Kudan announced that it has signed a Memorandum of Understanding (MOU) for a partnership with XGRIDS LIMITED (XGRIDS), a Hong Kong-based leading provider of spatial computing products. XGRIDS, founded by Kaiyong Zhao, who previously oversaw 3D technology and global operations at DJI, the world's largest drone manufacturer, and backed by Sequoia Capital, the world's leading venture capital firm in the US, provides handheld scanner devices and 3D reconstruction technology for the digital twin and is expanding rapidly, particularly in the Asian and European market. This time, Kudan and XGRIDS have agreed to enter into a business partnership to further accelerate the development of the digital twin and autonomous mobile robot markets through mutual cooperation.

Specifically, with the objective of turning commercial projects into solution businesses, which Kudan has defined as one of its core areas for growth, the company is working with XGRIDS to expand the line-up of available mapping equipment to ultra-lightweight, high-precision hand-held devices, in addition to the traditional backpack and vehicle-mounted devices, with the aim of further expanding the company's business opportunities. In addition, the two companies will collaborate and mutually use their sales networks--for Kudan specifically in Japan and Europe and for XGRIDS in Asia-Pacific--to strengthen their sales capabilities and promote the spread of new technology. Furthermore, Kudan and XGRIDS will also work together to jointly conduct technological innovations and develop high-value-added solutions for the mobile mapping, digital twin and autonomous robot markets by utilising each other's technological and market knowledge.

As Kudan technology progresses into customer commercialization for the digital twin, the company will continue to deepen cooperation with various partner companies to encourage not only the development and penetration of the technology, but also the development of the industry as a whole. Schedule: Date of agreement of the partnership: June 25, 2024. Future Outlook: The effect of this cooperation on the company's fiscal performance is currently under review.

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