Sales and marketing expenses increased by $8.0 million, or 29%, in the six months ended June 30, 2026 compared to the same period in 2025, primarily due to increases in 2026 of $5.9 million in personnel-related costs, $1.3 million in office expense, $0.7 million in advertising expenses, and $0.3 million in travel expenses, which were partially offset by decreases of $0.1 million in legal and professional fees.

filing / Aug 10, 2026 / receipt

The Company may seek funding through additional debt or equity financing arrangements, implement incremental expense reduction measures or a combination thereof to continue financing its operations.

filing / Aug 10, 2026 / receipt

Based on this evaluation, our Chief Executive Officer and Chief Financial Officer have concluded that our disclosure controls and procedures were not effective as of June 30, 2026 due to the material weaknesses in the Company’s internal control over financial reporting described below.

filing / Aug 10, 2026 / receipt

in 2026 of $4.7 million in personnel-related costs of Interactions which was acquired in the third quarter of 2025, $1.6 million in office expense, $0.4 million in advertising expenses, $0.3 million in travel expenses and $0.1 million in legal and professional fees.

filing / May 11, 2026 / receipt

Nitesh Sharan resigned as the Chief Financial Officer of the Company, effective April 3, 2026. Mr. James Hom, Chief Product Officer at SoundHound, will serve as the Company’s Interim Chief Financial Officer until his successor is chosen and qualified.

filing / May 11, 2026 / receipt

James Hom, Chief Product Officer at SoundHound, will serve as the Company’s Interim Chief Financial Officer until his successor is chosen and qualified.

filing / May 11, 2026 / receipt

The Company may seek funding through additional debt or equity financing arrangements, implement incremental expense reduction measures or a combination thereof to continue financing its operations.

filing / May 11, 2026 / receipt