Company: MVIS
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0001641172-25-009765
Chunk: 25

Company: MICROVISION, INC.
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 2
Chunk 25
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 litigation, divert management
time and attention, require us to pay significant damages, harm our reputation or hinder acceptance of our products. Any successful product
liability claim may prevent us from obtaining adequate product liability insurance in the future on commercially desirable or reasonable
terms. An inability to obtain sufficient insurance coverage at an acceptable cost or otherwise to protect against potential product liability
claims could prevent or inhibit the commercialization of our products and technologies.

Our
operations could be adversely impacted by information technology system failures, network disruptions, or cybersecurity incidents.

We
rely on information technology systems to process, transmit, store, and protect electronic data between our employees, customers, manufacturing
partners and suppliers. Our systems and the third parties we rely on for related services are vulnerable to actual or attempted cybersecurity
incidents, such as attacks by hackers, acts of vandalism, malware, social engineering, denial or degradation of service attacks, computer
viruses, software bugs or vulnerabilities, supply chain attacks, phishing attacks, ransomware attacks, misplaced or lost data, human
errors, malicious insiders or other similar events. Such systems are also susceptible to other disruptions due to events beyond our control,
including, but are not limited to, natural disasters, power loss, and telecommunications failures. Our system redundancy may be inadequate
and our disaster recovery planning may be ineffective or insufficient to account for all eventualities.

As
security incidents have become more prevalent across industries we will need to continually examine, modify and update our systems. These
updates or improvements may require implementation costs. In addition, we may not be able to monitor and react to all developments in
a timely manner. The measures we do adopt may prove ineffective.

Any
failure, or perceived failure, by us to comply with current and future regulatory or customer-driven privacy, data protection, and information
security requirements, or to prevent or mitigate cyber incidents, could harm our business and expose us to potential litigation, liability,
remediation costs, investigation costs, loss of revenue, damage to our reputation and loss of customers. While we maintain insurance
coverage to address certain aspects of cyber risks, such insurance coverage may be insufficient to cover all losses or all claims that
may arise, should such an event occur.

We,
and certain of our third-party vendors, collect and store personal information in connection with human resources operations and other
aspects of our business. While we obtain assurances that any third parties we provide data to will protect this information and, where
we believe appropriate, monitor the protections employed by these third