Q2 2021 Innoviz Technologies Ltd Earnings Call
Good morning, and welcome to <unk> second quarter of 2021 earnings conference call.
Joining us today are all murky loss interface, Chief Executive Officer, and Eldar Sigla interface Chief Financial Officer.
Following their formal remarks, we will open the call for your questions I would like to remind everyone that this call is being recorded and will be available on the Investor Relations section of our website at IR Dot interface Dot tech the.
Before we begin we would like to remind you that our discussions today will include forward looking statements that are subject to risks and uncertainties relating to future events and the future financial performance Safina fees.
Actual results could differ materially from those anticipated in the forward looking statements.
Forward looking statements made today speak only to our expectations as of today and we undertake no obligation to publicly update or revise them for a discussion of some of the important risk factors that could cause actual results to differ materially from any for.
We're looking statements. Please see the risk factors section of our form 20-F filed with the FCC on April 21st Twenty-twenty I will now turn the call over to Omer. Please go ahead.
Okay, Hi, Thank you Omar Thank you very much.
So today, we want to make another exciting demo for you.
Last time, we did it from a garage of them. This summer we're going to do this on the highway as you can see here.
You can see it of is this is the ROE number six it's the.
For the longest highway.
In Israel because the.
Our car here and you can see all of a lidar come check it out.
You can see here.
We position the old either on the front of the car.
And we have of camera is rare for them.
So you can see what it is looking at.
Okay. So let's let's go.
Let's go back.
And hope of it.
Okay.
Okay.
So <unk>.
Basically the demo that I'm going to show you now is for a lidar on highway and our computer vision, which is running on this platform, which you can see here.
Everything that the Wii.
Iran is under a very small of chip, it's actually a very low cost chip, which is the automotive grade.
And now, let's let's go into the car in the five okay. So let's go into the car sorry about this tech.
The minute to go inside.
Sure.
With us.
Okay.
Okay.
Alright.
Yeah.
Yeah.
Okay.
So we will go out to the highway.
Okay.
Okay. So whats youre looking at the.
The one this is our first generation of the hotel.
That's it thanks all of you.
Okay.
I showed you a second ago.
And now we're going to turn on the.
The computer vision.
Yeah.
Okay, So what youre seeing.
For the prototypes for yourself.
<unk>.
Index to the embedded in our platform.
For the production.
And the very unique.
Okay.
We have.
In the developing good for us.
The year.
It'll be the collecting.
We will complete now.
Yeah.
Yes.
The patients.
Jim detection.
For Codexis.
You can see here debt.
At the very high resolution.
Very high right now.
It is important because whenever you're whatever you want to get the depression.
All of them.
The U.
You will.
Our performance in the moving parts for them in a moving vehicle because I've seen.
And as demos of Lidar.
And especially in the area.
Uh huh.
And you're unable to really know.
The reason right.
Sort of resolution.
Reported.
This is from driving.
What's your speed. Thank you.
100 Congress at the site.
Alright.
[laughter] okay.
This is obviously for it.
Brad.
That's the case.
It says.
I'm guessing the Krishna.
Good day.
So this is what we do on the day to day basis.
No other light or the.
The connection.
This performance.
The Lucerne right.
Range, we're very proud of.
Its day.
A few months now.
Okay.
Great Okay.
Thank you.
Moving next move to the earnings call presentation to the cause.
Uh huh.
The number of cool with that.
So the.
This summer.
Yeah.
The call.
Okay.
So okay now we can go to the more formal way to do it.
Earnings call.
As you can see we tend to try to do things a bit differently, because I think it's about the full nature can be slightly more.
Okay.
Before going into the quarterly.
Uh huh.
Wanted to do.
The win.
Uh huh.
As you know.
For patients.
The big.
As the big bulk of our lives.
And yet.
It is still the biggest.
One of the biggest breadth that we have on our day to day.
Due to our net.
Whether we drive our notes.
And.
This is definitely it doesn't need to.
There should be no reason in the world by the way.
The technology will not focus from and this is why it is.
