Sonim (SONM) 10-Q 14 Aug 23 2023 Q2 Quarterly report Financial data

Cover

Cover - shares	6 Months Ended
	Jun. 30, 2023	Jul. 31, 2023
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Jun. 30, 2023
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2023
Current Fiscal Year End Date	--12-31
Entity File Number	001-38907
Entity Registrant Name	Sonim Technologies, Inc.
Entity Central Index Key	0001178697
Entity Tax Identification Number	94-3336783
Entity Incorporation, State or Country Code	DE
Entity Address, Address Line One	4445 Eastgate Mall
Entity Address, Address Line Two	Suite 200
Entity Address, City or Town	San Diego
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	92121
City Area Code	(650)
Local Phone Number	378-8100
Title of 12(b) Security	Common Stock par value $0.001 per share
Trading Symbol	SONM
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Elected Not To Use the Extended Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		41,284,613

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Assets
Cash and cash equivalents	$ 9,720	$ 13,213
Accounts receivable, net	26,576	22,433
Non-trade receivable	1,008	2,269
Inventory	4,736	3,910
Prepaid expenses and other current assets	1,428	1,807
Total current assets	43,468	43,632
Property and equipment, net	83	168
Right-of-use assets	183	66
Contract fulfillment assets	7,028	6,848
Other assets	2,978	2,972
Total assets	53,740	53,686
Liabilities and stockholders’ equity
Current portion of long-term debt	74	147
Accounts payable	20,913	21,126
Accrued expenses	9,475	10,692
Current portion of lease liability	183	66
Deferred revenue		31
Total current liabilities	30,645	32,062
Income tax payable	1,446	1,429
Accrued severance		150
Total liabilities	32,091	33,641
Commitments and contingencies (Note 9)
Stockholders’ equity
Common stock, $0.001 par value per share; 100,000,000 shares authorized: and 41,110,279 and 40,774,687 shares issued and outstanding at June 30, 2023, and December 31, 2022, respectively.	41	41
Preferred stock, $0.001 par value per share, 5,000,000 shares authorized, and no shares issued and outstanding at June 30, 2023, and December 31, 2022, respectively.
Additional paid-in capital	270,742	269,874
Accumulated deficit	(249,134)	(249,870)
Total stockholders’ equity	21,649	20,045
Total liabilities and stockholders’ equity	$ 53,740	$ 53,686

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Jun. 30, 2023	Dec. 31, 2022
Statement of Financial Position [Abstract]
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	41,110,279	40,774,687
Common stock, shares outstanding	41,110,279	40,774,687
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Income Statement [Abstract]
Net revenues	$ 26,835	$ 11,955	$ 52,636	$ 25,213
Cost of revenues	22,409	9,108	44,035	20,838
Gross profit	4,426	2,847	8,601	4,375
Operating expenses:
Research and development		2,721	105	6,889
Sales and marketing	1,827	2,073	3,584	4,243
General and administrative	1,852	2,273	3,832	4,545
Total operating expenses	3,679	7,067	7,521	15,677
Net income (loss) from operations	747	(4,220)	1,080	(11,302)
Interest expense	(5)	(35)	(5)	(74)
Other income (expense), net	(161)	91	(154)	68
Net income (loss) before income taxes	581	(4,164)	921	(11,308)
Income tax expense	(72)	(61)	(185)	(129)
Net income (loss)	$ 509	$ (4,225)	$ 736	$ (11,437)
Net income (loss) per share
Basic	$ 0.01	$ (0.22)	$ 0.02	$ (0.60)
Diluted	$ 0.01	$ (0.22)	$ 0.02	$ (0.60)
Weighted–average shares used in computing net income (loss) per share
Basic	41,039,405	19,283,496	40,973,594	19,197,859
Diluted	43,398,189	19,283,496	41,903,630	19,197,859

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Total
Beginning balance, value at Dec. 31, 2021	$ 19	$ 253,416	$ (234,805)	$ 18,630
Beginning balance, shares at Dec. 31, 2021	18,808,885
Net settlement of common stock upon release of RSU
Net settlement of common stock upon release of RSU, shares	71,347
Employee and nonemployee stock-based compensation		499		499
Net income (loss)			(11,437)	(11,437)
Issuance of common stock, net of issuance costs		45		45
Issuance of common stock, net of issuance costs, shares	45,305
Issuance of common stock, compensation		253		253
Issuance of common stock, compensation, shares	415,023
Adoption of ASC 842 – leases			(978)	(978)
Ending balance, value at Jun. 30, 2022	$ 19	254,213	(247,220)	7,012
Ending balance, shares at Jun. 30, 2022	19,340,560
Beginning balance, value at Mar. 31, 2022	$ 19	253,997	(242,995)	11,021
Beginning balance, shares at Mar. 31, 2022	19,269,338
Net settlement of common stock upon release of RSU
Net settlement of common stock upon release of RSU, shares	71,222
Employee and nonemployee stock-based compensation		216		216
Net income (loss)			(4,225)	(4,225)
Ending balance, value at Jun. 30, 2022	$ 19	254,213	(247,220)	7,012
Ending balance, shares at Jun. 30, 2022	19,340,560
Beginning balance, value at Dec. 31, 2022	$ 41	269,874	(249,870)	20,045
Beginning balance, shares at Dec. 31, 2022	40,774,687
Net settlement of common stock upon release of RSU
Net settlement of common stock upon release of RSU, shares	19,849
Employee and nonemployee stock-based compensation		667		667
Net income (loss)			736	736
Issuance of common stock for payment of services		201		201
Issuance of common stock for payment of services, shares	315,743
Ending balance, value at Jun. 30, 2023	$ 41	270,742	(249,134)	21,649
Ending balance, shares at Jun. 30, 2023	41,110,279
Beginning balance, value at Mar. 31, 2023	$ 41	270,293	(249,643)	20,691
Beginning balance, shares at Mar. 31, 2023	40,995,430
Net settlement of common stock upon release of RSU
Net settlement of common stock upon release of RSU, shares	19,849
Employee and nonemployee stock-based compensation		358		358
Net income (loss)			509	509
Issuance of common stock for payment of services		91		91
Issuance of common stock for payment of services, shares	95,000
Ending balance, value at Jun. 30, 2023	$ 41	$ 270,742	$ (249,134)	$ 21,649
Ending balance, shares at Jun. 30, 2023	41,110,279

