GSI Technology Inc. (NASDAQ: GSIT) received Phase I of a smart city project contract from Hsinchu County government in Taiwan, the company announced. The contract represents the first commercial deployment of GSI's Gemini-II Associative Processing Unit in a smart city application.

The initial Phase I contract is part of a multi-phase program that could generate multi-million-dollar revenue from hardware sales and software licensing if subsequent phases are awarded. The project will deploy an AI-based video analytics platform across network-connected surveillance cameras.

Phase I will run for approximately six months and includes developing an open-architecture software platform, integrating video and user interface capabilities, and deploying a pilot system supporting about 20 cameras. Future phases would expand the system to approximately 80 cameras with the goal of full deployment across security hotspots throughout the county.

The Smart Eye Guardian system performs real-time detection and monitoring of public safety events including hazards, fires, violent activity, traffic incidents, and suspicious behavior. The system processes AI inference at the edge to deliver low-latency analysis while operating within power and thermal constraints required for municipal infrastructure.

"This award marks an important milestone for GSI as our first smart city deployment, opening the door to a large and increasingly important global market opportunity," said Lee-Lean Shu, chairman and CEO of GSI Technology.

Production deployments are anticipated to begin in 2027. A public demonstration is scheduled for May 27, where Hsinchu County plans to host representatives from other municipalities to observe the system. The project is expected to serve as a reference deployment for broader smart city implementations in Taiwan.