Cover
Cover - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | May 06, 2024 | Jun. 30, 2023 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Document Financial Statement Error Correction [Flag] | false | ||
Entity Interactive Data Current | Yes | ||
ICFR Auditor Attestation Flag | false | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2023 | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Documents Incorporated by Reference [Text Block] | None | ||
Entity Information [Line Items] | |||
Entity Registrant Name | AERKOMM INC. | ||
Entity Central Index Key | 0001590496 | ||
Entity File Number | 000-55925 | ||
Entity Tax Identification Number | 46-3424568 | ||
Entity Incorporation, State or Country Code | NV | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Shell Company | false | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
Entity Public Float | $ 23,524,331 | ||
Entity Contact Personnel [Line Items] | |||
Entity Address, Address Line One | 44043 Fremont Blvd. | ||
Entity Address, City or Town | Fremont | ||
Entity Address, Country | CA | ||
Entity Address, Postal Zip Code | 94538 | ||
Entity Phone Fax Numbers [Line Items] | |||
City Area Code | (877) | ||
Local Phone Number | 742-3094 | ||
Entity Listings [Line Items] | |||
No Trading Symbol Flag | true | ||
Title of 12(g) Security | Common Stock, $0.001 par value per share | ||
Entity Common Stock, Shares Outstanding | 17,962,613 |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2023 | |
Auditor [Table] | |
Auditor Name | WWC, P.C. |
Auditor Firm ID | 1171 |
Auditor Location | San Mateo, CA |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Current Assets | ||
Cash | $ 4,202,797 | $ 6,878,362 |
Short-term investment | 3,804,850 | 2,009,238 |
Account receivable – related party | 41,088 | |
Inventories, net | 170,892 | 1,366,282 |
Prepaid expenses | 158,171 | 490,044 |
Other receivable – related parties | 1,167,749 | 308,544 |
Other receivable – others | 122,024 | 119,683 |
Other current assets | 65,937 | 32,666 |
Total Current Assets | 9,733,508 | 11,204,819 |
Long-term investment | 4,261,920 | 4,572,243 |
Property and Equipment, net | ||
Cost | 5,436,657 | 4,011,883 |
Accumulated depreciation | (3,085,789) | (2,486,836) |
Total Property and Equipment | 2,350,868 | 1,525,047 |
Prepayment for land | 40,114,286 | 35,748,435 |
Prepayment for equipment | 324,866 | 458,998 |
Net Property and Equipment | 42,790,020 | 37,732,480 |
Other Assets | ||
Prepayment for equipment and intangible assets – related party | 2,076,138 | |
Prepayment for equipment and intangible assets - others | 8,326,017 | 7,536,409 |
Restricted cash | 3,225,905 | 3,223,558 |
Intangible asset, net | 13,024,692 | 1,402,500 |
Goodwill | 4,573,819 | 4,561,037 |
Right-of-use assets, net | 221,417 | 92,451 |
Deposits | 534,515 | 315,015 |
Total Other Assets | 31,982,503 | 17,130,970 |
Total Assets | 88,767,951 | 70,640,512 |
Current Liabilities | ||
Short-term loan – related party | 337,357 | |
Short-term loan – others | 132,257 | 978,896 |
Accounts payable | 1,900,317 | 1,950,939 |
Accrued expenses | 5,995,972 | 2,433,400 |
Other payable – related parties | 726,802 | 340,467 |
Other payable – others | 12,617,277 | 5,017,040 |
Prepayment from customer – related party | 6,534,908 | 1,258,786 |
Long-term loan – current | 5,045 | 11,271 |
Lease liability – current – others | 168,433 | 131,181 |
Total Current Liabilities | 28,081,011 | 12,459,337 |
Long-term Liabilities | ||
Convertible long-term bonds payable | 9,648,155 | 9,137,006 |
Convertible long-term note payable | 23,173,200 | 23,173,200 |
Long-term loan – non-current | 5,027 | |
Prepayments from customer – non-current | 762,000 | 762,000 |
Lease liability – non-current – others | 120,932 | 35,172 |
Restricted stock deposit liability | 1,000 | 1,000 |
Total Long-term Liabilities | 33,705,287 | 33,113,405 |
Total Liabilities | 61,786,298 | 45,572,742 |
Commitments and Contingencies | ||
Stockholders’ Equity | ||
Preferred stock, $0.001 par value, 50,000,000 shares authorized, 0 shares issued and outstanding as of December 31, 2023 and 2022 | ||
Common stock, $0.001 par value, 90,000,000 shares authorized, 11,672,020 shares (excluding 149,162 unvested restricted shares) issued and outstanding as of December 31, 2023 and 9,720,003 shares (excluding 149,162 unvested restricted shares) issued and outstanding as of December 31, 2022 | 16,720 | 9,720 |
Additional paid in capital | 97,015,470 | 79,078,005 |
Subscribed capital | 5,004,000 | |
Accumulated deficits | (74,719,954) | (53,645,981) |
Accumulated other comprehensive loss | (334,583) | (373,974) |
Total Stockholders’ Equity | 26,981,653 | 25,067,770 |
Total Liabilities and Stockholders’ Equity | $ 88,767,951 | $ 70,640,512 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares | Dec. 31, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (in Dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 50,000,000 | 50,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (in Dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 90,000,000 | 90,000,000 |
Common stock, shares issued | 11,672,020 | 9,720,003 |
Common stock, shares outstanding | 11,672,020 | 9,720,003 |
Unvested restricted shares | 149,162 | 149,162 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Total Sales | $ 731,090 | |
Total Cost of Goods Sold | 1,810,876 | |
Gross Margin | (1,079,786) | |
Operating Expenses | 15,830,119 | 10,425,183 |
Impairment loss on Goodwill | 4,560,619 | |
Loss from Operations | (21,470,524) | (10,425,183) |
Non-Operating Income (Loss) | ||
Unrealized investment gain (loss) | 1,758,264 | (50,713) |
Foreign currency exchange gain | (131,214) | (1,587,157) |
Other income | 158,355 | 740,315 |
Bond issuance cost | (511,149) | (483,495) |
Other gain (loss), net | (875,305) | (69,522) |
Net Non-Operating Income (Loss) | 398,951 | (1,450,572) |
Loss Before Income Taxes | (21,071,573) | (11,875,755) |
Income Tax Expense | 2,400 | 2,968 |
Net Loss | (21,073,973) | (11,878,723) |
Other Comprehensive Income | ||
Change in foreign currency translation adjustments | 39,391 | 1,522,184 |
Total Comprehensive Loss | $ (21,034,582) | $ (10,356,539) |
Basic (in Dollars per share) | $ (1.8055) | $ (1.2036) |
Diluted (in Dollars per share) | $ (1.8055) | $ (1.2036) |
Weighted Average Shares Outstanding - Basic (in Shares) | 11,672,020 | 9,869,165 |
Weighted Average Shares Outstanding - Diluted (in Shares) | 11,672,020 | 9,869,165 |
Sales – Related Party | ||
Total Sales | $ 575,395 | |
Sales - others | ||
Total Sales | 155,695 | |
Cost of Goods Sold – Related Party | ||
Total Cost of Goods Sold | 461,827 | |
Cost of Goods Sold - Others | ||
Total Cost of Goods Sold | $ 1,349,049 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders’ Equity - USD ($) | Common Stock | Additional Paid in Capital | Accumulated Deficits | Accumulated Other Comprehensive Loss | Subscribed Capital | Total |
Balance at Dec. 31, 2021 | $ 9,716 | $ 77,825,976 | $ (41,767,258) | $ (1,896,158) | $ 34,172,276 | |
Balance (in Shares) at Dec. 31, 2021 | 9,715,889 | |||||
Issuance of common stock | $ 4 | 32,908 | 32,912 | |||
Issuance of common stock (in Shares) | 4,114 | |||||
Stock compensation expense | 1,219,121 | 1,219,121 | ||||
Net loss | (11,878,723) | (11,878,723) | ||||
Foreign currency translation adjustments | 1,522,184 | 1,522,184 | ||||
Balance at Dec. 31, 2022 | $ 9,720 | 79,078,005 | (53,645,981) | (373,974) | 25,067,770 | |
Balance (in Shares) at Dec. 31, 2022 | 9,720,003 | |||||
Issuance of common stock | $ 7,000 | 16,493,000 | 16,493,000 | |||
Issuance of common stock (in Shares) | 7,000,448 | |||||
Stock compensation expense | 1,444,465 | 1,444,465 | ||||
Capital injection | $ 5,004,000 | 5,004,000 | ||||
Net loss | (21,073,973) | (21,073,973) | ||||
Foreign currency translation adjustments | 39,391 | 39,391 | ||||
Balance at Dec. 31, 2023 | $ 16,720 | $ 97,015,470 | $ (74,719,954) | $ (334,583) | $ 5,004,000 | $ 26,981,653 |
Balance (in Shares) at Dec. 31, 2023 | 16,720,451 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Cash Flows from Operating Activities | ||
Net loss | $ (21,073,973) | $ (11,878,723) |
Adjustments to reconcile net loss to net cash provided by (used) for operating activities: | ||
Depreciation and Amortization | 2,264,443 | 1,069,692 |
Stock-based compensation | 1,444,465 | 1,219,121 |
Unrealized (gains) losses on trading security | (1,758,264) | 50,713 |
Amortization of bonds issuance costs | 511,149 | 483,495 |
Impairment loss on Goodwill | 4,560,619 | |
Changes in operating assets and liabilities: | ||
Accounts receivable | (41,088) | 136,800 |
Inventories | 1,638,240 | |
Prepaid expenses | (2,461,210) | (3,336,327) |
Other receivable - related parties | (859,205) | (303,954) |
Other receivable - others | (2,341) | (118,257) |
Other current assets | (33,271) | (22,538) |
Deposits | (219,500) | (192,469) |
Accounts payable | (50,622) | 397,387 |
Accrued expenses | 3,446,193 | 108,400 |
Prepayment from customer – related party | 5,276,122 | 1,258,786 |
Prepayment from customer – others | (94,634) | |
Other payable - related parties | 386,335 | (353,933) |
Other payable - others | 7,576,034 | 573,895 |
Operating lease liability | 16,270 | (186,337) |
Long-term Liabilities | (3,041) | |
Net Cash Used in Operating Activities | 522,721 | (11,094,249) |
Cash Flows from Investing Activities | ||
Proceeds from disposal of short-term investment | 7,823 | |
Proceeds from disposal of long-term investment | 325,578 | |
Prepayment for land | (4,237,427) | |
Purchase of property and equipment | (1,738,705) | (1,306,610) |
Purchase of long-term investment | (325,578) | |
Purchase of intangible assets | (354,469) | |
Purchase of short-term investment | (1,138,952) | |
Net Cash Used in Investing Activities | (6,005,023) | (2,763,317) |
Cash Flows from Financing Activities | ||
Proceeds from (repayment of) short-term loan | (1,310,600) | 182,521 |
Proceeds from convertible long-term note payable | 18,849,200 | |
Proceeds from subscribed capital | 5,004,000 | |
Repayment of long-term loan | (11,253) | (13,090) |
Finance lease liability | (11,412) | (11,927) |
Net Cash Provided by Financing Activities | 3,670,735 | 19,006,704 |
Net (Decrease) Increase in Cash and Restricted Cash | (1,811,567) | 5,149,138 |
Cash and Restricted Cash, Beginning of Year | 10,101,920 | 3,288,813 |
Foreign Currency Translation Effect on Cash and Restricted Cash | (861,651) | 1,663,969 |
Cash and Restricted Cash, End of Year | 7,428,702 | 10,101,920 |
Supplemental disclosures of cash flow information: | ||
Cash | 4,202,797 | 6,878,362 |
Restricted cash | 3,225,905 | 3,223,558 |
Total | 7,428,702 | 10,101,920 |
Cash paid during the year for income taxes | 2,400 | 1,600 |
Cash paid during the year for interest | 14,377.96 | 35,232 |
Non-cash operating, investing and financing activities: | ||
Acquisition of Mesh | 16,493,000 | |
Other payable transferred to common stock | $ 32,912 |
Organization
Organization | 12 Months Ended |
Dec. 31, 2023 | |
Organization [Abstract] | |
Organization | NOTE 1 - Organization Aerkomm Inc. (formerly Maple Tree Kids Inc.) (“Aerkomm”) was incorporated on August 14, 2013 in the State of Nevada. Aerkomm was a retail distribution company selling all of its products over the internet in the United States, operating in the infant and toddler products business market. Aerkomm’s common stock is quoted for trading on the OTC Markets Group Inc. OTC Pink Tier under the symbol “AKOM.” On July 17, 2019, the French Autorité des Marchés Financiers On December 28, 2016, Aircom Pacific Inc. (“Aircom”) purchased approximately 86.3% of Aerkomm’s issued and outstanding common stock as of the closing date of purchase. As a result of the transaction, Aircom became the controlling shareholder of Aerkomm. Aircom was incorporated on September 29, 2014 under the laws of the State of California. On February 13, 2017, Aerkomm entered into a share exchange agreement (“Exchange Agreement”) with Aircom and its shareholders, pursuant to which Aerkomm acquired 100% of the issued and outstanding capital stock of Aircom in exchange for approximately 99.7% of the issued and outstanding capital stock of Aerkomm. As a result of the share exchange, Aircom became a wholly-owned subsidiary of Aerkomm, and the former shareholders of Aircom became the holders of approximately 99.7% of Aerkomm’s issued and outstanding capital stock. On December 31, 2014, Aircom acquired a newly incorporated subsidiary, Aircom Pacific Ltd. (“Aircom Seychelles”), a corporation formed under the laws of the Republic of Seychelles. On November 8, 2021, Aircom Seychelles changed its name to Aerkomm SY Ltd. (“Aerkomm SY”) and the ownership was transferred from Aircom to Aerkomm. Aerkomm SY was formed to facilitate Aircom’s global corporate structure for both business operations and tax planning. Presently, Aerkomm SY has no operations. Aerkomm is working with corporate and tax advisers in finalizing its global corporate structure and has not yet concluded its final plan. On October 17, 2016, Aircom acquired a wholly owned