Lantronix and Safe Pro Group Launch Partnership to Advance AI-Driven Edge Intelligence for Defense and Autonomous Systems

Rhea-AI Summary

Lantronix (Nasdaq: LTRX) announced an MOU and Master Services Agreement with Safe Pro Group to jointly develop Qualcomm-based embeddable compute solutions that integrate Safe Pro Object Threat Detection (SPOTD) AI for on-device detection of landmines and small threats in drones and unmanned systems. The work pairs SPOTD with Lantronix's Open-Q™ 5165RB System on Module (50mm x 29mm) using the Qualcomm Dragonwing QRB5165 SOC and Qualcomm AI Engine™, delivering up to 15 TOPS of on-device AI without cloud dependence. The partnership targets defense and commercial drone programs including integration with Red Cat Teal Black Widow quadcopters and distribution into the U.S. Army's ATAK via Lantronix secure gateways. The release cites a projected global drone market of $57.8 billion by 2030 and positions the collaboration as a multi-year growth opportunity for Lantronix in Edge AI for defense and autonomous systems.

Positive

• On-device AI integration with Safe Pro's SPOTD for landmine and small-threat detection
• Open-Q 5165RB SOM delivers up to 15 TOPS for edge AI workloads
• Targets U.S. Army-aligned platforms (Red Cat Teal Black Widow and ATAK integration)
• Positions Lantronix for a slice of a projected $57.8B global drone market by 2030

Negative

• None.

News Market Reaction

+8.50% 1.9x vol

44 alerts

+8.50% News Effect

+31.7% Peak in 22 hr 14 min

+$21M Valuation Impact

$271M Market Cap

1.9x Rel. Volume

On the day this news was published, LTRX gained 8.50%, reflecting a notable positive market reaction. Argus tracked a peak move of +31.7% during that session. Our momentum scanner triggered 44 alerts that day, indicating elevated trading interest and price volatility. This price movement added approximately $21M to the company's valuation, bringing the market cap to $271M at that time. Trading volume was above average at 1.9x the daily average, suggesting increased trading activity.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Global drone market: $57.8 billion Module dimensions: 50mm x 29mm Edge AI performance: 15 TOPS

3 metrics

Global drone market $57.8 billion Projected market size by 2030 from Drone Industry Insights report

Module dimensions 50mm x 29mm Physical size of Open-Q 5165RB System on Module

Edge AI performance 15 TOPS Power-efficient Edge AI computing capability of Open-Q 5165RB SOM

Market Reality Check

Price: $6.64 Vol: Volume 697,912 is close t...

normal vol

$6.64 Last Close

Volume Volume 697,912 is close to the 20-day average of 737,921 (relative volume 0.95x). normal

Technical Shares at $6.35 are trading above the 200-day MA of $4 and about 11.06% below the 52-week high.

Peers on Argus

Peer moves are mixed: AUDC up 2.86% while CRNT, INSG, BKTI, and SILC are down be...

Peer moves are mixed: AUDC up 2.86% while CRNT, INSG, BKTI, and SILC are down between 0.44% and , indicating this defense‑focused AI partnership is more stock‑specific than sector‑driven.

Historical Context

5 past events · Latest: Jan 08 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Jan 08	Investor conference	Positive	+6.5%	Participation in Needham Growth Conference and investor meetings with management team.
Jan 06	Product launch AI	Positive	-1.1%	Launch of SmartEdge.ai gateway and SmartSwitch.ai for real-time video analytics.
Jan 05	Drone platform preview	Positive	-0.2%	Preview of turnkey Drone Reference Platform for mission-critical UAV Edge AI.
Dec 11	Defense collaboration	Positive	+12.9%	Trillium Engineering selection of Lantronix Edge AI for gimbaled UAS imaging.
Dec 09	Edge AI launch	Positive	+1.7%	Announcement of new Edge AI solutions and CES 2026 launches for UAVs and robotics.

Pattern Detected

Recent AI and drone/defense announcements often show positive reactions, especially when tied to concrete defense collaborations, though some product unveilings saw mild negative or flat responses.

Recent Company History

Over the past few months, Lantronix has steadily highlighted its Edge AI push across surveillance, drones and defense. Events on Dec 9, 2025 and Jan 6, 2026 focused on new Edge AI platforms and surveillance ecosystems, while the Dec 11, 2025 Trillium collaboration expanded its role in military UAS imaging. A Jan 5, 2026 drone reference platform preview and a Jan 8, 2026 investor conference appearance kept attention on defense and AI. Today’s Safe Pro partnership continues this defense‑aligned Edge AI trajectory.

