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Stock-based compensation (Tables) | 9 Months Ended | 12 Months Ended
--- | --- | ---
Sep. 30, 2022 | Dec. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] |  |
Assumptions used to estimate fair value of stock options granted | The assumptions used to estimate the fair value of stock options granted during the nine months ended September 30, 2022 and 2021 are as follows:
|  | Nine months ended September 30, |
|  | 2022 |  |  | 2021 |
Expected dividend yield |  |  | — |  |  |  | — |
Expected volatility |  |  | 70.6 | % |  |  | 56.3 | %
Expected term (years) |  |  | 6.1 |  |  |  | 6.1 |
Risk-free interest rate |  |  | 3.0 | % |  |  | 0.9 | %
Stock option activity | The following table summarizes the Company’s stock option activity during the periods presented (in thousands except share and per share data):
|  | Number of options outstanding |  |  | Weighted average exercise price ($) |  |  | Weighted average remaining contractual term (years) |  |  | Aggregate intrinsic value ($) |
Balance as of December 31, 2021 |  |  | 16,336,134 |  |  | $ | 0.81 |  |  |  | 8.55 |  |  | $ | 80,179 |
Granted |  |  | 1,500,081 |  |  |  | 10.07 |  |  |  |  |  |  |  |  |
Exercised |  |  | (174,378 | ) |  |  | 0.81 |  |  |  |  |  |  |  |  |
Forfeited |  |  | (944,087 | ) |  |  | 0.81 |  |  |  |  |  |  |  |  |
Expired |  |  | (28,981 | ) |  |  | 0.81 |  |  |  |  |  |  |  |  |
Balance as of September 30, 2022 |  |  | 16,688,769 |  |  | $ | 1.64 |  |  |  | 6.96 |  |  | $ | 74,546 |
Exercisable as of September 30, 2022 |  |  | 12,128,516 |  |  | $ | 0.84 |  |  |  | 6.20 |  |  | $ | 59,344 |
Preferred stock warrants outstanding and exercisable | As of September 30, 2022, the following preferred stock warrants of D-Wave Systems were outstanding and exercisable:
|  | Number of warrants outstanding |  |  | Weighted average exercise price ($) |  |  | Expiry Date |  |  | Number exercisable |
|  |  | 3,247,637 |  |  | $ | 1.92 |  |  |  | 29-Nov-26 |  |  |  | 1,299,055 |
Total, September 30, 2022 |  |  | 3,247,637 |  |  | $ | 1.92 |  |  |  |  |  |  |  | 1,299,055 |
Stock-based compensation expense | The following table summarizes the stock-based compensation expense classified in the condensed consolidated statements of operations and comprehensive loss as follows (in thousands):
|  | Three months ended September 30, |
|  | 2022 |  |  | 2021 |
Research and development |  | $ | 329 |  |  | $ | 63 |
General and administrative |  |  | 1,640 |  |  |  | 105 |
Sales and marketing |  |  | 58 |  |  |  | 57 |
Total stock-based compensation |  | $ | 2,027 |  |  | $ | 225 |
|  | Nine months ended September 30, |
|  | 2022 |  |  | 2021 |
Research and development |  | $ | 539 |  |  | $ | 150 |
General and administrative |  |  | 2,909 |  |  |  | 278 |
Sales and marketing |  |  | 247 |  |  |  | 127 |
Total stock-based compensation |  | $ | 3,695 |  |  | $ | 555 |
D-Wave Systems Inc. [Member] |  |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] |  |
Assumptions used to estimate fair value of stock options granted |  | The assumptions used to estimate the fair value of stock options granted during the years ended December 31, 2021 and 2020 are as follows:
|  | Years ended December 31, |
|  | 2021 |  |  | 2020 |
Expected dividend yield |  |  | 0% |  |  |  | 0% |
Expected volatility |  |  | 56% |  |  |  | 45% |
Expected term (years) |  |  | 8.53 |  |  |  | 9.41 |
Risk-free interest rate |  |  | 0.87% |  |  |  | 0.43% |
Stock option activity |  | The following table summarizes the Company’s stock option activity during the periods presented (in thousands except share and per share data):
|  | Number of options outstanding |  |  | Weighted average exercise price ($) |  |  | Weighted average remaining contractual term (years) |  |  | Aggregate intrinsic value ($) |
Balance as of December 31, 2020 |  |  | 12,654,807 |  |  |  | 0.81 |  |  |  | 9.38 |  |  |  | — |
D-Wave options granted |  |  | 4,369,866 |  |  |  | 0.82 |  |  |  | — |  |  |  | — |
D-Wave options exercised |  |  | (105,203 | ) |  |  | 0.81 |  |  |  | — |  |  |  | — |
D-Wave options forfeited |  |  | (171,204 | ) |  |  | 0.81 |  |  |  | — |  |  |  | — |
D-Wave options expired |  |  | (412,132 | ) |  |  | 0.81 |  |  |  | — |  |  |  | — |
Balance as of December 31, 2021 |  |  | 16,336,134 |  |  |  | 0.81 |  |  |  | 8.55 |  |  |  | 80,179 |
Options unvested as of December 31, 2021 |  |  | 6,943,273 |  |  |  | 0.81 |  |  |  | 8.53 |  |  |  | 77,423 |
Options exercisable as of December 31, 2021 |  |  | 9,392,861 |  |  |  | 0.81 |  |  |  | 8.20 |  |  |  | 46,116 |
Preferred stock warrants outstanding and exercisable |  | As of December 31, 2021, the following United States dollar common stock warrants were outstanding and exercisable:
|  | Number of warrants outstanding |  |  | Weighted average exercise price ($) |  |  | Expiry Date |  |  | Number exercisable |
|  |  | 617,972 |  |  | $ | 1.75 |  |  |  | 14-April-22 |  |  |  | 617,972 |
Total, December 31, 2021 |  |  | 617,972 |  |  | $ | 1.75 |  |  |  |  |  |  |  | 617,972 |
