Hi Rhama,Hi Tony,
Great research as always. Thanks. Sure looks like a good direction to be heading in, particularly with our accreditation. You'd have to say that Cloudten are our most exciting prospect by far, right at this moment. I look forward to watching this one unfold. Do we know if Decipher have lost the Sydney Airport gig for sure?
Just as an aside, I was struck by the following paragraph in computerweekly. “If you’re an enterprise, you can innovate that way [supported by legacy technology], but you can’t work off a bad diet, and if you’re consuming high-calorie technology, it will hold you back.”
Another interesting side to all this mega computing is that flash memory - ram - has reached its peak, it's technology wont allow it to develop further. And the market is demanding; they want - more power! Flash memory is also volatile and with prolonged, heavy use, it's memory begins to slow and fade. It's also an expensive technology. But I do believe there's a lot of interest in the next generation of computer chips. Lots has been invested in recent years to find; less volatile, easier on the battery, lower cost chips, which also promise to increase read/write speeds by as much as a 1000 times. If chips like these do make it to market, it would be a perfect fit for the Cloud. Jeff's timing with the Cloudten purchase could prove impeccable.
I agree with you Canterbury, less shares on the market would make us much more attractive. But, I wonder if this might be a good time to fly under the radar for a bit. Get a few quarterlies under the belt, consolidate the businesses, rather than the register, and be in a position to be able to do something with TSI. Or - TSI does something itself. Hard to know what to do. I've never personally seen a consolidation work to the investors favour, although I've heard whispers. No, I reckon the buyback scheme is the most advantageous of the lot. However if there is growth in all of our businesses "and the strategy was to consolidate" just prior to going to the market with a fistful of great announcements, then I might think consolidation is a great idea. Guess I just need a lot of convincing, ha ha.
Cheers
Rhama
No problem.
You wrote;
Sure looks like a good direction to be heading in, particularly with our accreditation. You'd have to say that Cloudten are our most exciting prospect by far, right at this moment. I look forward to watching this one unfold.
It sure is. DWX is tracking along very nicely too. The potential cross selling opportunities across both businesses is something I am hoping they can leverage. One just has to look at the average contract $$ that Cloudten are winning per client (averaging $720k recurring revenue per year / per client). If they can convert five clients of DWX over to Cloudten's solutions, then their revenue could double just like that. Same also applies to Cloudten's clients if they required a Cybersecurity solution. It's all about leverage and growing these businesses organically first. There's a LOT of room for expansion on either side, either independently or part of their leveraging strategy. These are two booming sectors and management have done extremely well positioning themselves to potentially capture a large slice of these pies. Let's see how they perform. My attention is on the next quarterly.
Cheers,
Tony
