Thanks for pointing in the right direction. So, taking the cue went back to the chinese website and got the costs of microchips there which are made in china. It starts with US $1 and goes upwards towards US $200. Again, assuming that microchips are the most important part of an electronic device, and if the device costs $7.88, I'd think $1 to be the fair price of the microchips in that device. It could be more and considering we have ARDC embedded which is pretty intelligent chip, I'd expect that chip to be atleast $2. Based on that, I'd recalculate and my earlier calculations just goes out of the window and the new calculation is 15c / 4 = 3.75c (which is a 25% upwards frim the current price) at the least and I've been very very conservative here. It'd be nice to have figures attached in the announcement when it comes out and not like Telink deal where there were no numbers.
GLTAH.
Cheers,
Notty.
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