BRN Discussion Ongoing

[DK6161]

 

[Earlyrelease]

Megachips not renewing means that they have completed what they took the license out for, ie to design and produce chips for a client. They completed it so no need to renew. This will in no way my effect any royalties from it. That is a not negotiable otherwise licences would have to have to have no end date.
The other option is that they walked away and wasted their time and money and found a better chip. I doubt this.
If they had not finished developing then they would have had to extend.
IR can confirm that the licence has expired but they cannot give any details on what Megachips is doing as that is their business.
We will only know if Megachips releases information which i doubt they will.
As Sean says watch the quarterly cash flows.
I can't imagine Megachips going to all this trouble getting a license, collaborating with NARA Institute on robotics, SNNs etc then not using AKIDA.

Manny.

Thanks for the clear response. I am not from an IT technical nor IT backgroud so the terms of the engagement of such a contract are not familiar. I have read the agreement to be for a fixed term to use and play with the IT and if made into something then we get a stream of income. I understand we cant see if that was successful, until the money is in the bank.

But this bit then confuses me.

If the IP agreement was for 4 yrs that to me indicates an end date and thus no more development or ability to continue to use or help other potential customers adopt the Tech. If it was intended that they could, would it not be better to have no end date stipulated.

***Edit*** I just added this too. If there was no end date, then as a company, would we not lose control of our IP as Megachips can then do whatever they want with the IP after the expiry date, since there is no legal instrument to hold each party to terms.

Can you help me understand that bit as like others have experienced I dont hold hope on IR providing a response and I wish to be able to formulate a AGM question that is cogent and logical.

 

[Jacob Kiraz]

Manny.

Thanks for the clear response. I am not from an IT technical nor IT backgroud so the terms of the engagement of such a contract are not familiar. I have read the agreement to be for a fixed term to use and play with the IT and if made into something then we get a stream of income. I understand we cant see if that was successful, until the money is in the bank.

But this bit then confuses me.

If the IP agreement was for 4 yrs that to me indicates an end date and thus no more development or ability to continue to use or help other potential customers adopt the Tech. If it was intended that they could, would it not be better to have no end date stipulated.

Can you help me understand that bit as like others have experienced I dont hold hope on IR providing a response and I wish to be able to formulate a AGM question that is cogent and logical.

Tech sais Peter said the Megachip deal will be big?

 

[smoothsailing18]

In The News

https://stockwirex.com/asx-stock-news/tech-ai/brn-brainchip-akd2500-silicon-project-february-2026/

This will be huge as it is setting the stage for our Akida across the board . Take a look at their webpage Asicland and were their circuits go.

Click on About us and scroll down... amazing

https://www.google.com/url?sa=t&source=web&rct=j&opi=89978449&url=https://eng.asicland.com/&ved=2ahUKEwiO_NuQztWSAxXiR2wGHfYGOr8QFnoECCMQAQ&usg=AOvVaw2DoJ8QLjx7lbbX-9F5mq7Q

The project commenced following execution of binding third-party agreements, including engagement with ASICLAND for custom application-specific integrated circuit (ASIC) development services covering design support, TSMC fabrication coordination, packaging and testing.

 

[7für7]

Almost 14 million traded and down 13 cent…

 

[manny100]

Manny.

Thanks for the clear response. I am not from an IT technical nor IT backgroud so the terms of the engagement of such a contract are not familiar. I have read the agreement to be for a fixed term to use and play with the IT and if made into something then we get a stream of income. I understand we cant see if that was successful, until the money is in the bank.

But this bit then confuses me.

If the IP agreement was for 4 yrs that to me indicates an end date and thus no more development or ability to continue to use or help other potential customers adopt the Tech. If it was intended that they could, would it not be better to have no end date stipulated.

Can you help me understand that bit as like others have experienced I dont hold hope on IR providing a response and I wish to be able to formulate a AGM question that is cogent and logical.

