Margins: Our focus is on the user, and how we can maximize the value for them. Because of this, we have a near zero gross margin on our product. We do not have the margins to absorb costs related to replacements and refurbishing.

Our focus is on the user, and how we can maximize the value for them. Because of this, we have a near zero gross margin on our product. We do not have the margins to absorb costs related to replacements and refurbishing. How refurbishing works: Every device returned will be different, and every device will be thoroughly disassembled, inspected, and cleaned. If the back cover has any damage, it will be replaced. If there's a scratch on the touchscreen, the entire front panel will be replaced (the downside of One Glass Solution tech). This entire process requires a lot of labor, is extremely costly, and can take many months.

Every device returned will be different, and every device will be thoroughly disassembled, inspected, and cleaned. If the back cover has any damage, it will be replaced. If there's a scratch on the touchscreen, the entire front panel will be replaced (the downside of One Glass Solution tech). This entire process requires a lot of labor, is extremely costly, and can take many months. Project management: We've sold quite a few phones, and we are not going to have the manpower to coordinate the replacement of all phones sold to date.

Friends,Back in April, we said we would consider making a European version of the One with band 800MHz if things went well and resources free up. The One has received recognition far beyond what we originally expected, and now that production is stabilizing, we are able to free up some project management resources for other things.Now, we're debating whether or not to pursue a European version of the One. We have a lot of interest in Europe, and we also really want to improve the product experience for our users there. Europe is really important for us.We wanted to run this through you due to some of the feedback we've received. Among some users, there is the expectation that if there were to be a European version released, we would be able to recall all previously sold devices and replace them for free, that we could simply just sell them as refurbished units. While the intention is good, this is not something we will be able to do. It means instant bankruptcy, and the reasons are as follows:So, you see why we're still contemplating whether to pursue this or not. If we do, it will take a quarter to launch. While we want to create a better product for Europe, we do not want to alienate our early adopters, as they mean a lot to us. If it means that doing this will turn them against us, this is an opportunity we'd be willing to forego.I'm putting this out here because I want your feedback. What would you do in our shoes?