Digimarc (DMRC) 10-Q 7 Nov 23 2023 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2023	Nov. 02, 2023
Document Information [Line Items]
Entity Central Index Key	0001438231
Entity Registrant Name	Digimarc CORP
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2023
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2023
Document Transition Report	false
Entity File Number	001-34108
Entity Incorporation, State or Country Code	OR
Entity Tax Identification Number	26-2828185
Entity Address, Address Line One	8500 SW Creekside Place
Entity Address, City or Town	Beaverton
Entity Address, State or Province	OR
Entity Address, Postal Zip Code	97008
City Area Code	503
Local Phone Number	469-4800
Title of 12(b) Security	Common Stock, $0.001 Par Value Per Share
Trading Symbol	DMRC
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	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		20,357,870

Consolidated Balance Sheets (Cu

Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents	$ 32,335	$ 33,598
Marketable securities	996	18,944
Trade accounts receivable, net	7,042	5,427
Other current assets	4,578	6,172
Total current assets	44,951	64,141
Property and equipment, net	1,656	2,390
Intangibles, net	28,977	33,170
Goodwill	8,323	8,229
Lease right of use assets	4,108	4,720
Other assets	827	1,127
Total assets	88,842	113,777
Current liabilities:
Accounts payable and other accrued liabilities	6,207	5,989
Deferred revenue	7,315	4,145
Total current liabilities	13,522	10,134
Long-term lease liabilities	6,170	5,977
Other long-term liabilities	267	76
Total liabilities	19,959	16,187
Commitments and contingencies (Note 16)
Shareholders’ equity:
Preferred stock (par value $0.001 per share, 2,500 authorized, 10 shares issued and outstanding at September 30, 2023 and December 31, 2022)	50	50
Common stock (par value $0.001 per share, 50,000 authorized, 20,356 and 20,260 shares issued and outstanding at September 30, 2023 and December 31, 2022, respectively)	20	20
Additional paid-in capital	373,844	367,692
Accumulated deficit	(301,195)	(265,809)
Accumulated other comprehensive loss	(3,836)	(4,363)
Total shareholders’ equity	68,883	97,590
Total liabilities and shareholders’ equity	$ 88,842	$ 113,777

Consolidated Balance Sheets (_2

Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares shares in Thousands	Sep. 30, 2023	Dec. 31, 2022
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized (in shares)	2,500	2,500
Preferred stock, shares issued (in shares)	10	10
Preferred stock, shares outstanding (in shares)	10	10
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	50,000	50,000
Common stock, shares issued (in shares)	20,356	20,260
Common stock, shares outstanding (in shares)	20,356	20,260

Consolidated Statements of Oper

Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) shares in Thousands, $ in Thousands		3 Months Ended		9 Months Ended
		Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Revenue:
Revenue		$ 8,994	$ 7,821	$ 25,567	$ 22,979
Cost of revenue:
Cost of revenue		3,771	3,656	11,231	11,473
Gross profit		5,223	4,165	14,336	11,506
Operating expenses:
Sales and marketing		5,366	7,684	16,770	23,702
Research, development and engineering		6,308	7,575	20,295	19,731
General and administrative		4,433	4,132	13,412	15,027
Amortization expense on acquired intangible assets		272	301	800	964
Impairment of lease right of use assets and leasehold improvements		0	0	250	574
Total operating expenses		16,379	19,692	51,527	59,998
Operating loss		(11,156)	(15,527)	(37,191)	(48,492)
Other income, net		478	623	1,870	1,214
Loss before income taxes		(10,678)	(14,904)	(35,321)	(47,278)
Provision for income taxes		(45)	(26)	(65)	(72)
Net loss		$ (10,723)	$ (14,930)	$ (35,386)	$ (47,350)
Loss per share:
Loss per share — basic (in dollars per share)		$ (0.53)	$ (0.76)	$ (1.76)	$ (2.51)
Loss per share — diluted (in dollars per share)		$ (0.53)	$ (0.76)	$ (1.76)	$ (2.51)
Weighted average shares outstanding — basic (in shares)		20,217	19,721	20,158	18,877
Weighted average shares outstanding — diluted (in shares)		20,217	19,721	20,158	18,877
Comprehensive loss:
Unrealized gain (loss) on marketable securities, net of tax of $0		$ 0	$ 51	$ 144	$ (199)
Foreign currency translation adjustment, net of tax of $0		(983)	(3,118)	383	(6,737)
Other comprehensive income (loss)		(983)	(3,067)	527	(6,936)
Net loss		(10,723)	(14,930)	(35,386)	(47,350)
Comprehensive loss		(11,706)	(17,997)	(34,859)	(54,286)
Subscription [Member]
Revenue:
Revenue		4,811	4,086	13,374	11,121
Cost of revenue:
Cost of revenue	[1]	698	1,006	2,264	2,934
Service [Member]
Revenue:
Revenue		4,183	3,735	12,193	11,858
Cost of revenue:
Cost of revenue	[1]	1,938	1,602	5,621	5,177
Amortization Expense On Acquired Intangible Assets [Member]
Cost of revenue:
Cost of revenue		$ 1,135	$ 1,048	$ 3,346	$ 3,362
[1]Cost of revenue for Subscription and Service excludes amortization expense on acquired intangible assets.

Consolidated Statements of Shar

Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($) shares in Thousands, $ in Thousands	Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	AOCI Attributable to Parent [Member]	Total
Balance (in shares) at Dec. 31, 2021	10	16,940
Balance at Dec. 31, 2021	$ 50	$ 17	$ 261,324	$ (206,011)	$ 0	$ 55,380
Issuance of restricted common stock (in shares)	0	54
Issuance of restricted common stock	$ 0	$ 0	0	0	0	0
Vesting of restricted stock units (in shares)	0	119
Vesting of restricted stock units	$ 0	$ 0	0	0	0	0
Forfeiture of restricted common stock (in shares)	0	(26)
Forfeiture of restricted common stock	$ 0	$ 0	0	0	0	0
Purchase of common stock (in shares)	0	(94)
Purchase of common stock	$ 0	$ 0	(1,897)	0	0	(1,897)
Stock-based compensation	0	0	9,419	0	0	9,419
Unrealized gain (loss) on marketable securities, net of tax of $0	0	0	0	0	(199)	(199)
Foreign currency translation adjustment, net of tax of $0	0	0	0	0	(6,737)	(6,737)
Net loss	$ 0	$ 0	0	(47,350)	0	(47,350)
Issuance of common stock (in shares)	0	3,044
Issuance of common stock	$ 0	$ 3	90,608	0	0	90,611
Issuance of warrants for acquisition	$ 0	$ 0	1,601	0	0	1,601
Balance (in shares) at Sep. 30, 2022	10	20,037
Balance at Sep. 30, 2022	$ 50	$ 20	361,055	(253,361)	(6,936)	100,828
Balance (in shares) at Jun. 30, 2022	10	19,959
Balance at Jun. 30, 2022	$ 50	$ 20	357,509	(238,431)	(3,869)	115,279
Issuance of restricted common stock (in shares)	0	14
Issuance of restricted common stock	$ 0	$ 0	0	0	0	0
Vesting of restricted stock units (in shares)	0	102
Vesting of restricted stock units	$ 0	$ 0	0	0	0	0
Forfeiture of restricted common stock (in shares)	0	(5)
Forfeiture of restricted common stock	$ 0	$ 0	0	0	0	0
Purchase of common stock (in shares)	0	(55)
Purchase of common stock	$ 0	$ 0	(923)	0	0	(923)
Stock-based compensation	0	0	3,597	0	0	3,597
Unrealized gain (loss) on marketable securities, net of tax of $0	0	0	0	0	51	51
Foreign currency translation adjustment, net of tax of $0	0	0	0	0	(3,118)	(3,118)
Net loss	$ 0	$ 0	0	(14,930)	0	(14,930)
Issuance of common stock (in shares)	0	22
Issuance of common stock	$ 0	$ 0	872	0	0	872
Balance (in shares) at Sep. 30, 2022	10	20,037
Balance at Sep. 30, 2022	$ 50	$ 20	361,055	(253,361)	(6,936)	100,828
Balance (in shares) at Dec. 31, 2022	10	20,260
Balance at Dec. 31, 2022	$ 50	$ 20	367,692	(265,809)	(4,363)	97,590
Issuance of restricted common stock (in shares)	0	45
Issuance of restricted common stock	$ 0	$ 0	0	0	0	0
Vesting of restricted stock units (in shares)	0	117
Vesting of restricted stock units	$ 0	$ 0	0	0	0	0
Forfeiture of restricted common stock (in shares)	0	(6)
Forfeiture of restricted common stock	$ 0	$ 0	0	0	0	0
Purchase of common stock (in shares)	0	(72)
Purchase of common stock	$ 0	$ 0	(2,036)	0	0	(2,036)
Stock-based compensation	0	0	8,188	0	0	8,188
Unrealized gain (loss) on marketable securities, net of tax of $0	0	0	0	0	144	144
Foreign currency translation adjustment, net of tax of $0	0	0	0	0	383	383
Net loss	$ 0	$ 0	0	(35,386)	0	(35,386)
Issuance of common stock (in shares)	0	10
Issuance of common stock	$ 0	$ 0	0	0	0	0
Vesting of performance stock units (in shares)	0	2
Vesting of performance stock units	$ 0	$ 0	0	0	0	0
Balance (in shares) at Sep. 30, 2023	10	20,356
Balance at Sep. 30, 2023	$ 50	$ 20	373,844	(301,195)	(3,836)	68,883
Balance (in shares) at Jun. 30, 2023	10	20,334
Balance at Jun. 30, 2023	$ 50	$ 20	371,893	(290,472)	(2,853)	78,638
Issuance of restricted common stock (in shares)	0	0
Issuance of restricted common stock	$ 0	$ 0	0	0	0	0
Vesting of restricted stock units (in shares)	0	44
Vesting of restricted stock units	$ 0	$ 0	0	0	0	0
Forfeiture of restricted common stock (in shares)	0	(1)
Forfeiture of restricted common stock	$ 0	$ 0	0	0	0	0
Purchase of common stock (in shares)	0	(21)
Purchase of common stock	$ 0	$ 0	(756)	0	0	(756)
Stock-based compensation	0	0	2,707	0	0	2,707
Unrealized gain (loss) on marketable securities, net of tax of $0	0	0	0	0	0	0
Foreign currency translation adjustment, net of tax of $0	0	0	0	0	(983)	(983)
Net loss	$ 0	$ 0	0	(10,723)	0	(10,723)
Balance (in shares) at Sep. 30, 2023	10	20,356
Balance at Sep. 30, 2023	$ 50	$ 20	$ 373,844	$ (301,195)	$ (3,836)	$ 68,883

