• SoundThinking is like **Palantir for local public safety.**
• SoundThinking is like **Salesforce for law enforcement operations.**

• ShotSpotter: An acoustic gunshot detection system.
• CrimeTracer: A law enforcement search engine.
• CaseBuilder: An investigation management system.
• ResourceRouter: Software that directs patrol and community anti-violence resources to help maximize their impact.

SoundThinking (SSTI) primarily sells its solutions to governmental entities and public safety organizations, not to other commercial companies or individuals. Its major customers fall into the following categories:

1. Law Enforcement Agencies: This includes municipal police departments, county sheriff's offices, and other law enforcement bodies that utilize solutions like ShotSpotter, CrimeTracer, and CaseBuilder for investigations and crime prevention.
2. Civic Leadership and Municipal Governments: City administrations, mayors' offices, and other local government bodies that use SoundThinking's data-driven insights and platforms to inform public safety strategies and resource allocation.
3. Community Violence Prevention and Health Organizations: Non-profit or government-funded groups focused on public health and reducing community violence, often utilizing tools like ResourceRouter to maximize the impact of their anti-violence efforts.

Ralph A. Clark, President and Chief Executive Officer

Ralph Clark has led SoundThinking (formerly ShotSpotter) as President and CEO since 2010. He spearheaded the transformation of ShotSpotter into a SaaS-based business model, ultimately taking the company public in 2017. Prior to his tenure at SoundThinking, Mr. Clark served as President and CEO of GuardianEdge Technologies Inc., where he successfully drove the company to an acquisition by Symantec. His earlier career includes roles at IBM and as an investment banker with Goldman Sachs and Merrill Lynch. Mr. Clark also held executive positions such as Vice President of Finance at Adaptec, Chief Financial Officer at Snap Appliance, and was the Founder and CEO of both Blue Makoi, Inc. and Direct Medical Knowledge. He currently serves on the Board of Directors for TriNet (TNET) and Glowforge, a venture capital-backed 3D laser printing company.

Alan R. Stewart, Chief Financial Officer

Alan R. Stewart serves as Chief Financial Officer, bringing a strong background in mergers, acquisitions, and corporate finance to SoundThinking. Before joining SoundThinking, he was a Managing Director at RA Capital Advisors, LLC, a private investment bank specializing in mergers and acquisitions, private financings, and restructurings. From 2004 to 2014, he held the positions of Chief Financial Officer and then Chief Development Officer at Epsilon Systems Solutions, Inc. Mr. Stewart also founded and served as CEO of SmallBizTraining.com, an internet portal designed to help veterans start and grow small businesses. Since 2008, he has been President of FIT Advisors, LLC, a consulting firm providing temporary CFO services to various companies, from startups to large private entities, across diverse industries. Earlier in his career, he served over ten years as a submarine nuclear engineer in the United States Navy.

Sam Klepper, Senior Vice President, Product Management and Corporate Development

Sam Klepper is the Senior Vice President of Product Management and Corporate Development at SoundThinking. He has been instrumental in building the ShotSpotter and SoundThinking brands over five years. Previously, Mr. Klepper was a General Manager at Microsoft, where he was involved in growing WebTV Networks' recurring revenues. At Intuit, he developed the strategy and led product teams for the company's entry into the SMB accounting (QuickBooks) and payroll markets. He began his career at Bain & Company.

Gregg Makuch, Senior Vice President, Marketing

Gregg Makuch serves as SoundThinking's Senior Vice President of Marketing. He is a results-oriented marketing executive with over 25 years of experience in marketing, product, and business leadership, working with innovative, fast-growing technology companies ranging from startups to global organizations. Mr. Makuch has held CMO and marketing leadership roles at multiple tech startups. Most recently, he was part of a senior management team that relaunched an HRTech company, leading to a 7X growth in its customer base and a successful $5.4 million funding round. His prior experience includes roles at PricewaterhouseCoopers, Deloitte, RealNetworks, and aQuantive.

Anne Mueller, Senior Vice President, Human Resources

Anne Mueller joined SoundThinking in 2023 and leads the Human Resources and Talent team as Senior Vice President. She brings over 20 years of Human Resources expertise, specializing in building and cultivating dynamic, high-performing teams within fast-paced and evolving organizations. Before SoundThinking, Ms. Mueller was the Senior Vice President, Head of People at Forge Global (NYSE: FRGE), where she played a key role in expanding the company's headcount by 11 times over four years, was instrumental in taking the company public, and led the first Diversity, Equity, and Inclusion (DE&I) efforts.

The key risks to SoundThinking, Inc.'s business are primarily centered around the efficacy and public perception of its core technology, its reliance on government contracts, and ongoing financial and profitability challenges.

1. Controversies and Efficacy Concerns of ShotSpotter Technology

SoundThinking's flagship product, ShotSpotter, faces significant and persistent scrutiny regarding its accuracy and effectiveness. Multiple reports and investigations have raised concerns about a high incidence of false positives or alerts that do not lead to evidence of gun-related crime or arrests. For instance, a Houston Chronicle investigation in July 2023 indicated that over 80% of ShotSpotter alerts were false positives or otherwise useless, leading to a low number of arrests and charges relative to the alerts. Studies in Chicago have also found that a large percentage of dispatches based on ShotSpotter alerts did not result in gun-related crime. Critics argue that the technology can contribute to over-policing, particularly in communities of color, and question the allocation of public funds towards such systems rather than addressing root causes of violence. This negative publicity and ongoing debate about accuracy and societal impact can hinder the company's ability to secure new contracts and renew existing ones.