Very good.
So the better.
That will bring.
Bring safety Russell.
Every year one.
One 3 million people dying on the road.
Now for the 50 million of retail.
Sure.
For the share with you on my first of all of Us.
When I was 10 years old.
Unlike my.
My family got the.
Phone call from the hospital setting that my older sister Philistine Jobin the colleagues for them.
The change the life My family has changed my life.
My my sister of few years to go back on perhaps you can find out.
And as you can imagine.
The next we understand very clearly why.
This problem has to be so.
It could be sold.
80% to 90% of.
All the accident due to human.
Hello.
94% of all.
The fatal.
The accident.
The two <unk>.
Manuel.
So we need to remove the yamana and it's possible.
Just need to develop the right technology.
My background is units of one some of you might not know.
On the it's a very prestigious technology units.
Both developing very unique technologies.
Our slogan and are still it is about talent passion and commitment can make the impossible possible.
That's why I believe revenue.
Our engineers that come from there we started the joining of this because the pill.
Fashion.
The impact of this industry.
Years ago, when I started in the ways I was told many times.
Brian for sourcing.
Possible, which is exactly what I was.
I was looking to bring the right solution of the connectivity.
Nick and after the impact.
And it might believe debt.
If the sales and problem.
Important to know there.
There should be no reason to assume.
From that it's impossible to solve it.
No base for that.
That is developing a very unique technology.
Our iron solid state Lidar, which is targeted for low cost.
It is developed in order to allow car makers for accelerating the adoption of lifesaving technologies and that's why that's what we're doing.
Developing impossible of closings impossible of problems is not easy.
It's not the only about.
The excitement of autonomous driving the Trulia.
For the very hard work that my team is doing during the night.
To make it happen and I'm very proud of my team that is commitment committed to make it happen.
Now.
Want to go into the quarterly updates.
I will start with the technology development.
We have in of is one which we have gone through several design cycles and it's on the verge to which the how.
And that will allow us to reach high volume production the currency.
Two production lines that the active one is in Germany.
One of the U S.
That will support the indices.
One the manufacturing in all of this.
One.
Is the.
Evolution of one.
It's a new version.
The allows us to improve the performance of the product by extending the range.
Doubling the solution.
And that serve more and more customers debt leverage on a very mature platform.
Also.
The hedge.
On the existing production lines the 10.
The benefits that come rich to production.
The store is making great progress, we are making our plants of already.
Center of the salaries of production without waiting for the last components of harvest should arrive in for Bill and that will allow us to do the integration.
For example.
It's a revolutionary product that will have a substantial improvement in performance above sales of time.
And 70% cost reduction.
That will definitely accelerate the adoption of the technology for many spaces.
I'm happy to share with you of some of the feedback from these are just a few of some of the comments that we got from customers that are using our.
For the.
It is very encouraging.
I would say we are affirming our image.
We've been working for many years the mix is available.
It's great to see debt, our product is creating a good and strong value for our customers.
And we will continue to.
Develop new technologies.
All of us.
Hum.
Okay.
We have few cars, we have several of the cause of all around the world and growing in order to collect more data and we collect data in three continents.
This data is helping us to strengthen our computer vision.
I'm showing you here two videos that can help in understanding of how it how is the.
Works.
So when we go out and collect the raw data.
EBITDA installed and we use it in order to build the catalog of objects, whether it's trucks cars and pedestrians we do.
And it's everything through our computer vision.
Jason and we use manual.
In addition in order to make it more accurate and we have over 1 million verified object the thought.
In order to give us the growth through for our perception in.
In parallel to this we.
Simulation tools that help us to again strengthen our computer vision by half of an endless of objects and testing edge case, that's faces and.
The specifics in for.
Youre looking at is of simulation of the stool, which is non production and it allows us already to make for good.
Now going to the commercial so we announced a few partnership and distribute new of distributors.
Well the the the last few months and I'm happy to share more color on debt.
We have new partners in different countries the.
All of them are going to help us to generate more sales and then get the product more mature and of course.
