Q2 2025 Ouster Inc Earnings Call

Speaker #1: Hello and welcome to our second quarter 2020 earnings conference call . All lines have been placed on mute to prevent any background noise .

Speaker #1: After today's presentation and remarks , there will be an opportunity to ask questions . If you would like to ask a question during this time , simply press star followed by the number one on your telephone keypad .

Speaker #1: And if you would like to withdraw your question , press the pound key . The call today is being recorded and a replay of the call will be available on our Investor Relations website and our after the completion of this call .

Speaker #1: I would now like to turn the conference over to Chen Geng , Senior Vice President of Strategic Finance and Treasurer . Please go ahead .

Speaker #2: Thank you . Operator . And good afternoon , everyone . Thank you for joining our second quarter 2020 earnings call . Today on the call , we have Chief Executive Officer Angus Pacala and Chief Financial Officer Ken Gianella .

Speaker #2: As a reminder , after the market closed today , Auster issued its financial news release , which was also furnished on a form 8-K and is posted in the Investor Relations section of the Auster website .

Speaker #2: Today's conference call will be available for webcast replay in the Investor Relations section of our website . Before I pass the call over to Angus for his opening remarks , I want to remind everyone that on this call , we will make certain forward looking statements .

Speaker #2: These include all statements about our competitive position , anticipated industry trends , our business and strategic priorities , and our revenue guidance for the third quarter of 2025 .

Speaker #2: Actual results may differ materially from those contemplated by these forward looking statements . Factors that could cause actual results and trends to differ materially from those contained in , or implied by these forward looking statements , are set forth in the second quarter 2020 financial results release and in the annual and quarterly reports we filed with the Securities and Exchange Commission .

Speaker #2: Any forward looking statements that we make on this call are based on assumptions as of today , and other than as may be required by law .

Speaker #2: Ouster, Inc. assumes no obligation to update any forward looking statements which speak only as of their respective dates . In today's conference call , we will discuss both GAAP and non-GAAP financial measures .

Speaker #2: A reconciliation of GAAP to non-GAAP measures is included in the financial results release that was issued today . I would now like to turn the call over to Angus .

Speaker #3: Hello , everyone , and thank you for joining us today . I'll start with a brief recap of the quarter and overview of the market , and an update on our strategic priorities .

Speaker #3: Ken will cover our financial results in more detail before I close with some final thoughts . After delivered strong second quarter results with revenue just over 35 million above the high end of guidance , with a solid gross margin of 45% .

Speaker #3: This performance was driven by record sensor shipments , which surpassed 5500 units in the quarter , bringing physical I to life across logistics , industrial and smart infrastructure sites around the world .

Speaker #3: We finished the second quarter with a robust balance sheet of $229 million of cash and equivalents and no debt , underscoring our continued financial strength proven in the field .

Speaker #3: Our LiDAR solutions are enabling intelligent , real world autonomy across industries and driving tangible improvements in safety , efficiency and sustainability . Our strategic investments in AI algorithms and data training infrastructure are enabling new capabilities to unlock significant commercial opportunities .

Speaker #3: One of our longtime customers has deployed Auster Gemini at hundreds of facilities and driven by performance improvements from new Gemini AI algorithms . This customer is now testing new high value use cases , which require more than quadruple the number of sensors per site .

Speaker #3: Our ability to land and expand deals with a highlight during the quarter , as we continued to convert customer pilots into large volume orders as they roll out deployments or move into production in smart infrastructure .

Speaker #3: We successfully converted a pilot program with a fortune 500 technology company into a multi-million dollar global deployment . We are installing OS sensors in their retail locations worldwide to provide powerful analytics while ensuring personal privacy .

Speaker #3: With over 500 locations and more than two dozen countries , we see tremendous potential for future growth in our industrial vertical . We are partnering with an Agtech company to power autonomous mowing and precision application of crop protectants .

Speaker #3: We have worked with this customer for multiple years , helping them transition from prototypes equipped with Velodyne sensors to larger volumes powered by the OS zero .

Speaker #3: In Asia , we are installing our OS one sensors on smart cranes to increase throughput at one of the continent's busiest container terminals .

Speaker #3: We also continue to solidify our competitive moat . During the quarter , Ouster, Inc. OS one became the first and only 3D LiDAR sensor to be approved for blue UAS and certified by the US Department of Defense for use in unmanned aerial systems .

Speaker #3: This sets us apart as a trusted solution for government applications , and positions us well to benefit from the US government's efforts to strengthen the domestic industrial base for critical technologies and promote trustworthy supply chains .

