2011/11/9 Jed Rothwell <[email protected]>:
> A small businessman, with a private
> corporation, who has no grasp of how to deal with a potentially gigantic
> worldwide market worth ~$1 trillion a year. As someone here remarked, he is
> treating this like some guy who has come up with an improved formula for
> automobile window washing fluid, and he's manufacturing cases of the stuff
> and stockpiling them in a warehouse, hoping to ratchet up to a few million
> dollars in sales.

There would be 2 major drivers:
1) Added value i.e. earnings for e-cat producers.
2) Energy savings for customers.
(for a market to exist both roles, buyer and seller, shall see an
advantage in trading)

Point 2) is certain as long as the e-cat keeps the promises.  It gives
to a business selling CF devices a powerful lever to attack the
market, but
to take advantage the business must be the only one. And most
interesting such saving *lowers* the global GDP i.e. less money
changing hands,
the energy market, in monetary terms, will become smaller indeed, much
smaller than today.

About the other point. Suppose no patent will ever be granted.  Once
the secret would have been known or similar results can obtained with
a know process 1) would be true only if producing equipment that
exploits CF were very difficult to design and build.  Requiring the
highest degree of specialization and unparalleled engineering
capabilities.  Imagine that that is not the case: anyone can create a
factory where millions of reactors are assembled. That would imply
really low profitability on each sold piece.  Those things last more
years than a car so there is little gain in replacement. Why would any
one buy Rossi's and not Mr Chen's?

What is the conclusion?  Rossi is not aggressive to the market because
the device will reproduced easily and will be cheap to make.  He is
trying to build a slowly, but solid growing, business.  It also means
that he expects that his company would have a technological monopoly
only for a few years and that he does care more about profitability
than market share, i.e. same or slowly growing sales numbers in an
expanding market with lots of competitors.

Of course if patent were to be granted Rossi's strategy could be far
more aggressive.

mic

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