RE:RE:Glimmers and BleaksYPL, we have discussed the potential number of cables that exist the Spectra could replace existing technology in the hyper center DC’s previously.
Dont shoot the messenger, but the number might me sounding like 2 per server. This is second hand information, but consider the info to be more legitimate than illegitimate ...
IF true, we could be looking at about 200,000 cable chip sets per center. The math is really still pretty good, as there are about 40-50 the large scale centers to be built annually over the next several years...
We just need to grab about 25% of this market , which based on 50 new centers annually @ 25% equates to about 12 per year.
12 x 200,000 cables (2 per server) = 2.4 million cable chip sets at $10 per set( using a conservative revenue per chip set) would generate about $24 million in revenue with a gp% of 55% creating about $13 million in pre tax earnings from this one category.
If this illustration and or projection were to be close to reality let’s say for 2019, what valuation do you think could be awarded to the company above where it sits today?
There are a lot of variables involved here, future book of orders and pipeline beyond 2019, and cash management, etc...
It seems they have a pretty talented design team and might be ripe for the picking if they can establish themselves as a significant supplier to this burgeoning sector!!!
By the way, is there a feature on this board that allows for private messaging?