So these partnerships got me thinking about a couple key

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Krisandtilly
So these partnerships got me thinking about a couple key questions.

How is this small company reaching these partnerships?

The first thing to understand is that NanoTech is really a leader in 4k. They have won several awards over the past couple years at the consumer electronics shows. The latest in January which was the Envisioneering Innovation & Design Award at the CES. NanoTech does the conversion work themselves. They have also reached a significant technological advantage. Apparently, they are able to stream 4K content at less than 8Mbps or up to half the bit rate of the competition. Netflix requirements are 15Mbps and 20 Mbps overall.

Netflix's 4K videos stream at 15 Mbps, and the company requires at least a 20 Mbps connection for the high-resolution stream to come through. Even for users who have a fast enough service plan, 4K streaming could be a problem during peak hours.

This is incredibly significant.

NanoTech's UltraFlix streaming 4K Ultra HD software achieves up to 50 percent better compression than with H.264; effectively delivering the same 4K Ultra HD quality at nearly half the bitrate. With enhanced video compression, adaptive streaming and intelligent bandwidth management technologies, UltraFlix can stream visually lossless 4K video with uninterrupted viewing at under 8Mbps, making 4K Ultra HD available to most North American and European internet subscribers today.

From a personal view, I have a wireless router located in one area of my house. I have multiple TVs, phones, tablets all drawing bandwidth. The further away from your router, and more obstructions, the less bandwidth you will receive as well. So while I purchase 50 Mbps from my internet provider, what I receive is usually far less depending on these factors. In some areas of my house I am lucky to get 10Mbps or less.

NanoTech claims to be able to stream 4K at less than 8Mbps which should give them a competitive advantage. NanoTech has attracted significant senior management and advisory talent which has been key to reaching these partnerships. It is quite impressive for such a little company:

Tim Cosgrove - President and CEO of the Sony, IMAX, and Discovery Communications 3net joint venture
Alan D. Stone - Former President and CEO at Sega Enterprises
Mitch Lowe from Redbox and Netflix
Aaron Taylor - From Roku

It is apparent to me that these folks are looking to turn UltraFlix into a major player in this market and have the experience and contacts to make this happen. Perhaps the Netflix for 4k! Mitch Lowe has seemingly already done this before. It's a big bet on a personal level for these folks but the ceiling is incredible high.

Nanotech Entertainment Inc. (NTEK) Stock Research Links

NTEK Board Company Profile Buy Rating Time & Sales News Filings Financials
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