It's the progression

They mean well

Remember when I first got into the mortgage business and interest rates were at 7.5% and Allen Greenspan was trying to curb inflation and curtail over simulated enthusiasm for the dot-com industry. Rates went all the way up to 9% when the market stalled and rates came back down. Then they hit rock bottom again after 9/11. Then in 2006 and 2007 for 14 months he raised interest rate a quarter point every month attempting to push home owners into 30 years fixed rate mortgages but they couldn’t because property values slowed and these borrowers couldn’t show income or credit scores high enough to refinance out of the option ARM loans that were about to recast increasing their payments significantly. Who would have thought these home owners would just walk away? It was a stroke of genius for these mortgage companies to invest in default insurance? You would have thought they wanted these home owners to default so they would recovered not just the principle balance but 30 years interest. Who could have known that selling these mortgages into the secondary market would have increase the odds of these mortgages going into default, causing a 30 day late which would have played hell with underwriters for those homeowners who wanted to have the security of a 30 fixed mortgage.

 It’ll all come out in the wash

 The FAA slowing down the commercialization the UAS/Drone industry has some people thinking that it’s for the benefit of the established military contractors but the DOD recently put out an RFI and didn’t include these companies. If the DOD doesn’t want them, how well do you think the commercial markets will take to them or better yet, how well do you think it will be welcomed by the commercial world?

Enterprising

I wrote about how DJI and 3D Robotics were priced just right for the commercial market and just like the Japanese car manufactures poised to saturate the market and then introduce their higher quality, more expensive products. Not trying to be prophetic but 3D Robotics is about to introduce their Enterprise line of commercial unmanned systems. SkyWard is part of this progression. There are a lot of people excited about their new line with the airframes to go with their unique, open architecture operating systems that are able to integrate with smart phones and tablets. This is going to take dot-com business to a whole new level.

The Ag Formula

The full package

Everyone is the rage over precision agriculture, using spectral imagery to determine everything from productions estimates down to determining the sugar content in grapes that are ripe for picking to distinguishing healthy plants from unhealthy plants by measuring the chlorophyll content of the leaves and spectral reflectance determining wilt which is an indicator of diseased plants. It is possible to measure the moisture, carbon and salinity content in the soil. The same technology can detect the type and species of weeds. This is where the magic happens. It is a known practice to figure out the mineral content in the soil by the type of weeds that grow in it. This is great for saving time flying over a farm or orchard but then what do you do?

Treatment

So what does a UAS/Drone pilot do once he does all of the heavy lifting flying his expensive technology to collect valuable data. Who makes the real money? The Ag Consultant and Crop Scientists charge 5c per acre and another 5c per acre for soil analysis. To make $50,000 per year you would have to have 500,000 acres under contract for both Ag Consulting services and soil analysis. Oh but they also get a piece of the fertilizer and pesticides they subscribe. What is interesting is that there are issues that are caused by these commercial fertilizers, pesticides and herbicides. NPK fertilizer causes hard pack amongst other things which prevents water from penetrating the soil, instead running off causing erosion and then is causes plankton and algae to super go, die quickly and that sucks the oxygen out of the water causing dead-zones in the oceans and lakes. Then they recommended not tilling the soil and just punching the seeds into the ground which will reduce erosion. What they did was recommend spraying the fertilizers on the surface. The problem with that is, it rained and all of that fertilizer ran off into the lakes and streams creating algae blooms leaving hundreds of thousands of people around the Great Lakes in Ohio, Minnesota and California. Then in Panama and Columbia they had an herbicide run off and contaminate the water supplies with chemicals that carcinogenetic and cause birth defects. I would bet that it is worth more than 10c per acre to solve these issues.

