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Since the terrorist attack on the USS Cole in Yemen in 2000, and followed by the attacks on 9/11 in 2001, BioSonics has received numerous inquiries regarding the capability of its technology to detect divers, vehicles and other underwater threats. With strong confidence in an ability to transfer existing biological assessment technologies toward threat detection, and realizing a great business growth opportunity, BioSonics began a serious investigation of the underwater threat detection problem in early 2004. BioSonics engineers rapidly developed a prototype, real-time diver detection and alarm software package and conducted field trials with diver test subjects. Results of these initial tests were very promising with successful diver detections in long-range, open water and complex, pier-side deployments using a statically aimed, BioSonics COTS scientific echosounder system. In March 2004 BioSonics launched an internally funded research and development project titled: UnderWater ACoustic Sentinel (UWACS) with the goal of developing an underwater threat detection system based on BioSonics' many years of hydroacoustic innovation. System development has progressed and BioSonics is currently working with the Navy and the Department of Homeland Security on various threat detection applications.