XPERI INC., 10-Q filed on 11/6/2025
Quarterly Report
v3.25.3
Document and Entity Information - shares
 9 Months Ended
Sep. 30, 2025
Oct. 28, 2025
Cover [Abstract]    
Entity Registrant Name XPERI INC.  
Trading Symbol XPER  
Entity Central Index Key 0001788999  
Current Fiscal Year End Date --12-31  
Entity Filer Category Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company true  
Entity Ex Transition Period false  
Document Type 10-Q  
Document Period End Date Sep. 30, 2025  
Document Fiscal Year Focus 2025  
Document Fiscal Period Focus Q3  
Amendment Flag false  
Entity Common Stock, Shares Outstanding   46,335,385
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Shell Company false  
Entity File Number 001-41486  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 83-4470363  
Entity Address, Address Line One 2190 Gold Street  
Entity Address, City or Town San Jose  
Entity Address, State or Province CA  
Entity Address, Postal Zip Code 95002  
City Area Code 408  
Local Phone Number 519-9100  
Document Quarterly Report true  
Document Transition Report false  
Security12b Title Common Stock (par value $0.001 per share)  
Security Exchange Name NYSE  
v3.25.3
Condensed Consolidated Statements of Operations (unaudited) - USD ($)
shares in Thousands, $ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Income Statement [Abstract]        
Revenue $ 111,632 $ 132,891 $ 331,598 $ 371,326
Operating expenses:        
Cost of revenue, excluding depreciation and amortization of intangible assets [1] 29,078 27,484 92,226 86,193
Research and development [1] 29,923 53,627 99,255 149,189
Selling, general and administrative [1] 42,536 56,483 132,376 165,938
Depreciation expense 3,470 2,918 9,823 9,780
Amortization expense 7,987 10,934 26,853 33,015
Total operating expenses 112,994 151,446 360,533 444,115
Operating loss (1,362) (18,555) (28,935) (72,789)
Interest and other income, net 821 2,379 4,863 4,711
Interest expense - debt (761) (756) (2,252) (2,252)
Gain on divestiture 0 0 0 22,934
Loss before taxes (1,302) (16,932) (26,324) (47,396)
Provision for income taxes 4,805 2,899 12,930 16,437
Net loss (6,107) (19,831) (39,254) (63,833)
Less: net loss attributable to noncontrolling interest 0 (3,026) 0 (3,609)
Net loss attributable to the Company $ (6,107) $ (16,805) $ (39,254) $ (60,224)
Loss per share attributable to the Company:        
Basic loss per share $ (0.13) $ (0.37) $ (0.86) $ (1.33)
Diluted loss per share $ (0.13) $ (0.37) $ (0.86) $ (1.33)
Weighted-average number of shares used in computing net loss per share attributable to the Company - basic 46,276 45,683 45,637 45,180
Weighted-average number of shares used in computing net loss per share attributable to the Company - diluted 46,276 45,683 45,637 45,180
[1] Includes total salaries, bonuses, and employee benefits of $56.8 million and $73.8 million for the three months ended September 30, 2025 and 2024, respectively; and $178.8 million and $218.7 million for the nine months ended September 30, 2025 and 2024, respectively.
v3.25.3
Condensed Consolidated Statements of Comprehensive Loss (Unaudited) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Statement of Comprehensive Income [Abstract]        
Net loss $ (6,107) $ (19,831) $ (39,254) $ (63,833)
Other comprehensive income (losses):        
Reclassification of foreign currency translation adjustments into net loss upon liquidation of foreign subsidiaries     45  
Foreign currency translation adjustment   2   (323)
Unrealized gain (loss) on cash flow hedges (2,043) 1,038 2,410 (149)
Comprehensive loss (8,150) (18,791) (36,799) (64,305)
Less: comprehensive loss attributable to noncontrolling interest   (3,026)   (3,609)
Comprehensive loss attributable to the Company $ (8,150) $ (15,765) $ (36,799) $ (60,696)
v3.25.3
Condensed Consolidated Balance Sheets (Unaudited) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Current assets:    
Cash and cash equivalents $ 96,784 $ 130,564
Accounts receivable, net 56,823 58,745
Unbilled contracts receivable, net 78,159 83,075
Prepaid expenses and other current assets 29,547 32,488
Deferred consideration from divestiture 11,762 0
Total current assets 273,075 304,872
Note receivable, noncurrent 31,462 29,702
Deferred consideration from divestiture, noncurrent 7,693 18,217
Unbilled contracts receivable, noncurrent 62,720 45,396
Property and equipment, net 50,468 44,473
Operating lease right-of-use assets 31,038 30,082
Intangible assets, net 136,868 163,714
Deferred tax assets 7,825 7,228
Other noncurrent assets 27,670 24,076
Total assets 628,819 667,760
Current liabilities:    
Accounts payable 17,094 16,979
Accrued liabilities 78,197 94,420
Deferred revenue 17,756 23,950
Short-term debt 0 50,000
Total current liabilities 113,047 185,349
Long-term debt 40,000 0
Deferred revenue, noncurrent 16,589 20,932
Operating lease liabilities, noncurrent 23,497 [1] 19,932
Deferred tax liabilities 1,491 1,491
Other noncurrent liabilities 13,157 10,979
Total liabilities 207,781 238,683
Commitments and contingencies (Note 13)
Equity:    
Preferred stock: $0.001 par value; 6,000 shares authorized as of September 30, 2025 and December 31, 2024; no shares issued and outstanding as of September 30, 2025 and December 31, 2024 0 0
Common stock: $0.001 par value; 140,000 shares authorized as of September 30, 2025 and December 31, 2024; 46,295 and 44,328 shares issued and outstanding as of September 30, 2025 and December 31, 2024, respectively 46 44
Additional paid-in capital 1,303,319 1,274,561
Accumulated other comprehensive loss (3,629) (6,084)
Accumulated deficit (878,698) (839,444)
Total equity 421,038 429,077
Total liabilities and equity $ 628,819 $ 667,760
[1] Future minimum lease payments exclude short-term leases as well as payments to landlords for variable common area maintenance, insurance, and real estate taxes.
v3.25.3
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares
Sep. 30, 2025
Dec. 31, 2024
Statement of Financial Position [Abstract]    
Preferred stock, par value (in dollars per share) $ 0.001 $ 0.001
Preferred stock, shares authorized (in shares) 6,000,000 6,000,000
Preferred stock, shares issued (in shares) 0 0
Preferred stock, shares outstanding (in shares) 0 0
Common stock, par value (in dollars per share) $ 0.001 $ 0.001
Common stock, shares authorized (in shares) 140,000,000 140,000,000
Common stock, shares issued (in shares) 46,295,000 44,328,000
Common stock, shares outstanding (in shares) 46,295,000 44,328,000
v3.25.3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Thousands
 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Cash flows from operating activities:    
Net loss $ (39,254) $ (63,833)
Adjustments to reconcile net loss to net cash used in operating activities:    
Stock-based compensation expense 32,069 45,309
Amortization of intangible assets 26,853 33,015
Depreciation of property and equipment 9,823 9,780
Accrued interest income from note receivable (1,760) (1,455)
Accretion of discount from deferred consideration from divestitures (1,238) (676)
Gain from divestiture 0 (22,934)
Deferred income taxes (597) 66
Other 2,298 (279)
Changes in operating assets and liabilities:    
Accounts receivable 1,445 (8,554)
Unbilled contracts receivable (12,408) (43,518)
Prepaid expenses and other assets 896 4,684
Accounts payable (1,475) (328)
Accrued and other liabilities (10,730) (7,047)
Deferred revenue (10,537) (799)
Net cash used in operating activities (4,615) (56,569)
Cash flows from investing activities:    
Purchases of property and equipment (2,439) (3,304)
Capitalized internal-use software (12,161) (9,175)
Purchases of intangible assets (7) (157)
Net cash used in divestiture 0 (227)
Net cash used in investing activities (14,607) (12,863)
Cash flows from financing activities:    
Repayment of short-term debt (50,000) 0
Repurchases of common stock 0 (9,999)
Withholding taxes related to net share settlement of equity awards (6,624) (6,645)
Payment of debt issuance costs (1,249) 0
Proceeds from long-term debt 40,000 0
Proceeds from issuance of common stock under employee stock purchase plan 3,315 4,328
Net cash used in financing activities (14,558) (12,316)
Net decrease in cash and cash equivalents (33,780) (81,748)
Cash and cash equivalents at beginning of period 130,564 154,434
Cash and cash equivalents at end of period 96,784 72,686
Supplemental disclosure of cash flow information:    
Income taxes paid, net of refunds 7,303 12,254
Interest paid 1,788 2,252
Supplemental disclosure of noncash investing and financing activities:    
Costs capitalized for internal-use software included in accrued liabilities 208 515
Property and equipment included in accounts payable 2,106 134
Note receivable in exchange for consideration from divestiture 0 27,676
Deferred consideration from divestiture $ 0 $ 5,854
v3.25.3
Condensed Consolidated Statements of Cash Flows (Unaudited) (Parenthetical)
$ in Millions
Dec. 31, 2023
USD ($)
Statement of Cash Flows [Abstract]  
Cash and cash equivalents classified as held for sale $ 12.3
v3.25.3
Condensed Consolidated Statements of Equity (Unaudited) - USD ($)
$ in Thousands
Total
Common Stock
Additional Paid-In Capital
Accumulated Other Comprehensive Loss
Accumulated Deficit
Noncontrolling Interest
Beginning balance at Dec. 31, 2023 $ 387,135 $ 44 $ 1,212,501 $ (2,865) $ (805,448) $ (17,097)
Beginning balance (in shares) at Dec. 31, 2023   44,211,000        
Change in ownership interest of the Company     881     (881)
Vesting of restricted stock units, net of tax withholding (6,645) $ 1 (6,646)      
Vesting of restricted stock units, net of tax withholding (in shares)   1,108,000        
Issuance of common stock under employee stock purchase plan 4,328 $ 1 4,327      
Issuance of common stock under employee stock purchase plan (in shares)   578,000        
Repurchases and retirement of common stock (9,999) $ (1)     (9,998)  
Repurchases and retirement of common stock (in shares)   (1,121,000)        
Stock-based compensation 45,309   45,309      
Reclassification of foreign currency translation adjustments into net loss upon liquidation of foreign subsidiaries (323)     (323)    
Unrealized gain (loss) on cash flow hedges (149)     (149)    
Net loss (63,833)       (60,224) (3,609)
Ending balance at Sep. 30, 2024 355,823 $ 45 1,256,372 (3,337) (875,670) (21,587)
Ending balance (in shares) at Sep. 30, 2024   44,776,000        
Beginning balance at Jun. 30, 2024 370,080 $ 46 1,241,931 (4,377) (848,867) (18,653)
Beginning balance (in shares) at Jun. 30, 2024   45,746,000        
Change in ownership interest of the Company     92     (92)
Vesting of restricted stock units, net of tax withholding (716)   (716)      
Vesting of restricted stock units, net of tax withholding (in shares)   151,000        
Repurchases and retirement of common stock (9,999) $ (1)     (9,998)  
Repurchases and retirement of common stock (in shares)   (1,121,000)        
Stock-based compensation 15,249   15,249      
Reclassification of foreign currency translation adjustments into net loss upon liquidation of foreign subsidiaries 2     2    
Unrealized gain (loss) on cash flow hedges 1,038     1,038    
Net loss (19,831)       (16,805) (3,026)
Ending balance at Sep. 30, 2024 355,823 $ 45 1,256,372 (3,337) (875,670) $ (21,587)
Ending balance (in shares) at Sep. 30, 2024   44,776,000        
Beginning balance at Dec. 31, 2024 429,077 $ 44 1,274,561 (6,084) (839,444)  
Beginning balance (in shares) at Dec. 31, 2024   44,328,000        
Vesting of restricted stock units, net of tax withholding (6,624) $ 1 (6,625)      
Vesting of restricted stock units, net of tax withholding (in shares)   1,466,000        
Issuance of common stock under employee stock purchase plan 3,315 $ 1 3,314      
Issuance of common stock under employee stock purchase plan (in shares)   501,000        
Stock-based compensation 32,069   32,069      
Reclassification of foreign currency translation adjustments into net loss upon liquidation of foreign subsidiaries 45     45    
Unrealized gain (loss) on cash flow hedges 2,410     2,410    
Net loss (39,254)       (39,254)  
Ending balance at Sep. 30, 2025 421,038 $ 46 1,303,319 (3,629) (878,698)  
Ending balance (in shares) at Sep. 30, 2025   46,295,000        
Beginning balance at Jun. 30, 2025 419,827 $ 46 1,293,958 (1,586) (872,591)  
Beginning balance (in shares) at Jun. 30, 2025   46,221,000        
Vesting of restricted stock units, net of tax withholding (279)   (279)      
Vesting of restricted stock units, net of tax withholding (in shares)   74,000        
Stock-based compensation 9,640   9,640      
Unrealized gain (loss) on cash flow hedges (2,043)     (2,043)    
Net loss (6,107)       (6,107)  
Ending balance at Sep. 30, 2025 $ 421,038 $ 46 $ 1,303,319 $ (3,629) $ (878,698)  
Ending balance (in shares) at Sep. 30, 2025   46,295,000        
v3.25.3
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Pay vs Performance Disclosure        
Net Income (Loss) $ (6,107) $ (16,805) $ (39,254) $ (60,224)
v3.25.3
Insider Trading Arrangements
 3 Months Ended
Sep. 30, 2025
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
Rule 10b5-1 Arrangement Modified false
Non Rule10B5-1 Arrangement Modified false
v3.25.3
Description of Business and Summary of Significant Accounting Policies
 9 Months Ended
Sep. 30, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Description of Business and Summary of Significant Accounting Policies

NOTE 1 – DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Xperi Inc. (“Xperi” or the “Company”) is a leading consumer and entertainment technology company. The Company creates extraordinary experiences at home and on the go for millions of consumers around the world, enabling audiences to connect with content in a way that is more intelligent, immersive, and personal. Powering smart devices, connected cars, entertainment experiences and more, the Company brings together ecosystems designed to reach highly-engaged consumers, allowing it and its ecosystem partners to uncover significant new business opportunities, now and in the future. The Company’s technologies are integrated into consumer devices and a variety of media platforms worldwide, driving increased value for its partners, customers, and consumers. The Company operates in one reportable business segment and groups its revenue into four categories: Pay-TV, Consumer Electronics, Connected Car and Media Platform.

Basis of Presentation and Principles of Consolidation

The accompanying condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”). The Company’s financial statements were prepared on a consolidated basis and include the accounts of the Company and its wholly owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation.

For reporting periods in fiscal year 2024 and prior, the Company owned a controlling financial interest of its former subsidiary, Perceive Corporation (“Perceive”, later known as Xperi Pylon Corporation). In December 2024, Perceive was dissolved after all of its remaining assets and liabilities were distributed to the Company.

Unaudited Interim Financial Statements

The accompanying unaudited interim condensed consolidated financial statements are presented in accordance with the applicable rules and regulations of the SEC for interim financial information. The amounts as of December 31, 2024 have been derived from the Company’s annual audited consolidated financial statements included in its Annual Report on Form 10-K for the year ended December 31, 2024, filed on February 27, 2025 (the “Form 10-K”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted in accordance with such rules and regulations. In the opinion of management, the accompanying unaudited interim condensed consolidated financial statements reflect all adjustments, which consist of normal recurring adjustments, necessary to state fairly the financial position of the Company and its results of operations and cash flows as of and for the periods presented. These unaudited interim condensed consolidated financial statements should be read in conjunction with the Form 10-K.

The results of operations for the three and nine months ended September 30, 2025 are not necessarily indicative of the results that may be expected for the full year ending December 31, 2025, or any future period and the Company makes no representations related thereto.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. The accounting estimates and assumptions that require management’s most significant, challenging, and subjective judgment include the estimation of licensees’ quarterly royalties prior to receiving the royalty reports, the determination of stand-alone selling price and the transaction price in an arrangement with multiple performance obligations, the fair value of note receivable and deferred consideration in connection with the Company’s AutoSense in-cabin safety business and related imaging solutions (the “AutoSense Divestiture”), the assessment of useful lives and recoverability of other intangible assets and long-lived assets, recognition and measurement of current and deferred income tax assets and liabilities, the assessment of unrecognized tax benefits, and valuation of performance-based awards with a market condition. Actual results experienced by the Company may differ from management’s estimates.

Concentration of Credit and Other Risks

Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of cash and cash equivalents, accounts receivable, unbilled contracts receivable, a note receivable and deferred consideration from divestiture. The Company maintains cash and cash equivalents with large financial institutions, and at times, the deposits may exceed the federally insured limits. As part of its risk management processes, the Company performs periodic evaluations of the relative credit standing of these financial institutions. The Company has not sustained material credit losses from instruments held at these financial institutions. In addition, the Company has cash and cash equivalents held in international bank accounts that are denominated in various foreign currencies and has established risk management strategies designed to minimize the impact of certain currency exchange rate fluctuations.

The Company believes that any concentration of credit risk in its accounts receivable and unbilled contracts receivable are substantially mitigated by its evaluation processes and the high level of credit worthiness of its customers. The Company performs ongoing credit evaluations of its customers’ financial condition and limits the amount of credit extended when deemed necessary, but generally requires no collateral.

For the three months ended September 30, 2025, there was one customer that accounted for 10% or more of total revenue, whereas there was none for the nine months ended September 30, 2025. For the three and nine months ended September 30, 2024, one customer accounted for 10% or more of total revenue. As of September 30, 2025, no customer represented 10% or more of the Company’s net balance of accounts receivable. Additionally, two customers exceeded 10% of the Company’s combined net balance of current and noncurrent unbilled contracts receivable. As of December 31, 2024, no customer represented 10% or more of the Company’s net balance of accounts receivable, and one customer exceeded 10% of the Company’s net balance of current and noncurrent unbilled contracts receivable.

As part of the consideration for the AutoSense Divestiture, the Company received a note receivable and deferred consideration from Tobii AB (“Tobii”). Both of these instruments are exposed to credit risk arising from default on repayment from Tobii. The credit risk associated with the note receivable is mitigated by establishing a floating lien and security interest in certain of Tobii’s assets, rights, and properties, whereas the deferred consideration is not secured by any collateral. The Company utilizes valuation methodologies such as internally generated cash flow projections on the principal and interest of each instrument, along with the review of certain other data points, to determine the likelihood that the note receivable or deferred consideration will be repaid. Further, the Company assesses each instrument for credit losses and provides a reserve when full payment on the instruments may not occur as expected, in which case the reserve reflects the excess of the amortized cost basis over the results of the cash flow projections. The Company currently expects Tobii to make full payment on both instruments in accordance with the underlying agreement. Accordingly, no allowance for credit losses was recorded as of September 30, 2025.

Recent Accounting Pronouncements

Accounting Standards Not Yet Adopted

In December 2023, the Financial Accounting Standards Board (the “FASB”) issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which requires disclosure of specific categories in the effective tax rate reconciliation and additional information for reconciling items that meet a quantitative threshold and further disaggregation of income taxes paid for individually significant jurisdictions. The Company expects to adopt this updated guidance on a prospective basis in the disclosure within its December 31, 2025 consolidated financial statements.

In November 2024, the FASB issued ASU 2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses. The standard requires that public entities disclose additional information about specific expense categories in the notes to financial statements for interim and annual reporting periods. The standard will become effective for the Company’s 2027 annual financial statements and interim financial statements thereafter and may be applied prospectively to periods after the adoption date or retrospectively for all prior periods presented in the financial statements, with early adoption permitted. The Company is currently evaluating the impact of this guidance on the disclosures within its consolidated financial statements.