The ECO-Agri Formula that GUTC uses to kill palm weevils by disrupting the molecular structure of the bug’s exoskeleton allowing water to penetrate and rupture their internals and gum up the villi that they use to breath. The same process of separating the molecules on residual NPK, breaking them up and making usable for the natural microbes to digest. These microbes attach themselves to the roots of plants and for the purpose of converting nitrogen in the air soil making usable for the plants. The nitrogen in chemical fertilizers isn’t the proper type that the natural Microbes like. Then there are super microbes that digest hydrocarbons like oil sludge and the byproduct is a carbon based liquid that is milky clear and smells like ammonia and it is loaded with vitamins and nutrients, the type that the natural microbes love. It makes the plants more robust and resistant to infestations. It doesn’t kill bugs. The whole balanced solution of determining the right mix of treating the soil by reducing potassium other minerals and chemicals that cause certain weeds to grow, knowing where to increase the irrigation, add fertilizer, the right type of fertilizer or treat the soil. I know more than most but I know people who know more than I and her name is Lena Vander Stap and she loves this stuff.

Tune in

It’s another round

In 2004 I produced a treatment for an interactive boxing TV show, the same week of the premier of the “Apprentice” then the very next week press releases came out for “The Next Great Champ” and “The Contender”. So we had to put our show on hold to see how these shows performed. They stunk but it was a boon for boxing. There was a demand to fight the boxers who appeared on the shows. Now there are shows recruiting show UAS/Drone pilots. There is the show I am seeking talent for with XFly Films and there is another network out of Europe and I have been hearing from the talent I am lining up that they are getting calls from another reality show looking for content.

No matter how well they do in the ratings is going to be a boon for the industry. First it will erase the sigma of the evil killing and spying drones and shift the focus to the art and science in the whole process. I can see kids glued to the TV like I was to Jacques Cousteau, taking their DJI toy quad-rotors and attempting to duplicate applications they see depicted on these shows. The media is inadvertently stimulating curiosity for this technology and what is going to happen is these Drone reality shows are going to hone the focus toward beneficial applications and foster curiosity which is going to lead to more innovation. National Geographic spurred a generation of engineers. These types of programs will do the same thing and when the audience sees amazing cinematography, innovations and research in science happening. Young people are going to learn more about physics, entomology, agriculture and how we are effecting the earth both good and bad like we’ve never seen. When the viewers see it all from a bird’s eye view it is going to have an effect.

When Joe Hupy from the University of Wisconsin shows the smog over Milwaukee compared to the pristine air over Lake Michigan. When crop scientist and ag-consultants see the impact of NPK run off and how the spectral reflectivity of plants comparing those from farms using chemical fertilizers to those using microbial technologies. I can see an interest in higher math such as trigonometry when they see surveyors and civil engineers using drones. There will be a technology boom the likes which have not been imagined.

Does it do the shopping and ballance the check book too?

 Even the DOD knows it’s a free market

I was speaking with one of my contacts who makes aerial cameras and sensors who told me the DOD put out a Request for Information (RFI) for new UAV/Drone technologies and they didn’t open it up to the old guard, Northrup Grumman, In-Situ, AeroVironment and Lockheed Martin. He told me that the submission from new manufacturers was overwhelming. They are tired of overpaying for substandard product. That should be a warning to the FAA who is trying to force the same overpriced systems onto the commercial market. They won’t stand for it and a judge won’t allow it. As one judge has already stated “The FAA doesn’t have the authority to regulate commerce”. When you here the phrase “In the interest of public safety” thrown around by the FAA, that pertains to commercial airliners carrying passengers. UAS/Drones don’t carry passengers “Yet”!

I know that Patrick Egan of SUAS News is pushing for an exemption for UAS under 4lbs. I think that is going to be good for the industry. I would like to see it up to 55lbs. Basically that would mean these smaller systems wouldn’t require the operator to have a license, once the FAA decides what kind of license is needed. These overpriced technologies can’t be pushed down the public’s throat. They can buy off politicians but the commercial market is all about efficiency and economics. The public will pay hundreds of thousands of dollars for technologies but they have to be worth the price. One of my SEAL Team buddies reminded me the other day about a story I was telling in the locker room about my now ex-wife wanted me to buy her a Kirby vacuum cleaner for $2,400 and I said “For $2,400 I better be able to drive it to work!” I saw a Bentley going through the McDonald’s drive through tonight that cost about $250,000. It looked nice but I am sure it has many more features that other nice cars like a Ford “Fusion” but get the jobs done. If the FAA is going to certify systems that are priced in the hundreds of thousands to millions of dollars, they better certify systems priced significantly less with the same capabilities and those manufactures who are trying to use their inside connections to push their high priced products onto the market, they better do the grocery shopping and balance the checkbook too!       

