• The Apple of law enforcement technology.
• GoPro for police body cameras, plus a Salesforce for digital evidence management.
• A critical equipment and software provider for law enforcement, similar to Stryker or Medtronic for the medical field.

• TASER Devices: Conducted energy weapons designed to temporarily incapacitate individuals for law enforcement and personal safety.
• Body-Worn Cameras: Wearable cameras for public safety professionals to record interactions and gather digital evidence.
• Axon Cloud Software Suite (Evidence.com): A comprehensive cloud-based platform for managing, storing, and sharing digital evidence, including video, audio, and documents.
• Axon Fleet Cameras: In-car video systems for law enforcement vehicles that integrate with body cameras and the Axon Cloud for unified evidence capture.
• Axon VR Training: Virtual reality training simulations designed to enhance decision-making and tactical skills for public safety personnel.

Axon Enterprise (symbol: AXON) primarily sells its products and services to government entities, not to other private companies or primarily to individuals. Its major customers fall into the following categories:

• Law Enforcement Agencies: This is Axon's largest customer segment, encompassing municipal police departments, county sheriff's offices, state police/highway patrols, and various federal law enforcement agencies both domestically and internationally. They utilize Axon's TASER devices, body cameras (Axon Body), in-car camera systems (Axon Fleet), and the cloud-based digital evidence management platform (Evidence.com).

• Corrections and Detentions Facilities: Jails, prisons, and other correctional institutions purchase Axon products for officer safety, incident documentation, and evidence collection within their facilities.

• Other Public Safety and Government Agencies: This category includes fire departments, emergency medical services (EMS), probation and parole offices, and specific government security or investigative units that require advanced safety tools, cameras, and evidence management solutions.

• Ambarella (AMBA)
• Amazon (AMZN)

Rick Smith, Chief Executive Officer & Founder

Rick Smith co-founded Axon Enterprise (originally TASER International, Inc.) in September 1993 with his brother, Thomas P. Smith. He launched the company from a garage in Tucson, Arizona, after two friends were shot and killed. Smith led the company to its initial public offering in 2001. He is credited with pioneering TASER energy weapons, developing the body camera industry, and building the Evidence.com digital evidence management platform. Smith is also the author of "The End of Killing." He previously served as Chairman of the board of Directors of Splunk Inc. from March 2019 and was a member of its board since 2011, also serving as interim CEO of Splunk Inc. from November 2021 to April 2022. He has served on the board of directors of Procore Technologies, Inc. since 2020 and Talkdesk, Inc. since 2023. Smith holds 53 U.S. patents.

Brittany Bagley, Chief Operating Officer & Chief Financial Officer

Brittany Bagley joined Axon as Chief Financial Officer and Chief Business Officer in September 2022, later also taking on the role of Chief Operating Officer. Before Axon, she served as Chief Financial Officer at Sonos (Nasdaq: SONO) for almost four years, overseeing finance, investor relations, M&A, real estate, and information technology functions. She was also on the Sonos board of directors from 2017 to 2019. Prior to Sonos, Bagley spent 12 years on KKR's Americas Private Equity team, holding various investing roles, including Managing Director of the technology team, and served on numerous boards for KKR. Bagley began her career as an Analyst in Investment Banking at Goldman Sachs. She currently serves on the board of directors for Aurora Innovation (NASDAQ: AUR).

Josh Isner, President

Josh Isner is the President of Axon, responsible for the day-to-day operational excellence of the business, including operations, execution, marketing, policies, and employees. He joined Axon in 2009 as part of its leadership development program. Isner quickly advanced, leading Axon's domestic body camera and cloud software sales team to a record year in 2014, and was promoted to Executive Vice President of Global Sales. In 2018, he became Chief Revenue Officer, driving annual growth rates exceeding 25%. He was named Axon's first Chief Operating Officer in June 2022 before becoming President.

