What the changes say
- Subscription and recurring arrangements produced approximately 83% of 2025 revenue, making renewal rates and pricing critical to future results.
- Government research funding declined in 2025, threatening demand from academic, government, life sciences, and pharmaceutical customers.
- AI regulation and data privacy obligations are expanding across jurisdictions, increasing compliance costs and potential enforcement exposure.
- The company continues reshaping its Value Creation Plan around AI innovation, commercial execution, efficiency, and margin expansion.
What changed since the prior 10-K
New
- NewStrategy and Market Risks
We generate a significant percentage of our revenues from recurring subscription-based arrangements and highly predictable re-occurring arrangements. If we are unable to maintain a high annual renewal rate for our subscription- based and re-occurring arrangements, our results of operations could be adversely affected
About 83% of 2025 revenue came from subscription and recurring arrangements, so weaker renewals or pricing could reduce future revenue.
- NewStrategy and Market Risks
Reductions in customers’ research budgets or government funding may adversely affect our business
Reduced research budgets or government funding could weaken purchases by academic institutions, government agencies, and life sciences and pharmaceutical companies.
- NewIntellectual Property, Data Privacy, and Cybersecurity Risks
We face risks related to the regulation of AI and other evolving technologies
Evolving AI laws covering privacy, cybersecurity, intellectual property, competition, and consumer protection could restrict products and increase costs or enforcement risk.
- NewIntellectual Property, Data Privacy, and Cybersecurity Risks
Our collection, storage, and use of confidential, sensitive, or personal information or data are subject to applicable data privacy and cybersecurity laws, and any failure to comply with such laws may harm our reputation and business or expose us to fines and other enforcement action
Handling confidential, sensitive, and personal data across jurisdictions, including under the CCPA, creates compliance, fine, enforcement, and reputational risks.
Dropped
- DroppedIntellectual Property, Data Privacy, and Cybersecurity Risks
In the ordinary course of business, we collect, store, use, and transmit certain types of information that are subject to different laws and regulations. In particular, data security and data protection laws and regulations often vary significantly by jurisdiction
Reworded
- 69% rewrittenStrategy and Market Risks
If our products and services do not achieve and maintain broad market acceptance, or if we are unable to keep pace with or adapt to rapidly changing technology, evolving industry standards, and changing regulatory requirements, our revenues could be adversely affected
The risk now emphasizes broad market acceptance and omits the prior detailed difficulty of rapidly updating, enhancing, and developing products.
Was: If our products and services do not achieve and maintain broad market acceptance, or if we are unable to keep pace with or adapt to rapidly changing technology, evolving industry standards, macroeconomic market conditions, and changing regulatory requirements, our revenues could be adversely affected
- 69% rewrittenBusiness and Operational Risks
We have incurred goodwill impairment charges and may incur future impairment charges for our goodwill and other intangible assets, which would negatively impact our operating results
The company newly cites prior intangible-asset impairments and market capitalization declines as triggers, while limiting the stated impact to operating results.
Was: We have incurred goodwill impairment charges and may incur further impairment charges for our goodwill and other intangible assets, which would negatively impact our operating results
- 63% rewrittenStrategy and Market Risks
We operate in a highly competitive industry, and we may be adversely affected by competition and other changes in our markets
The description removes competitors’ specialized focus and changes references from internet services companies to information services companies.
- 63% rewrittenBusiness and Operational Risks
We may be unable to derive fully the anticipated benefits from organic growth, existing or future acquisitions, joint ventures, investments, or dispositions, including anticipated revenue and cost synergies, and costs associated with achieving synergies or integrating such acquisitions may exceed our expectations
The risk adds that unsuccessful intended dispositions could harm operations and results, while removing difficulty completing acquisitions on acceptable terms.
- 62% rewrittenBusiness and Operational Risks
Our Value Creation Plan may not be successful and may not lead to increased shareholder value
The 2025 plan shifts toward scaled AI innovation, commercial execution, efficiency, and margin expansion, and adds that failure may occur on time or at all.
- 58% rewrittenBusiness and Operational Risks
We face risks associated with having operations and employees located in Israel
The wording softens direct operational effects to possible effects and refers to recent regional hostilities rather than a significant increase in hostilities.
- 57% rewrittenIntellectual Property, Data Privacy, and Cybersecurity Risks
Uncertainty in the development, deployment, and use of AI in our products and services may result in operational or reputational damage, competitive harm, liability, and additional costs, any of which could adversely affect our business, financial condition, and results of operations
The risk adds that AI may not improve efficiency, profitability, or intended outcomes and broadens the technology from generative AI to AI generally.
- 53% rewrittenBusiness and Operational Risks
Our business continuity and recovery plans may not be effective against events that may adversely impact our business
The wording changes customer harm to harm generally and removes the stated goal of organizational resilience across product sets.
