That's interesting icar. My dentist's husband works for IBM. Another friend is in charge of Lenovo's marketing here in NC. Didn't realize Hill won this new contract with Lenovo.
On an off topic subject, an otc stock I've owned for years zmtp won a 5 year contract to supply Motorola/Lenovo modems. Taking the Motorola brand name from arris. Super low volume on this stock with 8 million shares outstanding and trading around $.50/share. They did 12 million revenue last year using just the zoom brand. They announced a public rights offering to zmtp share owners yesterday. Don't know at what price the rights to buy zmtp shares will be. Might want to keep an eye on this one over the next few weeks, to see what the right's offer is. They announced at most another 8 million. The arris modem market is $50-$100 million. Just a matter of how much of that zoom can win, with a known brand name Motorola, owned by Lenovo.
I guess it depends on price? If the rights are priced at $.50 and share price runs to $1+ we'll be glad to exercise them on the shares we own and it will drive new investors to buy zoom shares.
I agree, it sounds like the ramp up might not cost as much as we thought. Using your $4 million raise to grab $50-$100 million revenue 2016 going forward. I assume the pricing is a little tricky. Too low and they miss more funds, but too high and it might decrease demand for those shares. I'm sure Frank and management has a good idea. It's a fair way to raise money from shareowners. Seems you know more about the technical requirements than myself. From the reviews it seems Zoom already has great products. It's the only way they survived being an unknown brand. Maybe this next step brings a little attention to what Zoom is about to do?
Sounds like maybe a 1 for 1 share owned. Now, just a matter of at what price?
Good questions. Seems everyone is waiting for answers to those questions. Seems $1.50 would be fair value just based on 1 X past 12 month revenue. I wonder if some of the modems will be current model, just with Zoom/Motorola brand on them starting next year?
I like it. ZMTP is still undiscovered.
Low volume stocks like Cemi are for very patient investors mo. ZMTP made a 200% move in two days, after I waited years. Very few sellers even at $.50. They are looking for a loan to ramp their already good reviewed products. Motorola/Lenovo are nice brand to take on tiny little zoom. We'll see.
With those kind of company savings, I'm sure you are well worth your pay. You must have a natural gift of understanding a complicated technical world.
As far as my portfolio, I'm really happy with my current picks. Different sectors to spread my risk. Honest smart management like dot hill has, is key to all good stocks. Found them all on my own. Just recently found another guy that invest in unloved microcaps like I do. His first pick I bought is gluu at $4. So far so good.
It does seem life is good. You're making more than some doctors.
You said you would retire if we hit $7/share. Are you still working?
Charter Communications Inc. is near an agreement to buy Time Warner Cable Inc. for about $55.1 billion in cash and stock, according to people familiar with the matter.
Charter will pay about $195 a share, with $100 in cash and the rest in its own stock, said the people, who asked not to be identified because the talks are confidential. The deal could be announced as soon as tomorrow, they said. Bright House Networks, a smaller cable company that Charter is trying to buy, will also be merged into the combined entity, they said.
Charter, the fourth-biggest U.S. cable company, is making its second move on No. 2 Time Warner Cable after its early 2014 bid was rejected and Comcast Corp. swooped in with a competing offer. Charter, whose largest shareholder is billionaire John Malone, got another shot when the Comcast deal fell apart in April because of regulatory scrutiny.
Spokespeople for Charter and Time Warner Cable declined to comment.
The price is 14 percent above Time Warner Cable’s closing price on May 22. Shareholders will have the option to accept as much as $115 a share in cash and less Charter stock, the people said. The deal value of $55.1 billion is for Time Warner’s equity. Charter also will assume debt in the transaction.
Dealmaking is heating up in an industry facing waning demand for traditional pay-TV packages and competition from Netflix, Amazon and other online services. While many analysts predicted a tie-up between Charter and Time Warner Cable, French cable billionaire Patrick Drahi made a surprise entry in the U.S. market on May 20 by agreeing to buy a smaller rival. While in the country, he also met with Time Warner Cable Chief Executive Officer Rob Marcus, according to a person with knowledge of the matter.
Liberty Broadband Corp., the Malone entity that holds the stake in Charter as well as shares of Time Warner Cable, will buy $5 billion of new Charter stock at the current price to help fund the deal, said the people. The transaction also has a breakup fee of $2 billion, which anticipates a possible bid by Drahi’s Altice SA and antitrust concerns, they said.
