Support.com 2008 Annual Report Download - page 26

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Table of Contents
• Loss of or delay in revenue and loss of market share;
• Loss of customers;
• Failure to achieve market acceptance;
• Contractual penalties, demands, claims and litigation and related defense costs;
• Increased service and warranty costs; and
• Increased insurance costs.
In our Consumer offerings, we generally use our own products to diagnose and resolve consumer technology problems. If our products fail to perform well
in this environment, our Consumer offerings would suffer and may not be successful.
Our software may not operate with the hardware and software platforms that are used by our customers now or in the future, and, as a result, our
business and operating results may suffer.
We currently serve a customer base with a wide variety of constantly changing hardware, software and networking platforms. If we fail to release versions
of our software that are compatible with operating systems, software applications or hardware devices used by our customers or their end-users, our business and
operating results would suffer. Our future success also depends on the continuing ability of our products to inter-operate with multiple platforms and packaged
applications used by our customer base and on our management of software being developed by third parties for our customers or for use with our products.
We rely on third-party technologies and our inability to use or integrate third-party technologies could delay product or service development.
We intend to continue to license technologies from third parties, including applications used in our research and development activities and technologies,
which are integrated into our products and services. Our use of technologies licensed from third parties poses certain risks. Some of the third-party technologies
we license may be provided under “open source” licenses, which may have terms that require us to make generally available our modifications or derivative
works based on such open source code. Our inability to obtain or integrate third-party technologies with our own products could delay product and service
development until equivalent compatible technology can be identified, licensed and integrated. These third-party technologies may not continue to be available to
us on commercially reasonable terms or at all. We may fail to successfully integrate any licensed technology into our products or services, which would harm our
business and operating results. Third-party licenses also expose us to increased risks that include:
• Risks of product malfunction after new technology is integrated;
• Risks that we may be unable to obtain or continue to obtain support, maintenance and updates from the technology supplier;
• The diversion of resources from the development of our own proprietary technology; and
• Our inability to generate revenue from new technology sufficient to offset associated acquisition and maintenance costs.
Our systems collect, access, use, and store personal customer information and enable customer transactions, which poses security risks, requires us to
invest significant resources to prevent or correct problems caused by security breaches, and may harm our business.
A fundamental requirement for online communications, transactions and support is the secure collection, storage and transmission of confidential
information. Our systems collect and store confidential and/or personal
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Source: SUPPORTSOFT INC, 10-K, March 11, 2009