Jeff Kunins, Chief Product Officer & Chief Technology Officer

Jeff Kunins serves as Axon's Chief Product Officer and Chief Technology Officer, leading the global Product Management, Software Engineering, Hardware Engineering, Artificial Intelligence, Design, and Security teams. He joined Axon in 2019 from Amazon, where he was Vice President of Alexa Entertainment, leading global experience, developer platform, and strategic partnerships for music, video, and podcasts across Alexa-enabled devices. Kunins also served as Vice President of Amazon Kindle's global reading experience. His prior experience includes serving as General Manager of Product and Design at Skype, General Manager of Windows Live Messenger at Microsoft, and Vice President of Product at Tellme Networks Inc. (acquired by Microsoft in 2007). Kunins holds board observer seats with Flock Safety and RapidSOS, and serves on the board of the Seattle Police Foundation.

Isaiah Fields, Chief Legal Officer & Secretary

Isaiah Fields has been the Chief Legal Officer and Secretary of Axon since 2022. Prior to this, he served as Executive Vice President and General Counsel from 2021 to 2022. Fields initially joined Axon in 2011 and has held roles such as Senior Vice President and General Counsel, and Vice President of Legal and Government Affairs. He also previously served as an Assistant Attorney General at the Arizona Attorney General's Office.

The key risks to Axon Enterprise's business include regulatory and antitrust challenges, intensifying competition, and dependence on government financing.

1. Regulatory and Antitrust Risks
   Axon faces ongoing regulatory scrutiny, particularly concerning potential antitrust issues related to its business model of integrating hardware and software solutions. Historically, the Federal Trade Commission (FTC) initiated an antitrust investigation into Axon's 2018 acquisition of competitor Vievu. Although the FTC later dismissed its administrative enforcement action, the threat of regulatory pressure and potential litigation remains. If authorities were to mandate changes to Axon's strategy, such as separating the sale of its hardware and software, it could undermine the company's current monetization levels and reduce profit margins.
2. Intensifying Competition
   Axon operates in a competitive landscape and faces significant challenges from rivals, most notably Motorola Solutions. Motorola is a large player in the public safety technology sector, offering products like body cameras and AI-powered analytics, and has made strategic acquisitions to enhance its competitive position. Additionally, other companies, such as Wrap Technologies with its BolaWrap device, are emerging with less-lethal alternatives to Axon's conducted energy devices (TASERs), signaling a shift in the law enforcement technology market. The market for software solutions in public safety is also highly fragmented and competitive, requiring Axon to continuously innovate to maintain its leadership.
3. Dependence on Government Funding and Budgetary Constraints
   A substantial portion of Axon's revenue is derived from sales to law enforcement agencies and other public safety entities. These customers are often government-funded and are therefore subject to various budgetary and political constraints. Fluctuations in government budgets, shifts in political priorities, or changes in public spending on law enforcement technology could directly impact Axon's sales volume and financial performance. This dependence creates a risk related to the unpredictable nature of public sector financing.

Motorola Solutions, a dominant force in public safety communications, has strategically expanded its portfolio to directly compete with Axon's core offerings. Through acquisitions such as WatchGuard Video and Avigilon, Motorola now provides a comprehensive suite of body-worn cameras, in-car video systems, and cloud-based evidence management software (e.g., CommandCentral platform). Leveraging its deep, long-standing relationships with law enforcement agencies, Motorola presents an integrated "single vendor" solution across radios, video hardware, and software. This approach directly threatens Axon's market share and growth prospects by offering agencies a consolidated alternative for their public safety technology needs, potentially shifting customer loyalty and procurement decisions away from Axon's specialized ecosystem.

Axon Enterprise (symbol: AXON) operates within a substantial global total addressable market (TAM), which the company has estimated to be $159 billion. This comprehensive figure encompasses its diverse portfolio of products and services.

