krtkl inc.

Accelerated Intelligence
San Francisco, California, United States United States
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Company description

krtkl ("critical") provides a platform for rapidly developing and deploying connected systems used in automation and high-bandwidth applications. Designed to run a range of software-reconfigurable hardware modules, their pre-built libraries simplify the most challenging and time-consuming elements of the design process.

Business model

krtkl derives revenue from the sale of embedded hardware (computer modules used in commercial products), mission-critical software (hardware-tied “IP”), and value-added subsystems (e.g. artificial vision camera modules). The hardware serves as the primary vessel for facilitating per-unit software licensing and is the foundation of a defensible hardware-software ecosystem with broad horizontal adoption. The software and higher- level subsystems generate the majority of profits.

Competitive advantage

krtkl’s platform streamlines development and makes full hardware-software stacks easier and more economical to deploy in volume applications. National Instruments is the most notable comparable, with an full hardware- software offering. Their business model, prevents them from competing in commercial embedded end products, as more than 75% of their revenues are generated from low-volume, high-margin lab equipment tied to their software development suite. As a result, lower-margin embedded alternatives threaten to cannibalize their existing offerings and customer base.