Innoviz Technologies Ltd. (INVZ) announced two significant commercial agreements in the LiDAR space on Wednesday, providing a boost ahead of its first-quarter 2026 earnings release. The Israeli sensor maker revealed a framework deal with Kela Technologies for the purchase of several hundred InnovizTwo LiDAR sensors, with the potential to scale up to thousands over the coming years for defense applications. Additionally, Innoviz disclosed a separate software development agreement with an unnamed autonomous-driving technology company.
Kela Technologies Deal Details
Under the framework agreement, Kela Technologies will acquire InnovizTwo sensors for use in armored vehicles, as well as border and perimeter defense systems. The sensors are designed to work in conjunction with radar, electro-optical, thermal, and radio-frequency systems, providing a unified operational picture for commanders and autonomous systems. Kela highlighted that LiDAR's depth and shape measurement capabilities can distinguish a drone from clutter or decoys, enhancing situational awareness.
Hamutal Meridor, co-founder and president of Kela Technologies, stated, "Civilian autonomy proved that LiDAR can be built reliably and at scale. Defense now needs exactly that."
Software Agreement with Autonomous Driving Partner
Innoviz also announced a software development pact with an undisclosed autonomous driving technology partner. The agreement focuses on testing "on-sensor" perception, where software processes LiDAR data directly within the sensor rather than in the vehicle's main computer. Innoviz CEO Omer Keilaf noted that this choice reflects recognition of "the full autonomy stack," combining hardware and software for vehicle sensing and response.
The company indicated that this agreement could strengthen its existing supply relationships.
Financial Context and Market Position
Innoviz is set to report its first-quarter 2026 results before the U.S. market opens on May 14, with a conference call scheduled for 9 a.m. Eastern. Pre-market trading saw INVZ shares at $0.9165, below the $1 Nasdaq compliance threshold. The company received a Nasdaq warning in March after its shares traded below $1 for 30 consecutive sessions, and it has until September 21, 2026, to regain compliance by closing at $1 or higher for at least 10 trading days.
For the full year 2025, Innoviz reported revenue of $55.1 million, a sharp increase from the prior year, and provided 2026 revenue guidance in the range of $67 million to $73 million. The company has collaborations with Daimler Truck, Torc Robotics, Mobileye, and Volkswagen, among others. Zacks analysts had estimated a Q1 loss of $0.06 per share on revenue of $13.81 million.
Competitive Landscape and Risks
Innoviz faces competition from established players such as Valeo, Hesai, and Ouster, as well as indirect pressure from camera and radar systems increasingly used in driver-assistance technology. The company notes that some competitors have greater resources. Additionally, framework agreements do not guarantee long-term orders, and development projects may not translate into production revenue. Innoviz cautions that its strategic, development, or supply deals could end early or fail to convert into binding long-term contracts.
Despite these risks, the new deals signal potential traction for Innoviz's technology beyond the passenger car market, as the company seeks to diversify its revenue streams in the defense and autonomous vehicle sectors.
