Investors Encouraged to Reach Out for SoundHound AI Class Action Participation

Attention SoundHound AI, Inc. Shareholders

Investors of SoundHound AI, Inc. (NASDAQ: SOUN) who faced financial losses should take immediate action and reach out to The Gross Law Firm for potential participation in a class action lawsuit. This lawsuit arises from allegations that the company misled investors through false statements concerning their financial conditions and control processes during the specified class period from May 10, 2024, to March 3, 2025.

Background of the Case

The Gross Law Firm's notice highlights significant concerns around SoundHound's internal controls over financial reporting. According to the claims, SoundHound did not accurately disclose the weaknesses in its financial management, particularly regarding acquisitions, leading to inflated goodwill values reported after their acquisition of Amelia and SYNQ3. These misrepresentations have raised red flags about the company's compliance with SEC regulations and the overall integrity of its financial reporting.

Key Allegations

The key points of the complaint detail several critical failures by SoundHound:
1. Internal Control Weaknesses: SoundHound allegedly issued materially false or misleading statements while failing to disclose significant weaknesses in its internal controls related to financial reporting. This had serious implications for their ability to accurately account for corporate acquisitions.
2. Overstated Remediation Efforts: They purportedly overstated their ability to remediate these weaknesses, which has put further doubt on their financial reliability.
3. Impact on Goodwill Valuation: Due to the aforementioned weaknesses, the reported goodwill from their acquisition of Amelia was believed to be inflated and required adjustment.
4. Financial Reporting Risks: There was an increased risk of delayed filings for financial reports with the SEC due to these inaccuracies.

These misstatements and omissions created an artificially inflated perception of SoundHound's financial health, misleading many investors.

Call to Action for Investors

Those who purchased shares during the class period are encouraged to contact The Gross Law Firm via their online submission form. Registering as a plaintiff does not obligate you to any fees, and participating could lead to recovery if the class action results in a favorable outcome. The deadline to express interest in becoming a lead plaintiff is set for May 27, 2025.

Next Steps for Interested Shareholders

By registering, interested shareholders will also be enrolled in a portfolio monitoring system that provides consistent updates throughout the legal process. The Gross Law Firm emphasizes that participation in this action is at no financial obligation to the investors, allowing them to seek restitution without monetary commitments.

Trust in Experienced Legal Representation

The Gross Law Firm prides itself on being one of the leading class-action law firms nationwide, focusing on protecting investor rights against fraudulent corporate practices. They emphasize their commitment to holding companies accountable for their misleading behavior and ensuring that investors can pursue justice for their losses.

If you are a shareholder of SoundHound AI, Inc. and believe you have been affected by these allegations, we strongly advise you to take this opportunity to consult with The Gross Law Firm. Your swift action could significantly impact the resolution of this case and your potential recovery.

For more information and to register your interest, please visit The Gross Law Firm's registration page.

Stay informed and protect your investments with legal expertise that stands for transparency and accountability.