Company: CDT
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001641172-25-001246
Chunk: 38

Company: CDT Equity Inc.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 1A
Chunk 38
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 team
to gain a deeper understanding of our objectives, challenges, and operational workflows, resulting in documented meeting agendas,
minutes, and action plans. Second, they finalized and validated a set of proprietary inputs essential for their cybernetic models,
tailored specifically to Conduit’s portfolio and R&D pipeline. Finally, they completed an in-depth market analysis of
potential cocrystal candidates, assessing the patent landscape, competitive positioning, and market size. The insights from this
market analysis are now informing Conduit’s ongoing strategic decision-making. With these key milestones delivered, we are now
progressing to the next phase of development.

Sarborg
has now commenced Phase II: The Development Phase, which focuses on building the technological infrastructure necessary to integrate
AI into Conduit’s operations. As part of this, Sarborg has successfully completed the first milestone, Dashboard Creation and Refinement,
delivering personalized dashboards that provide Conduit’s key personnel with real-time access to critical data related to deliverables,
clinical trials, and drug discovery. These initial dashboards, along with user interface mock-ups and a dashboard user guide, will serve
as the foundation for further refinements. Moving forward, the platform will continue to be optimized to maximize efficiency and ensure
seamless integration into Conduit’s workflows.

As
with many developing technologies, AI presents risks and challenges that could affect its further development, adoption, and use, and
therefore our business. AI algorithms may be flawed or biased. Datasets used to train or develop AI systems may be insufficient, of inferior
quality, or contain biased information. Additionally, the laws and regulations concerning the use of AI continue to evolve. If the use
or integration of AI systems, or the outputs generated by such systems, were determined to be non-compliant (e.g., in relation to intellectual
property or data privacy rights), this may result in liability, including legal liability, or adversely affect our business, reputation,
brand, financial condition and results of operations. It is possible that emerging regulations may limit or block the use of AI in our
business and solutions or otherwise impose other restrictions that may affect or impair the usability or efficiency of our business or
services for an extended period of time or indefinitely. Our competitors or other third parties may incorporate AI into their product
development, technology and infrastructure more quickly or more successfully than us, which could impair our ability to compete effectively
and adversely affect our business, financial condition and results of operations.

Risks
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