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Revenue and Segment Disclosure (Tables)
 6 Months Ended
Aug. 31, 2023
Segment Reporting [Abstract]  
Schedule of Segment Reporting Information, by Segment
The following table shows information by operating segment for the three and six months ended August 31, 2023 and August 31, 2022:
 For the Three Months Ended
CybersecurityIoTLicensing and OtherSegment Totals
August 31,August 31,August 31,August 31,
20232022202320222023202220232022
Segment revenue$79 $111 $49 $51 $4 $6 $132 $168 
Segment cost of sales36 50 8 9 2 2 46 61 
Segment gross margin (1)
$43 $61 $41 $42 $2 $4 $86 $107 
For the Six Months Ended
CybersecurityIoTLicensing and OtherSegment Totals
August 31,August 31,August 31,August 31,
20232022202320222023202220232022
Segment revenue$172 $224 $94 $102 $239 $10 $505 $336 
Segment cost of sales73 103 17 17 149 4 239 124 
Segment gross margin (1)
$99 $121 $77 $85 $90 $6 $266 $212 
______________________________
(1) A reconciliation of total segment gross margin to consolidated totals is set forth below.
Reconciliation of Operating Profit (Loss) from Segments to Consolidated
The following table reconciles total segment gross margin for the three and six months ended August 31, 2023 and August 31, 2022 to the Company’s consolidated totals:
 Three Months EndedSix Months Ended
August 31, 2023August 31, 2022August 31, 2023August 31, 2022
Total segment gross margin$86 $107 266 $212 
Adjustments (1):
Less: Stock compensation1 1 2 2 
Less:
Research & development50 54 104 107 
Selling, marketing and administration 73 86 172 168 
Amortization14 25 29 52 
Impairment of long-lived assets1 4 1 4 
Gain on sale of property, plant and equipment, net— (6)— (6)
Debentures fair value adjustment(6)(10)16 (56)
Litigation settlement— — — 165 
Investment income (loss), net(7)2 (10)3 
Consolidated loss before income taxes$(40)$(49)$(48)$(227)
______________________________
(1) The CODM reviews segment information on an adjusted basis, which excludes certain amounts as described below:
Stock compensation expenses - Equity compensation is a non-cash expense and does not impact the ongoing operating decisions taken by the Company’s management.
Revenue from External Customers by Geographic Areas
The Company’s revenue, classified by major geographic region in which the Company’s customers are located, was as follows:
 Three Months EndedSix Months Ended
 August 31, 2023August 31, 2022August 31, 2023August 31, 2022
North America (1)
$72 $85 $389 $174 
Europe, Middle East and Africa39 61 76 121 
Other regions21 22 40 41 
Total $132 $168 $505 $336 
North America (1)
54.5 %50.6 %77.0 %51.8 %
Europe, Middle East and Africa29.6 %36.3 %15.1 %36.0 %
Other regions15.9 %13.1 %7.9 %12.2 %
Total 100.0 %100.0 %100.0 %100.0 %
______________________________
(1) North America includes all revenue from the Company’s intellectual property arrangements, due to the global applicability of the patent portfolio and licensing arrangements thereof.
Revenue Classified by Timing of Recognition Revenue, classified by timing of recognition, was as follows:
 Three Months Ended Six Months Ended
August 31, 2023August 31, 2022August 31, 2023August 31, 2022
Products and services transferred over time$79 $95 $165 $193 
Products and services transferred at a point in time53 73 340 143 
Total$132 $168 $505 $336 
Revenue Contract Balances
The following table sets forth the activity in the Company’s revenue contract balances for the six months ended August 31, 2023:
Accounts and Other ReceivableDeferred RevenueDeferred Commissions
Opening balance as at February 28, 2023$120 $215 $17 
Increases due to invoicing of new or existing contracts, associated contract acquisition costs, or other530 250 14 
Decrease due to payment, fulfillment of performance obligations, or other(469)(270)(13)
Increase (decrease), net61 (20)1 
Closing balance as at August 31, 2023$181 $195 $18 
Transaction Price Allocated to the Remaining Performance Obligation
The table below discloses the aggregate amount of the transaction price allocated to performance obligations that are unsatisfied or partially unsatisfied as at August 31, 2023 and the time frame in which the Company expects to recognize this revenue. The disclosure includes estimates of variable consideration, except when the variable consideration is a sales-based or usage-based royalty promised in exchange for a license of intellectual property.
The disclosure excludes estimates of variable consideration relating to future royalty revenues from the patent sale to Malikie, which have been constrained based on the Company’s accounting policies and critical accounting estimates as described in Note 1 and under “Patent Sale” in this Note 10.
As at August 31, 2023
Less than 12 Months12 to 24 MonthsThereafterTotal
Remaining performance obligations$174 $9 $12 $195 
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas
Property, plant and equipment, intangible assets, operating lease ROU assets and goodwill, classified by geographic region in which the Company’s assets are located, were as follows:
 As at
 August 31, 2023February 28, 2023
Property, Plant and Equipment, Intangible Assets, Operating Lease ROU Assets and GoodwillTotal AssetsProperty, Plant and Equipment, Intangible Assets, Operating Lease ROU Assets and GoodwillTotal Assets
Canada$92 $296 $98 $375 
United States724 1,217 742 1,208 
Other27 100 27 96 
$843 $1,613 $867 $1,679