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Technology Stocks : Racom Systems (RCOM) -- Ignore unavailable to you. Want to Upgrade?

To: NightOwl who wrote (163)	7/24/1998 5:03:00 PM
From: Gutterball	Read Replies (1) \| Respond to of 468

Ramtron and Cubic Produce Improved Mass Transit Smart Card Chip - Innovative Chip Design to Fuel Wide Usage of New Fare Collection Technology #reply-5304980 ---------------------------------------------------------- A brief note. This deal will produce a royalty for Racom. The key word in the PR is contactless, or as Sike's puts it, "without removing the card from a wallet or purse." Recall: Oct 30, 1997 - Ramtron reported "Shipping Contactless Smart Card Chips for Washington DC Metro System in December 1997; Washington Transit System First to Receive "Hassle Free" Cubic GO CARD". I believe this was for something like 20,000 smart cards. Later, May 11, 1998, Racom Receives First Royalty Revenues. The Racom Q2 due out shortly may give more information about this royalty. In short, the royalty followed shipping by about 6 mo. Which suggests, don't suspect Racom to receive any revenues from this until 1999. Still, it is nice to get these windfalls lined up, and its better to start now than later. Other good news in the release, Ramton is already producing this new chip, and Cubic has other AFC sites this FRAM chip can be deployed. What we are seeing, is Ramtron moving from pilot to commercial deployment. Once Cubic and Transit people are satisfied with this technology, deployment to other sites may take place and on a larger scale.