Thursday, August 7, 2014

UPS Numbers -- Gem of the Message Boards

When asked about the backlog, they said that most of it was UPS.
According to the 10Q, $230K is for the collaborative development with F100.

The other part of the backlog is $722K, mostly for UPS.

The infrastructures of UPS are extensive and include 2,400 distribution centers, 93,000 vehicles and 268 airplanes going to 391 airports in the USA and 219 abroad.

UPS has been known to implement their changes across all their centers. The finger scanner has been a huge success.

Assuming only 1000 of their centers were to implement the PicoP solution and each center spent only $100K, that's already $100M.

It's easy to see that if this goes ahead, there will be a nice stream of revenues from that deal.

Do the math!

I see a great job looking at the numbers, trimming them to a very reasonable "conservative" number.

$722,000 reduced to a conservative number of $100,000.
2400 centers reduced to 1000 centers.

Result: $100,000,000 to MVIS.

Being Optimistic:

$722,000 reduced to $500,000
2400 centers reduced to 2000 centers

Result: $1,000,000,000  to Microvision.

For fun someday, when the UPS driver gets to your home or business, ask the driver this: "How would you like it if your handheld scanner could project a picture of the person who is supposed to receive the package? You scan the package and right there is a picture of the person who should get it?" -- I've asked several, and they're VERY enthusiastic about that idea.

Stickers are expensive. Using small barcode stickers with scanners that project could save UPS a huge amount of money and acres of stickers.

To acknowledge a caution posted on another board:  yes, this is an assumption that this money is for implementation, and that other installations will have similar revenue attached to them. 

Thanks for the words of caution. You're right HAB.

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