INTANGIBLE ASSETS, NET

12 Months Ended

Dec. 31, 2023

Goodwill and Intangible Assets Disclosure [Abstract]


Table 8.1: Details of Intangible Assets, Net
	Estimated useful life	As of December 31, 2023						As of December 31, 2022
		Gross Carrying Amount		Accumulated Amortization		Net Carrying Value		Gross Carrying Amount		Accumulated Amortization		Net Carrying Value

		(in thousands)
Acquired technology	8 years	$	3,630	$	(1,097)	$	2,533	$	3,630	$	(643)	$	2,987
Customer relationships	3 years	40		(32)		8		40		(19)		21
Software development costs	2 - 5 years	35,312		(12,256)		23,056		26,956		(7,793)		19,163
Subtotal		38,982		(13,385)		25,597		30,626		(8,455)		22,171
In-process software development costs (1) (2)		14,019		—		14,019		8,124		—		8,124
Software held for resale (3)		—		—		—		7,120		—		7,120
Total		$	53,001	$	(13,385)	$	39,616	$	45,870	$	(8,455)	$	37,415


(1) In-process software development costs are costs for software that is not yet available for its intended use or general release to customers as of balance sheet date, thus not yet amortized.
(2) An impairment charge of $0.5 million was recorded against software development costs in fiscal year 2023 related to the write-off of certain software projects.
(3) This amount is net of $0.7 million charged into cost of sales in fiscal year 2022.

In 2023, as a result of the impairment assessment, the Company identified conditions demonstrating impairment of certain software development costs and an impairment charge of $0.5 million was recorded under "Research and Development" expenses in the Company's consolidated statements of operations. No similar impairment charge was recorded on software development costs during the fiscal year ended December 31, 2022.

The Company did not recognize any impairment charges on other intangible assets for the periods presented.


Table 8.2: Amortization Expense
	For the year ended December 31,
	2023		2022

	(in thousands)
Amortization expense related to:
Software development costs - cost of sales (1)	$	2,840	$	—
Software development costs - research and development	1,623		1,362
Other intangible assets - general and administrative	467		401
Total	$	4,930	$	1,763

(1) Amortization expense for software development costs related to assets to be sold, leased, or otherwise marketed are charged under cost of sales on the Consolidated Statements of Operations.


Table 8.3: Estimated Future Amortization Expense of Intangible Assets, Net
	As of December 31, 2023
	(in thousands)
Year Ending December 31, 2024	$	8,037
Year Ending December 31, 2025	7,270
Year Ending December 31, 2026	4,864
Year Ending December 31, 2027	3,520
Year Ending December 31, 2028	1,642
Thereafter	264
Total (1)	$	25,597

(1) This does not include amortization of in-process software development costs, as estimation of the timing of future amortization expenses would be impractical.

Actual amortization expense in future periods could differ from these estimates as a result of impairments, future releases, future acquisitions, divestitures, and other factors.