Yes.
In different countries that are new to us.
We have a new partner in China of course, south of bold whale the Nymex.
Well the name of developing.
We'll stock levels for <unk>.
The platform and have decided to use the <unk> one is the primary sense, though in China corn AI.
Located in the UK developing computer vision solution and.
And applications for autonomous driving.
And smart cities.
On the distribution, we have a new partner in Singapore, which we just recently announced.
The Purion is the is the very interesting companies that the developing.
So sort of hold back.
One of them was driving that Youre doing sensor fusion against the decided to use for.
The platform and will help us the distributor of our solution is in the fall.
<unk> is one of the larger.
Electronics and semiconductor of distributor in China, and that will serve as the past.
As a channel for us to increase our sales in China, but also to provide support for customers.
When cloud is the very known better.
The company in Korea.
The mobility that provides mobility as a service.
And their intention to provide who have the strong ecosystem of autonomous driving where they've decided to use.
I want to use this opportunity.
Thank all of our partners in the system.
System for more than debt.
For working with us.
Important zone.
No the fly with the tour.
About.
Probably 90% of this.
The attention in the in the last quarter and basically for every day, it's our engagements with new customers.
When we are working with customers that are looking to use the light, though the discussions are far more complex more complex industrial looking about the <unk>.
Kpis of the Lidar, which is the solution range and frame rates, which I would love to talk and explain why we believe the interface.
One of the for sure you know this too.
Is the most severely ill of lidar in the space, but the discussions are far more and more complex and goes into any angle, which is related to going to.
In high volume manufacturing both of the discussions with the related mechanics of integration and the current quality of the manufacturing plan.
Yields reliability, a spice and cyber security I am very proud of my team that is able to keep the very strong relationship with multiple customers and serving as the as the university for knowledge of how to develop the automotive Lidar, we've been told by a very strong OEM the.
That.
Is really the for the.
The company was the highest level of expertise and knowledge in how to bring a light of what the what.
I'm very proud of him.
Okay.
Stockpile.
The good about two design wins for series production in both the most of the space.
We told you about a world with the shut the program with the European tier one that is going to debt.
Let us also.
To have the charters the.
Already at the end of the program is going well we had several of the question session on both sides also of the BMW program things go on track we are on the verge for designs for that.
Both of the day sample, having our product going into <unk> of our line middle of 'twenty two.
Here I am.
I have to mention in other categories, which we havent discussed previously.
What is important for us to give this guidance.
We have two programs that already are in.
What we call advanced development projects those are customers that have evaluated different types of central and decided to use this.
As the primary of central it through all of the fleet now I'm happy to announce that we have signed another contract with the European truck company, the decided to use interface.
The one.
As for <unk>.
With all of the trucks beginning of next deal for the we're testing and development of the of the platform. This is of course, the going along with the lot of activities. We do on the lot of managed funds.
As a summary of the of our funnel, we've got nice propagation between the different pages.
<unk> of the number of partners and customers going into the commercial requirements and negotiation.
We are showing here the new cut the doorway of the ADP, which have grown by one and the increase of our potential order book by $200 million.
I will be happy to explain more about our all of the books. These are questions that we're getting from time to time, I am going to turn to $2.4 billion debt.
Comes from the BMW program and the subsidy program.
The way we calculate the.
The number of the older books is the very straightforwardly.
We took the number of cards of BMW selling average every year.
Through the mobile supply expected to use our lidar, which all the seven theaters and the biopsy the <unk>.
And Adam and.
And we multiply this by the penetration rates that we expect and we took at the benchmark the radar technology, which was in a similar position and we multiply it by the ASP was agreed between the companies and this is how we reached the $2 billion at the very.
Familiar.
The author of the companies are doing with the space.
On the chart the program there wasn't a bunch of benchmark.
So what we've done here is slightly different.
We received from our customer interest in hours in which they believe the foregone with Wolfe.
We took the also the minimum committed volume that was granted.
The contract when we signed the deal we did the weighted average while giving the minimum the highest probability as the.
