quote:Originally posted by sniper


Think about this for 1 minute.

600m mobile phones currently sold a year and this is projected to grow to 1 billion by 2010.

Assume 10% incorporates GPS within the next 2 years so 60m requires GPS receiver.

Rakon has 50% market share so 30m receivers sold by company.

Makes 50 cents per receiver so profit = $15m or $10m after tax.

If 20% of mobiles incorporate GPS, profit to Rakon will be $20m.

2007 profit projection (without mobile phones)is $7m.

Some fantastic blue sky if you believe more mobiles will incorporate GPS in the near future.

That's the pitch.

Snaper.

Will Rakon hold their 50% of marketshare?

Will it still be able to maintain the smallest gps by 2010?

Can it maintain its margin over the next few years?

Do blue skys stay blue or does it start pising down after a while?

I love you snaper, straight from a brokers mouth