Xtract One Technologies Inc (XTRAF)

[JCDTrent]

Awesome! Sooo glad Martin (Pat1 CEO) went on written record thru Tailwinds today to debunk all of this coordinated short seller campaign (now known to be pure sh*t) that's been going on the last two weeks...looking bullish now!

See text below:

Q&A with Patriot One’s CEO Martin Cronin
By Daniel Carlson - May 21, 2019

Patriot One has been receiving a number of questions from investors around 3 areas of the business – (1) PATSCAN CMR Patents, (2) FCC Certification and (3) Corporate-level Partnerships. These questions have been sent by investors to the company’s CEO Martin Cronin and his management team via email, social media, stockholder messages boards, phone calls and/or voicemails. They have also been shared with me quite frequently as well.

Therefore, to help the Company properly address the marketplace, Patriot One’s CEO, Mr. Martin Cronin, shared with me a number of answers to frequently asked questions from investors. These answers were not only to provide Tailwinds with more insight, but to allow the Company to properly respond to its shareholders.

Here’s what we discussed…

Regarding the PATSCAN CMR Patents:

Tailwinds Research (TW): There has been a lot of investor confusion about the patent situation. Has the PATSCAN CMR V1.0 patent been approved?

Martin Cronin (MC): Yes. However, we are awaiting McMaster University to make the formal announcement about the markets for which they have secured the cognitive microwave radar patent, which we use with the PATSCAN CMR V1.0. Patriot One has the world-wide exclusive commercial license for the McMaster University cognitive microwave patent, as used in PATSCAN CMR V1.0. (Note: I reference PATSCAN CMR V1.0 to distinguish that this is the first version, and like most technology companies worth their salt, we expect development of the PATSCAN CMR solution to continue beyond this version 1.0.)

Regarding FCC Questions:

TW: Similarly, there is investor confusion around FCC approvals. Has the PATSCAN CMR V1.0 received all the “approvals” necessary for commercial deployment?

MC: The PATSCAN CMR V1.0 is approved for commercial deployment in the US, Canada, Europe and much of the world. These are the certifications we have secured for the PATSCAN CMR V1.0

IC: 22739-CMR – Date: August 23, 2017 (approved)
CE: CAN/CSA C22.2 No. 61010-1 – Date: October 26, 2017 (approved)
FCC: 2ALZTCMR – Date: September 28, 2017 (approved)
UL: UL 61010-1 – Date: October 26, 2017 (approved)
TW: Okay but can the PATSCAN CMR V1.0 be used in private and public buildings using the FCC, IC, CE, UL licenses?

MC: Yes. For private business the PATSCAN CMR V1.0 can be used in private buildings. Some property owners and/or jurisdictions may require posting of signs that weapon detection systems are in place. Public spaces may require local, state/province and/or federal approval for the location and may require signage that weapon detection systems are in place within the property. However, we know schools, court houses and other government installations prohibit weapons, so these types of public locations have been the focus for our marketing, sales and business development teams.

TW: Is there a health threat using the PATSCAN CMR V1.0 cognitive microwave radar?

MC: The RF exposure of the PATSCAN CMR V1.0 is far less than the cell phone in your pocket. There are no health risks with this technology, as confirmed by FCC approval.

TW: Is the company now in the process of getting a new FCC license for PATSCAN?

MC: Patriot One will look to secure additional approvals and/or waivers from the FCC, IC, CE, UL, and other governmental certifications and licenses should the Company determine that any advancements made in the subsequent versions of the PATSCAN CMR solution fall outside the current licenses.

TW: Was through wall imaging approved by the FCC?

MC: Yes, through-wall imaging was approved by FCC back in 2017. Specifically, FCC: 2ALZTCMR – Date: September 28, 2017.

TW: Does Patriot One have any patent assigned to the Company?

MC: Patriot One has a very strong IP Protection Policy & Plan in place, like most smart technology firms. For any new advancements made on the cognitive microwave radar for threat detection, or any other threat detection solution, the Company looks to deploy within the marketplace. Patriot One not only keeps documentation of advancements for trade secret purposes, but will determine if a patent application is necessary, the Company will actively pursue those as well. Certain specific steps are underway.

TW: Are there problems with the frequencies that the PATSCAN CMR V1.0 is using?

MC: Patriot One has demonstrated the frequencies used for the PATSCAN CMR V1.0 have worked successfully with the Discovery Channel back in 2017 and with several press and media outlets throughout 2017 through 2019, as well as with select clients. The Company is working with those clients to improve the PATSCAN CMR V1.0 performance to ensure success for the property owners who deploy the system, so that they can provide safe environments for their employees, customers, guests and partners who visit their facilities.

