CS DISCO, INC., 10-K filed on 2/20/2025
Annual Report
v3.25.0.1
Cover - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2024
Feb. 15, 2025
Jun. 30, 2024
Cover [Abstract]      
Document Type 10-K    
Document Annual Report true    
Document Period End Date Dec. 31, 2024    
Current Fiscal Year End Date --12-31    
Document Transition Report false    
Entity File Number 001-40624    
Entity Registrant Name CS Disco, Inc.    
Entity Incorporation, State or Country Code DE    
Entity Tax Identification Number 46-4254444    
Entity Address, Address Line One 111 Congress Ave.    
Entity Address, Address Line Two Suite 900    
Entity Address, City or Town Austin    
Entity Address, State or Province TX    
Entity Address, Postal Zip Code 78701    
City Area Code 833    
Local Phone Number 653-4726    
Title of 12(b) Security Common Stock, par value $0.005    
Trading Symbol LAW    
Security Exchange Name NYSE    
Entity Well-known Seasoned Issuer No    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Interactive Data Current Yes    
Entity Filer Category Accelerated Filer    
Entity Small Business true    
Entity Emerging Growth Company true    
Entity Ex Transition Period true    
ICFR Auditor Attestation Flag false    
Document Financial Statement Error Correction [Flag] false    
Entity Shell Company false    
Entity Public Float     $ 165.7
Entity Common Stock, Shares Outstanding   60,383,445  
Documents Incorporated by Reference
Portions of the registrant’s definitive Proxy Statement for the 2025 Annual Meeting of Stockholders are incorporated herein by reference in Part III of this Annual Report on Form 10-K to the extent stated herein. Such Proxy Statement will be filed with the Securities and Exchange Commission within 120 days of the registrant’s fiscal year ended December 31, 2024.
    
Amendment Flag false    
Document Fiscal Year Focus 2024    
Document Fiscal Period Focus FY    
Entity Central Index Key 0001625641    
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Audit Information
 12 Months Ended
Dec. 31, 2024
Auditor Information [Abstract]  
Auditor Firm ID 42
Auditor Name Ernst & Young, LLP
Auditor Location Austin, Texas
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Consolidated Balance Sheets - USD ($)
Dec. 31, 2024
Dec. 31, 2023
Current assets:    
Cash and cash equivalents $ 52,771,000 $ 159,551,000
Short-term investments 76,356,000 0
Accounts receivable, net 23,117,000 26,993,000
Prepaid expenses and other current assets 4,692,000 5,795,000
Total current assets 156,936,000 192,339,000
Property and equipment, net 7,878,000 9,663,000
Operating lease right-of-use assets 8,388,000 8,143,000
Primary law intangible asset, net 0 14,000,000
Other intangible assets, net 400,000 681,000
Goodwill 5,898,000 5,898,000
Other assets 820,000 823,000
Total assets 180,320,000 231,547,000
Current liabilities:    
Accounts payable 3,994,000 5,234,000
Accrued expenses 5,947,000 5,502,000
Accrued salary and benefits 9,127,000 6,230,000
Deferred revenue 4,296,000 4,285,000
Operating leases 2,288,000 1,826,000
Finance leases 42,000 41,000
Total current liabilities 25,694,000 23,118,000
Operating leases, non-current 6,855,000 7,136,000
Finance leases, non-current 116,000 158,000
Other liabilities 141,000 800,000
Total liabilities 32,806,000 31,212,000
Commitments and contingencies (Note 8)
Stockholders’ equity    
Preferred stock $0.005 par value, 100,000 shares authorized and no shares issued and outstanding as of December 31, 2024 and 2023 0 0
Common stock $0.005 par value, 1,000,000 shares authorized as of December 31, 2024 and 2023; 60,329 and 61,010 shares issued and outstanding as of December 31, 2024 and 2023, respectively 302,000 306,000
Additional paid-in capital 444,601,000 440,408,000
Accumulated other comprehensive income 41,000 0
Accumulated deficit (297,430,000) (240,379,000)
Total stockholders’ equity 147,514,000 200,335,000
Total liabilities and stockholders’ equity $ 180,320,000 $ 231,547,000
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Consolidated Balance Sheets (Parenthetical) - $ / shares
Dec. 31, 2024
Dec. 31, 2023
Statement of Financial Position [Abstract]    
Preferred stock, par value (in usd per share) $ 0.005 $ 0.005
Preferred stock, authorized (in shares) 100,000,000 100,000,000
Preferred stock, issued (in shares) 0 0
Preferred stock, outstanding (in shares) 0 0
Common stock, par value (in usd per share) $ 0.005 $ 0.005
Common stock, authorized (in shares) 1,000,000,000 1,000,000,000
Common stock, issued (in shares) 60,329,000 61,010,000
Common stock, outstanding (in shares) 60,329,000 61,010,000
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Consolidated Statements of Operations and Comprehensive Loss - USD ($)
shares in Thousands, $ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Income Statement [Abstract]    
Revenue $ 144,841 $ 138,090
Cost of revenue 37,414 34,948
Gross profit 107,427 103,142
Operating expenses:    
Research and development 51,511 51,623
Sales and marketing 61,377 68,132
General and administrative 41,049 33,232
Impairment of intangible asset and capitalized development 15,213 0
Total operating expenses 169,150 152,987
Loss from operations (61,723) (49,845)
Other income (expense)    
Interest and other income 6,837 8,306
Interest and other expense (556) (168)
Loss from operations before income taxes (55,442) (41,707)
Income tax provision (332) (443)
Net loss attributable to common stockholders (55,774) (42,150)
Unrealized gain on investments 41 0
Comprehensive loss $ (55,733) $ (42,150)
Net loss per share attributable to common stockholders, basic (in dollars per share) $ (0.93) $ (0.70)
Net loss per share attributable to common stockholders, diluted (in dollars per share) $ (0.93) $ (0.70)
Weighted-average shares used in computing net loss per share attributable to common shareholders, basic (in shares) 60,212 60,139
Weighted-average shares used in computing net loss per share attributable to common shareholders, diluted (in shares) 60,212 60,139
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Consolidated Statements of Changes in Stockholders’ Equity - USD ($)
shares in Thousands, $ in Thousands
Total
Common stock
Additional
paid-in
capital
Accumulated other comprehensive income
Accumulated
deficit
Stockholders' equity at beginning of period (in shares) at Dec. 31, 2022   59,190      
Stockholder's equity at beginning of period at Dec. 31, 2022 $ 223,636 $ 296 $ 421,569 $ 0 $ (198,229)
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Exercise of stock options (in shares) 312 312      
Exercise of stock options $ 543 $ 2 541    
Repurchase of common stock related to net share settlement (in shares)   (11)      
Repurchase of common stock related to net share settlement (89)   (89)    
Vesting of restricted stock units (in shares)   1,328      
Vesting of restricted stock units 0 $ 7 (7)    
Cancellation of Restricted Stock Awards (in shares)   (13)      
Issuance of Common Stock under ESPP (in shares)   204      
Issuance of Common Stock under ESPP 1,459 $ 1 1,458    
Stock compensation expense 16,936   16,936    
Unrealized gain on investments 0        
Net loss $ (42,150)       (42,150)
Stockholders' equity at end of period (in shares) at Dec. 31, 2023 61,010 61,010      
Stockholder's equity at end of period at Dec. 31, 2023 $ 200,335 $ 306 440,408 0 (240,379)
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Exercise of stock options (in shares) 104 104      
Exercise of stock options $ 80   80    
Repurchase of common stock related to net share settlement (in shares)   (20)      
Repurchase of common stock related to net share settlement (127)   (127)    
Vesting of restricted stock units (in shares)   1,748      
Vesting of restricted stock units 0 $ 9 (9)    
Issuance of Common Stock under ESPP (in shares)   97      
Issuance of Common Stock under ESPP 600   600    
Stock compensation expense 22,484   22,484    
Common stock repurchase under share repurchase program (in shares)   (2,610)      
Common stock repurchase under share repurchase program (20,125) $ (13) (18,835)   (1,277)
Unrealized gain on investments 41     41  
Net loss $ (55,774)       (55,774)
Stockholders' equity at end of period (in shares) at Dec. 31, 2024 60,329 60,329      
Stockholder's equity at end of period at Dec. 31, 2024 $ 147,514 $ 302 $ 444,601 $ 41 $ (297,430)
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Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Cash flow from operating activities:    
Net loss $ (55,774) $ (42,150)
Adjustments to reconcile net loss to cash used in operations:    
Depreciation and amortization 3,926 4,159
Stock-based compensation 22,269 16,158
Charge to allowance for credit losses 2,112 2,432
Loss (gain) on disposal of long-lived assets (4) 41
Remeasurement of contingent consideration 303 500
Non-cash operating lease costs 1,813 1,681
Amortization of premium on short-term investments (1,057) 0
Impairment of intangible asset and capitalized development 15,213 0
Changes in operating assets and liabilities:    
Accounts receivable 1,764 (6,705)
Prepaid expenses and other current assets 1,103 (310)
Other long-term assets (7) (226)
Accounts payable (849) (4,091)
Accrued expenses and other 2,485 4,226
Deferred revenue 11 185
Operating lease liabilities (1,878) (1,710)
Other liabilities (179) 279
Net cash used in operating activities (8,749) (25,531)
Cash flow from investing activities:    
Purchases of property, equipment and capitalized software development costs (2,781) (4,859)
Purchases of short-term investments (87,937) 0
Maturities of short-term investments 12,679 0
Purchase of primary law intangible asset 0 (14,000)
Proceeds from disposal of equipment 4 4
Cash paid for acquisitions 0 (1,180)
Net cash used in investing activities (78,035) (20,035)
Cash flow from financing activities:    
Proceeds from exercise of stock options 80 543
Net proceeds from issuance of common stock under Employee Stock Purchase Plan 600 1,459
Repurchase of common stock related to net share settlement (127) (89)
Repurchase of common stock related to share repurchase program (20,052) 0
Cash paid for acquisitions (456) 0
Principal payments on finance lease obligations (41) (40)
Net cash provided by financing activities (19,996) 1,873
Net decrease in cash and cash equivalents: (106,780) (43,693)
Cash and cash equivalents at beginning of period 159,551 203,244
Cash and cash equivalents at end of period 52,771 159,551
Supplemental disclosure:    
Cash paid for taxes 896 766
Non-cash investing and financing activities:    
Property and equipment included in accounts payable and accrued liabilities $ 66 $ 448
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Organization and Nature of Operations
 12 Months Ended
Dec. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Organization and Nature of Operations Organization and Nature of Operations
CS Disco, Inc. (the “Company” or “DISCO”) has built cloud-native, AI-powered product offerings that enterprises, law firms, legal services providers, and governments use for legal hold, legal request, ediscovery, legal document review and case management in a wide variety of legal matters, ranging from litigation to investigations to compliance to diligence. The Company’s headquarters are located in Austin, Texas.
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Summary of Significant Accounting Policies
 12 Months Ended
Dec. 31, 2024
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies Summary of Significant Accounting Policies
Emerging Growth Company Status
The Company is an emerging growth company, as defined in the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”). The JOBS Act provides that an emerging growth company can take advantage of an extended transition period for complying with new or revised accounting standards, which allows an emerging growth company to delay the adoption of some accounting standards until those standards would otherwise apply to private companies. The Company has irrevocably opted not to use the extended transition period for complying with any new or revised financial accounting standards, and as such, the Company is required to adopt new or revised standards at the same time as other public companies. An emerging growth company may also take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not emerging growth companies including reduced reporting requirements and other exemptions.

Basis of Presentation and Consolidation
The accompanying consolidated financial statements have been prepared in accordance with U. S. generally accepted accounting principles (“GAAP”) and include the accounts of the Company. All significant intercompany balances and transactions have been eliminated.

Risks and Uncertainties
Fluctuations in general macroeconomic conditions, including conditions resulting from fluctuations in inflation and interest rates and the potential imposition of tariffs in the United States and abroad, as well as the effects of global events, such as the Russia-Ukraine war and the conflict in the Middle East, have not had a material impact on the Company’s operations, but could do so in the future. The Company assessed the impact these events had on its results of operations, including, but not limited to an assessment of its allowance for credit losses, the carrying value of other long-lived assets, including goodwill and intangible assets, and the impact to revenue recognition and cost of revenue. While these events have not had a material adverse impact on the Company’s financial operations to date, the future impacts are largely unknown. The Company will continue to actively monitor the impact that these events have on the results of the Company’s business operations, and may make decisions required by federal, state or local authorities, or that are determined to be in the best interests of the Company’s employees, customers, partners, suppliers and stockholders. As a result, the Company’s estimates and judgments may change materially as new events occur or additional information becomes available to them.

Use of Estimates
The preparation of these consolidated financial statements in conformity with GAAP requires the Company to make certain estimates, judgments and assumptions that affect the reported amounts of assets, liabilities, revenue, costs and expenses during the reporting period. Estimates are also used for, but not limited to, current expected credit losses, capitalization and useful life of the Company’s capitalized software development costs, useful lives of assets, carrying value of goodwill, fair value of contingent consideration, income taxes and deferred tax asset valuation and valuation of the Company’s stock-based awards. Numerous internal and external factors can affect estimates. Actual results could differ from those estimates and such differences could be material to the Company’s consolidated financial position and results of operations.
Net Loss Per Share Attributable to Common Stockholders
Basic net loss per share attributable to common stockholders is computed by dividing the net loss attributable to common stockholders by the weighted average number of shares of common stock outstanding during the period.
Diluted earnings per share attributable to common stockholders adjusts basic earnings per share for the potentially dilutive impact of stock options, restricted stock awards, restricted stock units, and performance-based restricted stock units. As the Company has reported losses for all periods presented, all potentially dilutive securities are anti-dilutive, and accordingly, basic net loss per share equaled diluted net loss per share.

Cash and Cash Equivalents
The Company considers all highly liquid investments acquired with an original maturity of three months or less at the date of purchase to be cash equivalents. Cash equivalents, which include the Company’s money market account and U.S. Treasury securities with maturities of three months or less, are measured at fair value on a recurring basis.

Short-Term Investments
The Company’s short-term investments consist of highly-rated U.S. Treasury securities with maturities of more than three months but less than one year at the date of purchase. The short-term investments have been classified as available-for-sale and are carried at the estimated fair value as determined based upon quoted market prices. The Company determines the appropriate classification of its investment securities at the time of purchase. Credit impairments for available-for-sale securities are recorded through an allowance rather than a direct write-down of the security and are recorded through a charge to the consolidated statements of operations and comprehensive loss. Unrealized gains or losses not related to credit impairments are recorded in accumulated other comprehensive income, a component of stockholders’ equity, until realized. The Company reviews available-for-sale debt securities for impairments related to credit losses and other factors each quarter. There were no impairments of short-term investments for the year ended December 31, 2024. The Company did not hold any short-term investments in the year ended December 31, 2023.

Accounts Receivable
Accounts receivable are recorded and carried at the original invoiced amount less an allowance for credit losses. The Company determines its trade accounts receivable allowances based upon the assessment of various factors, such as: historical experience, credit quality of its customers, geographic related risks, economic conditions and other factors that may affect a customer’s ability to pay. Increases and decreases in the allowance for credit losses are included as a component of general and administrative expense in the consolidated statements of operations and comprehensive loss. The Company does not have any off-balance sheet credit exposure related to its customers.
Due to the short-term nature of the Company’s receivables, the estimate of the amount of accounts receivable that may not be collected is based on aging of the accounts receivable balances and the financial condition of customers. The Company has provisioned $4.2 million for expected losses for the year ended December 31, 2024, and $2.1 million has been written off and charged against the allowance for the year ended December 31, 2024. Recoveries made by the Company were $2.1 million for the year ended December 31, 2024. The allowance for credit losses related to accounts receivable was $2.8 million for each of the years ended December 31, 2024 and December 31, 2023. Unbilled receivables were $2.5 million and $2.8 million as of December 31, 2024 and December 31, 2023, respectively, and were included within accounts receivable on the consolidated balance sheets.