Condensed Consolidated Statem_3

Condensed Consolidated Statement of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Cash flows from operating activities:
Net income (loss)	$ 736	$ (11,437)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation and amortization	1,183	390
Stock-based compensation	667	499
Stock issued under bonus plan		253
Stock issued for services	201
Amortization of lease liability and lease interest expense	(138)	(404)
Bad debt expense (benefit)		2
Changes in operating assets and liabilities:
Accounts receivable	(4,143)	5,485
Non-trade receivable	1,261	997
Inventory	(826)	2,122
Prepaid expenses and other current assets	437	2,131
Contract fulfillment costs	(1,117)	(436)
Other assets	(64)	893
Accounts payable	(213)	(1,343)
Accrued expenses	(1,367)	834
Deferred revenue	(31)	144
Income tax payable	17	26
Net cash provided by (used in) operating activities	(3,397)	156
Cash flows from investing activities:
Purchase of property and equipment	(23)	(6)
Net cash used in investing activities	(23)	(6)
Cash flows from financing activities:
Repayment of debt	(73)	(73)
Proceeds from subscription agreement prior to issuance of common stock		6,800
Proceeds from issuance of common stock, net of costs		45
Net cash provided by (used in) financing activities	(73)	6,772
Net increase (decrease) in cash and cash equivalents	(3,493)	6,922
Cash and cash equivalents at beginning of period	13,213	11,233
Cash and cash equivalents at end of period	9,720	18,155
Supplemental disclosure of cash flow information:
Cash paid for interest	5	74
Cash paid for income taxes	69	103
Non-cash operating and financing activities:
Deferred offering costs in accrued expenses		$ 694

The Company and its significant

The Company and its significant accounting policies	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
The Company and its significant accounting policies	NOTE 1 — The Company and its significant accounting policies Description of Business August 5, 1999 Liquidity and Ability to Continue as a Going Concern 9.7 0.5 Basis of presentation and preparation The condensed consolidated financial statements include the accounts of Sonim Technologies, Inc. and its wholly owned subsidiaries (collectively “Sonim” or the “Company”). Intercompany accounts and transactions have been eliminated. In the opinion of the Company’s management, the condensed consolidated financial statements reflect all adjustments, which are normal and recurring in nature, necessary for fair financial statement presentation. The preparation of these condensed consolidated financial statements and accompanying notes in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the amounts reported. Actual results could differ materially from those estimates. Certain prior period amounts in the condensed consolidated financial statements and accompanying notes have been reclassified to conform to the current period’s presentation. These condensed consolidated financial statements and accompanying notes should be read in conjunction with the Company’s annual consolidated financial statements and accompanying notes included in its Annual Report on Form 10-K for the year ended December 31, 2022 (the “2022 Form 10-K”). New accounting pronouncements The Company is an “emerging growth company,” as defined in Section 2(a) of the Securities Act, as modified by the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”), and it may take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not emerging growth companies. Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that an emerging growth company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period which means that when a standard is issued or revised and it has different application dates for public or private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard. This may make comparison of the Company’s consolidated financial statements with another public company, which is neither an emerging growth company nor an emerging growth company that has opted out of using the extended transition period, difficult or impossible because of the potential differences in accounting standards used. Pronouncements adopted in 2023: None. SONIM TECHNOLOGIES, INC NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (In thousands of U.S. dollars except share and per share amounts or as otherwise disclosed)

Revenue recognition

Revenue recognition	6 Months Ended
	Jun. 30, 2023
Revenue from Contract with Customer [Abstract]
Revenue recognition	NOTE 2 — Revenue recognition The Company recognizes revenue primarily from the sale of products, which are primarily mobile phones, tablets, and related accessories, and the majority of the Company’s contracts include only one performance obligation, namely the delivery of product. A performance obligation is a promise in a contract to transfer a distinct good or service to the customer and is defined as the unit of account for revenue recognition under Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers. The Company also recognizes revenue from other contracts that may include a combination of products and non-recurring engineering (NRE) services or from the provision of solely NRE services. Where there is a combination of products and NRE services, the Company accounts for the promises as individual performance obligations if they are concluded as distinct. Performance obligations are considered distinct if they are both capable of being identified and distinct within the context of the contract. In determining whether performance obligations meet the criteria for being distinct, the Company considers a number of factors, such as the degree of interrelation and interdependence between obligations, and whether or not the good or service significantly modifies or transforms another good or service in the contract. During the three and six months ended June 30, 2023, and 2022, the Company did not have any contracts in which the products and NRE services were concluded to be a single performance obligation. In certain cases, the Company may offer tiered pricing based on volumes purchased for specific products. To date, all tiered pricing provisions have fallen into observable ranges of pricing to existing customers, thus, not resulting in any material right which could be concluded as its own performance obligation. In addition, the Company does not offer material post-contract support services to its customers. Net revenue for an individual contract is recognized at the related transaction price, which is the amount the Company expects to be entitled to in exchange for transferring the goods and/or services. The transaction price for product sales is calculated as the product selling price, net of variable consideration, which may include estimates for marketing development funds, sales incentives, and price protection and stock rotation rights. The Company records reductions to net revenues related to future product returns based on the Company’s expectations and historical experience. Typically, variable consideration does not need to be constrained as estimates are based on specific contract terms. However, the Company continues to assess variable consideration estimates such that it is probable that a significant reversal of revenue will not occur. The transaction price for a contract with multiple performance obligations is allocated to the separate performance obligations on a relative standalone selling price basis. Standalone selling prices for products are determined based on the prices charged to customers, which are directly observable. Standalone selling price of the professional services are mostly based on time and materials. The Company determines its estimates of variable consideration based on historical collection experience with similar payor classes, aged accounts receivable by payor class, terms of payment agreements, correspondence from payors related to revenue audits or reviews, the Company’s historical settlement activity of audited and reviewed claims and current economic conditions using the portfolio approach. Revenue is recognized only to the extent that it is probable that a significant reversal of the cumulative amount recognized will not occur in future periods. Revenue is then recognized for each distinct performance obligation as control is transferred to the customer. Revenue attributable to hardware is recognized at the time control of the product transfers to the customer. Control is generally transferred when the Company has a present right to payment and title and the significant risks and rewards of ownership of products or services are transferred to its customers. For most of the Company’s revenue attributable to hardware, control transfers when products are shipped. Revenue attributable to professional services is recognized as the Company performs the professional services for the customer. Disaggregation of revenue The following table presents the Company’s net revenue disaggregated by product category: Schedule of Net Revenue Disaggregate by Product Category 2023 2022 2023 2022 Three Months Ended June 30 Six Months Ended June 30 2023 2022 2023 2022 Smartphones $ 8,869 $ 5,862 $ 15,296 $ 9,449 Feature Phones 3,012 6,001 6,853 14,838 Tablets 14,737 — 29,994 — Accessories / Other 217 92 493 926 Total Revenue $ 26,835 $ 11,955 $ 52,636 $ 25,213 Shipping and handling costs The Company has elected to account for shipping and handling activities related to contracts with customers as costs to fulfill the promise to transfer the associated products. SONIM TECHNOLOGIES, INC NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (In thousands of U.S. dollars except share and per share amounts or as otherwise disclosed) Contract costs Applying the practical expedient, the Company recognizes the incremental costs of obtaining contracts as an expense when incurred when the amortization period of the assets that otherwise would have been recognized is one year or less. These costs are included in sales and marketing expenses. The non-recurring costs associated with design and development Other Assets and Deferred Costs. Accordingly, the Company capitalizes these contract fulfillment costs and amortizes such costs over the estimated period of time over which they are expected to be recovered, which is typically 4 , the estimated life of a particular model phone. 7,028 6,848 Contract balances The Company records accounts receivable when it has an unconditional right to consideration. Contract liabilities are recorded when cash payments are received or due in advance of performance. Contract liabilities consist of advance payments and deferred revenue, where the Company has unsatisfied performance obligations. Contract liabilities are presented as a component of deferred revenue on the condensed consolidated balance sheets. As of June 30, 2023 and December 31, 2022, the contract liabilities were zero 31

