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If this product were put into a manufacturing cycle the projected cost would be a lot more
than what it cost us. In terms of a ball-park figure the development cost for hardware that
just did that is somewhere close to $100,000.00. The end product would also be a lot
smaller considering the shrink in form-factor brought on by the production cycle. The
production cycle will also replace hardware components such as the PCMCIA cards,
which sell for $120.00 by a much cheaper media since the consumer is not going to be
interested in buying a phone that cost over $200.00. This would bring on added
configuration costs however, it would be a lot cheaper than the conceptual prototype that
we have out together. An estimate of the price of the final product should be close to
$100.00.
6.2 Recurring costs and Maintenance
The product sold would require no maintenance on the part of the user. However a good
business model for the embedded systems developer would be to keep integrating new
features into the product, concentrating more on software advances rather than hardware.
This would enable release of new versions of the product with exciting new features.
However the build up a faithful customer base that would continue to buy this line of
products the initial product has to as free of bugs and glitches as possible.
6.3 Other products and the technology in general
Internet telephony has been the buzzword in the networking market for the last five years
or so with big giants like Nortel and Cisco jumping on the bandwagon. Coupled with this
has been the explosion in the wireless arena. Put together, we are looking at a new
revolution.
6.3.1 Nortel Networks
Eventually, mobile phones will patch automatically into the campus network as
employees carrying them approach the building, reconfiguring themselves as PBX
extensions. But for the foreseeable future, the two environments will remain quite
separate, with wireless voice on the campus having a more direct day-to-day impact on
telecom managers. Vendors such as Nortel Networks are currently in customer trials with
products that carry voice-over-IP (VoIP) traffic across wireless LANs (WLANs) based
on the 802.11 Ethernet standard.
The Nortel Networks solution uses wireless NetVision Phone and Data Phone network
appliances from Symbol Technologies, which connect over a non-licensed 2.4GHz radio
band to an integrated telephony gateway (ITG) card that is installed in a Meridian 1
switch. This single ITG card interfaces to both the WLAN and PSTN infrastructures, and
extends new and legacy PBX features to the wireless handsets. These handsets are also IP
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