Company: MVIS
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021931
Chunk: 29

Company: MICROVISION, INC.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 2
Chunk 29
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 product or vehicle model, which is known as a “series production win” or a “series production
award.” In the case of ADAS technology, a series production award would mean that our lidar sensor and/or ADAS solution had been
selected for use in a particular vehicle model. However, if we are unable to achieve a series production award with respect to a particular
vehicle model, we may not have an opportunity to supply our products to the automotive OEM for that vehicle model for a period of many
years. In many cases, this period can be as long as five to seven or more years. If our products are not selected by an automotive OEM
or our suppliers for one vehicle model or if our products are not successful in that vehicle model, it is unlikely that our product will
be deployed in other vehicle models of that OEM. If we fail to win a significant number of vehicle models from one or more automotive
OEMs or their suppliers, our future business prospects, results of operations, and financial conditions will be materially and adversely
affected.

37

The
complexity of our products and the limited visibility into the various environmental and other conditions under which potential customers
may use the products could result in unforeseen delays or expenses from undetected defects, errors or reliability issues in hardware
or software which could reduce the market adoption of our products, damage our reputation with prospective customers, expose us to product
liability and other claims, and adversely affect our operating costs.

Our
products are highly technical and complex and require high standards to manufacture and may experience defects, errors or reliability
issues at various stages of development and production. We may be unable to timely manufacture or release products, or correct problems
that have arisen or correct such problems to the customer’s satisfaction. Additionally, undetected errors, defects or security
vulnerabilities could result in serious injury to the end users or bystanders of technology incorporating our products, inability of
customers to commercialize technology incorporating our products, litigation against us, negative publicity and other consequences. These
risks are particularly prevalent in the highly competitive ADAS market. These problems may also result in claims, including class actions,
against us that could be costly to defend. Our reputation or brand may be damaged as a result of these problems and potential customers
may be reluctant to buy our products, which could adversely affect our financial results.

Adverse
conditions in particular industrial sectors, the automotive industry, or the global economy more generally could have adverse effects
on our