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Stock-based Compensation
 9 Months Ended
Sep. 30, 2024
Share-Based Payment Arrangement [Abstract]  
Stock-based Compensation Stock-based Compensation
Stock-based compensation expense is related to the grant of restricted units under the Amended and Restated 2022 Equity Incentive Plan (“2022 Plan”) and the grant of stock options under the 2020 Equity Incentive Plan (“2020 Plan”). In July 2024, the Company stockholders approved the amendment and restatement of the 2022 Plan to increase the number of shares reserved for issuance thereunder by 2,860,300 shares from 13,764,400 shares to 16,624,700 shares. The amended and restated 2022 Plan became effective immediately upon stockholder approval at the Company's 2024 annual meeting of stockholders held on July 19, 2024.
2022 Plan
Executive Incentive Awards – Market Condition Awards
Certain restricted stock unit (“RSU”) awards granted by the Company are subject to market conditions. These market condition awards are issued upon the achievement (at varying levels) of certain market capitalization thresholds. The Company has an obligation to issue a variable number of shares based on a fixed dollar value divided by the volume weighted-average price per share of the Company’s common stock for a 90-day period preceding each market capitalization achievement date. These awards are liability-classified and require fair value remeasurement at the end of each reporting period. No market condition awards were granted, forfeited, or issued during the three and nine months ended September 30, 2024.
The Company used the Monte Carlo simulation model to value the liability-classified awards. The key inputs into the Monte Carlo simulation as of September 30, 2024 and December 31, 2023, were as follows:
September 30,
2024		December 31, 2023
Expected term (in years)10.010.0
Expected stock price volatility (1)
60.0 %65.0 %
Risk-free interest rate (2)
3.8 %3.8 %
Expected dividend yield (3)
— %— %
(1)Expected volatility is based on the historical volatility of a publicly traded peer group over a period equivalent to the expected term of the awards.
(2)The risk-free interest rate is based on the U.S. Treasury yield of treasury bonds with a maturity that approximates the expected term of the awards.
(3)The Company has not historically paid any cash dividends on its common stock.
Key Performance Indicator (“KPI”) Awards
KPI awards will be issued to certain Company executives upon the satisfaction of certain KPIs as determined annually by the Board. The Company has an obligation to issue a variable number of shares based on a fixed dollar value divided by the volume weighted-average price per share of the Company’s common stock for a 90-day period preceding the issue date. The issue date shall occur no later than 120 days after the end of the applicable year. These awards are liability-classified and require fair value remeasurement at the end of each reporting period. The fair value of the KPI awards is based on the fixed dollar amount that is probable of being paid.
During the fourth quarter of 2023, the KPIs and measurement framework related to 2023 KPI awards were approved and granted by the Company’s Compensation Committee as it relates to the year ending December 31, 2023. As of December 31, 2023, such KPIs were achieved. A total of 247,898 shares were issued in the first quarter of 2024 with a total fair value of $2,350. Stock-based compensation expense of $2,062 related to the service provided through issuance date
was recorded in the first quarter of 2024 in “Selling, general and administrative expense” on the condensed consolidated statements of operations and comprehensive income (loss).
During the first quarter of 2024, the KPIs and measurement framework related to 2024 KPI awards were approved and granted by the Company’s Compensation Committee as it relates to the year ending December 31, 2024. As of September 30, 2024, the liability was measured based on the probable amount of being paid, and $1,923 was accrued and recorded in “Other non-current liabilities” in the condensed consolidated balance sheet. For the three and nine months ended September 30, 2024, stock-based compensation expense of $937 and $1,923, respectively, related to the service provided from the grant date through September 30, 2024 were recorded in “Selling, general and administrative expense” on the condensed consolidated statements of operations and comprehensive income (loss).
Except for the KPI award as discussed above, no other KPI awards were granted for the three and nine months ended September 30, 2024. No KPI awards were forfeited during the three and nine months ended September 30, 2024.
Time-based Awards Activity
A summary of the unvested time-based RSU activity during the nine months ended September 30, 2024, was as follows:
Number of SharesWeighted Average Grant Date Fair Value
Outstanding at December 31, 20235,947,487 $8.61 
Granted1,813,644 $9.86 
Vested(1,254,666)$8.37 
Forfeited(190,251)$7.57 
Outstanding at September 30, 20246,316,214 $9.04 
2020 Plan
Stock Options
The following table summarizes the stock option activity for the nine months ended September 30, 2024:
Number of
Options		Weighted
Average
Exercise
Price
Outstanding at December 31, 20231,768,627 $4.71 
Exercised(452,614)$4.48 
Forfeited or expired
(144,288)$5.43 
Outstanding at September 30, 20241,171,725 $4.71 
Stock-based Compensation Information
The following table summarizes stock-based compensation expenses for the three and nine months ended September 30, 2024 and 2023:
Three Months Ended
September 30,		Nine Months Ended
September 30,
2024202320242023
Selling, general and administrative expenses$5,843 $3,639 $20,183 $9,809 
Product development expenses$1,209 $9 2,459 $785 
$7,052 $3,648 $22,642 $10,594 
Stock-based compensation expense that was capitalized as an asset was $91 and $179 for the three and nine months ended September 30, 2024, respectively. Stock-based compensation expense that was capitalized as an asset was $51 and $189 for the three and nine months ended September 30, 2023, respectively.