Axon Acquiring Dedrone, Expands TAM $14 Billion, Analyzed
**** ** ************ ********* ******** *************, now ********* *******, ******** ** *** $14 ******* ** *** *******'* ***** addressable ****** (***) - ****** **** ******* ********** **********.
*** **** ***** ****** ***,**** ******** ******* ********** ** $*** *******, ******** **** it ***** $** ******* ** *** TAM.
****, **** ****,**** ******** ***-****, * ***** **********, ******** **** a ****** **** ***, *** ***********'* impact ***** ** "********, **** ******** and *******."
**** ** ***** * ********** ********* for * ******* **** ******* **** Tasers *** ** *** ***** ******** **** *******.
** **** ******, ** ******* *** details ** **** ****, *** ** impacts ****'* ********** ********* **** *** broader ******** ******** ******, *** *** they ***** ******* ****.
Acquisition ************
** *** ***,**** ************* ** "*** ******* **** * definitive ********* ** ******* *******.":
****'* *** **** **** *********** **** "accelerate *** ******* ** ******** * more ******** ***-**-*** ***** ******** **** enables *** **** ****** ** *** and ***** ****** *** *** **** don't."
Executive *******
**** **** *** ***** ****-**** ********* for ****, ** ** **** **** one ** *** **** ****-****** *** mature *********** ** * ***** (***** / ****-******) **** ***** **** ************* in *** **** ******. ******** **** Fusus, ***-****, *** ******* ************, **** is ************* *** ****** **** ** a **** *******, **** ******** ******** security ********.
[****** */*/****]*******, **** ** ******** ** ** a ***** ******* *** *******'* *********, who **** *** ** $***+ ******* over *** **** ****** [**** *** not *** ********* *** *****, *** we ****** ** ** ** *** much **** **** **** ********* *** put **]. **** **** $*** ******* *** Dedrone, *** ***** **** ******** **** most ** ********* *** * ******, this ** *** * ***** **** for *******. ******* ***** *** *** FAA *** ***** ********** ****** ** relax ***** ************ ** ****-***** ***, they **** *** *** ********. *******, given ****'* ****** ********* ********, **** have *** *********** ** **** **** out.
***** *****, ******* *** ******* **** at * *** ******* *****, *** rise ** ********* ****** *** ******-**-*-*****-********** can *** *********** ****** *** **** in *** ****** ** *** ** government ***** *** ************. ***** ** Axon's ** ****, *** ***, *** company ** ***** ** ***** ** general ***** ******** (********* *** ********, not *******) *** ******** ***** ********** for ***** ********* ******.
**** *********** ********** ****'* ***** ** drones, ** **** **** *****,*** **** ***** ******** ****** *** ***** ** ** one ** ***** ***** ** ***** for ****, *** **** ** *** second *****-******* *********** ** *** **** year.
[Update */*/****]Terms ***********$400 ******* ****
**** *** *** ******** *** ***** of *** ****; *******, ** **** that *** *********** ** ******** ** close "******** **** *** ******" ****** the ** **** ******** ****.
**** ********* *******'* ******* ** ***** $50 ******* *** **** *** *********** price **** ** ** *** $*** - $*** ******* *****, ***** ** Dedrone's ********-******* ************ *****, ******* *****, and ********* ******. **** **** ****** in * ******* ****** ** *******'* investors, ** ******* *** ****** $***+ million ***** *** **********.
****'* **** ****** *-* (******** ** the *** ** *** ************) **** not **** *** ********** ** *** much ***** ** **** *** *******. However, **** ******* **** *** ***** will ** ********* ** ****** ********* fillings. ** **** ****** **** ****** accordingly.
****'* ** **** **-********** **** **** **** $*** ******* for **% ** *******'* ***** (**** already ***** **%):
** ***** **, ****, ** ******* into * ********** ********* ** ******* the ********* *********** ***** ** ******* Holdings, ***. (“*******”) ***approximately $***.* *******, subject to customary purchase price adjustments. Axon ********* ***** an approximately 20% ********* interest in Dedrone. [emphasis added]
**** ********* **** *******'* ******* ** below $** *******, ******* * ~*** valuation ***** (**** **** $*** ******* for **%). ***** **** ******** **** most ********* **** *** * ****** from **** ****, **** ** *** a ***** **** *** ******* ** if *** *** ***** ***** *********** on ***** ******* *** ***** ********** (something **** ******* ***** ***), *** drone-security ****** **** **** *************.
