1089525--3/28/2006--SMART_VIDEO_TECHNOLOGIES

related topics

{product, market, service}

{control, financial, internal}

{system, service, information}

{property, intellectual, protect}

{stock, price, operating}

{customer, product, revenue}

{acquisition, growth, future}

{personnel, key, retain}

{regulation, government, change}

Independent Auditor s Report Contains Going Concern Qualification; Losses From Operations; Accumulated Deficit We have a limited operating history and insufficient revenue to generate positive cash flows from our operations. Our quarterly financial results will continue to fluctuate making it difficult to forecast our operating results. Because we expect to continue incurring net losses, we may not be able to implement our business strategy and the price of our stock may decline. Our failure to respond to rapid changes in technology and its applications and intense competition in the mobile entertainment services industry products could make our services obsolete. Our success is dependent on the performance and retention of our executive officers, consultants and key employees. Our mobile entertainment services and any of our future services may fail to gain market acceptance, which would adversely affect our competitive position. We depend on a limited number of customers and distribution channels for a majority of our revenues so the loss of, or delay in payment from, one or a small number of customers or distribution channel partners could have a significant impact on our revenues and operating results. Average selling prices of our products and services may decrease, which may harm our gross margins. We may face third-party intellectual property infringement claims and other related claims that could severely impact our business. We cannot be certain that we will be able to protect our intellectual property, which could harm our business. We will rely on strategic relationships to promote our services and for access to licensed technology; if we fail to develop, maintain or enhance these relationships, our ability to serve our customers and develop new services and applications could be harmed. Competition may decrease our market share, revenues, and gross margins. Our industry is experiencing consolidation that may intensify competition. If we fail to enhance our existing services and product applications or develop and introduce new multimedia broadcast services, applications and features in a timely manner to meet changing customer requirements and emerging industry trends or standards, our ability to grow our business will suffer. The technology underlying our services and applications is complex and may contain unknown defects that could harm our reputation, result in product liability or decrease market acceptance of our services and applications. Our business will suffer if our systems fail or our third-party facilities become unavailable. Government regulation could adversely affect our business prospects. Our stock price has been and continues to be volatile. We need to raise additional capital in the future, and if we are unable to secure adequate funds on terms acceptable to us, we will be unable to execute our business plan and current stockholders may experience significant dilution

Full 10-K form ▸

1089525--3/28/2006--SMART_VIDEO_TECHNOLOGIES_INC