3SOF

RIM may be next with touch screen
Consultant Levy argues Waterloo firm is anxious to lure more consumers
Nov 27, 2007 04:30 AM

With the iPhone making its way onto Christmas lists around the world, the guessing game about BlackBerry-maker Research In Motion Ltd.'s response has already begun in earnest.

At least one industry-watcher says Waterloo-based RIM is poised to unveil a touch-screen device as early as next year to compete with Apple Inc.'s iPhone, which is not yet available in Canada.

RIM's new device will mark a departure from the traditional half-screen, half-keyboard look of the company's popular BlackBerry models and would be aimed squarely at consumers, said Carmi Levy, a former tech analyst who is now the senior vice-president of strategic consulting for AR Communications Inc.

The logic behind such a move is simple, said Levy, who cited sources at RIM for his information. A growing segment of RIM's new subscribers are consumers, as opposed to corporate types, and consumers want multimedia-capable devices with large, vivid screens to view photos, browse the Web and watch video.

"They're playing in a very different sandbox than they were in the past," Levy said. "The philosophy that endeared them so strongly to the enterprise market needs to evolve as they move into the consumer space. They are learning from the Apple experience."

RIM declined to comment on the speculation, citing company policy.

Apple unveiled the iPhone to great fanfare in late June. At the time, several observers suggested that the design-oriented computer and iPod maker had raised the bar for the entire handset industry with the sleek touch-screen device.

Unlike competing smartphones made by RIM and Palm Inc., the iPhone requires users to type in phone numbers or email messages via a virtual keyboard.

Most analysts, however, have so far played down the impact of the iPhone on RIM's core market of business users. That's because Apple's virtual keyboard, while nifty, has been criticized in several reviews for not being as functional as RIM's tactile one.

Still, it's no secret that RIM has its eye on the consumer space with devices such as the BlackBerry Pearl, which looks more like a cellphone. In fact, co-chief executive officer Jim Balsillie said during an October conference call that the number of new non-business customers in North America eclipsed new corporate customers for the first time in RIM's history during the second quarter.

Other analysts said they could not corroborate Levy's information about the possibility that RIM was set to unveil a touch-screen device.

Ken Dulaney, an analyst at Gartner Research, said he believes RIM's future growth will depend on its ability to engineer new "form factors." He stressed, however, that "RIM has always been about text input, and my experience is that, on the iPhone, text (input) is one of the weakest features."

Michelle Warren, an analyst with Info-Tech Research Group, said she wouldn't be surprised to learn that RIM's engineers were exploring the idea of a touch-screen interface.

She stressed, however, that RIM was not the type of company to launch a device until the technology had been perfected.

David,
This is what you have been saying....phone sales will continue to increase. They will need IMMR's technology, I hope.

Follow link for orginal article and more interesting reading.
http://www.informationweek.com/news/showArticle.jhtml?articleID=204203554

Sales Of Multimedia Phones To Pass TVs Next Year, Report Predicts

By 2011, about 9 of 10 mobile phones will include basic multimedia capabilities; today about 60% have those features, says MultiMedia Intelligence.

By Elena Malykhina
InformationWeek
November 26, 2007 05:30 PM

Worldwide shipments of multimedia-enabled mobile phones will exceed 300 million units next year, surpassing shipments of television sets, according to a research report being released this week by MultiMedia Intelligence. Sales of such phones will generate over $76 billion in revenue.

By 2011, about 9 of 10 mobile phones will include basic multimedia capabilities, which consist of an image sensor, MP3 audio support, and video playback. Currently, these capabilities are available in 60% of mobile phones, according to the report.

In general, MultiMedia Intelligence defines basic multimedia phones as those that have at least a 1.0-megapixel camera, MP3 audio and video playback capabilities, Java, USB, Bluetooth, 16-bit screen color, QVGA resolution, as well as Wireless Application Protocol and Multimedia Message Service support.

Wireless carriers view multimedia phones as a great opportunity to attract new subscribers. Consequently, they're turning to leading manufacturers, such as Nokia (NYSE: NOK), Motorola (NYSE: MOT), Samsung, LG Electronics, and Sony Ericsson, for exclusive phones with innovative form factors and multimedia features.

A touch screen will be another prominent feature on mobile phones in the near future. The number of phones with touch screens will reach almost 200 million by 2011.

Chip makers are integrating baseband and applications processors into single chips to create lower-cost multimedia feature phones. One example isTexas Instruments (NYSE: TXN)' LoCosto platform. While the development is at present centered on low-end phones, manufacturers will eventually migrate to higher-end phones, the report said.

Despite their reputation for lagging behind Europe and Asia in terms of built-out of next generation networks and introduction of innovative services, wireless carriers in the United States are now rolling out new phones with multimedia features quite frequently.