Market Pulse Summary

The stock moved +8.5% in the session following this news. A strong positive reaction aligns with Lan...

Analysis

The stock moved +8.5% in the session following this news. A strong positive reaction aligns with Lantronix’s recent pattern of favorable responses to defense and drone collaborations, such as the 12.86% move on the Trillium deal. The Safe Pro partnership again targets unmanned systems and real-time threat detection, in a drone market projected at $57.8B by 2030. Investors may weigh how sustained demand for Qualcomm-based edge modules and defense programs balances execution and customer concentration risks.

Key Terms

system-on-module, system on chip, edge ai, computer vision, +3 more

7 terms

system-on-module technical

"Open-Q™ System-on-Module (SOM) solutions. This integration will deliver..."

A system-on-module (SoM) is a compact, ready-made circuit board that bundles a processor, memory, power management and essential interfaces into a single plug-in unit — think of it as the engine and control system of an electronic product that you can drop into different designs. Investors care because using SoMs speeds product development, reduces engineering costs and supply-chain complexity, and shifts value toward the module supplier, all of which affect time-to-market, margins and business risk.

system on chip technical

"Based on the powerful Qualcomm® Dragonwing™ QRB5165 System on Chip (SOC)..."

A system on chip is a single silicon chip that packs the key parts of a computer—processing, graphics, memory control and communications—into one tiny, power-efficient package, like a whole kitchen built into one appliance. Investors care because these chips can cut device size, cost and power use while boosting performance, which affects product competitiveness, manufacturing margins and demand across smartphones, cars and other electronics, and therefore company revenue and profits.

edge ai technical

"compute and connectivity IoT solutions powering Edge AI applications, today announced..."

Edge AI refers to artificial intelligence systems that process data directly on local devices or nearby servers rather than sending information to distant data centers. This allows for faster decision-making and real-time responses, similar to how a home security camera can instantly detect motion without needing to connect to a remote server. For investors, edge AI represents a growing trend toward more efficient, responsive technology that can create new opportunities across various industries.

computer vision technical

"scale our proprietary computer vision technologies to meet the needs of defense..."

Computer vision is technology that gives machines the ability to 'see' and make sense of images or video, turning pixels into usable information like object counts, measurements, or activity patterns. For investors, it matters because it enables automation, cost reduction and new product features across industries—from quality checks on factory lines to retail analytics—so companies that adopt effective computer vision can boost efficiency, reduce labor needs and create competitive advantages.

android tactical assault kit technical

"integrating SPOTD outputs into the U.S. Army’s Android Tactical Assault Kit (ATAK) platform..."

A mobile software suite used on Android devices that gives field teams a shared, live map of friendly and tracked assets, messaging, mission planning and sensor feeds—think of a team GPS, whiteboard and radio combined on a tablet. Investors watch adoption and government or contractor purchases because wide use can mean steady software licensing, lucrative procurement contracts and ongoing support revenue for defense suppliers, while also tying a company's fortunes to defense budgets and regulation.

robot operating system 2.0 technical

"Ubuntu Linux® with support for Robot Operating System 2.0..."

A software platform that provides the basic tools and rules for building and running robots, updated to support commercial use, safety, and real-time performance. Think of it as an “operating system” for robots—like Android for phones—that makes different hardware and software work together, speeds development, and reduces engineering costs, so investors watch its adoption as a sign a robotics product can scale, interoperate, and reach customers faster.

tensorflow lite technical

"Container and accelerator APIs, including Docker, TensorFlow Lite, NNAPI and others..."

A lightweight software toolkit for running trained machine learning models directly on phones, tablets, and small devices, designed to use minimal memory and power. Think of it as a compact player that lets complex AI run locally instead of streaming to a remote server. For investors, this matters because it enables faster features, lower cloud costs, better privacy, and broader product reach—factors that can improve user experience and reduce operating expenses.

AI-generated analysis. Not financial advice.

Joint Development of Qualcomm-Based Edge Compute Solutions Delivers Real-Time, On-Device Threat Detection for Drones and Unmanned Systems (UAS) — Without Reliance on the Cloud

IRVINE, Calif., Jan. 27, 2026 (GLOBE NEWSWIRE) -- Lantronix Inc. (Nasdaq: LTRX), a global leader in compute and connectivity IoT solutions powering Edge AI applications, today announced a Memorandum of Understanding (MOU) and a Master Services Agreement (MSA) with Safe Pro Group Inc. (Nasdaq: SPAI) (“Safe Pro”), a developer of AI-enabled defense and security solutions. The agreements establish a scalable framework for the joint development, integration and commercialization of new embeddable chipsets that strengthen the emerging ecosystem of Qualcomm®-based drone and autonomous vehicle platforms.

