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Discontinued Operations | 6 Months Ended | 12 Months Ended
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Jun. 30, 2023 | Dec. 31, 2022
Discontinued Operations [Abstract] |  |
Discontinued Operations | Note 24 — Discontinued Operations On March 14, 2023, the Company completed the Business Combination which divested its Enterprise Apps Business and certain related assets and liabilities through a spin-off of CXApp Holding Corp., a Delaware corporation (“Legacy CXApp”) to Inpixon’s shareholders of record as of March 6, 2023 (the “Record Date”) on a pro rata basis. This Enterprise Apps Spin-off was considered a strategic shift that has a major impact on the Company, and therefore, the results of operations are recorded as a component of “Earnings (loss) from discontinued operations, net of income taxes” in the Condensed Consolidated Statements of Operations for all periods presented. The Company noted that Legacy CXApp was part of the Company’s Indoor Intelligence segment. The net assets distributed as a result of the Enterprise Apps Spin-off was $24.2 million. Included within the $24.2 million dividend recorded to Additional Paid in Capital as a result of the deconsolidation of CXApp through distribution to shareholders recorded during the three months ended March 31, 2023, is approximately $1.2 million in accumulated other comprehensive income that was recognized as a result of those distributed assets and liabilities included in the foreign operations of CXApp.
|  | Three Months Ended June 30, 2022 |  | Six Months Ended June 30, 2023 |  | Six Months Ended June 30, 2022
Revenues |  | $ | 2,149 |  |  | $ | 1,620 |  |  | $ | 4,731 |
Cost of Revenues |  |  | 540 |  |  |  | 483 |  |  |  | 1,129 |
Gross Profit |  |  | 1,609 |  |  |  | 1,137 |  |  |  | 3,602 |
Operating Expenses |  |  |  |  |  |  |  |  |  |  |  |
Research and development |  |  | 2,430 |  |  |  | 1,514 |  |  |  | 4,421 |
Sales and marketing |  |  | 1,570 |  |  |  | 988 |  |  |  | 2,676 |
General and administrative |  |  | 2,497 |  |  |  | 1,644 |  |  |  | 3,914 |
Earnout compensation benefit |  |  | — |  |  |  | — |  |  |  | (2,827 | )
Acquisition related costs |  |  | 10 |  |  |  | — |  |  |  | 16 |
Transaction costs |  |  | — |  |  |  | 1,043 |  |  |  | — |
Impairment of goodwill |  |  | 5,540 |  |  |  | — |  |  |  | 5,540 |
Amortization of intangibles |  |  | 973 |  |  |  | 805 |  |  |  | 1,948 |
Total Operating Expenses |  |  | 13,020 |  |  |  | 5,994 |  |  |  | 15,688 |
Loss from Operations |  |  | (11,411 | ) |  |  | (4,857 | ) |  |  | (12,086 | )
Interest (expense)/income, net |  |  | 8 |  |  |  | 1 |  |  |  | 9 |
Other income/(expense) |  |  | — |  |  |  | — |  |  |  | — |
Total Other Income (Expense) |  |  | 8 |  |  |  | 1 |  |  |  | 9 |
Loss from discontinued operations, before tax |  |  | (11,403 | ) |  |  | (4,856 | ) |  |  | (12,077 | )
Income tax provision |  |  | 38 |  |  |  | — |  |  |  | (62 | )
Loss from discontinued operations, net of tax |  | $ | (11,365 | ) |  | $ | (4,856 | ) |  | $ | (12,139 | )
Cash used in operating activities by the Enterprise Apps Business totaled approximately $0.8 million and $3.0 million for the three months ended March 31, 2023 and 2022, respectively. Cash provided by investing activities from the Enterprise Apps Business totaled approximately $0.1 million for the three months ended March 31, 2023 and cash used in investing activities by the Enterprise Apps Business totaled approximately $0.04 million for the three months ended March 31, 2022. The following table summarizes certain assets and liabilities of discontinued operations:
|  | As of December 31, 2022
Current Assets of Discontinued Operations |  |  |
Cash and cash equivalents |  | $ | 10,000
Accounts receivable |  |  | 1,338
Prepaid expenses and other current assets |  |  | 923
Current Assets of Discontinued Operations |  | $ | 12,261
Long Term Assets of Discontinued Operations |  |  |
Property and equipment, net |  | $ | 202
Operating Lease Right-of-Use Asset, net |  |  | 681
Software development costs, net |  |  | 487
Intangible assets, net |  |  | 19,289
Other Assets |  |  | 52
Long Term Assets of Discontinued Operations |  | $ | 20,711
Current Liabilities of Discontinued Operations |  |  |
Accounts payable |  | $ | 1,054
Accrued liabilities |  |  | 1,736
Operating lease obligation, current |  |  | 266
Deferred revenue |  |  | 2,162
Current Liabilities of Discontinued Operations |  | $ | 5,218
Long Term Liabilities of Discontinued Operations |  |  |
Operating lease obligation, noncurrent |  | $ | 444
Other Liabilities, noncurrent |  |  | 28
Long Term Liabilities of Discontinued Operations |  | $ | 472
