Tucows 2015 Annual Report Download - page 56

Ting’s Network Operators’ failure to obtain the proper licenses and governmental approvals from regulatory
authorities would cause Ting to be unable to successfully operate its business.
The FCC licenses currently held by our Network Operators and their third-party affiliates to provide wireless
services are subject to renewal and revocation. There is no guarantee that their wireless licenses will be renewed. The FCC
requires all wireless licensees to meet certain requirements, including so-called “build-out” requirements, to retain their
licenses. Their failure to comply with certain FCC requirements in a given license area could result in the revocation of
their wireless license for that geographic area.
Government regulation could adversely affect Ting’s prospects and results of operations; the FCC and state regulatory
commissions may adopt new regulations or take other actions that could adversely affect its business prospects, future
growth or results of operations.
The FCC and other federal, state and local, as well as international, governmental authorities have jurisdiction
over our business and could adopt regulations or take other actions that would adversely affect our business prospects or
results of operations.
The licensing, construction, operation, sale and interconnection arrangements of wireless telecommunications
systems are regulated by the FCC and, depending on the jurisdiction, international, state and local regulatory agencies. In
particular, the FCC imposes significant regulation on licensees of wireless spectrum with respect to how radio spectrum is
used by licensees, the nature of the services that licensees may offer and how the services may be offered, and resolution of
issues of interference between spectrum bands.
The FCC grants wireless licenses for terms of generally ten years that are subject to renewal and revocation.
There is no guarantee that our Network Operators’ licenses will be renewed. Failure to comply with FCC requirements
applicable to a given license could result in revocation of that license and, depending on the nature of the non-compliance,
other licenses.
Various states are considering regulations over terms and conditions of service, including certain billing practices
and consumer-related issues that may not be pre-empted by federal law. If imposed, these regulations could make it more
difficult and expensive to implement national sales and marketing programs and could increase the costs of our wireless
operations.
Risks Related to our Stock
Our share price is volatile, which may make it difficult for shareholders to sell their shares of common stock when they
want to, at an attractive price.
Our share price has varied recently and the price of our common stock may decrease in the future, regardless of
our operating performance. Investors may be unable to resell their common stock following periods of volatility because of
the market’s adverse reaction to this volatility.
The following factors may contribute to this volatility:
• actual or anticipated variations in our quarterly operating results;
• interruptions in our services;
• seasonality of the markets and businesses of our customers;
• announcements of new technologies or new services by our company or our competitors;
• our ability to accurately select appropriate business models and strategies;
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