Company Interview / X2M Connect getting smart in Victoria

Key Points:

Focus on AI-enabled smart communities and smart city infrastructure McMahon’s Place estate Echuca project includes solar, home hubs and a community battery Platform processes ~300 million data feeds per month for 88 enterprise and government clientsRevenue model blends upfront fees with long-term, high-margin SaaS contracts Data aggregation layer as a key beneficiary of global AI adoption

X2M Connect targets AI-driven smart communities as data demand surges. Mohan Jesudason from X2M Connect Limited outlines a strategy centred on smart infrastructure and AI-enabled data platforms, positioning X2M as an enabler of energy efficiency and automation across utilities, cities and property developments. Jesudason highlights a new smart community project at McMahon’s Place estate in Echuca with Resi Ventures, involving around 1,000 lots. Each home is proposed to include solar plus a home hub that optimises energy use across appliances and directs excess power into a community battery, which is then discharged at more economic times. A major Australian bank is said to offer a 30-basis-point mortgage discount wrapped around the package.

Jesudason sees strong growth in new residential estates, with 600,000–700,000 new households expected over the next few years, but argues the larger opportunity sits in data aggregation: collecting data from any device, meter or sensor, and enabling machines to control each other without human intervention. He states X2M’s proprietary platform already processes about 300 million data feeds per month for 88 enterprise and government customers, underpinning use cases from smart utilities to public safety in markets such as South Korea and the UAE.

On revenue, Jesudason points to an upfront implementation fee plus ongoing SaaS income, with three-, five- and ten-year contracts and high-margin software components. He views AI not as a threat to SaaS but as a demand driver, since effective AI relies on large volumes of rich, frequently collected data. For investors, Jesudason argues that the underappreciated “data collection layer” of software platforms could capture substantial long-term value, including for X2M Connect (ASX:X2M).