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Item 1. Business

2025-03-31 compared with 2024-03-25 · 215 added, 147 removed, 213 unchanged (63% of the section changed)

Rekor is working to revolutionize public safety, urban mobility, and transportation management using AI-powered solutions designed to meet the distinct demands of each market we serve.

We work hand-in-hand with our customers to deliver mission-critical traffic and engineering services that assist them in achieving their goals.

Our vision is to improve the lives of citizens and the world around them by enabling safer, smarter, and greener roadways and communities.

We work towards this by collecting, connecting, and organizing mobility data, and making it accessible and useful to our customers for real-time insights and decisioning for situational awareness, rapid response, risk mitigation, and predictive analytics for resource and infrastructure planning and reporting.

To achieve these goals, we have developed a robust, interconnected hardware infrastructure and advanced, purpose-built software platforms.

These powerful tools, enriched by a diverse range of data and state-of-the-art AI, can produce a level of roadway intelligence that we believe is unmatched.

Our solutions empower clients to efficiently manage and optimize the complex interactions of vehicles in motion, ensuring smooth operations within and around public safety, urban mobility, and transportation systems.

Rekor is at the forefront of the effort to modernize public safety, urban mobility, and transportation management through cutting-edge artificial intelligence (“AI”)-powered solutions tailored to the unique needs of each market we serve.

By collaborating closely with our public and private sector customers, we deliver mission-critical services and solutions that enable them to achieve their objectives effectively, while simultaneously working toward creating a new digital infrastructure operating system for roadways.

Our vision is to create safer, smarter, and more sustainable roadways and communities, improving the lives of citizens and the world around them.

We achieve this by collecting, connecting, and organizing the world’s mobility data, making it useful, accessible, and actionable for real-time insights and decision-making.

This provides our customers with significantly enhanced situational awareness, rapid response capabilities, risk mitigation strategies, and predictive analytics.

To realize this vision, we’ve developed a suite of interconnected AI-driven hardware and purpose-built software platforms.

Powered by vast and diverse multi-modal datasets and proprietary AI technologies, we have designed these solutions with the objective of delivering unparalleled roadway intelligence.

They enable clients to more effectively monitor, manage, and optimize the movement of vehicles, traffic, and activities in and around roadways and communities with precision.

Through real-time insights and predictive analytics, our platforms drive rapid decision-making, proactive risk mitigation, and streamlined operations across public safety, urban mobility, and transportation systems and agencies, ensuring smarter and safer outcomes for all.

As of March 18, 2025, we had 323 employees, of which 319 were full-time and four considered part-time.

Our operations are conducted primarily by our wholly-owned subsidiaries, Rekor Recognition Systems, Inc.

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A New Operating System for Roadways

The condition of national transportation infrastructure systems is a matter of great concern, particularly in the United States.

As the private sector continues to innovate and make headlines with cutting-edge technologies such as autonomous vehicles, flying taxis, and smart delivery drones, it's paradoxical that essential issues such as roadway congestion, safety, vehicle emissions and equitable access are worsening at an alarming rate.

On February 2, 2023, the US Department of Transportation declared a national crisis and state of emergency for roadway safety and launched an urgent roadway safety call-to-action demanding stakeholders to commit to specific actions to reverse the spike in serious injuries and deaths on our roadways.

According to a report from the American Society of Civil Engineers ("ASCE"), US infrastructure has been graded a C minus, indicating that there is significant and urgent need for improvement.

Over 65% of the 4.2 million miles of US roadways are rated in poor condition, which impacts the safety of drivers and passengers.

The issue of congestion is also a serious concern, estimated to cost US citizens a whopping $120 billion per year in economic and productivity losses.

Furthermore, transportation-related greenhouse gas emissions – motorists' emissions, particularly when trapped in traffic account for a significant proportion of the country's total emissions are a leading contributor to declining sustainability, which has far-reaching environmental impacts.

Addressing the road infrastructure issue is imperative for both economic and ecological reasons.

Last but not least, tragically, more than 43,000 people lose their lives each year while using the nation's transportation network of streets, roads, and highways, which represents a stark failure in public safety and policy.

If these transportation network issues remain unaddressed, it has been projected that the United States will face a $10 trillion loss in its gross domestic product.

To address these urgent issues and ensure the competitiveness of the US economy, an unprecedented amount of funding has been made available from the federal government through the Infrastructure Investment and Jobs Act ("IIJA"), the Inflation Reduction Act, and the CHIPS and Science Act, that is available to help create a digitally-enabled transportation infrastructure that can serve the public good and provide new economic value.

This represents a once-in-a-generation level of investment and bipartisan support for creating and scaling digital transportation infrastructure for the 21st century.

Rather than a complete reset or rebuilding of infrastructure, the focus is rather to leverage their power of funding and policymaking to build on previous investments, promote new technology layers, and ensure universal access to digital infrastructure systems throughout the country.

The ultimate objective is to adopt an augmented approach to existing physical infrastructure that blends the strengths of physical, digital, and operational infrastructure with mobility data, including mobile phones, connected vehicles, roadway sensors, and more.

The goal is to enable and coordinate private and public collaboration through a digital-enabled mobility internet and operating system for the roadways that will advance smarter, safer, greener roadways for all.

This is a unique moment for Rekor, and one that we have been preparing for since 2018.

We believe the United States of America stands at a critical turning point in the evolution of its transportation and roadway infrastructure.

For over 70 years, the nation has relied on legacy technologies and outdated analog and manual methodologies, resulting in inefficiencies, rising costs, and preventable safety hazards.

While private-sector innovations like sensor technology, Internet of Things (“IoT”), AI, cloud computing, autonomous vehicles, and smart drones are advancing rapidly, fundamental challenges such as poor roadway quality, traffic congestion, and driver safety continue to escalate.

In February of 2023, the U.S.

Department of Transportation declared a national roadway safety emergency, calling for urgent action to address the alarming rise in injuries and fatalities.

The American Society of Civil Engineers (“ASCE”) provides a report card for America’s infrastructure every four years.

In 2021 ASCE graded overall U.S.

infrastructure a C-minus.

Roads, which had been rated C+ in 1988, were rated D, “poor or at-risk,” with over 40% of roadways considered in poor or mediocre condition.

ASCE’s most recent report card, released March 25, 2025, showed a slight improvement for overall infrastructure to C, crediting better awareness and increased investment by government for slowing the investment gap.

The 2025 grade for roads improved modestly to D+, with 39% of roads in poor or mediocre condition and an annual funding gap estimated at $684 billion.

The report noted that deficiencies jeopardize public safety, contributing to an estimate of over 40,000 roadway deaths in 2023, but also impose significant economic costs, including an estimated average $1,400 per driver cost related to deteriorated and congested roads.

