By now, you know that Sophic Capital likes high-margin SaaS companies with big data moats. A “data moat” is a barrier to competition created when a company gains access to big pools of data. In prior Sophic Insights reports we’ve discussed the data moat that OneSoft Solutions (TSXV:OSS) created via first mover advantage, aggregating pipeline operator data, and long sales cycles that make OneSoft’s machine learning solution sticky. We’ve also shared how CB2 Insights (CSE:CBII) is consolidating U.S. medicinal cannabis clinics (they are the largest operator in the U.S.) in order to collect patient data to create decision making tools that help clinicians prescribe cannabis treatments based upon evidence instead of conjecture.

We have another data moat idea – one that relies upon creating hardware for the most inhospitable environment known to mankind – no, not space but the sea.