Fair value measurement

Fair value measurement	6 Months Ended
	Jun. 30, 2023
Fair Value Disclosures [Abstract]
Fair value measurement	NOTE 3 — Fair value measurement The fair value measurements standard establishes a framework for measuring fair value. That framework provides a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (level 1 measurements) and the lowest priority to unobservable inputs (level 3 measurements). The three levels of the fair value hierarchy under the standard are described below: Level 1—Inputs to the valuation methodology are unadjusted quoted prices for identical assets or liabilities in active markets that the Company has the ability to access. Level 2—Inputs to the valuation methodology include: Quoted market prices for similar assets or liabilities in active markets; ● Quoted prices for identical or similar assets or liabilities in inactive markets; ● Inputs other than quoted prices that are observable for the asset or liability; ● Inputs that are derived principally from or corroborated by observable market data by correlation or other means. If the asset or liability has a specified (contractual) term, the level 2 input must be observable for substantially the full term of the asset or liability. Level 3—Inputs to the valuation methodology are unobservable and significant to the fair value measurement. The assets or liability’s fair value measurement level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. Valuation techniques used need to maximize the use of observable inputs and minimize the use of unobservable inputs. The following is a description of the valuation methodologies used for assets and liabilities measured at fair value. There have been no changes in the methodologies used at June 30, 2023, and December 31, 2022. Money market funds are classified within level 1 of the fair value hierarchy because they are valued using quoted market prices. SONIM TECHNOLOGIES, INC NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (In thousands of U.S. dollars except share and per share amounts or as otherwise disclosed) The methods described above may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. Furthermore, while the Company believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date. The following tables sets forth by level, within the fair value hierarchy, the Company’s assets at fair value: Summary of Fair Value Assets and Liabilities Level 1 Level 2 Level 3 Total June 30, 2023 Level 1 Level 2 Level 3 Total Assets: Money market funds * $ 281 $ — $ — $ 281 Level 1 Level 2 Level 3 Total December 31, 2022 Level 1 Level 2 Level 3 Total Assets: Money market funds * $ 1,501 $ — $ — $ 1,501 * Included in cash and cash equivalents on the condensed consolidated balance sheets.

Significant Balance Sheet Compo

Significant Balance Sheet Components	6 Months Ended
	Jun. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Significant Balance Sheet Components	NOTE 4 — Significant Balance Sheet Components Accounts Receivable consists of the following: Schedule of Accounts Receivable June 30, 2023 December 31, 2022 Trade receivables $ 26,689 $ 22,546 Allowance for doubtful accounts (113 ) (113 ) Accounts receivable, net 26,576 22,433 Vendor non-trade receivables 1,008 2,269 Total accounts receivable $ 27,584 $ 24,702 The Company has non-trade receivables from a manufacturing vendor resulting from the sale of components to this vendor who manufactures and assembles final products for the Company. The Company analyzes the need for reserves for potential credit losses and records allowances for doubtful accounts when necessary. The Company had allowances for such losses totaling $ 113 Trade receivables from the customer that purchases tablets from the Company account for 78 84 Inventory consists of the following: Schedule of Inventory June 30, 2023 December 31, 2022 Devices – for resale $ 4,139 $ 3,473 Raw materials 3 14 Accessories 594 423 Inventory , net $ 4,736 $ 3,910 SONIM TECHNOLOGIES, INC NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (In thousands of U.S. dollars except share and per share amounts or as otherwise disclosed) The Company purchases raw materials in bulk to obtain a lower price. The raw materials are resold to third-party manufacturers at the Company’s cost. Distributor returns allowance The Company records reductions to cost of goods sold related to future distributor product returns based on the Company’s expectation. The Company had inventory related to distributor product returns totaling approximately $ 4 Other assets consisted of the following: Schedule of Other Assets June 30, 2023 December 31, 2022 Advances to third party manufacturers $ 2,000 $ 2,000 Director and officer insurance 467 525 Deposits 310 311 Other 201 136 Total Other Assets $ 2,978 $ 2,972 Accrued Expenses consisted of the following: Schedule of Accrued Expenses June 30, 2023 December 31, 2022 Customer allowances $ 5,397 $ 4,130 Employee-related liabilities 972 1,365 Warranties 507 636 Accrual for goods received not invoiced 58 301 Contractual obligations 1,048 1,107 Royalties 364 256 Contract fulfillment liabilities 541 1,469 Credits due to customers 318 961 Legal 104 296 Other 166 171 Accrued liabilities, current $ 9,475 $ 10,692

