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XTI Aerospace CEO Letter to Shareholders

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ENGLEWOOD, Colo., April 1, 2025 /PRNewswire/ — XTI Aerospace, Inc. (Nasdaq: XTIA) (“XTI” or the “Company”), a pioneer in VTOL and powered-lift aircraft solutions, today released the following letter from the Company Chairman and CEO Scott Pomeroy to shareholders.

Dear Shareholders,

It has been just over a year since I was appointed Chief Executive Officer of XTI Aerospace, coinciding with our Nasdaq listing. For several years, I had recognized the promise of the TriFan 600 vertical take-off and landing aircraft, having served on the board of AVX Aircraft Company since 2009.  Admittedly, I was less familiar with the significant hurdles we would have to overcome before we might be assessed based on the merits of our business model.

When XTI commenced trading on Nasdaq on March 13, 2024, the day after I had been named CEO, XTI assumed post-merger obligations to the holders of equity-based or equity-linked financing instruments and commitments to pre-reverse merger management of approximately $30 million. The nature and size of these obligations significantly limited access to fundamentally minded capital, leaving our ability to meet these obligations and advance the business largely limited to our ability to sell our stock at-the-market.

On January 7, 2025, our common stock traded approximately a billion shares, and we sold $20 million in value of common stock at-the-market. At that time, even after using 20% of proceeds towards those obligations, our total obligations still exceeded $7 million after these payments and represented outstanding balances of these stock and cash obligations to prior management and secured debt incurred subsequent to closing the merger. Shortly thereafter, on January 10, 2025, we effected a reverse split to regain compliance with Nasdaq listing standards. On a post reverse split basis, investors had purchased our common stock at an effective price of $13.75 per share.

On February 3, 2025, we announced key product and engineering milestones and our goals by which we believe investors should measure us during 2025. Since that time, we have advised you that we have accomplished several milestones advancing progress of the TriFan 600 as we seek to validate technology protected by our intellectual property, and we have made key hires to support execution of our business strategy.

On March 10, 2025, the Nasdaq, which had already corrected more than 10% from its December peak, slid another 4%, in the largest one-day decline since September 2022. With our common stock trading at roughly $2.60 per share, on March 18, 2025, we announced that our Board had authorized a share repurchase program, giving us the opportunity to purchase our common stock in the open market for a 12-month period extendable to 18 months. We had concluded that following an approximately 80% drop in our share price just since January 2025, that the public market was valuing us a measurable discount to cash and intrinsic value. Yet, the Nasdaq continued to decline and with it, our share price.

Given the market volatility and the volume of comments we reviewed, which were posted by you, our valued shareholders on Stocktwits and other commonly used forums, we recognized that as long as stock-based obligations existed, even at reduced levels, we could not be judged by you on the fundamental merits of our business. This was ever more apparent when the market did not respond as expected when on March 19, 2025, we announced our achievement of a major regulatory milestone, acceptance by the Federal Aviation Administration of our Type Certification application on March 17, 2025. I recognize that many of you understand our industry, so you know this is a key accomplishment in advancement of commercial launch. Therefore, as announced on March 31, 2025, we raised an additional $4 million in a public offering in order to repay in full our outstanding secured promissory notes and further our goal of retiring all remaining equity-based financing instruments and common stock obligations to the management team responsible for our public vehicle pre-reverse merger and paying down cash obligations to prior management.

I know this has not been an easy road for any of you or us for that matter, but I am pleased to report that we no longer have any stock-based financing obligations or common stock obligations to that prior management team. In fact, while we still have more than $8 million in cash on hand, adequate to sustain operations well into Q4 2025, I am pleased to share with you that our historical cash obligations are just $1.5 million, and we expect that these obligations will be fully paid in 2025. Relief of the stock obligations also means that our valuable intellectual property portfolio is now largely unencumbered by secured debt.

We continue to strongly believe our shares are massively undervalued by all reasonable valuation frameworks. We are launching a focused non-deal roadshow to build awareness in the institutional investor community, targeting 100 investor meetings in April and May, and we will be introducing a new investor deck that reflects an exciting vision for XTI Aerospace. 

We appreciate your continued support as we work toward executing our shared vision and delivering long-term shareholder value.  We hear you and appreciate your support of American ingenuity and American innovation at XTI Aerospace.

We are listening.  We welcome your feedback at Contact XTI.

We look forward to flying with you. Thank you for being a part of this journey.

Sincerely,

Scott Pomeroy, CEO
XTI Aerospace

About XTI Aerospace, Inc. 

