It is very important to check the competition prices for comparable product offering, and then recognize [and charge premium if justified] for the value proposition of your product in formulating your product pricing and marketing strategy. This will assure you the highest revenue at the best possible margin. Higher revenues streams with best possible margins are the key to financial success in any commercial product launch.
Looks like Microvision has given considerable thought to their current SHOWwx product pricing and marketing strategy.
All of the SHOWwx PicoP projectors are going to Asia-Pacific and Europe at $500 [to $700] a pop in wholesale price… and as revenue to Microvision. The distributors in the two regions are selling it to end users for about USD $900… representing a net profit potential to them of approximately $200 to $400. If the two distributors want to sell for less… then that is their option and only cuts into their profit margin.
The Asia-Pacific OEM Uniden and the European Mobile phone carrier are also selling it for $900 or so… representing a net profit potential of up to $400 depending on their pricing and promotional strategy.
The bottom line is…
• Microvision is selling all of its SHOWwx production at $500 [to $700] a pop and there is no reason to sell it for less. In the short term, all of SHOWwx production is being used to open doors and establish valuable high volume sales channels [for the future] with global distributors, global consumer electronic OEMs and global mobile phone carriers. Recent announcements of initial purchase orders from Asia-Pacific and Europe are proof positive of this strategy.
• If you look at the details in the press releases and do some further digging into the sales literature of those engaged with Microvision as distributors, OEMs and mobile carriers… you will see that the retail price for the laser PicoP projector SHOWwx is in the USD $900 range.
• Microvision is selling all of its SHOWwx production at $500 [to $700] a pop and there is no reason to sell it for less.
• It is very important to check the competition prices for comparable product offering, and then recognize the value proposition of your product in arriving at a product pricing and marketing strategy. Looks like Microvision has given considerable thought to their current SHOWwx product pricing and marketing strategy.
This is what I see…
o Currently there is more demand than supply for their laser PicoP projector SHOWwx. At first blush, that is a good enough reason to command a premium price compared to the competition. However, it is important to investigate why the demand is high. With little digging, and snooping around, you will see that high demand is directly related to the higher standards of SHOWwx: image quality; large size projection; vivid bright colors; always-in-focus on any projected surface; small physical size and longer battery run features. This is the reason number one for commanding premium prices for laser based PicoP display engines and projectors… and that is today, tomorrow and to the day until supply catches-up with demand.
o Quality always comes at a cost. You want quality… then you pay for quality. As they say: “you can buy crap from the competition for half the price… but at the end of the day you still got crap at half the price.” In a nutshell, quality at premium price mantra applies to SHOWwx pricing strategy today, tomorrow and every day… as long as the competition has nothing better to offer but still wants to charge $400 for crap of a pico projector.
o Another way to arrive at product pricing is by placing a dollar value on replacement cost of products eliminated by your product and then add to this the intrinsic value of your product’s other differentiating features.
Here’s an example of pricing strategy…
A. SHOWwx can replace a lamp based projector for small meetings and presentations… lamp based projector replacement cost $900.
B. SHOWwx allows impromptu presentations in bright and vivid colors and always stays in focus with 8 font readability in normal light conditions… replacement cost $400 [the cost of inferior quality product from competition]
C. SHOWwx in the bedroom to watch movies, shows and other streaming videos on the ceiling with no concern for projector location, has short throw ratio from bed to ceiling and always stays in focus… replacement cost of TV on the ceiling $ 900 and $500 in install cost.
D. SHOWwx can project 200” image size under certain lighting conditions like watching movies outdoors while camping, or with friends and neighbors, on a dark summer night … feature value $400 as compared to the competition that is if you are willing to accept small size and washed out color projection.
E. SHOWwx projects bright and vivid color with 5000:1 contrast ratio… replacement cost $400 [the cost of inferior quality product from competition]
F. SHOWwx projects higher definition images [848x480]… replacement cost $400 [the cost of inferior quality product from competition]
G. SHOWwx projects always-in-focus images regardless of the distance or movement of the projector… priceless. This feature is the competition killer. Let’s face it, as an example, would you buy a car that needs starting again every time you stopped in traffic or at a red light?
Right, I didn’t think so.
You see, in case of pico projectors from the competition... you need to re-focus the image every time you move or want to change the size of projected image. Its not quite like re-starting your car engine every time you stop in traffic... but you know what I mean.
H. SHOWwx projector gives you twice the projection time per battery charge as compared to the competition… replacement cost $400 [the cost of inferior quality product from competition].
I. SHOWwx projector used as a mobile TV [with a set-top box] saves you money on energy usage over its operating life [consuming less than 5 watts per hour] … feature value $1,200 in energy savings over a 10 year period
J. SHOWwx projects bright and vivid color images without motion blur because of its inherent fast refresh feature from laser light source… priceless or replacement cost $400 [the cost of inferior quality product from competition].
Well, there you have it...
When you add the value of your product’s unique functionality, and money savings from product features, plus the value of improved quality of experience, the value proposition becomes worth a lot more than the $500 [in wholesale] that Microvision wants at this stage of commercial product launch.
Purchase orders from distributors, OEMs and mobile phone carriers is solid validation of consumer preference for Microvision’s laser PicoP projector SHOWwx that offers…
“large & wide screen, high definition, bright vivid colors, longer battery run on single charge, 2D video with fast refresh without motion blur, small physical size and always-in-focus images for all of video [static, streaming, and broadcast] communications.”
Looking at the retail prices of ASD $990 [USD $900] it is quite obvious that the wholesale price to Microvision is somewhere from $500 to $700 per unit. And the margins are over 50%... if not more.
Anant Goel
http://www.wealthbyoptions.com/
Thursday, October 29, 2009
Wednesday, October 28, 2009
Microvision: Lands Order for Laser Pico Projectors with World Leading Mobile Phone Operator
That’s the news from this morning…
Microvision Lands Order For SHOWWX Laser Pico Projectors With World Leading Mobile Phone Operator
Press Release
Source: Microvision, Inc.
On 6:30 am EDT, Tuesday October 27, 2009
REDMOND, Wash.--(BUSINESS WIRE)--Microvision, Inc. (NASDAQ:MVIS - News), a global leader in innovative ultra-miniature projection display and image-capture products for mobility applications, announced today that it has received an initial purchase order from its European distributor for its SHOWWX™ laser-based pico projector to be sold by one of the world’s top mobile phone operators. The initial quantities of SHOWWX are expected to be deployed within the next month in Europe and at that time more details are expected to be provided by the mobile carrier.
“We are extremely pleased to welcome our first global mobile phone operator as a SHOWWX launch customer for 2009,” stated Alexander Tokman, Microvision President and CEO. “Carriers serve as the frontline to mobile subscribers and as a result often influence mobile handset designs to include new features that delight their customers and help achieve a broader subscriber base and higher revenue per user. We believe that interest from one of the three largest carriers in the world in this application and specifically in Microvision’s PicoP® laser projection technology is an important first step towards future accessory and embedded opportunities.”
Microvision’s Made for iPod® SHOWWX laser pico projector, based on the PicoP display engine, delivers a colorful, vivid “big screen” viewing experience from a device about the size of a mobile phone. Users of the SHOWWX can also connect to other portable media players, mobile phones and notebooks to spontaneously share movies, YouTube™, photos, presentations and more with their friends, family or business associates. The SHOWWX can project images up to 200 inches across, depending on the ambient lighting conditions, without the user ever having to adjust focus.
About Microvision, Inc.
Microvision provides the PicoP display technology platform designed to enable next-generation display and imaging products for pico projectors, vehicle displays, and wearable displays that interface with mobile devices. The company’s projection display engine uses highly efficient laser light sources which can create vivid images with high contrast and brightness. For more information, visit the company’s website (www.microvision.com).
http://finance.yahoo.com/news/Microvision-Lands-Order-For-bw-181864591.html?x=0&.v=1
Observations and Comments
This news is huge and historical in nature for Microvision. Microvision’s laser PicoP projector SHOWwx is the first to be sold or offered by a global mobile phone carrier… to add value to the services it offers. This is the first giant step [no baby steps here] taken by Microvision in its long journey to becoming ubiquitous with its laser PicoP display technology.
There are several tit bits of information that reveal a lot more than the words can say from the press release.
Here are some interesting observations…
• “REDMOND, Wash.--(BUSINESS WIRE)--Microvision, Inc. (NASDAQ:MVIS - News), a global leader in innovative ultra-miniature projection display and image-capture products for mobility applications, announced today that it has received an initial purchase order from its European distributor for its SHOWWX™ laser-based pico projector to be sold by one of the world’s top mobile phone operators. The initial quantities of SHOWWX are expected to be deployed within the next month in Europe and at that time more details are expected to be provided by the mobile carrier.”
It is only recently that I noticed and then started to pay more attention to how Microvision describes itself in its press releases…
“…, a global leader in innovative ultra-miniature projection display and image-capture products for mobility applications,”
We all understand well, the pico projector used as ultra-miniature projection display for mobility applications. But, what the heck “image-capture for mobility applications” means? Well, at the CC it became quite clear that Microvision is developing “image-capture” applications using the same PicoP display engine that also does the "image-projection” part. Do you get it? A laser PicoP display engine the does all three functions: as an always-in-focus projector; a scanner; and an always-in-focus camera of some sort. That’s a whole new line of high margin, so I’m told, applications for the laser PicoP display engine. All these new applications are possible due only to the laser projection and laser scanning capability of the laser based PicoP display technology.
That’s a wide open high margin market: for precision measurement; diagnostics; and depth oriented imaging that no one can compete for a foreseeable future. Here’s what Alex Tokman, Microvision CEO, said at the CC…
AT: "We are constantly looking at the new vertical markets that take advantage of similar tech that is inside accessory projector and later will be inside cell phones. These applications not just include projections applications we also, our tech, is also fully-reversible. Which means we can use it for imaging as well as _______(?) presenting an image, we can capture an image. And combination of these two powerful features in one device gives us certain unique offerings that nobody else can touch. For example, ability to, with high precision, diagnose and measure something and then display it is only something we can do because we use MEMS mirrors and because we use lasers. I can’t give you any details on the phone because we are not ready to discuss this but all I can tell you is that you will see some of the initial demonstrations of these applications next year starting at CES."
• “…announced today that it has received an initial purchase order from its European distributor for its SHOWWX™ laser-based pico projector to be sold by one of the world’s top mobile phone operators.”
This news is huge and historical in nature for Microvision. And I say that, because, for the first time ever a global mobile phone carrier has taken under its wings a pico projector to enhance the value proposition of its service offering. In simple language, Microvision’s laser PicoP projector SHOWwx is the first to be sold or offered by a global mobile phone carrier… to add value to the services it offers.
• “…The initial quantities of SHOWWX are expected to be deployed within the next month in Europe and at that time more details are expected to be provided by the mobile carrier.”
Well, that’s where the rubber meets the road… and Microvision can only travel this road when more green lasers become available from Osram during November. The green lasers from Corning are destined to build SHOWwx PicoP projectors going to Asia-Pacific region.
The quantities of green lasers from Osram are the wild card… because the production numbers are still up in the air. However, in the matter of a month or two the green lasers from Osram should start coming off the line and Microvision will have better handle on quantities.
One thing is for sure, with today’s announcement as one of the three largest carriers in the world taking interest in SHOWwx, PicoP projector, there will be an ample customer demand for whatever Microvision can supply for a long time to come.
• It is interesting to note what Alex Tokman said in the press release…
“Carriers serve as the frontline to mobile subscribers and as a result often influence mobile handset designs to include new features that delight their customers and help achieve a broader subscriber base and higher revenue per user. We believe that interest from one of the three largest carriers in the world in this application and specifically in Microvision’s PicoP® laser projection technology is an important first step towards future accessory and embedded opportunities.”
Selling directly to a global mobile carrier allows Microvision higher margins for now [like $500 per SHOWwx] and also opens the doors to future opportunities for its accessory and embedded product line. In my opinion, selling directly to the global mobile carrier is the ultimate objective of a successful marketing and sales campaign… if you want to sell millions of units at pop to the captive customer base of hundreds of millions.
Think about it?
Could Apple sell 7million iPhones in a quarter without any help from AT&T?
I very much doubt it!
Case in example is Samsung, looking to sell its smartphone with built-in pico projector. Do you know how many global mobile carriers have signed-up to offer Samsung’s smartphone with built-in pico projector to their customer base?
Right!
None!
Closing comments…
Today Microvision announced initial purchase order from a European mobile carrier. It is a huge win, considering that it’s an initial PO from a purchaser who is "one of the three largest carriers in the world." There are some speculations that it could be Vodaphone. However, when it comes to Microvision customers, speculating is not a fun pass-time. So, we should just wait and see who or what turns-up in the next 30-days.
I’m glad to see a global mobile service provider get engaged with Microvision at this early stage, since they're ultimately the target frontline customer with eventual distribution to millions of existing subscribers. Today’s announcement should not be a surprise though. We have known for some time now that there will be one more OEM announcement by year's end. All this information has been out there from previous press releases and conference calls.
Even though this European mobile carrier news is obviously huge and it's great news, unfortunately we also know that the quantities of SHOWwx for 2009 are going to be very low (like in thousands). However, with Osram coming on-line towards the end of this year, the quantities for 2010 are expected to be in "hundreds of thousands" of units, and that's when things will get really interesting.
Consider this for a moment…
“Assuming that during 2010, Microvision was to ship, to all of its sales channels, a total of 200,000 SHOWwx units at an average price of $500 each… then that would translate into $100 million in high margin revenue.”
I’ll leave you with that thought to ponder upon and share the “best news” from a fellow Microvision investor…
“The best news is not this announcement, but the fact that October is almost over and 2010 begins in only two months.” … mvisbuzz
Anant Goel
http://www.wealthbyoptions.com/
Microvision Lands Order For SHOWWX Laser Pico Projectors With World Leading Mobile Phone Operator
Press Release
Source: Microvision, Inc.
On 6:30 am EDT, Tuesday October 27, 2009
REDMOND, Wash.--(BUSINESS WIRE)--Microvision, Inc. (NASDAQ:MVIS - News), a global leader in innovative ultra-miniature projection display and image-capture products for mobility applications, announced today that it has received an initial purchase order from its European distributor for its SHOWWX™ laser-based pico projector to be sold by one of the world’s top mobile phone operators. The initial quantities of SHOWWX are expected to be deployed within the next month in Europe and at that time more details are expected to be provided by the mobile carrier.
“We are extremely pleased to welcome our first global mobile phone operator as a SHOWWX launch customer for 2009,” stated Alexander Tokman, Microvision President and CEO. “Carriers serve as the frontline to mobile subscribers and as a result often influence mobile handset designs to include new features that delight their customers and help achieve a broader subscriber base and higher revenue per user. We believe that interest from one of the three largest carriers in the world in this application and specifically in Microvision’s PicoP® laser projection technology is an important first step towards future accessory and embedded opportunities.”
Microvision’s Made for iPod® SHOWWX laser pico projector, based on the PicoP display engine, delivers a colorful, vivid “big screen” viewing experience from a device about the size of a mobile phone. Users of the SHOWWX can also connect to other portable media players, mobile phones and notebooks to spontaneously share movies, YouTube™, photos, presentations and more with their friends, family or business associates. The SHOWWX can project images up to 200 inches across, depending on the ambient lighting conditions, without the user ever having to adjust focus.
About Microvision, Inc.
Microvision provides the PicoP display technology platform designed to enable next-generation display and imaging products for pico projectors, vehicle displays, and wearable displays that interface with mobile devices. The company’s projection display engine uses highly efficient laser light sources which can create vivid images with high contrast and brightness. For more information, visit the company’s website (www.microvision.com).
*****
Here’s the link to the news…http://finance.yahoo.com/news/Microvision-Lands-Order-For-bw-181864591.html?x=0&.v=1
Observations and Comments
This news is huge and historical in nature for Microvision. Microvision’s laser PicoP projector SHOWwx is the first to be sold or offered by a global mobile phone carrier… to add value to the services it offers. This is the first giant step [no baby steps here] taken by Microvision in its long journey to becoming ubiquitous with its laser PicoP display technology.
There are several tit bits of information that reveal a lot more than the words can say from the press release.
