MONTEREY PARK, CA - June 26, 2026 (NEWMEDIAWIRE) - Focus Universal Inc. (Nasdaq: FCUV) today formally continued to introduce further facets of proprietary Deterministic AI platform: a new class of artificial intelligence as a distinct category of enterprise artificial intelligence systems designed for execution of complex, compliance-driven business workflows with consistent, verifiable, and repeatable outcomes.
Artificial Intelligence can be broadly divided into two categories: non-deterministic AI, which includes generative AI based on large language models, and deterministic AI, which is designed to execute known workflows with precision, consistency, and predictability.
Businesses frequently encounter problems where the optimal solution is not immediately known. Generative AI excels in these situations by helping users explore alternatives, generate ideas, and identify potential solutions. Once the optimal solution or workflow has been determined, the challenge shifts from discovery to execution: how to automate the process, minimize human involvement, eliminate repetitive work, and maximize productivity. This is where Deterministic AI creates value.
Organizations do not need to discover the best solution every day, but they do need to execute their workflows every day. As a result, Deterministic AI has the potential to become a daily operational tool that continuously improves efficiency, consistency, and productivity across an organization.
Unlike generative AI, which relies on massive training datasets, substantial computational resources, and significant infrastructure investments, Deterministic AI is fundamentally rule-driven. It learns and applies a defined set of business rules, procedures, and relationships that only need to be established once. Because it does not depend on training enormous models, Deterministic AI generally requires significantly less computing power and infrastructure.
In a Deterministic AI system, human actions are replaced by continuous electronic actions. Tasks that previously required manual effort can be performed automatically, repeatedly, and consistently. Depending on the application, efficiency gains may be measured in multiples of hundreds or even thousands of times compared to traditional manual processes. The capital required to deploy such systems can be relatively modest, while the potential return on investment may be substantial.
This represents one of the fundamental distinctions between deterministic AI and generative AI. Today, generative AI is primarily applied to individual tasks or limited portions of a business process. Deterministic AI is designed to automate complete end-to-end workflows.
Consider SEC financial reporting as an example: producing an SEC filing requires the integration of professional accounting expertise, public-company CFO knowledge, Edgarization procedures, XBRL tagging requirements, securities law considerations, and auditing standards. The overall workflow consists of hundreds of thousands of heterogeneous sub-tasks, decisions, validations, and cross-references. Such complexity makes traditional coding-based automation extremely difficult and often impractical.
An important distinction is that SEC financial reporting is not a completely standardized process. Reporting requirements, disclosures, accounting treatments, business structures, and transaction types vary significantly from company to company. Despite this variability, our deterministic AI platform is designed to adapt to these differences and automatically apply the appropriate rules, workflows, and regulatory requirements for each reporting entity.
At the same time, it is equally challenging to provide a generative AI model with sufficiently complete and accurate inputs to consistently produce correct outputs for every sub-task. Even if a generative AI model is capable of performing individual tasks within the process, its inherently non-deterministic nature makes it difficult to guarantee the consistency, repeatability, and auditability required for regulatory reporting. Generative AI often requires substantial user interaction, prompt engineering, corrections, and refinements before reaching an acceptable result.
Deterministic AI approaches the problem differently. The domain knowledge, business logic, workflows, validation rules, and decision-making processes are embedded directly into the system. As a result, user input requirements are significantly reduced, and outputs become predictable, repeatable, and auditable.
Deterministic AI does not compete directly with generative AI. Rather, it complements generative AI by focusing on the automation of professional workflows traditionally performed by skilled human workers.
Focus Universal did not invest billions of dollars to build its deterministic AI platform, as many organizations have done with large language models. Developing deterministic AI requires a different type of investment: deep domain expertise, extensive workflow analysis, and years of engineering effort to model and automate complex business processes. The Company are grateful for the patience of our shareholders and the dedication of our engineering team throughout this development journey.
While building a Deterministic AI engine is challenging and time-consuming, the Company believes that once the foundational architecture and methodology have been established, expansion into additional applications can occur much more rapidly. The Company believes the Company now possesses a comprehensive understanding of deterministic AI architecture and implementation.
As a result, the Company are confident that this technology can be extended into additional workflow-intensive industries, including accounting, tax return preparation, insurance, medical billing, logistics, medical billing, insurance processing, and data-entry automation. The Company also expects to commercialize our SEC financial reporting automation platform for both public companies and filing agents during the third quarter of 2026.
The efficiency gains delivered by Deterministic AI may initially sound too good to be true. For example, a complex SEC financial report that historically required years of accumulated professional experience and months of manual preparation may potentially be completed in minutes. Such claims can appear extraordinary at first glance. However, when the nature of SEC financial reporting is examined closely, the process consists largely of validating, organizing, cross-referencing, calculating, and presenting thousands of financial facts and disclosures according to established rules and regulatory requirements. These are precisely the types of repetitive, rule-based operations that computers perform exceptionally well.
Most modern AI agents are built on top of large language models and are therefore generally non-deterministic. Deterministic AI serves a different purpose. When a workflow is fully understood, clearly defined, and governed by established rules, deterministic AI can automate the process with a level of speed, consistency, scalability, and reliability that is difficult to achieve through human effort alone.
Although the Company has not yet generated meaningful revenue from our Deterministic AI platform, management believes the underlying technology represents a highly valuable intellectual asset. Our SEC financial reporting automation software is currently in the final stages of refinement and optimization based on feedback from accounting, legal, auditing, and filing professionals.
The Company believes Deterministic AI represents a new class of artificial intelligence that has not yet been widely recognized or understood by the marketplace. As awareness grows regarding the distinction between solution discovery and workflow execution, the Company believes deterministic AI has the potential to become a transformative technology for automating professional business processes across multiple industries.
“Much of the current discussion around artificial intelligence is focused on systems that help users generate content or explore possible solutions,” said Desheng Wang, Chief Executive Officer of Focus Universal. “The Company believes there is a separate and important enterprise need for systems designed to execute known workflows with consistency, traceability, and repeatable results. Our Deterministic AI platform is intended to address that need by automating complex, rule-based processes that have traditionally required significant professional time and manual effort, beginning with SEC financial reporting and potentially extending into other compliance-oriented workflows.”
About Focus Universal:
Focus Universal Inc. is a provider of patented hardware and software design technologies for Internet of Things (IoT) and 5G. The company has developed five disruptive patented technology platforms with 26 patents and patents pending in various phases and 8 trademarks pending in various phases to solve the major problems facing hardware and software design and production within the industry today. These technologies combined to have the potential to reduce costs, product development timelines and energy usage while increasing range, speed, efficiency, and security. Focus currently trades on the Nasdaq Capital Markets.
Forward-Looking Statements:
Statements in this press release about future expectations, plans and prospects, as well as any other statements regarding matters that are not historical facts, may constitute "forward-looking statements" within the meaning of The Private Securities Litigation Reform Act of 1995. The words "anticipate," "believe," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," "target," "will," "would" and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: the uncertainties related to market conditions and the completion of the public offering on the anticipated terms or at all, and other factors discussed in the "Risk Factors" section of the preliminary prospectus filed with the SEC. Any forward-looking statements contained in this press release speak only as of the date hereof and Focus Universal specifically disclaims any obligation to update any forward-looking statement, whether because of new information, future events or otherwise.
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