Was: Our business continuity plans may not be effective against events that may adversely impact our business
- 41% rewrittenIntellectual Property, Data Privacy, and Cybersecurity Risks
Any disruption in or unauthorized access to or breaches of our computer systems or those of third parties that we utilize in our operations, including those relating to cybersecurity or arising from cyberattacks, could adversely impact our business
- 38% rewrittenStrategy and Market Risks
Increased access to free or relatively inexpensive information sources may reduce demand for our products and services
Was: Increased accessibility to free or relatively inexpensive information sources may reduce demand for our products and services
- 29% rewrittenBusiness and Operational Risks
The loss of, or the inability to attract and retain, key personnel could impair our ability to execute our business strategy and achieve future success
- 29% rewrittenStrategy and Market Risks
We are dependent on third parties, including public sources, for data, information, and other services, and our relationships with such third parties may not be successful or may change, which could adversely affect our results of operations
- 23% rewrittenBusiness and Operational Risks
The international scope of our operations may expose us to increased risk, and our international operations and corporate and financing structure may expose us to potentially adverse tax consequences
All 22 risk factors
Headings as the filing states them, in filing order.
Strategy and Market Risks
- 01We are dependent on third parties, including public sources, for data, information, and other services, and our relationships with such third parties may not be successful or may change, which could adversely affect our results of operations29% rewritten
- 02Increased access to free or relatively inexpensive information sources may reduce demand for our products and services38% rewritten
- 03We operate in a highly competitive industry, and we may be adversely affected by competition and other changes in our markets63% rewritten
- 04We generate a significant percentage of our revenues from recurring subscription-based arrangements and highly predictable re-occurring arrangements. If we are unable to maintain a high annual renewal rate for our subscription- based and re-occurring arrangements, our results of operations could be adversely affectedNew
- 05If our products and services do not achieve and maintain broad market acceptance, or if we are unable to keep pace with or adapt to rapidly changing technology, evolving industry standards, and changing regulatory requirements, our revenues could be adversely affected69% rewritten
- 06Reductions in customers’ research budgets or government funding may adversely affect our businessNew
Business and Operational Risks
- 07Our Value Creation Plan may not be successful and may not lead to increased shareholder value62% rewritten
- 08The loss of, or the inability to attract and retain, key personnel could impair our ability to execute our business strategy and achieve future success29% rewritten
- 09Our business continuity and recovery plans may not be effective against events that may adversely impact our business53% rewritten
- 10We may be unable to derive fully the anticipated benefits from organic growth, existing or future acquisitions, joint ventures, investments, or dispositions, including anticipated revenue and cost synergies, and costs associated with achieving synergies or integrating such acquisitions may exceed our expectations63% rewritten
- 11The international scope of our operations may expose us to increased risk, and our international operations and corporate and financing structure may expose us to potentially adverse tax consequences23% rewritten
- 12We face risks associated with having operations and employees located in Israel58% rewritten
- 13Our brand and reputation are key assets and competitive advantages for us, and our business may be affected by how we are perceived in the marketplace
- 14Our indebtedness could adversely affect our business, financial condition, and results of operations
- 15We have incurred goodwill impairment charges and may incur future impairment charges for our goodwill and other intangible assets, which would negatively impact our operating results69% rewritten
Intellectual Property, Data Privacy, and Cybersecurity Risks
- 16Failure to obtain, maintain, protect, defend, or enforce our intellectual property and other proprietary rights could adversely affect our business, financial condition, and results of operations
- 17Uncertainty in the development, deployment, and use of AI in our products and services may result in operational or reputational damage, competitive harm, liability, and additional costs, any of which could adversely affect our business, financial condition, and results of operations57% rewritten
- 18We face risks related to the regulation of AI and other evolving technologiesNew
- 19Any disruption in or unauthorized access to or breaches of our computer systems or those of third parties that we utilize in our operations, including those relating to cybersecurity or arising from cyberattacks, could adversely impact our business41% rewritten
- 20Our collection, storage, and use of confidential, sensitive, or personal information or data are subject to applicable data privacy and cybersecurity laws, and any failure to comply with such laws may harm our reputation and business or expose us to fines and other enforcement actionNew
- 21Intellectual property litigation, including litigation related to content provided using our products and services, could result in reputational damage and significant costs, and could adversely affect our business, financial condition, and results of operations
- 22Our use of “open source” software could negatively affect our ability to offer our solutions and subject us to possible litigation
Other Clarivate 10-Ks
- FY2024 10-K risk factors20 risks
The company relies heavily on third-party data and must adapt to competing with free information sources.
Filed Feb 19, 2025
About this page
The headings are the filing's own. The one-line readings and the overview are automated and can be wrong: read Item 1A of the 10-K for the exact wording.