The optical engines for 100G WDM4 transceivers are expected to provide the largest ROI for POET. That has been highlighted by the company. Manufacturing the QSFP packaging can be done by any number of companies. I have talked about POET limiting their products to just the optical engines (the Intel model) and focus on ramping optical engines to supply to the transceiver manufactures. We have not discussed this statement in the MD&A.

In addition to building transceivers, we believe the Company has the opportunity to sell individual components to other suppliers of optical transceivers, including single-chip local area network (LAN) wavelength division multiplexing (WDM) lasers, receiver optical sub-assemblies (ROSA) and transmit optical sub-assemblies (TOSA) in advance of selling optical engines for transmit and receive assemblies (TXRX).