“Lantronix is at the center of an expanding ecosystem in which payload, compute and connectivity come together to power the next generation of unmanned and autonomous systems,” said Saleel Awsare, president and CEO of Lantronix. “Our partnership with Safe Pro Group furthers this vision, bringing AI-enabled threat detection directly to the edge. Together, we are shaping the future of real-time intelligence where our technology becomes the trusted foundation for defense and autonomous platforms worldwide.”

Under the agreements, Lantronix will integrate the Safe Pro Object Threat Detection (SPOTD) AI algorithms and models with its Qualcomm-based Open-Q™ System-on-Module (SOM) solutions. This integration will deliver real-time, on-device detection of landmines and small threats without requiring reliance on cloud connectivity. This architecture improves latency and resilience and enhances mission-critical security, advancing the performance of next-generation unmanned systems.

“Lantronix is empowering real-time intelligence at the edge for a wide array of defense and commercial applications, creating immediate synergies for Safe Pro Group,” said Dan Erdberg, chairman of Safe Pro Group Inc. “We look forward to working with the Lantronix team and leveraging their proven experience in supporting critical defense contracts, such as Red Cat’s Teal drones, as we scale our proprietary computer vision technologies to meet the needs of defense users around the world.”

Lantronix and Safe Pro will collaborate on several defense and commercial drone programs, including Red Cat Holding’s Teal Black Widow™ quadcopters used by the U.S. Army’s Short-Range Reconnaissance (SRR) program (see press release here). The partnership further extends the ecosystem by integrating SPOTD outputs into the U.S. Army’s Android Tactical Assault Kit (ATAK) platform via Lantronix secure gateways, enabling scalable distribution of actionable intelligence across vehicles, command posts and soldier devices.

With the global drone market projected to reach $57.8 billion by 2030 (Drone Industry Insights’ 2025–2030 Global Drone Market Report), Lantronix’s presence in the secure defense and commercial drone segment creates multi-year, high-margin growth opportunities.

Lantronix Open-Q™ 5165RB System on Module

Based on the powerful Qualcomm® Dragonwing™ QRB5165 System on Chip (SOC), Lantronix’s Open-Q™ 5165RB System on Module (SOM) is an ultra-compact (50mm x 29mm), production-ready computing module. Coupled with the latest Wi-Fi® 6 connectivity, advanced camera features and high-speed interfaces, the 5165RB SOM is the ideal computing core for AI-enabled drones and UAVs, embedded vision platforms, face and object detection and recognition, autonomous systems and other power-efficient Edge AI computing solutions.

Product Highlights

• SOM with powerful specialized processing cores
• On-device Qualcomm AI Engine™ for machine vision, neural networks and deep learning
• Power-efficient Edge AI computing solution pushing 15 TOPS
• Ubuntu Linux® with support for Robot Operating System 2.0
• Container and accelerator APIs, including Docker, TensorFlow Lite, NNAPI and others
  
  

Investor Highlights

• Accelerates Lantronix’s Edge AI strategy within defense, security and autonomous systems markets
• Expands a high-value ecosystem of platforms standardizing on Lantronix compute modules
• Creates scalable revenue opportunities through AI compute modules and defense-grade deployments
• Builds on existing U.S. Army-aligned platforms, reducing commercialization risk and time to market
• Delivers differentiated on-device AI with real-time threat detection and no cloud dependency
  
  

About Lantronix 

Lantronix Inc. (Nasdaq: LTRX) is a global leader in Edge AI and Industrial IoT solutions, delivering intelligent computing, secure connectivity and remote management for mission-critical applications. Serving high-growth markets, including smart cities, enterprise IT and commercial and defense unmanned systems, Lantronix enables customers to optimize operations and accelerate digital transformation. Its comprehensive portfolio of hardware, software and services powers applications from secure video surveillance and intelligent utility infrastructure to resilient out-of-band network management. By bringing intelligence to the network edge, Lantronix helps organizations achieve efficiency, security and a competitive edge in today’s AI-driven world. For more information, visit the Lantronix website.

About Safe Pro Group Inc.