Don't be bullied

As the image comes clearer

Being 5’4.5” tall I learned to deal with bullies. All it takes is standing up to them. Even if they think they can beat you, they won’t risk the possibility of taking a few punches themselves. That is how it is with the government and dealing with their agencies. I was mistaken when I said that if you are currently conducting commercial UAS/Drone operations that all the FAA can do is fine you. They don’t have the jurisdiction to do that unless you are actually within the approach ways of an airfield, runway or on the airfield of runway itself. They can get the municipality, parks department, port or the Bureau of Land Management to charge you. Don’t take my work for it, ask an attorney?

Now with that said. It you hold a pilot’s license you have exposure. It is like buying and selling real-estate. You don’t need a real-estate license to buy and sell real-estate but you cannot do it for a fee without a license. Then you are required to provide full disclosure on all transactions. I think being licensed to fly a UAS/Drone isn’t a bad idea but requiring a pilot’s license is not really applicable because you do not need to know how to fly a plane. I believe that having the FAA ground school should be a requirement and then specific manufactures training. This would give the FAA a regulatory authority, a lever, something they could take away if you are being unsafe, violating someone’s privacy without a warrant and it would generate revenues for the FAA but if they require a license, they need to allow you to conduct your business.

Until the FAA does adopt a process I would recommend that all UAS/Drone professionals have an attorney draw up an attorney opinion letter which states that they have done the research and found out what I discovered and then if they decide to still serve you with a written cease and desist and you take them to court the judge isn’t going to rule on your guilt or innocence but they are going to rule on whether there is even a law to be broken and if the FAA has the jurisdiction to do anything except suspend or revoke you pilot’s license, if you have one. That is where precedence will be set. Even these knuckleheads who were flying in New York City or in the State and National Parks should appeal if they are charged by the FAA because unless they were flying within a runway approach they don’t have jurisdiction. Just like the way the FAA got the law suit thrown out in the appeal with Texas Equusearch on a technicality because they served the cease and desist via e-mail. The FAA has no authority unless you are holding a pilot’s license or operating on an airport, runway or within the commercial traffic patterns or approaches. Like I said don’t take my word for it, look it up https://www.faa.gov/.../III.B.pdf or talk to an attorney. Don’t call the FAA, which would be like asking a bully if he could beat you up or not. He’s not going to say you can, it would take away his control and it would embolden you.        

Keep ahead of the curve

UAS/Drones are not just for fun anymore

I was utterly amazed not only by how many UAV/Drone pilots there are out there but how many of them have more business then they can keep up with. I ask them all “How are you able to work with the FAA restriction of commercial operations?” I know a couple operators that actually where requested by the mayor or city council to use the UAS/Drone to take aerial video or photography of their municipality. They have regular work with their residing cities. One does just as they are asked and the other fills out the appropriate paperwork, submits it to the city officials and they get the approval or authorization and indemnify him and he flies the mission. Almost all of them notify the air traffic controllers at the local airport notify of their operation and they tell them if it is okay of if there is too much traffic and they need to reschedule.

I didn’t know how they were getting away with this ease of operation until I had a conversation with a former attorney and law enforcement officer and a pilot and lifelong RC pilot and out of the blue he explained that the FAA doesn’t have jurisdiction within municipal boundaries and the attorney/police officer explained that police and sheriffs won’t enforce FAA policies. So I looked it up and in the FAA policies and procedures actually says “Outside of airport approach ways FAA policies do not supersede municipal code.” Now they are talking about airfield operations and activities but it is not stated exactly that way. So if there is an ordinance that says you cannot fly your RC plane or UAS/Drone over public property, outside of your real property you can be arrested or cited but if your city or town doesn’t have an ordinance than you will be okay unless you violate someone’s privacy or crash it and cause destruction of public property.  Oh and when the city request your services, you are golden. If the FAA gets wind of your operations they can issue a cease and desist and fine you so I would make sure you are indemnified and get a good attorney to represent you and take your chances with a judge who might set policy or uphold the fine and the municipality picks up the tab.