Speaker #3: For example , we recently won a pilot program for the OS one , OS Dome and Astro Gemini to provide perimeter security for a US Army base , and our technology is already deployed in systems used by the United States Navy , NASA , and national labs .

Speaker #3: Looking ahead , we anticipate continued momentum driven by powerful secular tailwinds . Recent legislation has unlocked billions in federal funding dedicated to accelerating the deployment of autonomous and intelligent systems across defense , transportation and industrial sectors .

Speaker #3: We are uniquely positioned to capture this demand to enhance critical systems for government , defense and civil infrastructure institutions worldwide . We are seeing similar trends play out in Europe and Indo-Pacific with increased adoption of our technology for US allied defense and infrastructure applications .

Speaker #3: We also recently expanded an agreement to meet demand from the Utah Department of Transportation to bring Blue City to nearly 100 intersections across the state to enhance traffic flow , safety and operational efficiencies .

Speaker #3: A key focus this quarter was to expand our distribution channels , and we made significant progress for both our smart infrastructure and security solutions .

Speaker #3: We signed three exclusive partnerships to bring Blue City to major markets such as Texas , Michigan , New York and Pennsylvania . With these key additions , our Blue City Partnership network now spans 39 states and gives us a direct line of sight to capture the vast nationwide market of over 300,000 signalized intersections for Gemini .

Speaker #3: We formalized a partnership with one of the world's largest security integrators . This agreement will support deployments into some of the world's most critical and high value security sites , where the global market for end system security cameras is already in the tens of billions .

Speaker #3: Moving to product development , Astro , Gemini , and Blue City are delivering AI solutions to solve our customers most complex challenges through powerful new software features and major performance improvements .

Speaker #3: We implemented advanced actuation for Aster Blue City that enables filtering for additional subclasses and objects , allowing our customers to control their traffic systems with additional rule based nuances .

Speaker #3: We also added 3D event recording , which allows customers to automatically record and review safety incidents without disclosing personally identifiable information . These features leverage Blue City's proprietary deep neural network that has been trained on more than 4 million labeled objects , collected from 800 sites and runs on Nvidia , Jetson and Orin system on modules for real time inference at the edge .

Speaker #3: Turning to our Gemini platform , we made significant improvements in core perception and ease of deployment . One of the most complex challenges in perception is maintaining stable object tracking over long periods of time .

Speaker #3: To solve this , Gemini now features a breakthrough multi-sensor AI model that fuses point clouds together in the early stages of the perception pipeline for improved accuracy .

Speaker #3: Ouster, Inc. Gemini now delivers significantly improved long term object identity persistence , a critical requirement for many customer applications . We also launched the Gemini Event Server to accelerate customer adoption and reduce deployment time and cost .

Speaker #3: This is a powerful no code environment with built in logic modules , enabling our customers to easily build and deploy their own automated solutions for applications like intrusion detection , proximity monitoring and zone occupancy tailored to their business needs .

Speaker #3: During the quarter , we progressed on engineering bring up of our next generation L4 and Khronos Custom Silicon . These investments will unlock a new era for our products , including major performance , security and reliability gains for the OS product family and the introduction of the solid state digital flash , or DF line .

Speaker #3: Early customer feedback reinforces our belief that these innovations will more than double our current addressable market and represent the most significant product cycle in Ouster, Inc. history .

Speaker #3: Finally , our excellent second quarter results keep us on path to meet our long term framework of 30 to 50% annual revenue growth , maintaining gross margin of 35 to 40% and operating expenses at or below third quarter 2023 levels .

Turning to our balance sheet, Cash Cash, equivalents restricted cash and short-term Investments, were 229 million at June 30th which includes approximately 59 million of net proceeds from our ATM.

While we retain access to Capital markets, we are comfortable with our current cash position within the context of our execution, of our business plan.

Finally, we continue to actively manage the challenges of the current geopolitical and macroeconomic environment specifically around our supply chain and tariffs.

The landscape remains fluid. But we are fortunate to have close relationships with our customers and our partners, as we navigate, the potential impacts,

As I stated earlier, we continue to view 35 to 40% including the impact of any tariffs we may have as an appropriate, annual gross margin, Target for the business.

Long-term impacts on our operations and our margins.

Moving to guidance on slide 10 for the third quarter, we expect to achieve revenue between 35 and 38 million.

