In addition to the reseller and partnership agreements we have already announced during the
first quarter, Rekor is in negotiations for the use of its AI software with a dozen companies in
retail, public safety and intelligence. Three of these companies are Fortune 50, and two are
among the Fortune 500. Some of these conversations are in advanced stages and would
represent significant revenue opportunities for Rekor should they come to fruition. These
include:
? One of the top multinational financial services corporations is using
Rekor’s technology to enhance customer experience at drive-thrus.
A pilot is launching this summer with a national restaurant chain
with over 350 locations across 13 states and another is in the
works with one of the largest sandwich chains in the U.S. with
nearly 3,500 stores.
? A government services and IT support company is deploying vehicle recognition at
strategic locations. There is the potential to deploy up to 1,400 cameras through existing
contract vehicles.
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? An incentive-driven marketplace that accelerates consumer response to safety recalls is
advancing auto recall efforts with our Watchman software and Finder mobile cameras.
? A school bus arm initiative that has 20,000 U.S. based targets and
large opportunity outside the U.S. to integrate our technology into
30,000 stop arms.
Additionally, we are in active discussions with:
? An American multinational automobile manufacturer interested in character recognition
of parts on skids in their factories.
? The largest privately held drive-thru coffee chain in the United States looking for an
enterprise solution to understand the operational efficiencies of their 379 locations.
? A large American retailer looking to deploy camera trailers at the entrances and exits of
their stores for enhanced security. They also have the potential for enhanced customer
experience through curbside pickup functionality.
? A home security and smart home company considering Rekor technology for vehicle
recognition for homeowners’ associations.
? An electric vehicle and clean energy company seeking to integrate Rekor software into
police vehicles.
? A large US state that is looking to enhance its identification of uninsured motor vehicles
using our technology
More opportunities for the use of our technology include:
• Agreements with multiple public safety resellers with customers that reach into
thousands safety cameras nationwide and internationally.
• Our school bus stop arm (SBSA) initiative. Seventeen states have already passed SBSA
legislation requiring camera integration and it is estimated that there are more than
450,000 SBSAs in the U.S.
• A leading technology provider of unified security, public safety, operations, and business
intelligence solutions seeking to upgrade its LPR offerings using Rekor technology. They
currently have 25,000 fixed cameras deployed and estimate new fixed LPR camera
sales at 5,000 per year.
Notwithstanding the foregoing, we cannot provide assurances at this time that any of these
particular discussions or opportunities will close or come to fruition.
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We also believe that there will be significant opportunities to acquire other providers and
integrate our technology into their customer base. Although Rekor is in preliminary discussions
with several of these providers, there can be no assurance that any of these potential
acquisitions will be completed on a specific timeline, or at all.
In summary, we have spent the last year commercializing our technology and building the team
to launch us into an explosive next phase of growth. The industry old guard and the status quo
are on notice that we will keep building on our advances in real-time roadway intelligence. That
gives us inspiration and further confidence in our ability to make the world a better place