In July 2025, the FASB issued ASU 2025-05, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses for Accounts Receivable and Contract Assets. The update guidance aims to simplify how all entities currently estimate expected credit losses for their outstanding trade and other related receivables arising from revenue transactions and provides a practical expedient available for election by public entities. Once elected, all public entities are no longer required to consider forecasted information when estimating expected credit losses, but only the historical and current economic conditions relevant to the collectibility of the trade and other related receivables. The updated guidance will become effective on a prospective basis for the Company in the first quarter of 2026, with early adoption permitted. The Company does not expect the impact upon adoption to be material to its consolidated financial statements.

In September 2025, the FASB issued ASU 2025-06, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software. This updated guidance eliminates the consideration of software project development stages and introduces additional considerations for the existing probability threshold assessment on completing a software development project. Entities are required to assess whether significant uncertainty exists in the development activities of the software before capitalizing any software costs, and such uncertainty is considered to exist if the project involves any technological innovations with novel and unproven features or unidentified significant performance requirements. The updated guidance will become effective for the Company in the first quarter of 2028 and may be adopted on either a prospective basis, full retrospective basis, or modified prospective basis with a cumulative-effect adjustment through retained earnings. Early adoption is permitted. The Company is currently evaluating the impact of this guidance on its consolidated financial statements.

v3.25.3
Revenue
 9 Months Ended
Sep. 30, 2025
Revenue from Contract with Customer [Abstract]  
Revenue

NOTE 2 – REVENUE

Revenue Recognition

General

Revenue is recognized when control of the promised goods or services is transferred to a customer in an amount that reflects the consideration the Company expects to receive in exchange for those goods or services, which may include various combinations of goods and services which are generally capable of being distinct and accounted for as separate performance obligations. Revenue is recognized net of sales taxes collected from customers which are subsequently remitted to governmental authorities.

Some of the Company’s contracts with customers contain multiple performance obligations. For these contracts, the individual performance obligations are separately accounted for if they are distinct. In an arrangement with multiple performance obligations, the transaction price is allocated among the separate performance obligations on a relative standalone selling price (“SSP”) basis. The determination of SSP considers market conditions, the size and scope of the contract, customer and geographic information, and other factors. When observable prices are not available, SSP for separate performance obligations is generally based on the cost-plus-margin approach, considering overall pricing objectives.

When variable consideration is in the form of a sales-based or usage-based royalty in exchange for a license of technology or when a license of technology is the predominant item to which the variable consideration relates, revenue is recognized at the later of when the subsequent sale or usage occurs or the performance obligation to which some or all of the sales-based or usage-based royalty has been satisfied or partially satisfied.

Description of Revenue-Generating Activities

The Company derives the majority of its revenue from licensing its technologies and solutions to customers within the Pay-TV, Consumer Electronics, Connected Car and Media Platform product categories. Refer to Part I, Item 1 of the Form 10-K for detailed information regarding these product categories.

Pay-TV

Customers within the Pay-TV category are primarily multi-channel video service providers, consumer electronics (“CE”) manufacturers, and end consumers. Revenue in this category is primarily derived from licensing the Company’s Pay-TV solutions, including Electronic Program Guides, TiVo video-over-broadband (“IPTV”) Solutions, Personalized Content Discovery and enriched Metadata.

For these solutions, the Company generally provides on-going media or data delivery, either via on-premise licensed software, hosting or access to its platform. The Company generally receives fees on a per-subscriber, per-month basis or as a monthly

fee, and revenue is recognized during the month in which the solutions are provided to the customer. For most of the on-premise licensed software arrangements, substantially all functionality is obtained through the Company’s frequent updating of the technology, data and content. In these instances, the Company typically has a single performance obligation related to these ongoing activities in the underlying arrangement, and revenue is generally recognized over the period the solution is provided. In the case of certain minimum guarantee or fixed fee on-premise licensed software arrangements, revenue is recognized immediately upon the delivery of the licensed technology. Hosted solutions and access to our platform is considered a single performance obligation with revenue being recognized over the period the solution is provided.

Consumer Electronics

The Company licenses its audio technologies to CE manufacturers or their supply chain partners.

The Company generally recognizes royalty revenue from licenses based on units shipped or manufactured. Revenue is recognized in the period in which the customer’s sales or production are estimated to have occurred. This may result in an adjustment to revenue when actual sales or production are subsequently reported by the customer, generally in the month or quarter following sales or production. Estimating customers’ quarterly royalties prior to receiving the royalty reports requires the Company to make significant assumptions and judgments related to forecasted trends and growth rates used to estimate quantities shipped or manufactured by customers, which could have a material impact on the amount of revenue it reports on a quarterly basis.

Certain customers enter into fixed fee or minimum guarantee agreements, whereby customers pay a fixed fee for the right to incorporate the Company’s technology in the customer’s products over the license term. In arrangements with a minimum guarantee, the fixed fee component corresponds to a minimum number of units or dollars that the customer must produce or pay, with additional per-unit fees for any units or dollars exceeding the minimum. The Company generally recognizes the full fixed fee as revenue at the beginning of the license term when the customer has the right to use the technology and begins to benefit from the license. If applicable, revenue is recognized net of the effect of any significant financing components calculated using customer-specific, risk-adjusted lending rates, with the related interest income being recognized over time on an effective rate basis. For minimum guarantee agreements where the customer exceeds the minimum, the Company recognizes revenue relating to any additional per-unit fees in the periods it estimates the customer will exceed the minimum and adjusts the revenue based on actual usage once that is reported by the customer.

Connected Car

The Company licenses its digital radio solutions, automotive infotainment and related offerings to automotive manufacturers or their supply chain partners.

The Company generally recognizes royalty revenue from these licenses based on units shipped or manufactured, similar to the revenue recognition described above in “Consumer Electronics”. Certain customers may enter into fixed fee or minimum guarantee agreements, also similar to the revenue recognition described above in “Consumer Electronics”. Automotive infotainment and related revenue is generally recognized over time as the customer obtains access to the solutions and underlying data.

Media Platform

The Company generates revenue from advertising, TV viewership data, metadata for ad measurement and programming analytics, and licensing of the core middleware solutions.

Advertising revenue is generally recognized when the related advertisement is provided. TV viewership data revenue is generally recognized over time as the customer obtains the underlying data. Metadata for ad measurement and programming analytics is generally recognized over time as the customer obtains the scheduled data. License revenue for the core middleware solutions is generally recognized either on a per-unit royalty or a minimum guarantee or fixed fee basis, similar to “Consumer Electronics” described in the section above.

Hardware Products, Services and Settlements/Recoveries

The Company sells hardware products, primarily to end consumers, within the Pay-TV and Consumer Electronics product categories. Hardware product revenue is generally recognized when the promised product is delivered.

The Company also generates non-recurring engineering (“NRE”) revenue within all of its product categories. The Company recognizes NRE revenue as progress is made toward completion, generally using an input method based on the ratio of costs incurred to date to total estimated costs of the project.

Revenue from each of advertising, NRE services, and hardware products was less than 10% of total revenue for all periods presented.

The Company actively monitors and enforces its technology licenses, including seeking appropriate compensation from customers that have under-reported royalties owed under a license agreement and from third parties that utilize the Company’s technologies without a license. As a result of these activities, the Company may, from time to time, recognize revenue from periodic compliance audits of licensees for underreporting royalties incurred in prior periods, or from settlements of license disputes. These settlements and recoveries may cause revenue to be higher than expected during a particular reporting period and such settlements and recoveries may not occur in subsequent periods. The Company recognizes revenue from settlements and recoveries when a binding agreement has been executed or a revised royalty report has been received and the Company concludes collection is probable.

Disaggregation of Revenue

The Company’s revenue that is recognized over time consists primarily of per unit royalties, per-subscriber per-month or monthly license fees, single performance obligations satisfied over time, and NRE services. Revenue that is recognized at a point in time consists primarily of fixed fee or minimum guarantee licensing contracts, advertising, settlements/recoveries and hardware products.

The following table summarizes revenue by timing of recognition (in thousands):

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Recognized over time

 

$

82,818

 

 

$

91,025

 

 

$

242,855

 

 

$

274,880

 

Recognized at a point in time

 

 

28,814

 

 

 

41,866

 

 

 

88,743

 

 

 

96,446

 

Total revenue

 

$

111,632

 

 

$

132,891

 

 

$

331,598

 

 

$

371,326

 

The following table summarizes revenue by product category (in thousands):

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Pay-TV

 

$

49,781

 

 

$

81,676

 

 

$

149,582

 

 

$

199,234

 

Consumer Electronics

 

 

18,802

 

 

 

16,906

 

 

 

60,363

 

 

 

60,198

 

Connected Car

 

 

34,612

 

 

 

25,534

 

 

 

93,003

 

 

 

81,305

 

Media Platform

 

 

8,437

 

 

 

8,775

 

 

 

28,650

 

 

 

30,589

 

Total revenue

 

$

111,632

 

 

$

132,891

 

 

$

331,598

 

 

$

371,326

 

The following table summarizes revenue by geographic location (in thousands):

 

 

Three Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

 

Amount

 

 

Percentage of Revenue

 

 

Amount

 

 

Percentage of Revenue

 

U.S. and Canada (1)

 

$

48,067

 

 

 

43

%

 

$

59,229

 

 

 

45

%

Asia Pacific

 

 

40,631

 

 

 

36

 

 

 

51,957

 

 

 

39

 

Europe, Middle East and Africa

 

 

15,605

 

 

 

14

 

 

 

9,619

 

 

 

7

 

Other

 

 

7,329

 

 

 

7

 

 

 

12,086

 

 

 

9

 

Total revenue

 

$

111,632

 

 

 

100

%

 

$

132,891

 

 

 

100

%

 

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

 

Amount

 

 

Percentage of Revenue

 

 

Amount

 

 

Percentage of Revenue

 

U.S. and Canada (1)

 

$

158,167

 

 

 

48

%

 

$

184,456

 

 

 

50

%

Asia Pacific

 

 

119,235

 

 

 

36

 

 

 

121,748

 

 

 

33

 

Europe, Middle East and Africa

 

 

33,803

 

 

 

10

 

 

 

32,561

 

 

 

9

 

Other

 

 

20,393

 

 

 

6

 

 

 

32,561

 

 

 

8

 

Total revenue

 

$

331,598

 

 

 

100

%

 

$

371,326

 

 

 

100

%

(1) For the three months ended September 30, 2025 and 2024, the Company recognized $43.4 million and $54.7 million of revenue from the U.S., which represented 39% and 41% of total revenue for the respective periods. For the nine months ended September 30, 2025 and 2024, revenue from the U.S. was $144.6 million and $170.3 million, or 44% and 46% of total revenue, for the respective periods.

A significant portion of the Company’s revenue is derived from licensees headquartered outside of the U.S., principally in Asia Pacific and Europe, Middle East and Africa. Japan, which was part of Asia Pacific, contributed a significant amount of revenue, as shown in the following table (in thousands):

 

 

Three Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

 

Amount

 

 

Percentage of Revenue

 

 

Amount

 

 

Percentage of Revenue

 

Japan

 

$

28,812

 

 

 

26

%

 

$

37,705

 

 

 

28

%

 

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

 

Amount

 

 

Percentage of Revenue

 

 

Amount

 

 

Percentage of Revenue

 

Japan

 

$

59,374

 

 

 

18

%

 

$

63,615

 

 

 

17

%

No individual country in Europe, Middle East and Africa and other regions accounted for 10% or more of total revenue in all periods presented.

The following table presents additional revenue disclosures (in thousands):

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Revenue recognized in the period from:

 

 

 

 

 

 

 

 

 

 

 

 

Amounts included in deferred revenue at the beginning of
   the period

 

$

5,582

 

 

$

4,491

 

 

$

20,196

 

 

$

18,093

 

Performance obligations satisfied in previous periods (true
   ups, recoveries, and settlements) (1)

 

$

(364

)

 

$

701

 

 

$

1,243

 

 

$

4,063

 

(1) True ups represent the differences between the Company’s quarterly estimates of per-unit royalty revenue and actual production/sales-based royalties reported by licensees in reports that are generally received in the following period and may include other changes in estimates. Recoveries represent corrections or revisions to previously reported per-unit royalties by licensees, generally resulting from the Company’s inquiries or compliance audits. Settlements represent resolutions of disputes or litigation during the period for past royalties owed.

Remaining Performance Obligations

Remaining performance obligations represent contracted revenue that has not yet been recognized. As of September 30, 2025, the Company’s remaining performance obligations and the period over which they are expected to be recognized were as follows (in thousands):

 

Year Ending December 31:

 

Amounts

 

2025 (remaining 3 months)

 

$

15,715

 

2026

 

 

39,571

 

2027

 

 

21,047

 

2028

 

 

10,282

 

2029

 

 

4,433

 

Thereafter

 

 

1,513

 

Total

 

$

92,561

 

Allowance for Credit Losses

The following table presents the activity in the allowance for credit losses for the three and nine months ended September 30, 2025 and 2024 (in thousands):

 

 

Three Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

 

Accounts Receivable

 

 

Unbilled Contracts Receivable

 

 

Accounts Receivable

 

 

Unbilled Contracts Receivable

 

Beginning balance

 

$

954

 

 

$

468

 

 

$

1,154

 

 

$

348

 

Provision for credit losses

 

 

15

 

 

 

(32

)

 

 

5

 

 

 

167

 

Recoveries/charge-off

 

 

(98

)

 

 

(3

)

 

 

(88

)

 

 

—

 

Ending balance

 

$

871

 

 

$

433

 

 

$

1,071

 

 

$

515

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

 

Accounts Receivable

 

 

Unbilled Contracts Receivable

 

 

Accounts Receivable

 

 

Unbilled Contracts Receivable

 

Beginning balance

 

$

946

 

 

$

499

 

 

$

1,906

 

 

$

190

 

Provision for credit losses

 

 

244

 

 

 

(54

)

 

 

(53

)

 

 

328

 

Recoveries/charge-off

 

 

(319

)

 

 

(12

)

 

 

(782

)

 

 

(3

)

Ending balance

 

$

871

 

 

$

433

 

 

$

1,071

 

 

$

515

 
v3.25.3
Composition of Certain Financial Statement Captions
 9 Months Ended
Sep. 30, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Composition of Certain Financial Statement Captions

NOTE 3 – COMPOSITION OF CERTAIN FINANCIAL STATEMENT CAPTIONS

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

 

 

 

September 30, 2025

 

 

December 31, 2024

 

Prepaid expenses

 

$

16,985

 

 

$

21,027

 

Prepaid income taxes

 

 

9,347

 

 

 

8,295

 

Finished goods inventory

 

 

—

 

 

 

1,061

 

Other

 

 

3,215

 

 

 

2,105

 

Total

 

$

29,547

 

 

$

32,488

 

 

 

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

 

 

 

September 30, 2025

 

 

December 31, 2024

 

Computer equipment and software

 

$

58,367

 

 

$

54,737

 

Capitalized internal-use software

 

 

35,339

 

 

 

23,384

 

Office equipment and furniture

 

 

11,183

 

 

 

10,773

 

Building

 

 

17,876

 

 

 

17,876

 

Land

 

 

5,300

 

 

 

5,300

 

Leasehold improvements

 

 

10,894

 

 

 

10,778

 

Construction in progress

 

 

305

 

 

 

1,979

 

Total property and equipment

 

 

139,264

 

 

 

124,827

 

Less: accumulated depreciation and amortization(1)

 

 

(88,796

)

 

 

(80,354

)

Property and equipment, net

 

$

50,468

 

 

$

44,473

 
(1)
Includes $9.2 million and $4.1 million as of September 30, 2025 and December 31, 2024, respectively, of accumulated amortization associated with capitalized internal-use software.

The following table summarizes the capitalization and amortization of internal-use software for the three and nine months ended September 30, 2025 and 2024 (in thousands):

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Costs capitalized associated with internal-use software

 

$

4,580

 

 

$

3,139

 

 

$

12,105

 

 

$

9,721

 

Amortization of capitalized internal-use software

 

$

1,891

 

 

$

563

 

 

$

5,134

 

 

$

1,579

 

Accrued liabilities consisted of the following (in thousands):

 

 

 

September 30, 2025

 

 

December 31, 2024

 

Employee compensation and benefits

 

$

27,182

 

 

$

33,360

 

Accrued income taxes

 

 

13,270

 

 

 

6,259

 

Accrued expenses

 

 

13,061

 

 

 

16,108

 

Current portion of operating lease liabilities

 

 

9,536

 

 

 

15,353

 

Accrued other taxes

 

 

2,922

 

 

 

8,370

 

Third-party royalties

 

 

4,159

 

 

 

5,171

 

Other

 

 

8,067

 

 

 

9,799

 

Total

 

$

78,197

 

 

$

94,420

 
v3.25.3
Financial Instruments
 9 Months Ended
Sep. 30, 2025
Investments, Debt and Equity Securities [Abstract]  
Financial Instruments

NOTE 4 – FINANCIAL INSTRUMENTS

Non-marketable Equity Securities

As of September 30, 2025 and December 31, 2024, other noncurrent assets included equity securities accounted for under the equity method with a carrying amount of $4.6 million and $4.7 million, respectively. No impairments to the carrying amount of the Company’s non-marketable equity securities were recognized in the three and nine months ended September 30, 2025 and 2024.

Derivatives Instruments

The Company uses a foreign exchange hedging strategy to hedge local currency expenses and reduce variability associated with anticipated cash flows. The Company’s derivative financial instruments consist of foreign currency forward contracts. The maturities of these instruments are generally less than twelve months. Fair values for derivative financial instruments are based on prices computed using third-party valuation models. All the significant inputs to the third-party valuation models are

observable in active markets. Inputs include current market-based parameters such as forward rates, yield curves and credit default swap pricing.

Cash Flow Hedges

The Company designates certain foreign currency forward contracts as hedging instruments pursuant to Accounting Standards Codification (“ASC”) No. 815—Derivatives and Hedging. The effective portion of the gain or loss on the derivatives are reported as a component of accumulated other comprehensive loss (“AOCL”) in stockholders’ equity and reclassified into net loss on the condensed consolidated statements of operations (unaudited) in the period the hedged transactions are settled.

The notional and fair values of all derivative financial instruments were as follows (in thousands):

 

Location in Balance Sheet

 

September 30, 2025

 

 

December 31, 2024

 

Derivative instruments designated as cash flow hedges:

 

 

 

 

 

 

 

Fair value—foreign exchange contract assets, net amount

Prepaid expenses and other current assets

 

$

552

 

 

$

—

 

Fair value—foreign exchange contract liabilities, net amount

Accrued liabilities

 

$

—

 

 

$

1,858

 

 

 

 

 

 

 

 

 

Notional value held to buy U.S. dollars in exchange for other currencies

 

 

$

5,685

 

 

$

5,074

 

Notional value held to sell U.S. dollars in exchange for other currencies

 

 

$

70,601

 

 

$

57,329

 

All of the Company’s derivative financial instruments are eligible for netting arrangements that allow the Company and its counterparty to net settle amounts owed to each other. Derivative assets and liabilities that can be net settled under these arrangements have been presented in the Company's condensed consolidated balance sheets on a net basis.