Before I hand the call back to Angus, I just want to reiterate how excited I am about the opportunity for stir and how pleased. I am to be able to contribute to the company's success. I look forward to getting out this quarter and meeting our stakeholders.

Thank you for your time, and I'll now turn the call back to Angus for his closing remarks.

Thanks again. I'm proud of our team for delivering, a record quarter. As stir continues to drive, the accelerating adoption of physical AI.

We have now delivered, 10 straight quarters of Revenue growth and meeting or beating our guidance.

This is particularly fitting as we recently, celebrated our 10-year anniversary

We have transformed from a large manufacturer to a physical AI company, adding software solutions to our industry-leading hardware portfolio to enable intelligent, real-world autonomy across industries.

I am proud of our performance and achievements to date but our most exciting chapter is just beginning.

Our technology roadmap will bring the largest transformation to ousters product portfolio in our history. Taking us into larger markets and more use cases than we've ever had.

We are at the Forefront of a Monumental Market transformation, driven by lidar and as our customers scale from prototype, testing to commercial production, we are well positioned for continued growth.

Our story is just getting started and we have the team customers and strategy to be a leader in physical AI.

With that, I'd like to open the call for Q&A.

Thank you, ladies and gentlemen, we will now begin the question and answer session as a reminder, in order to ask a question, please press star, followed by the number 1 on your telephone keypad. And if you would like to reach out your questions, simply press star 1 again, as a friend. Reminder, please limit yourselves to 1 question and 1 follow-up. Our first question comes from the line of calling Rush with oppenheim, please. Go ahead.

Thanks so much and you guys. Congratulations on all the progress. Um, you know, as you get into the latter part of the year and and start getting ready to uh ship, you know, commercial volumes of The L4 chip, can you talk about that?

Uh, apologies uh sound cut out on the question, okay?

Uh, sorry for the trouble guys. Um, you know, just want to get a sense of how quickly as you move the uh start ramping, The L4 platform that you're going to be able to start moving customers onto that platform and uh and really transition into the lower cost modules.

Yeah, absolutely. So I mean, um,

So the the good thing is Colin that we've been through this before many times. Uh you know, The L4 is the fourth generation of our silicon and there's a huge opportunity behind it and we want to make sure that

uh it's both the future for New Opportunities and doubling The Tam of of of the company with its release but also that it's if we provide a smooth transition, like you said for existing customers to move into greater scale, more applications, kind of land and expand opportunities with existing customers.

Um, historically, uh, we have many customers probably well, roughly half our customer base that takes a year to transition from 1 uh iteration to the next. And uh and we're generally complete with a product transition. Let's say, from Red 6, to read 7 being the most recent, um, in about 2 years,

Um it's going to be a little different though with rev 7 to rev 8, we've been um, we've provided more heads up for customer base and more long-term commitments around how we manufacture this technology. We have many more customers in production with rev 7 than we've ever had, uh, with with Rev 6 to rev 7. Um, and so, uh, you know, we're making sure that we're working with every single customer to not, leave anyone behind on a previous generation platform and, um, and and that work started long before, you know, uh, we ever talked about a future product release. So I think we're going to, we're going to make this a graceful transition for everyone. While we're also just expanding the overall opportunity, um, for for addressable markets, with The L4 chips.

Because it it seems like, you know, a limited number of customers could start really leveraging, some of their revenue and growth here. Premium meaningfully for you guys.

I mean, it doesn't take. Um, this is a great question because.

What we've said is aster is at the very early Innings of uh, physical AI automation. Um, propagating into every moving machine on Earth and so it at at the scale that we're operating, you know, board to 5000 units plus a quarter, it doesn't take many customers each quarter to significantly expand our volumes and their shipments. And so, you know, we had almost a thousand unit Delta, um, between q1 and Q2 shipments and 1,000 units of an automated industrial platform is is is is a is a big expansion for a single customer. So um, that's all to say we we don't need a hundred different customers to reach production to keep growing. At the pace, we're growing, we need, uh, single digits to continue on this really solid 10, quarters in a row of Revenue expansion, um, and keeping that going for the next couple of years. Obviously, we want to move as many customers as quickly into production as possible. Um, and once in production production,

Ction also scales, um, significantly from from quarter to quarter. But um, yeah, there's a lot that the vast majority of our customer base and our, um, on our, on our customers that will move into production, have not yet, and that's just going to fuel our growth to come.

Thank you so much, guys.