subsidiary, Aircom Pacific Inc. Limited (“Aircom HK”), a corporation formed under the laws of Hong Kong. On November 8, 2021, Aircom HK changed its name to Aerkomm Hong Kong Limited (“Aerkomm HK”) and its ownership was transferred from Aircom to Aerkomm. The purpose of Aerkomm HK is to conduct Aircom’s business and operations in Hong Kong. Presently, its primary function is business development, both with respect to airlines as well as content providers and advertisement partners based in Hong Kong. Aerkomm HK is also actively seeking strategic partnerships whom Aerkomm may leverage in order to provide more and better services to its customers. Aerkomm also plans to provide local supports to Hong Kong-based airlines via Aerkomm HK and teleports located in Hong Kong. On December 15, 2016, Aircom acquired a wholly owned subsidiary, Aircom Japan, Inc. (“Aircom Japan”), a corporation formed under the laws of Japan. On November 9, 2021, Aircom Japan changed its name to Aerkomm Japan, Inc. (“Aerkomm Japan”) and its ownership was transferred from Aircom to Aerkomm. The purpose of Aerkomm. The purpose of Aerkomm Japan is to conduct business development and operations located within Japan. Aerkomm Japan is in the process of applying for, and will be the holder of, Satellite Communication Blanket License in Japan, which is necessary for Aerkomm to provide services within Japan. Aerkomm Japan will also provide local supports to airlines operating within the territory of Japan. Aircom Telecom LLC (“Aircom Taiwan”, “Aerkomm Taiwan”), which became a wholly owned subsidiary of Aircom in December 2017, was organized under the laws of Taiwan on June 29, 2016. Aircom Taiwan is responsible for Aircom’s business development efforts and general operations within Taiwan. On June 13, 2018, Aerkomm established a then wholly owned subsidiary, Aerkomm Taiwan Inc. (“Aerkomm Taiwan”), a corporation formed under the laws of Taiwan. The purpose of Aerkomm Taiwan is to purchase a parcel of land and raise sufficient fund for ground station building and operate the ground station for data processing (although that cannot be guaranteed). On December 29, 2022, Aerkomm and dMobile System Co., Ltd. (the “Buyer”) entered into an equity sales contract pursuant to the terms of which Aerkomm sold a majority interest of 25,500,000 shares (the “Shares”) of Aerkomm Taiwan to the Buyer for NT$255,000,000 (approximately US $9,023,354 as of December 31, 2022). On November 15, 2018, Aircom Taiwan acquired a wholly owned subsidiary, Beijing Yatai Communication Co., Ltd. (“Beijing Yatai”), a corporation formed under the laws of China. The purpose of Beijing Yatai is to conduct Aircom’s business and operations in China. Presently, its primary function is business development, both with respect to airlines as well as content providers and advertisement partners based in China as most business conducted in China requires a local registered company. Beijing Yatai is also actively seeking strategic partnerships whom Aircom may leverage in order to provide more and better services to its customers. Aircom also plans to provide local supports to China-based airlines via Beijing Yatai and teleports located in China. On November 6, 2020, 100% ownership of Beijing Yatai was transferred from Aircom Taiwan to Aerkomm Taiwan. On October 31, 2019, Aerkomm SY established a new a wholly owned subsidiary, Aerkomm Pacific Limited (“Aerkomm Malta”), a corporation formed under the laws of Malta. The purpose of Aerkomm Malta is to conduct Aerkomm’s business and operations and to engage with suppliers and potential airlines customers in the European Union. The Company’s organization structure is as following: On September 4, 2022, Aerkomm acquired a wholly owned subsidiary, MEPA Labs Inc. (MEPA), a California corporation. The purpose of the acquisition is to extend business development and operations related to the satellite products. On September 28, 2023, Aerkomm acquired a wholly owned subsidiary, Mixnet Technology Limited (Mixnet) and its wholly owned subsidiary, Mesh Technology Taiwan Limited (Mesh), a Taiwan company. The purpose of the acquisition is to extend business development and operations related to the satellite products. Mixnet’s name changed to Mesh Technology Limited as of September 7, 2023. Aerkomm and its subsidiaries (the “Company”) are full-service, development stage providers of in-flight entertainment and connectivity solutions with their initial market in the Asian Pacific region. The Company has not generated significant revenues, excluding non-recurring revenues, and will incur additional expenses as a result of being a public reporting company. As of December 31, 2021, the Company has a negative working capital of $4.9 million. Currently, the Company has taken measures that management believes will improve its financial position by financing activities, including through public offerings, private placements, short-term borrowings and equity contributions. Two of the Company’s current shareholders (the “Lenders”) each committed to provide to the Company a $10 million bridge loan (together, the “Loans”) for an aggregate principal amount of $20 million, to bridge the Company’s cash flow needs prior to its obtaining a mortgage loan to be secured by a parcel of land (the “Land”) the Company purchased in Taiwan. The Lenders also agreed to an earlier closing of up to 25% of the principal amounts of the Loans upon the Company’s request prior to the time that title to the Land is vested in the Company’s subsidiary, Aerkomm Taiwan, to pay the outstanding payable to the Company’s vendors. On April 25, 2022, the Lenders further amended the commitment and agreed to increase the percentage of earlier closing amount from 25% to 100% and the full $20 million is available to the Company. With the $20 million in Loans committed by the Lenders, the $35 million in PIPE Investment commitments already signed concurrently to entering into our Merger Agreement with IXAQ, and our holdings of marketable securities in Ejectt, the Company believes its working capital will be adequate to sustain its operations for at least the next sixteen months. However, there is no assurance that management will be successful in furthering the Company’s business plan, especially if the Company is not able to raise additional funding from the above sources or from other sources. There are a number of additional factors that could potentially arise that could result in shortfalls in the Company’s business plan, such as general worldwide economic conditions, competitive pricing in the connectivity industry, the continuing impact of the COVID 19 pandemic, the Company’s operating results continuing to deteriorate and the Company’s banks and shareholders not being able to provide continued financial support. The Company’s common stock is quoted for trading on the OTC Markets Group Inc. Pink tier under the symbol “AKOM.” On July 17, 2019, the French Autorité des Marchés Financiers |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Summary of Significant Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | NOTE 2 - Summary of Significant Accounting Policies Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with the generally accepted accounting principles in the United States of America (“U.S. GAAP”) and pursuant to the rules and regulations of the Securities Exchange Commission (“SEC”). The Company’s fiscal year end date is December 31. Principle of Consolidation Aerkomm consolidates the accounts of its subsidiaries, Aircom, Aircom Seychelles, Aircom HK, Aircom Japan, Aircom Taiwan, Aerkomm Taiwan, Beijing Yatai, Aerkomm Malta, MEPA Labs, and Mesh Technology Taiwan. All significant intercompany accounts and transactions have been eliminated in consolidation. Reclassifications of Prior Year Presentation Certain prior year balance sheet, and cash flow statement amounts have been reclassified for consistency with the current year presentation. These reclassifications had no effect on the reported results of operations. Use of Estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results may differ from these estimates. Concentrations of Credit Risk Financial instruments that potentially subject the Company to significant concentrations of credit risk consist primarily of cash in banks. As of December 31, 2023 and 2022, the total balance of cash in bank exceeding the amount insured by the Federal Deposit Insurance Corporation (FDIC) for the Company was approximately $0 and $6,153,000, respectively. The balance of cash deposited in foreign financial institutions exceeding the amount insured by local insurance is approximately $7,246,000 and $3,134,000 as of December 31, 2023 and December 31, 2022, respectively. To minimize the credit risk of accounts receivable, the Company performs ongoing credit evaluation of its customers and requires no collateral. An allowance for doubtful accounts is provided based on a review of the collectability of accounts receivable. The Company determines the amount of allowance for doubtful accounts by examining its historical collection experience and current trends in the credit quality of its customers as well as its internal credit policies. Actual credit losses may differ from management’s estimates. Investment in Equity Securities According to FASB issued Accounting Standards Updates 2016-01 (ASU 2016-01), it requires equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value with changes in fair value being recorded in current period earnings, impacting the net income. For the investments in equity securities without readily determinable fair values, the investments may be recorded at cost, subject to impairment, and adjusted through net income for observable price changes. Holdings of marketable equity securities with no significant influence over the investee are accounted for using cost method. Marketable equity security costs are initially recognized at fair value plus transaction costs which are directly attributable to the acquisition. The cost of the securities sold is based on the weighted average cost method. Stock dividends from the investment are included to recalculate the cost basis of the investment based on the total number of shares. Accounts receivable The Company adopted ASU 2016-13, Financial Instruments - Credit Losses (Topic 326), which requires the Company to estimate all expected credit losses for financial assets measured at amortized cost basis, including trade receivables, based on historical experience, current market conditions and supportable forecasts. The Company’s accounts receivable are carried at the amounts invoiced to customer. The risk of credit loss is mitigated by the Company’s credit evaluation process. Receivables are presented as net of an allowance for credit losses. Allowances for expected credit losses are determined based on an assessment of historical experience, the current economic conditions, future expectations of economic conditions, future expectation regarding customer solvency, and other collection factors. The Company will apply adjustments for specific factors and current economic conditions as needed at each reporting date. As of December 31, 2023 the company had $41,088 Account Receivable, and December 31, 2022, the Company had $0 Account Receivable. Therefore, allowances for expected credit losses were $0 as of December 31, 2023 and December 31, 2022. Inventories Inventories are recorded at the lower of weighted-average cost or net realizable value. The Company assesses the impact of changing technology on its inventory on hand and writes off inventories that are considered obsolete. Property and Equipment Property and equipment are stated at cost less accumulated depreciation. When value impairment is determined, the related assets are stated at the lower of fair value or book value. Significant additions, renewals and betterments are capitalized. Maintenance and repairs are expensed as incurred. Depreciation is computed by using the straight-line and double declining methods over the following estimated service lives: ground station equipment – 5 years, computer equipment - 3 to 5 years, furniture and fixtures - 5 years, satellite equipment – 5 years, vehicles – 5 to 6 years and lease improvement – 5 years or remaining lease term, whichever is shorter. Upon sale or disposal of property and equipment, the related cost and accumulated depreciation are removed from the corresponding accounts, with any gain or loss credited or charged to income in the period of sale or disposal. The Company reviews the carrying amount of property and equipment for impairment when events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. It determined that there was no impairment loss for the years ended December 31, 2023 and 2022. Right-of-Use Asset and Lease Liability In February 2016, the FASB issued ASU No. 2016-02, “Leases” (Topic 842) (“ASU 2016-02”), which modifies lease accounting for both lessees and lessors to increase transparency and comparability by recognizing lease assets