Risk Factors Update Summary

• Increased focus on cybersecurity threats, including ransomware and denial-of-service attacks, with potential adverse effects on operations.
• Addition of new risk factor related to the termination of the license agreement for the Sports Illustrated media business, with immediate payment of $45.0 million and loss of operating rights.
• Emphasis on evolving threats from emerging technologies like artificial intelligence and quantum computing.
• Concerns about breaches in the supply chain compromising data and affecting customer deliverables.
• Increase in net loss from approximately $70.9 million in fiscal 2022 to $55.6 million in fiscal 2023.
• Risks related to security threats to systems and employees from terrorist acts or sabotage.
• Disclosure of accumulated deficit increasing from approximately $323.1 million in 2022 to $373.1 million in 2023.
• Risk related to the potential expiration of federal net operating loss carryforwards of $193.8 million due to prior period losses.
• Emphasis on the need to attract and retain key personnel to ensure business success.
• Mention of the company becoming a "smaller reporting company" post-Business Combination, impacting investor perception.
• Authority granted to the Board to issue additional shares of common stock without stockholder approval, potentially impacting stock price.