The ASP in a conservative of conservative approach.
Which led to the the total sum of $400 million.
I would add to it the things are going very well and.
And we actually are more optimistic about us being in a much more bigger position and growing this.
The order book.
Now going into the coal for his update we've increased our staff to support multiple programs, we have plenty of <unk> higher.
Most of it comes in the RMB.
I want to share with you something that is important for me as the CEO of this company.
The quarter, we had about eight people debt.
The work is being of the early.
And besides the live because there were exhausted.
And they decided to come back for.
For me, it's a very strong.
You asked of them for the reason of them coming back was mostly because of the youth working in the movie.
The real passionate about going back to the complete submission for <unk>.
As a CEO of the company the most important thing and hopefully we'll continue I will hand over now to <unk>.
Both of the financing.
Thank you Omer and good morning, everyone.
Revenue for the second quarter of 2021 were $1 million, an increase of 39% compared to the first quarter of this year with.
We see continuous growth from our end of is one product innovate the one related revenues for the second quarter of 2020, Brian where 900 of $90000 an increase of 29% compared to the $770000 in the second quarter of 2020.
We expect the portion of the revenue from end of is the one lidar to increase as we increase production to meet or the volume.
Operating expense for Q2, 2021, whereas 77.
$77 million, an increase from $13.
$5 million from Q2.2020.
The $77 million of operating expenses included $49.9 million.
The based compensation as well as the $1.8 million.
Of issuance costs.
The primary reason for the increase.
The primary reason for the interest and operating costs was $47 million attributable.
Stock based compensation granted as part of the stock business combination.
In Q2, 2021, we continue to invest heavily in R&D with R&D expenses totaling $32 million of which $17.6 million was attributable to stock based compensation compared to $11.5 million of.
R&D expenses incurred in Q2, 2020 of which $5 million was attributable to stock based compensation.
Our balance sheet as of June 30 of 2021 reflects the closing of our stock business combination transaction with $156 million in cash and $195 millions of dollars.
In short term.
The positive through this transaction, we are maintaining significant cash levels of AUM.
The $350 million debt.
That will support the company's cash needs in the coming years.
Our issuance costs were $26.3 million paid in cash and $77.3 million through equity.
And of this primarily what.
Private warrants are classified the liabilities and are measured at fair value for earnings growth.
During the three months ended.
On June 30 of 2021.
The company recorded.
$850000 loss related to the change of fair value of the private flooring.
Before I turn the call back to warmer I would like to briefly comment on the FY F. One we filed on July 27.
Part of the business combination with the fact interviewed agreed to file a registration statement on form F. One the registered the release of shares and warrants of free closing innovate security holes of and private investors.
<unk> filed a registration statement and it was declared effective by the SEC on August 2021.
For the assurance of certain pre close its share.
For the adverse registered for resale remained subject to 180 day.
Of contractual lockup the shares of fight the investors are now freely tradable.
This completes my financial overview.
Back to you Omar.
Thank you. Thank you income.
Okay. So last day.
Thank you for joining us today's call.
We are pleased with our development in the past quarter and believe we are in the right path to grow and become the month of June.
We have been and will continue.
The focus on several big opportunities.
The out therefore.
In everything we do.
In all solution safety Council for assessing of this safety is not just the light of each of them is the reason we are in the business.
It is our mission.
Our driving force.
The more our customer base and pipeline growth.
Net of the whole of the volume.
Thank you very much and the happy to answer your question.
Thank you in order to register the ask a question. Please.
Click on the raise hand button and the <unk>.
Center of your stage and your mobile or desktop application and wait for your name to be announced once again. Please click the raise hand button and your mobile for desktop application and wait for your name to be announced.
Our first question today is coming from the line of Michael fill out of Michael Please on mute yourself and go ahead.
Hi, guys can you hear me.
Yeah, Hi, Michael Great Hi, how are you doing this has been a great presentation and I really appreciate it I don't think of some of earnings call in a car before so.
From a big fan.