Your next question comes from the line is Andre Shepard with cancer. Fitzgerald, please go ahead

Hey guys uh congrats on the quarter and thank you for taking your question. This is a non on for Andre um it looks like you've really submitted Market leadership with this quarter especially with the the blue uas certification and that seems to be a huge part of this story this quarter. So I was wondering perhaps what opportunities you're looking at there and how that could really uh translate for the company. I know you touched on touched on that on the earnings call and uh maybe potentially, where could this go besides? Uh, the first thing that comes to mind the drones.

Yeah, this is the, a great question. Thank you. And on the the, um, the blue uas milestone for the os1, uh, was a big deal for us. You know, we are the first 3D lidar sensor that got this certification. And that means that now we can be deployed on, uh, DOD. Um, aerial platforms as a sensor payload. So it's a big deal. We're the first company. And I think that's a, that's a trend for Astor, is we are a food first mover in many different markets, because we have the product,

And we have the strategy, and we have the commercial team to get all of that done ahead of our ahead of our competitors. So, um, you know, blue, uas is part of a bigger expansion in kind of Defense, Focus for the United States for our Western allies. Um, I mentioned on the script. Um, there's a lot of good progress here behind the scenes. We're already working with United States. Navy, for instance, we are deployed, uh, now at a US military base in army base, um, for perimeter security with a not just our lidars, but with our full Gemini, physically AI solution. So there's a lot going on in the background. Um, it's it's ultimately fueled by an investment um, from the US government and from Western allies and I think that's playing into our favor and I don't think there's any company better positioned to serve serve that demand than than Aster right now.

Um, switching to another vertical. I was wondering, you know, since autonomous vehicles are coming into play more nowadays and they're getting more popular here in the states, how you're seeing that opportunity play out for you guys and if there's potentially anything that you're pursuing in that vertical or with an oem,

Um yeah so it's it's good to see that there's been an upsurge in an uptick in interest on autonomous vehicles. I think that's fueled by whose proof points in the market showing that the technology is is reaching a level of maturity, where it becomes a business and not an R&D effort. Um, and I think that's good for stir and the lighter signal, the lighter sector at Large.

And customers, like the ride-share companies, are interested in this. So it's not just that the technology is ready, but there's an ecosystem of players that are interested enough to make major commercial and business strategy shifts.

And uh, and again, you know, stir is really well positioned with products to play, in this space. So I I'm glad this is happening finally.

Once again, if you would like to ask a question, please press star followed by the number 1 on your telephone keypad.

The next question comes from the line of Kevin Garrick with rosin blab Security's. Please go ahead.

Yeah, hey Angus. Hey Ken. Thanks for taking my questions and congrats on the strong results. Hey Angus, you spoke about several design wins? You know, using the the fifo World Cup as an example. Can you give us a sense of who you kind of beat out with that contract? It was a more camera based solution or other ladders flyers and

You know, with with AI everywhere now is the competition.

Getting any any more competitive.

yeah, so that's that's, um, it's interesting because, um,

So so with the case of FIFA, there's there's typically some sort of competitive situation on all of these projects and what ouster has shown in the last uh year or or so, with blue city, as it's reached a level of maturity, we haven't really seen before is uh, head-to-head on the core performance, metrics of things, like object, perception accuracy. Like, are you counting the right number of cars, pedestrians, motorcyclists, and trucks. At your intersections, your your traffic corridors. There's nothing that comes close to Blue City and its accuracy. And it's for 1, very good reason and this gets to your next question about AI.

All of the advancements that you hear about an AI for cameras can apply to lidar, if if you take proper Advantage, advantage of them. And so we actually put out a press release on this, on this subject. Uh, just the last quarter around ousters, massive investment in AI data training.

Data collection, annotation and training for our blue City product. This, this product that's being deployed at the FIFA sites around the country. And now being deployed at at large and the, the Utah Dot and, and Chattanooga and all these other intersections. So, stir is leading the way on investing in uh, true, physical AI at the edge, uh, running deep neural networks that we've trained on, uh, over 4 million annotated, uh, objects that we've pulled and extracted from from, uh, a diver.

First Geographic, set of our deployed systems and we're doing this constantly. So we're constantly improving our AI algorithms to make sure that we maintain this kind of best-in-class performance of, uh, of perception accuracy, which is the foundation of all of these products that are doing traffic control and analytics in the field. So, um, yes. So your answer your Insight, that AI is improving everyone's capabilities. Whether it's cameras or radar systems, or laitar is correct. But um, we're making sure that we're not left behind. We're actually Leading The Way with a lot of these Investments and we're applying it to a far, more capable sensor data stream with a lidar than a camera.

