Aiming to become the global leader in chip-scale photonic solutions by deploying Optical Interposer technology to enable the seamless integration of electronics and photonics for a broad range of vertical market applications

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Message: Re: POET publishing Pellegrino – or not
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Jun 17, 2014 01:07AM

Aves99: Andrea, I have said this in the past. How can POET monetize and NOT talk to Apple, Samsung and other Big Companies?

That's easy to explain, Aves99. Imagine this conversation with Big Company BC:

BC: "Hey, POET, your technology seems not quite uninteresting. Perhaps we'd like to give it a try. What would it cost us to license it?"

POET: "Well, we'd like to charge you 8 percent of your turnover with POET chips."

BC: "8 percent? Are you kidding? We are a Big Company with huge volumes! We'd give you 7 percent if ..."

POET: "Hm, yes, based on your huge volumes 7 percent are okay."

BC: "... if this were not a very new technology. As your first customer we'd take a considerable risk. And as a Big Company we'd be of tremendous value for you because we are such Big Company and would be a great reference to impress your potential customers with us being such a Big, Big Company. We give you 4 percent."

POET: "Agreed, that would only be fair. At least if you were really our first customer. However, we already have some customers, i.e. small company 1, small company 2, ..., and small company n. We have formed a community and are working together with them in the so-called PDA, the POET Developers Alliance. Our PDA members are quite successful deploying POET in their respective vertical markets. Now, as you can see, POET is already quite mature and you would not really be taking a considerable risk. And if you ask us why we didn't approach you in the first place, we'd prefer to receive 7 percent of huge volumes later than 4 percent earlier. So: 7 percent!"

BC: "But ..."

POET: "We could also approach the Other Big Company first."

BC: "Okay, okay, agreed – 7 percent."

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