SAN JOSE, Calif., Oct. 08, 2025 (GLOBE NEWSWIRE) -- zSpace, Inc. (NASDAQ: ZSPC), a leader in immersive augmented reality (AR) solutions for education, today announced its inclusion in the October 2025 issue of American School Board Journal (ASBJ), the flagship publication of the National School Boards Association (NSBA). The feature article, AI Changes the Game for CTE, showcases how Atlanta College and Career Academy (ACCA) is leveraging zSpace technology to prepare students for in-demand careers. “We’re h ...

Core Insights - zSpace, Inc. is introducing its immersive AR/VR technology to Hopi Day School in Arizona, aiming to enhance STEM education for rural students [1][2] - The initiative focuses on providing hands-on learning experiences that were previously inaccessible due to geographic and technological barriers [2][6] Company Overview - zSpace, Inc. specializes in augmented and virtual reality solutions for education, with a strong presence in over 3,500 educational institutions [7] - The company holds over 70 patents and emphasizes "learning by doing" to improve student engagement and academic performance [7][8] Educational Impact - The integration of zSpace Imagine AR/VR laptops allows students to engage in various STEM activities, such as virtual dissections and engineering simulations, without the need for specialized equipment [5][6] - The program aims to foster curiosity and career readiness among students, particularly in underserved communities [3][6] Community Engagement - Hopi Day School's initiative is part of a broader effort to provide equitable educational opportunities in Native American schools, following successful implementations in other districts [6] - The school aims to create an active, student-led learning environment that connects students with real-world applications of STEM [6][7]

Core Insights - zSpace, Inc. has launched three new applications aimed at preparing learners for careers in industrial robotics, focusing on training, maintenance, and operations [1][2][3] Application Summaries - **Industrial Robotics Training**: This application introduces foundational systems of industrial robotics, covering mechanical, electrical, pneumatic, hydraulic, control, and vision technologies. It includes step-by-step modules that guide students through core principles and realistic workstation scenarios such as welding and assembly [2] - **Industrial Robotics Maintenance**: This application provides immersive 3D simulations for maintenance, assembly, and adjustment procedures in modern manufacturing. It prepares students to diagnose, repair, and maintain industrial robots through interactive scenarios [2][3] - **Industrial Robotics Operations**: This application focuses on the operation and programming of robotic welding and spray painting systems. It covers essential concepts like path control and safety protocols, allowing learners to practice in a safe virtual environment [3] Technology and Features - zSpace's applications are available on headset-free AR/VR laptop solutions that utilize built-in head tracking for real-time 3D perspective adjustments. The stylus allows users to manipulate virtual robotic components, enhancing the learning experience [3][4] - The applications are designed to provide hands-on, risk-free simulations that connect education to real-world applications, thereby improving educational outcomes and preparing learners for future careers [4] Company Overview - zSpace, Inc. specializes in augmented reality and AI-powered immersive learning experiences, serving various educational sectors including K-12 STEM and workforce development programs. The company is trusted by over 3,500 educational institutions and holds over 70 patents in immersive technology [4]

Core Insights - zSpace, Inc. has launched two new applications aimed at enhancing training in electric and hybrid vehicle technologies, addressing the automotive industry's shift towards new energy vehicles [1][2]. Company Overview - zSpace, Inc. specializes in immersive augmented reality (AR) solutions for education, focusing on improving educational outcomes and preparing learners for future careers [4]. - The company serves a wide range of educational institutions, including over 3,500 school districts, technical centers, community colleges, and universities [4]. - zSpace holds over 70 patents in immersive technology and emphasizes a "learning by doing" approach to enhance the learning process [4]. Product Details - The Electric Vehicle Maintenance application enables learners to develop skills in fault diagnosis and safety procedures specific to new energy vehicles, allowing practice in a virtual environment [2]. - The Electric and Hybrid Vehicle Structure Technology application provides an interactive exploration of vehicle components, enhancing understanding of complex automotive systems through 3D models and animations [2][3]. - Both applications are available via the zSpace App Manager, facilitating integration into automotive technology programs [3].

Core Insights - zSpace, Inc. has announced a strategic partnership with Paracosma Inc. to enhance vehicle systems training through immersive AR solutions aimed at education and workforce development [1][4] - The collaboration will introduce the Heavy Machine & Vehicle Inspection Virtual Trainer, which prepares students for industry-recognized certifications in automotive, diesel, and heavy equipment fields [1][3] Company Overview - zSpace, Inc. specializes in augmented reality (AR) and AI-powered immersive learning experiences, serving K-12 STEM, K-12 CTE, post-secondary CTE, and workforce development programs [8] - Paracosma Inc. is recognized for its AR/VR solutions, focusing on immersive technologies for training and marketing, and aims to improve safety and learning outcomes in high-risk fields [7] Product Features - The Virtual Trainer provides interactive simulations for inspection, maintenance, and disassembly of heavy machinery, allowing students to gain hands-on experience without the need for costly equipment [2][5] - The training aligns with ASE/NATEF standards, ensuring that lessons reinforce essential competencies required in the industry [5] Industry Context - The partnership addresses a critical skills gap in the transportation and heavy equipment industries, providing scalable and accessible training solutions [4] - There is a growing demand for virtual training technologies that facilitate career-focused education and certification preparation [4]

