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Propeller Market Sizing and Targets — Parallax Forums

Propeller Market Sizing and Targets

xtricityxtricity Posts: 25
edited 2007-04-19 21:11 in Propeller 1
I'm wondering if there are estimates on Propeller market size projections and targets. I have a sense that they're on the cusp of something bigger and need a little extra to push them to the other side. I don't know too much about the embedded chip design industry. Here are the things that led me to think about this:

- I live in Silicon Valley and read the San Jose Merc.
- I read Dean Takahashi's piece in the Merc on the Hydra. This led me to Parallax, the Basic Stamp and Propeller. I found it interesting that a very small company, Nurve, making a hobbyist product in small quantities could get into a mainstream press outlet like the SJ Merc.
- I drive pass Atmel regularly. I read about George Perlegos and Atmel all the time. This is a company with a market cap of $2.6 billion on sales of $1.6 billion in '05. I realize that Atmel has fabs and is an entirely different company, but I'm just wondering if there's a bigger piece of this market that Parallax is targeting.
- I pick up the Merc and there's a big sticker on the front over the headline for the Embedded Systems Conference with mainstream articles about the rise of embedded systems in everyday life. http://www.mercurynews.com/search/ci_5589730 This was a color spread on one of the main sections of the Merc by Mark Boslet.
- Then, there's another mainstream article by Elise Ackerman of the Merc on robots. http://www.mercurynews.com/search/ci_5648709

So, I'm just kicking back here in the valley reading on this stuff and wondering what the plans for Parallax are. At the very least, it seems possible to push into more mainstream media stories. I know that there's been a couple of articles in ROBOT Magazine and Bill Wong wrote something in Electronic Design Mag back in August. However, it seems to me that there's more opportunity by leverage that 8-core coolness factor, the robotics angle, and the education angle.

Well, enough rambling. Just trying to collect info. BTW, I don't read my email attached to this account very often.

Comments

  • rokickirokicki Posts: 1,000
    edited 2007-04-18 16:55
    You know, I talked with Chip about this very same sort of thing at the Embedded Systems Conference. I think they are
    intentionally *not* going after the big industrial markets; they seem to like the niche they have. I mean, have you
    ever known a company where people have so much sheer fun?

    But I agree, there is significant potential there.

    [noparse][[/noparse]If I am misrepresenting anything Chip said, I apologize; it was a hectic conference!]
  • QuattroRS4QuattroRS4 Posts: 916
    edited 2007-04-18 18:07
    Xtricity & Rokicki
    I couldn't agree more - it is an aspect that has intrigued me about Parallax for some time. I have used Parallax products in industrial environments for many years now ... I have also used many other variants of microcontrollers .. but when there is an issue and expediency is one of the key factors I have found myself always opting for the Parallax products - because of sheer speed of development and deployment .. I have a shelf full of custom boards based around the stamps and Propeller - ready for when the call comes in with a problem whereby a fix is needed yesterday - a quick brief on the issue - a board is selected (depending on application) grab the laptop and toolbox then off to site ... problems solved...
    While I had many an issue with die hards saying the Stamp was a 'hobby chip' and yet I had many industrial applications based on stamps of all varieties. There was no such response when the Propeller was introduced - many questions and a few puzzled faces said it all ..... had a quiet smile to myself... I think judging by interest from anyone who has encountered the Propeller it will propogate by itself and not require that 'push' .... in short it is something special..

    Regards,
    Quattro

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  • HighJumpHighJump Posts: 3
    edited 2007-04-18 18:58
    If Parallax wants more visibility (which, apparently they don't), they should consider a Circuit Cellar contest. This always seems to come up with a bunch of neat ideas, AND, gets the part a lot of exposure.
  • Mike GreenMike Green Posts: 23,101
    edited 2007-04-18 19:20
    It's really clear to me that the "powers that be" at Parallax (probably Chip and Ken mostly) understand how difficult it is to maintain creativity in a typical corporate environment. It involves risk-taking, "gut feelings" that are sometimes wrong, faith in individuals, etc. I was very very surprised when Parallax got into the market of supplying SX chips (as the sole supplier). I suppose it was a matter of doing it or seeing them disappear along with most of the Stamp line of products. I don't know who else uses them, but it sure looked like Parallax was going to have to grow much bigger and more "corporate" and they seem to have survived that with philosophy and intent intact.

