Hi ellen,
My understanding was that they were sending the phones to telecom partners who will promote and distribute (launch), so no expense other than the shipping.
Yesterday, I listened to that radio broadcast linked above. Browne seemed to be very transparent and honest about the business strategy and it seems to be playing out exactly as he described it. He also admitted he didn't understand why PPS was so undervalued. He did talk about raising funds for the S-1 via convertable notes, bad idea IMO. My best guess about value suppression blames those notes. They can convert them to shares and sell them when ever they want, which reeks havoc on share value.
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