Safe Pro Group Inc. (NASDAQ: SPAI) is a mission-driven technology company delivering AI-enabled security and defense solutions. Through cutting-edge platforms like SPOTD, Safe Pro provides advanced situational awareness tools for defense, humanitarian, and homeland security applications globally. It is a leading provider of artificial intelligence (AI) solutions specializing in drone imagery processing, leveraging commercially available “off-the-shelf” drones with its proprietary machine learning and computer vision technology to enable rapid identification of explosives threats, providing a much safer and more efficient alternative to traditional human-based analysis methods. Built on a cloud-based ecosystem and powered by Amazon Web Services (AWS), Safe Pro Group’s scalable platform is targeting multiple markets that include commercial, government, law enforcement and humanitarian sectors where its Safe Pro AI software, Safe-Pro USA protective gear and Airborne Response drone-based services can work in synergy to deliver safety and operational efficiency. For more information on Safe Pro Group Inc., please visit https://safeprogroup.com/.

“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995: This news release contains forward-looking statements within the meaning of federal securities laws, including, without limitation, statements concerning growth expectations in the global drone market and Lantronix’s positioning to capitalize on opportunities for long-term, high-margin growth in the drone and defense technology markets. These forward-looking statements are based on our current expectations and are subject to substantial risks and uncertainties that could cause our actual results, future business, financial condition, or performance to differ materially from our historical results or those expressed or implied in any forward-looking statement contained in this news release. The potential risks and uncertainties include, but are not limited to, such factors as the effects of negative or worsening regional and worldwide economic conditions or market instability on our business, including effects on purchasing decisions by our customers; our ability to mitigate any disruption in our and our suppliers’ and vendors’ supply chains due to changes in U.S. or foreign government trade policies, including recently increased or future tariffs, a pandemic or other outbreaks, wars and recent conflicts in Europe, Asia and the Middle East, or other factors; future responses to and effects of public health crises; cybersecurity risks; changes in applicable U.S. and foreign government laws and regulations; our ability to successfully implement our acquisitions strategy or integrate acquired companies; difficulties and costs of protecting patents and other proprietary rights; the level of our indebtedness, our ability to service our indebtedness and the restrictions in our debt agreements; and any additional factors included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2025, filed with the Securities and Exchange Commission (the “SEC”) on Aug. 29, 2025, including in the section entitled “Risk Factors” in Item 1A of Part I of that report, as well as in our other public filings with the SEC. Additional risk factors may be identified from time to time in our future filings. In addition, actual results may differ as a result of additional risks and uncertainties about which we are currently unaware or which we do not currently view as material to our business. For these reasons, investors are cautioned not to place undue reliance on any forward-looking statements. The forward-looking statements we make speak only as of the date on which they are made. We expressly disclaim any intent or obligation to update any forward-looking statements after the date hereof to conform such statements to actual results or to changes in our opinions or expectations, except as required by applicable law or the rules of the Nasdaq Stock Market LLC. If we do update or correct any forward-looking statements, investors should not conclude that we will make additional updates or corrections.

©2026 Lantronix, Inc. All rights reserved. Lantronix is a registered trademark. Other trademarks and trade names are those of their respective owners.

Lantronix Media Contact:
media@lantronix.com 
949-212-0960 

Lantronix Analyst and Investor Contact:         
investors@lantronix.com

Media Relations for Safe Pro Group Inc.:
media@safeprogroup.com

Investor Relations for Safe Pro Group Inc.:
investors@safeprogroup.com

FAQ

What did Lantronix (LTRX) announce on January 27, 2026?

Lantronix announced an MOU and Master Services Agreement with Safe Pro Group to integrate SPOTD AI into Lantronix Open-Q 5165RB SOMs for on-device threat detection in drones and autonomous systems.

How will the Lantronix and Safe Pro partnership improve drone threat detection for LTRX?

By integrating SPOTD with Lantronix Open-Q 5165RB SOMs, the solution enables real-time, on-device detection of landmines and small threats without relying on cloud connectivity.

What are the technical specs of the Lantronix Open-Q 5165RB SOM mentioned in the LTRX release?

The Open-Q 5165RB SOM is a 50mm x 29mm module based on Qualcomm Dragonwing QRB5165 SOC, supporting Qualcomm AI Engine and up to 15 TOPS for edge AI workloads.

Which defense platforms will Lantronix (LTRX) target with the Safe Pro integration?

The collaboration targets programs including Red Cat's Teal Black Widow quadcopters and integration of SPOTD outputs into the U.S. Army's ATAK via Lantronix secure gateways.

What market opportunity did the Lantronix press release cite for LTRX?

The release cited a projected global drone market of $57.8 billion by 2030 as a multi-year growth backdrop for Lantronix's Edge AI strategy.