Ann: Infineon Design Agreement and Company Update, page-635

Hi Dazza, Yes I have read Flectionals post, and I agree there are many steps yet to negotiate. The important thing to keep in mind in my opinion is that many of the steps that lay ahead are designed to obtain a 'premium price' for the tech at sale. It doesn't mean that after 20nm a big player won't come in with their massive 10's of billions of R&D money and take over the final stages of development. They would just do what we would 'hopefully' be paying Infineon to do. It could be a reason why we can exit the Infineon deal along the journey even if the design work is incomplete.

I do think however, it is 'unlikely' we would find a buyer before the custom controller/ access chip is finished and we are able to access the full operational abilities of our memory chip. So that is at least 15 months away. A buyer is not impossible, just less likely until the work is done to fully characterise the memory chip.

David, has a knack to over-simplifying what is required to commercialise our IP. A cynical person might even think he does this purposefully, because he knows if investors/potential investors really knew how long the process is then they might not invest until much later in the process. I have my own private views about why David is like he is. Many here including myself didn't realise what was involved in the commercialisation process. I blame myself for my own ignorance, but I 'personally' feel misled by the stated process. It seems that further steps keep getting added to the process as one process is finalised. We don't really know where it ends. Flectional has given us some insight into the future.

So, again, 'if' you can believe David, following a successful PL6, IMEC will introduce us to some household names ( who by the the way PH has told us at the AGM already know about us). David makes it sound like upon introduction they will do a due diligence and then reach for their cheque books in a bidding war to get the IP.

At this stage, I personally feel like ignoring everything David says. PH has been more open about the process (even though I don't like what I'm hearing). My big hope at the moment is that a big player comes along, sees there is enough potential in what we have and takes the next steps on their own. In other words, I am not sure I want the risk of hanging around for a 'Premium' price.

The question for me then is what is the commercial value of PL6 BEFORE the Infineon work and ( full characterisation of metrics) versus PL6 AFTER the Infineon work and ( full characterisation of metrics ?

Will it be worth the risk of waiting for another 18 - 36 months .........or more. ?