and lease liabilities by lessees for those leases classified as operating leases and finance leases under previous accounting standards and disclosing key information about leasing arrangements. A lessee should recognize the lease liability to make lease payments and the right-of-use asset representing its right to use the underlying asset for the lease term. For operating leases and finance leases, a right-of-use asset and a lease liability are initially measured at the present value of the lease payments by discount rates. The Company’s lease discount rates are generally based on its incremental borrowing rate, as the discount rates implicit in the Company’s leases is readily determinable. Operating leases are included in operating lease right-of-use assets and lease liabilities in the consolidated balance sheets. Finance leases are included in property and equipment and lease liability in our consolidated balance sheets. Lease expense for operating expense payments is recognized on a straight-line basis over the lease term. Interest and amortization expenses are recognized for finance leases on a straight-line basis over the lease term. For the leases with a term of twelve months or less, a lessee is permitted to make an accounting policy election by class of underlying asset not to recognize lease assets and lease liabilities. If a lessee makes this election, it should recognize lease expense for such leases generally on a straight-line basis over the lease term. Goodwill and Purchased Intangible Assets The Company’s goodwill represents the amount by which the total purchase price paid exceeded the estimated fair value of net assets acquired from acquisition of subsidiaries. The Company tests goodwill for impairment on an annual basis, or more often if events or circumstances indicate that there may be impairment. As Aerkomm is currently still in the development stage and will not start generating revenue until after late 2024. The management has evaluated that the potential benefits of the acquisitions before year 2023 is limited and uncertain, due to this reason, the management has decided to impair goodwill that generated from 2022 and prior periods with total of $4,561,037. After the impair measurement, the net goodwill is $4,573,819. Purchased intangible assets with finite life are amortized on the straight-line basis over the estimated useful lives of respective assets. Purchased intangible assets with indefinite life are evaluated for impairment when events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. Purchased intangible asset consists of satellite system software and is amortized over 10 years. Fair Value of Financial Instruments The Company utilizes the three-level valuation hierarchy for the recognition and disclosure of fair value measurements. The categorization of assets and liabilities within this hierarchy is based upon the lowest level of input that is significant to the measurement of fair value. The three levels of the hierarchy consist of the following: Level 1 - Inputs to the valuation methodology are unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Level 2 - Inputs to the valuation methodology are quoted prices for similar assets and liabilities in active markets, quoted prices in markets that are not active or inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the instrument. Level 3 - Inputs to the valuation methodology are unobservable inputs based upon management’s best estimate of inputs market participants could use in pricing the asset or liability at the measurement date, including assumptions. The carrying amounts of our cash and restricted cash, accounts receivable, other receivable, prepaid expenses, accounts payable, short-term loan, accrued expense, accrued unpaid salaries, prepayment from customer, and other payable approximated their fair value due to the short-term nature of these financial instruments. The Company’s short-term investment is classified within Level 1 of the fair value hierarchy on December 31, 2023. The Company’s long-term bonds payable, long-term note payable and lease payable approximated the carrying amount as its interest rate is considered as approximate to the current rate for comparable loans and leases, respectively. Our long-term investment approximated its carrying amount based upon management’s best estimate due to its restricted nature. There were no outstanding derivative financial instruments as of December 31, 2023 and 2022. Revenue Recognition The Company recognizes revenue when performance obligations identified under the terms of contracts with its customers are satisfied, which generally occurs upon the transfer of control in accordance with the contractual terms and conditions of the sale. The Company’s revenue for the year ended December 31, 2021 composed of the sales of ground antenna units to a related party and sales of network hardware to a non-related party. The majority of the Company’s revenue is recognized at a point in time when product is shipped, or service is provided to the customer. Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring goods, which includes estimates for variable consideration. The Company adopted the provisions of ASU 2014-09 Revenue from Contracts with Customers (Topic 606) and the principal versus agent guidance within the new revenue standard. As such, the Company identifies a contract with a customer, identifies the performance obligations in the contract, determines the transaction price, allocates the transaction price to each performance obligation in the contract and recognizes revenue when (or as) the Company satisfies a performance obligation. Customers may make payments to the Company either in advance or in arrears. If payment is made in advance, the Company will recognize a contract liability under prepayments from customers until which point the Company has satisfied the requisite performance obligations to recognize revenue. Stock-based Compensation The Company adopted the modified prospective method to measure stock-based compensation expense. Under the modified prospective method, stock-based compensation expense recognized during the period is based on the portion of the share-based payment awards granted after the effective date and ultimately expected to vest during the period. Stock-based compensation expense recognized in the Company’s statement of income is based on the vesting terms and the estimated fair value of the award at grant date. As stock-based compensation expense recognized in the statement of income is based on awards ultimately expected to vest, it is reduced for estimated forfeiture. Forfeitures are estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. The Company uses the Black-Scholes option pricing model in its determination of fair value of share-based payment awards on the date of grant. Such option pricing model is affected by assumptions based on a number of highly complex and subjective variables. Income Taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are computed for differences between the financial statement and tax bases of assets and liabilities that will result in taxable or deductible amounts in the future based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. Income tax expense is the tax payable or refundable for the period plus or minus the change during the period in deferred tax assets and liabilities. Adjustments to prior period’s income tax liabilities are added to or deducted from the current period’s tax provision. The Company follows FASB guidance on uncertain tax positions and has analyzed its filing positions in all the federal, state and foreign jurisdictions where it is required to file income tax returns, as well as all open tax years in those jurisdictions. The Company files income tax returns in the US federal, state and foreign jurisdictions where it conducts business. It is not subject to income tax examinations by US federal, state and local tax authorities for years before 2018. The Company believes that its income tax filing positions and deductions will be sustained on audit and does not anticipate any adjustments that will result in a material adverse effect on its consolidated financial position, results of operations, or cash flows. Therefore, no reserves for uncertain tax positions have been recorded. The Company does not expect its unrecognized tax benefits to change significantly over the next twelve months. The Company’s policy for recording interest and penalties associated with any uncertain tax positions is to record such items as a component of income before taxes. Penalties and interest paid or received, if any, are recorded as part of other operating expenses in the consolidated statement of operations. Foreign Currency Transactions Foreign currency transactions are recorded in U.S. dollars at the exchange rates in effect when the transactions occur. Exchange gains or losses derived from foreign currency transactions or monetary assets and liabilities denominated in foreign currencies are recognized in current income. At the end of each period, assets and liabilities denominated in foreign currencies are revalued at the prevailing exchange rates with the resulting gains or losses recognized in income for the period. Translation Adjustments If a foreign subsidiary’s functional currency is the local currency, translation adjustments will result from the process of translating the subsidiary’s financial statements into the reporting currency of the Company. Such adjustments are accumulated and reported under other comprehensive loss as a separate component of stockholders’ equity. Earnings (Loss) Per Share Basic earnings (loss) per share is computed by dividing income available to common shareholders by the weighted average number of shares of common stock outstanding during the period. Diluted earnings per share is computed by dividing income available to common shareholders by the weighted-average number of shares of common outstanding during the period increased to include the number of additional shares of common stock that would have been outstanding if the potentially dilutive securities had been issued. Potentially dilutive securities include stock warrants and outstanding stock options, shares to be purchased by employees under the Company’s employee stock purchase plan. The Company had 6,482,150 and 1,993,117 common stock equivalents, primarily stock options and warrants, for the year ended December 31, 2023 and 2022, respectively. For the fiscal years ended December 31, 2023 and 2022, the assumed exercise of the Company’s common stock equivalents were not included in the calculation as the effect would be anti-dilutive. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2023 | |
Recent Accounting Pronouncements [Abstract] | |
Recent Accounting Pronouncements | NOTE 3 - Recent Accounting Pronouncements Simplifying the Accounting for Debt with Conversion and Other Options. In June 2020, the FASB issued ASU 2020-06 to simplify the accounting in ASC 470, Debt with Conversion and Other Options and ASC 815, Contracts in Equity’s Own Entity. The guidance simplifies the current guidance for convertible instruments and the derivatives scope exception for contracts in an entity’s own equity. Additionally, the amendments affect the diluted EPS calculation for instruments that may be settled in cash or shares and for convertible instruments. This ASU became effective beginning in the first quarter of the Company’s fiscal year 2023. The amendments in this update must be applied on either full retrospective basis or modified retrospective basis through a cumulative-effect adjustment to retained earnings/(deficit) in the period of adoption. The adoption of ASU 2020-06 does not have a significant impact on the Company’s consolidated financial statements as of and for the year ended December 31, 2023. Financial Instruments In June 2016, the FASB issued ASU 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” (“ASU 2016-13”), which modifies the measurement of expected credit losses of certain financial instruments. In February 2020, the FASB issued ASU 2020-02 and delayed the effective date of ASU 2016-13 until fiscal year beginning after December 15, 2022. In March 2022, the FASB issued ASU 2022-02 and eliminate the Troubled Debt Restructuring recognition and measurement guidance. The Company adopted the ASU on January 1, 2023 and the adoption of this standard did not have a material effect on the Company’s operating results. Earnings Per Share In April 2021, the FASB issued ASU 2021-04, which included Topic 260 “Earnings Per Share”. This guidance clarifies and reduces diversity in an issuer’s accounting for modifications or exchanges of freestanding equity-classified written call options due to a lack of explicit guidance in the FASB Codification. The ASU 2021-04 is effective for all entities for fiscal years beginning after December 15, 2021. The adoption of ASU 2021-04 does not have a significant impact on the Company’s consolidated financial statements as of and for the year ended December 31, 2023. Segment Reporting In November 2023, the FASB issued ASU 2023-07, which included Topic 280 “Segment Reporting”. This guidance improves reportable segment disclosure requirements primarily through enhanced disclosures about significant segment expenses. The ASU 2023-07 is effective for all entities for fiscal years beginning after December 15, 2023. The Company is currently evaluating the impact of adopting ASU 2023-07 on its consolidated financial statements. Income Taxes In December 2023, the FASB issued ASU 2023-09, which included Topic 740 “Income Taxes”. This guidance requires business entities to disclose additional information related to the income taxes. The ASU 2023-09 is effective for all entities for fiscal years beginning after December 15, 2024. The Company is currently evaluating the impact of adopting ASU 2023-09 on its consolidated financial statements |
