Robotic Assistance Devices Orders 1000 ROSA Enclosures to Satisfy Anticipated Demand

Rhea-AI Summary

Artificial Intelligence Technology Solutions has placed a significant order for 1,000 units of its ROSA 3.0 plastic enclosure, transitioning from CNC machining to injection molding. This change is expected to reduce costs by 88%, from $350 to $75 per unit, enhancing mass production capabilities. The move aligns with the growing sales pipeline and anticipated demand for RAD's security solutions. CEO Steve Reinharz expressed optimism for fiscal year 2023, indicating it may be their most exhilarating year yet, aiming for nearly instant deployment of ROSA units to customers.

Positive

• Transition to injection molding is expected to reduce ROSA 3.0 enclosure costs by 88%.
• Achieving mass production capabilities with the large order of 1,000 units.
• Growing sales pipeline indicates increasing demand for RAD's security solutions.
• Plans to deploy ROSA units within 24 hours for clients, enhancing service efficiency.
• Cost per unit anticipated to be 50% of previous models after initial production phase.

Negative

• None.

Detroit, Michigan, Feb. 28, 2022 (GLOBE NEWSWIRE) -- Artificial Intelligence Technology Solutions, Inc., (OTCPK:AITX), today announced that its wholly owned subsidiary Robotic Assistance Devices, Inc. (RAD) has ordered 1000 units of its ROSA 3.0 plastic enclosure from its main supplier to be produced via injection molding. Previous ROSA shells were created using CNC machine processing and ordered in batches of 25 to 100.

“This is a significant and important step on our path to true mass production of all RAD devices and demonstrates our movement closer to our goals of increasingly higher levels of deployment,” said Steve Reinharz, CEO of AITX. “The company’s team members that have been added over the past 12 months have worked diligently to achieve this technical design and production capability. With our sales funnel consistently growing it was time to take this step to meet anticipated demand.”

The Company noted that over an anticipated lifespan of 4,000 units, and including amortization of tooling, ROSA 3.0 enclosure costs will decrease 88% from approximately $350 per unit to $75 per unit.

“End-users and dealers frequently ask for immediate delivery of ROSA units,” said Mark Folmer, President of RAD. “Clients continue to discover the unique capabilities of ROSA and the other RAD security robots in helping eliminate troublesome security issues while saving money and reducing the need and risk of human guard deployments. With this large ROSA 3.0 enclosure order and other related investments in ROSA production we will soon be able to deploy almost any ROSA order within 24 hours.”

RAD anticipates ROSA 3.0 per unit costs to be 50% of ROSA180 after the first few hundred ROSA 3.0 units are produced. These cost reductions should be made possible by RAD-G’s ‘RADPack Mini’ controller that will replace most existing internal hardware. “Our strategy has always been to drive costs down through tight integration of RAD developed components, strengthening our purchasing power, and reinforcing our manufacturing capabilities at the REX. We are well on our way to achieving these goals,” Reinharz commented.

“We begin our next fiscal year with a sales pipeline that looks to support these increases in purchasing and production. Fiscal year 2023 will likely be our most exhilarating year yet,” Reinharz concluded.

ROSA is a compact, self-contained, security and communication solution that can be deployed in about 15 minutes. Like other RAD solutions, it only requires power as it includes all necessary communications hardware. ROSA’s AI-driven security analytics include human and vehicle detection, license plate recognition, responsive digital signage and audio messaging, and complete integration with RAD’s software suite notification and response library. Two-way communication is optimized for cellular, including live video from ROSA’s dual high-resolution, full-color, always-on cameras.

Robotic Assistance Devices (RAD) is a high-tech start-up that delivers robotics and artificial intelligence-based solutions that empower organizations to gain new insight, solve complex security challenges, and fuel new business ideas at reduced costs. RAD developed its advanced security robot technology from the ground up including circuit board design, and base code development. This allows RAD to have complete control over all design elements, performance, quality, and the user’s experience of all security robots whether SCOT^™, ROSA^™, Wally^™, Wally HSO^™, AVA^™, ROAMEO^™, or RAD Light My Way^™. Read about how RAD is reinventing the security services industry by downloading the Autonomous Remote Services Industry Manifesto.

CAUTIONARY DISCLOSURE ABOUT FORWARD-LOOKING STATEMENTS
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Statements in this news release other than statements of historical fact are "forward-looking statements" that are based on current expectations and assumptions. Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied by the statements, including, but not limited to, the following: the ability of Artificial Intelligence Technology Solutions to provide for its obligations, to provide working capital needs from operating revenues, to obtain additional financing needed for any future acquisitions, to meet competitive challenges and technological changes, to meet business and financial goals including projections and forecasts, and other risks. Artificial Intelligence Technology Solutions undertakes no duty to update any forward-looking statement(s) and/or to confirm the statement(s) to actual results or changes in Artificial Intelligence Technology Solutions expectations.

About Artificial Intelligence Technology Solutions (AITX)
AITX is an innovator in the delivery of artificial intelligence-based solutions that empower organizations to gain new insight, solve complex challenges and fuel new business ideas. Through its next-generation robotic product offerings, AITX’s RAD, RAD-M and RAD-G companies help organizations streamline operations, increase ROI, and strengthen business. AITX technology improves the simplicity and economics of patrolling and guard services and allows experienced personnel to focus on more strategic tasks. Customers augment the capabilities of existing staffs and gain higher levels of situational awareness, all at drastically reduced cost. AITX solutions are well suited for use in multiple industries such as enterprises, government, transportation, critical infrastructure, education, and healthcare. To learn more, visit www.aitx.ai, www.radsecurity.com and www.radlightmyway.com, or follow Steve Reinharz on Twitter @SteveReinharz.

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Steve Reinharz
949-636-7060
@SteveReinharz

Attachment

• Artificial Intelligence Technology Solutions, Inc.

FAQ

What is the significance of AITX's order for 1,000 ROSA 3.0 units?

The order signifies a shift to mass production and a strategic cost reduction of 88% for ROSA 3.0 enclosures.

How will the cost reduction impact AITX's operations?

Cost reductions will enhance profitability and improve service delivery for RAD's security solutions.

What are the expected benefits of the new RADPack Mini controller?

The RADPack Mini is expected to significantly reduce costs per unit, enhancing production efficiency.

What is the anticipated impact of the growing sales pipeline for AITX?

A growing sales pipeline suggests increasing demand for RAD's products, potentially leading to higher revenues.

When can clients expect faster deployment of ROSA units?

Clients can expect deployment of ROSA units within 24 hours due to improved production capabilities.