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Message: Is Wencor really sour on EDIG?

Is Wencor really sour on EDIG?

posted on Aug 18, 2005 12:21PM
There seems to be an evermore prevailing attitude on this board that, for some unknown reason, Wencor hates doing business with eDigital. I`m not sure exactly where it is coming from, or why it is so prevailent.

We once (once mind you) heard rumblings on Wencor discontent. I may have inadvertently contributed in my ``Accumulation Theory`` posts from awhile back (suggesting that perhaps Wencor wanted a piece of EDIG - equity stake), though in that conjecture I alluded to Brent Woods` apparent desire to have the greatest control of his business situation as possible. But that was about a desire for control, and not based on any dislike of EDIG (as many have pointed out, as far as we know, EDIG has been nothing but cooperative and ingratiating. And why would he want a stake in a company that he doesn`t like?). Perhaps the source was the whole IMS deal - but that went sour for a reason; perhaps not enough absolute ``control``, with IMS management not accepting a ``second seat`` but pushing for a high level of autonomy. But, whether it was something along those lines or simply due to hardware related issues (PEA is inferior, IMS demanding PEA over digE though their TDL would be used, etc.), or some combination, in the final analysis, the deal died. One would think that this alone would be a feather in EDIG`s cap.

But posts keep appearing suggesting that there is an adversarial attitude between the two. This latest article does feed that fire, but certainly reps of EDIG and APS/Wencor know better - the reporter has fouled up again, or just listened to IMS only and yanked some excerpts of EDIG press. No problem there, it was in the public domain, and considering the fairly deafening silence of EDIG and APS/Wencor regarding new/repeat IFE business, it wouldn`t surprise me a bit if the reporter had contacted both APS/Wencor and EDIG and got a big ``NO COMMENT``.

So how`s `bout we lighten up on such probably ill-founded conjecture?

Granted, as JHawk has said, Wencor must want the biggest possible piece of the pie, but really, they already get the biggest piece by far along with the tech support and (what I believe to be) the sincere appreciation of EDIG. There are a lot of things to consider before abandonning a prosperous business arrangement, and business relations take a long time to build (even just to communicate effectively).

I think the proof will be in the pudding over the next few weeks. If we hear of ``several`` more airlines and AMTRAK, and hear of no orders going to EDIG, it`ll be time to worry. But I see this as highly unlikely. And orders at this somewhat pivotal point (after the IMS debackle) should speak volumes regarding a continuing business relationship (including the digEsystem and/or IFE application of the medEviewer). What`s more likely (rather than a lack of orders to EDIG) would IMO be Wencor taking an equity stake - cementing the relationship. Not that I`m convinced that will happen, only that this scenario has a greater probability of coming about.

One thing I am more and more convinced of, is that portable IFE is a niche with ongoing great potential. And embedded systems are available from many, but we`ve got a pretty good lock on portables.

And I KNOW nuttin` - but my own opinions.

SGE

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