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Message: RE: No more posts?...OZ.../Gil

RE: No more posts?...OZ.../Gil

posted on Feb 19, 2006 09:57AM
I`ll give it some thought. Basic problem is the lack of data, price and cost of the eVU. We can do a little projection from the statement that 1/2 the DigePlayers sold to date would produce a profit/breakeven.

I think that converts to about 8000 eVU units from the numbers mentioned.

One of the questions deals with edigs meaning of breakeven, does that include operating costs, plus interest on notes, stock adjustments and any other financial costs.

As far as my opinion, I look forward to the $750,000 of DigePlayer revenue, the interest rate on the notes is high, but helped keep the doors open, the added $20.00 is fair considering that they will get nothing if we do not sell any units.

I don`t think it matters much in the overall scheme if the DigePlayer continues to generate a few new customers and some repair revenue.

What we need is new and substantial contracts for the eVU to make this a profitable venture. Any royalty from patent infringement would be frosting on the cake but should not be part of the plan. Could be considerable or could be a token amount, we may have companies using our technology, or we may not, or it may be difficult to prove it and get any reasonably settlement.

The main concern is not being aggressive. We have seen a passive attitude in the past, partly because of no capital, but to delay or move slowly regarding marketing or generating contracts with the eVU may result in other companies taking the lead with comparable products.

Hope this wets your appetite.

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