Rob: Not much new news on the FAQ page. It was more of a format change than any new information being added. Personally I like the new format, but it's basically a non-event in terms of new info that would better inform us on what is going on.
By the way, I think that WCTI is being smart in limiting the amount of information going out on their marketing plans, new product release dates and product features. You can bet that their competitors are posing as investors or are reading the boards to get whatever they can to use against the company. Let's face it--WCTI is up against some very well funded companies, many who are further along than they are. Even if WCTI does have superior search engine technology, that is far from any sort of assurance that they will win in the war to gain market share. And believe me, it is a war...
However, IMHO, this is a great time for the company. Let's just sit back and assess where we are:
1. We can anticipate a much improved Beta release between now and 4/12, with more content and a much better categorization of search results. I think this will be the product were the true power of WCTI's technology will be clearly visible, and therefore excite a whole new group of investors to buy the stock.
2. New features and clear market positioning. This is just a guess, but I suspect that WCTI will position itself as a portal. Yes, I know there are clear leaders out there, but don't forget that the Internet is still growing explosively. Under those types of market conditions, WCTI can still be extremely successful and capture lots of eye balls.
3. Don't underestimate Dan Lunt's marketing capabilities. He has proven to be very effective at his craft. What is holding him back is that the product is not mature yet. But you can bet they are working night and day to get it to the point where it can be released commercially, given the win involved. (Hell, I'd work night and day if I knew that I would be financially secure for the rest of my life...) We can expect to get a taste of this marketing acumen in early April, but a full-blown ad campaign won't occur until a month or so prior to the NASDAQ listing date, IMO.
4. The company has plenty of funds. I manage the expenses of a silicon valley startup. Our company is bigger than WCTI. You can bet our salaries and overhead are SIGNIFICANTLY larger than WCTI's (San Mateo, California vs. Utah), and I can tell you we would last 6-7 years in full-scale development mode just on the funding WCTI has been able to secure. So money is not a problem.
But there are some challenges as well as advantages:
1. The company does not have a mature product yet, although it is based on technology that has evolved over almost a decade. But it has to be tailored to work over the Net, not a standalone system.
2. They are growing explosively. Growing a company and getting a product out quickly is a big challenge that will take very skilled management to achieve successfully.
3. They are up against some strong competitors. Also, how long will the Internet "bubble" last? No one really knows....
OK, so where does that leave us. My take is that we can expect a significant appreciation in the stock price, IMO, between now and the end of April. Here is why:
1. Bolstered investor confidence in enhanced Beta.
2. New investors buying stock due to Beta, product positioning as portal, initial advertising, and WCTI presence at Internet Expo on 4/12. Notice that I said presence, not exhibiting. It would be a mistake, IMO, to prematurely show the product (Look what happened with the Beta. While they were right to release it on schedule as committed, it hammered the stock price. But WCTI will be there...)
I expect the stock to trade in a sideways pattern in the May to June timeframe, or maybe even decline somewhat, as the company gears itself up for a substantial GA release, massive ad campaign, and NASDAQ listing. Hence in late June to early July, I expect the stock to take off again--big time. Then the big players (mutual fund managers, institutional investors, etc.) will start to invest, assuming there is a GA product out there that approaches anything near the potential of the technology.
So I actually take solace in the fact that there is not a lot of news right now. It means that the WCTI team is staying focused on what's important to be successful, as well as limiting what competitor's know about the company. It really all boils down to management. If they execute on the basics, baring any unforeseen market crash, we will be very very happy with our investment.
Just my thinking!
jb |
