Company: VEEAW
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032215
Chunk: 65

Company: VEEA INC.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 65
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 of which can
lead to financial penalties and reputational injury.

Risks
Related to Compliance with Law, Government Regulation and Litigation

Veea
could experience penalties and adverse rulings in enforcement or other proceedings for non-compliance with laws, rules and regulations
governing its business (e.g., frequency certifications).

Compliance
with changed laws, rules or regulations may subject Veea to increased costs or reduced products and services demand. Compliance failures
as well as required operational changes could have a material adverse impact on Veea, including its reputation, business, financial condition,
results of operations, cash flows or prospects.

Further,
Veea develops many of its products and services based on existing laws, rules, regulations and technical standards. Changes to existing
laws, rules, regulations and technical standards, or the implementation of new laws, rules, regulations and technical standards relating
to products and services not previously regulated, could adversely affect Veea’s development efforts by increasing compliance costs
and causing delay. Regulatory changes related to e.g., license fees, environment, health and safety, privacy (including the cross-border
transfer of personal data for example between the EU and the US), and other regulatory areas may increase costs and restrict Veea’s
operations.

37

Veea is subject to certain US, international laws, rules, policies
and other obligations, including anti-corruption (including anti-bribery, anti-money-laundering, sanctions, terror finance and anti-terrorism)
laws, rules and regulations.

Veea
is subject to U.S. and international laws and regulations in multiple areas, including data protection, anticorruption, labor relations,
tax, foreign currency, anti-competition, import, export and trade regulations, and Veea is subject to a complex array of federal, state
and international laws relating to the collection, use, retention, disclosure, security and transfer of personally identifiable information.
In many cases, these laws apply not only to transfers between unrelated third-parties but also to transfers between Veea and its subsidiaries.
Many jurisdictions have passed laws in this area, and other jurisdictions are considering imposing additional restrictions. The European
Commission adopted the European General Data Protection Regulation (the “GDPR”), which went into effect on May 25, 2018.
In addition, California adopted significant new consumer privacy laws that became effective beginning in January 2020. Complying with
the GDPR and other requirements may cause Veea to incur substantial costs and may require it to change our business practices.

Despite V