Pandora wrote:
No conference call scheduled -- is it not normal protocol for them to have a follow up conference call?
Everybody is quiet but then maybe nobody is here.
I have one question regarding Mobikey which at one point was the creme de la creme as far as ROI went. Something I need clarified for me regarding the following statement:
"Route1 renewed the MobiKEY service to DISA's Joint Service Provider ("JSP") for an additional year albeit at a smaller level of users - 1,000 versus 4,000. JSP operates and defends the U.S. Department of Defense ("DoD") key cyber terrain, and provides IT services to the Pentagon and National Capital Region customers. The Company expects to realize a similar outcome to that of JSP with a second, 4,000 MobiKEY user DoD account that renews in Aug-22."
One contract renewed but reduced from 4000 users to 1000 users. A second contract to be renewed in August but also being reduced from 4000 users down to 1000 users. That does not sound like a growth situation to me.
From that statement I got the impression that the star member of the family was entering it's twilight years.
However the following statements are then made:
Route1 moved the MobiNET from Toronto, Canada to Phoenix, Arizona.
Further, the Company
will continue to invest in data security, user authentication technologies, and develop new technologies that will allow Route1 end-users to integrate disparate data sets and use ALPR technology for new outcomes.
For certainty, included in our investment is the Company's flagship software application MobiKEY and service delivery platform DEFIMNET, which separates us from other turn-key engineering services competitors.
The subscription-based revenue model for Route1's MobiKEY product was one of the first in the industry. My question is, what is the forecast growth model for Mobikey and Defimnet if in fact the number of users is dropping at 75% levels. Is there some new innovation that will help it out or is there a new target customer base that has shown an interest. Seems to me the U.S. Navy has been the sole large supporter and now they are bailing? (8000 users down to 2000 users). Is that primarily, or at least the major input to the "Application Software" line under Revenues in the report? Who else is there? Just wondering. I think we need some major change to the profile if we expect to recover value in any way and that change is not outlined in this report. What comes next? It's a long way to the next quarterly.