Company: MOBBW
Filing Date: 2025-03-27
Form Type: 20-F
Source: 0001013762-25-003365
Chunk: 6

Company: Mobilicom Ltd
Filing Date: 2025-03-27
Form: 20-F
Item: Item 3
Chunk 6
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 software as a service, any of which may not be profitable to us.

Historically our revenues
have been derived from the sales of our hardware products. We have recently commenced selling cloud-based software and cybersecurity solutions.
As our cloud-based software and cybersecurity solutions are newly released and only at initial sales phase, we have not definitely determined
the sales model for how we plan to market and sell these products. Forecasting our revenues and profitability for these product offerings
is inherently uncertain and volatile. Our actual revenues and profits for these new products may be significantly less than our forecasts.
Additionally, the new business models could fail for one or more of our products and/or services, resulting in the loss our investment
in the development and infrastructure needed to support the new business models, and the opportunity cost of diverting management and
financial resources away from more successful businesses.

Risks Related to Our Business and Industry

We expect to incur substantial research
and development costs and devote significant resources to identifying and commercializing new products and services, which could significantly
reduce its profitability and may never result in revenue to us.

Our future growth depends
on penetrating new markets, expansion in current markets, adapting existing products to new applications, and introducing new products
and services that achieve market acceptance. We plan to incur substantial research and development costs as part of our efforts to design,
develop and commercialize new products for cybersecurity and cloud-based software and enhance our existing products and technology. Because
we account for research and development costs as operating expenses, these expenditures will adversely affect our earnings in the future.
Further, our research and development programs may not produce successful results, and our new products and services may not achieve market
acceptance, create any additional revenue or become profitable, which could materially harm our business, prospects, financial results
and liquidity.

We will be affected by operational risks
and may not be adequately insured for certain risks.

We will be affected by a number
of operational risks and we may not be adequately insured for certain risks, including: product liability litigation, as we do not have
product liability insurance; labor disputes; further workforce reductions; catastrophic accidents; fires; blockades or other acts of social
activism; changes in the regulatory environment; impact of non-compliance with laws and regulations; cyber-attacks and ransom requests;
natural phenomena, such as inclement weather conditions, floods, earthquakes and ground movements. There is no assurance that the foregoing
risks and hazards will not result in damage to, or destruction of, our technologies, personal