Anyway. So the first things first I just wanted to sort of get maybe more of an update on the BMW Award.
It sounds like we see started production in Q2 of next year, which may be imply as we start to see it in cars in the back half of next year.
But I mean is that the right way to think about it and maybe could you confirm which model you would expect to see it launch on.
You mentioned the five series of the seven series, but I guess there was the quotes from the SVP of automated driving of BMW that say, maybe the IX would have.
New technology toolkit, so any comments around that would be helpful.
Yes, sure myself so for.
I can only of it.
The quotes from the MW public growth.
Recently, the two months ago, there was the call, saying that the plan to use the lever.
The three technologies on the seventh day less than five facilities in the IP.
Related to the timeline and we can look for on behalf of the industrial we can give of course on our readiness for production of into the middle of next deal and that is related to the production of validation of the Mac now.
Holly production line that is.
Now in position to be simple.
Okay understood understood.
And then other or maybe a question for you as well you guys said in the press release, you are reiterating sort of confidence in the long term guidance.
No I'm not sure if that includes the 2021.
Revenue outlooks for from the staff presentation.
But if so that would imply sort of a pretty big ramp up in the back half of the year do you still feel comfortable about the target that you've laid out for the full year and if so I mean, what should we expect for the back half.
Okay.
We did not give guidance specific guidance for this year of course the are the projections that we showed the during the deep stack and what we are expecting is the ramp up of <unk>.
Production following the free.
Of the hardware and the bis.
This this should be.
Impactful on our revenue.
Okay got it and one more.
Just last quarter, you referenced six prospects in the the late stage commercial negotiations.
Worth about $3 billion of order book.
For engagements I believe with Oems now that number of prospects has grown to the eight.
Wondering which is great news, but I'm wondering if you could give an update on whether or not the same six prospects are and that included in those numbers.
And then whats the mix of our anymore of those Oems.
Or or sort of other opportunities.
So.
Out of those six one of them propagated into the agency, which is the truck company.
The additional three the entered the page the.
The bigger programs are still ongoing and we have.
For <unk>.
Both of those we.
We are making very good progress.
And we will give the updates once those will converge in the next six to 12 months.
Okay.
Alright, great. Thanks, a lot guys I appreciate it.
Thank you.
Thank you Michael our next question comes from the line of Mark Delaney Mark. Please go ahead and on mute yourself for and ask your question.
Yes can you hear me.
Yes.
Okay. Thank you very much for the presentation and the demo are very helpful to see.
On the intermediate term outlook and I think in the <unk> presentation. The company had talked about $23 million of revenue in the plan for 2022.
I'm wondering if you guys still feel comfortable with that the general ZIP code of revenue for trying to think about next year.
Yeah.
Yes.
So we are not yet changing our guidance on debt, we are ramping up our production line.
As I said earlier, we are on the verge of listening.
The all the time, which will allow us to increase our volume and that will allow us rich and much higher revenue anything one for half of it.
Yeah.
Okay.
That's helpful. And then the follow up question was around growth.
Gross margin and I think last quarter, you mentioned some very good progress on your manufacturing yields of getting to I think in excess of 90%.
Just the potentially have some some good progress on yields at the same time, there's been a lot of increases in component costs.
The impacting the number of different parts of the automotive industry and potentially some of those higher cost could be sustained into the.
The 2022 timeframe. So you think about some of those puts and takes in terms of input cost.
As well as euro of yields are tracking maybe you can talk about whether or not you feel comfortable with the gross margin trajectory that you had outlined.
Again, youre not trying to get specifics of this year, but over the intermediate term.
So we still don't know the full impact of.
The situation.
Going to be maintained the short term.
Of for.
<unk> expense level.
This year.
It has some impact with very low impact because the volume of our volumes are low.
The impact.
The factor of more.
More of.
The production lighten the ramp up and the.
Different overhead.
Against the relative low volume, maybe I can use of the.
Depending for him so.
As you know mark that the.
On the on the program for automotive right.
As such we are required for.