| Note 33 — Discontinued Operations On March 14, 2023, the Company completed the Business Combination which divested its Enterprise Apps Business and certain related assets and liabilities through a spin-off of CXApp Holding Corp., a Delaware corporation (“Legacy CXApp”) to Inpixon’s stockholders and certain other securityholders of record as of March 6, 2023 (the “Record Date”) on a pro rata basis. The operations related to CXApp met the criteria within ASC 205-20 to be reported as discontinued operations because the Enterprise Apps Spin-off and the Merger represented a strategic shift in business that had a major effect on the Company’s operations and financial results. Accordingly, CXApp has been presented as discontinued operations in our consolidated financial statements for the years ended December 31, 2022, and 2021. The Company noted that Legacy CXApp was part of the Company’s Indoor Intelligence segment. The net assets distributed as a result of the Enterprise Apps Spin-off was $24.2 million. Included within the $24.2 million dividend recorded to Additional Paid in Capital as a result of the deconsolidation of CXApp through distribution to securityholders is approximately $1.2 million in accumulated other comprehensive income that was recognized as a result of those distributed assets and liabilities included in the foreign operations of CXApp. The operations related to CXApp met the criteria within ASC 205-20 to be reported as discontinued operations because the Enterprise Apps Spin-off and the Merger represented a strategic shift in business that had a major effect on the Company’s operations and financial results. Accordingly, CXApp has been presented as discontinued operations in our consolidated financial statements for the years ended December 31, 2022 and 2021. The financial data of Inpixon Canada, Inc., Design Reactor, Inc., Inpixon Philippines, Inc., and certain financial data of Inpixon, including Visualix GmbH i.L, entities are included in discontinued operations. The following table summarizes certain selected components of income from discontinued operations:
|  | Year Ended December 31, 2022 |  | Year Ended December 31, 2021
Revenues |  | $ | 8,470 |  |  | $ | 6,368 |
Cost of Revenues |  |  | 2,064 |  |  |  | 1,646 |
Gross Profit |  |  | 6,406 |  |  |  | 4,722 |
Operating Expenses |  |  |  |  |  |  |  |
Research and development |  |  | 9,323 |  |  |  | 6,704 |
Sales and marketing |  |  | 4,996 |  |  |  | 4,763 |
General and administrative |  |  | 10,540 |  |  |  | 20,607 |
Acquisition related costs |  |  | 16 |  |  |  | 628 |
Impairment of goodwill and intangibles |  |  | 5,540 |  |  |  | 11,896 |
Amortization of intangibles |  |  | 3,885 |  |  |  | 3,046 |
Total Operating Expenses |  |  | 34,300 |  |  |  | 47,644 |
Loss from Operations |  |  | (27,894 | ) |  |  | (42,922 | )
Other Income (Expense) |  |  |  |  |  |  |  |
Interest (expense)/income, net |  |  | 4 |  |  |  | 1 |
Other income/(expense) |  |  | (1 | ) |  |  | — |
Total Other Income (Expense) |  |  | 3 |  |  |  | 1 |
Loss from discontinued operations, before tax |  |  | (27,891 | ) |  |  | (42,921 | )
Income tax (expense)/benefit |  |  | (184 | ) |  |  | 5,201 |
Loss from discontinued operations, net of tax |  | $ | (28,075 | ) |  | $ | (37,720 | )
Cash used in operating activities from discontinued operations totaled approximately $17.8 million and $10.0 million for the years ended December 31, 2022 and 2021, respectively. Cash used in investing activities from discontinued operations totaled approximately $0.5 million and $0.4 million for the year ended December 31, 2022 and 2021, respectively. Cash provided by financing activities from discontinued operations totaled approximately $23.3 million and $20.4 million for the years ended December 31, 2022 and 2021, respectively. The following table summarizes certain assets and liabilities of discontinued operations:
|  | As of December 31,
|  | 2022 |  | 2021
Current Assets of Discontinued Operations |  |  |  |  |  |
Cash and cash equivalents |  | $ | 10,000 |  |  | 10,000
Accounts receivable |  |  | 1,338 |  |  | 1,764
Notes and other receivables |  |  | 273 |  |  | 106
Inventory |  |  | — |  |  | 11
Prepaid expenses and other current assets |  |  | 650 |  |  | 889
Current Assets of Discontinued Operations |  | $ | 12,261 |  | $ | 12,770
Long Term Assets of Discontinued Operations |  |  |  |  |  |
Property and equipment, net |  | $ | 202 |  | $ | 231
Operating Lease Right-of-Use Asset, net |  |  | 681 |  |  | 723
Software development costs, net |  |  | 487 |  |  | 648
Intangible assets, net |  |  | 19,289 |  |  | 23,468
Goodwill |  |  | — |  |  | 5,545
Other Assets |  |  | 52 |  |  | 76
Long Term Assets of Discontinued Operations |  | $ | 20,711 |  | $ | 30,691
Current Liabilities of Discontinued Operations |  |  |  |  |  |
Accounts payable |  | $ | 1,054 |  | $ | 661
Accrued liabilities |  |  | 1,736 |  |  | 7,882
Operating lease obligation, current |  |  | 266 |  |  | 213
Deferred revenue |  |  | 2,162 |  |  | 3,145
Current Liabilities of Discontinued Operations |  | $ | 5,218 |  | $ | 11,901
Long Term Liabilities of Discontinued Operations |  |  |  |  |  |
Operating lease obligation, noncurrent |  | $ | 444 |  | $ | 531
Other Liabilities, noncurrent |  |  | 28 |  |  | 28
Long Term Liabilities of Discontinued Operations |  | $ | 472 |  | $ | 559

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- Definition The entire disclosure related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//205-20/tableOfContent Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 360 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//360/tableOfContent + Details
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