AT&T (NYSE: T) on Monday announced the availability of the Shine by LG Electronics, a multimedia phone pre-loaded with music and video features. The phone allows users to send live or recorded video to others during a call, and the ability to transfer songs from their PCs to the Shine, which has an integrated music player.

In addition to making available its iPhone look-alikes, Voyager and Venus by LG Electronics, Verizon (NYSE: VZ) Wireless began selling the FlipShot by Samsung, last week. The FlipShot is designed for photo enthusiasts, featuring a built-in 3.0-megapixel camera with digital zoom, camcorder, and a rotating display that positions photos vertically or horizontally for easier viewing.

Sprint (NYSE: S) and T-Mobile are the other two U.S. carriers with a selection of multimedia phones.

http://www.forbes.com/2007/11/28/touch-screens-phones-tech-holidaytech07-cx_ew_1128touch_slide_9.html?thisSpeed=30000

Thanks for these articles Houlahan and stocky

It's inevitable, people want to watch pictures, videos and television in the mobile devices and at the same time they want them to be small and light. To accomplish this companies are starting to eliminate the keyboard component of the device and opting for touch screens. The problem with touch screens is that one doesn't feel what he's doing, unless there's tactile feedback and the company that provides that is IMMR. The company already has licensing agreements with 3 of the top 5 largest manufacturers of mobile phones, Nokia, Samsung and LG. But, these agreements still didn't produce any relevant revenues to IMMR, because the mobile phones using IMMR's technology still aren't commercially available, only in 2008.

Besides these applications for mobile phones, there are others, like the ones shown in stocky's link (wait a few seconds because it changes the pictures and information every 5 seconds or so).

The best part of this story is that IMMR's licensing revenues will carry very high profit margins. The technology was already developed and costs should be relatively small.

Just recently investors were obsessed with valuation and anything with a very high P/E or high sales multiple went down sharply. Currently IMMR's P/E is 163 so it seems incredibly overvalued (discounting the huge gain from the litigation with Sony - if considered the P/E would be 3.1). But I believe it's actually incredibly undervalued, because in 2009 it may very well have $400 M in revenue (compared to about $34 M in 2007) and earn $200 M in net income. If my expectation proves correct and IMMR trades at 15 times earnings in 2009, it will then be a $3 B market cap company, that is, 7.6 times more than what it is now.

I'll keep holding IMMR for the long term.

I said it all about IMMR's story in my latest update. I'll just patiently keep holding the stock for the long term.

IMMR is coming back nicely, but I still find it hard to understand how come the stock is below the price it was when the all significant "Nokia news" was made public. Hopefully in 2008 the company's business model and its licensing agreements will become clearer for everybody to see. I expect IMMR to close 2008 comfortably above $20, but the real multi-bagger impulse will probably happen just in 2009, when the company starts getting fat revenue and profit numbers.

Terrible 7.8% drop without a reason. The lower IMMR stays over the next 6 months the higher it will go over the next 6 months. I say this because this way the $50 M approved for buying back shares will buy back more shares and that's going to mean a higher EPS and higher stock price in the future, when those mobile phones using the VibeTonz technology hit the marketplace and IMMR starts collecting a small amount (I say $1, but the amount wasn't disclosed) for each unit sold.

So people can sell IMMR all they want, I won't bother about it at all. I see 6 bags of profit in IMMR over a two to three years time period and I'll keep holding the stock.

Business Editors/Health/Medical Writers

SAN JOSE, Calif.--(BUSINESS WIRE)--December 11, 2007--Immersion Corporation
(Nasdaq:IMMR), a leading developer and licensor of touch feedback technology
(http://www.immersion.com/corporate/), today announced that Immersion Medical
has launched a new module for its CathLabVR "Surgical Simulator
(http://www.immersion.com/medical/products/endovascular/). The new
Transcatheter Aortic Valve module helps train physicians for minimally invasive
coronary valve replacement.

An estimated 450,000 patients in the U.S. suffer from severe stenosis
(narrowing) of coronary valves, which impedes blood flow and can lead to heart
failure. More than half of the patients affected in the U.S. are over 75, an
age group expected to increase in the coming years. The medical needs of many
patients with severe aortic stenosis have been unmet.(1) Patients may exhibit
few symptoms until an abrupt change occurs, and surgeons and patients are less
likely to opt for invasive surgery to treat stenosis that is not pronounced, a
situation that can lead to life threatening symptoms or death. Even when
stenosis is known to be severe, open heart surgery may not be possible if the
patient s health is compromised in other ways. Minimally invasive valve
replacements can provide a safer alternative to open-heart surgery with shorter
procedure and recovery times. It is likely that with a less invasive treatment
more patients could and would be treated. Therefore, valve replacement
interventions are seen by many as the future standard of care for many high
risk patients. With its realistic surgical simulations, Immersion Medical s
new cardiac surgical simulation module can help accelerate learning and
adoption of these minimally invasive life-saving procedures.

