Company: AIP
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0001667011-25-000010
Chunk: 45

Company: Arteris, Inc.
Filing Date: 2025-02-18
Form: 10-K
Item: Item 1A
Chunk 45
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 prohibited by government action, unfavorable foreign exchange controls and currency exchange rates.

■Potential for substantial penalties and litigation related to violations of a wide variety of laws, treaties and regulations, including labor regulations, export control and anti-corruption regulations (including the U.S. Foreign Corrupt Practices Act and the U.K. Bribery Act).

■Difficulties and costs of staffing and managing international operations across different geographic areas, time zones and cultures.

■Changes in diplomatic and trade relationships and uncertainties around political elections create an unpredictable business environment.

■Potential political, legal and economic instability, armed conflict, and civil unrest in the countries in which we and our customers are located.

■Difficulty and costs of maintaining effective data security.

■Inadequate protection of our intellectual property.

■Nationalization and expropriation.

■Restrictions on the transfer of funds to and from foreign countries, including withholding taxes and other potentially negative tax consequences.

■Unfavorable and/or changing foreign tax treaties and policies.

■Increased exposure to general market and economic conditions inside and outside of the United States.

■Currency exchange rate fluctuations and the resulting effect on our revenue and expenses, and the cost and risk of entering into hedging transactions if we choose to do so in the future.

■Increased regulatory uncertainties with respect to our wholly foreign-owned enterprise operating in China and any joint ventures we may form or contribute IP or other resources to in the future.

■Trends such as global and regional inflation, supply shortages and supply chain disruptions, geopolitical conflicts and retaliatory actions and regulations affecting or relating to regions such as but not limited to Ukraine, Russia, Eastern Europe, Israel and the Middle East, or in the Greater China region, may lead to the deterioration of our immediate customers’ and/or end market customers’ ability and/or willingness to purchase, use, develop, market or sell products or solutions that incorporate or are made while using our products. 

These factors, individually or in combination, could impair our ability to effectively operate one or more of our foreign facilities or deliver our semiconductor IP or SIA solutions, result in unexpected and material expenses, or cause an unexpected decline in the demand for our products in certain countries or regions. Our failure to manage the risks and challenges associated with our international business and operations could harm our business.

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Downturns or volatility in general economic conditions, including as a result of geopolitical and macroeconomic conditions in the countries in which we conduct business, could harm our business.

Our revenue, gross margin, and ability to achieve and maintain profitability depend significantly