Company: REE
Filing Date: 2025-05-15
Form Type: 20-F
Source: 0001628280-25-025661
Chunk: 68

Company: REE Automotive Ltd.
Filing Date: 2025-05-15
Form: 20-F
Item: Item 3
Chunk 68
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 of AWS’ cloud services would negatively impact our operations and would likely seriously harm our business. In an effort to mitigate certain risks, the cloud services we receive from AWS include design features and elements designed to prevent or minimize service disruption, including a disaster recovery service and the use of distinct server farms in separate locations for hosting our platform and services, either one of which is capable of supporting our platform and services without material interruption even in the event of a failure at the other, corresponding server farm. Nevertheless, a prolonged service disruption affecting our cloud-based solution could negatively impact our ability to conduct our operations and could damage our reputation with current and potential customers, expose us to liability, or otherwise harm our business.

Any transition of the cloud services currently provided by AWS to another cloud services provider could require significant time and expense and could disrupt or degrade our operations during such a transition. Our business relies on the availability of our cloud, and there would likely be significant interruption in our operations in the event that we are not able to access our cloud or encounter difficulties in doing so. If AWS increases pricing terms, terminates or seeks to terminate our contractual relationship, establishes more favorable relationships with our competitors, changes or interprets its terms of service or policies in a manner that is unfavorable with respect to us or fails to agree to renew our contract or enter into a new contract on terms that are acceptable to us, our business, financial condition, revenue, results of operations or cash flows may be harmed.

Moreover, there are inherent risks associated with developing, improving, expanding and updating REE’s current systems, such as the disruption of REE’s data management, procurement, production execution, finance, supply chain and sales and service processes. These risks may affect REE’s ability to manage its data and inventory, procure parts or supplies or assemble, deploy, deliver and service its products, adequately protect its intellectual property or achieve and maintain compliance with, or realize available benefits under, applicable laws, regulations and contracts. REE cannot be sure that these systems upon which it relies, including those that it relies upon from third parties, will be effectively implemented, maintained or expanded as planned. If REE does not successfully implement, maintain or expand these systems as required, its operations may be disrupted, its ability to accurately and timely report its financial results could be impaired, and deficiencies may arise in its disclosure controls and procedures, including its internal control over financial reporting, which may impact REE’s ability to certify its disclosures and financial results. Moreover, REE’s proprietary information or intellectual property could