Here are some interesting observations…
• “REDMOND, Wash.--(BUSINESS WIRE)--Microvision, Inc. (NASDAQ:MVIS - News), a global leader in innovative ultra-miniature projection display and image-capture products for mobility applications, announced today that it has received an initial purchase order from its European distributor for its SHOWWX™ laser-based pico projector to be sold by one of the world’s top mobile phone operators. The initial quantities of SHOWWX are expected to be deployed within the next month in Europe and at that time more details are expected to be provided by the mobile carrier.”
It is only recently that I noticed and then started to pay more attention to how Microvision describes itself in its press releases…
“…, a global leader in innovative ultra-miniature projection display and image-capture products for mobility applications,”
We all understand well, the pico projector used as ultra-miniature projection display for mobility applications. But, what the heck “image-capture for mobility applications” means? Well, at the CC it became quite clear that Microvision is developing “image-capture” applications using the same PicoP display engine that also does the "image-projection” part. Do you get it? A laser PicoP display engine the does all three functions: as an always-in-focus projector; a scanner; and an always-in-focus camera of some sort. That’s a whole new line of high margin, so I’m told, applications for the laser PicoP display engine. All these new applications are possible due only to the laser projection and laser scanning capability of the laser based PicoP display technology.
That’s a wide open high margin market: for precision measurement; diagnostics; and depth oriented imaging that no one can compete for a foreseeable future. Here’s what Alex Tokman, Microvision CEO, said at the CC…
AT: "We are constantly looking at the new vertical markets that take advantage of similar tech that is inside accessory projector and later will be inside cell phones. These applications not just include projections applications we also, our tech, is also fully-reversible. Which means we can use it for imaging as well as _______(?) presenting an image, we can capture an image. And combination of these two powerful features in one device gives us certain unique offerings that nobody else can touch. For example, ability to, with high precision, diagnose and measure something and then display it is only something we can do because we use MEMS mirrors and because we use lasers. I can’t give you any details on the phone because we are not ready to discuss this but all I can tell you is that you will see some of the initial demonstrations of these applications next year starting at CES."
• “…announced today that it has received an initial purchase order from its European distributor for its SHOWWX™ laser-based pico projector to be sold by one of the world’s top mobile phone operators.”
This news is huge and historical in nature for Microvision. And I say that, because, for the first time ever a global mobile phone carrier has taken under its wings a pico projector to enhance the value proposition of its service offering. In simple language, Microvision’s laser PicoP projector SHOWwx is the first to be sold or offered by a global mobile phone carrier… to add value to the services it offers.
• “…The initial quantities of SHOWWX are expected to be deployed within the next month in Europe and at that time more details are expected to be provided by the mobile carrier.”
Well, that’s where the rubber meets the road… and Microvision can only travel this road when more green lasers become available from Osram during November. The green lasers from Corning are destined to build SHOWwx PicoP projectors going to Asia-Pacific region.
The quantities of green lasers from Osram are the wild card… because the production numbers are still up in the air. However, in the matter of a month or two the green lasers from Osram should start coming off the line and Microvision will have better handle on quantities.
One thing is for sure, with today’s announcement as one of the three largest carriers in the world taking interest in SHOWwx, PicoP projector, there will be an ample customer demand for whatever Microvision can supply for a long time to come.
• It is interesting to note what Alex Tokman said in the press release…
“Carriers serve as the frontline to mobile subscribers and as a result often influence mobile handset designs to include new features that delight their customers and help achieve a broader subscriber base and higher revenue per user. We believe that interest from one of the three largest carriers in the world in this application and specifically in Microvision’s PicoP® laser projection technology is an important first step towards future accessory and embedded opportunities.”
Selling directly to a global mobile carrier allows Microvision higher margins for now [like $500 per SHOWwx] and also opens the doors to future opportunities for its accessory and embedded product line. In my opinion, selling directly to the global mobile carrier is the ultimate objective of a successful marketing and sales campaign… if you want to sell millions of units at pop to the captive customer base of hundreds of millions.
Think about it?
Could Apple sell 7million iPhones in a quarter without any help from AT&T?
I very much doubt it!
Case in example is Samsung, looking to sell its smartphone with built-in pico projector. Do you know how many global mobile carriers have signed-up to offer Samsung’s smartphone with built-in pico projector to their customer base?
Right!
None!
Closing comments…
Today Microvision announced initial purchase order from a European mobile carrier. It is a huge win, considering that it’s an initial PO from a purchaser who is "one of the three largest carriers in the world." There are some speculations that it could be Vodaphone. However, when it comes to Microvision customers, speculating is not a fun pass-time. So, we should just wait and see who or what turns-up in the next 30-days.
I’m glad to see a global mobile service provider get engaged with Microvision at this early stage, since they're ultimately the target frontline customer with eventual distribution to millions of existing subscribers. Today’s announcement should not be a surprise though. We have known for some time now that there will be one more OEM announcement by year's end. All this information has been out there from previous press releases and conference calls.
Even though this European mobile carrier news is obviously huge and it's great news, unfortunately we also know that the quantities of SHOWwx for 2009 are going to be very low (like in thousands). However, with Osram coming on-line towards the end of this year, the quantities for 2010 are expected to be in "hundreds of thousands" of units, and that's when things will get really interesting.
Consider this for a moment…
“Assuming that during 2010, Microvision was to ship, to all of its sales channels, a total of 200,000 SHOWwx units at an average price of $500 each… then that would translate into $100 million in high margin revenue.”
I’ll leave you with that thought to ponder upon and share the “best news” from a fellow Microvision investor…
“The best news is not this announcement, but the fact that October is almost over and 2010 begins in only two months.” … mvisbuzz
Anant Goel
http://www.wealthbyoptions.com/
Tuesday, October 27, 2009
Microvision: 3rd Qtr 2009 Earnings Conference Call – Part 1
The 3rd Quarter earnings were reported after the market close and the conference call took place right after that on October 22nd, 2009.
First, let’s look at the earnings report in Part 1 of this post…
Microvision Reports Third Quarter 2009 Results
Source: Microvision, Inc.
On 4:01 pm EDT, Thursday October 22, 2009
Operating Results
“The third quarter of 2009 was a very rewarding and in many ways historical quarter for Microvision as we reached three important corporate milestones for commercialization of our PicoP® technology” said Alexander Tokman, Microvision’s President and CEO. “We launched our first PicoP technology based product, SHOWWXTM the world’s first laser pico projector; received our first purchase order to distribute the SHOWWX; and secured our first global OEM to private label the accessory product. We began shipping SHOWWX laser pico projectors in September and our plan is to increase volume each month to meet customer demand.”
http://finance.yahoo.com/news/Microvision-Reports-Third-bw-1249636338.html?x=0&.v=1
Next, let’s review the earnings report for “Operating Results” and then we’ll focus on the “Financial Results” later…
• The Asia-Pacific region global consumer electronics OEM was indeed Uniden of Japan, through the efforts of regional distributor Mint Technology, and that Microvision received a purchase order from Uniden to private label the PicoP display engine-based accessory laser pico projector. Read more: http://www.uniden.com.au/australia/oc_our_company.asp
Obviously, Microvision investors didn’t like the names in the news and the stock price plunged to $4.66 early in the morning to make the low of the day [from $5.28] and closed the day at $5.07. Then at the conference call, after the market close, Alex Tokman, CEO of Microvision, decidedly tried to dodge the questions regarding green laser supply from Corning. I don’t think the investors liked the [wishy-washy] answers on green laser supply issue either. And that, in my opinion, set the stage for further decline in MVIS stock price that came about the next day on Friday… when the stock went down further and closed the day at $4.39.
-- Estimated Development Contracts Backlog: $820,000
-- Estimated ROV Scanner Backlog: $100,000
-- SHOWwx Projectors Backlog: $0 … Purchase Orders from Asia-Pacific Region came-in on October 8th, 2009.
-- Net Product Backlog [net of ROV Scanners]: $1,080,000 [2,000,000 - 820,000 – 100,000 = 1,080,000]
-- PicoP Evaluation Kit [PEK] Sold at: $5,000 each
-- Number of PEKs Sold on Backorder: 216 … give or take a few
• “The company reported an operating loss for the nine months ended September 30, 2009 of $27.9 million compared to $25.3 million for the same period in 2008 and $9.3 million, for the quarter ended September 30, 2009 compared to $9.0 million for the same period in 2008.”
First, let’s look at the earnings report in Part 1 of this post…
Microvision Reports Third Quarter 2009 Results
Commercial Product Launch and Beginning of Shipments of SHOWWX, World’s First Laser Pico Projector, Highlight Quarter
Press Release Source: Microvision, Inc.
On 4:01 pm EDT, Thursday October 22, 2009
REDMOND, Wash.--(BUSINESS WIRE)--Microvision, Inc. (NASDAQ:MVIS - News), a global leader in innovative ultra-miniature projection display and image capture products for mobility applications, today reported operating and financial results for the third quarter of 2009.
Operating Results
“The third quarter of 2009 was a very rewarding and in many ways historical quarter for Microvision as we reached three important corporate milestones for commercialization of our PicoP® technology” said Alexander Tokman, Microvision’s President and CEO. “We launched our first PicoP technology based product, SHOWWXTM the world’s first laser pico projector; received our first purchase order to distribute the SHOWWX; and secured our first global OEM to private label the accessory product. We began shipping SHOWWX laser pico projectors in September and our plan is to increase volume each month to meet customer demand.”
Microvision’s Asian distribution partner, Mint Technology, through its parent company Mint Wireless Limited (ASX: MNW - News), issued a press release on October 22 (see Mint press release) revealing that the global OEM that will private label Microvision’s laser pico projector is Uniden Corporation of Japan. Microvision had previously announced on a no-name basis the purchase order from Mint Technology (see September 30 Microvision press release) and the purchase order for Uniden to private label Microvision’s PicoP display engine-based accessory laser pico projector (see October 8 Microvision press release).
Other notable results and acknowledgements for the third quarter included:
• Certifying the SHOWWX Laser Pico Projector as a Made for iPod® product
• Signing a long-term agreement with OSRAM Opto Semiconductors GmbH for supply of green and blue lasers to further strengthen supply chain capabilities.
• Receiving $1.0 million subcontract award from Lockheed Martin to support DARPA’s Urban Leader Tactical Response, Awareness & Visualization (ULTRA-Vis) program, an advanced technology development initiative to build a soldier worn system. This contract is important to Microvision’s long-term strategic roadmap, as it provides the opportunity to advance the company’s technology for a variety of military and commercial full-color eyewear applications. Under the subcontract Microvision is developing a daylight-readable, see-through, low-profile, ergonomic eyewear display based on its ultra-miniature PicoP display engine and proprietary thin, clear Substrate Guided Relay (SGR) Optics.
• Identified for the first time by the Patent Board™ as one of the "Top 50 Movers” in the Electronics and Instruments industry. The Patent Board is a leading business-based patent advisor to Fortune 500 companies, emerging technology companies, law firms, investment banks, governments and universities. The Patent Board utilizes proprietary data, tools, analytics and technology to leverage patent-based Intellectual Property as an asset class.
• Identified by a Pacific Northwest business publication as one of “Washington’s Top 100 Companies to Work For in 2009”
Financial Results
For the nine months ended September 30, 2009, the company reported revenue of $2.9 million compared to $5.1 million for the same period in 2008 and for the three months ended September 30, 2009, the company reported revenue of $ 924,000 compared to $894,000 for the same period 2008. As of September 30, 2009, the backlog totaled $2.0 million compared to $647,000 at September 30, 2008. The decrease in revenue is primarily attributed to lower backlog at the beginning of 2009, which is a result of the company's strategy to focus most of its resources on commercializing PicoP products.Continued…
Here’s the link to the full report…http://finance.yahoo.com/news/Microvision-Reports-Third-bw-1249636338.html?x=0&.v=1
Next, let’s review the earnings report for “Operating Results” and then we’ll focus on the “Financial Results” later…
Review: Operating Results
Microvision reached three [actually four] corporate milestones for commercialization of its PicoP display technology…• Launched the first PicoP display technology based product SHOWwx, the world’s first laser PicoP projector.
• Received the first purchase order to distribute the SHOWwx from Mint Wireless…for distribution into the Asia-Pacific region.
• Secured the first global consumer electronics OEM [Uniden] to private label the accessory product SHOWwx... for OEM sales and marketing into the Asia-Pacific region.
• Began shipping SHOWwx laser PicoP projectors in September and plans to increase volume each month to meet customer demand.
We are truly at the turning point in the history of Microvision, that some may call the “validation” phase. Because, that’s what the commercial release and the two purchase orders from global consumer electronic OEMs represent as …
• Validation of Microvision’s laser based PicoP display technology, its quality, its reliability, and a viable commercial fabrication & production milestone.”
• Validation of performance and quality of PicoP display engine at the core of the world’s first laser based PicoP projector SHOWwx.
• Validation of Corning's green laser technology, its reliability, and a viable commercial fabrication & production milestone.
• Validation of technical and performance superiority of laser based PicoP projector as compared to other two technologies on the market… DLP from Texas Instruments and LcoS for 3M.
• Validation of consumer preference for Microvision’s PicoP projector: wide screen, high definition, longer battery life, 2D video with fast refresh without motion blur, small physical size and always in focus images for all of video [static, streaming, and broadcast] communications.
• Validation of acceptable safety standard for laser based PicoP projectors in consumer use and adoption.
• Validation of speckle as a non-issue and as virtually non-existent with Microvision’s laser based PicoP display engine.
• Validation of fundamental design flaws of Microvision competitors: low resolution images, faded colors, short battery runs, longer throw distance, and requiring constant manual focus adjustments.
• Validation of Microvision as a product company rather than just a R&D house with 115 issued patents and with many more on file.
There is no need to create the wheel again, so here’s the link to my post on “validation” and the unfolding financial opportunity of a lifetime…
http://mirro7.blogspot.com/2009/10/microvision-opportunity-of-lifetime-in_8814.htmlMicrovision’s press release also confirmed the early morning news from Reuters that…
• The Asian-Pacific region distribution partner was indeed Mint Technology, through its parent company Mint Wireless Limited, and that Microvision received a purchase order from Mint Technology. Read more: http://www.mint-trading.com/default.asp
• The Asia-Pacific region global consumer electronics OEM was indeed Uniden of Japan, through the efforts of regional distributor Mint Technology, and that Microvision received a purchase order from Uniden to private label the PicoP display engine-based accessory laser pico projector. Read more: http://www.uniden.com.au/australia/oc_our_company.asp
Obviously, Microvision investors didn’t like the names in the news and the stock price plunged to $4.66 early in the morning to make the low of the day [from $5.28] and closed the day at $5.07. Then at the conference call, after the market close, Alex Tokman, CEO of Microvision, decidedly tried to dodge the questions regarding green laser supply from Corning. I don’t think the investors liked the [wishy-washy] answers on green laser supply issue either. And that, in my opinion, set the stage for further decline in MVIS stock price that came about the next day on Friday… when the stock went down further and closed the day at $4.39.
The stock price action before and after the conference call [CC] is not surprising when you consider…
• Many MVIS investors were expecting global consumer electronics firms like Sony or LG Electronics as the OEM partner of Microvision that was announced on October 8th, 2009… without naming any names at the time. Many of us and that include me, speculated on the OEM partner’s name and wrote pages to arrive at the conclusion that it could be either Sony or LG Electronics. When we finally heard the name “Uniden Corporation”, we were disappointed… because most of us are not familiar with Uniden as a household name in the US.
• Also the undisclosed name, of the Asian distributor [from October 8th press release], was finally disclosed as “Mint Technology” at the same time the OEM’s name "Uniden" became a public knowledge. Again, some of us were disappointed because we were expecting some big name global distributor… and not some company called “Mint” from Asia.
Considering the above, a first blush knee jerk action best describes the investor response to the news… about Mint Technology and Uniden Corporation… and lack of clearly understanding the comments made by Alex Tokman, on green laser supplies for 2009 and 2010.
In my humble opinion, the investor selling on the news is reactionary; essentially prompted by lack of information about the two big name companies from the Asia-Pacific region. Let’s first talk about Mint Wireless and Uniden, and then we will discuss the CEO comments on green laser supply issue. The price of MVIS stock will take care of itself when we are better informed and had some time to digest information.