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Cash flows from operating activities:
Net loss	$ (35,386)	$ (47,350)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and write-off of property and equipment	911	1,036
Amortization of acquired intangible assets	4,146	4,326
Amortization and write-off of other intangible assets	709	493
Amortization of lease right of use assets under operating leases	426	768
Stock-based compensation	8,146	9,310
Impairment of lease right of use assets and leasehold improvements	250	574
Changes in operating assets and liabilities:
Trade accounts receivable	(1,581)	(241)
Other current assets	1,688	(2,233)
Other assets	279	(611)
Accounts payable and other accrued liabilities	299	(2,153)
Deferred revenue	3,298	233
Lease liability and other long-term liabilities	136	(1,040)
Net cash used in operating activities	(16,679)	(36,888)
Cash flows from investing activities:
Net cash paid for acquisition	0	(3,512)
Purchase of property and equipment	(208)	(783)
Capitalized patent costs	(295)	(404)
Proceeds from maturities of marketable securities	26,696	17,498
Purchases of marketable securities	(8,664)	(5,873)
Net cash provided by investing activities	17,529	6,926
Cash flows from financing activities:
Issuance of common stock, net of issuance costs	0	58,220
Purchase of common stock	(2,036)	(1,560)
Repayment of loans	(33)	(32)
Net cash (used in) provided by financing activities	(2,069)	56,628
Effect of exchange rate on cash	(44)	(100)
Net (decrease) increase in cash and cash equivalents	(1,263)	26,566
Cash and cash equivalents at beginning of period	33,598	13,789
Cash and cash equivalents at end of period	32,335	40,355
Supplemental disclosure of cash flow information:
Cash paid for income taxes, net	138	90
Supplemental schedule of non-cash activities:
Property and equipment and patent costs in accounts payable	14	(21)
Stock-based compensation capitalized to software and patent costs	42	109
Purchase of common stock in accounts payable	0	(337)
Common stock issued for acquisition	0	32,393
Warrants issued for acquisition	0	1,601
Right of use assets obtained in exchange for lease obligations	$ 31	$ 5,176

Note 1 - Description of Busines

Note 1 - Description of Business and Significant Accounting Policies	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	1. Description of Business Digimarc Corporation ("Digimarc" or the "Company"), an Oregon corporation, is a global leader in product digitization and digital media identification, delivering business value across industries through unique identifiers and cloud-based solutions. Digimarc's technology highlights a product's journey to provide greater visibility into all relevant product data, allowing companies to make more intelligent business decisions. The Digimarc Illuminate platform is a distinctive software as a service (SaaS) cloud-based platform for digitizing products and aggregating their interactions. Product digitization, the act of creating and connecting a digital twin to a physical or digital item via a digital watermark, Quick Response ("QR") code, and/or other digital carrier, enables products to connect with the web and interact with consumers and digital devices. The product's digital twin that comprises events and attributes from and about the product can be customized and automated to deliver unique experiences that benefits customers, brands, retailers, and other stakeholders across a wide variety of digital applications, while capturing a record of every interaction. The Digimarc product suite is built on top of the Digimarc Illuminate platform to address specific business needs and power a trusted and scalable ecosystem in areas like automation, consumer trust and authenticity, and sustainability. All of the Company's products are complementary to each other, providing exponential benefits when combined. By enabling customers to create and connect digital twins to physical and digital items, Digimarc's technologies provide many benefits, including: • Digimarc Validate • Digimarc Engage • Digimarc Recycle • Digimarc Retail Experience Interim Consolidated Financial Statements Our significant accounting policies are detailed in "Note 1: 10 December 31, 2022 March 2, 2023 ( 2022 The accompanying interim consolidated financial statements have been prepared from the Company's records without audit and, in management's opinion, include all adjustments (consisting of only normal recurring adjustments) necessary to fairly reflect the financial condition and the results of operations for the periods presented. Certain information and note disclosures normally included in financial statements prepared in accordance with Generally Accepted Accounting Principles in the United States ("GAAP") have been condensed or omitted in accordance with the rules and regulations of the SEC. These interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements included in the 2022 not Principles of Consolidation The consolidated financial statements include the accounts of Digimarc and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated. Digimarc acquired EVRYTHNG Limited ("EVRYTHNG") on January 3, 2022. 9 Business Combinations The Company allocates purchase price consideration to the tangible and intangible assets acquired and liabilities assumed based on their estimated fair values. The purchase price is determined based on the fair value of the assets transferred, liabilities assumed, and equity interests issued, after considering any transactions that are separate from the business combination. The fair value of equity issued as part of a business combination is determined based on the closing price of the Company's stock on the date the acquisition closed. The excess of fair value of purchase price consideration over the fair values of the identifiable assets and liabilities is recorded as goodwill. Such fair value calculations require management to make significant estimates and assumptions, especially with respect to intangible assets and contingent liabilities. Significant estimates in valuing certain intangible assets include, but are not The estimates are inherently uncertain and subject to revision as additional information is obtained during the measurement period for an acquisition, which may one may Accounting Pronouncements Adopted In June 2016, No. 2016 - 13 , Financial Instruments - Credit Losses (ASC 326 December 15, 2022. January 1, 2023. not

Note 2 - Fair Value of Financia

Note 2 - Fair Value of Financial Instruments	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Fair Value Disclosures [Text Block]	2. The estimated fair values of the Company's financial instruments, which include cash equivalents, accounts receivable, accounts payable and other accrued liabilities, approximate their carrying values due to the short-term nature of these instruments. The Company's marketable securities are classified as available-for-sale and are reported at fair value. Unrealized holding gains and losses are excluded from earnings and are reported net of tax in "accumulated other comprehensive income (loss)" in the Consolidated Balance Sheets until realized. Realized gains and losses are included in "other income (loss), net" in the Consolidated Statements of Operations and are derived using the specific identification method for determining the cost of marketable securities sold. The Company s fair value hierarchy for its cash equivalents and marketable securities was as follows: September 30, 2023 Level 1 Level 2 Level 3 Total Money market securities $ 6,820 $ — $ — $ 6,820 U.S. Treasuries — 13,048 — 13,048 Commercial Paper — 6,361 — 6,361 Federal agency notes — 5,084 — 5,084 Total $ 6,820 $ 24,493 $ — $ 31,313 December 31, 2022 Level 1 Level 2 Level 3 Total Money market securities $ 2,073 $ — $ — $ 2,073 Commercial paper — 35,468 — 35,468 Corporate notes — 8,432 — 8,432 Federal agency notes — 4,423 — 4,423 Total $ 2,073 $ 48,323 $ — $ 50,396 The fair value maturities of the Company's cash equivalents and marketable securities as of September 30, 2023 Maturities by Period Less than 1 5 5 10 More than Total 1 year years years 10 years Cash equivalents and marketable securities $ 31,313 $ 31,313 $ — $ — $ — The Company considers all highly liquid marketable securities with original maturities of 90 September 30, 2023 December 31, 2022

Note 3 - Revenue Recognition

Note 3 - Revenue Recognition	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Revenue from Contract with Customer [Text Block]	3. The Company derives its revenue primarily from software subscriptions and software development services. Applicable revenue recognition criteria are considered separately for each performance obligation as follows: • Subscription revenue consists primarily of revenue earned from subscription fees for access to the Company's software as a service platform and products and, to a lesser extent, licensing fees for software products. The majority of subscription contracts are recurring, paid in advance and recognized over the term of the subscription, which is typically one three • Service revenue consists primarily of revenue earned from the performance of software development services and, to a lesser extent, professional services. The majority of software development contracts are structured as time and materials agreements. Revenue for services is generally recognized as the services are performed. Billing for services rendered generally occurs within one Customer arrangements may may not not not All revenue recognized in the Consolidated Statements of Operations is considered to be revenue from contracts with customers. The following table provides information about disaggregated revenue by major target market in the Company's single reporting segment: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Commercial: Subscription $ 4,511 $ 3,786 $ 12,474 $ 10,033 Service 213 389 849 1,851 Total Commercial 4,724 4,175 13,323 11,884 Government: Subscription $ 300 $ 300 $ 900 $ 1,088 Service 3,970 3,346 11,344 10,007 Total Government 4,270 3,646 12,244 11,095 Total $ 8,994 $ 7,821 $ 25,567 $ 22,979 The Company has contract assets from contracts with customers that are classified as "trade accounts receivable" in the Consolidated Balance Sheets. Financial information about trade accounts receivable is included in Note 8. The Company has contract assets from capitalized contract acquisition costs that are classified as "other current assets" and "other assets." These contract acquisition costs are recognized in proportion to the revenue recognized from the contract they are associated with. The following table provides information about contract assets: September 30, December 31, 2023 2022 Contract acquisition costs, current $ 170 $ 197 Contract acquisition costs, long-term 3 104 Total $ 173 $ 301 The Company has contract liabilities from contracts with customers that are classified as "deferred revenue" in the Consolidated Balance Sheets. Deferred revenue consists of billings in advance for subscriptions and services for which the performance obligation has not The following table provides information about contract liabilities: September 30, December 31, 2023 2022 Deferred revenue, current $ 7,315 $ 4,145 Deferred revenue, long-term 169 15 Total $ 7,484 $ 4,160 The Company recognized $3,641 of revenue during the nine September 30, 2023 December 31, 2022 The aggregate amount of the transaction prices from contractual obligations that are unsatisfied or partially unsati sfied was $33,129 and $ September 30, 2023 December 31, 2022

