*1) What are the high barriers for entry re: Vari-L market?*
45 years of proprietary knowledge and corporate contacts. It's that simple. The patents help with protection some, but with superior technology and the right industry contacts, it will be hard for anyone to make much progress into VARL's markets. Witness Batwings (MOT) selling off its components division due to VARL winning batwings contracts more often than the internal shop could/did.
*2) What are your estimates of earnings for Vari-L in 2000 and 2001?*
For 2000, I think that $0.85 is not out of the question, perhaps $0.90 - this is just from existing business. If they get a large broadband wireless (LMDS or MMDS), handset, or optoelectric order the earnings should be quite a bit better. For 2001, I am refusing to speculate. Seriously folks, VARL will probably do real well landing 3G handset orders. Trying to forecast earnings for VARL is like trying to forecast earnings for QCOM, there is no visibility (on the up side). But that is in our favor, and allows for continued accumulation as the quarterly reports roll in.
*3)How strong are Vari-L's patents?*
I hear that the patents can break good minds, as well as backs. Apparently some of them are quite complicated and very lengthy. Patent strength is nothing without good execution, which of course VARL has demonstrated. They have virtually "killed" the competition.
Now time for a question from me . . . what is "uel"? |