The CathLabVR Surgical Simulator s cardiac surgery module was created to keep
pace with advancements in technologies and techniques, said Kevin Kunkler,
M.D., vice president, and medical director of Immersion Medical. The module
helps doctors-in-training to learn the core concepts of these procedures and
surgeons and interventionalists to master the necessary steps and gain
experience and knowledge transferable to real-life cases.

With eight cases that provide experience with four anatomies, the Transcatheter
Aortic Valve surgical simulation module provides practice in:


Navigation through either the femoral artery or through the apex of the left
ventricle
Balloon inflation to pre-dilate the aortic valve
Use of fluoroscopy, cineangiography, and contrast injection to visualize and
measure the aortic valve and determine a site for its correct placement

The CathLabVR Surgical Simulator uses actual diagnostic and therapeutic
devices, such as catheters, balloons, stents, and distal protection devices. A
procedural-based system, it allows trainees to practice and repeat cases of
varying levels of difficulty and to experience and manage complications. The
system s appropriately responsive physiology is reflected in vital-sign
changes, hemodynamic wave tracings, and patient audio responses that enhance
the decision-making process. An added benefit is the realistic haptic feedback
that mimics the feel of the procedure. Visual aides, including the virtual 3D
anatomy model and live fluoroscopy, help trainees understand vascular anatomy
and device operation. A comprehensive performance report, automatically
generated after completion of the surgical simulation, allows objective
assessment of the user.

The CathLabVR Surgical Simulator provides a realistic training environment to
help practicing physicians safely train in new procedures to keep pace with
medical innovations. The system can also help prepare fellows to meet the
requirements of the Accreditation Council for Graduate Medical Education
(ACGME), which call for a minimum of 300 cardiac catheterizations before
training in coronary interventions, followed by a minimum of 12 months and at
least 250 interventions.

(1) Leon, Martin B. 2006. Transcatheter Aortic Valve Replacement: Rationale,
Early Clinical Results. Columbia University Medical Center Cardiovascular
Research Foundation.

About Immersion Medical, Inc. (www.immersionmedical.com)

Immersion Medical, Inc. designs, manufactures, and markets computer-based
surgical simulation training systems (http://www.immersion.com/medical/surgical
_ sim.php) worldwide. The medical and surgical simulators integrate proprietary
computer software and tactile feedback robotics to create highly realistic
medical simulations that help train clinicians. The company s key product
lines are the Virtual IV intravenous simulator, Endoscopy AccuTouch ®
Simulator, CathLabVR " surgical simulator, and LaparoscopyVR " surgical
simulation system.

About Immersion (www.immersion.com)

Founded in 1993, Immersion Corporation is a recognized leader in developing,
licensing, and marketing digital touch technology and products. Using
Immersion s advanced touch feedback technology
(http://www.immersion.com/corporate/products/), electronic user interfaces can
be made more productive, compelling, entertaining, or safer. Immersion s
technology is deployed across automotive, entertainment, industrial controls,
medical training, mobility, and three-dimensional simulation markets.
Immersion s patent portfolio includes over 700 issued or pending patents in
the U.S. and other countries.

Forward Looking Statements
This press release contains forward-looking statements that involve risks and
uncertainties, as well as assumptions that, if they never materialize or prove
incorrect, could cause the results of Immersion Corporation and its
consolidated subsidiaries to differ materially from those expressed or implied
by such forward-looking statements.
All statements, other than the statements of historical fact, are statements
that may be deemed forward-looking statements, including any projections of
earnings, revenues, or other financial matters; any statements of the plans,
strategies, and objectives of management for future operations; any statements
concerning the benefits of medical simulators or continued customer acceptance
of medical simulators; or consumer and market acceptance of force feedback
products in general; proposed products or services; any statements regarding
future economic conditions or performance; statements of belief; and any
statement or assumptions underlying any of the foregoing. Immersion s actual
results might differ materially from those stated or implied by such
forward-looking statements due to risks and uncertainties associated with our
business which include, but are not limited to, delay in or failure to achieve
commercial demand for our products or a delay in or failure to achieve the
acceptance of force feedback as a critical user experience.

For a more detailed discussion of these factors, and other factors that could
cause actual results to vary materially, interested parties should review the
risk factors listed in our most current Form 10-Q, which is on file with the
U.S. Securities and Exchange Commission. The forward-looking statements in this
press release reflect our beliefs and predictions as of the date of this
release. We disclaim any obligation to update these forward-looking statements
as a result of financial, business, or any other developments occurring after
the date of this release.
Immersion, the Immersion logo, AccuTouch, CathLabVR, and LaparoscopyVR are
trademarks of Immersion Corporation in the United States and other countries.
All other trademarks are the property of their respective owners.