Concentration of Credit Risk
Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash and cash equivalents, short-term investments and trade accounts receivable. The Company maintains its cash and cash equivalent and short-term investment balances in highly rated financial institutions, which at times may exceed federally insured limits or be held in foreign jurisdictions. The Company has not experienced any loss relating to cash and cash equivalents and short-term investments in these accounts. The Company performs periodic credit evaluations of its customers’ financial condition and generally does not require collateral.

Fair Value of Financial Instruments
The Company groups its assets and liabilities measured at fair value in a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include: Level 1, defined as observable inputs such as quoted prices in
active markets, with valuations obtained from readily available pricing sources for market transactions involving identical assets or liabilities; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation.
The level of the fair value hierarchy in which the fair value measurement falls is determined by the lowest level input that is significant to the fair value measurement.
The Company’s financial instruments consist principally of cash and cash equivalents, short-term investments, accounts receivable, accounts payable and accrued expenses. The carrying values of cash and cash equivalents, short-term investments, accounts receivable, accounts payable and accrued expenses are considered to approximate their respective fair values due to the short-term nature of such financial instruments. Cash equivalents and short-term investments, primarily consisting of investments in U.S. Treasury securities and money market funds, are measured at fair value on a recurring basis, and are categorized as Level 1 based on quoted prices in active markets.
The Company recognizes transfers between levels at the end of the reporting period as if the transfers occurred on the last day of the reporting period. There were no transfers during the years ended December 31, 2024 and 2023.

Property and Equipment, Net
Property and equipment are recorded at cost, less accumulated depreciation. Maintenance, repairs and minor replacements are charged to expense as incurred. Significant renewals and betterments are capitalized. Depreciation on property and equipment, with the exception of leasehold improvements, is recorded using the straight-line method over the estimated useful lives of the assets. Depreciation on leasehold improvements is recorded using the shorter of the lease term or useful life. The estimated useful life of each asset category is as follows:
Furniture and fixtures5 years
Leasehold improvements
Shorter of lease term or 5 years
Computer equipment2 years
The Company periodically reviews the estimated useful lives of property and equipment and any changes to the estimated useful lives are recorded prospectively from the date of the change.
When property is retired or disposed of, the cost and related accumulated depreciation are removed from the accounts and any resulting gains or losses are reflected in the consolidated statements of operations and comprehensive loss in the period of disposal.

Capitalized Software Development Costs
Costs related to software acquired, developed, or modified solely to meet the Company’s internal requirements or related to the development of product offerings are capitalized. Costs incurred during the preliminary planning and evaluation stage of the project and during the post implementation operational stage are expensed as incurred. The Company capitalizes qualifying software development costs that are incurred during the application development stage. Capitalization of costs begins when two criteria are met: (i) the preliminary project stage is completed and (ii) it is probable that the software will be completed and used for its intended function. Capitalization ceases when the software is substantially complete and ready for its intended use, including the completion of all significant testing. The Company also capitalizes costs related to specific upgrades and enhancements when it is probable the expenditures will result in additional functionality. Costs incurred for maintenance, minor upgrades and enhancements are expensed. Costs related to preliminary project activities and post-implementation operating activities are expensed as incurred.
Capitalized costs are included in property and equipment, net on the consolidated balance sheets. These costs are amortized over the estimated useful life of the software, generally four years, on a straight-line basis. Management evaluates the useful life of these assets on an annual basis and tests for impairment whenever events or changes in circumstances occur that could impact the recoverability of these assets. The amortization of costs related to the development of product offerings is
included in cost of revenue.
Purchase Price Allocation, Intangible Assets and Goodwill
The purchase price allocation for business combinations and asset acquisitions requires extensive use of accounting estimates and judgments to allocate the purchase price to the identifiable tangible and intangible assets acquired and liabilities assumed based on their respective fair values. The Company determines whether substantially all of the fair value of the gross assets acquired is concentrated in a single identifiable asset or group of similar identifiable assets. If this threshold is met, the single asset or group of assets, as applicable, is not a business. If it is not met, the Company determines whether the single asset or group of assets, as applicable, meets the definition of a business.
The excess purchase price over the fair value of assets acquired is recorded as goodwill. The Company tests goodwill for impairment annually during the fourth quarter, or whenever events or changes in circumstances indicate an impairment may have occurred. Goodwill impairment is recognized when the quantitative assessment results in the carrying value of the reporting unit exceeding its fair value, in which case an impairment charge is recorded to goodwill to the extent the carrying value exceeds the fair value, limited to the amount of goodwill. The Company did not recognize any impairment of goodwill for all periods presented.

Leases
The Company determines if an arrangement is or contains a lease at contract inception. The Company presents the operating leases in long-term assets and current and long-term liabilities in the consolidated balance sheets. Finance lease assets are included in property and equipment, net, and finance lease liabilities are presented in current and long-term liabilities on the consolidated balance sheets.
Right-of-use assets represent the Company’s right to use an underlying asset over the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the lease. Right-of-use assets and lease liabilities are recognized at the lease commencement date based on the estimated present value of lease payments over the lease term. The Company includes any anticipated lease incentives in the determination of lease liabilities.
The Company uses its estimated incremental borrowing rate, which is derived from information available at the lease commencement date, in determining the present value of lease payments. The Company gives consideration to its recent debt issuances as well as publicly available data for instruments with similar characteristics when determining its incremental borrowing rates.
Impairment of Long-Lived Assets
The Company’s long-lived assets with finite lives consist primarily of property and equipment, capitalized development software costs, operating right-of-use assets and finite lived intangible assets. Long-lived assets are reviewed for impairment whenever an event or change in circumstances indicates that the carrying amount of an asset or group of assets may not be recoverable. The impairment review includes comparison of future cash flows expected to be generated by the asset or group of assets with the associated assets’ carrying value. If the carrying value of the asset or group of assets exceeds its expected future cash flows (undiscounted and without interest charges), an impairment loss is recognized to the extent that the carrying amount of the asset exceeds its fair value. During the year ended December 31, 2024, the Company identified a triggering event related to the primary law finite-lived intangible asset and the capitalized software development costs associated with the integration of the primary law intangible asset into the Company’s product offerings as it was no longer probable of being completed. As the fair value of the primary law intangible asset and the related capitalized development costs was determined to be zero given the integration was no longer probable of being completed and no future cash flows were identified, the Company recorded a $15.2 million impairment charge in the year ended December 31, 2024. The Company recorded no impairment charges in the year ended December 31, 2023.
Segment Information
The Company’s Chief Executive Officer is the chief operating decision maker, who reviews the Company’s financial information presented on a consolidated basis for purposes of allocating resources and evaluating the Company’s financial performance. Accordingly, the Company has determined that it operates in a single reporting segment.
Revenue Recognition
Refer to Note 3, “Revenue Recognition” for the Company’s Revenue Recognition policy.
Advertising
The Company expenses advertising costs as incurred. Advertising expenses were $4.5 million and $5.5 million for the years ended December 31, 2024 and 2023, respectively. These costs are included in sales and marketing expenses in the consolidated statements of operations and comprehensive loss.
Cost of Revenue
Cost of revenue consists primarily of third-party cloud infrastructure expenses incurred in connection with the Company’s customers’ use of its product offerings. Cost of revenue also includes outsourced staffing costs, amortization of capitalized software development and personnel costs from employees involved in the delivery of the Company’s product offerings. Personnel costs include salaries, benefits, bonuses, stock-based compensation and allocated overhead costs.
Research and Development
Research and development expenses consist primarily of personnel-related costs for the Company’s development team, including salaries, benefits, bonuses, stock-based compensation expenses and allocated overhead costs. Research and development expenses also include contractor or professional services fees, third-party cloud infrastructure expenses incurred in developing the Company’s product offerings and software services dedicated for use by the Company’s research and development organization.
Sales and Marketing
Sales and marketing expenses consist primarily of personnel-related costs directly associated with the Company’s sales and marketing staff, including salaries, benefits, bonuses, commissions, stock-based compensation and allocated overhead costs. Sales and marketing expenses also include advertising costs and other expenses associated with the Company’s marketing and business development programs. In addition, sales and marketing expenses are comprised of travel-related expenses, software services dedicated for use by the Company’s sales and marketing organizations and outside services contracted for sales and marketing purposes.
General and Administrative
General and administrative expenses consist of personnel-related costs associated with the Company’s finance, legal, human resources and administrative personnel, including salaries, benefits, bonuses, stock-based compensation and allocated overhead costs. General and administrative expenses also include external legal, accounting, professional services fees, software services dedicated for use by the Company’s general and administrative functions, insurance, allowance for credit losses and other corporate expenses.
Stock-Based Compensation
The Company measures and recognizes compensation expense for all stock-based awards (collectively referred to as stock-based compensation expense), including stock options, restricted stock awards, restricted stock units and performance-based restricted stock units granted to employees and directors, based on the estimated fair value of the awards on the date of grant. The fair value of restricted stock awards, restricted stock units and performance-based restricted stock units is determined using the fair value of the Company’s common stock on the date of grant. Forfeitures are accounted for in the period in which they occur. Stock-based compensation is recognized following the straight-line attribution method over the requisite service period for stock options, restricted stock awards and restricted stock units. Stock-based compensation is recognized under the accelerated attribution model over the requisite service period for performance-based restricted stock units.
Sales Taxes
The Company recognizes sales and other taxes collected from customers and subsequently remits the taxes to government authorities. The Company relieves the sales tax payable balances from the consolidated balance sheets as cash is collected from the customer and the taxes are remitted to the appropriate tax authority.
Contingent Consideration
On February 22, 2022, the Company acquired legal workflow products from Congruity. As part of the acquisition, the Company entered into a referral agreement in which the Company could be obligated to pay Congruity an additional $2.0 million in the aggregate over a remaining period of 2.81 years. The Company incurred $0.3 million and $0.5 million of expense related to the revaluation of the contingent consideration in the years ended December 31, 2024 and 2023, respectively, and has paid $1.2 million of the contingent consideration as of December 31, 2024. As of December 31, 2024, the fair value of the contingent consideration was $0.8 million. This amount was recorded in accrued expenses on the consolidated balance sheet.

The fair value of the contingent consideration was determined using Level 3 inputs due to estimates for the number and size of referrals, the likelihood of shortfall and any credits that will offset the liability. These estimated inputs reflected management’s best estimate of future results, but these estimates were not observable inputs by a market participant and contained a high degree of uncertainty. Changes in the fair value of the contingent consideration were recorded as general and administrative expense in the consolidated statements of operations and comprehensive loss.
Income Taxes
The Company accounts for income taxes in accordance with the asset and liability method. Under the asset and liability method, deferred tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the financial reporting and tax bases of assets and liabilities using enacted tax rates that are expected to apply to taxable income in the periods in which the deferred tax asset or liability is expected to be realized or settled. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amounts expected to be realized. All deferred tax assets and liabilities are classified as non-current within the accompanying consolidated balance sheets.
The Company recognizes the tax benefit from an uncertain tax position only if it meets the “more likely than not” threshold that the position will be sustained upon examination by the taxing authority, based on the technical merits of the position. The tax benefits recognized in the consolidated financial statements from such a position are measured based on the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement. The Company includes interest and penalties related to its uncertain tax positions, if any, as part of income tax expense within the accompanying consolidated statements of operations and comprehensive loss. No such interest or penalties were recognized during the periods presented. The Company had no accruals for interest and penalties as of December 31, 2024 and 2023.
Accounting Pronouncements Adopted During the Current Year
In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280) (“ASU No. 2023-07”), which intends to improve reportable segment disclosure requirements, primarily through enhanced disclosures about significant expenses. The amendments in this ASU are effective for public business entities for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, and should be applied retrospectively to all prior periods presented in the financial statements. We have adopted this standard for our fiscal year 2024 annual financial statements and interim financial statements thereafter and have applied this standard retrospectively for all prior periods presented in the financial statements. See Note 4, “Segment Information”, for further information.
Accounting Pronouncements Not Yet Adopted
In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740) (“ASU No. 2023-09), which requires public entities to disclose on an annual basis (1) specific categories in the rate reconciliation and (2) provide additional information for reconciling items that meet a quantitative threshold. The amendments in this ASU are effective for public business entities for annual periods beginning after December 15, 2024, and should be applied prospectively. Early adoption of the amendments is permitted for annual financial statements that have not yet been issued or made available for issuance. The Company is currently evaluating the impact of the adoption of this standard on its consolidated financial statements.
In November 2024, the FASB issued ASU 2024-03, Expense Disaggregation Disclosures (Subtopic 220-40) (“ASU No. 2024-03”), which requires disaggregation of certain expense captions into specified categories in disclosures within the footnotes to the financial statements. The amendments in this ASU are effective for public business entities for fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027, and should be applied retrospectively to all prior periods presented in the financial statements. Early adoption of the amendments is permitted. The Company is currently evaluating the impact of the adoption of this standard on its consolidated financial statements.
v3.25.0.1
Revenue Recognition
 12 Months Ended
Dec. 31, 2024
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
Revenue is recognized, in an amount that reflects the consideration the Company expects to be entitled to over the term of the agreement, when control of the Company’s product offerings are transferred to customers.
The Company recognizes revenue through the following five-step framework in accordance with ASC 606, Revenue from Contracts with Customers:
(1)    Identification of the contract, or contracts, with the customer;
(2)    Identification of performance obligations in the contract;
(3)    Determination of the transaction price;
(4)    Allocation of the transaction price to the performance obligations in the contract;
(5)    Recognition of revenue when, or as, the Company satisfies a performance obligation.
A performance obligation is a promise in a contract to transfer a distinct solution to the customer. The Company identifies performance obligations in its contracts with customers, which primarily include usage-based and subscription contracts. Usage-based contracts include fees based on usage of the Company’s platform or professional services, incurred on a time and materials basis, while subscription contracts represent the purchase of a committed data volume on the Company’s platform over a period of time. The transaction price is determined based on the amount which the Company expects to be entitled to in exchange for providing the promised services to the customer. For contracts that include multiple performance obligations, the transaction price in the contract is allocated to each distinct performance obligation on a relative standalone selling price basis. Revenue is recognized over time as performance obligations are satisfied. Variable consideration is evaluated on a contract-by-contract basis, and a constraint is applied using the facts and circumstances of the contract when applicable. On a limited basis, the Company enters into contracts whereby the consideration payable is contingent upon the conclusion of the legal matter. The Company does not recognize the revenue related to these contracts until the legal matter is resolved. Such amounts recognized have been immaterial to date.
The Company’s software contracts do not allow the customer to take possession of the software supporting the cloud-based platform. Customers are not entitled to any refunds.
The Company’s arrangements do not contain general rights of return. However, credits may be issued on a case-by-case basis. Amounts that have been invoiced are recorded in accounts receivable and in revenue or deferred revenue depending on whether the revenue recognition criteria have been met.
Nature of Contractual Arrangements
The Company’s revenue-generating activities directly relate to the sale and support of its legal product offerings within a single operating segment. The Company disaggregates revenue from contracts with customers based on how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors. The Company has two primary types of contractual arrangements: usage-based and subscription. Usage-based revenue is generated from contracts that are typically billed on a monthly basis and can be canceled with one month’s notice or are incurred on a time and materials basis. Subscription revenue is derived from contracts where customers are contractually committed to a fixed data volume over a period of time. Usage amounts above the fixed data volume are considered usage-based revenue. Subscription arrangements are billed in advance, typically on a monthly, quarterly or annual basis. Subscription revenue is recognized ratably over the life of the contract.
In the years ended December 31, 2024 and 2023, usage-based revenue represented 89% of total revenue and subscription revenue fees represented 11% of total revenue.
No significant judgments are required in determining whether services are considered distinct performance obligations and should be accounted for separately versus together, or to determine the stand-alone selling price.
Deferred Revenue
Deferred revenue primarily consists of amounts that have been billed to or received from customers in advance of performing the associated services. Of the $4.3 million and $4.1 million of deferred revenue as of December 31, 2023 and 2022, respectively, the Company recognized $4.3 million and $4.1 million as revenue during the years ended December 31,
2024 and 2023, respectively. As of December 31, 2024 and 2023 the Company recorded $4.3 million of current deferred revenue. No non-current deferred revenue was recorded as of December 31, 2024 and 2023.
Remaining Performance Obligations
Remaining performance obligations (“RPO”) represent the amount of contracted future revenue that has not yet been recognized, including both deferred revenue and non-cancelable contracted amounts that will be invoiced and recognized as revenue in future periods. RPO exclude performance obligations from certain time and materials contracts that are billed in arrears. RPO are not necessarily indicative of future revenue growth because they do not account for consumption in excess of contracted capacity.
As of December 31, 2024, the Company expects to recognize approximately $27.3 million of revenue from RPO. The Company expects to recognize revenue of approximately $11.2 million as of December 31, 2024 from RPO over the next 12 months, with the remaining balance recognized thereafter.
Incremental Contract Costs
Incremental costs to obtain or fulfill a contract are recognized as an asset if the expected benefit is expected to be longer than one year. These assets are amortized over the expected period of benefit. For the years ended December 31, 2024 and 2023, the Company identified no material incremental costs to obtain or fulfill a contract, primarily based on the nature and terms of the Company’s contracts.
Revenue by Groups of Similar Offerings and Geographic Area
The following table sets forth revenue by groups of similar offerings (in thousands):
Year Ended December 31,
20242023
Software$120,134 $112,267 
Services24,707 25,823 
Total revenue$144,841 $138,090 
Software is comprised of revenues related to the Company’s DISCO Hold, DISCO Request, DISCO Ediscovery, and DISCO Case Builder products. Services is comprised of revenues related to the Company’s DISCO Review business and professional services.
The Company determines the location of revenue using the billing address of each customer. The following table sets forth revenue by geographic area (in thousands):
Year Ended December 31,
20242023
United States$132,683 $127,299 
All other countries12,158 10,791 
Total revenue$144,841 $138,090 
v3.25.0.1
Segment Information
 12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
Segment Information Segment Information
The Company’s Chief Executive Officer is the chief operating decision maker, who reviews the Company’s financial information presented on a consolidated basis for purposes of allocating resources and evaluating the Company’s financial performance. The chief operating decision maker uses consolidated net income to view operating trends, perform analytical comparisons and benchmark performance between periods to monitor budget-to-actual variances on a quarterly basis when making decisions about the allocation of operating resources to the Company as a whole. Accordingly, the Company has
determined that it operates in a single reporting segment. Refer to Note 3, “Revenue Recognition” to these consolidated financial statements for revenue by geographic area. Further, long-lived assets outside of the United States are not significant.
Significant expenses are as follows (in thousands):

