In Reply to 'qtipjoe' on 'Telvue Corp (TEVE)' But it doesn't seem like you like me any more.. LOL hank ======================================================
This posting is easier to answer and since you asked me to explain I'll try
Charter is renting/buying equipmet that will be used on or upto about of $3.5 Billion of it's billing yearly cycle....
That equipment may or may have the inclusion of programable software which will redirect signals thru a TEVE based format.. The question is the cost of this equipment to CHTR.. Since CHTR has just come thru a reorganisation and has marginal profit ratio percentage wise on billing.. I doubt that could assign 1/2 thier revenues to take on a new product since they olny return Aprox 3.5% on equipment capitiol costs .. Infact I do not think that they will take on any new format or equipent unless it is inexpensive or they can pass along the price plus a profit to thier subscribers..
But as long as regulatoy approval is necessary for rate increase It would be stupid to go backwards in it's new profit quest to fund TEVE to the tune of 3.5 Billion while losing 46.5% on every dollar it takes in,, On that basis CHTR would only last 90 day's before it would file bankruptcy.. 28 days due to the loss in revenues that it assigned to TEVE and 90 day's before the electric company turns off it's lights..
What I think since this is already being used by 7 out of 10 of the largest providers and CHTR becomes number 8 it will be used by CHTR on about 1/2 of it's billable income.. My guess this is a small something black box that is really inexpensive..
If it's not and TEVE supplies the other 7 out of the other top ten industry participants and if it produced meaninful Revs. and profits why have the revenues at TEVE been so low and stagnant in the past.. They PR the fact that they just hired a new person but most company's acording to Forbes that have $3.5 Billion in revenues that are in manufacturing and service have an Average of 29,000 employees ..
I see no ads or the acquiring of the space needed to even park the cars of these people should they all show up for work before the next qtr's 10Q as it has been noted that sales and profits would possibly appear....
To say that TEVE got a $3.5 Billion dollar order is that it will places TEVE on the Forbes List of the largest electrical equipment suppliers and service orgaisations for broadcast between Texas Inst and Hew. Packard is a misstatment of loosey worded facts that have been somewhat exaggerated at best.. hank
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