KWESST Awarded Contract to Pilot Situational Awareness App for Canadian Red Cross, Company to Present KWESST Lightning(TM) to Canadian Association of Chiefs of Police

Rhea-AI Summary

KWESST Micro Systems has been awarded a contract to pilot its situational awareness app, KWESST LightningTM, in support of Canadian Red Cross disaster relief operations. The project, valued at CAD $100,000, is scheduled to commence at the end of May and conclude by October 2024. KWESST will collaborate with CounterCrisis Tech for this proof of concept. Additionally, KWESST will present its LightningTM app at the Canadian Association of Chiefs of Police conference in February 2025.

This pilot aims to demonstrate the app's effectiveness under a SaaS model, potentially paving the way for future commercial applications.

Positive

• KWESST awarded CAD $100,000 contract for CRC project.
• Pilot project scheduled to commence May 2024 and conclude by October 2024.
• Collaboration with CounterCrisis Tech builds on previous successful projects.
• KWESST LightningTM facilitates interoperability between responding organizations.
• Proof of concept for SaaS model could lead to recurring revenue streams.
• Commercial validation through Canadian Red Cross contract.
• Presentation opportunity at Canadian Association of Chiefs of Police conference in February 2025.

Negative

• Contract value of CAD $100,000 is relatively small and might not significantly impact overall revenues.
• Project is only a proof of concept and may not result in further contracts or large-scale adoption.
• Potential dependency on teaming partners like CounterCrisis Tech for project execution.
• No clear indication of long-term financial impact or revenue projections from the project.

• KWESST Lightning^TM SaaS app to be incorporated into pilot project in support of Red Cross disaster relief operations
  
  
• KWESST to present Lightning^TM app at Canadian Association of Chiefs of Police

Ottawa, Ontario--(Newsfile Corp. - May 17, 2024) - KWESST Micro Systems Inc. (TSXV: KWE) (TSXV: KWE.WT.U) (NASDAQ: KWE) ("KWESST" or the "Company") today announced that it has been awarded a contract with its teaming partner CounterCrisis Tech ("CCT") for a proof of concept project (the "Project") to provide a situational awareness app in support of Canadian Red Cross ("CRC") emergency and disaster relief operations. The Project is to commence at the end of May and be completed by October 2024.

KWESST previously teamed with CCT on a similar project for Public Safety Canada in support of Ground Search And Rescue ("GSAR") operations. The new CRC contract is by way of subcontract to KWESST from CCT, with a value of approximately CAD $100,000 to KWESST.

"We're pleased to again be teaming with CCT on a small but important pathfinding pilot, this time for Canada's premier disaster relief agency," said Sean Homuth, President and CEO of KWESST. "The Canadian Red Cross plays a vital role in assisting victims of natural disasters, including wildfires, and needs the same kind of real-time situational awareness on the ground during operations that we've developed for law enforcement agencies with our KWESST Lightning^TM app. Under our go-to-market teaming agreement, CCT provides its "IC4W" command and control app and we provide our KWESST Lightning^TM situational awareness app for front-line responders." The KWESST Lightning^TM app also facilitates interoperability between different responding organizations on the ground in any critical incident and comes enabled with the Team Awareness Kit ("TAK") family of products developed by the U.S. government for data sharing between responders on standard smart devices."

The Company noted that one of the Project goals is a proof of concept of KWESST Lightning^TM under a Software as a Service (SaaS) model where users pay an ongoing subscription fee, the same model KWESST is introducing to law enforcement agencies later this year. In a related development, the Company reported that it has just agreed to be a presenting speaker at the Canadian Association of Chiefs of Police ("CACP") conference on situational awareness and interoperability, February, 2025 in Toronto.

Mr. Homuth concluded, "We're excited at the commercial validation this CRC contract represents for KWESST Lightning^TM."

About KWESST
KWESST (NASDAQ: KWE) (NASDAQ: KWESW) (TSXV: KWE) (FSE: 62UA) develops and commercializes breakthrough next-generation tactical systems for military and security forces. The company's current portfolio of offerings includes digitization of tactical forces for real-time shared situational awareness and targeting information from any source (including drones) streamed directly to users' smart devices and weapons. Other KWESST products include countermeasures against threats such as electronic detection, lasers and drones. These systems can operate stand-alone or integrate seamlessly with OEM products and battlefield management systems, and all come integrated with TAK. The company also has a new proprietary non-lethal product line branded PARA OPS^TM with application across all segments of the non-lethal market, including law enforcement. The Company is headquartered in Ottawa, Canada with representative offices in London, UK and Abu Dhabi, UAE.

For more information, please visit https://kwesst.com/.

Contact:
David Luxton, Executive Chairman: luxton@kwesst.com
Sean Homuth, President and CEO: homuth@kwesst.com
Jason Frame, Investor Relations: frame@kwesst.com 587.225.2599

Forward-Looking Information and Statements
This press release contains "forward-looking statements" and "forward-looking information" within the meaning of Canadian and United States securities laws (collectively, "forward-looking statements"), which may be identified by the use of words such as "plans", "is expected", "expects", "scheduled", "intends", "contemplates", "anticipates", "believes", "foresees", "proposes" or variations (including negative and grammatical variations) of such words and phrases, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Such statements are based on the current expectations of KWESST's management and are based on assumptions and subject to risks and uncertainties. Although KWESST's management believes that the assumptions underlying such statements are reasonable, they may prove to be incorrect. The forward-looking events and circumstances discussed in this press release may not occur by certain specified dates or at all and could differ materially as a result of known and unknown risk factors and uncertainties affecting KWESST, including KWESST's inability to secure contracts, statements of work and orders for its products in 2024 and onwards for reasons beyond its control, the renewal or extension of agreements beyond their original term, the granting of patents applied for by KWESST, inability to finance the scale up to full commercial production levels for its physical products, inability to secure key partnership agreements to facilitate the outsourcing and logistics for its Arwen and PARA OPS products, overall interest in KWESST's products being lower than anticipated or expected; general economic and stock market conditions; adverse industry events; loss of markets; future legislative and regulatory developments in Canada, the United States and elsewhere; the inability of KWESST to implement its business strategies; risks and uncertainties detailed from time to time in KWESST's filings with the Canadian Security Administrators and the United States Securities and Exchange Commission, and many other factors beyond the control of KWESST. Although KWESST has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. No forward-looking statement can be guaranteed. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and KWESST undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Neither the TSX Venture Exchange nor its respective Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/209643

FAQ

What is the value of the KWESST contract with the Canadian Red Cross?

The contract is valued at approximately CAD $100,000.

When will the KWESST pilot project for the Canadian Red Cross start and end?

The project is scheduled to start at the end of May 2024 and conclude by October 2024.

What is the KWESST LightningTM app?

The KWESST LightningTM app is a situational awareness application designed to facilitate real-time data sharing and interoperability among responders during critical incidents.

What is the significance of KWESST's presentation at the Canadian Association of Chiefs of Police conference?

The presentation at the conference offers KWESST an opportunity to showcase its LightningTM app to law enforcement leaders, potentially opening new commercial avenues.

What is the goal of the KWESST pilot project with the Canadian Red Cross?

The goal is to demonstrate the effectiveness of the KWESST LightningTM app under a Software as a Service (SaaS) model for disaster relief operations.