BRN Discussion Ongoing

[Bennysmadness]

Any idea if Innoviz are using AKIDA for their Lidar? Just signed a 4B deal with VW and have more sales through BMW. They say sales will be around 8 million units

Well Well, what do we have here? Nail on the head I would say.

 

[TechGirl]

Well Well, what do we have here? Nail on the head I would say.

 

[alwaysgreen]

I recall 50 cents per chip being thrown around a while back. Pretty sure it came from management but take this with a grain of salt as I can't be certain. I think it was at the same time they mentioned that royalties will also be dependant on the final cost or quantity of the product it is being utilised in. I'll try and dig up the comments.

Okay, so I did some digging and came up short so ignore my 50 cent royalty comment unless someone else recalls this. Some things I found though are interesting (old news though).

- We are all expecting revenue growth to outstrip cost growth later this year (so revenue will be coming in) but in the Pitt St research paper , it states "First license agreement with a major ASIC manufacturer announced in December 2020. This license was paid at the beginning of 2021 and royalties are expected in 2023".
- The paper also states the following on Royalties (and remember, the paper was written with Brainchip's involvement: We believe the most lucrative future revenue stream for the company will be royalties paid by customers for each product they sell that
includes Akida IP. These royalties are usually a percentage of the customer’s revenue from sales and typically range from 2% to 15%, again depending on the intended application areas, the amount of IP used and expected production volumes. Notably, royalty percentages also depend on the uniqueness of the IP that is being licensed. As the specifications and features of Akida are quite unique vs. other technologies, including Intel’s Loihi and IBM’s TrueNorth, this may help the company charge higher-than-average royalty percentages for Akida.
Other royalty revenue models simply use a fixed dollar amount per chip sold. This is a preferred model for many high-volume production companies,
including cell phone manufacturers. This should put to bed any guessing of royalty percentages.

 

[equanimous]

Pitt Street Research Re rate from $1.50 to $2.30

How to benefit from BrainChip’s breathtaking potential in 2022

In this article we’ll look at what is driving BrainChip’s share price and how you can play this high-potential stock from a technical analysis point of view in a volatile share market.

stocksdownunder.com

 

[Space Cadet]

I like how this is worded. Link to full doc below.

Towards dedicated, specialized AI-workload processors, BrainChips’s Akida neuromorphic processor is a revolutionary advanced neural networking processor that brings artificial intelligence to the edge [133]. The Akida NSoC is designed for use as a stand-alone embedded accelerator or as a co-processor, while also including interfaces for ADAS sensors, audio sensors, and other IoT sensors.

https://ieeexplore.ieee.org/stamp/stamp.jsp?arnumber=9785622

SC

 

[thelittleshort]

Recent email correspondence between myself and motoring writer Tony Davis from the Australian Financial Review:

On Sat, 6 Aug 2022 at 12:23, thelittleshort wrote:
Hi Tony

I just read your great article on Baraja (link)

Have you considered writing a similar piece on BrainChip? Another Australian company with an extremely bright future

BrainChip Akida neuromorphic IP is included in the EQXX concept EV from Mercedes Benz and is also being adopted by some amazing partners including Ford and NASA

Not sure if you are aware of BrainChip already? If not they are definitely worth a bit of research and will be a classic Australian success story within a couple of years

Appreciate your time
Cheers
thelittleshort



On 6 Aug 2022, at 7:51 pm, Tony Davis <tony.crossmedia@gmail.com> wrote:
Hey thelittleshort, thanks for the note. send me some more info and i will read with interest, cheers, tony



On Mon, 8 Aug 2022 at 13:34, thelittleshort wrote:
Hi Tony

Thanks for your interest. Specific BrainChip automotive info and links below. Hopefully they pique your interest.
BrainChip have many irons in the fire, with automotive being only one market that their technology is going to disrupt

Here is an AFR article by Tony Boyd from January 2022 about BrainChip generally as a tech stock to watch

Description of BrainChip's tech itself from their website. This gives an overview of the technology itself
BrainChip is a global technology company that is producing a ground breaking neuromorphic processor that brings artificial intelligence to the edge in a way that is beyond the capabilities of other products. The chip is high performance, small, ultra-low power and enables a wide array of edge capabilities that include on-chip training, learning and inference. The event-based neural network processor is inspired by the spiking nature of the human brain and is implemented in an industry standard digital process. By mimicking brain processing BrainChip has pioneered a processing architecture, called Akida™, which is both scalable and flexible to address the requirements in edge devices. At the edge, sensor inputs are analyzed at the point of acquisition rather than through transmission via the cloud to a data centre. Akida is designed to provide a complete ultra-low power and fast AI Edge Network for vision, audio, olfactory and smart transducer applications. The reduction in system latency provides faster response and a more power efficient system that can reduce the large carbon footprint of data centres.