Short-Term Investment
Short-Term Investment | 12 Months Ended |
Dec. 31, 2023 | |
Short-Term Investment [Abstract] | |
Short-term Investment | NOTE 4 - Short-term Investment On September 9, 2019, the Company entered into a liquidity agreement with a security company (“the Liquidity Provider”) in France, which is consistent with customary practice in the French securities market. The liquidity agreement complies with applicable laws and regulations in France and authorizes the Liquidity Provider to carry out market purchases and sales of shares of the Company’s common stock on the Euronext Paris market. To enable the Liquidity Provider to carry out the interventions provided for in the contract, the Company contributed approximately $225,500 (200,000 euros) into the account. The transaction was initiated in the beginning of 2020, and the Company pays annual compensation of 20,000 euros to the Liquidity Provider in advance by semi-annual installments at the beginning of each semi-annual period under the agreement. The liquidity agreement had an initial term of one year and is being renewed automatically unless otherwise terminated by either party. As of December 31, 2023, the Company had purchased 5,361 shares of its common stock with the fair value of $13,831. The securities were recorded as short-term investment with an accumulated unrealized loss of $6,166. In January 2022, the Liquidity Provider terminated the agreement and the Company is determining whether to continue a similar program. On December 3, 2020, the Company entered into three separate stock purchase agreements (or “Stock Purchase Agreement”) from three individuals to purchase an aggregate of 6,000,000 restricted shares of one of the Company’s related parties, YuanJiu Inc. (“YuanJiu”) in a total amount of NT$141,175,000 (approximately US$5,027,600 as of December 31, 2020). YuanJiu is a listed company in Taiwan Stock Exchange and the stock title transfer is subject to certain restrictions. Albert Hsu, a member of the Company’s board of directors, is the Chairman of YuanJiu. On July 19, 2021, YuanJiu Inc. changed its name to “EJECTT INC” (“Ejectt”). On March 24, 2021, the Company purchased additional 2,000 shares of Ejectt’s common stock for a total amount of $1,392 from a related party. As of December 31, 2021, 5,000,000 shares of Ejectt’s common stock were restricted and booked under long-term investment. (See Note 8) As of December 31, 2023 and December 31, 2022, this investment totaled approximately an 8% ownership of Ejectt. On July 20th, 2023, the Taipei Stock Exchange (the “Exchange”) announced that the securities of Ejectt Inc. would be suspended from trading on the Exchange as of July 20, 2023, in accordance with Article 12-1 of the Business Rules of the Exchange. It is the Company’s understanding that this suspension is temporary. If within six months of suspension and cessation of trading Ejectt can meet the relevant requirements of Article 12-1, Paragraph 2 and Paragraph 4 of the Business Rules regarding profitability and the issuance of a special audit report on the internal control system by an accountant, and has an underwriter evaluation report, Ejectt can apply to the Exchange to have trading in its stock resume. Ejectt has announced that it will prepare all necessary documents and procedures and apply to the Exchange in December 2023 to have the temporary suspension removed. The Company’s management believes that this temporary trading suspension of the Eject Inc. securities will have no impact on the value of its investment in the Ejectt stock. On September 30, 2022, the Company entered into a stock purchase agreement (or “Stock Purchase Agreement”) to purchase common stock of Shinbao in a total amount of NT$35,000,000 (approximately $1,138,952). Shinbao is a privately-held company in Taiwan. As of December 31, 2023, the stock title transfer is still under process. As of December 31, 2023 and 2022, the fair value of the investment was as follows: December 31, December 31, Investment – Ejectt – short-term $ 2,647,975 $ 850,182 Investment - Liquidity 13,831 20,104 Prepaid investment 1,143,044 1,138,952 Total Investment 3,804,850 2,009,238 Appreciation in market value - Ejectt (2,018,757 ) (223,216 ) Investment cost – Ejectt – short-term 629,218 626,966 Investment cost - Liquidity 13,831 20,104 Prepaid investment 1,143,044 1,138,952 |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2023 | |
Inventories [Abstract] | |
Inventories | NOTE 5 - Inventories As of December 31, 2023 and 2022, inventories consisted of the following: 2023 2022 Satellite equipment for sale under construction $ 170,892 $ 1,366,282 |
Prepaid Expenses and Prepayment
Prepaid Expenses and Prepayments for Equipment and Intangible Assets | 12 Months Ended |
Dec. 31, 2023 | |
Prepaid Expenses and Prepayments for Equipment and Intangible Assets [Abstract] | |
Prepaid Expenses and Prepayments for Equipment and Intangible Assets | NOTE 6 - Prepaid Expenses and Prepayments for Equipment and Intangible Assets As of December 31, 2023 and 2022, prepaid expenses consisted of the following: 2023 2022 Prepaid professional expense $ 110,043 $ 79,954 Others 48,128 410,090 Total $ 158,171 $ 490,044 Prepayment for equipment and intangible assets – related party 2,076,138 - Prepayment for equipment and intangible assets - others 8,326,017 7,536,409 Total $ 10,402,155 $ 7,536,409 In addition to the $158,171 and $490,044 in prepaid expenses as of December 31, 2023 and 2022, respectively, the Company also has prepayment for equipment and intangible assets – related party in an amount of $2,076,138, and $0 |
Property and Equipment, Net
Property and Equipment, Net | 12 Months Ended |
Dec. 31, 2023 | |
Property and Equipment, Net [Abstract] | |
Property and Equipment, Net | NOTE 7 - Property and Equipment, Net For the years ended December 31, 2023 and 2022, the changes in cost of property and equipment were as follows: Computer Furniture Satellite Ground Vehicle Leasehold Total December 31, 2022 1,419,697 $ 36,382 $ 275,410 $ 1,854,027 $ 342,646 $ 83,721 $ 4,011,883 Addition 1,427,792 2,253 - - - - 1,430,045 Disposal - - - - - - - CTA (370 ) 2 - - (5,009 ) 106 (5,271 ) December 31, 2023 $ 2,847,119 $ 38,637 $ 275,410 $ 1,854,027 $ 337,637 $ 83,827 $ 5,436,657 In addition to the $5,436,657 and $4,011,883 total property and equipment as of December 31, 2023 and 2022, respectively, the Company also has prepayment for equipment in an amount of $324,866 and $458,998 as of December 31, 2023 and 2022, respectively. For the years ended December 31, 2023 and 2022, the changes in accumulated depreciation for property and equipment were as follows: Computer Furniture Satellite Ground Vehicle Leasehold Total December 31, 2022 $ 350,491 $ 31,990 $ 275,410 $ 1,575,923 $ 177,241 $ 75,781 $ 2,486,836 Addition 256,382 4,537 - 278,104 55,357 8,058 602,438 Disposal - - - - - - - CTA (328 ) (10 ) - - (3,136 ) (11 ) (3,485 ) December 31, 2023 $ 606,545 $ 36,517 $ 275,410 $ 1,854,027 $ 229,462 $ 83,828 $ 3,085,789 Depreciation expense was $601,618 and $563,399 for the years ended December 31, 2023 and 2022, respectively. On July 10, 2018, the Company and Aerkomm Taiwan entered into a real estate sale contract (the “Land Purchase Contract”) with Tsai Ming-Yin (the “Seller”) with respect to the acquisition by Aerkomm Taiwan of a parcel of land located in Taiwan. The land is expected to be used to build a satellite ground station and data center. Pursuant to the terms of the Land Purchase Contract, and subsequent amendments on July 30, 2018, September 4, 2018, November 2, 2018 and January 3, 2019, the Company paid to the seller in installments refundable prepayments of NT$1,098,549,407 (approximately $35,876,858 as of December 31, 2023 and $35,748,435 as of December 31, 2022) in total. The estimated commission payable for the land purchase in the amount of NT$42,251,900 (approximately $1,379,879 as of December 31, 2023 and 1,374,940 as of December 31, 2022) was recorded to the cost of land. And the company is under the discussion of extending the commission payable to December 31 2024. According to the amended Land Purchase Contract dated on November 10, 2020, the transaction may be terminated at any time by both the buyer and the seller and agreed by all parties if the Company is unable to obtain the qualified satellite license issued by Taiwan authority before July 31, 2021. As of April 17, 2024, the qualified license applications are still in progress. On November 15, 2022, the Company entered into another real estate sale contract (the “Land Purchase Contract 2”) with Hsu Rong-Tang (the “Seller 2”) with respect to the acquisition by Aircom Telecom of a parcel of land located in Taiwan. The land is expected to be used to help for Aerkomm’s future project. As of December 31, 2023, the Company paid to the Seller 2 in installments prepayments of NT$129,750,000 (approximately $4,237,427 as of December 31, 2023) in total. |
Long-Term Investment
Long-Term Investment | 12 Months Ended |
Dec. 31, 2023 | |
Long-Term Investment [Abstract] | |
Long-term Investment | NOTE 8 - Long-term Investment As of December 31, 2022 and 2023, 5,000,000 shares of Ejectt’s common stock were restricted. Also on September 29, 2022, the Company entered into a stock purchase agreement (or “Stock Purchase Agreement”) to purchase 2,670,000 shares of common stock of AnaNaviTek Corp. (AnaNaviTek) in a total amount of NT$40,050,000 (approximately $1,303,287 as of December 31, 2022). AnaNaviTek is a privately-held company in Taiwan. As of November 21, 2022, the Company has paid NT$10,005,000 (approximately $325,578 as of December 31, 2022) for 667,000 shares of AnaNaviTek stock and the stock title transfer for these shares has been completed. In Q1 2023, the Company disposed AnaNaviTek for amount of $325,578. As of December 31, 2023 and 2022, the fair value of the long-term investment was as follows: December 31, December 31, Investment cost – Ejectt – long-term $ 4,261,920 $ 4,246,665 Investment cost – AnaNaviTek - 325,578 Net $ 4,261,920 $ 4,572,243 |
Intangible Asset, Net
Intangible Asset, Net | 12 Months Ended |
Dec. 31, 2023 | |
Intangible Asset, Net [Abstract] | |
Intangible Asset, Net | NOTE 9 - Intangible Asset, Net For the years ended December 31, 2023 and 2022, the changes in cost and accumulated amortization for intangible asset were as follows: Satellite Accumulated Net January 1, 2022 $ 4,950,000 (3,052,500 ) 1,897,500 Addition - (495,000 ) (495,000 ) December 31, 2022 4,950,000 (3,547,500 ) 1,402,500 Addition 12,456,469 (834,277 ) 11,622,192 December 31, 2023 $ 17,406,469 $ (4,381,777 ) $ 13,024,692 Amortization expense was $834,277 and $495,000 for the years ended December 31, 2023 and 2022, respectively. The estimated aggregate amortization expense for each of the five succeeding years is as follows: Year ending December 31, 2024 $ 1,740,647 2025 1,658,147 2026 1,245,647 2027 1,245,647 2028 1,245,647 |
Goodwill
Goodwill | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill [Abstract] | |
