Palladyne AI (PDYN) and Red Cat Holdings (RCAT) said Wednesday they have completed the first flight in which multiple Teal drones equipped with Palladyne Pilot AI software autonomously collaborated to identify, prioritize and track objects of interest on the ground.

The Palladyne Pilot software is expected to be commercially rolled out by the end of Q1, the companies said.

Palladyne rose 9% in early trading, while Red Cat was up 9.5%.

Price: 9.74, Change: +0.70, Percent Change: +7.72