BrainChip White Paper: Designing Smarter and Safer Cars With Essential AI https://brainchip.com/wp-content/uploads/2022/07/BrainChip_Designing-Smarter-Safer-Cars.pdf

Conventional AI silicon and cloud-centric inference models do not perform efficiently at the automotive edge. This makes it challenging to manufacture vehicles with highly personalized in-cabin systems and advanced assisted driving capabilities. To speed up the development of smarter and safer vehicles, innovative automotive companies are untethering edge AI functions from the cloud - and performing distributed inference computation on local neuromorphic AKIDA silicon. With AKIDA-powered smart sensors and AI accelerators, automotive companies are designing lighter, faster, and more energy efficient in-cabin systems that enable advanced driver verification and customization, sophisticated voice control technology, and next-level gaze estimation and emotion classification capabilities. In addition to redefining the in-cabin experience, AKIDA supports new computer vision and LiDAR systems that detect vehicles, pedestrians, bicyclists, street signs, and objects with incredibly high levels of precision. These fast and energy efficient ADAS systems are already helping automotive companies accelerate the rollout of increasingly advanced assisted driving capabilities.

From Mercedes Benz regarding the inclusion of BrainChip's Akida in their concept EV VISION EQXX https://group-media.mercedes-benz.com/marsMediaSite/instance/ko.xhtml?oid=52282663&filename=VISION-EQXX--taking-electric-range-and-efficiency-to-an-entirely-new-level

Neuromorphic computing – a car that thinks like you: Another key efficiency feature of the VISION EQXX that takes its cue from nature is the way it thinks. It uses an innovative form of information processing called neuromorphic computing. The hardware runs so-called spiking neural networks. Information is coded in discrete spikes and energy is only consumed when a spike occurs, which reduces energy consumption by orders of magnitude. Working with California-based artificial intelligence experts BrainChip, Mercedes-Benz engineers developed systems based on BrainChip’s Akida hardware and software. The example in the VISION EQXX is the “Hey Mercedes” hot-word detection. Structured along neuromorphic principles, it is five to ten times more efficient than conventional voice control. Although neuromorphic computing is still in its infancy, systems like these will be available on the market in just a few years. When applied on scale throughout a vehicle, they have the potential to radically reduce the energy needed to run the latest AI technologies.

From EE Times - Mercedes Applies Neuromorphic Computing in EV Concept Car by Sally Ward-Foxton https://www.eetimes.com/mercedes-applies-neuromorphic-computing-in-ev-concept-car/

The Mercedes Vision EQXX concept car, promoted as “the most efficient Mercedes-Benz ever built,” incorporates neuromorphic computing to help reduce power consumption and extend vehicle range. To that end, BrainChip’s Akida neuromorphic chip enables in-cabin keyword spotting as a more power-efficient way than existing AI-based keyword detection systems. As automakers shift their focus to electric vehicles, many are struggling to squeeze every last volt from a single battery charge. The need to reduce power consumption in vehicle electronic systems has therefore become critical to extending EV range. Touting Vision EQXX as “a car that thinks like you,” Mercedes promises range of more than 1,000 km (about 620 miles) on a single charge. “Working with California-based artificial intelligence experts BrainChip, Mercedes-Benz engineers developed systems based on BrainChip’s Akida hardware and software,” Mercedes noted in a statement describing the Vision EQXX. “The example in the Vision EQXX is the “Hey Mercedes” hot-word detection. Structured along neuromorphic principles, it is five to ten times more efficient than conventional voice control,” the carmaker claimed.