Here’s the link to my post on this very topic…
http://mirro7.blogspot.com/2009/10/microvision-asia-pacific-region.htmlNow let’s talk about “Other notable results and acknowledgements for the third quarter”… as stated in the press release…
• “Certifying the SHOWwx Laser Pico Projector as a Made for iPod® product”
What Alex Tokman said at the CC later in the evening, says it all…
“Many of you who don't know, our pico projector is a very simple plug and play device for people on the go who want to spontaneously view and share multimedia applications and programs such as mobile television, movies, photos, user generated content. Users can seamlessly plug the projector into their iPod devices, portable media players, and other mobile devices. Which brings me to our next topic, not every product can have “Made for iPod” logo on it. This logo indicates that our projector has specifically designed to work with iPod products. Microvision has gone through five steps process and certified that SHOWwx has been made in accordance with the high standards of quality and performance. Why is this important? According to media sources, there are more than 220 million iPods sold to-date. The preliminary feedback we have received from prospective users has been very positive. They recognize the value of the unique competitive advantages of the PicoP tech including the thin form factor high resolution infinite focus and long battery life. As an example, very recently we have completed our participation in a trade show in Japan called CEATEC where multiple companies have showcased their new projectors. Engadget reports has provided some of the coverage of what they've seen at the show. And I'm going to read you a quote from one of their take-away.
"We stopped at Microvision booth at CEATEC in order to take a look at what makes the world's first laser based pico projector so special and we can honestly say that the picture was pretty stunning."
Here’s the link engadget report…
http://www.engadget.com/2009/10/06/video-microvisions-laser-based-show-wx-pico-projector-shines-a/Now consider the value of this marketing strategy in the short term, while the supply is constrained…
Microvision is targeting their laser PicoP projector SHOWwx into a 220 million unit strong iPod market with a certification “Made for iPod” product family [that includes iPhones]. Selling directly, or thru a distributor is lot better margin wise than it would be if Apple were to private label it under its own Apple logo.
Some day, when the supply is not constrained and millions of PicoP display engines can be mass produced to attract Apple, we may see Apple as the next global consumer electronic OEM for the American region… with a global reach
• “Signing a long-term agreement with OSRAM Opto Semiconductors GmbH for supply of green and blue lasers to further strengthen supply chain capabilities.”
Osram is coming on board with more production quantities of green laser becoming available in the fourth quarter 2009. Hopefully, that will ease-up some green laser supply issues facing Microvision at the present time. Osram green laser are better, cheaper to make and have better yields due to their simpler design as compared to Corning. Microvision has signed a multi-year supply agreement with Osram... which essentially guarantees all of Osram production of green laser going into the production of PicoP display engines.
The availability and quality of green lasers will be crucial not only to the viability of Microvision’s PicoP display technology… but also to its financial success as a growth company. In 2010, there will be six companies making green lasers for the Pico projector market. The most recent news about Japan’s QD lasers only reinforces my belief that Microvision will be a huge financial success.
Here’s the link to QD laser news…
http://www.pcworld.com/article/173455/green_laser_developed_for_microprojectors.html• “Receiving $1.0 million subcontract award from Lockheed Martin to support DARPA’s Urban Leader Tactical Response, Awareness & Visualization (ULTRA-Vis) program, an advanced technology development initiative to build a soldier worn system. This contract is important to Microvision’s long-term strategic roadmap, as it provides the opportunity to advance the company’s technology for a variety of military and commercial full-color eyewear applications. Under the subcontract Microvision is developing a daylight-readable, see-through, low-profile, ergonomic eyewear display based on its ultra-miniature PicoP display engine and proprietary thin, clear Substrate Guided Relay (SGR) Optics.”
Contract like this not only provide current revenue, but also help fund future R&D effort to enhance, for one example, the resolution and brightness of PicoP display engine for next generation projectors.
• “Identified for the first time by the Patent Board™ as one of the "Top 50 Movers” in the Electronics and Instruments industry. The Patent Board is a leading business-based patent advisor to Fortune 500 companies, emerging technology companies, law firms, investment banks, governments and universities. The Patent Board utilizes proprietary data, tools, analytics and technology to leverage patent-based Intellectual Property as an asset class.”
Microvision is positioning itself thru patents and IP to be a major player in the image community. He (Alex) said: “Microvision is not going to be a small component provider that can be marginalized by bigger players.”
Alex sees Microvision as an INTEL type company. He is going to make the company a major player in the image industry. That may very well explain the “Image by PicoP” as the slogan chosen for the world’s first laser based PicoP projector SHOWwx.
Again, no need to create the wheel. Please read my three part post on the subject…
http://mirro7.blogspot.com/2009/10/microvision-protect-your-intellectual.html• “Identified by a Pacific Northwest business publication as one of “Washington’s Top 100 Companies to Work For in 2009”
Well, that’s good to know. It’s always a good sign when the company is able to hire and retain key employees during its growth phase… like Microvision is at this stage of commercial product launch.
Now let’s look at the “Financial Results”…
Review: Financial Results
“… and for the three months ended September 30, 2009, the company reported revenue of $ 924,000 compared to $894,000 for the same period 2008.”“…, the backlog totaled $2.0 million compared to $647,000 at September 30, 2008. The decrease in revenue is primarily attributed to lower backlog at the beginning of 2009,”
Digging into the earnings report for 2nd Qtr and 3rd Qtr 2009, in simple terms, it means…
• Microvision sold lot less ROV scanners and a very few, if any, PEKs in the 3rd Qtr 2009. And obviously, there were no sales of SHOWwx in the 3rd Qtr 2009… because POs did not show-up until October 8th, 2009.
• In 2nd Qtr 2009, the product sales were $174,000 and cost of product revenue was $543,000. In 3rd Qtr 2009, the product sales were $107,000 and cost of product revenue was $720,000. How do you reconcile the loss? Well, I can guess, by looking at the product & development contracts backlog of approximately $2,000,000.
Here’s the analysis and the way I arrived at the numbers…
-- Total 3rd Qtr Backlog: $2,000,000-- Estimated Development Contracts Backlog: $820,000
-- Estimated ROV Scanner Backlog: $100,000
-- SHOWwx Projectors Backlog: $0 … Purchase Orders from Asia-Pacific Region came-in on October 8th, 2009.
-- Net Product Backlog [net of ROV Scanners]: $1,080,000 [2,000,000 - 820,000 – 100,000 = 1,080,000]
-- PicoP Evaluation Kit [PEK] Sold at: $5,000 each
-- Number of PEKs Sold on Backorder: 216 … give or take a few
• “The company reported an operating loss for the nine months ended September 30, 2009 of $27.9 million compared to $25.3 million for the same period in 2008 and $9.3 million, for the quarter ended September 30, 2009 compared to $9.0 million for the same period in 2008.”
Looks like, the operating loss for the 3rd Qtr was $300,000 more as compared to the 2nd Qtr. That’s reasonable considering the commercial product launch.
• “The company reported a net loss of $30.8 million, or $0.43 per share, for the nine months ended September 30, 2009 compared to $22.7 million, or $0.38 per share for the same period in 2008 and $11.5 million, or $0.15 per share, for the quarter ended September 30, 2009 compared to $8.4 million, or $0.13 per share for the quarter ended September 30, 2008. The net loss for the three and nine months ended September 30, 2009 included a non cash loss on derivative instruments of $2.2 million and $3.0 million, respectively, compared to a gain of $585,000 and $2.0 million for the same periods in 2008. The loss on derivative instruments is due to the change in the value of the warrants to purchase the company’s common stock that were issued in connection with the company’s financing transactions.”
The net loss for the 3rd Qtr was $11.5 million as compared to $8.4 million for the 2nd Qtr. The net loss figure takes the “operating loss” of $9.3 million for the 3rd Qtr and adds [or subtracts] the gain [or loss] on derivative instruments [like options & warrants]. It’s not a real dollars loss until the derivative instrument is exercised. Consider this additional loss of $2.2 million as the “net” value of options or warrants owned [or issued] by the company. In 3rd Qtr, Microvision issued warrants to institutional investors and those warrants went up in value as the MVIS stock went up in value during that period.
• “Net cash used in operating activities was $23.4 million for the nine months ended September 30, 2009 compared to $22.3 million for the same period in 2008. Net cash used in operating activities was $7.1 million for the quarter ended September 30, 2009 compared to $7.6 million for the second quarter of 2009. The reduction in the quarterly cash burn was primarily a result of cost reduction efforts the company implemented in the first quarter of 2009. The net cash burn for the third quarter was partially offset by the receipt of $1.5 million for the exercise of investor warrants, and $300,000 for other investing and financing activities resulting in a net cash usage of $5.9 million for the third quarter of 2009. The company ended the quarter with $20.5 million in cash, cash equivalents, and investment securities.”
Here, two important things are worth noting…
- The net cash burn for the 3rd Qtr was $7.1 million and was $0.5 million less than the 2nd Qtr. However, the net cash usage in the 3rd Qtr was $5.9 million… as a result of cash received from warrants exercised and other investing and financing activities.
- At the end of 3rd Qtr, Microvision had $20.5 million in cash, cash equivalents, and investment securities.
Stay tuned for Part 2… where we will discuss the Earnings Conference Call and see where that takes us in this journey to “Image by PicoP” ubiquity.
Anant Goel
http://www.wealthbyoptions.com/Saturday, October 24, 2009
Microvision: Asia-Pacific Region Distributor and OEM Partner
Microvision announced its 3rd Qtr earnings conference call a few days ago, and it was scheduled for Thursday, October 22nd… after the market close.
However, early in the morning of October 22nd, Reuters issued the following news item…
Mint Wireless Limited Signs Distribution Agreement With Microvision Inc.; Receives Initial Order From Uniden Corporation
Thursday, 22 Oct 2009 03:40am EDT
“Mint Wireless Limited announced the signing of an exclusive distribution agreement with Microvision Inc. (Microvision) to distribute a PicoP display engine enabled accessory pocket projector to select Asia Pacific countries. This agreement follows Mint Wireless Limited’s recently announced strategic partnership and supply agreement with Uniden Corporation (Uniden), where Mint Wireless Limited is the exclusive supply partner for a select range of technology products to Uniden’s Australian and New Zealand markets. Mint Wireless Limited has received an initial purchase order from Uniden for an OEM version of Microvision’s pocket projector and will manage the supply, marketing and distribution of the Uniden OEM pocket projector for the Australian and New Zealand markets.
http://www.reuters.com/finance/stocks/keyDevelopments?rpc=66&symbol=MVIS.O×tamp=20091022074000
Immediately after the Reuter news, Matt Nichols had the following post at Microvision’s blog The Displayland…
Mint Wireless And Uniden Start The Ball Rolling
“As our launch partners begin their own marketing programs we stated previously that they would initiate their own communications announcements to reveal their name. The first announcement from a partner just showed up on the Australian Stock Exchange newswire at 6:39 p.m., Sydney time, October 22.
Microvision’s Asian distribution partner, Mint Technology, through its parent company Mint Wireless Limited (ASX: MNW), issued the following press release revealing that the global OEM that will private label Microvision’s laser pico projector is Uniden Corporation of Japan.”
Continued…
Here’s the link to the full post…
http://www.microvision.com/displayground/?p=1198
So there you have it... the names of Asia-Pacific region distributor and the global consumer electronics OEM... for Microvision's laser PicoP projector SHOWwx.
Microvision’s Asia-Pacific region distributor is Mint Wireless and the global consumer electronics OEM is Uniden Corporation.
Obviously the Microvision investors didn’t like the names in the news and the stock price plunged to $4.66 early in the morning to make the low of the day [from $5.28] and closed the day at $5.07. Then at the conference call, after the market close, Alex Tokman, CEO of Microvision, decidedly tried to dodge the questions regarding green laser supply from Corning. I don’t think the investors liked the [wishy-washy] answers to green laser supply issue either. And that, in my opinion, set the stage for further decline in MVIS stock price that came about the next day on Friday… when the stock went down further and closed the day at $4.39.
The stock price action before and after the conference call [CC] is not surprising when you consider…
• Many MVIS investors were expecting global consumer electronics firms like Sony or LG Electronics as the OEM partner of Microvision that was announced on October 8th, 2009… without naming any names at the time. Many of us and that include me, speculated on the OEM partner’s name and wrote pages to arrive at the conclusion that it could be either Sony or LG Electronics. When we finally heard the name “Uniden Corporation”, we were disappointed… because most of us are not familiar with Uniden as a household name in the US.
• Also the undisclosed name, of the Asian distributor [from October 8th press release], was finally disclosed as “Mint Wireless” at the same time the OEM’s name "Uniden" became a public knowledge. Again, some of us were disappointed because we were expecting some big name global distributor… and not some company named “Mint” from Asia.
• At the conference call, several times the same question about “quantities of green laser” supply from Corning was asked and Alex Tokman answered it in the same vague manner [more or less]… its hard to say and that he wasn’t sure. We all know how important the green laser supply quantities are to the successful launch of Microvision’s first laser PicoP projector SHOWwx. So, it is not surprising that each and every individual participating in the Q&A session asked the same question [in different ways]… about the quantities of green lasers that would be available to Microvision in 2009 and 2010.
Here’s the link to the transcript of 3rd Qtr conference call…
http://www.mvisbuzz.com/2009/10/conference-call-notes.html
• At one point during the Q&A session, the Analyst from Morgan Stanley took a dig at Alex Tokman when he said: “At some point you're going to have to give the analyst community something to feed on and do their reports. I'm looking forward to that day.”
• For a few years now, I've been watching the investor anticipation and high hopes leading into quarterly conference calls only to feel let down after each event. It looks like that the analysts have also caught on and don't much partake in Q&A sessions anymore…as they don’t seem to get what they are looking for information on supply quantities of green lasers at this stage of product launch and Microvision's sales channel growth.
Considering the above, a first blush knee jerk action best describes the investor response to the news… about Mint Wireless and Uniden… and lack clear understanding of comments made by Alex Tokman, on green laser supplies for 2009 and 2010.
In my humble opinion, the investor selling on the news is reactionary; because of lack of information about the two big name companies from the Asia-Pacific region. Let’s first talk about Mint Wireless and Uniden, and then we will discuss the lack of understanding the comments on green laser supply issue. The price of MVIS stock will take care of itself when we are better informed and had some time to digest the information.
Here we go…
• Microvision has clearly stated their distribution strategy as…
“The Company plans to distribute its accessory pico projector product through three sales channels: OEM branded products, Microvision branded products sold through international distributors and Microvision direct sales through its on-line store. Microvision has signed several marketing and distribution agreements with international distributors in Asia and Europe to launch Microvision branded and private labeled versions of the laser pico projector. Microvision expects to begin product shipments in the next several weeks.”
Here’s the link to the press release…
http://finance.yahoo.com/news/Microvision-Announces-bw-2654236991.html?x=0&.v=1
• First, note the statement…
“… three sales channels: OEM branded products, Microvision branded products sold through international distributors and Microvision direct sales through its on-line store.”
That clearly means, we should see several OEM partners worldwide branding Microvision products… a white label sale where the OEM puts their Logo and does its own marketing, sales, and support. The first market that Microvision has opened is the Asia-Pacific region. And the first OEM in the Asia-Pacific region is Uniden Corporation for example. Uniden is a global consumer electronics OEM with over $40 billion in sales and is a household name in the Asia-Pacific region. Not only that, Uniden has extensive reach and depth in other global markets like Europe and the Americas… including the US. But their engagement in this specific instance, is for the Asia-Pacific region... and they came to the table through Mint Wireless as the Asian distributor/sales agent.
Consider this...
I bought my Uniden cordless phone system, here in the US, in 2007 from Costco... after having done some research looking for best of the breed. In the Asia-Pacific region, my friends and family tell me that Uniden is a very well known and respected brand name. Microvision has done well teaming-up with Uniden as its first global consumer electronics OEM. Granted, they are not Sony or LG Electronics... but that may happen soon after when green laser supply picture changes.
Here’s more information on Uniden and some well known competition…
Uniden Corporation
http://wrightreports.ecnext.com/coms2/re...
Motorola, Inc.
http://wrightreports.ecnext.com/comsite5...
Nokia Corporation
http://wrightreports.ecnext.com/comsite5...
For those who may not know, Uniden is a pioneer of many electronic gadgets brought to the market…
• Now look at the statement again…
“… three sales channels: OEM branded products, Microvision branded products sold through international distributors and Microvision direct sales through its on-line store.”
That clearly means we should see several international distributors worldwide selling branded products with Microvision Logo and the distributor doing the marketing, sales, and support. The first market that Microvision has opened for its branded product is the Asia-Pacific region. And the first distributor in the Asia-Pacific region is Mint Wireless for example. Mint Wireless is a well know distributor of consumer electronics products in the Asia-Pacific region.