Leases

Leases	6 Months Ended
	Jun. 30, 2023
Leases
Leases	NOTE 5 — Leases The Company adopted ASU 2016-02 on January 1, 2022 SONIM TECHNOLOGIES, INC NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (In thousands of U.S. dollars except share and per share amounts or as otherwise disclosed) On January 1, 2022 the Company began recording all lease payments as the payment of lease interest expense and a reduction of the lease liability for the leases that are not short-term. ROU assets are amortized over the life of the Company’s lease. The following table shows the activity of the ROU assets and lease liability for the six months ending on June 30, 2023 and 2022: Summary of Activity of ROU Assets and Liability Lease Liability Balance, December 31, 2022 $ 66 Adoption of ASC 842 - Additions 255 Principal payments (138 ) Balance, June 30, 2023 183 Less short-term portion (183 ) Long term lease liability $ — ROU Assets Balance, December 31, 2022 $ 66 Adoption of ASC 842 - Derecognition of deferred rent liability - Impairment of ROU asset - Additions 255 Amortization (138 ) Balance, June 30, 2023 $ 183 Lease Liability Balance, December 31, 2021 $ — Adoption of ASC 842 1,976 Principal payments (403 ) Balance, June 30, 2022 1,573 Less short-term portion (662 ) Long term lease liability $ 911 ROU Assets Balance, December 31, 2021 $ — Adoption of ASC 842 1,976 Derecognition of deferred rent liability (142 ) Impairment of ROU asset (978 ) Amortization (303 ) Balance, June 30, 2022 $ 553 Future minimum lease payments under noncancelable operating lease commitments are as follows as of June 30, 2023: Schedule of Future Minimum Lease Payments under Noncancelable Operating Lease Commitments Year Ending, December 31 st 2023 $ 132 2024 56 Total undiscounted minimum lease commitments 188 Effect of discounting (5 ) Lease liabilities at June 30, 2023 $ 183 In connection with leases, for the six months ended June 30, 2023 and 2022, the Company recognized $ 138 266 5 74 74 70 zero 140 2 7 9 SONIM TECHNOLOGIES, INC NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (In thousands of U.S. dollars except share and per share amounts or as otherwise disclosed)

Borrowings

Borrowings	6 Months Ended
	Jun. 30, 2023
Debt Disclosure [Abstract]
Borrowings	NOTE 6 — Borrowings Promissory Notes Payable In 2014 and 2017, the Company entered into agreements with one of its suppliers, whereby certain of its trade payables for royalties and royalty up-front payments were converted to payment plans. In December 2018, the Company amended its accounts payable financing agreements, effective January 1, 2019, which provides for the $ 736 two four years 8 74 147

Stock-based Compensation

Stock-based Compensation	6 Months Ended
	Jun. 30, 2023
Share-Based Payment Arrangement [Abstract]
Stock-based Compensation	NOTE 7 — Stock-based Compensation Stock-based compensation expense for the three and six months ended June 30, 2023 and 2022 is as follows: Schedule of Stock-based Compensation Expense 2023 2022 2023 2022 Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Cost of revenues $ 50 $ 9 $ 202 $ 20 Sales and marketing 86 (28 ) 132 (2 ) General and administrative 222 240 333 465 Research and development — (5 ) — 16 Stock-based compensation expenses $ 358 $ 216 $ 667 $ 499 Stock Options: Stock option activity for the six months ended June 30, 2023, is set forth in the table below: Summary of Stock Option Activity Weighted Weighted average average remaining Aggregate exercise price contractual life Intrinsic Options per share (in years) Value * Outstanding at January 1, 2023 4,476,215 $ 0.95 9.76 $ 358 Options granted 1,373,000 $ 0.54 Options exercised — Options forfeited — Options expired (7,833 ) 4.50 Outstanding at June 30, 2023 5,841,382 $ 0.85 9.35 $ 4,065 Exercisable at June 30, 2023 1,051,896 $ 2.45 9.15 $ 734 * The intrinsic value is calculated as the difference between the exercise price and the fair value of the common stock on the balance sheet date. As of June 30, 2023, there was approximately $ 2,646 2.22 Restricted Stock Units: RSU activity for the six months ended June 30, 2023, is set forth in the table below: Schedule of Outstanding Restricted Stock Units RSUs Outstanding at January 1, 2023 860,888 Granted 87,100 Released (19,849 ) Forfeited (5,200 ) Outstanding at June 30, 2023 922,939

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2023
Income Tax Disclosure [Abstract]
Income Taxes	NOTE 8 — Income Taxes In determining quarterly provisions for income taxes, the Company uses the annual estimated effective tax rate applied to the actual year-to-date profit or loss, adjusted for discrete items arising in that quarter. The Company’s annual estimated effective tax rate differs from the U.S. federal statutory rate primarily as a result of state taxes, foreign taxes, and changes in the Company’s valuation allowance against its deferred tax assets. For the six months ended June 30, 2023, and 2022, the Company recorded provisions for income taxes of $ 185 129 SONIM TECHNOLOGIES, INC NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (In thousands of U.S. dollars except share and per share amounts or as otherwise disclosed)

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	NOTE 9 — Commitments and Contingencies Purchase Commitments 16,327 19,975 In 2021, the Company outsourced substantially all of its software development to a third-party and the Company entered into an agreement of future business volume over the next three years. The agreement was renegotiated in 2022 and the remaining commitment as of June 30, 2023 and December 31, 2022 is $ 577 1,154 Royalty payments 5 406 807 General litigation The results of any future litigation cannot be predicted with certainty and, regardless of the outcome, litigation can have an adverse impact on us because of defense and settlement costs, diversion of management time and resources and other factors. Indemnification Contingent severance obligations 1

