The Schall Law Firm Announces Class Action Lawsuit Against SoundHound AI, Inc.
Los Angeles, CA – April 14, 2025
The Schall Law Firm, a renowned national shareholder rights litigation firm, alerts the public about a potential class action lawsuit against SoundHound AI, Inc. (“SoundHound” or “the Company”) (NASDAQ: SOUN) for alleged securities law violations. The lawsuit comes after an investigation into the Company’s business practices during the period from May 10, 2024, to March 3, 2025 (the “Class Period”).
Background on the Class Action Lawsuit
SoundHound is a leading innovator in voice-enabled AI technology, creating products that use deep learning neural networks and artificial intelligence to deliver a more intuitive user experience. The Company’s flagship product, Hound, is a voice-activated personal assistant that competes with other popular AI assistants such as Apple’s Siri, Amazon’s Alexa, and Google Assistant.
The securities class action lawsuit alleges that SoundHound and certain of its executives violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder. The complaint asserts that during the Class Period, the defendants made materially false and misleading statements regarding the Company’s financial condition and business prospects.
Impact on Individual Investors
If you are an investor who purchased SoundHound securities during the Class Period, you may be entitled to join this class action lawsuit to recover your losses. The Schall Law Firm encourages you to contact its office before May 27, 2025, to discuss your rights as an investor and potential remedies.
Global Consequences of the Lawsuit
The outcome of this class action lawsuit could have far-reaching implications for the entire technology sector, particularly for companies specializing in AI and voice recognition technology. A successful lawsuit could lead to increased scrutiny and regulation of these companies, potentially impacting their financial performance and investor confidence.
- Increased regulatory oversight: The lawsuit could result in increased scrutiny and regulation of AI and voice recognition technology companies, potentially leading to additional compliance costs and stricter reporting requirements.
- Impact on investor confidence: A successful lawsuit could negatively impact investor confidence in the technology sector, potentially leading to decreased stock prices and reduced investment in AI and voice recognition technology companies.
- Possible ripple effects: The lawsuit could have ripple effects on other companies in the technology sector, particularly those that rely on AI and voice recognition technology in their products or services.
Conclusion
The Schall Law Firm’s announcement of a potential class action lawsuit against SoundHound AI, Inc. highlights the importance of transparency and honesty in corporate reporting. The lawsuit could have significant consequences for individual investors and the technology sector as a whole. If you are an investor who purchased SoundHound securities during the Class Period, contact The Schall Law Firm to discuss your rights and potential remedies.
As the technology sector continues to evolve, it is crucial for companies to maintain transparency and provide accurate information to investors. Failure to do so could result in costly litigation and negative consequences for the entire industry. Stay informed and protect your investments by staying up-to-date on the latest developments in the technology sector and consulting with reputable legal firms like The Schall Law Firm.
