CEO: Charlie Mollo
Podcast: Play in new window
About: Beamz technology and its interactive music library enables anyone to experience the satisfaction and fun of making great sounding music. There’s also great applications for novel approaches to accelerate therapy, enable people with special needs, improve quality of life for seniors and to engage students in education.
WSA: Good day from Wall Street. This is Juan Costello with the Wall Street Analyst. Joining us today is Charlie Mollo, the CEO for Beamz Interactive. The company trades on the OTCQB, ticker symbol is BZIC. Thanks for joining us today Charlie.
Charlie Mollo: Good morning Juan, it’s a pleasure. Thank you.
WSA: Yeah, always good to have you on and so starting off please give us a brief history and overview of the company for some of our listeners that are new to your story.
Charlie Mollo: You bet Juan. Beamz basically has developed a very exciting laser controller technology that has brought applicability in many different markets, and that includes the music market, gaming, special needs, education, the medical area and a variety of other areas. The fundamental of the technology is that it allows anyone to be able to trigger different events by simply waving their hands through a laser bean, and the first series of products that we have chosen to enter the market with based on interactive music and really developed a family of music oriented products that are simple and fun for anyone in the family to enjoy and do some exciting things with, and also at the same time very sophisticated so if you’re more seasoned artist or musicians or DJ you can do some very fancy and sophisticated things with our different products and technology. We are at the point now where we spent this year developing the fundamental next generation of the technology which was released a year or two ago, we’ve partnered with Flo Rida leading hip-hop and pop artist who has enormous following and really working with us to help let the world know about this and we’ve developed a series of commercials and products and an ad for Beamz this year. So, really ready to go now and positioned to really let the world know that we exist.
WSA: Well good and so yeah in terms of the partnership with Flo can you talk about the recent product shipment that to Europe?
Charlie Mollo: Yes. Well, Europe and the US at the end of September we began shipping this next generation Beamz Interactive music system which again allows anybody to be able to play music by simply waving their hands in the lasers and what’s great about it is whether you know what you’re doing or not it will sound great every time because we designed it that way so anyone can play the piano, trumpet, guitar whatever you would like. We have released that product and it includes a variety of very exciting features, it also includes an app that allows you to play on your iPhone or iPad and wireless capability and a variety of other interesting features that we began shipping at the end of September in the US and just recently announced in Europe we have European operation where we began shipping there. We are actually in Amazon and Europe as well and will begin to tell the world in Europe about what we’re up to as well.
WSA: Great and can you bring us of the speed on your recent partnership with Inferno Records?
Charlie Mollo: Yes, we have an exclusive song that Flo Rida developed for us that is called Laser Light Show, it’s very exciting and we are using this as a key exclusive feature with the Beamz and the Beamz app. We just released it on iTunes as well and Inferno is in the position to distribute product and our other original music content. Beamz has created literally almost a 100 original compositions of different forms. So, we partnered with Inferno to begin to develop the digital content capabilities of our different music library. So, that partnership is off the ground, we’re leading with the Flo Rida Laser Light Show song but we also will follow that with all the other content that we’ve developed as we look to our long term business strategy.
WSA: Sure. And can you talk about how you’ve taken advantage on capitalizing on some of the trends in the sector with the offering of your product to the education and healthcare spaces?
Charlie Mollo: Yes. We have three main markets spam that we are addressing. The first one is the mass consumer market which is anyone who wants to play music and the statistic show, 80% of Americans would like to play instrument and we’re addressing that market with the Beamz My Flo Rida product. Another major market which is the one you mentioned that we are focused on is the education, special needs and senior marketplace and we have developed some very interesting and exciting capabilities there to introduce kids and adults to music if they have never been involved with music before and also in the special needs arena where we can really offer folks that have limitations whether they are physical or otherwise and this gives them an ability to play music by simply waving their hands and the expression and the excitement in that application is just phenomenal, with over 10 million special need folks in the US alone and all of the kids in drama school and high school we see this as a huge opportunity for us. So, we’ve developed a variety of products geared strictly towards that marketplace.
