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Technology Stocks : Internet Guru Discussion

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To: steve harmon - analyst who wrote (3870)1/9/2000 12:28:00 AM
From: Steve Cox  Read Replies (1) of 4337
 
For Steve Harmon: an EDIG quick summary...

Tech magazines, newspapers, CNBC and TV commercials are packed full of stories about upcoming portable wireless internet devices. These devices will use "flash memory" because it retains data after the power is removed. Intel, Sandisk and other flash memory manufacturers are in high speed mode to expand plants to gear up for this demand.

However, flash does have inherent problems.
Currently, this problem does not hinder simple flash devices in use today, but as the 3G cell phones, multicodec internet portable music players and complex, multitasking, wireless PDA's start coming to market, flash will need all the speed it can muster. The quick storage, access, and reclamation of data blocks in flash in a real-time environment is what manufacturers will require to process streaming video and other applications efficiently. A flash memory software management operating system is in these devices to put all the 1's and 0's in the correct memory blocks. The following Intel link describes this problem:

ragingbull.com

E.Digital has a patented flash file management called MicroOS. Do not confuse this with operating systems which reside on devices to control onboard microprocessors or the browser. This OS is embedded ( ported to) the processor in software form taking up only 8K of memory to act as a traffic cop for the flash.
Now Intel has their own file management but it requires proprietary hardware to tag along, so you have to ask yourself why did Intel hire EDIG to design handheld prototype devices for them?

Why did Lucent Technologies with their Bell Labs research arm contract EDIG to design the multicodec internet music player?

Why did Lanier hire EDIG to design their portable digital voice recorder.

Why did IBM invite EDIG to become an inaugural member of the VoiceTimes alliance which will set the standard for portable voice recognition products?

The answer is the patented flash file management technology. Embedding MicroOS can help design the device to use less onboard memory and less microprocessor power, both resulting in less cost and less battery drain. Faster data writing/erasing/retriving speeds are obtained. The end result will be a faster, cheaper, smaller gizmo with longer battery life.

E.Digital's technology is poised to become a global *** STANDARD*** in millions of handheld devices.

I compare e.Digital to Qualcomm. QCOM has patented technology in an emerging market (CDMA in cell phones) whereby they collect revenues from licensing and royalties. QCOM has a great line:

"With Qualcomm, you don't have to pick the right manufacturer. If Motorola wins, if Lucent wins or Nortel or Nokia or Ericsson, they don't care. Either way, Qualcomm gets a piece of the action".........

Well I believe e.Digital MicroOS is more valuable than QCOM's CDMA.

First of all e.Digital did away with manufacturing years ago to concentrate on licensing/royalties much like Qualcomm just recently announced. The manufacturer's products that EDIG has the possibilities of embedding the microOS into far outnumber Qualcomms.

Yes, e.Digital is an OTC stock. It was Norris Comm (NASDAQ) but they had this technology years before there was a use for it. Now the future has caught up to e.Digital as evidenced by the names Intel, Lucent, IBM and Lanier needing it's flash management system. Recently engineers have been added to the company, they're expanding to larger quarters and the world is taking notice. Since April, e.Digital has been hush-hush on their projects under non disclosure agreements. The CEO stated last week OEM's announcements will come this week. The moment we've all been waiting for.

NEWS UPDATE 1/5/00 Contract with Maycom maker of the I-JAM player.
NEWS UPDATE 1/6/00 Contract with RIO Port
NEWS UPDATE 1/6/00 IBM microdrive to be used in music players.
NEWS UPDATE 1/7/00 E.Digital aligned with the new secure SD flash chip companies.

Good luck in your research. Hoping to see a correction to your last article.

Steve
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