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Microcap & Penny Stocks : Saflink Corp. (ESAF) Biometric Software Provider

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To: bob jordan who wrote (4642)3/16/2000 6:19:00 PM
From: bob jordan  Read Replies (1) of 4676
 
Future press release?

All:

Some background:

saflink.com

or

mytec.com

then:

biz.yahoo.com

dailynews.yahoo.com

Now comes the key questions: by the sound of the ESAF press release, the mytec product should fall squarely within the patent...or at least that is my reading. If that is true...then what revenue...if any...does ESAF hope to gain from the patent license? Are they asking for a percentage of revenue from Mytec or are they satisfied with Mytec being a reseller and will be satisfied with something less than they would want from a company they are not in privity with?

I don't know what to make of this patent...and this appears to be the first test...at least in my mind. That having been said...ESAF could get 100% of the revenues from licensing of their patent...but it would not matter if this new product from Mytec is not competitive in the marketplace as defined by price/performance and market acceptance. I have not heard anything from Mytec about being below the $100/scanner mark...so I am not certain that I...or anyone else...should be expecting any sales of note with this product. Secondly, other than a Smith and Wesson blurb...I haven't seen much for Mytec in terms of major names using or wanting their product (and I am not sure that the S&W blurb was nothing more than a press play...), so even if this product passes the price/performance part of the equation...there is still the matter of market demand/acceptance that only a good distribution scheme will overcome. I may be wrong...but I think that even if the first leg doesn't fail...the second leg will for the reasons already given.

What I found interesting is the blurb in the most recent press release was that Mytec has patented biometric encryption for fingerprint as well as other forms of ID...so here comes the big question: Is the patent that Mytec has broad enough to cover all biometric encryption such that ESAF will be forced to negotiate a cross-license type of agreement because they use biometric encryption and thus being screwed out of revenue potential for their patent, or, is the Mytec patent different from the form of biometric encryption that ESAF...or any other biometric company...does such that ESAF can survive this final prong of the revenue test? I have no idea how to answer this one...

Well...that's something to talk about. That and the stock freeking tanked today...so let's hear some chatter...

Regards,
Bob
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