 Hey, welcome back everybody. Jeff Frick here with theCUBE. We're in our Palo Alto studios. The conference season is getting ready to ramp up. It hasn't really hit full speed yet. So it gives us the opportunity to have CUBE conversations and we're really excited to have our next guest. We haven't had him on for quite a while. George Matthew, he's the chairman and CEO of Kespry. George, great to see you. Jeff, great to be here. Thanks for having me. So it used to be big time in the data analytics world. We used to see all the big data shows and now you've made the move to autonomous flying machines. I did. I did and there's a very strong relationship between the two, right? When you look at the work that I was doing in the horizontal data analytics space, there was really a need to be able to accumulate data and process and understand that and make better decisions off of it. Well, when you look at the industrial world that Kespry serves today, the ability to drive a full complete application where sensor based data is now being processed in our cloud infrastructure and packaged up as complete applications is exactly the market that we're focused on. George, those are a lot of big words. Let's talk about the fun words. You have drones, you have cool industrial drones. So what you've done is different than some of the more popular drones that people know, some of the big names is you guys are really kind of single purpose, industrial only, totally integrated solution sold as a service. Is that accurate? When you look at the drone space today, it's a big market. It's actually a hundred billion dollar market overall for drones just in the commercial aspect of the drone space. It's a 15, 16 billion dollar market. Industrial use cases are proliferating everywhere. Kespry actually started in the mining aggregate space where we were able to take our industrial grade drone be able to do volumetric stockpile measurement to a level of accuracy that was literally down to one 2% forecast accuracy because we can now take imagery and convert that to super accurate three dimensional models of a mine site of a quarry and be able to make better decisions on how much inventory you had on that work site. Now let's dive into that a little bit because most people when they think of drones they think of aerial photography at their wedding and sweeping shots at the beach of their Maui vacation but the industrial applications are real and these are huge pieces of real estate that you're operating over. Huge masses of material and men and machines. So the impacts of small incremental impacts and being able to measure and make decisions on that have huge financial impact. So what's amazing with drone tech that's available today think about it as the new sensor network, Jeff. So it's not just the fact that we can take images off a drone. It's the fact that we can take those images and combine that with additional sensor-based input. One of the key elements that Kespry introduced into the market is taking imagery and being able to augment the ability to have precision GPS along with that images. So you can now have images that are processed in our cloud that are converted into full three-dimensional models and each one of those models are hyper accurate within three centimeters of real space. So when you want to apply that for a full topological assessment of what a construction site looks like. If you wanted to measure the amount of volumetric stockpile of material that might be on 250 acres. You can fly a drone overhead in 30 minutes be able to collect all that sensor-based input and process that in the cloud and have very accurate answers in terms of what's happening on an industrial work site without the danger and the challenges of manually collecting that information. Because how did they do it before? What was the data of the art three years ago? The status quo in the market was being able to collect that data using a GPS backpack or laser-guided precision equipment. But you still needed to have someone manually be able to bring that equipment to the work site. Oftentimes the data that you were collecting on a volumetric measurement of a stockpile might be 20, 30, 40 points of measurement. When you're flying a drone overhead and converting the imagery into a point cloud, you're creating 5, 600,000 points of measurement. And so the accuracy of what you're able to now accomplish with a level of safety is unprecedented. Well, it's interesting. One of the Casper taglines is no joysticks, which I think is kind of funny. But the fact that it's really an automated system, you're selling a solution. So I'm teasing you about having fun with drones and flying them at vacation, but it's not really, that's not what it is. It's basically, it's a platform in which to deploy sensors, which could be visual sensors, could be infrared sensors, could be GPS, could be all kinds of stuff. So it really opens up a huge opportunity to put different types of payloads for different use cases into use. That's right. When you think about where Casper's differentiation in the market is, we've introduced that capability to have different payloads and be able to fuse those sensors together in a meaningful way and combine that with a fully autonomous solution for flight control. So now you don't have to have specialist piloting skills to be able to collect that information. The sensor-based input is fused in a way where we can process that in our cloud infrastructure. We add a series of artificial intelligence machine learning algorithms to augment what's coming off of these sensors and then package them as industrial-grade applications. Good examples. Inventory management in the mining aggregate space, being able to do full earthworks topological assessment in construction projects, being able to do claims management for what the dimensionality and the current state of a roof might be after a weather event has occurred to be able to understand the number of missing singles, the amount of hail damage that's occurred. And so all of these applications are packaged in an end-to-end manner so that you as a decision maker and you as a user don't have to be basically playing with broken toys to be able to get very clean answers in terms of what's happening in physical space. The roof story is so fascinating to me because people just think, oh, it's a roof. They have no idea to really think through the impact of roofing in commercial real estate and in industrial real estate and roofs are where buildings fail. And so roofs, roof inspection is a really, really important piece of title processes and operation processes. So to be able now to automate that with software, it's classic, right? Automated, data-driven, software-driven processes really is a game changer versus having to send somebody up on a roof to physically inspect. I mean, the accuracy's got to just be orders of magnitude better. So a few facts there, right? First of all, it's a multi-billion dollar industry. You won't believe that just hail alone as far as damage that occurs on an annualized basis is a $2.4 billion challenge. It's also the third most- Is that the US only? In the US. It's a third most occupationally hazardous job in the country where people fall off roofs all the time when they're doing this kind of inspection. So when you're able to now apply a drone to fly over that roof autonomously, collect that