Among the top policy objectives that the ASCE’s 2025 report called for was the continuing need to support the development of innovative technologies and ensure that reliable data is collected and released frequently regarding the condition, capacity, operations, maintenance, safety, and resilience of infrastructure systems.

Recognizing the urgent need for modernization, the federal government has recently taken significant steps to invest in the transform the nation's infrastructure.

The Infrastructure Investment and Jobs Act (“IIJA”) and Inflation Reduction Act (“IRA”) provided historic levels funding for transportation infrastructure system modernization.

Additionally, the Creating Helpful Incentives to Produce Semiconductors (“CHIPS”) and Science Act provided support for AI-driven innovation and semiconductor production, critical components for modernizing infrastructure through technology.

These legislative efforts are consistent with the foundation set by President Trump’s 2019 "American AI Initiative" and his most recent 2025 Executive Order 14179, which prioritized public-private collaboration and the adoption of AI technologies across sectors like transportation.

These federal actions have provided a strategy and funding mechanisms for states to tackle the long-standing challenges of updating outdated, legacy systems for roadway intelligence gathering.

Since 2018, Rekor has worked to deserve a place at the forefront of this wave of transformation and modernization of roadways, actively designing, building, and deploying its AI solutions through public-private collaborations with departments of transportation (“DOTs”), public safety agencies, and private sector partners.

Rekor is committed to leading the laying the foundation of a groundbreaking new digital infrastructure operating system for roadways—and has already delivered proven value across multiple domains:

Enhanced Roadway Safety:

Real-time AI monitoring systems detect hazards and reduce roadway fatalities.

Optimized Traffic Flow:

Intelligent analytics alleviate congestion, improve commute times, and boost productivity.

Cost Savings & Efficiency:

AI automation streamlines operations, maximizing resource allocation for agencies.

Improved Data Accuracy & Insights:

Precise, real-time traffic data drives smarter decision-making and better resource planning.

Border & Freight Management:

AI-driven vehicle identification enhances security while minimizing bottlenecks.

Uninsured Driver Reduction:

Automated enforcement ensures insurance compliance, improving public safety.

By combining advanced AI-driven insights with a forward-thinking infrastructure strategy, Rekor is reshaping how transportation systems operate.

Its solutions empower agencies to prevent accidents, reduce inefficiencies, and optimize resources, driving smarter, safer, and more efficient roadways across the nation.

Roadway Intelligence

Rekor has become a leader in roadway intelligence by collecting, connecting, and organizing global mobility data since its inception.

Today, our comprehensive portfolio of products and services offers multiple cutting-edge Internet of Things ("IoT") devices for roadside data collection, an array of curated and integrated data sets from a network of transportation ecosystem data providers, as well as platforms, applications, and data streams that have been tailored for use by a demanding customer base consisting of federal state and local government agencies and large corporate clients.

We specialize in collecting and aggregating mobility-related data from multiple sources into our Rekor One® roadway intelligence engine, transforming this data into knowledge and actionable insights, and securely distributing those insights to multiple users across various software platforms and applications.

Our proprietary technologies use recent advances in artificial intelligence, machine learning, data analysis, edge processing, and communications.

They are designed to be integrated into existing roadway and roadway sensor infrastructure to deliver real-time and predictive analytics that address critical challenges in transportation management, public safety, urban mobility, and other key commercial markets.

By applying a multi-layer architectural approach and protocols inspired by the Open System Interconnection ("OSI") model, which was instrumental in creating computer operating systems in the 1970s and the internet in the 1980s, we are collaborating with members of the Rekor Partner Network to integrate various transportation infrastructure systems – hardware, technology, and datasets - into a cohesive network of roadway intelligence assets and insights.

This involves consolidating fragmented and disparate systems, as well as adding new layers of connectivity, to create a unified environment.

To achieve this goal, we are working closely with a wide range of stakeholders, including local and federal government agencies, law enforcement, transit providers, infrastructure owners/operators, automotive OEMs, and technology, communications and data providers.

At Rekor, we are forging a future where the mobility internet is not just connected, but interactive, delivering real-time roadway intelligence to revolutionize traffic management, public safety, maintenance, emergency services, and planning agencies, as well as supporting connected and autonomous vehicles.

Our enduring mission is to innovate and perfect a unique, AI-driven, and edge-based IoT network.

This network is designed to be pivotal in this transformation, working in harmony with key partners in the transportation and public safety ecosystem to deliver the most comprehensive insights impacting safety, health, and sustainability for roadways, communities, and citizens.

Our commitment is to continue to focus our investments, merging physical and digital infrastructure to lay the groundwork for a new, advanced operating system for roadways.

As we move forward, Rekor is positioned to play an indispensable and impactful role, supporting private and public agencies as they design and construct digital infrastructure operating system of the future.

We are dedicated to fulfilling the critical demand for real-time and predictive roadway intelligence, ensuring that our solutions are not just innovative but also instrumental in shaping the future of public safety, urban mobility, and transportation management.

Rekor is a leader in roadway intelligence, committed to revolutionizing transportation systems by collecting, connecting, and organizing the world’s mobility data.

Roadway intelligence involves the ability to harness vast amounts and varieties data from roadways, vehicles, transportation systems, and hundreds of external elements like weather, special events, work zones, and more, transforming it into actionable insights.

These unique insights empower stakeholders to enhance public safety, optimize traffic flows, and improve operational efficiencies.

Through our Rekor One® roadway intelligence engine, we aggregate these datasets from diverse sources and securely deliver these insights to government agencies and private-sector clients, driving smarter, more effective decision-making across transportation management, urban mobility, and public safety ecosystems, as well as multiple commercial market segments.

Inspired by the Open System Interconnection (“OSI”) model, Rekor integrates fragmented transportation systems into a cohesive, unified network.

Collaborating with government agencies, infrastructure operators, transit providers, and technology partners, we consolidate hardware, software, and data into a connected platform that delivers smarter, safer, and more efficient roadways.

Our mission extends beyond connectivity—we are building a dynamic, AI-driven network to modernize traffic management, public safety, and emergency services.

By applying a digital layer to existing physical infrastructure and roadways, Rekor is creating a new generation digital operating system for roadways, delivering real-time intelligence that powers economic growth, operational excellence, and improved quality of life for communities.

As we look to the future, Rekor remains committed to supporting public and private agencies in developing the digital infrastructure of tomorrow.

Our innovative solutions are designed to redefine roadway intelligence and play a transformative role in shaping modern transportation, ensuring safety, efficiency, and resilience for generations to come.

Roadway Intelligence Powered by Rekor

Our Rekor One® roadway intelligence engine is purpose-built to be a single source of truth, powered by AI and fueled by rich data.

