SoundHound Investors May Lead Class Action Lawsuit on Securities Fraud

SoundHound AI Investors: Class Action Opportunity

Investors who purchased shares of SoundHound AI, Inc. (listed as NASDAQ: SOUN, SOUNW) between May 10, 2024, and March 3, 2025, have a significant opportunity to take part in a class action lawsuit regarding alleged securities fraud. The Rosen Law Firm, a respected global advocate for investor rights, has issued a reminder about an important lead plaintiff deadline on May 27, 2025.

The Class Action Details

If you acquired SoundHound securities within the specified timeframe, you may qualify for potential compensation with no out-of-pocket costs due to the firm's contingency fee arrangement. Those wishing to be involved in this class action can find more information or join through Rosen Law Firm’s dedicated link here or by contacting Phillip Kim, Esq. at 866-767-3653.

It's important to note that a class action lawsuit has already been initiated, and interested parties must act swiftly if they aspire to take on the role of lead plaintiff. This position carries responsibility for steering the litigation on behalf of others in the class.

Encouragement to Choose Qualified Counsel

Rosen Law Firm urges potential claimants to choose legal representation judiciously. Many firms may lack the necessary resources, recognition, or experience in securities litigation, instead opting to serve as intermediaries connecting clients with capable legal counsel. The Rosen Law Firm emphasizes its prowess in this arena, having successfully represented investors globally with a history of substantial settlements.

In previous years, the firm has consistently ranked among the top securities class action firms, achieving the largest ever settlement against a Chinese entity and recovering hundreds of millions for investors.

Allegations Against SoundHound

The lawsuit alleges that the defendants made numerous false claims and failed to reveal material weaknesses in SoundHound’s internal controls over financial reporting. This was purportedly shown through the following points:
1. SoundHound inadequately managed its corporate acquisitions due to poor internal controls.
2. The company overstated its abilities to remedy these issues.
3. Consequently, the reported goodwill following its acquisition of Amelia was inflated.
4. This inflation suggested SoundHound would require additional resources and time to address its financial reporting adequately.
5. There was a heightened risk that financial reports filed with the SEC would be delayed.

As these details came to light, investors reportedly faced significant losses. Rosen Law Firm is committed to ensuring that the rights and interests of affected investors are protected.

Important Reminders for Investors

Until the court officially certifies the class, no investor is represented unless they secure their own counsel or actively engage in the case. Investors can either opt to join the class action actively or remain non-participating members without any immediate action.

Investors should follow developments and announcements about the case through Rosen Law Firm's channels on LinkedIn, Twitter, and Facebook.

In conclusion, those who believe they were misled during their investment in SoundHound AI now have an important opportunity to seek justice. Given the deadlines and complexities of securities fraud cases, acting decisively and with informed counsel is imperative for maximizing potential outcomes.