Year Ended December 31,
20242023
Revenues$144,841 $138,090 
Cost of Revenues(1)
37,414 34,948 
Gross Profit107,427 103,142 
Significant operating expenses:
     Personnel costs107,560 103,532 
     Professional services11,430 10,357 
     Rent and facilities4,451 4,708 
     Software expense12,489 12,696 
     Advertising expense4,465 5,505 
     Impairment of intangible asset and capitalized development15,213 — 
     Restructuring charges— 2,590 
     Other segment items(2)
13,542 13,599 
Loss from operations(61,723)(49,845)
     Interest and other income6,837 8,306 
     Interest and other expense(556)(168)
     Income tax provision(332)(443)
Net loss attributable to common stockholders$(55,774)$(42,150)
______________
(1)Includes depreciation and amortization expense of $2.1 million and $1.9 million for the years ended December 31, 2024 and 2023, respectively.
(2)Other segment items include various non-significant expenses including travel expenses, insurance expenses and acquisition revaluation expense. Other segment items also include depreciation and amortization expense of $1.8 million and $2.3 million for the years ended December 31, 2024 and 2023, respectively.
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Short-Term Investments
 12 Months Ended
Dec. 31, 2024
Investments, All Other Investments [Abstract]  
Short-Term Investments Short-Term Investments
The following table represents the Company’s available-for-sale investments by major type (in thousands):

December 31, 2024
Amortized costUnrealized gainTotal fair value
Short-term investments:
     U.S. government securities$76,315 $41 $76,356 
The Company’s cash equivalents and short-term investment instruments are classified using Level 1 inputs within the fair value hierarchy and are valued using quoted market prices, broker or dealer quotations, or alternative pricing sources with reasonable levels of price transparency. Debt securities have a weighted-average maturity of 0.25 years as of December 31, 2024. There were no short-term investments as of December 31, 2023.
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Property and Equipment
 12 Months Ended
Dec. 31, 2024
Property, Plant and Equipment [Abstract]  
Property and Equipment Property and Equipment
Property and equipment consist of the following (in thousands):
December 31,
20242023
Computer equipment$6,428 $5,698 
Capitalized software development12,212 11,047 
Leasehold improvements1,103 1,029 
Furniture1,211 1,203 
Total property and equipment20,954 18,977 
Less: accumulated depreciation and amortization(13,076)(9,314)
Property and equipment, net$7,878 $9,663 
Depreciation and amortization expense relating to the Company’s property and equipment was $3.6 million and $3.8 million for the years ended December 31, 2024 and 2023, respectively. Amortization expense relating to the cost of revenue for capitalized software development was $1.9 million and $1.7 million for the years ended December 31, 2024 and 2023, respectively.
The Company capitalized $2.4 million and $4.3 million in capitalized software development costs in the years ended December 31, 2024 and 2023, respectively, prior to recording any impairment charges. Included within capitalized development costs were $0.5 million and $0.9 million of stock-based compensation expense in the years ended December 31, 2024 and 2023, respectively. As of December 31, 2024 and 2023, the unamortized balance of capitalized software development costs on the Company’s consolidated balance sheets was approximately $5.8 million and $6.8 million, respectively.
During the fourth quarter of the year ended December 31, 2024, the Company identified a triggering event related to the primary law finite-lived intangible asset and the capitalized software development costs associated with the integration of the primary law intangible asset into the Company’s product offerings as it was no longer probable of being completed. Impairment charges of $1.2 million were recorded against the capitalized software development related to the integration of the primary law intangible asset. Refer to Note 10, “Intangible Assets” regarding the details of the impairment charge. No impairment indicators were identified for the year ended December 31, 2023.
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Leases
 12 Months Ended
Dec. 31, 2024
Leases [Abstract]  
Leases Leases
The Company leases office spaces under non-cancellable operating leases for its corporate headquarters in Austin, Texas and its office space in New York, New York. The Company also leases furniture under a non-cancellable finance lease. Pursuant to the corporate headquarters lease in Austin, the initial term expires on July 31, 2028, and pursuant to the lease in New York, the term expires on January 31, 2028. For each lease, the Company recognizes a right-of-use-asset and lease liability. The asset and liability are then amortized as payments are made.
The cost of leases recorded in the accompanying consolidated statements of operations and comprehensive loss were as follows (in thousands):
Year Ended December 31,
 20242023
Operating lease expense
$2,461 $2,414 
Finance lease expense
Amortization expense48 48 
Interest on lease liability
6 8 
Total lease cost$2,515 $2,470 
Supplemental cash flow information and non-cash activity related to the Company’s leases was as follows (in thousands):
Year Ended December 31,
20242023
Cash paid for operating lease liabilities
$2,533 $2,443 
Cash paid for financing lease liabilities
$47 $47 
Right-of-use assets obtained in exchange for operating lease liabilities$2,057 $— 

The weighted average remaining lease term and discount rate as of December 31, 2024 are as follows:
Weighted Average Remaining Lease Term
Operating leases
3.47 years
Finance leases
3.58 years
Weighted Average Discount Rate
Operating leases
5.17 %
Finance leases
5.00 %
Future minimum payments required under operating and financing leases, by year and in aggregate, that have initial or remaining non-cancellable lease terms in excess of one year, are as follows (in thousands):
Year Ended
December 31, 2024
Operating
Leases		Finance
Leases
2025
$2,710 $47 
2026
2,917 47 
20273,006 47 
20281,397 28 
Thereafter— — 
Total lease payments$10,030 $169 
Less: imputed interest(888)(11)
Present value of lease liabilities$9,142 $158 
As of December 31, 2024, the Company had no additional operating or finance leases with future commencement dates.
Leases Leases
The Company leases office spaces under non-cancellable operating leases for its corporate headquarters in Austin, Texas and its office space in New York, New York. The Company also leases furniture under a non-cancellable finance lease. Pursuant to the corporate headquarters lease in Austin, the initial term expires on July 31, 2028, and pursuant to the lease in New York, the term expires on January 31, 2028. For each lease, the Company recognizes a right-of-use-asset and lease liability. The asset and liability are then amortized as payments are made.
The cost of leases recorded in the accompanying consolidated statements of operations and comprehensive loss were as follows (in thousands):
Year Ended December 31,
 20242023
Operating lease expense
$2,461 $2,414 
Finance lease expense
Amortization expense48 48 
Interest on lease liability
6 8 
Total lease cost$2,515 $2,470 
Supplemental cash flow information and non-cash activity related to the Company’s leases was as follows (in thousands):
Year Ended December 31,
20242023
Cash paid for operating lease liabilities
$2,533 $2,443 
Cash paid for financing lease liabilities
$47 $47 
Right-of-use assets obtained in exchange for operating lease liabilities$2,057 $— 

The weighted average remaining lease term and discount rate as of December 31, 2024 are as follows:
Weighted Average Remaining Lease Term
Operating leases
3.47 years
Finance leases
3.58 years
Weighted Average Discount Rate
Operating leases
5.17 %
Finance leases
5.00 %
Future minimum payments required under operating and financing leases, by year and in aggregate, that have initial or remaining non-cancellable lease terms in excess of one year, are as follows (in thousands):
Year Ended
December 31, 2024
Operating
Leases		Finance
Leases
2025
$2,710 $47 
2026
2,917 47 
20273,006 47 
20281,397 28 
Thereafter— — 
Total lease payments$10,030 $169 
Less: imputed interest(888)(11)
Present value of lease liabilities$9,142 $158 
As of December 31, 2024, the Company had no additional operating or finance leases with future commencement dates.
v3.25.0.1
Commitments and Contingencies
 12 Months Ended
Dec. 31, 2024
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Leases and Other Commitments
See Note 7, “Leases,” to these consolidated financial statements for additional detail on the Company’s operating and finance lease commitments. As of December 31, 2024, the Company has no other material contractual commitments that are non-cancellable and have a remaining term in excess of one year.

Litigation
From time to time, the Company is involved in various legal proceedings arising from the normal course of business activities. The Company makes a provision for a liability relating to legal matters when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. These provisions are reviewed at least quarterly and are adjusted to reflect the impacts of negotiations, estimated settlements, legal rulings, advice of legal counsel and other information and events pertaining to a particular matter. The outcomes of legal proceedings and other contingencies are, however, inherently unpredictable and subject to significant uncertainties. At this time, the Company is not able to reasonably estimate the amount or range of possible losses in excess of any amounts accrued, including losses that could arise as a result of
application of non-monetary remedies, with respect to the contingencies it faces, and the Company’s estimates may not prove to be accurate.
On September 19, 2023, a purported stockholder class action lawsuit was filed against the Company and certain of its current and former officers in the United States District Court in the Southern District of New York, alleging violations under Sections 10(b) and 20(a) of the Exchange Act. The complaint alleges that the Company made materially false or misleading statements about the factors that were driving its revenue growth between July 21, 2021 and August 11, 2022. The complaint seeks an unspecified amount of damages, interest, attorneys’ fees, expert fees, costs, and other relief as the court may deem just and proper. On December 12, 2023, the Court appointed a lead plaintiff and lead counsel. On January 8, 2024, the Court transferred the case to the United States District Court in the Western District of Texas. On March 8, 2024, the lead plaintiff filed an amended complaint. On May 10, 2024, the Company filed a motion to dismiss the amended complaint, which was fully briefed as of August 12, 2024. On January 30, 2025, the Court issued an order granting in part and denying in part the Company’s motion to dismiss
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Acquisitions and Goodwill
 12 Months Ended
Dec. 31, 2024
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
Acquisitions and Goodwill Acquisitions and Goodwill
Congruity Acquisition
On February 22, 2022, the Company entered into an asset purchase agreement whereby the Company acquired legal workflow products from Congruity in exchange for approximately $6.1 million of cash, including a holdback of $0.8 million paid in fiscal year 2023, and up to $2.0 million of contingent consideration. The acquisition was accounted for as a business combination in accordance with ASC 805, Business Combinations. The carrying amount of goodwill was $5.9 million at each of December 31, 2024 and 2023. The resulting goodwill is deductible for income tax purposes. No impairment of goodwill has been recorded to date.
As of December 31, 2024, the Company has paid $1.2 million of contingent consideration. As of December 31, 2024, the fair value of the contingent consideration was $0.8 million. As of December 31, 2023, the estimated fair value of the contingent consideration was $1.3 million. The Company incurred $0.3 million and $0.5 million of contingent consideration revaluation expense in the years ended December 31, 2024 and 2023, respectively.
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Intangible Assets
 12 Months Ended
Dec. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
Intangible Assets Intangible Assets
Primary Law
On August 17, 2023, the Company executed a five-year $14.0 million licensing agreement with Fastcase, Inc. (“Fastcase”), whereby the Company received a perpetual license of Fastcase’s library of U.S. case law, statutes, regulations and court rules (collectively “primary law”). The Company anticipated integrating primary law into its product offerings to automate drafting of legal documents and research memos and assist lawyers in identifying potential legal claims and defenses from new and historical case law, statutes, regulations and court rulings. Fastcase will provide the Company with regular data updates during the initial term. After the initial term, the Company will have an option to renew the agreement for an additional five-year term, following which the Company will then have the option to renew the agreement for an unlimited number of successive one-year renewal periods. The agreement will continue to automatically renew until terminated by either party with 60 days’ notice. During all renewal periods, Fastcase will continue to provide regular data updates. In accordance with ASC 350, Intangibles— Goodwill and Other, the data obtained was classified as an intangible asset.
During the fourth quarter of the year ended December 31, 2024, the Company identified a triggering event related to the primary law intangible asset, and the capitalized software development costs associated with the integration of the primary law intangible asset into the Company’s product offerings as it was no longer probable of being completed. The fair value of the primary law intangible asset and its related capitalized development costs was determined to be zero as no future cash flows were identified, the Company recorded a full non-cash impairment charge on the primary law intangible asset of $14.0 million
and also recorded a $1.2 million non-cash impairment charge related to all capitalized software development costs associated with the integration. The Company recorded no impairment charges in the year ended December 31, 2023.
Other Intangible Assets
Other intangible assets, net consisted of the following (in thousands):

December 31, 2024
 Gross Carrying AmountAccumulated AmortizationNet Carrying AmountAmortization Period
Developed technology$900 $(514)$386 5 years
Customer relationships300 (286)14 3 years
Total$1,200 $(800)$400 
Other intangible asset amortization expense was $0.3 million for each of the years ended December 31, 2024 and 2023, respectively. Amortization expense related to developed technology and customer relationships is included in cost of revenue and operating expenses, respectively, on the consolidated statements of operations and comprehensive loss.
As of December 31, 2024, future amortization expense by year is expected to be as follows (in thousands):

