icetana AI signs $3.6m SoftBank Robotics deal to distribute video analytics technology across Asia-Pacific

icetana AI (ASX: ICE) has signed a $3.6 million partnership with Singapore-based SoftBank Robotics to establish a platform for commercial growth, product innovation and regional expansion across the Asia-Pacific.

The companies have signed separate subscription, global partnership and distribution agreements for Japan, along with a $1.08m three-year product development program to integrate icetana AI’s video analytics platform with SoftBank’s automation and security solutions.

icetana AI’s technology enables real-time identification of anomalous events and unexpected behaviour in large-scale surveillance networks and is currently in use at more than 60 sites on five continents across a range of private, public and government sectors.

Commercial foothold

The SoftBank partnership represents an extension of icetana AI’s commercial foothold in the Japanese market with local technology solutions partner Macnica.

Macnica will remain a global distributor, substantial shareholder and strategic partner in collaboration with SoftBank and will continue to distribute icetana’s solutions in Japan.

icetana AI intends to leverage SoftBank’s established presence in Japan’s enterprise and public sector markets to drive adoption of new products.

Share placement

Under the terms of the new partnership, SoftBank will invest $1.87m in icetana AI in return for 93.6 million shares and a 17.6% equity position.

Issued shares will be priced at $0.02 each, representing a 33% premium to the 15-day volume-weighted average price of $0.015.

SoftBank will also become the exclusive distributor of icetana AI’s self-learning security AI software in Japan, with a guaranteed minimum purchase commitment over 12 months of approximately $693,000 on an annual recurring revenue basis.

Should total orders not reach the agreed amount, SoftBank will place a purchase order to make up the shortfall before the end of the period.

Product roadmap

icetana AI chief executive officer Kevin Brown said the strategic investment would help accelerate the company’s product development roadmap and support collaborative initiatives.

“Adding to our existing partnership with Macnica, this agreement with SoftBank represents a major step forward for icetana in Japan,” he said.

“SoftBank’s global leadership in AI and commercial scale in Japan create an ideal launchpad for our next phase of growth.”

“It will help accelerate our expansion into key markets and integrate our technology into some of the world’s most advanced security platforms.”

Cutting-edge video

SoftBank chief business officer Kent Yoshida welcomed the partnership.

“We are excited to collaborate with icetana to bring cutting-edge video intelligence to our customers,” he said.

“icetana’s technology is a natural extension of our AI innovation strategy and we look forward to driving growth together in Japan and beyond.”