| Segment and Geographic Information |
| 20. |
Segment and Geographic
Information |
The
Company operates as one operating segment. The Company’s chief operating decision maker (“CODM”) is its chief executive
officer, who reviews financial information presented on a consolidated basis to make decisions regarding how to allocate resources and
assess performance. The CODM assesses performance and decides how to allocate resources based on net loss and is reported on the consolidated
statements of operations as consolidated net loss. Net loss is used to monitor budget versus actual results in an effort to refine forecasts,
control costs, and pricing strategies. The CODM does not evaluate operating segments using asset information.
The
following presents selected financial information with respect to the Company’s single operating segment:
| | |
Year
Ended December 31, | |
| | |
2025 | | |
2024 | |
| Revenues | |
$ | 100,622,320 | | |
$ | 95,488,190 | |
| | |
| | | |
| | |
| Expenses | |
| | | |
| | |
| Programming
and content | |
$ | 86,377,511 | | |
$ | 120,071,966 | |
| Other
cost of services | |
| 21,006,322 | | |
| 18,400,300 | |
| General
and administrative | |
| 48,738,522 | | |
| 36,646,307 | |
| Research
and development | |
| 18,743,630 | | |
| 18,923,319 | |
| Sales
and marketing | |
| 23,892,235 | | |
| 17,330,925 | |
| Acquisition-related
transaction costs | |
| 13,303,532 | | |
| - | |
| Amortization
and depreciation | |
| 14,564,535 | | |
| 13,614,587 | |
| Change
in fair value of digital assets | |
| 649,638 | | |
| - | |
| Change
in fair value of contingent consideration | |
| - | | |
| 1,354,357 | |
| | |
| | | |
| | |
| Total
expenses | |
| 227,275,925 | | |
| 226,341,761 | |
| | |
| | | |
| | |
| Loss
from operations | |
| (126,653,605 | ) | |
| (130,853,571 | ) |
| Interest
income | |
| 10,419,139 | | |
| 8,083,903 | |
| Other
expense | |
| (10,643 | ) | |
| (207,431 | ) |
| Change
in fair value of warrant liability | |
| 24,781,975 | | |
| (32,694,697 | ) |
| Change
in fair value of derivative | |
| 9,700,000 | | |
| (184,699,998 | ) |
| | |
| | | |
| | |
| Loss
before income taxes | |
| (81,763,134 | ) | |
| (340,371,794 | ) |
| Income
tax (expense) benefit | |
| (67,228 | ) | |
| 2,009,015 | |
| | |
| | | |
| | |
| Net
loss | |
$ | (81,830,362 | ) | |
$ | (338,362,779 | ) |
The
following presents revenue by geographic region:
| | |
Year
Ended December 31, | |
| | |
2025 | | |
2024 | |
| United States | |
$ | 90,893,137 | | |
$ | 89,094,815 | |
| Canada | |
| 1,175,959 | | |
| 1,928,280 | |
| Other | |
| 8,553,224 | | |
| 4,465,095 | |
| | |
$ | 100,622,320 | | |
$ | 95,488,190 | |
The
Company tracks assets by physical location. Long-lived assets consist of property and equipment, net, and right-of-use assets, net, as
shown below:
| | |
As
of December 31, | |
| | |
2025 | | |
2024 | |
| United States | |
$ | 16,611,488 | | |
$ | 18,315,173 | |
| Canada | |
| 1,435,911 | | |
| 506,003 | |
| | |
$ | 18,047,399 | | |
$ | 18,821,176 | |
|