Scores of industrialists and entrepreneurs dream of a solution which will enable them rapid, convenient execution of computer imaging of the new products they want to make. A new development, by Emultek, may turn that dream into a new marketing and technological reality.
Motorola International was one of the first companies to uncover the potential hidden in this new technology. At the beginning of this week, Motorola International senior VP William J. Millon and Emultek CEO Shalom Daskal, signed a joint investment and revenue agreement for a project, intended to turn Emultek’s "Rapid" prototyping tool into the primary tool for end product software development.
According to the terms of the agreement, Motorola International, the Israel-US Bi-national Industrial Research and Development Fund (Bird-F), and Emultek will invest $2.7 million in the joint development project. Daskal said he estimated turnover from the joint venture could be in the tens of millions of dollars.
The germ of the idea began in the 1980s, as part of the Lavi project, when a group of pilots, engineers and avionics experts defined the characteristics of the jet fighter cockpit for Israel Aircraft Industries (IAI). Some members of the design team went on to found Emultek.
The team developed a prototyping program for the cockpit of the future. After the Lavi project was canceled, the developers had no clear goal, but understood the concept they had developed for the Lavi was applicable to other tasks as well. The decided to take advantage of their experience, and began developing a one-of-a-kind simulator, for imaging entire systems including software integration.
Rapid
For two years, Emultek focused on developing the basic simulator technology, and by using proprietary software, executed projects for a number of clients, including Elbit, Tadiran, and IAI. The first generation product, called "Rapid," was presented two years ago and is currently in place at 150 sites.
"Rapid" assisted in the development of the computer-generated prototypes of military products such as systems used by the Israeli Navy’s Sa’ar-5 ships, and the computer-generated prototype of Tadiran’s advanced communications system. Using "Rapid," Motorola International developed its wireless digital MIRS technology, used by European defense and rescue corps.
The release of the first product also signaled the entrance of outside investors, among them venture capital fund Yozma, a Canadian investor group and a Swiss group. Today, Emultek is a profitable company which reinvests all profits back into research and development. The company says sales doubled in 1995, compared with 1994, and another increase in sales is expected this year.
Emultek employs 45 people, half of whom work in the company’s development center at Har Hotzvim, Jerusalem. The other half work at the company’s new plant in the Western Galilee. The new factory’s workforce is expected to triple within the next year, mainly in software engineering.
The company has an installed base is some 700 units, of which 40% are prototype imaging, and the remainder are computerized instruction systems.
After Rapid
Emultek’s next, and most ambitious project, is still in development. Its is a code generator which will enable prototypes to automatically create software for the finished product. In other words, Emultek is set to conquer the world with an automatic code generator that provides not only a computer-generated prototype, but all the programming needed for the finished product. To this end, Motorola International has entered the picture, after having reviewed the technology and deciding on its feasibility.
In order to fund development, the company is presently negotiating with a number of investment funds in Japan and the UK, in order to raise an additional $2 million. At the same time, Emultek is discussing over two offers from two US underwriting firms, interested in a future share issue on Wall Street.
According to plan, upon completion of the future image and software generator, revenues on the product will be based on the royalties levied on components created using the simulation tool. The company estimates its potential market, based on current figures, already stands at $800 billion. By the end of the decade, this is expected to reach $1.2 trillion per year. The product’s main customers are makers of communications, industrial systems, electronic appliances, avionics and defense products. According to all Emultek’s projections, this market should maintain a growth rate of 35% to 50% per year.
Revolutions in Technology and Marketing
If Emultek succeeds in the development stage, and the software code generator can truly bridge the gap between planning and production, it may cause far-reaching changes in the marketing of technology-based products, both tailor-made and off-the-shelf.
Automatic software code generation will significantly reduce development time, will simplify and cut down on errors in the finished product, and lower costs. This method will enable developers to offer second generation products. In order to give marketing people a relative advantage, manufacturers will allow repeated and intensive use of previously developed "programming components." The company says that several large component manufacturers have already recognized the system’s potential, and are involved the project.