Company: AGGI
Filing Date: 2025-10-31
Form Type: 10-12G
Source: 0001683168-25-007875
Chunk: 30

Company: Allied Energy, Inc.
Filing Date: 2025-10-31
Form: 10-12G
Chunk 30
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of privacy rights or other tort claims.

| 19 |

The regulatory
landscape surrounding artificial intelligence is also evolving, and the use of machine learning technologies may become subject to regulation
under new laws or new applications of existing laws. In the U.S., there is increasing uncertainty as to the federal government’s
future approach to AI regulation, including as to the continued applicability of the 2023 executive order of the prior U.S. presidential
administration to, among other things, establish extensive new standards for AI safety and security. In January 2025, President Trump
signed an executive order revoking this 2023 executive order and directing the heads of various federal governmental bodies to review
actions taken under that executive order and develop a new action plan with respect to AI-related matters. Additionally, other jurisdictions
may decide to adopt similar or more restrictive legislation that may render the use of such technologies challenging. For example, the
EU AI Act (which could become applicable to us depending on the global expansion of our business) came into force on August 1, 2024,
and will generally become fully applicable after a two-year transitional period. The EU AI Act introduces various requirements for AI
systems and models placed on the market or put into service in the EU, including specific transparency and other requirements for general
purpose AI systems and the models on which those systems are based. Several U.S. states are considering enacting or have already enacted
regulations concerning the use of AI technologies, including those focused on consumer protection, and depending on the scope of AI regulation
at the federal level, some states may move to regulate AI model development and deployment. Further, at both the U.S. federal and state
level, there have been various proposals (and in some cases laws enacted) addressing “deepfakes” and other AI-generated synthetic
media. These current or future restrictions may make it harder for us to conduct our business using artificial intelligence, and violations
of these laws and regulations could result in fines and penalties, criminal sanctions against us, our officers or our employees, prohibitions
on the conduct of our business, and damage to our reputation. Governmental regulation and laws related to AI may also increase the burden
and cost of research and development or require increased transparency that makes it more difficult to protect our IP.

The market for our AI-based services is still emerging, and our AI programs may not achieve the growth potential we expect.

We are seeking
to accelerate our pace of innovation by utilizing AI across the spectrum of