Technological change and raw materials: Rheinmetall expands virtual training, Almonty plans breakthrough, Intel stumbles

Rheinmetall and Hologate forge an alliance for military simulation technology

The Düsseldorf-based arms company Rheinmetall and XR specialist Hologate have announced a strategic partnership for the development of innovative simulation solutions. The collaboration aims to revolutionize military training using state-of-the-art extended reality technologies. Rheinmetall brings its extensive know-how in the field of military training systems to the table, while Hologate hologate.com contributes its expertise in XR simulation technologies.

The initial focus of the cooperation is the development of a VR driving simulator for training military drivers. The mobile XR motion simulator HGXR SIM enables a wide range of applications – from helicopter and truck to boat simulations. The advanced motion tracking technology is particularly innovative, which can simulate dynamic G-forces of up to 2g. This means that manoeuvres can be realistically recreated. With a range of motion of one meter of lift and tilts up to 30 degrees, the simulator creates an extremely realistic training environment.

Hanno Tabeling, Head of System Technology for Driving Simulation at Rheinmetall, sees the partnership as an important step in expanding the VR/XR portfolio. Hologate CEO Leif Petersen also emphasizes the importance of the collaboration for the development of innovative simulation solutions. The new technology is designed to improve training quality, save resources, and reduce costs thanks to its flexibility. Thanks to an open system architecture, different vehicle models can be changed at the push of a button.

Despite political turmoil in South Korea: Almonty Industries makes progress on largest tungsten project

The political crisis in South Korea, with the brief imposition of martial law by President Yoon Suk Yeol, has shaken the country's financial markets. While the KOSPI index and the South Korean won are among Asia's weakest assets this year, the Canadian mining company Almonty Industries appears unaffected by these developments. The Company continues to push ahead with the development of its strategically important Sangdong tungsten mine.

An important milestone was recently reached with the installation of state-of-the-art grinding equipment from the Finnish technology company Metso. The semi-autogenous grinding mill and ball mill are crucial for the precise processing of the tungsten ore. The installation requires the highest precision, with tolerances of no more than 0.008 mm/m. link: https://im-mining.com/2024/11/22/metso-sag-ball-mills-arrive-at-almonty-industries-sangdong-tungsten-mine/ text: Metso) is providing complete site preparation and commissioning services.

The strategic importance of the project is significant as China currently controls over 80% of the global tungsten market. Once operational, the Sangdong mine will be one of the largest sources of tungsten outside of China and will play an important role in diversifying global supply chains. The mine is expected to supply a range of industries from defense to high-tech manufacturing in the future, reducing dependence on Chinese exports.

Intel faces change of leadership amid difficult transformation

The surprising resignation of Intel CEO Pat Gelsinger underscores the challenges facing the former US chip giant. Under his leadership since 2021, the Company has recently posted significant losses – in the third quarter of 2024 alone, the deficit amounted to USD 16.6 billion. The market capitalization has fallen to USD 103 billion, a 50% loss in value since the beginning of the year. It seems the Company has completely missed the boat on AI technology.

The backlog in this area seems almost impossible to catch up on. While competitors like Nvidia are benefiting from the AI boom, Intel's AI chip series Gaudi is clearly missing revenue targets. The USD 500 million in revenue originally targeted for 2024 has not yet been reached. Major tech customers such as Microsoft and Google are also increasingly relying on their own chip designs.

Interim co-CEOs David Zinsner and Michelle Johnston now face the challenge of positioning Intel as the "national champion" of the US chip industry. A key factor in this is the expansion of manufacturing capacities, for which Intel receives USD 7.9 billion from the CHIPS Act. In competition with the Taiwanese market leader TSMC, whose market capitalization now exceeds USD 1 trillion, Intel is relying on its new 18A technology. However, experts still see major hurdles to winning manufacturing customers outside of its own company.

The new partnership between Rheinmetall (ISIN DE0007030009) and Hologate strengthens the Düsseldorf-based arms company's position in the promising market for military simulation technology. The development of the state-of-the-art VR driving simulator HGXR SIM with its precise motion tracking technology not only enables military personnel to receive highly realistic training but also promises significant cost savings thanks to its flexible deployment options.

Almonty Industries (ISIN CA0203981034) is on the verge of a strategic breakthrough in the global tungsten market. The Company is developing one of the most important tungsten sources outside of China: the Sangdong mine in South Korea. The installation of state-of-the-art grinding equipment by Metso marks a decisive step towards the start of production. Despite political turmoil in South Korea, the project remains on schedule and promises to significantly reduce global dependence on Chinese tungsten exports. Chip giant Intel (ISIN US4581401001) is in a critical transformation phase. The surprising CEO change, massive losses and missed entry into the AI boom present the Company with existential challenges. Despite government support through the CHIPS Act and the development of the promising 18A technology, Intel must re-assert its position as the leading US chipmaker in the fierce competition with Nvidia. Investors seeking long-term success recognize the connection between the hardest metal in the world - tungsten - and the rapid development of the defense sector at companies like Rheinmetall.