Amount
2025$194 
2026180 
202726 
Thereafter— 
Total$400 
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Restructuring Charges
 12 Months Ended
Dec. 31, 2024
Restructuring and Related Activities [Abstract]  
Restructuring Charges Restructuring Charges
The Company records liabilities for costs associated with exit or disposal activities in the period in which the liability is incurred. Employee severance costs are accrued when the restructuring actions are probable and estimable. Costs for one-time termination benefits in which the employee is required to render service until termination in order to receive the benefits, is recognized ratably over the future service period. The Company also records costs incurred with contract terminations associated with restructuring activities.
On January 19, 2023 and May 9, 2023, the Company committed to a plan to reduce its global workforce by approximately 9% and 8%, respectively. In conjunction with the restructurings, the Company recorded restructuring charges of $2.6 million during the year ended December 31, 2023. Restructuring charges consisted of cash expenditures primarily for employee severance and other termination benefits as well as contract termination charges. The Company did not record restructuring charges during the year ended December 31, 2024. As of December 31, 2024, the Company had no restructuring activities recorded within accrued expenses in its consolidated balance sheet. As of December 31, 2023, the Company had nominal restructuring activities recorded within accrued expenses in its consolidated balance sheet.
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Stock-Based Compensation
 12 Months Ended
Dec. 31, 2024
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation Stock-Based Compensation
Equity Incentive Plans
In December 2013, the Company adopted the Long-Term Incentive Plan (“2013 Plan”). The 2013 Plan was terminated in July 2021 in connection with the adoption of the 2021 Equity Incentive Plan (“2021 Plan”), which became effective on July 20, 2021, and no further awards will be granted under the 2013 Plan. The 2021 Plan provides for the grant of incentive stock options (“ISOs”), within the meaning of Section 422 of the Code to employees, including employees of any parent or subsidiary, and for the grant of nonstatutory stock options (“NSOs”), stock appreciation rights, restricted stock awards (“RSAs”), performance-based restricted stock units (“PSUs”), restricted stock units (“RSUs”) and other forms of awards to the Company’s employees, directors and consultants, including employees and consultants of the Company’s affiliates. As of December 31, 2024, 7.0 million shares remained available for future issuance under the 2021 Plan. The Company recognized
total stock-based compensation expense related to equity incentive awards of $22.3 million and $16.2 million for the years ended December 31, 2024 and 2023, respectively.
Stock Options
Prior to becoming a public company in 2021, the Company granted options to employees, directors and consultants. The Company ceased granting options after its initial public offering in July 2021. Options were granted with an exercise price equal to the fair value of the shares on the date of grant. The maximum term of options granted under the plan is 10 years from the date of grant. Options generally vest according to a four-year vesting schedule, with 25% of the shares vesting on the first anniversary of the vesting commencement date and the remainder of the shares vesting in equal monthly vesting installments thereafter.
The following table summarizes the stock option activity under the 2013 Plan and 2021 Plan (in thousands, except for per share amounts and years):
 Number of
shares		Weighted-
average
exercise
price per
share		Weighted-
average
remaining
contractual
life (years)		Aggregate
intrinsic
value
Options outstanding as of December 31, 2022
1,272 $6.98 4.96$2,626 
Granted— — 
Exercised(312)1.74 
Forfeited and cancelled(436)10.14 
Options outstanding as of December 31, 2023
524 $7.47 4.49$1,383 
Granted— — 
Exercised(104)0.77 
Forfeited and cancelled(133)13.21 
Options outstanding as of December 31, 2024
287 $7.24 3.58$375 
Options vested and exercisable as of December 31, 2024
285 $7.16 3.57$375 
Aggregate intrinsic value represents the difference between the Company’s fair value of its common stock and the exercise price of outstanding options. The aggregate intrinsic value of stock options exercised was $0.5 million and $1.6 million during the years ended December 31, 2024 and 2023, respectively.
As of December 31, 2024, unrecognized stock-based compensation expense related to outstanding unvested stock options that are expected to vest was nominal and expected to be recognized over a weighted-average period of 0.24 years. As of December 31, 2023, unrecognized stock-based compensation expense related to outstanding unvested stock options that were expected to vest was $0.3 million and was expected to be recognized over a weighted-average period of 1.08 years.
Restricted Stock Awards
Prior to becoming a public company, the Company granted RSAs to certain senior employees and consultants. The Company ceased granting RSAs after its initial public offering in July 2021. The fair value of RSAs is determined using the fair value of the Company’s common stock on the date of grant. No RSAs were granted during the years ended December 31, 2024 and 2023. During the years ended December 31, 2024 and 2023, 50,000 RSAs vested and were released from the Company’s right to repurchase. During the year ended December 31, 2024, no RSAs were cancelled. During the year ended December 31, 2023, 12,500 RSAs were cancelled. There were 50,000 and 100,000 RSAs outstanding as of December 31, 2024 and 2023, respectively.
As of December 31, 2024, the Company had $0.8 million of unrecognized stock-based compensation related to RSAs with a weighted average remaining requisite service period of 1.00 year. As of December 31, 2023, the Company had $1.6 million of unrecognized stock-based compensation related to RSAs with a weighted average remaining requisite service period of 2.00 years.
Restricted Stock Units and Performance-Based Restricted Stock Units
The fair value of RSUs and PSUs is determined using the closing market price of the Company’s common stock on the date of grant. The RSUs vest over the requisite service period, generally one year, three years or four years, subject to the continuous service of the individual.
In February 2024 and 2023, the Company granted PSUs for 0.4 million shares and 0.9 million shares of common stock, respectively. The PSUs vest on the satisfaction of both service-based and performance-based conditions. The PSUs have a one year performance period based on revenue and Adjusted EBITDA targets as well as non-quantitative business-related performance criteria that will determine the total vestable shares. After the applicable performance period, one-third of the vestable shares will vest upon the Compensation Committee’s certification of the degree of achievement of the applicable goals, and the remaining vestable shares will vest over a two-year service period. Subsequent to December 31, 2024, it was determined that the Company partially met the performance goals for the PSUs granted in 2024, and accordingly, these PSUs will vest at approximately 73% attainment. In February 2024, it was determined that the Company partially met the performance goals for the PSUs granted in 2023, and accordingly, these PSUs are vesting at approximately 60% attainment. As of December 31, 2024, none of the PSUs granted in 2024 had vested or settled and 0.1 million of the PSUs granted in 2024 were cancelled. As of December 31, 2024, 0.1 million of the PSUs granted in 2023 had vested or settled and 0.8 million of the PSUs granted in 2023 were cancelled.
The following table summarizes the RSU and PSU activity under the 2021 Plan (in thousands, except for per share amounts):
 Number of
shares		Weighted-average fair valueAggregate
intrinsic
value
Unvested and outstanding balance as of December 31, 20222,985 $25.39 $18,864 
Granted2,996 8.29 — 
Exercised(1,328)16.22 — 
Forfeited and cancelled(2,115)19.93 — 
Unvested and outstanding as of December 31, 2023
2,538 $14.56 $19,264 
Granted5,979 7.52 — 
Vested(1,748)11.48 — 
Forfeited and cancelled(1,674)10.01 — 
Unvested and outstanding as of December 31, 2024
5,095 $8.85 $25,424 
As of December 31, 2024 and 2023, there was an estimated $38.3 million and $28.9 million of total unrecognized stock-based compensation expense related to RSUs and PSUs. The weighted average remaining requisite service period was 2.21 years and 0.81 years, respectively.
CEO Performance Award
On May 20, 2022, the Compensation Committee of the Company’s Board of Directors (the “Compensation Committee”) approved a grant to Kiwi Camara, the Company’s Co-Founder and who was then serving as Chief Executive Officer, for a 10-year CEO performance award (the “CEO Performance Award”), the vesting of which was tied solely to achieving stock price milestones (“Milestone Prices”), subject to the approval of the Company’s stockholders at the 2022 Annual Meeting of Stockholders. The CEO Performance Award consisted of a 10-year option to purchase an aggregate of 4,366,966 shares of the Company’s common stock, representing approximately 7.5% of the total outstanding shares of the Company’s common stock as of the grant date, and vested in six tranches. Each of the six tranches vested only if the Milestone Prices are met. The Milestone Prices were met when the average VWAP for any 90-calendar day period during the performance period was equal to or greater than such Milestone Price. “VWAP” means the quotient of (i) the sum of the Daily Total Dollar Volume for the designated period of trading days divided by (ii) the sum of the total trading volume of the Company’s common stock as reported on the primary U.S. exchange on which the Company’s common stock trades for the designated period of trading days, with trading days being the days on which the primary U.S. exchange on which the Company’s common stock trades is open for trading. “Daily Total Dollar Volume” means the product of (i) the closing sales price of the Company’s common stock on a given trading day multiplied by (ii) the corresponding day’s trading volume of the Company’s common stock, in each case as reported on the primary U.S. exchange on which the Company’s common stock trades. For the first tranche to vest, the Company must have achieved a Milestone Price of $150 per share, and the next five tranches would only vest if the Company
achieved higher Milestone Prices that increase in $150 per share increments up to a final Milestone Price of $900 per share. The exercise price per share subject to the CEO Performance Award was $32.00, which was the greater of (i) the IPO Price ($32.00 per share) and (ii) the closing sales price of the Company’s common stock on the grant date. The grant date of May 25, 2022 was the date on which two full trading sessions elapsed after the filing of the preliminary proxy statement with the SEC. The CEO Performance Award was approved by the Company’s stockholders at the Annual Meeting held on July 12, 2022.
Recognition of stock-based compensation expense of all the tranches commenced on the date of grant and was recognized ratably over the expected vesting period of each respective tranche. If the related Milestone Price was achieved earlier than its expected achievement period, then the stock-based compensation expense for that vesting tranche would have been accelerated and recorded in the period in which the associated Milestone Price is achieved. The Milestone Price requirement was considered a market condition under ASC 718. The Company estimated the grant date fair value of the CEO Performance Award using Monte Carlo simulations based on the key assumptions for estimating the fair value of the award at the date of grant including volatility of the Company’s common stock price, post-vesting exercise behavior and the derived service period.
On September 10, 2023, Mr. Camara resigned from his position as Chief Executive Officer and member of the Board of Directors, effective immediately. As no Milestone Prices were achieved as of September 10, 2023, the termination resulted in the cancellation of the CEO Performance Award. The Company previously recorded $7.7 million in stock-based compensation as of June 30, 2023. In accordance with ASC 718, the Company reversed the $7.7 million in previously recognized stock-based compensation expense in September 2023, which is the period the termination and cancellation occurred. No stock-based compensation expense was recorded related to the CEO Performance award for the year ended December 31, 2024.

Employee Stock Purchase Plan
In June 2022, the Compensation Committee approved the terms of the Company’s offerings under its 2021 Employee Stock Purchase Plan (“ESPP”). Under the terms of the offering, the Company’s employees can elect to have up to 15% of their annual compensation, up to a maximum of $25,000 per year, withheld to purchase shares of the Company’s common stock for a purchase price equal to 85% of the lesser of the closing fair market value per share of the Company’s common stock on (i) the commencement date of the six-month offering period, or (ii) the respective purchase date. The initial offering period commenced on August 1, 2022 and ended on January 31, 2023 with subsequent six-month offering periods commencing on February 1st and August 1st of each year. The Company recognized total stock-based compensation expense related to the ESPP of $0.3 million and $0.5 million during the years ended December 31, 2024 and 2023, respectively. The Company purchased and distributed 0.1 million and 0.2 million shares of the Company’s common stock during the years ended December 31, 2024 and 2023, respectively.