Background: **** *** *******
***** ** *********'* ************ ** *** acquisition, **** *** ******* **** *** a **** ************, ** **** ******** ~$30 ******* ** *******'* ****** * round ** **** - ********** ****** $**+ ******* *** ** Axon. ***** ****, ******* ***** ******** at ****'* ******, **** ******** ** Axon **** ****, ***** ** *** several ******** ********, *** * *****, and * ****** ***** ********* **** close ** *** ********.
*** **** ******* ** **** **** 2024, *** *** **** ******,**** **** **** **** ******.
Short *** ****-**** ******* ** ****
***** ****'* ********** ********** **** ***** would ** ** ********* ****** ** the ******* ***** **** ***********, ** sees ******* ** * "**** *** pillar" ** *** ******** ** *** future.
******* ** **** ***** ******* (*********-****, sales-wise, *** *******-****) **** ****, *** its*** ******** ********** **** *** ******** ** "**********" to ****'* ********:
* ***** *** **** ***** ******************; **** ***growing ****, but they're immaterial ** *** *** **** ********* ********** ** ***overall ****** ****. [emphasis added]
*******, **** **** ******* ** ** important **** ** *** ******** ** the ******:
It **** ********* ** * ****** *** ****** ** *** ******** and you can see us investing heavily behind robotic security. I think we are really seeding * **** **** ****** **********, though, a business that's going to be material for many years in the future more than, you know, targeting a year or two years from now [emphasis added]
TAM *********, *** *********
********* ** ****, **** *********** **** expand *** *** ** $** ******* (Axon's ****** ************** ** ~$** *******), though, **** ***********, **** ********* ** achieved ******* ********* **** *** ********* such ** ******** **************, ********, ********, etc.
****'* *** **** **** *** ******** TAM ** *** $** *******:
** ****** **** *** ********* *********** of ******* ***** ******** *** *** by $** ******* ******** *** ******* addressable ****** ** $** *******
*** *** **** ***** ********* "**********" markets **** *******'* ***********:
*** ******* *********** ** ******* **** Axon ** * ******* ********* ** our ******** ****several ********** ************ ******* ******** ** *** ***** including *******,****************, ***** **** **************,critical ************** and other civilian protection applications
** ** *** **** ***** *** up *****a **** *********** where the Dedrone not only is useful to our existing customers, but *** ******* ** *********** ** * *** *** ** *********, for example, major sporting stadiums, critical infrastructure, and indeed militaries, both US and internationally. They have a customer *** **** ** *** *** ** *** *** ***** *** ********* **** ***** ********* ** ****. [emphasis added]
***** *** ********* *** ******************** *** *********, ** ***** ************* *** ******* revenue **** ** $***+ ******* **** the **** ****** ** ****** ****** anywhere ** ***** ** ********** ** their ***** ** ****** **** ********. If **** **** ****** *** ****, Axon ***** ****** **** ***** ****** on *** **********. ********, ** **** achieves *** **** ** * ******* end-to-end ***** ********, ** * ******, that ***** ************* ******** ********.
Two ***** *** **** *** *******
************, ******* *** ******* ** *****-******* and ***** *********; *******, ***** ** the *********** ***** ******* *** ****** the ** **** ******** ****, **** is ***** ** ***** ** ******** drone-as-a-first-responder ********** *** ********* ******* ***** detection *** ********.
*********, ** **** *****, *** *** requires * ****** ******** ** ******* drone **********. *******'* *********** ** ** RF-based ***** ******, * ****** (***, potentially, * *****) **** ** ***** an *********** ** * ***** ********:
*** ***** ******** ** ******* *** drone-as-a-first-responder ********** ****** *** ** **** call:
***limitations ***** **** ***** **** ******** *** *** ** *** ** *****, namely, current FAA ************ mandate the presence of a human virtual observer standing on rooftop to ensure each drone remains in a direct line of sight. .... We ******* *******'* ********** ****** *** ***** ***********, allowing law enforcement to operate low visibility conditions and at times of day without the need to maintain a human observer with a line of sight. [emphasis added]
***** ********* *** ******** *** ** done ***********'* **-***** *******. ********, ******* **** ******* ******** a****-**** *********- * **** ******* ***** ******* places *** **** *** ********, *** its ********* *** ****** ** *** data.
Government ***********
***** ***** (******-******-****-**-*****) ********** *** ***** jamming *** ********* ******* **********, *** FAA ** ********* ******* ** **** of ***** *****, *********** ********** ****.
****** *** *********** ******* *** ***** operations **** ****** *** ******* ** entry *** ***** **********, ***** **** see ** ******** ** ****** *** Dedrone-like ********* ** ******* *****-**-*-*****-********* *******. Note, *******, **** ***** ** * chance **** *** *** ***** (** released) *** *** ******* *** ******** to ******* ******, *********** *** **** for ****/*******. ***** ** ** *** know ****** ***** *** ***'* ******* developments, **** ******** **** **'* ******** that *** *** ***'* ******* ** least **** **** ** ***** **********.