The gross amounts of the Company’s foreign currency forward contracts and the net amounts recorded in the Company’s condensed consolidated balance sheets were as follows (in thousands):

 

September 30, 2025

 

 

December 31, 2024

 

Gross amount of recognized assets

$

1,890

 

 

$

173

 

Gross amount of recognized liabilities

 

(1,338

)

 

 

(2,031

)

Net derivative assets (liabilities)

$

552

 

 

$

(1,858

)

The changes in AOCL related to the cash flow hedges consisted of the following (in thousands):

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Beginning balance

 

$

2,595

 

 

$

(152

)

 

$

(1,858

)

 

$

1,034

 

Other comprehensive (loss) gain before reclassification

 

 

(1,600

)

 

 

1,199

 

 

 

2,654

 

 

 

497

 

Amounts reclassified from accumulated other comprehensive gain into net loss

 

 

(443

)

 

 

(161

)

 

 

(244

)

 

 

(645

)

Net current period other comprehensive (loss) gain

 

 

(2,043

)

 

 

1,038

 

 

 

2,410

 

 

 

(148

)

Ending balance

 

$

552

 

 

$

886

 

 

$

552

 

 

$

886

 

The following table summarizes the gains recognized upon settlement of the hedged transactions in the condensed consolidated statements of operations for three and nine months ended September 30, 2025 and 2024 (in thousands):

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Research and development

 

$

411

 

 

$

10

 

 

$

531

 

 

$

494

 

Selling, general and administrative

 

 

79

 

 

 

226

 

 

 

49

 

 

 

309

 

Total

 

$

490

 

 

$

236

 

 

$

580

 

 

$

803

 
v3.25.3
Fair Value
 9 Months Ended
Sep. 30, 2025
Fair Value Disclosures [Abstract]  
Fair Value

NOTE 5 – FAIR VALUE

The Company follows the authoritative guidance for fair value measurement and the fair value option for financial assets and financial liabilities. The Company carries its financial instruments at fair value with the exception of its note receivable, deferred consideration from divestitures, short-term debt, and long-term debt. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability, or an exit price, in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The established fair value hierarchy requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. There are three levels of inputs that may be used to measure fair value:

 

Level 1

Quoted prices in active markets for identical assets.

 

 

Level 2

Observable market-based inputs or unobservable inputs that are corroborated by market data.

 

 

Level 3

Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets. 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.

When applying fair value principles in the valuation of assets and liabilities, the Company is required to maximize the use of quoted market prices and minimize the use of unobservable inputs. The Company calculates the fair value of its Level 1 and Level 2 instruments based on the exchange traded price of similar or identical instruments, where available, or based on other observable inputs.

The Company’s derivative financial instruments (as described in Note 4—Financial Instruments), consisting of foreign currency forward contracts, are reported at fair value on a recurring basis and classified as Level 2.

Financial Instruments Not Recorded at Fair Value

The following table presents the fair value hierarchy for the Company’s assets and liabilities recorded at their carrying amount, but for which the fair value is disclosed (in thousands):

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

Carrying
Amount

 

 

Estimated
Fair Value

 

 

Carrying
Amount

 

 

Estimated
Fair Value

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Note receivable, noncurrent

 

$

31,462

 

 

$

34,040

 

 

$

29,702

 

 

$

28,223

 

Deferred consideration from divestitures(1)

 

 

19,455

 

 

 

22,784

 

 

 

18,217

 

 

 

18,342

 

Total assets

 

$

50,917

 

 

$

56,824

 

 

$

47,919

 

 

$

46,565

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Senior unsecured promissory note

 

$

—

 

 

$

—

 

 

$

50,000

 

 

$

50,000

 

AR Facility

 

$

40,000

 

 

$

40,000

 

 

$

—

 

 

$

—

 
(1)
Includes $11.8 million as of September 30, 2025 of the net carrying amount of the holdback consideration from the Perceive Transaction (as described in Note 6—Divestitures), which approximates its associated fair value and is classified as current in the condensed consolidated balance sheets.

The fair value of the note receivable, including accrued interest, and the deferred consideration resulting from the AutoSense Divestiture and the Perceive Transaction were estimated based on an income and market approach with valuation inputs such as

the U.S. Treasury constant maturity yields, comparable bond yields, and credit spreads over the term of the same or similarly issued instruments. They are classified within Level 2 of the fair value hierarchy.

Debt is classified within Level 2 of the fair value hierarchy. As of December 31, 2024, short-term debt included the senior unsecured promissory note. The carrying amount of the senior unsecured promissory note approximated fair value due to its short-term maturity. As of September 30, 2025, long-term debt included the AR Facility (as defined in Note 8—Debt and Receivables Securitization) with a floating interest rate based on market conditions. The carrying amount of the AR Facility approximates fair value. Refer to Note 8—Debt and Receivables Securitization for additional information on these two debt instruments.
v3.25.3
Divestitures
 9 Months Ended
Sep. 30, 2025
Discontinued Operations and Disposal Groups [Abstract]  
Divestiture

NOTE 6 – DIVESTITURES

Perceive Corporation

In August 2024, the Company and one of its former subsidiaries, Perceive (“Seller”), of which the Company owned approximately 76.4% of the equity interests, entered into an Asset Purchase Agreement with Amazon.com Services LLC (“Buyer”) pursuant to which Buyer agreed to purchase and assume from Seller substantially all the assets and certain liabilities of Seller for $80.0 million in cash, including a holdback of $12.0 million to be held for 18 months after the closing of the transaction to secure the Company’s and Seller’s indemnification obligations (the “Perceive Transaction”). The Perceive Transaction was subsequently completed in October 2024.

The Perceive Transaction did not represent a strategic shift that would have a major effect on the Company’s consolidated results of operations, and therefore, its results of operations were not reported as discontinued operations.

Holdback Consideration

Upon completion of the Perceive Transaction, the holdback consideration of $12.0 million was estimated to have a then present value of $11.3 million, resulting in a discount of $0.7 million. For the three and nine months ended September 30, 2025, the amount of discount accreted as interest income was insignificant.

As of September 30, 2025, the net carrying amount of the holdback consideration is as follows (in thousands):

 

 

September 30, 2025

 

Holdback consideration

 

$

12,000

 

Less: unamortized discount on holdback consideration

 

 

(238

)

Net carrying amount

 

$

11,762

 

AutoSense In-cabin Safety Business and Related Imaging Solutions

In December 2023, the Company entered into a definitive agreement with Tobii in connection with the AutoSense Divestiture. The AutoSense Divestiture represented a 100% equity sale transaction of two of the Company’s wholly-owned subsidiaries and was expected to streamline the Company’s business to further focus its business on entertainment-related products and services.

In January 2024, the AutoSense Divestiture was completed for total consideration of $44.3 million, comprised of $10.8 million of cash, a note receivable from Tobii (the “Tobii Note”) of $27.7 million, and deferred consideration (as described under Deferred Consideration below) totaling $15.0 million, which was estimated to have a fair value of $5.8 million based on a present value factor as of January 31, 2024. The $10.8 million of cash included in the total consideration represents the cash balance that was transferred to Tobii upon completion of the AutoSense Divestiture to support operations during the transition and was subsequently returned to the Company, and as such, this amount is included in the assets sold as of January 31, 2024 and in the total consideration received. In addition, there may be potential earnout payments (as described under Contingent Consideration below) payable in 2031, contingent upon the future success of the divested AutoSense in-cabin safety business.

In connection with the AutoSense Divestiture, the Company also recorded a liability of $7.1 million for potential indemnification of certain pre-closing date matters.

As of January 31, 2024, the Company derecognized the carrying amounts of the following assets and liabilities (in thousands):

 

 

January 31, 2024

 

 

 

Current

 

 

Noncurrent

 

 

Total

 

Assets:

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

11,025

 

 

$

—

 

 

$

11,025

 

Accounts receivable, net

 

 

3,392

 

 

 

—

 

 

 

3,392

 

Unbilled contracts receivable, net

 

 

1,398

 

 

 

5,320

 

 

 

6,718

 

Prepaid expenses and other current assets

 

 

812

 

 

 

—

 

 

 

812

 

Property and equipment, net

 

 

—

 

 

 

2,291

 

 

 

2,291

 

Operating lease right-of-use assets

 

 

—

 

 

 

3,272

 

 

 

3,272

 

Other noncurrent assets

 

 

—

 

 

 

2,887

 

 

 

2,887

 

Total assets held for sale

 

$

16,627

 

 

$

13,770

 

 

$

30,397

 

 

 

 

 

 

 

 

 

 

 

Liabilities:

 

 

 

 

 

 

 

 

 

Accounts payable

 

$

248

 

 

$

—

 

 

$

248

 

Accrued liabilities

 

 

4,933

 

 

 

—

 

 

 

4,933

 

Deferred revenue

 

 

1,114

 

 

 

—

 

 

 

1,114

 

Operating lease liabilities, noncurrent

 

 

—

 

 

 

2,708

 

 

 

2,708

 

Other noncurrent liabilities

 

 

—

 

 

 

7,064

 

 

 

7,064

 

Total liabilities held for sale

 

$

6,295

 

 

$

9,772

 

 

$

16,067

 

 

 

 

 

 

 

 

 

 

 

Net assets held for sale

 

$

10,332

 

 

$

3,998

 

 

$

14,330

 

Upon the completion of the AutoSense Divestiture, the Company recognized a pre-tax gain of $22.9 million.

The AutoSense Divestiture did not represent a strategic shift that would have a major effect on the Company’s consolidated results of operations, and therefore, its results of operations were not reported as discontinued operations.

Note Receivable from Tobii AB

The Tobii Note, with a fixed interest rate of 8% per annum, matures on April 1, 2029, and is payable in three annual installments. Tobii may, at any time and on any one or more occasions, prepay all or any portion of the outstanding principal amount, along with accrued interest, without any penalty. In the event of default, an additional interest of 2% per annum may be applied to the outstanding balance of the Tobii Note, and the Company has the right to demand full or partial payment on the outstanding balance with unpaid interest.

The Tobii Note is secured by a floating lien and security interest in certain of Tobii’s assets, rights, and properties, and contains customary affirmative and negative covenants including the restrictions on incurring certain indebtedness, and certain change of control and asset sale events, but does not include any financial covenants.

The Tobii Note has the following scheduled principal repayments (in thousands):

Date of Principal Payment:

 

Amount

 

April 1, 2027

 

$

10,000

 

April 1, 2028

 

 

10,000

 

April 1, 2029

 

 

7,676

 

Total principal payments

 

$

27,676

 

The Company elected to present accrued interest within the carrying amount of note receivable, noncurrent, in the condensed consolidated balance sheets. As of September 30, 2025, the carrying amount of the Tobii Note is as follows (in thousands):

 

 

September 30, 2025

 

Outstanding principal amount

 

$

27,676

 

Add: interest accrued to date

 

 

3,786

 

Carrying amount—note receivable, noncurrent

 

$

31,462

 

 

Interest income recognized from the note receivable was $0.6 million for each of the three months ended September 30, 2025 and 2024, and $1.8 million and $1.5 million for the nine months ended September 30, 2025 and 2024, respectively.

Deferred Consideration

The deferred consideration consists of guaranteed future cash payments, which are scheduled to be made by Tobii in four annual payments as follows (in thousands):

Date of Payment:

 

Amount

 

February 15, 2028

 

$

3,000

 

February 15, 2029

 

 

2,250

 

February 15, 2030

 

 

4,500

 

February 15, 2031

 

 

5,250

 

Total future payments

 

$

15,000

 

At the closing date of the Tobii Note, there was $9.2 million of discount on the deferred consideration to be accreted as interest income up to the date of the final payment. Interest income accreted from the discount was $0.3 million for each of the three months ended September 30, 2025 and 2024, and $0.9 million and $0.7 million for the nine months ended September 30, 2025 and 2024, respectively.

As of September 30, 2025, the net carrying amount of the deferred consideration is as follows (in thousands):

 

 

September 30, 2025

 

Total deferred consideration

 

$

15,000

 

Less: unamortized discount on deferred consideration

 

 

(7,307

)

Net carrying amount

 

$

7,693

 

Contingent Consideration

The earnout represents potential incremental cash consideration, and the payment is contingent upon the achievement of certain targeted shipments, between January 1, 2024 and December 31, 2030, of qualified automotive products featuring the AutoSense in-cabin safety technology and the related imaging solutions.

At the closing date of the AutoSense Divestiture, the Company elected to apply the gain contingency guidance under ASC 450—Contingencies, as it could not reasonably estimate shipment amounts. As a result, the Company deferred the recognition of the contingent consideration until it becomes realized or realizable.
v3.25.3
Intangible Assets, Net
 9 Months Ended
Sep. 30, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Intangible Assets, Net

NOTE 7 – INTANGIBLE ASSETS, NET

Identified intangible assets consisted of the following (in thousands):

 

 

September 30, 2025

 

 

 

Weighted-Average Remaining Useful Life
(in years)

 

 

Gross Amount

 

 

Accumulated
Amortization

 

 

Net Carrying Value

 

Finite-lived intangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

Acquired patents

 

 

4.5

 

 

$

17,281

 

 

$

(7,344

)

 

$

9,937

 

Existing technology / content database

 

 

3.7

 

 

 

219,919

 

 

 

(200,955

)

 

 

18,964

 

Customer contracts and related relationships

 

 

3.6

 

 

 

493,685

 

 

 

(407,408

)

 

 

86,277

 

Trademarks/trade name

 

 

1.7

 

 

 

39,313

 

 

 

(39,023

)

 

 

290

 

Non-compete agreements

 

 

 

 

 

3,101

 

 

 

(3,101

)

 

 

—

 

Total finite-lived intangible assets

 

 

 

 

 

773,299

 

 

 

(657,831

)

 

 

115,468

 

Indefinite-lived intangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

TiVo tradename/trademarks

 

N/A

 

 

 

21,400

 

 

 

—

 

 

 

21,400

 

Total intangible assets

 

 

 

 

$

794,699

 

 

$

(657,831

)

 

$

136,868

 

 

 

 

 

 

December 31, 2024

 

 

 

Weighted-Average Remaining Useful Life
(in years)

 

 

Gross Amount

 

 

Accumulated
Amortization

 

 

Net Carrying Value

 

Finite-lived intangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

Acquired patents

 

 

5.2

 

 

$

17,281

 

 

$

(5,687

)

 

$

11,594

 

Existing technology / content database

 

 

4.0

 

 

 

219,912

 

 

 

(194,041

)

 

 

25,871

 

Customer contracts and related relationships

 

 

4.4

 

 

 

493,685

 

 

 

(389,251

)

 

 

104,434

 

Trademarks/trade name

 

 

2.5

 

 

 

39,313

 

 

 

(38,898

)

 

 

415

 

Non-compete agreements

 

 

 

 

 

3,101

 

 

 

(3,101

)

 

 

—

 

Total finite-lived intangible assets

 

 

 

 

 

773,292

 

 

 

(630,978

)

 

 

142,314

 

Indefinite-lived intangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

TiVo tradename/trademarks

 

N/A

 

 

 

21,400

 

 

 

—

 

 

 

21,400

 

Total intangible assets

 

 

 

 

$

794,692

 

 

$

(630,978

)

 

$

163,714

 

As of September 30, 2025, the estimated future amortization expense of total finite-lived intangible assets was as follows (in thousands):

 

Year Ending December 31:

 

Amounts

 

2025 (remaining 3 months)

 

$

7,986

 

2026

 

 

31,508

 

2027

 

 

30,666

 

2028

 

 

30,328

 

2029

 

 

14,342

 

Thereafter

 

 

638

 

Total future amortization

 

$

115,468

 
v3.25.3
Debt and Receivables Securitization
 9 Months Ended
Sep. 30, 2025
Debt Disclosure [Abstract]  
Debt and Receivables Securitization

NOTE 8 – DEBT AND RECEIVABLES SECURITIZATION

PNC AR Facility

In February 2025, the Company entered into a Receivables Financing Agreement (the “RFA”) to establish an accounts receivable securitization program (the “AR Facility”) with PNC Bank, National Association (“PNC”). Under the AR Facility, certain of the Company’s wholly-owned subsidiaries (collectively, the “Originators”) agreed to periodically transfer and sell their trade receivables, which include accounts receivable and unbilled contracts receivable, and all related rights to Xperi SPV LLC (“Xperi SPV”), the Company’s special purpose subsidiary, while the Company manages the associated collection and administrative responsibilities. In turn, Xperi SPV may borrow funds from PNC from time to time, secured by liens on the trade receivables.

The Company controls Xperi SPV and includes it in the Company’s condensed consolidated financial statements. The transfer of the trade receivables is accounted for as a sale of financial assets. Once sold to Xperi SPV, the Originators have no continuing involvement in the transferred trade receivables. Further, the transferred trade receivables are no longer available to satisfy any outstanding debt owed to creditors of the Company or the Originators.

The maximum amount potentially available to borrow, based on the eligibility of the trade receivables, is $55.0 million. Interest on the outstanding balance is accrued at the sum of the (i) monthly Term SOFR Rate (as defined in the RFA) and (ii) 1.90%. Additional interest of 0.50% is accrued on the unused borrowing limit. Interest is payable on a monthly basis. The AR Facility matures on February 21, 2028, unless terminated earlier pursuant to its terms. Repayment of the outstanding principal is due at maturity; however, the Company may prepay all of the outstanding principal at any time, plus accrued and unpaid interest, without any premium or penalty. If, at any time, the aggregate outstanding principal exceeds the eligibility limit of the receivables, the Company is required to repay the excess amount borrowed immediately.

The AR Facility contains customary covenants included in debt arrangements, and certain liquidity and related covenants involving various types of financial performance measures such as liquidity ratio, default ratio, dilution ratio, delinquency ratio, and days sales outstanding. Subject in some cases to cure periods, amounts outstanding under the RFA may be accelerated for customary events of default including, but not limited to, the failure to make payments or deposits when due, borrowing base deficiencies, and the failure to observe or comply with any covenant. The Company was in compliance with all covenants as of September 30, 2025.

On February 21, 2025, the Company borrowed $40.0 million under the AR Facility and accounted for it as a secured borrowing. As of September 30, 2025, accounts receivable and unbilled contracts receivable totaling $113.8 million were included in the balance sheet of Xperi SPV and pledged as collateral against the borrowing.

The Company capitalized fees incurred to establish the securitization program of $1.2 million, which are amortized on a straight-line basis over the commitment term of three years. Fees amortized were immaterial for the three and nine months ended September 30, 2025, and recognized under “interest expense – debt” in the condensed consolidated statements of operations.

Vewd Promissory Note

In connection with the acquisition of Vewd Software Holdings Limited (“Vewd”) on July 1, 2022, the Company issued a senior unsecured promissory note (the “Promissory Note”) to the sellers of Vewd in a principal amount of $50.0 million. Indebtedness outstanding under the Promissory Note bears an interest rate of 6.00% per annum, payable in cash on a quarterly basis. The Promissory Note was scheduled to mature on July 1, 2025, but the Company was permitted to prepay all of the outstanding principal at any time, plus accrued and unpaid interest, without any premium or penalty.

The outstanding principal of $50.0 million on the Promissory Note was classified as current as of December 31, 2024. In February 2025, the Company repaid the full outstanding principal along with accrued interest, with $40.0 million in loan proceeds from the AR Facility with PNC (as described above) and the remainder with cash on hand.

Total interest expense for debt was $0.8 million for the three months ended September 30, 2025 and 2024, and $2.3 million for the nine months ended September 30, 2025 and 2024.

v3.25.3
Net Loss Per Share
 9 Months Ended
Sep. 30, 2025
Earnings Per Share [Abstract]  
Net Loss Per Share

NOTE 9 – NET LOSS PER SHARE

Basic net loss per share attributable to the Company is computed by dividing the net loss attributable to the Company by the number of weighted-average outstanding common shares in the period. Potentially dilutive common shares, such as common shares issuable upon exercise of stock options, vesting of restricted stock units (“RSUs”), and shares purchased under the Employee Stock Purchase Plan (“ESPP”) are typically reflected in the computation of diluted net income per share by application of the treasury stock method. Due to the net losses reported, these potentially dilutive securities were excluded from the computation of diluted net loss per share attributable to the Company, since their effect would be anti-dilutive.

