Robo.ai Inc. announced a three‑year Gold Reseller Agreement with The Ghazi Group, a U.S. AI infrastructure provider, granting Robo.ai rights to distribute TGG’s edge inference servers, CPU and GPU systems, and networking solutions across the Middle East, North Africa, and selected Southeast Asian markets.
The deal marks a pivot from Robo.ai’s core autonomous vehicle and robotics focus to a role as a compute gateway for AI infrastructure, aligning with its broader “smart mobility, smart device, smart contract” strategy. Management said the partnership is a milestone that solidifies Robo.ai’s operational foundation and expands its revenue mix.
The agreement is projected to generate more than $100 million in revenue for Robo.ai in the MENA and Southeast Asian regions over three years. The partnership taps into edge AI markets projected to reach $6.0 billion in APAC and $3.1 billion in MEA by 2026, offering recurring revenue from hardware sales, system integration, software licensing, and long‑term support contracts.
Robo.ai’s fiscal 2024 revenue fell 67.9% to $11.99 million, reflecting a steep decline in its autonomous vehicle segment. The new partnership offers a higher‑margin, recurring revenue stream that could offset past losses and improve cash flow. Management emphasized that the deal will help the company move beyond its previous operating losses and negative equity position.
Investors reacted positively to the announcement, reflecting confidence in the partnership’s growth potential and the shift to a more stable, high‑margin business model.
CEO Benjamin Zhai said, “In an era of rapid technological and geopolitical change, Robo.ai has been forging its own path of evolution. This partnership with TGG is a milestone in building Robo.ai’s strategic moat and solidifying our operational foundation.” President and CEO of The Ghazi Group, Shafi Khan, added that the partnership will support Robo.ai’s initiative to become the first Made‑in‑UAE fully autonomous vehicle manufacturer.
While the partnership does not immediately change Robo.ai’s quarterly earnings, it positions the company to capture a growing edge AI market and diversify its revenue base. Analysts note that the deal could improve margins and provide a platform for future expansion into other AI hardware segments.
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