Company: KARO
Filing Date: 2025-06-09
Form Type: 20-F
Source: 0001213900-25-052372
Chunk: 80

Company: Karooooo Ltd.
Filing Date: 2025-06-09
Form: 20-F
Item: Item 4
Chunk 80
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 development activities are performed in-house. Our primary research and development team
is based in Singapore. We also have research and development centers in South Africa, and Portugal. Based on feedback from our customers
and prospective customers, we work to expand our platform offerings while enhancing and maintaining our core solution technology to adapt
to new regulatory compliance requirements, user demands and emerging trends in the industry. We develop new functionality with a view
to full platform deployment for use by all of our customers and avoid bespoke development.

Operations

We physically host our cloud-based
SaaS platform principally in seven secure third-party data centers located in South Africa, Singapore, the Netherlands, the United Arab
Emirates and France. These data centers provide us with both physical security, including around-the-clock security personnel, biometric
access controls and systems security, including firewalls, encryption, redundant power and environmental controls. Our data centers maintained
over 99.9% system uptime for the financial year ended February 28, 2025. We believe that our third-party hosting facilities are adequate
for our current needs and that suitable additional capacity will be available as needed to accommodate planned expansion of our operations.
We believe our agreements with these third-party data centers are generally consistent with competitive market terms and conditions.

Our platform technology also includes
switches, routers, load balancers, IDS/IPS and application firewalls from top-tier suppliers to serve as the networking infrastructure
and high levels of security infrastructure for the network environment. We use rack-mounted servers to run our solutions and for content
caching. We use storage area network (“ SAN”) hardware with fiber channel and solid-state drives at our data center locations.
These SAN systems have been designed for high performance and data-loss protection, and we believe that these systems have the capacity
and scalability to support our anticipated growth for the foreseeable future.

We leverage a large team of employed
installers worldwide to install our telematics devices, occasionally calling on third parties to assist with installation. Upon contracting
with a new customer, we dispatch the nearest installer to the customer’s place of business or a central location for installation
of our telematics devices. Typically, the full installation cycle is accomplished within two to five days from the date of contract. If
a telematics device malfunctions in the field, we use our installers to replace the device.

Our Competition

The rapidly evolving market for
our solutions is competitive and highly fragmented in certain of our regions, particularly by geography and customer segment. We compete