Here's A Look At The xG Technology Inc (NASDAQ:XGTI) Technology That's On Show At NAB

xG Technology Inc (NASDAQ:XGTI) ran up a few percentage points last week, and the company currently trades for just shy of $1.50 a piece. That's a circa 10% premium to the 2017 open, but it's down more than 40% on January highs, and sentiment looks to be a little frayed as things stand.Management just put out a press release detailing the demonstration of what's called NewsNet at the The National Association of Broadcasters (NAB) 2017 show, which is taking place right now (and will continue through the next few days) in Las Vegas. The event is one of the biggest, if not the biggest, date on the TV and broadcasting calendar, and it's a real opportunity for xG to get one of its key offerings (the above mentioned NewsNet) in front of decision makers in the space.With this in mind, here's a look at the technology in question, and what a succesfull showing from xG at NAB might mean for the company going forward.Back in February, xG closed out on an acquisition that had been a long time in the works; an acquisition that saw it bring a company called Vislink into the fold as a subsidiary. Vislink bills itself as a broadcasting and media technology company, and it has created and now sells a pretty expansive portfolio of products that fit this remit – antennas, transmitters, receivers – all that sort of thing.It's flagship offering, however, and the one we're looking at here, is the above mentioned NewsNet. It's designed as a software/hardware offering that allows news outlets to cover events and transmit broadcasts to and from their station network, through various field-type vehicles.When an event takes place, a station will send a news truck to said event, with the new truck holding a reporter, some cameramen, and serving as a sort of mobile transmission base that accepts and relays, broadcast signals to the main station for output.NewsNet is a system that facilitates this process, with a number of advantages of the currently available systems. It allows for multiple feeds to transmit to the same station, and importantly, as part of the same system, from various locations. It prioritizes the bandwidth afforded to each of these locations based on the live feed (with the latter taking priority) and links in with the main station architecture to allow for a sort of file based publishing system. Basically, the receiving station picks up all the broadcasts as separate files, and then distributes them in a relevant order for broadcast.This sort of system isn’t new in concept, but it is trying to differentiate itself from current offerings based on reliability, speed (which can be an issue across multiple remote broadcast feeds) and – and perhaps this is the most important one – user interface. The company has taken what should be (and is) a complicated process and applied software to it that makes it much simpler, and much more accessible, to the people involved in the process.So what are we looking for next as a potential value driver?Well, this isn’t xG's only offering, but in our view it plays an important role in the company's sales cycle. It's complementary to a number of other systems and technologies that the company provides, and so any customer acquisitions on the back of the NAB Show would feed into a database of clients that the company can target as upsell prospects with its wider product portfolio.So, with this noted, we're looking for some feedback from management on how the show went, and what sort of response the sales team saw from attendees related to its NewsNet tech. If the feedback is positive, and xG picks up some orders through Vislink, it could serve as supportive of improved sentiment heading into next month's earnings release.This is still a small company, and while the overarching trend in financials is positive, the most recent numbers didn’t outperform. There's a very real dilution risk, and this should be taken into consideration ahead of a position. That said, we've seen how markets respond to even slightly positive news, and some capital structure issues have lifted over the last few months, so if management can keep things moving as they are, current activity could provide a solid foundation for future growth.We will be updating our subscribers as soon as we know more. For the latest updates on XGTI, sign up below!Disclosure: We have no position in XGTI and have not been compensated for this article.