Note 4 - Segment Information

Note 4 - Segment Information	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Segment Reporting Disclosure [Text Block]	4. Geographic Information The Company derives its revenue from a single reporting segment: product digitization solutions. Revenue is generated in this segment primarily through software subscriptions and software development services. The Company markets its products in the U.S. and in non-U.S. countries through its sales personnel and partners. Revenue by geographic area, based upon the "bill-to" location, was as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Domestic $ 2,921 $ 2,889 $ 8,541 $ 7,259 International (1) 6,073 4,932 17,026 15,720 Total $ 8,994 $ 7,821 $ 25,567 $ 22,979 ( 1 Revenue from the Central Banks, consisting of a consortium of central banks around the world, is classified as International revenue. Reporting revenue by country for this customer is not Major Customers The following customers accounted for 10% Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Customer A 47 % 46 % 48 % 47 % Customer B 21 % 23 % 21 % 15 % Long-Lived Assets by Geographical Area Long-lived assets by geographic area were as follows: September 30, December 31, 2023 2022 United States $ 1,616 $ 2,324 Europe 40 66 Total $ 1,656 $ 2,390

Note 5 - Stock-based Compensati

Note 5 - Stock-based Compensation	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Share-Based Payment Arrangement [Text Block]	5. Stock-based compensation includes expense charges for all stock-based awards to employees and directors. These awards include stock options, restricted stock, restricted stock units and performance stock units. Stock-based compensation expense related to internal labor is capitalized to software and patent costs based on direct labor hours charged to capitalized software and patent costs. Determining Fair Value Stock Options The Company estimates the fair value of stock options on the date of grant (measurement date) using the Black-Scholes option pricing model. The Company recognizes the fair value of stock option awards on a straight-line basis over the service period of the award. There were no stock options granted during the nine September 30, 2023 nine September 30, 2022 Restricted Stock Awards The fair value of restricted stock awards ("RSA") that vest upon meeting a service condition is based on the fair market value of the Company's common stock on the date of the grant (measurement date) and is recognized on a straight-line basis over the service period of the award, which is generally three four one three Restricted Stock Units The fair value of restricted stock unit ("RSU") awards that vest upon meeting a service condition is based on the fair market value of the Company's common stock on the date of the grant (measurement date) and is recognized on a straight-line basis over the service period of the award, which is generally three four Performance Stock Units The fair value of performance stock unit ("PSU") awards that vest upon meeting a service condition and a performance condition, such as the Company exceeding a future annual recurring revenue target, is determined based on the probability of achievement of the performance criteria as of each reporting date (measurement dates). The probability of achievement is subject to judgment, and could change from period to period, impacting the amount of expense to be recognized. The Company recognizes the fair value of the award, after adjusting for any changes in the probability of achievement, on a straight-line basis over the service period of the award, which is generally three The fair value of PSU awards that vest upon meeting a service condition and a market condition, such as the Company exceeding shareholder returns as compared to an index of peer companies, is determined on the date of grant (measurement date) using the Monte Carlo valuation model. The Company recognizes the fair value of the award on a straight-line basis over the service period of the award, which is generally three The following inputs are used in the Monte Carlo valuation model to estimate the fair value: Stock Price. Expected Volatility. Risk-Free Interest Rate. Monte Carlo valuation inputs: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Stock price $ — $ — $ 22.37 $ 32.02 Expected volatility — — 74.7 % 82.8 % Risk-free interest rate — — 4.3 % 1.8 % Stock-Based Compensation Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Stock-based compensation: Cost of revenue $ 310 $ 270 $ 866 $ 736 Sales and marketing 606 1,461 1,930 3,354 Research, development and engineering 658 916 2,269 2,066 General and administrative 1,118 921 3,081 3,154 Stock-based compensation expense 2,692 3,568 8,146 9,310 Capitalized to software and patent costs 15 29 42 109 Total stock-based compensation $ 2,707 $ 3,597 $ 8,188 $ 9,419 The following table sets forth total unrecognized compensation costs related to non-vested stock-based awards granted under the Company's stock incentive plan: September 30, December 31, 2023 2022 Total unrecognized compensation costs $ 17,623 $ 16,051 Total unrecognized compensation costs will be adjusted for any future forfeitures if and when they occur. The Company expects to recognize the total unrecognized compensation costs as of September 30, 2023 September 30, 2027 RSAs RSUs PSUs Weighted average period (in years) 0.91 1.62 1.89 As of September 30, 2023 1,444 Stock Option Activity The following table presents the outstanding stock option activity: Weighted Weighted Average Average Aggregate Number of Exercise Grant Date Intrinsic Three Months Ended September 30, 2023: Options Price Fair Value Value Outstanding at June 30, 2023 51 $ 39.14 $ 21.72 Granted — $ — $ — Exercised — $ — $ — Forfeited or expired (50 ) $ (39.54 ) $ (21.72 ) Outstanding at September 30, 2023 1 $ 22.15 $ — $ 12 Weighted Weighted Average Average Aggregate Number of Exercise Grant Date Intrinsic Nine Months Ended September 30, 2023: Options Price Fair Value Value Outstanding at December 31, 2022 51 $ 39.14 $ 21.72 Granted — $ — $ — Exercised — $ — $ — Forfeited or expired (50 ) $ (39.54 ) $ (21.72 ) Outstanding at September 30, 2023 1 $ 22.15 $ — $ 12 Exercisable at September 30, 2023 1 $ 22.15 $ — $ 12 Unvested at September 30, 2023 — $ — $ — $ — The aggregate intrinsic value is based on the closing price of $32.49 September 30, 2023 $32.49 Restricted Stock Awards Activity The following table presents the unvested RSA activity: Weighted Average Number of Grant Date Three Months Ended September 30, 2023: Shares Fair Value Unvested balance at June 30, 2023 141 $ 31.04 Granted — $ — Vested (18 ) $ (32.16 ) Forfeited (1 ) $ (35.39 ) Unvested balance at September 30, 2023 122 $ 30.84 Weighted Average Number of Grant Date Nine Months Ended September 30, 2023: Shares Fair Value Unvested balance at December 31, 2022 196 $ 32.06 Granted 45 $ 22.10 Vested (113 ) $ (29.23 ) Forfeited (6 ) $ (34.44 ) Unvested balance at September 30, 2023 122 $ 30.84 The fair value of RSAs vested is as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Fair value of RSAs vested $ 613 $ 949 $ 2,071 $ 3,727 Restricted Stock Units Activity The following table presents the unvested RSU activity: Weighted Average Number of Grant Date Three Months Ended September 30, 2023: Shares Fair Value Unvested balance at June 30, 2023 524 $ 23.56 Granted 9 $ 33.84 Vested (44 ) $ (24.34 ) Forfeited (7 ) $ (22.12 ) Unvested balance at September 30, 2023 482 $ 23.68 Weighted Average Number of Grant Date Nine Months Ended September 30, 2023: Shares Fair Value Unvested balance at December 31, 2022 370 $ 24.77 Granted 289 $ 22.86 Vested (117 ) $ (24.43 ) Forfeited (60 ) $ (24.95 ) Unvested balance at September 30, 2023 482 $ 23.68 The fair value of RSU awards vested is as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Fair value of RSU awards vested $ 1,486 $ 1,570 $ 3,313 $ 1,903 Performance Stock Units Activity The following table presents the unvested PSU activity: Weighted Average Number of Grant Date Three Months Ended September 30, 2023: Shares Fair Value Unvested balance at June 30, 2023 192 $ 29.01 Change in units based on performance expectations — $ — Granted — $ — Vested — $ — Forfeited — $ — Unvested balance at September 30, 2023 192 $ 29.01 Weighted Average Number of Grant Date Nine Months Ended September 30, 2023: Shares Fair Value Unvested balance at December 31, 2022 67 $ 31.92 Change in units based on performance expectations (6 ) $ (32.02 ) Granted 134 $ 27.75 Vested (2 ) $ (32.02 ) Forfeited (1 ) $ (32.02 ) Unvested balance at September 30, 2023 192 $ 29.01 The fair value of PSU awards vested is as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Fair value of PSU awards vested $ — $ — $ 54 $ —

Note 6 - Shareholders' Equity

Note 6 - Shareholders' Equity	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Equity [Text Block]	6. Equity Registered Direct Offering On April 5, 2022, April 7, 2022.

Note 7 - Earnings Per Share

Note 7 - Earnings Per Share	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Earnings Per Share [Text Block]	7. The Company calculates basic and diluted earnings per share in accordance with ASC 260, Earnings Per Share Basic earnings per share excludes dilution and is calculated by dividing earnings by the weighted-average number of shares outstanding for the period. Diluted earnings per share is calculated by dividing earnings by the weighted-average number of shares, as adjusted for the potentially dilutive effect of stock options and unvested RSAs, RSUs, and PSUs. The dilutive effect of stock options and unvested RSAs, RSUs, and PSUs is determined using the treasury stock method. The following table reconciles earnings (loss) per share: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Basic Earnings (Loss) per Share: Net loss — basic $ (10,723 ) $ (14,930 ) $ (35,386 ) $ (47,350 ) Weighted average shares outstanding — basic 20,217 19,721 20,158 18,877 Basic loss per share $ (0.53 ) $ (0.76 ) $ (1.76 ) $ (2.51 ) Diluted Earnings (Loss) per Share: Net loss — diluted $ (10,723 ) $ (14,930 ) $ (35,386 ) $ (47,350 ) Weighted average shares outstanding — diluted 20,217 19,721 20,158 18,877 Diluted loss per share $ (0.53 ) $ (0.76 ) $ (1.76 ) $ (2.51 ) The following table indicates the stock equivalents related to stock options and unvested RSAs, RSUs, and PSUs that were anti-dilutive and excluded from diluted earnings (loss) per share calculations: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Anti-dilutive shares due to: Exercise prices higher than the average market price — 51 — 50 Net loss 237 — 110 —

Note 8 - Trade Accounts Receiva

Note 8 - Trade Accounts Receivable	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Loans, Notes, Trade and Other Receivables Disclosure [Text Block]	8. Trade Accounts Receivable Trade accounts receivable are recorded at the contractual or invoiced amount. September 30, December 31, 2023 2022 Trade accounts receivable, current $ 7,156 $ 5,541 Trade accounts receivable, long-term 12 37 Allowance for doubtful accounts (114 ) (114 ) Trade accounts receivable, net $ 7,054 $ 5,464 Unpaid deferred revenue included in trade accounts receivable $ 1,964 $ 2,183 Allowance for Doubtful Accounts The Company's accounts receivable are subject to concentrations of credit risk. The Company maintains an allowance for its doubtful accounts receivable to reflect any estimated credit losses. This allowance is evaluated each quarter on a customer by customer basis and considers historical write-off experience with each customer, the number of days that any delinquent invoices are past due, and an evaluation of the potential risk of loss associated with any delinquent accounts. The Company records the allowance in "general and administrative" expense in the Consolidated Statements of Operations, up to the amount of revenue recognized to date for each account. Any incremental allowance is recorded as an offset to "deferred revenue" in the Consolidated Balance Sheets. Account receivables are written off and charged against the recorded allowance when the Company has exhausted collection efforts without success. Unpaid Deferred Revenue The unpaid deferred revenue that is included in trade accounts receivable is billed in accordance with the provisions of the contracts with the Company's customers. Major Customers The following customers accounted for 10% September 30, December 31, 2023 2022 Company A 39% 55 % Company B 22% * Company C 11% * * Less than 10%

