A Proposal for FENCE FREE.TECH

The figures in this section are indicative planning ranges. They are built from an engineering breakdown of the work and current supplier and test-house pricing, not from a finished design. They are not quotes and not commitments. Each figure is confirmed and locked against real supplier quotes through Phase 1 and the Development Roadmap that follows it.

Pasquale asked for an indicative view of development cost, the timeline, the milestone payment structure, and certification cost ahead of Phase 1. Those are set out below. This budget covers the development phase, taking the product from idea stage to a production-ready design with a full production tech pack. Certification is set out separately in Section 6, and tooling and mass production in Section 5.

Indicative planning ranges for the development phase. Certification (Section 6) and the tooling and pilot (Section 5) are shown separately and are additional. Firm figures are set through Phase 1 and the Development Roadmap that follows it.

Risk note. The electronics and firmware stage is the most likely to run to the top of its range. A tri-radio board sharing antennas across RTK, LoRaWAN, and 4G raises RF coexistence and power management challenges that are resolved, and priced firmly, during Phase 1. The positioning, connectivity, and power model in Phase 1 is designed specifically to de-risk this before development begins.

Pasquale has indicated a target ex-factory price of USD 40 per unit. We want to be direct on this, because it shapes the commercial plan. A collar combining RTK positioning, dual LoRaWAN and 4G connectivity, solar and rechargeable power, an IP68 enclosure, and two onboard sensors is genuinely complex hardware. The RTK module alone is the single largest line in the bill of materials, and the choice of module is the main cost lever: a mass-market high-precision part supports the lower end of the range, while a higher-precision professional module carries a materially higher cost. On an indicative basis at a 1,000 unit first run, we would expect an ex-factory unit cost in the region of USD 115 to 190, likely narrowing toward the lower end at the 7,000 unit annual run rate. This is indicative only and is not a quote.

A target of USD 40 is not reachable for an RTK collar of this specification at these volumes. Standard GPS livestock collars on the market sit far lower in cost, but they do not deliver the centimetre level positioning that defines this product. Phase 1 will identify the lowest credible cost architecture and show the cost and performance impact of the principal design choices, particularly the RTK module, correction strategy, cellular duty cycle, battery capacity, and cattle-versus-goat form factor, before any production commitment is made.

Other than the fixed Phase 1 fee, no downstream development cost or production unit price is committed in this proposal. Component selection, RTK correction strategy, battery sizing, and certification scope across two markets all materially affect both numbers. They are established and locked only through the Phase 1 engineering work.

The milestones below give an indicative view of the path from Phase 1 through to production-ready units, timed from Phase 1 start. Certification cannot begin until a validated prototype exists, so it sits toward the back of the program and runs in parallel with tooling. The detailed, firm timeline is a Phase 1 deliverable within the Development Roadmap.

The stated 3 to 4 month objective for production is not achievable for a from-scratch, certified product of this complexity. The earliest credible route to production-ready units is the 8 to 10 month pathway above. Phase 1 establishes the firm critical path and identifies any opportunities to compress individual stages without compromising technical validation or certification readiness.

Phase 1 is invoiced in full on confirmation. Each subsequent stage is separately authorised against the firm scope and fee established through the Development Roadmap. Engineering milestones are normally billed through an agreed commencement and completion payment structure. Third-party development, prototype, tooling, and certification costs are payable before commitment to the relevant supplier, partner, or test house. The program management retainer is billed monthly across the development period. This keeps payment aligned to delivered work while ensuring external costs are funded before they are committed.

Certification (Section 6) test-house fees are payable before submission for each market. Tooling and pilot (Section 5) are funded before commitment to the toolmaker and the pilot build.

Two points from our review that we want to put on the record now, so they are settled at kickoff rather than later.

Certification is shown separately because it is largely test-house work coordinated by Shield Works rather than development engineering, and because it is gated: it can only begin once a validated prototype exists, so it sits toward the back of the program. The collar is a three-radio, animal-worn, IP68 device sold into two markets, which sets the scope below. Using pre-certified radio modules should reduce the radio test scope, although conformity testing remains necessary at the completed product level.

This proposal contracts Phase 1, Engineering Validation only. Sections 4, 5, and 6 provide the indicative development, tooling, pilot, and certification framework requested for planning and funding purposes; each subsequent stage is separately scoped, confirmed, and authorised before work begins. The following sit outside the proposal entirely:

Mark is a mechanical engineer with over 27 years of manufacturing experience and CEO of Shield Works and the C2W Group. Sourya Ghosh, our Head of R&D, who has an aerospace engineering background, leads the engineering content of this program.