XTI Aerospace (XTIAerospace.com) (Nasdaq: XTIA) is the parent company of XTI Aircraft Company, an aviation business based near Denver, Colorado, currently developing the TriFan 600, a fixed-wing business aircraft designed to have the vertical takeoff and landing (VTOL) capability of a helicopter, speeds of 345 mph and a range of 700 miles, creating an entirely new category – the vertical lift crossover airplane (VLCA). Additionally, the Inpixon (inpixon.com) business unit of XTI Aerospace is a leader in real-time location systems (RTLS) technology with customers around the world who use the company’s location intelligence solutions in factories and other industrial facilities to help optimize operations, increase productivity, and enhance safety. For more information about XTI Aerospace, please visit XTIAerospace.com and HangerXStudios.com (an aviation innovation podcast), and follow the company on LinkedIn, Instagram, X, and YouTube.

Cautionary Statement Regarding Forward-Looking Statements

This press release contains certain “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act, and Section 21E of the Exchange Act. All statements other than statements of historical fact contained in this press release, including without limitation, statements about the products under development by XTI, the advantages of XTI’s technology, and XTI’s customers, plans and strategies are forward-looking statements.

Some of these forward-looking statements can be identified by the use of forward-looking words, including “believe,” “continue,” “could,” “would,” “will,” “estimate,” “expect,” “intend,” “plan,” “target,” “projects,” or the negatives of these terms or variations of them or similar expressions. All forward-looking statements are subject to risks, uncertainties, and other factors which could cause actual results to differ materially from those expressed or implied by such forward-looking statements. All forward-looking statements are based upon estimates, forecasts, and assumptions that, while considered reasonable by XTI Aerospace and its management, are inherently uncertain, and many factors may cause the actual results to differ materially from current expectations. XTI undertakes no obligation to revise any forward-looking statements in order to reflect events or circumstances that might subsequently arise. Readers are urged to carefully review and consider the risk factors discussed from time to time in XTI’s filings with the SEC, including those factors discussed under the caption “Risk Factors” in its most recent annual report on Form 10-K, filed with the SEC on April 16, 2024, and in subsequent reports filed with or furnished to the SEC.

Contacts

General inquiries:
Email: contact@xtiaerospace.com 
Web: https://xtiaerospace.com/contact/ 

Investor Relations:
Crescendo Communications
Tel: +1 212-671-1020
Email: XTIA@crescendo-ir.com

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SOURCE XTI Aerospace, Inc.

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New report by AIA and EY US identifies clear path to scale digital thread technologies

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NEW YORK, June 3, 2026 /PRNewswire/ — As aerospace and defense (A&D) organizations face unprecedented demand to increase output, digital thread initiatives are emerging as a critical enabler of end‑to‑end visibility and faster decision‑making. New joint research released today by the Aerospace Industries Association (AIA) and Ernst & Young LLP (EY US) finds that while digital thread efforts are delivering measurable benefits, most organizations remain unable to scale it across the enterprise. A framework for integrating data across systems and lifecycle stages of a product, digital thread is the seamless flow of trusted data across design, production and operations, enabling traceability and transparency.

The study, “Digital thread delivers value, so what’s stopping scale?“, is based on a survey of 57 A&D leaders as well as in-depth executive interviews. Findings show that while adoption is widespread, enterprise‑level impact remains limited. Three‑quarters of organizations are implementing digital thread in some capacity, yet only 14 percent say it is fully applied across the enterprise. The study pinpoints the moves that make digital thread programs succeed: the right ownership model, the right funding approach and the right use cases to start with.

“Aerospace and defense’s current challenges have turned digital thread from a nice-to-have into a must-have,” said Tim White, AIA Vice President of Engineering and Technology. “It sharpens quality, strengthens traceability, cuts redundancy and utilizes the data artificial intelligence needs to unlock real optimization. To meet unprecedented demand in the supply chain, digital thread is essential for organizations looking to compete and win in the future.”

“Digital thread is no longer a technology problem. It is an execution problem,” said Raman Ram, EY Americas Aerospace, Defense & Mobility Leader. “Organizations see value in pilots, but without enterprise‑level governance, performance measurement and data standardization, that value never scales to impact delivery, capital efficiency or risk.”

Key findings in the study include:

Despite years of investment in digital thread, 56 percent of A&D organizations remain in pilot or limited implementation phases.Execution, ownership and data readiness are the biggest barriers to enterprise impact.Fewer than half (45 percent) of leaders surveyed say their organization has a clear strategic vision and sustained commitment for digital thread.Data readiness is a critical constraint to digital thread implementation, with only 29 percent of respondents saying their enterprise data is standardized, governed and accessible, limiting organizations’ ability to connect workflows across the lifecycle and apply analytics and artificial intelligence (AI). While 71 percent of leaders expect the greatest future value from digital thread will come from predictive analytics and AI-enabled insights, the research reinforces that these outcomes depend on a mature digital thread foundation.