Share Repurchase Program
In March 2024, the Board of Directors authorized the repurchase of up to $20.0 million of the Company’s outstanding shares of common stock. These trades were completed through the use of trading plans intended to qualify under Rule 10b5-1 under the Exchange Act, in accordance with applicable securities laws and other restrictions. As of June 30, 2024, the Company completed the repurchase, under which approximately 2.6 million shares of common stock were repurchased at a weighted average price of $7.66.
v3.25.0.1
Income Taxes
 12 Months Ended
Dec. 31, 2024
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
The U.S. and non-U.S. components of loss before income taxes consisted of the following (in thousands):
Year Ended December 31,
20242023
U.S.
$(56,258)$(42,845)
Non-U.S.
816 1,138 
Loss before income taxes
$(55,442)$(41,707)
The components of the provision for income taxes are as follows (in thousands):
Year Ended December 31,
20242023
Current
Federal
$— $— 
State
62 54 
Foreign
280 245 
Total current
342 299 
Deferred
Federal
(21)138 
State
11 6 
Total deferred
(10)144 
Provision for income taxes
$332 $443 
Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to reverse. Significant components of the Company’s deferred tax liabilities and assets are as follows (in thousands):
Year Ended December 31,
20242023
Deferred tax assets
Net operating loss carryforwards
$43,225 $40,911 
Capitalized research and development costs
22,066 17,868 
Deferred expenses
3,405 2,526 
Lease liability
2,331 2,303 
Stock compensation
1,216 1,197 
Depreciation and amortization
4,077 470 
Total deferred tax assets
$76,320 $65,275 
Deferred tax liabilities
         Capitalized software development
$(1,514)$(1,787)
Right-of-use asset
(2,139)(2,093)
Subsidiary outside basis difference
(73)(110)
Total deferred tax liabilities
(3,726)(3,990)
Net deferred tax asset before valuation allowance
72,594 61,285 
Less: valuation allowance
(72,721)(61,430)
Net deferred tax asset (liability)
$(127)$(145)
The Company has established a valuation allowance due to uncertainties regarding the realization of deferred tax assets based on the Company’s lack of earnings history. During the year ended December 31, 2024, the valuation allowance increased by approximately $11.3 million due to continuing operations.
As of December 31, 2024 and 2023, the Company had federal net operating loss carryforwards of approximately $164.2 million and $156.1 million, respectively, and state net operating loss carryforwards of approximately $143.2 million and $132.3 million, respectively, that will begin to expire in 2033, if not utilized prior to that time. Approximately $133.1 million of the U.S. federal net operating losses arose in tax years beginning after December 31, 2017 and have an indefinite carryforward period. Utilization of the net operating loss carryforwards may be subject to substantial annual limitation due to the “change in ownership” provisions of the Internal Revenue Code of 1986. The annual limitation may result in the expiration of net operating losses and tax credit carryforwards before utilization.
The Company’s provision for income taxes attributable to continuing operations differs from the expected tax expense amount computed by applying the statutory federal income tax rate of 21% to loss before income taxes due to the following:
Year Ended December 31,
20242023
Income tax at U.S. statutory rate
21.0 %21.0 %
Effect of:
Change in valuation allowance
(20.4)(19.7)
State taxes, net of federal benefit
3.8 3.8 
Permanent items
(1.4)(0.7)
Stock-based compensation
(3.8)(5.9)
Other items
0.2 0.3 
Income tax provision effective rate
(0.6)%(1.2)%
The Company files income tax returns in the U.S. federal jurisdiction, various state jurisdictions, the United Kingdom, Canada, and India. The Company is no longer subject to U.S. federal, state and local income tax examinations by tax authorities for years before 2021. Operating losses generated remain open to adjustment until the statute of limitations closes for the tax year in which the operating losses are utilized. The Company is not currently under examination by any tax jurisdictions, but tax years 2021 through 2024 remain open to examination.
The Company recognizes the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained upon examination by the taxing authorities. As of December 31, 2024 and 2023, the Company has recorded no unrecognized tax benefits.
The Company’s practice is to recognize interest and penalties related to unrecognized tax benefits outside of income tax expense. During the years ended December 31, 2024 and 2023, the Company did not recognize any interest or penalties related to unrecognized tax benefits.
A U.S. stockholder is subject to tax on Global Intangible Low-Taxed Income, or GILTI, earned by certain foreign subsidiaries. Under GAAP, an entity can make an accounting policy election to either recognize deferred taxes for temporary basis differences expected to reverse as GILTI in future years or to provide for the tax expense related to GILTI in the year the tax is incurred as a period expense. The Company has previously elected to account for GILTI as a period cost in the year the tax is incurred.
As required by the 2017 Tax Cuts and Jobs Act, effective January 1, 2022, the Company’s software development expenditures were capitalized and amortized for income tax purposes.
v3.25.0.1
Defined Contribution Plan
 12 Months Ended
Dec. 31, 2024
Retirement Benefits [Abstract]  
Defined Contribution Plan Defined Contribution Plan
The Company sponsors a defined contribution retirement plan qualifying under Section 401(k) of the Internal Revenue Code of 1986. This plan covers all employees within the United States who meet minimum age and service requirements and allows participants to defer a portion of their annual compensation on a pre-tax basis. The Company made $2.0 million and $2.3 million in employer contributions to the plan during the years ended December 31, 2024 and 2023, respectively.
The Company also engages in a required pension plan in the United Kingdom. As of December 31, 2024 and 2023, the liability under this plan was immaterial.
v3.25.0.1
Net Loss Per Share Attributable to Common Stockholders
 12 Months Ended
Dec. 31, 2024
Earnings Per Share [Abstract]  
Net Loss Per Share Attributable to Common Stockholders Net Loss Per Share Attributable to Common Stockholders
The following table presents calculations for basic and diluted net loss per share (in thousands, except per share amounts):
Year Ended December 31,
20242023
Net loss applicable to common stockholders basic and diluted$(55,774)$(42,150)
Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted60,212 60,139 
Net loss per share attributable to common stockholders, basic and diluted$(0.93)$(0.70)
The following outstanding shares of common stock equivalents as of the periods presented were excluded from the computation of diluted net loss per share for the periods presented because the impact of including them would have been anti-dilutive (in thousands):
As of December 31,
20242023
Stock options287 524 
Unvested restricted stock awards50 100 
Unvested restricted stock units, including performance-based restricted stock units5,095 2,538 
Total5,432 3,162 
v3.25.0.1
Subsequent Events
 12 Months Ended
Dec. 31, 2024
Subsequent Events [Abstract]  
Subsequent Events Subsequent Events
In February 2025, the Company granted a total of 4.4 million RSUs and PSUs to employees pursuant to the 2021 Plan. The fair value of the RSU and PSU grants was determined based upon the market closing price of the Company’s common stock on the date of grant. The RSUs vest over the requisite service period, subject to the continued service of the individual. The PSUs vest on the satisfaction of both service-based and performance-based conditions. The Company expects to recognize aggregate stock-based compensation expense of $20.8 million related the RSUs and PSUs over a weighted-average requisite service period of approximately 4.01 years.
v3.25.0.1
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Pay vs Performance Disclosure    
Net loss $ (55,774) $ (42,150)
v3.25.0.1
Insider Trading Arrangements
 3 Months Ended
Dec. 31, 2024
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.25.0.1
Insider Trading Policies and Procedures
 12 Months Ended
Dec. 31, 2024
Insider Trading Policies and Procedures [Line Items]  
Insider Trading Policies and Procedures Adopted true
v3.25.0.1
Cybersecurity Risk Management and Strategy Disclosure
 12 Months Ended
Dec. 31, 2024
Cybersecurity Risk Management, Strategy, and Governance [Line Items]  
Cybersecurity Risk Management Processes for Assessing, Identifying, and Managing Threats [Text Block]
We have implemented and maintain various information security processes designed to identify, assess and manage material risks from cybersecurity threats to our critical corporate computer networks, third party hosted services and production computing environment utilized to provide our services, and our critical data, including our intellectual property, confidential information that is proprietary, strategic or competitive in nature, and customer-related data (“Information Systems and Data”).
Our Vice President, Global Head of Information Technology and Chief Information Security Officer and our Security Steering Committee (which includes our Chief Financial Officer, Chief Product and Technology Officer, Senior Vice President of Engineering, and General Counsel and Chief Compliance Officer), identify, assess and manage the Company’s cybersecurity threats and risks (the “Cybersecurity Function”). Various individuals that are part of the Cybersecurity Function help identify and assess risks from cybersecurity threats by monitoring and evaluating our threat environment and risk profile using various methods including, for example: manual tools, internal and/or external audits, automated tools, conducting threat assessments for internal and external threats, subscribing to reports and services that identify cybersecurity threats, analyzing reports of threats and actors, conducting vulnerability assessments to identify vulnerabilities, conducting scans of the threat environment, use of external intelligence feeds, evaluating our and our industry’s risk profile, third-party-conducted red/blue team testing and tabletop incident response exercises, and evaluating threats reported to us.
Depending on the particular environment and systems, we implement and maintain various technical, physical, and organizational measures, processes, standards and policies designed to manage and mitigate material risks from cybersecurity threats to our Information Systems and Data, including, for example: incident response plan and/or incident response policy, asset management, tracking and disposal, incident detection and response, systems monitoring, vulnerability management policy, vendor management program, disaster recovery/business continuity plans, employee training, risk assessments, penetration testing, cybersecurity insurance, encryption of data, dedicated cybersecurity staff/officer, network security controls, asset management, tracking and disposal, data segregation, and access controls.
Our assessment and management of material risks from cybersecurity threats are integrated into our overall risk management processes. For example, the security organization works with management to prioritize our risk management processes and mitigate cybersecurity threats that are more likely to lead to a material impact to our business, and our senior
management evaluates material risks from cybersecurity threats against our overall business objectives and reports to the Audit Committee of the Board of Directors, which evaluates our overall enterprise risk.
We use third-party service providers to assist us from time to time to identify, assess, and manage material risks from cybersecurity threats, including for example, professional services firms, penetration testing firms, threat intelligence service providers, dark web monitoring services, and cybersecurity consultants.
We use third-party service providers to perform a variety of functions throughout our business, such as application providers and hosting companies. We have a vendor management program to manage cybersecurity risks associated with our use of these providers. We conduct a cybersecurity risk assessment for vendors that manage, host or process our Information Systems and Data. Depending on the vendor, the program includes a security assessment questionnaire, a review of existing security assessments or reports related to the vendor and the use of third-party risk assessment services and scoring. Depending on the nature of the services provided, the sensitivity of the Information Systems and Data at issue, and the identity of the provider, our vendor management process may involve different levels of assessment designed to help identify cybersecurity risks associated with a provider and impose contractual obligations related to cybersecurity on the provider.
For a description of the risks from cybersecurity threats that may materially affect the Company and how they may do so, see our risk factors under Part 1. Item 1A. Risk Factors in this Annual Report on Form 10-K, including the section referred to as: “If our information technology systems or data, including the personal information and other sensitive information we process, or the information technology systems or data of third parties upon whom we rely, are or were comprised or affected by a cybersecurity incident, we could experience adverse consequences, including, but not limited to, additional costs, loss of revenue, significant liabilities, harm to our brand, material disruption of our operations and other adverse consequences.”
Cybersecurity Risk Management Processes Integrated [Flag] true
Cybersecurity Risk Management Processes Integrated [Text Block]
We have implemented and maintain various information security processes designed to identify, assess and manage material risks from cybersecurity threats to our critical corporate computer networks, third party hosted services and production computing environment utilized to provide our services, and our critical data, including our intellectual property, confidential information that is proprietary, strategic or competitive in nature, and customer-related data (“Information Systems and Data”).
Cybersecurity Risk Management Third Party Engaged [Flag] true
Cybersecurity Risk Third Party Oversight and Identification Processes [Flag] true
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Flag] false
Cybersecurity Risk Board of Directors Oversight [Text Block] Our Board of Directors addresses our cybersecurity risk management as part of its general oversight function.
Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block] The Board of Directors’ Audit Committee is responsible for overseeing our cybersecurity risk management processes, including oversight of management’s assessment and mitigation of risks from cybersecurity threats
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block] In addition, our incident response and vulnerability management processes include reporting to the Audit Committee for certain cybersecurity incidents. The Audit Committee receives regular reports from various individuals that are part of the Cybersecurity Function concerning our significant cybersecurity threats and risk and the processes we have implemented to address them. The Audit Committee and the full Board also has access to various reports, summaries or presentations related to cybersecurity threats, risk, and mitigation.
Cybersecurity Risk Role of Management [Text Block]
Our cybersecurity risk assessment and management processes are implemented and maintained by certain members of our management, including our Vice President, Global Head of Information Technology and Chief Information Security Officer and our Security Steering Committee. Our current Vice President, Global Head of Information Technology and Chief Information Security Officer has over a decade of IT management experience, over nine years of cybersecurity management experience and is currently an ISACA Certified Information Security Manager (CISM). He reports directly to our Chief Financial Officer.
Various individuals that are part of our Cybersecurity Function are responsible for hiring appropriate personnel, helping to integrate cybersecurity risk considerations into our overall risk management strategy, and communicating key priorities to relevant personnel, approving budgets, helping prepare for cybersecurity incidents, approving cybersecurity processes, and reviewing security assessments and other security-related reports.
Our cybersecurity incident response and vulnerability management processes are designed to escalate certain cybersecurity incidents to members of management depending on the circumstances, including various management personnel that are part of the Cybersecurity Function, and our General Counsel, Chief Financial Officer and Chief Executive Officer. Various individuals that are part of the Cybersecurity Function, and our General Counsel, Chief Financial Officer and Chief Executive Officer, work with our incident response team to help mitigate and remediate cybersecurity incidents of which they are notified.
Cybersecurity Risk Management Positions or Committees Responsible [Flag] true
Cybersecurity Risk Management Positions or Committees Responsible [Text Block] Our cybersecurity risk assessment and management processes are implemented and maintained by certain members of our management, including our Vice President, Global Head of Information Technology and Chief Information Security Officer and our Security Steering Committee.
Cybersecurity Risk Management Expertise of Management Responsible [Text Block] Our current Vice President, Global Head of Information Technology and Chief Information Security Officer has over a decade of IT management experience, over nine years of cybersecurity management experience and is currently an ISACA Certified Information Security Manager (CISM). He reports directly to our Chief Financial Officer.
Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block]
Various individuals that are part of our Cybersecurity Function are responsible for hiring appropriate personnel, helping to integrate cybersecurity risk considerations into our overall risk management strategy, and communicating key priorities to relevant personnel, approving budgets, helping prepare for cybersecurity incidents, approving cybersecurity processes, and reviewing security assessments and other security-related reports.
Our cybersecurity incident response and vulnerability management processes are designed to escalate certain cybersecurity incidents to members of management depending on the circumstances, including various management personnel that are part of the Cybersecurity Function, and our General Counsel, Chief Financial Officer and Chief Executive Officer. Various individuals that are part of the Cybersecurity Function, and our General Counsel, Chief Financial Officer and Chief Executive Officer, work with our incident response team to help mitigate and remediate cybersecurity incidents of which they are notified. In addition, our incident response and vulnerability management processes include reporting to the Audit Committee for certain cybersecurity incidents.
The Audit Committee receives regular reports from various individuals that are part of the Cybersecurity Function concerning our significant cybersecurity threats and risk and the processes we have implemented to address them. The Audit Committee and the full Board also has access to various reports, summaries or presentations related to cybersecurity threats, risk, and mitigation.
Cybersecurity Risk Management Positions or Committees Responsible Report to Board [Flag] true
v3.25.0.1
Summary of Significant Accounting Policies (Policies)
 12 Months Ended
Dec. 31, 2024
Accounting Policies [Abstract]  
Basis of Presentation
Basis of Presentation and Consolidation
The accompanying consolidated financial statements have been prepared in accordance with U. S. generally accepted accounting principles (“GAAP”) and include the accounts of the Company.
Consolidation All significant intercompany balances and transactions have been eliminated.
Use of Estimates
Use of Estimates
The preparation of these consolidated financial statements in conformity with GAAP requires the Company to make certain estimates, judgments and assumptions that affect the reported amounts of assets, liabilities, revenue, costs and expenses during the reporting period. Estimates are also used for, but not limited to, current expected credit losses, capitalization and useful life of the Company’s capitalized software development costs, useful lives of assets, carrying value of goodwill, fair value of contingent consideration, income taxes and deferred tax asset valuation and valuation of the Company’s stock-based awards. Numerous internal and external factors can affect estimates. Actual results could differ from those estimates and such differences could be material to the Company’s consolidated financial position and results of operations.
Net Loss Per Share Attributable to Common Shareholders
Net Loss Per Share Attributable to Common Stockholders
Basic net loss per share attributable to common stockholders is computed by dividing the net loss attributable to common stockholders by the weighted average number of shares of common stock outstanding during the period.
Diluted earnings per share attributable to common stockholders adjusts basic earnings per share for the potentially dilutive impact of stock options, restricted stock awards, restricted stock units, and performance-based restricted stock units. As the Company has reported losses for all periods presented, all potentially dilutive securities are anti-dilutive, and accordingly, basic net loss per share equaled diluted net loss per share.
Cash and Cash Equivalents
Cash and Cash Equivalents
The Company considers all highly liquid investments acquired with an original maturity of three months or less at the date of purchase to be cash equivalents. Cash equivalents, which include the Company’s money market account and U.S. Treasury securities with maturities of three months or less, are measured at fair value on a recurring basis.
Short-Term Investments
Short-Term Investments
The Company’s short-term investments consist of highly-rated U.S. Treasury securities with maturities of more than three months but less than one year at the date of purchase. The short-term investments have been classified as available-for-sale and are carried at the estimated fair value as determined based upon quoted market prices. The Company determines the appropriate classification of its investment securities at the time of purchase. Credit impairments for available-for-sale securities are recorded through an allowance rather than a direct write-down of the security and are recorded through a charge to the consolidated statements of operations and comprehensive loss. Unrealized gains or losses not related to credit impairments are recorded in accumulated other comprehensive income, a component of stockholders’ equity, until realized. The Company reviews available-for-sale debt securities for impairments related to credit losses and other factors each quarter.
Accounts Receivable
Accounts Receivable
Accounts receivable are recorded and carried at the original invoiced amount less an allowance for credit losses. The Company determines its trade accounts receivable allowances based upon the assessment of various factors, such as: historical experience, credit quality of its customers, geographic related risks, economic conditions and other factors that may affect a customer’s ability to pay. Increases and decreases in the allowance for credit losses are included as a component of general and administrative expense in the consolidated statements of operations and comprehensive loss. The Company does not have any off-balance sheet credit exposure related to its customers.
Due to the short-term nature of the Company’s receivables, the estimate of the amount of accounts receivable that may not be collected is based on aging of the accounts receivable balances and the financial condition of customers.
Concentration of Credit Risk
Concentration of Credit Risk
Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash and cash equivalents, short-term investments and trade accounts receivable. The Company maintains its cash and cash equivalent and short-term investment balances in highly rated financial institutions, which at times may exceed federally insured limits or be held in foreign jurisdictions. The Company has not experienced any loss relating to cash and cash equivalents and short-term investments in these accounts. The Company performs periodic credit evaluations of its customers’ financial condition and generally does not require collateral.
Fair Value of Financial Instruments
Fair Value of Financial Instruments
The Company groups its assets and liabilities measured at fair value in a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include: Level 1, defined as observable inputs such as quoted prices in
active markets, with valuations obtained from readily available pricing sources for market transactions involving identical assets or liabilities; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation.
The level of the fair value hierarchy in which the fair value measurement falls is determined by the lowest level input that is significant to the fair value measurement.
The Company’s financial instruments consist principally of cash and cash equivalents, short-term investments, accounts receivable, accounts payable and accrued expenses. The carrying values of cash and cash equivalents, short-term investments, accounts receivable, accounts payable and accrued expenses are considered to approximate their respective fair values due to the short-term nature of such financial instruments. Cash equivalents and short-term investments, primarily consisting of investments in U.S. Treasury securities and money market funds, are measured at fair value on a recurring basis, and are categorized as Level 1 based on quoted prices in active markets.
The Company recognizes transfers between levels at the end of the reporting period as if the transfers occurred on the last day of the reporting period.
Property and Equipment, Net
Property and Equipment, Net
Property and equipment are recorded at cost, less accumulated depreciation. Maintenance, repairs and minor replacements are charged to expense as incurred. Significant renewals and betterments are capitalized. Depreciation on property and equipment, with the exception of leasehold improvements, is recorded using the straight-line method over the estimated useful lives of the assets. Depreciation on leasehold improvements is recorded using the shorter of the lease term or useful life.
Capitalized Software Development Costs
Capitalized Software Development Costs
Costs related to software acquired, developed, or modified solely to meet the Company’s internal requirements or related to the development of product offerings are capitalized. Costs incurred during the preliminary planning and evaluation stage of the project and during the post implementation operational stage are expensed as incurred. The Company capitalizes qualifying software development costs that are incurred during the application development stage. Capitalization of costs begins when two criteria are met: (i) the preliminary project stage is completed and (ii) it is probable that the software will be completed and used for its intended function. Capitalization ceases when the software is substantially complete and ready for its intended use, including the completion of all significant testing. The Company also capitalizes costs related to specific upgrades and enhancements when it is probable the expenditures will result in additional functionality. Costs incurred for maintenance, minor upgrades and enhancements are expensed. Costs related to preliminary project activities and post-implementation operating activities are expensed as incurred.
Capitalized costs are included in property and equipment, net on the consolidated balance sheets. These costs are amortized over the estimated useful life of the software, generally four years, on a straight-line basis. Management evaluates the useful life of these assets on an annual basis and tests for impairment whenever events or changes in circumstances occur that could impact the recoverability of these assets. The amortization of costs related to the development of product offerings is
included in cost of revenue.
Purchase Price Allocation, Intangible Assets and Goodwill
Purchase Price Allocation, Intangible Assets and Goodwill
The purchase price allocation for business combinations and asset acquisitions requires extensive use of accounting estimates and judgments to allocate the purchase price to the identifiable tangible and intangible assets acquired and liabilities assumed based on their respective fair values. The Company determines whether substantially all of the fair value of the gross assets acquired is concentrated in a single identifiable asset or group of similar identifiable assets. If this threshold is met, the single asset or group of assets, as applicable, is not a business. If it is not met, the Company determines whether the single asset or group of assets, as applicable, meets the definition of a business.
The excess purchase price over the fair value of assets acquired is recorded as goodwill. The Company tests goodwill for impairment annually during the fourth quarter, or whenever events or changes in circumstances indicate an impairment may have occurred. Goodwill impairment is recognized when the quantitative assessment results in the carrying value of the reporting unit exceeding its fair value, in which case an impairment charge is recorded to goodwill to the extent the carrying value exceeds the fair value, limited to the amount of goodwill. The Company did not recognize any impairment of goodwill for all periods presented.
Leases
Leases
The Company determines if an arrangement is or contains a lease at contract inception. The Company presents the operating leases in long-term assets and current and long-term liabilities in the consolidated balance sheets. Finance lease assets are included in property and equipment, net, and finance lease liabilities are presented in current and long-term liabilities on the consolidated balance sheets.
Right-of-use assets represent the Company’s right to use an underlying asset over the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the lease. Right-of-use assets and lease liabilities are recognized at the lease commencement date based on the estimated present value of lease payments over the lease term. The Company includes any anticipated lease incentives in the determination of lease liabilities.
The Company uses its estimated incremental borrowing rate, which is derived from information available at the lease commencement date, in determining the present value of lease payments. The Company gives consideration to its recent debt issuances as well as publicly available data for instruments with similar characteristics when determining its incremental borrowing rates.
Impairment of Long-Lived Assets
Impairment of Long-Lived Assets
The Company’s long-lived assets with finite lives consist primarily of property and equipment, capitalized development software costs, operating right-of-use assets and finite lived intangible assets. Long-lived assets are reviewed for impairment whenever an event or change in circumstances indicates that the carrying amount of an asset or group of assets may not be recoverable. The impairment review includes comparison of future cash flows expected to be generated by the asset or group of assets with the associated assets’ carrying value. If the carrying value of the asset or group of assets exceeds its expected future cash flows (undiscounted and without interest charges), an impairment loss is recognized to the extent that the carrying amount of the asset exceeds its fair value. During the year ended December 31, 2024, the Company identified a triggering event related to the primary law finite-lived intangible asset and the capitalized software development costs associated with the integration of the primary law intangible asset into the Company’s product offerings as it was no longer probable of being completed.
Segment Information
Segment Information
The Company’s Chief Executive Officer is the chief operating decision maker, who reviews the Company’s financial information presented on a consolidated basis for purposes of allocating resources and evaluating the Company’s financial performance. Accordingly, the Company has determined that it operates in a single reporting segment.
Advertising
Advertising
The Company expenses advertising costs as incurred. Advertising expenses were $4.5 million and $5.5 million for the years ended December 31, 2024 and 2023, respectively. These costs are included in sales and marketing expenses in the consolidated statements of operations and comprehensive loss.
Cost of Revenue
Cost of Revenue
Cost of revenue consists primarily of third-party cloud infrastructure expenses incurred in connection with the Company’s customers’ use of its product offerings. Cost of revenue also includes outsourced staffing costs, amortization of capitalized software development and personnel costs from employees involved in the delivery of the Company’s product offerings. Personnel costs include salaries, benefits, bonuses, stock-based compensation and allocated overhead costs.
Research and Development
Research and Development
Research and development expenses consist primarily of personnel-related costs for the Company’s development team, including salaries, benefits, bonuses, stock-based compensation expenses and allocated overhead costs. Research and development expenses also include contractor or professional services fees, third-party cloud infrastructure expenses incurred in developing the Company’s product offerings and software services dedicated for use by the Company’s research and development organization.
Sales and Marketing
Sales and Marketing
Sales and marketing expenses consist primarily of personnel-related costs directly associated with the Company’s sales and marketing staff, including salaries, benefits, bonuses, commissions, stock-based compensation and allocated overhead costs. Sales and marketing expenses also include advertising costs and other expenses associated with the Company’s marketing and business development programs. In addition, sales and marketing expenses are comprised of travel-related expenses, software services dedicated for use by the Company’s sales and marketing organizations and outside services contracted for sales and marketing purposes.
General and Administrative
General and Administrative
General and administrative expenses consist of personnel-related costs associated with the Company’s finance, legal, human resources and administrative personnel, including salaries, benefits, bonuses, stock-based compensation and allocated overhead costs. General and administrative expenses also include external legal, accounting, professional services fees, software services dedicated for use by the Company’s general and administrative functions, insurance, allowance for credit losses and other corporate expenses.
Stock-Based Compensation
Stock-Based Compensation
The Company measures and recognizes compensation expense for all stock-based awards (collectively referred to as stock-based compensation expense), including stock options, restricted stock awards, restricted stock units and performance-based restricted stock units granted to employees and directors, based on the estimated fair value of the awards on the date of grant. The fair value of restricted stock awards, restricted stock units and performance-based restricted stock units is determined using the fair value of the Company’s common stock on the date of grant. Forfeitures are accounted for in the period in which they occur. Stock-based compensation is recognized following the straight-line attribution method over the requisite service period for stock options, restricted stock awards and restricted stock units. Stock-based compensation is recognized under the accelerated attribution model over the requisite service period for performance-based restricted stock units.
Sales Taxes
Sales Taxes
The Company recognizes sales and other taxes collected from customers and subsequently remits the taxes to government authorities. The Company relieves the sales tax payable balances from the consolidated balance sheets as cash is collected from the customer and the taxes are remitted to the appropriate tax authority.
Contingent Consideration
Contingent Consideration
On February 22, 2022, the Company acquired legal workflow products from Congruity. As part of the acquisition, the Company entered into a referral agreement in which the Company could be obligated to pay Congruity an additional $2.0 million in the aggregate over a remaining period of 2.81 years. The Company incurred $0.3 million and $0.5 million of expense related to the revaluation of the contingent consideration in the years ended December 31, 2024 and 2023, respectively, and has paid $1.2 million of the contingent consideration as of December 31, 2024. As of December 31, 2024, the fair value of the contingent consideration was $0.8 million. This amount was recorded in accrued expenses on the consolidated balance sheet.
The fair value of the contingent consideration was determined using Level 3 inputs due to estimates for the number and size of referrals, the likelihood of shortfall and any credits that will offset the liability. These estimated inputs reflected management’s best estimate of future results, but these estimates were not observable inputs by a market participant and contained a high degree of uncertainty. Changes in the fair value of the contingent consideration were recorded as general and administrative expense in the consolidated statements of operations and comprehensive loss.
Income Taxes
Income Taxes
The Company accounts for income taxes in accordance with the asset and liability method. Under the asset and liability method, deferred tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the financial reporting and tax bases of assets and liabilities using enacted tax rates that are expected to apply to taxable income in the periods in which the deferred tax asset or liability is expected to be realized or settled. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amounts expected to be realized. All deferred tax assets and liabilities are classified as non-current within the accompanying consolidated balance sheets.
The Company recognizes the tax benefit from an uncertain tax position only if it meets the “more likely than not” threshold that the position will be sustained upon examination by the taxing authority, based on the technical merits of the position. The tax benefits recognized in the consolidated financial statements from such a position are measured based on the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement. The Company includes interest and penalties related to its uncertain tax positions, if any, as part of income tax expense within the accompanying consolidated statements of operations and comprehensive loss.
Accounting Pronouncements Adopted During the Current Year and Accounting Pronouncements Not Yet Adopted
Accounting Pronouncements Adopted During the Current Year
In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280) (“ASU No. 2023-07”), which intends to improve reportable segment disclosure requirements, primarily through enhanced disclosures about significant expenses. The amendments in this ASU are effective for public business entities for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, and should be applied retrospectively to all prior periods presented in the financial statements. We have adopted this standard for our fiscal year 2024 annual financial statements and interim financial statements thereafter and have applied this standard retrospectively for all prior periods presented in the financial statements. See Note 4, “Segment Information”, for further information.
Accounting Pronouncements Not Yet Adopted
In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740) (“ASU No. 2023-09), which requires public entities to disclose on an annual basis (1) specific categories in the rate reconciliation and (2) provide additional information for reconciling items that meet a quantitative threshold. The amendments in this ASU are effective for public business entities for annual periods beginning after December 15, 2024, and should be applied prospectively. Early adoption of the amendments is permitted for annual financial statements that have not yet been issued or made available for issuance. The Company is currently evaluating the impact of the adoption of this standard on its consolidated financial statements.
In November 2024, the FASB issued ASU 2024-03, Expense Disaggregation Disclosures (Subtopic 220-40) (“ASU No. 2024-03”), which requires disaggregation of certain expense captions into specified categories in disclosures within the footnotes to the financial statements. The amendments in this ASU are effective for public business entities for fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027, and should be applied retrospectively to all prior periods presented in the financial statements. Early adoption of the amendments is permitted. The Company is currently evaluating the impact of the adoption of this standard on its consolidated financial statements.
Revenue Recognition
Revenue is recognized, in an amount that reflects the consideration the Company expects to be entitled to over the term of the agreement, when control of the Company’s product offerings are transferred to customers.
The Company recognizes revenue through the following five-step framework in accordance with ASC 606, Revenue from Contracts with Customers:
(1)    Identification of the contract, or contracts, with the customer;
(2)    Identification of performance obligations in the contract;
(3)    Determination of the transaction price;
(4)    Allocation of the transaction price to the performance obligations in the contract;
(5)    Recognition of revenue when, or as, the Company satisfies a performance obligation.
A performance obligation is a promise in a contract to transfer a distinct solution to the customer. The Company identifies performance obligations in its contracts with customers, which primarily include usage-based and subscription contracts. Usage-based contracts include fees based on usage of the Company’s platform or professional services, incurred on a time and materials basis, while subscription contracts represent the purchase of a committed data volume on the Company’s platform over a period of time. The transaction price is determined based on the amount which the Company expects to be entitled to in exchange for providing the promised services to the customer. For contracts that include multiple performance obligations, the transaction price in the contract is allocated to each distinct performance obligation on a relative standalone selling price basis. Revenue is recognized over time as performance obligations are satisfied. Variable consideration is evaluated on a contract-by-contract basis, and a constraint is applied using the facts and circumstances of the contract when applicable. On a limited basis, the Company enters into contracts whereby the consideration payable is contingent upon the conclusion of the legal matter. The Company does not recognize the revenue related to these contracts until the legal matter is resolved. Such amounts recognized have been immaterial to date.
The Company’s software contracts do not allow the customer to take possession of the software supporting the cloud-based platform. Customers are not entitled to any refunds.
The Company’s arrangements do not contain general rights of return. However, credits may be issued on a case-by-case basis. Amounts that have been invoiced are recorded in accounts receivable and in revenue or deferred revenue depending on whether the revenue recognition criteria have been met.
v3.25.0.1
Summary of Significant Accounting Policies (Tables)
 12 Months Ended
Dec. 31, 2024
Accounting Policies [Abstract]  
Schedule of Property and Equipment Useful Life The estimated useful life of each asset category is as follows:
Furniture and fixtures5 years
Leasehold improvements
Shorter of lease term or 5 years
Computer equipment2 years
Property and equipment consist of the following (in thousands):
December 31,
20242023
Computer equipment$6,428 $5,698 
Capitalized software development12,212 11,047 
Leasehold improvements1,103 1,029 
Furniture1,211 1,203 
Total property and equipment20,954 18,977 
Less: accumulated depreciation and amortization(13,076)(9,314)
Property and equipment, net$7,878 $9,663 
v3.25.0.1
Revenue Recognition (Tables)
 12 Months Ended
Dec. 31, 2024
Revenue from Contract with Customer [Abstract]  
Schedule of Disaggregation of Revenue
The following table sets forth revenue by groups of similar offerings (in thousands):
Year Ended December 31,
20242023
Software$120,134 $112,267 
Services24,707 25,823 
Total revenue$144,841 $138,090 
The Company determines the location of revenue using the billing address of each customer. The following table sets forth revenue by geographic area (in thousands):
Year Ended December 31,
20242023
United States$132,683 $127,299 
All other countries12,158 10,791 
Total revenue$144,841 $138,090 
v3.25.0.1
Segment Reporting (Tables)
 12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
Schedule of Significant Expenses
Significant expenses are as follows (in thousands):