Keep our design open as long as we complete the design validation in order to meet the needs of changes.
As of today, we have completed the design validation of debt.
System design, and we don't see any reason.
To make unchanged. So we are optimistic that this the design. The one that's there now enter into will not require any change we've gone through a lot.
Once we will get to the signs of the see the total sales.
Yes, we can.
Complete the design and go through higher volume. Once you. Once you are in the interactive mode. The cannot go into.
Oh, hi volume older debt.
Obviously have impacts.
The first of which part of the device.
And therefore, what was the of improvement.
For instance, the science work with the.
The bigger bet true of the different components and Thats, what allow us to improve our gross margin I hope at some flow.
Understood. Thank you very much.
Okay. Thank you Mark our next question comes from the line of Kevin Cassidy, Kevin. Please on mute yourself and go ahead.
Okay.
Hi, Thanks for taking my question and congratulations on the progress.
Just maybe along the same lines of manufacturing.
What are your.
Agreements looking like as you are setting them up for the holding inventory or how much inventory of your customers might be asking you to hold for them or will the customer holding inventory and just wanted to understand the.
Production ramp.
Yes.
Yeah.
So thank.
Thank you for the question so.
Usually how it works in the automotive.
The debt.
The different customers ask for a minimum.
Wanted to this is the minimum debt usually are relatively low.
The number and low commitment.
And this is the Commencements are expected.
By by the different vendors to.
To be met.
No.
Uh huh.
At least at this point of time I don't see.
The.
Significant.
Ramp.
Significant debt obligations.
To stock up.
Additional inventory in order to meet the minimum that the.
The minimum orders of course, we are very optimistic about the ramp up once the.
So the type of production.
Then assess the read of the ramp up into the market.
According to which in the infusion of the half of the year in advance you can assess.
Committed volume and do the relevant search.
Maybe I can add something I think it's also important to understand that the now.
Engagement for Magna and BMW.
Our business model is such that the.
The inventories actually held by Martin M of buyer, so we sell magna.
Components of most of the inventory is actually held by the tier one in north of that.
Okay. That's helpful. Thank you.
Thank you Kevin Our next question is coming from the line of Mike will see lot of Michael. Please go ahead and meet yourself.
Hey, guys figured I'd come back for a little more.
So you talked about the one plus no I'm just wondering when you expect that to be ready for serial production or high volume production.
Is it fair to assume that the timeline to say the sample products to the end of this one plus would be quicker than it would be for of new products given that its based off of the Inova just one architecture.
Yeah definitely based on the fact that it's a very minor change.
Just a basically a few components.
So the design, but in addition, the introduction of validation with respect for them.
Currently we're in discussions with customers talking about an automotive grade version one year. Following the end of Q1 as a precaution.
We are bidding for pushing.
Okay got it and is there any way you could frame sort of the improvement in performance.
Terms of quantitative metrics between the and I'm just wondering if there was one plus.
Sure.
The it's Doug.
The resolution from.
One zero point of view of five degrees and the notion.
And our growth.
Think of around 30% range of improvement.
So it's taking.
<unk> industrial for the three one.
One of the nature of the fleet.
So.
It's a very interesting for that.
I just had a very.
Good.
Trips of the U S. Now that the Corona is allowing some more revenue it's great to get some.
First time demos and demonstration I think there is the very good fits for the.
Non plus for the truck.
The industry.
That's the kind of it seems that there was the very good the interest coming from debt.
Yeah.
Got it okay. Thanks, and then.
Should we assume that the university, we're still on track to be delivering samples to customers by end of the year.
Yes.
For the origin several design validation.
<unk> got the 30 times the absolutely higher.
The improvement in the optical performance.
We're very eager to have the first census in our hands are starting to build it.
Most of the components of under way too in production in the.
The both R&D and production and we're going to have.
The integrated for the first time doing the full bill.
And to be able to ship.
First samples from customers that not only the.
The discussion with the <unk>.
Very intriguing product due to the very high performance.
And of course this.
I mean, I can use this opportunity to share more information.
The stool.