Its the end of the purpose that the license was for. The purpose was that they paid for 4 years to design and produce chips for a client.
They apparently did this so they had no need to renew.
The term of the agreement is only a start and fiinish date for the development of the chips.
It does not effect agreed royalties. Otherwise no one would renew and keep all the cash.

 

[Stable Genius]

Manny.

Thanks for the clear response. I am not from an IT technical nor IT backgroud so the terms of the engagement of such a contract are not familiar. I have read the agreement to be for a fixed term to use and play with the IT and if made into something then we get a stream of income. I understand we cant see if that was successful, until the money is in the bank.

But this bit then confuses me.

If the IP agreement was for 4 yrs that to me indicates an end date and thus no more development or ability to continue to use or help other potential customers adopt the Tech. If it was intended that they could, would it not be better to have no end date stipulated.

Can you help me understand that bit as like others have experienced I dont hold hope on IR providing a response and I wish to be able to formulate a AGM question that is cogent and logical.

Hi @manny100

Don’t want to be a negative Nelly on the topic but Megachips are also partnered with Quadric and have been pumping their tyres up publicly:

Quadric​

“Chimera General Purpose Neural Processing Unit” (GPNPU), which Quadric independently developed, can provide high performance computing regardless of sensor types. Conventional AI engines usually only run at high speed in neural networks while off-loading pre-processing and boundary processing onto a host system. However, with Quadric’s technology, it is possible to run at high speed with pre-processing, boundary processing, and neural network inference on a single hardware unit.
This unique ability that can support all kinds of data processing will allow for the accommodation of new types of neural networks released in the future without any hardware changes, regardless of the applications.

• 
  Quardric

Features​

• Scalability for both low power consumption and accuracy
• Accelerate entire steps of AI pipeline processing
• Flexible architecture to support the evolution of AI models
• IPs for silicon implementation
• Software development kits available

Proud to represent MegaChips on Quadric's board. Quadric is making great progress! | Douglas Fairbairn

Proud to represent MegaChips on Quadric's board. Quadric is making great progress!

www.linkedin.com

Quadric is really on a role! They have breakout AI IP which consistently beats the competition. Whether in cars, PCs, printers, or ? it's a clear winner | Douglas Fairbairn

Quadric is really on a role! They have breakout AI IP which consistently beats the competition. Whether in cars, PCs, printers, or ? it's a clear winner

www.linkedin.com

Douglas Fairburn who once did a podcast with Brainchip says:

I think we need to be realistic that Megachips are possibly using Quadric vs BC.

Love to be wrong of course but I haven’t seen any evidence of that.

 

[Earlyrelease]

Its the end of the purpose that the license was for. The purpose was that they paid for 4 years to design and produce chips for a client.
They apparently did this so they had no need to renew.
The term of the agreement is only a start and fiinish date for the development of the chips.
It does not effect agreed royalties. Otherwise no one would renew and keep all the cash.

Manny
Thank you for your help.

I am just using this to learn and understand so I don't expect you to answer as I am appreciative of your help to date.

But this is part of my concern. If it was an IP for one client then we cannot allow/anticipate for future mega chips customers to continue to appear.

It comes back to my original frustration, no explanation from the Company as to what outcome if any the expiry of the Megaship's IP deal delivered.

Would a statement along the lines of: "Brainchip announces that the 4 yr term with Megachips which was subject to a trading halt and ASX announcement in Nov 21 has expired / or been extended. Brainchip is pleased with this outcome and looks forward to opportunities that arise from that successful IP development phase or if its negative we get told what feedback we have made learnings from and have adjusted our ways (IE did these learning drive the change in the business model causing us to manufacture the chips first?

Again Manny, not expecting a response from you just making my thought logical to other readers.

