Property, Equipment, Network Under Construction, and Intangible Assets

12 Months Ended

Dec. 31, 2023

Property, Equipment, Network Under Construction, and Intangible Assets

Property, Equipment, Network Under Construction, and Intangible Assets

4. Property, Equipment, Network Under Construction, and Intangible Assets

Property and equipment and network under construction consisted of the following:

	Year Ended December 31,
	2023			2022
	(in thousands)
Network under construction	$	1,676		$	3,574
TerraPoiNT network		21,047			16,961
Office equipment, furniture, and leasehold improvements		1,981			1,609
Pinnacle network		6,581			6,581
Accumulated depreciation		(9,724	)		(5,971	)
Property and equipment, net	$	21,561		$	22,754

Depreciation expense on property and equipment was $3.8 million and $3.3 million for the years ended December 31, 2023 and 2022, respectively.

Network under construction consisted of a tower and rooftop network of beacons with total balances of $1.7 million and $3.6 million as of December 31, 2023 and 2022, respectively. There was no depreciation expense on network under construction in 2023 or 2022. No impairment was recorded for the years ended December 31, 2023 or 2022.

Intangible assets as of December 31, 2023 consisted of the following (in thousands): 

	Gross Amount		Accumulated Amortization		Net Carrying Value
Indefinite-Lived intangible assets	$	3,467	$	—	$	3,467
Acquired Software		7,217		2,050		5,167
Acquired Technology		599		58		541
Internal Use Software		2,634		1,184		1,450
	$	13,917	$	3,292	$	10,625

The weighted average remaining useful lives of acquired software and acquired technology were 10.8 years as of December 31, 2023.

Intangible assets as of December 31, 2022 consisted of the following (in thousands): 

	Gross Amount		Accumulated Amortization		Net Carrying Value
Indefinite-Lived intangible assets	$	3,467	$	—	$	3,467
Acquired Software		6,999		1,561		5,438
Acquired Technology		580		8		572
Internal Use Software		1,560		640		920
	$	12,606	$	2,209	$	10,397

The weighted average remaining useful lives of acquired software and acquired technology were 11.9 years as of December 31, 2022.

Amortization expense on intangible assets was $1.1 million and $0.4 million for the years ended December 31, 2023 and 2022, respectively. Future amortization is expected as follows: 

2024	$	1,120
2025		1,058
2026		873
2027		525
2028 and thereafter		3,582
	$	7,158