Goodwill | Note 10 - Goodwill On September 28, 2023, the Company acquired 100% of the ownership of Mixnet Technology Limited (Mixnet) and its subsidiary Mesh Technology Taiwan Limited (Mesh) with total consideration of $16,500,000 by issuing 7,000,448 shares of the Company’s common stock valued at approximately $2.36 per share. The fair value of Mixnet and Mesh at acquisition date was $11,926,181. The excess of the purchase price over the tangible assets, identifiable intangible assets and assumed liabilities was $4,573,819, which is recorded as goodwill. As of December 31, 2023 and December 31, 2022, the goodwill were as follows Gross Accumulated Net January 1, 2022 $ 1,475,334 $ - $ 1,475,334 Addition 3,085,703 - 3,085,703 December 31, 2022 4,561,037 - 4,561,037 Addition 4,573,819 (4,561,037 ) 12,782 December 31, 2023 $ 9,134,856 $ (4,561,037 ) $ 4,573,819 There is $4,561,037 impairment loss on goodwill was recognized for the year ended December 31, 2023 for all past mergers activities, and $0 was recognized for the year ended December 31, 2022. As Aerkomm is currently still in the development stage and will not start generating revenue until after late 2024. The management has evaluated that the potential benefits of the acquisitions before year 2023 is limited and uncertain, due to this reason, the management has decided to impair goodwill that generated from 2022 and prior periods with total of $4,561,037 by performing the two-step goodwill impairment test. After the impair measurement, the net goodwill is $4,573,819. The following table summarizes the fair values of the assets acquired and liabilities assumed at the date of acquisition. Goodwill as a result of the acquisition of MEPA is calculated as follows; Goodwill as a result of the acquisition of Mixnet and its subsidiary is calculated as follows; Total purchase considerations $ 16,500,000 Fair Value of tangible assets acquired: Cash 66,278 Other receivable 3,513 Prepaid expenses and other current assets 2,872 Intangible assets 12,102,000 Total identifiable assets acquired 12,174,663 Fair value of liabilities assumed: Loan payable – current (50,403 ) Prepayment from customer (94,634 ) Other payable (24,203 ) Loan from stockholder – non-current (79,242 ) Total liabilities assumed (248,482 ) Net identifiable liabilities assumed 11,926,181 Goodwill as a result of the acquisition $ 4,573,819 |
Operating and Finance Leases
Operating and Finance Leases | 12 Months Ended |
Dec. 31, 2023 | |
Operating and Finance Leases [Abstract] | |
Operating and Finance Leases | NOTE 11 - Operating and Finance Leases A. Lease term and discount rate: The weighted-average remaining lease term (in years) and discount rate related to the leases were as follows: 2023 2022 Weighted-average remaining lease term Operating lease 1.97 Years 1.50 Years Finance lease 0.85 Years 1.85 Year Weighted-average discount rate Operating lease 6.00 % 6.00 % Finance lease 3.82 % 3.82 % B. The balances for the operating and finance leases are presented as follows within the consolidated balance sheets as of December 31, 2023 and 2022: Operating Leases 2023 2022 Right-of-use assets $ 221,417 $ 92,451 Lease liability – current $ 155,763 $ 120,323 Lease liability – non-current $ 120,932 $ 22,547 Finance Leases 2023 2022 Property and equipment, at cost $ 56,770 $ 56,770 Accumulated depreciation (47,968 ) (36,925 ) Property and equipment, net $ 8,802 $ 19,845 Lease liability – current $ 12,669 $ 10,858 Lease liability – non-current - 12,624 Total finance lease liabilities $ 12,669 $ 23,482 2023 2022 Current lease liability – operating leases $ 155,764 $ 120,323 Current lease liability – finance leases 12,669 10,858 Total current lease liability 168,433 131,181 Current lease liability – related parties - - Current lease liability - others $ 168,433 $ 131,181 Non-current lease liability – operating leases $ 120,932 $ 22,548 Non-current lease liability – finance leases - 12,624 Total non-current lease liability 120,932 35,172 Non-current lease liability – related parties - - Non-current lease liability – others $ 120,932 $ 35,172 The components of lease expense are as follows within the consolidated statements of operations and comprehensive loss for the years ended December 31, 2023 and 2022: Operating Leases 2023 2022 Lease expense $ 130,250 $ 152,922 Sublease rental income (8,546 ) (81,177 ) Net lease expense $ 121,704 $ 71,744 Finance Leases 2023 2022 Amortization of property and equipment $ 10,903 $ 11,396 Interest on lease liabilities 699 1,150 Total finance lease cost $ 11,602 $ 12,545 Supplemental cash flow information related to leases for the years ended December 31, 2023 and 2022 is as follows: 2023 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflows from operating leases $ 93,841 $ 125,501 Operating cash outflows from finance lease $ 10,713 $ 10,777 Financing cash outflows from finance lease $ 699 $ 1,150 Leased assets obtained in exchange for lease liabilities: Operating leases $ - $ 74,795 Finance lease $ - $ - Maturity of lease liabilities: Operating Leases Related Others Total January 1, 2024 – December 31, 2024 $ - $ 110,735 $ 110,735 January 1, 2025 – December 31, 2025 - 89,256 89,256 January 1, 2026 – December 31, 2026 - 37,190 37,190 Total lease payments - 237,181 237,181 Less: Imputed interest - (15,763 ) (15,763 ) Present value of lease liabilities - 221,418 221,418 Current portion - (100,486 ) (100,486 ) Non-current portion $ - $ 120,932 $ 120,932 Finance Leases January 1, 2024 – December 31, 2024 $ 12,939 January 1, 2025 – December 31, 2025 - Total lease payments 12,939 Less: Imputed interest (269 ) Present value of lease liabilities 12,669 Current portion (12,669 ) Non-current portion $ - |
Short-Term Loan
Short-Term Loan | 12 Months Ended |
Dec. 31, 2023 | |
Short-Term Loan [Abstract] | |
Short-term Loan | NOTE 12 - Short-term Loan In June 2021, the Company entered into a loan agreement in the amount of $1,433,177 (NT $40,000,000) with a non-related party. This loan, which carries no interest, would originally mature on July 16, 2021. This loan is collateralized with 3,000,000 shares of Ejectt stocks that the Company currently owns. The outstanding loan balance of $930,521 (NTD 30,000,000) was paid off by September 30, 2023. |
Long-Term Loan
Long-Term Loan | 12 Months Ended |
Dec. 31, 2023 | |
Long-Term Loan [Abstract] | |
Long-term Loan | NOTE 13 - Long-term Loan The Company has a car loan credit line of NT$1,500,000 (approximately US$48,988 as of December 31, 2023 and US$48,812 as of December 31, 2022), which matures on May 21, 2024, from a Taiwan financing company with annual interest rate of 9.7%. The installment payment plan is 60 months to pay off the balance on the 21 st Year ending December 31, 2024 $ 5,168 2025 - Total installment payments 5,168 Less: Imputed interest (123 ) Present value of long-term loan 5,045 Current portion (5,045 ) Non-current portion $ - Interest expense was $1,074 and $3,338 for the years ended December 31, 2023 and 2022, respectively. |
Convertible Long-Term Bonds Pay
Convertible Long-Term Bonds Payable and Restricted Cash | 12 Months Ended |
Dec. 31, 2023 | |
Convertible Long-Term Bonds Payable and Restricted Cash [Abstract] | |
Convertible Long-term Bonds Payable and Restricted Cash | NOTE 14 - Convertible Long-term Bonds Payable and Restricted Cash On December 3, 2020, the Company closed a private placement offering consisting of US$10,000,000 in aggregate principal amount of its Credit Enhanced Zero Coupon Convertible Bonds (the “Zero Coupon Bonds”) and US$200,000 in aggregate principal amount of its 7.5% convertible bonds (the “Coupon Bonds”), both due on December 2, 2025 (collectively the “Bonds”). Unless previously redeemed, converted or repurchased and cancelled, the Zero-Coupon Bonds will be redeemed on December 2, 2025 at 105.11% of their principal amount and the Coupon Bonds will be redeemed on December 2, 2025 at 100% of their principal amount plus any accrued and unpaid interest. The Coupon Bonds will bear interest from and including December 2, 2020 at the rate of 7.5% per annum. Interest on the Coupon Bonds is payable semi-annually in arrears on June 1 and December 1 each year, commencing on June 1, 2021. The Company has the option to redeem the Bonds at a redemption amount equal to the Early Redemption Amount, as defined in the Offering Memorandum, at any time on or after December 2, 2023 and prior to the Maturity Date, if the Closing Price of the Company’s Common Stock listed on the Euronext Paris for 20 trading days in any period of 30 consecutive trading days, the last day of which occurs not more than fifteen trading days prior to the date on which notice of such redemption is given, is greater than 130% of the Conversion Price on each applicable trading day or (ii) in whole or in part of the Bonds on the second anniversary of the issue date or (iii) where 90% or more in principal amount of the Bonds issued have been redeemed, converted or repurchased and cancelled. Unless previously redeemed, converted or repurchased and cancelled, the Bonds may be converted at any time on or after December 3, 2020 up to November 20, 2025 into shares of Common Stock of the Company with a par value of $0.001 each. The initial conversion price for the Bonds is $13.30 per share and is subject to adjustment in specified circumstances. Holders of the Bonds may also require the Company to repurchase all or part of the Bonds on the third anniversary of the Issue Date, at the Early Redemption Amount. Unless the Bonds have been previously redeemed, converted or repurchased and cancelled, Holders of the Bonds will also have the right to require the Company to repurchase the Bonds for cash at the Early Redemption Amount if an event of delisting or a change of control occurs. Pursuant to the agreements of Bonds, Bank of Panhsin Co., Ltd. (the “BG Bank”) committed to issue a bank guarantee for the benefit of the holders of the Bonds. The Bank Guarantee is intended to provide a source of funds for the principal, premium, interest (if any) and any other payment obligations of the Company which shall include the default interest under the Bonds upon the Company’s failure to pay amounts pursuant to the Indenture or upon the Bonds being declared due and payable on the occurrence of an Event of Default pursuant to this Indenture. In order to obtain the guarantee from BG Bank, the Company entered into a line of credit in the amount of $10,700,000 with BG Bank on December 1, 2020. The line of credit will be expired on December 2, 2025. The annual fee is based on 1% of the line of credit amount and due quarterly. The line of credit is guaranteed by one of the Company’s shareholders with his personal property, and the Company’s time deposit of $3,210,000 (the “Deposit”) at BG Bank is pledged as collateral as of December 31, 2023 and 2022, and the Deposit was recorded as restricted cash. Management has accounted for the convertible bonds by assuming that they will be repaid and redeemed at maturity; accordingly, the Company has included the redemption premium as part of the accretion tables and calculation of interest and issuance cost to be amortized over the life of the bond. Any value borne from the conversion feature of the bond and or issuance costs related to the origination and distribution of these bonds have been accounted for as debt discounts to be amortized using the effective interest method over the life of the bond. On October 27, 2023, Citicorp International Limited, as Trustee with respect to the Bonds, submitted to the Company a request for redemption of the Bonds in full. As of January 16, 2024, the Company has repaid $7,330,000 out of a total of $10,398,385 of principal and interest due on the Bonds. We expect to repay the remaining balance of the amount of $3,068,385 owed on the bonds within the next few months. As of December 31, 2023 and 2022, the long-term bonds payable consisted of the following: December 31, December 31, Credit Enhanced Zero Coupon Convertible Bonds 10,000,000 10,000,000 Coupon Bonds 200,000 200,000 10,200,000 10,200,000 Unamortized loan fee (551,845 ) (1,062,994 ) Net $ 9,648,155 $ 9,137,006 Bond issuance cost was $511,149 and $483,496 for the years ended December 31, 2023 and 2022, respectively. |
Convertible Long-Term Notes Pay
Convertible Long-Term Notes Payable and Restricted Cash | 12 Months Ended |
Dec. 31, 2023 | |
Convertible Long-term notes Payable and Restricted Cash [Abstract] | |
Convertible Long-term notes Payable and Restricted Cash | NOTE 15 - Convertible Long-term notes Payable and Restricted Cash On December 7, 2022, Aerkomm Inc. (the “Company”) entered into an investment conversion and note purchase agreement (the “Agreement”) with World Praise Limited, a Samoa registered company (“WPL”). Pursuant to the terms of this agreement, (i) a subscription for the common stock of the Company in the amount of $3,175,200 which was entered into between WPL and the Company on June 28, 2022 and funded (the “June Subscription”), (ii) a subscription for the common stock of the Company in the amount of $5,674,000 which was entered into between WPL and the Company on September 15, 2022 and funded (the “September Subscription”), and (iii) a subscription for the capital stock of MEPA Labs, Inc. (“MEPA”), a wholly owned subsidiary of the Company, in the amount of $4,324,000 which was entered into between MEPA and the Company on June 28, 2022 and funded (the “MEPA Subscription,” and together with the June Subscription and the September Subscription, the “WPL Subscriptions”), the WPL Subscriptions in the aggregate totaling $13,173,200, were converted into loans to the Company evidenced by that certain convertible bond of the Company in favor of WPL and dated December 7, 2022 (the “Convertible Bond”) In addition, and as indicated in the Agreement, WPL agreed to lend an additional $10,000,000 to the Company under the Convertible Note (the “New Loan”) and to cap the aggregate amount of loans to the Company under the Convertible Note, including the New Loan, the WPL Subscriptions and any future advances under the Convertible Note, at $30,000,000. The Convertible Note allows for loans to the Company up to an aggregate principal amount of $30,000,000 and acknowledges an aggregate principal amount of $23,173,200 in loans under the Convertible Bond outstanding as of December 31, 2022. The Convertible Note carries an annual interest rate of four percent (4%) which is due and payable, along with the then principal amount outstanding, on the Convertible Note maturity date, December 7, 2024. The Convertible Note is pre-payable in whole or in part at any time without penalty, on five days’ prior written notice to WPL. In the event of a change of control of the Company (as that term is defined in the Convertible Note), the Convertible Note shall become immediately payable in full. The Convertible Note along with accrued interest $988,264 as of December 31, 2023, is convertible in whole or in part by WPL at any time into shares of common stock of the Company at a conversion price of $6.00 per share. |
