artificial intelligence technology solutions, inc.
DETROIT, Mich., Jan. 31, 2023 (GLOBE NEWSWIRE) — Artificial Intelligence Technology Solutions Company, (“the Company”) (OTCPK: AITX), the global leader in AI-based security and productivity solutions for enterprise customers, together with its wholly owned subsidiary, Robotic Assistance Devices, Inc. (RAD), today announced that RAD will implement price changes across four effective solution offerings beginning in the company’s next fiscal year, March 1, 2023. Price increases range from 18% to 29% for three solutions. Moreover, one of the solutions will have a price drop of 17%.
The company notes that in most cases, the final price of RAD products is determined by its network of more than 50 dealers, and it is ultimately the responsibility of those dealers to apply and pass on any price increases to customers.
The main reason for these price increases is to ensure value pricing in the market. In other words, with these slightly increased pricing, we feel we still have massive cost advantages over manned escort and traditional electronics solutions, and we want to be sure to collect the right amount of revenue for us,” said Mark Follmer, President, RAD.” Market sensitivity to a slight increase in our pricing, and we expect a positive impact on revenue in the next fiscal year as a result of higher prices and increased sales deployment.”
“These price increases help us meet previously announced gross revenue targets for FY24 as well as give us the flexibility to manage inflationary pressures without deviating significantly from our target return on capital and gross margins,” said Steve Reinharz, CEO of AITX and RAD. . “Our sales team has shared over the past several months that the price increase will have little impact on sales, and I’m glad we’ve thoroughly evaluated the idea and now implemented it.”
The company indicated that the construction cost of ROAMEO v3 is expected to be half of ROAMEO v2. Moreover, ROSA 3.2 should achieve cost savings of about 40% compared to ROSA 3.0.
“It’s worth noting that as production scales increase, we expect more cost efficiencies,” Reinharz stated. “Our approach remains focused on generating positive cash flow while balancing necessary investments in research and development.”
AITX through its subsidiary, Robotic assistive devices(RAD), is redefining the $25 billion (US) security & janitorial services industry through its wide range of innovative AI-driven Solutions-as-a-Service business model. RAD solutions are specifically designed to provide business cost savings of 35%-80% compared to the current costly manned security and surveillance model in the industry. RAD provides this massive cost savings across a range of fixed and mobile robotic solutions that complement and, at times, replace the need for personnel working in environments better suited to machines. All RAD technologies, AI-based analytics, and software platforms are developed in-house.
RAD has a potential sales pipeline to over 35 Fortune 500 companies and many other client opportunities. RAD expects to continue to attract new business as it converts its existing sales opportunities into established customers that generate a recurring revenue stream. Every Fortune 500 customer has the potential to make many reorders over time.
Cautionary Disclosure About Forward-Looking Statements
The information in this publication does not constitute an offer to sell or a solicitation of an offer to buy securities of Artificial Intelligence Technology Solutions, Inc. (“the Company”). This publication contains forward-looking statements, which are not guarantees of future performance and may involve subjective judgment and analysis. The information provided herein is believed to be accurate and reliable, but the Company makes no representations or warranties, express or implied, as to its accuracy or completeness. The Company is under no obligation to provide the recipient with updated additional information. The reference to the $25 billion (United States of America) security services industry as described above is not of predictive value with respect to our future results of operations. No information contained in this publication should be construed as any indication whatsoever of the Company’s future revenue, results of operations, or share price.
About Artificial Intelligence Technology Solutions (AITX)
AITX is an innovator in providing AI-based solutions that enable organizations to gain new insights, solve complex challenges and nurture new business ideas. With its next-generation robotic product offerings, AITX’s RAD, RAD-M, and RAD-G companies help organizations streamline operations, increase return on investment, and boost business. AITX technology improves the simplicity and economy of patrol and guard services and allows experienced personnel to focus on more strategic tasks. Clients increase the capabilities of existing employees and gain higher levels of situational awareness, all at a dramatically reduced cost. AITX solutions are well suited for use in multiple industries such as enterprise, government, transportation, critical infrastructure, education, and healthcare. To find out more, visit www.aitx.aiAnd www.stevereinharz.comAnd www.radsecurity.comAnd www.radgroup.aiAnd www.radlightmyway.comor follow Steve Reinharz on Twitter @employee.