Replies to post #151525 on Wave Systems Corp. (fka WAVXQ)

[xxxxcslewis]

I can't speak for him, but awk attended the shareholder meeting and posted this.


Posted by: awk
In reply to: micro59 who wrote msg# 148439 Date:7/29/2007 4:31:13 PM
Post #of 151525

micro: Pricing...

It is, in my opinion, more or less useless to speculate on deailed numbers. What we know is that:

- FDE.2 bundled with every Dell PC rsults ion about $7.00 per unit.

- We know that E-Lite bundled machines provide less than $1.00 per unit.

- We know that chip bundles for ESC provide less than 40 cents per unit.

AND WE KNOW, THAT IN THE ENTERPRISE SPACE, WAVE NETS BETWEEN $40.00 and $100.00 PER SEAT DEPENDING ON WHAT COMPONENTS ARE ORDERED/SOLD.

So start thinking in number of enterprise units. The smaller stuff - as above - will disappear in obscurity rather quickly; I'd say this applies for Q4/07 already.

[go-kitesurf]

EDIT --Per SKS at the SHM, Wave gets between "just above a dollar" to "just under ten dollars" per drive based on what is bundled, who the oem is, etc. There are many levels, so there is no one set pricing structure for the drive. It is based on product, volume and OEM specific developments.

EDIT, with Dell, it has been "hinted" that since they requested the most customization to the software and interface, they would be paying the most, at the top of the range, figuring a conservative $7.

[wash68]

I can confirm that I was given the $7 figure directly from a Wave salesperson. I don't think this figure is a secret.

[DRM]

StevenDice...from DRM

Based on our conversations in NY at the SHM... we deduced that the revenue per unit would be around $7

Hope that helps...
DRM