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3 May 2005 Team Platinum 1
Team Platinum
Members:Ian McKay Sean Alcos Robert Pilkington Joseph MarchAnjalee Sinha Andrew Cherry
Website: http://www.cs.odu.edu/~cpi/cpi-s2005/iRespond/
Team PlatinumCS410
3rd May 2005
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3 May 2005 Team Platinum 2
Introduction
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3 May 2005 Team Platinum 3
Problem
Communicating the need for emergency assistance from any place at any time is not always possible
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3 May 2005 Team Platinum 4
Problem Characteristics
• Inability to communicate• Isolation• Emergency
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3 May 2005 Team Platinum 5
Solution
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3 May 2005 Team Platinum 6
Outline
• Problem• Solution• Product
details• Goals, plans,
and milestones
• Budget• Management• Conclusion
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3 May 2005 Team Platinum 7
Solution Characteristics
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3 May 2005 Team Platinum 8
iRespond Will Do
• Combination GPS and cellular positioning
• On-Demand positioning
• Report location data
• Continuous transmission of distress signal
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3 May 2005 Team Platinum 9
iRespond Will Not Do
• Transmit location without being activated by the user or reveal location to anyone other than E-911– invasion of privacy
• Provide location information outside of emergency situations– higher production costs– shorter battery life– harder to use
• Provide 2-way voice communication– often impossible or unsafe– higher production costs– shorter battery life
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3 May 2005 Team Platinum 10
iRespond Fob
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3 May 2005 Team Platinum 11
U&R Unit
unit
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3 May 2005 Team Platinum 12
Modem
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3 May 2005 Team Platinum 13
Battery
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3 May 2005 Team Platinum 14
GPS Receiver
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3 May 2005 Team Platinum 15
GPS Antenna
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3 May 2005 Team Platinum 16
Cellular Transceiver
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3 May 2005 Team Platinum 17
Flash Memory
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3 May 2005 Team Platinum 18
iRespond Device
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3 May 2005 Team Platinum 19
What’s In The Box?
• iRespond key fob device• iRespond update and recharging unit• Registration instructions• User manual• Telephone cord• AC adaptor
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3 May 2005 Team Platinum 20
Company Info
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3 May 2005 Team Platinum 21
Goal
Provide a simple yet reliable method to request assistance from emergency response teams regardless of the user’s location
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3 May 2005 Team Platinum 22
iRespond
Retain Personal Privacy
User-Friendly Interface
Inexpensive Subscription
Fee
Fast Emergency Response
Portable
Objectives
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3 May 2005 Team Platinum 23
SBIR Funding
• National Science Foundation (NSF)– SBIR Phase I awards maximum = $100,000– SBIR Phase II awards maximum = $500,000– Additional supplemental award (Phase IIB) may
raise Phase II awards maximum = $750,000
• Additional Funding from Virginia CIT Funding
• Phase III Funding from private investors
http://www.nsf.gov/eng/sbir/
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3 May 2005 Team Platinum 24
Schedule Overview
• Prototype Development– Developing & testing completed
Year End 2005
• iRespond Device CreationiRespond Call Center
– Developing & testing completedEnd of 2nd Quarter 2006
• iRespond Mass Production & Marketing
– Beginning 3rd Quarter 2006
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3 May 2005 Team Platinum 25
Phase 0 Milestones
