Company: LNAI
Filing Date: 2025-09-29
Form Type: 10-K
Source: 0001731122-25-001316
Chunk: 1159

Company: Lunai Bioworks Inc.
Filing Date: 2025-09-29
Form: 10-K
Item: Item 1
Chunk 1159
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 judgment as to the ethical concerns may not be perceived as accurate. While Renovaro Cube
and BioSymetrics aim to develop and use AI responsibly and attempt to identify and mitigate ethical and legal issues presented by its
use, Renovaro Cube and BioSymetrics may be unsuccessful in identifying or resolving issues before they arise. If Renovaro Cube or BioSymetrics
use AI as part of their platform in a manner that is controversial or perceived as unethical, this may lead to adverse results for Renovaro
Cube’s or BioSymetrics’ financial condition and operations or the financial condition and operations of their collaborators
or vendors, which may further lead to Renovaro Cube or BioSymetrics experiencing competitive harm, legal liability and brand or reputational
harm. In addition, AI-related issues, deficiencies and/or failures could give rise to legal and/or regulatory action, including with respect
to proposed legislation regulating AI in jurisdictions such as the European Union and others, and as a result of new applications of existing
data protection, privacy, intellectual property, and other laws.

Failure
of, or defects in, Renovaro Cube’s or BioSymetrics’ machine learning and cloud-based computing infrastructure, or
increased regulation in the machine learning space, could impair their ability to process data, develop products, or provide test results,
and harm their business and results of operations.

The design,
development, maintenance and operation of Renovaro Cube’s and BioSymetrics’ technologies over time is expensive and complex,
and may involve unforeseen difficulties including material performance problems, undetected defects or errors. Overcoming technical obstacles
and correcting defects or errors could prove to be impossible or impracticable, and the costs incurred may be substantial and adversely
affect either’s results of operations. Additionally, regulation in the machine learning space is constantly evolving and may make
it difficult for Renovaro Cube or BioSymetrics to continue using its machine learning approach. If Renovaro Cube’s or BioSymetrics’
technology does not function reliably, fails to meet expectations in terms of performance, or cannot be fully utilized due to increasing
regulation, we may be unable to provide, or its customers may stop using, our products.

37

Renovaro
Cube currently hosts all of its data on, and conducts its data analysis through, local hosting facilities. Any technical problems
or outages that may arise in connection with these hosting facilities could result in the loss of Renovaro Cube’s