Rekor Expands Westward with Major Contracts in Texas, Ohio, and Colorado for Traffic Data Collection and Reporting

Rhea-AI Summary

Rekor Systems (NASDAQ:REKR) has secured contracts worth up to $15 million with transportation departments in Texas, Ohio, and Colorado for comprehensive traffic studies. These multi-year agreements mark Rekor's westward expansion across the United States and highlight the growing adoption of its AI-based traffic services.

The contracts include:

• Management and AI transition of traffic data collection sites for Texas Department of Transportation
• Similar services for Ohio Department of Transportation
• Deployment of Edge Series systems and Rekor Discover™ platform for Pitkin County, Colorado

Rekor's technology provides highly accurate vehicle classifications, counts, speed data, and air quality insights, important for roadway planning, maintenance, and sustainability.

Positive

• Secured contracts worth up to $15 million with transportation departments in Texas, Ohio, and Colorado
• Expansion into new geographical markets (Texas, Ohio, Colorado)
• Multi-year agreements, indicating long-term revenue potential
• Growing adoption of Rekor's AI-based traffic services by state and local transportation agencies
• Addition of significant new miles of roadways and bridges under management, scaling operations

Negative

• None.

Insights

Financial Analyst

Rekor's latest contracts mark a significant milestone in the company's expansion strategy. The combined value of up to $15 million over multiple years provides a substantial revenue boost and enhances the company's market position. This westward expansion into Texas, Ohio and Colorado diversifies Rekor's geographical footprint, potentially reducing regional business risks.

The contracts with state-level transportation departments in Texas and Ohio, along with a county-level agreement in Colorado, demonstrate scalability in Rekor's business model. This could lead to improved economies of scale and potentially higher profit margins. Investors should monitor how efficiently Rekor manages this expansion, as rapid growth can sometimes strain operational capabilities.

Tech Expert

Rekor's AI-driven traffic monitoring solutions represent a technological leap in the transportation infrastructure sector. The transition of existing traffic data collection sites to AI-powered systems in Texas and Ohio showcases the growing adoption of advanced technologies in traditionally slower-moving government sectors.

The Rekor Discover™ platform's ability to provide comprehensive vehicle analytics, including classification, counting and speed detection, positions the company at the forefront of smart city initiatives. The integration of air quality studies further demonstrates the versatility of Rekor's technology stack. This multifaceted approach could open doors to additional revenue streams and partnerships in environmental monitoring and urban planning sectors.

Market Research Analyst

Rekor's expansion westward signifies a strategic market penetration into new territories. With over 30,000 existing data collection sites, this move substantially increases the company's data gathering capabilities and market reach. The diverse nature of the new contracts - spanning state-wide agreements to county-level implementations - demonstrates Rekor's ability to tailor its offerings to various market segments.

The company's focus on AI-driven solutions aligns with the growing trend of smart infrastructure investments. As cities and states increasingly prioritize data-driven decision-making in transportation planning, Rekor is well-positioned to capitalize on this market shift. However, investors should be aware of potential competition from other tech companies entering this space and monitor Rekor's ability to maintain its technological edge.

Up to $15 Million In Combined Multi-Year Contracts for Traffic Data and Air Quality Studies

COLUMBIA, MD / ACCESSWIRE / August 12, 2024 / Rekor Systems, Inc. (NASDAQ:REKR), a leader in developing and implementing state-of-the-art roadway intelligence technology, today announced that it has secured significant contracts with the Texas Department of Transportation (TxDOT), the Ohio Department of Transportation (OhioDOT), and Pitkin County, Colorado for comprehensive traffic studies. These multi-year agreements, valued at up to $15 million, signal Rekor's continued westward expansion across the United States and underscores the growing adoption by state and local transportation agencies of Rekor's traffic services, including AI-based vehicle classification, vehicle counting, and speed detection (CCS), as well as air quality studies using the CCS and Vehicle Insite applications within Rekor Discover™.

Rekor has decades of roadside experience and expertise in conducting comprehensive traffic studies for state Departments of Transportation and commercial entities. With over 30,000 data collection sites and hundreds of thousands of miles of roadways already under management, Rekor blends advanced AI-driven technology with traditional traffic monitoring technologies to deliver comprehensive and reliable traffic data and studies. The Company's existing customer base consists predominantly of transportation agencies for states, cities, counties, and municipalities, primarily in the Southeast. Rekor now holds statewide contracts in Texas and Ohio and a countywide contract for Pitkin County, Colorado. The Company's westward expansion adds significant new miles of roadways and bridges, further scaling operations and enhancing traffic data collection capabilities in these regions.