With access to multiple sources of data and our award-winning AI-driven innovations, we provide a range of solutions that address diverse use cases across various public and private sector segments.

Our platforms facilitate the efficient collection, analysis, and distribution of vast amounts of data, unlocking real-time and predictive operational insights that have previously been unavailable.

Using our advanced technology and centralized platform, we are well-positioned to provide a single-source of truth for roadway intelligence, and help governments and businesses turn infrastructure data into actionable insights that increase mobility and safety, drive revenue, and power innovation for billions of people and trillions of interactions.

Our Rekor One® roadway intelligence engine allows us to deliver a range of solutions that serve government and commercial customers in the public safety, urban mobility and transportation management areas.

Within the Rekor One® environment, our proprietary algorithms curate data from multiple sources, including edge-based IoT devices, existing roadway sensors, and a growing network of transportation data partners, unlocking multiple trillions of additional data points.

We use this data to generate multi-dimensional insights in real-time, and AI-driven predictive analytics that leverage patterns of what happened in the past so that we can forecast what will happen in the future.

These insights enable our customers to make better-informed proactive decisions and achieve improved operational efficiency through strategic resource allocation.

Rekor's solutions support diverse use cases, including:

1) traffic reports, including counts showing Federal Highway Administration ("FHWA") mandated vehicle classifications and speed, analytics for bicycle, pedestrians, and other micro-mobility modes, as well as patterns and hot spots for greenhouse gas emissions, 2) data driven traffic operations and traffic management, real-time incident detection and response, including proactive traffic calming around events, and 3) high-definition ("HD") video traffic surveillance, to assist law enforcement and support intelligence-based policing, including contactless compliance and enforcement, among others.

With our advanced technology and domain expertise, we are well-equipped to serve multiple public agencies and private sector segments with comprehensive roadway intelligence.

To summarize, the Rekor One® roadway intelligence engine, along with our Rekor Partner Network allows us to collect, connect, and organize more data from the roadways than ever before possible, and generate rich insights that enable our customers to make thoughtful decisions impacting their communities every day.

With our deep expertise and technology, Rekor is well positioned to help businesses and governments unlock the true potential of their infrastructure data, driving innovation and enhancing the lives of billions of people worldwide.

The Rekor One® roadway intelligence engine is a single source of truth for transforming transportation and mobility data into actionable insights.

Powered by advanced AI and fueled by diverse data sources, Rekor delivers real-time and predictive solutions that enhance mobility, safety, and operational efficiency across public and private sectors.

Our platforms aggregate and analyze trillions of data points from IoT devices, roadway sensors, cameras, and an expansive partner network, enabling customers to make proactive, informed decisions and optimize resources, and enabling us to deliver tailored solutions for government and commercial customers in public safety, urban mobility, and transportation management.

Rekor’s solutions support a variety of use cases, including:

Traffic Analysis

Comprehensive traffic reports, including Federal Highway Administration (“FHWA”)-mandated vehicle classification, count and speed analytics.

Analytics on bicycles, pedestrians, and other micro-mobility modes.

Identification of patterns and hot spots for emissions and traffic impacts.

Traffic Operations & Management

Data-driven traffic operations for improved efficiency.

Real-time incident detection and response for proactive problem-solving.

Proactive traffic calming around events to minimize congestion and enhance safety.

Intelligent analytics to alleviate congestion, shorten commute times, and boost productivity.

High-Definition Video Monitoring

Traffic monitoring to assist law enforcement.

Support for intelligence-based policing to improve crime prevention.

Contactless compliance and enforcement solutions for safety and legal adherence.

Enhanced Roadway Safety

Real-time AI monitoring systems to detect hazards and reduce roadway fatalities.

Predictive analytics to anticipate and address potential safety risks.

Optimized Resource Allocation

AI automation to streamline operations and maximize resource allocation.

Improved data accuracy to support better decision-making and strategic planning.

Border & Freight Management

AI-based vehicle identification to enhance national security and minimize bottlenecks at borders and ports.

Weigh-in-Motion (“WIM”) systems for real-time commercial trucking analytics

Insurance Compliance & Public Safety

Automated enforcement systems to reduce uninsured drivers and improve overall public safety.

By combining advanced technology, domain expertise, and implementation capacity, Rekor offers truly end-to-end roadway intelligence solutions for public agencies and private sector clients.

Rekor One®, together with our Rekor Partner Network, enables us to generate unique and deep insights that enable proactive and data-driven decision-making, enabling governments and businesses to unlock the full potential of their infrastructure, and foster safer, smarter, and more efficient roadways and communities, and improving the lives of people.

The Road Ahead

The United States government is investing heavily in upgrading and digitizing the nation’s outdated infrastructure.

Recent technological advances, such as edge- and cloud-based computing, artificial intelligence, and the internet of things, have given us an unprecedented opportunity to revolutionize mobility and bridge the divide between rapidly evolving technology and aging infrastructure.

We are actively engaged in providing state-of-the-art AI-driven roadway intelligence solutions to enhance public safety, urban mobility, and transportation management.

By collecting, connecting, and organizing the world’s mobility data, Rekor delivers precise, real-time, and predictive actionable insights for any moving objects on roadways.

We are dedicated to delivering mission-critical solutions that help to create intelligent, secure, and sustainable streets for all communities.

The ultimate objective is for Rekor to be a foundational partner in building a digitally-enabled internet and operating system for roadways that will enable smarter, safer, and more eco-friendly mobility for all.

Rekor is making mobility data widely accessible and useful for all, empowering customers to make informed decisions and drive meaningful progress towards a brighter future.

The United States is now making historic investments to modernize and digitize its aging infrastructure, leveraging cutting-edge technologies like artificial intelligence, edge computing, and the internet of things.

Rekor is at the forefront of this transformation, delivering state-of-the-art AI-driven roadway intelligence solutions to enhance public safety, urban mobility, and transportation management.

By collecting, connecting, and organizing global mobility data, Rekor provides real-time and predictive insights for roadways, enabling smarter, safer, and more efficient mobility.

Our mission is to be a foundational partner in creating the new digital infrastructure operating system for roadways, empowering communities and businesses with actionable intelligence to drive progress.

With a focus on innovation, security, and operational excellence, Rekor is shaping the future of transportation, delivering intelligent and connected solutions that pave the way for a brighter, more efficient, and sustainable future for all.

Platforms, Products, and Solutions

Rekor's revenue streams are driven by our cutting-edge software and data services, along with complementary hardware and peripheral products.

Rekor's revenue streams are driven by our innovative software and data services, along with complementary hardware and peripheral products.

The Rekor One® platform is the central hub of an integrated operating system, supporting the assimilation, analysis, and distribution of data from various sources.