Year Ended December 31,
20242023
Revenues$144,841 $138,090 
Cost of Revenues(1)
37,414 34,948 
Gross Profit107,427 103,142 
Significant operating expenses:
     Personnel costs107,560 103,532 
     Professional services11,430 10,357 
     Rent and facilities4,451 4,708 
     Software expense12,489 12,696 
     Advertising expense4,465 5,505 
     Impairment of intangible asset and capitalized development15,213 — 
     Restructuring charges— 2,590 
     Other segment items(2)
13,542 13,599 
Loss from operations(61,723)(49,845)
     Interest and other income6,837 8,306 
     Interest and other expense(556)(168)
     Income tax provision(332)(443)
Net loss attributable to common stockholders$(55,774)$(42,150)
______________
(1)Includes depreciation and amortization expense of $2.1 million and $1.9 million for the years ended December 31, 2024 and 2023, respectively.
(2)Other segment items include various non-significant expenses including travel expenses, insurance expenses and acquisition revaluation expense. Other segment items also include depreciation and amortization expense of $1.8 million and $2.3 million for the years ended December 31, 2024 and 2023, respectively.
v3.25.0.1
Short-Term Investments (Tables)
 12 Months Ended
Dec. 31, 2024
Investments, All Other Investments [Abstract]  
Schedule of Available-for-Sale Securities Reconciliation
The following table represents the Company’s available-for-sale investments by major type (in thousands):

December 31, 2024
Amortized costUnrealized gainTotal fair value
Short-term investments:
     U.S. government securities$76,315 $41 $76,356 
v3.25.0.1
Property and Equipment (Tables)
 12 Months Ended
Dec. 31, 2024
Property, Plant and Equipment [Abstract]  
Schedule of Property and Equipment Useful Life The estimated useful life of each asset category is as follows:
Furniture and fixtures5 years
Leasehold improvements
Shorter of lease term or 5 years
Computer equipment2 years
Property and equipment consist of the following (in thousands):
December 31,
20242023
Computer equipment$6,428 $5,698 
Capitalized software development12,212 11,047 
Leasehold improvements1,103 1,029 
Furniture1,211 1,203 
Total property and equipment20,954 18,977 
Less: accumulated depreciation and amortization(13,076)(9,314)
Property and equipment, net$7,878 $9,663 
v3.25.0.1
Leases (Tables)
 12 Months Ended
Dec. 31, 2024
Leases [Abstract]  
Schedule of Lease Cost
The cost of leases recorded in the accompanying consolidated statements of operations and comprehensive loss were as follows (in thousands):
Year Ended December 31,
 20242023
Operating lease expense
$2,461 $2,414 
Finance lease expense
Amortization expense48 48 
Interest on lease liability
6 8 
Total lease cost$2,515 $2,470 
Schedule of Supplemental Balance Sheet and Cash Flow Information
Supplemental cash flow information and non-cash activity related to the Company’s leases was as follows (in thousands):
Year Ended December 31,
20242023
Cash paid for operating lease liabilities
$2,533 $2,443 
Cash paid for financing lease liabilities
$47 $47 
Right-of-use assets obtained in exchange for operating lease liabilities$2,057 $— 