Net Earnings (Loss) Per Share A

Net Earnings (Loss) Per Share Attributable to Common Stockholders	6 Months Ended
	Jun. 30, 2023
Earnings Per Share [Abstract]
Net Earnings (Loss) Per Share Attributable to Common Stockholders	NOTE 10 Net Earnings (Loss) Per Share Attributable to Common Stockholders The following table sets forth the computation of the Company’s basic and diluted earnings (loss) per share attributable to common stockholders for the three and six months shown below: Schedule of Computation of Basic and Diluted Net Loss Per Share Attributable to Common Stockholders 2023 2022 2023 2022 Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Numerator: Net profit (loss) $ 509 $ (4,225 ) $ 736 $ (11,437 ) Denominator: Weighted-average shares used in computing net earnings (loss) per share, basic 41,039,405 19,283,496 40,973,594 19,197,859 Net earnings (loss) per share, basic 0.01 (0.22 ) 0.02 (0.60 ) Weighted-average shares used in computing net earnings (loss) per share, diluted 43,398,189 19,283,496 41,903,630 19,197,859 Net earnings (loss) per share, diluted $ 0.01 $ (0.22 ) $ 0.02 $ (0.60 ) SONIM TECHNOLOGIES, INC NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (In thousands of U.S. dollars except share and per share amounts or as otherwise disclosed) The dilutive common shares that were used in the calculation of diluted earnings for 2023 are presented in the table below. The 2022 amounts were not used as they were antidilutive. Summary of Dilutive Common Shares were Excluded from Calculation of Diluted Net Loss Per Share 2023 2022 2023 2022 Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Shares subject to options to purchase common stock 5,841,382 83,356 5,841,382 83,356 Unvested restricted stock units 922,939 235,102 922,939 235,102 Shares subject to warrants to purchase common Stock 2 2 2 2 Total 6,764,323 318,460 6,764,323 318,460

Entity Level Information

Entity Level Information	6 Months Ended
	Jun. 30, 2023
Segment Reporting [Abstract]
Entity Level Information	NOTE 11 — Entity Level Information The Company operates in one The following table summarizes the revenue by region based on ship-to destinations for the three and six months ended: Schedule of Revenue by Region 2023 2022 2023 2022 Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 U.S. $ 8,236 $ 8,520 $ 13,386 $ 19,920 Canada and Latin America 3,032 2,896 5,772 4,277 Europe and Middle East 829 536 2,913 893 Asia Pacific 14,738 3 30,565 123 Total revenues $ 26,835 $ 11,955 $ 52,636 $ 25,213 The following table summarizes the composition of revenues for the three and six months ended: Schedule of Composition of Revenues 2023 2022 2023 2022 Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Product Sales $ 26,834 $ 11,943 $ 52,635 $ 25,187 Services 1 12 1 26 Total revenues $ 26,835 $ 11,955 $ 52,636 $ 25,213 Revenue from customers with concentration greater than 10% in three and six months ended June 30, 2023 and 2022 accounted for approximately the following percentage of total revenues: Schedule of Percentage of Total Revenues Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Customer A 55 % — * 57 % — * Customer B 35 % 51 % 25 % 41 % Customer C — * 15 % — * 14 % Customer D — * — * — * 21 % Customer E - 13 % - 13 % * Customer revenue did not exceed 10% in the respective period.

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2023
Subsequent Events [Abstract]
Subsequent Events	NOTE 12 Subsequent Events None

The Company and its significa_2

The Company and its significant accounting policies (Policies)	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Description of Business	Description of Business August 5, 1999
Liquidity and Ability to Continue as a Going Concern	Liquidity and Ability to Continue as a Going Concern 9.7 0.5
Basis of presentation and preparation	Basis of presentation and preparation The condensed consolidated financial statements include the accounts of Sonim Technologies, Inc. and its wholly owned subsidiaries (collectively “Sonim” or the “Company”). Intercompany accounts and transactions have been eliminated. In the opinion of the Company’s management, the condensed consolidated financial statements reflect all adjustments, which are normal and recurring in nature, necessary for fair financial statement presentation. The preparation of these condensed consolidated financial statements and accompanying notes in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the amounts reported. Actual results could differ materially from those estimates. Certain prior period amounts in the condensed consolidated financial statements and accompanying notes have been reclassified to conform to the current period’s presentation. These condensed consolidated financial statements and accompanying notes should be read in conjunction with the Company’s annual consolidated financial statements and accompanying notes included in its Annual Report on Form 10-K for the year ended December 31, 2022 (the “2022 Form 10-K”).
New accounting pronouncements	New accounting pronouncements The Company is an “emerging growth company,” as defined in Section 2(a) of the Securities Act, as modified by the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”), and it may take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not emerging growth companies. Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that an emerging growth company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period which means that when a standard is issued or revised and it has different application dates for public or private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard. This may make comparison of the Company’s consolidated financial statements with another public company, which is neither an emerging growth company nor an emerging growth company that has opted out of using the extended transition period, difficult or impossible because of the potential differences in accounting standards used. Pronouncements adopted in 2023: None.

Revenue recognition (Tables)

Revenue recognition (Tables)	6 Months Ended
	Jun. 30, 2023
Revenue from Contract with Customer [Abstract]
Schedule of Net Revenue Disaggregate by Product Category	The following table presents the Company’s net revenue disaggregated by product category: Schedule of Net Revenue Disaggregate by Product Category 2023 2022 2023 2022 Three Months Ended June 30 Six Months Ended June 30 2023 2022 2023 2022 Smartphones $ 8,869 $ 5,862 $ 15,296 $ 9,449 Feature Phones 3,012 6,001 6,853 14,838 Tablets 14,737 — 29,994 — Accessories / Other 217 92 493 926 Total Revenue $ 26,835 $ 11,955 $ 52,636 $ 25,213

Fair value measurement (Tables)

Fair value measurement (Tables)	6 Months Ended
	Jun. 30, 2023
Fair Value Disclosures [Abstract]
Summary of Fair Value Assets and Liabilities	The following tables sets forth by level, within the fair value hierarchy, the Company’s assets at fair value: Summary of Fair Value Assets and Liabilities Level 1 Level 2 Level 3 Total June 30, 2023 Level 1 Level 2 Level 3 Total Assets: Money market funds * $ 281 $ — $ — $ 281 Level 1 Level 2 Level 3 Total December 31, 2022 Level 1 Level 2 Level 3 Total Assets: Money market funds * $ 1,501 $ — $ — $ 1,501 * Included in cash and cash equivalents on the condensed consolidated balance sheets.