zSpace (ZSPC) 2025 Conference Summary Company Overview - zSpace delivers innovative augmented reality and AI-powered immersive learning experiences aimed at improving educational outcomes and preparing students for future careers [12][21] - The company operates primarily in the U.S. education market, focusing on K-12 and career and technical education (CTE) [21][22] Key Points Market Position and Financials - zSpace's primary market is the U.S., accounting for approximately 85% of its revenue, which is around $40 million [22] - The company is present in 3,500 out of 13,000 public school districts in the U.S., indicating significant room for expansion [22] - zSpace went public in late 2024, and the company has a strong retention rate with a net dollar revenue retention (NDR) of 135% in the last reported quarter [33][42] Product Offering - zSpace offers a headset-free augmented and virtual reality solution that includes hardware, software, and professional learning support [12] - The average cost for a classroom set is approximately $100,000, which includes 20 laptops and core software bundles [23] - The company has developed a full suite of applications from K to 12, focusing on sciences and career technical education [24][50] Growth Initiatives - zSpace has acquired smaller software companies to enhance its software control and has invested in AI solutions, such as the Career Coach product [32][28] - The company is focused on expanding its presence in both K-12 and CTE markets, with a revenue split of roughly 50% from new sales and 50% from existing customers [45] Funding Landscape - The funding landscape for K-12 education has shifted towards block grants, which is beneficial for zSpace as it allows more flexibility for school districts [35] - The CTE sector benefits from Perkins Funding, a $1.5 billion annual allocation for career and technical education programs [38] Competitive Landscape - zSpace's unique offering positions it well against competitors in the education market, which have struggled to engage students effectively [31] - The company emphasizes the importance of collaborative learning, which is a key differentiator from other VR/AR solutions [31] Future Outlook - zSpace plans to continue investing in AI and personalized learning experiences, aiming to improve student engagement and academic performance [30][28] - The company sees significant growth potential in both domestic and international markets, particularly through reseller partnerships [33][27] Additional Insights - The company has a strong focus on STEM education, with applications in health, transportation, and advanced manufacturing [52] - zSpace's technology is designed to enhance understanding of abstract concepts, which is crucial in science education [50] This summary encapsulates the key points discussed during the zSpace conference, highlighting the company's market position, product offerings, growth strategies, and future outlook.

Core Insights - zSpace, Inc. has announced a strategic partnership with The Glimpse Group, Inc. to launch the Medical Assisting Skills Virtual Trainer aimed at expanding access to healthcare career pathways [1][3] - The new software application allows students to practice 33 essential clinical and administrative skills in a safe and engaging virtual environment, supporting Nursing and Allied Health programs [2][3] - The partnership addresses the critical shortage of healthcare workers by providing scalable, immersive solutions that equip students with hands-on skills necessary for high-demand careers [3][4] Company Overview - zSpace, Inc. specializes in augmented reality (AR) and AI-powered immersive learning experiences, serving K-12 STEM, K-12 CTE, post-secondary CTE, and workforce development programs [6] - The company has over 3,500 educational institutions as clients and holds more than 70 patents in immersive technology [6] - The Glimpse Group, Inc. is a diversified immersive technology platform company that provides enterprise-focused immersive tech, spatial computing, and AI software and services [5] Product Details - The Medical Assisting Skills Virtual Trainer is aligned with Certified Medical Assistant (AAMA) standards and offers unlimited practice opportunities for students [3] - The application is designed to support both classroom instruction and remote learning environments, helping students build confidence and reduce errors [2][3] - The software is now available to educational institutions across the U.S., with options for personalized demonstrations [4]

Core Viewpoint - zSpace, Inc. is set to present at the 2025 Annual Gateway Conference, highlighting its leadership in immersive augmented reality solutions for education [1][5]. Company Participation - zSpace's management will present on September 4 at 11:00 a.m. PT, with the presentation available for live webcast and replay [2]. - Executives from zSpace will be available for one-on-one meetings throughout the conference [2]. Media Engagement - zSpace will participate in a recorded interview with host Katie Perry, aimed at engaging Stocktwits' retail investor audience of over 10 million [3]. Conference Overview - The Gateway Conference connects growth-stage companies with investors, analysts, and partners, featuring presentations and meetings with over 75 public and private companies [5][6]. Company Background - zSpace, Inc. specializes in augmented reality and AI-powered immersive learning experiences, serving K-12 and post-secondary education sectors [8]. - The company is trusted by over 3,500 educational institutions and holds over 70 patents in immersive technology [8].

