BRN Discussion Ongoing

[Tothemoon24]

Brainchip Licenses Akida 2 IP to EDGEAI, Targeting Future Royalties

Brainchip Licenses Akida 2 IP to EDGEAI, Targeting Future Royalties By Editorial Team BrainChip Holdings has recently announced a global, non-exclusive licensing agreement with EDGEAI for its Akida 2 neuromorphic IP. This agreement grants EDGEAI access to Akida IP, integration documentation...

iipla.org

Nice balanced view of things

Brainchip Licenses Akida 2 IP to EDGEAI, Targeting Future Royalties​

By Editorial Team​

BrainChip Holdings has recently announced a global, non-exclusive licensing agreement with EDGEAI for its Akida 2 neuromorphic IP. This agreement grants EDGEAI access to Akida IP, integration documentation, development tools, software components, hardware support materials, and engineering assistance for design, verification, and integration.

The compensation structure for BrainChip includes milestone-based payments tied to the staged delivery of technical assets and services. Notably, ongoing royalties will be paid quarterly after EDGEAI’s commercial shipments begin, calculated as a percentage of the product sales price.

The license will remain active as long as EDGEAI uses the Akida IP, with EDGEAI having the option to terminate the agreement with one month’s written notice. While the financial impact is currently unquantifiable, BrainChip anticipates significant royalties over time based on EDGEAI’s product volume.

Annual Report Shows Production Progress​

BrainChip’s 2025 Annual Report highlighted operational advancements, including the movement of its AKD1500 to tape-out and volume production, with production silicon expected in Q3 2026. The company’s revenue surged by 374% to US$1.89 million in 2025 from US$398,011 in 2024, while the net loss after tax decreased to US$20.47 million in 2025 from US$24.43 million in the previous year.

Post year-end, BrainChip initiated the AKD2500 custom silicon development project, with prototype silicon for the AKD2500 anticipated in Q3 2026, further advancing its next-generation technology roadmap.

Financial Position Strengthened​

BrainChip’s financial runway significantly improved in 2025, with cash and cash equivalents rising to US$31.71 million at year-end 2025 from US$20.00 million in 2024. A substantial A$37 million equity raise in November 2025, comprising a A$35 million underwritten placement and a A$2 million Share Purchase Plan, further bolstered the company’s capital position. Additionally, the LDA Put Option Agreement renewal maintains a total funding commitment of A$140 million, with a minimum drawdown of A$20 million due by 30 June 2026.

Commercial Ecosystem Expansion​

BrainChip highlighted expanded partnerships and engagements in key sectors such as aerospace and defense, wearable technology, and industrial IoT connectivity. These collaborations aim to integrate Akida technology into emerging edge AI markets. The company also focuses on developer enablement, launching the MetaTF 2.13 developer hub and Developer Akida Cloud to provide developers with hardware-free access to Akida 2.

Previous commercial engagements include a US$1.8 million contract with Raytheon for neuromorphic radar signal processing, secured in December 2024 under the US Air Force Research Laboratory (AFRL) SBIR program.

Outlook and Risks​

The EDGEAI licensing agreement offers BrainChip a potential new revenue stream through royalties, contingent on EDGEAI’s product success. However, the company’s reliance on external funding and the risks associated with commercializing new technology are key considerations for investors. Delays in product development timing and customer adoption, as outlined in its annual report, remain significant risks.

 

[manny100]

Two things to consider:

a) If my memory serves me well .......... wasn't it said by the Co, that any interested Co needing over
1 Million AKD chips would be best suited / served by using our IP methodology / cost basis. If so, then this is a
significant factor for royalties

b) seems that this might be Seans 1st " BOOKING" down ..... only another 8 to go !!! would be even better imo if all
other "Booking" happened before the upcoming AGM ....

GLTALTH's

You are right. EDGEAI appear to be going all in. For BRN to say they they have expectations of material....... there is a good chance of an EDGEAI client in the background.
I can't remember another BRN ann where have straight up talked about material expectations.

 

[Pom down under]

Least our Korean salesman knows how to close a deal, just a shame about the rest

 

[7For7]

Agree, EDGEAI obviously want first mover in Korea. They want the IP even though Gen2/TENNs has not yet been validated in silicon like AKD 1000 and 1500. Probably why they needed that escape clause - but it also shows BRN complete faith in our products.
EDGEAI is a small company with limited funds.
An expectation of material revenue to comes leaves us to conclude they must have a partner willing to 'stump' up costs of integration and silicon proving otherwise there could be no expectation of future revenue right now.
They would have done their research and sold their new 'product dream' to prospective buyers - 1st mover for Gen2/TENNs - Worldwide not just Korea.

