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C00002 00002	December 4 conversation with Lowell Wood
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December 4 conversation with Lowell Wood

They need a draft contract we can both live with this week or sooner.
Monday would be best.

1. Their problem with putting our getting a system in the contract
is similar to Stanford's in promising a specific accomplishment.
Neither they nor we are allowed to accept penalties for failure.
We agreed that he would send me a letter stating his intention
to give us a system for use and then to keep and to send copies
to relevant people at LRL and in the Navy.

2. Wood understands that our undertaking the project is justified
from our point of view only if we get a system.
He has used the word "processor" to mean what we call a system.  We
agreed to use the word system and that it includes the processor,
some memory (we didn't discuss how much), some disk file and minimal
terminal facilities based on LSI11s.  He promises us the prototype.

Perhaps we should ask for an intention of upgrade if the "standard"
system turns out substantially different from the prototype.

I think we should ask for 512K of memory.  With less we won't be
able to determine if the operating system is working efficiently.

3. Wood understands that the only person whose individual participation
is guaranteed is Jeff and Ted if we do the switch also.  If there
is any weakness in their commitment to the project, it must be settled
before we finally sign a contract.

4. He says that Ted wanted to do the switch and that Curt would
consult.  They will bet that their present design (which has been
completed to the register transfer level) is adequate to make the
system perform well.