Company: LNAI
Filing Date: 2025-02-19
Form Type: 10-K/A
Source: 0001731122-25-000252
Chunk: 61

Company: Lunai Bioworks Inc.
Filing Date: 2025-02-19
Form: 10-K/A
Chunk 61
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 assist in producing are
deficient or inaccurate, Renovaro Cube could be subjected to competitive harm, potential legal liability, and brand or reputational harm.
Some uses of AI present ethical issues, and Renovaro Cube’s judgment as to the ethical concerns may not be perceived as accurate.
While Renovaro Cube aims to develop and use AI responsibly and attempts to identify and mitigate ethical and legal issues presented by
its use, Renovaro Cube may be unsuccessful in identifying or resolving issues before they arise. If Renovaro Cube uses AI as part of its
platform in a manner that is controversial or perceived as unethical, this may lead to adverse results for Renovaro Cube’s financial
condition and operations or the financial condition and operations of its collaborators or vendors, which may further lead to Renovaro
Cube experiencing competitive harm, legal liability and brand or reputational harm. In addition, AI-related issues, deficiencies and/or
failures could give rise to legal and/or regulatory action, including with respect to proposed legislation regulating AI in jurisdictions
such as the European Union and others, and as a result of new applications of existing data protection, privacy, intellectual property,
and other laws.

Failure of, or defects in, Renovaro Cube’s machine learning and cloud-based computing infrastructure, or increased regulation in the machine learning space, could impair Renovaro Cube’s ability to process its data, develop products, or provide test results, and harm its business and results of operations.

The design,
development, maintenance and operation of Renovaro Cube’s technology over time is expensive and complex, and may involve unforeseen
difficulties including material performance problems, undetected defects or errors. Overcoming technical obstacles and correcting defects
or errors could prove to be impossible or impracticable, and the costs incurred may be substantial and adversely affect Renovaro Cube’s
results of operations. Additionally, regulation in the machine learning space is constantly evolving and may make it difficult for Renovaro
Cube to continue using its machine learning approach. If Renovaro Cube’s technology does not function reliably, fails to meet expectations
in terms of performance, or cannot be fully utilized due to increasing regulation, Renovaro Cube may be unable to provide, or its customers
may stop using, its products.

Renovaro
Cube currently hosts all of its data on, and conducts its data analysis through, local hosting facilities. Any technical problems
or outages that may arise in connection with these hosting facilities could result in the loss