I think people are once again jumping to conclusions far too quickly. Just because EDGEAI is a small company does not mean its customers do not have the potential to place a major order. I know plenty of mid-sized businesses that generate revenues and financial results others can only dream of, even though their offices or company buildings look completely unremarkable from the outside.

And those who keep complaining about the small number of employees should make one thing clear to themselves: they are not building rockets and they are not a car manufacturer. They do not need to be. What matters is who their customers are and what could develop from that. So maybe it is better to just wait and see.

 

[FJ-215]

You are right. EDGEAI appear to be going all in. For BRN to say they they have expectations of material....... there is a good chance of an EDGEAI client in the background.
I can't remember another BRN ann where have straight up talked about material expectations.

"You are right. EDGEAI appear to be going all in. For BRN to say they they have expectations of material......."

Sweet Jesus. Where to start!!!

EDGEAI going all in????????????

With no upfront license fee (because they are a small fry with no cash??)

For BRN to say they they have expectations of material......."

NO!!! Just NO!!!!
There are no financials associated with this announcement, which means that BRN have no clue about ANY future revenue that this collaboration will deliver. If the BoD did have any indications of revenue projections from this deal, then they MUST disclose them.

Fark me, so many lying turds on this site!!!!!!!!!!!

 

[rgupta]

I think people are once again jumping to conclusions far too quickly. Just because EDGEAI is a small company does not mean its customers do not have the potential to place a major order. I know plenty of mid-sized businesses that generate revenues and financial results others can only dream of, even though their offices or company buildings look completely unremarkable from the outside.

And those who keep complaining about the small number of employees should make one thing clear to themselves: they are not building rockets and they are not a car manufacturer. They do not need to be. What matters is who their customers are and what could develop from that. So maybe it is better to just wait and see.

Can you quote a few of those mid caps and small caps who looks unremarkable from outside but gave a very good revenue!!

 

[Space Cadet]

"You are right. EDGEAI appear to be going all in. For BRN to say they they have expectations of material......."

Sweet Jesus. Where to start!!!

EDGEAI going all in????????????

With no upfront license fee (because they are a small fry with no cash??)

For BRN to say they they have expectations of material......."

NO!!! Just NO!!!!
There are no financials associated with this announcement, which means that BRN have no clue about ANY future revenue that this collaboration will deliver. If the BoD did have any indications of revenue projections from this deal, then they MUST disclose them.

Fark me, so many lying turds on this site!!!!!!!!!!!

Correct. There are some lying turds on this site. Seem to come out of the woodwork whenever something positive comes up. You know as much as the rest of us so give it a rest. The profit may be back ended as being a small company they give a larger %age in royalties instead of paying up front. Then again maybe this turns into nothing. That's business. They can't give revenue forcasts out of thin air.. It isn't legal. If Edgeai or BRN want terms of royalties paid, commercial in confidence then I'm pretty certain the two companies won't make their decisions on the wants of you. Actually I don't th8nk you even care. They say black, you say white and so forth. No agenda huh?


SC

 

[Labsy]

Agree, EDGEAI obviously want first mover in Korea. They want the IP even though Gen2/TENNs has not yet been validated in silicon like AKD 1000 and 1500. Probably why they needed that escape clause - but it also shows BRN complete faith in our products.
EDGEAI is a small company with limited funds.
An expectation of material revenue to comes leaves us to conclude they must have a partner willing to 'stump' up costs of integration and silicon proving otherwise there could be no expectation of future revenue right now.
They would have done their research and sold their new 'product dream' to prospective buyers - 1st mover for Gen2/TENNs - Worldwide not just Korea.

Agree mate, imagine being the CTO of Samsung or other large Korean tech company and seeing this announcement... And stressing they may have a shit second rate similar offering...
Now give EDGEAI a small lead of 12 months if they are dumb enough to watch what they come up with... And throw in that the CEO has 20plus years experience in the industry and balls to go it alone... Not a dumb dumb this guy.

