Rim Semiconductor Company (fka RSMI)

[porscha]

spoke,

that's a very interesting and persuasive argument you have made. the car guy in me says faster is ALWAYS better. the investor in me says that faster speeds and greater distances means higher stock prices. but the marketing guy in me says give them only slightly more than they want and save the rest for your next generation of product.

i think the evolution of the speeds and memory capability of home computer may be a good development process for us to look back upon. i think my first serious computer was something like a 133mhz with maybe a 1 gig hard drive. at the time that was fine because it was capable of running almost any home-based application. as applications developed and made use of that speed i upgraded to a pentium I with a 10 gig hard drive. i do remember thinking that was a bit of overkill but it sure would be fast. and of course applications soon caught up with that and yet another upgrade was in order. my point is that even if a pentium IV chip with an 80 gig hard drive was available 5 years ago there was little or no use for it.

right now there has to be a level where the law of diminishing returns kick in for NVEI and the telcos. by that i mean there has to be a level of speed that will be more than adequate for most businesses and a distance that would serve the greatest percentage of a telco's customers. so why give them more than they want or need at present? as applications catch up with greater speeds and NVEI expands into the residential market greater numbers ( especially distance ) may be in order.

my questions to you would be as follows.

1) considering that NVEI is trying to turn twisted pair copper wires into fiber optic speeds and distances, what are the current maximum speeds and distances that are available via fiber for businesses?

2) what percentage above those speeds and distances do you think NVEI should announce for their first product so that the investment and business world will take them seriously?

3) considering today's applications and demands, what are the minimum and maximum speeds that an average business would need to effectively increase production?

4) if NVEI installs their technology into the infrastructure of a telco what would be the upgrade process when they come out with a second generation product? would they have to replace every piece of equipment they originally installed to make the change-over or would it be just a matter of replacing a few circuit boards? in other words would any upgrade process be cheaper than an original installation.