Wave Systems Corp. (fka WAVXQ)

[New Wave]

Blue, Solms is a very smart fellow and would not have joined Wave after much personal due diligence if he didn't believe there is real value in their core products. I would wait until the next cc when he can personally describe which products he feels have the strongest market potential.

There are two product lines that are currently experiencing demand from the market, neither of which has a bearing on government or mobile. One is for management of OPAL drives in either individual enterprises or the Wave cloud. The other is for management of TPMs as virtual smartcards in PKI based enterprise networks. This demand is coming from companies wanting to replace the use of tokens. What's telling is that this particular product has been available since it was used by PwC about 2 1/2 years ago, but recent interest in this solution is from companies that managed to find Wave, not the other way around. Opportunities have simply fallen in the laps of Wave salespeople.

Solms is market savvy, so look for him to refocus Wave's marketing efforts and develop the means to more effectively tap demand for the company's key products.