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A nervous axis shares at a crossroads after Motorola gained $ 4.4 billion

Axon Enterprise today

Axon Enterprise, Inc. Logo Stock
743.63 dollars +13.34 (+1.83 %)

As of 05/30/2025 04:00 pm

52 weeks
$ 273.52

755.05 dollars

P/E ratio.
192.15

The target price
652.73 dollars

Axon Enterprise Nasdak: a nervous axis It was one of the most important names in security and defense. However, the competition is heating. Motorola solutions Nyse: msiAn announcement of a great competitor to Bodycam maker, acquisition On May 27. This step may create future challenges to the axis as it looks forward to continuing to expand.

Motorola gets Silvus Technologies in a $ 4.4 billion deal. Silvus is developing an important mobile network technology (MANET) that helps military and law enforcement agencies. Although Axon does not compete directly in the MANET technology at this stage, the company is known for expanding new areas. This is one of the main factors that allowed Axon’s work in the final Double its revenues From 2021 to 2024. AXON shares increased over the past year. This acquisition may make Axon more to expand new cases. Motorola expects to close the acquisition in the second half of 2025.

Motorola Evolution: From mobile phones to public safety

Motorola solutions today

The stock logo of Motorola Solutions, Inc.
MsiMSI 90 days

Motorola solutions

415.54 dollars -2.89 (-0.69 %)

As of 05/30/2025 03:59 pm

52 weeks
356.77 dollars

507.82 dollars

Profit
1.05 %

P/E ratio.
45.07

The target price
513.25 dollars

Although a lot of Motorola is aware of its participation in early cell phone technology, The company divided its business Once again in 2011. Thus, Motorola Solutions no longer compete in the mobile phone industry. Most of its work now serves public safety agents, who represent almost 70 % of the company’s total revenues. Such as AXON, the company makes body enforcement cameras, as well as behavior -working analysis technology.

This falls within the video and access security sector, which achieved $ 1.9 billion in revenues in 2024. This is just less than Axon’s $ 2.1 billion in total revenue For 2024, this highlights the fact that Motorola is not only a nervous axis competitor, but it is very large. The volume of the transaction indicates that Motorola buys a very firm player in the Manit space.

Silvus technology adds new possibilities and new heads to Motorola

MANET technology enables users to prepare High -speed communication networks Where traditional infrastructure, such as cells or Wi-Fi, is missing or unreliable. For example, in the battlefield in a rural area, dispersed soldiers can use technology to communicate. Like very advanced Walkie devices, signals sent via Silvus flexible networks against jamming and discovery. They can also transfer high -resolution video. This is one of the main reasons for acquisition. Greg Brown, CEO of Motorola (CEO), says the acquisition adds “new possibilities such as widely safe data and videos that complement our current experience in the sound of the mission.”

These features are especially useful when used Done aircraft In hostile environments. They allow drones to communicate with each other and employees, even without the direct sight line. Another major reason for purchase is that the acquisition process gives the company exposure to the space of the plane and independent systems. Firefighters fighting forest fires can use this. They allow them to obtain video data and maps from air assets while they are on the ground.

A nervous axis may have to start fighting on a new front to achieve growth aspirations

Axon Enterprise today

The stock price expectations for 12 months:
652.73 dollars
Moderate purchase
Based on 12 analyst classifications
The current price 743.63 dollars
High expectations 830.00 dollars
Average expectations 652.73 dollars
Low expectations $ 380.00

Axon Enterprise

Based on a previous point, Axon competes with Motorola in several major areas. The company’s AXON response technology allows the direct video flow through the company’s body cameras. These capabilities extend to the third -party drone through the Axon Air product line. However, these capabilities It requires LTE Or Wi-Fi connection. Communication cannot occur without a fixed infrastructure, giving Motorola a great advantage. This can put Motorola more useful products for some customers. This is particularly applied to agencies operating in foreign regions that have an infrastructure for bad communications during military operations.

However, there may not be a major immediate effect on Axon’s works. This is because the company is primarily serving the American state agencies and local agencies, which are likely to enable it to reach the fixed infrastructure in its connections. The new Motorola technology may not move the needle a lot for them. In the 2023 annual report of the companyAxon, “Our largest customer sector is American and local law enforcement.” In 2022, Axon said he had customer relationships With 95 % of these agencies.

Data made in The 53rd Technology Conference at TD Cowen On May 28, support this idea as well. The company referred to its federal work as “smaller”, and an analyst pointed to its international work as a “new market”. In general, Motorola’s acquisition may not affect a very nervous axis now, but it may limit the company Growth prospects in The total amount of $ 129 billion in the covenant market that you imagine. This is, unless Axon continues to innovate or perform its own acquisition.

Before you think about Axon Enterprise, you will want to hear it.

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