Note 9 - Business Combination

Note 9 - Business Combination	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Business Combination Disclosure [Text Block]	9. On January 3, 2022, 2022 In August 2022, In January 2023, The Company entered into a Loan Agreement with EVRYTHNG (the "Loan Agreement") on December 10, 2021 December 9, 2022. January 3, 2022, The following table presents the final purchase price allocation: Purchase Price Allocation January 3, 2022 Trade accounts receivable, net $ 762 Other current assets 2,178 Property and equipment, net 99 Lease right of use assets and other long-term assets 484 Intangibles 35,720 Goodwill 7,970 Accounts payable and other accrued liabilities (5,395 ) Deferred revenue (1,678 ) Loan payable to related party (2,001 ) Lease liability and other long-term liabilities (205 ) Total purchase price $ 37,934 The Company allocated $35,720 of the purchase price to intangible assets, which consisted of $24,170 of developed technology and $11,550 of customer relationships. Goodwill recognized of $7,970 from the acquisition was primarily attributed to an assembled workforce and expected synergies. The Company incurred transaction costs related to the acquisition of $447 in 2022. Developed Technology Developed technology primarily consists of intellectual property of proprietary software products and platforms that are marketed for sale. The Company valued the developed technology by applying the cost method. The significant assumption and estimate used under the cost method was development costs. The Company is amortizing the developed technology intangible asset on a straight-line basis over an estimated useful life of five Customer Relationships The Company recorded the customer relationships intangible asset separately from goodwill based on a determination of the length, strength and contractual nature of the relationships that EVRYTHNG shared with its customers. The Company valued the single group of customer relationships using the multi-period excess earnings method, which is an income approach. The significant assumptions used in the income approach include estimates about future expected cash flows from customer contracts, the customer attrition rate and the discount rate. The Company is amortizing the customer relationships intangible asset on a straight-line basis over an estimated useful life of 10 years. The following unaudited pro forma consolidated results of operations include the financial results of Digimarc and EVRYTHNG assuming the acquisition was completed on January 1, 2022, not may Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Revenue $ 8,994 $ 7,821 $ 25,567 $ 22,979 Net loss $ (10,723 ) $ (14,930 ) $ (35,386 ) $ (46,903 ) Loss per share: Basic $ (0.53 ) $ (0.76 ) $ (1.76 ) $ (2.54 ) Diluted $ (0.53 ) $ (0.76 ) $ (1.76 ) $ (2.54 )

Note 10 - Property and Equipmen

Note 10 - Property and Equipment	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Property, Plant and Equipment Disclosure [Text Block]	10. Property and equipment are stated at cost. Repairs and maintenance are charged to expense when incurred. Depreciation on property and equipment is calculated using the straight-line method over the estimated useful lives of the assets, generally two ten September 30, December 31, 2023 2022 Office furniture and fixtures $ 1,435 $ 1,613 Software 5,483 5,747 Equipment 2,523 4,785 Leasehold improvements 1,858 1,861 Gross property and equipment 11,299 14,006 Less accumulated depreciation (9,643 ) (11,616 ) Property and equipment, net $ 1,656 $ 2,390

Note 11 - Goodwill

Note 11 - Goodwill	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Goodwill Disclosure [Text Block]	11. The Company performs its annual goodwill impairment test during the second may nine September 30, 2023 2022 Balance at December 31, 2022 $ 8,229 Currency translation adjustments 94 Balance at September 30, 2023 $ 8,323

Note 12 - Intangibles

Note 12 - Intangibles	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Intangible Assets Disclosure [Text Block]	12. Intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not nine September 30, 2023 2022 Patent costs associated with the application and award of patents in the U.S. and various other countries are capitalized and amortized on a straight-line basis over the term of the patents as determined at the award date, which varies depending on the pendency period of the application, but generally approximates seventeen Amortization of intangible assets acquired is calculated using the straight-line method over the estimated useful lives of the assets. Estimated Life September 30, December 31, (years) 2023 2022 Capitalized patent costs ~17 $ 9,291 $ 10,646 Intangible assets acquired: Purchased intellectual property 10 250 250 Developed technology 5 21,871 21,661 Customer relationships 10 10,451 10,351 Gross intangible assets 41,863 42,908 Accumulated amortization (12,886 ) (9,738 ) Intangibles, net $ 28,977 $ 33,170 The amortization of capitalized patent costs, purchased intellectual property, and developed technology is recorded in "cost of revenue" and the amortization of customer relationships is recorded in "operating expenses" in the Consolidated Statements of Operations. Amortization expense on intangible assets was as follows: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Amortization expense $ 1,550 $ 1,496 $ 4,579 $ 4,756 For intangible assets recorded at September 30, 2023 December 31, 2023 December 31, 2027 Amortization As of September 30, 2023 Expense Remaining in 2023 $ 1,492 2024 $ 5,967 2025 $ 5,946 2026 $ 5,913 2027 $ 1,504

Note 13 - Leases

Note 13 - Leases	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Lessee, Operating Leases [Text Block]	13. The Company leases office space in Beaverton, Oregon. The term of the lease runs through March 2024, September 30, 2023 March 2022 The Company entered into a sublease agreement and lease extension agreement for another facility in Beaverton, Oregon in February 2022 September 2030, September 30, 2023 $8,756 plu first 26 The Company leased office space in London, England under a lease entered into by EVRYTHNG in July 2019. July 2023, September 30, 2023 The Company accounts for leases in accordance with ASC 842, Leases. All of the Company's leases are operating leases. The following table provides additional details of leases presented in the Consolidated Balance Sheets: September 30, December 31, 2023 2022 Lease right of use assets $ 4,108 $ 4,720 Lease liabilities, current $ 468 $ 939 Lease liabilities, long-term $ 6,170 $ 5,977 Weighted-average remaining life (in years) 6.6 6.7 Weighted-average discount rate 9 % 9 % The current lease liabilities are included in "accounts payable and other accrued liabilities" in the Consolidated Balance Sheets. The carrying value of the lease right of use assets is evaluated for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets may not second 2023 first 2022, Operating lease expense is included in "operating expenses" in the Consolidated Statements of Operations and in "cash flows from operating activities" in the Consolidated Statements of Cash Flows. The operating leases include variable lease payments, which are included in operating lease expense. Additional details of the Company's operating leases are presented in the following tables: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Operating lease expense $ 347 $ 498 $ 1,189 $ 1,422 Cash paid for operating leases $ 260 $ 395 $ 909 $ 1,185 The table below reconciles the aggregate cash payment obligations for the next five September 30, 2023 Cash Payment As of September 30, 2023: Obligations Remaining in 2023 $ 219 2024 1,186 2025 1,317 2026 1,356 2027 1,397 Thereafter 3,751 Total lease payments 9,226 Imputed interest (2,588 ) Total minimum lease payments $ 6,638

Note 14 - Other Income

Note 14 - Other Income	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Other Income and Other Expense Disclosure [Text Block]	14. The following table provides information about other income, net: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Interest income $ 423 $ 249 $ 1,283 $ 340 Refundable tax credit 120 376 526 878 Foreign currency gains (losses) (65 ) (6 ) 58 (19 ) Other income — 4 3 15 Total other income, net $ 478 $ 623 $ 1,870 $ 1,214

Note 15 - Income Taxes

Note 15 - Income Taxes	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Income Tax Disclosure [Text Block]	15. The provision for income taxes reflects current taxes and deferred taxes. The effective tax rate for each of the nine September 30, 2023 2022 and 0%, r The valuation allowance against net deferred tax assets as of September 30, 2023 December 31, 2022 not An excess tax benefit of and an excess tax deficiency of were recognized in the provision for income taxes for the three nine September 30, 2023 , respectively, which were offset by and of valuation allowance, respectively. Excess tax deficiencies of $2,355 and $3,170 were recognized in the provision for income taxes for the three nine September 30, 2022

Note 16 - Commitments and Conti

Note 16 - Commitments and Contingencies	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	16. Certain of the Company's contracts include an indemnification provision for claims from third 450, Contingencies no The Company is subject from time to time to other legal proceedings and claims arising in the ordinary course of business. At this time, the Company does not