The following table sets forth the computation of basic and diluted net loss per share attributable the Company (in thousands, except per share amounts):

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Numerator:

 

 

 

 

 

 

 

 

 

 

 

 

Net loss attributable to the Company - basic and diluted

 

$

(6,107

)

 

$

(16,805

)

 

$

(39,254

)

 

$

(60,224

)

Denominator:

 

 

 

 

 

 

 

 

 

 

 

 

Weighted-average number of shares used in computing net loss per share attributable to the Company - basic and diluted

 

 

46,276

 

 

 

45,683

 

 

 

45,637

 

 

 

45,180

 

Net loss per share attributable to the Company - basic and diluted

 

$

(0.13

)

 

$

(0.37

)

 

$

(0.86

)

 

$

(1.33

)

 

The following potentially dilutive shares were excluded from the calculation of diluted net loss per share because their effect would have been anti-dilutive for the periods presented (in thousands):

 

 

Three and Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

Stock options

 

 

—

 

 

 

55

 

Restricted stock units

 

 

7,111

 

 

 

7,555

 

ESPP

 

 

332

 

 

 

282

 

Total

 

 

7,443

 

 

 

7,892

 
v3.25.3
Stockholders' Equity And Stock-Based Compensation
 9 Months Ended
Sep. 30, 2025
Share-Based Payment Arrangement [Abstract]  
Stockholders' Equity And Stock-Based Compensation

NOTE 10 – STOCKHOLDERS’ EQUITY AND STOCK-BASED COMPENSATION

Equity Incentive Plans

Under the Xperi Inc. 2022 Equity Incentive Plan (the “2022 EIP”), the Company is allowed to grant stock options, RSUs, and performance-based awards to employees, non-employee directors, and consultants. The 2022 EIP includes an automatic annual increase to its share reserve on January 1 of each year as set forth in the plan document.

As of September 30, 2025, there were approximately 4.9 million shares reserved for future grants under the 2022 EIP.

Employee Stock Purchase Plans

In October 2022, the Company adopted the Xperi Inc. 2022 Employee Stock Purchase Plan (as amended in December 2023, the “2022 ESPP”). The 2022 ESPP provides an offering period of 12 months, commencing on each December 1 and June 1 during each period. Additionally, it includes a reset provision which is triggered if the fair market value per share of the Company’s common stock on any purchase date during an offering period is less than the fair market value per share on the start date of any 12-month offering period. Upon occurrence of the reset, the existing offering period will automatically terminate and a new 12-month offering period will begin on the next business day.

Each reset is treated as a modification in accordance with ASC 718—Stock Based Compensation, with the incremental fair value recognized on a straight-line basis over the new offering period. The reset of the June 2025 offering period did not result in material incremental fair value, whereas the reset of the June 2024 offering period had an incremental fair value of $2.0 million.

As of September 30, 2025, there were 2.1 million shares reserved for future issuance under the 2022 ESPP.

The following table summarizes the valuation assumptions used in estimating the fair value of the 2022 ESPP for the offering periods in effect using the Black-Scholes option pricing model:

 

 

Nine Months Ended September 30,

 

 

 

 

2025

 

 

2024

 

 

Expected life (years)

 

0.5—1.0

 

 

0.5—1.0

 

 

Risk-free interest rate

 

4.4%—5.1%

 

 

5.1%—5.4%

 

 

Dividend yield

 

 

0.0

%

 

 

0.0

%

 

Expected volatility

 

43.0%—44.1%

 

 

44.4%—45.0%

 

 

Stock Options

The Company did not grant additional stock options during the nine months ended September 30, 2025. All outstanding stock options were fully vested and exercisable as of September 30, 2025, and were immaterial for financial statement disclosure purposes.

Restricted Stock Units

Information with respect to outstanding RSUs (including both time-based vesting and performance-based vesting) for the nine months ended September 30, 2025 is as follows (in thousands, except per share amounts):

 

 

 

Number of
Shares
Subject to
Time-
based Vesting

 

 

Number of
Shares
Subject to
Performance-
based Vesting

 

 

Total
Number of
Shares

 

 

Weighted
Average
Grant Date
Fair Value
Per Share

 

Balance at December 31, 2024

 

 

5,258

 

 

 

2,147

 

 

 

7,405

 

 

$

13.66

 

Granted

 

 

2,293

 

 

 

712

 

 

 

3,005

 

 

$

8.24

 

Vested / released

 

 

(2,112

)

 

 

(143

)

 

 

(2,255

)

 

$

13.25

 

Canceled / forfeited

 

 

(359

)

 

 

(685

)

 

 

(1,044

)

 

$

20.29

 

Balance at September 30, 2025

 

 

5,080

 

 

 

2,031

 

 

 

7,111

 

 

$

10.53

 

Performance-Based Awards

From time to time, the Company may grant performance-based restricted stock units (“PSUs”) to senior executives, certain employees, and consultants. The value and the vesting of such PSUs are generally linked to one or more performance goals or certain market conditions determined by the Company, in each case on a specified date or dates or over any period or periods determined by the Company, and may range from zero to 200% of the grant. For PSUs subject to market conditions, the fair value per award is fixed at the grant date and the amount of compensation expense is not adjusted during the performance period regardless of changes in the level of achievement of the market condition.

The Company uses the closing trading price of its common stock on the date of grant as the fair value of awards or RSUs and PSUs that are based on Company-designated performance targets. For PSUs that are based on market conditions (the “market-based PSUs”), fair value is estimated by using a Monte Carlo simulation on the date of grant.

The following assumptions were used to value the market-based PSUs granted during the period:

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

Expected life (years)

 

 

3.0

 

 

 

3.0

 

Risk-free interest rate

 

 

3.9

%

 

 

4.2

%

Dividend yield

 

 

0.0

%

 

 

0.0

%

Expected volatility

 

 

46.2

%

 

 

43.9

%

Stock Repurchase Programs

In April 2024, the Company’s Board of Directors (the “Board”) authorized the repurchase of up to $100.0 million of its common stock (the “Program”). Under the Program, the Company may make repurchases, from time to time, through open market purchases, block trades, privately negotiated transactions, accelerated share repurchase transactions, or other means. The Company may also, from time to time, enter into Rule 10b5-1 plans to facilitate repurchases under the Program. During the three months ended September 30, 2024, the Company repurchased a total of 1,121,200 shares of common stock, at an average price of $8.92 per share for a total cost of $10.0 million. The shares repurchased were permanently retired. No expiration date has been specified for this Program.

There were no repurchases of common stock during the nine months ended September 30, 2025. As of September 30, 2025, the total remaining amount available for repurchase was $80.0 million. The Company may continue to execute authorized repurchases from time to time under the Program.

Stock-Based Compensation

Total stock-based compensation expense for the three and nine months ended September 30, 2025 and 2024 is as follows (in thousands):

 

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Cost of revenue, excluding depreciation and amortization of intangible assets

 

$

883

 

 

$

822

 

 

$

2,771

 

 

$

2,424

 

Research and development

 

 

2,783

 

 

 

5,225

 

 

 

10,397

 

 

 

15,389

 

Selling, general and administrative

 

 

5,974

 

 

 

9,202

 

 

 

18,901

 

 

 

27,496

 

Total stock-based compensation expense

 

$

9,640

 

 

$

15,249

 

 

$

32,069

 

 

$

45,309

 

Stock-based compensation expense categorized by award type for the three and nine months ended September 30, 2025 and 2024 is summarized in the table below (in thousands):

 

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

RSUs

 

$

8,123

 

 

$

10,465

 

 

$

26,261

 

 

$

30,810

 

PSUs

 

 

970

 

 

 

3,625

 

 

 

3,964

 

 

 

10,654

 

ESPP

 

 

547

 

 

 

1,159

 

 

 

1,844

 

 

 

3,845

 

Total stock-based compensation expense

 

$

9,640

 

 

$

15,249

 

 

$

32,069

 

 

$

45,309

 

As of September 30, 2025, unrecognized stock-based compensation expense related to unvested equity-based awards is as follows (amounts in thousands):

 

 

September 30, 2025

 

 

 

Unrecognized Stock-Based Compensation

 

 

Weighted-Average Period to Recognize Expense
(in years)

 

RSUs

 

$

32,900

 

 

 

1.8

 

PSUs

 

 

7,338

 

 

 

1.9

 

ESPP

 

 

1,587

 

 

 

0.6

 

Total unrecognized stock-based compensation expense

 

$

41,825

 

 

 

 
v3.25.3
Income Taxes
 9 Months Ended
Sep. 30, 2025
Income Tax Disclosure [Abstract]  
Income Taxes

NOTE 11 – INCOME TAXES

For the three and nine months ended September 30, 2025, the Company recorded an income tax expense of $4.8 million and $12.9 million on a pretax loss of $1.3 million and $26.3 million, respectively; which resulted in an effective tax rate of (369.0)% and (49.1)%, respectively. The income tax expense for the three and nine months ended September 30, 2025 was primarily related to foreign withholding taxes and foreign income taxes.

For the three and nine months ended September 30, 2024, the Company recorded an income tax expense of $2.9 million and $16.4 million on a pretax loss of $16.9 million and $47.4 million, respectively; which resulted in an effective tax rate of (17.1)% and (34.7%), respectively. The income tax expense for the three and nine months ended September 30, 2024 was primarily related to foreign withholding taxes, foreign income taxes, U.S. federal income taxes, and state income taxes.

As of September 30, 2025, gross unrecognized tax benefits of $15.6 million increased by $0.2 million compared to December 31, 2024. Of the $15.6 million gross unrecognized tax benefits, $1.3 million would affect the effective tax rate, if recognized. The Company is unable to reasonably estimate the timing of the long-term payments or the amount by which the liability will increase or decrease.

It is the Company’s policy to classify accrued interest and penalties related to unrecognized tax benefits in the provision for income taxes. Recognition of interest and penalties related to unrecognized tax benefits was immaterial for the three and nine months ended September 30, 2025 and 2024. As of September 30, 2025 and December 31, 2024, accrued interest and penalties were $0.3 million and $0.1 million, respectively.

As of September 30, 2025, the Company’s 2020 through 2025 tax years are generally open and subject to potential examination in one or more jurisdictions. In addition, in the United States, any net operating losses or credits that were generated in prior years but not yet fully utilized in a year that is closed under the statute of limitations may also be subject to examination.

v3.25.3
Leases
 9 Months Ended
Sep. 30, 2025
Leases [Abstract]  
Leases

NOTE 12 – LEASES

The Company leases office and research facilities, data centers and office equipment under operating leases with various expiration dates through 2032. Certain leases offer the option to renew for up to ten years and to terminate before the expiration date. Leases with an initial term of 12 months or less are not recorded on the balance sheets; expense for these leases is recognized on a straight-line basis over the lease term. Variable lease payments are expensed as incurred and are not included within the lease liability and right-of-use assets calculation.

The Company subleases certain real estate to third parties. The sublease portfolio consists of operating leases for previously exited office space. Certain subleases include variable payments for operating costs. The subleases are generally co-terminus with the head lease, or shorter. Subleases generally do not include any residual value guarantees or restrictions or covenants imposed by the leases. Income from subleases is recognized as a reduction to selling, general and administrative expenses.

The components of operating lease costs were as follows (in thousands):

 

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Fixed lease cost (1)

 

$

4,193

 

 

$

4,262

 

 

$

12,489

 

 

$

12,798

 

Variable lease cost

 

 

1,135

 

 

 

1,089

 

 

 

3,551

 

 

 

3,038

 

Less: sublease income

 

 

(2,123

)

 

 

(2,008

)

 

 

(6,459

)

 

 

(6,086

)

Total operating lease cost

 

$

3,205

 

 

$

3,343

 

 

$

9,581

 

 

$

9,750

 

 

(1) Includes short-term leases expensed on a straight-line basis.

The following table presents supplemental cash flow information arising from lease transactions (in thousands):

 

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Cash payments included in the measurement of operating lease liabilities

 

$

4,037

 

 

$

4,298

 

 

$

12,558

 

 

$

13,222

 

Operating ROU assets obtained in exchange for lease obligations

 

$

2,294

 

 

$

304

 

 

$

11,475

 

 

$

2,328

 

 

The weighted-average remaining term of the Company’s operating leases and the weighted-average discount rate used to measure the present value of the operating lease liabilities are as follows:

 

 

 

September 30, 2025

 

 

December 31, 2024

 

Weighted-average remaining lease term (in years)

 

 

4.4

 

 

 

2.9

 

Weighted-average discount rate

 

 

6.8

%

 

 

5.5

%

 

Future minimum lease payments and related lease liabilities as of September 30, 2025 were as follows (in thousands):

 

Year Ending December 31:

 

Operating Lease Payments (1)

 

 

Sublease Income

 

 

Net Operating Lease Payments

 

2025 (remaining 3 months)

 

$

2,880

 

 

$

(1,606

)

 

$

1,274

 

2026

 

 

11,021

 

 

 

(1,563

)

 

 

9,458

 

2027

 

 

8,591

 

 

 

(368

)

 

 

8,223

 

2028

 

 

5,981

 

 

 

(379

)

 

 

5,602

 

2029

 

 

3,906

 

 

 

(291

)

 

 

3,615

 

Thereafter

 

 

6,283

 

 

 

—

 

 

 

6,283

 

Total lease payments

 

 

38,662

 

 

$

(4,207

)

 

$

34,455

 

Less: imputed interest

 

 

(5,629

)

 

 

 

 

 

 

Present value of operating lease liabilities

 

$

33,033

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Less: operating lease liabilities, current portion

 

 

(9,536

)

 

 

 

 

 

 

Noncurrent operating lease liabilities

 

$

23,497

 

 

 

 

 

 

 

(1) Future minimum lease payments exclude short-term leases as well as payments to landlords for variable common area maintenance, insurance, and real estate taxes.
v3.25.3
Commitments and Contingencies
 9 Months Ended
Sep. 30, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies

NOTE 13 – COMMITMENTS AND CONTINGENCIES

 

Purchase and Other Contractual Obligations

 

In the ordinary course of business, the Company enters into contractual agreements with third parties that include non-cancelable payment obligations, for which it is liable in future periods. These arrangements primarily include unconditional purchase obligations to service providers. As of September 30, 2025, the Company’s total future unconditional purchase obligations were approximately $133.2 million.

Indemnifications

In the normal course of business, the Company provides indemnifications of varying scopes and amounts to certain of its licensees, customers, and business partners against claims made by third parties arising from the use of the Company's products, intellectual property, services or technologies. The Company cannot reasonably estimate the possible range of losses that may be incurred pursuant to its indemnification obligations, if any. Variables affecting any such assessment include, but are not limited to: the scope of the contractual indemnification obligation; the nature of the third party claim asserted; the relative merits of the third party claim; the financial ability of the third party claimant to engage in protracted litigation; the number of parties seeking indemnification; the nature and amount of damages claimed by the party suing the indemnified party; and the willingness of such party to engage in settlement negotiations. The Company has received requests for indemnification, but to date none has been material and no liability has been recorded in the Company’s financial statements.

As permitted under Delaware law, the Company has agreements whereby it indemnifies its officers and directors for certain events or occurrences while the officer or director is, or was, serving at the Company’s request in such capacity. The maximum potential amount of future payments the Company could be required to make under these indemnification agreements is unlimited; however, the Company believes, given the absence of any such payments in the Company’s history, and the estimated low probability of such payments in the future, that the estimated fair value of these indemnification agreements is not material. In addition, the Company has directors’ and officers’ liability insurance coverage that is intended to reduce its financial exposure and may enable the Company to recover any payments under the indemnification agreements from its insurers, should they occur.

Contingencies

The Company and its subsidiaries have been involved in litigation matters and claims in the normal course of business. In the past, the Company or its subsidiaries have litigated to enforce their respective patents and other intellectual property rights, to enforce the terms of license agreements, to determine infringement or validity of intellectual property rights, and to defend themselves or their customers against claims of infringement or breach of contract. The Company expects it or its subsidiaries will be involved in similar legal proceedings in the future, including proceedings to ensure proper and full payment of royalties

by licensees under the terms of their license agreements. Accruals for loss contingencies are recognized when a loss is probable, and the amount of such loss can be reasonably estimated.

An adverse decision in any legal actions could result in a loss of the Company’s proprietary rights, subject the Company to significant liabilities, require the Company to seek licenses from others, limit the value of the Company’s licensed technology or otherwise negatively impact the Company’s stock price or its business and consolidated financial results. Although considerable uncertainty exists, the Company does not anticipate that the disposition of any of these matters will have a material effect on its business or consolidated financial statements.
v3.25.3
Segment Related Information
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Segment Related Information

NOTE 14 - SEGMENT RELATED INFORMATION

The Company has one operating and reportable segment. The Company’s technologies are integrated into consumer devices and media platforms worldwide, powering smart devices, connected cars and entertainment experiences. The Company’s Chief Executive Officer has been determined to be the chief operating decision maker (“CODM”) in accordance with the authoritative guidance on segment reporting. The accounting policies of the segment are the same as those described in the summary of significant accounting policies. The CODM assesses performance and decides how to allocate resources based on net income (loss) that also is reported on the statements of operations as consolidated net income (loss). The measure of segment assets is reported on the balance sheet as total consolidated assets.

The following table presents information about reported segment revenue, significant segment expenses, and segment net loss for the three and nine months ended September 30, 2025 and 2024 (in thousands):

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Revenue

 

$

111,632

 

 

$

132,891

 

 

$

331,598

 

 

$

371,326

 

Less:

 

 

 

 

 

 

 

 

 

 

 

 

Cost of revenue, excluding depreciation and amortization of intangible assets (1)

 

 

29,078

 

 

 

27,484

 

 

 

92,226

 

 

 

86,193

 

Research and development (1)

 

 

29,923

 

 

 

53,627

 

 

 

99,255

 

 

 

149,189

 

Selling, general and administrative (1)

 

 

42,536

 

 

 

56,483

 

 

 

132,376

 

 

 

165,938

 

Depreciation expense

 

 

3,470

 

 

 

2,918

 

 

 

9,823

 

 

 

9,780

 

Amortization expense

 

 

7,987

 

 

 

10,934

 

 

 

26,853

 

 

 

33,015

 

Interest and other income, net

 

 

(821

)

 

 

(2,379

)

 

 

(4,863

)

 

 

(4,711

)

Interest expense - debt

 

 

761

 

 

 

756

 

 

 

2,252

 

 

 

2,252

 

Gain on divestitures

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(22,934

)

Provision for income taxes

 

 

4,805

 

 

 

2,899

 

 

 

12,930

 

 

 

16,437

 

Consolidated net loss

 

$

(6,107

)

 

$

(19,831

)

 

$

(39,254

)

 

$

(63,833

)

 

(1)
Includes total salaries, bonuses, and employee benefits of $56.8 million and $73.8 million for the three months ended September 30, 2025 and 2024, respectively; and $178.8 million and $218.7 million for the nine months ended September 30, 2025 and 2024, respectively.
v3.25.3
Subsequent Event
 9 Months Ended
Sep. 30, 2025
Subsequent Events [Abstract]  
Subsequent Event

NOTE 15 - SUBSEQUENT EVENT

On November 1, 2025, the Company approved a restructuring plan to improve cost efficiency and better align the operating structure with its long-term strategies and current market conditions. This plan involves reducing the Company’s global workforce by approximately 250 employees and impacts all business and functional areas. The Company estimates it will incur between $16.0 million and $18.0 million of restructuring and related charges, substantially all of which consists of employee severance and related costs. This plan became effective immediately upon approval and is expected to be substantially completed by the end of the first half of 2026.
v3.25.3
Description of Business and Summary of Significant Accounting Policies (Policies)
 9 Months Ended
Sep. 30, 2025
Accounting Policies [Abstract]  
Basis of Presentation and Principles of Consolidation

Basis of Presentation and Principles of Consolidation

The accompanying condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”). The Company’s financial statements were prepared on a consolidated basis and include the accounts of the Company and its wholly owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation.

For reporting periods in fiscal year 2024 and prior, the Company owned a controlling financial interest of its former subsidiary, Perceive Corporation (“Perceive”, later known as Xperi Pylon Corporation). In December 2024, Perceive was dissolved after all of its remaining assets and liabilities were distributed to the Company.