    I suspect that the Propeller, like the SX and Stamps, will make it into more products eventually than you or I can imagine, but they probably won't be high profile items and probably not high volume. Manufacturers will always find a way to make things work cheaply, but adequately (but not really well).
  • crgwbrcrgwbr Posts: 614
    edited 2007-04-18 19:43
    I think that (in some companies at least) they are so use to using 'mainstream' controllers such as PICs & AVRs, that they view products from small companies like parallax as being inferior. Anyone who has used them knows that Propellers, SX's, and Basic Stamps are great, and probably better than the competition's. It's just the initial fear that the big consumers have trouble getting over.

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    Microsoft: "You've got questions. We've got dancing paper clips."
  • QuattroRS4QuattroRS4 Posts: 916
    edited 2007-04-18 19:57
    Well if there was a share option I'd buy ......

    I would love to get the official line here ... It is obvious to us all that the company is customer oriented - what is the long term plan ? The Prop was a large undertaking with spectacular results - Spin Stamp iminent and Prop2 (TurboProp ..??) it is all exciting stuff. With the success of all products to date - is there a fear of things expanding so much that the 'identity' will be lost? The potential here is huge ..


    IMO - Parallax is to the world of microcontrollers what Linux is to the world of operating systems....


    Regards,
    Quattro

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    'Necessity is the mother of invention'

    Post Edited (QuattroRS4) : 4/19/2007 2:58:49 PM GMT
  • cgraceycgracey Posts: 14,133
    edited 2007-04-18 20:00
    We would like to sell lots of chips, of course, but we don't want to wear ourselves out with a huge, unnecessary·marketing effort.

    We've learned from past experience (PIC·from 1990, BASIC Stamp·from 1993, SX·from 1997)·that it takes five years to get a new architecture entrenched in people's minds. LOTS of marketing may speed·it up, but only by a little.

    What matters critically to us is that·we are selling a good product and slowly developing mindshare among engineers.

    If you guys·are thinking about the Propeller while sitting on the potty, we are succeeding! .....Anyone?

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    Chip Gracey
    Parallax, Inc.
  • QuattroRS4QuattroRS4 Posts: 916
    edited 2007-04-18 20:03
    Chip,

    well then you are succeeding ..!!! thinking while 'Downloading' !!!! ...lol

    That just reminded me of the last time I heard toilets mentioned in a discussion about technology ..... very funny -www.youtube.com/watch?v=FjKMhtyI3L8


    Regards,

    Quattro

    ▔▔▔▔▔▔▔▔▔▔▔▔▔▔▔▔▔▔▔▔▔▔▔▔
    'Necessity is the mother of invention'

    Post Edited (QuattroRS4) : 4/19/2007 2:59:40 PM GMT
  • HarleyHarley Posts: 997
    edited 2007-04-18 20:46
    Chip Gracey said...

    ..... If you guys·are thinking about the Propeller while sitting on the potty, we are succeeding! .....Anyone?

    Dang! There TOO, I must admit. Another place for 'multi-processing'.smile.gif

    Good thinking place. yeah.gif Been there, done that...

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    Harley Shanko
    h.a.s. designn
  • Paul BakerPaul Baker Posts: 6,351
    edited 2007-04-18 21:00
    9.gifToilets, the birthplace of multiprocessing 32.gif

    But seriously, Parallax is an engineering oriented company, not a marketing oriented company like alot of the big guys are. It's not that we aren't seriously targeting industrial applications, its just that throwing a lot of money and energy into marketing produces very little and frequently immeasurable traction in the market. We would rather invest the money into improving existing and creating new products (the "field of dreams" approach).

