Company: UZF
Filing Date: 2025-02-21
Form Type: 10-K
Source: 0000821130-25-000023
Chunk: 18

Company: ARRAY DIGITAL INFRASTRUCTURE, INC.
Filing Date: 2025-02-21
Form: 10-K
Item: Item 1A
Chunk 18
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 have more advantageous tower locations than UScellular, have greater capacity on their towers, and have more scale and coverage nationwide than UScellular – such factors could result in an inability to acquire or build additional towers, difficulty in leasing tower space or renewing leases, or cause lease revenue to decline in the future.

6)UScellular’s lack of scale and structural disadvantages relative to larger competitors that may have greater financial and other resources than UScellular has caused and could continue to cause UScellular to be unable to compete successfully, which has adversely affected and could continue to adversely affect its business, financial condition or results of operations. 

UScellular has lack of scale and structural disadvantages compared to larger competitors. UScellular may be unable to compete successfully with larger companies that have substantially greater financial, technical, marketing, sales, purchasing and distribution resources or that offer more services than UScellular, which has adversely affected and could continue to adversely affect UScellular’s revenues and costs of doing business. Specifically, UScellular’s lack of scale and structural disadvantages relative to most of its competitors could have the following impacts, among others:

▪Low profit margins and returns on investment that are below UScellular’s cost of capital;

▪Increased operating and capital expenditure costs due to lack of leverage with vendors and dispersed geography;

▪Higher costs per wireless subscriber;

▪Inability to timely and successfully deploy 5G or other wireless technologies, or to realize significant incremental revenues from their deployment;

▪Limited opportunities for strategic partnerships as potential partners are focused on telecommunications companies with greater scale and scope;

▪Limited opportunities for bundling wireless service with other services such as home internet;

▪Limited access to content, as well as limited ability to obtain acceptably priced content;

▪Limited access to devices as larger competitors enter into exclusive device arrangements;

▪Consumer expectations that UScellular provides lower-priced offerings relative to larger competitors;

▪Limited ability to influence industry standards;

▪Limited ability to acquire or build additional towers;

▪Reduced ability to invest in research and development of new services and products;

▪Lower risk tolerance when evaluating new markets;

▪Vendors may deem UScellular non-strategic and not develop or sell services and products to UScellular, particularly where technical requirements differ from those of larger companies;

▪Limited access to intellectual property; and

▪Other limited opportunities such as for software development or third-party distribution.

UScellular’s business depends on access to content for