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Posted On: 04/04/2019 8:39:41 PM
Post# of 22465
Re: Puravida19 #11635
Nuc, I wasn't laughing at you, I was thinking I used to think about it that way, and it shows how little I knew then.
Let's take a stab at comparing cash sale vs royalties, very hypothetically.
Let's say an OEM needs 1 gram of QD total for each display. 1M displays = 1M grams x $50gram = $50M dollars cash sale.
Using royalties, if an OEM makes 1M QDLED Displays @ $1000 each, at a 5 percent royalty rate we also get $50M.
This is very simple illustration and pure speculation on all the numbers, but shows the principal difference between the two methods of payment.
Let's take a stab at comparing cash sale vs royalties, very hypothetically.
Let's say an OEM needs 1 gram of QD total for each display. 1M displays = 1M grams x $50gram = $50M dollars cash sale.
Using royalties, if an OEM makes 1M QDLED Displays @ $1000 each, at a 5 percent royalty rate we also get $50M.
This is very simple illustration and pure speculation on all the numbers, but shows the principal difference between the two methods of payment.
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