To: Bob C. who wrote (11323 ) 2/28/2000 12:40:00 PM From: mark cox Read Replies (1) | Respond to of 18366
Look at the potential revenues for EDIG to come. Back on January 31st, Tinroad uncovered some great information from speaking with someone at the company VedaLabs. He posted the following information back then: Just got off the phone w/VedaLabs; they are licensing the EDIG reference player design, hope to release product in March; also, the have been pledged a 60 million equity investment by Compaq. Tinroad ________________________________________________________ Is there anyone who doesn't know by now that VedaLabs has licensed the EPAC codec from Lucent Technologies? Then on February 6th, The Advocate Online, from New Orleans, published a story on VedaLabs. In it stated the following: VedaLabs plans by March to begin selling handheld devices -- made in Baton Rouge -- to play its music, and to begin selling home stereo equipment by the end of this year. VedaLabs is the only company that has developed a "jukebox" system so consumers can use ePac to download music and then easily arrange it in files, Eastman said. In the coming months, Hewitt said, Compaq Computer Corp. of Houston will begin distributing VedaLabs? software on one million personal computers per month. Hewitt said Compaq is waiting to announce the deal. Compaq officials could not be reached for comment. theadvocate.com _________________________________________________________ What if Compaq decides to offer with their computers that have the VedaLabs software installed on them, either bundled with the computer or as an option, an EDIG designed portable music player? If this were true and Compaq has EDIG handle the manufacturing of the players for them. EDIG would receive revenues of approximately $30 per player and Compaq is going to sell 1 million VedaLab installed computers PER MONTH. Think of the possiblities for EDIG. And that is just one computer manufacturer. With EDIG's player being capable of working with all the different Jukebox music platforms they could have a shot at producing players for Gateway, Dell etc. Then you have the regular consumer electronics manufacturers like Panasonic, Sanyo, RCA and another dozen or so. Then you have what Putnam said were several non consumer electronics companies interested in EDIG's player. This would be your Nike, Reebok, Yahoo, AOL and virutally and endless list of consumer companies. But as you can see, if Compaq were to use EDIG's design, the revenue potential just from that could be $100s of millions per year. $30 X 1,000,0000 computers per month = $360 million/year 'IF' Compaq was using our design and included a player with every computer. Or VedaLabs could produce the portable player licensed from EDIG, for Compaq Computer . If EDIG got the $10.00 licensing and royalty fee they have talked about and not receive any of the revenues from overseeing the manufacturing, EDIG would still receive $10 million per month or $120 million per year just from Compaq Computer. Mark