Revenue

6 Months Ended

Jun. 30, 2024

Revenue from Contract with Customer [Abstract]

Revenue

Revenue

Disaggregation of Revenue

The Company disaggregates revenue from contracts with customers by geographic region, as the Company’s management believes it best depicts how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors.

The following tables present revenue disaggregated by geography of the customer’s shipping location for the three and six months ended June 30, 2024 and 2023:

	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
United States	$	10,131	$	12,175	$	18,820	$	24,605
Greater China	23,063		20,042		45,354		39,284
South Korea	2,938		7,416		7,551		9,592
Europe	9,133		8,696		18,386		12,494
Rest of North America	1,236		2,602		3,017		4,384
Rest of Asia Pacific	5,099		522		10,337		978
South America	755		655		1,243		1,223
Total	$	52,355	$	52,108	$	104,708	$	92,560

Contract Balances

Certain assets or liabilities are recorded depending on the timing of revenue recognition, billings and cash collections on a contract-by-contract basis. Contract liabilities primarily relate to deferred revenue, including advance consideration received from customers for contracts prior to the transfer of control to the customer, and therefore revenue is recognized upon delivery of products and services or as the services are performed.

The following table presents the assets and liabilities associated with the engineering services contracts recorded on the condensed consolidated balance sheet as of June 30, 2024 and December 31, 2023:

	Balance Sheet Classification	June 30, 2024		December 31, 2023
Unbilled revenue	Prepaid expenses and other current assets	$	7,942	$	8,506
Contract liabilities	Accrued expenses and other current liabilities	$	3,171	$	2,473

During the three months ended June 30, 2024 and 2023, the Company recognized $524 and $405, respectively, of revenue related to amounts that were previously included in deferred revenue at the beginning of the period. During the six months ended June 30, 2024 and 2023, the Company recognized $1,092 and $1,242, respectively, of revenue related to amounts that were previously included in deferred revenue at the beginning of the period. Deferred revenue fluctuates over time due to changes in the timing of payments received from customers and revenue recognized for services provided.

Revenue related to remaining performance obligations represents the amount of contracted development arrangements that has not been recognized, which includes deferred revenue on the condensed consolidated balance sheet and unbilled amounts that will be recognized as revenue in future periods. As of June 30, 2024, the amount of performance obligations that have not been recognized as revenue was $4,851, of which approximately 100% is expected to be recognized as revenue over the next twelve months. This amount excludes the value of remaining performance obligations for contracts with an original expected length of one year or less. Variable consideration that has been constrained is excluded from the amount of performance obligations that have not been recognized.

Concentrations

As identified below, one of our customers accounted for more than 10% of the Company’s total revenue for the three and six months ended June 30, 2023, and no customers accounted for more than 10% of the Company’s total revenue for the three and six months ended June 30, 2024:

	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Customer A	5.7	%	14.5	%	7.3	%	14.8	%

The loss of this customer would have a material impact on the Company’s condensed consolidated financial results.

One large customer represented 11% and 19% of accounts receivable as of June 30, 2024 and December 31, 2023, respectively. No other individual customer represented more than 10% of accounts receivable at either June 30, 2024 or December 31, 2023.