Kind of what you posted LookinGintoit, I have held in my mind using mental math guesstimations, but you brought it out more into the open thank you. The way I see, basically, POET leveraged itself and built its infrastructure to support future OI sales, and then tried to recover most of the acquisition and operating expenses to take itself to the next level. So, they have essentially used Denselight for R & D and coordination and found a way to monetize it for recycling this investment into the company's next exciting and very meaningful phase.

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Another way to word this is that buying DL allowed them to get lots of product development at a discount to hiring someone else to do it - AND - allowed them to keep the secret sauce (the IP) under tight wraps. Perhaps also having owned it gives them better tax write-offs going forward than would having spent on contract development.