Read the full report to understand key barriers and opportunities for digital thread in A&D here.

About the study

EY US surveyed 57 leaders from Aerospace Industries Association (AIA) member organizations and conducted eight in-depth executive interviews to understand how digital thread is being applied in practice. The respondents are primarily from US‑based companies with annual revenues exceeding $100 million and at least three years of investment in digital thread initiatives.

About Aerospace Industries Association

The Aerospace Industries Association represents the nation’s aerospace and defense sector, a key driver of U.S. security, innovation, and economic strength. Since 1919, AIA has advanced policies that support industry competitiveness, workforce development, and technological leadership. As America celebrates its 250th anniversary, AIA ensures that our industry remains one of America’s defining success stories — and a foundation for its future.

About EY

EY is building a better working world by creating new value for clients, people, society and the planet, while building trust in capital markets.

Enabled by data, AI and advanced technology, EY teams help clients shape the future with confidence and develop answers for the most pressing issues of today and tomorrow.

EY teams work across a full spectrum of services in assurance, consulting, tax, strategy and transactions. Fueled by sector insights, a globally connected multidisciplinary network and diverse ecosystem partners, EY teams can provide services in more than 150 countries and territories.

All in to shape the future with confidence.

EY refers to the global organization, and may refer to one or more, of the member firms of Ernst & Young Global Limited, each of which is a separate legal entity. Ernst & Young Global Limited, a UK company limited by guarantee, does not provide services to clients. Information about how EY collects and uses personal data and a description of the rights individuals have under data protection legislation are available via ey.com/privacy. EY member firms do not practice law where prohibited by local laws. For more information about our organization, please visit ey.com.

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SOURCE Ernst & Young LLP

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New Research from GNW Consulting and Demand Metric Finds GEO Adoption Accelerating Across B2B Marketing

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2026 State of GEO in B2B Marketing report finds 78% of organizations investing in GEO see measurable ROI

GILBERT, Ariz., June 3, 2026 /PRNewswire/ — GNW Consulting, the strategic marketing operations agency that guides companies through implementation, integration, and optimization of marketing technology, today released its 2026 State of Generative Engine Optimization in B2B Marketing study, co-published with research partner Demand Metric and available as a free public resource. Based on 225 responses from B2B marketing and revenue leaders, the research shows GEO is quickly moving from early experimentation into a more operational discipline, with organizations beginning to report measurable business impact from AI-driven discovery strategies.

“GEO has already reached a market tipping point,” says Raja Walia, founder and CEO of GNW Consulting. “We’re in an execution phase, with companies betting on measurable performance. As the early advantage narrows, B2B leaders have an opportunity to better understand how GEO works and where it can drive impact within their organizations.”

The study found that 92% of organizations are already experimenting with or operationalizing GEO, while 78% of those investing report measurable return on investment. Organizations allocating more than 5% of marketing budget toward GEO initiatives reported even higher levels of measurable impact. The findings suggest organizations delaying GEO investment may face increasing competitive pressure as AI-driven discovery behavior continues to evolve.

Additional findings from the research include:

88% of SEO agencies now claim to offer GEO or AI search optimization services, but 37% describe those services as “loosely defined.”22% of respondents report AI-driven traffic accounts for more than 5% of total website traffic, significantly above the widely cited industry benchmark of under 1%.Community platforms and AI-optimized content are emerging as major drivers of AI discovery, with respondents ranking them slightly ahead of traditional SEO tactics.Fewer than 15% of organizations have a dedicated GEO owner, despite widespread adoption activity across marketing teams.Budget remains a challenge for many organizations, though the data suggests companies already seeing ROI may also be facing pressure to scale successful GEO initiatives more quickly.

Andrea Lechner-Becker, chief strategy officer at GNW Consulting and co-author of the report, said the findings reflect how quickly organizations are being forced to rethink search visibility strategies.

“Most emerging marketing categories take two to three years to produce defensible ROI,” said Lechner-Becker. “What’s notable here is how quickly organizations are beginning to measure impact from GEO efforts. This isn’t a theoretical category anymore. It’s a working one, and the companies treating it like an experiment are losing share to the ones treating it like a discipline.”

The full report, including methodology, additional findings, and a GEO assessment framework, is available free here.