1. Team Organization2. Project Initiation3. Feasibility4. Milestones5. Documentation6. SBIR7. Website8. Presentation / SBIR Submission
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3 May 2005 Team Platinum 26
Phase 1 Milestones
1. Team Organization2. Project Reanalysis3. Prototype Development4. Testing5. Documentation6. SBIR7. Website8. Phase Analysis
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3 May 2005 Team Platinum 27
Description CostPersonnel Cost $81,428.33Hard Resource Cost $15,534.48Travel Cost $680.00
Total iRespond Phase 1 Cost $97,642.81
Total iRespond Phase 1 Budget
Total Cost: $97,642.81
Phase 1 Budget
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3 May 2005 Team Platinum 28
Phase 2 Milestones
1. Team Organization2. Analyze Budget3. Gather Resources4. iRespond Device Development5. iRespond Customer Service Center
Development6. Testing7. Documentation8. SBIR
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3 May 2005 Team Platinum 29
Description CostPersonnel Cost $528,987.53Hard Resource Cost $208,824.90Total iRespond Phase 2 Cost $737,812.43
Total iRespond Phase 2 Budget
Total Cost: $737,812.43
Phase 2 Budget
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3 May 2005 Team Platinum 30
Phase 3 Milestones
1. Pre-Production2. Contracts3. Employees Hiring/Training4. Begin Production5. Marketing
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3 May 2005 Team Platinum 31
Description CostPersonnel Cost $2,432,965.40Hard Resource Cost $19,781,104.80Total iRespond Phase 3 Cost $22,214,070.20
Total iRespond Phase 3 Budget
Total Cost: $22,214,070.20
Phase 3 Budget
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3 May 2005 Team Platinum 32
Employee Months Pay Rate Cost
Project Manager 2.84 $30,000.00 $7,100.00Task/Doc Specialist 2.70 $22,000.00 $4,950.00Financial Specialist 2.70 $24,000.00 $5,400.00Technical Specialist 2.70 $22,000.00 $4,950.00Database Specialist 2.60 $24,000.00 $5,200.00Marketing Specialist 2.60 $22,000.00 $4,766.67Electrical Engineer 2.70 $60,000.00 $13,500.00Webmaster 2.60 $22,000.00 $4,766.67Total Salary $50,633.33Employee Overhead (40%) $20,253.33Total Employee Cost $70,886.67
Communications Consultant 0.80 $50,000.00 $3,333.33Hardware Consultant 0.80 $55,000.00 $3,666.67Network Consultant 0.30 $60,000.00 $1,500.00Injection Molding Consultant 0.70 $35,000.00 $2,041.67Total Consultant Cost $10,541.67
Total $81,428.33
Phase 1 Personnel
Consultants
Employee Months Pay Rate CostProject Manager 8.25 $80,000.00 $55,000.00Task/Document Specialist 4.00 $22,000.00 $7,333.33Financial/Accounting Director 4.00 $65,000.00 $21,666.67Technical Specialist 4.00 $45,000.00 $15,000.00Marketing Director 4.00 $60,000.00 $20,000.00Networking Engineer 3.00 $62,000.00 $15,500.00Electrical Engineer 8.00 $60,000.00 $40,000.00Webmaster 2.00 $28,000.00 $4,666.67Call Center Supervisor 3.00 $33,000.00 $8,250.00Customer Service Manager 3.00 $55,000.00 $13,750.00HR Manager 3.00 $70,000.00 $17,500.00Traffic/Scheduling Analyst 4.00 $35,000.00 $11,666.67Sales Director 5.00 $60,000.00 $25,000.00Tester 3.00 $32,404.00 $8,101.00Design Engineer 1 8.00 $59,478.00 $39,652.00Database Admin/Designer 6.00 $60,000.00 $30,000.00Database Engineer 6.00 $80,000.00 $40,000.00Total Personnel Cost $373,086.33Employee Overhead (40%) $149,234.53Total Phase 2 Personnel Cost $522,320.87
Legal Consultant 1.00 $80,000.00 $6,666.67
Total $528,987.53
Phase 2 Personnel
Consultants
Employee # Employees Months Pay Rate CostProject Manager 1 12.00 $95,000.00 $95,000.00Task/Document Specialist 1 12.00 $30,000.00 $30,000.00Financial/Accounting Director 1 12.00 $65,000.00 $65,000.00Technical Specialist 1 12.00 $45,000.00 $45,000.00Marketing Director 1 12.00 $60,000.00 $60,000.00Webmaster 1 6.00 $28,000.00 $14,000.00Call Center Supervisor 3 12.00 $33,000.00 $99,000.00Customer Service Manager 1 12.00 $55,000.00 $55,000.00Training Specialist 1 2 6.00 $38,000.00 $38,000.00Database Maintenance Staff 1 12.00 $81,791.00 $81,791.00Customer Service Rep 1 20 12.00 $18,720.00 $374,400.00Technical Support Rep 10 12.00 $24,960.00 $249,600.00Help Desk Support 1 12.00 $37,662.00 $37,662.00Network Systems Admin 1 12.00 $50,000.00 $50,000.00HR Manager 1 12.00 $70,000.00 $70,000.00HR Staff 2 12.00 $45,000.00 $90,000.00Traffic/Scheduling Analyst 2 12.00 $35,000.00 $70,000.00Sales Director 1 12.00 $60,000.00 $60,000.00Tester 2 12.00 $32,404.00 $64,808.00Database Admin 1 12.00 $60,000.00 $60,000.00Total Personnel Cost $1,709,261.00Employee Overhead (40%) $683,704.40