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These subscriptions can be provided with or without hardware sales, and our platform is designed to enable customers to enhance their existing sensor network by integrating our proprietary sensors into the network over time.

While we may continue to offer long-term licenses for certain strategic partnerships, we anticipate that the bulk of our revenue will come from our innovative subscription-based model.

While we may continue to offer long-term licenses for certain strategic partnerships, we anticipate that the bulk of our revenue in the future will come from our newer SaaS model.

Rekor One ® Intelligence Platform

Rekor One®, is the bedrock of our cutting-edge AI-powered roadway intelligence platforms, serving multiple missions with modular and rapid development capabilities.

Rekor One ® , is the bedrock of our innovative AI-powered roadway intelligence platforms, serving multiple missions with modular and rapid development capabilities.

Our proprietary technology and machine learning models power all our solutions, including Rekor Command ® for transportation management, Rekor Discover ® for urban mobility, Rekor Scout® for public safety, plus various commercial use cases.

The security of Rekor One®, and all our market facing solutions is our top priority.

The security of Rekor One ® , and all our market facing solutions is a top priority.

We use industry-leading security technologies and standards, including end-to-end encryption and proprietary data filters, to ensure that all captured and connected data is protected from unauthorized access or use.

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It’s been built to identify more incidents faster, to enable proactive traffic management through crash-risk prediction, and to do this in a collaborative way connecting agencies and stakeholders, including notifying citizens and the public.

As a comprehensive cross-agency platform, Rekor Command™ offers dedicated applications for traffic management centers, freeway service patrol, first responders and maintenance crews, aligning them all to better address traffic challenges while arming them with the vital information needed to identify, manage, and recover from incidents, events and irregularities on their roadways.

As a comprehensive cross-agency platform, Rekor Command ® offers dedicated applications for traffic management centers, freeway service patrol, first responders and maintenance crews, aligning them all to better address traffic challenges while arming them with the vital information needed to identify, manage, and recover from incidents and irregularities on their roadways.

Rekor Command ® – Roadway Monitoring Core Application & Events Management Application

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The Advanced Analytics application within the Rekor Command ® platform provides agencies with reporting capabilities to archive incident and event information, as well as analytics to help users better understand trends, patterns, and planning.

This helps Departments of Transportation ("DOTs") to understand historic patterns and arms them with the insights needed to make more proactive decisions around resource allocation and planning.

This helps DOTs to understand historic patterns and arms them with the insights needed to make more proactive decisions around resource allocation and planning.

Rekor Command ® – Road Conditions Application

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Rekor Discover ® for Urban Mobility

Traditional approaches to capturing roadway and infrastructure analytics for planning and engineering employ expensive, manual processes that use antiquated technology to capture a fraction of the information needed for a fraction of the time.

Traditional approaches to capturing roadway and infrastructure analytics for planning and engineering generally employ expensive, manual processes that use antiquated technology to capture a fraction of the available information for a fraction of the time.

Cities, states, and municipalities know that having a clear and accurate picture of what’s happening in and around the roadway is critical as they plan and invest in the infrastructure needed for smart cities, smart transit, self-driving vehicles, and multi-modal movement across their geographies.

The Rekor Discover™ platform ingests data from Rekor’s state-of-the-art hardware and fully automates comprehensive analytics and actionable insights about the movement of objects across the roadway.

Whether its passenger vehicles, or multi-axle commercial trucks, Rekor Discover™ pulls ground truth insights, both in real-time and historically, allowing agencies to better organize and execute their next-generation roadway planning and city building initiatives in a smart, safe, and future-proof way.

Customers access their dashboard on web-based cloud instances and review on-demand traffic reports and analytics that breakdown vehicle volumes and patterns, FHWA 13-bin vehicle classification, electric vehicle volumes and hot spots, geospatial greenhouse gas emissions from vehicles, smog scores, average and spot speeds, along with a variety of other insights.

The Rekor Discover ® platform ingests data from Rekor’s innovative hardware and fully automates comprehensive analytics and actionable insights about the movement of objects across the roadway.

Whether its passenger vehicles, or multi-axle commercial trucks, Rekor Discover ® pulls ground truth insights, both in real-time and historically, allowing agencies to better organize and execute their next-generation roadway planning and city building initiatives in a smart and safe forward-looking way.

Customers access their dashboard on web-based cloud instances and review on-demand traffic reports and analytics that breakdown vehicle volumes and patterns, FHWA 13-bin vehicle classification, count, electric vehicle volumes and hot spots, geospatial greenhouse gas emissions from vehicles, smog scores, average and spot speeds, along with a variety of other insights.

In addition to agencies, many businesses need to understand the vehicle flow, patterns, types, and other important analytics regarding vehicles in their geographies.

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Rekor Discover ® – Vehicle Insite Application

Rekor Discover’s Vehicle Insite application analyzes real-time video to provide actionable, on-property vehicle intelligence such as vehicle characteristics, Electric Vehicle (EV) statistics and other visit metrics.

Utilizing state-of-the-art AI and high-definition camera systems, Vehicle Insite delivers real-time traffic data to deepen the customer’s understanding of the vehicles visiting their properties, enabling enriched experiences and targeted marketing initiatives.

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Our Vehicle Characteristics feature provides vehicle demographics to leverage in the creation of targeted marketing campaigns that engage and attract the ideal customer segments.

The Vehicle Insite application helps users better plan for electric vehicle ("EV") charge station deployment, understand the movement of EVs and their adoption, and gather insights on where emissions and greenhouse gases are emitted from the roadway.

The Vehicle Insite application helps users better plan for EV charge station deployment, understand the movement of EVs and their adoption, and gather insights on where emissions and greenhouse gases are emitted from the roadway.

The application provides cloud-based dashboards and reports the count of EVs, provides heatmaps for EVs as well as a breakdown of EV models, greenhouse gas emissions and smog, and other useful metrics.

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Users can also access subtle and unique vehicle characteristics including rust, the presence of a roof rack, mismatched paint, or the like, which can be used for investigative policing and forensics.

When combined with high performance reads, parallel processing capability and best-in-class hardware such as those built and deployed by Rekor, Rekor Scout® can be an absolute force multiplier capturing license plate data and vehicle characteristics across multiple lanes at high vehicle speeds with a high degree of accuracy.

When combined with high performance reads, parallel processing capability and best-in-class hardware such as those built and deployed by Rekor, Rekor Scout® acts as a force multiplier capturing license plate data and vehicle characteristics across multiple lanes at high vehicle speeds with a high degree of accuracy.

Rekor Scout® can also be accessed through a smartphone app designed specifically for law enforcement.

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Non-compliance may include uninsured vehicles, vehicles with expired registration, and vehicles with outdated emissions/inspection statuses.