Key product and service categories contributing to Axon's market opportunity include:

• Overall Public Safety Ecosystem (Real-time Operations, Vehicle Intelligence, Air, and Robotics): This segment alone represents a market opportunity exceeding $74 billion globally.
• Conducted Electrical Weapons (TASER devices), Body Cameras, Digital Evidence Management Solutions (DEMS), and Training: These products, primarily sold on a per-user subscription basis, constitute approximately 50% of Axon's total addressable market.
• Body-Worn Cameras: The global market for wearable and body-worn cameras is projected to reach $2.86 billion in 2025 and expand to $4.05 billion by 2030.
• Cloud-based SaaS Solutions: Axon's cloud-based Software-as-a-Service (SaaS) offerings have significant room for growth, with the company having penetrated only 4% of its addressable SaaS market in the U.S.
• Drones and Counter-Drone Technology: Acquisitions, such as Dedrone, are expected to further expand Axon's total addressable market by approximately $14 billion.
• 911 Call-Handling and AI-enabled Communications: Recent acquisitions like Prepared and Carbyne are extending Axon's ecosystem into 911 call center technology.

Specifically within U.S. State and Local law enforcement, Axon identifies an opportunity of approximately $11 billion, where its market penetration is currently less than 15%.

Expected Drivers of Future Revenue Growth for Axon Enterprise (AXON)

Over the next 2-3 years, Axon Enterprise's revenue growth is expected to be driven by several key factors:

• Growth in Software & Services and Annual Recurring Revenue (ARR): Axon consistently highlights its Software & Services segment as a primary growth engine. This growth is fueled by both the adoption of new customers and the expansion of existing customers into premium software offerings. Annual Recurring Revenue (ARR) has shown significant year-over-year growth, indicating a strong, recurring revenue stream from these services.
• Expansion of the Axon Ecosystem and New Product Launches, including AI-powered Solutions: The company's "AI Era Plan" and the introduction of new products are crucial for future growth. Recent product launches, such as Axon Body Workforce Mini, Axon Outpost, and Lightpost, are expected to contribute to revenue. Strategic acquisitions like Prepared and Carbyne are also broadening Axon's addressable market by enhancing AI-enabled communications and public safety capabilities.
• Increased Demand for Connected Devices: Strong demand for Axon's connected devices, particularly the TASER 10 and Axon Body 4 cameras, continues to be a significant driver of revenue. This includes new deployments and upgrades by existing customers.
• Expansion into New Markets: Axon is actively expanding its reach beyond traditional law enforcement. The company is pursuing growth in international markets, with notable success in Europe, and is targeting new enterprise segments such as retail and hospitals with products like the Axon Body Workforce Mini.

Share Repurchases

• As of September 30, 2025, Axon had $16.3 million remaining under a $50.0 million stock repurchase program authorized in February 2016.

Share Issuance

• In June 2020, Axon completed a public offering of 3,000,000 shares of its common stock at $92.00 per share, generating expected gross proceeds of $276 million.
• During the nine months ended September 30, 2025, Axon sold approximately 0.5 million shares under its "at-the-market" equity offering program, resulting in approximately $366.3 million in gross proceeds.

Outbound Investments

• In 2024, Axon completed two strategic acquisitions: Fusus for $241.3 million and Dedrone for $391.1 million, enhancing its real-time operations and airspace security capabilities.
• In November 2025, Axon announced its intent to acquire Carbyne, an emergency communications and response platform, in a deal valuing Carbyne at $625 million, with the transaction expected to close in Q1 2026.
• Axon made investments and acquisitions totaling $83 million in 2022.

Capital Expenditures

• Axon's capital expenditures were $72.63 million in 2020, $49.89 million in 2021, $55.8 million in 2022, and $59.64 million in 2023.
• Expected capital expenditures for 2025 are in the range of $170 million to $180 million.
• These expenditures are primarily focused on long-term research and development projects, expanding TASER 10 capacity, global facility build-outs, and new product development costs.