The U.S. border is (finally) open-can these ASX technology stocks profit from the recovery of airport traffic? -Stock header

2021-11-12 08:27:53 By : Mr. Jeff Lee

Picture: The Terminal (2004), DreamWorks Pictures

After restricting access to millions of people in the past 20 months, the United States finally opened its international borders to vaccinated travelers this week.

The US Customs and Border Protection (CBP) officially lifted the restrictions on Monday, saying it will increase the number of people crossing the border to pre-pandemic levels.

Land travellers do not even need to prove that the COVID-19 test is negative, as long as they can show proof of the vaccine.

In the past year, airports around the world have been stepping up preparations for reopening and upgrading security measures in anticipation of stricter agreements in the world after the pandemic.

Technology will play a more important role in airports, which will benefit a small number of ASX stocks.

Charlotte Douglas International Airport, Las Vegas McCarran International Airport and Adelaide Airport are just some of the airports that are ready.

All three have just purchased $1 million CrowdVision software from Skyfii (ASX:SKF) to monitor the real-time movement of passengers through queues and checkpoints.

CrowdVision did not become a US-based artificial intelligence company until July of this year, and was later acquired by Skyfii.

The CrowdVision platform has been used in many airports in the United States and relies on computer vision-enhanced lidar (light detection and ranging) scanning to estimate passenger flow through the airport.

Micro-X (ASX:MX1) developed the world's first electronic X-ray tube, using nanotechnology and its own patented carbon nanotube X-ray cold emitter.

MX1 stated that it created the most important innovation in the X-ray tube field in more than 100 years.

Its flagship product, Rover, has been approved by the FDA and is the first product to use this revolutionary X-ray technology.

After winning a bidding contract from the US Department of Homeland Security in November last year, it is currently used for self-service luggage scanners and check-in procedures at several US airports.

According to the contract of the Australian Ministry of Defence, the rover is also used at home as a medical facility that can be deployed in harsh terrain.

Air traffic management company Adacel Tech (ASX:ADA) is another company that won several contracts from airports this year.

Saint Lucia Air and Seaport will receive Adacel's most advanced Aurora air traffic system in FY22.

At the same time, Seychelles Airport signed an Aurora contract with Adacel worth more than 3.6 million U.S. dollars in June to modernize its air traffic management system.

The Aurora air traffic system integrates ocean, approach and tower control capabilities-said to be the world's best procedural airspace management system in a surveillance environment.

In Australia, airports are increasingly becoming a valuable asset.

Sydney Airport (ASX:SYD) has just accepted a takeover offer from a consortium of UniSuper, IFM and other investors.

As Sydney’s aviation demand is expected to double in the next 20 years, the new Western Sydney International Airport is currently under construction.

This large-scale project has already benefited companies listed on the Australian Stock Exchange such as Southern Cross (ASX: SXE).

Last week, Heyday, a subsidiary of SXE, won a $100 million contract to design and build all electrical and communications engineering in the new airport terminal.

CIMIC (ASX:CIM) was also commissioned to construct the airside civil and pavement works of the airport at a price of US$265 million.

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November 10, 2021

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