On May 21, 2020 Patriot One’s (PAT.T) announced that it has been selected by Canada’s Digital Technology Supercluster for participation in a funding program for up to $4.5-million in co-investment capital for the Patscan Multisensor threat detection platform.
Patriot One is an A.I-driven concealed weapons-detection company that is currently transitioning from being a technology incubator – into a hardware and sales company
The PATSCAN Multi-Sensor Covert Threat Detection Platform is a layered multi-sensor platform – integrated with A.I Managed security system to detect and combat active threats before they occur.
Technology highlights:
PATSCAN RADAR covert weapons detection sensor technology
PATSCAN VIDEO threat recognition software
PATSCAN MAGNETIC threat detection that passively and covertly allows for greater deployment and ease of use than any competitive system
PATSCAN CHEMICAL multi-compound airborne threat detection sensor
PAT’s platform is a perfect technological springboard to enter the arena of COVID-19 detection.
This proposed investment will fund the advanced development and deployment of the Patscan VRS health and safety detection modules for thermal elevated body temperature, facial mask screening, social distancing and contact tracing as part of the Company’s suite of video object recognition solutions.
“The Digital Technology Supercluster has the broadest mandate of the five clusters chosen for the Government of Canada’s Innovation Supercluster Initiative,” stated The Beta Kit, “The projects it has chosen to fund span health, data, cleantech, and more.”
The Digital Technology Supercluster has received a total of $153 million from the federal government.
While we have not vetted the entire Digital Supercluster Team – we note do note that the CEO, Sue Paish holds and Honorary Doctorate in Technology from BCIT, a “Lifetime Achievement” award from Women in Business – and the Peter Lougheed award for Public Policy.
We’ll assume this tech funding body is not handing out money to stoners scrawling Aztec algorithms on the back of ketchup-stained napkins.
Patriot One has a track record of attracting government investment (undilutive financing).
On January 30, 2020 PAT was awarded a $780,000 contract by ISC for the Canadian Department of National Defense (DND).
On March 9, 2020 PAT was awarded a contract for the PATSCAN by Innovation Solutions Canada (ISC) for Correctional Service Canada (CSC).
Supercluster members include a roster of heavy-hitters.
The co-investment is subject to the completion of a definitive contract, which proposes to release funding under a two-stage approach to develop and deploy three components.
- a thermal screening module that highlights persons with elevated temperatures in real-time, using commodity-priced thermal cameras
2. additional computer modules that detect the presence or non-presence of medical and non-medical masks and face coverings, and the ability to highlight persons and problem areas where social distance requirements are not being maintained
3. Cross-location monitoring and prediction of future outbreaks based on the overall trending of a combination of quantifiable indicators.
Stage one is up to $2.25 Million and will require “commercial validation by one or more customers recruited as a co-development partner.”
Following a successful Stage One deployment, PAT will receive a second Investment advance of up to $2.25 Million.
The Health & Safety Modules are additional video object recognition solutions that have been added to the Patscan Platform, which also includes weapon detection, disturbance and fight detection modules.
In September, 2019 Patriot One announced the acquisition of XTRACT Technologies and all its related interests, assets, and intellectual property for consideration for $6 million and the issuance of 9,422,956 Patriot One common shares (currently worth $1.52/share).
XTRACT specialises in artificial intelligence (AI) and machine learning. Its neural network architecture requires less memory than comparable standards.
“We believe our thermal camera solution will greatly help businesses, healthcare, retail, sport, entertainment, and hospitality industries as they re-open the economy,” stated PAT CEO Martin Cronin, “The thermal and facial mask screening solutions will allow property management to screen employees and customers for elevated body temperatures as well as for compliance with mask protocols.”
The problem Patriot One is tackling here, is not going away.
Experts who have studied this virus and past pandemics believe, almost universally, that the first wave was just the beginning of COVID-19, in Canada and around the world,” stated The National Post, “They expect the disease to be part of our lives for at least the next 18-24 months”.
“You have folks thinking, okay, we did it, we’re done. Let’s get back to regular life,” stated Dr. David Fisman, an infectious diseases specialist at the University of Toronto. “The problem is the virus is still here.”
“It is not as simple as installing a thermal camera and expecting to get a precise temperature reading,” explains Dietmar Wennemer, Patriot One’s new President and COO, “The key is in our use of machine learning to identify anomalies. Any anomalous detection outside a nominal body temperature range will result in an immediate alert, which will be instantly transmitted to onsite security for further action.”
Wennemer’s recent appointment is good news for PAT shareholders. He has a track-record of accelerating tech through development pipelines. He was the Chief Product Officer for Aeryon Labs which is part of $5.8 billion FLIR Systems (FLIR.NASDAQ) that develops unmanned aerial systems (UAS) for the global military, public safety, and critical infrastructure markets.
Wennemer states that PAT’s new thermal module is compatible with the Patscan Platform and can be monitored remotely.
“We are proud to support the development and deployment of the Patscan Platform to improve the health and safety of all Canadians through the Health & Safety modules being developed by Patriot One,” stated Sue Paish, CEO of the Digital Technology Supercluster. “This innovative screening technology will support Canada in safely re-opening the economy in the COVID 19 environment.”
This partnership with the Digital Supercluster allows Patriot One to advance its technology without issuing more shares or taking on debt.
But mid-morning trading, Patriot One is up 5% to .69.
Full Disclosure: Patriot One was an Equity Guru client. It is a personal favorite of EG writer Lukas Kane.