We have an active deployment of our AutoNotice application for contactless compliance scanning millions of plates and delivering thousands of notices/tickets, including a program for the State of Oklahoma that facilitates enrolling uninsured motorists into a diversion program.

In addition to the application, there is an application programming interface for third-party payment gateways for credit card transactions to accommodate both phone and web payments.

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A full call-center is also provided with our AutoNotice application to help facilitate payment or information distribution to non-compliant citizens remotely.

We have active deployments of our AutoNotice application for contactless compliance scanning millions of plates and delivering thousands of notices/tickets, including a program for the State of Oklahoma that facilitates enrolling uninsured motorists into a diversion program.

Rekor CarCheck ® Application Program Interface (“API”)

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Rekor Hardware Products

Rekor’s portfolio of AI-based state-of-the-art hardware products are purpose-built to optimize the value of our software as well as bring the advantages of edge processing to capture real-time roadway data.

Rekor’s portfolio of innovative hardware products are purpose-built to optimize the value of our software as well as bring the advantages of edge AI processing to capture real-time roadway data.

Data capture, aggregation and AI/ML analysis is done on device, at the point of capture on the roadway, so that it can be efficiently delivered to the point of use without processing delays.

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Rekor Traffic Services

With the addition of STS in 2022 and ATD in 2024, Rekor offers 3000+ personnel-years of unparalleled traffic data collection and traffic engineering expertise and services to our customers using both traditional and AI-based approaches.

With the addition of ATD in 2024, Rekor offers thousands of personnel-years of unparalleled traffic data collection and traffic engineering expertise and services to our customers using both traditional and AI-based approaches.

Traffic services include, but are not limited to the following:

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Competitive Strengths

Our unparalleled, patented technology has been prominently featured by renowned outlets and has driven our global expansion.

We have repeatedly earned trust and business over established incumbents in highly competitive bidding processes, owing to our award-winning proprietary technology and exceptional customer service.

We provide a unique breadth, depth, and sophistication that our integrated platform delivers to multiple missions and agencies.

We maintain our first-mover advantage by tirelessly investing in our competitive strengths and key differentiators.

Our patented technology has driven our global expansion and been prominently featured by renowned outlets.

We have earned trust and business over established incumbents as well as new entrants in highly competitive bidding processes, owing to our award-winning proprietary technology and exceptional customer service.

We work to provide a unique breadth, depth, and sophistication that our integrated platform delivers to multiple missions and agencies.

We seek to maintain our first-mover advantage by continuing to invest in our key differentiators and solution set.

In the transportation management, public safety, urban mobility, and commercial markets, we possess and continue to cultivate a variety of competitive strengths that set us apart:

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Industry-leading Privacy and Security :

We use the most advanced security technologies and standards to safeguard all captured and connected data from unauthorized access or use.

We use advanced security technologies and standards to safeguard all captured and connected data from unauthorized access or use.

Our platform also employs proprietary algorithms to strip PII from data, protecting the privacy of our customers and their data.

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Technology leading Vehicle Classification, Count, and Speed:

Our AI software achieves superior accuracy and performance rates across all 13 classes and deep classification of vehicles for DOT studies in line with the latest FHWA guidelines.

Our AI software also achieves superior accuracy and performance rates across all 13 classes and deep classification of vehicles for DOT studies in line with the latest FHWA guidelines.

Intelligence-Based Policing :

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Our hardware delivers low-latency alerting via defined edge processing at the edge of the network, enabling real-time data processing and scale without the need for expensive infrastructure such as fiber.

We are dedicated to continuously enhancing our competitive advantages and differentiators, driving innovation in the transportation management, public safety, and commercial markets.

SOC II Compliance:

Each of our three platforms are SOC II Compliant.

Customer Segments and Markets

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With many markets currently relying on outdated physical infrastructure, or in the early stages of technology adoption, we see immense potential for growth.

Our diverse customer base includes cities, states, municipalities, law enforcement agencies, and more, and our success is evidenced by our multiple pilots, proof of concept, and full-scale deployment agreements throughout the Americas.

While we will continue to pursue opportunities to sell perpetual licenses and hardware, our primary focus is on providing cutting-edge SaaS offerings and services with recurring annual revenues.

Our diverse customer base includes cities, states, municipalities, law enforcement agencies, commercial customers and more, and our success is evidenced by our multiple pilots, proof of concept, and full-scale deployment agreements throughout the Americas.

While we will continue to pursue opportunities to sell perpetual licenses and hardware, our focus has been on providing innovative SaaS and pay-for-data offerings and services with recurring annual revenues.

Our eCommerce site allows us to serve individuals and smaller organizations at scale using a self-service recurring revenue model.

We expect the market for our solutions and services to be extraordinary.

We expect the market for our solutions and services to be significant.

We are dedicated to addressing a wide range of market segments, including intelligent transportation systems, smart mobility, traffic analytics, incident detection and location systems, traffic and parking management, smart cities, vehicle regulatory compliance programs, and more.

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Business Drivers and Growth Strategies

Our products and services have demonstrated the ability to provide significant improvements in public safety and transportation management and we anticipate that this will drive our growth.

The transportation infrastructure market is in the process of transformative change due to a convergence of political, economic, societal, and technological forces.

These include rising safety concerns, rapid urbanization and a heightened awareness of the impact human mobility has on the planet.

Both governments and businesses are seeking out new technologies and better ways to manage public safety, urban mobility and transportation management challenges.

As a result, there has been a significant increase in government funding available to digitize transportation infrastructure in the United States and other countries with a focus on deploying proven near-term solutions that are scalable, efficient, equitable and sustainable.

We believe the technologies that we have developed and are continuing to develop have positioned us to take advantage of these market forces.

Our use of AI to extract information about the movements of vehicles and other objects on the roadway has proven to be a core strength, allowing us to capture comprehensive and detailed roadway data with superior accuracy and speed.

The modular design of our Rekor One® intelligence platform, in tandem with our proprietary edge processing and filtering technologies, have positioned us to emerge as a leader in facilitating the emerging industry of interactive roadway intelligence.

Our mission is to gather the most accurate and detailed data that can be obtained from the roadway in real time and facilitate the aggregation and analysis of that data with other sources, so that insights drawn from that aggregation and analysis can be delivered securely and efficiently to the persons who can make the best use of it.

Automotive OEMs and government agencies in the transportation industry are starting to focus on how to leverage connected vehicle data with AI to improve safety.

We are building partnerships and enhancing our solutions with data to facilitate the delivery of real-time information to citizens.

With Rekor Command™ for transportation management, we are at the forefront of developing predictive analytics that deliver insights based on the analysis of aggregated data from a variety of sources.

