Company: ARBB
Filing Date: 2025-10-31
Form Type: 20-F
Source: 0001213900-25-104705
Chunk: 21

Company: ARB IOT Group Ltd
Filing Date: 2025-10-31
Form: 20-F
Item: Item 3
Chunk 21
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 products, services, business methods,
or processes infringe upon the proprietary rights of others often are not asserted until after commencement of commercial sales. Third
parties may make claims of infringement against the Company in connection with the use of its technology. Any claims, even those without
merit, could:

  be expensive and time consuming to defend;  

  cause the Company to cease making, licensing, or using products that incorporate the challenged intellectual property;  

  divert management’s attention and resources; or  

  require the Company to enter into royalty or licensing agreements in order to obtain the right to use a necessary software product or system.  

The Company cannot be certain of the outcome of
any litigation. Any royalty or licensing agreement, if required, may not be available to the Company on acceptable terms or at all. The
Company’s failure to obtain the necessary licenses or other rights could prevent the development, or distribution of the Company’s
products and services and, therefore, could have a material adverse effect on the Company’s business.

Risks Related to Our Industry and Governmental
Regulation

The market we compete is competitive.

The market for IoT solutions and services is competitive.
Companies in our industry compete on the basis of a number of factors, including technical expertise and industry knowledge, innovation
competence, location, price, reputation, scale, financial stability, responsiveness to market demand and effective personnel training
and retention.

Our current and potential competitors include
traditional software companies developing IoT technologies to seize new growth opportunities, existing IoT players in agriculture, property
development and logistics industries and consumer electronics brands that are investing in in-house IoT capabilities, and other smaller
companies focused on single niche segments. Our competitors and potential competitors could have substantial competitive advantages such
as substantially greater financial, technical and marketing resources, greater name recognition, longer operating histories, greater client
support resources, lower labor and development costs, and larger and more mature intellectual property portfolios. As a result, they may
be able to compete more aggressively on pricing or devote greater resources to the development and promotion of technology and IoT services.

In addition, we have faced, and expect to continue
to face, competition from new market entrants. Further, there is a risk that our clients may elect to increase their internal resources
to satisfy their services needs as opposed to relying on a third-party service provider like us. Moreover, as we expand the scope and
reach of our solutions, we may face additional competition. If one or more of our competitors were to merge or