Segment

12 Months Ended

Dec. 31, 2023

Segment

Segment

21. Segments

Our chief operating decision maker (who is our Chief Executive Officer) reviews our financial information presented on an operating segment basis for purposes of allocating resources and evaluating our financial performance. Following the merger with NetSapiens, Inc., the Company reorganized into two operating segments, a software solutions operating segment and a cloud telecommunications services operating segment. The cloud telecommunications services segment generates revenue from selling cloud telecommunication services, products, and other internet services. The software solutions segment generates revenue from selling perpetual software licenses and software subscriptions, subscription maintenance and support, and professional services. The Company has two reportable operating segments, which consist of cloud telecommunications services and software solutions. Segment revenue, income/(loss) from operations, other income/(expense) and income/(loss) before income tax provision are as follows (in thousands):

	Year Ended December 31,
	2023			2022
Revenue:
Cloud telecommunications service	$	35,152		$	22,406
Software solutions		18,047			15,148
Consolidated revenue		53,199			37,554
Loss from operations:
Cloud telecommunications services		(1,483	)		(3,877	)
Software solutions		(206	)		(33,515	)
Total operating loss		(1,689	)		(37,392	)
Other income/(expense), net:
Cloud telecommunications services		1,359			(71	)
Software solutions		66			1,288
Total other income/(expense), net		1,425			1,217
Loss before income tax benefit/(provision):
Cloud telecommunications services		(124	)		(3,948	)
Software solutions		(140	)		(32,227	)
Loss before income tax benefit/(provision):	$	(264	)	$	(36,175	)

Depreciation and amortization was $1,553 and $712 for the Cloud telecommunications services segment for the years ended December 31, 2023 and 2022, respectively. Depreciation and amortization was $2,020 and $2,035 for the Software solutions segment for the years ended December 31, 2023 and 2022, respectively.

Interest income was $2 and $0 for the cloud telecommunications services segment for the years ended December 31, 2023 and 2022, respectively. Interest income was $0 and $0 for the software solutions segment for the years ended December 31, 2023 and 2022, respectively.  

Interest expense was $115 and $77 for the cloud telecommunications services segment for the years ended December 31, 2023 and 2022, respectively. Interest expense was $0 and $1 for the software solutions segment for the years ended December 31, 2023 and 2022, respectively.

Goodwill impairment was $0 and $32,609 for the software solutions segment for the years ended December 31, 2023 and 2022, respectively.

The Company operates in two geographic areas, the United States and international. Revenue by geography is based on the location of the customer from which the revenue is earned. Revenue by geographic location is as follows (in thousands):

	Year Ended
	2023		2022
United States	$	50,662	$	36,095
International		2,537		1,459
Total revenue	$	53,199	$	37,554