Balance Sheet Components

9 Months Ended

Sep. 30, 2021

5. Balance Sheet Components

Cash and cash equivalents

The Company’s cash and cash equivalents consist of the following (in thousands):


		September 30,			December 31,
	2021			2020
Cash	$		488	$		2,721
Cash equivalents:
Money market funds			5,640			14,638
Total cash and cash equivalents	$		6,128	$		17,359

Inventory

Inventory consists of the following (in thousands):


		September 30,			December 31,
	2021			2020
Finished goods	$		9,297	$		5,068
Component materials			5,663			5,133
Total inventory	$		14,960	$		10,201

Prepaid expenses and other current assets

Prepaid expenses and other current assets consist of the following (in thousands):


		September 30,			December 31,
	2021			2020
Prepaid expenses	$		1,794	$		1,794
Deferred offering cost			2,505			—
Prepaid insurance			271			122
Other current assets			170			363
Total prepaid expenses and other current assets	$		4,740	$		2,279

Property and equipment, net

Property and equipment, net consist of the following (in thousands):


			September 30,		December 31,
	Useful life (years)		2021		2020
Computers and software	2	$	730	$	653
Machinery and equipment	3		1,000		954
Furniture and fixtures	7		48		48
Tools and dies	2		941		936
Construction in progress	—		421		—
Equipment under customer usage agreements	3		9,282		7,918
Leasehold improvements	Lesser of useful life or lease term		155		155
			12,577		10,664
Less: accumulated depreciation and amortization			(8,786)		(7,784)
Property and equipment, net		$	3,791	$	2,880

Depreciation and amortization expense on property and equipment was $0.6 million and $0.5 million, for the three month periods ended September 30, 2021 and 2020, respectively and was $1.8 million and $1.3 million, for the nine month periods ended September 30, 2021 and 2020, respectively. Of this amount, $0.5 million, and $0.4 million, for the three month periods ended September 30, 2021 and 2020 and $1.6 million, and $1.1 million, for the nine month periods ended September 30, 2021 and 2020, respectively, was related to equipment under customer usage agreements recorded to cost of goods sold.

Intangible asset, net

Intangible asset, net consist of the following (in thousands):


			September 30,		December 31,
	Useful life (years)		2021		2020
Trademarks	6.5	$	3,969	$	3,969
Developed technology	10		30,819		30,819
Customer relationships	3		13,466		13,466
			48,254		48,254
Less: accumulated depreciation and amortization			(11,249)		(5,113)
Intangible asset, net		$	37,005	$	43,141

Amortization expense on intangible assets was $2.0 million for the three month periods ended September 30, 2021 and September 30, 2020. Amortization expense on intangible assets was $6.1 million and $3.1 million, for the nine month periods ended September 30, 2021 and September 30, 2020, respectively.

Future amortization expense of intangible assets as of September 30, 2021 is as follows (in thousands):


Year Ending September 30,
2021 (remaining three months)	$	2,045
2022		8,182
2023		5,376
2024		3,693
2025		3,693
Thereafter		14,016
Total	$	37,005

Accrued compensation

Accrued compensation consists of the following (in thousands):


		September 30,			December 31,
	2021			2020
Accrued vacation	$		1,379	$		1,184
Accrued bonuses			857			831
Accrued commissions			528			828
Other accrued personnel related expenses			95			46
Total accrued compensation	$		2,859	$		2,889

Accrued liabilities

Accrued liabilities consist of the following (in thousands):


		September 30,			December 31,
	2021			2020
Accrual for litigation	$		7,203	$		7,203
Accrued professional fees			1,460			824
Accrued sales and use taxes			612			754
Deferred rent			322			445
Accrual for inventory in transit			658			602
Contract liability			262			219
Others			860			157
Total accrued liabilities	$		11,377	$		10,204