In light of the major advantages that Palladyne AI’s (PDYN) core, AI-based technology for machines seems to have over widely used AI systems, along with the significant progress that the company has made when it comes to building its business, the firm’s long-term outlook appears to be very bright.
PDYN’s Major Advantages Over Competing Systems
According to the company, its AI/Machine Learning software, Palladyne IQ, is “intended to make robots smarter so that they can perform jobs that have historically been too complex to automate. “In order to accomplish this goal, it allows “systems to quickly observe, learn, reason and act in structured, unstructured and dynamic environments. “
Unlike existing systems, Palladyne IQ does not need to be fed huge amounts of data before it can function, and it does not have to be connected to the cloud. As a result, the software is reportedly significantly cheaper and easier to launch and operate than widely used systems.
That’s because gathering large amounts of data is very expensive, while staying connected to the cloud results in high electricity and computing costs, while creating latency issues and “communication challenges,” PDYN explained.
Additionally, Palladyne IQ “enables adaptability to dynamic changes in environment or defined task without human intervention or reprogramming,” while in some cases it allows machines to learn faster than current hardware that utilizes top-notch AI systems.
The Progress of Palladyne’s Business
As I noted in a prior column, last October the company reported that it had completed the first phase of its contract with the Air Force. Under the deal, an Air Force base is using Palladyne IQ “for use in remediation activities including media blasting for complex aircraft components.” And impressively, an Air Force representative called the software “a transformational technology” and reported that it had “successfully shown the ability to autonomously prepare contoured surfaces using sanding and media blasting techniques and has delivered high-value to our repair and maintenance operations in a short amount of time.”
Also indicating that the Air Force is pleased with the software, in January, Palladyne was awarded a new deal by the Air Force Research Laboratory to move its Palladyne Pilot AI software platform to “U.S. made computing chipsets.” (AA
Although Palladyne IQ and Palladyne Pilot AI are separate products (the latter system is specifically made to be deployed in mobile robotic systems), the fact that the Air Force was willing to sign a new agreement with PDYN suggests that the military branch’s test of Palladyne IQ was indeed successful.
Also importantly, the company has already launched a commercial version of Palladyne IQ “for industrial robots,” and it expects potential customers to start trying out the software by the end of June.
In October, drones, using Palladyne Pilot AI software, “autonomously collaborated to identify, prioritize, and track objects of interest on the ground.” And in December, the firm reported that its software, for the first time in history, had enabled a small drone “to identify and prioritize terrestrial targets of interest and then interface with the drone’s autopilot software to follow the prioritized target autonomously.”
Palladyne had previously reported that it was going to “commercially release” the initial version of Palladyne Pilot AI last quarter. I haven’t seen any indication that such an event has taken place, but it’s not unusual for tech companies to miss the target dates for milestones and then achieve them several weeks or several months later.
The Bottom Line on PDYN
Given the major advantages that Palladyne’s AI software reportedly has over competing products, along with the Air Force’s apparent validation of its offering, it appears that PDYN and its stock should perform very well over the longer term.
*This article is intended to be informational only; it is not financial advice.