These sources include real time information drawn from roadway sensors and connected vehicles, off roadway sources such as weather and event data, as well as daily, seasonal and historical trend data.

The enhanced information we provide on roadway conditions is valuable to a wide range of stakeholders.

During the past three years, we have initiated the delivery of products and services to a wide range of governmental and business customers.

These customers are diverse, ranging from large government entities to small entrepreneurs, and the uses they make of our technology are varied.

We have used these customer relationships as an opportunity to assess the full potential of the technologies we have been developing and to learn by doing as well as imagining.

When the capital markets were strong, we pursued this strategy aggressively and independently.

In the transportation management and public safety areas, where we are furthest along with the delivery of revenue producing products and services, we expect to continue to employ a "land and expand" growth strategy.

This focuses on scaling our resources to supporting growth within these industry segments through expansion of the products and services delivered to existing customers, as well as recruitment of new customers who become familiar with our products and services.

By expanding our services and solutions to existing customers while also facilitating cooperation between our existing and new customers we expect to continually expand our information network.

As we develop our sales and marketing capabilities, we are concentrating primarily on subscription-based solutions, with hardware sales used primarily to drive these subscriptions.

We continue to explore opportunities for acquisitions or strategic investments in complementary businesses, products, services, or technologies, including those that might benefit most from the use of our technology.

These strategic partnerships, mergers, and acquisitions will be attractive to us when they allow us to accelerate our growth or expand our capability to continue leading the roadway intelligence industry.

Our strategy is to disrupt the transportation infrastructure industry by offering cutting-edge, data-driven solutions that provide unparalleled roadway intelligence, surpassing our competitors.

The competition in roadway intelligence takes various forms - some solely focused on Automatic License Plate Recognition ("ALPR") and vehicle recognition technology, while others specialize in data creation, aggregation, insights platforms, or smart city technologies.

Additionally, there are a variety of vendors supporting the classification, counting, and speed of vehicles according to FHWA guidelines.

To lead in this highly competitive industry, we must innovate and deliver new, groundbreaking products and services that set us apart from the competition.

Our ability to efficiently collect massive amounts of data from existing infrastructure, combine it with third-party data sets, and process and transform this data into actionable insights using advanced AI and data analytical tools gives us a competitive edge.

We also excel by providing tailored datasets and integrated solutions and workflows to multiple agencies through a single platform, allowing us to meet the unique needs of various markets.

Our unique approach allows us to collect vehicle classification, counts and speed across all 13 FHWA classes.

We also provide deeper classification for both traditional vehicles, connected vehicles, hybrid-electric vehicles, and can report on the interactions of these modes of transport with non-motorized roadway users – including bicycles and pedestrians.

In the transportation management sector, these data collection and analysis abilities differentiate our results from others in the market.

In addition, we have the ability to accomplish this data collection without intruding on the roadway, which presents a leapfrog opportunity for us to gain and accelerate market segment share because of the serious concerns that our customers have for human safety.

We believe that we can sustain our success in the roadway intelligence market because we have developed groundbreaking, innovative offerings that surpass the high standards set by established industry leaders.

To penetrate these established markets, we must challenge the status quo, drive the evolution of industry standards, and deliver superior price and performance characteristics.

Although we were an early leader in the successful application of AI to vehicle recognition and continue to see significant potential for innovative applications of AI in the roadway intelligence area, we do not see the use of AI itself as a proprietary advantage.

Rather our early start in using AI and machine learning to develop vehicle recognition and roadway data analysis algorithms for a diverse customer base has allowed us to maintain a lead over others who have had access to the same non-proprietary AI and machine learning techniques but have not used it as early or as widely as we have.

As we increase our footprint in the industry, we preserve this advantage.

However, the roadway is constantly changing with the introduction of new models and types of vehicles, as well as other modifications, such as plate designs.

In order to minimize potential threats from others seeking to match our performance or undercut our prices, we must remain committed to delivering differentiated, unique solutions that provide greater value and benefits to our customers.

Where we have developed proprietary technologies, such as our unique edge processing and privacy filter technologies, we have taken action to protect our innovations and intellectual property rights.

However, our primary strategy for establishing ourselves as a leader in the industry has been the pursuit of innovation and quality.

To maintain our competitive edge, we prioritize key factors such as design innovation, security and privacy features, product quality and reliability, and exceptional service and support.

We face intense competition in the transportation and public safety markets, pitted against rival companies with significant technical, marketing, distribution, and resource advantages, as well as established hardware, software, and service offerings.

Furthermore, several competitors possess a larger installed base of active devices, making the competition even more fierce.

By providing a comprehensive set of solutions across a wide range of use cases, however, we feel that we can stand apart from most of our competitors, who only operate in a narrow segment of the market.

We are concentrating on providing data resources that are more reliable, efficient and readily available.

This includes upgrading existing infrastructure to efficiently collect reliable data, aggregating that data with third-party data, processing the data with superior analytical tools, and delivering datasets and actionable insights tailored to the specific needs of multiple agencies through a single platform.

Throughout the development of our products and platforms, we have paid particular attention to network and data processing efficiency to allow results to be distributed more effectively through existing communications networks.

By facilitating a variety of modular upgrades to existing infrastructure, combining data from various sources, and providing valuable real-time, historical, and predictive insights, Rekor can continue to deliver solutions that meet the needs of customers across the value chain.

Rekor’s products and services have consistently demonstrated their ability to significantly enhance public safety, urban mobility, and transportation management, positioning the company as a leader in addressing critical infrastructure challenges.

The transportation and roadway infrastructure market is undergoing transformative change, driven by a convergence of political, economic, societal, and technological forces.

Rising safety concerns, rapid urbanization, and the growing need for advanced mobility solutions have prompted governments and businesses to seek innovative, scalable technologies.

Recent federal initiatives, including the 2025 Executive Order on "Removing Barriers to American Leadership in Artificial Intelligence," emphasize technology-driven modernization, AI advancement, and infrastructure investment—all of which align with Rekor’s solutions.

These developments, combined with increased government attention to the need to digitize transportation infrastructure, create a significant opportunity for Rekor to accelerate its growth and impact.

Rekor’s solutions are uniquely aligned with these priorities and address a wide range of challenges:

Rekor Scout ® :

Plays a pivotal role in public safety and law enforcement by providing advanced monitoring and intelligence tools for vehicle recognition and Automatic License Plate Recognition (ALPR) that enable proactive policing, crime prevention, real-time crime alerting, contactless compliance, and investigative policing missions.

By leveraging AI and high-definition video capabilities, Scout enhances situational awareness and supports proactive, data-driven decision-making, helping to uphold law and order in communities.

