What will a TTT machine cost and will it be worth it for Trek?...

What will a TTT machine cost and will it be worth it for Trek?

From the Wentworth client note, it seems they are anticipating a sale price in the order of $10m per unit

Assuming a 10 yr useful life, that's $1m p.a.

Apparently TTT expect bike frames to be built at around 2 per hour, so say 30 per day and maybe 1000 per year

So there would be a machine purchase cost of about $100 per frame to factor in.

If the machine cost is more like $5m, then the cost for Trek is more like $50 frame.

(Note BAE have a note on their website about spending $10m for a titanium machine a few years ago.)

I would not think this would be a show-stopper assuming the variable costs (powder, labour, etc) are say $300-500 per frame and the rrp say $2-5k depending how they will market position them.

Trek produce about 1 million road bike frames per year so 1000 TTT frames (one machine) would be about 0.1% of their production. Not too much of a stretch to see scope for them needing multiple machines if the above is on the money?