2. Reliance on Government Contracts and Procurement Challenges

SoundThinking is highly dependent on contracts with municipalities and law enforcement agencies for a substantial portion of its revenue. This reliance exposes the company to several risks, including lengthy government procurement cycles, budget constraints of public entities, and political pushback. The company has experienced significant delays in securing new contracts and stalled extensions of existing ones, which has negatively impacted its revenue and financial guidance. A notable example is the non-renewal of the contract with the City of Chicago, which previously accounted for approximately 10% or more of the company's revenue and created a significant revenue gap. Political pressure from civil rights groups and critical audits from public officials (such as the NYC Comptroller) can introduce friction and uncertainty into the contract renewal process, adding a tangible business risk.

3. Financial Performance and Profitability Challenges

Despite efforts to diversify its platform and achieve revenue growth, SoundThinking has faced consistent financial challenges, including stagnant adjusted EBITDA and declining gross margins. The company has reported GAAP net losses and has not been consistently profitable. For example, in fiscal year 2025, the company reported a GAAP net loss of $9.4 million and a decrease in adjusted EBITDA. Furthermore, the company has had to lower its fiscal year 2026 outlook, reducing revenue and adjusted EBITDA margin guidance, partly due to delayed bookings. Analysts do not anticipate the company will be profitable in the current fiscal year. Concerns have also been raised regarding high stock-based compensation and insider selling, which can be viewed negatively by investors.

SoundThinking, Inc. (SSTI) operates within several public safety technology markets. The addressable market sizes for its main products and services are outlined below:

ShotSpotter (Acoustic Gunshot Detection System)

• Globally, the gunshot detection systems market was estimated at USD 1.04 billion in 2023 and is projected to reach USD 2.38 billion by 2030.
• In North America, this market was valued at USD 1.23 billion in 2025 and is projected to reach USD 7.58 billion by 2035.

CrimeTracer (Law Enforcement Search Engine) and CaseBuilder (Investigation Management System)

These products are components of the broader law enforcement and investigation management software markets.

• The global investigation management software market, which includes tools like CaseBuilder, was estimated at USD 1.25 billion in 2025 and is expected to reach USD 3.10 billion by 2033.
• The global law enforcement software market, encompassing solutions like CrimeTracer and CaseBuilder, is projected to grow from USD 20.25 billion in 2025 to USD 32.96 billion by 2030.
• For the U.S. specifically, the law enforcement software market size was estimated at USD 7.20 billion in 2025 and is projected to reach USD 15.60 billion by 2033.

ResourceRouter (Software for Directing Patrol and Community Anti-Violence Resources)

ResourceRouter falls within the public safety and law enforcement software markets, focusing on resource allocation and patrol management.

• The global public safety software market, which includes resource allocation solutions, was valued at USD 16.37 billion in 2022 and is projected to surge to USD 36.47 billion by 2030.
• North America is identified as the leading region in the public safety software market.
• The global law enforcement software market, which also covers resource management tools for police departments, is projected to grow from USD 20.25 billion in 2025 to USD 32.96 billion by 2030.
• The U.S. law enforcement software market, relevant for ResourceRouter's offerings, was estimated at USD 7.20 billion in 2025 and is projected to reach USD 15.60 billion by 2033.

Expected Drivers of Future Revenue Growth for SoundThinking (SSTI)

SoundThinking, Inc. (SSTI) anticipates future revenue growth over the next 2-3 years to be driven by several key factors:

• Expansion of Existing SafetySmart Platform Solutions: The company expects continued growth through the addition of new customers and expansion of coverage in existing locations for its core offerings, including the ShotSpotter acoustic gunshot detection system. This also extends to other components of its SafetySmart Platform, such as CrimeTracer (a law enforcement search engine), CaseBuilder (an investigation management system), and ResourceRouter (a resource allocation software), with the recent launch of CrimeTracer Gen 3 and momentum in PlateRanger.
• Accelerated Growth of SafePointe: SafePointe, a passive screening service acquired by SoundThinking, is identified as a significant driver of future revenue. The company has reported strong bookings for SafePointe, particularly within the healthcare vertical, and projects substantial revenue contributions from this solution in the coming years.
• International Market Expansion: SoundThinking is actively pursuing growth in international markets, with a focus on regions such as Latin America (e.g., Uruguay, Brazil) and South Africa. These markets offer opportunities for expansion and potentially higher pricing for its solutions.
• New Product Development and AI-Driven Capabilities: Strategic investments in artificial intelligence (AI) and the development of new solutions are expected to broaden SoundThinking's customer base. This includes offerings like a perimeter-based sniper detection system, which is attracting interest from non-traditional customers such as large banks, moving beyond its traditional law enforcement clientele.

Share Repurchases

• In 2025, SoundThinking repurchased 225,334 shares of its common stock for approximately $3.0 million at an average price of $13.15 per share.
• These repurchases were made under an existing $25 million share repurchase program.

Share Issuance

• SoundThinking's shares issued and outstanding increased from 12,634,485 as of December 31, 2024, to 12,825,960 as of December 31, 2025.

Outbound Investments

• In 2023, SoundThinking acquired SafePointe, aiming to enter the global weapons detection market.