where are the dollars, page-78

Asking where are the Dollars is a legitimate question. Many are surprised by the tepid share reaction to the launch in Brazil and implementation in Indonesia. The share price barely moved, and in some instances, retreated. Announcements made by TV2U, no matter how brilliant, will not affect the share price and will not answer that question. The answer will come from TV2U's success in delivering what it promised, with clear pointers to actual market share growth and associated dollar revenue.

Many investors here, who have been around since 2015-16, remember things like Vubiquity. I wouldn't blame TV2U for it because it definitely did not over-promise, it just created huge expectation that simply didn't materialise. That happens in business, especially with start-ups. Some potential deals simply don't go through. Investing on a promise is what we all do sometimes. It also makes us more cautious when future announcements are made.

My issue with TV2U is that it's message has been all over the place and not focused on its core business. I have been on both sides of the equation, presenting to analysts and investors and listening to companies promoting their business. I would be very wary of a company that would tell me that their business is basically streaming media to consumers and then start telling me about the "Internet of Things", the "Hub of Things", energy usage in the household, smart appliances, e-commerce, connected smart cites, etc. The only thing they missed on is Climate Change! If the chairman believes that this sort of messaging should impress investors he is sadly mistaken. It may impress geeks, not serious investors.

There is a difference between having a realistic business and product vision and just plastering buzzwords all over the place. It makes you wonder where is TV2U really going? Is it truly focused on its core business? Is it diluting capital by over-investing in the development of technologies (something IT people tend to do) instead of actively marketing their core product? The answers to these questions are often hard to get when you are on the outside. Hence, the cautious or tepid reaction to otherwise good news.

Having said that, as a private investor, I believe that there is a huge market potential for TV2U's core product (iVANX). I also believe, based on presentations delivered during the AGM and elsewhere, that the product is well engineered (conceptually at least, pilots and deployment will provide proof) and offers significant selling points and competitive advantages which would ensure its success in many more markets. Hence my decision to invest despite the pointless side show.

Analysts and large investors however will not hop on this bandwagon as things are now. I have seen them invest in almost obsolete technologies simply because the product was seen as a cash cow for years to come; buzzwords will not impress them. These investors will want to see new business signed in (Brazil and Indonesia are already factored in), they will want to see steady revenue streams, future growth potential, and they would like to see a focused messaging by the company.

The day that happens TV2U's shares will soar. That's what I and all investors are hoping! We just need to be patient. A presentation takes 10 minutes to deliver, company success can take 10 years. Netflix, although a different business model, saw it's shares go from around $3 to over $200. It just took 10 years to get there. I hope we won't have to wait that long!

Cheers.