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https://ethernitynet.com/universal-platform-for-open-user-plane-function/

This from January and really tells us what they have been working on the last 6 months. This is the R&D area they have not cut back on and it is what will deliver cash flow in the near term

"We are confident that the ACE-NIC100 will be instrumental in enabling deployment of optimal 5G performance," said Steven Deng, vice president & general manager of business development at Techtronics.

He is not wrong.

https://www.morningstar.co.uk/uk/news/AN_1592819024060894100/ethernity-signs-distribution-pact-with-chinese-firm-techtronics.aspx
Just a week or two ago Techtronics had the confidence to allign with Ethernity. The words are quite clear it's to bring returns quicker to Ethernity. Yes it will come at a price but Ethernity will no doubt get paid on engagement not delivery. Techtronics has reach and many existing clients. Most not big enough to approach ethernity but this will be a useful source of income.

Matthew I think he did already but the market is not seeing it.
"In light of the change in status of the engagement with the Military/Aerospace T1 vendor as noted below in the Chief Executives Statement, the Company will need to secure additional short term funding in the latter half of H2 2020 either via short term finance arrangements or an additional issue of equity"

The market wants news and contracts. We are in a phase where Ethernity has technology under test. These vendors and end users have invested money in Ethernity to get this far. We know of several that have invested chunky money developing their own solutions on Ethernity ACEnic-100. This is the reason I am super confident about short term finance. Players with deep pockets and tight deadlines.
The need for solutions is now, mass deployment is less than 12 months for some. Contracts will come well before that time. I am expecting substantial commitments in Q4 20-Q1 21. Only one of those needs to include a upfront payment or a deal involving a IP license. It will be from China,probably Fiberhome or a associate business.
In the meantime we may get a few isolated sales of cards and specific functions. The military market is moving very rapidly in China, India and US. Aviation in China also. In some ways these small isolated contracts cause troubles for the share price but they at least provide some respite.
The share price has collapsed and the MMs now look for weakness.

It would be interesting to know how many Private investors hold shares here and just how many shares are controlling the price. I have not sold any and have bought 43 times. I suspect that the actual free shares are no more than a couple of percent.
What's happening now is the case for FPGA on UPF has been made. Results from design kit will be very easy to predict from experience. The time between engagement and deployment will come down certainly to a few months as user cases become common. This pioneering period is where all the work and costs are. Whilst 2021 cash income is likely to be just 10m or so it will be a significant improvement and a hint to the next 5 years.

How many here have been following this but still don't grasp the opportunity. Most if not all. I am seeing it emerge probably just a few months since Ethernity saw it. They are listening to the market and responding with solutions ahead of the curve.
So now take that outside of this small group to your average punter will see nothing but last year's tiny financials and a chunky cash burn. They see small fry contracts that are really just sidelines until the main event starts. It's not hard to see why the share price is a mess.
We are missing nothing here. The tech is excellent and the opportunity is genuine. Some have said that the bug boys will squeeze Ethernity out but reality is that won't happen. The big boys will also be using ACEnic-100 in their in-house solutions.
All we need is time. I am not interested in the share price, I am a continuous small time buyer at these levels but truth told I have enough already.

I get the feeling (more than a feeling) that the market cap is laughing at David and the team. I believe that will be a motivator because so far they look like a bunch of losers. Losers with a world class product in the next step market worth $1bn+. Time will tell and the AIM doesn't have a clue about this.

I guess my view is different to every one else. I see derisked here and as the share price rises so does the risk. At that point news of revenue and future royalty will need to support the growth. Down here I see no support needed to underwrite the derisory valuation. I see no prospect of a placing whilst the price is so low and short term finance will be the way to go. I suspect that it will be linked to a IP regional licensing deal.
How good the deal is will be a strong indicator of the value of the IP. Given the diversity of offering and the way they are identifying and pursuing the stages there will be many waves of value. Only Ethernity delivers they will be in a great position for the next stage. There is no vendor lock in that is the point so at each stage Ethernity can resell their old rope just with some new knots.

