Company: IPSI
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001213900-25-026455
Chunk: 22

Company: Innovative Payment Solutions, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1
Chunk 22
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 our clients, the use of our services could decline,
reducing our revenues.

The payment services
industry in which we operate is characterized by rapid technological change, new product and service introductions, evolving industry
standards, changing customer needs and the entrance of more established market players seeking to expand into these businesses. In order
to remain competitive, we continually seek to expand the services we offer and to develop new projects. These projects carry risks, such
as delays in delivery, performance problems and lack of customer acceptance. In our industry, these risks are acute. Any delay in the
delivery of new services or the failure to differentiate our services or to accurately predict and address market demand could render
our services less desirable, or even obsolete, to consumers. In addition, if alternative payment mechanisms become widely available,
substituting our current products and services, and we do not develop and offer similar alternative payment mechanisms successfully and
on a timely basis, our business and prospects could be adversely affected. Furthermore, we may be unable to recover the costs we have
incurred in developing new services. Our development efforts could result in increased costs and we could also experience a loss in business
that could reduce our earnings or could cause a loss of revenue if promised new services are not timely delivered to our clients, we
are not able to compete effectively with our competitors’ or do not perform as anticipated. If we are unable to develop, adapt
to or access technological changes or evolving industry standards on a timely and cost effective basis, our business, financial condition
and results of operations could be materially adversely affected.

Our systems and
our third party providers’ systems may fail due to factors beyond our control, which could interrupt our service, cause us to lose
business and increase our costs.

We depend on the efficient
and uninterrupted operation of numerous systems, including our computer systems, software and telecommunications networks, as well as
the data centers that we lease from third parties. Our systems and operations, or those of our third party providers, could be exposed
to damage or interruption from, among other things, fire, flood, natural disaster, power loss, telecommunications failure, vendor failure,
unauthorized entry, improper operation and computer viruses. Substantial property and equipment loss, and disruption in operations, as
well as any defects in our systems or those of third parties or other difficulties could expose us to liability and materially adversely
impact our business, financial condition and results of operations. In addition, any outage or disruptive efforts to our data center