Significant Accounting Policies

Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2023
Accounting Policies [Abstract]
Description of Business [Policy Text Block]	Description of Business Digimarc Corporation ("Digimarc" or the "Company"), an Oregon corporation, is a global leader in product digitization and digital media identification, delivering business value across industries through unique identifiers and cloud-based solutions. Digimarc's technology highlights a product's journey to provide greater visibility into all relevant product data, allowing companies to make more intelligent business decisions. The Digimarc Illuminate platform is a distinctive software as a service (SaaS) cloud-based platform for digitizing products and aggregating their interactions. Product digitization, the act of creating and connecting a digital twin to a physical or digital item via a digital watermark, Quick Response ("QR") code, and/or other digital carrier, enables products to connect with the web and interact with consumers and digital devices. The product's digital twin that comprises events and attributes from and about the product can be customized and automated to deliver unique experiences that benefits customers, brands, retailers, and other stakeholders across a wide variety of digital applications, while capturing a record of every interaction. The Digimarc product suite is built on top of the Digimarc Illuminate platform to address specific business needs and power a trusted and scalable ecosystem in areas like automation, consumer trust and authenticity, and sustainability. All of the Company's products are complementary to each other, providing exponential benefits when combined. By enabling customers to create and connect digital twins to physical and digital items, Digimarc's technologies provide many benefits, including: • Digimarc Validate • Digimarc Engage • Digimarc Recycle • Digimarc Retail Experience
Basis of Accounting, Policy [Policy Text Block]	Interim Consolidated Financial Statements Our significant accounting policies are detailed in "Note 1: 10 December 31, 2022 March 2, 2023 ( 2022 The accompanying interim consolidated financial statements have been prepared from the Company's records without audit and, in management's opinion, include all adjustments (consisting of only normal recurring adjustments) necessary to fairly reflect the financial condition and the results of operations for the periods presented. Certain information and note disclosures normally included in financial statements prepared in accordance with Generally Accepted Accounting Principles in the United States ("GAAP") have been condensed or omitted in accordance with the rules and regulations of the SEC. These interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements included in the 2022 not
Consolidation, Policy [Policy Text Block]	Principles of Consolidation The consolidated financial statements include the accounts of Digimarc and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated. Digimarc acquired EVRYTHNG Limited ("EVRYTHNG") on January 3, 2022. 9
Business Combinations Policy [Policy Text Block]	Business Combinations The Company allocates purchase price consideration to the tangible and intangible assets acquired and liabilities assumed based on their estimated fair values. The purchase price is determined based on the fair value of the assets transferred, liabilities assumed, and equity interests issued, after considering any transactions that are separate from the business combination. The fair value of equity issued as part of a business combination is determined based on the closing price of the Company's stock on the date the acquisition closed. The excess of fair value of purchase price consideration over the fair values of the identifiable assets and liabilities is recorded as goodwill. Such fair value calculations require management to make significant estimates and assumptions, especially with respect to intangible assets and contingent liabilities. Significant estimates in valuing certain intangible assets include, but are not The estimates are inherently uncertain and subject to revision as additional information is obtained during the measurement period for an acquisition, which may one may
New Accounting Pronouncements, Policy [Policy Text Block]	Accounting Pronouncements Adopted In June 2016, No. 2016 - 13 , Financial Instruments - Credit Losses (ASC 326 December 15, 2022. January 1, 2023. not

Note 2 - Fair Value of Financ_2

Note 2 - Fair Value of Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Fair Value, Assets Measured on Recurring Basis [Table Text Block]	September 30, 2023 Level 1 Level 2 Level 3 Total Money market securities $ 6,820 $ — $ — $ 6,820 U.S. Treasuries — 13,048 — 13,048 Commercial Paper — 6,361 — 6,361 Federal agency notes — 5,084 — 5,084 Total $ 6,820 $ 24,493 $ — $ 31,313 December 31, 2022 Level 1 Level 2 Level 3 Total Money market securities $ 2,073 $ — $ — $ 2,073 Commercial paper — 35,468 — 35,468 Corporate notes — 8,432 — 8,432 Federal agency notes — 4,423 — 4,423 Total $ 2,073 $ 48,323 $ — $ 50,396
Investments Classified by Contractual Maturity Date [Table Text Block]	Maturities by Period Less than 1 5 5 10 More than Total 1 year years years 10 years Cash equivalents and marketable securities $ 31,313 $ 31,313 $ — $ — $ —

Note 3 - Revenue Recognition (T

Note 3 - Revenue Recognition (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Disaggregation of Revenue [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Commercial: Subscription $ 4,511 $ 3,786 $ 12,474 $ 10,033 Service 213 389 849 1,851 Total Commercial 4,724 4,175 13,323 11,884 Government: Subscription $ 300 $ 300 $ 900 $ 1,088 Service 3,970 3,346 11,344 10,007 Total Government 4,270 3,646 12,244 11,095 Total $ 8,994 $ 7,821 $ 25,567 $ 22,979
Contract With Customers, Contract Acquisition Costs [Table Text Block]	September 30, December 31, 2023 2022 Contract acquisition costs, current $ 170 $ 197 Contract acquisition costs, long-term 3 104 Total $ 173 $ 301
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Table Text Block]	September 30, December 31, 2023 2022 Deferred revenue, current $ 7,315 $ 4,145 Deferred revenue, long-term 169 15 Total $ 7,484 $ 4,160

Note 4 - Segment Information (T

Note 4 - Segment Information (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Schedule of Segment Reporting Information, by Segment [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Domestic $ 2,921 $ 2,889 $ 8,541 $ 7,259 International (1) 6,073 4,932 17,026 15,720 Total $ 8,994 $ 7,821 $ 25,567 $ 22,979
Schedule of Revenue by Major Customers by Reporting Segments [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Customer A 47 % 46 % 48 % 47 % Customer B 21 % 23 % 21 % 15 %
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block]	September 30, December 31, 2023 2022 United States $ 1,616 $ 2,324 Europe 40 66 Total $ 1,656 $ 2,390

Note 5 - Stock-based Compensa_2

Note 5 - Stock-based Compensation (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Stock-based compensation: Cost of revenue $ 310 $ 270 $ 866 $ 736 Sales and marketing 606 1,461 1,930 3,354 Research, development and engineering 658 916 2,269 2,066 General and administrative 1,118 921 3,081 3,154 Stock-based compensation expense 2,692 3,568 8,146 9,310 Capitalized to software and patent costs 15 29 42 109 Total stock-based compensation $ 2,707 $ 3,597 $ 8,188 $ 9,419
Share-Based Payment Arrangement, Nonvested Award, Cost [Table Text Block]	September 30, December 31, 2023 2022 Total unrecognized compensation costs $ 17,623 $ 16,051
Employee Service Share Based Compensation Non Vested Awards Compensation Cost Not Yet Recognized Period for Recognition [Table Text Block]	RSAs RSUs PSUs Weighted average period (in years) 0.91 1.62 1.89
Share-Based Payment Arrangement, Option, Activity [Table Text Block]	Weighted Weighted Average Average Aggregate Number of Exercise Grant Date Intrinsic Three Months Ended September 30, 2023: Options Price Fair Value Value Outstanding at June 30, 2023 51 $ 39.14 $ 21.72 Granted — $ — $ — Exercised — $ — $ — Forfeited or expired (50 ) $ (39.54 ) $ (21.72 ) Outstanding at September 30, 2023 1 $ 22.15 $ — $ 12 Weighted Weighted Average Average Aggregate Number of Exercise Grant Date Intrinsic Nine Months Ended September 30, 2023: Options Price Fair Value Value Outstanding at December 31, 2022 51 $ 39.14 $ 21.72 Granted — $ — $ — Exercised — $ — $ — Forfeited or expired (50 ) $ (39.54 ) $ (21.72 ) Outstanding at September 30, 2023 1 $ 22.15 $ — $ 12 Exercisable at September 30, 2023 1 $ 22.15 $ — $ 12 Unvested at September 30, 2023 — $ — $ — $ —
Nonvested Restricted Stock Shares Activity [Table Text Block]	Weighted Average Number of Grant Date Three Months Ended September 30, 2023: Shares Fair Value Unvested balance at June 30, 2023 141 $ 31.04 Granted — $ — Vested (18 ) $ (32.16 ) Forfeited (1 ) $ (35.39 ) Unvested balance at September 30, 2023 122 $ 30.84 Weighted Average Number of Grant Date Nine Months Ended September 30, 2023: Shares Fair Value Unvested balance at December 31, 2022 196 $ 32.06 Granted 45 $ 22.10 Vested (113 ) $ (29.23 ) Forfeited (6 ) $ (34.44 ) Unvested balance at September 30, 2023 122 $ 30.84
Schedule of Fair Value of Restricted Stock Awards Vested [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Fair value of RSAs vested $ 613 $ 949 $ 2,071 $ 3,727
Share-Based Payment Arrangement, Restricted Stock Unit, Activity [Table Text Block]	Weighted Average Number of Grant Date Three Months Ended September 30, 2023: Shares Fair Value Unvested balance at June 30, 2023 524 $ 23.56 Granted 9 $ 33.84 Vested (44 ) $ (24.34 ) Forfeited (7 ) $ (22.12 ) Unvested balance at September 30, 2023 482 $ 23.68 Weighted Average Number of Grant Date Nine Months Ended September 30, 2023: Shares Fair Value Unvested balance at December 31, 2022 370 $ 24.77 Granted 289 $ 22.86 Vested (117 ) $ (24.43 ) Forfeited (60 ) $ (24.95 ) Unvested balance at September 30, 2023 482 $ 23.68
Schedule of Fair Value of Restricted Stock Units Vested [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Fair value of RSU awards vested $ 1,486 $ 1,570 $ 3,313 $ 1,903
Schedule of Fair Value of Performance Stock Units Vested [Table Text Block]	Weighted Average Number of Grant Date Three Months Ended September 30, 2023: Shares Fair Value Unvested balance at June 30, 2023 192 $ 29.01 Change in units based on performance expectations — $ — Granted — $ — Vested — $ — Forfeited — $ — Unvested balance at September 30, 2023 192 $ 29.01 Weighted Average Number of Grant Date Nine Months Ended September 30, 2023: Shares Fair Value Unvested balance at December 31, 2022 67 $ 31.92 Change in units based on performance expectations (6 ) $ (32.02 ) Granted 134 $ 27.75 Vested (2 ) $ (32.02 ) Forfeited (1 ) $ (32.02 ) Unvested balance at September 30, 2023 192 $ 29.01 Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Fair value of PSU awards vested $ — $ — $ 54 $ —
Black Scholes Option Valuation [Member]
Notes Tables
Schedule of Share-Based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Stock price $ — $ — $ 22.37 $ 32.02 Expected volatility — — 74.7 % 82.8 % Risk-free interest rate — — 4.3 % 1.8 %

Note 7 - Earnings Per Share (Ta

Note 7 - Earnings Per Share (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Basic Earnings (Loss) per Share: Net loss — basic $ (10,723 ) $ (14,930 ) $ (35,386 ) $ (47,350 ) Weighted average shares outstanding — basic 20,217 19,721 20,158 18,877 Basic loss per share $ (0.53 ) $ (0.76 ) $ (1.76 ) $ (2.51 ) Diluted Earnings (Loss) per Share: Net loss — diluted $ (10,723 ) $ (14,930 ) $ (35,386 ) $ (47,350 ) Weighted average shares outstanding — diluted 20,217 19,721 20,158 18,877 Diluted loss per share $ (0.53 ) $ (0.76 ) $ (1.76 ) $ (2.51 )
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Anti-dilutive shares due to: Exercise prices higher than the average market price — 51 — 50 Net loss 237 — 110 —