Here’s information on Mint Wireless and also the distribution agreement with Microvision…
“Mint Wireless Limited (http://www.mnw.com.au/) is an ASX listed technology company focused on providing mobile payment solutions (http://www.mint-wireless.com/) and the development and management of consumer technology products and services. Mint is a developer and leading distributor of innovative consumer technology products to many of Australia and New Zealand’s largest retailers and online e-tailers.”
Here’s the link to the agreement with Microvision…
http://www.mnw.com.au/images/ASX%20Announcement/20091022_Mint_signsexclusivedistribution_agreementwithMicrovisionandreceivesinitialorderfromUnidenFINAL.pdf
Mint Wireless is not really a distributor in the way we think here in the US. In the context of their relationship with Microvision, they may act like a sales agency [very common practice in the Asia-Pacific region] working off a small percentage commission like 3% to 5%.
Their mission is more like helping Microvision [as an agency] open the doors to OEMs and help book sales. One such door they have opened for Microvision is Uniden. Mint Wireless also buys product for its own account and certainly does issue a PO in its own name. If you look at their size [in terms of revenues] they are only $12 million dollars from the Australia/New Zealand region. However, with Uniden contract in hand and working as agents for Microvision, they hope to bring-in high margin revenue with little cost exposure.
• Now let’s move on to the next part of the statement…
“Microvision has signed several marketing and distribution agreements with international distributors in Asia and Europe to launch Microvision branded and private labeled versions of the laser pico projector.”
This clearly tells me, without a doubt, that there will be more regions in the world, like Europe and the Americas, which will be opened in the near future. I expect to hear, on a monthly basis, the names of more global consumer electronics OEMs for white labeled products and regional distributors for Microvision's branded products.
• Now back to the first part of the statement one more time…
“The Company plans to distribute its accessory pico projector product through three sales channels: … and Microvision direct sales through its on-line store.”
That tells me, we should soon see an on-line Microvision store selling Microvision brand laser PicoP projectors… including the SHOWwx and its derivatives.
I hope that helps, to clarify the way business is being done and who the household name players are in the Asia-Pacific region.
Not only that, I hope this post has helped you clear-up the marketing and distribution strategy that has been adopted by Microvision for its stand alone accessory PicoP projector SHOWwx.
Stay tuned for Part 2 to this post… which would cover the green laser supply issue as part of the post titled: Microvision: 3rd Qtr Earnings Conference Call – October 22nd, 2009.
The journey to “Image by PicoP” ubiquity has just begun… and we are on the roll.
As Matt Nichols from Microvision said…
“Mint Wireless and Uniden Start the Ball Rolling”
It’s a roll… meaning a little push is all it takes to continue gathering momentum.
Be part of this momentous journey and not just watch the caravan pass you by.
Anant Goel
http://www.wealthbyoptions.com/
However, early in the morning of October 22nd, Reuters issued the following news item…
Mint Wireless Limited Signs Distribution Agreement With Microvision Inc.; Receives Initial Order From Uniden Corporation
Thursday, 22 Oct 2009 03:40am EDT
“Mint Wireless Limited announced the signing of an exclusive distribution agreement with Microvision Inc. (Microvision) to distribute a PicoP display engine enabled accessory pocket projector to select Asia Pacific countries. This agreement follows Mint Wireless Limited’s recently announced strategic partnership and supply agreement with Uniden Corporation (Uniden), where Mint Wireless Limited is the exclusive supply partner for a select range of technology products to Uniden’s Australian and New Zealand markets. Mint Wireless Limited has received an initial purchase order from Uniden for an OEM version of Microvision’s pocket projector and will manage the supply, marketing and distribution of the Uniden OEM pocket projector for the Australian and New Zealand markets.
*****
Here’s the link to this news…http://www.reuters.com/finance/stocks/keyDevelopments?rpc=66&symbol=MVIS.O×tamp=20091022074000
Immediately after the Reuter news, Matt Nichols had the following post at Microvision’s blog The Displayland…
Mint Wireless And Uniden Start The Ball Rolling
“As our launch partners begin their own marketing programs we stated previously that they would initiate their own communications announcements to reveal their name. The first announcement from a partner just showed up on the Australian Stock Exchange newswire at 6:39 p.m., Sydney time, October 22.
Microvision’s Asian distribution partner, Mint Technology, through its parent company Mint Wireless Limited (ASX: MNW), issued the following press release revealing that the global OEM that will private label Microvision’s laser pico projector is Uniden Corporation of Japan.”
Continued…
Here’s the link to the full post…
http://www.microvision.com/displayground/?p=1198
So there you have it... the names of Asia-Pacific region distributor and the global consumer electronics OEM... for Microvision's laser PicoP projector SHOWwx.
Microvision’s Asia-Pacific region distributor is Mint Wireless and the global consumer electronics OEM is Uniden Corporation.
Obviously the Microvision investors didn’t like the names in the news and the stock price plunged to $4.66 early in the morning to make the low of the day [from $5.28] and closed the day at $5.07. Then at the conference call, after the market close, Alex Tokman, CEO of Microvision, decidedly tried to dodge the questions regarding green laser supply from Corning. I don’t think the investors liked the [wishy-washy] answers to green laser supply issue either. And that, in my opinion, set the stage for further decline in MVIS stock price that came about the next day on Friday… when the stock went down further and closed the day at $4.39.
The stock price action before and after the conference call [CC] is not surprising when you consider…
• Many MVIS investors were expecting global consumer electronics firms like Sony or LG Electronics as the OEM partner of Microvision that was announced on October 8th, 2009… without naming any names at the time. Many of us and that include me, speculated on the OEM partner’s name and wrote pages to arrive at the conclusion that it could be either Sony or LG Electronics. When we finally heard the name “Uniden Corporation”, we were disappointed… because most of us are not familiar with Uniden as a household name in the US.
• Also the undisclosed name, of the Asian distributor [from October 8th press release], was finally disclosed as “Mint Wireless” at the same time the OEM’s name "Uniden" became a public knowledge. Again, some of us were disappointed because we were expecting some big name global distributor… and not some company named “Mint” from Asia.
• At the conference call, several times the same question about “quantities of green laser” supply from Corning was asked and Alex Tokman answered it in the same vague manner [more or less]… its hard to say and that he wasn’t sure. We all know how important the green laser supply quantities are to the successful launch of Microvision’s first laser PicoP projector SHOWwx. So, it is not surprising that each and every individual participating in the Q&A session asked the same question [in different ways]… about the quantities of green lasers that would be available to Microvision in 2009 and 2010.
Here’s the link to the transcript of 3rd Qtr conference call…
http://www.mvisbuzz.com/2009/10/conference-call-notes.html
• At one point during the Q&A session, the Analyst from Morgan Stanley took a dig at Alex Tokman when he said: “At some point you're going to have to give the analyst community something to feed on and do their reports. I'm looking forward to that day.”
• For a few years now, I've been watching the investor anticipation and high hopes leading into quarterly conference calls only to feel let down after each event. It looks like that the analysts have also caught on and don't much partake in Q&A sessions anymore…as they don’t seem to get what they are looking for information on supply quantities of green lasers at this stage of product launch and Microvision's sales channel growth.
Considering the above, a first blush knee jerk action best describes the investor response to the news… about Mint Wireless and Uniden… and lack clear understanding of comments made by Alex Tokman, on green laser supplies for 2009 and 2010.
In my humble opinion, the investor selling on the news is reactionary; because of lack of information about the two big name companies from the Asia-Pacific region. Let’s first talk about Mint Wireless and Uniden, and then we will discuss the lack of understanding the comments on green laser supply issue. The price of MVIS stock will take care of itself when we are better informed and had some time to digest the information.
Here we go…
• Microvision has clearly stated their distribution strategy as…
“The Company plans to distribute its accessory pico projector product through three sales channels: OEM branded products, Microvision branded products sold through international distributors and Microvision direct sales through its on-line store. Microvision has signed several marketing and distribution agreements with international distributors in Asia and Europe to launch Microvision branded and private labeled versions of the laser pico projector. Microvision expects to begin product shipments in the next several weeks.”
Here’s the link to the press release…
http://finance.yahoo.com/news/Microvision-Announces-bw-2654236991.html?x=0&.v=1
• First, note the statement…
“… three sales channels: OEM branded products, Microvision branded products sold through international distributors and Microvision direct sales through its on-line store.”
That clearly means, we should see several OEM partners worldwide branding Microvision products… a white label sale where the OEM puts their Logo and does its own marketing, sales, and support. The first market that Microvision has opened is the Asia-Pacific region. And the first OEM in the Asia-Pacific region is Uniden Corporation for example. Uniden is a global consumer electronics OEM with over $40 billion in sales and is a household name in the Asia-Pacific region. Not only that, Uniden has extensive reach and depth in other global markets like Europe and the Americas… including the US. But their engagement in this specific instance, is for the Asia-Pacific region... and they came to the table through Mint Wireless as the Asian distributor/sales agent.
Consider this...
I bought my Uniden cordless phone system, here in the US, in 2007 from Costco... after having done some research looking for best of the breed. In the Asia-Pacific region, my friends and family tell me that Uniden is a very well known and respected brand name. Microvision has done well teaming-up with Uniden as its first global consumer electronics OEM. Granted, they are not Sony or LG Electronics... but that may happen soon after when green laser supply picture changes.
Here’s more information on Uniden and some well known competition…
Uniden Corporation
http://wrightreports.ecnext.com/coms2/re...
Motorola, Inc.
http://wrightreports.ecnext.com/comsite5...
Nokia Corporation
http://wrightreports.ecnext.com/comsite5...
For those who may not know, Uniden is a pioneer of many electronic gadgets brought to the market…
o 1st to manufacture a cordless phoneUniden is the world's largest manufacturer of wireless communication products and the world's leading cordless phone manufacturer.
o 1st to offer voice scramble security
o 1st to introduce selectable channels
o 1st to introduce caller identification
o 1st to introduce a completely digital phone & digital answering machine
o 1st to introduce a 900 MHz analogue cordless phone into Australia.
o 1st to introduce 5.8 GHz Digital Spread Spectrum cordless phones into Australia
o 1st to introduce Wideband DECT Technology into Australia
o 1st to introduce 3D Mapping into Car Navigation for Australia
o 1st to introduce XDECT Technology into Australia.
• Now look at the statement again…
“… three sales channels: OEM branded products, Microvision branded products sold through international distributors and Microvision direct sales through its on-line store.”
That clearly means we should see several international distributors worldwide selling branded products with Microvision Logo and the distributor doing the marketing, sales, and support. The first market that Microvision has opened for its branded product is the Asia-Pacific region. And the first distributor in the Asia-Pacific region is Mint Wireless for example. Mint Wireless is a well know distributor of consumer electronics products in the Asia-Pacific region.
Here’s information on Mint Wireless and also the distribution agreement with Microvision…
“Mint Wireless Limited (http://www.mnw.com.au/) is an ASX listed technology company focused on providing mobile payment solutions (http://www.mint-wireless.com/) and the development and management of consumer technology products and services. Mint is a developer and leading distributor of innovative consumer technology products to many of Australia and New Zealand’s largest retailers and online e-tailers.”
Here’s the link to the agreement with Microvision…
http://www.mnw.com.au/images/ASX%20Announcement/20091022_Mint_signsexclusivedistribution_agreementwithMicrovisionandreceivesinitialorderfromUnidenFINAL.pdf
Mint Wireless is not really a distributor in the way we think here in the US. In the context of their relationship with Microvision, they may act like a sales agency [very common practice in the Asia-Pacific region] working off a small percentage commission like 3% to 5%.
Their mission is more like helping Microvision [as an agency] open the doors to OEMs and help book sales. One such door they have opened for Microvision is Uniden. Mint Wireless also buys product for its own account and certainly does issue a PO in its own name. If you look at their size [in terms of revenues] they are only $12 million dollars from the Australia/New Zealand region. However, with Uniden contract in hand and working as agents for Microvision, they hope to bring-in high margin revenue with little cost exposure.
• Now let’s move on to the next part of the statement…
“Microvision has signed several marketing and distribution agreements with international distributors in Asia and Europe to launch Microvision branded and private labeled versions of the laser pico projector.”
This clearly tells me, without a doubt, that there will be more regions in the world, like Europe and the Americas, which will be opened in the near future. I expect to hear, on a monthly basis, the names of more global consumer electronics OEMs for white labeled products and regional distributors for Microvision's branded products.
• Now back to the first part of the statement one more time…
“The Company plans to distribute its accessory pico projector product through three sales channels: … and Microvision direct sales through its on-line store.”
That tells me, we should soon see an on-line Microvision store selling Microvision brand laser PicoP projectors… including the SHOWwx and its derivatives.
I hope that helps, to clarify the way business is being done and who the household name players are in the Asia-Pacific region.
Not only that, I hope this post has helped you clear-up the marketing and distribution strategy that has been adopted by Microvision for its stand alone accessory PicoP projector SHOWwx.
Stay tuned for Part 2 to this post… which would cover the green laser supply issue as part of the post titled: Microvision: 3rd Qtr Earnings Conference Call – October 22nd, 2009.
The journey to “Image by PicoP” ubiquity has just begun… and we are on the roll.
As Matt Nichols from Microvision said…
“Mint Wireless and Uniden Start the Ball Rolling”
It’s a roll… meaning a little push is all it takes to continue gathering momentum.
Be part of this momentous journey and not just watch the caravan pass you by.
Anant Goel
http://www.wealthbyoptions.com/
Wednesday, October 21, 2009
Microvision: Pure Play on Green Laser & PicoP Projector Technology
In 2004, excluding diode lasers, approximately 131,000 lasers were sold worldwide, with a value of $2.19 billion. In the same year, approximately 733 million diode lasers, valued at $3.20 billion, were sold.
The broad based laser technology and its applications in so many industries are growing nicely. However, the green laser [diode laser] are the next hot technology play because of their potential application in the mega billion consumer Pico projectors [in billions] and Laser TVs [in tens of millions] markets.
Pico projectors are becoming a dime a dozen, with an array of companies, from established players like Optoma to toy maker WowWee, jumping on the bandwagon. Microvision’s SHOWwx is different: This PicoP projector uses laser light sources, which results in a wider color gamut and a picture that’s always in focus. At 4.3 ounces, it easily slips into a shirt pocket and lets road warriors beam nearly everything from photos and videos to PowerPoint slides onto virtually any surface.
Laser based Pico projector have un-disputed technological advantages over the competing DLP [from Texas Instruments] and LcoS [from3M] technology. In the laser based Pico projection market, Microvision is the dominant pure play on green laser, as well as, the Pico projectors for the mega billion dollars market.
It has been hard on the initial investors of Microvision when they purchased on speculation and pushed the MVIS stock to over $63 and then see it plummet down to less than a dollar in March of 2009. It is sad that many original investors of MVIS and the other who saw the huge potential of Pico projectors years ago are not being rewarded for their foresight. But that may change soon as the biggest milestone [the availability of green lasers] has been accomplished in the eventual introduction of laser based Pico projectors to the consumer market.
TI and 3M are both off to market with successful product launches in collaboration with their respective partners. But the market seems to not have embraced their Pico projectors with any enthusiasm. Research shows that initial buyers are few and mostly techies and technologically curious. This is a good sign for Microvision… because the six month [or so] delay in their introduction [in September] of the laser based PicoP projector has not adversely impacted its market position or perception of technology leadership in the Pico projection space. The competition has no technology, business or first to market advantage, so to speak, over Microvision.
Risk of MVIS stock ownership has greatly diminished as the company gains momentum with the recently announced commercial product launch of the world’s first laser PicoP projector. Several other aspects of Microvision’s technology have also advanced forward for the better during the last six months. To name a few advances:
• Pathway to higher lumen brightness for next generation PicoP display engines
• Patents on 3D PicoP projection technology
• R&D progress on High Definition PicoP display engines
• Reduction in power requirements of PicoP display engines
• See-through eyewear moves from helmet to glasses
• Development in PicoP display engine based portable cinema experience
The Corning and Microvision supply agreement under which Corning will supply its G-1000 [and G-2000] green lasers to Microvision accomplished a key milestone with the commercial launch of the world’s fist laser PicoP projector SHOWwx on September 15th, 2009.
