• Deepspatial Initiates Revenue Generation
• Government Contracts Surpass $1.7 Million
• Advanced 2024 Sales Pipeline Across Global Government Verticals

TORONTO, ON / ACCESSWIRE / February 29, 2024 / Deepspatial Inc. (CSE:DSAI)(OTCQB:DSAIF) ("Deepspatial" or the "Company") is pleased to announce a significant milestone in our corporate journey, having evolved from a phase of rigorous technological validation and strategic financial planning to achieving substantial market penetration in the transformative education sector. This transition marks the beginning of our revenue-generating phase, underscoring our position as a leader in leveraging technological innovation to shape the future of education. This corporate update aims to provide our stakeholders with a detailed overview of our recent achievements, strategic decisions, and the direction we are headed as we continue to build on our success and drive value for our shareholders and partners.

Securing a Future: From Validation to Revenue Generation

The recent acquisition of a significant contract in India for our AI-driven education platform marks a watershed moment for Deepspatial AI. This contract, initially valued at $200,000, is not merely a revenue stream; it represents a strategic entry into a market with immense potential for scale and impact. The engagement, which is expected to extend into a multi-year collaboration, showcases our ability to not only develop innovative technology but also to effectively commercialize it in competitive and complex markets.

This contract win followed an intensive selection process, demonstrating our solution's superiority in both technical and commercial aspects. Our platform's unique approach, integrating Item Response Theory and novel multidisciplinary concepts, has been designed to revolutionize educational methodologies and improve learning outcomes significantly. This success is a tangible manifestation of our transition from a company focused on technological validation to one that generates significant revenue.

Building on this momentum, Deepspatial AI acknowledges the significance of our $1.5 million contract with a government body, awarded last year, for the deployment of our AI-driven solutions to enhance public sector operations. Detailed in our announcement here, this contract not only represents a notable revenue stream but also serves as a testament to our technology's capability to effectuate tangible improvements in government service delivery. This accomplishment emphasizes our strategic foray into public sector applications, expanding our reach and demonstrating the adaptability of our AI platform.

Pioneering Geo-AI Analytics for Transformative Insights

Deepspatial AI's Geo-AI Analytics Platform represents a cutting-edge blend of geospatial analysis and artificial intelligence, designed to uncover hidden insights across various scales - from state-wide to global levels. Our platform is built on a robust inference engine capable of processing diverse data sets across key sectors such as education, agriculture, and food & civil supplies.

Key Features and Value Proposition:

Inference Engine: At the heart of our platform, the inference engine is designed to share hidden insights by analyzing geospatial data. This enables state-wide, country-wide, and global inferencing capabilities.

Sector-Specific Insights: Initially focusing on education, agriculture, and enterprise-specific segments, our platform leverages state data sets to deliver tailored insights.

Scalable Insights: As we integrate more data, our platform's value grows, offering deeper insights. This scalability allows for more accurate modeling and inferencing as our customer base expands across state governments and enterprises.

Customizable Subscription Services: Our business model includes segment-specific subscriptions such as Eduverse for education, AgriVerse for agriculture, and Fitverse for health and fitness, among others. This approach allows for targeted solutions that meet the unique needs of our clients.

Deepspatial AI is committed to advancing how data-driven decisions are made, harnessing the power of Geo-AI to transform insights into actionable strategies for governments and enterprises worldwide.

Beyond Validation: Real-World Impact and Expansion

The peer-reviewed publication in collaboration with senior government officials from the education department has been a critical element of our technological validation phase. This publication not only endorsed the scientific basis of our AI/ML models but also validated their practical utility in enhancing education quality and coverage. This endorsement has been pivotal in securing the trust of our clients and partners, serving as a solid foundation for our current and future contract wins.

Our ambitions and capabilities extend beyond the Indian market. The positioning of our educational platform in Uzbekistan, through strategic partnerships with entities like Amtrak, signifies our intent to replicate our success on a global scale. These efforts underscore our platform's adaptability and relevance across diverse educational and regulatory landscapes, highlighting the universal appeal of our innovative solutions.

Deepspatial AI is proud to share a pivotal update in our corporate journey, marking our successful transition from an intensive phase of technological validation into a revenue-generating entity within the transformative education sector. A key highlight of our recent achievements includes the validation of our cutting-edge AI technology through a peer-reviewed publication, a collaboration with senior government officials in the education department, accessible at https://link.springer.com/article/10.1007/s40692-023-00297-5. This endorsement, featured in a high-profile journal, attests to the efficacy and innovation of our AI-driven solutions in addressing critical needs in education globally. As we move forward, this corporate update aims to detail our strategic financial planning, significant market penetration achievements, and our future direction, underscoring our commitment to leading technological innovation in education and creating lasting value for our stakeholders.