Note 8 - Trade Accounts Recei_2

Note 8 - Trade Accounts Receivable (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block]	September 30, December 31, 2023 2022 Trade accounts receivable, current $ 7,156 $ 5,541 Trade accounts receivable, long-term 12 37 Allowance for doubtful accounts (114 ) (114 ) Trade accounts receivable, net $ 7,054 $ 5,464 Unpaid deferred revenue included in trade accounts receivable $ 1,964 $ 2,183
Schedule of Accounts Receivable By Major Customers By Reporting Segments [Table Text Block]	September 30, December 31, 2023 2022 Company A 39% 55 % Company B 22% * Company C 11% *

Note 9 - Business Combination (

Note 9 - Business Combination (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Schedule of Business Acquisitions, by Acquisition [Table Text Block]	Purchase Price Allocation January 3, 2022 Trade accounts receivable, net $ 762 Other current assets 2,178 Property and equipment, net 99 Lease right of use assets and other long-term assets 484 Intangibles 35,720 Goodwill 7,970 Accounts payable and other accrued liabilities (5,395 ) Deferred revenue (1,678 ) Loan payable to related party (2,001 ) Lease liability and other long-term liabilities (205 ) Total purchase price $ 37,934
Business Acquisition, Pro Forma Information [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Revenue $ 8,994 $ 7,821 $ 25,567 $ 22,979 Net loss $ (10,723 ) $ (14,930 ) $ (35,386 ) $ (46,903 ) Loss per share: Basic $ (0.53 ) $ (0.76 ) $ (1.76 ) $ (2.54 ) Diluted $ (0.53 ) $ (0.76 ) $ (1.76 ) $ (2.54 )

Note 10 - Property and Equipm_2

Note 10 - Property and Equipment (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Property, Plant and Equipment [Table Text Block]	September 30, December 31, 2023 2022 Office furniture and fixtures $ 1,435 $ 1,613 Software 5,483 5,747 Equipment 2,523 4,785 Leasehold improvements 1,858 1,861 Gross property and equipment 11,299 14,006 Less accumulated depreciation (9,643 ) (11,616 ) Property and equipment, net $ 1,656 $ 2,390

Note 11 - Goodwill (Tables)

Note 11 - Goodwill (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Schedule of Goodwill [Table Text Block]	Balance at December 31, 2022 $ 8,229 Currency translation adjustments 94 Balance at September 30, 2023 $ 8,323

Note 12 - Intangibles (Tables)

Note 12 - Intangibles (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Schedule of Finite-Lived Intangible Assets [Table Text Block]	Estimated Life September 30, December 31, (years) 2023 2022 Capitalized patent costs ~17 $ 9,291 $ 10,646 Intangible assets acquired: Purchased intellectual property 10 250 250 Developed technology 5 21,871 21,661 Customer relationships 10 10,451 10,351 Gross intangible assets 41,863 42,908 Accumulated amortization (12,886 ) (9,738 ) Intangibles, net $ 28,977 $ 33,170
Finite-Lived Intangible Assets Amortization Expense [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Amortization expense $ 1,550 $ 1,496 $ 4,579 $ 4,756
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]	Amortization As of September 30, 2023 Expense Remaining in 2023 $ 1,492 2024 $ 5,967 2025 $ 5,946 2026 $ 5,913 2027 $ 1,504

Note 13 - Leases (Tables)

Note 13 - Leases (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Lessee Operating Lease Details of Leases Presented in Balance Sheets [Table Text Block]	September 30, December 31, 2023 2022 Lease right of use assets $ 4,108 $ 4,720 Lease liabilities, current $ 468 $ 939 Lease liabilities, long-term $ 6,170 $ 5,977 Weighted-average remaining life (in years) 6.6 6.7 Weighted-average discount rate 9 % 9 %
Lease, Cost [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Operating lease expense $ 347 $ 498 $ 1,189 $ 1,422 Cash paid for operating leases $ 260 $ 395 $ 909 $ 1,185
Lessee, Operating Lease, Liability, to be Paid, Maturity [Table Text Block]	Cash Payment As of September 30, 2023: Obligations Remaining in 2023 $ 219 2024 1,186 2025 1,317 2026 1,356 2027 1,397 Thereafter 3,751 Total lease payments 9,226 Imputed interest (2,588 ) Total minimum lease payments $ 6,638

Note 14 - Other Income (Tables)

Note 14 - Other Income (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Schedule of Other Nonoperating Income (Expense) [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Interest income $ 423 $ 249 $ 1,283 $ 340 Refundable tax credit 120 376 526 878 Foreign currency gains (losses) (65 ) (6 ) 58 (19 ) Other income — 4 3 15 Total other income, net $ 478 $ 623 $ 1,870 $ 1,214

Note 2 - Fair Value of Financ_3

Note 2 - Fair Value of Financial Instruments (Details Textual) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Cash Equivalents, at Carrying Value	$ 30,317	$ 31,452

Note 2 - Fair Value of Financ_4

Note 2 - Fair Value of Financial Instruments - Summary of Fair Value Hierarchy for Financial Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Assets, fair value	$ 31,313
Fair Value, Recurring [Member]
Assets, fair value	31,313	$ 50,396
Fair Value, Recurring [Member] | Money Market Securities [Member]
Assets, fair value	6,820	2,073
Fair Value, Recurring [Member] | US Treasury Securities [Member]
Assets, fair value	13,048
Fair Value, Recurring [Member] | Commercial Paper, Not Included with Cash and Cash Equivalents [Member]
Assets, fair value	6,361	35,468
Fair Value, Recurring [Member] | Corporate Debt Securities [Member]
Assets, fair value		8,432
Fair Value, Recurring [Member] | Federal Agency Notes [Member]
Assets, fair value	5,084	4,423
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member]
Assets, fair value	6,820	2,073
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Money Market Securities [Member]
Assets, fair value	6,820	2,073
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | US Treasury Securities [Member]
Assets, fair value	0
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Commercial Paper, Not Included with Cash and Cash Equivalents [Member]
Assets, fair value	0	0
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Corporate Debt Securities [Member]
Assets, fair value		0
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Federal Agency Notes [Member]
Assets, fair value	0	0
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member]
Assets, fair value	24,493	48,323
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Money Market Securities [Member]
Assets, fair value	0	0
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | US Treasury Securities [Member]
Assets, fair value	13,048
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Commercial Paper, Not Included with Cash and Cash Equivalents [Member]
Assets, fair value	6,361	35,468
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Corporate Debt Securities [Member]
Assets, fair value		8,432
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Federal Agency Notes [Member]
Assets, fair value	5,084	4,423
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member]
Assets, fair value	0	0
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Money Market Securities [Member]
Assets, fair value	0	0
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | US Treasury Securities [Member]
Assets, fair value	0
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Commercial Paper, Not Included with Cash and Cash Equivalents [Member]
Assets, fair value	0	0
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Corporate Debt Securities [Member]
Assets, fair value		0
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Federal Agency Notes [Member]
Assets, fair value	$ 0	$ 0

Note 2 - Fair Value of Financ_5

Note 2 - Fair Value of Financial Instruments - Summary of Fair Value Maturities for Financial Asset (Details) $ in Thousands	Sep. 30, 2023 USD ($)
Assets, fair value	$ 31,313
Cash equivalents and marketable securities, less than 1 year	31,313
Cash equivalents and marketable securities, 1-5 years	0
Cash equivalents and marketable securities, 5-10 years	0
Cash equivalents and marketable securities, more than 10 years	$ 0

Note 3 - Revenue Recognition (D

Note 3 - Revenue Recognition (Details Textual) - USD ($)	9 Months Ended
	Sep. 30, 2023	Dec. 31, 2022
Subscription Revenue Term, Minimum (Year)	1 year
Subscription Revenue Term, Maximum (Year)	3 years
Period of Revenue From Services (Month)	1 month
Contract with Customer, Liability, Revenue Recognized	$ 3,641
Contract With Customer Liability, Transaction Price From Contractual Obligations	$ 33,129	$ 29,600

Note 3 - Revenue Recognition -

Note 3 - Revenue Recognition - Schedule of Disaggregated Revenue By Major Product Line in Single Reporting Segment (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Revenue	$ 8,994	$ 7,821	$ 25,567	$ 22,979
Commercial [Member]
Revenue	4,724	4,175	13,323	11,884
The Government [Member]
Revenue	4,270	3,646	12,244	11,095
Subscription [Member]
Revenue	4,811	4,086	13,374	11,121
Subscription [Member] | Commercial [Member]
Revenue	4,511	3,786	12,474	10,033
Subscription [Member] | The Government [Member]
Revenue	300	300	900	1,088
Service [Member]
Revenue	4,183	3,735	12,193	11,858
Service [Member] | Commercial [Member]
Revenue	213	389	849	1,851
Service [Member] | The Government [Member]
Revenue	$ 3,970	$ 3,346	$ 11,344	$ 10,007

Note 3 - Revenue Recognition _2

Note 3 - Revenue Recognition - Schedule of Contract Liabilities from Contracts with Customers from Acquisition (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Contract acquisition costs, current	$ 170	$ 197
Contract acquisition costs, long-term	3	104
Total	$ 173	$ 301

Note 3 - Revenue Recognition _3

Note 3 - Revenue Recognition - Schedule of Contract Liabilities from Contracts with Customers (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Deferred revenue, current	$ 7,315	$ 4,145
Deferred revenue, long-term	169	15
Total	$ 7,484	$ 4,160

Note 4 - Segment Information -

Note 4 - Segment Information - Geographical Segment Revenue (Details) - USD ($) $ in Thousands		3 Months Ended		9 Months Ended
		Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Revenue		$ 8,994	$ 7,821	$ 25,567	$ 22,979
UNITED STATES
Revenue		2,921	2,889	8,541	7,259
Non-US [Member]
Revenue	[1]	$ 6,073	$ 4,932	$ 17,026	$ 15,720
[1]Revenue from the Central Banks, consisting of a consortium of central banks around the world, is classified as international revenue. Reporting revenue by country for this customer is not practicable.