As Microvision has become more of a pure green laser play, in addition to the laser PicoP projection technology, a more aggressive investment would be to buy both Microvision [MVIS] and Corning [GLW] stock, which would reflect a stellar upside of a successful green laser and laser based PicoP projection technology.
Eventually the success of green lasers [frequency doubled and the diode laser] will depend on its successful adoption by the PicoP projection market. If you were to look at some of the analyst and media projections, the future for both the green lasers and PicoP display engines looks bright.
Laser based PicoP display engine technology is superior to the technology of the early movers into the market… like TI with DLP/LED technology… 3M with LcoS/LED technology.
As someone from the media said…
“Pico projectors are becoming a dime a dozen, with an array of companies, from established players like Optoma to toy maker WowWee, jumping on the bandwagon. Microvision’s SHOWwx (priced between $400 and $500) is different: This Pico uses laser light sources, which results in a wider color gamut and a picture that’s always in focus. At 4.3 ounces, it easily slips into a shirt pocket and lets road warriors beam nearly everything from photos and videos to PowerPoint slides onto virtually any surface.”
Indeed, size isn’t everything. Ian Brown, vice president of sales and marketing for Microvision, said it is Microvision’s ease of use that will make it stand out in the growing Pico projector category.
“Anyone can create a product, but the question is if the experience delights users,” Brown said.
Anant Goel
http://www.wealthbyoptions.com/
The broad based laser technology and its applications in so many industries are growing nicely. However, the green laser [diode laser] are the next hot technology play because of their potential application in the mega billion consumer Pico projectors [in billions] and Laser TVs [in tens of millions] markets.
Pico projectors are becoming a dime a dozen, with an array of companies, from established players like Optoma to toy maker WowWee, jumping on the bandwagon. Microvision’s SHOWwx is different: This PicoP projector uses laser light sources, which results in a wider color gamut and a picture that’s always in focus. At 4.3 ounces, it easily slips into a shirt pocket and lets road warriors beam nearly everything from photos and videos to PowerPoint slides onto virtually any surface.
Laser based Pico projector have un-disputed technological advantages over the competing DLP [from Texas Instruments] and LcoS [from3M] technology. In the laser based Pico projection market, Microvision is the dominant pure play on green laser, as well as, the Pico projectors for the mega billion dollars market.
It has been hard on the initial investors of Microvision when they purchased on speculation and pushed the MVIS stock to over $63 and then see it plummet down to less than a dollar in March of 2009. It is sad that many original investors of MVIS and the other who saw the huge potential of Pico projectors years ago are not being rewarded for their foresight. But that may change soon as the biggest milestone [the availability of green lasers] has been accomplished in the eventual introduction of laser based Pico projectors to the consumer market.
TI and 3M are both off to market with successful product launches in collaboration with their respective partners. But the market seems to not have embraced their Pico projectors with any enthusiasm. Research shows that initial buyers are few and mostly techies and technologically curious. This is a good sign for Microvision… because the six month [or so] delay in their introduction [in September] of the laser based PicoP projector has not adversely impacted its market position or perception of technology leadership in the Pico projection space. The competition has no technology, business or first to market advantage, so to speak, over Microvision.
Risk of MVIS stock ownership has greatly diminished as the company gains momentum with the recently announced commercial product launch of the world’s first laser PicoP projector. Several other aspects of Microvision’s technology have also advanced forward for the better during the last six months. To name a few advances:
• Pathway to higher lumen brightness for next generation PicoP display engines
• Patents on 3D PicoP projection technology
• R&D progress on High Definition PicoP display engines
• Reduction in power requirements of PicoP display engines
• See-through eyewear moves from helmet to glasses
• Development in PicoP display engine based portable cinema experience
The Corning and Microvision supply agreement under which Corning will supply its G-1000 [and G-2000] green lasers to Microvision accomplished a key milestone with the commercial launch of the world’s fist laser PicoP projector SHOWwx on September 15th, 2009.
As Microvision has become more of a pure green laser play, in addition to the laser PicoP projection technology, a more aggressive investment would be to buy both Microvision [MVIS] and Corning [GLW] stock, which would reflect a stellar upside of a successful green laser and laser based PicoP projection technology.
Eventually the success of green lasers [frequency doubled and the diode laser] will depend on its successful adoption by the PicoP projection market. If you were to look at some of the analyst and media projections, the future for both the green lasers and PicoP display engines looks bright.
Laser based PicoP display engine technology is superior to the technology of the early movers into the market… like TI with DLP/LED technology… 3M with LcoS/LED technology.
As someone from the media said…
“Pico projectors are becoming a dime a dozen, with an array of companies, from established players like Optoma to toy maker WowWee, jumping on the bandwagon. Microvision’s SHOWwx (priced between $400 and $500) is different: This Pico uses laser light sources, which results in a wider color gamut and a picture that’s always in focus. At 4.3 ounces, it easily slips into a shirt pocket and lets road warriors beam nearly everything from photos and videos to PowerPoint slides onto virtually any surface.”
Indeed, size isn’t everything. Ian Brown, vice president of sales and marketing for Microvision, said it is Microvision’s ease of use that will make it stand out in the growing Pico projector category.
“Anyone can create a product, but the question is if the experience delights users,” Brown said.
Anant Goel
http://www.wealthbyoptions.com/
Tuesday, October 20, 2009
Microvision: Take Over Target (Part 2)
Someone asked the obvious question: "What if a company does make an offer?"
Well, here's what I think...
If a company makes an offer and Microvision management turns it down then they [the suitor] have the option of going directly to the shareholders and try to get them to agree to a PPS rejected by the management. At that time, management would make their case to the shareholders why the takeover offer is too low and that there is more value to remaining independent.
If we can make a case on the back of a napkin for $100 per share in next 5 years, then I am sure a Six Sigma Master Black Belt CEO of Microvision can do the same. The current management team did not come to Microvision to preside over the sale just as they are about to achieve commercial success.
Here are some back-of-the-napkin CONSERVATIVE figures…
Five years from now in 2014, the stock could easily trade in the $300 to $400 range. Here’s the projection…
• Worldwide Market Size: 2 billion units [cell phones, laptops, smartphones, camcorders, digital cameras, mobile TV/Projectors, etc.]
• Worldwide Market Size: 1 billion units [wearable displays]
• Market Adoption Rate: 10%... 300 million units
• Microvision Market share: 15% of 300 million units… 45 million units
• OEM price: $90 per PicoP display engine
• Revenue: $4 billion
• Net Profit Margin: 40%
• Net Profit: $1.6 billion
• EBITDA: Earnings Before Interest, Tax, Depreciation and Amortization: $1.55 billion [with operating expenses at $50 million]
• Interest Expense: $0 million
• Interest Income: $20 million
• Tax: $120million
• Depreciation: non cash and very small
• Amortization: non cash and very small
• Net Operating Income: $1.5 billion
• Earning Per Share: $16.60 on a fully diluted basis [90 million shares]
• Price Earning Ratio: 30 for a hyper growth company
• Price Per Share: $500 per share approximately
In my book, the Risk is insignificant [may be 3% per year in lost opportunity] as compared to the potential of making 100 times your money in the next 5 years.
A standard way to value a company, or any investment, is the Dividend Discount approach. Other closely related approaches are: Discounted Cash Flow, Free Cash Flow, and Economic Value Added (EVA), a trademark of Stern & Stewart. To use any of these methods, the analyst projects future payoffs to the investor, then discounts these payoffs to their present value.
No matter what approach you choose, you still have a hyper growth company that is worth at least high double digit PPS in today’s value.
As someone said…
“This is a $100 stock in a $5.28 wrapper.”
The competition knows that.
Anant Goel
http://www.wealthbyoptions.com/
Well, here's what I think...
If a company makes an offer and Microvision management turns it down then they [the suitor] have the option of going directly to the shareholders and try to get them to agree to a PPS rejected by the management. At that time, management would make their case to the shareholders why the takeover offer is too low and that there is more value to remaining independent.
If we can make a case on the back of a napkin for $100 per share in next 5 years, then I am sure a Six Sigma Master Black Belt CEO of Microvision can do the same. The current management team did not come to Microvision to preside over the sale just as they are about to achieve commercial success.
Here are some back-of-the-napkin CONSERVATIVE figures…
Five years from now in 2014, the stock could easily trade in the $300 to $400 range. Here’s the projection…
• Worldwide Market Size: 2 billion units [cell phones, laptops, smartphones, camcorders, digital cameras, mobile TV/Projectors, etc.]
• Worldwide Market Size: 1 billion units [wearable displays]
• Market Adoption Rate: 10%... 300 million units
• Microvision Market share: 15% of 300 million units… 45 million units
• OEM price: $90 per PicoP display engine
• Revenue: $4 billion
• Net Profit Margin: 40%
• Net Profit: $1.6 billion
• EBITDA: Earnings Before Interest, Tax, Depreciation and Amortization: $1.55 billion [with operating expenses at $50 million]
• Interest Expense: $0 million
• Interest Income: $20 million
• Tax: $120million
• Depreciation: non cash and very small
• Amortization: non cash and very small
• Net Operating Income: $1.5 billion
• Earning Per Share: $16.60 on a fully diluted basis [90 million shares]
• Price Earning Ratio: 30 for a hyper growth company
• Price Per Share: $500 per share approximately
In my book, the Risk is insignificant [may be 3% per year in lost opportunity] as compared to the potential of making 100 times your money in the next 5 years.
A standard way to value a company, or any investment, is the Dividend Discount approach. Other closely related approaches are: Discounted Cash Flow, Free Cash Flow, and Economic Value Added (EVA), a trademark of Stern & Stewart. To use any of these methods, the analyst projects future payoffs to the investor, then discounts these payoffs to their present value.
No matter what approach you choose, you still have a hyper growth company that is worth at least high double digit PPS in today’s value.
As someone said…
“This is a $100 stock in a $5.28 wrapper.”
The competition knows that.
Anant Goel
http://www.wealthbyoptions.com/
Microvision: Take Over Target (Part 1)
This is a subject that I bring-up from time to time… because it is in the realm of possibilities for any company that has a superior product in a huge market, the size of what’s out there for a quality PicoP display engines.
So, here we go with our musing two days before the 3rd Qtr conference call that was announced this morning and is set for Thursday after the market close… on October 22nd, 2009.
There are possibly four companies that could greatly benefit from the "buyout" of Microvision at such humbled stock prices like $5.48 today. The reason I say “humbled” is because a few years ago, in the year 2000, Microvision stock [NASDAQ: MVIS] traded as high as $63 dollars. Of course you could argue that it’s the “market cap” that counts and not just the share price. You are right, and we will let you use that when you come to the table to negotiate the price.
With so much money now freed-up in the financial markets [at so low interest rates] it is tempting for the established [large] companies to gobble –up small competitors that threaten their turf. And Microvision is a major threat for sure to those that came to the Pico projection market with inferior technology that consumer has more or less ignored.
Here’s the line-up of potential suitors, some gentlemanly and the others not…
TEXAS INSTRUMENTS (TI):
TI has finally realized that the scaled-down DLP [Pico projector] still runs too hot, is noisy, requires huge power, is way too big for the small screen size, requires constant manual focus and is too expensive to make. TI sells their DLP chip [for the classic DLP projectors] for close to a thousand dollar. No matter how much cheaper they make their scaled down DLP chip [or sell for lower margins] the cost will still be over a hundred dollars. Not only that, TI will be cannibalizing their classic DLP projector chip, in one form or the other, to capture the Pico projector market from the likes of Microvision [with a much cheaper 2D MEMS and laser based technology].
TI and its technology partners will bring a LED/DLP based Pico projector and compete in the standalone market. However, there will always be the issue of "manual focus", "image size", “power consumption”, “unit size” and "image quality". And these issues become very significant when you consider the embedded market for cell phones and smartphones.
In the long run, TI will find it cheaper to [hostile] takeover Microvision rather than let-go the most profitable and huge Pico projector market and also risk the loss of revenue stream from their classic DLP chips. Over time, I would think much of everything done by a DLP chip could be done with a PicoP derivative. Would TI sit on their hands while their DLP cash cow suffered massive market share erosion to PicoP?
No way!!!
MOTOROLA (MOT):
On the other hand you have MOT desperate for new technology to jump start their handset business. Especially now, with the spin-off of the handset division still on the books, I am sure MOT [or the new buyer in the future] would love to have the PicoP display engine business to themselves and be the gate keeper to the embedded Pico projector market.
Please note…
[On March 26, 2008, Motorola's board of directors approved a split into two different publicly traded companies. This came after talk of selling the handset division to another corporation. These new companies would comprise the business units of the current Motorola Mobile Devices and Motorola Broadband & Mobility Solutions. Originally it was expected that this action would be approved by regulatory bodies and complete by mid-2009, but the split has since been indefinitely delayed due to company restructuring problems and the 2008-2009 extreme economic downturn.]
But what about Nokia, Sony and the other cell phone OEMs? Would they get in the bidding if PicoP became the defacto standard for the embedded market? If I am the CEO at Nokia, I don't want to be writing checks to MOT [or the new buyer] for huge quantities of PicoP display engines?
CORNING (GLW):
There are some speculations about Corning as the potential buyer of Microvision.
The idea is not far-fetched. However, it is unlikely. Corning is not in the habit of getting involved with an army of supply chain vendors of components and services and manufacturing OEMs infrastructure. Corning does well with what they do… because they run a tight ship and control quality thru vertical integration.
But, who knows? Strange things happen in the technology-land these days!!!
APPLE (AAPL):
Apple has to maintain a healthy double digit growth rate to even think about maintaining their $170B market valuation. If they are the brilliant innovators of [consumer] tech then they already know that the projection of video content is the future. Microvision’s PicoP projector will be a disruptive addition to the personal electronics industry within the next year or two. Right now its eye candy to implement a projector into an iPod or an iPhone since it requires add-on attachments to actually make it work; you might as well buy a micro projector.
But I must say that the embedded version of the PicoP is definitely an innovative technology and that’s what Apple usually wants. Apple [and Steve Jobs] tends to want and see what consumers want, then refine it and make it desirable to have. My best guess is that Apple won’t incorporate projectors into iPods [and iPhones] for at least for a while. When the PicoP technology develops more and proves to be a little more portable, Apple may just step in.
Apple has over $30B in cash under Steve Jobs and he is known to lock-up the “best” technology and make it his own… especially when such a technology like PicoP projectors can make his star performers [iPod and iPhone] a second rate product… because of lack of incorporating an obvious innovation to its mobile product line. It may take a year or two, but it will happen… in some way or form. One thing’s for sure though, Apple knows what they’re doing in the interest of their customers.
But the stakes are huge for a number of companies [like Sony, Nokia, Epson, Samsung, LG Electronics, etc.], so it is going to be very interesting to see how this plays out.
Here’s the latest update to Microvision news that is sure to stir-up the bees hive abuzz…
After three years of hard work, anxious wait for green lasers and sweating it each passing day, and 115 issued patents later, the world’s first laser based PicoP projector was commercially launched on September 15th, 2009.
Not only that, another announcement was made [on 10/8/2009] of a major OEM purchase order as a major milestone accomplished in the history of Microvision. The stakeholders of Microvision [investors, partners and consumers] can finally take comfort in this announcement as a milestone that…
“…validates the performance and quality of our first laser projector offering. On the heels of announcing our first shipments of the SHOWwx laser pico projector, and receiving the purchase order from an international distributor, this is another significant milestone in our go-to-market strategy.” ... Alex Tokman, CEO of Microvision.
We are truly at the turning point in the history of Microvision, that some may call the “validation” phase. Because, that’s what the commercial release and the two purchase orders from global consumer electronic OEMs represent as …
• Validation of Microvision’s laser based PicoP display engine technology, its quality, its reliability, and a viable commercial fabrication & production milestone.
• Validation of performance and quality of PicoP display engine at the core of the world’s first laser based PicoP projector SHOWwx.
• Validation of Corning's green laser technology, its reliability, and a viable commercial fabrication & production milestone.
• Validation of technical and performance superiority of laser based PicoP projector as compared to other two technologies on the market… DLP/LED from Texas Instruments and LcoS/LED from 3M.
By the end of 4th quarter this year, we will have much more visibility and better indication of where Microvision is headed.
Here’s the link to Microvision’s best…
http://www.microvision.com/displayground/
[Click on “New ways to see” post]
http://www.microvision.com/displayground/?m=200908
In closing, I must emphasize one more point…
“Aside from Pico projectors, so far, no new “must have” gadget has appeared, unlike previous years when devices like Sony Corp's PlayStation 3; Nintendo's Wii; or Sirius satellite radios and myriad of digital cameras were launched to woo the electronic gadget shoppers.”