Valeo
BrainChip signs joint development agreement for Akida neuromorphic chip with Valeo https://smallcaps.com.au/brainchip-joint-development-agreement-akida-neuromorphic-chip-valeo/

NVISO
https://www.nviso.ai/en/news/nviso-...-computing-using-the-brainchip-akida-platform
In this video BrainChip’s eco-system partner, Nviso, demonstrates Emotion Detection running on the BrainChip AKD1000 reference board BrainChip + Nviso Emotion Detection Demo
https://brainchip.com/brainchip-and-nviso-partner-automotive-edge-devices/

Cheers
thelittleshort



From: Tony Davis <tony.crossmedia@gmail.com>
Subject: Re: BrainChip
Date: 9 Aug 2022 at 10:08 am
To: thelittleshort

thanks thelittleshort, leave it with me ... might work for a supplement i am doing a little later in the year, cheers, tony

 

[buena suerte :-)]

Recent email correspondence between myself and motoring writer Tony Davis from the Australian Financial Review:

View attachment 13662


On Sat, 6 Aug 2022 at 12:23, thelittleshort wrote:
Hi Tony

I just read your great article on Baraja (link)

Have you considered writing a similar piece on BrainChip? Another Australian company with an extremely bright future

BrainChip Akida neuromorphic IP is included in the EQXX concept EV from Mercedes Benz and is also being adopted by some amazing partners including Ford and NASA

Not sure if you are aware of BrainChip already? If not they are definitely worth a bit of research and will be a classic Australian success story within a couple of years

Appreciate your time
Cheers
thelittleshort



On 6 Aug 2022, at 7:51 pm, Tony Davis <tony.crossmedia@gmail.com> wrote:
Hey thelittleshort, thanks for the note. send me some more info and i will read with interest, cheers, tony



On Mon, 8 Aug 2022 at 13:34, thelittleshort wrote:
Hi Tony

Thanks for your interest. Specific BrainChip automotive info and links below. Hopefully they pique your interest.
BrainChip have many irons in the fire, with automotive being only one market that their technology is going to disrupt
Here is an AFR article by Tony Boyd from January 2022 about BrainChip generally as a tech stock to watch

Description of BrainChip's tech itself from their website. This gives an overview of the technology itself
BrainChip is a global technology company that is producing a ground breaking neuromorphic processor that brings artificial intelligence to the edge in a way that is beyond the capabilities of other products. The chip is high performance, small, ultra-low power and enables a wide array of edge capabilities that include on-chip training, learning and inference. The event-based neural network processor is inspired by the spiking nature of the human brain and is implemented in an industry standard digital process. By mimicking brain processing BrainChip has pioneered a processing architecture, called Akida™, which is both scalable and flexible to address the requirements in edge devices. At the edge, sensor inputs are analyzed at the point of acquisition rather than through transmission via the cloud to a data centre. Akida is designed to provide a complete ultra-low power and fast AI Edge Network for vision, audio, olfactory and smart transducer applications. The reduction in system latency provides faster response and a more power efficient system that can reduce the large carbon footprint of data centres.

BrainChip White Paper: Designing Smarter and Safer Cars With Essential AI https://brainchip.com/wp-content/uploads/2022/07/BrainChip_Designing-Smarter-Safer-Cars.pdf

Conventional AI silicon and cloud-centric inference models do not perform efficiently at the automotive edge. This makes it challenging to manufacture vehicles with highly personalized in-cabin systems and advanced assisted driving capabilities. To speed up the development of smarter and safer vehicles, innovative automotive companies are untethering edge AI functions from the cloud - and performing distributed inference computation on local neuromorphic AKIDA silicon. With AKIDA-powered smart sensors and AI accelerators, automotive companies are designing lighter, faster, and more energy efficient in-cabin systems that enable advanced driver verification and customization, sophisticated voice control technology, and next-level gaze estimation and emotion classification capabilities. In addition to redefining the in-cabin experience, AKIDA supports new computer vision and LiDAR systems that detect vehicles, pedestrians, bicyclists, street signs, and objects with incredibly high levels of precision. These fast and energy efficient ADAS systems are already helping automotive companies accelerate the rollout of increasingly advanced assisted driving capabilities.

