I thought I’d wade in over my head with this post.The recent conference video has encouraged me to believe that the technology issues have been largely resolved but are not yet specifically announced.I take the view you would not get a high powered team, such as we saw, asking investors for money unless there were tangible developments.Given the tardiness of previous announcements, the reluctance of the company to use hyperbole, the statements of a highly respected and knowledgeable captain of industry as Ajit Manocha, it really is a good bet that the company is on track to persuade the industry to buy into this technology.

If their ambition is accurate, I do not doubt it, then they are telling the whole microelectronics industry they can design and manufacture processors that are at least as fast as the best Silicon devices used so widely now.They come with very large power savings compared with Silicon.Just as, though perhaps much more, important, they can integrate, on a single processor, all the devices that Silicon spreads out on a circuit board.In addition, it can integrate memory, lasers and signalling.Now, add to this mix, facts such as you can do this without having to build new factories to manufacture these processors and a huge capability to make it much faster in the future at low cost.

Step back and think about the very latest in gizmos and gadgets we know of.The i-watch, plagued with overheating and a necessity for repeated charging.Cloud computing and the vast arrays of memory and server capacity housed in empires of ventilated buildings.Automotive developments including battery power, safety devices, efficient engines, low carbon usage.Add to this power generation and distribution, military, medical, rocketry, communications, government, covert operation.Can you tell me where microprocessors are not involved?All these I mention want fast computing, at low power and small size why, because it is far more energy efficient, easier to repair, more reliable and in many cases more secure.Just one example: when the first computers were made (40’s -50’s) they occupied rooms and required lots of staff.Now, one laptop on a desk can do millions of times more processing, store Gigabytes more information, download films, contact anywhere in the world, tell you instantly the meaning of life and run a multiplicity of complex programmes: Candy Crush, Wordfeud, local newspaper, etc. all at the same time.How?Because it processes quickly, has a large storage capacity and fast sound and visual processors.But, it doesn’t stop there for the whole history of processors is the demand for faster processing, more memory and additional facilities.

The industry has now reached a point where Silicon is having trouble meeting the insistent demands of speed and capacity.I have posted previously on this matter but, if you look at electronic articles, you will detect the distress about development costs and the limitation of the physics.There are frequent delays in bringing out products.Factories are closing - the number of processor manufacturers has fallen very significantly over the last 5 -10 years unable to compete because of the horrendous development costs.All these are the features of Silicon distress, it is real and growing.Silicon will not disappear overnight, it will become more inadequate with time.But, the demand for better performance will grow.This is where POET comes in.It does have the potential to meet this demand, in existing factories, at low cost.Crucially, it does not have an immediate competitor at this point in time.

So, here we are, at a critical time, invested in a company which is just beginning its open marketing operations.Do I think it’s good, yes! ... Yes, yes....Yes, yes, yes!What is it worth, I can’t tell you accurately only guess.We have seen companies with single ideas, an application, or a game etc. bought up for billions.POET is different and the concept will dawn more slowly than a game or an app.Few will understand what it offers, even less interpret its future.But, it is now at appearance point and knowledge will grow.I take the view that the first recognisable name which takes up the development challenge, when announced, will change everything – that is probably very close or has even happened.I also take the view that linking such a company with Synopsys, a fab, a development company and POET will produce such a tight contract that any buy out would have to be huge and this severely restrict the buyers available.I favour the idea of long term gains, it may be better for the industry as whole and for we investors over time.

David