Tech & Business Developments - Deutsche Telekom and the Schwarz Group are collaborating to construct an AI data center, referred to as an "AI gigafactory" [2] - This initiative is part of a German consortium that includes SAP and Ionos, aiming for a share of the European Commission's €20 billion ($20.9 billion) "AI gigafactories" initiative [2] - Each gigafactory is projected to require an investment of €3-5 billion (US$3.39-5.66 billion) and is expected to house approximately 100,000 AI chips for training advanced AI models [2] Economic Indicators - New Zealand's building permits fell by a seasonally adjusted 5.2% month-on-month to 2,850 units in October, following a 7.2% increase in September [5] - The total number of new dwellings consented dropped by 16% year-on-year to 33,467 units [6] - The annual value of non-residential building work consented decreased by 3.5%, totaling NZ$9.3 billion [6] Military Operations Under Scrutiny - Defense Secretary Pete Hegseth is facing controversy over allegations of ordering a "second boat strike" in the Caribbean, which he has denied as "fabricated" [7] - U.S. forces have conducted over 20 boat strikes in the Caribbean and eastern Pacific since September, resulting in at least 80 deaths [7]

Core Insights - Capgemini has strengthened its partnership with SAP to enhance AI-driven enterprise transformation solutions across European industries, particularly in the public sector and highly regulated sectors [1][3] - The new Sovereign Technology Partnership aims to bolster Europe's digital sovereignty, ensuring robust cybersecurity and compliance for organizations [1][2] - The partnership will initially focus on France, Germany, the Netherlands, and the United Kingdom, with plans for broader European expansion [1] Group 1 - The partnership will combine Capgemini's expertise in data management, migration, and AI governance with SAP's sovereign cloud solutions to deliver end-to-end agentic AI solutions [3] - Capgemini's recent acquisitions of Syniti and Cloud4C enhance its capabilities in SAP data transformation and managed services for hybrid and sovereign cloud environments [4] - The collaboration aims to address the dual challenge of driving AI-led innovation while ensuring compliance with strict sovereignty and security requirements [4] Group 2 - Aiman Ezzat, CEO of Capgemini, emphasized the importance of collaboration between companies and governments to meet the challenges of digital sovereignty and innovation [4] - Christian Klein, CEO of SAP SE, stated that the partnership sets a new benchmark for Europe's digital and technology sovereignty, enabling organizations to innovate securely and independently [4] - Capgemini reported global revenues of €22.1 billion for 2024, showcasing its strong position in the market [6]

Financial Data and Key Metrics Changes - Q3 2025 marked the strongest quarter in Gorilla's history with revenue exceeding expectations and operating profit turning positive, achieving breakeven on the bottom line [2][12] - The company reported a cash position of over $121 million, with $109 million being unrestricted cash and total debt reduced to $15.1 million, resulting in a net cash position of $106 million [3][4] - Revenue guidance for 2025 is set between $100 million and $110 million, with EBITDA margins expected to be over 20% and net income margins between 15% and 20% [4][5] - For Q3, actual revenue was $26.5 million, gross profit was $9.9 million, and operating income was $4.4 million, showing significant improvements over estimates [12][13] Business Line Data and Key Metrics Changes - The gross margins for the first nine months were slightly over 35%, with expectations to reach the 35%-40% range for the full year [4] - The company has secured a large signed contract with FRAIR worth $1.4 billion, which is expected to contribute over $400 million annually once fully operational [7][8] Market Data and Key Metrics Changes - The company anticipates that over 50% of its revenue will come from Southeast Asia in the next year, with a balanced mix between government and enterprise clients [8] - The pipeline for future projects is robust, with a total of $7 billion identified, primarily from government and telecommunications sectors [16][53] Company Strategy and Development Direction - Gorilla aims to diversify its business and reduce reliance on government contracts while improving client quality and creditworthiness [9][16] - The company is focused on building long-term relationships with governments and enterprises, positioning itself as a full-stack AI operator [56][100] - Future growth is targeted at $500 million in annual revenue by 2027, with significant investments planned in India and the U.S. to capitalize on emerging markets [68][90] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the structural growth of the business, emphasizing that profitability is not a one-off event but a result of disciplined operations [14][15] - The company is optimistic about the demand for AI infrastructure and national programs, indicating that the demand curve is larger than what is currently reflected in guidance [17][39] Other Important Information - The company is actively pursuing acquisitions to enhance its capabilities and expand its market presence, particularly in high-growth regions like India and the U.S. [70][92] - Gorilla is in discussions with banks for financing to support capital needs for major contracts, ensuring sufficient cash flow for upcoming projects [72][73] Q&A Session Summary Question: What are the assumptions for the large deal contribution in 2026 guidance? - The guidance for 2026 is based on contracted backlog and the first phase of the Southeast Asia data center project, which alone contributes $100 million from 2026 to 2028 [22] Question: Any color on EBITDA margins for 2026? - EBITDA margins are expected to be in the range of 15%-25% [26] Question: Can you provide details on deliverables for the large contract in 2026? - The first $100 million will come from planned phases of the data center project, with revenue ramping up as infrastructure is commissioned [28][29] Question: How does the company gauge upside potential against market risks? - Management believes there is more upside potential than downside risk, with a focus on timely customer deployments and supply chain constraints [36][39] Question: What is the magnitude of the backlog? - The backlog is strictly defined at $85 million for 2026, with additional potential from ongoing negotiations and bids [47] Question: Why is Gorilla winning against competitors? - Gorilla's speed of execution, operational discipline, and ability to deliver sovereign-grade AI infrastructure are key competitive advantages [56][58] Question: What are the plans for cash utilization? - Cash will be used for capital needs related to major contracts and potential acquisitions to support growth [72][73]

