PoetLightSaber: I was also surprised at Lisa's report citing hesitation of legacy module makers to incorporate Poet with the reason being that it leaves little value add / margin left for the module maker. I would think module makers only care about profit - if they can add Poet and get a significant cost reduction that they can either add to their overall margin or reduce their price so their volumes increase then there should be no hesitation as long as their costs to incorporate Poet into a new design was not too high.
Exactly my way of thinking. If I were a module maker and had the choice between
- adding a large value and making a small profit or
- adding a small value and making a large profit,
I knew what I’d choose!
Apart from that, if I had to fear that POET would manufacture their own modules and make my whole business redundant, then it would not help me in any way to choose option 1 just out of anger or for whatever reason.
I would rather try to position myself as a reliable partner to POET, who is able to offer high-quality and low-priced plastic housings, contacts, connections, and all the other stuff that has to go around an optical engine on steroids. Ideally, I can do in such a way that it seems more favorable for POET not to produce their own modules, but instead do it with me. Call me a JV partner!