Mobile phones from Samsung, LG Electronics and Nokia using IMMR's technology will be launched throughout 2008 and 2009.

Due to IMMR's licensing model, we know IMMR will receive a percentage of each unit sold using its technology, so, since none was sold yet, the revenues coming from these agreements so far were almost irrelevant.

But I expect huge revenue and profit growth for IMMR in 2008 and 2009.

I'll just patiently keep holding IMMR for the long term.

It appears IMMR made a double bottom at its $12 support level. Now we just need a close above $14.5 with volume above average to confirm this technical view.

Fundamentally the company is absurdly attractive, but one needs to know it well to see it. People just looking at revenues and profits won't understand it.

I see 6 bags or more in profits coming from IMMR in about three years time and I'll hold the stock for the long term. 

David

I think that there is something BIG that I miss.
If every mobile phone manufacturers have Immersion technology inside
IMMR must be more than 10B company right now:


http://www.unwiredview.com/2007/09/10/lg-ku990-viewty-review-almost-everything-you-need-to-know-about-it/

Notbeln

IMMR may create a huge competition to Apple's iPhone with its technology (through the other phone manufacturers). iPhone projected sales are in tens of millions, whereas Nokia's punch can be worth well over 100M units sold. In the UK and in Europe people pay in pounds and euros what Americans pay in dollars in the US. Also, I heard from my Chinese friends that a lot of folks on China are yearning to shell out up to and over a grand for a cell trinket. I will hold IMMR as long as David does.

Quote from: notbeln on December 28, 2007, 05:07:51 PM
David

I think that there is something BIG that I miss.
If every mobile phone manufacturers have Immersion technology inside
IMMR must be more than 10B company right now:

http://www.unwiredview.com/2007/09/10/lg-ku990-viewty-review-almost-everything-you-need-to-know-about-it/

Notbeln

Hi Notbeln, not all mobile phone manufacturers established a licensing agreement with IMMR, just three of the top 5, namely, Nokia, Samsung and LG.

Why $10 B market cap? That seems too much, I'm looking for about $3 B in a couple of years, that is, 7.7 times more than the current $0.39 B market cap. I get to $3 B by thinking about 300 million mobile phones sold each year using the VibeTonz technology, $1 for each phone to IMMR gives me about $300 M in annual revenues. I think the net profit margin of this will be really high, because the technology was already developed and the costs of adding it to the mobile phones will be on the manufacturers side. So I say the net profit margin will be about 50%, and this gives me $150 M in annual net income, which multiplied by a p/e of 20 gives me a $3 B market cap.

But this is a rough estimate, nobody knows what is the actual percentage IMMR will get from each mobile phone sold (nobody except management, it is not a public information - I guess $1, or about 1% (average selling price is a bit higher than $100), because IMMR got 1.67% in a litigation with Sony), or how many mobile phones will actually be sold with the VibeTonz technology in the future.

Quote from: berloga on December 28, 2007, 08:55:04 PM
IMMR may create a huge competition to Apple's iPhone with its technology (through the other phone manufacturers). iPhone projected sales are in tens of millions, whereas Nokia's punch can be worth well over 100M units sold. In the UK and in Europe people pay in pounds and euros what Americans pay in dollars in the US. Also, I heard from my Chinese friends that a lot of folks on China are yearning to shell out up to and over a grand for a cell trinket. I will hold IMMR as long as David does.

One of the critics to the iPhone is that it lacks tactile feedback. It would be great if Apple reached an agreement with IMMR, but that's something we'll only know after it happens.

I don't know for how long I will own IMMR, but one thing I'm sure: This isn't the right time to sell it, just before tens of millions or maybe even hundreds of millions of mobile phones with the VibeTonz technology hit the market in 2008.

I'll keep holding IMMR for the long term.

David

Is this right that Sony will not use IMMR technology in the next playstations?

Best,
Vova

It's impossible or IMMR isn't alone?!

< In a patent filed to the United States Patent and Trademark Office last June, the new BlackBerry device will have a keyboard that retracts into the device in order to create more room on the screen, Mr. Sharma says. It will also have what is called tactile response mechanism akin to Nintendo's Wii controller that vibrates based on input from the user.In a patent filed to the United States Patent and Trademark Office last June, the new BlackBerry device will have a keyboard that retracts into the device in order to create more room on the screen, Mr. Sharma says. It will also have what is called tactile response mechanism akin to Nintendo's Wii controller that vibrates based on input from the user.>

http://www.financialpost.com/money/wealthyboomer/story.html?id=180578

Best,
Vova