"Smartphones are the exception to the above statement. However, smartphones are all about features… and what’s more desirable, as a feature in a smartphone, than a quality PicoP projector as an accessory or as built-in."
Well, the pot of honey has been sighted and I’m sure there’s a “Bear” lurking in the PicoP jungle.
Stay tuned and we will keep a “watch-on” for you.
Anant Goel
http://www.wealthbyoptions.com/
So, here we go with our musing two days before the 3rd Qtr conference call that was announced this morning and is set for Thursday after the market close… on October 22nd, 2009.
There are possibly four companies that could greatly benefit from the "buyout" of Microvision at such humbled stock prices like $5.48 today. The reason I say “humbled” is because a few years ago, in the year 2000, Microvision stock [NASDAQ: MVIS] traded as high as $63 dollars. Of course you could argue that it’s the “market cap” that counts and not just the share price. You are right, and we will let you use that when you come to the table to negotiate the price.
With so much money now freed-up in the financial markets [at so low interest rates] it is tempting for the established [large] companies to gobble –up small competitors that threaten their turf. And Microvision is a major threat for sure to those that came to the Pico projection market with inferior technology that consumer has more or less ignored.
Here’s the line-up of potential suitors, some gentlemanly and the others not…
TEXAS INSTRUMENTS (TI):
TI has finally realized that the scaled-down DLP [Pico projector] still runs too hot, is noisy, requires huge power, is way too big for the small screen size, requires constant manual focus and is too expensive to make. TI sells their DLP chip [for the classic DLP projectors] for close to a thousand dollar. No matter how much cheaper they make their scaled down DLP chip [or sell for lower margins] the cost will still be over a hundred dollars. Not only that, TI will be cannibalizing their classic DLP projector chip, in one form or the other, to capture the Pico projector market from the likes of Microvision [with a much cheaper 2D MEMS and laser based technology].
TI and its technology partners will bring a LED/DLP based Pico projector and compete in the standalone market. However, there will always be the issue of "manual focus", "image size", “power consumption”, “unit size” and "image quality". And these issues become very significant when you consider the embedded market for cell phones and smartphones.
In the long run, TI will find it cheaper to [hostile] takeover Microvision rather than let-go the most profitable and huge Pico projector market and also risk the loss of revenue stream from their classic DLP chips. Over time, I would think much of everything done by a DLP chip could be done with a PicoP derivative. Would TI sit on their hands while their DLP cash cow suffered massive market share erosion to PicoP?
No way!!!
MOTOROLA (MOT):
On the other hand you have MOT desperate for new technology to jump start their handset business. Especially now, with the spin-off of the handset division still on the books, I am sure MOT [or the new buyer in the future] would love to have the PicoP display engine business to themselves and be the gate keeper to the embedded Pico projector market.
Please note…
[On March 26, 2008, Motorola's board of directors approved a split into two different publicly traded companies. This came after talk of selling the handset division to another corporation. These new companies would comprise the business units of the current Motorola Mobile Devices and Motorola Broadband & Mobility Solutions. Originally it was expected that this action would be approved by regulatory bodies and complete by mid-2009, but the split has since been indefinitely delayed due to company restructuring problems and the 2008-2009 extreme economic downturn.]
But what about Nokia, Sony and the other cell phone OEMs? Would they get in the bidding if PicoP became the defacto standard for the embedded market? If I am the CEO at Nokia, I don't want to be writing checks to MOT [or the new buyer] for huge quantities of PicoP display engines?
CORNING (GLW):
There are some speculations about Corning as the potential buyer of Microvision.
The idea is not far-fetched. However, it is unlikely. Corning is not in the habit of getting involved with an army of supply chain vendors of components and services and manufacturing OEMs infrastructure. Corning does well with what they do… because they run a tight ship and control quality thru vertical integration.
But, who knows? Strange things happen in the technology-land these days!!!
APPLE (AAPL):
Apple has to maintain a healthy double digit growth rate to even think about maintaining their $170B market valuation. If they are the brilliant innovators of [consumer] tech then they already know that the projection of video content is the future. Microvision’s PicoP projector will be a disruptive addition to the personal electronics industry within the next year or two. Right now its eye candy to implement a projector into an iPod or an iPhone since it requires add-on attachments to actually make it work; you might as well buy a micro projector.
But I must say that the embedded version of the PicoP is definitely an innovative technology and that’s what Apple usually wants. Apple [and Steve Jobs] tends to want and see what consumers want, then refine it and make it desirable to have. My best guess is that Apple won’t incorporate projectors into iPods [and iPhones] for at least for a while. When the PicoP technology develops more and proves to be a little more portable, Apple may just step in.
Apple has over $30B in cash under Steve Jobs and he is known to lock-up the “best” technology and make it his own… especially when such a technology like PicoP projectors can make his star performers [iPod and iPhone] a second rate product… because of lack of incorporating an obvious innovation to its mobile product line. It may take a year or two, but it will happen… in some way or form. One thing’s for sure though, Apple knows what they’re doing in the interest of their customers.
But the stakes are huge for a number of companies [like Sony, Nokia, Epson, Samsung, LG Electronics, etc.], so it is going to be very interesting to see how this plays out.
Here’s the latest update to Microvision news that is sure to stir-up the bees hive abuzz…
After three years of hard work, anxious wait for green lasers and sweating it each passing day, and 115 issued patents later, the world’s first laser based PicoP projector was commercially launched on September 15th, 2009.
Not only that, another announcement was made [on 10/8/2009] of a major OEM purchase order as a major milestone accomplished in the history of Microvision. The stakeholders of Microvision [investors, partners and consumers] can finally take comfort in this announcement as a milestone that…
“…validates the performance and quality of our first laser projector offering. On the heels of announcing our first shipments of the SHOWwx laser pico projector, and receiving the purchase order from an international distributor, this is another significant milestone in our go-to-market strategy.” ... Alex Tokman, CEO of Microvision.
We are truly at the turning point in the history of Microvision, that some may call the “validation” phase. Because, that’s what the commercial release and the two purchase orders from global consumer electronic OEMs represent as …
• Validation of Microvision’s laser based PicoP display engine technology, its quality, its reliability, and a viable commercial fabrication & production milestone.
• Validation of performance and quality of PicoP display engine at the core of the world’s first laser based PicoP projector SHOWwx.
• Validation of Corning's green laser technology, its reliability, and a viable commercial fabrication & production milestone.
• Validation of technical and performance superiority of laser based PicoP projector as compared to other two technologies on the market… DLP/LED from Texas Instruments and LcoS/LED from 3M.
By the end of 4th quarter this year, we will have much more visibility and better indication of where Microvision is headed.
Here’s the link to Microvision’s best…
http://www.microvision.com/displayground/
[Click on “New ways to see” post]
http://www.microvision.com/displayground/?m=200908
In closing, I must emphasize one more point…
“Aside from Pico projectors, so far, no new “must have” gadget has appeared, unlike previous years when devices like Sony Corp's PlayStation 3; Nintendo's Wii; or Sirius satellite radios and myriad of digital cameras were launched to woo the electronic gadget shoppers.”
"Smartphones are the exception to the above statement. However, smartphones are all about features… and what’s more desirable, as a feature in a smartphone, than a quality PicoP projector as an accessory or as built-in."
Well, the pot of honey has been sighted and I’m sure there’s a “Bear” lurking in the PicoP jungle.
Stay tuned and we will keep a “watch-on” for you.
Anant Goel
http://www.wealthbyoptions.com/
Monday, October 19, 2009
Microvision: Opportunity of a Lifetime… in our Lifetime (Part 4)
The cost of missing out can be greater than the cost of messing up.
“The opportunity of a lifetime must be seized in the lifetime of the opportunity.”
…Leonard Ravenhill
Here’s the REASON #4… to not let this opportunity pass you by and why you should quickly reposition your assets now…
REASON #4
It is my belief that in the coming short years, all sorts of video devices and services will dominate our communications world.
Here’s why…
Research shows that we humans prefer video communication over any other forms of communications. The reason cited is that retina is actually a piece of the brain that has grown into the eye and processes neural signals when it detects light.
What does this mean, in simple terms, to us humans… specifically for our preference for visual over any other forms of communications like sound, smell and touch? Well, this may be because our brain [in the retina] receives information first and processes it before that received from other channels [like audio, smell or touch].
May be this “brain in the retina” explains why survey after survey, the research points to our preference for “Video” over “Widgets”. Recent research survey from CES 2009 enforces the belief that “Video will continue to be the preferred means of all human communications”.
Now, let’s take it a step further and gather some information from real life consumers that are user of communications products… to establish their preferences and requirements:
• Video vs. Other Forms of Communications: Research has shown that users prefer video communication over other forms of communication [sound, smell, touch] and video will continue to be the preferred means of all human communications.
• Users Preference for Image Quality: Research has shown that users prefer wide screen, high definition, 2D/3D video with fast refresh [without motion blur] and always in focus images for all forms of video [static, streaming, and broadcast] communications.
• User Preference for Mobility: The entire world [users and service providers] is getting into the instant gratification mode and going mobile in all forms of communications and entertainment across the globe.
• Product Features Leading to Technological Convergence: Technological convergence is the tendency for different technological systems to evolve towards performing similar tasks. Today, we are surrounded by a multi-level convergent media world where all modes of communication and information are continually reforming to adapt to the enduring demands of technologies, “changing the way we create, consume, entertain, learn and interact with each other”.
Convergence in this instance is defined as the interlinking of computing and other information technologies, media content and communication networks that have arisen as the result of the evolution and ubiquity of the Internet as well as the activities, products and services that have emerged in the digital media space.
• Customers Requirements: Customers desire all digital/video devices to be low power, low cost, multi-media enabled, multi-tasking, integrated & all inclusive, easy to use, low maintenance, professionally supported and warranty serviced.
• Consumer Defined Shared vs. Private Information: Consumers desire the option [in product models or optional features] or built-in switch able flexibility in these digital/video devices to be able to switch between “shared” vs. “private” mode.
It is my belief that in the coming short years, products and services like the following will flourish…
• Pico Projectors for large Image Experience from Portable Computing and Small Mobile Devices (like laptops, cell phones, smartphones, media players, digital cameras, camcorders, etc.)
• High Definition Lamp and Pico Projectors in Home Theater for Shared Viewing Experience
• Pico Projectors in HD Mobile TV/Projector for shared viewing experience
• Pico Projectors in Mobile TV for private viewing experience…like watching TV in bed for mom and dad… and personal mobile TV/Projector for little Jonny.
• Green PicoP Projector in Mobile TV for shared viewing experience… targeting the third world countries with focus on low energy consumption.
• Display Eyewear
• Augmented Virtual Reality
• 3D and Hologram Images
• Night Vision
• Interactive Video Gaming
• Video on Demand
• Music Videos
• Visual Learning Systems & Simulators
• Video/Audio Transcription
Microvision is in the right place at the right time with the commercial availability of their laser based PicoP display engine developer’s kit [PEK] for use in multitude of above mentioned applications… besides the recently launched world’s first laser PicoP projector code named SHOWwx.
Laser based PicoP display engine specs and features are several notches above the competition… namely:
“always in focus, hi-resolution images, large size images from 12” to 100”, wide projection angle, rich and vivid colors with wider color gamut, small/sleek form factor, short throw ratio, longer battery power, simple plug n play, and movie capable (production version expected 2-3 hour battery life).”
Microvision’s PicoP display engine offers enhanced and superior specs and features compared to what’s considered desirable at this stage of Pico projection development…
• Size: The height or thickness of the projector is its most important characteristic; the technology must be able to be embedded in thin handheld devices. Both height and volume should be minimized. The initial products will have projector engine sizes ranging in height from 7 to 14 mm and in overall volume from 5 to 10 cc.
• Brightness: The brighter the better. Brightness is limited by the available brightness of the light sources, either lasers or LEDs, the optical efficiency of the projector design, and by the need for low-power operation in order to maximize battery life. Initial product offerings will be in the range of 5-10 lumens.
• Image size: In general, the shorter the distance it takes for the projector to produce large images, the better—at least up to a point. A one-to-one distance/image-size ratio (projection angle of 53 degrees) is probably a good target. The first round of products on the market will have projection angles in the range of 30-45 degrees.
• Focus-free operation: Focus-free operation is a very desirable attribute in mobile applications. It is like “point and shoot” in a camera. Unlike typical projectors used in business settings, pico-projectors are designed for mobile use (in other words, the distance from the projector to the image will likely change often).
• Resolution: Resolution can be expected to continue to grow as product technology matures. The wide screen format is generally desirable for viewing video content. Initial product offerings will typically offer resolutions from QVGA (320 x 240) to WVGA (848 x 480).
• Color: Pico-projectors typically use either lasers or red, green and blue LEDs for light sources. In both cases, the result is large color gamut that far exceeds the usual color range experience of TVs, monitors, and conference-room-type projectors. White LEDs used with color filters yield a reduced color gamut.
• Contrast: The higher the better. Just as brightness is a measure of the absolute whiteness of pico- projectors, contrast is the measure of their absolute darkness. Contrast is the dynamic range of a display, making the difference between washed out images and crisp dramatic-looking images.
• Battery life: A starting goal for mobile devices is that they should last for the length of a complete movie. This puts the lower limit at around 1.5 hours.
Laser based Pico display technology is superior to what’s out there right now… DLP by Texas Instruments, LcoS by 3M and FLCOS by Micron Displaytech. The competition believed that green lasers wouldn’t be ready for years and its cost would be excessive. They also had concerns about laser projection “speckle” and laser safety issues. It is for these reasons, in my opinion, that they did not pursue the laser pico display technology path and essentially left the laser PicoP technology to Microvision un-contested.
Microvision on the other hand believed in the green lasers as being the differentiating technology that would make PicoP display engine as superior to LEDs based Pico projection technology… and also as a serious contender, in terms of quality and brightness of images, to the lamp based projection technology.
There were several hic-ups along the way. However, after three years of hard work, anxious wait for green lasers and sweating it each passing day, and 115 issued patents later, the world’s first laser based PicoP projector was commercially launched on September 15th, 2009.
Not only that, another announcement was made [on 10/8/2009] of a major OEM purchase order as a major milestone accomplished in the history of Microvision. The stakeholders of Microvision [investors, partners and consumers] can finally take comfort in this announcement as a milestone that…
“…validates the performance and quality of our first laser projector offering. On the heels of announcing our first shipments of the SHOWwx laser pico projector, and receiving the purchase order from an international distributor, this is another significant milestone in our go-to-market strategy.” ... Alex Tokman, CEO of Microvision.
We are truly at the turning point in the history of Microvision, that some may call the “validation” phase. Because, that’s what the commercial release and the two purchase orders from global consumer electronic OEMs represent as …
• Validation of Microvision’s laser based PicoP display engine technology, its quality, its reliability, and a viable commercial fabrication & production milestone.
• Validation of performance and quality of PicoP display engine at the core of the world’s first laser based PicoP projector SHOWwx.
• Validation of Corning's green laser technology, its reliability, and a viable commercial fabrication & production milestone.
• Validation of technical and performance superiority of laser based PicoP projector as compared to other two technologies on the market… DLP from Texas Instruments and LcoS for 3M.
• Validation of consumer preference for Microvision’s PicoP projector: wide screen, high definition, longer battery life, 2D video with fast refresh without motion blur, small physical size and always in focus images for all of video [static, streaming, and broadcast] communications.
• Validation of acceptable safety standard for laser based PicoP projectors in consumer use and adoption.
• Validation of speckle as a non-issue and as virtually non-existent with Microvision’s laser based PicoP display engine.
• Validation of fundamental design flaws of Microvision competitors: low resolution images, faded colors, short battery runs, longer throw distance, and requiring constant manual focus adjustments.
• Validation of Microvision as a product company rather than just a R&D house with 115 issued patents and with many more on file.
• Validation of global consumer electronic OEMs recognizing laser based PicoP projectors as a viable and superior alternative to DLP, LcoS and FLOCS technology.
• Validation of growing demand for Pico projectors from carriers and content providers on a global basis.
• Validation of consumer demand for quality Pico projectors.
• Validation of growing demand for green lasers and the ensuing competition in green laser product arena.