About GNW Consulting

GNW Consulting is a strategic marketing operations agency that guides companies through implementation, integration and optimization of marketing technology, including a growing practice in Generative Engine Optimization (GEO) for B2B clients. Andrea Lechner-Becker, chief strategy officer, is a frequent contributor to Fast Company on AI search and marketing strategy. Since its founding, the company has become known for going beyond implementation to integrating and optimizing MarTech stacks regardless of industry. To learn more, please visit https://gnwconsulting.com/.

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SOURCE GNW Consulting

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Exostar Expands Collaboration with Microsoft to Accelerate CMMC Compliance Across the Defense Industrial Base

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Exostar’s Microsoft Azure-based CMMC Ready Suite now available through Microsoft
Marketplace, simplifying procurement and strengthening compliance for 80,000+
defense suppliers

HERNDON, Va., June 3, 2026 /PRNewswire/ — As enforcement of the Department of Defense’s (DoD/DoW) Cybersecurity Maturity Model Certification (CMMC) accelerates, Exostar today announced an expansion of its nearly two-decade relationship with Microsoft to accelerate secure, Azure-based compliance solutions for the Defense Industrial Base (DIB).

DIB firms, including prime contractors, their suppliers, and small-to-medium sized businesses (SMBs) can now purchase Exostar’s purpose-built, complete CMMC solution through the Microsoft Marketplace. This streamlined purchasing model aligns with federal and prime contractor procurement practices while enabling organizations to apply existing Microsoft Azure Consumption Commitments (MACC). The result: simplified budgeting, reduced procurement friction, and faster deployment of pre-integrated Azure-native compliance architecture built for enterprise-grade security and scalability.

CMMC Maturity Level 2, which applies to at least 80,000 members of the DIB, mandates the continuous protection of Controlled Unclassified Information (CUI) as organizations and individuals share it, process it, and store it. This places a premium on who accesses CUI, with what devices, and where it flows. Primes and SMBs alike must limit the CUI footprint to reduce the CMMC compliance burden without impacting ease of collaboration for a distributed, remote multi-tier supply chain workforce.

Exostar’s CMMC Ready Suite does just that. Its Azure-native, zero-trust architecture includes:

Managed Access Gateway – Internal and external identity management to control who gains access to which assets with what privileges.Exostar Managed on Microsoft 365 – Within Microsoft Teams there is a secure enclave for compliant collaboration and the exchange and storage of CUI.Exostar’s Managed Secure Desktop – The latest addition to Exostar’s CMMC Ready Suite, powered by Azure Virtual Desktop. Allows for the convenience of device choice while extending the CMMC compliance boundary to the endpoint – providing a secure virtual workspace designed for CUI protection and operational resilience.

“Together, Exostar and Microsoft deliver an end-to-end, purpose-built CMMC solution on Microsoft Azure that’s easy to procure and enable,” said Derrick Reig, Exostar’s Chief Revenue Officer. “We integrate identity, secure collaboration, enclave protection, and managed services into a single, defensible compliance architecture that lowers infrastructure complexity and accelerates DIB compliance – exactly what companies need to protect and grow their DoD business as the CMMC rollout proceeds.”

“Exostar has an extensive track record developing innovative products using Microsoft technology, from the early days of on-premises, SharePoint-based collaboration to cloud-first managed services that accelerate CMMC compliance,” said Chris Barry, President, U.S. Public Sector Industries, Microsoft. “Their commitment to Microsoft Azure reinforces its position as a trusted cloud for the defense ecosystem, enabling secure collaboration across the DIB. By going to market through Microsoft Marketplace, they reduce procurement complexity and turbocharge the speed businesses need to meet their CMMC objectives.”

To learn more about the Exostar/Microsoft CMMC solution’s ease of deployment, as well as its capabilities, benefits, scalability, proven performance, and compliance, visit the Microsoft Marketplace or the Exostar web site.

About Exostar
The Exostar Platform supports communities exclusively within highly regulated industries where organizations securely collaborate, share information, and operate compliantly. Within these communities, we build trust. Over 200,000 companies and agencies in 175 countries trust Exostar to strengthen security, reduce expenditures, raise productivity, and help them achieve their digital transformation initiatives. More than half of the Defense Industrial Base, including 98 of the top 100 firms, transact business over The Exostar Platform. Over 25 of the top global biopharmaceutical companies rely on The Exostar Platform to help them speed new medicines and therapies to market. Exostar is a Gartner Cool Vendor. For more information, visit www.exostar.com, and follow Exostar on LinkedIn and X.

Media Contact:
Kim Peterson
Exostar
(801) 971-4201 (m)
Kim.Peterson@exostar.com

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SOURCE Exostar

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