ParaZero Secured $187,000 Purchase Order for Cutting-Edge Drone Safety Systems, Moving Closer to Mass-Production

Rhea-AI Summary

ParaZero Technologies (Nasdaq: PRZO) has secured a $187,000 purchase order from a U.S.-based Advanced Air Mobility company following the successful completion of a safety system customization project. The order includes preparations for serial production and initial system deliveries, marking a step toward potential mass production. The project focused on integrating safety solutions into manned aircraft designed for personal, private, military, and logistical applications. The aircraft combines vertical takeoff and landing (VTOL) capabilities with horizontal flight efficiency. According to GII Global Information, the electric VTOL air taxi market is projected to reach $6.22 billion by 2030.

Positive

• Secured new $187,000 purchase order
• Successfully completed customization project
• Moving towards potential mass production
• Expanding into growing eVTOL market projected to reach $6.22B by 2030

Negative

• None.

Insights

Aerospace Industry Analyst

This $187,000 purchase order represents a strategic milestone for ParaZero, marking the transition from customization to potential mass production. The deal's significance lies not in its immediate financial impact, which is modest given ParaZero's market cap, but in its validation of the company's technology and market positioning in the emerging AAM sector.

The project's progression from customization to serial production indicates strong product-market fit and positions ParaZero to capture a share of the projected $6.22 billion eVTOL market by 2030. The focus on safety systems for manned aircraft expands the company's addressable market beyond traditional drone applications, though scaling production capabilities will be important for capitalizing on future opportunities.

Tel Aviv, Israel, Nov. 07, 2024 (GLOBE NEWSWIRE) -- ParaZero Technologies Ltd. (Nasdaq: PRZO) (the “Company” or “ParaZero”), an aerospace company focused on safety systems for defense and commercial drones and urban air mobility aircraft, recently announced that it has received a $187,000 purchase order from a U.S.-based Advanced Air Mobility (AAM) company in the aerial vehicle industry. This order, which was initially announced in September 2024, followed the successful completion of the advanced drone safety system customization project that the Company previously announced and marks another milestone for ParaZero in the growing air mobility sector.

The purchase order included preparations for serial production, as well as the delivery of an initial batch of systems, signifying the initiation of potential future large-scale manufacturing and deployment of ParaZero’s cutting-edge drone safety solutions. This order also represents the final step in fulfilling the comprehensive project requirements for the client, who has been closely working with ParaZero to ensure the integration of ParaZero’s innovative drone safety technologies.

The order followed a customization project that focused on integrating an innovative safety solution into the customer’s manned aircrafts, which is designed for personal, private, military and logistical applications.

The manned aircraft represents a significant leap in next-generation air mobility, offering a versatile platform that combines vertical takeoff and landing (VTOL) capabilities with the efficiency of horizontal flight. It is engineered to meet a wide range of operational needs, from recreational use to complex missions in challenging environments.

According to GII Global Information, by 2030 the market for electric VTOL (eVTOL) air taxi market is expected to reach $6.22 billion. According to the same source, the adoption of eVTOL air taxis is driven by the demand for cleaner and more environmentally friendly transportation options. These aircraft, powered by electric propulsion systems, have the potential to significantly reduce emissions compared to conventional fossil fuel-powered aircraft.

About ParaZero Technologies

ParaZero (Nasdaq: PRZO) is a leading developer of autonomous parachute safety systems technologies for commercial and military platforms as well as for urban air mobility (UAM) aircraft. Started in 2014 by a passionate group of aviation professionals and drone industry veterans, ParaZero develope and manufacture smart, autonomous parachute safety systems designed to enable safe flight operations over populated areas and beyond-visual-line-of-sight (BVLOS) as well as for various military applications including Counter UAS. For more information about ParaZero, please visit https://parazero.com/

Forward- looking statements

This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act and other securities laws. Words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” and similar expressions or variations of such words are intended to identify forward-looking statements. For example, ParaZero is using forward-looking statements when it discusses the initiation of potential future large-scale manufacturing and deployment of ParaZero’s cutting-edge drone safety solutions and the expected growth of the eVTOL industry. Forward-looking statements are not historical facts, and are based upon management’s current expectations, beliefs and projections, many of which, by their nature, are inherently uncertain. Such expectations, beliefs and projections are expressed in good faith. However, there can be no assurance that management’s expectations, beliefs and projections will be achieved, and actual results may differ materially from what is expressed in or indicated by the forward-looking statements. Forward-looking statements are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in the forward-looking statements. For a more detailed description of the risks and uncertainties affecting the Company, reference is made to the Company’s reports filed from time to time with the Securities and Exchange Commission (“SEC”), including, but not limited to, the risks detailed in the Company’s annual report on From 20-F for the year ended December 31, 2023. Forward- looking statements speak only as of the date the statements are made. The Company assumes no obligation to update forward-looking statements to reflect actual results, subsequent events or circumstances, changes in assumptions or changes in other factors affecting forward-looking information except to the extent required by applicable securities laws. If the Company does update one or more forward-looking statements, no inference should be drawn that the Company will make additional updates with respect thereto or with respect to other forward-looking statements. References and links to websites have been provided as a convenience, and the information contained on such websites is not incorporated by reference into this press release. ParaZero is not responsible for the content of third-party websites.

Investor Relations Contact:

Michal Efraty
Investor Relations
michal@efraty.com

FAQ

What is the value of ParaZero's (PRZO) latest purchase order?

ParaZero (PRZO) received a $187,000 purchase order from a U.S.-based Advanced Air Mobility company in November 2024.

What type of aircraft will ParaZero's (PRZO) safety systems be used in?

ParaZero's safety systems will be integrated into manned aircraft with VTOL capabilities, designed for personal, private, military, and logistical applications.

What is the projected market size for eVTOL air taxis by 2030?

According to GII Global Information, the eVTOL air taxi market is expected to reach $6.22 billion by 2030.