Contract Liability
Contract Liability | 12 Months Ended |
Dec. 31, 2023 | |
Contract Liability [Abstract] | |
Contract Liability | NOTE 16 - Contract Liability On March 9, 2015, the Company entered into a 10-year purchase agreement with Klingon Aerospace, Inc. (“Klingon”), which was formerly named as Luxe Electronic Co., Ltd. In accordance with the terms of this agreement, Klingon agreed to purchase from the Company an initial order of onboard equipment comprising an onboard system for a purchase price of $909,000, with payments to be made in accordance with a specific milestones schedule. As of December 31, 2023 and 2022, the Company received $762,000 from Klingon in milestone payments towards the equipment purchase price. As of December 31, 2023, the project is still ongoing. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Taxes [Abstract] | |
Income Taxes | NOTE 17 - Income Taxes Income tax expense for the years ended December 31, 2023 and 2022 consisted of the following: 2023 2022 Current: Federal $ - $ - State 2,400 1,600 Foreign - 1,368 Total $ 2,400 $ 2,968 The following table presents a reconciliation of the Company’s income tax at statutory tax rate and income tax at effective tax rate for the years ended December 31, 2023 and 2022. 2023 2022 Tax benefit at statutory rate $ (2,850,860 ) $ (2,941,489 ) Valuation allowance on net operating loss carryforwards 2,776,874 1,650,091 Stock-based compensation expense 303,300 256,000 Accrued payroll 316,500 (103,600 ) Foreign investment losses (428,590 ) 737,056 Amortization and depreciation expense 155,100 79,700 Unrealized exchange gain (loss) (269,224 ) 361,142 Others (700 ) (35,932 ) Tax expense at effective tax rate $ 2,400 $ 2,968 Deferred tax assets (liabilities) as of December 31, 2023 and 2022 consist approximately of: 2023 2022 Net operating loss carryforwards (NOLs) $ 14,831,000 $ 10,694,000 Stock-based compensation expense 3,502,000 3,098,000 Accrued expenses and unpaid expense payable 889,000 412,000 Tax credit carryforwards 68,000 68,000 Excess of tax amortization over book amortization (285,000 ) (344,000 ) Unrealized/realized exchange gain 20,000 311,000 Others 27,000 (97,000 ) 19,052,000 14,142,000 Valuation allowance (19,052,000 ) (14,142,000 ) Net $ - $ - Management does not believe the deferred tax assets will be utilized in the near future; therefore, a full valuation allowance is provided. The net change in deferred tax assets valuation allowance was an increase of approximately $4,910,000 and $1,579,000 for the years ended December 31, 2023 and 2022, respectively. As of December 31, 2023 and 2022, the Company had federal NOLs of approximately $8,243,000 available to reduce future federal taxable income, expiring in 2037, and additional federal NOLs of approximately $30,009,000 and $28,545,000, respectively, were generated and will be carried forward indefinitely to reduce future federal taxable income. As of December 31, 2023 and 2022, the Company had State NOLs of approximately $46,427,000 and $37,662,000, respectively, available to reduce future state taxable income, expiring in 2040. As of December 31, 2023 and 2022, the Company has Japan NOLs of approximately $260,000 and $326,000, respectively, available to reduce future Japan taxable income, expiring in 2031. As of December 31, 2023 and 2022, the Company has Taiwan NOLs of approximately $6,173,000 and $3,452,000, respectively, available to reduce future Taiwan taxable income, expiring in 2032. As of December 31, 2023 and 2022, the Company had approximately $37,000 of federal research and development tax credit, available to offset future federal income tax. The credit begins to expire in 2034 if not utilized. As of December 31, 2023 and 2022, the Company had approximately $39,000 of California state research and development tax credit available to offset future California state income tax. The credit can be carried forward indefinitely. The Company’s ability to utilize its federal and state NOLs to offset future income taxes is subject to restrictions resulting from its prior change in ownership as defined by Internal Revenue Code Section 382. The Company does not expect to incur the limitation on NOLs utilization in future annual usage. |
Capital Stock
Capital Stock | 12 Months Ended |
Dec. 31, 2023 | |
Capital Stock [Abstract] | |
Capital Stock | NOTE 18 - Capital Stock 1) Preferred Stock: The Company is authorized to issue 50,000,000 shares of preferred stock, with par value of $0.001. As of December 31, 2023 and 2022, there were no preferred stock shares outstanding. The Board of Directors has the authority to issue preferred stock in one or more series, and in connection with the creation of any such series, by resolutions providing for the issuance of the shares thereof, to determine dividends, voting rights, conversion rights, redemption privileges and liquidation preferences. 2) Common Stock: The Company is authorized to issue 90,000,000 shares of common stock as of December 31, 2023 and 2022. As of December 31, 2023 and 2022, the restricted shares consisted of the following: December 31, December 31, Restricted stock - vested 1,802,373 1,802,373 Restricted stock - unvested 149,162 149,162 Total restricted stock 1,951,535 1,951,535 The unvested shares of restricted stock were recorded under a deposit liability account awaiting future conversion to common stock when they become vested. On June 16, 2022, the Company issued 4,114 shares of common stock to Bevilaqua PLLC for the legal services rendered. On September 28, 2023, the Company issued 7,000,448 shares of common stock to Kevin Wong to acquire Mixnet Technology Limited and its subsidiary (Mixnet). 3) Stock Warrant: On October 31, 2021, following approval by the Board of Directors, the Company issued a warrant to Mr. Sheng-Chun Chang for the purchase of up to 751,879 shares of the Company’s common stock, exercisable at a price of $2.60 per share, the closing price of the common stock on the OTC Markets, Inc. QX tier on October 21, 2021. The issuance of the warrant is (i) in recognition of Mr. Chang’s support of the Company through his previous personal guarantee of the Company’s $10,000,000 line of credit with the Panhsin Bank (the “Bank”) in relation to the private placement offering of $10,000,000 credit enhanced zero coupon convertible bonds and (ii) in exchange for Mr. Chang’s agreement to renew his guarantee with the Bank for so long as the guarantee would be required by the Bank. The warrant will vest 20% on issuance. On each anniversary of the issue date, beginning with December 3, 2021 and ending with December 3, 2025, the warrant will vest with respect to 20% of the number of shares of the Company’s common stock issuable upon conversion of the principal amount of the credit enhanced bonds still required to be guaranteed by the Panhsin Bank. For the years ended December 31, 2022, the Company recorded an increase of $1,252,029 in additional paid-in capital as adjustment for the issuance costs of these stock warrants. |
Major Customer
Major Customer | 12 Months Ended |
Dec. 31, 2023 | |
Major Customer [Abstract] | |
Major Customer | NOTE 19 - Major Customer The Company has one related major customer, which represents 10% or more of the total sales of the Company in 2023. Sales to the customer for the years ended and as of December 31, 2023 and 2022 were $575,395 and $0, respectively. |
Major Vendors
Major Vendors | 12 Months Ended |
Dec. 31, 2023 | |
Major Vendors [Abstract] | |
Major Vendors | NOTE 20 - Major Vendors The Company has two unrelated major vendors, each of which represents 10% or more of the total purchases of the Company for 2023 and 2022. Purchase from and accounts payable to these vendors for the years ended and as of December 31, 2023 and 2022 were as follows: Purchase Accounts Payable Vendor 2023 2022 2023 2022 A $ - $ - $ 1,564,627 $ 1,564,627 B 337,324 - 335,691 - Total $ 337,324 $ - $ 1,900,317 $ 1,564,627 |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2023 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | NOTE 21 - Related Party Transactions A. Name of related parties and relationships with the Company: Related Party Relationship Well Thrive Limited (“WTL”) Major stockholder Ejectt Inc. (“Ejectt”) Stockholder; Albert Hsu, a Director of Aerkomm, is the Chairman STAR JEC INC. (“StarJec”) Stockholder; Albert Hsu, a Director of Aerkomm, is the Chairman AA Twin Associates Ltd. (“AATWIN”) Georges Caldironi, COO of Aerkomm, is sole owner EESquare Japan (“EESquare JP”) Yih Lieh (Giretsu) Shih, President Aircom Japan, is the Director Kevin Wong Stockholder of Mixnet B. Significant related party transactions: The Company has extensive transactions with its related parties. It is possible that the terms of these transactions are not the same as those which would result from transactions among wholly unrelated parties. a. As of December 31 2023 2022 Other receivable from: EESquare JP 1 $ 173,858 $ 11,380 StarJec 2 - 282,073 Ejectt 3 15,983 - WTL 4 956,835 - Others 7 21,073 15,092 Total $ 1,167,749 $ 308,545 Rent deposit to Ejectt 3 $ - $ 1,367 Prepaid expenses to Ejectt 3 $ 2,076,138 $ - Short-term loan from WTL 4 $ - $ 337,357 Prepayment from Ejectt 3 $ 6,534,908 $ 1,258,786 Other payable to: AATWIN 5 $ 19,047 $ 35,047 Interest payable to WTL 4 59,021 58,810 StarJec 2 111,702 - Kevin Wong 6 75,327 - Others 7 461,704 246,610 Total $ 726,802 $ 340,467 1. Aircom Japan entered into a sublease agreement with EESquare JP for the period between March 5, 2019 and March 4, 2023 and extended another 2 years to March 4, 2025. Pursuant to the terms of this lease agreement, EESquare JP pays Aircom Japan a rental fee of approximately $710 per month as of December 31, 2023. This amount represents outstanding balance receivable from EESquare JP as of December 31, 2023. 2. Aircom Japan entered into a housing service order on December 14, 2021 and a satellite service order on January 22, 2022 for one year period till January 21, 2023. On June 20, 2022, Aircom Japan also entered a teleport service order with StarJec for a half year period from June 1, 2022 to January 14, 2023. The amount represents receivable from StarJec for monthly service provided due to the service agreements. The monthly service charges is approximately ¥6,820,000 (approximately $51,800 as of December 31,2022). Other payable represents deposits should be returned to Ejectt after service contracts ended as of December 31, 2023. 3. Represents prepayment paid by Ejectt to order [6] sets of antennas from Aircom Telecom with prepayment of $1,243,247. As of June 17, 2023, Aerkomm Taiwan entered into MOU with Ejectt to appoints Ejectt as its exclusive represent agency in Taiwan with NTD 20,000,000 security deposit (approximately $653,168 as of December 31, 2023). In 4 th 4. The Company has loans from WTL due to operational needs under the Loans (Note 1). As of December 31, 2023, the Company has interest payable balance of $59,021 (approximately NTD 1,807,000) for past Loan. The Company borrowed $956,835 as of December 31, 2023. 5. Represents payable to AATWIN due to consulting agreement on January 1, 2019. The monthly consulting fee is €15,120 (approximately $17,000) and was expired on December 31, 2021. 6. Represents long-term loan that Mixnet borrowed from its stockholder for business operating needs for $75,327 (approximately NTD 2,306,000) as of December 31, 2023. 7. Represents receivable/payable from/to management levels as a result of regular operating activities. b. For the years ended December 31, 2023 and 2022: Year Ended December 31, 2023 2022 Purchase from Ejectt 1 $ 457,976 $ - Connection Service income from Ejectt 2 $ 117,419 $ - Other Income from Ejectt 3 $ 45,543 $ - Other Income from WTL 6 $ 10,682 $ - Non-operating service Income from StarJec 4 $ 2,757 $ 5,904 Rental income charged from EESquare JP 5 $ 8,546 $ 9,119 Rent expense from Ejectt 3 $ 2,858 $ - Interest expense charged by WTL 6 $ - $ 9,818 1. Represents 2 sets of antennas sold to Ejectt on January 30, 2023 and service income and handling fee charged to Ejectt for consultant service provided in 2023 per the exclusive agent agreement signed as of June 17, 2023. 2. Connection service income represent service income received from connection service provided according to the exclusive agent agreement in 2023. 3. Represents other handling fees and consultant fees charged to Ejectt and rent expenses paid to Ejectt in 2023. 4. Represents service income charged to StarJec for handling three service contracts by Aircom Japan for the period in 2023 and the contracts expired in June 2023. 5. Aircom Japan entered into a sublease agreement with EESquare JP for the period between March 5, 2019 and March 4, 2023 and it has been renewed to March 4, 2025. Pursuant to the terms of this lease agreement, EESquare JP pays Aircom Japan a rental fee of approximately $710 (JPY 100,000) per month in 2023. 6. The Company has loans from WTL due to operational needs under the Loans (Note 1). The Company has NT$ 293,000 (approximately $9,800) and NT$1,350,612 (approximately $48,346) of interest expenses, respectively, charged for year 2022 and 2021. Aerkomm Japan has other income of $10,865, other product sale to WTL, in August 2023 in associated with selling antenna. |
