BUSINESS
To disrupt and displace fuel cell, homeland security and public safety markets, VSPC uses patented technology based on hundreds of man-years of space program efforts. VSPC has licensed technology that has been has been nurtured, tested and proven in labs and space by NASA, JPL, Caltech and University of Southern California (USC).
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SUMMARY
With proprietary technology VSPC is driving the growth of very large, billion dollar new markets and is expected to generate very significant recurring income with patented technology products. To gain competitive advantage, strategic partners are willing to integrate VSPC's products on a worldwide basis. Future VSPC cost-effective growth is based on the 'fabless business' model, perfected by the semiconductor industry which, for example, outsources wafer manufacturing to the Far East.
Strong management team
A strong management team is the most important, critical ingredient to creating future shareholder value. VSPC has a strong management team.
Large rapidly growing markets
In general, to increase shareholder value a company must participate in rapidly growing markets, and should try to be a significant player in targeted markets. VSPC expects to dominate billion dollar markets that do not exist today, by introducing 'believe it or not' technology innovations that create and expand markets.
"Breakthrough" products in the VSPC pipeline
VPSC products in the process of commercialization are expected to enable up to 10 hours of laptop computer usage, and three weeks of cell phone operation using fuel cells, GPS-free navigation, especially for places where GPS doesn't work (a top DOD priority), automated analysis of air and seaport cargo containers based on X-Ray imaging (Homeland Security), identification of narcotics, chemicals, and biological weapons.
Another total breakthrough, with a nanotechnology based mass spectrometer is a portable, carry-on suitcase size device that processes & identifies one molecule at a time: further miniaturization is expected to shoebox size, compared with stationary desk size provided by today's competitors.
Significant recurring income from fuel cell batteries
In five years, annual revenue from disposable fuel cartridges for fuel cell-powered portable electronic devices is expected to range between $7 billion on the low side to $45 billion on the high side. That market does not exist today.
VSPC's fuel cell cartridge business model is similar to the well-known razor/razor blade model, which is to sell the razor and then make much more money on the recurring blade business. The fuel cell is a razor, and the disposable fuel cartridge is the razor blade.
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Another analogy is the flashlight/battery model. Imagine if a company had the primary intellectual property involved in manufacturing flashlights. It would probably license that technology to major flashlight manufacturers, in return for help in dominating the recurring flashlight battery business. In this case
VSPC has the proprietary rights to the 'flashlight' -- the fuel cell -- and intends to sell the "flashlight battery" -- specifically, disposable fuel cartridges, for an end-user price of $2-$3 each.
VSPC is currently negotiating to provide its patented fuel cell technology to major computer manufacturers, in return for their agreement to use disposable fuel cartridges developed by VSPC, the manufacturing of which will be outsourced to well-known, major plants in the Far East.
Intellectual property protected with patents VSPC's fuel cell technology, for example, is protected by over 70 issued and pending patents. Strategic partners lend credibility To create a cost-effective worldwide footprint, emerging companies must partner with branded, global companies who have strong management teams and significant resources.
VSPC is partnering with major, well-known market leaders who have management, resources and global branding. Partners are attracted to VSPC's technology, and expect to gain competitive advantage by integrating patented, proprietary technology obtained from VSPC. For example, in the fuel cell business, Toshiba, NEC, Sanyo, Hitachi and Samsung have unveiled prototype fuel cell powered products that more than double the operating time over existing battery technology. These companies are potential strategic partners for VSPC. To better work with Japanese manufacturers, VSPC has opened a Tokyo office.
"Fabless" business model enables cost-effective growth Fabless semiconductor chip companies design and develop proprietary chips, then outsource manufacturing to wafer plants in the Far East. Some well-known fabless semiconductor companies, ranked by market capitalization, include ¨ $12 billion market cap, Broadcom (BRCM)
VSPC expects to use emerging computational, RF, imaging and nanosensor technologies to drive market growth by enabling GPS-free navigation, especially for where GPS doesn't work -- a top DOD priority; automated analysis of air and seaport cargo containers based on X-Ray imaging -- for Homeland Security applications; and identification of narcotics, chemicals, and biological weapons. When appropriate we will also provide updates on projects currently under review, which include a water purification technology and interactive radio. |