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    Paul Baker
    Propeller Applications Engineer

    Parallax, Inc.

    Post Edited (Paul Baker (Parallax)) : 4/18/2007 9:34:06 PM GMT
  • Nick MuellerNick Mueller Posts: 815
    edited 2007-04-18 21:28
    > If you guys are thinking about the Propeller while sitting on the potty, we are succeeding! .....Anyone?

    Not just there! Not just then! smile.gif

    Sent the file to the PCB-etcher just now for the first part of my first Prop-project.
    And discussing with some one about something new. I'll suggest him to throw away what he already got and start from scratch with the Propeller. *MUCH* lower development-time!
    BTW:
    Are there routines for multiplexing 7-segments already existing?


    Nick

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    YADRO
  • HarleyHarley Posts: 997
    edited 2007-04-18 21:49
    Nick Mueller said...
    Are there routines for multiplexing 7-segments already existing?

    I'm assuming you are thinking of LEDs.

    Some years back (way prior to the Prop) I did one with six 7-segment LEDs running around 80 Hz refresh rate combined with a scan routine for 28 switches.

    Used also the decimal point segment, so used 8 lines from a PIC which scanned the six common-cathode LEDs, each driven via a FET. If you are interested in the 'interrupt' code I can PM it to you. No reason to waste this forum bandwidth/space. (You'd have to translate PIC to Prop; fairly well commented.)

    I'm not aware of any object for n-displays and common cathode/anode.

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    Harley Shanko
    h.a.s. designn

    Post Edited (Harley) : 4/18/2007 9:53:44 PM GMT
  • xtricityxtricity Posts: 25
    edited 2007-04-18 22:45
    Chip Gracey (Parallax) said...

    If you guys are thinking about the Propeller while sitting on the potty, we are succeeding! .....Anyone?

    I keep a copy of the Propeller manual in my master bathroom.
  • CHIPKENCHIPKEN Posts: 45
    edited 2007-04-19 02:51
    We are lucky to have a BASIC Stamp and a Propeller Chip. I am not sure if the potty/board room of America could stand for someone spending eight years on a processor development effort. I suspect there is little engineering influence on many corporate boards·to commit a serious change in their product designs other than staying with the present "state·of the art". Are there innovative engineers on boards to guide or even suggest·changes?··This is NOT the situation at Parallax.hop.gif

    Chuck
  • Oldbitcollector (Jeff)Oldbitcollector (Jeff) Posts: 8,091
    edited 2007-04-19 02:58
    Chip,

    Also guilty as charged... Thinking about duplicating my propeller schematics for my van as well,
    (just because I spend so much time on the road during the day.)

    Oldbitcollector

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    The comments and code above are proof that a million monkeys with a million propeller chips *could* write Shakespeare!
  • bambinobambino Posts: 789
    edited 2007-04-19 15:54
    Guilty yes, but how many different toilets? I have been engrossed in the propeller in places where I knew I should be focusing on something else.

    When I read what Chip said it made me think of a story I read about Timber close to the artic circle. It mentioned the trees that where able to grow the farthest north where usually in ravines where the wind was at a minimum. Because they only grew a little per year, they where the hardest wood to cut and made the strongest products when and if you where able to cut them into something. Large fast growth has been the death of many a businness, even though the larger companies take the limelight for fast growth, just as many have gone down trying too much too soon.(Businness in General, not just silicon)
  • xtricityxtricity Posts: 25
    edited 2007-04-19 17:14
    Well, I'm out of the bathroom and back in the office. Since I'm avoiding work, I'll give more of my thoughts. Chip's comments focused more on the proper allocation of resources, not on a strategic decision to keep Parallax small in order to preserve the established company culture. They appear to want to sell more chips, but have decided that a modest increase in marketing expenditure will not help them to reach their target audience of embedded developers.

