Like so many other investors on this board I bought into PTSC on what I perceive as a golden opportunity. (My first investment was in 2003 and I continue to hold my original investment and have added to it with additional purchases.) With my 35 years in computers including doing some very innovative work (at the time) in software development and database work I thought the MMP had enormous potential for producing significant revenue thus making PTSC a once on a lifetime investment. Now my thinking has changed.

Recently I have begun to suspect that the results of the J3 case may have cause some new thinking and reappraisal of MMP by PTSC and TPL in the sense that it was not going to as big a cash cow as thought. While MMP still has value, the patents are not as powerful as once thought. Licensing and royalties agreements still have value, just not to the extent originally hope for. Hence PTSC needed another strategy to grow the company.

PTSC then hires Goerner and he finds some promising companies to invest in. We now have Crossflow and Iameter that provide some very interesting potential in what promises to be a big market, data sharing and security. There can be no doubt for this need in homeland security and medical records. It is also needed in other industries but these two have the most pressing need.

The point here is that we have been transformed from an IP entity to a more traditional business model. The mainstream investment community was never interested in IP companies. They want to look at business that well defined revenue streams, predictable earnings, decent balance sheets, etc. IP companies dependent solely on licensing fees are too unpredictable. Also consider what happens when the patents expire and the license fees and royalty payments stop.

This is stating the obvious but I believe the main focus of PTSC now is, rightly, to build the data sharing and data security business with the IP as a secondary business function using whatever revenue it produces to provide additional funding for growing the main business. This is a more conventional approach that will should find more acceptance by the investment community at large.

I hope nobody is offended but it seems some people here are too focused on the MMP and continue to believe that it will produce enormous revenue. I do believe that the patents will be recertified sometime in this millennium and that licenses will/should increase dramatically. However, I believe the licensing fees and royalty payments will be smaller than we had originally hoped for. At the same time I will continue to hold my positions in PTSC because the new business strategy is very promising. Mr. Goerner appears to be very capable and has brought in some real talent to help. They also seem to have a very good handle on the how to keep this company viable during this extraordinary difficult business environment which will probably last all of 2009.

Just my opinion for what it is worth. I will go back to hibernation now. Good luck to all.