From Mercedes Benz regarding the inclusion of BrainChip's Akida in their concept EV VISION EQXX https://group-media.mercedes-benz.com/marsMediaSite/instance/ko.xhtml?oid=52282663&filename=VISION-EQXX--taking-electric-range-and-efficiency-to-an-entirely-new-level

Neuromorphic computing – a car that thinks like you: Another key efficiency feature of the VISION EQXX that takes its cue from nature is the way it thinks. It uses an innovative form of information processing called neuromorphic computing. The hardware runs so-called spiking neural networks. Information is coded in discrete spikes and energy is only consumed when a spike occurs, which reduces energy consumption by orders of magnitude. Working with California-based artificial intelligence experts BrainChip, Mercedes-Benz engineers developed systems based on BrainChip’s Akida hardware and software. The example in the VISION EQXX is the “Hey Mercedes” hot-word detection. Structured along neuromorphic principles, it is five to ten times more efficient than conventional voice control. Although neuromorphic computing is still in its infancy, systems like these will be available on the market in just a few years. When applied on scale throughout a vehicle, they have the potential to radically reduce the energy needed to run the latest AI technologies.

From EE Times - Mercedes Applies Neuromorphic Computing in EV Concept Car by Sally Ward-Foxton https://www.eetimes.com/mercedes-applies-neuromorphic-computing-in-ev-concept-car/#

The Mercedes Vision EQXX concept car, promoted as “the most efficient Mercedes-Benz ever built,” incorporates neuromorphic computing to help reduce power consumption and extend vehicle range. To that end, BrainChip’s Akida neuromorphic chip enables in-cabin keyword spotting as a more power-efficient way than existing AI-based keyword detection systems. As automakers shift their focus to electric vehicles, many are struggling to squeeze every last volt from a single battery charge. The need to reduce power consumption in vehicle electronic systems has therefore become critical to extending EV range. Touting Vision EQXX as “a car that thinks like you,” Mercedes promises range of more than 1,000 km (about 620 miles) on a single charge. “Working with California-based artificial intelligence experts BrainChip, Mercedes-Benz engineers developed systems based on BrainChip’s Akida hardware and software,” Mercedes noted in a statement describing the Vision EQXX. “The example in the Vision EQXX is the “Hey Mercedes” hot-word detection. Structured along neuromorphic principles, it is five to ten times more efficient than conventional voice control,” the carmaker claimed.

Valeo
BrainChip signs joint development agreement for Akida neuromorphic chip with Valeo https://smallcaps.com.au/brainchip-joint-development-agreement-akida-neuromorphic-chip-valeo/

NVISO
https://www.nviso.ai/en/news/nviso-...-computing-using-the-brainchip-akida-platform
In this video BrainChip’s eco-system partner, Nviso, demonstrates Emotion Detection running on the BrainChip AKD1000 reference board BrainChip + Nviso Emotion Detection Demo
https://brainchip.com/brainchip-and-nviso-partner-automotive-edge-devices/

Cheers
thelittleshort



From: Tony Davis <tony.crossmedia@gmail.com>
Subject: Re: BrainChip
Date: 9 Aug 2022 at 10:08 am
To: thelittleshort

thanks thelittleshort, leave it with me ... might work for a supplement i am doing a little later in the year, cheers, tony

That's awesome ... great work @thelittleshort

 

[Slymeat]

Hope you guys might be able to help me here. I am a retired banker so the BrainChip thing is amazing for me to understand (and most of I still don’t get) but being a shareholder is a privilege.

I am on holiday presently in Seville, and I met a bloke who is the CTO of The Linux Foundation in the US.

https://www.linuxfoundation.org/.

He is telling me of Open Source computing and how it is vital in the current evolution of computing. I suggested Brainchip was too, but was out of my depth in keeping up with him. Can anyone guide me to anything that might help my understanding of where Open Source fits in, and is it relevant to us?

Oh, I just heard Olivia Newton John just passed away. I am crying, especially with Judith Durham a few days ago

If you get to see this person again (I assume it is Nirav Patel you are talking about), ask him if he knows Andrew Morton, lead developer and maintainer of the Linux kernel. Andrew is also employed by Google. I used to work with Andrew back in the 1990s, we were jogging buddies too. I expect the CTO of the Linux Foundation probably has a working relationship with him. But I digress.

Open source means anyone can write software and others can use it freely. Even better, the actual source code is published in such a way that others can see the actual source code and can even modify it and re-publish it. That happens quite often and is how the community assists itself. This could help Akida uptake as people write software that can utilise Akida’s IP, and then users need to buy a licence, or buy hardware, or pay for IP on which to run their solution.