Microvision is ready as a supplier of laser PicoP projectors to consumers and PicoP display engines to its OEM partners… and offers the best of breed PicoP display technology.
Is Microvision [NASDAQ: MVIS] ready for prime time SHOW time and worthy of your investment dollars… you be the judge?
Stay tuned for REASON #5… as we move forward in our journey to explore “Microvision: Opportunity of a Lifetime… in our Lifetime”
Anant Goel
http://www.wealthbyoptions.com/
“The opportunity of a lifetime must be seized in the lifetime of the opportunity.”
…Leonard Ravenhill
Here’s the REASON #4… to not let this opportunity pass you by and why you should quickly reposition your assets now…
REASON #4
It is my belief that in the coming short years, all sorts of video devices and services will dominate our communications world.
Here’s why…
Research shows that we humans prefer video communication over any other forms of communications. The reason cited is that retina is actually a piece of the brain that has grown into the eye and processes neural signals when it detects light.
What does this mean, in simple terms, to us humans… specifically for our preference for visual over any other forms of communications like sound, smell and touch? Well, this may be because our brain [in the retina] receives information first and processes it before that received from other channels [like audio, smell or touch].
May be this “brain in the retina” explains why survey after survey, the research points to our preference for “Video” over “Widgets”. Recent research survey from CES 2009 enforces the belief that “Video will continue to be the preferred means of all human communications”.
Now, let’s take it a step further and gather some information from real life consumers that are user of communications products… to establish their preferences and requirements:
• Video vs. Other Forms of Communications: Research has shown that users prefer video communication over other forms of communication [sound, smell, touch] and video will continue to be the preferred means of all human communications.
• Users Preference for Image Quality: Research has shown that users prefer wide screen, high definition, 2D/3D video with fast refresh [without motion blur] and always in focus images for all forms of video [static, streaming, and broadcast] communications.
• User Preference for Mobility: The entire world [users and service providers] is getting into the instant gratification mode and going mobile in all forms of communications and entertainment across the globe.
• Product Features Leading to Technological Convergence: Technological convergence is the tendency for different technological systems to evolve towards performing similar tasks. Today, we are surrounded by a multi-level convergent media world where all modes of communication and information are continually reforming to adapt to the enduring demands of technologies, “changing the way we create, consume, entertain, learn and interact with each other”.
Convergence in this instance is defined as the interlinking of computing and other information technologies, media content and communication networks that have arisen as the result of the evolution and ubiquity of the Internet as well as the activities, products and services that have emerged in the digital media space.
• Customers Requirements: Customers desire all digital/video devices to be low power, low cost, multi-media enabled, multi-tasking, integrated & all inclusive, easy to use, low maintenance, professionally supported and warranty serviced.
• Consumer Defined Shared vs. Private Information: Consumers desire the option [in product models or optional features] or built-in switch able flexibility in these digital/video devices to be able to switch between “shared” vs. “private” mode.
It is my belief that in the coming short years, products and services like the following will flourish…
• Pico Projectors for large Image Experience from Portable Computing and Small Mobile Devices (like laptops, cell phones, smartphones, media players, digital cameras, camcorders, etc.)
• High Definition Lamp and Pico Projectors in Home Theater for Shared Viewing Experience
• Pico Projectors in HD Mobile TV/Projector for shared viewing experience
• Pico Projectors in Mobile TV for private viewing experience…like watching TV in bed for mom and dad… and personal mobile TV/Projector for little Jonny.
• Green PicoP Projector in Mobile TV for shared viewing experience… targeting the third world countries with focus on low energy consumption.
• Display Eyewear
• Augmented Virtual Reality
• 3D and Hologram Images
• Night Vision
• Interactive Video Gaming
• Video on Demand
• Music Videos
• Visual Learning Systems & Simulators
• Video/Audio Transcription
Microvision is in the right place at the right time with the commercial availability of their laser based PicoP display engine developer’s kit [PEK] for use in multitude of above mentioned applications… besides the recently launched world’s first laser PicoP projector code named SHOWwx.
Laser based PicoP display engine specs and features are several notches above the competition… namely:
“always in focus, hi-resolution images, large size images from 12” to 100”, wide projection angle, rich and vivid colors with wider color gamut, small/sleek form factor, short throw ratio, longer battery power, simple plug n play, and movie capable (production version expected 2-3 hour battery life).”
Microvision’s PicoP display engine offers enhanced and superior specs and features compared to what’s considered desirable at this stage of Pico projection development…
• Size: The height or thickness of the projector is its most important characteristic; the technology must be able to be embedded in thin handheld devices. Both height and volume should be minimized. The initial products will have projector engine sizes ranging in height from 7 to 14 mm and in overall volume from 5 to 10 cc.
• Brightness: The brighter the better. Brightness is limited by the available brightness of the light sources, either lasers or LEDs, the optical efficiency of the projector design, and by the need for low-power operation in order to maximize battery life. Initial product offerings will be in the range of 5-10 lumens.
• Image size: In general, the shorter the distance it takes for the projector to produce large images, the better—at least up to a point. A one-to-one distance/image-size ratio (projection angle of 53 degrees) is probably a good target. The first round of products on the market will have projection angles in the range of 30-45 degrees.
• Focus-free operation: Focus-free operation is a very desirable attribute in mobile applications. It is like “point and shoot” in a camera. Unlike typical projectors used in business settings, pico-projectors are designed for mobile use (in other words, the distance from the projector to the image will likely change often).
• Resolution: Resolution can be expected to continue to grow as product technology matures. The wide screen format is generally desirable for viewing video content. Initial product offerings will typically offer resolutions from QVGA (320 x 240) to WVGA (848 x 480).
• Color: Pico-projectors typically use either lasers or red, green and blue LEDs for light sources. In both cases, the result is large color gamut that far exceeds the usual color range experience of TVs, monitors, and conference-room-type projectors. White LEDs used with color filters yield a reduced color gamut.
• Contrast: The higher the better. Just as brightness is a measure of the absolute whiteness of pico- projectors, contrast is the measure of their absolute darkness. Contrast is the dynamic range of a display, making the difference between washed out images and crisp dramatic-looking images.
• Battery life: A starting goal for mobile devices is that they should last for the length of a complete movie. This puts the lower limit at around 1.5 hours.
Laser based Pico display technology is superior to what’s out there right now… DLP by Texas Instruments, LcoS by 3M and FLCOS by Micron Displaytech. The competition believed that green lasers wouldn’t be ready for years and its cost would be excessive. They also had concerns about laser projection “speckle” and laser safety issues. It is for these reasons, in my opinion, that they did not pursue the laser pico display technology path and essentially left the laser PicoP technology to Microvision un-contested.
Microvision on the other hand believed in the green lasers as being the differentiating technology that would make PicoP display engine as superior to LEDs based Pico projection technology… and also as a serious contender, in terms of quality and brightness of images, to the lamp based projection technology.
There were several hic-ups along the way. However, after three years of hard work, anxious wait for green lasers and sweating it each passing day, and 115 issued patents later, the world’s first laser based PicoP projector was commercially launched on September 15th, 2009.
Not only that, another announcement was made [on 10/8/2009] of a major OEM purchase order as a major milestone accomplished in the history of Microvision. The stakeholders of Microvision [investors, partners and consumers] can finally take comfort in this announcement as a milestone that…
“…validates the performance and quality of our first laser projector offering. On the heels of announcing our first shipments of the SHOWwx laser pico projector, and receiving the purchase order from an international distributor, this is another significant milestone in our go-to-market strategy.” ... Alex Tokman, CEO of Microvision.
We are truly at the turning point in the history of Microvision, that some may call the “validation” phase. Because, that’s what the commercial release and the two purchase orders from global consumer electronic OEMs represent as …
• Validation of Microvision’s laser based PicoP display engine technology, its quality, its reliability, and a viable commercial fabrication & production milestone.
• Validation of performance and quality of PicoP display engine at the core of the world’s first laser based PicoP projector SHOWwx.
• Validation of Corning's green laser technology, its reliability, and a viable commercial fabrication & production milestone.
• Validation of technical and performance superiority of laser based PicoP projector as compared to other two technologies on the market… DLP from Texas Instruments and LcoS for 3M.
• Validation of consumer preference for Microvision’s PicoP projector: wide screen, high definition, longer battery life, 2D video with fast refresh without motion blur, small physical size and always in focus images for all of video [static, streaming, and broadcast] communications.
• Validation of acceptable safety standard for laser based PicoP projectors in consumer use and adoption.
• Validation of speckle as a non-issue and as virtually non-existent with Microvision’s laser based PicoP display engine.
• Validation of fundamental design flaws of Microvision competitors: low resolution images, faded colors, short battery runs, longer throw distance, and requiring constant manual focus adjustments.
• Validation of Microvision as a product company rather than just a R&D house with 115 issued patents and with many more on file.
• Validation of global consumer electronic OEMs recognizing laser based PicoP projectors as a viable and superior alternative to DLP, LcoS and FLOCS technology.
• Validation of growing demand for Pico projectors from carriers and content providers on a global basis.
• Validation of consumer demand for quality Pico projectors.
• Validation of growing demand for green lasers and the ensuing competition in green laser product arena.
Microvision is ready as a supplier of laser PicoP projectors to consumers and PicoP display engines to its OEM partners… and offers the best of breed PicoP display technology.
Is Microvision [NASDAQ: MVIS] ready for prime time SHOW time and worthy of your investment dollars… you be the judge?
Stay tuned for REASON #5… as we move forward in our journey to explore “Microvision: Opportunity of a Lifetime… in our Lifetime”
Anant Goel
http://www.wealthbyoptions.com/
Microvision: Opportunity of a Lifetime… in our Lifetime (Part 3)
The cost of missing out can be greater than the cost of messing up.
“The opportunity of a lifetime must be seized in the lifetime of the opportunity.”
…Leonard Ravenhill
So much for the energy savings benefit of laser based PicoP display engines. Now lets turn our heads to the next waves of change [or paradigm shift] coming upon us.
First, the commercial...
"Microvision stock [NASDAQ: MVIS] is an investment that represents the opportunity of a lifetime… in our lifetime. And it is a BIG opportunity that can propel us to our financial goals in one great leap within our active lifetime… like in the next 4 to 5 years."
Next, the REASON #3... to not let this opportunity pass you by and why you should quickly reposition your assets now…
REASON #3
We already know the ubiquitous nature of the Internet, the laptops and Mobile phones around the world. However, what we may not know that there is yet another mega change taking place right under our noses…
• Smartphones are rapidly replacing the classic mobile phones around the globe
“Worldwide mobile phone sales totalled 286.1 million units in the second quarter of 2009, a 6.1 per cent decrease from the second quarter of 2008, according to Gartner, Inc. Smartphone sales surpassed 40 million units, a 27 per cent increase from the same period last year, representing the fastest-growing segment of the mobile-devices market.”
Here’s the link to Gartner report…
http://www.gartner.com/it/page.jsp?id=1126812
"Smartphone sales were strong during the second quarter of 2009, with sales of 40.9 million units in line with Gartner's forecast of 27 per cent year-on-year sales growth for 2009," said Ms Milanesi. "Given the higher margins, smartphones offer the biggest opportunity for manufacturers. It is the fastest-growing market segment and the most resistant to declining ASPs."
Smartphones are feature rich mobile devices that consist of a mini-laptop with built-in mobile phone and connected to a service provider [carrier] via a broadband mobile network like the 3G… or the future 4G. Smartphones are feature rich mobile phones and one of the key features that have plans to be offered in the high-end smartphones is a pico projector… as an accessory unit initially… followed by the embedded version in 2010. Future smartphones are expected to include, or offered as an option, a pico projector as a standard unit just like the digital camera is today.
• Pico projectors are being developed as an embedded feature in all things digital
The next popular categories that integrate pico projectors would be mobile computing [laptops] and communication [cell phones, Smartphones] devices, and a whole range of multi-functional consumer electronic products such as personal media players [iPod], digital cameras, digital camcorders and Integrated Mobile TV/projectors.
Why pico projectors are such a rage all of a sudden… you may ask?
That’s a fair question and can be answered in four parts…
Part 1: Pico Projectors can add Big Screen Experience to Small Devices
Analyst, Cellular Devices, Mobile Consumer and Mobile Video Services, In-Stat: “As mobile devices add more multimedia capabilities, embedded pico projectors can add a big-screen experience to a very small device,” said David Chamberlain, Author of the report and Principal.
Part 2: Rapidly Evolving Illumination Technologies like LEDs and Green Lasers Make Pico Projectors Possible
In-Stat found that illumination technologies are rapidly and continuously evolving by the day with manufacturers able to produce and supply Light Emitting Diodes (LED’s) and green lasers, and that the demand for such gizmos integrated within other devices will be so huge that the volumes will easily drive down modular costs to the extent that Pico projectors will become part and parcel of relatively low cost cell phones, media players and other digital consumer electronic devices.
“Technological advances in miniaturization, signal processing, and light sources—including green laser—are making Pico projectors a realistic feature for small battery powered devices like cell phones, media players, computing devices, and other consumer electronics,” said Chamberlain.
Part 3: Powerful & Always Connected Functions Rich Devices with Enhanced Visual Experience
Today, the mobile devices are ubiquitous and if you were to project out the current trends another ten years…
“You will be carrying with you, on a 24x7 basis, a very powerful, always connected, functions & sensor-rich device with enhanced visual experience… called the Smartphones. And the cool thing is, so will everyone else. So what are you going to do with it that you aren't doing now?
Before we consider the possibilities, let’s first address the ubiquity of the mobile devices and extrapolate the current trends towards the mobile phones of the future for everyone on this planet. In other words, the mobile phones of to-day will pave the path to ubiquity for Smartphones of tomorrow… and that tomorrow may be here as early as the next 10 years. And what’s good for smartphones of tomorrow is indeed good for pico projectors as an accessory or as an embedded unit.
Consider this…
• There are currently about 3.2 billion mobile subscribers in the world, and that number is expected to grow by at least a billion in the next few years.
• Today, mobile phones are more prevalent than cars (about 800 million registered vehicles in the world) and credit cards (only 1.4 billion of those).
• While it took 100 years for landline phones to spread to more than 80% of the countries in the world, their wireless descendants did it in only 16 years.
• Fewer teens are wearing watches now because they use their phones to tell time instead. So it's safe to say that the mobile phone may be the most productive and ubiquitous consumer product ever invented.
However, have you ever considered just exactly how powerful these ubiquitous devices are and if the current trends were to be extrapolated… what future mobile device will look like? Whatever the name [or logo] on the cover, under the hood these mobile phones of the future will be the smartphones that will be very smart [pun intended] and very powerful. Smartphones like “Blackberry” considered a business tool are now successfully targeting consumers. On the other hand, “iPhone” considered a consumer product is now targeting business customers. Some day, they may converge and pretty much offer the same power, functionality, connectivity, long battery life and ease of use etc.
As more and more consumers switch to smartphones globally, the Blackberry and iPhone are picking up market share at the expense of foreign competitors such as Nokia.
However, the good news is that the overall smartphones market is growing faster than ever. In 2008, a total of 1.2 billion mobile phones were sold worldwide, according to IDC, of which some 160 million were smartphones, or 13%. In 2013, IDC predicts that 20% of the 1.4 billion mobile phones sold will be smartphones, or 280 million.
Currently, we know what smartphones like Blackberry and iPhone offer. What we don’t know and, therefore, we can only speculate what additional functionality and features the future smartphones may offer. Here’s a list of what the future may hold in store for the consumers…
Smart alerts: Your mobile phone will be smart about your situation and alert you when something needs your attention. This is already happening today… eBay can text you when you've been outbid, and alert services (such as Google News) can deliver news, sports, or stock updates to you. In the future, these applications will get smarter, patiently monitoring your personalized preferences (which will be stored in the network cloud) and delivering only the information you desire. One very useful scenario: your phone knows that you are heading downtown for dinner, and alerts you of transit conditions or the best places to park.
Augmented reality: Your mobile phone uses its arsenal of sensors to understand your situation and provide you information that might be useful. A stylish looking app, for one example, may automatically track Zagat rated restaurants, giving users food and cost scores as they move in real time bringing new dining places into view as they appear on the map.
Or perhaps, do you really want to know how much is that red dress in the window? Your phone, with its GPS and compass, knows what you are looking at, so it can tell you before you even ask. Plus, it may even suggest what purse and accessories go with the red dress?