Use of Estimates

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. The accounting estimates and assumptions that require management’s most significant, challenging, and subjective judgment include the estimation of licensees’ quarterly royalties prior to receiving the royalty reports, the determination of stand-alone selling price and the transaction price in an arrangement with multiple performance obligations, the fair value of note receivable and deferred consideration in connection with the Company’s AutoSense in-cabin safety business and related imaging solutions (the “AutoSense Divestiture”), the assessment of useful lives and recoverability of other intangible assets and long-lived assets, recognition and measurement of current and deferred income tax assets and liabilities, the assessment of unrecognized tax benefits, and valuation of performance-based awards with a market condition. Actual results experienced by the Company may differ from management’s estimates.
Concentration of Credit and Other Risks

Concentration of Credit and Other Risks

Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of cash and cash equivalents, accounts receivable, unbilled contracts receivable, a note receivable and deferred consideration from divestiture. The Company maintains cash and cash equivalents with large financial institutions, and at times, the deposits may exceed the federally insured limits. As part of its risk management processes, the Company performs periodic evaluations of the relative credit standing of these financial institutions. The Company has not sustained material credit losses from instruments held at these financial institutions. In addition, the Company has cash and cash equivalents held in international bank accounts that are denominated in various foreign currencies and has established risk management strategies designed to minimize the impact of certain currency exchange rate fluctuations.

The Company believes that any concentration of credit risk in its accounts receivable and unbilled contracts receivable are substantially mitigated by its evaluation processes and the high level of credit worthiness of its customers. The Company performs ongoing credit evaluations of its customers’ financial condition and limits the amount of credit extended when deemed necessary, but generally requires no collateral.

For the three months ended September 30, 2025, there was one customer that accounted for 10% or more of total revenue, whereas there was none for the nine months ended September 30, 2025. For the three and nine months ended September 30, 2024, one customer accounted for 10% or more of total revenue. As of September 30, 2025, no customer represented 10% or more of the Company’s net balance of accounts receivable. Additionally, two customers exceeded 10% of the Company’s combined net balance of current and noncurrent unbilled contracts receivable. As of December 31, 2024, no customer represented 10% or more of the Company’s net balance of accounts receivable, and one customer exceeded 10% of the Company’s net balance of current and noncurrent unbilled contracts receivable.

As part of the consideration for the AutoSense Divestiture, the Company received a note receivable and deferred consideration from Tobii AB (“Tobii”). Both of these instruments are exposed to credit risk arising from default on repayment from Tobii. The credit risk associated with the note receivable is mitigated by establishing a floating lien and security interest in certain of Tobii’s assets, rights, and properties, whereas the deferred consideration is not secured by any collateral. The Company utilizes valuation methodologies such as internally generated cash flow projections on the principal and interest of each instrument, along with the review of certain other data points, to determine the likelihood that the note receivable or deferred consideration will be repaid. Further, the Company assesses each instrument for credit losses and provides a reserve when full payment on the instruments may not occur as expected, in which case the reserve reflects the excess of the amortized cost basis over the results of the cash flow projections. The Company currently expects Tobii to make full payment on both instruments in accordance with the underlying agreement. Accordingly, no allowance for credit losses was recorded as of September 30, 2025.
Recent Accounting Pronouncements

Recent Accounting Pronouncements

Accounting Standards Not Yet Adopted

In December 2023, the Financial Accounting Standards Board (the “FASB”) issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which requires disclosure of specific categories in the effective tax rate reconciliation and additional information for reconciling items that meet a quantitative threshold and further disaggregation of income taxes paid for individually significant jurisdictions. The Company expects to adopt this updated guidance on a prospective basis in the disclosure within its December 31, 2025 consolidated financial statements.

In November 2024, the FASB issued ASU 2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses. The standard requires that public entities disclose additional information about specific expense categories in the notes to financial statements for interim and annual reporting periods. The standard will become effective for the Company’s 2027 annual financial statements and interim financial statements thereafter and may be applied prospectively to periods after the adoption date or retrospectively for all prior periods presented in the financial statements, with early adoption permitted. The Company is currently evaluating the impact of this guidance on the disclosures within its consolidated financial statements.

In July 2025, the FASB issued ASU 2025-05, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses for Accounts Receivable and Contract Assets. The update guidance aims to simplify how all entities currently estimate expected credit losses for their outstanding trade and other related receivables arising from revenue transactions and provides a practical expedient available for election by public entities. Once elected, all public entities are no longer required to consider forecasted information when estimating expected credit losses, but only the historical and current economic conditions relevant to the collectibility of the trade and other related receivables. The updated guidance will become effective on a prospective basis for the Company in the first quarter of 2026, with early adoption permitted. The Company does not expect the impact upon adoption to be material to its consolidated financial statements.

In September 2025, the FASB issued ASU 2025-06, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software. This updated guidance eliminates the consideration of software project development stages and introduces additional considerations for the existing probability threshold assessment on completing a software development project. Entities are required to assess whether significant uncertainty exists in the development activities of the software before capitalizing any software costs, and such uncertainty is considered to exist if the project involves any technological innovations with novel and unproven features or unidentified significant performance requirements. The updated guidance will become effective for the Company in the first quarter of 2028 and may be adopted on either a prospective basis, full retrospective basis, or modified prospective basis with a cumulative-effect adjustment through retained earnings. Early adoption is permitted. The Company is currently evaluating the impact of this guidance on its consolidated financial statements.

Revenue Recognition

Revenue Recognition

General

Revenue is recognized when control of the promised goods or services is transferred to a customer in an amount that reflects the consideration the Company expects to receive in exchange for those goods or services, which may include various combinations of goods and services which are generally capable of being distinct and accounted for as separate performance obligations. Revenue is recognized net of sales taxes collected from customers which are subsequently remitted to governmental authorities.

Some of the Company’s contracts with customers contain multiple performance obligations. For these contracts, the individual performance obligations are separately accounted for if they are distinct. In an arrangement with multiple performance obligations, the transaction price is allocated among the separate performance obligations on a relative standalone selling price (“SSP”) basis. The determination of SSP considers market conditions, the size and scope of the contract, customer and geographic information, and other factors. When observable prices are not available, SSP for separate performance obligations is generally based on the cost-plus-margin approach, considering overall pricing objectives.

When variable consideration is in the form of a sales-based or usage-based royalty in exchange for a license of technology or when a license of technology is the predominant item to which the variable consideration relates, revenue is recognized at the later of when the subsequent sale or usage occurs or the performance obligation to which some or all of the sales-based or usage-based royalty has been satisfied or partially satisfied.

Description of Revenue-Generating Activities

The Company derives the majority of its revenue from licensing its technologies and solutions to customers within the Pay-TV, Consumer Electronics, Connected Car and Media Platform product categories. Refer to Part I, Item 1 of the Form 10-K for detailed information regarding these product categories.

Pay-TV

Customers within the Pay-TV category are primarily multi-channel video service providers, consumer electronics (“CE”) manufacturers, and end consumers. Revenue in this category is primarily derived from licensing the Company’s Pay-TV solutions, including Electronic Program Guides, TiVo video-over-broadband (“IPTV”) Solutions, Personalized Content Discovery and enriched Metadata.

For these solutions, the Company generally provides on-going media or data delivery, either via on-premise licensed software, hosting or access to its platform. The Company generally receives fees on a per-subscriber, per-month basis or as a monthly

fee, and revenue is recognized during the month in which the solutions are provided to the customer. For most of the on-premise licensed software arrangements, substantially all functionality is obtained through the Company’s frequent updating of the technology, data and content. In these instances, the Company typically has a single performance obligation related to these ongoing activities in the underlying arrangement, and revenue is generally recognized over the period the solution is provided. In the case of certain minimum guarantee or fixed fee on-premise licensed software arrangements, revenue is recognized immediately upon the delivery of the licensed technology. Hosted solutions and access to our platform is considered a single performance obligation with revenue being recognized over the period the solution is provided.

Consumer Electronics

The Company licenses its audio technologies to CE manufacturers or their supply chain partners.

The Company generally recognizes royalty revenue from licenses based on units shipped or manufactured. Revenue is recognized in the period in which the customer’s sales or production are estimated to have occurred. This may result in an adjustment to revenue when actual sales or production are subsequently reported by the customer, generally in the month or quarter following sales or production. Estimating customers’ quarterly royalties prior to receiving the royalty reports requires the Company to make significant assumptions and judgments related to forecasted trends and growth rates used to estimate quantities shipped or manufactured by customers, which could have a material impact on the amount of revenue it reports on a quarterly basis.

Certain customers enter into fixed fee or minimum guarantee agreements, whereby customers pay a fixed fee for the right to incorporate the Company’s technology in the customer’s products over the license term. In arrangements with a minimum guarantee, the fixed fee component corresponds to a minimum number of units or dollars that the customer must produce or pay, with additional per-unit fees for any units or dollars exceeding the minimum. The Company generally recognizes the full fixed fee as revenue at the beginning of the license term when the customer has the right to use the technology and begins to benefit from the license. If applicable, revenue is recognized net of the effect of any significant financing components calculated using customer-specific, risk-adjusted lending rates, with the related interest income being recognized over time on an effective rate basis. For minimum guarantee agreements where the customer exceeds the minimum, the Company recognizes revenue relating to any additional per-unit fees in the periods it estimates the customer will exceed the minimum and adjusts the revenue based on actual usage once that is reported by the customer.

Connected Car

The Company licenses its digital radio solutions, automotive infotainment and related offerings to automotive manufacturers or their supply chain partners.

The Company generally recognizes royalty revenue from these licenses based on units shipped or manufactured, similar to the revenue recognition described above in “Consumer Electronics”. Certain customers may enter into fixed fee or minimum guarantee agreements, also similar to the revenue recognition described above in “Consumer Electronics”. Automotive infotainment and related revenue is generally recognized over time as the customer obtains access to the solutions and underlying data.

Media Platform

The Company generates revenue from advertising, TV viewership data, metadata for ad measurement and programming analytics, and licensing of the core middleware solutions.

Advertising revenue is generally recognized when the related advertisement is provided. TV viewership data revenue is generally recognized over time as the customer obtains the underlying data. Metadata for ad measurement and programming analytics is generally recognized over time as the customer obtains the scheduled data. License revenue for the core middleware solutions is generally recognized either on a per-unit royalty or a minimum guarantee or fixed fee basis, similar to “Consumer Electronics” described in the section above.

Hardware Products, Services and Settlements/Recoveries

The Company sells hardware products, primarily to end consumers, within the Pay-TV and Consumer Electronics product categories. Hardware product revenue is generally recognized when the promised product is delivered.

The Company also generates non-recurring engineering (“NRE”) revenue within all of its product categories. The Company recognizes NRE revenue as progress is made toward completion, generally using an input method based on the ratio of costs incurred to date to total estimated costs of the project.

Revenue from each of advertising, NRE services, and hardware products was less than 10% of total revenue for all periods presented.

The Company actively monitors and enforces its technology licenses, including seeking appropriate compensation from customers that have under-reported royalties owed under a license agreement and from third parties that utilize the Company’s technologies without a license. As a result of these activities, the Company may, from time to time, recognize revenue from periodic compliance audits of licensees for underreporting royalties incurred in prior periods, or from settlements of license disputes. These settlements and recoveries may cause revenue to be higher than expected during a particular reporting period and such settlements and recoveries may not occur in subsequent periods. The Company recognizes revenue from settlements and recoveries when a binding agreement has been executed or a revised royalty report has been received and the Company concludes collection is probable.
v3.25.3
Revenue (Tables)
 9 Months Ended
Sep. 30, 2025
Revenue from Contract with Customer [Abstract]  
Schedule of Revenue by Product Category and Timing of Recognition

The following table summarizes revenue by timing of recognition (in thousands):

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Recognized over time

 

$

82,818

 

 

$

91,025

 

 

$

242,855

 

 

$

274,880

 

Recognized at a point in time

 

 

28,814

 

 

 

41,866

 

 

 

88,743

 

 

 

96,446

 

Total revenue

 

$

111,632

 

 

$

132,891

 

 

$

331,598

 

 

$

371,326

 
The following table summarizes revenue by product category (in thousands):

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Pay-TV

 

$

49,781

 

 

$

81,676

 

 

$

149,582

 

 

$

199,234

 

Consumer Electronics

 

 

18,802

 

 

 

16,906

 

 

 

60,363

 

 

 

60,198

 

Connected Car

 

 

34,612

 

 

 

25,534

 

 

 

93,003

 

 

 

81,305

 

Media Platform

 

 

8,437

 

 

 

8,775

 

 

 

28,650

 

 

 

30,589

 

Total revenue

 

$

111,632

 

 

$

132,891

 

 

$

331,598

 

 

$

371,326

 
Schedule of Geographic Revenue Information

The following table summarizes revenue by geographic location (in thousands):

 

 

Three Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

 

Amount

 

 

Percentage of Revenue

 

 

Amount

 

 

Percentage of Revenue

 

U.S. and Canada (1)

 

$

48,067

 

 

 

43

%

 

$

59,229

 

 

 

45

%

Asia Pacific

 

 

40,631

 

 

 

36

 

 

 

51,957

 

 

 

39

 

Europe, Middle East and Africa

 

 

15,605

 

 

 

14

 

 

 

9,619

 

 

 

7

 

Other

 

 

7,329

 

 

 

7

 

 

 

12,086

 

 

 

9

 

Total revenue

 

$

111,632

 

 

 

100

%

 

$

132,891

 

 

 

100

%

 

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

 

Amount

 

 

Percentage of Revenue

 

 

Amount

 

 

Percentage of Revenue

 

U.S. and Canada (1)

 

$

158,167

 

 

 

48

%

 

$

184,456

 

 

 

50

%

Asia Pacific

 

 

119,235

 

 

 

36

 

 

 

121,748

 

 

 

33

 

Europe, Middle East and Africa

 

 

33,803

 

 

 

10

 

 

 

32,561

 

 

 

9

 

Other

 

 

20,393

 

 

 

6

 

 

 

32,561

 

 

 

8

 

Total revenue

 

$

331,598

 

 

 

100

%

 

$

371,326

 

 

 

100

%

(1) For the three months ended September 30, 2025 and 2024, the Company recognized $43.4 million and $54.7 million of revenue from the U.S., which represented 39% and 41% of total revenue for the respective periods. For the nine months ended September 30, 2025 and 2024, revenue from the U.S. was $144.6 million and $170.3 million, or 44% and 46% of total revenue, for the respective periods.

A significant portion of the Company’s revenue is derived from licensees headquartered outside of the U.S., principally in Asia Pacific and Europe, Middle East and Africa. Japan, which was part of Asia Pacific, contributed a significant amount of revenue, as shown in the following table (in thousands):

 

 

Three Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

 

Amount

 

 

Percentage of Revenue

 

 

Amount

 

 

Percentage of Revenue

 

Japan

 

$

28,812

 

 

 

26

%

 

$

37,705

 

 

 

28

%

 

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

 

Amount

 

 

Percentage of Revenue

 

 

Amount

 

 

Percentage of Revenue

 

Japan

 

$

59,374

 

 

 

18

%

 

$

63,615

 

 

 

17

%
Schedule of Revenue Recognized in Period

The following table presents additional revenue disclosures (in thousands):

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Revenue recognized in the period from:

 

 

 

 

 

 

 

 

 

 

 

 

Amounts included in deferred revenue at the beginning of
   the period

 

$

5,582

 

 

$

4,491

 

 

$

20,196

 

 

$

18,093

 

Performance obligations satisfied in previous periods (true
   ups, recoveries, and settlements) (1)

 

$

(364

)

 

$

701

 

 

$

1,243

 

 

$

4,063

 

(1) True ups represent the differences between the Company’s quarterly estimates of per-unit royalty revenue and actual production/sales-based royalties reported by licensees in reports that are generally received in the following period and may include other changes in estimates. Recoveries represent corrections or revisions to previously reported per-unit royalties by licensees, generally resulting from the Company’s inquiries or compliance audits. Settlements represent resolutions of disputes or litigation during the period for past royalties owed.
Schedule of Remaining Performance Obligations Company’s remaining performance obligations and the period over which they are expected to be recognized were as follows (in thousands):

 

Year Ending December 31:

 

Amounts

 

2025 (remaining 3 months)

 

$

15,715

 

2026

 

 

39,571

 

2027

 

 

21,047

 

2028

 

 

10,282

 

2029

 

 

4,433

 

Thereafter

 

 

1,513

 

Total

 

$

92,561

 
Schedule of Allowance for Credit Losses

The following table presents the activity in the allowance for credit losses for the three and nine months ended September 30, 2025 and 2024 (in thousands):

 

 

Three Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

 

Accounts Receivable

 

 

Unbilled Contracts Receivable

 

 

Accounts Receivable

 

 

Unbilled Contracts Receivable

 

Beginning balance

 

$

954

 

 

$

468

 

 

$

1,154

 

 

$

348

 

Provision for credit losses

 

 

15

 

 

 

(32

)

 

 

5

 

 

 

167

 

Recoveries/charge-off

 

 

(98

)

 

 

(3

)

 

 

(88

)

 

 

—

 

Ending balance

 

$

871

 

 

$

433

 

 

$

1,071

 

 

$

515

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

 

Accounts Receivable

 

 

Unbilled Contracts Receivable

 

 

Accounts Receivable

 

 

Unbilled Contracts Receivable

 

Beginning balance

 

$

946

 

 

$

499

 

 

$

1,906

 

 

$

190

 

Provision for credit losses

 

 

244

 

 

 

(54

)

 

 

(53

)

 

 

328

 

Recoveries/charge-off

 

 

(319

)

 

 

(12

)

 

 

(782

)

 

 

(3

)

Ending balance

 

$

871

 

 

$

433

 

 

$

1,071

 

 

$

515

 
v3.25.3
Composition of Certain Financial Statement Captions (Tables)
 9 Months Ended
Sep. 30, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Schedule of Prepaid Expenses and Other Current Assets

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

 

 

 

September 30, 2025

 

 

December 31, 2024

 

Prepaid expenses

 

$

16,985

 

 

$

21,027

 

Prepaid income taxes

 

 

9,347

 

 

 

8,295

 

Finished goods inventory

 

 

—

 

 

 

1,061

 

Other

 

 

3,215

 

 

 

2,105

 

Total

 

$

29,547

 

 

$

32,488

 

 
Schedule of Property and Equipment, Net

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

 

 

 

September 30, 2025

 

 

December 31, 2024

 

Computer equipment and software

 

$

58,367

 

 

$

54,737

 

Capitalized internal-use software

 

 

35,339

 

 

 

23,384

 

Office equipment and furniture

 

 

11,183

 

 

 

10,773

 

Building

 

 

17,876

 

 

 

17,876

 

Land

 

 

5,300

 

 

 

5,300

 

Leasehold improvements

 

 

10,894

 

 

 

10,778

 

Construction in progress

 

 

305

 

 

 

1,979

 

Total property and equipment

 

 

139,264

 

 

 

124,827

 

Less: accumulated depreciation and amortization(1)

 

 

(88,796

)

 

 

(80,354

)

Property and equipment, net

 

$

50,468

 

 

$

44,473

 
(1)
Includes $9.2 million and $4.1 million as of September 30, 2025 and December 31, 2024, respectively, of accumulated amortization associated with capitalized internal-use software.
Schedule of Capitalization and Amortization of Internal-use Software

The following table summarizes the capitalization and amortization of internal-use software for the three and nine months ended September 30, 2025 and 2024 (in thousands):

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Costs capitalized associated with internal-use software

 

$

4,580

 

 

$

3,139

 

 

$

12,105

 

 

$

9,721

 

Amortization of capitalized internal-use software

 

$

1,891

 

 

$

563

 

 

$

5,134

 

 

$

1,579

 
Schedule of Accrued Liabilities

Accrued liabilities consisted of the following (in thousands):

 

 

 

September 30, 2025

 

 

December 31, 2024

 

Employee compensation and benefits

 

