Dan Brennan: Great, thank – great, thank you.
Operator: Thank you. Your next question is coming from John Sourbeer or from UBS. Your line is live.
Unidentified Analyst: Hi guys. This is Lucas on for John Sourbeer at UBS. Is there any commentary you could provide on the sales funnel mix between the G4 and the G4X right now? Thank you.
Drew Spaventa: Yeah, yeah, thanks. It’s still early to look at the sales funnels for both and comment apples-to-apples. What we’re seeing on X is, we have a growing list, a dozen plus potential service collaborators that are in the funnel and that’s growing very quickly. Coming out of AGBT, we had a hundred plus interactions and it does take time to follow up with all those interested parties. And we’re doing it in the very formal way where we’re trying to identify specific projects where they could utilize the G4X and a lot of that that’s working through to understand the details of the project to make sure it’s a fit for the current capabilities of where we are. We still have a ways to go to develop kind of the full set of capabilities in the platform.
But that Funnel on the services side is really starting to take shape nicely and we’re executing on those now. On the funnel for instrument placement side of things, that’s going to take some time. Like I said, we’re only talking about early access placements later this year with commercial launch in the beginning of next year and people are going to want to see publications and services and we still have a lot of work to do to kind of launch this product the right way, which we reporting ourselves the time to do. On the sequencing side, there remains demand, but not, not ready to comment specifically on the funnel number. It’s not seeing we’ve talked about before. But again our focus at this point is really identifying where are their G4X customers.
And if those customers are interested in taking a G4 now as part of a package to step into X, those are the opportunities we would move through the funnel. But right now, we are not actively seeking G4-only opportunities. We are focusing our attention on G4X opportunities, our combination opportunities.
Unidentified Analyst: Thanks. That’s all are really good color. And then, is there any commentary you could provide on revenue and just kind of the general cadence of how things could track throughout the year?
Drew Spaventa: It’s still very early for us. We’re working through this now. A lot of this reorganization and shift has been work that we’ve done over the last couple months. I think we’ll have more information as we work through this kind of at the next quarter call.
Unidentified Analyst: Okay. Not a problem. And then lastly, on the PX, should we consider that product as still being in development? Or given the rollout of the G4X, is that kind of a replacement for the PX?
Drew Spaventa: Yeah, it’s a good question. I would consider that the G4X is our spatial sequencing platform we’re bringing to market. And it’s all hands on deck to focus on getting that platform out. The PX platforms, we have a six beta platforms that we may revisit at some point, but right now they’re on hold. Again, our mindset right now is very much focused, focused, focused on getting the G4X out.
Unidentified Analyst: Okay. Thank you. That’s all I had.
Operator: Thank you. Your next question is coming from Matthew Sykes from Goldman Sachs. Your line is live.
Jake Allen: Hi, this is Jake Allen on for Matt. Thank you for taking my question. First, for the anticipated G4X launch, do you expect a similar go to market strategy offering both reagent rental and outright instrument purchases?
Drew Spaventa: I think we envisioned a somewhat different strategy. I think we’re going to lean into services a lot more. And I expect that we’ll be more discerning on alternative methods versus capital sales. Again, the demand profile at this point seems different and we learned a lot from the G4 launch. So, it’s still early to say you’re from now when we’re selling units and we’re commercial what we expect that mix to look like. But I think one thing that we have learned is the service can be a really nice on ramp. There’s a lot of demand there. So, I think the other thing that we’re planning is, a few early access placements, but really partnering with those early access customers and making sure they’re at places where those very high pullthrough and that’s something that uniquely the system is suited to address.
Jake Allen: Got it. Thanks. That’s really helpful. And then, lastly, so, as you continue to cut headcount to reduce cost, could you just talk about what you’re thinking about in terms of level of investment into the business to support the G4X launch?
Drew Spaventa: Yeah, the reductions are very difficult and we’ve been a lean operating company to the extent possible from onset. The thought process behind reducing and focusing was really to try and eliminate anything activities and priorities that weren’t critical to kind of the revised focus and that focus is supporting existing customers and existing sequencing business and then putting all R&D and product resources on G4X. A lot those into developing these systems. It’s multidisciplinary teams. These are complex systems and reagents. So you can get to a point where you have really nice proof-of-concepts or really nice data, but productizing that and getting it out robustly. That’s something that we know it does take resources to do that. So, we’ve gone as is lean as we can with the more narrow focus on G4X and supporting existing customers and we’re going to try and advance as quickly as we can in that lean nature.