Crowd sourcing: Your mobile phone is your omnipresent window to the world, a way to publish pictures, emails, texts, Twitters, streaming videos and blog entries. When everyone else is doing the same, you have a world where people from every corner of the planet are covering their experiences in real-time. That massive amount of content gets archived, sorted, and re-deployed to other people in new and interesting ways. Ask the web for the most interesting sites in your vicinity, and your phone shows you reviews and pictures that people have uploaded of nearby attractions. Like what you see? It will send you directions on how to get there.
Sensors everywhere: Your mobile phone knows a lot about the world around you. If you take that intelligence and combine it in the cloud with that of every other phone, we have an incredible snapshot of what is going on in the world right now.
Tool for development: Your mobile phone may be more than just a convenience; it may be your livelihood. Already, this is true for people in many parts of the world: in southern India, fishermen use text messaging to find the best markets for their daily catch, in South Africa, sugar farmers can receive text messages advising them on how much to irrigate their crops, and throughout sub-Saharan Africa entrepreneurs with mobile phones become phone operators, bringing communications to their villages. These innovations will only increase in the future, as mobile phones become the linchpin for greater economic development.
The future-proof device: Your mobile phone will open up, as the Internet already has, so it will be easy for developers to create or improve applications and content. The ones that you care about get automatically installed on your phone. Let's say you have a piece of software on your phone to improve power management (and therefore battery life). Let's say a developer makes an improvement to the software. The update gets automatically installed on your phone, without you lifting a finger. Your phone actually gets better over time.
Safer software through trust and verification: Your mobile phone will provide tools and information to empower you to decide what to download, what to see, and what to share. Trust is the most important currency in the always connected world, and your phone will help you stay in control of your information. You may choose to share nothing at all (default mode), or just share certain things with certain people─ your circle of trusted friends and family. You'll make these decisions based on information you get from the service and software providers and the collective ratings of the community as well. Your phone is like your trusted valet: it knows a lot about you, and won't disclose an iota of it without your permission.
Enhanced Visual Experience: Not too long ago, a mobile phone offered only a one-to-one viewing experience with little room for personalization and lacking the cool factor. Soon Microvision’s PicoP display engine technology will change the DNA of the phone, making it more visual, interactive and unique to the user. Taking this a step further, your cell phone will become a “one-to-many” tool, allowing us to share mobile content with groups of friends, family and colleagues. In the not-too-distant future, road warriors will be showing presentations to a room full of colleagues via a projector accessory [SHOWwx] for their mobile phones. We have only begun to unleash the mobile visual experience.
Part 4: Laser Based PicoP Projectors are Superior Technology Compared to the Rest
Microvision Will Change Your Visual Experience, Wirelessly…
With the increasing number and variety of visual applications on mobile phones, Microvision’s PicoP display engine technology will deliver the mobile experience consumers have come to expect. Consumers will be able to use their mobile phones to capture and store high-quality content, including digital movies and console-quality video games, and then watch the content with others via a connection to mobile, palm-sized, full-featured SHOWwx PicoP projector, which are expected to be available in the 4th Qtr. of 2009.
Professional and amateur film makers can already use their mobile phones to show-off high-quality samples of their creations to producers using video clips taken on their handset. Soon, they [and you] will be able to share your video creation or the latest funny video from YouTube with a room full of people, in DVD quality (848 x 480) resolution, the same clarity you receive from your DVD player at home. Parents will be able to send DVD quality videos of their children learning how to ride a bike to family members, who may then show a room full of their friends.
In conjunction with third party technology for processing HD video and graphics content, Microvision’s PicoP projector will allow [in 2010] integration into a mobile phone, further enhancing display options in mobile devices. Microvision’s Pico projector is creating a new standard by extending beyond the limitations of the physical screen on mobile phones and allowing consumers to share content with friends and family.
From viewing video content on a 2-inch LCD screen on your mobile phone to being able to watch DVD-quality video in widescreen TV format projected on to the closest wall, the wireless experience will never be the same.
Quality of image, rich & vivid colors and always-in-focus feature is important when projecting from your Mobile devices. For comparison, look at the quality and size of the Microvision’s PicoP projection and compare it to the [static] images from the Optoma DLP Pico projector and the 3M LcoS Pico projector…
First, the link to the Optoma DLP Pico projector video…
http://www.youtube.com/watch?v=HMeQBF4LNws
Next, the link to 3M LcoS Pico projector video…
http://www.youtube.com/watch?v=4NNMHYgpGO4
Now look at Microvision laser PicoP projector SHOWwx video…
http://www.microvision.com/displayground/?m=200908
[Note: Make sure to click on the video play button]
Now tell me, if I need to write a thousand words to explain the difference between the three?
Microvision Will Change Your Visual Experience, Wirelessly!
Stay tuned for REASON #4… as we move forward in our journey to explore “Microvision: Opportunity of a Lifetime… in our Lifetime”
Anant Goel
http://www.wealthbyoptions.com/
“The opportunity of a lifetime must be seized in the lifetime of the opportunity.”
…Leonard Ravenhill
So much for the energy savings benefit of laser based PicoP display engines. Now lets turn our heads to the next waves of change [or paradigm shift] coming upon us.
First, the commercial...
"Microvision stock [NASDAQ: MVIS] is an investment that represents the opportunity of a lifetime… in our lifetime. And it is a BIG opportunity that can propel us to our financial goals in one great leap within our active lifetime… like in the next 4 to 5 years."
Next, the REASON #3... to not let this opportunity pass you by and why you should quickly reposition your assets now…
REASON #3
We already know the ubiquitous nature of the Internet, the laptops and Mobile phones around the world. However, what we may not know that there is yet another mega change taking place right under our noses…
• Smartphones are rapidly replacing the classic mobile phones around the globe
“Worldwide mobile phone sales totalled 286.1 million units in the second quarter of 2009, a 6.1 per cent decrease from the second quarter of 2008, according to Gartner, Inc. Smartphone sales surpassed 40 million units, a 27 per cent increase from the same period last year, representing the fastest-growing segment of the mobile-devices market.”
Here’s the link to Gartner report…
http://www.gartner.com/it/page.jsp?id=1126812
"Smartphone sales were strong during the second quarter of 2009, with sales of 40.9 million units in line with Gartner's forecast of 27 per cent year-on-year sales growth for 2009," said Ms Milanesi. "Given the higher margins, smartphones offer the biggest opportunity for manufacturers. It is the fastest-growing market segment and the most resistant to declining ASPs."
Smartphones are feature rich mobile devices that consist of a mini-laptop with built-in mobile phone and connected to a service provider [carrier] via a broadband mobile network like the 3G… or the future 4G. Smartphones are feature rich mobile phones and one of the key features that have plans to be offered in the high-end smartphones is a pico projector… as an accessory unit initially… followed by the embedded version in 2010. Future smartphones are expected to include, or offered as an option, a pico projector as a standard unit just like the digital camera is today.
• Pico projectors are being developed as an embedded feature in all things digital
The next popular categories that integrate pico projectors would be mobile computing [laptops] and communication [cell phones, Smartphones] devices, and a whole range of multi-functional consumer electronic products such as personal media players [iPod], digital cameras, digital camcorders and Integrated Mobile TV/projectors.
Why pico projectors are such a rage all of a sudden… you may ask?
That’s a fair question and can be answered in four parts…
Part 1: Pico Projectors can add Big Screen Experience to Small Devices
Analyst, Cellular Devices, Mobile Consumer and Mobile Video Services, In-Stat: “As mobile devices add more multimedia capabilities, embedded pico projectors can add a big-screen experience to a very small device,” said David Chamberlain, Author of the report and Principal.
Part 2: Rapidly Evolving Illumination Technologies like LEDs and Green Lasers Make Pico Projectors Possible
In-Stat found that illumination technologies are rapidly and continuously evolving by the day with manufacturers able to produce and supply Light Emitting Diodes (LED’s) and green lasers, and that the demand for such gizmos integrated within other devices will be so huge that the volumes will easily drive down modular costs to the extent that Pico projectors will become part and parcel of relatively low cost cell phones, media players and other digital consumer electronic devices.
“Technological advances in miniaturization, signal processing, and light sources—including green laser—are making Pico projectors a realistic feature for small battery powered devices like cell phones, media players, computing devices, and other consumer electronics,” said Chamberlain.
Part 3: Powerful & Always Connected Functions Rich Devices with Enhanced Visual Experience
Today, the mobile devices are ubiquitous and if you were to project out the current trends another ten years…
“You will be carrying with you, on a 24x7 basis, a very powerful, always connected, functions & sensor-rich device with enhanced visual experience… called the Smartphones. And the cool thing is, so will everyone else. So what are you going to do with it that you aren't doing now?
Before we consider the possibilities, let’s first address the ubiquity of the mobile devices and extrapolate the current trends towards the mobile phones of the future for everyone on this planet. In other words, the mobile phones of to-day will pave the path to ubiquity for Smartphones of tomorrow… and that tomorrow may be here as early as the next 10 years. And what’s good for smartphones of tomorrow is indeed good for pico projectors as an accessory or as an embedded unit.
Consider this…
• There are currently about 3.2 billion mobile subscribers in the world, and that number is expected to grow by at least a billion in the next few years.
• Today, mobile phones are more prevalent than cars (about 800 million registered vehicles in the world) and credit cards (only 1.4 billion of those).
• While it took 100 years for landline phones to spread to more than 80% of the countries in the world, their wireless descendants did it in only 16 years.
• Fewer teens are wearing watches now because they use their phones to tell time instead. So it's safe to say that the mobile phone may be the most productive and ubiquitous consumer product ever invented.
However, have you ever considered just exactly how powerful these ubiquitous devices are and if the current trends were to be extrapolated… what future mobile device will look like? Whatever the name [or logo] on the cover, under the hood these mobile phones of the future will be the smartphones that will be very smart [pun intended] and very powerful. Smartphones like “Blackberry” considered a business tool are now successfully targeting consumers. On the other hand, “iPhone” considered a consumer product is now targeting business customers. Some day, they may converge and pretty much offer the same power, functionality, connectivity, long battery life and ease of use etc.
As more and more consumers switch to smartphones globally, the Blackberry and iPhone are picking up market share at the expense of foreign competitors such as Nokia.
However, the good news is that the overall smartphones market is growing faster than ever. In 2008, a total of 1.2 billion mobile phones were sold worldwide, according to IDC, of which some 160 million were smartphones, or 13%. In 2013, IDC predicts that 20% of the 1.4 billion mobile phones sold will be smartphones, or 280 million.
Currently, we know what smartphones like Blackberry and iPhone offer. What we don’t know and, therefore, we can only speculate what additional functionality and features the future smartphones may offer. Here’s a list of what the future may hold in store for the consumers…
Smart alerts: Your mobile phone will be smart about your situation and alert you when something needs your attention. This is already happening today… eBay can text you when you've been outbid, and alert services (such as Google News) can deliver news, sports, or stock updates to you. In the future, these applications will get smarter, patiently monitoring your personalized preferences (which will be stored in the network cloud) and delivering only the information you desire. One very useful scenario: your phone knows that you are heading downtown for dinner, and alerts you of transit conditions or the best places to park.
Augmented reality: Your mobile phone uses its arsenal of sensors to understand your situation and provide you information that might be useful. A stylish looking app, for one example, may automatically track Zagat rated restaurants, giving users food and cost scores as they move in real time bringing new dining places into view as they appear on the map.
Or perhaps, do you really want to know how much is that red dress in the window? Your phone, with its GPS and compass, knows what you are looking at, so it can tell you before you even ask. Plus, it may even suggest what purse and accessories go with the red dress?
Crowd sourcing: Your mobile phone is your omnipresent window to the world, a way to publish pictures, emails, texts, Twitters, streaming videos and blog entries. When everyone else is doing the same, you have a world where people from every corner of the planet are covering their experiences in real-time. That massive amount of content gets archived, sorted, and re-deployed to other people in new and interesting ways. Ask the web for the most interesting sites in your vicinity, and your phone shows you reviews and pictures that people have uploaded of nearby attractions. Like what you see? It will send you directions on how to get there.
Sensors everywhere: Your mobile phone knows a lot about the world around you. If you take that intelligence and combine it in the cloud with that of every other phone, we have an incredible snapshot of what is going on in the world right now.
Tool for development: Your mobile phone may be more than just a convenience; it may be your livelihood. Already, this is true for people in many parts of the world: in southern India, fishermen use text messaging to find the best markets for their daily catch, in South Africa, sugar farmers can receive text messages advising them on how much to irrigate their crops, and throughout sub-Saharan Africa entrepreneurs with mobile phones become phone operators, bringing communications to their villages. These innovations will only increase in the future, as mobile phones become the linchpin for greater economic development.
The future-proof device: Your mobile phone will open up, as the Internet already has, so it will be easy for developers to create or improve applications and content. The ones that you care about get automatically installed on your phone. Let's say you have a piece of software on your phone to improve power management (and therefore battery life). Let's say a developer makes an improvement to the software. The update gets automatically installed on your phone, without you lifting a finger. Your phone actually gets better over time.
Safer software through trust and verification: Your mobile phone will provide tools and information to empower you to decide what to download, what to see, and what to share. Trust is the most important currency in the always connected world, and your phone will help you stay in control of your information. You may choose to share nothing at all (default mode), or just share certain things with certain people─ your circle of trusted friends and family. You'll make these decisions based on information you get from the service and software providers and the collective ratings of the community as well. Your phone is like your trusted valet: it knows a lot about you, and won't disclose an iota of it without your permission.
Enhanced Visual Experience: Not too long ago, a mobile phone offered only a one-to-one viewing experience with little room for personalization and lacking the cool factor. Soon Microvision’s PicoP display engine technology will change the DNA of the phone, making it more visual, interactive and unique to the user. Taking this a step further, your cell phone will become a “one-to-many” tool, allowing us to share mobile content with groups of friends, family and colleagues. In the not-too-distant future, road warriors will be showing presentations to a room full of colleagues via a projector accessory [SHOWwx] for their mobile phones. We have only begun to unleash the mobile visual experience.
Part 4: Laser Based PicoP Projectors are Superior Technology Compared to the Rest
Microvision Will Change Your Visual Experience, Wirelessly…
With the increasing number and variety of visual applications on mobile phones, Microvision’s PicoP display engine technology will deliver the mobile experience consumers have come to expect. Consumers will be able to use their mobile phones to capture and store high-quality content, including digital movies and console-quality video games, and then watch the content with others via a connection to mobile, palm-sized, full-featured SHOWwx PicoP projector, which are expected to be available in the 4th Qtr. of 2009.
Professional and amateur film makers can already use their mobile phones to show-off high-quality samples of their creations to producers using video clips taken on their handset. Soon, they [and you] will be able to share your video creation or the latest funny video from YouTube with a room full of people, in DVD quality (848 x 480) resolution, the same clarity you receive from your DVD player at home. Parents will be able to send DVD quality videos of their children learning how to ride a bike to family members, who may then show a room full of their friends.
In conjunction with third party technology for processing HD video and graphics content, Microvision’s PicoP projector will allow [in 2010] integration into a mobile phone, further enhancing display options in mobile devices. Microvision’s Pico projector is creating a new standard by extending beyond the limitations of the physical screen on mobile phones and allowing consumers to share content with friends and family.
From viewing video content on a 2-inch LCD screen on your mobile phone to being able to watch DVD-quality video in widescreen TV format projected on to the closest wall, the wireless experience will never be the same.
Quality of image, rich & vivid colors and always-in-focus feature is important when projecting from your Mobile devices. For comparison, look at the quality and size of the Microvision’s PicoP projection and compare it to the [static] images from the Optoma DLP Pico projector and the 3M LcoS Pico projector…
First, the link to the Optoma DLP Pico projector video…
http://www.youtube.com/watch?v=HMeQBF4LNws
Next, the link to 3M LcoS Pico projector video…
http://www.youtube.com/watch?v=4NNMHYgpGO4
Now look at Microvision laser PicoP projector SHOWwx video…
http://www.microvision.com/displayground/?m=200908
[Note: Make sure to click on the video play button]
Now tell me, if I need to write a thousand words to explain the difference between the three?
Microvision Will Change Your Visual Experience, Wirelessly!
Stay tuned for REASON #4… as we move forward in our journey to explore “Microvision: Opportunity of a Lifetime… in our Lifetime”
Anant Goel
http://www.wealthbyoptions.com/
Subscribe to:
Posts (Atom)