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To: EL KABONG!!! who wrote (3948)	6/6/1998 6:09:00 AM
From: Michael Sphar	Respond to of 7491

I'm assuming a physical media. Remember Rhonda said it would take about 90 days to deliver. Also I think it was implied that this order was based on an agreement with Intellagent. Intellagent doesn't imply enduser downloads. Intellagent is focusing on the high PC count companies and delivering a billable product to these, hence a shrinkwrapped CD.

To: EL KABONG!!! who wrote (3948)	6/6/1998 6:33:00 AM
From: ISOMAN	Respond to of 7491

I talked to someone once about getting an audio CD produced and the price I was quoted was $1 us plus shipping each for lots of 500 or less, 0.60 for lots of 5000. printing cost was about half of the above. I am pretty sure it's the same for software, except it may be cheaper for software as it probably wouldn't involve as much content as a two hour audio CD.

To: EL KABONG!!! who wrote (3948)	6/6/1998 10:09:00 AM
From: John Chapman	Read Replies (2) \| Respond to of 7491

Kerry: Thanks for the input. That post of yours is worthy of printing for future cost estimating. I understand selling via credit card on the web site could be up by next week. I regards to some other posts about the June 3 press release. The PR said 40,000 units, but did not say it would be CD's. Reading it again sure allows for all those sales via the web or CD or both. I think it is simply an estimate of how many they might need. My guess is they do not have a real good handle on it though at this point. Who really can predict how many will sell via the web over the next 90 days. It just depends on how fast the word spreads and if it catches on or not. The minimum will be at least 1 sale in the next 90 days guaranteed. That's me. The maximum sales in the 90 days will depend on how many orders per day the server can handle; assuming demand meets server capacity. I am guessing that Zitec ran an estimate of its server capacity and that could be where the 40,000 came from. 40,000 divided by 90 is about 450 downloads per 24 hour period. But, there would be a lot of unknowns in that - the biggie being what the average modem speed of downloaders is. For me and some other others I know of with cable modems, it will take longer to register than downloading. For the average user with say a 31.2 connection probably something around 1 hour. Zitec could be gathering data like this by monitoring download times for the evalutaion copy. This is also a good way to test theri servers for maximum capacity. When I downloaded the evaluation copy on the first day, there was a little trouble getting in, but then it downloaded just as fast as any other site. By the number of downloads of the evaluation copy Zitec can also get some idea of the initial demand for the product. That data though would have limited use because I would think most of the downloads were from us investors. Did you notice that if Zitec pays Cashco $25.50 per download and Zitec charges $39 per download, that is about $13 gross for Zitec. Pretty good business to be in with only the costs you outlined. Anyway should be interesting to see how sales develope. Many unknowns at this point.