We are currently in a low information hiatus. By this I mean the senior members of management are silent on crucially important matters such as negotiations with other companies about the technology. It is highly likely that any negotiations are done in silence. It is clear that members of staff at the recent UCONN visit were not forthcoming with information and what was discussed was pretty much a series of nuanced hints. The AGM addressed some issues but they relate to internal company matters. At the end of all this, what we really want to know is: who is looking at this technology and are they going to buy in and give us lots of money. Also, how is the company going to set up the contracts and when will this happen. All this, we suspect, is being discussed currently and we can speculate until the cows come home but it may well be late this year or sometime next year before we know.

What I know is this: this company has in its possession a method of producing a microprocessor that can already exceed a Silicon microprocessor and that this increase in processing power may already be some 10 times (GT suggest he is working at 40nM gate length) greater with the opportunity of even greater increases when it reaches the transistor densities of current Silicon processors (10 – 14 nM). It can do this at much lower voltages than Silicon CMOS processors which means that power usage is a fraction (perhaps 20%) of current Silicon. This can be done is existing factories and because of design modification in producing microchips and utilising the POET technology to include all processing on a single chip makes an economy of production and gives manufacturers a huge advantage in end product costs as well as functionality.

The previous paragraph is why this product is disruptive. Take 1 obvious example: can you see what it offers to mobile technology? Much faster processing (20 times), low battery usage (20%) and smaller internal arrangement of components. On top of this lies a vast industry of technology crying out for low cost, low power, fast processing chips that can also deal with issues such as infra-red devices, ,UV and light devices, x-ray devices, lasers.

I write this to encourage those who have bought into this concept not be despondent at the daily share price. This reflects the information silence, a lack of awareness of what is about to happen mixed in with the trading machinations of a substantial number of traders. But, and it’s a large and very beautiful but, there will come a time, not too far now, when it will dawn on those who analyse that this really is different. When those days come short traders will be washed away, institutional investors will want in and the share price will rise. I believe over the next 2 years there will be an opportunity to disrupt a half trillion dollar market, and to get a slice of it that will make this company a staggering amount of money over time. Remember that the real value is held in the minds of a few scientists and engineers who understand what’s up. There may also be quite some difficulty in persuading these to agree to be “taken over”. A buy-out may not be the best way to do this. Think of ARM – Cambridge., they make billions per annum on intellectual property in simple CMOS chips wanted by mega firms and have been staggeringly successful in doing this. Could we be like them?

Buy! Buy now, for soon it will be upon us. This is really exciting; oooh!

David