BRN 2.38% 20.5¢ brainchip holdings ltd

Revenue/PE - Mature Stage, page-16

  1. 3,845 Posts.
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    Pricing for IP should be based on the value proposition the device presents.

    For example, if I can make a device with no known competitors for $100, that can save your company $1 million dollars a year in costs, over a 5 year device life, do I sell it to you for a standard 100% retail markup at $200? No way, I sell it to you for 1 million dollars. I clear nearly a million in profit and you save 4 million dollars over 5 years.

    Same principle goes for tech like Akida. If Renasas can make a device like that above, that is only possible with Akida inside, then BRN should be sharing in that massive profit, not clearing a $5 licensing fee.
 
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