Company: ARAI
Filing Date: 2025-05-14
Form Type: DRS
Source: 0001641172-25-010170
Chunk: 61

Company: Arrive AI Inc.
Filing Date: 2025-05-14
Form: DRS
Chunk 61
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 the ALM ecosystem including arrival/departure scheduling, space optimization, smart delivery notifications, micro weather conditions, local restrictions, transactional status updates, and automation issues/obstacles. These capabilities enable ALM automation operators, businesses, and end-customers all to make better value- and data-based operational decisions, such as for a specific Access Point prioritizing time-sensitive food deliveries during peak demand versus optimizing route efficiency for a deferrable delivery at a given time like during the Super Bowl. Another example of ALM platform functionality is our planned mailbox financing exchange (MFE) facilitates dynamic cost-sharing arrangements between financiers, business partners, automation operators, and end-customers. These advanced capabilities will be introduced through our AP5 development and pilot program after development of AP4. At this time we have not engaged any customers or third-parties to participate in, or utilize, these advanced capabilities that have yet to be introduced.

Since inception, we have operated at a loss, with no revenue in 2024 or 2023. Our net losses were $4,537,901 and $7,321,134 for the years ended December 31, 2024, and 2023, respectively. We anticipate continued operating losses as we pursue market penetration and first revenues in 2025.

Key milestones for achieving revenue for sustainable operations include:

○ Initial AP3 units were delivered in Q4-2024

○ Implementation of contracted use cases in Specialty Pharma and Assisted Living communities in 2025, with potential expansion to hospital environments; no agreements exist as of the date of this prospectus

○ Completion of
AP4 development with a Fortune 500 logistics customer, featuring reverse logistics and pickup capabilities, for 2025 deployment

○ Development
of AP5, our comprehensive “universal” solution supporting all drone and robotic delivery operations, with development starting
2025, pilots in 2026, and general availability in 2027

Our path to profitability relies on achieving product-market fit, for the growing number of ALM automation operators and the businesses seeking to use ALM automation for delivery savings and improved customer experience. We will be able to meet their needs after the successful development and deployment of AP3, AP4, and AP5 (our 3rd, 4th, and 5th generation of ALM Access Points), which will provide universal support for all autonomous delivery systems. AP3 is complete and was installed for customers in November 2024, and AP4 is presently in