Juan Costello: And so yeah you mentioned the different apps and can you also talk about the compatibility there with airplay via Apple TV for the product?
Charlie Mollo: Yeah. We really have three main product families if you will, the first one is the Beamz Interactive Music System which is essentially an instrument and it’s a hardware device that anyone can play by interrupting this laser Beamz. The second one is a family of apps that we’re developing so you can literally play on the touch screen of an iPhone or an iPad today with the app that’s been released in the app store at Apple. And that allows you to be able to do many of the things that you can do with the hardware device, you just don’t get the full experience that you do with the full system. And the third key product area is the music content itself and we have a rich library of interactive songs that you can literally play along with, save the recordings and sent to your friends if you like. Airplay is a way that allows you to use the app and just literally use it on your main TV in your house over wireless and we’re just leveraging the Apple airplay technology, so you can use the apps that we have on the TV, you can use them on the screens themselves, you can use them with our hardware and then you can add to the library from our growing library of interactive songs.
WSA: Well great and certainly a lot going on there and so what are some of the goals and milestones that you and the team are hoping to accomplish here both you know over the next couple of months and also long term or perhaps the next year or so?
Charlie Mollo: Yes, just to go backward just a second to indicate where we’ve come this year the key milestone that we set for ourselves last time we talked Juan that we have executed the launching of the actual products that we just described and we’ve accomplished that, so we are now in the marketplace. We have also with Flo Rida and Elsewise created a family of videos and commercial content that describes what these products and capabilities are. Our team next milestone are right now we’re launching and trying to tell the world that we exist and explain this great new technology and capability, and the near term milestone is therefore for the holiday to at least begin the process of educating the world about the great interactive music experience you can have with Beamz. And then as we go into 2014 we would roll that out in a much more comprehensive manner entering into such things as retails and international distribution beyond just our European operations and really get this to be a worldwide direction and presence for all of our product offering.
WSA: Well, good and so when it comes to investors and the financial community, Charlie do you believe that the Beamz story is beginning to catch on with the financial community and if not what do you wish investors better understood about the company and your goals?
Charlie Mollo: I believe we are beginning to catch on as you indicated the key message that we are trying to communicate is we believe we have a tremendous opportunity for growth and corresponding growth in our stock price as a result of that we have all the fundamentals in place. This year we spent getting the technology, the products, the commercials, the partnerships in place so that we can really grow in 2014 and beyond and we have the management in place, we have the infrastructure operation in place, we have the partnership with Flo Rida, we are addressing multiple markets that are multiple billion dollar markets each with the products that are now done and ready to go and we have a great margin structure with 50% plus hardware margins and 70 nor 80% app and content margins. And we also have excellent patents and IP protection with 5 issued patents, 9 patents pending and lots of software copyrights and software and music licensing rights. So, we believe we are ready to take off as we get into the next year and the year is after that and this is a perfect time to get in before everyone really understands the power of what we have to create the future value of the company.
WSA: Well great and so once again joining us today is Charlie Mollo, the CEO for Beamz Interactive. The company trades on the OTCQB, ticker symbol is BZIC currently trading at 39 cents a share, market cap north of 9.7 million. And before we conclude here Charlie to recap some of your key points here, why do you believe investors should consider the company as a good investment opportunity today?
Charlie Mollo: We have a very exciting technology that will allow us to really expand and grow in multiple marketplaces that are each very substantial. And we now have all the pieces in place, the products and the technology are all completed, and we’re really at the point where we are ready to take off as we begin to educate the marketplaces that we exist. So this is just at the edge of time when the company is strategically positioned perfectly and will begin to roll out to really achieve substantial growth in the future. I think we’ve hit all of the milestones we set to get to this point; we’re now ready to take it to the next level.
WSA: Well, we certainly look forward to continue and track the company’s growth and report on your upcoming progress, and we like to thank you for taking the time to join us today Charlie and update our investor audience on Beamz. It’s always good to have you on.
Charlie Mollo: Thank you Juan. It’s always a pleasure to be with you as well. Thank you.