data, do the dimensional analysis as well as being able to create the hail damage model or the missing shingle model, you're now effectively enabling that claim process, for instance, for the insurance carrier to do to get a claim to effectively happen within hours after you're on site. What we're seeing today in the market is if you're effectively looking at a claims assessment process, a claims adjuster would usually take about a day to cover three homes. With the use of a Caspere drone, we're seeing that same claims adjuster cover three homes in an hour. It's a massive productivity gain for this industrial use case. So that brings up another topic and we've gone into a couple of commercial drone shows and obviously it's a cool space, it's a fun space, but it's also a really important space. And I just think back to the end of World War I when suddenly there were these things called airplanes and the military trying to figure out what do we do with this new asset? And most people maybe don't know that the Air Force was actually the Army Air Force at the beginning. They didn't think that they needed a different branch with different tactics, strategy, training, governance, et cetera. So as we look at kind of commercial drones entering into the business space, and I'm sure you've seen it in some of these aggregate examples, construction, how having an Air Force as a company, as a resource, Air Deployed Assets is such a big game changer. It's going to take people a long time to figure out how to use it beyond the obvious in the short term, but it's a completely different tool to apply to your business problems. This is why we consider this a whole new category of aerial intelligence, right? When you think about the capabilities that we're going to be able to deliver as far as very accurate views of physical space and being able to digitize it, to be able to model it, to be able to predict the material assets that are on a work site and understand what the future value is, what the challenges might be for a maintenance cycle, to be able to understand the level and extent of damage, the anomaly detection. These are all incredible use cases that are opening up as we speak. I remember when I was on the show years ago and we talked about the data analytics space and particularly the self-service aspect that I was pretty involved in. We used to talk about it being in the early innings of a ballgame. Well, in the aerial intelligence market, we were literally in the first inning of the ballgame. Like it is just getting off the ground. And when you think about the regulatory frameworks that are effectively in place, even as of 2016, the commercial operations in the United States have just opened up, right? You're now able to legitimately fly below 400 feet of airspace, maintaining the drone with a visual line of sight where a human operator is involved that has actually passed the part 107 pilots exam. So it's a framework, it's a start, but there's so much more expansion opportunities that occur when we are flying over people, when we're deconflicting the airspace, when we have the ability to do night flights, when we have the ability to be able to literally have that drone fly without having a human operator controlling it and understanding the visual line of sight where the drone is operating. So these are all going to happen in the next several years and completely open up the aerial intelligence market accordingly. It's fascinating. And then of course the other thing that you're doing which all good companies do and all good entrepreneurs do is build on the shoulders of others. So you're leveraging cloud, you're leveraging AI, you're using the flight controls, you're using mobile applications, you're using all these bits and pieces of infrastructure and you've packaged it up to deliver it as a service which is fantastic. This was one of the fundamental tenants for Casper even as of our founding in 2013. We knew that there was a lot of broken toys in the market because if you had to take a consumer grade solution, be able to roll your own software to be able to look at the way you collect that data on a manual basis to be able to process that information and get to results without having this connectivity involved with the entire end-to-end experience. We knew that a lot of companies could not succeed in their aerial intelligence offerings. And this is why Casper believed that a full end-to-end solution, the way we built it, was better for the industrial markets that we serve. And so far so good. This past week we actually announced just in the mining aggregate space alone we have over 170 customers. And- 170. Correct. Just in mining aggregates. And how long has Casper been around? We've been in business since we were founded in 2013. We started commercial operations in 2015. Amazingly we covered over 10,400 just mining quarry worksites just in those last two and a half years that we've been in commercial operation. So this is something that has really exponentialized just in that market. And we're seeing similar adoptions starting to take off in the insurance roofing space as well as the construction markets. It's so funny. Just like the, so I just consider you're an autonomous vehicle. You just want that fly that drives on the road. But there's so much going on on the commercial side that people don't see. They see the Waymo cars driving around the neighborhoods and we read about what's going on with Tesla. But on the ag side, on the commercial side with John Deere and these huge mining trucks that many of them are already autonomous. This stuff is really moving very, very quickly on the commercial side. If you think about the digital transformation of industrial work, this is a $1 trillion market opportunity over the next several decades. And the ability to sense physical assets and be able to make better decisions using drone tech, using other sensor-based information. This is transforming the nature of industrial work. This is, in my view, the beginning of the fourth industrial age. And in that regard, we see this as something that's not just, like I said, the first few innings of the ball game, we're going to see this evolve for decades as we move forward. And drones are effectively a critical piece of that infrastructure evolving. Yeah, just the delivery. Just sensor delivery is basically what it is. Replace it in places that people maybe shouldn't go, don't want to go, they're dangerous to go. It makes a ton of sense. And then being able to blend that with the other sensors that might be on the ground, that might be in other places, that you confuse that information together to get better understanding of physical space. Yeah, I love it. And I love the solution approach, right? Nobody ever buys a new platform, but it sure is great to build the platform underneath the terrific application that then you can expand after you knock it out of the park with that first application. And that sounds like you guys are doing it. And that's the approach that we're going after. All right. Well, Matt, hopefully it won't be, we looked it up before, last time you were on was like 2014. So hopefully it won't be so long. Before we see you next, and thanks for stopping by. Thanks for having me on board, Jeff. Thank you. All right, it's George Matthew. I'm Jeff Frick. You're watching theCUBE. Thanks for watching. We'll see you next time.