COMTECH TELECOMMUNICATIONS CORP /DE/

Our business is highly competitive and characterized by rapid technological change. Some of our competitors are substantially larger, have significantly greater financial, marketing, research and development, technological and operating resources and broader product lines than we have. Other companies are developing new technologies and the shift towards open standards will likely result in increased competition. A significant technological breakthrough by others, including new companies, our existing competitors and our customers, could have a material adverse effect on our business. Our future success depends on, among other things, our ability to keep pace with such changes and developments and to respond to the increasing variety of electronic equipment users and transmission technologies.

Some of our customers have subsidiaries or divisions that compete against us. In addition, new and potential competitors are always emerging. Certain of our customers, who currently outsource their engineering and integration requirements to us, have technological capabilities in our product areas and could choose to replace our solutions with solutions they develop. In some cases, we partner or team with companies (both large and mid-tier) to compete against other teams for large programs. In some cases, these same companies may be among our competitors.

Allerium competes across multiple public safety and mobile network technology markets, including Next Generation 9-1-1 infrastructure, emergency communications software, cloud-native call handling, location technologies, messaging platforms and related cybersecurity solutions. Competition varies by product and geographic market and includes the following companies, among others:

AT&T Inc., Atos, Axon Enterprise, Inc., Bandwidth.com, Carbyne (acquired by Axon), Central Square Technologies, DataMark (Digital Data Technologies/DDTI), 8x8, Inc., Everbridge, Inc. (acquired by Thoma Bravo), Frequentis GeoComm, Immersive Labs, INdigital (acquired by Novacap), Intersec, Intrado Life & Safety, Inc., Invictus Apps, Inc. d/b/a PREPARED (acquired by Axon), LM Ericsson, Lumen Technologies, Inc. (formerly, CenturyLink, Inc.), Mavenir, Mobilaris AB, Mobile Arts AB, Motorola Solutions, Inc., NGA911, NextNav, Inc., Nokia Networks (a subsidiary of Nokia Corporation), Octave Intelligence Limited (formerly, Hexagon AB), Polaris Wireless, RapidDeploy Inc. (acquired by Motorola Solutions), RapidSOS, Sinch AB (Inteliquent), Synergem Technologies, SS8, TomTom N.V., Versaterm Public Safety Inc., WestTel and Zetron.

We believe that competition is based primarily on technology innovation, product performance, reputation, delivery times, customer support and price. Due to our proprietary know-how, we believe we can develop, produce and deliver solutions on a cost-effective basis faster than many of our competitors.