San Diego, California--(Newsfile Corp. - September 28, 2023) - Direct Communication Solutions, Inc. (OTCQX: DCSX) (CSE: DCSI) (FSE: 7QU) ("DCS" or the "Company") a leading provider of information technology solutions for the Internet of Things (IoT) market, is excited to announce it has entered into a strategic agreement (the "Agreement") on September 26, 2023 with CATrak Technologies, Inc. to offer its Catalytic Converter Theft Prevention solution.
Catalytic Converter theft is on the rise on North America according to a new report based on insurance claims data released by the National Insurance Crime Bureau (NCIB)*, which shows a surge in catalytic converter thefts across the country. According to NCIB, the US experienced more than 64,000 catalytic converter thefts in 2022. Leading the country in thefts are California and Texas, which experienced more than 32,000 catalytic converter thefts in 2022. Catalytic converters contain precious rare earth metals like palladium, platinum, and rhodium, that are currently more valuable than gold.
The NCIB report also shares that stolen catalytic converters are typically sold to metal recyclers for $50 to $250, and up to $800 for a catalytic converter from a hybrid vehicle. Replacing a stolen catalytic converter can cost between $1,000 to $3,500 or more, depending on the type of vehicle. The loss to a business with a fleet of vehicles can suffer a significant financial impact due to loss of use of their fleet while they wait for replacement parts to be installed. Insurance companies are also spending a lot of money on replacing stolen catalytic converters. In 2021, State Farm Insurance paid out more than $73 million in converter theft claims nationally. In 2022, it jumped to $112 million.
"The rise of theft has increased the awareness of businesses seeking a solution to protect fleet vehicles as well as personal automobiles. The CATrak Catalytic Converter Theft Prevention solution is a unique first line of defence preventing the widespread and costly problem of catalytic converter theft, which has a massive financial impact on the transportation industry" said Dave Scowby, COO of DCS. "Partnering with CATrak to offer their simple to deploy IoT solution and user-friendly software applications, creates unique opportunities for DCS to enable our extensive channel of dealers, partners, and resellers with IoT solutions that solve real-world problems. In addition to creating new recurring revenue streams for DCS and our partners."
"DCS has deep roots in the IoT industry through its carrier partners and solutions providers. Their complete understanding and expertise in aiding IoT solutions to market, is the driving force behind CATrak working with DCS," said Mark Richardi, Cofounder and CEO of CATrak. "Leveraging the DCS managed logistics services, allows CATrak to dedicate its efforts on delivering our solution in a time where the transportation industry is experiencing a huge spike in catalytic converter thefts, costing victims and insurance companies millions of dollars in replacement parts and vehicle downtime."
DCS is a technology solutions integrator focusing on connecting the Internet of Things. We provide real solutions that solve real problems. Our software applications and scalable cloud services collect and assess business-critical data from all types of assets. DCS is headquartered in San Diego, California and is publicly traded on the OTCQX ("DCSX"), Canadian Securities Exchange ("DCSI") and Frankfurt Stock Exchange ("7QU"). For more information, visit www.dcsbusiness.com. DCS and the DCS logo are among the trademarks of DCS in the United States. Any other trademarks or trade names mentioned are the property of their respective owners.
CATrak is a technology solutions provider offering a SMART IoT solution for the prevention of Catalytic Converter theft. Our mobile and cloud-based software application continuously monitors your personal automobile or fleet of vehicle's catalytic converters. Our proprietary product will notify you of a theft in progress, trigger a deterrent alarm and if stolen, assist law enforcement with its recovery using GPS tracking technologies. For more information, visit www.catraktech.com.
Chris Bursey, CEO - DCS
Julie Hajduk, CEO - Purple Crown Media
Mark Richardi, Cofounder and CEO, CATrak
This release contains forward-looking statements, which reflect management's current views of future events and operations. These statements are based on current expectations and assumptions that are subject to risks and uncertainties that could cause actual results to differ materially. We believe that these potential risks and uncertainties include, without limitation: the Company's dependence on third-party manufacturers, suppliers, technologies and infrastructure; risks related to intellectual property; industry risks including competition, online security, government regulation and global economic conditions; and the Company's financial position and need for additional funding, Statements in this release should be evaluated in light of these factors. These risk factors and other important factors that could affect our business and financial results are discussed in our Management's Discussion and Analysis, periodic reports and other public filings which are available on SEDAR+ at www.sedarplus.ca at and posted with the OTC Disclosure and News Service. DCS undertakes no duty to update or revise any forward-looking statements.
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
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