Stock Based Compensation
Stock Based Compensation | 12 Months Ended |
Dec. 31, 2023 | |
Stock Based Compensation [Abstract] | |
Stock Based Compensation | NOTE 22 - Stock Based Compensation In March 2014, Aircom’s Board of Directors adopted the 2014 Stock Option Plan (the “Aircom 2014 Plan”). The Aircom 2014 Plan provided for the granting of incentive stock options and non-statutory stock options to employees, consultants and outside directors of Aircom. On February 13, 2017, pursuant to the Exchange Agreement, Aerkomm assumed the options of Aircom 2014 Plan and agreed to issue options for an aggregate of 1,088,882 shares to Aircom’s stock option holders. One-third of stock option shares will be vested as of the first anniversary of the time the option shares are granted or the employee’s acceptance to serve the Company, and 1/36th of the shares will be vested each month thereafter. Option price is determined by the Board of Directors. The Aircom 2014 Plan became effective upon its adoption by the Board and shall continue in effect for a term of 10 years unless sooner terminated under the terms of Aircom 2014 Plan. On May 5, 2017, the Board of Directors of Aerkomm adopted the Aerkomm Inc. 2017 Equity Incentive Plan (the “Aerkomm 2017 Plan” and together with the Aircom 2014 Plan, the “Plans”) and the reservation of 1,000,000 shares of common stock for issuance under the Aerkomm 2017 Plan. The Aerkomm 2017 Plan has been adopted by the Board and shall continue in effect for a term of 10 years unless sooner terminated under the terms. On June 23, 2017, the Board of Directors voted to increase the number of shares of common stock reserved for issuance under the Aerkomm 2017 Plan to 2,000,000 shares. The Aerkomm 2017 Plan provides for the granting of incentive stock options and non-statutory stock options to employees, consultants and outside directors of the Company, as determined by the Compensation Committee of the Board of Directors (or, prior to the establishment of the Compensation Committee on January 23, 2018, the Board of Directors). The Aerkomm 2017 Plan was approved by the Company’s stockholders on March 28, 2018. On October 21, 2021, the Board of Directors voted to increase the number of shares of common stock reserved for issuance under the Aerkomm 2017 Plan to 2,400,000 shares. On June 23, 2017, the Board of Directors agreed to issue options for an aggregate of 291,000 shares under the Aerkomm 2017 Plan to certain officers and directors of the Company. The option agreements are classified into three types of vesting schedule, which includes, 1) 1/6 of the shares subject to the option shall be vested commencing on the vesting start date and the remaining shares shall be vested at the rate of 1/60 for the next 60 months on the same day of the month as the vesting start date; 2) 1/4 of the shares subject to the option shall be vested commencing on the vesting start date and the remaining shares shall be vested at the rate of 1/36 for the next 36 months on the same day of the month as the vesting start date; 3) 1/3 of the shares subject to the option shall be vested commencing on the first anniversary of vesting start date and the remaining shares shall be vested at the rate of 50% each year for the next two years on the same day of the month as the vesting start date. On July 31, 2017, the Board of Directors approved to issue options for an aggregate of 109,000 shares under the Aerkomm 2017 Plan to 11 of its employees. 1/3 of these shares subject to the option shall vest commencing on the first anniversary of vesting start date and the remaining shares shall vest at the rate of 50% each year for the next two years on the same day of the month as the vesting start date. On December 29, 2017, the Board of Directors approved to issue options for an aggregate of 12,000 shares under the Aerkomm 2017 Plan to three of the Company’s independent directors, 4,000 shares each. All of these options were vested immediately upon issuance. On June 19, 2018, the Compensation Committee approved to issue options for 32,000 and 30,000 shares under the Aerkomm 2017 Plan to two of the Company executives. One-fourth of the 32,000 shares subject to the option shall vest on May 1, 2019, 2020, 2021 and 2022, respectively. One-third of the 30,000 shares subject to the option shall vest on May 29, 2019, 2020 and 2021, respectively. On December 29, 2018, the Compensation Committee approved to issue options for an aggregate of 12,000 shares under the Aerkomm 2017 Plan to three of the Company’s independent directors, 4,000 shares each. All of these options were vested immediately upon issuance. On July 2, 2019, the Board of Directors approved the grant of options to purchase an aggregate of 339,000 shares under the Aerkomm 2017 Plan to 22 of its directors, officers and employees. 25% of the shares vested on the grant date, 25% of the shares vested on July 17, 2019, 25% of the shares will vest on the first anniversary of the grant date, and 25% of the shares will be vested upon the second anniversary of the grant date. On October 4, 2019, the Board of Directors approved the grant of options to purchase an aggregate of 85,400 shares under the Aerkomm 2017 Plan to three (3) of its employees. 25% of the shares are vested on the grant date, and 25% of the shares will be vested on each of October 4, 2020, October 4, 2021 and October 4, 2022, respectively. On December 29, 2019, the Board of Directors approved to issue options for an aggregate of 12,000 shares under the Aerkomm 2017 Plan to three of the Company’s independent directors, 4,000 shares each. All of these options shall be vested at the date of 1/12th each month for the next 12 months on the same day of December 2019. On February 19, 2020, the Board of Directors approved to issue options for 2,000 shares under the Aerkomm 2017 Plan to one of the Company’s consultants for service provided in 2019. These options shall be vested immediately. On September 17, 2020, the Board of Directors approved to issue options for 4,000 shares under the Aerkomm 2017 Plan to one of the Company’s independent directors. These options shall be vested at the date of 1/12th each month for the next 12 months on the same day of September 2020. On December 11, 2020, the Board of Directors approved the grant of options to purchase an aggregate of 284,997 shares under the Aerkomm 2017 Plan to 37 of its directors, officers, employees and consultants. Shares shall be vested in full on the earlier of the filing date of the Company’s Form 10-K for the year ended December 31, 2020 or March 31, 2021. On January 23, 2021, the Board of Directors approved to issue options for an aggregate of 12,000 shares under the Aerkomm 2017 Plan to three of the Company’s independent directors, 4,000 shares each. All of these options shall vest 1/12th each month for the next 12 months at the end of each month up to December 2021. On January 23, 2021, the Board of Directors approved to issue options for 2,000 shares under the Aerkomm 2017 Plan to one of the Company’s consultants for service provided in 2020. These options vested immediately. On September 1, 2021, the Board of Directors approved to issue options for 18,750 shares under the Aerkomm 2017 Plan to one of the Company’s officers. These options shall be vested immediately. On September 17, 2021, the Board of Directors approved to issue options for 4,000 shares under the Aerkomm 2017 Plan to one of the Company’s independent directors. These options shall be vested at the rate of 1/12th each month for the next 12 months on the same day of September 2021. On October 21, 2021, the Board of Directors approved to issue options for 150,000 shares under the Aerkomm 2017 Plan to one of the Company’s officers. These options shall be vested immediately. On December 1, 2021, the Board of Directors approved to issue options for 18,750 shares under the Aerkomm 2017 Plan to one of the Company’s officers. These options shall be vested immediately. On December 29, 2021, the Board of Directors approved to issue options for an aggregate of 8,000 shares under the Aerkomm 2017 Plan to two of the Company’s independent directors, 4,000 shares each. All of these options shall be vested at the date of 1/12th each month for the next 12 months on the same day of December 2021. On December 31, 2021, the Board of Directors approved to issue options for 2,000 shares under the Aerkomm 2017 Plan to one of the Company’s consultants for service provided in 2020. These options vested immediately. On March 1, 2022, the Board of Directors approved to issue options for 18,750 shares under the Aerkomm 2017 Plan to one of the Company’s officers. These options shall be vested immediately. On June 1, 2022, the Board of Directors approved to issue options for 18,750 and 75,000 shares under the Aerkomm 2017 Plan to two of the Company’s officers, respectfully. These options shall be vested immediately. On September 1, 2022, the Board of Directors approved to issue options for 18,750 shares under the Aerkomm 2017 Plan to one of the Company’s officers. These options shall be vested immediately. On September 17, 2022, the Board of Directors approved to issue options for 4,000 shares under the Aerkomm 2017 Plan to one of the Company’s independent directors. These options shall be vested at the rate of 1/12th each month for the next 12 months on the same day of September 2022. On December 1, 2022, the Board of Directors approved to issue options for 18,750 shares under the Aerkomm 2017 Plan to one of the Company’s officers. These options shall be vested immediately. On December 29, 2022, the Board of Directors approved to issue options for an aggregate of 8,000 shares under the Aerkomm 2017 Plan to two of the Company’s independent directors, 4,000 shares each. All of these options shall be vested at the date of 1/12th each month for the next 12 months on the same day of December 2022. On March 1, 2023, the Board of Directors approved to issue options for 18,750 shares under the Aerkomm 2017 Plan to one of the Company’s officers. These options shall be vested immediately. On May 5, 2023, the Board of Directors approved to issue options for 786,356 shares under the Aerkomm 2017 Plan to eight company’s employees. These options shall be vested on an annually basis for the next 4 years. On May 5, 2023, the Board of Directors of Aerkomm adopted the Aerkomm Inc. 2023 Equity Incentive Plan (the “Aerkomm 2023 Plan” and together with the Aerkomm 2017 Plan, and Aircom 2014 Plan, the “Plans”) and the reservation of 3,683,929 shares of common stock for issuance under the Aerkomm 2023 Plan. The Aerkomm 2023 Plan has been adopted by the Board and shall continue in effect for a term of 10 years unless sooner terminated under the terms. On June 1, 2023, the Board of Directors approved to issue options for 18,750 shares under the Aerkomm 2023 Plan to one of the Company’s officers. These options shall be vested immediately. On June 13, 2023, the Board of Directors agreed to issue options for an aggregate 3,627,679 shares under the Aerkomm 2023 Plan to certain company’s employees. The shares subject to the option shall be vested commencing on the vesting start date and the remaining shares shall be vested at the rate of 1/48 for the next 48 months on the same day of the month as the vesting start date. On September 1, 2023, the Board of Directors approved to issue options for 18,750 shares under the Aerkomm 2023 Plan to one of the Company’s officers. These options shall be vested immediately. On December 1, 2023, the Board of Directors approved to issue options for 18,750 shares under the Aerkomm 2023 Plan to one of the Company’s officers. These options shall be vested immediately. Valuation and Expense Information Measurement and recognition of compensation expense based on estimated fair values is required for all share-based payment awards made to its employees and directors including