The weighted average remaining lease term and discount rate as of December 31, 2024 are as follows:
Weighted Average Remaining Lease Term
Operating leases
3.47 years
Finance leases
3.58 years
Weighted Average Discount Rate
Operating leases
5.17 %
Finance leases
5.00 %
Schedule of Future Minimum Payments, Operating Lease
Future minimum payments required under operating and financing leases, by year and in aggregate, that have initial or remaining non-cancellable lease terms in excess of one year, are as follows (in thousands):
Year Ended
December 31, 2024
Operating
Leases		Finance
Leases
2025
$2,710 $47 
2026
2,917 47 
20273,006 47 
20281,397 28 
Thereafter— — 
Total lease payments$10,030 $169 
Less: imputed interest(888)(11)
Present value of lease liabilities$9,142 $158 
Schedule of Future Minimum Payments, Finance Lease
Future minimum payments required under operating and financing leases, by year and in aggregate, that have initial or remaining non-cancellable lease terms in excess of one year, are as follows (in thousands):
Year Ended
December 31, 2024
Operating
Leases		Finance
Leases
2025
$2,710 $47 
2026
2,917 47 
20273,006 47 
20281,397 28 
Thereafter— — 
Total lease payments$10,030 $169 
Less: imputed interest(888)(11)
Present value of lease liabilities$9,142 $158 
v3.25.0.1
Intangible Assets (Tables)
 12 Months Ended
Dec. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Acquired Other Intangible Assets
Other intangible assets, net consisted of the following (in thousands):

December 31, 2024
 Gross Carrying AmountAccumulated AmortizationNet Carrying AmountAmortization Period
Developed technology$900 $(514)$386 5 years
Customer relationships300 (286)14 3 years
Total$1,200 $(800)$400 
Schedule of Future Amortization Expense
As of December 31, 2024, future amortization expense by year is expected to be as follows (in thousands):