Core Insights - Germany's lawmakers are debating the regulation of Bitcoin, with the Alternative for Germany (AfD) party proposing to exempt it from heavy EU regulations to foster innovation and financial independence [1][2] - The AfD's motion emphasizes Bitcoin's unique characteristics, arguing it should be treated as a distinct asset class rather than a speculative token [2][3] - The proposal calls for a 12-month tax-free holding period for Bitcoin and classifies private mining and lightning node operations as non-commercial activities [2][3] Regulatory Context - Germany has been a leading crypto-friendly jurisdiction, integrating national regulations with the EU's Markets in Crypto-Assets (MiCA) framework [3] - The Federal Financial Supervisory Authority (BaFin) oversees crypto-asset service providers and enforces anti-money laundering and know-your-customer standards [4] - Since the implementation of MiCA in December 2024, BaFin has issued nine licenses, positioning Germany as a key hub for regulated digital asset activities in the European Economic Area [5]

Core Insights - VCI Global Limited has launched its CyberSecure Cloud service in Malaysia, providing military-grade encrypted data protection for enterprises and government organizations [1][5] - The Malaysian cybersecurity market is valued at approximately US$500 million in 2025 and is projected to reach US$700 million by 2030, while the ASEAN cybersecurity market is expected to grow from US$5.5 billion in 2025 to US$12.2 billion by 2030 [2] - The company plans to expand CyberSecure Cloud into Singapore, Hong Kong, Dubai, and Indonesia as part of its phased rollout strategy [4] Company Overview - VCI Global is a cross-sector platform builder that integrates deep technology with financial architecture to enable sovereign-ready digital ecosystems [5][6] - The company aims to empower governments, enterprises, and institutions in Southeast Asia to scale securely and independently [6] Product Features - CyberSecure Cloud combines EAL4-certified hardware-level encryption with various enterprise cybersecurity features, including automated backup and recovery, integrated firewall gateway, and scalable storage plans ranging from 3TB to 50TB [2][8] - The service will include a dedicated customer portal for enterprises to manage their encrypted storage needs online, set to launch by the end of September 2025 [3]

Core Insights - VCI Global Limited has secured multiple enterprise commitments and government-level proof-of-concept projects following its participation in the ASEAN AI Summit 2025, marking a significant milestone in its regional expansion strategy [1][2] - The company showcased its sovereign-grade encryption and AI infrastructure technologies, which received strong engagement from ASEAN country delegations, government agencies, and enterprise leaders [2][5] - The global post-quantum and quantum-security market is projected to reach approximately US$4.62 billion by 2030, with a CAGR of 38.3%, while the Asia-Pacific cybersecurity market is forecast to reach US$146 billion by 2030, growing at a CAGR of 15.9% [3][4] Company Developments - VCI Global is strategically positioned to capture significant opportunities in ASEAN's digital sovereignty and cybersecurity landscape by aligning its technologies with high-growth market trajectories [4] - The company has multiple signed enterprise agreements for its CyberSecure Vault and related solutions, along with ongoing discussions with national AI and data sovereignty task forces in the region [8] - The company aims to empower governments, enterprises, and institutions in Southeast Asia to scale securely and independently, with a focus on its sovereign AI data platform fortified by military-grade encryption [7]

Core Viewpoint - The German state of Schleswig-Holstein is transitioning away from Microsoft products to open-source software to regain control over data and ensure digital sovereignty amid rising US-EU tensions and concerns over the power of major tech companies [3][4][6]. Transition to Open-Source Software - Schleswig-Holstein plans to replace Microsoft Office programs like Word and Excel with LibreOffice and Open-Xchange for emails and calendars, with a complete switch to the Linux operating system in the coming years [5][8]. - The shift will impact approximately 30,000 public servants initially, with plans to extend to around 30,000 teachers in the future [4]. Economic Considerations - The move to open-source software is expected to save Schleswig-Holstein tens of millions of euros, as investing in alternatives and training staff is often cheaper than Microsoft licensing fees [10][11]. - The state aims to avoid unexpected costs associated with mandatory updates from Microsoft, which can financially strain public bodies [10]. Global Interest and Trends - The geopolitical climate, particularly the war in Ukraine, has heightened awareness of digital dependencies, prompting interest in Schleswig-Holstein's approach from other regions [8][10]. - Other public entities, such as France's gendarmerie and India's defense ministry, have successfully adopted open-source systems, indicating a growing trend [13]. Legislative Support - The EU's "Interoperable Europe Act," which encourages the use of open-source software, may further drive this trend, potentially leading to more administrations adopting similar practices in the next few years [14].