Business
Cyngn Executes a Pre-Order Agreement with Arauco for a Future Deployment of 100 AI-Powered Autonomous Electric Forklifts
Single largest pre-order of an ongoing AI-Powered innovation to date for Cyngn, demonstrates Arauco's proactive commitment to increased sustainability,
About this update from Cyngn Inc.
[{"type":"text","content":"Single largest pre-order of an ongoing AI-Powered innovation to date for Cyngn, demonstrates Arauco's proactive commitment to increased sustainability, efficiency, and safety in their future operations\nMENLO PARK, Calif., Aug. 8, 2023 /PRNewswire/ -- Cyngn Inc. (the \"Company\" or \"Cyngn\") (Nasdaq: CYN), a developer of AI-powered autonomous driving solutions for industrial applications, today announced a paid pre-order Agreement with Arauco, a global company of sustainable forestry products, pulp, and engineered wood that is a supplier to the furniture and construction industries. The initial 100 autonomous electric DriveMod-enabled forklifts aim to enhance Arauco's operations and drive efficiency in their material handling processes in the near future. This Pre-Order Agreement marks a significant milestone in Cyngn's DriveMod Forklift initiative that was first announced in June and exemplifies the two companies' collaborative efforts to power AI innovations. Deliveries to Arauco are targeted to begin in 2024.\n\n \n \n\n \nArauco is a well-known and established wood products supplier with over $7 billion in revenue in 2022. Arauco supplies high-quality wood products to global customers and is committed to sustainability and carbon neutrality. With the intention of electrifying their fleet of forklifts and integrating autonomous capabilities, Arauco expects to support its environmental goals, while maximizing operational productivity, efficiency, and safety.\n\"Working with a global power-house like Arauco is a testament to the transformative power of autonomous technology in the industrial sector,\" said Lior Tal, CEO of Cyngn. \"We are proud and excited to be working as the preferred forklift automation provider for Arauco and to assist them in their pursuit of sustainability, safety, and operational excellence. By combining our expertise in computer vision and AI algorithms, we are confident in delivering the performance and utility required for their operations with our DriveMod autonomous forklifts.\"\nThe initial pre-order of 100 autonomous electric forklifts refers to only a small portion of Arauco's existing fleet but represents a meaningful initial annual recurring revenue deployment for Cyngn that could cover up to approximately 20% of Cyngn's current monthly cash burn, demonstrating the potential for growth and exp...