Water Tower Research Publishes Initiation of Coverage Report on Cloudastructure, Inc., “AI on Patrol; Next-Generation Video Surveillance”

January 20, 2026, ST. PETERSBURG, FL – Water Tower Research (www.watertowerresearch.com) has published an Initiation of Coverage Report on Cloudastructure, Inc. (NASDAQ: CSAI) titled, “AI on Patrol; Next-Generation Video Surveillance”. The report can be accessed here.

Cloudastructure is a security technology company that offers a cloud-native platform for AI- driven video surveillance and remote guarding. The company’s core solution unifies intelligent video analytics with live monitoring to proactively prevent crime rather than merely record incidents. Cloudastructure’s business model focuses on recurring subscription revenues: customers pay per camera per month for cloud video storage, AI analytics, and optional 24/7 remote guard services. This approach delivers a lower total cost of ownership and higher scalability compared with traditional on-premises security systems. The platform is hardware- agnostic (working with clients’ existing cameras via a cloud video recorder [CVR] gateway) and emphasizes ease of use, eliminating proprietary hardware and long-term contracts.

Cloudastructure positions itself as a cloud-first, AI-first disruptor in a market historically dominated by legacy CCTV and security guard services. Its key differentiators include real- time AI object detection (for people, vehicles, faces, license plates, etc.), proactive deterrence with audio intervention, and centralized management of security across multiple sites. By leveraging advanced machine learning (ML) in the cloud, the company enables enterprise and property management customers to replace costly on-site guards and siloed camera networks with a unified, intelligent surveillance platform. Cloudastructure’s 99% one-year customer retention rate speaks to the strength of its solution. In summary, the company offers a fully integrated, Security-as-a-Service (Saas) solution, combining modern AI technology and live monitoring, to deliver better security outcomes (up to a 98% incident deterrence rate as claimed) at a fraction of the cost of traditional alternatives.

Cloudastructure has earned a significant number of awards in recent years, speaking to the strength of the company’s offerings and technology. Notably, Cloudastructure was awarded “Image Processing Solution of the Year” at the Eighth Annual AI Breakthrough Awards, speaking to the strength and differentiation of its technology.

Cloudastructure trades at ~1.3x our 2026 sales estimate versus the peer average/median of ~4.0x despite a higher growth rate than peers.

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