 

[FJ-215]

Correct. There are some lying turds on this site. Seem to come out of the woodwork whenever something positive comes up. You know as much as the rest of us so give it a rest. The profit may be back ended as being a small company they give a larger %age in royalties instead of paying up front. Then again maybe this turns into nothing. That's business. They can't give revenue forcasts out of thin air.. It isn't legal. If Edgeai or BRN want terms of royalties paid, commercial in confidence then I'm pretty certain the two companies won't make their decisions on the wants of you. Actually I don't th8nk you even care. They say black, you say white and so forth. No agenda huh?


SC

Hi SC,

I care, I care alot!!!

Because I have alot of $$$ invested. I want clarity from the people I employ, to provide me with the information I require to judge on their performance going forward.

Not Asking much?????

Edit.........................


Or given the toads on this site......

Am I asking too much??????????

 

[Xray1]

You are right. EDGEAI appear to be going all in. For BRN to say they they have expectations of material....... there is a good chance of an EDGEAI client in the background.
I can't remember another BRN ann where have straight up talked about material expectations.

IMO, it will be interesting to see whether the ASX will let this Announcement go through as is or maybe they will send out a ASX query letter seeking a Co response requesting further information / clarification about material expectations / royalties ???? !!!

 

[7For7]

Can you quote a few of those mid caps and small caps who looks unremarkable from outside but gave a very good revenue!!

Feel free to do your own research…-There are plenty of them…I am certainly not going to disclose private business contacts or partners on a public forum. My point was simply that judging a company solely by its appearance or employee count is superficial and often misleading. Cheers

 

[manny100]

IMO, it will be interesting to see whether the ASX will let this Announcement go through as is or maybe they will send out a ASX query letter seeking a Co response requesting further information / clarification about material expectations ???? !!!

No doubt EDGEAI ran its chip through AKIDA Cloud to see how it went.
Obviously it passed and went through to develop a 'virtual' prototype.
Appears this has been shopped to clients with some success which explains why BRN can openly say they expect material results.
This is positive.
BRN are usually shiete scared of the ASX.
Arquimea interview episode 40 revealed that they had a run through AKIDA Cloud and as a result were looking forward to getting AKD2500 samples for their Robotics. Details of this were posted a month or so ago.
I expect we should see some more positive news from clients who have used AKIDA Cloud in the near future.
I will have to check a couple of interviews Sean did late last year but he mentioned licenses were expected as a result of AKIDA Cloud. Might have been the Marketing Interview. I have a transcript on my Lap top.

 

[Fiendish]

Hi SC,

I care, I care alot!!!

Because I have alot of $$$ invested. I want clarity from the people I employ, to provide me with the information I require to judge on their performance going forward.

Not Asking much?????

Edit.........................


Or given the toads on this site......

Am I asking too much??????????

Attention thestockexchange.com class 1 cocksucker alert has been activated. Repeat class 1 cocksucker alert activated. This is not a class 9 Kiraz drill! Full cocksucker alert! Warning! This is not a Kiraz drill! Cocksucker alert cocksucker alert! Warning this is not the good cocksucker alert where they actually cocksucker! Danger danger bad vocksuckers only! Prepare to evacuate bowels! Brainchips power up!

 

[Space Cadet]

Hi SC,

I care, I care alot!!!

Because I have alot of $$$ invested. I want clarity from the people I employ, to provide me with the information I require to judge on their performance going forward.

Not Asking much?????

Edit.........................


Or given the toads on this site......

Am I asking too much??????????

FJ,

If you are underwater, then I understand that you are not happy. Been in this a long time and like many here, were expecting a quicker return. I am also underwater but I see things moving. I don't see this agreement as the company maker but you never know. Depends what they come up with. There are some collaborations that could become that company maker, but we will probably not know until it happens. Or maybe not until the financials show us the money.

There seems to be 5 types on here.

The rusted on like me who believe.

The rusted on who are so underwater they feel they have no choice but to stay in.

Those that are so underwater and so angry they would tear the company down just to feel the satisfaction of revenge.

Those looking for a quick trip to the moon.

Those with an agenda (whether that is getting off on stirring up trouble or a shorter or making trouble on behalf of shorters or those that think they can move the price to get in lower. ---- Low percentage on here but make the most noise.

Sometimes it's hard to tell whose who in the zoo.

P.S. I actually think I have to wait up to 4 years to get the return I'm after but that is just my opinion. Things can turn fast though and one never knows what is around the corner. Geopolitical risk is my biggest fear, not the company.

SC