Cyngn Inc. (Nasdaq: CYN), a leader in autonomous industrial vehicle technology, today shared an update from its CEO on the organizational, commercial, and product initiatives underway to sharpen the company's focus on enterprise customers and position Cyngn for its next phase of growth.

To our shareholders, customers, and partners,

I want to begin by thanking you for your continued support and confidence in Cyngn. Cyngn exists to help the world's largest industrial operations move materials autonomously, safely, and efficiently. As we've grown our enterprise pipeline and deepened our relationships with logistics, manufacturing, and warehousing customers, we have sharpened how we operate, doing more with the right team, the right tools, and a clearer product focus.

A Leaner Organization, Built to Harness Artificial Intelligence

We streamlined our organizational structure and reduced management layers, consolidating responsibilities and realigning resources around our highest-priority product, customer, and commercial initiatives. Flattening a layer of management and consolidating product and engineering teams shortens the distance between decision-making and execution and puts more of our resources directly against product and customer work. Combined with an expanded use of AI-assisted tools across engineering and business operations, from software development and simulation to sales operations and customer support, we believe this leaner structure lets us move faster with fewer handoffs, while improving our cost structure and extending our runway. We view this AI fluency a part of our DNA, not as a one-time efficiency gain but as a durable capability that will keep compounding as our teams get more comfortable with these tools.

Data Driven Sales Execution

We have also raised the bar on our commercial execution. We implemented changes to our sales leadership and processes, introduced data driven revenue operations, with a sharper focus on opportunity qualification, pipeline accountability, and the customers and applications best aligned with the capabilities and value proposition of our DriveMod Tugger. We believe this discipline will translate customer interest into scalable, repeatable deployments more consistently than before.

Strengthened Governance and Compliance

We've continued to strengthen our corporate governance, including our external audit and legal partnerships with Baker Tilly US, LLP, our independent registered public accounting firm, and Kaufman & Canoles, our corporate and securities legal counsel.

We expect to complete our SOC 2 and ISO 27001 certification efforts by the end of 2026, further supporting the financial reporting, security, and legal infrastructure behind our growth.

We're also watching the regulatory environment continue to shift in ways that favor the U.S.-based robotics and physical AI manufacturers, reinforcing our position as a domestic developer of autonomous industrial and Artificial Intelligence technology.

A leaner and more AI-enabled organization, a sharpened commercial process, and a focused enterprise product roadmap are all in service of the same goal: building Cyngn into the trusted autonomy partner for industrial customers at scale.

Thank you for being part of our journey. I look forward to keeping you updated as we execute against these goals.

Sincerely, Lior Tal Chairman and Chief Executive Officer, Cyngn Inc.

About Cyngn

Cyngn develops and deploys autonomous vehicle technology for industrial organizations like manufacturers and logistics companies. The Company addresses significant challenges facing industrial organizations today, such as labor shortages and costly safety incidents.

Cyngn's DriveMod technology empowers customers to seamlessly bring self-driving technology to their operations without high upfront costs or infrastructure installations. DriveMod is currently available on Motrec MT-160 Tuggers.

The DriveMod Tugger hauls up to 12,000 lbs, travels inside and out, and targets a typical payback period of less than 2 years.