The Time Warner Cable deal enables Charter to almost quadruple the number of its cable subscribers, gaining 12 million customers in cities including New York, Los Angeles and Dallas.
Bright House Deal
Charter has also been renegotiating its offer to buy billionaire Si Newhouse Jr.’s Bright House Networks for $10.4 billion. That agreement had been in jeopardy because it depended on Comcast closing its merger with Time Warner Cable, which has the right to match or block the deal because of a longstanding arrangement to negotiate programming and other deals for Bright House.
Cable providers have been expanding their Internet offerings to help offset the loss of cable subscribers. By opposing the Comcast merger, regulators have showed they are taking a hard look at deals that give companies too much power over broadband Internet, which is increasingly becoming the way that people watch TV.
Federal Communications Commission Chairman Tom Wheeler called Time Warner Cable’s Marcus and Charter CEO Tom Rutledge recently to dispel notions that industry mergers won’t be approved by regulators, a person with knowledge of the calls has said. Wheeler told the CEOs that any transaction would be judged on merit, and there was no flat ban on cable combinations, the person said.
Mergers may give cable companies more leverage when negotiating contracts with television networks, which could keep cable TV prices down for consumers.
Investors have been anticipating more deals. Cablevision Systems Corp., the No. 5 in the industry, rose 17 percent on May 20, the day Altice agreed to buy a controlling stake in Suddenlink Communications, the No. 7.
Thanks Z. My portfolio a few years ago was a rag tag baseball team, with players like the bad news bears. Now, I have every position covered with excellent triple a players, including Vecima which is a cash cow. Hoping a couple of players/stocks move on up to the major league now.
I agree about the money raise. What zoom has going for them is, they already have products on the market competing with motorola/arris and those products have real good reviews for years. Money is so cheap right now, there should be lenders lining up for this fairly safe loan, but no guarantee.
Manning also believes that Arris, which has rights to the Motorola brand through the end of this year, is taking on some risk by leaving the Motorola brand behind. Arris seems to agrees that it could face some challenges at retail without Motorola on its banner. “Shelf space in retail outlets can also be impacted by how recognizable a brand is by customers,” Arris said in this recent 10-Q filing. “If we are unable to successfully rebrand those products, our sales in those regions and channels may decrease. Further, the loss of the use of the ‘Motorola’ brand may result in a lower amount of shelf space, or space in less desirable areas, which may impact our sales.” Arris has been trying to build consumer awareness of its brand through initiatives such as its sponsorship of Carl Edwards in the No. 19 Toyota Camry. But how much Arris truly has at stake at retail is not easy to determine, since the company does not break out how much cable CPE revenues comes in from that channel. On Tuesday’s call, Manning helpfully estimated that Arris’s Motorola brand sales are presently in the range of $50 million to $100 million per year. Zoom would do well if it’s able to grab just a portion of that, as the Boston-based company generates annual sales of about $12 million. In the first quarter of this year, Zoom posted revenues of $3.06 million, down slightly from the year-ago quarter primarily to reduced sales of dial-up modems. Arris, meanwhile, is in the cat bird’s seat of cable broadband CPE. According to Infonetics Research, Arris ended 2014 with 36% share of global revenue in the category, followed by Cisco Systems (19%) and Technicolor (13%). Jeff Heynen, the research director for broadband Access and pay TV at Infonetics, said Zoom and other cable modem makers could see greater opportunity at retail as more consumers cut the pay TV cord and go broadband only, paired with the trend toward rising equipment lease fees. Manning also discussed Zoom’s
Zoom Telephonics is a small company that will soon gain access to a big name brand – Motorola. Zoom, under an exclusive five-year licensing agreement announced earlier this week, will use the Moto brand in cable modems/routers and set-tops (as well as cable modems inside set-tops) sold at retail in the U.S. and Canada. The deal, Zoom CEO Frank Manning said Tuesday on a conference call, carries “significant upside with some risk.” The upside is obvious – Zoom, which sells cable modems and gateways at outlets such as Best Buy, Micro Center, Staples and Walmart, believes it stands to sell more products at retail using a better-known consumer brand. “We’ll be doing the same for the Motorola brand and we should be able to expand the number of retailers and service providers who buy from us,” Manning said. “This won’t be easy. Zoom will… compete with powerful companies, including Arris and Netgear for shelf space and sales." Now, the risks. Zoom has not announced the specific terms of the licensing agreement other than to say it has agreed to pay Motorola Mobility a one-time set-up fee and a royalty based on net sales, but Manning acknowledged that his company has “made significant financial commitments” in doing the deal. Zoom will be also paying to use Motorola’s brand on products that are already affixed with notoriously thin margins (even with the retail markup), but Manning believes the Motorola label will help it overcome that challenge. “Even with those [financial] commitments, we believe that Zoom’s cable modem margins after licensing fees should stay the same or increase given Motorola brand's power,” he said. Zoom, he added, also plans to raise additional funds to provide working capital to finance the growth it hopes to generate with the new branding strategy, but said it was too early to provide those details. Manning also believes that Arris, which has rights to the Motorola brand through the end of
Not me. I'm still in shock from another top ten OTC holding of mine...zmtp. Eight million shares outstanding, doing 12 million revenue. Market cap of roughly $4 million, puts it at .33 X revenue. They just won a 5 year contract with Motorola/Lenova to build modems/routers for a $50-100 million market. Almost no sell volume at this price. Main question is how much money they will need to ramp up production and at what share price it's raised. This might be my retirement ticket, it things fall into place like I believe they will. Been in this one for years and their/my ship finally came in. Waiting on chembio to double this year too.