Key highlights of the expansion include:

• Texas Department of Transportation (TxDOT): Management, installation, repair, and transition of existing permanent traffic data collection sites to AI across Texas with the Rekor Discover™ platform. Rekor's work will continue to support TxDOT's dedication to connecting communities, enhancing the quality of life for Texans, and fostering economic development through transportation infrastructure.

• Ohio Department of Transportation (OhioDOT): Management, installation, repair, and transition of existing permanent traffic data collection sites to AI across Ohio with the Rekor Discover™ platform. Managing these sites is critical in OhioDOT's mission to provide safe and easy movement of people and goods from place to place, improving the quality of life for Ohio residents.

• Pitkin County Office of Public Works, Colorado: Pitkin County's transportation network includes the city of Aspen, serving residents and the millions of tourists visiting the area and traveling the region's roadways each year. Rekor's non-intrusive Edge Series systems and the groundbreaking traffic analytics platform, Rekor Discover™, were chosen by Pitkin County for deployment across the county. With the deployment of Rekor's technology, Pitkin County will receive highly accurate and automated vehicle classifications, counts, and speed, in addition to air quality and other roadway insights. These key insights are critical for Pitkin County to understand in its pursuit of better roadway planning, maintenance, and sustainability.

"We are excited to welcome TxDOT, OhioDOT, and Colorado's Pitkin County as new customers in our westward expansion across the US," said David Desharnais, President and CEO of Rekor. "These multi-year contracts underscore Rekor's position as the leader in roadway intelligence and provide another example of the progression of what we believe is an era of massive technology refresh for the industry. We appreciate the deep trust that transportation agencies have placed in us. Our AI-driven traffic monitoring solutions offer advanced, comprehensive, and precise vehicle and roadway analytics, ensuring these agencies are well-equipped to meet the ever-growing transportation challenges of today and the future."

About Rekor Systems, Inc.

Rekor Systems, Inc. (NASDAQ:REKR) is a leader in developing and implementing state-of-the-art roadway intelligence systems using AI-enabled computer vision and machine learning. As a pioneer in the implementation of digital infrastructure, Rekor is collecting, connecting, and organizing the world's mobility data - laying the foundation for a digitally-enabled operating system for the roadway. With our Rekor One® Roadway Intelligence Engine at the core of our technology, we aggregate and transform trillions of data points into intelligence through proprietary computer vision, machine learning, and big data analytics that power our platforms and applications. Our solutions provide actionable insights that give governments and businesses a comprehensive picture of roadways while providing a collaborative environment that drives the world to be safer, greener, and more efficient. To learn more, please visit our website: https://rekor.ai, and follow Rekor on social media on LinkedIn, X (formerly Twitter), Threads, and Facebook.

Forward-Looking Statements

This press release and its links and attachments contain statements concerning Rekor Systems, Inc. and its future expectations, plans, and prospects that constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements regarding the impact of Rekor's core suite of AI-powered technology and the size and shape of the global market for the Company's products and services. Such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. For this purpose, any statements that are not statements of historical fact may be deemed to be forward-looking statements. In some cases, you can identify forward-looking statements by terms such as "may," "should," "expects," "plans," "anticipates," "could," "intends," "target," "projects," "contemplates," "believes," "estimates," "predicts," "potential," or "continue," by the negative of these terms or by other similar expressions. You are cautioned that such statements are subject to many risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risk that actual circumstances, events or results may differ materially from those projected in the forward-looking statements, particularly as a result of various risks and other factors identified in our filings with the Securities and Exchange Commission. All forward-looking statements contained in this press release speak only as of the date on which they were made and are based on management's assumptions and estimates as of such date. We do not undertake any obligation to publicly update any forward-looking statements, whether as a result of the receipt of new information, the occurrence of future events, or otherwise.

Media & Investor Relations Contact:

Rekor Systems, Inc.
Charles Degliomini
ir@rekor.ai

SOURCE: Rekor Systems, Inc.

View the original press release on accesswire.com

FAQ

What is the total value of Rekor's new contracts in Texas, Ohio, and Colorado?

Rekor Systems has secured contracts valued at up to $15 million with transportation departments in Texas, Ohio, and Colorado for comprehensive traffic studies.

What services will Rekor (REKR) provide under these new contracts?

Rekor will provide AI-based vehicle classification, counting, and speed detection (CCS) services, as well as air quality studies using the CCS and Vehicle Insite applications within the Rekor Discover™ platform.

How do these contracts impact Rekor's (REKR) geographical expansion?

These contracts mark Rekor's westward expansion across the United States, adding Texas, Ohio, and Colorado to their existing customer base, which was primarily in the Southeast.

What specific technology will Rekor (REKR) deploy in Pitkin County, Colorado?

Rekor will deploy its non-intrusive Edge Series systems and the Rekor Discover™ traffic analytics platform in Pitkin County, Colorado.