Monday, March 24, 2014 12:00:36 PM
If I call up their sales office and tell them I want, starting in 2015, to stream 10Mbps to a million homes across the US, and increasing exponentially after that, mostly in urban areas but eventually everywhere, you better believe I'll get their attention. A 10 trillion bps customer?
And what does it cost Akamai to say nice things about this fledgling company? NTEK goes away in a puff of smoke? Oh, too bad, next customer, please.
And the late announcement that NTEK will be at the Akamai booth at NAB? Know what that tells me? That Akamai had extra space in their display area. Someone else may have backed out. I'll agree that it takes someone with connections and diplomatic and business skills to talk your way into such a slot, but their ability to self-promote was never in question for NTEK. Their ability to deliver an enabling technology at a revolutionary and unheard-of bitrate is very much in question.
It all comes down to the bitrate. No one doubts you can produce a 4K video image with modern CPUs and GPUs. Lots of people are doing it, and doing it with much the same hardware and software that NTEK uses. Whether you can do it at a low enough bitrate to be commercially viable in the US and Europe is the only important thing. If it takes 20Mbps to get a 4K video stream that makes people go "Oooooh! I want it!", that's a non-starter, you can't do it, the whole enterprise is a bust. You'd be reduced to selling it in South Korea. Hmmmm, makes you think, doesn't it?
If you can do it in 6Mbps or even 10Mbps, ok, we're talking. It probably won't work everywhere, but it'll work in enough homes to make the business worthwhile.
If you can do it in 3Mbps, then all is forgiven. Fibbed about NP-1 delivery dates, but now they exist? No problem. Put out a bunch of unaudited and possibly deeply misleading financials that raise more questions than they answer? These things happen. You'll be hoisted on the shoulders of grateful consumers and even more grateful investors to a huge feast in your honor.
The number is everything.
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