Discover Mobilicom: The "Brain" Inside Modern Drones
Aug. 5, 2024
Mobilicom (NASDAQ: MOB) presents a compelling investment opportunity as a first mover in the $34 billion drone market, offering a unique end-to-end value proposition. It has established itself as a key player with proprietary solutions that enhance drone performance, offer comprehensive cybersecurity,
and ensure faster time to market. The company's product suite, serving as the 'brain' inside
drones, includes SkyHopper Datalinks, Ground Control Systems, Mobile Mesh Networking, the
ICE Cybersecurity Suite, and CONTROLiT cloud management. These products work cohesively
to control, guide, and protect drones from cyberattacks, offering significant competitive
advantages in the rapidly growing small and mid-sized drone and robotics market.
Mobilicom’s intellectual property consists of trade secrets and 34 patent claims across two patent
families issued in the U.S. and other countries, reinforcing its position as a leader in innovation.
With over 50 customers across 18 countries, Mobilicom has achieved notable market
penetration through "design wins". The company's 50 design wins to date provide a robust
foundation for long-term revenue growth, with each win representing a large manufacturer that
has integrated Mobilicom’s systems into their drone and robotic solutions.
Mobilicom recently bolstered its market presence with significant contracts, including a $900,000
order from a major Israeli defense firm, a follow-on order from a U.S. Tier-1 customer for its
SkyHopper PRO datalink system, and an initial order from Israel Aerospace Industries for its
SkyHopper Pro Lite, highlighting the Company’s strengthening foothold in the global defense and
aerospace sectors.
Financially, Mobilicom is in a strong position. With a gross margin of 66% in 2023 primarily based
on hardware sales, the company expects its revenues to be increasingly driven by Software-asa-Service (SaaS) sales and recurring cybersecurity revenues from 2024 onwards. As of December
31, 2023, Mobilicom had a cash balance of $8.4 million, a low burn rate, and no bank debt,
indicating a solid financial footing for future expansion. In summary, Mobilicom offers an attractive
investment proposition given its first-mover advantage in the drone market, unique end-to-end
offerings, expanding customer base, robust financial position, and significant potential for growth.