You probably have seen that software @uiux has been sharing. That’s on a platform that is used for software developers to share their code openly. And that is what @uiux is doing. And uiux’s software can help others work with Akida! At least show them some things that are possible and how simple it is.

For the coding I used to do, we were never allowed to use open source or publish our code as open source. Sometimes we had to work on air-gaped computers in secure internal rooms. It was secret squirrels stuff. I only add that as I expect a lot of companies developing systems utilising Akida may be in the same boat. Their code is the opposite of open-source as their livelihood depends on it. But any open source stuff out there will certainly help with prototyping and proof-of-concept work to show to investors and the like.

My view is that open source is for playing with and testing the waters only. If that is what was meant by “vital to the current evolution of computing” then I agree.

Any real-world, life-critical programs most likely will not contain open source code. The operating system may very well be open source itself, but the applications won’t.

 

[uiux]

If you get to see this person again (I assume it is Nirav Patel you are talking about), ask him if he knows Andrew Morton, lead developer and maintainer of the Linux kernel. Andrew is also employed by Google. I used to work with Andrew back in the 1990s, we were jogging buddies too. I expect the CTO of the Linux Foundation probably has a working relationship with him. But I digress.

Open source means anyone can write software and others can use it freely. Even better, the actual source code is published in such a way that others can see the actual source code and can even modify it and re-publish it. That happens quite often and is how the community assists itself. This could help Akida uptake as people write software that can utilise Akida’s IP, and then users need to buy a licence, or buy hardware, or pay for IP on which to run their solution.

You probably have seen that software @uiux has been sharing. That’s on a platform that is used for software developers to share their code openly. And that is what @uiux is doing. And uiux’s software can help others work with Akida! At least show them some things that are possible and how simple it is.

For the coding I used to do, we were never allowed to use open source or publish our code as open source. Sometimes we had to work on air-gaped computers in secure internal rooms. It was secret squirrels stuff. I only add that as I expect a lot of companies developing systems utilising Akida may be in the same boat. Their code is the opposite of open-source as their livelihood depends on it. But any open source stuff out there will certainly help with prototyping and proof-of-concept work to show to investors and the like.

My view is that open source is for playing with and testing the waters only. If that is what was meant by “vital to the current evolution of computing” then I agree.

Any real-world, life-critical programs most likely will not contain open source code. The operating system may very well be open source itself, but the applications won’t.

Open source indeed

stdp - Overview

Artificial Intelligence is a hobby. stdp has 9 repositories available. Follow their code on GitHub.

github.com

 

[Deleted member 118]

We going to see some action with the sp today

 

[buena suerte :-)]

We going to see some action with the sp today

Making a nice run up maybe we will hit that elusive $1.20 today

 

[Esq.111]

Morning Chippers,

Gross shorted stock for Monday 8 August 2022,

1,469,150

Regards,
Esq.

 

[gex]

Morning Chippers,

Gross shorted stock for Monday 8 August 2022,

1,469,150

Regards,
Esq.

 

[Zedjack33]

Raspberry Pi Pico W lets your houseplant text you - Raspberry Pi

With Raspberry Pi Pico W and Pimoroni's Grow Kit, Sandeep Mistry has achieved many houseplant lovers' dream: talking to his botanical buddy.

www.raspberrypi.com

 

[Bravo]

It wouldn't surprise me if we were involved in this in some way, shape or form.


Ericsson, Thales, global leader in Aerospace, Defence, Security & Digital Identity, and wireless technology innovator Qualcomm Technologies, Inc. are planning to take 5G out of this world and across a network of Earth-orbiting satellites.

/ATTACH]

Ericsson, Qualcomm and Thales to take 5G into space IT Voice | IT in Depth

Ericsson (NASDAQ: ERIC), Thales (Euronext Paris: HO), global leader in Aerospace, Defence, Security & Digital Identity, and wireless technology innovator Qualcomm Technologies, Inc. (NASDAQ: QC…

www.itvoice.in

 

[Esq.111]

Morning Chippers,

Well, well, well ,

That mysterious sell order has appeared again.

700,515 shares @ $1.25

LETS WATCH IT BOUNCE AROUND FOR THE DAY, CAPPING THE SHARE PRICE.

Esq.

