It is simple. The customers usually dont switch and have long-term contracts. It needs to be approved in RFP by OEMs which tend to not make changes of what is working. All OEMs have suppliers for their CTP already so it is not easy to get in.
That said I hope there will be at least one new OEM in the next few years. That would significantly derisk the thesis and considerable upside would occur. Tough to say though.
Why do you think CXZ is struggling to acquire more OEM?
Hello,
It is simple. The customers usually dont switch and have long-term contracts. It needs to be approved in RFP by OEMs which tend to not make changes of what is working. All OEMs have suppliers for their CTP already so it is not easy to get in.
That said I hope there will be at least one new OEM in the next few years. That would significantly derisk the thesis and considerable upside would occur. Tough to say though.
Jacob