MAX SOUND CORPORATION The following plan of operation provides information which management believes is relevant to an assessment and understanding of our results of operations and financial condition. The discussion should be read along with our financial statements and notes thereto. This section includes a number of forward-looking statements that reflect our current views with respect to future events and financial performance. Forward-looking statements are often identified by words like believe, expect, estimate, anticipate, intend, project and similar expressions, or words which, by their nature, refer to future events. You should not place undue certainty on these forward-looking statements. These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from our predictions.
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Overview
MAXD "The Consumer Audio Brand"
MAX-D is the only audio brand proven over and over in CONSUMER TEST AFTER TEST
to be THE PREFERRED AUDIO CHOICE always chosen by RETAIL CUSTOMER BUYERS (YOU &
EVERYONE YOU KNOW). Think "The Pepsi Challenge" According to thousands of
participants, over the past several years "MAX-D just sounds better" than
whatever listening device was used. Bose, Beats, Sony headphones,
MAXD "The Secret Sauce"
The MAX-D Secret Sauce is an epic proprietary breakthrough and patented-process that uses advanced resynthesis to restore lost, compressed harmonics and bring true high definition (HD) live sound to digital media without affecting file size or energy consumption. Consumers have shown their love for MAX-D by previously downloading the MAX-D app from both app stores over a million times which occurred with an unprecedented zero marketing dollars campaign. A new Native App to all formats will be launched later in 2021 that will be greatly improved and is expected to generate significant revenue for MAX-D and its partners. Late summer and early fall of 2021 will feature the release of the cloud based player version of MAX-D onto high traffic web platforms in mainstream Music, TV, Movies, eSports and Online Gaming with many of the brands consumers already know, use and pay for.
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A MARKET FOR BETTER AUDIO
MAX-D HD requires no special software, no altering of file formats and does not change the files size. Consumers get the convenience, as well as better audio.
MAX-D BENEFITS:
· Increases dynamic range, eliminates destructive effects of audio
compression with no increase in file size or transmission bandwidth
· High-resolution audio reproduction with an omni-directional sound field
using only two speakers
· "Real" three-dimensional sound field, versus artificial sound field
created by competing technologies
· More realistic "live performance" quality of all recordings with optimal
dynamic range, bass response and overall clarity
ANYWHERE AUDIO CAN GO SO CAN MAX-D
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MOBILE - Communication | Voice - Data | EntertainmentENTERTAINMENT
- Music | Movies | Audiobooks | Streaming Content | Live Events MULTI-MEDIA
- Computing | Gaming | E-Sports CONSUMER -
Portable Audio Players | Live Concert Sound | Automotive
CONSUMERS WANT BETTER AUDIO
Consumers have unknowingly sacrificed better audio quality for portable convenience.
Throughout history, we have attempted to capture, enhance and reproduce audio. During past century almost every generation has used a different audio delivery system and player reproduce audio. Some advancements in "Audio" were superior and some were sub-par, most were more convenient but often had inferior quality.
The most commonly used digital audio file today is an MP3. The general population has sacrificed the audio quality for convenience.
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MAX-D DELIVERY & IMPLEMENTATION
The MAX-D process is the ONLY true dynamic process with the ability to deliver Pure HD Audio on existing hardware in real time. MAX-D consumers have the ability to "customize" their playback - as everyone wants to hear their audio differently.
The MAX-D process is available in four different versions, they are:
1. MAX-D Cloud Player 2. MAX-D Smart Phone App 3. API (Application Program Interface) 4. MAX-D Software Program
MAX-D Cloud Player - The MAX-D Cloud Player is a full featured version of the MAX-D Technology that can be implemented on any streaming service, or online platform in a very short amount of time, with very little coding or development required. This allows MAX-D partners to quickly adopt MAX-D HD Audio with no hassle.
MAX-D Smart Phone App - The MAX-D APP is used on a Smartphone with a least a 1 GHz processor. Android and iOS versions will be available in the very near future. The APP is a full-featured player with all the controls you would expect. Included are: genre settings for the consumer to choose the type of audio, a bypass for on/off functionality so the consumer can hear and feel the MAX-D difference and a harmonic tone control with three dynamic ranges for further customization.
API (Application Program Interface) - Devices (Original Equipment Manufacturer).
The API allows the OEM developers to design their own custom interface. NOTE:
The genre presets can be customized by
MAX-D Software Program -
MAX-D IS NOT JUST ABOUT AUDIO
MAX-D Partnerships -
The Movie Studio (OTTC - MVES) [[Image Removed: maxd_10qimg1.jpg]]
1. The Movie Studio is focused on the independent motion picture content sector
as a disruptor of the
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2. MAX-D will be implemented into The Movie Studio's platform and streaming services via the MAX-D Cloud Player and will provide HD audio for all of their content.