 

[Slymeat]

View attachment 13670

Nothing a quick dip in a bath of liquid nitrogen can’t fix. Shattered dreams

 

[Frank Zappa]

Pitt Street Research Re rate from $1.50 to $2.30

How to benefit from BrainChip’s breathtaking potential in 2022

In this article we’ll look at what is driving BrainChip’s share price and how you can play this high-potential stock from a technical analysis point of view in a volatile share market.

stocksdownunder.com

I’ll start their accumulating strategy now . I’ll start at the recommended share price of 30cents then again at 40cents then 50cents then 75cents . Man I’m going to be able to load up big at these attractive entry prices . Great recommendation

 

[Bravo]

Pitt Street Research Re rate from $1.50 to $2.30

How to benefit from BrainChip’s breathtaking potential in 2022

In this article we’ll look at what is driving BrainChip’s share price and how you can play this high-potential stock from a technical analysis point of view in a volatile share market.

stocksdownunder.com

Wow! Thanks @equanimous for posting this. What a terrific write up! Here's the full version incase anyone forgot to click on the link.

How to benefit from BrainChip’s breathtaking potential in 2022​

Behzad Golmohammadi, June 17, 2022

Who is BrainChip?​

BrainChip Holdings Ltd (ASX: BRN) develops software and hardware solutions for artificial intelligence (AI) and machine learning applications. The company’s key product is the Akida Neuromorphic Processor, which is in essence a Spiking Neural Network (SNN). It provides ultra-low power and fast AI (artificial intelligence) Edge computing solutions without the need for a continuous internet connection. Additionally, unsupervised learning capabilities and on-chip processing (rather than in the Cloud) set Akida apart from other AI solutions on the market.


Akida can be used in a range of applications, like vision and audio, which in turn are used in a wide variety of industries, such as automotive, robotics, aerospace and cybersecurity to name just a few. BrainChip was incorporated in 2011 and is based in Sydney, Australia.
We have covered BrainChip and its revolutionary SNN technology extensively at Stocks Down Under and Pitt Street Research. You can use the following links for an in-depth explanation of BrainChip’s technology and business model:

• BrainChip on Pitt Street Research
• Interview with BrainChip (ASX: BRN) CEO Sean Hehir
• BrainChip (ASX: BRN): Welcome to the revolution!
• BrainChip (ASX: BRN): Why we like this stock so much

Additionally, we have also written about BrainChip multiple times in Stocks Down Under, accessible to Stocks Down Under subscribers.
In this article we’ll look at what is driving BrainChip’s share price and how you can play this high-potential stock in a volatile share market from a technical analysis point of view. Let’s start by taking a look at BrainChip’s share price chart to see what moved the share price after the Corona Crash.

BrainChip Holdings, Weekly Chart in Semi-log Scale (Source: Metastock)

❶ BrainChip announces an agreement with a US-based automotive manufacturer for evaluation of BRN’s Akida neural network System-on-Chip (SoC) for Advanced Driver Assistance Systems (ADAS) and Autonomous Vehicle (AV) applications. (Akida Evaluation Agreement)
❷ BRN signs a joint development agreement with a tier-1 European automotive supplier of sensors and systems to utilise Akida for ADAS and AV applications. (Joint Development Agreement Executed)
❸ BRN announces completion of wafer fabrication of the Akida device to be used in the evaluation programs of those customers who signed agreements with BrainChip. (Akida Wafer Fabrication Complete)
❹ BRN announces a partnership with Magic Eye Inc., a developer of revolutionary 3D sensors, to use BRN’s Akida neuromorphic processor in object detection applications. (Partnership with Magik Eye Inc)
❺ BRN signs a collaboration agreement with VORAGO Technologies, a US-based technology company, to support a Phase 1 NASA program for a neuromorphic processor that meets space flight requirements. (Vorago Technologies Collaboration)
❻ NASA places an order under the Akida Early Access Program and BRN signs its first Akida IP license agreement with Renesas Electronics America Inc., a tier 1 semiconductor manufacturer. (NASA Early Access Program Order) – (First Akida IP License Agreement)
❼ BRN addition to the ASX 300 Index. (S&P DJI Announces March 2021 Quarterly Rebalance)
❽ BRN begins taking orders for the Akida AI Processor Development Kits. (Taking Orders for Akida AI)
❾ BRN enters into a multi-year license agreement for the Akida IP with MegaChips, a pioneer in Application Specific Integrated Circuits (ASIC’s), to enhance its technology positioning for next-generation AI solutions. (Megachips’ License Agreement)
❿ Increased media attention to the AI industry and tier 1 companies joining BRN’s Early Access Program customer list increases retail investors’ attention and confidence in the stock. (Response to ASX Price Query)

