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Strategies & Market Trends : ZixIt Corporation (ZIXI) -- Ignore unavailable to you. Want to Upgrade?


To: jjs_ynot who wrote (647)11/13/1999 11:39:00 AM
From: jjs_ynot  Respond to of 4120
 
A strategic Analysis of ZIXI:

INTERNAL

Strengths

- A ZixMail tool hopefully near completion
- A small operating business with Anacom
- Cash on the balance sheet of approx $3.00 per share

Weaknesses

- Cash burn rate of $1.00 per quarter
- Large Operating losses on ZixMail product
- Large potential R&D expenses with ZixCharge development to the product stage
- Incomplete Beta Testing of ZixMail
- No Recurring Revenue Stream until and if Zix Charge is released
- Lack of economy of scale for transaction processing
- Ill-defined strategic management plan through product release
- No clear synergy between Anacom acquisition and current product lines
- Lack of Marketing plan for new products
- Lack of Strategic relationship with financial entities who control e-commerce via corporate "Lockbox" relationship

EXTERNAL

Opportunities

- Grow the Anacom line of business
- Add ZixMail customers at an ongoing loss
- Sign Up ZixCHarge Customers in latter half of 2000

Threats

- Banks
- Credit Card Companies (Visa, etc.)
- Credit Card Processors (FDC, etc.)
- Financial Service Providers (EDS, CKFR, CYCH, etc.)
- PKI providers (VRSN, ENTU, etc.)
- OS Vendors who implement PKI in desktop and server (MSFT, etc.)
- Lawsuit from Secure Technology a la ENTU
- Large software system vendors (Unisys, etc.)

Comment?