"DCIG Reports Dot Hill AssuredSAN 4004 Hybrid Storage Array Tops Nimble Storage CS500 in Efficiency, Flexibility and Enterprise Readiness
Competitive Advantage Paper From DCIG Says Dot Hill's Hybrid Storage Array With RealStor Delivers Enterprise-Class Technology to Small and Midsize Organizations
LONGMONT, Colo., May 21, 2015 (GLOBE NEWSWIRE) -- Dot Hill Systems Corp. (HILL), a trusted supplier of innovative enterprise-class storage systems, today announced availability of a new Competitive Advantage report published by DCIG entitled, "Dot Hill AssuredSAN(R) 4004 Tops Nimble Storage CS500 in Real-time Data Center Efficiencies, Flexible Multi-Protocol Support and an Enterprise-ready Platform." Authored by Chuck Cook, DCIG analyst, the report analyzes the architectural designs and key features of hybrid storage solutions from Dot Hill and Nimble and concluded that the AssuredSAN 4004 is an exceptional platform.
Offering up to 84TB of storage capacity per rack unit, the Dot Hill AssuredSAN 4004 with RealStor(TM) offers 3.5X the storage density of the Nimble Storage CS500, which is limited to 24TB of raw storage capacity per rack unit.
"The versatility of the AssuredSAN 4004 allows it to fit in diverse environments while optimizing performance for business-critical applications," said Cook. "Superior data center efficiency, flexible protocol support and enterprise-ready features combine to make the Dot Hill AssuredSAN 4004 platform a better fit than the Nimble Storage CS500 for many enterprise deployments."
"This DCIG Competitive Advantage report validates what we've seen in our labs and in the field," said Bill Wuertz, senior vice president, products and solutions, Dot Hill. "Dot Hill's unique RealStor storage operating system stands alone in its ability to provide true autonomic, real-time data movement to accelerate storage operations delivering data where customers need it, when they need it—in real time. Real time matters."
The Dot Hill AssuredSAN 4004 goes beyond the CS500's read caching, and utilizes flash for multiple functions including application as a high performance storage tier, along with read caching; and packs 3.5X the raw data into each rack unit. "Unlike Nimble Storage, network port types can easily be changed by replacing the SFPs provided by Dot Hill," the report says.
According to the report, the AssuredSAN's active-active controller configuration is an enterprise expectation. With active-active controllers, data requests are executed through concurrent access to all logical volumes. If one controller goes offline, the remaining controller services requests without interruption. "This architecture efficiently utilizes all of the system resources (CPU, memory and ports). With Nimble's active-standby configuration, half of its resources sit idle," the report states.
Frank did the best he could to extract the truth from Zoom's China management. I finally gave in and sold all, when he couldn't get much information from them on their conference calls. ZMTP sold all of their zoom shares shortly afterwards. Maybe we'll get the symbol and Nasdaq listing back some day. But, when you think of it, ZMTP is going to benefit from a China company now. My state has the most employees employed by a China company, than any other state in the country. I'm still amazed Frank kept the company together enough to survive, after the fraud committed by those thugs. Zoom Telephonics might just make up for my losses from Zoom Technologies in time.