Microvision Inc (MVIS)

[gnillish_00]

Based on what we can see right now, it would appear that MVIS is in need of a substantial amount of money for SOMETHING. Based on where they are bringing their long range lidar sensor to market, the best and most logical guess is they need cash to secure manufacturing and supply chain commitments. What that suggests is that there is feedback on the early sample units and verbal commitments to orders once more in depth testing and validation is complete. With the mess that is the global supply chain right now, that means that for fall orders, MVIS needs to get things sorted out NOW to be able to deliver in any sort of reasonable time frame.

Tell me you'd be happy putting in an order and being told "Fantastic, we'll get right on that. We should have your parts in 6-8 months" rather than "Once we have signed orders we can have you the the parts in 6-8 weeks."

Something else to consider -- MSFT has been producing the display engine parts of the HL2 product after buying the production line from MVIS. They are about to ramp up production for IVAS deliveries using that production capacity. Are they going to just tell customers that they'll have to wait several months for the most successful AR product being used across dozens of industries? Not likely. I'd wager that MSFT will use their in house production line to meet IVAS commitments and order additional parts from MVIS to continue HL2 production.

Unfortunately this is not likely to hit the balance sheet for this reporting period and we will see what appear to be more disappointing results at first glance, but it is clear that the company is confidently moving along the road to increasing revenue for those who can be patient for a few more quarters.