Rekor launches AI traffic solution to keep US roadway data secure

COLUMBIA, Md. - Rekor Systems, Inc. (NASDAQ:REKR), a $136 million market cap technology company with a gross profit margin of 48.68%, unveiled a new cloud-based AI traffic analysis solution designed to address security concerns around roadway video data being sent overseas for processing. According to InvestingPro analysis, the stock is currently trading slightly below its Fair Value, despite showing revenue growth of 7.05% over the last twelve months.

The company announced Rekor TrafficSight on Thursday, describing it as a cloud-native application that processes traffic video exclusively within the United States, complying with U.S. data privacy and cybersecurity standards.

According to the company’s press release, the solution addresses a growing security concern where unredacted traffic video footage—potentially showing vehicles, license plates, and roadway layouts—is often sent to foreign countries for manual analysis without proper oversight.

TrafficSight extracts FHWA 13-bin classifications and vehicle counts from existing video feeds, eliminating the need for specialized hardware while ensuring sensitive roadway data remains secure from foreign access.

The company is also launching a Data-as-a-Service offering for its Rekor Discover platform, providing subscription-based access to traffic data without requiring agencies to invest in hardware or maintenance.

Additionally, Rekor introduced an Incident Detection API built on its Rekor Command platform, which was recently selected for statewide deployment by the Texas Department of Transportation. The API integrates data from multiple sources to provide real-time roadway event detection.

The company will showcase these technologies at the ITS World Congress in Atlanta from August 24-28, 2025, where it will also preview Rekor RoadView, a map-based situational awareness tool designed for city and county agencies without full-time traffic management centers. With a current ratio of 1.4 indicating adequate short-term liquidity, Rekor continues to invest in growth despite challenging market conditions. InvestingPro subscribers can access 7 additional key insights about Rekor’s financial health and growth prospects through the platform’s comprehensive Pro Research Report, one of 1,400+ detailed company analyses available.

Shobhit Jain, CPTO at Rekor, stated the company is "delivering a modern operating layer for transportation" that replaces manual data handling with secure automation and eliminates data silos through integrated intelligence.

Rekor Systems develops and implements roadway intelligence systems using AI-enabled computer vision and machine learning technology. With a beta of 2.26 indicating higher volatility than the market average, investors seeking detailed analysis can access comprehensive financial metrics and expert insights through InvestingPro’s advanced analytics platform.

In other recent news, Rekor Systems Inc. announced its second-quarter 2025 earnings, which fell short of expectations. The company reported an earnings per share (EPS) of -$0.07, which was below the forecasted -$0.06, resulting in a 16.67% negative surprise. Additionally, Rekor Systems’ revenue was $12.36 million, missing the anticipated $13.28 million, marking a 6.93% shortfall. Despite these results, the company’s stock saw an increase in after-hours trading. These developments are part of the recent updates surrounding Rekor Systems.

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