Rekor Command ® :

Focused on enhancing roadway safety and reducing traffic congestion, Command offers unique and powerful solutions for transportation management, including real-time incident detection, proactive traffic calming, and predictive analytics.

These capabilities empower agencies to allocate resources strategically, mitigate risks, response quickly to roadway incidences, and improve traffic flow, ensuring safer and more efficient roadways.

Rekor Discover ® :

Critical for analyzing, planning, and maintaining the nation’s 4.2 million miles of roadways, Discover provides data-driven insights to assess existing infrastructure and guide strategic investments.

By integrating real-time data from roadway sensors, video, connected vehicles, and external sources like weather and event data, Discover supports the modernization and long-term resilience of transportation networks.

The Rekor One® intelligence engine serves as the backbone of these solutions, combining modular design, proprietary edge processing, and AI-driven technologies to aggregate and analyze trillions of data points in real time.

This engine enables Rekor’s solutions to deliver precise, predictive insights that empower stakeholders to address critical challenges in public safety, urban mobility, and transportation management.

Over the past three years, Rekor has successfully delivered products and services to a diverse range of customers across public and private sectors.

These relationships have allowed Rekor to refine its technologies and demonstrate their full potential in real-world applications.

By employing a "land and expand" growth strategy, Rekor continues to deepen relationships with existing customers while attracting new ones, fostering collaboration, and expanding its data network to drive greater value for all stakeholders through its business growth flywheel.

Rekor’s subscription-based solutions help to ensure scalability and long-term growth, with hardware sales serving as an entry point to drive adoption in key segments.

Also, we continuously canvas the market for strategic acquisitions and partnerships to accelerate innovation and expand our capabilities.

These combined efforts are designed to strengthen Rekor’s leadership in the roadway intelligence industry and enhance its ability to deliver comprehensive, end-to-end solutions.

By aligning its mission with evolving market forces and governmental priorities, Rekor is well-positioned to lead the next generation of transportation and public safety intelligence.

With Scout, Command, and Discover working together, Rekor empowers governments and businesses to modernize infrastructure, enhance safety, reduce traffic, and build smarter, more resilient communities.

invests in digitizing its transportation systems, Rekor is uniquely equipped to provide the technology and expertise needed to create a brighter future for mobility and public safety

Rekor’s strategy is to lead modernization of transportation and roadway infrastructure by delivering innovative, data-driven solutions that redefine roadway intelligence and position the company as a leader in this multi-billion-dollar, competitive market.

The competitive landscape includes new and legacy-based companies focused on siloed areas such as Automatic License Plate Recognition ("ALPR"), vehicle recognition technology, data aggregation, insights platforms, and smart city technologies.

Additionally, many vendors rely on disconnected, analog, or previous-generation technologies for vehicle classification, counting, and speed analysis.

Rekor’s unique approach stands out by offering modular components that are designed to support comprehensive, end-to-end solutions that leverage advanced AI, edge-based computing, and a robust network of ecosystem partners, along with a deep services expertise in infrastructure construction, roadway sensors, and traffic studies.

This “concrete to cloud” approach positions Rekor as the ultimate one-stop shop for roadway intelligence.

What further sets Rekor apart is its ability to seamlessly integrate with existing ecosystem players and platforms.

Unlike competitors that require costly rip-and-replace overhauls, Rekor’s solutions operate alongside and on top of existing physical infrastructure and software systems, ensuring minimal disruption.

This approach allows customers to adopt Rekor’s technology in a way that aligns with their current workflows and operational preferences.

By leveraging existing customer data sets and integrating into familiar processes, Rekor makes adoption and deployment simple, intuitive, and cost-effective.

These strategic advantages have solidified Rekor’s reputation as a flexible, collaborative, and innovative partner, uniquely equipped to meet the complex demands of modernizing transportation systems.

Rekor ’ s Competitive Advantages

Rekor’s competitive edge lies in its ability to combine deep expertise, advanced technology, and a customer-centric approach to deliver unmatched value.

Below are some key factors that differentiate Rekor in the market:

Comprehensive Solutions - A One-Stop Shop:

Rekor works with its customers to develop a seamless, all-in-one solution, combining physical infrastructure expertise with advanced digital technologies.

From roadway sensors to cloud-based data analytics, Rekor’s “concrete to cloud” approach simplifies deployment for customers and eliminates the need for multiple vendors, streamlining implementation and operations.

Deep Expertise in Roadway Sensor Deployment:

With thousands of people-years of experience in roadway sensor deployments, Rekor offers unparalleled expertise.

This depth of knowledge allows the company to design and implement scalable, efficient solutions tailored to the unique needs of transportation agencies and municipalities.

Advanced Data Collection & Analysis:

Rekor collects detailed vehicle classification, count, and speed data across all 13 FHWA classes, along with deeper insights for connected, hybrid, and electric vehicles, as well as non-motorized roadway users such as bicycles and pedestrians.

These capabilities provide customers with a comprehensive understanding of roadway activity, far surpassing most competitors in the market.

Non-Intrusive, Safety-Focused Technology:

Rekor’s ability to collect data without disrupting roadways addresses critical safety concerns for its customers.

This non-intrusive approach not only enhances safety but also reduces deployment costs and risks, providing a significant competitive advantage.

Proven Innovation in AI & Edge Processing:

Rekor’s early adoption of AI and machine learning for vehicle recognition and roadway intelligence has given it a significant lead over competitors.

The company’s proprietary edge processing and privacy filtering technologies further differentiate Rekor, enabling high-performance, privacy-compliant solutions that meet the evolving needs of the market.

Integrated Insights & Predictive Analytics:

The Rekor One® platform combines data from roadway sensors, connected vehicles, weather, events, and historical trends to deliver real-time, historical, and predictive insights.

This comprehensive capability empowers customers to make informed, proactive decisions, optimizing resource allocation and improving safety, traffic management, and urban mobility.

Seamless Integration with Existing Ecosystems:

Rekor’s solutions integrate seamlessly with existing infrastructure, software platforms, and workflows, eliminating the need for costly rip-and-replace implementations.

By leveraging existing customer data sets and fitting into familiar workflows, Rekor simplifies adoption and accelerates deployment, allowing customers to quickly realize value from its solutions.

Collaboration with Ecosystem Players:

Rekor works closely with entrenched ecosystem players to integrate its technologies into their platforms, creating collaborative partnerships that enhance functionality and deliver superior results for end users.

Sustaining Leadership in a Competitive Market

Rekor is not just focused on technological innovation but also on providing unmatched customer value.

The company prioritizes:

Design Innovation:

Modular solutions that integrate seamlessly with existing infrastructure.

Security & Privacy:

Proprietary technologies to ensure data protection and compliance with strict privacy standards.

Product Reliability:

High-performance, durable solutions that exceed customer expectations.