Note 4 - Segment Information _2

Note 4 - Segment Information - Customers Accounted for 10% or More of Revenue (Details) - Revenue Benchmark [Member] - Customer Concentration Risk [Member]	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Customer A [Member]
Entity wide revenue major customers percentage	47%	46%	48%	47%
Customer B [Member]
Entity wide revenue major customers percentage	21%	23%	21%	15%

Note 4 - Segment Information _3

Note 4 - Segment Information - Long-Lived Tangible Assets by Geographical Area (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Long-lived tangible assets	$ 88,842	$ 113,777
Operating Segments [Member]
Long-lived tangible assets	1,656	2,390
Operating Segments [Member] | UNITED STATES
Long-lived tangible assets	1,616	2,324
Operating Segments [Member] | Europe [Member]
Long-lived tangible assets	$ 40	$ 66

Note 5 - Stock-based Compensa_3

Note 5 - Stock-based Compensation (Details Textual) - $ / shares	3 Months Ended	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2023	Sep. 30, 2022	Jan. 03, 2022
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Gross (in shares)	0	0	1,000
Share Price (in dollars per share)	$ 32.49	$ 32.49		$ 40.84
Restricted Stock [Member] | Employee [Member] | Minimum [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year)		3 years
Restricted Stock [Member] | Employee [Member] | Maximum [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year)		4 years
Restricted Stock [Member] | Director [Member] | Minimum [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year)		1 year
Restricted Stock [Member] | Director [Member] | Maximum [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year)		3 years
Restricted Stock Units (RSUs) [Member] | Minimum [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year)		3 years
Restricted Stock Units (RSUs) [Member] | Maximum [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year)		4 years
Performance Shares [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year)		3 years
Share-Based Payment Arrangement, Option [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Available for Grant (in shares)	1,444	1,444

Note 5 - Stock-Based Compensa_4

Note 5 - Stock-Based Compensation - Stock Option Valuation Assumptions (Details) - $ / shares	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Stock price (in dollars per share)	$ 0		$ 0
Share-Based Payment Arrangement, Option [Member]
Stock price (in dollars per share)	$ 0	$ 0	$ 22.37	$ 32.02
Expected volatility	0%	0%	74.70%	82.80%
Risk-free interest rate	0%	0%	4.30%	1.80%

Note 5 - Stock-Based Compensa_5

Note 5 - Stock-Based Compensation - Allocation of Stock-Based Compensation (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Stock-based compensation expense	$ 2,692	$ 3,568	$ 8,146	$ 9,310
Stock-based compensation capitalized to software and patent costs	15	29	42	109
Total stock-based compensation	2,707	3,597	8,188	9,419
Cost of Sales [Member]
Stock-based compensation expense	310	270	866	736
Selling and Marketing Expense [Member]
Stock-based compensation expense	606	1,461	1,930	3,354
Research and Development Expense [Member]
Stock-based compensation expense	658	916	2,269	2,066
General and Administrative Expense [Member]
Stock-based compensation expense	$ 1,118	$ 921	$ 3,081	$ 3,154

Note 5 - Stock-Based Compensa_6

Note 5 - Stock-Based Compensation - Unrecognized Compensation Cost Related to Non-Vested Stock-Based Awards Granted (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Total unrecognized compensation costs	$ 17,623	$ 16,051

Note 5 - Stock-Based Compensa_7

Note 5 - Stock-Based Compensation - Weighted Average Period for Recognition of Unrecognized Compensation Cost for Stock Options and Restricted Stock (Details)	9 Months Ended
	Sep. 30, 2023
Restricted Stock [Member]
Weighted average period (in years) (Year)	10 months 28 days
Restricted Stock Units (RSUs) [Member]
Weighted average period (in years) (Year)	1 year 7 months 13 days
Performance Shares [Member]
Weighted average period (in years) (Year)	1 year 10 months 20 days

Note 5 - Stock-based Compensa_8

Note 5 - Stock-based Compensation - Stock Option Activity (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2023	Sep. 30, 2022
Options outstanding, shares (in shares)	51	51
Options outstanding, weighted average exercise price (in dollars per share)	$ 39.14	$ 39.14
Options outstanding, weighted average grant date fair value (in dollars per share)	$ 21.72	$ 21.72
Granted, shares (in shares)	0	0	1
Stock price (in dollars per share)	$ 0	$ 0
Granted, weighted average grant date fair value (in dollars per share)	$ 0	$ 0
Exercised, shares (in shares)	0	0
Exercised, weighted average exercise price (in dollars per share)	$ 0	$ 0
Exercised, weighted average grant date fair value (in dollars per share)	$ 0	$ 0
Forfeited or expired, shares (in shares)	(50)	(50)
Forfeited or expired, weighted average exercise price (in dollars per share)	$ (39.54)	$ (39.54)
Forfeited or expired, weighted average grant date fair value (in dollars per share)	$ (21.72)	$ (21.72)
Options outstanding, shares (in shares)	1	1
Options outstanding, weighted average exercise price (in dollars per share)	$ 22.15	$ 22.15
Options outstanding, weighted average grant date fair value (in dollars per share)	$ 0	$ 0
Options outstanding, aggregate intrinsic value	$ 12	$ 12
Options exercisable, shares (in shares)	1	1
Options exercisable, weighted average exercise price (in dollars per share)	$ 22.15	$ 22.15
Options unvested, shares (in shares)	0	0

Note 5 - Stock-Based Compensa_9

Note 5 - Stock-Based Compensation - Schedule of Unvested Restricted Stock Activity (Details) - Restricted Stock [Member] - $ / shares shares in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2023
Unvested (in shares)	141	196
Unvested, weighted average grant date fair value (in dollars per share)	$ 31.04	$ 32.06
Granted (in shares)	0	45
Granted, weighted average grant date fair value (in dollars per share)	$ 0	$ 22.1
Vested (in shares)	(18)	(113)
Vested, weighted average grant date fair value (in dollars per share)	$ (32.16)	$ (29.23)
Forfeited (in shares)	(1)	(6)
Forfeited, weighted average grant date fair value (in dollars per share)	$ (35.39)	$ (34.44)
Unvested (in shares)	122	122
Unvested, weighted average grant date fair value (in dollars per share)	$ 30.84	$ 30.84

Note 5 - Stock-Based Compens_10

Note 5 - Stock-Based Compensation - Fair Value of Vested Restricted Stock Awards (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Restricted Stock [Member]
Fair value of RSAs vested	$ 613	$ 949	$ 2,071	$ 3,727

Note 5 - Stock-Based Compens_11

Note 5 - Stock-Based Compensation - Schedule of Unvested Restricted Stock Units (Details) - Restricted Stock Units (RSUs) [Member] - $ / shares shares in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2023
Unvested (in shares)	524	370
Unvested, weighted average grant date fair value (in dollars per share)	$ 23.56	$ 24.77
Granted (in shares)	9	289
Granted, weighted average grant date fair value (in dollars per share)	$ 33.84	$ 22.86
Vested (in shares)	(44)	(117)
Vested, weighted average grant date fair value (in dollars per share)	$ (24.34)	$ (24.43)
Forfeited (in shares)	(7)	(60)
Forfeited, weighted average grant date fair value (in dollars per share)	$ (22.12)	$ (24.95)
Unvested (in shares)	482	482
Unvested, weighted average grant date fair value (in dollars per share)	$ 23.68	$ 23.68

Note 5 - Stock-Based Compens_12

Note 5 - Stock-Based Compensation - Fair Value of Vested Restricted Stock Units (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Restricted Stock Units (RSUs) [Member]
Fair value of RSAs vested	$ 1,486	$ 1,570	$ 3,313	$ 1,903

Note 5 - Stock-Based Compens_13

Note 5 - Stock-Based Compensation - Fair Value of Vested Performance Stock Units (Details) - Performance Shares [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Unvested (in shares)	192		67
Unvested, weighted average grant date fair value (in dollars per share)	$ 29.01		$ 31.92
Change in units based on performance expectations (in shares)	0		(6)
Change in units based on performance expectations, weighted average grant date fair valu (in dollars per share)	$ 0		$ (32.02)
Granted (in shares)	0		134
Granted, weighted average grant date fair value (in dollars per share)	$ 0		$ 27.75
Vested (in shares)	0		(2)
Vested, weighted average grant date fair value (in dollars per share)	$ 0		$ (32.02)
Forfeited (in shares)	0		(1)
Forfeited, weighted average grant date fair value (in dollars per share)	$ 0		$ (32.02)
Unvested (in shares)	192		192
Unvested, weighted average grant date fair value (in dollars per share)	$ 29.01		$ 29.01
Fair value of RSAs vested	$ 0	$ 0	$ 54	$ 0

Note 6 - Shareholders' Equity (

Note 6 - Shareholders' Equity (Details Textual) - Common Stock [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands		3 Months Ended	9 Months Ended
	Apr. 07, 2022	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Stock Issued During Period, Shares, New Issues (in shares)		22	10	3,044
Registered Direct Offering [Member]
Stock Issued During Period, Shares, New Issues (in shares)	2,250
Shares Issued, Price Per Share (in dollars per share)	$ 25.9
Proceeds from Issuance of Common Stock	$ 58,275
Legal Fees	$ 55

Note 7 - Earnings Per Share - S

Note 7 - Earnings Per Share - Summary of Reconciliation of Earnings (Loss) Per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Net loss — basic	$ (10,723)	$ (14,930)	$ (35,386)	$ (47,350)
Weighted average shares outstanding — basic (in shares)	20,217	19,721	20,158	18,877
Basic loss per share (in dollars per share)	$ (0.53)	$ (0.76)	$ (1.76)	$ (2.51)
Weighted average shares outstanding — diluted (in shares)	20,217	19,721	20,158	18,877
Diluted loss per share (in dollars per share)	$ (0.53)	$ (0.76)	$ (1.76)	$ (2.51)

Note 7 - Earnings Per Share -_2

Note 7 - Earnings Per Share - Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share (Details) - shares shares in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Common stock equivalents related to stock options that were anti-dilutive and excluded from diluted net income per share (in shares)	237	0	110	0
Higher Than Average Market Price [Member]
Common stock equivalents related to stock options that were anti-dilutive and excluded from diluted net income per share (in shares)	0	51	0	50

Note 8 - Trade Accounts Recei_3

Note 8 - Trade Accounts Receivable - Summary of Trade Accounts Receivable (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Trade accounts receivable, current	$ 7,156	$ 5,541
Trade accounts receivable, long-term	12	37
Allowance for doubtful accounts	(114)	(114)
Trade accounts receivable, net	7,054	5,464
Unpaid deferred revenue included in trade accounts receivable	$ 1,964	$ 2,183

