To: WTSherman who wrote (2119 ) 1/5/1999 6:04:00 AM From: nord Read Replies (1) | Respond to of 4400
Do you have any specific ideas of what the Bell & Howell potential is for SSPIF The oem cost are 10-12k/per board. The margins typically 50-55%. The initial contract was for Netherlands. I don't know how many other countries business have since bought the system. The original estimate of 6M US included the Netherlands contract and AST. Perhaps you could give us some idea of how many systems Bell and Howell sell worldwide and what the average time to upgrade. One of the advantages for Bell and Howell is that the board is upgradeable without board replacement by porting new s/w with minimal added exspense. SPECTRUM SIGNAL PROCESSING ANNOUNCES DESIGN-WINS FOR TMS320C62X-BASED PRODUCTS WITH BELL & HOWELL AND APPLIED SIGNAL TECHNOLOGY Combined Potential Totals Over US$6M Burnaby, B.C., Canada - July 16, 1998 -- Spectrum Signal Processing Inc. (NASDAQ NMS:SSPIF / TSE:SSY), the industry leader in high-performance DSP systems, today announced two ³design-wins² with Original Equipment Manufacturers (OEMs) for it¹s recently introduced high-performance products based on Texas Instruments¹ (NYSE:TXN) TMS320C62x Digital Signal Processor. Both wins are a result of ³design-ins², or development projects, which were initiated with these customers in the first quarter of this year. The combined revenue opportunity from these wins is estimated at US$6 million in 1998 and 1999. In the first quarter of 1998, Bell & Howell Company (NYSE:BHW) designed Spectrum¹s ŒC62x-based, 200MHz Monaco VME product into a new mail sorting system. Bell & Howell Postal Systems Inc. have now placed production orders for Spectrum¹s products which are being incorporated into systems to be sold to mail processing plants around the world. The first production systems are destined for Bell & Howell¹s customer in the Netherlands. Spectrum¹s DSP systems will perform an image processing function for commercial postal sorting machines enabling the machine to sort mail based on the placement of the address label. Bell & Howell is the world¹s largest volume messaging company; in the US alone, 70% of all mail is handled by a Bell & Howell system. ³We chose Spectrum for this project because they were able to deliver leading-edge, high-quality products and technology backed by a superior technical support team - they helped us move our product from the development stage to production in less than six months,² stated Walter Conard, VP of Engineering, at Bell & Howell Postal Systems Inc. The Monaco board, the first 'C6x system available from Spectrum, was an immediate success in wireless applications such as surveillance and telecom. Initial orders for development systems have been received from numerous new and existing customers worldwide who are developing next-generation commercial and military products for wireless applications. The US DoD was the first customer to receive Rev 2 Monaco boards along with all supporting technical documentation, software and hardware. Spectrum's engineering team exceeded the customer's March delivery expectations, thereby providing a head start in application development and ultimately shortening the DoD's development time - all benefits derived from choosing a Spectrum system solution. The Monaco board is priced between US$9,400 - $12,900 (in single units) depending on the number of 'C6x processors.