Amount
2025$194 
2026180 
202726 
Thereafter— 
Total$400 
v3.25.0.1
Stock-Based Compensation (Tables)
 12 Months Ended
Dec. 31, 2024
Share-Based Payment Arrangement [Abstract]  
Schedule of Stock Option Activity
The following table summarizes the stock option activity under the 2013 Plan and 2021 Plan (in thousands, except for per share amounts and years):
 Number of
shares		Weighted-
average
exercise
price per
share		Weighted-
average
remaining
contractual
life (years)		Aggregate
intrinsic
value
Options outstanding as of December 31, 2022
1,272 $6.98 4.96$2,626 
Granted— — 
Exercised(312)1.74 
Forfeited and cancelled(436)10.14 
Options outstanding as of December 31, 2023
524 $7.47 4.49$1,383 
Granted— — 
Exercised(104)0.77 
Forfeited and cancelled(133)13.21 
Options outstanding as of December 31, 2024
287 $7.24 3.58$375 
Options vested and exercisable as of December 31, 2024
285 $7.16 3.57$375 
Share-based Payment Arrangement, Restricted Stock and Restricted Stock Unit, Activity
The following table summarizes the RSU and PSU activity under the 2021 Plan (in thousands, except for per share amounts):
 Number of
shares		Weighted-average fair valueAggregate
intrinsic
value
Unvested and outstanding balance as of December 31, 20222,985 $25.39 $18,864 
Granted2,996 8.29 — 
Exercised(1,328)16.22 — 
Forfeited and cancelled(2,115)19.93 — 
Unvested and outstanding as of December 31, 2023
2,538 $14.56 $19,264 
Granted5,979 7.52 — 
Vested(1,748)11.48 — 
Forfeited and cancelled(1,674)10.01 — 
Unvested and outstanding as of December 31, 2024
5,095 $8.85 $25,424 
v3.25.0.1
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2024
Income Tax Disclosure [Abstract]  
Schedule of Income before Income Tax, Domestic and Foreign
The U.S. and non-U.S. components of loss before income taxes consisted of the following (in thousands):
Year Ended December 31,
20242023
U.S.
$(56,258)$(42,845)
Non-U.S.
816 1,138 
Loss before income taxes
$(55,442)$(41,707)
Schedule of Components of Income Tax Expense (Benefit)
The components of the provision for income taxes are as follows (in thousands):
Year Ended December 31,
20242023
Current
Federal
$— $— 
State
62 54 
Foreign
280 245 
Total current
342 299 
Deferred
Federal
(21)138 
State
11 6 
Total deferred
(10)144 
Provision for income taxes
$332 $443 
Schedule of Deferred Tax Assets and Liabilities Significant components of the Company’s deferred tax liabilities and assets are as follows (in thousands):
Year Ended December 31,
20242023
Deferred tax assets
Net operating loss carryforwards
$43,225 $40,911 
Capitalized research and development costs
22,066 17,868 
Deferred expenses
3,405 2,526 
Lease liability
2,331 2,303 
Stock compensation
1,216 1,197 
Depreciation and amortization
4,077 470 
Total deferred tax assets
$76,320 $65,275 
Deferred tax liabilities
         Capitalized software development
$(1,514)$(1,787)
Right-of-use asset
(2,139)(2,093)
Subsidiary outside basis difference
(73)(110)
Total deferred tax liabilities
(3,726)(3,990)
Net deferred tax asset before valuation allowance
72,594 61,285 
Less: valuation allowance
(72,721)(61,430)
Net deferred tax asset (liability)
$(127)$(145)
Schedule of Effective Income Tax Rate Reconciliation
The Company’s provision for income taxes attributable to continuing operations differs from the expected tax expense amount computed by applying the statutory federal income tax rate of 21% to loss before income taxes due to the following:
Year Ended December 31,
20242023
Income tax at U.S. statutory rate
21.0 %21.0 %
Effect of:
Change in valuation allowance
(20.4)(19.7)
State taxes, net of federal benefit
3.8 3.8 
Permanent items
(1.4)(0.7)
Stock-based compensation
(3.8)(5.9)
Other items
0.2 0.3 
Income tax provision effective rate
(0.6)%(1.2)%
v3.25.0.1
Net Loss Per Share Attributable to Common Stockholders (Tables)
 12 Months Ended
Dec. 31, 2024
Earnings Per Share [Abstract]  
Schedule of Net Loss Per Share, Basic and Diluted
The following table presents calculations for basic and diluted net loss per share (in thousands, except per share amounts):
Year Ended December 31,
20242023
Net loss applicable to common stockholders basic and diluted$(55,774)$(42,150)
Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted60,212 60,139 
Net loss per share attributable to common stockholders, basic and diluted$(0.93)$(0.70)
Schedule of Securities Excluded from Computation of Net Loss Per Share
The following outstanding shares of common stock equivalents as of the periods presented were excluded from the computation of diluted net loss per share for the periods presented because the impact of including them would have been anti-dilutive (in thousands):
As of December 31,
20242023
Stock options287 524 
Unvested restricted stock awards50 100 
Unvested restricted stock units, including performance-based restricted stock units5,095 2,538 
Total5,432 3,162 
v3.25.0.1
Summary of Significant Accounting Policies - Narrative (Details)
 12 Months Ended
Dec. 31, 2024
USD ($)
criteria
segment
Dec. 31, 2023
USD ($)
Feb. 22, 2022
USD ($)
Income Tax Contingency [Line Items]      
Impairment of short-term investments $ 0    
Short-term investments 76,356,000 $ 0  
Credit loss provision 4,200,000    
Credit loss, write-off 2,100,000    
Credit loss, recovery 2,100,000    
Allowance for credit loss 2,800,000 2,800,000  
Unbilled receivables, current $ 2,500,000 2,800,000  
Capitalization of computer software development costs, number of criteria | criteria 2    
Primary law intangible asset and related capitalized development costs, fair value $ 0 14,000,000  
Impairment of intangible asset and capitalized development $ 15,213,000 0  
Number of reportable segments | segment 1    
Advertising expense $ 4,500,000 5,500,000  
Unrecognized tax benefits, penalties and interest recognized 0 0  
Unrecognized tax benefits, penalties and interest accrued 0 0  
Congruity360, LLC      
Income Tax Contingency [Line Items]      
Contingent consideration     $ 2,000,000.0
Contingent consideration, liability, term     2 years 9 months 21 days
Business combination, contingent consideration paid 1,200,000    
Congruity360, LLC | Fair Value      
Income Tax Contingency [Line Items]      
Contingent consideration $ 800,000 $ 1,300,000  
Capitalized software development      
Income Tax Contingency [Line Items]      
Property, plant and equipment, useful life 4 years    
v3.25.0.1
Summary of Significant Accounting Policies - Property and Equipment Useful Life (Details)
Dec. 31, 2024
Furniture and fixtures  
Property, Plant and Equipment [Line Items]  
Estimated useful life 5 years
Leasehold improvements | Maximum  
Property, Plant and Equipment [Line Items]  
Estimated useful life 5 years
Computer equipment  
Property, Plant and Equipment [Line Items]  
Estimated useful life 2 years
v3.25.0.1
Revenue Recognition - Narrative (Details)
 12 Months Ended
Dec. 31, 2024
USD ($)
contractualArrangement
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Disaggregation of Revenue [Line Items]      
Number of contractual arrangement types | contractualArrangement 2    
Cancellation notice period 1 month    
Deferred revenue   $ 4,300,000 $ 4,100,000
Deferred revenue recognized $ 4,300,000 4,100,000  
Current deferred revenue 4,296,000 4,285,000  
Deferred revenue, noncurrent 0 $ 0  
Remaining performance obligation 27,300,000    
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01      
Disaggregation of Revenue [Line Items]      
Remaining performance obligation $ 11,200,000    
Remaining performance obligation, expected timing of satisfaction 12 months    
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01      
Disaggregation of Revenue [Line Items]      
Remaining performance obligation, expected timing of satisfaction    
Revenue Benchmark | Product Concentration Risk | Usage Based Revenue      
Disaggregation of Revenue [Line Items]      
Concentration risk percentage 89.00% 89.00%  
Revenue Benchmark | Product Concentration Risk | Subscription Revenue      
Disaggregation of Revenue [Line Items]      
Concentration risk percentage 11.00% 11.00%  
v3.25.0.1
Revenue Recognition - Schedule of Disaggregation of Revenue by Product (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Disaggregation of Revenue [Line Items]    
Total revenue $ 144,841 $ 138,090
Software    
Disaggregation of Revenue [Line Items]    
Total revenue 120,134 112,267
Services    
Disaggregation of Revenue [Line Items]    
Total revenue $ 24,707 $ 25,823
v3.25.0.1
Revenue Recognition - Schedule of Disaggregation of Revenue by Geographic Area (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Disaggregation of Revenue [Line Items]    
Total revenue $ 144,841 $ 138,090
United States    
Disaggregation of Revenue [Line Items]    
Total revenue 132,683 127,299
All other countries    
Disaggregation of Revenue [Line Items]    
Total revenue $ 12,158 $ 10,791
v3.25.0.1
Segment Information - Narrative (Details)
 12 Months Ended
Dec. 31, 2024
segment
Segment Reporting [Abstract]  
Number of reportable segments 1
v3.25.0.1
Segment Reporting - Schedule of Significant Expenses (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Segment Reporting Information [Line Items]    
Revenue $ 144,841 $ 138,090
Cost of revenue 37,414 34,948
Gross profit 107,427 103,142
Significant operating expenses:    
Advertising expense 4,500 5,500
Impairment of intangible asset and capitalized development 15,213 0
Loss from operations (61,723) (49,845)
Interest and other income 6,837 8,306
Interest and other expense (556) (168)
Income tax provision (332) (443)
Net loss attributable to common stockholders (55,774) (42,150)
Non-significant expenses 1,800 2,300
Reportable Segment    
Segment Reporting Information [Line Items]    
Revenue 144,841 138,090
Cost of revenue 37,414 34,948
Gross profit 107,427 103,142
Significant operating expenses:    
Personnel costs 107,560 103,532
Professional services 11,430 10,357
Rent and facilities 4,451 4,708
Software expense 12,489 12,696
Advertising expense 4,465 5,505
Impairment of intangible asset and capitalized development 15,213 0
Restructuring charges 0 2,590
Other segment items 13,542 13,599
Loss from operations (61,723) (49,845)
Interest and other income 6,837 8,306
Interest and other expense (556) (168)
Income tax provision (332) (443)
Net loss attributable to common stockholders (55,774) (42,150)
Depreciation and amortization expense $ 2,100 $ 1,900
v3.25.0.1
Short-Term Investments - Schedule of Available-for-Sale Securities Reconciliation (Details) - US Government Debt Securities
$ in Thousands
Dec. 31, 2024
USD ($)
Marketable Securities [Line Items]  
Amortized cost $ 76,315
Unrealized gain 41
Total fair value $ 76,356
v3.25.0.1
Short-Term Investments - Narrative (Details) - USD ($)
Dec. 31, 2024
Dec. 31, 2023
Investments, All Other Investments [Abstract]    
Maturity period of debt securities 3 months  
Short-term investments $ 76,356,000 $ 0
v3.25.0.1
Property and Equipment - Schedule of Property, Plant, and Equipment (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Property, Plant and Equipment [Line Items]    
Total property and equipment $ 20,954 $ 18,977
Less: accumulated depreciation and amortization (13,076) (9,314)
Property and equipment, net 7,878 9,663
Computer equipment    
Property, Plant and Equipment [Line Items]    
Total property and equipment 6,428 5,698
Capitalized software development    
Property, Plant and Equipment [Line Items]    
Total property and equipment 12,212 11,047
Leasehold improvements    
Property, Plant and Equipment [Line Items]    
Total property and equipment 1,103 1,029
Furniture    
Property, Plant and Equipment [Line Items]    
Total property and equipment $ 1,211 $ 1,203
v3.25.0.1
Property and Equipment - Narrative (Details) - USD ($)
 3 Months Ended 12 Months Ended
Dec. 31, 2024
Dec. 31, 2024
Dec. 31, 2023
Property, Plant and Equipment [Abstract]      
Depreciation   $ 3,600,000 $ 3,800,000
Capitalized software development, amortization   1,900,000 1,700,000
Capitalized software development   2,400,000 4,300,000
Capitalized stock-based compensation expense   500,000 900,000
Capitalized software development, unamortized $ 5,800,000 5,800,000 $ 6,800,000
Capitalized software development, impairment $ 1,200,000 $ 1,200,000  
v3.25.0.1
Leases - Lease Cost (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Leases [Abstract]    
Operating lease expense $ 2,461 $ 2,414
Finance lease expense    
Amortization expense 48 48
Interest on lease liability 6 8
Total lease cost $ 2,515 $ 2,470
v3.25.0.1
Leases - Supplemental Balance Sheet and Cash Flow Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Cash Flow, Lessee    
Cash paid for operating lease liabilities $ 2,533 $ 2,443
Cash paid for financing lease liabilities 47 47
Right-of-use assets obtained in exchange for operating lease liabilities $ 2,057 $ 0
Weighted Average Remaining Lease Term    
Operating leases 3 years 5 months 19 days  
Finance leases 3 years 6 months 29 days  
Weighted Average Discount Rate    
Operating leases 5.17%  
Finance leases 5.00%  
v3.25.0.1
Leases - Future Payments, Operating and Financing Leases (Details)
$ in Thousands
Dec. 31, 2024
USD ($)
Operating Leases  
2025 $ 2,710
2026 2,917
2027 3,006
2028 1,397
Thereafter 0
Total lease payments 10,030
Less: imputed interest (888)
Present value of lease liabilities 9,142
Finance Leases  
2025 47
2026 47
2027 47
2028 28
Thereafter 0
Total lease payments 169
Less: imputed interest (11)
Present value of lease liabilities $ 158
v3.25.0.1
Commitments and Contingencies (Details)
 12 Months Ended
Dec. 31, 2024
Minimum  
Other Commitments [Line Items]  
Term of contract 1 year
v3.25.0.1
Acquisitions and Goodwill (Details) - USD ($)
 12 Months Ended
Feb. 22, 2022
Dec. 31, 2024
Dec. 31, 2023
Developed technology      
Goodwill   $ 5,898,000 $ 5,898,000
Contingent consideration revaluation expense   303,000 500,000
Congruity360, LLC      
Developed technology      
Payments to acquire business $ 6,100,000    
Holdback funds 800,000    
Contingent consideration $ 2,000,000.0    
Goodwill   5,900,000 5,900,000
Goodwill impairment   0  
Business combination, contingent consideration paid   1,200,000  
Contingent consideration revaluation expense   300,000 500,000
Congruity360, LLC | Fair Value      
Developed technology      
Contingent consideration   $ 800,000 $ 1,300,000
v3.25.0.1
Intangible Assets- Narrative (Details) - USD ($)
 3 Months Ended 12 Months Ended
Aug. 17, 2023
Dec. 31, 2024
Dec. 31, 2024
Dec. 31, 2023
Finite-Lived Intangible Assets [Line Items]        
Primary law intangible asset, net   $ 0 $ 0 $ 14,000,000
Impairment of intangible asset     $ 14,000,000.0  
Impairment, Intangible Asset, Finite-Lived, Statement of Income or Comprehensive Income [Extensible Enumeration]     Impairment charges  
Capitalized software development, impairment   $ 1,200,000 $ 1,200,000  
Impairment charges     15,213,000 0
Other intangible asset, amortization expense     $ 300,000 $ 300,000
Fastcase, Inc | Licensing Agreements        
Finite-Lived Intangible Assets [Line Items]        
Licensing agreement term 5 years      
Primary law intangible asset, net $ 14,000,000.0      
Renewal period 5 years      
Agreement notice period 60 days      
Fastcase, Inc | Licensing Agreement One        
Finite-Lived Intangible Assets [Line Items]        
Renewal period 1 year      
v3.25.0.1
Intangible Assets - Acquired Intangible Assets (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Developed technology    
Net Carrying Amount $ 400 $ 681
Congruity360, LLC    
Developed technology    
Gross Carrying Amount 1,200  
Accumulated Amortization (800)  
Net Carrying Amount 400  
Congruity360, LLC | Developed technology    
Developed technology    
Gross Carrying Amount 900  
Accumulated Amortization (514)  
Net Carrying Amount $ 386  
Amortization Period 5 years  
Congruity360, LLC | Customer relationships    
Developed technology    
Gross Carrying Amount $ 300  
Accumulated Amortization (286)  
Net Carrying Amount $ 14  
Amortization Period 3 years  
v3.25.0.1
Intangible Assets - Future Amortization Expense (Details)
$ in Thousands
Dec. 31, 2024
USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]  
2025 $ 194
2026 180
2027 26
Thereafter 0
Total $ 400
v3.25.0.1
Restructuring Charges (Details) - USD ($)
$ in Millions
 12 Months Ended
May 09, 2023
Jan. 19, 2023
Dec. 31, 2024
Dec. 31, 2023
Restructuring Cost and Reserve [Line Items]        
Restructuring Incurred Cost Statement Of Income Or Comprehensive Income Extensible Enumeration Not Disclosed Flag       restructuring charges
Employee Severance        
Restructuring Cost and Reserve [Line Items]        
Percentage of workforce 8.00% 9.00%    
Restructuring charges     $ 0.0 $ 2.6
v3.25.0.1
Stock-Based Compensation - Narrative (Details) - USD ($)
 1 Months Ended 2 Months Ended 12 Months Ended
Jun. 30, 2024
Feb. 20, 2025
Feb. 29, 2024
Feb. 28, 2023
Feb. 22, 2025
Dec. 31, 2024
Dec. 31, 2023
Mar. 31, 2024
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                
Aggregate intrinsic value of options exercised           $ 500,000 $ 1,600,000  
Unrecognized compensation costs, option           $ 0 300,000  
Share Repurchase Programs                
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                
Share repurchase program, authorized, amount               $ 20,000,000
Shares repurchased (in shares) 2,600,000              
Common stock repurchased at weighted average price (in dollars per share) $ 7.66              
Equity Incentive Plans                
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                
Shares available for future issuance (in shares)           7,000,000.0    
Stock-based compensation expense           $ 22,300,000 $ 16,200,000  
Stock Options                
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                
Term of options granted           10 years    
Vesting period           4 years    
Percentage of awards vesting each year           25.00%    
Weighted-average expected recognition period           2 months 26 days 1 year 29 days  
Restricted Stock Awards                
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                
Unrecognized compensation costs, excluding option           $ 800,000 $ 1,600,000  
Weighted-average expected recognition period           1 year 2 years  
Grants in period (in shares)           0 0  
Awards vested and released from right to repurchase (in shares)           50,000 50,000  
Awards cancelled (in shares)           0 12,500  
Shares outstanding (in shares)           50,000 100,000  
Restricted Stock Units (RSUs) and Performance Shares (PSUs)                
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                
Weighted-average expected recognition period           2 years 2 months 15 days 9 months 21 days  
Grants in period (in shares)           5,979,000 2,996,000  
Awards vested and released from right to repurchase (in shares)           1,748,000    
Unrecognized stock-based compensation           $ 38,300,000 $ 28,900,000  
Restricted Stock Units (RSUs) and Performance Shares (PSUs) | Subsequent Event                
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                
Unrecognized compensation costs, excluding option   $ 20,800,000            
Weighted-average expected recognition period   4 years 3 days            
Grants in period (in shares)   4,400,000            
Restricted Stock Units | Tranche One                
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                
Vesting period           1 year    
Restricted Stock Units | Tranche Two                
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                
Vesting period           3 years    
Restricted Stock Units | Tranche Three                
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                
Vesting period           4 years    
Performance Shares                
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                
Stock-based compensation expense           $ 0    
Percentage of awards vesting each year     60.00%          
Grants in period (in shares)     400,000 900,000        
Performance period           1 year    
Requisite service period           2 years 2 years  
Performance Shares | Subsequent Event                
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                
Percentage of awards vesting each year         73.00%      
Performance Shares | Tranche One                
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                
Percentage of awards vesting each year           33.33%    
Performance Shares, 2024                
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                
Awards vested and released from right to repurchase (in shares)           0    
Awards cancelled (in shares)           100,000    
Performance Shares, 2023                
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                
Awards vested and released from right to repurchase (in shares)           100,000    
Awards cancelled (in shares)           800,000    
v3.25.0.1
Stock-Based Compensation - Schedule of Stock Option Activity (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Number of
shares      
Options outstanding at beginning of period (in shares) 524 1,272  
Options granted (in shares) 0 0  
Options exercised (in shares) (104) (312)  
Options forfeited and cancelled (in shares) (133) (436)  
Options outstanding at end of period (in shares) 287 524 1,272
Options vested and exercisable (in shares) 285    
Weighted-
average
exercise
price per
share      
Weighted-average exercise price of options outstanding at beginning of period (in USD per share) $ 7.47 $ 6.98  
Weighted-average exercise price of options granted (in USD per share) 0 0  
Weighted-average exercise price of options exercised (in USD per share) 0.77 1.74  
Weighted-average exercise price of options forfeited and cancelled (in USD per share) 13.21 10.14  
Weighted-average exercise price of options outstanding at end of period (in USD per share) 7.24 $ 7.47 $ 6.98
Weighted-average exercise price of options vested and exercisable (in USD per share) $ 7.16    
Weighted-average remaining contractual life of options outstanding (in years) 3 years 6 months 29 days 4 years 5 months 26 days 4 years 11 months 15 days
Weighted-average remaining contractual life of options vested and exercisable (in years) 3 years 6 months 25 days    
Aggregate intrinsic value of options outstanding $ 375 $ 1,383 $ 2,626
Aggregate intrinsic value of options vested and exercisable $ 375    
v3.25.0.1
Stock-Based Compensation - Schedule of Restricted Stock Unity Activity (Details) - Restricted Stock Units (RSUs) and Performance Shares (PSUs) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Number of
shares    
Unvested and outstanding, beginning balance (in shares) 2,538 2,985
Granted (in shares) 5,979 2,996
Exercised (in shares)   (1,328)
Vested (in shares) (1,748)  
Forfeited and cancelled (in shares) (1,674) (2,115)
Unvested and outstanding, ending balance (in shares) 5,095 2,538
Weighted-average fair value    
Unvested and outstanding, beginning balance (in dollars per share) $ 14.56 $ 25.39
Granted (in dollars per share) 7.52 8.29
Exercised (in dollars per share)   16.22
Vested (in dollars per share) 11.48  
Forfeited and cancelled (in dollars per share) 10.01 19.93
Unvested and outstanding, ending balance (in dollars per share) $ 8.85 $ 14.56
Aggregate intrinsic value    
Unvested and outstanding beginning balance $ 19,264 $ 18,864
Unvested and outstanding ending balance $ 25,424 $ 19,264
v3.25.0.1
Stock-Based Compensation - CEO Performance Award (Details)
 1 Months Ended 12 Months Ended 13 Months Ended
May 20, 2022
tranche
$ / shares
shares
Sep. 30, 2023
USD ($)
Dec. 31, 2024
USD ($)
Jun. 30, 2023
USD ($)
Jul. 21, 2021
$ / shares
Common stock | IPO          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Public offering price per share (in dollars per share)         $ 32.00
CEO Performance Award          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Stock-based compensation expense | $     $ 0    
CEO Performance Award | CEO Performance Award          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Option to purchase outstanding shares, period 10 years        
Term of options granted 10 years        
Option to purchase common shares (in shares) | shares 4,366,966        
Option to purchase common shares, percent 7.50%        
Number of tranches | tranche 6        
Milestone price VWAP threshold, period 90 days        
Share price (in dollars per share) $ 32.00        
Stock-based compensation expense | $   $ (7,700,000)   $ 7,700,000  
CEO Performance Award | CEO Performance Award | Tranche One          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Vesting threshold, milestone price (in dollars per share) 150        
CEO Performance Award | CEO Performance Award | Tranche Two Through Six          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Vesting threshold, incremental increase in milestone price (in dollars per share) 150        
CEO Performance Award | CEO Performance Award | Tranche Six          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Vesting threshold, milestone price (in dollars per share) $ 900        
v3.25.0.1
Stock-Based Compensation - Employee Stock Purchase Plan (Details) - Employee Stock Purchase Plan - USD ($)
shares in Millions
 1 Months Ended 12 Months Ended
Jun. 30, 2022
Dec. 31, 2024
Dec. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Maximum contribution rate 15.00%    
Maximum contribution amount $ 25,000    
Purchase price of common stock, percent 85.00%    
ESPP purchase period 6 months    
Stock-based compensation expense   $ 300,000 $ 500,000
Issuance of common stock under ESPP (in shares)   0.1 0.2
v3.25.0.1
Income Taxes - Income before Income Tax (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Income Tax Disclosure [Abstract]    
U.S. $ (56,258) $ (42,845)
Non-U.S. 816 1,138
Loss from operations before income taxes $ (55,442) $ (41,707)
v3.25.0.1
Income Taxes - Schedule of Income Tax Provisions (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Current    
Federal $ 0 $ 0
State 62 54
Foreign 280 245
Total current 342 299
Deferred    
Federal (21) 138
State 11 6
Total deferred (10) 144
Provision for income taxes $ 332 $ 443
v3.25.0.1
Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Deferred tax assets    
Net operating loss carryforwards $ 43,225 $ 40,911
Capitalized research and development costs 22,066 17,868
Deferred expenses 3,405 2,526
Lease liability 2,331 2,303
Stock compensation 1,216 1,197
Depreciation and amortization 4,077 470
Total deferred tax assets 76,320 65,275
Deferred tax liabilities    
Capitalized software development (1,514) (1,787)
Right-of-use asset (2,139) (2,093)
Subsidiary outside basis difference (73) (110)
Total deferred tax liabilities (3,726) (3,990)
Net deferred tax asset before valuation allowance 72,594 61,285
Less: valuation allowance (72,721) (61,430)
Net deferred tax asset (liability) $ (127) $ (145)
v3.25.0.1
Income Taxes - Narrative (Details) - USD ($)
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Income Tax Contingency [Line Items]    
Increase in valuation allowance $ 11,300,000  
Unrecognized tax benefits 0 $ 0
Unrecognized tax benefits, penalties and interest 0 0
Federal    
Income Tax Contingency [Line Items]    
Operating loss carryforward 164,200,000 156,100,000
Federal | Indefinite    
Income Tax Contingency [Line Items]    
Operating loss carryforward 133,100,000  
State    
Income Tax Contingency [Line Items]    
Operating loss carryforward $ 143,200,000 $ 132,300,000
v3.25.0.1
Income Taxes - Effective Tax Rate Reconciliation (Details)
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Income Tax Disclosure [Abstract]    
Income tax at U.S. statutory rate 21.00% 21.00%
Effect of:    
Change in valuation allowance (20.40%) (19.70%)
State taxes, net of federal benefit 3.80% 3.80%
Permanent items (1.40%) (0.70%)
Stock-based compensation (3.80%) (5.90%)
Other items 0.20% 0.30%
Income tax provision effective rate (0.60%) (1.20%)
v3.25.0.1
Defined Contribution Plan (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Retirement Benefits [Abstract]    
Employer contributions $ 2.0 $ 2.3
v3.25.0.1
Net Loss Per Share Attributable to Common Stockholders - Computation Loss Per Share (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Earnings Per Share [Abstract]    
Net loss applicable to common stockholders basic $ (55,774) $ (42,150)
Net loss applicable to common stockholders, diluted $ (55,774) $ (42,150)
Weighted-average shares used in computing net loss per share attributable to common stockholders, basic (in shares) 60,212 60,139
Weighted-average shares used in computing net loss per share attributable to common stockholders, diluted (in shares) 60,212 60,139
Net loss per share attributable to common stockholders, basic (in dollars per share) $ (0.93) $ (0.70)
Net loss per share attributable to common stockholders, diluted (in dollars per share) $ (0.93) $ (0.70)
v3.25.0.1
Net Loss Per Share Attributable to Common Stockholders - Antidilutive Securities (Details) - shares
shares in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Antidilutive securities excluded from computation of earnings per share (in shares) 5,432 3,162
Stock options    
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Antidilutive securities excluded from computation of earnings per share (in shares) 287 524
Unvested restricted stock awards    
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Antidilutive securities excluded from computation of earnings per share (in shares) 50 100
Unvested restricted stock units, including performance-based restricted stock units    
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Antidilutive securities excluded from computation of earnings per share (in shares) 5,095 2,538
v3.25.0.1
Subsequent Events (Details) - Restricted Stock Units (RSUs) and Performance Shares (PSUs) - USD ($)
shares in Thousands, $ in Millions
 1 Months Ended 12 Months Ended
Feb. 20, 2025
Dec. 31, 2024
Dec. 31, 2023
Subsequent Event [Line Items]      
Grants in period (in shares)   5,979 2,996
Weighted-average expected recognition period   2 years 2 months 15 days 9 months 21 days
Subsequent Event      
Subsequent Event [Line Items]      
Grants in period (in shares) 4,400    
Unrecognized compensation costs, excluding option $ 20.8    
Weighted-average expected recognition period 4 years 3 days