21
The measures we have implemented to secure information we collect and store may be breached, which could cause us to
breach agreements with our partners and expose us to potential investigation and penalties by authorities and potential claims by
persons whose information was disclosed.
We take reasonable steps to protect the security, integrity and confidentiality of the information we collect and store but there is
no guarantee that inadvertent or unauthorized disclosure will not occur or that third parties will not gain unauthorized access despite
our efforts. If such unauthorized disclosure or access does occur, we may be required to notify persons whose information was
disclosed or accessed under existing and proposed laws. Because the techniques used to obtain unauthorized access, disable or degrade
service, or sabotage systems change frequently and are often not recognized until launched against a target, we may be unable to
anticipate these techniques or implement adequate preventative measures. We also may be subject to claims of breach of contract for
such disclosure, investigation and penalties by regulatory authorities and potential claims by persons whose information was
disclosed.
If there is a security breach or if there is an inappropriate disclosure of any of these types of information, we could be exposed to
investigations, litigation, fines and penalties. Remediation of and liability for loss or misappropriation of end user or employee
personal information could have a material adverse effect on our business and financial results. Even if we were not held liable for
such event, a security breach or inappropriate disclosure of personal, private or confidential information could harm our reputation and
our relationships with current and potential customers and end users. Even the perception of a security risk could inhibit market
acceptance of our products and services. We may be required to invest additional resources to protect against damages caused by any
actual or perceived disruptions of our services. We may also be required to provide information about the location of an end user’s
mobile device to government authorities, which could result in public perception that we are providing the government with
intelligence information and deter some end users from using our services. Any of these developments could harm our business.
Because our systems may be vulnerable to systems failures and security risks, we may incur significant costs to protect
against the threat of these problems.
We provide for the delivery of information and content to and from wireless devices in a prompt and timely manner. Any
systems failure that causes a disruption in our ability to facilitate the transmission of information to these wireless devices could result
in delays in end users receiving this information and cause us to lose customers. Our systems could experience such failures as a result
of unauthorized access by hackers, computer viruses, hardware or software failures, power or telecommunications failures and other
accidental or intentional actions which could disrupt our systems. We may incur significant costs to prevent such systems disruptions.
The wireless data services provided by our Commercial Segment are dependent on real-time, continuous feeds from map and
traffic data vendors and others. The ability of our subscribers to receive critical location and business information requires timely and
uninterrupted connections with our wireless network carriers. Any disruption from our satellite feeds or backup landline feeds could
result in delays in our subscribers’ ability to receive information. We cannot be sure that our systems will operate appropriately if we
experience hardware or software failure, intentional disruptions of service by third parties, an act of God or an act of war. A failure in
our systems could cause delays in transmitting data, and as a result we may lose customers or face litigation that could involve
material costs and distract management from operating our business.
If wireless handsets pose health and safety risks, we may be subject to new regulations and demand for our products and
services may decrease.
Media reports have suggested that certain radio frequency emissions from wireless handsets may be linked to various health
concerns, including cancer, and may interfere with various electronic medical devices, including hearing aids and pacemakers.
Concerns over radio frequency emissions may have the effect of discouraging the use of wireless handsets, which would decrease
demand for our services. In recent years, the FCC and foreign regulatory agencies have updated the guidelines and methods they use
for evaluating radio frequency emissions from radio equipment, including wireless handsets. In addition, interest groups have
requested that the FCC investigate claims that wireless technologies pose health concerns and cause interference with airbags, hearing
aids and other medical devices. There also are some safety risks associated with the use of wireless handsets while driving. Concerns
over these safety risks and the effect of any legislation that may be adopted in response to these risks could limit our ability to market
and sell our products and services.
Risks Related to Our Class A Common Stock
The price of our Class A common stock historically has been volatile. This volatility may affect the price at which you could
sell your Class A common stock, and the sale of substantial amounts of our Class A common stock could adversely affect the price
of our Class A common stock.
The market price for our Class A common stock has experienced significant volatility. This volatility may affect the price at
which you could sell the Class A common stock and the sale of substantial amounts of our Class A common stock could adversely
affect the price of our Class A common stock. Our stock price is likely to continue to be volatile and subject to significant price and