Looking Ahead: Strategic Focus and Growth Opportunities

As we move forward, Deepspatial AI is poised to capitalize on the significant opportunities that lie ahead. Our focus remains on expanding our footprint in existing markets, penetrating new geographies, and continuously enhancing our technology to stay at the forefront of the AI-driven revolution. The transition to a revenue-generating phase marks the beginning of a new chapter for us, one where our validated technology meets the vast market potential, driving sustainable growth and impact.

"We are at a pivotal juncture in Deepspatial AI's journey, transitioning from a period of intensive technology development and validation to seeing the tangible impact of our solutions in the market. The securing of significant government contracts and the initiation of revenue generation are not just milestones but a testament to the trust our clients place in our cutting-edge Geo-AI analytics platform. As we expand our sales pipeline across global government sectors in 2024, we remain committed to driving innovation and delivering value, marking the beginning of a new chapter in our mission to transform data into actionable insights," commented Dr. Rahul Kushwah, CEO of Deepspatial AI.

Strengthening Our Financial Foundation

Our financial strategy has been a cornerstone of our growth. In the recent past, through convertible debenture financing rounds completed in October 2022 and March 2023, we successfully raised $675,250. This was not merely a financial exercise but a strategic maneuver to engage our investor base deeply with our long-term vision. The conversion of debentures to units by a majority of holders, involving principal amounts totaling $482,000, is a testament to their faith in our vision and execution capabilities. This conversion strengthens our balance sheet and underscores the confidence our investors have in our future.

Appointment of David Yu as Independent Director

We are delighted to announce the appointment of David Yu as an independent director to our board. Mr. Yu brings a wealth of experience and a proven track record of success in the technology and business sectors. His previous roles as CEO showcases his exceptional leadership and strategic vision, vital in navigating companies through growth and innovation. His background is further enriched by a bachelor's degree in electronic engineering, and extensive experience in IT support and engineering. Mr. YU's diverse expertise and leadership qualities are invaluable assets to Deepspatial AI as we continue to advance our technological capabilities and expand our market presence.

Deepspatial AI is issuing 530,000 common shares at $0.05 each to a consultant, in acknowledgment of their pivotal services. This move highlights our strategy to integrate external expertise for enhancing our operations and market expansion.

About Deepspatial AI

Deepspatial is an outcome based artificial intelligence company, enabling organizations to enhance their decision-making capabilities by leveraging the power of data and AI. From finding the most efficient supply chain routes to knowing where to develop next, Deepspatial'sAI-driven platform enables its clients to visualize what's going on, predict what's coming, analyze data, and optimize processes to make smarter decisions for a better future. For more information, visit www.Deepspatial.ai and follow us on Twitter, Instagram or LinkedIn.

Caution regarding Forward Looking Information:

THE CANADIAN SECURITIES EXCHANGE HAS NOT REVIEWED NOR DOES IT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

This news release may contain forward-looking statements and information based on current expectations. These statements should not be read as guarantees of future performance or results of the Company. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from those implied by such statements. Although such statements are based on management's reasonable assumptions, there can be no assurance that such assumptions will prove to be correct. We assume no responsibility to update or revise them to reflect new events or circumstances. The Company's securities have not been registered under the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act"), or applicable state securities laws, and may not be offered or sold to, or for the account or benefit of, persons in the United States or "U.S. Persons", as such term is defined in Regulations under the U.S. Securities Act, absent registration or an applicable exemption from such registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in the United States or any jurisdiction in which such offer, solicitation or sale would be unlawful. Additionally, there are known and unknown risk factors which could cause the Company's actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information contained herein, such as, but not limited to dependence on obtaining regulatory approvals; the ability to obtain intellectual property rights related to its technology; limited operating history; general business, economic, competitive, political, regulatory and social uncertainties, and in particular, uncertainties related to COVID-19;risks related to factors beyond the control of the company, including risks related to COVID-19; risks related to the Company's shares, including price volatility due to events that may or may not be within such party's control; reliance on management; and the emergency of additional competitors in the industry.

All forward-looking information herein is qualified in its entirety by this cautionary statement, and the Company disclaims any obligation to revise or update any such forward-looking information or to publicly announce the result of any revisions to any of the forward-looking information contained herein to reflect future results, events or developments, except required by law.

Contacts:

For more information, please contact:

Investor Relations

Corey Matthews Investors@deepspatial.ai

Chief Executive Officer

Dr. Rahul Kushwah Rahul@deepspatial.ai

+1 (877) 475-1538

SOURCE: DeepSpatial Inc.