2010/1/21 OrionWorks - Steven V Johnson <svj.orionwo...@gmail.com>: > From Michel: > >>> My point was that Mr. & Mrs. Jane & Joe Public are not the >>> "entities" Steorn is going after. Steorn is mostly going >>> after companies, enterprises, corporate entities (big >>> or small) that might be interested. > >> I think on the contrary that the entirety of their licensing >> revenue will be from individuals. If I understand correctly >> their licensing model, enterprises will only pay a percentage >> of their sales of products implementing the technology. So >> if the technology doesn't work they won't pay a cent. >> Individuals on the contrary pay a flat fee! > > Interesting point, Michel. Let me try to redeem my thoughts on the matter. > > Yes, indeed, I agree that anyone, including myself can purchase an > ORBO license - a flat fee. I have no idea what an ORBO license would > cost me, but it's probably more than I would care to spend. But why > would I want to? What could I do with an ORBO license? Tinker away in > my garage after work, hoping to discover an elusive improvement to > ORBO's alleged OU? Yeah, I suppose that's possible, and some might > actually end up doing just that. But not too many, methinks. Ergo, > very little profit will be generated from the selling of ORBO "flat > fee" licenses to anyone, be it world renown corporate giants or > indigenous garage inventors. If that is Steorn's actual profit > strategy in regards to marketing ORBO, they would have to be dumber > than a pot of steaming cauliflower. >8-0
Since you have no idea of the cost of the individual license, nor of how many enthusiasts will buy it, nor of what they can be persuaded to buy from Steorn after that (Steorn measurement instruments at a preferential price, maybe?), how can you tell? > Adding to peatbog's recent speculations, t seems to me that Steorn > believes that the real profits would eventually come from the small > percentage of the gross/net sales generated from products implementing > their ORBO technology. If Steorn's ORBO technology is the equivalent > of a pink energizer bunny, such small "percentage" profits would > eventually turn out to be a floodgate of obscene riches. > > This premise assumes that Stoern BELIEVES their ORBO is valid > technology... that Steorn just needs a few of those big spending > corporate entities to buy a cheap (for them) licenses and subsequently > work out a few minor pesky bugs! Well not exactly, your premise assumes that the technology IS valid (what Steorn believes is irrelevant to what will ultimately happen). Mine assumes it isn't, but whether it is valid or not, they will make money. I have seen dumber schemes :) Michel