Total Phase 2 Personnel Cost $2,392,965.40
Legal Consultant 1 6.00 $80,000.00 $40,000.00
Total $2,432,965.40
Phase 3 Personnel
Consultants
Total Cost: $3,043,381.27
Total Personnel Cost
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3 May 2005 Team Platinum 33
Resource Number of Units Cost Per Unit Total CostFOB Case Prototype 1 $10,000.00 $10,000.00GPS Receiver 2 $59.95 $119.90GPS Antenna 2 $17.95 $35.90CDMA Radio Chip 2 $20.00 $40.00Mobile Phone Antenna 2 $3.00 $6.00Rechargable Battery 2 $19.98 $39.96Recharging Station 2 $38.94 $77.88Flash Memory 2 $11.95 $23.90Internal Circuits and Board 2 $1.47 $2.94Solder 4 $2.00 $8.00Soldering Iron 4 $10.00 $40.00Database Server 2 $2,500.00 $5,000.00Redhat Linux 2 $0.00 $0.00Ethernet Cables CAT 6 4 $35.00 $140.00
Total Hard Resources Cost $15,534.48
Phase 1 Hard Resources
Resource Number of Units Cost Per Unit Total CostCall Center 1 $42,000.00 $28,875.00Work Stations 20 $1,800.00 $36,000.00Office Equipment 20 $230.00 $4,600.00Phones 20 $140.00 $2,800.00Network Equipment 1 $80,000.00 $80,000.00Testing Equipment 1 $40,000.00 $40,000.00Molds + Case Production + Assembly 100,000 $0.17 $16,500.00Call Center Phone Number 2 $24.95 $49.90Total Phase 2 HD Cost $208,824.90
Phase 2 Hard Resources
Resource Number of Units Cost Per Unit Total CostCall Center 1 $42,000.00 $42,000.00Work Stations 10 $1,800.00 $18,000.00Office Equipment 10 $230.00 $2,300.00Phones 10 $140.00 $1,400.00Testing Equipment 1 $40,000.00 $40,000.00Shipping 10000 units 100,000 $0.19 $19,305.00Shipping 500,000 $0.13 $65,000.00Call Center Phone Number 2 $24.95 $49.90Server UPC 2 $1,000.00 $2,000.00Call Center Phone Number 2 $24.95 $49.90Bulk Component Cost 100,000 $22.66 $2,266,000.00Bulk Component Cost 500,000 34.65 $17,325,000.00Marketing Costs 1 $800,000.00 $800,000.00Total Phase 3 HD Cost $19,781,104.80
Phase 3 Hard Resources
Total Cost: $20,005,464.18
Resource Cost
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3 May 2005 Team Platinum 34
Description CostPersonnel Cost $3,043,381.27Resource Cost $20,005,464.18Travel Cost $680.00
Total $23,049,525.45
Total iRespond Budget
Total Cost: $23,049,525.45
Total Budget
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3 May 2005 Team Platinum 35
Description CostUnit Profit @ $40.00 Each $24,000,000.00Subscription Profit $55,308,015.00Less Overhead Cost $22,214,070.20
Total Profit $57,093,944.80
Yearly Profit
Profit
$57,093,944.80
Yearly Profit assuming 600,000 units sold
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3 May 2005 Team Platinum 36
Return on Investment
-20
0
20
40
60
80
100
1,000 10,000 100,000 1,000,000
Units Sold
Ne
t P
rofi
t (M
illio
ns
of
Do
llars
)
Breakeven Point
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3 May 2005 Team Platinum 37
Competition
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3 May 2005 Team Platinum 38
Risk Matrix1. Rejection by FCC
2. Similar features implemented by cellular phone companies
3. Lower-cost competition
4. Unforeseen production costs
5. Unforeseen testing expenses
6. Similar products fromestablished companies
7. Late deliveries fromhired subcontractors
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3 May 2005 Team Platinum 39
Risk MitigationRejection by FCC
Research
Unforeseen testing expenses
Careful planningIncremental testing
Similar features implementedby cellular phone companies
Marketing
Lower-cost competition
Reduce functionalityChange fee structure
Unforeseen production costs
Reduce functionalityChange fee structure
Similar products fromestablished companies
Marketing
Late deliveries from subcontractors
Penalty & recovery clausesCarefully chosen subcontractors
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3 May 2005 Team Platinum 40
Marketing Plan
CompetitionCompetitionDistributionDistribution
Marketing Marketing MixMix
EconomicsEconomics
StartStartStartStart
Consumer Consumer AnalysisAnalysis
Framework for approaching: Framework for approaching:
Marketing strategy model Marketing strategy model for iRespond.for iRespond.