Old vs new

The problem is the technology is developing so fast that once the so called authorities find a system or technology that they believe they can work with someone else comes along with something better and more cost effective. There are so many examples of bureaucratic obsolesce. The Super Bat Gene Robinson was required to use to in the most recent search and rescue operation instead of the Spectra, his usual system. The Super Bat has a 10 hour duration of flight while the Spectra only has a four hour duration of flight but the Super Bat costs 15 times as much.

Other examples are the Puma and the Scan Eagle. These systems were grandfathered by the FAA due to their combat hours logged. There should be a cost/capabilities ratio instead of just how much can slip past the public but there is in the free market. The price point that is acceptable for the private market, i.e. Farmers, surveyors and any private small business owner for an airframe is $5,000. They will pay more for a sensor. The price per airframe is correlated by the payload capacity, the higher the sensor payload the higher the price. Right now the weight of the most top end multi-spectral camera is seven pounds but there is research being done to create a multi-spectral and photogrammetry camera under a pound and a half. That would fit is a Cyclops priced at $5,400.

San Diego Gas and Electric was granted an exemption for power-line inspections and they adopted the PSI Tactical 's"Instant Eye Quad-Rotor" for research an development. Compare that to compare that to  the Swiss company IBOTIX quad-rotor solution?

So now where is the value? It is in the operators. GUTC through my association with XFly Films and my relationship with pioneers in the industry who have data on UAS professionals throughout the US and around the world with a range of knowledge and expertise. The old model of business would be to find a pilot with a system of systems to fly multi-spectral or photogrammetry and line up business and charge $3,000 to $4,000 per day and charge for data analysis.

GUTC has relationships with technology providers ranging from airframe systems to sensors with data analytic and processing capabilities within the hardware of the camera and cloud services to upload data to be analyzed and algorithms created to allow for in-hardware processing. Those hobby or cinematography only pilots can learn to fly these more sophisticated operations from SAR, agriculture and geospatial.     

We don't need to lay down

It’s Global Secular Reshuffling

After reading the article on SUAS News from Ed Pilkington “Whats keeping americas private drone industry grounded?” immediately the words of then candidate Obama to “Joe the Plummer”, ”I think when you spread the wealth around, it is good for everyone” Now as I see it our government, the FAA is hamstringing entrepreneurs not only in the manufacturing sector of the UAS/Drone industry but the small businessman who like myself could be much better off financially if there wasn’t a policy restricting the commercial use of UAS/Drone technologies. What is interesting to me is how all of those law abiding industry professionals are so adamant on defending the draconian rules of the FAA, as if by promoting and honoring the nonsensical policy that allows for the recreational use of this technology but not the commercial use by a trained professional using the same technology.

Retain an attorney

There has been no legislation passed by congress restricting the commercial use of UAS/Drone technologies. When a judge is considering a case with such a disparity in the law where the same technology is allowed by a farmer, a surveyor or architect’s child to play with but that same farmer can’t use is to look at his crops or to earn a living to feed that same child, he is not going to find in favor of the father. If everyone who owns a UAS/Drone that wants to earn income to pay their bills, holds them self out for aerial photography, precision agriculture, photogrammetry jobs and they get written permission from the owner of the property and an attorney opinion letter specific to the operation being conducted and go to work. When the FAA comes around and tries to give you a verbal “Cease and Desist order” hand them the letter. Then if they come back with a written cease and desist letter, give it to your attorney and not only have him sue the FAA on your behave but have him file a class action law suit and not only name civilian UAS/Drone pilots and professionals but military veterans. Do this so when signatures need to be gathered you have a larger pool to draw from. Then we can cut the artificial leash shackling this industry in the USA!