Jaeson Schmidt: Got you. Now, that’s really helpful. Then just the last one from me, and I’ll jump back into queue. The European defense manufacturing license seems pretty significant. Just curious, the timeline you’re thinking about as far as when it really will have an impact. I assume you’ve been assuming you would get this. And does this mean that you could see a quicker impact, or will this take some time as you start to negotiate with these agencies?
Sam Rubin: Yes, we applied for it exactly 12 months to the day almost from when we received it. And I guess everyone sort of knew it would take exactly 12 months to the day, something in the bureaucracy or whatever. So, to that extent, I know that we have at least two customers in Europe, two large defense companies in Europe that have started working with us in anticipation of us receiving it. So, at least from those two customers, I can say with a very high degree of confidence that this is coming shortly related to that. With others, it might take longer. The question is always like in those defense businesses, do we step into an existing program and get qualified as a vendor for something that was already designed and done?
Or do they choose us for new programs and then a two-year cycle or whatever in those cases? I am pretty sure that it will be more of the first one. We’re going to get stepped in and qualified into existing programs because the growth of the defense spending in Europe has been so tremendous and the supply chains are so, so strained that I think they’re going to welcome having new suppliers for even existing programs, which works great for us.
Albert Miranda: It’s very positive.
Jaeson Schmidt: Okay. Now, that’s really good to hear. Thanks a lot, guys.
Sam Rubin: Okay. Thank you.
Operator: Our last question comes from Gene with ingerletter.com. Please ask your question.
Gene Inger: Yes. Hi, Sam and Al, and thanks for your continuing hard work to develop this company, big transformation. I hopped on the call a little bit late. I’ve been under the weather, but in any event, I don’t know if you expanded much on the potential from the Lockheed situation. I realize there’s a competing prime contractor there. If not, and the extent to which it at least introduces you to other projects in the realm, perhaps you can expand on that. And I’d also like you to update us, if you didn’t already, on what’s going on in the world of space communications.
Sam Rubin: Okay. Yes, definitely a lot there. And welcome, Gene. Sorry to hear you’re feeling sick. On the Lockheed, we updated that we delivered on the first milestone on time, full performance, which is great. We didn’t update much more after that since nothing has changed significantly. So, we’re still looking at the same time frame. We’re still looking at the same massive hundreds of millions of dollars in potential of production level sales. And it’s all great. And as we indicated last time, Lockheed wants to start setting up production even within this year ahead of time here in Orlando. And that is something we started working on, but we don’t have much to report on that yet. Asking about did it open up other opportunities, that’s actually a pretty good question, because it did open up already for us additional programs in Lockheed.
As expected, all the defense contractors tend to take a core technology that’s developed and try and use this on multiple platforms. And this is no different. And we have some additional programs that we’re in Lockheed that are in the R&D stage. And we’re hoping that in the next six months, at least one or two of them transition to become program of records, and we’ll be able to talk about it. But it’s pretty similar in a sense of doing similar product, similar core technology of LightPath. The optical communication in space is going really well. Our prime customer there has, I think, increased their order. I’m assuming it means that they’re delivering more satellites. We don’t know exactly full details. Everyone is a bit tight-lipped and understandably on that.
There’s a couple of other projects. There’s a small development project that we have that is more related to quantum encryption of optical communication, same free space optical communication and a few other things. But I’d say we are on a good steady rate of delivery and very good performance by our team on our biggest space program for optical communication.
Gene Inger: Perhaps all you need to do is change the name of the company to LightPath AI and people will finally find you.
Sam Rubin: Yes, I can try that. That’s like back in the dotcom area where everyone just added dotcom to their name, right?
Gene Inger: Including Mr. Dotcom, the fat German guy.
Sam Rubin: Not familiar with that, yes.
Gene Inger: Oh, it’s true. And at one point, he controlled more domain names than anybody in the world.
Sam Rubin: All right. Yes.
Gene Inger: In any event, no, I think what you’re doing is great. I think it doesn’t take a rocket scientist, which a friend of mine happens to be, but it doesn’t take a rocket scientist to recognize what Lockheed does in Orlando. And it’s basically one division, which is called Missile and Fire Control. So, I suppose you can’t get more specific, but I have a rough idea of what they work on there. And certainly, there’s a need and quantity for things like infrared camera modules and target acquisition sensors and what have you.
Sam Rubin: Yes, absolutely. I think one with a bit of diligence and digging in Google can also find what programs Lockheed got awarded and is working on to connect the dots.
Gene Inger: On the space scenario, what I’m talking about is also the idea of whether there’s any recurring annuity-style revenues from developing communications within a constellation, whether it’s for cellular, whether it’s for a defense network. Obviously, the encircling Starlink or anybody else, they’re going to encircle the globe and they have to have downlinks to various points on Earth. And if you’re doing a one-time sale of equipment, it’s not the same as something that produces residual income.
