When I was in college in the 1950s, there was a lot of excitement about an international language called Esperanto. Many believed that if Esperanto were to become a common global language, it would promote world peace and harmony.

In today's high-tech world, the idea of a single international language has been replaced by instant translation software that allows individuals who speak different languages to communicate with each other through the Internet.

Someday, perhaps, scientists will invent a universal translator - the device popularized on the Star Trek TV series - which allows individuals who speak different languages to hear each other in their own languages.

Until that day, however, the translation software products developed for Web sites by Multicity.com of Tysons Corner have the potential to play a major role in global personal and corporate communications.
Although Multicity did not invent translation software - it got that from Systran Software - Multicity believes it was the first company to put it to use in Internet chat rooms.

Multicity's products now include software that also permits Web sites to offer instant messaging, message boards, opinion polls and auctions - all in multiple languages.

As a stock watcher who is always looking for the next big thing, I foresee a big future for companies that have a globalization theme. But until they go public, there's not much an investor can do but wait.
Multicity, a potential initial public offering candidate, is waiting in the wings. The firm gets lots of calls from investment bankers, but it's not yet ready to go public for at least two reasons.

First, the IPO window on Wall Street is still firmly shut for Internet-related companies. Second, Multicity is still building its business.

The key problem with many companies during the last few years was that they sold stock long before they could stand on their own financial feet.

Multicity, which was formed in June 1999, has thus far received a total of $15 million in venture funding from Draper Atlantic and Grotech Capital Group. Patrick Hanash, president of Multicity, said his company still has "most of the money" in the bank. With only 36 employees, Multicity is operating on a very conservative basis, Hanash said. "Our burn rate is very low," he added.

Patrick Hanash, and his brother Alain, the CEO, are the co-founders of the company.

Sales figures for Multicity are not available because the company is private and doesn't publish those numbers.

But Patrick Hanash said he expects his company to reach the break-even point by January of next year. That's important because these days, institutional investors don't want to see any red ink when they are asked to buy shares in IPO companies.

Multicity offers customers two ways to access its products. A Web site can download a free version that includes banner advertising. Or a business can license a Multicity product - without ads - for a monthly fee and make it part of its regular site.

By the time it reaches the break-even point, Multicity hopes to derive about 80 percent of its revenue from licensing fees and 20 percent from advertising.

The company says about 600,000 Web sites around the world use its products.

In time, it seems, the Internet may yet become the vehicle for a global "common language"- not quite the language envisioned by the Esperanto advocates - but a powerful way to communicate nonetheless.

Stan Hinden, who for 12 years wrote "Washington Investing" for The Washington Post, is the author of "How to Retire Happy."

© 2001 Post Newsweek Tech Media Group