    Chip gave specific examples of developer adoption taking 5 years: PIC from 1990, BASIC Stamp from 1993, SX from 1997. This is all good stuff. I'm curious about two things:

    1) Pool of potential embedded developers may be growing. The SJ Merc article seemed to indicate that the number of embedded products was growing. Since embedded products are proliferating, the number of programmers may be set for an increase, perhaps more so than with the BASIC Stamp (fairly expensive compared to a PIC) or the SX (not that differentiated from the PIC). The Propeller is an unique product. It might be worthwhile to have a focused campaign to let a wide swath of developers know that it exists. This might not shorten the adoption cycle, but it might increase the size of the developer pool when adoption cycle reaches a more mature level.

    2) All of these chip introductions happened before the Internet became as prevalent as it is today. By 1997, the Internet was widespread. However, I don't think that the SX is sufficiently differentiated from the PIC to really warrant a marketing push. Again, the Propeller is different and it is being launched in a different time when online information is by far the most prevalent way for developers to consume any type of information, not just technical information.

    Chip and team seem to be spending money on marketing anyway. They've hired a marketing person, Lauren Bares. If she's full-time, that's a significant cost. Considering Chip's involvement with guerilla marketing to developers, having one marketing FTE for a company with 35 people is standard, even for a marketing-driven company. Generally, the marketing FTE would be more senior and thus more expensive, so Parallax is going a little light, but they are not spending that much less than a marketing-driven company. I think someone mentioned that they saw Chip at ESC. This means that they have budget for key trade show booths. ESC is not cheap. They are also spending money producing extremely good product marketing material. Their product information is top-notch. There also appears to be a good customer-reference program with the SX contest and a good program for direct communication with customers with this forum. So, I think that they have an advanced marketing program. Though, they may not think that's it's cool to say so.

    Another aspect of marketing is the marketing communications outbound side. This is what people traditionally think of as fluffy marketing. Parallax probably doesn't need too much of this. They may have an online banner ad campaign targeted at developers and may be involved in print advertising in a few key electronics magazines. I don't think they need to spend too much on print advertising. As I indicated earlier, the eyes of their audience have moved online.

    The one aspect that Parallax is weak on, IMO is media and analyst relations. Beyond Chip's time, there's not cost to them to talk to reporters. However, I don't think there's any organized outreach program to develop their story, organize a list of influencers and systematically involve them in discussions. To me, this is interesting since it appears that Parallax has a lot to work with.

    If I were Chip, I would look at having chats with:
    Biz Press: Mark Boslet - Merc; Markoff - NYT; Hamm - BW; just to start of with
    Analysts: Nathan Brookwood - Insight64 (in SV); Balacco and Volckmann - VDC
    Embedded: Goering - EETimes; Embedded Computing Design - Gipper
    Dev: Zeicheck - SDTimes

    Others. anyway enough rambling. I better get back to work.
  • rjo_rjo_ Posts: 1,825
    edited 2007-04-19 18:30
    Chip said "If ....... "

    Chip, at our age... just thinking about the Prop makes some of us....--->

    I'm not exactly sure that the prop is a cure for constipation... but as an occasional remedy, no doubt.

    You might consider marketing the prop for its "medicinal" qualities.

    Rich

    The day will come when the Prop is being thought about more in the Board Rooms than in the bathrooms. Until then... THIS is a little slice of heaven[noparse]:)[/noparse]
  • CJCJ Posts: 470
    edited 2007-04-19 20:17
    antidepressant!

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    Parallax Forums - If you're ready to learn, we're ready to help.
  • rjo_rjo_ Posts: 1,825
    edited 2007-04-19 21:11
    A true "multimodal" as well as a multiprocessor...

    You guys thought you might have trouble with the FCC... wait til the FDA hears about you.

    Rich
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