The problem with Drone manufacturer is we truly don't know the number of drones produced, ref to this article from DroneLife:
http://dronelife.com/2015/04/16/drone-sales-numbers-nobody-knows-so-we-venture-a-guess/
We can of cause take a 'guestimate' which have already been done in the article provided...
Assume BRN signed up a M4 licence agreement with DJI... Although, 2015/16 estimates are not provided in the article lets assume DJI produce a total of 700,000 units in 2015/2016 (across its entire product line).
Let's also assume not all future DJI drones will be sold with AI technology, lets assume 25% of its drones are 'premium' and will be deployed with BrainChip technology - the remaining will be 'standard' and not to be deployed with AI technology.
Let's say this accumulate to approx.. 175,000 'premium drones' sold per annum, broken down in quarters we may argue DJI is going to produce 43,750 'premium drone' per quarter to the market place. Rightful so BRN expects to get some revenue, going forward.
Now ask yourself with current price tag of a 'Phantom' unit $1,000++ (without AI tech), how much are consumers ready to pay for the next generation drone technology? Also, what do you think the price tag for an AI chip + co-development is, and how much is DJI willing to pay BRN for its technology per unit, $100 per premium drone, $200, $330, or just $45???
I know above breakdown is my own and it is just a 'guestimate' - however, based upon the estimates given in the article, I can't see BRN getting $10m revenue on a drone spin with DJI - think it will be in the lower $2-3m range.
Do your own break down and analysis, - put yourself in the shoes of a drone manufacturer, make your own costs estimates and work out what you are willing to pay per sold unit to a third party.
If indeed, BRN is going to get $10m revenue from a drone manufacturer, I think it will mean the consumer will have to pay a hell of a lot for the units, compared to previous year(s). Question is if DJI or any other drone manufacturer has an upper price on its units, I think they do and this will ultimately determine how much BRN can expect in revenue.
If indeed DJI is first to market, I would not anticipate they would allow other drone manufacturers to use BrainChip technology, I would ensure to incorporate a non-compete clause in the license agreement with BRN, making sure competing operators cannot use the AI technology for min 6-12 months. This would mean that BRN could not engage with other drone manufacturers. meaning BRN will limit it's revenue in the first year(s) within the discussed sector.
On the flip side - drone laws are to be relaxed this year;
http://www.news.com.au/technology/g...t/news-story/293de111202282e4a7c35533a12b397d
hopefully, new drone laws that will help BRN securing a $10m licence (M4) deal, should DJI sign up. lets wait and see how this unfolds.
Good luck to all SH.
DYOR
(20min delay)