 

[Guzzi62]

Megachips not renewing means that they have completed what they took the license out for, ie to design and produce chips for a client. They completed it so no need to renew. This will in no way my effect any royalties from it. That is a not negotiable otherwise licences would have to have to have no end date.
The other option is that they walked away and wasted their time and money and found a better chip. I doubt this.
If they had not finished developing then they would have had to extend.
IR can confirm that the licence has expired but they cannot give any details on what Megachips is doing as that is their business.
We will only know if Megachips releases information which i doubt they will.
As Sean says watch the quarterly cash flows.
I can't imagine Megachips going to all this trouble getting a license, collaborating with NARA Institute on robotics, SNNs etc then not using AKIDA.

Sorry, but I don't understand that?

Are you saying Megachips have already produced a chip incorporating AKD1000?

And now BRN will receive royalties from each chip coming out of the foundry?

I really wish that was true but I have my doubts.

 

[Schwale]

Almost 14 million traded and down 13 cent…

Who ever is doing the manipulation they will benefit when the capital raise notice is issued. The benefit will be more shares obtained due to low share price.

 

[manny100]

Manny.

Thanks for the clear response. I am not from an IT technical nor IT backgroud so the terms of the engagement of such a contract are not familiar. I have read the agreement to be for a fixed term to use and play with the IT and if made into something then we get a stream of income. I understand we cant see if that was successful, until the money is in the bank.

But this bit then confuses me.

If the IP agreement was for 4 yrs that to me indicates an end date and thus no more development or ability to continue to use or help other potential customers adopt the Tech. If it was intended that they could, would it not be better to have no end date stipulated.

***Edit*** I just added this too. If there was no end date, then as a company, would we not lose control of our IP as Megachips can then do whatever they want with the IP after the expiry date, since there is no legal instrument to hold each party to terms.

Can you help me understand that bit as like others have experienced I dont hold hope on IR providing a response and I wish to be able to formulate a AGM question that is cogent and logical.

There is always an end date otherwise the licensor (BRN) would have no control over how long development would take.
Brainchip wants the chips out on the market without delay.
It does however show that Brainchip has always been aware of the lenghty engagement to commercial cycle.
And robots do not require all the regulations of health and auto.
No doubt Brainchip and Megachips were already talking for months before the license was signed.
A lot of posters have trouble 'digesting' these time frames. The wait requires huge patience and loads of it.
I was in a very busy seaside Cafe for breakfast yesterday and in the window a sign said " patience is not the ability to wait but its how you act while waiting". Our patience has been stretched to the limits.
Renesas likewise is taking a mountain of time.
When it all comes together the current trickle will end up a torrent.

 

[Stockbob]

Is it a feeling of Deja vu or indifference or disappointment , can’t feel anything anymore, on a day that the released news was meant to be good, no it’s not because of the share price today, but because of the word “reference design” , If anything this tells me any hint of revenue to expect from 2500 is atleast 3-4 years away or even more , who knows and after that another announcement saying bugger all chip sales over next 2 years. BRN investors would make good artists in the art of watching paint dry.. While the science and technology is fascinating, selling it has not been easy.

 

[TopCat]

Sorry, but I don't understand that?

Are you saying Megachips have already produced a chip incorporating AKD1000?

And now BRN will receive royalties from each chip coming out of the foundry?

I really wish that was true but I have my doubts.

In the past , as I understood it, Megachips played a part in the design of akd1500 . Somebody correct me if I’m wrong.

 

[manny100]

Sorry, but I don't understand that?

Are you saying Megachips have already produced a chip incorporating AKD1000?

And now BRN will receive royalties from each chip coming out of the foundry?

I really wish that was true but I have my doubts.

If Megachips did not produce a chip then they wasted their time and money including their collaboration with the Nara Institute working on robotics and SNNs.
They are jointly demonstrating Robots with Acumino.
The main attraction of AKIDA1000 at the time was 'on chip learning'.
Brainchip get royalties and chips sold not chips coming 'out of a foundary'.
What makes you think they have 'ditched' AKIDA 1000 and used a Traditional AI chip after all that.