Company: ZDAN
Filing Date: 2025-01-10
Form Type: DRS/A
Source: 0001683168-25-000168
Chunk: 18

Company: Zerolimit Technology Holding Co. Ltd.
Filing Date: 2025-01-10
Form: DRS/A
Chunk 18
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As of September 30, 2024
and 2023, we had 1 and 14 suppliers in China, respectively, and we have maintained good relationships and contact with most of these
suppliers to ensure adequate and timely supply of its software products. We typically purchase these devices and services on a purchase-order
basis.

Software Support and Maintenance

We work with our distributors
to offer software support and maintenance services.

Currently, we do not have
any customer service representatives to provide support directly to end-users. Instead, we rely on our network of distributors’
customer service representatives to carry out the after-sales service, which typically starts with the end-users submitting their issues
to the distributors’ customer service representatives. Once distributors collect the issues, they forward them to us for review
and processing. We handle the issues and provide online technical support or necessary software upgrades. The revenue from software support
and maintenance is immaterial.

Corporate Development

We commenced our commercial
operations in 2017 in China. In the early stages of our establishment, we focused on building the overall technological framework to
expedite the development process of the distributed network. From 2018 to 2019, we made breakthroughs in the technological framework,
including the development of mobile deployment, peer-to-peer networking, and distributed storage. We also launched successive versions
of our distributed network infrastructure software, including a demo version, internal test version, and public test version. In September
2021, we officially launched the Cloud Base Station Node Software, which marked a milestone in our business operations. Since 2021, we
have begun generating revenue from software products developed based on distributed networks. In 2022, we obtained the national high-tech enterprise
certification in China. In April 2023, we achieved the recognition as a specialized and sophisticated SME.

We are constantly investing
in research and development to improve the existing software products and create new ones. We maintain a talent pool and will continue
to invest to enhance our technology. As of September 30, 2024 and 2023, our research and development team consisted of 23 and 31 researchers,
programmers, and engineers, accounting for approximately 55% and 57% of the total number of employees, respectively.

| 8 |

Competitive Strengths

We believe that we possess
the following strengths, which give us a competitive advantage in our industry:

| § | We                                                                            
 were an early entrant into the decentralized distributed technology industry;