Knightscope, maker of security robots, to go public

Autonomous security robot developer Knightscope of Mountain View, California, will be listed on NASDAQ under the ticker "KSCP". The company will offer Class A common shares worth $40 million at $10 per share.

Knightscope plans to use proceeds from its initial public offering (IPO) to further expand its fleet of security robots and invest in new technologies. The company has a lineup of four security robots, ranging from stationary to all-terrain.

“On this important day, I want to take the opportunity to thank the tireless Knightscope team and our more than 28,000 investors for their unwavering support. We are more committed than ever to our mission of making the United States of America the safest country in the world. We need to provide the brave women and men in uniform on our soil with advanced technology that will help them make smarter, faster and safer decisions. They deserve nothing but the best, as does every community in our great country, as we work together to reimagine public safety”

William Santana LiChairman and Chief Executive Officer of Knightscope

Knightscope was founded in 2013 and has raised more than $75 million in funding. In 2020, the company received its first federal purchase order under a contract with the General Services Administration (GSA).

The company offers its robots for sale under a robot-as-a-service (RaaS) business model. RaaS is a business model with high capital expenditures, since the RaaS provider (Knightscope) does not sell physical equipment to its customers and instead offers robots only on a subscription basis. As a result, the robots remain on Knightscope's books for their entire service life.

"At Knightscope, we think differently. On any given day you may hear things like "artificial intelligence," "autonomous technology," "robotics" and "software development." Our terminology may sound a bit different from a typical office, and we like it that way. We are self-proclaimed nerds, and we constantly brainstorm, test and implement our robot's lidar, ultrasonic sensors, GPS, wheel odometry, inertial measurement unit and anything else that can improve our robots or lead to a breakthrough in modern technology," the company said. 

Knightscope first announced its plans to go public at a shareholder meeting in September 2021. At that time, the company also said it would give priority to its more than 28,000 investors, allowing them to buy shares before the rest of the public. 

According to documents filed with the U.S. Securities and Exchange Commission (SEC), Knightscope's revenue for the first half of 2021 increased by $141,000 (9%) to $1.8 million. Revenue for the six months ended June 30, 2020, was $1.6 million.

In April 2020, Knightscope announced new software features that helped encourage social distancing at the start of the COVID-19 pandemic. The software allows Knightscope robots to identify small groups of people and then play warning messages.

"Enhance your existing security program for a small fraction of the average cost of one 24-hour security guard shift. Our autonomous security robots (ASR) are made in the USA, designed and built in Silicon Valley by Knightscope, and offer security patrols as well as physical presence that provide real-time information anytime and anywhere, giving you and your security team the ability to detect and respond faster," the company says. 

Knightscope security robots provide peace of mind 24/7/365 and have already delivered more than one million hours of service to paying customers across the United States in busy parking lots and structures, shopping centers, hospitals and corporate campuses.

Eye-level mobile surveillance provides unprecedented deterrence capabilities, heightened awareness through a visible physical presence, and high-quality evidence for prosecuting criminals.

The company's robots include:

1. Knightscope K1 is a stationary device optimized for use in small areas or at entry and exit points that, of course, operates around the clock and every day of the week. Suitable for outdoor or indoor environments, with remote monitoring from anywhere using the modern KSOC user interface.
2. Knightscope K3 is an indoor robot that operates 24/7 independently, including autonomous recharging without any human intervention. Suitable for indoor use, fully integrated into the Knightscope Security Operations Center, providing the security team with "smart eyes and ears" for more efficient and consistent coverage of a much larger area.
3. Knightscope K5 is primarily an outdoor machine that operates 24/7 independently, including autonomous recharging without any human intervention. Best suited for protecting large open spaces.
4. Customers who need a robot for more demanding off-road conditions will find the Knightscope K7 an ideal solution. The K7 will be fully integrated with the Knightscope Security Operations Center, giving law enforcement and security professionals unprecedented situational awareness.