$

27,182

 

 

$

33,360

 

Accrued income taxes

 

 

13,270

 

 

 

6,259

 

Accrued expenses

 

 

13,061

 

 

 

16,108

 

Current portion of operating lease liabilities

 

 

9,536

 

 

 

15,353

 

Accrued other taxes

 

 

2,922

 

 

 

8,370

 

Third-party royalties

 

 

4,159

 

 

 

5,171

 

Other

 

 

8,067

 

 

 

9,799

 

Total

 

$

78,197

 

 

$

94,420

 
v3.25.3
Financial Instruments (Tables)
 9 Months Ended
Sep. 30, 2025
Investments, Debt and Equity Securities [Abstract]  
Schedule of Notional and Fair Values of All Derivative Instruments

The notional and fair values of all derivative financial instruments were as follows (in thousands):

 

Location in Balance Sheet

 

September 30, 2025

 

 

December 31, 2024

 

Derivative instruments designated as cash flow hedges:

 

 

 

 

 

 

 

Fair value—foreign exchange contract assets, net amount

Prepaid expenses and other current assets

 

$

552

 

 

$

—

 

Fair value—foreign exchange contract liabilities, net amount

Accrued liabilities

 

$

—

 

 

$

1,858

 

 

 

 

 

 

 

 

 

Notional value held to buy U.S. dollars in exchange for other currencies

 

 

$

5,685

 

 

$

5,074

 

Notional value held to sell U.S. dollars in exchange for other currencies

 

 

$

70,601

 

 

$

57,329

 
Schedule of Gross Amounts of Foreign Currency Forward Contracts

The gross amounts of the Company’s foreign currency forward contracts and the net amounts recorded in the Company’s condensed consolidated balance sheets were as follows (in thousands):

 

September 30, 2025

 

 

December 31, 2024

 

Gross amount of recognized assets

$

1,890

 

 

$

173

 

Gross amount of recognized liabilities

 

(1,338

)

 

 

(2,031

)

Net derivative assets (liabilities)

$

552

 

 

$

(1,858

)
Schedule of Accumulated Other Comprehensive Loss (AOCL)

The changes in AOCL related to the cash flow hedges consisted of the following (in thousands):

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Beginning balance

 

$

2,595

 

 

$

(152

)

 

$

(1,858

)

 

$

1,034

 

Other comprehensive (loss) gain before reclassification

 

 

(1,600

)

 

 

1,199

 

 

 

2,654

 

 

 

497

 

Amounts reclassified from accumulated other comprehensive gain into net loss

 

 

(443

)

 

 

(161

)

 

 

(244

)

 

 

(645

)

Net current period other comprehensive (loss) gain

 

 

(2,043

)

 

 

1,038

 

 

 

2,410

 

 

 

(148

)

Ending balance

 

$

552

 

 

$

886

 

 

$

552

 

 

$

886

 
Summary of the Gains (Losses) Recognized upon Settlement of the Hedged Transactions

The following table summarizes the gains recognized upon settlement of the hedged transactions in the condensed consolidated statements of operations for three and nine months ended September 30, 2025 and 2024 (in thousands):

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Research and development

 

$

411

 

 

$

10

 

 

$

531

 

 

$

494

 

Selling, general and administrative

 

 

79

 

 

 

226

 

 

 

49

 

 

 

309

 

Total

 

$

490

 

 

$

236

 

 

$

580

 

 

$

803

 
v3.25.3
Fair Value (Tables)
 9 Months Ended
Sep. 30, 2025
Fair Value Disclosures [Abstract]  
Schedule of Carrying Amounts and Estimated Fair Values

The following table presents the fair value hierarchy for the Company’s assets and liabilities recorded at their carrying amount, but for which the fair value is disclosed (in thousands):

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

Carrying
Amount

 

 

Estimated
Fair Value

 

 

Carrying
Amount

 

 

Estimated
Fair Value

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Note receivable, noncurrent

 

$

31,462

 

 

$

34,040

 

 

$

29,702

 

 

$

28,223

 

Deferred consideration from divestitures(1)

 

 

19,455

 

 

 

22,784

 

 

 

18,217

 

 

 

18,342

 

Total assets

 

$

50,917

 

 

$

56,824

 

 

$

47,919

 

 

$

46,565

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Senior unsecured promissory note

 

$

—

 

 

$

—

 

 

$

50,000

 

 

$

50,000

 

AR Facility

 

$

40,000

 

 

$

40,000

 

 

$

—

 

 

$

—

 
(1)
Includes $11.8 million as of September 30, 2025 of the net carrying amount of the holdback consideration from the Perceive Transaction (as described in Note 6—Divestitures), which approximates its associated fair value and is classified as current in the condensed consolidated balance sheets.
v3.25.3
Divestitures (Tables)
 9 Months Ended
Sep. 30, 2025
Business Acquisition [Line Items]  
Schedule of Net Carrying Amount of Holdback Consideration

As of September 30, 2025, the net carrying amount of the holdback consideration is as follows (in thousands):

 

 

September 30, 2025

 

Holdback consideration

 

$

12,000

 

Less: unamortized discount on holdback consideration

 

 

(238

)

Net carrying amount

 

$

11,762

 
Schedule of Carrying Amount of Note

The Company elected to present accrued interest within the carrying amount of note receivable, noncurrent, in the condensed consolidated balance sheets. As of September 30, 2025, the carrying amount of the Tobii Note is as follows (in thousands):

 

 

September 30, 2025

 

Outstanding principal amount

 

$

27,676

 

Add: interest accrued to date

 

 

3,786

 

Carrying amount—note receivable, noncurrent

 

$

31,462

 

 
Schedule of Deferred Cash Consideration

The deferred consideration consists of guaranteed future cash payments, which are scheduled to be made by Tobii in four annual payments as follows (in thousands):

Date of Payment:

 

Amount

 

February 15, 2028

 

$

3,000

 

February 15, 2029

 

 

2,250

 

February 15, 2030

 

 

4,500

 

February 15, 2031

 

 

5,250

 

Total future payments

 

$

15,000

 
Schedule of Net Carrying Amount of Deferred Consideration

As of September 30, 2025, the net carrying amount of the deferred consideration is as follows (in thousands):

 

 

September 30, 2025

 

Total deferred consideration

 

$

15,000

 

Less: unamortized discount on deferred consideration

 

 

(7,307

)

Net carrying amount

 

$

7,693

 
Tobii AB  
Business Acquisition [Line Items]  
Summary of Carrying Amounts of Assets and Liabilities Classified as Held for Sale

As of January 31, 2024, the Company derecognized the carrying amounts of the following assets and liabilities (in thousands):

 

 

January 31, 2024

 

 

 

Current

 

 

Noncurrent

 

 

Total

 

Assets:

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

11,025

 

 

$

—

 

 

$

11,025

 

Accounts receivable, net

 

 

3,392

 

 

 

—

 

 

 

3,392

 

Unbilled contracts receivable, net

 

 

1,398

 

 

 

5,320

 

 

 

6,718

 

Prepaid expenses and other current assets

 

 

812

 

 

 

—

 

 

 

812

 

Property and equipment, net

 

 

—

 

 

 

2,291

 

 

 

2,291

 

Operating lease right-of-use assets

 

 

—

 

 

 

3,272

 

 

 

3,272

 

Other noncurrent assets

 

 

—

 

 

 

2,887

 

 

 

2,887

 

Total assets held for sale

 

$

16,627

 

 

$

13,770

 

 

$

30,397

 

 

 

 

 

 

 

 

 

 

 

Liabilities:

 

 

 

 

 

 

 

 

 

Accounts payable

 

$

248

 

 

$

—

 

 

$

248

 

Accrued liabilities

 

 

4,933

 

 

 

—

 

 

 

4,933

 

Deferred revenue

 

 

1,114

 

 

 

—

 

 

 

1,114

 

Operating lease liabilities, noncurrent

 

 

—

 

 

 

2,708

 

 

 

2,708

 

Other noncurrent liabilities

 

 

—

 

 

 

7,064

 

 

 

7,064

 

Total liabilities held for sale

 

$

6,295

 

 

$

9,772

 

 

$

16,067

 

 

 

 

 

 

 

 

 

 

 

Net assets held for sale

 

$

10,332

 

 

$

3,998

 

 

$

14,330

 
Schedule of Principal Payments

The Tobii Note has the following scheduled principal repayments (in thousands):

Date of Principal Payment:

 

Amount

 

April 1, 2027

 

$

10,000

 

April 1, 2028

 

 

10,000

 

April 1, 2029

 

 

7,676

 

Total principal payments

 

$

27,676

 
v3.25.3
Intangible Assets, Net (Tables)
 9 Months Ended
Sep. 30, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Identified Intangible Assets

Identified intangible assets consisted of the following (in thousands):

 

 

September 30, 2025

 

 

 

Weighted-Average Remaining Useful Life
(in years)

 

 

Gross Amount

 

 

Accumulated
Amortization

 

 

Net Carrying Value

 

Finite-lived intangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

Acquired patents

 

 

4.5

 

 

$

17,281

 

 

$

(7,344

)

 

$

9,937

 

Existing technology / content database

 

 

3.7

 

 

 

219,919

 

 

 

(200,955

)

 

 

18,964

 

Customer contracts and related relationships

 

 

3.6

 

 

 

493,685

 

 

 

(407,408

)

 

 

86,277

 

Trademarks/trade name

 

 

1.7

 

 

 

39,313

 

 

 

(39,023

)

 

 

290

 

Non-compete agreements

 

 

 

 

 

3,101

 

 

 

(3,101

)

 

 

—

 

Total finite-lived intangible assets

 

 

 

 

 

773,299

 

 

 

(657,831

)

 

 

115,468

 

Indefinite-lived intangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

TiVo tradename/trademarks

 

N/A

 

 

 

21,400

 

 

 

—

 

 

 

21,400

 

Total intangible assets

 

 

 

 

$

794,699

 

 

$

(657,831

)

 

$

136,868

 

 

 

 

 

 

December 31, 2024

 

 

 

Weighted-Average Remaining Useful Life
(in years)

 

 

Gross Amount

 

 

Accumulated
Amortization

 

 

Net Carrying Value

 

Finite-lived intangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

Acquired patents

 

 

5.2

 

 

$

17,281

 

 

$

(5,687

)

 

$

11,594

 

Existing technology / content database

 

 

4.0

 

 

 

219,912

 

 

 

(194,041

)

 

 

25,871

 

Customer contracts and related relationships

 

 

4.4

 

 

 

493,685

 

 

 

(389,251

)

 

 

104,434

 

Trademarks/trade name

 

 

2.5

 

 

 

39,313

 

 

 

(38,898

)

 

 

415

 

Non-compete agreements

 

 

 

 

 

3,101

 

 

 

(3,101

)

 

 

—

 

Total finite-lived intangible assets

 

 

 

 

 

773,292

 

 

 

(630,978

)

 

 

142,314

 

Indefinite-lived intangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

TiVo tradename/trademarks

 

N/A

 

 

 

21,400

 

 

 

—

 

 

 

21,400

 

Total intangible assets

 

 

 

 

$

794,692

 

 

$

(630,978

)

 

$

163,714

 
Estimated Future Amortization Expense s of September 30, 2025, the estimated future amortization expense of total finite-lived intangible assets was as follows (in thousands):

 

Year Ending December 31:

 

Amounts

 

2025 (remaining 3 months)

 

$

7,986

 

2026

 

 

31,508

 

2027

 

 

30,666

 

2028

 

 

30,328

 

2029

 

 

14,342

 

Thereafter

 

 

638

 

Total future amortization

 

$

115,468

 
v3.25.3
Net Loss Per Share (Tables)
 9 Months Ended
Sep. 30, 2025
Earnings Per Share [Abstract]  
Computation of Basic and Diluted Net Loss Per Share

The following table sets forth the computation of basic and diluted net loss per share attributable the Company (in thousands, except per share amounts):

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Numerator:

 

 

 

 

 

 

 

 

 

 

 

 

Net loss attributable to the Company - basic and diluted

 

$

(6,107

)

 

$

(16,805

)

 

$

(39,254

)

 

$

(60,224

)

Denominator:

 

 

 

 

 

 

 

 

 

 

 

 

Weighted-average number of shares used in computing net loss per share attributable to the Company - basic and diluted

 

 

46,276

 

 

 

45,683

 

 

 

45,637

 

 

 

45,180

 

Net loss per share attributable to the Company - basic and diluted

 

$

(0.13

)

 

$

(0.37

)

 

$

(0.86

)

 

$

(1.33

)

 
Schedule of Potentially Dilutive Shares Were Excluded From Calculation of Diluted Net Loss Per Share

The following potentially dilutive shares were excluded from the calculation of diluted net loss per share because their effect would have been anti-dilutive for the periods presented (in thousands):

 

 

Three and Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

Stock options

 

 

—

 

 

 

55

 

Restricted stock units

 

 

7,111

 

 

 

7,555

 

ESPP

 

 

332

 

 

 

282

 

Total

 

 

7,443

 

 

 

7,892

 
v3.25.3
Stockholders' Equity And Stock-Based Compensation (Tables)
 9 Months Ended
Sep. 30, 2025
Summary of Restricted Stock Awards and Units

Information with respect to outstanding RSUs (including both time-based vesting and performance-based vesting) for the nine months ended September 30, 2025 is as follows (in thousands, except per share amounts):

 

 

 

Number of
Shares
Subject to
Time-
based Vesting

 

 

Number of
Shares
Subject to
Performance-
based Vesting

 

 

Total
Number of
Shares

 

 

Weighted
Average
Grant Date
Fair Value
Per Share

 

Balance at December 31, 2024

 

 

5,258

 

 

 

2,147

 

 

 

7,405

 

 

$

13.66

 

Granted

 

 

2,293

 

 

 

712

 

 

 

3,005

 

 

$

8.24

 

Vested / released

 

 

(2,112

)

 

 

(143

)

 

 

(2,255

)

 

$

13.25

 

Canceled / forfeited

 

 

(359

)

 

 

(685

)

 

 

(1,044

)

 

$

20.29

 

Balance at September 30, 2025

 

 

5,080

 

 

 

2,031

 

 

 

7,111

 

 

$

10.53

 
Summary of Stock-Based Compensation Expense

Total stock-based compensation expense for the three and nine months ended September 30, 2025 and 2024 is as follows (in thousands):

 

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Cost of revenue, excluding depreciation and amortization of intangible assets

 

$

883

 

 

$

822

 

 

$

2,771

 

 

$

2,424

 

Research and development

 

 

2,783

 

 

 

5,225

 

 

 

10,397

 

 

 

15,389

 

Selling, general and administrative

 

 

5,974

 

 

 

9,202

 

 

 

18,901

 

 

 

27,496

 

Total stock-based compensation expense

 

$

9,640

 

 

$

15,249

 

 

$

32,069

 

 

$

45,309

 
Stock-Based Compensation Expense Categorized by Award Type

Stock-based compensation expense categorized by award type for the three and nine months ended September 30, 2025 and 2024 is summarized in the table below (in thousands):

 

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

RSUs

 

$

8,123

 

 

$

10,465

 

 

$

26,261

 

 

$

30,810

 

PSUs

 

 

970

 

 

 

3,625

 

 

 

3,964

 

 

 

10,654

 

ESPP

 

 

547

 

 

 

1,159

 

 

 

1,844

 

 

 

3,845

 

Total stock-based compensation expense

 

$

9,640

 

 

$

15,249

 

 

$

32,069

 

 

$

45,309

 
Summary of Unrecognized Stock-based Compensation Expense

As of September 30, 2025, unrecognized stock-based compensation expense related to unvested equity-based awards is as follows (amounts in thousands):

 

 

September 30, 2025

 

 

 

Unrecognized Stock-Based Compensation

 

 

Weighted-Average Period to Recognize Expense
(in years)

 

RSUs

 

$

32,900

 

 

 

1.8

 

PSUs

 

 

7,338

 

 

 

1.9

 

ESPP

 

 

1,587

 

 

 

0.6

 

Total unrecognized stock-based compensation expense

 

$

41,825

 

 

 

 
Employee Stock Purchase Plan  
Schedule of Assumptions Used to Value Awards Granted

The following table summarizes the valuation assumptions used in estimating the fair value of the 2022 ESPP for the offering periods in effect using the Black-Scholes option pricing model:

 

 

Nine Months Ended September 30,

 

 

 

 

2025

 

 

2024

 

 

Expected life (years)

 

0.5—1.0

 

 

0.5—1.0

 

 

Risk-free interest rate

 

4.4%—5.1%

 

 

5.1%—5.4%

 

 

Dividend yield

 

 

0.0

%

 

 

0.0

%

 

Expected volatility

 

43.0%—44.1%

 

 

44.4%—45.0%

 

 
Market-Based Performance Stock Units  
Schedule of Assumptions Used to Value Awards Granted

The following assumptions were used to value the market-based PSUs granted during the period:

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

Expected life (years)

 

 

3.0

 

 

 

3.0

 

Risk-free interest rate

 

 

3.9

%

 

 

4.2

%

Dividend yield

 

 

0.0

%

 

 

0.0

%

Expected volatility

 

 

46.2

%

 

 

43.9

%
v3.25.3
Leases (Tables)
 9 Months Ended
Sep. 30, 2025
Leases [Abstract]  
Schedule of Operating Lease Costs

The components of operating lease costs were as follows (in thousands):

 

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Fixed lease cost (1)

 

$

4,193

 

 

$

4,262

 

 

$

12,489

 

 

$

12,798

 

Variable lease cost

 

 

1,135

 

 

 

1,089

 

 

 

3,551

 

 

 

3,038

 

Less: sublease income

 

 

(2,123

)

 

 

(2,008

)

 

 

(6,459

)

 

 

(6,086

)

Total operating lease cost

 

$

3,205

 

 

$

3,343

 

 

$

9,581

 

 

$

9,750

 

 

(1) Includes short-term leases expensed on a straight-line basis.
Schedule of Supplemental Cash Flow Information arising from Lease Transactions

The following table presents supplemental cash flow information arising from lease transactions (in thousands):

 

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Cash payments included in the measurement of operating lease liabilities

 

$

4,037

 

 

$

4,298

 

 

$

12,558

 

 

$

13,222

 

Operating ROU assets obtained in exchange for lease obligations

 

$

2,294

 

 

$

304

 

 

$

11,475

 

 

$

2,328

 
Schedule of Weighted-average Remaining Term of Operating Leases and Weighted-average of Discount Rate of Present Value of Operating Lease Liabilities

The weighted-average remaining term of the Company’s operating leases and the weighted-average discount rate used to measure the present value of the operating lease liabilities are as follows:

 

 

 

September 30, 2025

 

 

December 31, 2024

 

Weighted-average remaining lease term (in years)

 

 

4.4

 

 

 

2.9

 

Weighted-average discount rate

 

 

6.8

%

 

 

5.5

%
Schedule of Future Minimum Lease Payments and Related Lease Liabilities

Future minimum lease payments and related lease liabilities as of September 30, 2025 were as follows (in thousands):

 

Year Ending December 31:

 

Operating Lease Payments (1)

 

 

Sublease Income

 

 

Net Operating Lease Payments

 

2025 (remaining 3 months)

 

$

2,880

 

 

$

(1,606

)

 

$

1,274

 

2026

 

 

11,021

 

 

 

(1,563

)

 

 

9,458

 

2027

 

 

8,591

 

 

 

(368

)

 

 

8,223

 

2028

 

 

5,981

 

 

 

(379

)

 

 

5,602

 

2029

 

 

3,906

 

 

 

(291

)

 

 

3,615

 

Thereafter

 

 

6,283

 

 

 

—

 

 

 

6,283

 

Total lease payments

 

 

38,662

 

 

$

(4,207

)

 

$

34,455

 

Less: imputed interest

 

 

(5,629

)

 

 

 

 

 

 

Present value of operating lease liabilities

 

