<?xml version="1.0" encoding="UTF-8"?><edgarSubmission xmlns="http://www.sec.gov/edgar/schedule13D" xmlns:com="http://www.sec.gov/edgar/common">
  <headerData>
    <submissionType>SCHEDULE 13D/A</submissionType>
    <previousAccessionNumber>0001594543-24-000003</previousAccessionNumber>
    <filerInfo>
      <filer>
        <filerCredentials>
          <cik>0001594543</cik>
          <ccc>XXXXXXXX</ccc>
        </filerCredentials>
      </filer>
      <liveTestFlag>LIVE</liveTestFlag>



    </filerInfo>
  </headerData>
  <formData>
    <coverPageHeader>
      <amendmentNo>1</amendmentNo>
      <securitiesClassTitle>Common Stock, $0.0001 par value per share</securitiesClassTitle>
      <dateOfEvent>09/16/2024</dateOfEvent>
      <previouslyFiledFlag>false</previouslyFiledFlag>
      <issuerInfo>
        <issuerCIK>0001826681</issuerCIK>
        <issuerCUSIP>80359A205</issuerCUSIP>
        <issuerName>Palladyne AI Corp.</issuerName>
        <address>
          <com:street1>650 SOUTH 500 WEST</com:street1>
          <com:street2>650 SOUTH 500 WEST</com:street2>
          <com:city>SALT LAKE CITY</com:city>
          <com:stateOrCountry>UT</com:stateOrCountry>
          <com:zipCode>84101</com:zipCode>
        </address>
      </issuerInfo>
      <authorizedPersons>
        <notificationInfo>
          <personName>WILLIAM KERBER</personName>
          <personPhoneNum>405-373-6600</personPhoneNum>
          <personAddress>
            <com:street1>3917 NE 104TH</com:street1>
            <com:city>OKLAHOMA CITY</com:city>
            <com:stateOrCountry>OK</com:stateOrCountry>
            <com:zipCode>73131</com:zipCode>
          </personAddress>
        </notificationInfo>
      </authorizedPersons>
    </coverPageHeader>
    <reportingPersons>
      <reportingPersonInfo>
        <reportingPersonCIK>0001594543</reportingPersonCIK>
        <reportingPersonNoCIK>N</reportingPersonNoCIK>
        <reportingPersonName>KERBER WILLIAM XAVIER III</reportingPersonName>
        <legalProceedings>N</legalProceedings>
        <isAggregateExcludeShares>N</isAggregateExcludeShares>
      </reportingPersonInfo>
    </reportingPersons>
    <items1To7>
      <item1>
        <securityTitle>Common Stock, $0.0001 par value per share</securityTitle>
        <issuerName>Palladyne AI Corp.</issuerName>
        <issuerPrincipalAddress>
          <com:street1>650 SOUTH 500 WEST</com:street1>
          <com:street2>650 SOUTH 500 WEST</com:street2>
          <com:city>SALT LAKE CITY</com:city>
          <com:stateOrCountry>UT</com:stateOrCountry>
          <com:zipCode>84101</com:zipCode>
        </issuerPrincipalAddress>
      </item1>
      <item2>
        <filingPersonName>William Xavier Kerber III</filingPersonName>
        <principalBusinessAddress>3917 NE 104th ST
Oklahoma City, OK. 73131</principalBusinessAddress>
        <principalJob>CEO Human Mode LLC
3917 NE 104th ST
Oklahoma City, OK. 73131</principalJob>
        <hasBeenConvicted>During the past 5 years, Mr. Kerber has not been convicted in any criminal proceeding (excluding traffic violations or similar misdemeanors).</hasBeenConvicted>
        <convictionDescription>During the past 5 years, Mr. Kerber has not been a party to any civil proceeding of a judicial or administrative body of competent jurisdiction and as a result of such proceeding such person was or is subject to a judgment, decree or final order enjoining future violations of, or prohibiting or mandating activities subject to, federal or state securities laws or finding any violation with respect to such laws.</convictionDescription>
        <citizenship>United States</citizenship>
      </item2>
      <item3>
        <fundsSource>Personal Funds</fundsSource>
      </item3>
      <item4>
        <transactionPurpose>Mr. Kerber purchased these shares as an individual for the purposes of investment in the Issuer's Common Stock. </transactionPurpose>
      </item4>
      <item5>
        <percentageOfClassSecurities>As of the date of this Schedule, Mr. Kerber beneficially owns an aggregate of 2,403,037 shares of Common Stock, or 8.98% of the Issuer's outstanding shares of Common Stock. The beneficial ownership percentages used in this Schedule are calculated based on the 26,769,694 shares outstanding as of June 30, 2024</percentageOfClassSecurities>
        <numberOfShares>As of the date of this Schedule, Mr. Kerber beneficially owns and has sole voting and sole dispositive power of 2,403,037 shares of the issuer's Common Stock.
</numberOfShares>
        <transactionDesc>On September 16, 2024 Mr. Kerber's purchases in the issuer's Common Stock represented an aggregate change in beneficial ownership of 1% or greater. This change in beneficial ownership is calculated based on a net change of 319,187 shares acquired by Mr. Kerber since his previous 13D filing dated March 05, 2024.
</transactionDesc>
      </item5>
      <item6>
        <contractDescription>As of the filing date of this Schedule, Mr. Kerber is not involved in any contracts, arrangements, under
standings or relationships related to any securities of the Issuer.</contractDescription>
      </item6>
    </items1To7>
    <signatureInfo>
      <signaturePerson>
        <signatureReportingPerson>KERBER WILLIAM XAVIER III</signatureReportingPerson>
        <signatureDetails>
          <signature>William Xavier Kerber III</signature>
          <title>William Xavier Kerber III</title>
          <date>09/18/2024</date>
        </signatureDetails>
      </signaturePerson>
    </signatureInfo>
  </formData>
</edgarSubmission>