Company: VEEAW
Filing Date: 2025-01-15
Form Type: 424B3
Source: 0001213900-25-003888
Chunk: 100

Company: VEEA INC.
Filing Date: 2025-01-15
Form: 424B3
Chunk 100
---
30, 2023. The increase is immaterial as it is related to the costs incurred to generate our revenue earned from paid pilots for our VeeaHubdevices.

<div align='center'>55</div>

Product Development Expense

Product development expense
increased by $170,997, or 92%, in the three months ended September 30, 2024 compared to the three months ended September 30, 2023. Product
development expense increased by $476,327, or 70%, in the nine months ended September 30, 2024 compared to the nine months ended September
30, 2023. The increase in product development expenses was due to increased internal development and additional costs incurred by outside
contractors related to products manufactured during the period.

Sales and Marketing Expense

Sales and marketing expense
decreased by $57,006, or 41%, in the three months ended September 30, 2024 compared to the three months ended September 30, 2023. Sales
and marketing expense increased by $160,211, or 54%, in the nine months ended September 30, 2024 compared to the nine months ended September
30, 2023. In the third quarter, management had reduced efforts in marketing as the focus was on the Business Combination completion.
The year-to-date increase was due primarily to an increase in customer evaluations and fees paid to third-party marketing firm during
the period.

General and Administrative Expense

General and administrative
expense decreased by $3.2 million, or 62%, in the three months ended September 30, 2024 compared to the three months ended September
30, 2023. General and administrative expense increased by $0.6 million, or 5%, in the nine months ended September 30, 2024 compared to
the nine months ended September 30, 2023. The decrease for the quarter is primarily related to the foreign exchange gain of $1.8 million
for the three months ended, as well as a reclassification of $1.4 million of transaction related expenses out of G&A in the period
the Business Combination occurred. The year-to-date overall increase was primarily due to an increase in net foreign exchange losses,
as well as an increase in professional and consulting fees relating to the Business Combination.

Transaction costs including those incurred with contingent earn-out liability

Following the closing of the
Business Combination, holders of certain capital stock of Private Veea immediately prior to the closing