Table: Moxi's Challenges
Despite Moxi's splashy launch in January, the startup is running short of funds. Here's what it needs to do:
Steve Perlman cut company spending starting last year, lowering Moxi's monthly burn rate. Moxi is still paying high rent, though, on a piece of Palo Alto (Calif.) property where Perlman is part owner.
FIND FINANCIAL BACKERS FAST
After raising $67 million in first-round financing, the company only has enough cash to last for a few months, according to some insiders. Moxi must find a buyer or raise more money to finish its Moxi Media Center.
BRING DOWN PRODUCT COSTS
Perlman says the Media Centers will cost $450 apiece to produce. Company insiders say the realistic number is much higher--far too expensive for cable and satellite providers, who are paying $200 for today's less robust TV set-top boxes.