Core Insights - zSpace, Inc. has launched zKnow, an AI assistant designed to enhance the educational experience by providing instant answers to educators regarding immersive learning content and technical resources [1][2][3] - The introduction of zKnow follows the success of zSpace's Career Coach AI, which has received multiple awards, highlighting the company's commitment to meaningful AI integration in education [3][4] Immediate Impact for Educators - zKnow significantly reduces the time educators spend searching for information, allowing them to focus more on student instruction [2][3] - The AI assistant provides context-aware guidance tailored to immersive learning environments, ensuring that educators receive precise and actionable information [3][6] Proven AI Leadership in Education - zSpace's AI solutions have been recognized with prestigious awards, reaffirming the company's leadership in educational technology [3][4] - zKnow is a domain-specific solution, trained on zSpace's content library, ensuring accuracy and alignment with educational standards [4][6] Market Leadership Through Innovation - The launch of zKnow positions zSpace as a leader in the $8.7 billion immersive learning market, addressing the challenge of adoption complexity [7] - zSpace's focus on secure, purpose-built AI resonates with education decision-makers who prioritize student privacy and regulatory compliance [8] Key Features of zKnow - Instant access to a vast array of interactive lessons and curriculum resources [6] - Context-aware guidance that integrates AR/VR technologies with various subject areas [6] - A privacy-first design that complies with educational data governance frameworks [6]

Financial Data and Key Metrics Changes - First half revenues were $14.2 million, down 7% year on year, with software and services up 2% and hardware revenues down 13% [14][15] - Q2 revenues were $7.5 million, flat year on year, with hardware performance growing 3% and software and services declining 5% [19][20] - Gross profit for the first half was $6.4 million, up 11% year on year, with gross margins at 44.9%, up 7.5 percentage points [17][18] - Q2 gross profit was $3.2 million, up 5% year on year, with gross margins at 42.6%, up 2.1 percentage points [20][21] Business Line Data and Key Metrics Changes - Software and services revenues were up 2% year on year, while hardware revenues were down 13% for the first half [14][15] - K-12 customers accounted for 68% of bookings value, down from 70% in the prior year, while DTE customers drove 32% of value, up from 30% [16] - CTE content of bookings for the three months ended June 30 was 35%, up seven percentage points over the prior year quarter [50] Market Data and Key Metrics Changes - Bookings for the six-month period ending June 30 were $15.5 million, down 34% year on year, with a 21% decline in the U.S. and rest of the world markets outside of China, and an 88% increase in bookings from China [15][16] - Q2 bookings were $7.1 million, down 54% year on year, reflecting a 31% decline in the U.S. and rest of the world markets outside China, and a 100% decrease in bookings from China [19][20] Company Strategy and Development Direction - The company is focused on four key policy trends impacting its business, including decentralization of federal funding and expansion of school choice [5][6] - The integration of the Second Avenue acquisition and the launch of the Career Explorer application are expected to drive growth in the software business [8] - The company is investing in AI assistance to improve student outcomes through personalized learning [8] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding the unfreezing of federal funding, which may positively impact customer decision-making [27][28] - The company is facing challenges due to delays and constraints around funding, but customer demand remains strong [11][12] - Management refrained from providing formal financial guidance due to ongoing uncertainty in the K-12 segment [23] Other Important Information - The annualized contract value of renewable software was $10.9 million, up 11% compared to twelve months ago [15] - The net dollar revenue retention rate was 131%, significantly up from 97% in the previous quarter [61] Q&A Session Summary Question: Any 3Q trends that you can highlight? - Management is cautiously optimistic about the unfreezing of federal funding and its potential impact on customer behavior [27][28] Question: How is AI incorporated in new offerings? - The company is using machine learning in its next-generation stylus and has launched the zSpace AI assistant within the Career Explorer application [29][30] Question: What is the impact of tariffs in the second half? - Tariff costs are being passed through on a dollar basis, but there is some percentage-based compression of margins [41][42] Question: What is the current backlog? - The backlog at the end of Q2 was $7.3 million for confirmed orders but not yet fulfilled [46] Question: Can you provide more details on CTE? - CTE sales are predominantly in K-12 high schools, with a focus on career exploration starting as early as grades five and six [52][55] Question: What is the driver of the significant improvement in net dollar revenue retention? - The improvement is attributed to significant orders from existing customers who expanded their footprint [62][64] Question: Can you recap the capital raises since the March close? - The company closed on a $20 million convertible offering and an equity line of credit with a maximum capacity of $30 million [71][72]