Interesting that people in Israel have a really hard time investing in the AIM. I hoped for a TASE listing but I think that opportunity has been missed already. I know that they would have huge local interest

Dallo I don't see it as Optimistic, I am very grounded. I do a lot of sector research. I am in contact with people who are in the industry and are excited by Ethernity. Several of those contacts are in Israel. It is not a guessing game but the timing has been very uncertain. Now it is getting much more certain.

I see no chance of a sale now, the process is too advanced and the company too intangled with others. Any Chinese interest will have to be minority. The diversity of associations makes in my view only one of three outcomes.
The market is huge and Ethernity gain a big share and the value increases probably 30x over a couple of years.
The market is huge but Ethernity fail to gain traction and the progress is disappointing. However compared to what we have now we still see the share price rising as Ethernity seek to find their niche on third party services.
The third I see as very unlikely that there is some kind of management and major shareholder coup and Ethernity delists.

Dallo we are in rich water with all our lines out with our best bait. I am massively encouraged that the finals named the Chinese potential. It shows that they are close to mass deployment and no longer silent running

28k shares buy doesn't move the price but a miserable 10k share sell drops half a penny.
I think that I may get a sub 20p chance early next week if there's no news.

https://www.barrons.com/articles/these-2-wireless-stocks-will-benefit-from-5g-bernstein-says-51594230897

"The Company now has a direct relationship with three major telecom service providers in China - China Mobile, China Telecom and China Unicom - all either planning to use an FPGA SmartNIC offering for 5G UPF, or already under development in their laboratories for integrating their own open UPF software to be offloaded by the ACE-NIC"
Lab testing Q4 however reading between the lines they will either use ACEnic-100 and Ethernity UPF or building their own UPF to run through ACE-NIC100. As they will be starting mass deployment 2021 onwards it is late in the day to make material changes.
After the UPF we can expect Ethernity and the ACEnic-100 to play a part in the RAN solution. One contract and commitment to mass deployment over 5-10 years will be a company maker but I believe that Ethernity will take the lions share through third party vendors. Except bit parts as some have huge R&D budget. What they don't have is the patented solution. Also expect IP deals especially link to short term finance.

I believe that we are seeing a change of pace for Ethernity, more articles more noise as the opportunity looms real and large.
I like the market intelligence sector of the newsletter it shows how Ethernity has the opportunity to be involved in big number solutions. Just 5g deployment enough to achieve the speeds will take 130000 fpgas for China. This is a theoretical number based upon everybody living in even distribution so in reality it will be multiples to achieve coverage. Then there are many places without network sharing so multiples again. Then private or hub networks provide many more.
Ethernity's kit is already in deep testing with Vendors. Share price is in the basement but the business is in the clouds. So much to come and it starts very soon

The 5g we have seen so far may have in most scenarios achieved bandwidth and speed but we are talking about very small deployments with often very limited coverage. They are 5g but really the kind of thing that you may find in a smart city district nit a national rollout. Mass deployment is where Ethernity are so don't fear this is all ahead of us. All the vendors face the same issues most are going the same way to solve them. They will all involve FPGA acceleration and hosted virtualisation. Without it they simply will be 4g.
I can't think how they accelerate existing 4g NFV solutions through 5gRAN but they seem to think they can.

To a very large degree it is accepted that the base band unit has split into 3 parts. Yes there are possible scenarios for architecture and I think that we'll see many different solutions splitting and joining the DU and CU or collocating. Some are better in certain scenarios and connection availability.
The virtualised CU is accepted and with lower split points becomes more challenging this is likely to be where Ethernity will pitch as they will be unique in this area.

I think that as the steps fall into place we will see FPGA flowing data and hosting virtual functions in many environments that even the company haven't considered yet. I believe that we'll see more smaller FPGA in IoT applications. I believe that FPGA will move away from just server applications to the other end of the process. Flowing and packeting at the source.
Very exciting time

Alco that was the detail I was talking about the other. The FPGA potential extends well beyond the virtual threshold and into the core. It will triple the need for fpga solutions. As expected David has seen the need before the rest and has diverted R&D to produce a solution.
I am excited by that but now I am starting to explore the fpga case in wearable devices. Believe me I can't quite get my head around the scale of the market. Fpga and importantly the virtual solutions driven through fpga is a huge market. I was focused on width and speed but I think that size and power requirements will be the big deal when it comes to selection.

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