Cassandra ... Is it ...
really all that difficult to understand ??
Fred Falk
Four key EDIG Primary Projects
Conference Call
Feb 26, 2003
Another exciting project that we're working on is the portable in- flight entertainment system. Or as its known in the industry, IFE, that we're developing for a major US airline through OEM customer APS, Inc. This portable device incorporates both movies and music and is being designed to support DiVix formatted motion pictures, and MP-3 formatted music files. There are also plans to incorporate audio books and video games into this system.
This IFE system is being developed in partnership with our Odyssey 1000 partner Digitalway.
Digitalway is providing the industrial and mechanical design as they did with our odyssey 1000, and will also provide manufacturing services for the IFE system. e.Digital is providing all of the hardware and software engineering.
As with the ECLIPSE project [and the SOFTEQ project, as well], we do not have to front [nor fund, for that matter] the manufacturing costs.
The initial order is valued at close to 1 million dollars and that number is expected to quickly increase after the IFE system is launched and put into service.
We are in negotiations with additional airlines and other travel industry companies and we are pursuing those opportunities with APS to expand our reach into this field.
This product incorporates the best of what we've been working on for 3 1/2 years combining audio and video, multiple Codec's, and friendly functionality in one compact portable device.
I can`t believe you`re still having such a difficult time believing that our customers APS, ECLIPSE and SOFTEQ are willing to have letters of credit issued to our manufacturing partners, and for one to even suggest that e.Digital is paying for manufacturing costs out of our royalties is just plain ridiculous, IMO.
"However, e.Digital has never been a seller of "proprietary chips." To what are you referring?"
Are you telling me that Softeq didn`t buy our IP ? Do you really think that there would be any wireless headsets without it ? ECLIPSE HD1213s without it ? digEplayers without it ??
None of these devices will be manufactured by anybody without our chips, like it, or not ... and the fact is, that any follow-on orders will command royalties that are relatively unencumbered, IMO, and until someone can persuade me otherwise, I`m guessing $300+/unit for our digEplayer ... the others I don`t care to speculate on.
Also, If you can`t understand what I`m saying, I`m sure Robert can explain it better ... do you have his number ??
NEWe.LONG
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