Xtract One Technologies Inc. T.XTRA

EVLV Being Investigated by the FTC

[bobbythebaker]

We’ll have to wait and see how badly EVLV gets run through the mud here.  This is where the subscription model could really hurt them, as customers could roll off to competitors.  They have Operating Expenses running at about $110mm per year currently, resulting in an annual Net Income loss of -$142mm per year.  With cash at $155mm at the end of June, it could go fast.  If sentiment truly turned against EVLV, it could be ugly.  Even if the backlash is more moderate, it would seem XTRA is a likely beneficiary of any EVLV disillusionment. 

[Baxbax]

Agreed. I ve been thinking how easy it would be customers to switch if wanted. I mean they already have operated with similar ish model (w/ non pure metal detectors) and staff is educated so to speak thus thinking it lowers the barrier. Also thinking how common it is in sec field overall to switch vendor. Some say it happens often if customer not happy and as u said subscription lowers the barrier