Distributor Presentation on ExpoElectronica 2004

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Distributor Presentation on ExpoElectronica 2004

• Presented By - Dmitry Tcholovsky
• Company - Macro Team

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Introduction

• The Project radiomodem (based CMX469A)
• Significant Factors in Achieving Success
• Strategic Potential
• Conclusion

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Radio notification system

• Security and fire alarm device
• The system consists of 2 main parts central
  alarm panel and wireless sensor/transceiver.
  Collected information can be transmit from panel
  to police or fare department
• Time-to-Market 7 months (4 month of developing
  and 3 month of certification at russian
  authority.)
• We have 2 customers. Typical monthly order is
  500pcs for each customer
• Current Position
• We sold 9747pcs of cmx469a at 2004Y (_at_
  25.Oct.2004)
• 1500pcs/m is real volume. We have started to work
  with 3rd potential customer.
• 3 Years

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Significant Factors in Achieving Success (or How
Did We Win ?) 1

• Our Product Fit
• Power Consumption is very important. Total
  devices power consumption is less than 20mA
• Without integrated RF part, but very simple
  schematic
• FSKltgtAM FSK provides increased distance between
  alarm panel and sensor (up to 2-3 times)
• Commercial Positioning
• Competitors and our advantages TDK and software
  modem
• TDK too high power consumption
• Software modem high cost of software developing
  for this kind of non-huge projects
• 4P rule is working! (100 pure marketing)
• Product.
• Price attractive price for mass production
• Place our customers are companies with volume
  5-100kpcs devices/y, who needs low power chips
  for communications .
• Promotion CML is very niche company. But CML
  offers very good, high integrated devices
• To promote CML devices we make tech. seminars 1
  or 2 times per year.
• Visits to customers presentations, understanding
  of customers target, offering of CML device,
  samples, price negotiations
• Buffer stock for mass production customers at
  Moscow, samples from CML for new potential
  customers
• Articles at technical magazines
• Advertising in press

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Significant Factors in Achieving Success (or How
Did We Win ?) 2

• Additional Support Provided
• Information about local competitors of existent
  customer is very useful, because existent
  competitor is potential customer.
• We very appreciates support from CML (Samples,
  tech. support, etc.)

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Strategic Potential (1)

• Russian experience we should offer not only chip
  to the end customer. We should offer design idea
  and full chipset. In this case well have status
  of key supplier for each customer (loyalty,
  etc.).
• 2 years ago we offered chipset FX604 and CMX631
  to all ex-USSR payphone makers. Now we work with
  all payphone makers. Not all of them use
  CMX631FX604 chipset (somebody uses CMX868 or
  CMX661). But every customer knows what is CML and
  uses CML
• Security systems we can offer cmx850, modems,
  MCU and software for Ethernet video camera
  (Hyperstone). Every potential customer should
  knows about our possibility.

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Strategic Potential (2)

• In Russia we have good potential at wireless
  communication. Even now the quantity of wireless
  users exceeds the quantity of wireline users.
  Main niches are security systems, police radio,
  TETRA for state structures (with special crypto
  algorithms, which must be from local certificates
  manufactures only).
• From CML we are waiting for devices with RF part.
  
• But wireline market in Russia is not dead. Market
  of POS terminals and vending machine in Moscow is
  growing. Since 2005-2006y production of this kind
  of devices is possible. We should keep an eye on
  this market, work closely with potential maker
  and prepare design ideas right now. Every POS
  needs modem for security, reports sending and
  financial operations.
• Low speed and middle speed modems

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Conclusion

• Short Review Re-emphasising
• Project Radio notification system
• Understanding what the customer needs (Low
  power, simple schematic, support)
• Factors good price, the excellence tech.
  parameters, shorter Time-to-Market
• Well looking for another similar application,
  where our advantage are important too. Firstly,
  another companies, which produce the same
  devices.
• We can bring the Idea how to increase them share
  at the market

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Thank you
And good luck!