Ann: Intiger Market Update, page-755

My speculation on the reduced quarterly numbers was that it was due to Boom2 being trialed by some of our bigger customers i.e Ipac WA and SA etc. The Market update says that Boom2 is practically ready for trialing with new customers and I would think that they would have gone through a beta testing stage with existing customers that they have a strong relationship with.

Due to the nature of Boom2 being AI and the focus on greatly reducing the human input on both customer and IAM's side, I believe the cost per process will also be lower than what we currently offer with the plan of being much more scaleable.

This would be why there was a increase in the number of SOA's ordered but the reduction in revenue. This also partly explains the ambiguous comment "the reduction in revenues collected during the September 2017 quarter reflect the disruptive impact Intiger's services have on financial planning practices".

I think if this is the case it bodes well for IAM as the BOP aspect didn't offer a large enough price difference to encourage companies to take the risk and move there business across, it also was going to be difficult to scale and I don't think the larger customers were confident that I am could handle the load.

I think Lilly fixes a number of these concerns, it will be at a price point that if you don't transition you will be priced out, and secondly due to the automation and speed component its scaleability is suitable for taking on the larger customers.

While the reduction in revenue was disappointing, I think the market update was positive and the market over reacted without looking into the context of where the company is at.

IAM is much more advanced in its development than 12 months ago and by moving to a technology backing of automation and AI vs the BOP wage arbitrage model, revenue can go for 0-100 in a blink, it only takes one big customer.

It is still super high risk at this point but I believe the risk is less than it was 12 months ago and the risk/reward ratio is equally super high. If they manage to kick 1 goal with a bank of large independent we will be many multiples higher.

All in my opinion and only time will tell.

mcbr