$

33,033

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Less: operating lease liabilities, current portion

 

 

(9,536

)

 

 

 

 

 

 

Noncurrent operating lease liabilities

 

$

23,497

 

 

 

 

 

 

 

(1) Future minimum lease payments exclude short-term leases as well as payments to landlords for variable common area maintenance, insurance, and real estate taxes.
v3.25.3
Segment Related Information (Tables)
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Summary of Reported Segment Revenue, Significant Segment Expenses, and Segment Net Loss

The following table presents information about reported segment revenue, significant segment expenses, and segment net loss for the three and nine months ended September 30, 2025 and 2024 (in thousands):

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Revenue

 

$

111,632

 

 

$

132,891

 

 

$

331,598

 

 

$

371,326

 

Less:

 

 

 

 

 

 

 

 

 

 

 

 

Cost of revenue, excluding depreciation and amortization of intangible assets (1)

 

 

29,078

 

 

 

27,484

 

 

 

92,226

 

 

 

86,193

 

Research and development (1)

 

 

29,923

 

 

 

53,627

 

 

 

99,255

 

 

 

149,189

 

Selling, general and administrative (1)

 

 

42,536

 

 

 

56,483

 

 

 

132,376

 

 

 

165,938

 

Depreciation expense

 

 

3,470

 

 

 

2,918

 

 

 

9,823

 

 

 

9,780

 

Amortization expense

 

 

7,987

 

 

 

10,934

 

 

 

26,853

 

 

 

33,015

 

Interest and other income, net

 

 

(821

)

 

 

(2,379

)

 

 

(4,863

)

 

 

(4,711

)

Interest expense - debt

 

 

761

 

 

 

756

 

 

 

2,252

 

 

 

2,252

 

Gain on divestitures

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(22,934

)

Provision for income taxes

 

 

4,805

 

 

 

2,899

 

 

 

12,930

 

 

 

16,437

 

Consolidated net loss

 

$

(6,107

)

 

$

(19,831

)

 

$

(39,254

)

 

$

(63,833

)

 

