Friday, January 08, 2010 5:03:25 PM
Good afternoon everyone,
It's been a heck of a week
The recent announcement marks the turning point on a multiple number of fronts which will have profound implications for Wave Systems....IMHO
1) Wave CLOSES a deal with a large corp......Tens of thousands of seats on a per year basis for 3 years is a SIGNIFICANT contract.
2) The sector this company is a member of has had huge financial problems over the past year and a half. The fact that this company has decided to pluck down 5.7 million dollars for SECURITY products to a small relatively unknown company is very telling. People can argue that it's only 5.7 million dollars.....but given the current finacial problems these companies are experiencing....its a rather SIGNIFICANT vote of confidence in Wave's product line.
3) This contract will allow Dell/Wave to go after the other automotive companies with a rather LARGE test case.....the other CIOs/CTOs will no longer have the additional pressure of being the FIRST to purchase this technology.....therefore leading to shorter sale cycles....imho
4)Hardware vs Software Encryption.....This is the FIRST time a large company has purchased hardware encryption drives at the expense of software encryption....THIS IS VERY SIGNIFICANT AND CONSTITUTES A TRUE TURNING POINT. As the number of SEDs in the market increases.....the effect on Wave's bottom line will be rather impressive!
Is the company home free...no....but it took a very large step this week.
Sincerely,
Jas
It's been a heck of a week
The recent announcement marks the turning point on a multiple number of fronts which will have profound implications for Wave Systems....IMHO 1) Wave CLOSES a deal with a large corp......Tens of thousands of seats on a per year basis for 3 years is a SIGNIFICANT contract.
2) The sector this company is a member of has had huge financial problems over the past year and a half. The fact that this company has decided to pluck down 5.7 million dollars for SECURITY products to a small relatively unknown company is very telling. People can argue that it's only 5.7 million dollars.....but given the current finacial problems these companies are experiencing....its a rather SIGNIFICANT vote of confidence in Wave's product line.
3) This contract will allow Dell/Wave to go after the other automotive companies with a rather LARGE test case.....the other CIOs/CTOs will no longer have the additional pressure of being the FIRST to purchase this technology.....therefore leading to shorter sale cycles....imho
4)Hardware vs Software Encryption.....This is the FIRST time a large company has purchased hardware encryption drives at the expense of software encryption....THIS IS VERY SIGNIFICANT AND CONSTITUTES A TRUE TURNING POINT. As the number of SEDs in the market increases.....the effect on Wave's bottom line will be rather impressive!
Is the company home free...no....but it took a very large step this week.
Sincerely,
Jas
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