Is the 70% cost for growth.
And of the bump.
And I was asked several times of how we manage to do it and maybe here where I can say the.
One is based on for lasers in both the capital.
In order to.
The scandal sales team.
These two are going to there is only one one laser in one of the pixel, which explains how we managed to make it cheaper.
Cheaper not only because of the less number of components of the lesser of the desktop, but also because the number of optical alignment and in debt.
Excluding the etcetera, everything we kind of much more simple the board.
The production cycle is going to be extremely faster because it requires alignment of only one channel versus for actually.
Actually more with one.
And I think it's a very attractive for us.
It's it's intriguing to think about how we can do.
Use less lasers in the next for the probably one would be the limit.
Yeah.
Got it no. That's helpful looking forward to the hearing customer feedback when that gets the guests to your customers. One last one you talked about how <unk> sort of the performance specs aren't really theyre not the whole game right. There's lots of other factors that your customers consider when evaluating lidar.
Maybe you could talk about how your experience with BMW sort of helps you win with these other Oems because I think we don't know at this point that it wasn't the easiest route and they have a pretty high bar for testing and validation. So how thats sort of preparing for you to win with other Oems.
Oh definitely.
One of the.
Now one of the things I saw in the last quarter in many discussions with customers.
We all of the.
This is like a university for.
Or light of development.
We have the menu of many topics.
I think that keeps the a lot of knowledge around when it's related to developing lighter for the multi product.
These are things that are related to no from cleaning system to the integration with the carnival and the simulation of the of the.
The heat transfer.
So we've done a lot of lessons learned.
All of this.
The reported.
Really give the menu for our customers and I see that the there are many things that we have gone through and they have experience.
The call nature of that.
Now doing the audits for.
For our solution leveraging from from from.
From our experience.
So I think this is a big element of the vision, but also into the Kpis because.
When you when you think about autonomous driving on the on the highway.
Many use cases that we encountered that we can provide is the.
As guidance for the customers in order for them to understand the discounts from also from.
Obscured the obscure of oil.
Sure.
Cars and how to.
How to manage the situation when suddenly.
You have in there is on the on the window.
The.
The calculations that are related to reaction time.
Of the calling of specific scene.
We have a lot of tools for simulation of the driving scenarios that we share with customers.
So it's really end to end the also related to logistics and other Mei.
And the for sure in the computer vision. There are many still many elements that are related to non lane detection.
On the drive of the local drivers.
I mean I I.
Happy to do maybe next time.
That we can share more information about the.
The the way the market is.
<unk> the requirements for the lighter than maybe the extent that there for the market to understand how how the those requirements of eventually translated to the Lidar.
For the business day.
That would be great really appreciate the time.
Thanks.
Thank you. Our next question comes from the audience I will read it on their behalf.
Does the 1 million object on notation man for the end of this app platform other more platform developments coming.
Yeah.
Okay. So okay.
Yes.
Ah Okay, the computer vision.
Of the drawing net.
And what's the I mean is that the.
More of the data that you're collecting the capital.
The more of the stronger.
The the confidence level that you'll have the snow.
The.
In order to have a strong.
As in any AI data is the fuel behind it.
The need to have very accurate.
The dataset that is used.
For training.
The.
1 million validate the objective of change.
Is that the there was someone.
Not the only collecting the data, but also simplify the accuracy and this is kind of the grants.
That is used by our system and it carries over beyond the.
The one.
Of course of the end of the sponsor.
Two.
And we collected ourselves by the way we also collected through our partners.
Without giving us the edge cases the al.
Using our lives of outdoor and whenever they see it.
An interesting case.
They are sharing with us so it helps us recover from Goldman Sachs.
Thank you you have no further questions.
I had.
Okay. Thank you.
Sure.
Okay. Okay. So thank you all very much.
Following the us.
On Linkedin and Twitter.
We try to share our first joining me on the day to day basis.
And the.
The next time on the earnings call.
The level. Thank you very much that does conclude our call for today have a great day.
Okay.
Goodbye.