(1)
Includes total salaries, bonuses, and employee benefits of $56.8 million and $73.8 million for the three months ended September 30, 2025 and 2024, respectively; and $178.8 million and $218.7 million for the nine months ended September 30, 2025 and 2024, respectively.
v3.25.3
Description of Business and Summary of Significant Accounting Policies - Additional Information (Details)
 3 Months Ended 9 Months Ended
Sep. 30, 2025
USD ($)
Customer
Business
Sep. 30, 2024
Customer
Sep. 30, 2025
USD ($)
Customer
Business
Segment
Sep. 30, 2024
Customer
Dec. 31, 2024
Customer
Organization Consolidation And Presentation [Line Items]          
Number of reportable business segments | Segment     1    
Number of business category | Business 4   4    
Tobii AB          
Organization Consolidation And Presentation [Line Items]          
Allowance for credit losses | $ $ 0   $ 0    
Credit Concentration Risk | Revenue          
Organization Consolidation And Presentation [Line Items]          
Concentration of Risk, Number of Customers 1 1 0 1  
Customer Concentration Risk | Accounts Receivable          
Organization Consolidation And Presentation [Line Items]          
Number of customers, concentration of risk disclosure 0   0   0
Customer Concentration Risk | Current and Noncurrent Unbilled Contracts Receivable          
Organization Consolidation And Presentation [Line Items]          
Number of customers, concentration of risk disclosure 2   2   1
v3.25.3
Revenue - Additional Information (Details) - Segment
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Revenue Recognition [Line Items]        
Number of operating segments     1  
Total Revenue | Product Concentration Risk | Advertising        
Revenue Recognition [Line Items]        
Concentration Risk Percentage     10.00%  
Total Revenue | Product Concentration Risk | NRE services        
Revenue Recognition [Line Items]        
Concentration Risk Percentage     10.00%  
Total Revenue | Product Concentration Risk | Hardware Products        
Revenue Recognition [Line Items]        
Concentration Risk Percentage     10.00%  
Total Revenue | Geographic Concentration Risk        
Revenue Recognition [Line Items]        
Concentration Risk Percentage 100.00% 100.00% 100.00% 100.00%
Europe, Middle East and Africa and Other Regions | Total Revenue | Geographic Concentration Risk        
Revenue Recognition [Line Items]        
Concentration Risk Percentage     10.00%  
v3.25.3
Revenue - Schedule of Revenue by Timing of Recognition (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Disaggregation of Revenue [Line Items]        
Revenue $ 111,632 $ 132,891 $ 331,598 $ 371,326
Recognized over time        
Disaggregation of Revenue [Line Items]        
Revenue 82,818 91,025 242,855 274,880
Recognized at a point in time        
Disaggregation of Revenue [Line Items]        
Revenue $ 28,814 $ 41,866 $ 88,743 $ 96,446
v3.25.3
Revenue - Schedule of Revenue by Product Category (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Disaggregation of Revenue [Line Items]        
Total revenue $ 111,632 $ 132,891 $ 331,598 $ 371,326
Pay TV        
Disaggregation of Revenue [Line Items]        
Total revenue 49,781 81,676 149,582 199,234
Consumer Electronics        
Disaggregation of Revenue [Line Items]        
Total revenue 18,802 16,906 60,363 60,198
Connected Car        
Disaggregation of Revenue [Line Items]        
Total revenue 34,612 25,534 93,003 81,305
Media Platform        
Disaggregation of Revenue [Line Items]        
Total revenue $ 8,437 $ 8,775 $ 28,650 $ 30,589
v3.25.3
Revenue - Schedule of Geographic Revenue Information (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Revenues from External Customers and Long-Lived Assets [Line Items]        
Total revenue $ 111,632 $ 132,891 $ 331,598 $ 371,326
Total Revenue | Geographic Concentration Risk        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Concentration risk, percentage (or more) 100.00% 100.00% 100.00% 100.00%
U.S. and Canada        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Total revenue $ 48,067 $ 59,229 $ 158,167 $ 184,456
U.S. and Canada | Total Revenue | Geographic Concentration Risk        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Concentration risk, percentage (or more) 43.00% 45.00% 48.00% 50.00%
Asia Pacific        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Total revenue $ 40,631 $ 51,957 $ 119,235 $ 121,748
Asia Pacific | Total Revenue | Geographic Concentration Risk        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Concentration risk, percentage (or more) 36.00% 39.00% 36.00% 33.00%
Europe, Middle East and Africa        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Total revenue $ 15,605 $ 9,619 $ 33,803 $ 32,561
Europe, Middle East and Africa | Total Revenue | Geographic Concentration Risk        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Concentration risk, percentage (or more) 14.00% 7.00% 10.00% 9.00%
Japan        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Total revenue $ 28,812 $ 37,705 $ 59,374 $ 63,615
Japan | Total Revenue | Geographic Concentration Risk        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Concentration risk, percentage (or more) 26.00% 28.00% 18.00% 17.00%
Other        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Total revenue $ 7,329 $ 12,086 $ 20,393 $ 32,561
Other | Total Revenue | Geographic Concentration Risk        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Concentration risk, percentage (or more) 7.00% 9.00% 6.00% 8.00%
v3.25.3
Revenue - Schedule of Geographic Revenue Information (Parenthetical) (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Revenues from External Customers and Long-Lived Assets [Line Items]        
Total revenue $ 111,632 $ 132,891 $ 331,598 $ 371,326
Total Revenue | Geographic Concentration Risk        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Concentration risk, percentage (or more) 100.00% 100.00% 100.00% 100.00%
U.S.        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Total revenue $ 43,400 $ 54,700 $ 144,600 $ 170,300
U.S. | Total Revenue | Geographic Concentration Risk        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Concentration risk, percentage (or more) 39.00% 41.00% 44.00% 46.00%
Europe, Middle East and Africa and Other Regions | Total Revenue | Geographic Concentration Risk        
Revenues from External Customers and Long-Lived Assets [Line Items]        
Concentration risk, percentage (or more)     10.00%  
v3.25.3
Revenue - Schedule of Revenue Recognized in Period (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Revenue from Contract with Customer [Abstract]        
Amounts included in deferred revenue at the beginning of the period $ 5,582 $ 4,491 $ 20,196 $ 18,093
Performance obligations satisfied in previous periods (true ups, recoveries and settlements) [1] $ (364) $ 701 $ 1,243 $ 4,063
[1] True ups represent the differences between the Company’s quarterly estimates of per-unit royalty revenue and actual production/sales-based royalties reported by licensees in reports that are generally received in the following period and may include other changes in estimates. Recoveries represent corrections or revisions to previously reported per-unit royalties by licensees, generally resulting from the Company’s inquiries or compliance audits. Settlements represent resolutions of disputes or litigation during the period for past royalties owed.
v3.25.3
Revenue - Schedule of Remaining Performance Obligations (Details)
$ in Thousands
Sep. 30, 2025
USD ($)
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Remaining performance obligations $ 92,561
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2025-10-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Remaining performance obligations $ 15,715
Performance obligations expected to be satisfied, expected timing 3 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2026-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Remaining performance obligations $ 39,571
Performance obligations expected to be satisfied, expected timing 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2027-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Remaining performance obligations $ 21,047
Performance obligations expected to be satisfied, expected timing 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2028-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Remaining performance obligations $ 10,282
Performance obligations expected to be satisfied, expected timing 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2029-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Remaining performance obligations $ 4,433
Performance obligations expected to be satisfied, expected timing 1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2030-01-01  
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]  
Remaining performance obligations $ 1,513
Performance obligations expected to be satisfied, expected timing 1 year
v3.25.3
Revenue - Schedule of Remaining Performance Obligations (Details 1)
$ in Thousands
Sep. 30, 2025
USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Remaining performance obligations $ 92,561
v3.25.3
Revenue - Schedule of Allowance for Credit Losses (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Accounts Receivable        
Accounts Notes And Loans Receivable [Line Items]        
Beginning balance $ 954 $ 1,154 $ 946 $ 1,906
Provision for credit losses 15 5 244 (53)
Recoveries/charge-off (98) (88) (319) (782)
Ending balance 871 1,071 871 1,071
Unbilled Contracts Receivable        
Accounts Notes And Loans Receivable [Line Items]        
Beginning balance 468 348 499 190
Provision for credit losses (32) 167 (54) 328
Recoveries/charge-off (3)   (12) (3)
Ending balance $ 433 $ 515 $ 433 $ 515
v3.25.3
Composition of Certain Financial Statement Captions - Schedule of Prepaid Expenses and Other Current Assets (Details) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]    
Prepaid expenses $ 16,985 $ 21,027
Prepaid income taxes 9,347 8,295
Finished goods inventory   1,061
Other 3,215 2,105
Total $ 29,547 $ 32,488
v3.25.3
Composition of Certain Financial Statement Captions - Schedule of Property and Equipment, Net (Details) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Property, Plant and Equipment [Line Items]    
Total property and equipment $ 139,264 $ 124,827
Less: accumulated depreciation and amortization (88,796) (80,354)
Property and equipment, net 50,468 44,473
Computer equipment and software    
Property, Plant and Equipment [Line Items]    
Total property and equipment 58,367 54,737
Capitalized internal-use software    
Property, Plant and Equipment [Line Items]    
Total property and equipment 35,339 23,384
Office equipment and furniture    
Property, Plant and Equipment [Line Items]    
Total property and equipment 11,183 10,773
Building    
Property, Plant and Equipment [Line Items]    
Total property and equipment 17,876 17,876
Land    
Property, Plant and Equipment [Line Items]    
Total property and equipment 5,300 5,300
Leasehold improvements    
Property, Plant and Equipment [Line Items]    
Total property and equipment 10,894 10,778
Construction in progress    
Property, Plant and Equipment [Line Items]    
Total property and equipment $ 305 $ 1,979
v3.25.3
Composition of Certain Financial Statement Captions - Schedule of Property and Equipment, Net (Parenthetical) (Details) - USD ($)
$ in Millions
Sep. 30, 2025
Dec. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]    
Accumulated amortization associated with capitalized internal-use software $ 9.2 $ 4.1
v3.25.3
Composition of Certain Financial Statement Captions - Schedule of Capitalization and Amortization of Internal-Use Software (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Property, Plant and Equipment [Line Items]        
Costs capitalized associated with internal-use software $ 4,580 $ 3,139 $ 12,105 $ 9,721
Amortization of capitalized internal-use software $ 1,891 $ 563 $ 5,134 $ 1,579
v3.25.3
Composition of Certain Financial Statement Captions - Schedule of Accrued Liabilities (Details) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]    
Employee compensation and benefits $ 27,182 $ 33,360
Accrued income taxes 13,270 6,259
Accrued expenses 13,061 16,108
Current portion of operating lease liabilities $ 9,536 [1] $ 15,353
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] Total Total
Accrued other taxes $ 2,922 $ 8,370
Third-party royalties 4,159 5,171
Other 8,067 9,799
Total $ 78,197 $ 94,420
[1] Future minimum lease payments exclude short-term leases as well as payments to landlords for variable common area maintenance, insurance, and real estate taxes.
v3.25.3
Financial Instruments - Additional Information (Details) - TiVo Merger - Non-marketable Equity Securities - USD ($)
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2024
Schedule Of Investments [Line Items]          
Equity securities accounted for under equity method $ 4,600,000   $ 4,600,000   $ 4,700,000
Impairment charges related to non-marketable equity securities $ 0 $ 0 $ 0 $ 0  
v3.25.3
Financial Instruments - Schedule of Notional and Fair Values of All Derivative Instruments (Details) - Foreign Exchange Contracts - Designated Derivative Instruments - Cash Flow Hedging [Member] - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Derivatives, Fair Value [Line Items]    
Fair value-foreign exchange contract assets, net amount $ 552  
Derivative Asset, Current, Statement of Financial Position [Extensible Enumeration] Prepaid Expense and Other Assets, Current  
Fair value-foreign exchange contract liabilities, net amount   $ 1,858
Derivative Liability, Current, Statement of Financial Position [Extensible Enumeration]   Accrued Liabilities, Current
Total notional value $ 5,685 $ 5,074
Total notional value $ 70,601 $ 57,329
v3.25.3
Financial Instruments - Schedule of Gross Amounts of Foreign Currency Forward Contracts (Details) - Foreign Exchange Contracts - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Derivatives, Fair Value [Line Items]    
Gross amount of recognized assets $ 1,890 $ 173
Gross amount of recognized liabilities (1,338) (2,031)
Net derivative assets (liabilities) $ 552 $ (1,858)
v3.25.3
Financial Instruments - Schedule of Accumulated Other Comprehensive Loss (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Accumulated Other Comprehensive Income (Loss) [Line Items]        
Beginning balance $ 419,827 $ 370,080 $ 429,077 $ 387,135
Ending balance 421,038 355,823 421,038 355,823
Accumulated Other Comprehensive Loss        
Accumulated Other Comprehensive Income (Loss) [Line Items]        
Beginning balance (1,586) (4,377) (6,084) (2,865)
Ending balance (3,629) (3,337) (3,629) (3,337)
Accumulated Other Comprehensive Loss | Cash Flow Hedges        
Accumulated Other Comprehensive Income (Loss) [Line Items]        
Beginning balance 2,595 (152) (1,858) 1,034
Other comprehensive (loss) gain before reclassification (1,600) 1,199 2,654 497
Amounts reclassified from accumulated other comprehensive gain into net loss (443) (161) (244) (645)
Net current period other comprehensive (loss) gain (2,043) 1,038 2,410 (148)
Ending balance $ 552 $ 886 $ 552 $ 886
v3.25.3
Financial Instruments - Summary of the Gains (Losses) Recognized upon Settlement of the Hedged Transactions (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Derivatives, Fair Value [Line Items]        
Gain on fair value hedges $ 490 $ 236 $ 580 $ 803
Research and development        
Derivatives, Fair Value [Line Items]        
Gain on fair value hedges 411 10 531 494
Selling, general and administrative        
Derivatives, Fair Value [Line Items]        
Gain on fair value hedges $ 79 $ 226 $ 49 $ 309
v3.25.3
Fair Value - Schedule of Carrying Amounts and Estimated Fair Values (Details) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Assets:    
Total assets, net - Carrying Amount $ 628,819 $ 667,760
Liabilities:    
Total long-term debt, net - Carrying Amount 27,676  
Recurring    
Assets:    
Total assets, net - Carrying Amount 50,917 47,919
Total assets, net - Estimated Fair Value 56,824 46,565
Recurring | AR Facility    
Liabilities:    
Total long-term debt, net - Carrying Amount 40,000  
Total long-term debt, net - Estimated Fair Value 40,000  
Recurring | Note Receivable, Noncurrent    
Assets:    
Total assets, net - Carrying Amount 31,462 29,702
Total assets, net - Estimated Fair Value 34,040 28,223
Recurring | Deferred Consideration From Divestiture    
Assets:    
Total assets, net - Carrying Amount [1] 19,455 18,217
Total assets, net - Estimated Fair Value [1] $ 22,784 18,342
Recurring | Senior Unsecured Promissory Note    
Liabilities:    
Total long-term debt, net - Carrying Amount   50,000
Total long-term debt, net - Estimated Fair Value   $ 50,000
[1] Includes $11.8 million as of September 30, 2025 of the net carrying amount of the holdback consideration from the Perceive Transaction (as described in Note 6—Divestitures), which approximates its associated fair value and is classified as current in the condensed consolidated balance sheets.
v3.25.3
Fair Value - Schedule of Carrying Amounts and Estimated Fair Values (Parenthetical) (Details)
$ in Thousands
Sep. 30, 2025
USD ($)
Fair Value Disclosures [Abstract]  
Holdback Consideration Net $ 11,762
v3.25.3
Divestitures - Additional Information (Details) - USD ($)
$ in Thousands
 1 Months Ended 3 Months Ended 9 Months Ended 12 Months Ended
Jan. 31, 2024
Aug. 31, 2024
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2023
Business Acquisition [Line Items]              
Equity sale percetage             100.00%
Holdback consideration     $ 12,000   $ 12,000    
Business divestiture, indemnification liability $ 7,100            
Pre-tax gain on divestiture         22,900    
Recognized interest income     600 $ 600 1,800 $ 1,500  
Deferred cash consideration     15,000   15,000    
Discount on deferred consideration         9,200    
Discount on Interest income     300 $ 300 900 $ 700  
Perceive Corporation              
Business Acquisition [Line Items]              
Ownership interest, percentage   76.40%          
Cash   $ 80,000          
Indemnification holdback amount   $ 12,000          
Indemnification held period after closing date   18 months          
Fair value divestiture     11,300   11,300    
Holdback consideration     $ 12,000   12,000    
Discount on holdback consideration         $ 700    
Purchaser              
Business Acquisition [Line Items]              
Total consideration 44,300            
Business divestiture, cash received 10,800            
Interest rate     8.00%   8.00%    
Additional interest rate per annum     2.00%   2.00%    
Purchaser | Senior Secured Promissory Note              
Business Acquisition [Line Items]              
Debt instrument, principal amount 27,700            
Fair value divestiture 5,800            
Deferred cash consideration $ 15,000            
v3.25.3
Divestitures - Schedule of Net Carrying Amount of Holdback Consideration (Details)
$ in Thousands
Sep. 30, 2025
USD ($)
Discontinued Operations and Disposal Groups [Abstract]  
Holdback consideration $ 12,000
Less: unamortized discount on holdback consideration (238)
Net carrying amount $ 11,762
v3.25.3
Divestitures - Summary of the Carrying Amounts of Assets and Liabilities Classified as Held for Sale (Details) - Purchaser - Divestiture
$ in Thousands
Jan. 31, 2024
USD ($)
Assets Current:  
Cash and cash equivalents $ 11,025
Accounts receivable, net 3,392
Unbilled contracts receivable, net 1,398
Prepaid expenses and other current assets 812
Total assets held for sale 16,627
Assets Noncurrent:  
Unbilled contracts receivable, net 5,320
Property and equipment, net 2,291
Operating lease right-of-use assets 3,272
Other noncurrent assets 2,887
Total assets held for sale 13,770
Assets Total:  
Unbilled contracts receivable, net 6,718
Total assets held for sale 30,397
Liabilities Current:  
Accounts payable 248
Accrued liabilities 4,933
Deferred revenue 1,114
Total liabilities held for sale 6,295
Liabilities Noncurrent:  
Operating lease liabilities, noncurrent 2,708
Other noncurrent liabilities 7,064
Total liabilities to be disposed of 9,772
Liabilities Total:  
Total liabilities to be disposed of 16,067
Net assets held for sale, Current 10,332
Net assets held for sale, Noncurrent 3,998
Net assets held for sale $ 14,330
v3.25.3
Divestitures - Schedule of Principal Payments (Details)
$ in Thousands
Sep. 30, 2025
USD ($)
Maturities of Long-Term Debt [Abstract]  
April 1, 2027 $ 10,000
April 1, 2028 10,000
April 1, 2029 7,676
Total principal payments $ 27,676
v3.25.3
Divestitures - Schedule of Carrying Amount of Note (Details) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Long-Term Investments [Abstract]    
Outstanding principal amount $ 27,676  
Add: interest accrued to date 3,786  
Carrying amount-note receivable, noncurrent $ 31,462 $ 29,702
v3.25.3
Divestitures - Schedule of Deferred Cash Consideration (Details)
$ in Thousands
Sep. 30, 2025
USD ($)
Discontinued Operations and Disposal Groups [Abstract]  
February 15, 2028 $ 3,000
February 15, 2029 2,250
February 15, 2030 4,500
February 15, 2031 5,250
Total future payments $ 15,000
v3.25.3
Divestitures - Schedule of the Net Carrying Amount of the Deferred Consideration (Details)
$ in Thousands
Sep. 30, 2025
USD ($)
Discontinued Operations and Disposal Groups [Abstract]  
Total deferred consideration $ 15,000
Less: unamortized discount on deferred consideration (7,307)
Net carrying amount $ 7,693
v3.25.3
Intangible Assets, Net - Identified Intangible Assets (Details) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Finite-Lived Intangible Assets [Line Items]    
Intangible assets, gross $ 794,699 $ 794,692
Finite-lived intangible assets, Gross Amount 773,299 773,292
Finite-lived intangible assets, Accumulated Amortization (657,831) (630,978)
Intangible assets, net 136,868 163,714
Finite-lived intangible assets, Net 115,468 142,314
TiVo tradename/trademarks    
Finite-Lived Intangible Assets [Line Items]    
Indefinite-lived intangible assets, Gross Assets 21,400 21,400
Indefinite-lived intangible assets, Net 21,400 21,400
Acquired patents    
Finite-Lived Intangible Assets [Line Items]    
Finite-lived intangible assets, Gross Amount 17,281 17,281
Finite-lived intangible assets, Accumulated Amortization $ (7,344) $ (5,687)
Estimated Useful Life (years) 4 years 6 months 5 years 2 months 12 days
Finite-lived intangible assets, Net $ 9,937 $ 11,594
Existing technology / content database    
Finite-Lived Intangible Assets [Line Items]    
Finite-lived intangible assets, Gross Amount 219,919 219,912
Finite-lived intangible assets, Accumulated Amortization $ (200,955) $ (194,041)
Estimated Useful Life (years) 3 years 8 months 12 days 4 years
Finite-lived intangible assets, Net $ 18,964 $ 25,871
Customer contracts and related relationships    
Finite-Lived Intangible Assets [Line Items]    
Finite-lived intangible assets, Gross Amount 493,685 493,685
Finite-lived intangible assets, Accumulated Amortization $ (407,408) $ (389,251)
Estimated Useful Life (years) 3 years 7 months 6 days 4 years 4 months 24 days
Finite-lived intangible assets, Net $ 86,277 $ 104,434
Trademarks/trade name    
Finite-Lived Intangible Assets [Line Items]    
Finite-lived intangible assets, Gross Amount 39,313 39,313
Finite-lived intangible assets, Accumulated Amortization $ (39,023) $ (38,898)
Estimated Useful Life (years) 1 year 8 months 12 days 2 years 6 months
Finite-lived intangible assets, Net $ 290 $ 415
Non-compete agreements    
Finite-Lived Intangible Assets [Line Items]    
Finite-lived intangible assets, Gross Amount 3,101 3,101
Finite-lived intangible assets, Accumulated Amortization (3,101) (3,101)
Finite-lived intangible assets, Net $ 0 $ 0
v3.25.3
Intangible Assets, Net - Estimated Future Amortization Expense (Details) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]    
2025 (remaining 3 months) $ 7,986  
2026 31,508  
2027 30,666  
2028 30,328  
2029 14,342  
Thereafter 638  
Finite-lived intangible assets, Net $ 115,468 $ 142,314
v3.25.3
Debt and Receivables Securitization - Additional Information (Details) - USD ($)
$ in Millions
 1 Months Ended 3 Months Ended 9 Months Ended
Feb. 21, 2025
Jul. 01, 2022
Feb. 28, 2025
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2024
Promissory Note                
Line Of Credit Facility [Line Items]                
Long-term debt classified as current               $ 50.0
Interest expense       $ 0.8 $ 0.8 $ 2.3 $ 2.3  
Vewd                
Line Of Credit Facility [Line Items]                
Outstanding principal repaid with accrued interest     $ 40.0          
Vewd | Promissory Note                
Line Of Credit Facility [Line Items]                
Debt instrument, principal amount   $ 50.0            
Interest rate   6.00%            
Debt instrument, maturity date   Jul. 01, 2025            
AR Facility                
Line Of Credit Facility [Line Items]                
Borrowing capacity $ 55.0              
Accrued interest on unused borrowing limit 0.50%              
Outstanding borrowings $ 40.0              
Capitalized fees incurred for securitization $ 1.2              
Amortized on straight-line basis over commitment term 3 years              
Debt instrument, basis spread on variable rate 1.90%              
Accounts receivable and unbilled contracts receivable       $ 113.8   $ 113.8    
v3.25.3
Net Loss Per Share - Computation of Basic and Diluted Net Loss Per Share (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Numerator:        
Net loss attributable to the Company - basic $ (6,107) $ (16,805) $ (39,254) $ (60,224)
Net loss attributable to the Company - diluted $ (6,107) $ (16,805) $ (39,254) $ (60,224)
Denominator:        
Weighted-average number of shares used in computing net loss per share attributable to the Company - basic 46,276 45,683 45,637 45,180
Weighted-average number of shares used in computing net loss per share attributable to the Company - diluted 46,276 45,683 45,637 45,180
Net loss per share attributable to the Company - basic $ (0.13) $ (0.37) $ (0.86) $ (1.33)
Net loss per share attributable to the Company - diluted $ (0.13) $ (0.37) $ (0.86) $ (1.33)
v3.25.3
Net Loss Per Share - Schedule of Potentially Dilutive Shares Were Excluded From Calculation of Diluted Net Loss Per Share (Details) - shares
shares in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Potentially dilutive common stock equivalents 7,443 7,892 7,443 7,892
Stock Options        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Potentially dilutive common stock equivalents 0 55 0 55
Restricted Stock Units        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Potentially dilutive common stock equivalents 7,111 7,555 7,111 7,555
ESPP        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Potentially dilutive common stock equivalents 332 282 332 282
v3.25.3
Stockholders' Equity And Stock-Based Compensation - Additional Information (Details) - USD ($)
 3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Apr. 30, 2024
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Stock repurchased during period, value $ 10,000,000      
Stock repurchase program, remaining amount available for repurchase   $ 80,000,000    
Common Stock        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Authorized repurchase amount       $ 100,000,000
Stock repurchased during period, shares 1,121,200 0    
Shares, average price $ 8.92      
Employee Stock Purchase Plan        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Rolling expiration period   12 months    
Shares reserved for grant (in shares)   2,100,000    
Performance Shares | Minimum        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Share Based Compensation Arrangement By Share Based Payment Award Percentage Of Grant Available To Vest   0.00%    
Performance Shares | Maximum        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Share Based Compensation Arrangement By Share Based Payment Award Percentage Of Grant Available To Vest   200.00%    
2022 EIP        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Shares reserved for grant (in shares)   4,900,000    
Amendment 2022 ESPP | Employee Stock Purchase Plan        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Incremental stock-based compensation expense modification   $ 0 $ 2,000,000  
v3.25.3
Stockholders' Equity And Stock-Based Compensation - Schedule of Assumptions Used to Value Awards Granted (Details)
 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Employee Stock Purchase Plan    
Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions And Methodology [Abstract]    
Risk-free interest rate, minimum 4.40% 5.10%
Risk-free interest rate, maximum 5.10% 5.40%
Dividend yield 0.00% 0.00%
Expected volatility, minimum 43.00% 44.40%
Expected volatility, maximum 44.10% 45.00%
Employee Stock Purchase Plan | Minimum    
Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions And Methodology [Abstract]    
Expected life (in years) 6 months 6 months
Employee Stock Purchase Plan | Maximum    
Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions And Methodology [Abstract]    
Expected life (in years) 1 year 1 year
Market-Based Performance Stock Units    
Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions And Methodology [Abstract]    
Expected life (in years) 3 years 3 years
Risk-free interest rate 3.90% 4.20%
Dividend yield 0.00% 0.00%
Expected volatility 46.20% 43.90%
v3.25.3
Stockholders' Equity And Stock-Based Compensation - Summary of Restricted Stock Awards and Units (Details)
shares in Thousands
 9 Months Ended
Sep. 30, 2025
$ / shares
shares
Time Based Restricted Stock Units  
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward]  
Restricted stock units, beginning balance (shares) 5,258
Restricted stock awards and units, granted (shares) 2,293
Restricted stock awards and units, vested / earned (shares) (2,112)
Restricted stock awards and units, canceled / forfeited (shares) (359)
Restricted stock units, ending balance (shares) 5,080
Performance Based Restricted Stock Units  
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward]  
Restricted stock units, beginning balance (shares) 2,147
Restricted stock awards and units, granted (shares) 712
Restricted stock awards and units, vested / earned (shares) (143)
Restricted stock awards and units, canceled / forfeited (shares) (685)
Restricted stock units, ending balance (shares) 2,031
Restricted Stock Units  
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward]  
Restricted stock units, beginning balance (shares) 7,405
Restricted stock awards and units, granted (shares) 3,005
Restricted stock awards and units, vested / earned (shares) (2,255)
Restricted stock awards and units, canceled / forfeited (shares) (1,044)
Restricted stock units, ending balance (shares) 7,111
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward]  
Weighted average grant date fair value per share of restricted stock units, beginning balance (USD per share) | $ / shares $ 13.66
Weighted average grant date fair value per share of restricted stock and units, granted (USD per share) | $ / shares 8.24
Weighted average grant date fair value per share of restricted stock and units, vested / earned (USD per share) | $ / shares 13.25
Weighted average grant date fair value of restricted stock and units, canceled / forfeited (USD per share) | $ / shares 20.29
Weighted average grant date fair value per share of restricted stock units, ending balance (USD per share) | $ / shares $ 10.53
v3.25.3
Stockholder's Equity And Stock-Based Compensation - Summary of Stock-Based Compensation Expense (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]        
Total stock-based compensation expense $ 9,640 $ 15,249 $ 32,069 $ 45,309
Cost of revenue, excluding depreciation and amortization of intangible assets        
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]        
Total stock-based compensation expense 883 822 2,771 2,424
Research and development        
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]        
Total stock-based compensation expense 2,783 5,225 10,397 15,389
Selling, general and administrative        
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]        
Total stock-based compensation expense $ 5,974 $ 9,202 $ 18,901 $ 27,496
v3.25.3
Stockholder's Equity And Stock-Based Compensation - Stock-Based Compensation Expense Categorized by Award Type (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Total stock-based compensation expense $ 9,640 $ 15,249 $ 32,069 $ 45,309
ESPP        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Total stock-based compensation expense 547 1,159 1,844 3,845
RSUs        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Total stock-based compensation expense 8,123 10,465 26,261 30,810
PSUs        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Total stock-based compensation expense $ 970 $ 3,625 $ 3,964 $ 10,654
v3.25.3
Stockholder's Equity And Stock-Based Compensation - Summary of Unrecognized Stock-based Compensation Expense (Details)
$ in Thousands
 9 Months Ended
Sep. 30, 2025
USD ($)
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]  
Total unrecognized stock-based compensation expense $ 41,825
RSUs  
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]  
Total unrecognized stock-based compensation expense $ 32,900
Weighted-Average Period to Recognize Expense 1 year 9 months 18 days
PSUs  
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]  
Total unrecognized stock-based compensation expense $ 7,338
Weighted-Average Period to Recognize Expense 1 year 10 months 24 days
ESPP  
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]  
Total unrecognized stock-based compensation expense $ 1,587
Weighted-Average Period to Recognize Expense 7 months 6 days
v3.25.3
Income Taxes - Additional Information (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2024
Income Tax Disclosure [Abstract]          
Provision for (benefit from) income taxes $ 4,805 $ 2,899 $ 12,930 $ 16,437  
Effective tax rate (percent) (369.00%) (17.10%) (49.10%) (34.70%)  
Income (loss) before taxes $ (1,302) $ (16,932) $ (26,324) $ (47,396)  
Increase in gross unrecognized tax benefits     200    
Gross unrecognized tax benefits 15,600   15,600    
Unrecognized tax benefits that would impact the effective income tax rate 1,300   1,300    
Accrued interest and tax penalties related to unrecognized tax benefits $ 300   $ 300   $ 100
Income tax examination description     As of September 30, 2025, the Company’s 2020 through 2025 tax years are generally open and subject to potential examination in one or more jurisdictions. In addition, in the United States, any net operating losses or credits that were generated in prior years but not yet fully utilized in a year that is closed under the statute of limitations may also be subject to examinatio    
Income tax year under examination     2020 2021 2022 2023 2024 2025    
v3.25.3
Leases - Additional Information (Details)
 9 Months Ended
Sep. 30, 2025
Lessee Lease Description [Line Items]  
Operating lease existence of option to renew true
Operating lease description The Company leases office and research facilities, data centers and office equipment under operating leases with various expiration dates through 2032. Certain leases offer the option to renew for up to ten years and to terminate before the expiration date. Leases with an initial term of 12 months or less are not recorded on the balance sheets
Maximum  
Lessee Lease Description [Line Items]  
Lessee term of period to renew 10 years
v3.25.3
Leases - Schedule of Operating Lease Costs (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Leases [Abstract]        
Fixed lease cost [1] $ 4,193 $ 4,262 $ 12,489 $ 12,798
Variable lease cost 1,135 1,089 3,551 3,038
Less: sublease income (2,123) (2,008) (6,459) (6,086)
Total operating lease cost $ 3,205 $ 3,343 $ 9,581 $ 9,750
[1] Includes short-term leases expensed on a straight-line basis.
v3.25.3
Leases - Schedule Of Cash Flow Supplemental Disclosures (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Leases [Abstract]        
Cash payments included in the measurement of operating lease liabilities $ 4,037 $ 4,298 $ 12,558 $ 13,222
Operating ROU assets obtained in exchange for lease obligations $ 2,294 $ 304 $ 11,475 $ 2,328
v3.25.3
Leases - Schedule of Weighted-average Remaining Term of Operating Leases and Weighted-average of Discount Rate of Present Value of Operating Lease Liabilities (Details)
Sep. 30, 2025
Dec. 31, 2024
Leases [Abstract]    
Weighted-average remaining lease term (in years) 4 years 4 months 24 days 2 years 10 months 24 days
Weighted-average discount rate 6.80% 5.50%
v3.25.3
Leases - Schedule of Future Minimum Lease Payments and Related Lease Liabilities (Details) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Operating Lease Payments    
2025 (remaining 3 months) [1] $ 2,880  
2026 [1] 11,021  
2027 [1] 8,591  
2028 [1] 5,981  
2029 [1] 3,906  
Thereafter [1] 6,283  
Total lease payments [1] 38,662  
Less: imputed interest [1] (5,629)  
Present value of operating lease liabilities [1] 33,033  
Less: operating lease liabilities, current portion (9,536) [1] $ (15,353)
Noncurrent operating lease liabilities 23,497 [1] $ 19,932
Sublease Income    
2025 (remaining 3 months) (1,606)  
2026 (1,563)  
2027 (368)  
2028 (379)  
2029 (291)  
Total lease payments (4,207)  
Net Operating Lease Payments    
2025 (remaining 3 months) 1,274  
2026 9,458  
2027 8,223  
2028 5,602  
2029 3,615  
Thereafter 6,283  
Total lease payments $ 34,455  
[1] Future minimum lease payments exclude short-term leases as well as payments to landlords for variable common area maintenance, insurance, and real estate taxes.
v3.25.3
Commitments and Contingencies - Additional Information (Details)
$ in Millions
Sep. 30, 2025
USD ($)
Commitments and Contingencies Disclosure [Abstract]  
Purchase commitments $ 133.2
v3.25.3
Segment Related Information - Additional Information (Details)
 9 Months Ended
Sep. 30, 2025
Segment
Segment Reporting Information [Line Items]  
Number of operating segments 1
Number of reportable business segments 1
Segment Reporting, CODM, Individual Title and Position or Group Name [Extensible Enumeration] srt:ChiefExecutiveOfficerMember
Segment Reporting, CODM, Profit (Loss) Measure, How Used, Description The Company’s Chief Executive Officer has been determined to be the chief operating decision maker (“CODM”) in accordance with the authoritative guidance on segment reporting. The accounting policies of the segment are the same as those described in the summary of significant accounting policies. The CODM assesses performance and decides how to allocate resources based on net income (loss) that also is reported on the statements of operations as consolidated net income (loss).
v3.25.3
Segment Related Information - Summary of Reported Segment Revenue, Significant Segment Expenses, and Segment Net Loss (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Segment Reporting Information [Line Items]        
Revenue $ 111,632 $ 132,891 $ 331,598 $ 371,326
Cost of revenue, excluding depreciation and amortization of intangible assets [1] 29,078 27,484 92,226 86,193
Research and development [1] 29,923 53,627 99,255 149,189
Selling, general and administrative [1] 42,536 56,483 132,376 165,938
Depreciation expense 3,470 2,918 9,823 9,780
Amortization expense 7,987 10,934 26,853 33,015
Interest and other income, net (821) (2,379) (4,863) (4,711)
Interest expense - debt 761 756 2,252 2,252
Gain on divestitures 0 0 0 (22,934)
Provision for income taxes 4,805 2,899 12,930 16,437
Net loss $ (6,107) $ (19,831) $ (39,254) $ (63,833)
[1] Includes total salaries, bonuses, and employee benefits of $56.8 million and $73.8 million for the three months ended September 30, 2025 and 2024, respectively; and $178.8 million and $218.7 million for the nine months ended September 30, 2025 and 2024, respectively.
v3.25.3
Segment Related Information - Summary of Reported Segment Revenue, Significant Segment Expenses, and Segment Net Income (Loss) (Parenthetical) (Details) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Segment Reporting Information [Line Items]        
Salaries, bonuses and employee benefits $ 56.8 $ 178.8 $ 73.8 $ 218.7
v3.25.3
Subsequent Event - Additional Information (Details)
$ in Millions
Nov. 01, 2025
USD ($)
Employees
Subsequent Event [Line Items]  
Number of employees reduction in workforce | Employees 250
Subsequent Event [Member]  
Subsequent Event [Line Items]  
Restructuring and related activities completion period 2026
Subsequent Event [Member] | Maximum  
Subsequent Event [Line Items]  
Restructuring and related charges $ 18.0
Subsequent Event [Member] | Minimum  
Subsequent Event [Line Items]  
Restructuring and related charges $ 16.0