Replies to post #230529 on Wave Systems Corp. (fka WAVXQ)

[Bluefang]

MoneyBGonz: I don't think Dell has to do any more than they are doing--reducing revenue to Wave and cutting Wave loose altogether.

Without Dell, Wave is cooked, IMO.

The auctioning off of the receivables tells me mgt knows it is not sustainable and they are so desperate, they are taking extremely short-sighted deals for cash now.

For all the talk of ramping up, we seem to be going downhill. Two really bad quarters in a row, a third coming up soon. A delisting watch can only be satisfied by June 24. Three stinko quarters in a row, another reverse split, main revenue source fading out, more dilution, desperate financial transactions--this at a time when we were supposed to be taking off.

Personally, I think it is over. I've thought it before and been wrong--so be warned.

Blue

[dig space]

mmbg, fwiw part of being a solutions/services provider it to be a software provider/implementer, hence they bought the provider of the DDP-E software/services. Currently DDP-A is provided by Wave, and what direction that takes going forward is anybody's guess. Currently the DDP-E elements do not provide the DDP-A elements. The question is whether Dell will find some other solution for DDP-A, stick with the same course for DDP-A, or stick with the same provider ... but not BUNDLE it on all machines in a given class (i.e. be a re-seller like HP). Not bundling (a box maker thingy) and instead selling and deploying separately (more of a services thingy) is not inconsistent with Dell statements on shifting focus. Dell builds boxes, and it may well be that part of their path is to trim the boxes down and customize the deployment (services/software/networking etc) of those boxes instead of trying to have the base box be more impressive as a stand alone item. The question is, how is Dell going to accomplish DDP-A? A different vendor? Develop it in house? Scrap bundling but use the same stuff? Or just extend the current arrangement when they get around to it? I'm thinking 2 or 3, with 3 being slightly more likely. Regarding your question, the Credant DDP-E suite doe snot provide the Wave DDP-A solutions. It definitely leaves SFND mostly out of the loop, but Wave's position in the various layers is not a subset of Credants, hence the interest in using Wave products.

edit: critical to any serious services soultions play is the whole NON-Wintel space. Authenticating Wintel along with NON-wintel is what Wave has been focusing much of their recent efforts on, and if Dell wants to do services seriously they will have to abandon their very very very long dedication to one platform: Wintel.