Marketing strategy model Marketing strategy model provides an excellent frame provides an excellent frame of reference for our of reference for our marketing cases.marketing cases.
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Marketing Strategy
Targeting Positioning Communicate Branding
• Select target market• Study unmet needs. •Sales history•Demographics•Psycho-Graphics•Behavioral Differences•Overall Growth•Competitive challenge
•Total Value “ – “ Total Cost
• Competition matrix Vs Customer needs.
•Identify needs, interestof each target audience•Define core message•Explore range of Co-mmunication channels.•Communication Matrix
• Creating your brand identity.• Building brand awareness and recognition.•Delivering a positive brand experience.
http://www.blueminegroup.com/strategy.asp
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3 May 2005 Team Platinum 42
Specific market segments that we can win and dominate.
ELDERLYELDERLY
TARGET
WOMEN
Target Market
FAMILIESFAMILIESCell-Phone LudditesCell-Phone Luddites
18+ yrs Old18+ yrs Old
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Customer Characteristics
• Desire security– Will pay for additional security
• Value privacy• Live in urban areas• Rely on Emergency Medical Services
(EMS)
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0
5,000,000
10,000,000
15,000,000
20,000,000
25,000,000
30,000,000
35,000,000
40,000,000
45,000,000
Peo
ple
0-9 10-19 20-29 30-39 40-49 50-59 60-69 70-79 80-89 90-99 100+
Years
2003 U.S. Population by Age
Individuals
http://www.census.gov/popest/national/asrh/NC-EST2003/NC-EST2003-01.pdf
18+
Overall Market
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• Reaching out to the most influential participants for iRespond like...
Communications
711
Businesses
Grocery StoresGas Stations
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Sales
• According to a Harris Interactive Study
– Nearly 60 percent of consumers surveyed would likely feel more safe and secure if they owned a mobile phone.
– 76 percent of non-cell-phone-owners would want a mobile phone in emergency situations
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Positioning
The value propositions for iRespond.
• Privacy • Security • Cost-effectiveness
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Emergency Cell Phone Use
http://www.nhtsa.dot.gov/people/injury/research/wireless/c2.htm
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Cell Phone Expense
$45.15 $45.27$45.56
$47.37 $47.42
$48.40
$49.46
$49.91
$49.49
$50.64
$42.00
$43.00
$44.00
$45.00
$46.00
$47.00
$48.00
$49.00
$50.00
$51.00
JUN-2000
DEC-2000
JUN-2001
DEC-2001
JUN-2002
DEC-2002
JUN-2003
DEC-2003
JUN-2004
DEC-2004
Semi-Annual, Average Monthly Cell Phone Bill 2000-2004U.S. Dollars
http://files.ctia.org/pdf/CTIAYearend2004Survey.pdf
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Subscription PlanMarketing Incentive:
• Lower cost to customer forguaranteed yearly funds.
• Possible discount for senior citizens.
Monthly Payment Plan:$9.99 Per MonthMore Expensive No Guaranteed Funds
Yearly Payment Plan:$99.99 Per YearLess Expensive Guaranteed Funds
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SWOT Analysis
Strengths: – Assurance of privacy– Precise tracking of the victim’s position. It has the ability to get a
response for the victim within a span of a few minutes.
Weaknesses: – Does not offer a two-way voice communication. – Security of the database – Signals may get interrupted due bad weather
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SWOT Analysis
Opportunities:- Market trends indicate devices for Location based technologies (LBS) have begun to gain prominence. - Make an alliance with some multimedia companies.- Once our product is a hit in the United States we may like to introduce our product to the International markets.
Threats: Our major threat is from the rise in increasing competition.
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Marketing Research
In our marketing research we have to cover these areas:
• Competitors: - Target market of our competitors- Market trends- Developments in this type of technology and product.
• Channel Marketing: - Channel competition - Emergence of new channels - Major players in the production of this kind of product.