** *** ***** ******* ****, *********, taking **** * ***** ** ********** to ****** **** * ********** ********, and **** * ****** *** ************ branches **** *** ************* ** ** so. ** ******* ** ** **** if/when ***** ******* **** ** ********, but ** ** *******, ****'*/*******'* ***** of ***** ******* **** **** ********* increase.
* **** ***, *********** ******** ** ******* *** ***** ********** rules ** **** **** (**** *** authorization *******). *******, ***** **** *** been ********* ***.
Axon *** ******
**** *** *** *** ***** ********** software,**** ***, *** ******* ***** ***. *******, the ******* ********* *** ***** ** drones, ** *******'* *********** ** *** second *****-******* **** ** *** **** 12 ******, *** ****** *** ********** last *****, *** **** ***** ********** Axon's ***** ** ******, ** ** said:
**, **** ************,*here *** ***** ***** **'** ***** ** *** **** *** *** ***** ** to empower officers and agencies to observe, communicate, and act at higher and higher performance levels. Those three areas are real-time operations, faster, more informed responses, drones *** ******** ** ******* ** **** ******** ******* **** **** ****. The third, is leveraging smarter software like artificial intelligence to become a force multiplier for your officers if your agencies [emphasis added]
*** **** ******* ** *** ******** drone ****, ******* ***-**** ***** ********** *******.
************, ****** **** ******* ***** *** Uvalde ********, *** ***** ******** ********* that *** ******* *** ******* ** a *****-******** ***** ** ****** ****** shooters - ********* **** ****** **** criticism **** *** ****** *** ****'* own ****** ***** (*** ******** ** which ******** ******* *****). ******** ****** ******** **** * *****, Alleges ****, ******* ***'* ****** *** ********** ***** Shooting ****** ******** **** ********* **** *******.
Effects ** *******'* ***********
****'* *********** ** ******* ***** **** or ******* *******'* ***********, **** ***********************.
** *** ******** **** *** *******'* competitors, **** *** ************* **** *********, investor **********, *** *********** ****** *** enforcement ** *** ********* **** ******* and **** ***** ***********.
** *** ******** ****, ****'* **** market *** ******* ********* ** ***** LE ********* (**** *******, ******, ***.), and ** ** **** ******* ** drone **********, ******* *******'* *********** *** mostly *********** ** ***** ******** *** use *** ** ***** ********* ** these ********.
Skydio *********** *********
***** ****** ************ ***** *** ******** of ******* **** ***** ******* ** acquire ** ***** ***************, ***** ******** ******* ** ********** applications. **** ******* *** *****,**** ** * ********** ** ******** ** ****** ($*** ******* ****** *). ****, ****** ***** **** ******** an ****** ***** *********. ***** **** now *** ** ****** ***** ******** and ** ****-***** ********, ****** ***** provide **** **** * ******-***** ******* drone ********.
*******, ****** *** * $*.* ******* valuation ** ** *** **** ***** last ****, *** *** ******* *** be ******* ** ** ****** ** be ******** ** * $* ** $10 ******* *********. ** **** ******, this ***** ** ******** *** **** at *** ******* ~$** ******* ********* but ***** ** * **** **** significant ********** **** *** ** *** other ***** ********* ** ******** ********.
***********, ** ****** ****** ********* *** $2 ******* ** ****, ** ******* Axon ***** ****** *** **** ** complete *** ***-**-*** ******** ** ** looking ** *****.
Outlook: ****-******** ********
** *** **** ****, **** **** several ************ *** ** *** ******* transitioning **** * ******** ** **** cameras *** ****** ** * **** security ********, ********** **** **** ******* than **** *** ***********. ** **** has **** ********* **** **** ** the ********* ** *** ******** *** has *********' **********, **** ***** *** company * **** ******** ** ******* new ******* *** ******* **** *********, which **** ****** *** **********, ********** smaller *********** **** ***'* *** ********.
********, **** *** **** *****-***** ********, and *** ******** ** *** ***** puts *** ******* ** * ********* position ** **** ******* (*******: *** ****** ********* ** **** Cloud ******** ******** *********).
*******, * ***** ******** **** ** how **** ******* *** ********** **** a *** *********** ********** ** * broader ******** ******** ********. ** ********* proved *** ******* ***** **** ** successfully ******** **** ****** ** **** cameras ** *** *****, *** ** could ** ** ***** ** **** newest *********.
****** */*/****: *** ****** ** ******* to ******* *** ***** ** *** deal.