We are well past due for an update on the latest happenings at Mav6. Rest assured that we have been working diligently to try to make sense out of what is perhaps the most stark defense innovation environment since the draw-down of the early 1990′s. Much to our disappointment, the prevailing wisdom seems to have shifted in the direction of “spend less” often to the exclusion of “spend smarter,” which is to say that defense innovation programs are really taking it in the shorts these days.
So, where does that leave a company like Mav6? How does a defense technology firm built around the innovation imperative survive the precipitous decline in the defense innovation market? Just like every other company in the defense space, we have aggressively redefined our cost structure to accommodate the new fiscal realities. When strategically beneficial, we have spun-off lines of business like mobile and Modeling and Simulation (M&S), creating an opportunity for lean new companies to emerge and thrive. One such company, Kopis Mobile, is redefining mobile computation for edgefighters by offering a portfolio of tools for enhanced situational awareness. Kopis recently completed a successful fundraising round and is seeing significant customer interest in its new tactical motion video management platform.
In addition to the above, Mav6 has retained certain consulting engagements focused on our core expertise in defense systems, emerging threats, and biometrics and, with the aforementioned divestures, has successfully structured our rates to compete on a more competitive cost basis. One of the unfortunate realities of the broader Federal budget uncertainty over the past two years is a dramatic slowing of the contracting sales cycle. We have bid a number of very exciting opportunities over the past twelve months that, once awarded, will really jump start our consulting practice.
Saving perhaps the best for last, we have been investing over the past year in an exciting new dual-use technology called Flux that allows users to virtually publish all kinds of digital content to specific scenes, surfaces, and objects. Flux is a new kind of hyper-locative augmented reality technology that overcomes the limitations of GPS relative to the precise geo-registration of digital content. We initially developed the technology in response to the need for enhanced real-time image processing techniques to “stitch” content derived from many different sources into composite views of the world. In the wake of the Boston Marathon bombing, we saw private citizens pool their photos in an effort to reconstruct the scene and provide clues to authorities. With Flux, we make it possible to automate this crowdsourcing behavior by combining images captured from different sources, at different locations, and from different viewing angles to create persistent, composite views. Users can then play this content back like a movie to reveal the memory of a place. Pretty exciting stuff.
Given the current uncertainties in the defense market, Flux also represents a meaningful opportunity for Mav6 to diversify outside of our traditional revenue base. In partnership with a Canadian-based product design firm, Normative, Inc., we have launched a company called SMLR to explore commercial and consumer applications of the Flux technology. Whereas Mav6 continues to own the exclusive rights to Flux for defense and public safety applications, we are excited to partner with Normative to capitalize on the significant consumer potential of the product. Be sure to register on the SMLR website if you’re interested in participating in the Flux Beta program. We’d love to have your feedback.
Make no mistake, it’s a tough market out there for defense companies, but we are investing wisely and working diligently to make sure that Mav6 is positioned for continued success in the future!