Cyngn Signs Contract to Deploy DriveMod Tugger at Another Major Automotive Supplier

Rhea-AI Summary

Cyngn Inc. (Nasdaq: CYN) has secured a contract to deploy its DriveMod Tugger autonomous vehicle solution at a Fortune 500 automotive supplier. The unnamed client will use the technology to automate finished goods transfer. This follows Cyngn's recent success with contracts in the automotive service equipment sector and a major CPG company.

The DriveMod Tugger, featuring a 12,000-pound towing capacity, is equipped with advanced AI technology, 360° visibility, and collision avoidance systems. The solution integrates with Cyngn Insight, the company's fleet management platform, enabling comprehensive performance monitoring and fleet control.

This deployment addresses critical automation needs in U.S. manufacturing, particularly relevant amid current economic challenges including tariffs on steel and aluminum imports. The solution aims to enhance operational efficiency and reduce dependency on fluctuating labor markets.

Positive

• Secured new contract with Fortune 500 automotive supplier
• Recent contract wins demonstrate growing market adoption
• Solution addresses critical automation needs in manufacturing sector
• Technology helps reduce dependency on fluctuating labor markets

Negative

• None.

MENLO PARK, Calif., March 11, 2025 /PRNewswire/ -- Cyngn Inc. (Nasdaq: CYN) today announced that it will be deploying its DriveMod Tugger at a global Fortune 500 automotive supplier. This milestone highlights Cyngn's growing proven ability to meet the unique demands of the automotive manufacturing industry and deliver innovative autonomous vehicle (AV) solutions. The automotive supplier company—whose name is withheld for confidentiality—intends to integrate DriveMod Tuggers to automate the transfer of finished goods.

Cyngn's solutions continue to provide value within the sector, with this announcement building on the company's prior commercial contract with a separate, major manufacturer in the automotive service equipment space and a letter of intent that was signed in Q4. Additionally, Cyngn signed a recent contract to deploy DriveMod Tuggers with a major consumer packaged goods (CPG) company in January.

"The automotive industry is increasingly looking for technology that not only meets immediate needs—like high-demand, high-uptime requirements—but also adapts to market and economic shifts," said Marty Petraitis. "Our DriveMod Tugger, with a 12,000-pound towing capacity, is built to do both. We're excited to see our AV solution enhance efficiency and scalability, ensuring manufacturers remain competitive in an ever-changing market."

Factors such as recent tariffs and shifts in economic policies have underscored the critical need for automation in U.S. manufacturing. The implementation of tariffs on steel and aluminum imports aims to bolster domestic production but also poses challenges like increased material costs and potential inflation.  These developments highlight the importance of integrating advanced autonomous vehicle (AV) solutions, such as Cyngn's DriveMod Tugger, to enhance operational efficiency, reduce dependency on fluctuating labor markets, and maintain competitiveness in a dynamic global market.

The DriveMod Tugger features advanced AI technology combined with a comprehensive set of safety features, such as 360° visibility and collision avoidance, enabling smooth navigation in complex industrial environments. Powered by Cyngn Insight, the company's fleet management and analytics platform, users gain complete visibility into performance and control over fleets of DriveMod autonomous vehicles, driving enhanced coordination and operational efficiency. For more information on Cyngn's DriveMod Tuggers and other autonomous vehicle solutions, visit https://www.cyngn.com/vehicles/autonomous-tugger.

About Cyngn

Cyngn develops and deploys scalable, differentiated autonomous vehicle technology for industrial organizations. Cyngn's self-driving solutions allow existing workforces to increase productivity and efficiency. The Company addresses significant challenges facing industrial organizations today, such as labor shortages, costly safety incidents, and increased consumer demand for eCommerce.

Cyngn's DriveMod Kit can be installed on new industrial vehicles at end of line or via retrofit, empowering customers to seamlessly adopt self-driving technology into their operations without high upfront costs or the need to completely replace existing vehicle investments.

Cyngn's flagship product, its Enterprise Autonomy Suite, includes DriveMod (autonomous vehicle system), Cyngn Insight (customer-facing suite of AV fleet management, teleoperation, and analytics tools), and Cyngn Evolve (internal toolkit that enables Cyngn to leverage data from the field for artificial intelligence, simulation, and modeling). For all terms referenced within, please refer to the Company's annual report on Form 10-K with the SEC filed on March 6, 2025.

Where to find Cyngn:

• Website: https://cyngn.com
• X: https://x.com/cyngn
• LinkedIn: https://www.linkedin.com/company/cyngn
• YouTube: https://www.youtube.com/@cyngnhq

Investor Contact:
Donald Alvarez, CFO
investors@cyngn.com

Media Contact:
Luke Renner, Head of Marketing
media@cyngn.com

Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Any statement that is not historical in nature is a forward-looking statement and may be identified by the use of words and phrases such as "expects," "anticipates," "believes," "will," "will likely result," "will continue," "plans to," "potential," "promising," and similar expressions. These statements are based on management's current expectations and beliefs and are subject to a number of risks, uncertainties and assumptions that could cause actual results to differ materially from those described in the forward-looking statements, including the risk factors described from time to time in the Company's reports to the Securities and Exchange Commission (SEC), including, without limitation the risk factors discussed in the Company's annual report on Form 10-K filed with the SEC on March 6, 2025. Readers are cautioned that it is not possible to predict or identify all the risks, uncertainties and other factors that may affect future results. No forward-looking statement can be guaranteed, and actual results may differ materially from those projected. Cyngn undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise.

 

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SOURCE Cyngn

FAQ

What is the towing capacity of Cyngn's (CYN) DriveMod Tugger?

The DriveMod Tugger has a 12,000-pound towing capacity.

How many major contracts has Cyngn (CYN) secured recently for its DriveMod Tugger?

Cyngn has secured contracts with a Fortune 500 automotive supplier, an automotive service equipment manufacturer, and a major CPG company, along with a letter of intent signed in Q4.

What key safety features does Cyngn's (CYN) DriveMod Tugger include?

The DriveMod Tugger features 360° visibility, collision avoidance systems, and advanced AI technology for navigation in industrial environments.

How does Cyngn (CYN) manage its autonomous vehicle fleet operations?

Cyngn uses its Cyngn Insight platform for fleet management and analytics, providing complete visibility into performance and control over DriveMod autonomous vehicles.