ADAS and autonomous driving are major catalysts for BrainChip​

The COVID-19 pandemic introduced unprecedented challenges to the semiconductor industry, which led to global chip shortages that automatically brought substantial investor and media attention to stocks in this industry. In addition, the near-zero interest rate environment encouraged investment in growth and speculative tech stocks. At the same time, there have been ongoing discussions surrounding climate change and how to reduce global carbon emissions, which has further propelled the Electric Vehicles (EV) revolution.
An important point of competition amongst EV manufacturers is their vehicles’ driver assistance and autonomous driving capabilities. While Tesla, the American automotive and clean energy company, is way ahead of its competitors in terms of autonomous driving and driver assistance capabilities, traditional auto makers getting into EVs are striving for any technology that can help them in their battle with Tesla. This is why BrainChip’s Akida neural network System-on-Chip (SoC) is receiving increasing attention from tier 1 auto and auto parts makers in Europe and elsewhere.
Looking for advanced technologies to fill their knowledge gaps, they have come across BrainChip that checks all their ADAS boxes when it comes to required semiconductor IP. No wonder, then, that every time the company announced new milestones and deals, the share price reacted very sharply, to the extent that it grew from 3 cents in March 2020 to $2.34 in January 2022, an astronomical growth of 7700% in less than two years.

Less and less risky, but with high potential​

After BRN’s exponential growth through January 2022, the share price started a correction in line with the rest of the tech sector as the enthusiasm for speculative tech stocks started to wane due to fast rising interest rates. This share price decline, however, might not be all bad news for the true believers in BrainChip’s technology as it presents new opportunities to buy the stock at lower levels.
Many of the reasons that made BrainChip attractive in the tech boom are still in place. There are still chip shortages and car manufacturers still need the relevant semiconductor IP and the actual chips to give them an advantage over their competitors, or to play a role in ADAS and AV in the first place.
And BrainChip’s technology has kept showing more and more promise by successfully passing product development milestones. There is now a number of tier 1 companies testing the utility of BrainChip’s Akida AI processor kits for their respective applications, which increases the chances of getting some good news flow any time in the following months.
In other words, we believe BRN has largely completed its development stage and is now moving into the commercialisation stage under the leadership of new CEO Sean Hehir, who we spoke to recently. As a consequence, we believe BRN, the share, is getting less and less risky.
On top of that, BRN has just been admitted to the ASX 200, which will trigger mandatory institutional buying as BRN now falls within the investment mandate of many institutional investors that invest in the ASX 200.

Upside potential to $2.30​

As the interest rate hikes by central banks and the sell-down of risk assets continue for the foreseeable future and in the potential absence of any exciting news from BRN in the near term, we expect the share price to drift lower under its own weight.
However, in a more likely scenario, at least in our view, there will be successful development news from one or more of BRN’s Early Access Program customers or news around new commercial deals with tier 1 or tier 2 semiconductor companies. Given that the company is in discussions with many prospects at the same time, such news flow can be expected at any time and could have the potential to send the share price back up towards its all-time high of $2.34 in the initial market reaction to the news.

How to play BRN​

So, we suggest buying BRN in stages to take advantage of dips in the share price for a more attractive average entry price to make sure you don’t miss out entirely on potential good news flow.
Prices near the technical support levels shown on the chart (the green lines) can be attractive to executing this step-by-step entry strategy. These support levels in order are 75 cents, 50 cents, 40 cents and 30 cents.

Disclosure: Pitt Street Research/Stocks Down Under directors own shares in BrainChip. And the company is a research client at Pitt Street Research.

 

[Xhosa12345]

would love a price sensitive ann or 2 to come out, i know im dreaming, but it really would be nice, just to really bed in this share price at worse.

love a trading halt first also, just to make the shorters sweat and panic.... dreaming again.

push on we do! and have trust in the co...

imo.