Lightwave Logic Inc (LWLG)

[Fruno]

What kind of deals? The company says in the latest annual and quarterly reports:

Our business strategy anticipates that our revenue stream will be derived from one or some combination of the following: (i) technology licensing for specific product application; (ii) joint venture relationships with significant industry leaders; or (iii) the production and direct sale of our own electro-optic device components.

My speculation (not predictions) of what these might look like:

1. Tech licensing:
Polariton, with whom Lightwave has proven it's polymer, moves ahead with commercialization, pays Lightwave to provide the polymer.

A company developing a LIDAR sensor wants to incorporate LWLG tech. They pay for the rights to use the tech and for design assistance.

2. Joint venture:
Intel wants Lightwave tech to help bring their micro-ring resonators to market. They pay a licensing fee so they can design it. Lightwave gets a royalty on sales. Intel generates the PDK.

Google wants to get Lightwave modulators into their data centers ASAP. A JV is formed to accelerate the move to commercialization. Lightwave works with a fab to produce the PDK, and gets a percentage of sales.

In either case, the JV partner buys shares (in part because they see the potential of other profitable applications).

3. Direct sale
Lightwave gets feedback from several sources that they will buy modulator chips when available. Lightwave finalizes development (if any is needed at this point) and works with a fab to develop the PDK. Lightwave fronts the initial costs (hence the shelf) and sells the devices themselves. Full control maximizes profitability.

Any joint PR indicating future revenue will be big. The bigger the market the other company can reach, the bigger the impact on share price. Hopefully revenue guidance follows.