Yeah. Got it. Okay, that makes sense. And then as a follow-up, can you just talk a little bit more about your, your, your distributor strategy? Are you looking to eventually have uh, you know, maybe a majority ports of your sales through the distribution Channel? Or is your main focus still on dealing with the direct and customer?

Yeah, here this this um the distribution strategy varies by vertical, and even by subverting, so we have our 4 uh 4 major verticals uh automotive industrial, smart infrastructure and Robotics.

And, um, what what I talked about on on the call was really a focus on the subvert within smart infrastructure.

In traffic. And this is the blue, the, the blue City product. So there we think it's an integrator distributor heavy, um, uh, play. And uh, we've already we, we, we embarked on a a new strategy there a couple years ago and we now have 39 states where we have a selected exclusive uh, distributor integrator for Blue City. So we're well on our way to fully blanketing the the United States in these Regional Distributors. And they're really value, add integrators of traffic technology with long-term established relationships with, you know, State and State, local and federal clients.

um,

Um, technology integrators and and established like distribution chains. So we're taking advantage of that as well. So it probably will skew again towards leveraging, those Partners versus a direct sales force.

But outside of those 2 2 vertical or subverts right now, um, you know, Aster is succeeded in identifying Enterprise Partners having a direct direct sales, force, and just being a great direct partner given how critical T typically lidar is to a customer like kamasu or, um, you know, a major industrial OEM or automaker. They want to direct relationship and a direct kind of sales and Commercial, and support, and Technical, um, support, um, uh, relationship with Astra directly.

Okay, great. I appreciate all the color. Congrats on all the progress.

Your next question comes from the line of research Shannon with Craig, Callum Capital group, please go ahead.

Well, thanks guys, for letting me ask a couple questions here. Um, my first 1 is on uh, the defense Market here, if I caught the language right here, you mentioned defense is 1 of the key verticals or top verticals here and I did a did a quick search. Um, and I didn't find any mention of that in past, uh, uh, conference calls about that being a leading. Um, uh, contributor was the blue as certification a driver vet or drones or can you kind of help us tie those things or not tie them together?

Yeah, so Richard, I think what we said is we didn't say that that defense wasn't 1 of the top 2 verticals for us this quarter. Um, but it was it was actually Industrials and Automotive that were the top 2 for this last quarter. We haven't specifically talked, you know, that much about defense in Prior earnings calls as well. So you're picking up on that. That this is kind of some new. This is a new development for us. And uh, like I said before, it's kind of a combination of both, the, the federal and international interest and defense and, and new Investments there. Um, in combination with advancements on our commercial side and our products so getting things like the the uas certification. Um, so the, you know, I think that this is an opportunity for the future more than it had a, an outsized impact on our earnings, this this Q2,

Okay, fair enough. Thanks for clearing that 1 up, uh, second question. Uh, Angus is really as we as we ramp up the new products with The L4. Um, and Kronos ships, I I I I assume they're going to the same set of the next products here. Can you talk about your, your pricing strategy here? I I guess I would assume given to your you've talked about your gross margin profile as being very long term. That I would assume is stretched beyond the, this product introduction here. You're probably going to, uh, take down pricing in in a kind of commensurate with cost, but maybe you could just talk about your pricing strategies that new product line comes out.

Um sure. Yeah so the the pricing strategy is because out there is Diversified it's hard to, you know, there are many different strategies and it's a case by case uh by by industry and sub 7 industry. So we have a lot, I think we have a lot of flexibility here and what I'm looking at and pricing strategy is 1 that we are maintaining strong gross margins. And there you know I think that we we uh we're committed to the 35 to 40% gross margins. Um as we approach profitability in the next couple years.

um, and so that's very important and

You know, we're doing that by uh, a in expanding our volumes and lowering our costs over time, and that gives us some ability to drop pricing where needed, uh, to enable customer business models. So this, this is an important Dynamic that when we drop price.

Many times it's because we have assessed a customer business model and identified that there needs to be a lower cost for them to enter the market at into production.

Um, and so it's a very measured, you know, there's a lot of control on the outer side and how that happens. And a lot of working with a customer. This is not a commoditized market where we have to drop price. Um, uh, just just to just, just, just to stay in a competitive situations, it's much more, a dynamic where we're working with customers to give them a path to good commercial viability in the long term as they're going from R&D into production.

