Lots Of Production, Costs Fears For Absolutely Nothing!
I will speak generally here as I will have to reconfirm production capacity as to whether the total estimate given was per month or per year--the number I was given by ir at any rate is 10,000 units and I was told that there is no problems getting that achieved. The costs models are a little more than what people may be lead to believe there are two ways that it is being done. One is through the resellers which from my understanding the company will be producing the units and provides them to the reseller at wholesale. The other way is the licensing model where the company will collect a specific royalty based on what will be the amounts of units ordered--everything as to what I have been told here will be looked after by those who will be partaking in the agreement--as to my understanding all of this covers manufacturing, distribution and installation, so if my understanding is correct theoretically speaking there should be no cost to us just simply sitting back and collecting the royalties. This type of agreement will be with the integrators and bigger companies such as your Honeywell, Siemmens etc. There was another company that was mentioned but I forgot the name. As far as pricing is concerned, the company I was told at this point is interested in specific market segments such as casinos, football fields, government agencies, airports etc and they are not concerned about the units costing $10,000. I was actually told these clients actually think the costs are very reasonable. As for others like schools etc I was told that there could be another type of business model later on. For people who are making a lot of noise about how this company will go about executing, I would highly recommend before doing so speak to ir as they actually have an extremely well thought out and sensible tactic to grow this business as to what I am gathering and trying to share here.