Discl: Held IRL 9.01% and in SM

@Rick, thanks for flagging this!

@Clio , I came to the same conclusion as you ie, can't see how would this impact CAT’s lunch, but arrived at that from a diferent perspective.

- It does look like the launch of an incubator program to provide a platform for small startups to show off their wares: “Fujitsu collaborates with startups and other companies to create new businesses and solve challenges by leveraging cutting-edge technologies such as AI and quantum computing. This new program seeks to expand the value and monetization potential of corporate sports”

- "Companies selected to participate in this program will be provided with opportunities to interview and survey athletes and staff belonging to Fujitsu's sports teams. Fujitsu will offer its training facilities for the PoCs, support the development of use cases, and promote and sell co-created services through the Fujitsu Group". This feels to me: “We are offering the use our Fujitsu teams as your test bed, real-life POC test case for your products”. 

- It is not clear if the end intent is merely to provide a platform for small startups to expand their horizons as standalone products and/or if Fujitsu’s intent is ultimately create a CAT-like competing sports performance platform, ie, the individual products are somehow coherently integrated by Fujitsu

- Other than the Regional Revitalisation theme, which has a very “Kawasaki area” focus, it did not feel that the intent is to stay regional.

- The net has been cast quite wide - the themes suggest (1) all sports (2) all levels (3) across the whole live sports spectrum

What it does highlight though is that sports and the monetising of sport is attractive enough for money to be put into it.

As a standalone announcement, I can’t see this impacting CAT’s lunch for the following reasons:

1. This is only incubation, so this is the very start of what will likely be a long journey, there isn’t much clarity on destination and timeline

2. CAT has a huge headstart - maybe 5-7 years, of not only technical capability, but real data, which is the base for the CAT capability flywheel to spin for further innovation. In 5 years time, CAT should be a very different beast, pushing out its moat further and further.

3. Startups wanting to participate in this Program would probably get a significantly better established platform and monetising outcome from knocking on CAT’s doors to sell its wares (Perch, Impect etc), rather than with starting with what seems like zero base with Fujitsu, technically as well as commercially. 

4. If a sports platform is the end intent, that feels like it will need to be built from close to ground up, with no real integrated data for some years to come etc.

What would cause me significant concern is if Fujitsu announced later that it bought over a rival platform, say StatsSports. That acquisition + this accelerator program would be a much bigger threat to CAT’s dominance. But this is purely conjecture.

Based on this thinking, I can’t see this being the catalyst for yesterday 9% drop. The market still feels terribly skittish and is looking for a reason, or maybe there is no reason, for its continued determination to beat the CAT price down ...

Good to see the English cricket team wearing Australian company Catapults tech as we absolutely flog them…lol

#sweatyoutthere

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