Knightscope, Inc. Class A Common Stock LD Micro 20th Annual Main Event Conference

All right, before Chris, you take off anywhere, round of applause for Chris.

Thank you. For paying the ransom now that he held us hostage here for three days.

All right. Welcome, everyone. My name is William Santana Li. I am the founder, chairman, and CEO of Knightscope. We are building the nation's first autonomous security force. This is a unique combination of hardware, software, and humans to see if we can make the United States of America the safest country in the world. That last statement sounds a little outrageous. The crazy thing is, having now worked on the problem for over a decade, we actually have the confidence and the plan to do it. We just need to execute. Okay? I am not going to PowerPoint you to death, so some interesting stories here to share with you. Normal safe harbor stuff. We are building this new managed service provider for physical security that has never existed.

We unveiled this, at GSX, which is the largest security conference in the world, to 16,000 security professionals a few weeks back last month. We got three reactions. First, absolute excitement. At one time, we had, I think, five chief security officers and two federal agencies in our booth all at the same time. Then we had speechless, do not know what to say, and then a lot of cranky people. We are going to talk about some of the crankiness. The first one is we unveiled the K7 autonomous security robot that you saw on your way in here, to the conference. This is a completely unmanned vehicle.

I don't know how many guys have come up to us the last few days, "How do I get in?" I was like, "You missed the whole point." This runs 24/7 to patrol very large perimeters up to 10 miles an hour. It provides a physical deterrence. What does that mean? If I park the marked law enforcement vehicle in front of your home or your office, what happens to criminal behavior? It changes, right? Just physically being there with a 2,500-pound vehicle, strobe lights going, says "police" on the side or "security," it may greet you. That usually will stop half of the shenanigans. This is an important node of data that comes into the software orchestration platform I'm actually going to walk you through today. This generates about 90 terabytes of data a year that no human's going to be able to process.

The first handful, you saw MIN777. We don't have vehicle identification numbers. We have machine identification numbers. MIN777 is out in the front of the hotel. That's our first vehicle. We're setting up production now. We got our first handful of clients. We've got a very large wait list for this. We'll start scaling this up for 2027. We said this vehicle, we said we'd unveil it at GSX, then we're going to start shipping in fourth quarter of 2026, and that's exactly what we're doing. Next thing that got people really upset. We have clients, let's see, we have 435 clients across 42 states, and we're about 500 employees strong. All our armed and unarmed agents, primarily unarmed agents, are on our payroll, W2 employees. The security industry is broken. 100%-400% employee turnover rates.

They can't keep the people on the job. A security guard that's standing outside this hotel who joined here maybe in January, by April, he's not our post anymore. Right? They can't keep the people on the job. Why are we at 6% instead of 400%? We recruit very carefully. We train properly. We pay all their health benefits. We give them stock options in Knightscope. Yes, that security guard actually has a financial interest in the success of the company. Then we're going to outfit them with this crazy technology that takes some of the capabilities of our robots and puts it on their person. Right? Then there are going to be our mission intelligence people, our remote monitoring folks are in their ear. There's no one going to jump one of our guys because we have eyes everywhere.

What this has is a forward-facing camera, a rear-facing camera, a thermal scanner, so we can do persistent fire watch. It can do facial recognition, license plate recognition, and also detect a mobile device within 500 feet of the machine. There's no way you're going to sneak up on one of us. A lot of people got really cranky about this because it's proprietary to Knightscope. We are not selling this to anyone else. That goes with that vehicle that you just saw. Then people get really frustrated because what if you're able to take video gaming technology, digital twin capabilities, and provide a mission intelligence analyst a view that no one in the world has, with no blind spots, to actually remotely monitor a location with new capabilities? We said we're going to go build this crazy piece of software. We've built it. We've now deployed it this week at our own facility.

Who wants to see a demo, real Oh, yeah? Okay, good. I'm going to walk you through this demo of the capabilities of Signals. Remember all the pieces of hardware of our arsenal, all the cameras, the LiDARs, the vehicles, the humans, the stationary devices, all that is to feed data into this twin so that we can keep it alive. You have a digital twin in your pocket. It's just very old. Your Google Maps, your Apple Maps. Until that Google Map dude walks around your facility or outside your facility, you have stale data. What we have, because we have the entire stack of hardware, software, and humans, we can keep this alive. No one can do this. That gets this to be the glue that ties the entire thing together.

What you're looking at is a 3D model of our facility in Silicon Valley, in Sunnyvale. You're going to be able to literally see all the assets that feed data into this machine. The arsenal on the left is our portfolio of products. I'm not going to go through the entire list of products there, but we have stationary devices. We have mobile robots at 3 miles an hour, at 10 miles an hour. We have new emergency blue light capabilities. We're integrating camera technology that exists already that a client might already invested in that infrastructure. LiDAR technology, not for autonomy, LiDAR for detecting capability. The whole business here is to deter the negative activity, to detect the activity, and then to respond. Right? 92% of the alerts in the security industry are false. 92% of alerts are false.

We have 100 million cameras in the U.S., literally 2% of them are remotely monitored, and the rest of them are just spilling out junk. What you're able to see here is all the assets that are there for you to be able to have a real time of the facility that we're securing. Think of critical infrastructure, manufacturing facilities, data centers, water treatment plants, and the list goes on and on. Solar farms, wind farms, actual farms, ranches, et cetera. Now this crazy view is you're able to control, either autonomously move that virtual camera, or you can actually do an eye level patrol as if you were physically there. Again, the only way you're going to keep that digital model up to speed is you have armed and unarmed agents that's spitting out a massive amount of data.