Overcoming the Monster",
      "arcSlug": "overcoming-monster",
      "beatName": "Spruce Point presents its thesis and evidence",
      "beatSlug": "overcoming-monster-the-struggle",
      "evidence": "The document presents Spruce Point's thesis and evidence supporting its short position.",
      "position": 2,
      "confidence": 0.8,
      "parentBeatName": "Development",
      "parentBeatSlug": "development"
    }
  ],
  "loops": [
    {
      "to": 50,
      "from": 40,
      "name": "Cost Of Inaction",
      "slug": "27-cost-of-inaction",
      "bestFor": "Urgent budget requests, compliance, risk mitigation",
      "matchId": "1d1cc5a9-6cd7-496f-807c-c1fec88c64e3",
      "evidence": "The document highlights the potential risks and consequences of not addressing CLEAR's challenges.",
      "position": 1,
      "objective": "Emphasizing the risks of not addressing CLEAR's challenges",
      "structure": "The Status Quo -> The Hidden Costs Accumulating -> The Future State of Inaction -> The Tipping Point",
      "confidence": 0.6,
      "description": "Quantify what happens if the audience does nothing"
    }
  ],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}