Significant Balance Sheet Com_2

Significant Balance Sheet Components (Tables)	6 Months Ended
	Jun. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Schedule of Accounts Receivable	Accounts Receivable consists of the following: Schedule of Accounts Receivable June 30, 2023 December 31, 2022 Trade receivables $ 26,689 $ 22,546 Allowance for doubtful accounts (113 ) (113 ) Accounts receivable, net 26,576 22,433 Vendor non-trade receivables 1,008 2,269 Total accounts receivable $ 27,584 $ 24,702
Schedule of Inventory	Inventory consists of the following: Schedule of Inventory June 30, 2023 December 31, 2022 Devices – for resale $ 4,139 $ 3,473 Raw materials 3 14 Accessories 594 423 Inventory , net $ 4,736 $ 3,910
Schedule of Other Assets	Other assets consisted of the following: Schedule of Other Assets June 30, 2023 December 31, 2022 Advances to third party manufacturers $ 2,000 $ 2,000 Director and officer insurance 467 525 Deposits 310 311 Other 201 136 Total Other Assets $ 2,978 $ 2,972
Schedule of Accrued Expenses	Accrued Expenses consisted of the following: Schedule of Accrued Expenses June 30, 2023 December 31, 2022 Customer allowances $ 5,397 $ 4,130 Employee-related liabilities 972 1,365 Warranties 507 636 Accrual for goods received not invoiced 58 301 Contractual obligations 1,048 1,107 Royalties 364 256 Contract fulfillment liabilities 541 1,469 Credits due to customers 318 961 Legal 104 296 Other 166 171 Accrued liabilities, current $ 9,475 $ 10,692

Leases (Tables)

Leases (Tables)	6 Months Ended
	Jun. 30, 2023
Leases
Summary of Activity of ROU Assets and Liability	Summary of Activity of ROU Assets and Liability Lease Liability Balance, December 31, 2022 $ 66 Adoption of ASC 842 - Additions 255 Principal payments (138 ) Balance, June 30, 2023 183 Less short-term portion (183 ) Long term lease liability $ — ROU Assets Balance, December 31, 2022 $ 66 Adoption of ASC 842 - Derecognition of deferred rent liability - Impairment of ROU asset - Additions 255 Amortization (138 ) Balance, June 30, 2023 $ 183 Lease Liability Balance, December 31, 2021 $ — Adoption of ASC 842 1,976 Principal payments (403 ) Balance, June 30, 2022 1,573 Less short-term portion (662 ) Long term lease liability $ 911 ROU Assets Balance, December 31, 2021 $ — Adoption of ASC 842 1,976 Derecognition of deferred rent liability (142 ) Impairment of ROU asset (978 ) Amortization (303 ) Balance, June 30, 2022 $ 553
Schedule of Future Minimum Lease Payments under Noncancelable Operating Lease Commitments	Future minimum lease payments under noncancelable operating lease commitments are as follows as of June 30, 2023: Schedule of Future Minimum Lease Payments under Noncancelable Operating Lease Commitments Year Ending, December 31 st 2023 $ 132 2024 56 Total undiscounted minimum lease commitments 188 Effect of discounting (5 ) Lease liabilities at June 30, 2023 $ 183

Stock-based Compensation (Table

Stock-based Compensation (Tables)	6 Months Ended
	Jun. 30, 2023
Share-Based Payment Arrangement [Abstract]
Schedule of Stock-based Compensation Expense	Stock-based compensation expense for the three and six months ended June 30, 2023 and 2022 is as follows: Schedule of Stock-based Compensation Expense 2023 2022 2023 2022 Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Cost of revenues $ 50 $ 9 $ 202 $ 20 Sales and marketing 86 (28 ) 132 (2 ) General and administrative 222 240 333 465 Research and development — (5 ) — 16 Stock-based compensation expenses $ 358 $ 216 $ 667 $ 499
Summary of Stock Option Activity	Stock option activity for the six months ended June 30, 2023, is set forth in the table below: Summary of Stock Option Activity Weighted Weighted average average remaining Aggregate exercise price contractual life Intrinsic Options per share (in years) Value * Outstanding at January 1, 2023 4,476,215 $ 0.95 9.76 $ 358 Options granted 1,373,000 $ 0.54 Options exercised — Options forfeited — Options expired (7,833 ) 4.50 Outstanding at June 30, 2023 5,841,382 $ 0.85 9.35 $ 4,065 Exercisable at June 30, 2023 1,051,896 $ 2.45 9.15 $ 734 * The intrinsic value is calculated as the difference between the exercise price and the fair value of the common stock on the balance sheet date.
Schedule of Outstanding Restricted Stock Units	RSU activity for the six months ended June 30, 2023, is set forth in the table below: Schedule of Outstanding Restricted Stock Units RSUs Outstanding at January 1, 2023 860,888 Granted 87,100 Released (19,849 ) Forfeited (5,200 ) Outstanding at June 30, 2023 922,939

Net Earnings (Loss) Per Share_2

Net Earnings (Loss) Per Share Attributable to Common Stockholders (Tables)	6 Months Ended
	Jun. 30, 2023
Earnings Per Share [Abstract]
Schedule of Computation of Basic and Diluted Net Loss Per Share Attributable to Common Stockholders	The following table sets forth the computation of the Company’s basic and diluted earnings (loss) per share attributable to common stockholders for the three and six months shown below: Schedule of Computation of Basic and Diluted Net Loss Per Share Attributable to Common Stockholders 2023 2022 2023 2022 Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Numerator: Net profit (loss) $ 509 $ (4,225 ) $ 736 $ (11,437 ) Denominator: Weighted-average shares used in computing net earnings (loss) per share, basic 41,039,405 19,283,496 40,973,594 19,197,859 Net earnings (loss) per share, basic 0.01 (0.22 ) 0.02 (0.60 ) Weighted-average shares used in computing net earnings (loss) per share, diluted 43,398,189 19,283,496 41,903,630 19,197,859 Net earnings (loss) per share, diluted $ 0.01 $ (0.22 ) $ 0.02 $ (0.60 )
Summary of Dilutive Common Shares were Excluded from Calculation of Diluted Net Loss Per Share	The dilutive common shares that were used in the calculation of diluted earnings for 2023 are presented in the table below. The 2022 amounts were not used as they were antidilutive. Summary of Dilutive Common Shares were Excluded from Calculation of Diluted Net Loss Per Share 2023 2022 2023 2022 Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Shares subject to options to purchase common stock 5,841,382 83,356 5,841,382 83,356 Unvested restricted stock units 922,939 235,102 922,939 235,102 Shares subject to warrants to purchase common Stock 2 2 2 2 Total 6,764,323 318,460 6,764,323 318,460

