Company: SIDU
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001742
Chunk: 1104

Company: Sidus Space Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1
Chunk 1104
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, we are vulnerable to changes
in consumer preferences or other market changes. The global economy has in the past, and will in the future, experience recessionary
periods and periods of economic instability. During such periods, our potential customers may choose not to expend the amounts that we
anticipate based on our expectations with respect to the addressable market for satellite services. There could be a number of other
effects from adverse general business and economic conditions on our business, including insolvency of any of our third-party suppliers
or contractors, decreased consumer confidence, decreased discretionary spending and reduced customer or governmental demand for satellites
and other products we produce, which could have a material adverse effect on our business, financial condition and results of operations.

22

Adverse
publicity stemming from any incident involving us or our competitors, could have a material adverse effect on our business, financial
condition and results of operations.

We
are at risk of adverse publicity stemming from any public incident involving our company, our people or our brand. If any of our launch
partners’ vehicles or our satellites or those of one of our competitors were to be involved in a public incident, accident or catastrophe,
this could create an adverse public perception of satellite launch or manufacturing activities and result in decreased customer demand
for launch and satellite services, which could cause a material adverse effect on our business, financial conditions and results of operations.
Further, if our launch partners’ vehicles were to be involved in a public incident, accident or catastrophe, we could
be exposed to significant reputational harm or potential legal liability. Any reputational harm to our business could cause customers
with existing contracts with us to cancel their contracts and could significantly impact our ability to make future sales. The insurance
we carry may be inapplicable or inadequate to cover any such incident, accident or catastrophe. In the event that our insurance is inapplicable
or not adequate, we may be forced to bear substantial losses from an incident or accident.

If
we are unable to maintain relationships with our existing launch partners or enter into relationships with new launch partners, we may
be unable to reach our targeted annual launch rate, which could have an adverse effect on our ability to grow our business.

We
do not own or operate our own launch vehicles. We rely on third party launch partners to launch our and our customers’ satellites.
We may in the future experience delays in our efforts to secure additional launch partners. Challenges as a result of regulatory processes
or in the ability of our partners to secure