FREDERICTON, New Brunswick, Oct. 08, 2024 (GLOBE NEWSWIRE) -- NextGen Digital Platforms Inc. (“NextGen” or the “Company”) (CSE: NXT) is pleased to provide an update on recent and ongoing developments at its two core businesses, namely e-commerce platform PCSections.com (“PCS”) and the cloud-based hardware-as-a-service leasing business (“Cloud AI Hosting”). Both platforms continue to be upgraded to improve scalability, performance, and operational efficiency, as the Company continues to drive forward its growth strategy.
Cloud AI Hosting Buildout Trial
The Company has engaged Logic V Inc. (“Logic V”), a Vancouver-based provider of cloud computing and IT services, to explore transitioning its Cloud AI Hosting business to a fully cloud-based model. This new approach would involve the Company virtually leasing a subset of computing workstations from larger cloud computing and/or datacentre providers, which the Company would then sublease to smaller third-party artificial intelligence end-users via the existing online portal already being used by Cloud AI Hosting. Virtually leasing this computing power, rather than building an in-house computing fleet, could provide significant scalability and operational benefits as the Company builds out this business line.
Logic V is currently conducting a proof of work (the “POW”) to assess this transition. If successful, this new approach is expected to significantly enhance scalability and speed to market by eliminating the need for NextGen to acquire and operationalize physical workstations, thus avoiding risks associated with physical inventory, operational challenges, and the large upfront costs of workstation purchases and infrastructure upgrades.
NextGen expects Logic V to complete the POW in the coming weeks, and in due course will provide an update on outcomes from the POW and the next phase of the Cloud AI Hosting buildout.
PCS Platform Enhancements
PCS is undergoing both front-end and back-end upgrades aimed at enhancing the overall user experience, site performance, and security. The upgrades to PCS include:
Design Enhancements: Updates to the color scheme, layout, pattern, and animations to improve visual appeal and usability.
Payment & Checkout Improvements: Optimization of the payment process for a more seamless and secure customer experience.
Security Measures: Implementation of techniques to bolster security against unauthorized access and potential vulnerabilities in the payment process.
Performance Boost: Improvements to the website's loading speed and overall performance for faster browsing.
General Bug Fixes: Identification and resolution of bugs to ensure smoother operation.
The front-end design improvements are expected to be completed soon, and the Company will continue to work on finalizing the back-end enhancements.
Kevin Zhou, NextGen’s Director of Platforms & Marketing, stated, “Pursuing a cloud-based model for Cloud AI Hosting has the potential to be a more efficient and scalable path compared to our original plan of acquiring physical workstations. If the current POW is successful, we will immediately scale up our operations. If not, we are still able and funded to expand our current fleet of workstations, towards our goal of owning a total of 10 to 15 GPUs with enough computing power for our smaller-scale users. Regardless of the outcome, we anticipate expanding the operational capacity and revenue level of our Cloud AI Hosting business once Logic V completes the POW. Similarly, with the updates on PCS, we are aiming to improve its overall functionality and competitiveness as we continue to refine both platforms.”
Joel Freudman, President & CEO of NextGen, added, “We are pleased with the development milestones being achieved across both our PCS and Cloud AI Hosting platforms. We remain committed to their continued growth to fuel NextGen’s development trajectory, and are exploring what other potential revenue streams and ancillary capabilities we may be able to derive by leveraging our existing infrastructure.”
About NextGen Digital Platforms Inc. NextGen is a Canadian technology company specializing in the development and acquisition of revenue-generating micro-technology digital platforms. The Company currently operates e-commerce platform PCSections.com (“PCS”) and a hardware-as-a-service business supporting the artificial intelligence sector, called cloud AI hosting (“Cloud AI Hosting”). Both PCS and Cloud AI Hosting were developed in-house by NextGen. From time to time the Company also intends to evaluate and acquire or develop other micro-technology platforms.
NextGen is a portfolio company of Resurgent Capital Corp. (“Resurgent”), a merchant bank providing venture capital markets advisory services and proprietary financing. Resurgent works with promising public and pre-public micro-capitalization companies listing on Canadian stock exchanges. For more information on Resurgent and its portfolio companies, please visit Resurgent’s website at https://www.resurgentcapital.ca/ or follow Resurgent on LinkedIn at https://ca.linkedin.com/company/resurgent-capital-corp.
For further information about NextGen, please contact:
Cautionary Statements Regarding Forward-Looking Information
Neither the Canadian Securities Exchange nor its regulation services provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
This press release contains certain forward-looking statements, including those relating to the future development and revenue potential of PCS and Cloud AI Hosting; the POW for Cloud AI Hosting; and expected benefits of improvements to PCS and Cloud AI Hosting. These statements are based on numerous assumptions regarding the Company’s business plans and technological development forecasts, and outcomes of the POW, that are believed by management to be reasonable in the circumstances, and are subject to a number of risks and uncertainties, including without limitation: technological and business risks inherent in artificial intelligence, e-commerce, and other emerging sectors that the Company is or may become involved in; operational and technical challenges; timeline for completion of the POW, and the outcomes therefrom, including as to revenue and/or profitability of Cloud AI Hosting; the Company’s ability to compete with other businesses in the e-commerce and/or cloud hosting markets; negative operating cash flow and insufficient capital to complete the development and/or expansion of any of the Company’s technologies; volatility in economic conditions; and those other risks described in the Company’s continuous disclosure documents. Actual results may differ materially from results contemplated by the forward-looking statements herein. Investors and others should carefully consider the foregoing factors and should not place undue reliance on such forward-looking statements. The Company does not undertake to update any forward-looking statements herein except as required by applicable securities laws.