Entity Level Information (Table

Entity Level Information (Tables)	6 Months Ended
	Jun. 30, 2023
Segment Reporting [Abstract]
Schedule of Revenue by Region	The following table summarizes the revenue by region based on ship-to destinations for the three and six months ended: Schedule of Revenue by Region 2023 2022 2023 2022 Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 U.S. $ 8,236 $ 8,520 $ 13,386 $ 19,920 Canada and Latin America 3,032 2,896 5,772 4,277 Europe and Middle East 829 536 2,913 893 Asia Pacific 14,738 3 30,565 123 Total revenues $ 26,835 $ 11,955 $ 52,636 $ 25,213
Schedule of Composition of Revenues	The following table summarizes the composition of revenues for the three and six months ended: Schedule of Composition of Revenues 2023 2022 2023 2022 Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Product Sales $ 26,834 $ 11,943 $ 52,635 $ 25,187 Services 1 12 1 26 Total revenues $ 26,835 $ 11,955 $ 52,636 $ 25,213
Schedule of Percentage of Total Revenues	Revenue from customers with concentration greater than 10% in three and six months ended June 30, 2023 and 2022 accounted for approximately the following percentage of total revenues: Schedule of Percentage of Total Revenues Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Customer A 55 % — * 57 % — * Customer B 35 % 51 % 25 % 41 % Customer C — * 15 % — * 14 % Customer D — * — * — * 21 % Customer E - 13 % - 13 % * Customer revenue did not exceed 10% in the respective period.

The Company and its significa_3

The Company and its significant accounting policies (Details Narrative) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Accounting Policies [Abstract]
Entity Incorporation, Date of Incorporation			Aug. 05, 1999
Cash and cash equivalents, at carrying value	$ 9,720		$ 9,720		$ 13,213
Net income	$ 509	$ (4,225)	$ 736	$ (11,437)

Schedule of Net Revenue Disaggr

Schedule of Net Revenue Disaggregate by Product Category (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Disaggregation of Revenue [Line Items]
Total Revenue	$ 26,835	$ 11,955	$ 52,636	$ 25,213
Smart Phones [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	8,869	5,862	15,296	9,449
Feature Phones [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	3,012	6,001	6,853	14,838
Tablets [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	14,737		29,994
Accessories and Other [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	$ 217	$ 92	$ 493	$ 926

Revenue recognition (Details Na

Revenue recognition (Details Narrative) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Estimated life of a particular model phone	4 years
Contract liabilities		$ 31
Other Assets [Member]
Total capitalized costs	$ 7,028	$ 6,848

Summary of Fair Value Assets an

Summary of Fair Value Assets and Liabilities (Details) - USD ($) $ in Thousands		Jun. 30, 2023	Dec. 31, 2022
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Money market funds	[1]	$ 281	$ 1,501
Fair Value, Inputs, Level 1 [Member] | Money Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Money market funds	[1]	281	1,501
Fair Value, Inputs, Level 2 [Member] | Money Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Money market funds	[1]
Fair Value, Inputs, Level 3 [Member] | Money Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Money market funds	[1]
[1]Included in cash and cash equivalents on the condensed consolidated balance sheets.

Schedule of Accounts Receivable

Schedule of Accounts Receivable (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Trade receivables	$ 26,689	$ 22,546
Allowance for doubtful accounts	(113)	(113)
Accounts receivable, net	26,576	22,433
Vendor non-trade receivables	1,008	2,269
Total accounts receivable	$ 27,584	$ 24,702

Schedule of Inventory (Details)

Schedule of Inventory (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Devices – for resale	$ 4,139	$ 3,473
Raw materials	3	14
Accessories	594	423
Inventory , net	$ 4,736	$ 3,910

Schedule of Other Assets (Detai

Schedule of Other Assets (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Advances to third party manufacturers	$ 2,000	$ 2,000
Director and officer insurance	467	525
Deposits	310	311
Other	201	136
Total Other Assets	$ 2,978	$ 2,972

Schedule of Accrued Expenses (D

Schedule of Accrued Expenses (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Customer allowances	$ 5,397	$ 4,130
Employee-related liabilities	972	1,365
Warranties	507	636
Accrual for goods received not invoiced	58	301
Contractual obligations	1,048	1,107
Royalties	364	256
Contract fulfillment liabilities	541	1,469
Credits due to customers	318	961
Legal	104	296
Other	166	171
Accrued liabilities, current	$ 9,475	$ 10,692

Significant Balance Sheet Com_3

Significant Balance Sheet Components (Details Narrative) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Product Information [Line Items]
Allowance for doubtful accounts, premiums and other receivables	$ 113	$ 113
Retail related inventory	$ 4	$ 4
Customer [Member] | Customer Concentration Risk [Member] | Accounts Receivable [Member]
Product Information [Line Items]
Accounts receivable percentage	78%	84%

Summary of Activity of ROU Asse

Summary of Activity of ROU Assets and Liability (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Leases
Lease liability, opening balance	$ 66
Lease liability, Adoption of ASC 842		1,976
Additions	255
Lease liability, Principal payments	(138)	(403)
Lease liability, ending balance	183	1,573
Lease liability, Less short-term portion	(183)	(662)	$ (66)
Lease liability, Long term lease liability		911
Right of use assets, beginning balance	66
Right of use assets, Adoption of ASC 842		1,976
Right of use assets, Derecognition of deferred rent liability		(142)
Right of use assets, Impairment of ROU asset		(978)
Additions	255
Right of use assets, Amortization	(138)	(303)
Right of use assets, ending balance	$ 183	$ 553

Schedule of Future Minimum Leas

Schedule of Future Minimum Lease Payments under Noncancelable Operating Lease Commitments (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022	Jun. 30, 2022	Dec. 31, 2021
Leases
2023	$ 132
2024	56
Total undiscounted minimum lease commitments	188
Effect of discounting	(5)
Lease liabilities at June 30, 2023	$ 183	$ 66	$ 1,573

Leases (Details Narrative)

Leases (Details Narrative) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Amortization of ROU assets	$ 138	$ 266
Interest expense on lease liabilities	5	74
Operating Lease, Expense	74	70
Property taxes and operating expenses	0	140
Short term, rent payments	$ 2	$ 7
Weighted average remaining lease, term	9 months
Accounting Standards Update 2016-02 [Member]
ASU, adoption date	Jan. 01, 2022

Borrowings (Details Narrative)

Borrowings (Details Narrative) - Promissory Notes Payable [Member] - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2023	Dec. 31, 2022	Jan. 01, 2019
Short-Term Debt [Line Items]
Notes payable	$ 74	$ 147	$ 736
Minimum [Member]
Short-Term Debt [Line Items]
Debt instrument term	2 years
Maximum [Member]
Short-Term Debt [Line Items]
Debt instrument term	4 years
Debt instrument interest rate stated percentage	8%