That being said, there's always lower priced applications for any technology. And so there is also just a core Focus internally on dropping our costs so that we can enter some fundamentally new markets with lower pricing and uh, just lower pricing. Oh, overall. So things like some of the emerging, uh, robotics opportunities that could hit really high volumes, but may need a fundamentally different price point.

Okay, that's helpful perspective, I guess. Uh, that's all for me. Thanks.

15 savageau with Northland Capital markets, please go ahead.

Hey, good afternoon and congrats on the results. Um my first question kind of going back to the defense opportunity and understanding. This is

Something that's emerging for you guys. But, um,

Is there anything you can share with us about the total addressable market in the drone defense area?

You know, as it relates to your targeted exams across.

you know, other verticals.

And I'll follow up from there.

Yeah, thanks for the question. The, um, traditionally we have included our defense market, uh, it's absorbed into our robotics vertical. So when we've provided the TAM for robotics, it's actually defense has been just a vertical within there and it's absorbed and never broken out. That's.

That's really because defense is, it's a, it's a, an emerging market and it's rapidly evolving. Um, and like, even in the last year, there's been a huge shift in, uh, you know, technology companies entering that space new approaches being being taken to Old problems in defense. So um there may be a point where we start breaking it out because because it, you know there's enough of an ecosystem and and the autonomy technology that uh, that has been developed in adjacent markets is now really starting to play in defense but

Um, yeah, I don't think we're quite quite there yet. Um, so again, it's a, it's a great opportunity overall, there is an established market for things like drone payloads. Um, and just, uh, sensor payloads on drones and that's where the blue uas. Certification, kind of is a leading indicator of some of the early opportunities in defense. Um, I think it will be a little while longer before some of the ground and other, you know, autonomous systems come come to Market and come to uh technology maturity and start building a tam around those

Great. I'm sorry and um shorter term as you look at your um your guidance for Q3, is there any kind of particular verticals driving that expectation for sequential growth that you can call on?

Well, I think overall, the the diversification um, at ouster is what's leading to robust growth, robust, and consistent growth for 10 quarters straight now and hopefully going on 11 with our guidance. Um,

and uh, and so it it

Ultimately, I think industrial has been bread and butter for ouster and it's important that that that continues to grow and we see a lot of Tailwinds um with the industrial sector embracing. Physical AI, embracing. Um uh a AI Solutions, a new sensor Technologies. So um, uh that I expect to continue to drive our growth. We have a lot of long-term Industrial.

Customers that are now entering production. Um and so uh and overall we just have a huge amount of visibility into the demand for our technology across our verticals. Just given the long-term relationships that we've built with our customers set. So, you know, the the I'm very pleased to be able to guide up again, confidently, 35 to 38 million next quarter. Um, and uh, and, and, and that's just built on, I guess the momentum from many, many years of playing in a diverse set of Industries, with high quality customers,

Great. Thanks very much.

Your next question comes from the line of Richard Shannon with Craig Callum Capital group, please go ahead.

Well, thanks for letting me ask a follow and I just have 1 uh Angus here. Just wanted to touch on the on the automotive space here. Um I guess to clarifying to the degree to which the um you know, this this past quarter and kind of recent past year has been mostly related to Robo taxis. And then as we look forward to your your next gen product, she called out the um digital flash products enabled by The L4 chip here. How do we think about your go forward strategy and kind of time frames You're Expecting for you know broader volumes in the automotive space.

So that goes to, you know where where will we be uh when ultimately the the automotive Adas or consumer AAS Market is ready and you know, my goal there. So this is set apart from robot. Taxis in the comments around robot taxes being an interesting Market that may come in in the next couple years consumer, AF is still a very difficult market for us to predict, but we've been working for years on products that will be relevant in that market. Uh, when oems are ready to adopt this technology set and mass and that that adoption looks like L2 plus and L3 8s systems and consumer Vehicles. So, we're going to have the right products at the right time for them. Um, but it's very difficult to predict exactly when the volumes are going to hit in the United States, or in in in in the western world for um, for that market.

And it's why it's not built in to really our long term Financial framework. We're we're confident, we can hit our financial metrics, our 30 to 50% Revenue, growth, without needing a silver bullet, like a consumer AIDS.

Okay, I appreciate that update. That's all from me, I guess.

And it seems that we have no further questions for today. I would now like to turn the call back over to Angus Pollo for closing remarks.

Well, thank you all for joining the call. I look forward to speaking with you again in the third quarter. Thanks, all.

This concludes the meeting you may now disconnect your lines have a pleasant day.

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