Danger files for $100M IPO
One of the more important privately held companies operating in the consumer wireless industry today, Danger has filed this week to go public with the SEC "as soon as practicable" in an effort to raise up to $100 million in cold, hard cash under the symbol "DNGR." The SEC filing is a gold mine of information peeping into the inner workings of the outfit, revealing that Danger is "substantially dependent" on T-Mobile for its revenue stream (surprise, surprise) and that while overall revenue has grown from $36.7 to $49.3 to $56.4 million in the past three years, losses have actually widened over the past two from $8 million in 2006 to $11.7 million this year. Of course, it costs money to make money -- Danger clearly knows that -- and they intend to use $7.2 million of the IPO's proceeds to pay back some loans, hopefully on the path to eventual profit. No word yet on exactly when the IPO will go down or how many shares will be outstanding.[Via mocoNews]
Filed under: Danger
Reader Comments (Page 1 of 1)
elgee02 @ Dec 20th 2007 5:54PM
It would benefit Danger to try and go beyond the Sidekick and go beyond T-Mobile.
"I haven't seen a sidekick lx commercial since its release and that is just horrible advertising period"
I'm not a marketing expert, but I am sure some, if not most of that falls on T-Mobile, not Danger but I could be wrong.
fyreblazer @ Dec 20th 2007 7:37PM
Wow, an elgee comment I can agree with.
Danger's #1 problem is that they have one and only one product, and that product is only popular with a few certain crowds (hearing impaired & teens). If they expanded their device portfolio and released on a 3G network, whether HSPDA or EVDO, they would start making a lot more money.
PEZ @ Dec 20th 2007 6:22PM
Its not up to Danger to market the sidekick. After all, they dont make seidekicks, they make the hiptop OS.
Not to mention the device is marketed towards kids, or those who have had it for years now.
If they stopped with the bubblegum skins and put in some real funcitonality, maybe WiFi or UMA, maybe they would get the interest of some real users.
Puerrican @ Dec 26th 2007 4:25PM
Maybe if they didnt do so lousy on their service they wouldn't be having such losses. Doesnt take a Master Degree Graduate right out of college to realize they've also been marketing their sidekick devices very poorly. I haven't seen a sidekick lx commercial since its release and that is just horrible advertising period.. They need to look at their business as a whole and see where they need to improve and implement it asap. In my opinion as an accountant a large amount of the time that business's do horrible is due to that the owners aren't running the business correctly and are just sitting back thinking the business will just grow on its own without being managed correctly. Dangers CEO needs to step his game up fast or they won't be around for another device release. I mean they heavily advertised the I.D. when it came out, but when the slide and lx came the only press release it got was mostly from the web, throw some good ads on tv and they would've infinitely better, bad managing Danger..just bad.. and you guys had potential.
elbow @ Dec 29th 2007 2:10AM
Shoot, and I was hoping the ticker symbol would be 'DANG'...