Network-1 Technologies (NTIP) risk factors, FY2024 10-K

Network-1 Technologies's FY2024 10-K, filed Feb 28, 2025, lists 22 risk factors. There is no earlier 10-K to compare against, so the most company-specific risks are listed below.

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Risk factors listed
221 groups
Section length
4k wordsItem 1A

Network-1 Technologies's biggest risks in the FY2024 10-K

  • Revenue depends heavily on unpredictable patent litigation outcomes and historical concentration in the Remote Power Patent.
  • The company faces significant reliance on CEO Corey M. Horowitz and substantial capital exposure in biotech startup ILiAD.
  • Patent enforcement costs and risks are amplified by adverse legislative, judicial, and artificial intelligence developments.

The risks most specific to Network-1 Technologies

  • Risks Related to Our Business

    Our revenue is uncertain as it is dependent upon litigation outcomes involving our patents which we cannot predict

    Our revenue depends on unpredictable litigation outcomes involving our HFT Patent Portfolio and Cox Patent Portfolio.

  • Risks Related to Our Business

    We may not achieve successful outcomes of litigations involving our HFT Patent Portfolio or be able to monetize our M2M/IoT Patent Portfolio, which would have a material negative impact on our ability to achieve significant revenue and net income in the future

    We initiated patent litigations against Citadel Securities and Jump Trading on December 26, 2024, for our HFT Patent Portfolio.

  • Risks Related to Our Business

    The outcome of our substantial investment in ILiAD is uncertain

    We invested $7,000,000 in ILiAD, a clinical-stage biotechnology company developing an intranasal vaccine for pertussis.

  • Risks Related to Our Business

    We have been dependent upon our Remote Power Patent for a significant portion of our revenue in the past and we may not be able to generate future revenue from our other patents

    Our Remote Power Patent generated over $188,000,000 historically and represented 100% of our revenue in 2024, 2023, 2021, 2020, and 2019.

  • Risks Related to Our Business

    In the future we could be classified as a Personal Holding Company resulting in a 20% tax on our PHC Income that we do not distribute to our shareholders

    We risk classification as a Personal Holding Company, triggering a 20% tax on undistributed income.

  • Risks Related to Our Business

    We are dependent upon our CEO and Chairman

    Our success relies heavily on the personal efforts of CEO and Chairman Corey M. Horowitz.

  • Risks Related to Our Business

    Cash dividends may not be continued to be paid

    We have paid semi-annual cash dividends of $0.05 per share since December 2016 but may not continue them.

  • Risks Related to Our Business

    The increasing development of artificial intelligence could impact our business

    Rapid advancements in artificial intelligence and machine learning could disrupt our patent licensing and enforcement business model.

  • Risks Related to Our Business

    Investors may have limited influence on stockholder decisions because ownership of our common stock is concentrated

    Executive officers and directors own 31.9% of our common stock, limiting other investors' influence.

All 22 risk factors

Headings as the filing states them, in filing order.

Risks Related to Our Business

  1. 01Our revenue is uncertain as it is dependent upon litigation outcomes involving our patents which we cannot predict
  2. 02If we are unable to protect our patents, our business would be negatively impacted
  3. 03We may not achieve successful outcomes of litigations involving our HFT Patent Portfolio or be able to monetize our M2M/IoT Patent Portfolio, which would have a material negative impact on our ability to achieve significant revenue and net income in the future
  4. 04The outcome of our substantial investment in ILiAD is uncertain
  5. 05We have been dependent upon our Remote Power Patent for a significant portion of our revenue in the past and we may not be able to generate future revenue from our other patents
  6. 06We may not be able to capitalize in the future on our strategy to acquire high quality patents with significant licensing opportunities or enter into strategic relationships with third parties to license or otherwise monetize their intellectual property
  7. 07The patent monetization cycle is long, costly and unpredictable
  8. 08Our quarterly and annual operating and financial results, including our revenue, are difficult to predict and are likely to fluctuate significantly in future periods
  9. 09In the future we could be classified as a Personal Holding Company resulting in a 20% tax on our PHC Income that we do not distribute to our shareholders
  10. 10We are dependent upon our CEO and Chairman
  11. 11Cash dividends may not be continued to be paid
  12. 12Legislation, regulations, court rulings and actions by the USPTO have materially increased the risk and cost of enforcement of patents and may continue to do so in the future
  13. 13The increasing development of artificial intelligence could impact our business
  14. 14Changes in patent law could adversely impact our business
  15. 15Our pending patent infringement litigations are time consuming and costly
  16. 16We face intense competition to acquire intellectual property and enter into strategic relationships
  17. 17Our markets are subject to rapid technological change and our technologies face potential technology obsolescence
  18. 18The burdens of being a public company may adversely affect us including our ability to pursue litigation
  19. 19Investors may have limited influence on stockholder decisions because ownership of our common stock is concentrated
  20. 20Our common stock may be delisted from the NYSE American exchange if we fail to comply with continued listing standards
  21. 21Provisions in our corporate charter, by-laws and in Delaware law could make it more difficult for a third party to acquire us, discourage a takeover and adversely affect existing stockholders
  22. 22Our stock price may be volatile

Other Network-1 Technologies 10-Ks

  • FY2025 10-K risk factors
    22 risks7 reworded

    The company relies heavily on patent monetization and ongoing litigations against firms like Citadel and Samsung. Remote Power patent revenue reached $188 million total through 2025 before enforcement stopped.

    Filed Mar 13, 2026

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.