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MEDIATION BUSINESS

IDEA


At present days to provide some mobile application you have to be software development company or programming guru! In both cases there is big time/money cost of understanding, standardizing, compliance and keeping up to date knowledge which are no not related to your exact application. However the situation can be contrary – cost reduction on all these compliances and keeping up to date, and then problem in compatibility or transfer application from one platform to another. Real problem, isn’t it?



Therefore it seems quite logical, that possible to provide some high level mobile application oriented Software Development Kit (SDK). Business model of it is quite simple – sell in retail once done release which is in fact fully corresponds to “understanding, standardizing, compliance and keeping up to date knowledge”. Meantime, price of it will be cheaper than cost of the exact company, which want to have own “fully compliant” development process just for own application(s).


Briefly, the situation is like this – typical company spends 1000 coins per year for “applications’ compliance”, we spend 1200 coins for totally compliant SDK environment and may be some more 800 coins for enhanced management system and wide maintenance. Meantime our price (of lease) is 500 to 900 coins per year. Then by having even just 4-5 clients, we have income! Then look at AppStore and similar of Google and Microsoft, and you will see not 5 potential clients, but 500 or even 5000!


Will you miss a project with IRR over 1000% within several years?


TECHNICAL


Technical task is to develop some SDK environment which semi-automatically converts (as much as possible) source codes among popular platforms like Android, iPhone OS, Symbian, Windows Mobile and Java (JM2E). Then there is another task – develop easy interface and some enhanced management system.


Optional task – run WEB service of the system, that applications’ developers use paid service instead purchasing the product.


Another aspect is that our product has to be permanently upgrading and changing, due to changes in source platforms. Therefore we have one more important part of the job – manage our programmers in effective way.


MARKETING


There are two main targets for marketing:

· Promote system and use different advertisement channels to reach high brand recognition. Applications’ market are very dynamic and each year there are hundreds of new players. Everybody should know about our product!

· Prove business cases, that usage of our system is reducing developers’ costs by huge amount! There can be examples for small companies, when cost reduction is not so big in cash, but something about 50% in percentage, and contrary situation – when biggest applications’ developers have not so much savings in terms of percentage, but thousands of USD in cash.



RESUME


This business case is some simple one - No new unproved technologies, nothing related to fundamental R&D activities, it’s more calm than B2C but seems to be much profitable. I sure that experienced manager of IT Start Up projects can easily calculate a real life business case of loss/profit and then it’s only a question to find an investor. However, with IRR over 1000% within several years, it’s seems to be not find an investor, but select the best from the long queue.


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