Geospace Acquires National Lab Developed Heartbeat Detector Technology

Geospace Technologies has acquired the Heartbeat Detector technology from Oak Ridge National Laboratory, a 99% effective security device for detecting hidden individuals in vehicles used in over a dozen countries. The acquisition supports Geospace's long-term growth plan and introduces a new subscription revenue model.

Geospace Technologies (NASDAQ: GEOS) has announced the acquisition of the Heartbeat Detector technology from Oak Ridge National Laboratory (ORNL), a significant move aimed at bolstering its security offerings. The Heartbeat Detector is a proprietary algorithm developed by ORNL researchers to detect individuals attempting to hide in vehicles at security checkpoints. This acquisition aligns with Geospace's long-term growth strategy and introduces a new subscription revenue model.

The Heartbeat Detector, which has been proven 99% effective by multiple national laboratories, uses a small, portable device with proprietary sensors to rapidly identify people hidden in vehicles. It has been used extensively in over a dozen countries, including the United States and several European nations, to address human trafficking and prison security. The device's effectiveness and user-friendly interface make it an attractive addition to Geospace's portfolio.

Geospace Technologies, a global manufacturer of vibration sensing and highly ruggedized products, specializes in energy, industrial, government, and commercial applications. The company's CEO, Rich Kelley, stated that the acquisition responds to market demand for accurate, simple, and portable security technologies. The Heartbeat Detector will be offered on a subscription basis, enabling customers to streamline acquisition through lower upfront costs and generating recurring revenue for Geospace.

Jen Caldwell, director of technology transfer at Oak Ridge National Labs, expressed satisfaction with the successful commercialization of the heartbeat detection technology. Andrew White, president of GeoVox Security, Inc., which first licensed and commercialized the technology from ORNL, also expressed gratitude for the transition into Geospace's business model, further advancing his father's legacy in safety and security technology.

This acquisition is part of Geospace's strategy to expand its Intelligent Industrial business segment, which includes perimeter security and surveillance solutions. With a market size for global prison facilities estimated at 10,000 locations and over 300 manned border checkpoint crossings in the United States, the Heartbeat Detector technology presents a substantial opportunity for Geospace to grow its customer base and revenue streams.

References:
[1] https://www.theglobeandmail.com/investing/markets/stocks/GEOS-Q/pressreleases/33868100/geospace-technologies-acquires-national-lab-developed-heartbeat-detector-technology/
[2] https://seekingalpha.com/news/4478008-geospace-technologies-acquires-national-lab-developed-heartbeat-detector-technology