On Corporate Partnership Questions

TW: Is Raytheon just a Canadian Government Offset Obligation? Or is it a partnership too?

MC: Raytheon is both a Canadian Government Offset Obligation and a partnership. Raytheon did take advantage of a Canadian Industrial and Technological Benefits (ITB) transaction offset obligation, by entering this partnership with Patriot One. However, if you look at this more closely, a shareholder would see that Raytheon, a large Fortune 500 firm, selected a small startup firm like Patriot One to make this $3M CAD offset transaction. There are any number of Canadian technology firms who are looking for financing, but Raytheon chose Patriot One to be a partner. One reason is clearly addressed in Terry Manion, Raytheon’s vice president, statement, “One of our missions is seeing the unseen which complements Patriot One’s concealed threat detection solution.” Patriot One shareholders should also realize this $3M CAD for PATSCAN CMR development helps reduce the approximate $12M+ CAD annual burn rate, equally important for Patriot One share value.

TW: Is Cisco a paid for partnership program by Patriot One?

MC: As stated directly on the homepage of Cisco’s Toronto Innovation Centre website (https://www.cisco.com/c/m/en_ca/innovationcenter/toronto.html): “At the Toronto Innovation Center, our goal is to help businesses experiment, test, and co-create solutions to solve real-world business challenges. With access to our global networks of partners, researchers, and subject matter experts, we foster collaboration and empower organizations of all shapes and sizes to bring concepts to reality. From ideation and prototypes to go-to-market strategies, Cisco can help guide you in every step along the way.”

Cisco is in fact helping Patriot One in the development of its PATSCAN solutions to integrate into Cisco Network & Security Solution. Patriot One is not paying for this Cisco Innovation Program. However, Cisco offers an impressive array of technical expertise and equipment, and accordingly Patriot One may look to purchase some networking equipment from Cisco to run some of its PATSCAN solutions and will make an announcement if required. But again, the Cisco Innovation Program is not a paid sponsorship with Cisco.

TW: Is IBM a paid partnership or paid consultancy?

MC: Patriot One is part of Startup with IBM. As clearly stated on the Startup with IBM website (https://developer.ibm.com/startups/startups-faq/): “FAQ #1: Startup with IBM is the single IBM program designed to provide startups access to up to $120,000 of technology usage credits, leading experts and enterprise-grade Cloud, Data, IoT, Blockchain and AI technologies to help solve real problems and ultimately help get their innovative products to market faster.”

Therefore, IBM is providing in kind support equating to $120K for Patriot One, a small Canadian startup, to gain access to “leading experts and enterprise grade Cloud, Data IoT, Blockchain and AI Technologies. As for the questions around the fact that IBM Client Innovation Lab in Montreal is for paying clients. That is true. However, in partnership with IBM and Cisco, Patriot One was invited to showcase its PATSCAN solutions at no charge.

More To Offer

TW: Do you have any other thoughts you’d like to share with investors at this time?

MC: It is my sincere hope that the answers to the 3 sets of questions above help you and our investors understand where Patriot One stands on FCC certification, patents and corporate-level partnerships. However, there are a few other areas I believe that are far more important to our shareholders as we drive forward to bring these PATSCAN Solutions to the marketplace.

First, our team has spent the last 2 ½ years not only working on the PATSCAN CMR V1.0 weapon detection solution, but also adding other overt and covert threat detection solutions to our PATSCAN portfolio. Based on our discussions with law enforcement, clients and industry experts, Patriot One does not see that one threat detection solution will meet all the needs of the marketplace. We believe that a multi-sensor approach to covert threat detection, deployed from parking lots to inside buildings, will be more effective in addressing these active shooter and terrorist events. And our customers are demonstrating their excitement with all the new solutions we have to offer.

Second, we know that each of our PATSCAN solutions needs to be fully vetted and tested in the marketplace in a variety of venues to ensure safety for our clients’ customers and success for our clients, our business and our shareholders. These solutions are life-saving technologies, and our reseller partners and their end clients fully appreciate that fact.

Over the next few weeks, we will begin commercial rollout of our PATSCAN VRS solution, based on successful client pilots and their end users’ immediate needs and demands. We’re not focused on one-off sales to end users, but larger sales opportunities with our global resellers. There is no shortage of interest in the marketplace for our solutions, with schools, businesses, event venues and government organizations reaching out to us daily checking on our progress and expressing their interest in our solutions. We’re taking a paced and planned approach, so as to ensure successful deployment, while offering the best performing solutions to the marketplace.