Comments for The Displayground: Microvision Official Blog http://www.microvision.com/displayground Commentary, insights, interesting tidbits and overall information about Microvision Tue, 31 Aug 2010 00:15:04 +0000 http://wordpress.org/?v=2.9.2 hourly 1 Comment on Back to School Promotion for SHOWWX by Michael http://www.microvision.com/displayground/?p=1795&cpage=1#comment-22092 Michael Tue, 31 Aug 2010 00:15:04 +0000 http://www.microvision.com/displayground/?p=1795#comment-22092 You have to make it so that (overall) people prefer to use the ShowWX over a TV. This comment might be vague, but currently, there is no comparison. I don't think interest/momentum can build until a brighter, higher res product is available at current or lower pricing. You have to make it so that (overall) people prefer to use the ShowWX over a TV. This comment might be vague, but currently, there is no comparison.
I don’t think interest/momentum can build until a brighter, higher res product is available at current or lower pricing.

]]> Comment on Back to School Promotion for SHOWWX by Craven Lee http://www.microvision.com/displayground/?p=1795&cpage=1#comment-22087 Craven Lee Sat, 28 Aug 2010 02:28:50 +0000 http://www.microvision.com/displayground/?p=1795#comment-22087 I have a teenage boy. Two years ago all kids wanted a NorthFace Jacket which cost about 120.00. I thought it is a ripoff, but kid got to have one. Last year I noticed all teenage girls seem to have a UgeeGee boot which costed more than 200.00. So do not get discouraged because our price is high. We just need to figure out an effective way to market it to the college students this fall and create a perception of status quote to own a SHOWWX. We can then create a real strong demand for this Christmas. I was thinking if I were a college freshman again, SHOWWX is one item I got to have. A 36 inchs LCD TV costs more than $600.00. Besides that I can use it to do presentation, watch movie with bodies or girl friend, get popular in the party and I do not have to worry the physical constraint of the TV. Most of the SHOWWX will be paid by parents anyway. We may not have a hand of good cards right now dut to shortage of GL, we just have to play it right. I have a teenage boy. Two years ago all kids wanted a NorthFace Jacket which cost about 120.00. I thought it is a ripoff, but kid got to have one. Last year I noticed all teenage girls seem to have a UgeeGee boot which costed more than 200.00. So do not get discouraged because our price is high. We just need to figure out an effective way to market it to the college students this fall and create a perception of status quote to own a SHOWWX. We can then create a real strong demand for this Christmas. I was thinking if I were a college freshman again, SHOWWX is one item I got to have. A 36 inchs LCD TV costs more than $600.00. Besides that I can use it to do presentation, watch movie with bodies or girl friend, get popular in the party and I do not have to worry the physical constraint of the TV. Most of the SHOWWX will be paid by parents anyway. We may not have a hand of good cards right now dut to shortage of GL, we just have to play it right.

