Note 8 - Concentrations

9 Months Ended

Sep. 30, 2018

Concentration Risk Disclosure [Text Block]

8.	Concentrations

Our operations are concentrated in

one

area—security software/entity identification. Sales to the U.S. Government through direct and indirect channels totaled

84.5%

of total revenues for the

third

quarter of

2018

compared to

90.6%

of total revenues for the

third

quarter of

2017.

During the

third

quarter of

2018,

approximately

66.4%

of total revenues were attributable to

four

government customers compared to approximately

90.6%

of total revenues attributable to

six

government customers in the

third

quarter of

2017.

There was

one

individual commercial customer in the

third

quarter of

2018

attributable for

14.5%

of total revenue compared to

6.2%

of total revenue to

one

individual commercial customer for the same period in

2017.

Our similar product and service offerings are

not

viewed as individual segments, as our management analyzes the business as a whole and expenses are

not

allocated to each product offering.