If we consider for a moment some of the possibilities to fund POETs outright purchase of Anadigics.
Companies like Finisar know that they could quickly be destroyed by POETs optical interface if they are unable to gain access to that technology or participate in some way. What if they were to take a small equity stake in POET for a large upfront cash payment which basically amounts to a supply and royalty agreement? As we know POET is treating the optical interface as low hanging fruit. It is a means to an end in so many ways. It is big POET vertical and its going to grow but it is really just a small fraction of the market that POET is applicable to. What is the total market size…$400 billion and growing. And POET could very well create new markets but that is getting many many steps ahead.
So if POET was to treat the optical interface as a means to an end then they would be fine playing ball with someone like Finisar. Finisar gives POET a big chunk of money for a small stake in POET which would be a great investment to have on Finisars books plus Finisar is given some level of exclusivity. Maybe they get the rights to all of POETs chips for packaging and also get an exclusive licensing deal for 2 or 3 years long enough to dominate that space with POET. POET is now free to move towards new technologies. The totally integrated chip with memory, RF, optical, digital, analog…Fully integrated chips that dominates the market and makes POET the monster of a company it is destined to become.