Schedule of Stock-based Compens

Schedule of Stock-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expenses	$ 358	$ 216	$ 667	$ 499
Cost of Sales [Member]
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expenses	50	9	202	20
Selling and Marketing Expense [Member]
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expenses	86	(28)	132	(2)
General and Administrative Expense [Member]
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expenses	222	240	333	465
Research and Development Expense [Member]
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expenses		$ (5)		$ 16

Summary of Stock Option Activit

Summary of Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands		6 Months Ended	12 Months Ended
		Jun. 30, 2023	Dec. 31, 2022
Share-Based Payment Arrangement [Abstract]
Options, beginning outstanding		4,476,215
Weighted average exercise price per share, beginning balance		$ 0.95
Weighted average remaining contractual life (in years)		9 years 4 months 6 days	9 years 9 months 3 days
Aggregate intrinsic value, beginning balance	[1]	$ 358
Options, granted		1,373,000
Weighted average exercise price per share, exercised		$ 0.54
Options exercised
Options, forfeited
Options, expired		(7,833)
Weighted average exercise price per share, expired		$ 4.50
Options, ending outstanding		5,841,382	4,476,215
Weighted average exercise price per share, ending balance		$ 0.85	$ 0.95
Aggregate intrinsic value, ending balance	[1]	$ 4,065	$ 358
Options, exercisable		1,051,896
Weighted average exercise price per share, exercisable		$ 2.45
Weighted average remaining contractual life (in years), exercisable		9 years 1 month 24 days
Aggregate intrinsic value, exercisable	[1]	$ 734
[1]The intrinsic value is calculated as the difference between the exercise price and the fair value of the common stock on the balance sheet date.

Schedule of Outstanding Restric

Schedule of Outstanding Restricted Stock Units (Details) - Restricted Stock Units (RSUs) [Member]	6 Months Ended
	Jun. 30, 2023 shares
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Outstanding at January 1, 2023	860,888
Granted	87,100
Released	(19,849)
Forfeited	(5,200)
Outstanding at June 30, 2023	922,939

Stock-based Compensation (Detai

Stock-based Compensation (Details Narrative) $ in Thousands	6 Months Ended
	Jun. 30, 2023 USD ($)
Share-Based Payment Arrangement [Abstract]
Stock-based compensation, unamortized	$ 2,646
Weighted average period (in years)	2 years 2 months 19 days

Income Taxes (Details Narrative

Income Taxes (Details Narrative) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Income Tax Disclosure [Abstract]
Income tax expense	$ 72	$ 61	$ 185	$ 129

Commitments and Contingencies (

Commitments and Contingencies (Details Narrative) - USD ($) $ in Thousands		6 Months Ended		12 Months Ended
	Jul. 13, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Loss Contingencies [Line Items]
Purchase obligation		$ 16,327		$ 19,975
Purchase commitment amount		577		$ 1,154
CFO and President [Member]
Loss Contingencies [Line Items]
Severance payments	$ 1,000
Cost of Sales [Member]
Loss Contingencies [Line Items]
Royalty expense		$ 406	$ 807
Minimum [Member]
Loss Contingencies [Line Items]
Royalty payment percent of net revenues		5%

Schedule of Computation of Basi

Schedule of Computation of Basic and Diluted Net Loss Per Share Attributable to Common Stockholders (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Numerator:
Net profit (loss)	$ 509	$ (4,225)	$ 736	$ (11,437)
Denominator:
Weighted-average shares used in computing net earnings (loss) per share, basic	41,039,405	19,283,496	40,973,594	19,197,859
Net earnings (loss) per share, basic	$ 0.01	$ (0.22)	$ 0.02	$ (0.60)
Weighted-average shares used in computing net earnings (loss) per share, diluted	43,398,189	19,283,496	41,903,630	19,197,859
Net earnings (loss) per share, diluted	$ 0.01	$ (0.22)	$ 0.02	$ (0.60)

Summary of Dilutive Common Shar

Summary of Dilutive Common Shares were Excluded from Calculation of Diluted Net Loss Per Share (Details) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	6,764,323	318,460	6,764,323	318,460
Share-Based Payment Arrangement, Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	5,841,382	83,356	5,841,382	83,356
Unvested Restricted Stock Units [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	922,939	235,102	922,939	235,102
Warrant [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	2	2	2	2

Schedule of Revenue by Region (

Schedule of Revenue by Region (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenues	$ 26,835	$ 11,955	$ 52,636	$ 25,213
UNITED STATES
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenues	8,236	8,520	13,386	19,920
Canada and Latin America [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenues	3,032	2,896	5,772	4,277
Europe and Middle East [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenues	829	536	2,913	893
Asia Pacific [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenues	$ 14,738	$ 3	$ 30,565	$ 123

Schedule of Composition of Reve

Schedule of Composition of Revenues (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Revenue from External Customer [Line Items]
Total revenues	$ 26,835	$ 11,955	$ 52,636	$ 25,213
Product [Member]
Revenue from External Customer [Line Items]
Total revenues	26,834	11,943	52,635	25,187
Service [Member]
Revenue from External Customer [Line Items]
Total revenues	$ 1	$ 12	$ 1	$ 26

Schedule of Percentage of Total

Schedule of Percentage of Total Revenues (Details) - Revenue Benchmark [Member] - Customer Concentration Risk [Member]	3 Months Ended				6 Months Ended
	Jun. 30, 2023		Jun. 30, 2022		Jun. 30, 2023		Jun. 30, 2022
Customer A [Member]
Revenue, Major Customer [Line Items]
Concentration Risk Percentage1	55%			[1]	57%			[1]
Customer B [Member]
Revenue, Major Customer [Line Items]
Concentration Risk Percentage1	35%		51%		25%		41%
Consumer C [Member]
Revenue, Major Customer [Line Items]
Concentration Risk Percentage1		[1]	15%			[1]	14%
Consumer D [Member]
Revenue, Major Customer [Line Items]
Concentration Risk Percentage1		[1]		[1]		[1]	21%
Customer E [Member]
Revenue, Major Customer [Line Items]
Concentration Risk Percentage1		[1]	13%			[1]	13%
[1]Customer revenue did not exceed 10% in the respective period.

Entity Level Information (Detai

Entity Level Information (Details Narrative)	6 Months Ended
	Jun. 30, 2023 Integer
Segment Reporting [Abstract]
Number of reportable segments	1