Knightscope announced it purchased Event Risk LLC, a national security guard firm, earlier this year.
Not uncommon to hear stories like this, but the dynamics always seemed backward to me. The purchase should have been the other way around.
Knightscope is a high tech Silicon Valley company. I know nothing about them, but can infer they are VC funded, and their valuation is based on hope and "tech this, tech that, and AI everywhere", funded by the lemmings, the pied piper, and the kingdom of the emperor's new clothes.
And, they have failed to make a product that actually won in the marketplace, being dropped by early customers, and are in some serious debt. They pin their hopes on buying a company that may actually be smaller but has a service that works, is probably profitable (or, at least a balanced sheet), has been around awhile, and would likely do just fine on their own without any interference - BUT - they are small potatoes because they are not high tech chi chi, and they are not funded by SiVal VC.
So, who should by whom? Event Risk, the security people company, could rightly look into improving services and efficiency by using tech products like those made by Knightscope the security tech company - test it out, see if it fits, adopt it if promising, etc. - and if it really works, even buy up Knightscope. That makes sense from an operational and business alignment point of view.
But, it's going the other way, because of desparation, VC money, false hopes that more VC money will rescue failure. The losers are buying the winners, but it should be the other way around.
Seems like I heard this story about umpty million times in the past 30 years. I wonder what the statistics are on how those mergers and acquisitions actually pan out, and if the VC's do their diligence in pre-assessing all of this.