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3 May 2005 Team Platinum 54
Management Plan
Development Plan Evaluation Plan
Marketing Plan
Financial Plan
Risk Management Plan
Scheduling Plan
Organizational Plan
Management Plan
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Evaluation Plan
Phases will be evaluated based on criteria in their respective evaluation checklists.
Frequency of Evaluation:1. At regular intervals in phase2. Upon phase completion
Evaluation plan is re-evaluated before starting each new phase.
PHASE 0 PHASE 1 PHASE 2 PHASE 3
EVALUATION PLAN
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Conclusion
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References
• Basic 911. (2005). Federal Communications Commission. Available: http://www.fcc.gov/911/
• Battery Charger/Cablehttp://www.ixap.com/sti_ProdDet.asp?sku=CHAV-8900-TC001&BrandID=AV&ClassID=CH&cid=CHAV&sPageNo=1&PmdName=AUDIOVOX-9900
• Bergman M. (2004). U.S. Cell Phone Use Up More Than 300 Percent,Statistical Abstract Reports. U.S. Census Bureau News. Available: http://www.census.gov/Press-Release/www/releases/archives/miscellaneous/003136.html
• Bonsor, K. (2005). How Location Tracking Will Work. Howstuffworks. Available: http://people.howstuffworks.com/location-tracking2.htm
• CDMA Radio Chip http://www.investors.com/editorial/tech.asp?v=4/1
• Cell Antennahttp://www.cellphoneshop.net/
• Cleveland-Office-Space.com. (2005). Cleveland Office Space Market Overview. Cleveland Office Space. Available: http://www.cleveland-office-space.com/
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References
• Copper Wirehttp://www.allelectronics.com/cgi-bin/category.cgi
• Dan Arvin, Pioneer Plastics• Enhanced 911 Wireless Services. (2005). Federal Communications
Commission. Available: http://www.fcc.gov/911/enhanced/• Flash Memory Cards
http://www.flash-memory-store.com/64mb-compact-flash.html• GPS Mobile Locator / Tracker Cell Phone
http://www.gpslocators.com/cogpsmolo.html• Hot Jobs. (2005). Salary. HotJobs.com. Available: http://
salary.hotjobs.com/• LED Lights
http://www.allelectronics.com/cgi-bin/category.cgi?category=340050&type=store
• Lee M. (1997). Choosing cleaning service requires more than quick sweep. Savvy Business Shopper. Available: http://www.bizjournals.com/bizwomen/consultants/savvy_business_shopper/1997/06/16/column54.html
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References
• Office Finder. (2005). Office Space Calculator. Office Finder. Available: http://www.officefinder.com/officespacecalc.html
• PCBpro Instant Quote Form. (2005). PCBpro. Available: http://www.pcbpro.com/pcb-quote.php
• Rechargeable Lithium Batteryhttp://www.ixap.com/sti_deft_plists.asp?SkuD=BTAV-9900-LI001&ModelID=9900&ClassID=BT&TypeID=all&BrandID=AV&gID=419
• SafeGuardian One Button GPS Cell Phonehttp://www.safeguardian.com/
• Technical Support Rep. (2005). Monster.com. Available: http://jobsearch.monster.com/getjob.asp?JobID=27806931&AVSDM=2005%2D03%2D28+11%3A03%3A55&Logo=1&q=technical+support+rep.&sort=rv&vw=b&cy=US&brd=1,1862,1863
• TFM-560U Trendware 56k fax/modemhttp://www.tigerdirect.com/applications/SearchTools/item-details.asp?EdpNo=671885&CatId=564
• Trimble Lassen IQ GPS Receiverhttp://www.sparkfun.com/shop/index.php?shop=1&cat=63&
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References
• Trimble-Ultra Compact Embedded Antennahttp://www.sparkfun.com/shop/index.php?shop=1&cart=214595&cat=64&
• US Department of Justice, “Criminal Victimization in the United States, 2002 Statistical Tables”http://www.ojp.usdoj.gov/bjs/pub/pdf/cvus02.pdf
• Wherify Wireless Location Serviceshttp://www.wherifywireless.com/corp_home.htm
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Questions?
Team PlatinumCS410
7 April 2005
Members:Ian McKay Sean Alcos Robert Pilkington Joseph MarchAnjalee Sinha Andrew Cherry
Website: http://www.cs.odu.edu/~rpilking/cs410/