NS1 launches first new product under its defence strategy
Our defence tech Investment Nodestream (ASX: NS1) just launched Missions, its first new product since its pivot to defence.
We are Invested in NS1 as we think NS1 can turn around its business off the back of its pivot into defence.
NS1's tech securely streams video, voice and data in real time over almost any network, even congested or degraded satellite and cellular links, using minimal bandwidth.
NS1’s tech is network and device agnostic - which is important given Starshield (the military version of Starlink) recently went down in the Ukraine - more on that later.
NS1’s new product “Missions” goes live this weekend, pulling live video, audio and data from devices in the field into one central, browser-based workspace, being much more user friendly for a team or group.
So instead of many single point-to-point connections being set up and managed individually, NS1 can now pull a whole team together, wherever they are, working off the same live picture.
(source)
The key features NS1 highlighted today:
- Unified workspace - live field feeds plus browser video and audio collaboration in one place
- Shared operational picture - so that remote specialists can contribute to decisions, not just observe
- Unified distribution - one-to-one and one-to-many feeds combined in a single workflow
- Enhanced platform - regional streaming, security upgrades and improved device management
This is the first product delivered under "Plan Consilience", the defence-focused strategy NS1 set back in June this year.
Missions is being sold as a tiered subscription, unlimited users on every plan, with an enterprise sales pathway for defence and government customers.
We like this model as it may allow NS1 to drop the price to get its tech in front of more users (never easy in this space, the most difficult part is getting the trust and approvals and then a sale).
And to then collect the sustained, recurring revenue once users see the use case (there is no revenue from Missions yet, that is the next step).
Could NS1’s tech have helped last week when Starshield - Ukraine’s key comms network went down?
Starshield is the military version of SpaceX’s Starlink satellite communication system, a global network of satellites able to provide data communications as good, if not better, than a mobile phone network.
It has been critical for Ukraine because the war they are fighting is reliant on data and communication links for attack and defence, think of how drones are being utilised.
A week ago, Ukraine had its access to Starshield restricted, which is one of the key items that is allowing it to put up and maintain its defence, with Musk copping the early blame from Ukraine and the media.
It has since been revealed that it wasn’t Musk acting on his own accord in restricting Starshield which the Ukrainian defence effort relies on.
The order looks to have come from within the White House (perhaps related to Ukraine's attacks on Russian oil and data assets):
(source)
Seeing a communication system that has been relied on become restricted (with no warning or equivalent alternative to use) is putting pressure on other nations and regions to come up with its own communication solutions.
Because clearly, relying on a single system/network from a foreign country is a massive risk, even if they are a supposed ally:
(source)
But these aren’t going to come online any time soon, so for the time being, communication on the battlefield remains a massive risk, especially in Ukraine.
Even more so, if someone on the other side of the world just decided that your main communication source will be restricted out of nowhere.
As a result Ukraine has partnered with Nokia just a few hours ago (through a Letter of Intent) to look into setting up access to its own satellite capabilities:
(source)
So perhaps NS1’s tech could be of use in situations like this, where it is able to get the messages through using any available link, even if it is something temporary and not 100% perfect.
It doesn’t need a perfect, crystal clear connection to achieve this, just a form of link with some data flowing along it.
So in the meantime while Europe is scrambling and Ukraine is copping issues from the US, NS1’s tech could be of use on either existing communication channels or something set up in the future, even if that wasn't permanent.
Three months ago we covered NS1 in a deeper dive (Note: NS1’s ticker code was formerly HTG):
More on how NS1's tech works
NS1’s Nodestream tech keeps mission-critical video, voice and data flowing over the thinnest, most degraded or jammed comms link.
It uses around 90% less bandwidth and works across satellite, cellular or radio (or any combination), whatever it takes to get a message through.
(source)
That is a problem that's becoming more important on a battlefield dominated by unmanned drones, robots and vehicles.
All of which the enemy is trying to scramble and cut connectivity to.
NS1’s tech is already commercially proven with a TRL 9 rating - the US Department of Defence's highest "deployed and proven in operations" readiness level - backed by >500,000 operational hours of commercial use.
NS1 is now pivoting its proven technology into the defence market, aiming to convert trials, tests and early orders into materially larger paid contracts.
(source)
We are Invested to see NS1 pivot its commercially tried, tested and revenue generating “communications link resilience” tech to sell into the defence space.
What we want to see next from NS1?
🔄 Land a major US or NATO defence contract
- ✅ CEO hire (done - Veronica Bainton appointed)
- 🔄 CFO hire
- 🔄 Convert the existing NATO defence-force trial into a paid contract
- 🔲 Sign a follow-on order with the existing Five-Eyes customer at a materially larger size
- 🔲 Contract with US defence contractors
- 🔲 Contract with EU defence contractors
🔄 Brave1 accreditation & Ukraine live deployment
- 🔄 Secure Brave1 accreditation
- 🔄 (NEW - via recent Ukraine MOU) Establish a direct Ukrainian testing partnership (source)
- 🔄 Convert the MOU into a binding agreement (with export approvals in place)
- 🔲 Deploy NS1's tech into a live Ukrainian defence-tech use case
- 🔲 Publish independent benchmarking results from Brave1 testing
Every box ticked here is match footage for the scouts in NATO and AUKUS procurement.
