I look forward to seeing how accurate these statements were when the 10Q is released in November.
"The royalties range from several dollars on the flash-based designs up to several hundred dollars on the audio-video platform." [Fred]
"And with the airlines alone you ... you look at orders in the thousands of pieces, and times that by royalties in the hundreds of dollars you can see how, just in that industry alone, that revenue can quickly add up for the Company, as well as all the other markets that we`re pursuing with APS." [Robert]
I think these are ambiguous, incomplete and misleading statements and doubt that e.Digital is going to be paid a royalty of several hundred dollars for each unit without also paying DW for manufacturing (but that wouldn't be a true royalty).
You also posted this:
"Thank you for your e-mail, Phil. The manufacturing costs including parts and labor are being paid for by APS." [RP 6-11-03 e-mail]
But who is APS paying for manufacturing costs, e.Digital or directly to DW? It doesn't say that APS is paying DW, just that they are paying. If APS pays e.Digital, then e.Digital needs to pay DW.
Something's missing in the explanation as to how the money flows with these devices. Why won't management just clear it up?