As of December 31, 2021, the following United States dollar preferred stock warrants were outstanding and exercisable:
|  | Number of warrants outstanding |  |  | Weighted average exercise price ($) |  |  | Expiry Date |  |  | Number exercisable |
|  |  | 3,247,637 |  |  | $ | 1.92 |  |  |  | 29-Nov-26 |  |  |  | 1,299,055 |
Total, December 31, 2021 |  |  | 3,247,637 |  |  | $ | 1.92 |  |  |  |  |  |  |  | 1,299,055 |
Stock-based compensation expense |  | The following table summarizes the stock-based compensation expense classified in the consolidated statements of operations and comprehensive loss as follows (in thousands):
|  | Years ended December 31, |
|  | 2021 |  |  | 2020 |
Research and development |  | $ | 338 |  |  | $ | 1,513 |
General and administrative |  |  | 1,164 |  |  |  | 1,346 |
Sales and marketing |  |  | 237 |  |  |  | 130 |
Total stock-based compensation |  | $ | 1,739 |  |  | $ | 2,989 |
D-Wave Systems Inc. [Member] | Common stock and preferred stock warrant [Member] |  |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] |  |
Stock option activity |  | A continuity of the Company’s United States dollar common stock warrants issued and outstanding is as follows:
|  | Number of common stock warrants |  |  | Weighted average exercise price ($) |  |  | Number of preferred stock warrants |  |  | Weighted average exercise price ($) |
Balance as of December 31, 2020 |  |  | 617,972 |  |  |  | 1.75 |  |  |  | 3,247,637 |  |  |  | 1.92 |
Granted during the period |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Expired during the period |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Exercised during the period |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Balance as of December 31, 2021 |  |  | 617,972 |  |  |  | 1.75 |  |  |  | 3,247,637 |  |  |  | 1.92 |

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- Definition Tabular disclosure of allocation of amount expensed and capitalized for award under share-based payment arrangement to statement of income or comprehensive income and statement of financial position. Includes, but is not limited to, corresponding line item in financial statement. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (h)(1) -URI https://asc.fasb.org/extlink&oid=128089324&loc=d3e5070-113901 + Details
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- Definition Tabular disclosure for stock option plans. Includes, but is not limited to, outstanding awards at beginning and end of year, grants, exercises, forfeitures, and weighted-average grant date fair value. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (d) -URI https://asc.fasb.org/extlink&oid=128089324&loc=d3e5070-113901 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (e) -URI https://asc.fasb.org/extlink&oid=128089324&loc=d3e5070-113901 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (c)(1) -URI https://asc.fasb.org/extlink&oid=128089324&loc=d3e5070-113901 + Details
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- Definition Tabular disclosure of the significant assumptions used during the year to estimate the fair value of stock options, including, but not limited to: (a) expected term of share options and similar instruments, (b) expected volatility of the entity's shares, (c) expected dividends, (d) risk-free rate(s), and (e) discount for post-vesting restrictions. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (f)(2) -URI https://asc.fasb.org/extlink&oid=128089324&loc=d3e5070-113901 + Details
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- Definition Tabular disclosure of warrants or rights issued. Warrants and rights outstanding are derivative securities that give the holder the right to purchase securities (usually equity) from the issuer at a specific price within a certain time frame. Warrants are often included in a new debt issue to entice investors by a higher return potential. The main difference between warrants and call options is that warrants are issued and guaranteed by the company, whereas options are exchange instruments and are not issued by the company. Also, the lifetime of a warrant is often measured in years, while the lifetime of a typical option is measured in months. Disclose the title of issue of securities called for by warrants and rights outstanding, the aggregate amount of securities called for by warrants and rights outstanding, the date from which the warrants or rights are exercisable, and the price at which the warrant or right is exercisable. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 1 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=128089324&loc=d3e5047-113901 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 50 -Section S99 -Paragraph 1 -URI https://asc.fasb.org/extlink&oid=6784392&loc=d3e188667-122775 + Details
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- Definition Line items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table. + References No definition available. + Details
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