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Entrepreneur and "public venture capital" investor based in Manhattan Beach, California.
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  • Buying Opportunity On Energous Ahead Of Wire-Free Charging Pioneer's Annual Meeting, Investor Call, Webcast 4 comments
    Jul 8, 2014 4:40 PM | about stocks: WATT

    Energous Corporation (NASDAQ:WATT), will be hosting its annual stockholders meeting at 1:30pm ET (10:30am PT) on Thursday, July 10, 2014, and an investor conference call and webcast at 11:30am ET (8:30am PT) on Tuesday, July 15. The Pleasanton, California-based developer of WattUp™, a disruptive wire-free charging technology for electronic devices that provides power at a distance with complete mobility under full software control, will be presenting an overview of the business model as well as a video demonstration of WattUp™ technology.

    WATT shares recently traded in the high $15s, but have fallen roughly 20% on no news.

    WattUp is a wire-free charging technology that aims to transform the way people charge and power their electronic devices at home, in the office, in the car and beyond. Energous has filed over 50 patents to protect its solution that delivers intelligent, scalable power via the same radio bands as a Wi-Fi router. WattUp differs from current wireless charging systems in that it delivers meaningful, useable power, at distances of up to 15 feet, while allowing users to move around while charging. The result is a wire-free experience that saves users from being tethered to a cord.

    Energous will initially license WattUp to the wearable and mobile-accessory markets and will expand to other markets such as Wi-Fi routers and smartphones over time. Initial validation of its licensing model came in May when the Company announced two joint development agreements with large Korean manufacturers, Hanbit Electronics and Dong-Hwa. In June, Energous announced a JDA with Pocons, a tier-one mobile phone parts and accessories supplier in Korea, to embed WattUp technology in Pocons' mobile phone charging solutions. Each agreement has led to a positive bump as shares of companies in the "public venture capital" asset class tend to increase as they reach key milestone points such as commercial validation. When, not if, Energous signs a deal with OtterBox, Belkin, or some other household name, look out!

    WattUp technology can be applied to a wide array of everyday end-user devices: mobile phones, tablets, e-readers, security cameras, Bluetooth headsets, landscape lighting, headphones, remote controls, game controllers, clocks, 3D glasses, electronic toys, cameras, powered speakers, computer mice and trackpads, drawing tablets, keyboards, electric toothbrushes, inventory scanners, pagers, electric razors, webcams, GPS, smart watches, presentation pointers, cordless phones, security systems, fire alarms, smoke sensors, flashlights, radio-controlled devices, camcorders, microphones, and more. Additional background on the company can be found in my previous Seeking Alpha coverage on Energous, found here.

    Buoyed a combination of investor enthusiasm around the holy grail that is wire-free charging, and a tight public float - there were only 4.6 million shares sold at the March 28 IPO (including the underwriter's over-allotment) - Energous' stock has more than doubled from its $6 offering price. The recent dip provides a solid entry-point opportunity for investors ahead of the July 10 shareholder meeting and July 15 investor call. It's also safe to expect tremendous enthusiasm and buzz leading up to the Consumer Electronics Show in January 2015 where the Company intends to demonstrate various products incorporating WattUp technology. WATT shares could easily double, or more, between now and then. (Seeking Alpha PRO subscribers can read Energous Corp.: True Ground-Level Opportunity For A Possible Groundbreaking Technology, from May 1, which put a $45 price target on WATT shares.)

    In June, Starbucks (NASDAQ:SBUX) and Duracell Powermat, a joint-venture between Procter & Gamble's (NYSE:PG) Duracell brand and Powermat Technologies, launched a national rollout of wireless phone chargers in Starbucks and Teavana locations, beginning with stores in Boston and the San Francisco Bay Area. According to the press release, stores will be equipped with "Powermat Spots" which are "designated areas on tables and counters where customers can place their compatible device and charge wirelessly."

    Energous delivers greater flexibility than companies like Powermat which use wireless pad charging standards and specifications developed by the Power Matters Alliance ("PMA") and the Alliance for Wireless Power ("A4WP") because WattUp allows people to roam wherever they choose without the constraints of a power cord or mat. The Starbucks/Duracell Powermat deal conditions the market for wire-free charging becoming mainstream by bringing visibility to the problem of being tethered to the wall or a charging pad.

    Energous' investor call and webcast will be hosted by CEO Steve Rizzone. The product demonstration will be conducted by Founder & Chief Technology Officer, Michael Leabman.

    Investor call details

    Date: July 15, 2014
    Time: 11:30 a.m. ET
    US Dial-in: 1-800-946-0786
    International Dial-in: 1-719-325-2131
    Conference ID: 3285151
    Webcast: http://public.viavid.com/index.php?id=109617

    Disclosure: The author is long WATT. The author wrote this article themselves, and it expresses their own opinions. The author is not receiving compensation for it (other than from Seeking Alpha). The author has no business relationship with any company whose stock is mentioned in this article.

    Stocks: WATT
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Comments (4)
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  • Inquisitively
    , contributor
    Comments (5) | Send Message
     
    Do you know how many patents have they actually been granted? From the US PTO site it appears that they have only filed 3 and that none of them have actually been granted yet.
    9 Jul 2014, 11:02 AM Reply Like
  • Benjamin Padnos
    , contributor
    Comments (202) | Send Message
     
    Author’s reply » I believe the last publicly-released number of patents filed was 50, but that was a while ago, so I believe it's closer to 100 by now. (You might reach out to the company directly for that question: ir@energous.com.) FYI, management has indicated they may make as many as 200-300 patent filings to protect their IP over the next couple of years.
    9 Jul 2014, 12:19 PM Reply Like
  • Inquisitively
    , contributor
    Comments (5) | Send Message
     
    btw the 10-Q says as of May 8th they have 50 pending patents or provisional patent applications (so apparently no actual patents yet). And from linkedin it appears they only have 10 employees 5 of which are engineers so the fact that they would be able to develop another 50 patentable inventions since May 8th seems highly unlikely.

     

    If they get the technology right there is a huge business opportunity here, but investing currently is buying a company with no product, no patents, and no revenue.
    9 Jul 2014, 02:41 PM Reply Like
  • Benjamin Padnos
    , contributor
    Comments (202) | Send Message
     
    Author’s reply » InquisitiveE, see today's joint development agreement announcement: http://yhoo.it/1rXEziC. This is the Company's 4th JDA in ~2 months and another proof-point of commercial potential for Energous' WattUp technology.
    10 Jul 2014, 09:58 AM Reply Like
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