Stock-Based Compensation

3 Months Ended

Mar. 31, 2023

Share-Based Payment Arrangement [Abstract]

Equity Incentive Plans

In November 2011, the Company established the 2011 Employee, Director and Consultant Equity Incentive Plan (the “2011 Plan”) and reserved shares of the Company’s common stock for sale and issuance under the 2011 Plan. Options granted under the 2011 Plan generally vest over a four-year period and generally expire ten years from the date of grant. Options are exercisable only to the extent vested. The 2011 Plan terminated in November 2021, and accordingly, no additional shares are available for grant under the 2011 Plan. The 2011 Plan continues to govern outstanding awards granted under the 2011 Plan.

The 2021 Equity Incentive Plan (the “2021 Plan”) was established in July 2021. The 2021 Plan provides for the grant of incentive and non-statutory stock options as well as other stock rights to employees, directors, and consultants of the Company. Options generally vest over a four-year period, are exercisable only to the extent vested, and generally expire ten years from the date of grant. Restricted stock units (“RSUs”) generally vest over a four-year period. The 2021 Plan includes provisions for annual automatic increases to the number of shares of Class A common stock reserved for issuance under the 2021 Plan. In addition, any shares that otherwise would be returned to the 2011 Plan as a result of the expiration or cancellation of stock options may be added to the 2021 Plan. As of March 31, 2023, there were 2,312,525 shares of the Company’s Class A common stock that were available for future grants under the 2021 Plan.

The 2021 Employee Stock Purchase Plan (the “2021 ESPP”) was established in July 2021. The 2021 ESPP includes provisions for annual automatic increases to the number of shares of Class A common stock reserved for issuance under the 2021 ESPP. As of March 31, 2023, there were 894,903 shares of the Company’s Class A common stock that were available for future grants under the 2021 ESPP.

Stock Options

Unless otherwise noted, references to “options” in the subsequent disclosures, refers to the combined incentive and non-statutory stock options issued as employee and non-employee stock-based compensation, and authorized under the 2011 Plan and the 2021 Plan. The following table summarizes information about these options granted and outstanding:


	Number of Shares Subject to Options Outstanding	Weighted- Average Exercise Price Per Share		Weighted- Average Remaining Contractual Life (In Years)	Aggregate Intrinsic Value (In Thousands)
Outstanding — December 31, 2022	8,428,441	$	3.65	7.7	$	115
Granted	612,276	3.79
Expired	—	—
Cancelled	(161,374)	6.82
Exercised	(4,094)	0.83
Outstanding — March 31, 2023	8,875,249	$	3.61	7.6	$	9,755
Vested and expected to vest at March 31, 2023	8,497,717	$	3.57	7.6	$	9,630
Vested and exercisable at March 31, 2023	4,890,492	$	3.02	6.7	$	7,562

RSUs

The following table summarizes information about RSUs granted and outstanding under the 2021 Plan:


	Number of Awards	Weighted-Average Grant Date Fair Value
Outstanding — December 31, 2022	—	$	—
Granted	347,824	3.79
Forfeited	(388)	3.80
Vested	—	—
Outstanding — March 31, 2023	347,436	$	3.79

Stock-Based Compensation Expense

The following table presents the impact of stock-based compensation expense in the statements of operations for the periods indicated (in thousands):


	Three Months Ended March 31,
	2023		2022
Research and development expense	$	349	$	383
Sales and marketing expense	184		313
General and administrative expense	771		526
Total employee stock-based compensation	$	1,304	$	1,222

The information about unrecognized stock-based compensation expense for outstanding unvested stock options and RSUs as of March 31, 2023 was as follows (in thousands, except years):


	Unrecognized Stock-Based Compensation Expense		Weighted-Average Period of Recognition (in years)
Stock Options	$	10,071	2.4
RSUs	1,013		3.9
Total unrecognized stock-based compensation expense	$	11,084