3.
Song Secure [[Image Removed: maxd_10qimg2.jpg]]
1. SongSecure is the first ever decentralized software platform designed to enable musicians and music producers with the ability to streamline the process of protecting their original content in the quickest, easiest, most secure, and most affordable way.
2. MAX-D will be implemented into Song Secures online platform and streaming services via the MAX-D Cloud Player and will provide HD audio for all of their content.
3. Trusted by thousands of musicians worldwide, securing over 50,000 songs which
included
ViBelt
1. ViBelt is the developer and owner of a patented HAPTIC FEEDBACK technology which provides users with vibrational and force feedback that responds to the media source. This brings users deeper into their media experience, providing a "4th Dimension" of sensory experience.
2. MAX-D will acquire these patents and bring them into their other deals such as ESTV, where haptic feedback in addition to HD Audio will bring the ULTIMATE content consumer experience.
Hende Moto [[Image Removed: maxd_10qimg3.jpg]]
After a final phase of due diligence completed on
Nonetheless, we established some presence in the relevant markets for the concept car that Max Sound was instrumental in creating. Max Sound has also sponsored Hende at the top 100 leaders in transportation event where the company was awarded for its innovative design. We intend to do a redesign including an upgraded audio solution for the supercar. The car will be a showcase for new technology that can be licensed to other manufacturers. We have no intention to be a manufacturer.
The resources to build this is expected to be available sometime in the first quarter. No further information can be provided at this time because we have yet to value in dollars and cents the investment of these projects or any future budgeting which will be refined and established in the first quarter 2022. Stay tuned.
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Formula 4 Protocol [[Image Removed: maxd_10qimg4.jpg]]
1. Formula 4 Protocol is an online life mastery and meditation course utilizing
an ultra-advanced hybrid of digital and analog stimuli, incorporating
cybernetics, the blended hypnosis principles of
2. MAX-D HD-Audio will be built into the Formula 4 Protocol Course material, offering audio that enhances the effects of their out of this world meditations.
Tip Solutions [[Image Removed: maxd_10qimg5.jpg]]
1. ABOUT TIP SOLUTIONS, INC. (TIP)
TIP Solutions is a transformative market innovator providing cutting edge applications now becoming accessible by Android Smartphone users worldwide. TIP is committed to change the way the world uses, manages and answers billions of mobile devices by providing unique phone functionality enabling rapid responses, improved productivity, with refined and effective communication, that match today's constantly accelerating technological advances.
2. Partnering with TIP opens MAX-D up to the worldwide smartphone market and deeper collaboration with Qualcomm through the development of the Snapdragon 800 Series Chip.
Plan of Operation
We began our operations on
The Company believes that Max Sound HD Audio Technology is a game changer for several vertical markets whose demand will create revenue opportunities in 2021.
On
The agreement also calls for a license fee split in the event the following occurs:
· If Licensor is TIP - 20% of total license revenue received by TIP will be
paid to Max Sound within 30 days of such receipts.
· If the Licensor is Max Sound and combined with TIP Solutions Smart Call
Assistant, 20% of total license revenue received by Max Sound will be paid
to TIP within 30 days.
On
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On
The agreement also calls for a license fee split in the event the following occurs:
· If Licensor is Formula 4 Protocol - 20% of total license revenue received
by Formula 4 Protocol will be paid to Max Sound within 30 days of such
receipts.
· If the Licensor is Max Sound and combined with Formula 4 Protocol, 20% of
total license revenue received by Max Sound will be paid to Formula 4
Protocol within 30 days.
On
We expect our financial requirements to increase with the additional expenses needed to market and promote the MAX-D HD Audio Technology. We plan to fund these additional expenses through financings and through loans from our stockholders and/or officers based on existing lines of credit and we are also considering various private funding opportunities until such time that our revenue stream is adequate enough to provide the necessary funds.
Inground Assets™
We previously discussed our development of the precious minerals and metals
database project in
Historical repositories dating back to 100 years that produce bulletins documenting the exploration of precious minerals and metals, and catalog harvested minerals including what is still available in each mapping. Each country's rarest available minerals can be included as well, eg. antimony, tantalite, silver, uranium, emeralds, copper, tungsten, beryllium, and more as well as Location Mapping that identify specific areas with which minerals are still available for harvesting. Generatable short reports on every mineral will be available in each specific areas, precise coordinates of all available rare metals and minerals, which includes thousands of recommended targeted dig areas. All Location Mapping areas where Microchipped Raw Materials are reviewable. All tributaries, rivers, and dams in a country are digitized for quick use and analysis, including digitized mapping of mountains, roadways, and deposits of many rare metals and waterways.
