Company: ARAI
Filing Date: 2025-01-27
Form Type: S-1/A
Source: 0001493152-25-003660
Chunk: 76

Company: Arrive AI Inc.
Filing Date: 2025-01-27
Form: S-1/A
Chunk 76
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ML models are directly correlated with delivery                
 network utilization and the associated transactional data volume. Beginning in 2025,             
 we expect to accumulate 12-18 months of operational and delivery data, reaching the              
 critical mass necessary to begin improving the value of our proprietary ALM models               
 and insights. This unique and growing dataset will encompass transactional patterns,             
 operational performance metrics, and environmental conditions across our network, creating       
 a valuable proprietary asset for improving autonomous last-mile delivery operations.             
 Note that to meet our data accumulation goals and maximize the effectiveness of our proprietary  
 ALM models, we believe a minimum of 200 deployed and actively utilized ALM Access Points,        
 with an average daily volume of 3 deliveries, will be necessary to generate sufficient data      
 over 18 months of operations. If fewer units are deployed or the average utilization rate        
 per unit falls below 50%, the rate of data accumulation will slow, delaying both the expected    
 timeframe for likely AI improvements and the monetization of the resulting insights. These       
 metrics—deployment scale and utilization rate—are critical to achieving the desired              
 scale for AI/ML and network-wide operational improvements.                                       |

Management believes
that Arrive is pioneering the emerging market for the automated exchange of packages and goods between people, robots, and drones with
our autonomous last mile (“ALM”) mailbox but there are no guarantees that we are right or will be successful in our efforts.
We are advancing our technology through structured customer and partner trials or pilots for which the Company receives no revenues. All pilots operate under executed Statements of Work (SOW). Active customer agreements and SOWs differ in that SOWs outline specific deliverables and project scope for pilot activities, while active customer agreements define broader terms of collaboration. Arrive AI currently has the following active innovation and pilot efforts:

| ● | A                                                                                                
 Fortune 500 logistics company: Active customer agreement for pilot activities; the SOW           
 specifies delivery testing and feedback on AP3 performance. We are also progressing conversation 
 on a phase-2 beyond the demonstration pilot. All agreements are confidential and terms cannot    
 be disclosed at this time.                                                                       |
| ● | A                                                                                                
 Sunbelt innovation campus: Active customer agreement and SOW for deploying AP3 units             
 to explore use cases. The agreement is confidential and terms cannot be disclosed                
 at this time.                                                                                    |
| ● | An                                                                                               
 East Coast specialty pharma logistics company: Active pilot agreement and SOW                    
 for temperature-controlled delivery pilot that will test aspects of their critical