]]> Comment on Green Laser Diodes Are On the Way, In the Meantime If Done Right Synthetic Green Lasers Have an Embedded Play by Anant Goel http://www.microvision.com/displayground/?p=1761&cpage=1#comment-21995 Anant Goel Wed, 11 Aug 2010 20:09:55 +0000 http://www.microvision.com/displayground/?p=1761#comment-21995 Thanks, I found the answer by reading your post again. Here’s what I figured… • Currently, the quantities of synthetic green lasers and the ASICs are too small─ like 5,000 to 10,000 units per month, and the cost is “relatively” too expensive… thus the negative margins. The key word is “relatively”… meaning product cost [in such small quantities] is more than the transfer price that can be charged to the OEMs at a suggested retail price of $549. • To put it another way; if the retail price was increased to $649 and the transfer price to OEMs also raised by $100… than the relative cost of product─ at such small quantities, may NOT be [relatively speaking] too expensive… thus the potential for positive margins. What I find very interesting is the comment about… “We have already begun to see availability of the first generation synthetic lasers increase. The next generation synthetic green lasers are expected to be more efficient and less expensive than their first generation cousins. We also anticipate that the direct green lasers targeted for introduction in the second half of next year may not reach desired performance and cost targets immediately. For these reasons, we believe that synthetic lasers could continue to remain a competitive alternative to direct green lasers for at least the first 4-5 years after diodes are introduced.” From your comments about synthetic lasers, it is now clear that they have 4-5 years as the economic life cycle… before the diode green laser mature and become cost competitive. Considering the potential volume sales of laser based pico projectors over the next 5 years, which could easily run into 200-300 million units, there’s enough incentive for the synthetic green laser manufactures to ramp-up production with corresponding drop in prices. I see two opportunities for cost reduction, and a very strong possibility of profitable margins, in the near future… • Next generation green lasers and ASICs should be coming out in the next three or four months and they are more efficient and less expensive… and that bodes well for positive margins. • A significantly large order from an OEM, in the 50,000 to 100,000 units per month range, will not only motivate the synthetic green laser suppliers, Corning and Osram, to crank-up the production lines… but it will also help reach the critical volume in terms of quantities that would result in some dramatic price drop. With next generation synthetic green laser supply continuing to improve over the rest of year 2010, it is just the matter of time that a visionary company like Apple will come waltzing down the aisle to embed Microvision’s PDEs in their smartphones, iPads or iPods etc. If it is not Apple initially, it will be someone else… you can bet on that. It may not be quite apparent to the naked eye; but with a little diligence the negative margins issue is just a short term anomaly that should correct itself in the next three to four months. Anant Thanks, I found the answer by reading your post again.

Here’s what I figured…

• Currently, the quantities of synthetic green lasers and the ASICs are too small─ like 5,000 to 10,000 units per month, and the cost is “relatively” too expensive… thus the negative margins. The key word is “relatively”… meaning product cost [in such small quantities] is more than the transfer price that can be charged to the OEMs at a suggested retail price of $549.
• To put it another way; if the retail price was increased to $649 and the transfer price to OEMs also raised by $100… than the relative cost of product─ at such small quantities, may NOT be [relatively speaking] too expensive… thus the potential for positive margins.

What I find very interesting is the comment about…

“We have already begun to see availability of the first generation synthetic lasers increase. The next generation synthetic green lasers are expected to be more efficient and less expensive than their first generation cousins. We also anticipate that the direct green lasers targeted for introduction in the second half of next year may not reach desired performance and cost targets immediately. For these reasons, we believe that synthetic lasers could continue to remain a competitive alternative to direct green lasers for at least the first 4-5 years after diodes are introduced.”

From your comments about synthetic lasers, it is now clear that they have 4-5 years as the economic life cycle… before the diode green laser mature and become cost competitive. Considering the potential volume sales of laser based pico projectors over the next 5 years, which could easily run into 200-300 million units, there’s enough incentive for the synthetic green laser manufactures to ramp-up production with corresponding drop in prices.

I see two opportunities for cost reduction, and a very strong possibility of profitable margins, in the near future…

• Next generation green lasers and ASICs should be coming out in the next three or four months and they are more efficient and less expensive… and that bodes well for positive margins.
• A significantly large order from an OEM, in the 50,000 to 100,000 units per month range, will not only motivate the synthetic green laser suppliers, Corning and Osram, to crank-up the production lines… but it will also help reach the critical volume in terms of quantities that would result in some dramatic price drop. With next generation synthetic green laser supply continuing to improve over the rest of year 2010, it is just the matter of time that a visionary company like Apple will come waltzing down the aisle to embed Microvision’s PDEs in their smartphones, iPads or iPods etc. If it is not Apple initially, it will be someone else… you can bet on that.

It may not be quite apparent to the naked eye; but with a little diligence the negative margins issue is just a short term anomaly that should correct itself in the next three to four months.

Anant

]]>