Note 8 - Trade Accounts Recei_4

Note 8 - Trade Accounts Receivable - Customers Accounted for 10% or More of Trade Accounts Receivable, Net (Details) - Customer Concentration Risk [Member] - Accounts Receivable [Member]	9 Months Ended	12 Months Ended
	Sep. 30, 2023	Dec. 31, 2022
Company A [Member]
Entity wide revenue major customers percentage	39%	55%
Company B [Member]
Entity wide revenue major customers percentage	22%
Company C [Member]
Entity wide revenue major customers percentage	11%

Note 9 - Business Combination_2

Note 9 - Business Combination (Details Textual) $ / shares in Units, shares in Thousands, $ in Thousands		1 Months Ended		9 Months Ended	12 Months Ended
	Jan. 03, 2022 USD ($) $ / shares shares	Jan. 31, 2023 USD ($) shares	Aug. 31, 2022 USD ($) shares	Sep. 30, 2023 USD ($) $ / shares	Dec. 31, 2022 USD ($)	Dec. 10, 2021 USD ($)
Share Price (in dollars per share) | $ / shares	$ 40.84			$ 32.49
Goodwill				$ 8,323	$ 8,229
Developed Technology Rights [Member]
Acquired Finite-Lived Intangible Assets, Weighted Average Useful Life (Year)				5 years
Customer Relationships [Member]
Acquired Finite-Lived Intangible Assets, Weighted Average Useful Life (Year)				10 years
EVRYTHING [Member]
Financing Receivable, before Allowance for Credit Loss						$ 2,001
EVRYTHING [Member] | Digimarc Corporation [Member]
Line of Credit Facility, Maximum Borrowing Capacity						$ 2,000
Debt Instrument, Interest Rate, Stated Percentage						1%
EVRYTHING [Member]
Business Combination, Consideration Transferred, Total	$ 36,634
Business Combination, Payments for Closing Cost	3,986
Cash Acquired from Acquisition	474
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets	35,720
Goodwill	7,970
Business Combination, Separately Recognized Transactions, Additional Disclosures, Acquisition Costs					$ 447
EVRYTHING [Member] | Developed Technology Rights [Member]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets	24,170
Acquired Finite-Lived Intangible Assets, Weighted Average Useful Life (Year)					5 years
EVRYTHING [Member] | Customer Relationships [Member]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets	$ 11,550
Acquired Finite-Lived Intangible Assets, Weighted Average Useful Life (Year)					10 years
EVRYTHING [Member] | Warrants to Purchase Common Stock [Member]
Class of Warrant or Right, Exercise Price of Warrants or Rights (in dollars per share) | $ / shares	$ 36.56
EVRYTHING [Member] | Warrants to Purchase Common Stock [Member] | Measurement Input, Price Volatility [Member]
Warrants and Rights Outstanding, Measurement Input	0.60
EVRYTHING [Member] | Common Stock [Member]
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares (in shares) | shares	772
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable	$ 31,519
EVRYTHING [Member] | Warrants to Purchase Common Stock [Member]
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares (in shares) | shares	231
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable	$ 1,601
EVRYTHING [Member] | Common Stock Original Held for Post Closing Adjustments [Member]
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares (in shares) | shares		10	22
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable		$ 428	$ 872

Note 9 - Business Combination -

Note 9 - Business Combination - Purchase Price Allocation (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022	Jan. 03, 2022
Goodwill	$ 8,323	$ 8,229
EVRYTHING [Member]
Trade accounts receivable, net			$ 762
Other current assets			2,178
Property and equipment, net			99
Lease right of use assets and other long-term assets			484
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets			35,720
Goodwill			7,970
Accounts payable and other accrued liabilities			(5,395)
Deferred revenue			(1,678)
Loan payable to related party			(2,001)
Lease liability and other long-term liabilities			(205)
Total purchase price			$ 37,934

Note 9 - Business Combination_3

Note 9 - Business Combination - Pro Forma Results (Details) - EVRYTHING [Member] - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Revenue	$ 8,994	$ 7,821	$ 25,567	$ 22,979
Net loss	$ (10,723)	$ (14,930)	$ (35,386)	$ (46,903)
Basic (in dollars per share)	$ (0.53)	$ (0.76)	$ (1.76)	$ (2.54)
Diluted (in dollars per share)	$ (0.53)	$ (0.76)	$ (1.76)	$ (2.54)

Note 10 - Property and Equipm_3

Note 10 - Property and Equipment (Details Textual)	Sep. 30, 2023
Minimum [Member]
Property, Plant and Equipment, Useful Life (Year)	2 years
Maximum [Member]
Property, Plant and Equipment, Useful Life (Year)	10 years

Note 10 - Property and Equipm_4

Note 10 - Property and Equipment - Depreciation and Amortization On Property and Equipment Using the Straight-line Method (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Office furniture and fixtures	$ 1,435	$ 1,613
Software	5,483	5,747
Equipment	2,523	4,785
Leasehold improvements	1,858	1,861
Gross property and equipment	11,299	14,006
Less accumulated depreciation	(9,643)	(11,616)
Property and equipment, net	$ 1,656	$ 2,390

Note 11 - Goodwill (Details Tex

Note 11 - Goodwill (Details Textual) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Goodwill, Impairment Loss	$ 0	$ 0

Note 11 - Goodwill - Summary of

Note 11 - Goodwill - Summary of Goodwill (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2023 USD ($)
Balance	$ 8,229
Currency translation adjustments	94
Balance	$ 8,323

Note 12 - Intangibles (Details

Note 12 - Intangibles (Details Textual) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Impairment of Intangible Assets (Excluding Goodwill)	$ 0	$ 0

Note 12 - Intangibles - Amortiz

Note 12 - Intangibles - Amortization of Intangible Assets Acquired (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Dec. 31, 2022
Intangibles, gross	$ 41,863
Accumulated amortization	(12,886)
Intangibles, net	$ 28,977
Maximum [Member]
Intangibles, gross		$ 42,908
Accumulated amortization		(9,738)
Intangibles, net		33,170
Patents [Member]
Estimated useful life (Year)	17 years
Intangibles, gross	$ 9,291
Patents [Member] | Maximum [Member]
Intangibles, gross		10,646
Intellectual Property [Member]
Estimated useful life (Year)	10 years
Intangibles, gross	$ 250
Intellectual Property [Member] | Maximum [Member]
Intangibles, gross		250
Developed Technology Rights [Member]
Estimated useful life (Year)	5 years
Intangibles, gross	$ 21,871
Developed Technology Rights [Member] | Maximum [Member]
Intangibles, gross		21,661
Customer Relationships [Member]
Estimated useful life (Year)	10 years
Intangibles, gross	$ 10,451
Customer Relationships [Member] | Maximum [Member]
Intangibles, gross		$ 10,351

Note 12 - Intangibles - Amort_2

Note 12 - Intangibles - Amortization Expense on Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Amortization expense	$ 1,550	$ 1,496	$ 4,579	$ 4,756

Note 12 - Intangibles - Estimat

Note 12 - Intangibles - Estimated Future Aggregate Amortization Expense (Details) $ in Thousands	Sep. 30, 2023 USD ($)
Remaining in 2023	$ 1,492
2024	5,967
2025	5,946
2026	5,913
2027	$ 1,504

Note 13 - Leases (Details Textu

Note 13 - Leases (Details Textual) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended			9 Months Ended
	Mar. 31, 2022	Sep. 30, 2023	Jun. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Lessee, Operating Lease, Liability, to be Paid		$ 9,226			$ 9,226
Operating Lease, Impairment Loss		0		$ 0	250	$ 574
Former Corporate Office in Beaverton, Oregon [Member]
Lessee, Operating Lease, Liability, to be Paid		435			435
Operating Lease, Impairment Loss	$ 574		$ 250
Corporate Office in Beaverton, Oregon [Member]
Lessee, Operating Lease, Liability, to be Paid		8,756			8,756
Office Space in London, England [Member]
Lessee, Operating Lease, Liability, to be Paid		$ 0			$ 0

Note 13 - Leases - Additional D

Note 13 - Leases - Additional Details of Leases Presented in Consolidated Balance Sheets (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Lease right of use assets	$ 4,108	$ 4,720
Lease liabilities, long-term	$ 6,170	$ 5,977
Weighted-average remaining life (in years) (Year)	6 years 7 months 6 days	6 years 8 months 12 days
Weighted-average discount rate	9%	9%
Accounts Payable and Other Accrued Liabilities [Member]
Lease liabilities, current	$ 468	$ 939

Note 13 - Leases - Additional_2

Note 13 - Leases - Additional Details of Operating Lease Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Operating lease expense	$ 347	$ 498	$ 1,189	$ 1,422
Cash paid for operating leases	$ 260	$ 395	$ 909	$ 1,185

Note 13 - Leases - Reconciliati

Note 13 - Leases - Reconciliation of Undiscounted Cash Payment Obligations of Operating Lease Liability (Details) $ in Thousands	Sep. 30, 2023 USD ($)
Remaining in 2023	$ 219
2024	1,186
2025	1,317
2026	1,356
2027	1,397
Thereafter	3,751
Total lease payments	9,226
Imputed interest	(2,588)
Total minimum lease payments	$ 6,638

Note 14 - Other Income - Other

Note 14 - Other Income - Other Income, Net (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Interest income	$ 423	$ 249	$ 1,283	$ 340
Refundable tax credit	120	376	526	878
Foreign currency gains (losses)	(65)	(6)	58	(19)
Other income	0	4	3	15
Total other income, net	$ 478	$ 623	$ 1,870	$ 1,214

Note 15 - Income Taxes (Details

Note 15 - Income Taxes (Details Textual) - USD ($) Pure in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Effective Income Tax Rate Reconciliation, Percent			0%	0%
Deferred Tax Assets, Valuation Allowance	$ 92,888		$ 92,888		$ 83,000
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount			9,888
Effective Income Tax Rate Reconciliation, Excess Tax Deficiencies, Amount	436	$ 2,355	803	$ 3,170
Valuation Allowance to Offset Excess Tax Deficiencies [Member]
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount	$ 436	$ 2,355	$ 803	$ 3,170