Ongoing Discussions with
On
Results of Operations
For the three months ended
Revenues: During the three months ended
General and Administrative Expenses: Our general and administrative expenses
were
Professional Fees: Our professional fees were
Compensation: Our compensation expenses were
Interest Expense: Interest expense decreased by
Interest Expense -
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Net Loss: The Company's net loss was
For the nine months ended
Revenues: During the nine months ended
General and Administrative Expenses: Our general and administrative expenses
were
Professional Fees: Our professional fees were
Compensation: Our compensation expenses were
Interest Expense: Interest expense increased by
Interest Expense -
Net Loss: The Company's net loss was
Liquidity and Capital Resources
Revenues for the nine months ended
Our financial statements have been presented on the basis that it is a going concern, which contemplates the realization of revenues from our subscriber base and the satisfaction of liabilities in the normal course of business. We have incurred losses from inception. These factors raise substantial doubt about our ability to continue as a going concern.
From our inception through
The convertible notes in the amount of
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Loans and Advances -
During the nine months ended
The line of credit balance and accrued interest as of
Recent Accounting Pronouncements
Changes to accounting principles are established by the FASB in the form of ASU's to the FASB's Codification. We consider the applicability and impact of all ASU's on our consolidated financial position, results of operations, stockholders' deficit, cash flows, or presentation thereof. Management has evaluated all recent accounting pronouncements as issued by the FASB in the form of Accounting Standards Updates ("ASU") through the date these financial statements were available to be issued and found no recent accounting pronouncements issued, but not yet effective accounting pronouncements, when adopted, will have a material impact on the financial statements of the Company.
In
In
In
All other newly issued accounting pronouncements but not yet effective have been deemed either immaterial or not applicable.
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Critical Accounting Policies and Estimates
Our financial statements and related public financial information are based on
the application of accounting principles generally accepted in
Use of Estimates:
In preparing financial statements in conformity with generally accepted accounting principles, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and revenues and expenses during the reported period. Actual results could differ from those estimates.
Revenue Recognition:
Effective
We had
Stock-Based Compensation:
In
Equity instruments ("instruments") issued to other than employees are recorded on the basis of the fair value of the instruments, as required by FASB Accounting Standards Codification No. 718. FASB Accounting Standards Codification No. 505, Equity Based Payments to Non-Employees defines the measurement date and recognition period for such instruments. In general, the measurement date is when either a (a) performance commitment, as defined, is reached or (b) the earlier of (i) the non-employee performance is complete or (ii) the instruments are vested. The measured value related to the instruments is recognized over a period based on the facts and circumstances of each particular grant as defined in the FASB Accounting Standards Codification.
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Derivative Financial Instruments:
Fair value accounting requires bifurcation of embedded derivative instruments such as conversion features in convertible debt or equity instruments, and measurement of their fair value for accounting purposes. In determining the appropriate fair value, the Company uses the Black-Scholes option-pricing model. In assessing the convertible debt instruments, management determines if the convertible debt host instrument is conventional convertible debt and further if there is a beneficial conversion feature requiring measurement. If the instrument is not considered conventional convertible debt, the Company will continue its evaluation process of these instruments as derivative financial instruments.
Once determined, derivative liabilities are adjusted to reflect fair value at each reporting period end, with any increase or decrease in the fair value being recorded in results of operations as an adjustment to fair value of derivatives. In addition, the fair value of freestanding derivative instruments such as warrants, are also valued using the Black-Scholes option-pricing model.
Impairment of Long-Lived Assets
The Company accounts for its long-lived assets in accordance with ASC Topic 360-10-05, Accounting for the Impairment or Disposal of Long-Lived Assets." ASC Topic 360-10-05 requires that long-lived assets, such as technology rights, be reviewed for impairment annually, or whenever events or changes in circumstances indicate that the historical cost carrying value of an asset may no longer be appropriate. The Company assesses recoverability of the carrying value of an asset by estimating the future net cash flows expected to result from the asset, including the eventual disposition. If the future net cash flows are less than the carrying value of an asset, an impairment loss is recorded equal to the difference between the asset's carrying value and fair value or disposable value.
Off-Balance Sheet Arrangements
We do not have any off-balance sheet arrangements, financings, or other relationships with unconsolidated entities or other persons, also known as "special purpose entities".
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