Exceptional Support:

Building long-term customer relationships through superior service and support.

Rekor’s “land and expand” growth strategy emphasizes scaling within its existing customer base while attracting new customers with its superior offerings.

By upgrading infrastructure to collect reliable data, integrating it with third-party sources, and delivering actionable insights tailored to agency-specific needs, Rekor enables its customers to achieve greater efficiency and safety while driving innovation.

Addressing Competitive Challenges

As a relatively new entrant, Rekor operates in a highly competitive market, with rivals that boast significant technical, marketing, financial and other resource advantages, as well as larger installed device bases.

Despite this, Rekor’s comprehensive platform, which spans a wide range of use cases, sets it apart from competitors that operate in narrower segments.

By offering a full suite of solutions, Rekor meets the diverse needs of customers across public safety, transportation management, and urban mobility.

As all of these agencies work together, Rekor has the added advantage in its go-to-market approach in that it can engage customers in one segment of its portfolio, and pull-through other segments over time.

By leveraging unmatched expertise in sensor deployment, groundbreaking technologies, and actionable insights that span from physical infrastructure to cloud-based systems, Rekor remains agile, scalable, and highly responsive to customer needs.

This combination ensures continued leadership in the rapidly evolving roadway intelligence market.

As governments increasingly focus on technology advancement, AI innovation, and infrastructure modernization, Rekor is uniquely positioned to align with these priorities.

Renewed emphasis on law and order, combined with initiatives like the 2025 Executive Order on “Removing Barriers to American Leadership in Artificial Intelligence,” underscore the importance of proven, scalable technologies that can efficiently modernize transportation systems.

Rekor’s flexible, integrative solutions align perfectly with this vision, positioning the company to lead the next generation of roadway intelligence, creating smarter, safer, and more efficient transportation infrastructure and urban mobility for communities nationwide.

Marketing and Sales

We offer products and services in multiple markets, using direct sales, an eCommerce platform and extensive partnerships and alliances.

Our direct sales force is organized into groups aligned to the Intelligent Traffic Systems (“ITS”) chapters and other targeted market segments, with a primary focus on direct-to-end-user sales through a high-touch consultative process.

Our direct sales force has been organized into groups aligned to the Intelligent Traffic Systems (“ITS”) chapters and other targeted market segments, with a primary focus on direct-to-end-user sales through a high-touch consultative process.

In addition, we have established partnerships and strategic alliances that allow us to bundle our technology into purpose-built solutions for various national and global market segments.

As we continue to increase our roadway intelligence engagement with national, state and municipal DOTs, we remain focused on law enforcement communities – both directly and indirectly through strategic partners and resellers/integrators.

Our market-leading solutions provide significant value to DOTs for traffic management, planning and operations, and to municipal planning organizations for urban mobility.

Our market-leading solutions can provide significant value to DOTs for traffic management, planning and operations, and to municipal planning organizations for urban mobility.

In addition to these agencies, our solutions also enable law enforcement, intelligence-based policing, corporate campus security, and regulatory compliance for public security.

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In 2025, we will continue to capture and submit proposals and apply for grants for our customers, while also seeking opportunities to submit concurrently with strategic partners.

Our eCommerce platform offers businesses and individuals around the world a convenient way to purchase our high-value vehicle recognition solutions with just a credit card and a click.

Our eCommerce platform allows us to provide products and services to international customers and begin to penetrate markets outside North America without the need for a large international sales force.

It offers businesses and individuals around the world a convenient way to purchase our high-value vehicle recognition solutions with just a credit card and a click.

The platform allows for self-service sign-up and a range of subscription options while also funneling customers directly to our sales support team if they need more information.

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Research and Development

The highly competitive industries where we compete are defined by swift technological advancements.

The highly competitive industries where we compete require that we keep up with the latest technological advancements.

As such, our success is reliant upon a consistent and timely release of innovative products, new rich data services, and advanced technologies to the market.

To ensure our competitive edge, we are constantly developing cutting-edge technologies to enhance our existing offerings, expanding our range of solutions through rigorous research and development, as well as developing new AI models and algorithms, licensing intellectual property, and acquiring third-party datasets and technology.

To ensure our competitive edge, we must follow cutting-edge technologies and enhance our existing offerings, through rigorous research and development to expand our range of solutions.

This involves developing new AI models and algorithms, licensing intellectual property, and acquiring third-party datasets and technology.

We are committed to staying abreast of our customers' technological developments, adhering to industry standards, and meeting their increasingly stringent demands for performance, productivity, quality, and predictability.

As a result, we will continue to make significant investments in research and development and data and analytics as we strive to maintain our position as a leader in our field.

As a result, we plan to continue to make significant investments in research and development and data and analytics as we strive to maintain our position as a leader in our field.

Proprietary Technology and Intellectual Property

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With our commitment to intellectual property rights and our talented personnel, we are well-positioned to lead the market in delivering cutting-edge solutions and services.

On June 17, 2022, we completed the STS Acquisition.

On January 2, 2024, we completed the ATD Acquisition.

For additional information, s ee Item 8 of Part II, “Financial Statements and Supplementary Data — Note 17 — Subsequent Events”

Additional information concerning the STS and ATD Acquisitions is provided in this Annual Report on Form 10-K under ITEM 7 “Management’s Discussion and Analysis of Financial Conditions and Results of Operations.”

Additional information concerning the ATD Acquisition is provided in this Annual Report on Form 10-K under ITEM 7 “Management’s Discussion and Analysis of Financial Conditions and Results of Operations.”

Human Capital Management

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As o f March 18, 2025, we had 323 employees, of which 319 were full-time and four considered part-time.

We consider our employee relations to be good.

To date, we have been able to locate and engage highly qualified employees as needed and do not expect our growth efforts to be constrained by a lack of qualified personnel.

Although the competition for top talent in our area is significant, to date, we have been fortunate to have engaged highly qualified employees as needed.

We are working to ensure that our growth efforts are not constrained by a lack of qualified personnel.

We derive revenues substantially from the sale of software, hardware and related services and do not currently anticipate a significant seasonality impact on our revenues.

There is a portion of our revenue that requires our technicians and field support team to work outside, their ability to work and provide services to our end customers can be impacted by inclement weather in the winter months.

Should our penetration of tolling and other markets involving per recognition fees expand, we would expect to become more subject to seasonal traffic patterns.

There is a portion of our revenue that requires our technicians and field support teams to work outside.

Their ability to work and provide services to our end customers can be impacted by inclement weather in the winter months and storm seasons.

Should our penetration of tolling and other markets involving per recognition fees expand, we would also expect to become more subject to seasonal traffic patterns.

Insurance and Risk Management

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Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 1. Business