Company: XTIA
Filing Date: 2025-06-20
Form Type: S-1/A
Source: 0001213900-25-055855
Chunk: 9

Company: XTI Aerospace, Inc.
Filing Date: 2025-06-20
Form: S-1/A
Chunk 9
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 can make informed, data-driven decisions,
minimize downtime, and ensure compliance with industry regulations.

We report financial results
for two segments: Commercial Aviation and Industrial IoT. For Industrial IoT, we generate revenue from sales of hardware, software licenses
and professional services. During the quarter ended December 31, 2024, we began exploring strategic options to wind down and/or sell the
hardware portions of our Industrial IoT business segment in order to shift its focus towards the sales of software products. For Commercial
Aviation, the segment is pre-revenue as we are currently developing the TriFan 600 airplane.

Corporate Strategy Update

Our primary focus is to power what we term the “vertical economy”
by delivering high-performance xVTOL solutions that scale from aircraft to innovative technologies and infrastructure. We identify seven
areas that comprise the vertical economy: manned aircraft, unmanned aircraft, power technology, airspace and infrastructure management,
artificial intelligence, aircraft advanced materials and next gen manufacturing. The term “xVTOL” is intended to encompass
the broad spectrum of vertical lift technologies within the vertical economy, including various aircraft types (e.g., electric VTOL, regional
VTOL and drones), operational models (manned and unmanned), supporting technologies (e.g., propulsion systems and aerospace-related artificial
intelligence technologies) and customer applications. With the TriFan 600 as our flagship commercial aviation product, we are laying the
groundwork for an innovative family of versatile aircraft and solutions addressing passenger travel, logistics, autonomous operations
and defense missions that we believe will unlock significant growth and market leadership.

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Expanding
into autonomous, remotely operated drones is key to our strategic focus. By combining drone technology with VTOL innovation, we believe
we are positioning the Company to accelerate the development of both unmanned aerial vehicles (“UAV”) and VTOL solutions,
expand its market presence, and create new revenue-generating opportunities across multiple industries. We will also be opportunistic
and may consider other strategic transactions, which may include, but not be limited to, other alternative investment opportunities, such
as minority investments and joint ventures. If we make any acquisitions in the future, we expect that we may pay for such acquisitions
with cash, equity securities and/or debt in combinations appropriate for each acquisition.

Recent Events

January 2025 Registered Direct Offering

On January 7, 2025, we entered
into a placement agency agreement with ThinkEquity LLC (“ThinkEquity”), pursuant to which we sold directly to