Shares in ASX-listed tech company Elsight climb by more than 20 per cent on news its communications system helped US company Airobotics win regulatory approval to fly drones in urban areas.
The US Federal Aviation Administration (FAA) has granted approval for Airobotic's drones to fly over people and infrastructure without the need for case-by-case waivers. Airobotic's drones will be used for law enforcement and deployed to assess accidents or public unrest incidents to determine the level of response required by city authorities.
Airobotics uses Elsight’s Halo drone connectivity system for continuous connectivity between a flight base and the drone, and Elsight CEO Yoav Amitai calls the FAA's decision a potential game changer for urban drone deliveries.
“Completing the long-complicated process to achieve first type certification by the FAA shows that the regulators are coming around to the position that drones are part of the future,’’ Mr Amitai says.
“We are proud that Airobotics’ has chosen the Elsight Halo as their connectivity solution, their completion of the Type Certification with the Halo onboard is a vote of confidence in Elsight and in the Halo and we expect many more to come."
Shares in Elsight are up 23 per cent to 38 cents, giving the company a valuation of about $57m.
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