Axon CEO Rick Smith highlights the company’s strong financial growth and strategic position to leverage AI, driven by its extensive user base and diverse product portfolio in public safety and security. He emphasizes the advantages of domestic manufacturing, ongoing AI innovations, and collaborations with AI leaders like OpenAI, positioning Axon to capitalize on emerging opportunities across various markets amid rapid AI advancements.
In the interview, Axon CEO Rick Smith highlights the company’s strong financial performance, with nearly 40% year-over-year growth in software and services. He emphasizes that the company is in a prime position to capitalize on the AI era, leveraging its extensive user base of over a million individuals using body and in-car cameras. These devices provide real-time data that can be enhanced with AI, making the company’s offerings highly relevant and in demand in the public safety and security sectors.
Smith discusses the diverse range of Axon’s products, including tasers, body cameras, sensors, and a new counter-drone business. He attributes the company’s confidence in raising guidance to the importance of the problems they are solving for their customers, such as protecting officers from lawsuits and defending against drone threats. The company’s broad portfolio and multiple growth areas allow it to offset potential setbacks in any single segment, providing a resilient business model.
Regarding supply chain challenges, Smith notes that Axon is better positioned than many competitors because it manufactures its products domestically in the USA. This local manufacturing reduces vulnerability to global supply disruptions. He mentions that the company had already structured its supply chain with government customer preferences in mind, which has helped mitigate some of the impacts of ongoing global supply chain issues.
Smith also highlights the significant opportunities across various markets, including federal, state, local government, and commercial sectors. He points out that Axon is addressing a wide array of security needs, from retail crime prevention to military concerns about small drones. The company is actively launching new AI-powered solutions, such as real-time language translation for body cameras, which has been well-received by customers and enhances law enforcement capabilities in diverse situations.
Finally, Smith discusses the rapid advancements in AI technology, noting that AI is improving at an extraordinary rate, with performance increasing around 100 times annually across different benchmarks. Axon collaborates with leading AI partners like OpenAI, which handles the heavy development work, allowing the company to integrate cutting-edge AI solutions into its products efficiently. This strategic partnership positions Axon to remain at the forefront of AI-driven innovations in public safety and security.