employee stock options. The Company recognized compensation expense of $1,444,465 and $1,219,121 for the years ended December 31, 2023 and 2022, respectively, related to such employee stock options. Determining Fair Value Valuation and amortization method The Company uses the Black-Scholes option-pricing-model to estimate the fair value of stock options granted on the date of grant or modification and amortizes the fair value of stock-based compensation at the date of grant on a straight-line basis for recognizing stock compensation expense over the vesting period of the option. Expected term The expected term is the period of time that granted options are expected to be outstanding. The Company uses the SEC’s simplified method for determining the option expected term based on the Company’s historical data to estimate employee termination and options exercised. Expected dividends The Company does not plan to pay cash dividends before the options are expired. Therefore, the expected dividend yield used in the Black-Scholes option valuation model is zero. Expected volatility Since the Company has no historical volatility, it used the calculated value method which substitutes the historical volatility of a public company in the same industry to estimate the expected volatility of the Company’s share price to measure the fair value of options granted under the Plans. Risk-free interest rate The Company based the risk-free interest rate used in the Black-Scholes option valuation model on the market yield in effect at the time of option grant provided in the Federal Reserve Board’s Statistical Releases and historical publications on the Treasury constant maturities rates for the equivalent remaining terms for the Plans. Forfeitures The Company is required to estimate forfeitures at the time of grant and revises those estimates in subsequent periods if actual forfeitures differ from those estimates. The Company uses historical data to estimate option forfeitures and records share-based compensation expense only for those awards that are expected to vest. The Company used the following assumptions to estimate the fair value of options granted in 2023 and 2022 under the Plans as follows: Assumptions Expected term 5-10 years Expected volatility 45.79% - 72.81% Expected dividends 0% Risk-free interest rate 0.69% - 2.99% Forfeiture rate 0% - 5% Aircom 2014 Plan Activities related to options outstanding for the years ended December 31, 2023 and 2022 were as follows: Number of Weighted Weighted Options outstanding at January 1, 2022 111,871 $ 3.3521 $ 1.0539 Granted - - - Exercised - - - Forfeited/Cancelled - - - Options outstanding at December 31, 2022 111,871 3.3521 1.0539 Granted - - - Exercised - - - Forfeited/Cancelled 37,291 3.3521 1.0539 Options outstanding at December 31, 2023 74,580 3.3521 1.0539 There is no nonvested options under the 2014 incentive compensation plan for the years ended December 31, 2023 and 2022. Information related to stock options outstanding and exercisable at December 31, 2023, is as follows: Options Outstanding Options Exercisable Range of Shares Weighted Weighted Shares Weighted Weighted $ 3.3521 74,580 2.50 3.3521 74,580 2.50 3.3521 As of December 31, 2023, there was no unrecognized stock-based compensation expense. No option was exercised during 2023 and 2022. Aerkomm 2017 Plan Activities related to options outstanding for the years ended December 31, 2023 and 2022 were as follows: Number of Weighted Weighted Options outstanding at January 1, 2022 1,207,897 11.2537 7.5309 Granted 162,000 8.1566 6.3320 Exercised - - - Forfeited/Cancelled (90,209 ) 11.9003 8.3775 Options outstanding at December 31, 2022 1,279,688 10.8161 7.3194 Granted 805,103 2.5605 1.9779 Exercised - - - Forfeited/Cancelled - - - Options outstanding at December 31, 2023 2,084,791 7.6279 5.2566 Activities related to nonvested options under the 2017 incentive compensation plan for the years ended December 31, 2023 and 2022 were as follows: Number of Weighted Options unvested at January 1, 2022 40,194 8.9422 Granted 162,000 6.3320 Vested (183,194 ) 6.7206 Forfeited/Cancelled (8,000 ) 14.4305 Options unvested at December 31, 2022 11,000 3.5070 Granted 805,103 1.9779 Vested (144,426 ) 2.1351 Forfeited/Cancelled - - Options unvested at December 31, 2023 671,677 1.9691 Of the shares covered by options outstanding at the end of 2023, 1,413,114 are now exercisable; 196,588 will be exercisable in 2024. Information related to stock options outstanding and exercisable at December 31, 2023, is as follows: Options Outstanding Options Exercisable Range of Shares Weighted Weighted Shares Weighted Weighted $ 2.55 – 4.30 1,310,353 8.27 $ 3.0799 638,676 7.14 $ 3.6373 $ 6.00 – 10.00 419,288 7.36 8.3356 419,288 7.36 8.3356 $ 11.00 – 14.20 126,150 6.25 11.4688 126,150 6.25 11.4688 $ 20.50 – 27.50 109,000 3.78 25.4982 109,000 3.78 25.4982 $ 30.00 – 35.00 120,000 3.56 34.5479 120,000 3.56 34.5479 2,084,791 7.6279 1,413,114 10.0416 As of December 31, 2023, total unrecognized stock-based compensation expense related to stock options was $1,258,000, which is expected to be recognized on a straight-line basis over a weighted average period of approximately 3.35 years. No option was exercised during 2023 and 2022. Aerkomm 2023 Plan Activities related to options outstanding under Aerkomm 2023 Plan for the year ended December 31, 2023 is as follows: Number of Weighted Weighted Options outstanding at December 31, 2022 - - - Granted 3,683,929 2.5914 2.0098 Exercised - - - Forfeited/Cancelled - - - Options outstanding at December 31, 2023 3,683,929 2.5914 2.0098 Activities related to unvested stock awards under Aerkomm 2023 Plan for the twelve months period ended December 31, 2023 is as follows: Number of Weighted Options unvested at December 31, 2022 - - Granted 3,683,929 2.0098 Vested (509,710 ) 2.0167 Forfeited/Cancelled - - Options unvested at December 31, 2023 3,174,219 2.0087 Of the shares covered by options outstanding as of December 31, 2023, 509,710 shares are now exercisable. Information related to stock options outstanding and exercisable at December 31, 2023, is as follows: Options Outstanding Options Exercisable Range of Exercise Prices Shares Weighted Weighted Shares Weighted Weighted $ 2.58-2.89 3,683,929 9.46 2.5783 509,710 9.48 2.6003 As of December 31, 2023, total unrecognized stock-based compensation expense related to stock options was approximately $6,057,000, which is expected to be recognized on a straight-line basis over a weighted average period of approximately 3.45 years. No option was exercised during the year ended December 31, 2023. |
Commitments
Commitments | 12 Months Ended |
Dec. 31, 2023 | |
Commitments [Abstract] | |
Commitments | NOTE 23 - Commitments As of December 31, 2023, the Company’s significant commitments with unrelated parties and contingency are summarized as follows: Airbus SAS Agreement Airbus Interior Service Agreement : Hong Kong Airlines Agreement Vietjet Air: Republic Engineers Complaint Shenzhen Yihe: US trademark Equity Contract: The Buyer, dMobile System Co., Ltd., is owned by Sheng-Chun Chang, a more than 10% equity owner of the Company. The purpose of this transaction was to have Aerkomm Taiwan become a qualified company to apply for a telecommunication license in Taiwan. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Events | NOTE 24 - Subsequent Events On March 29, 2024, we entered into a merger agreement the “Merger Agreement”) with IX Acquisition Corp. (“IXAQ”), a Cayman Islands exempted company (which will re-domicile from being a Cayman Islands company and become a Delaware corporation), and AKOM Merger Sub Inc., a Nevada corporation and a wholly owned subsidiary of IQAC (“Merger Sub”). The Merger Agreement provides that, among other things and upon the terms and subject to the conditions thereof, following the domestication to Delaware of IXAQ, Merger Sub will merge with and into the Company (the “Merger”), after which the Company will be the surviving corporation and a wholly-owned subsidiary of IXAQ. In connection with the Merger, IXAQ will be renamed “AKOM Inc.” The Merger will become effective upon the filing of the certificate of merger with the Secretary of State of the State of Delaware or at such later time as is agreed to by the parties to the Merger Agreement and specified in the articles of merger. The Merger is expected to close prior to October 12, 2024. Additional information relating to the Merger along with the Merger Agreement can be found in our Current Report on Form 8-K filed with the SEC on April 4, 2024. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Pay vs Performance Disclosure | ||
Net Income (Loss) | $ (21,073,973) | $ (11,878,723) |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 31, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Summary of Significant Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with the generally accepted accounting principles in the United States of America (“U.S. GAAP”) and pursuant to the rules and regulations of the Securities Exchange Commission (“SEC”). The Company’s fiscal year end date is December 31. |
Principle of Consolidation | Principle of Consolidation Aerkomm consolidates the accounts of its subsidiaries, Aircom, Aircom Seychelles, Aircom HK, Aircom Japan, Aircom Taiwan, Aerkomm Taiwan, Beijing Yatai, Aerkomm Malta, MEPA Labs, and Mesh Technology Taiwan. All significant intercompany accounts and transactions have been eliminated in consolidation. |
Reclassifications of Prior Year Presentation | Reclassifications of Prior Year Presentation Certain prior year balance sheet, and cash flow statement amounts have been reclassified for consistency with the current year presentation. These reclassifications had no effect on the reported results of operations. |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results may differ from these estimates. |
Concentrations of Credit Risk | Concentrations of Credit Risk Financial instruments that potentially subject the Company to significant concentrations of credit risk consist primarily of cash in banks. As of December 31, 2023 and 2022, the total balance of cash in bank exceeding the amount insured by the Federal Deposit Insurance Corporation (FDIC) for the Company was approximately $0 and $6,153,000, respectively. The balance of cash deposited in foreign financial institutions exceeding the amount insured by local insurance is approximately $7,246,000 and $3,134,000 as of December 31, 2023 and December 31, 2022, respectively. To minimize the credit risk of accounts receivable, the Company performs ongoing credit evaluation of its customers and requires no collateral. An allowance for doubtful accounts is provided based on a review of the collectability of accounts receivable. The Company determines the amount of allowance for doubtful accounts by examining its historical collection experience and current trends in the credit quality of its customers as well as its internal credit policies. Actual credit losses may differ from management’s estimates. |
Investment in Equity Securities | Investment in Equity Securities According to FASB issued Accounting Standards Updates 2016-01 (ASU 2016-01), it requires equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value with changes in fair value being recorded in current period earnings, impacting the net income. For the investments in equity securities without readily determinable fair values, the investments may be recorded at cost, subject to impairment, and adjusted through net income for observable price changes. Holdings of marketable equity securities with no significant influence over the investee are accounted for using cost method. Marketable equity security costs are initially recognized at fair value plus transaction costs which are directly attributable to the acquisition. The cost of the securities sold is based on the weighted average cost method. Stock dividends from the investment are included to recalculate the cost basis of the investment based on the total number of shares. |
Accounts receivable | Accounts receivable The Company adopted ASU 2016-13, Financial Instruments - Credit Losses (Topic 326), which requires the Company to estimate all expected credit losses for financial assets measured at amortized cost basis, including trade receivables, based on historical experience, current market conditions and supportable forecasts. The Company’s accounts receivable are carried at the amounts invoiced to customer. The risk of credit loss is mitigated by the Company’s credit evaluation process. Receivables are presented as net of an allowance for credit losses. Allowances for expected credit losses are determined based on an assessment of historical experience, the current economic conditions, future expectations of economic conditions, future expectation regarding customer solvency, and other collection factors. The Company will apply adjustments for specific factors and current economic conditions as needed at each reporting date. As of December 31, 2023 the company had $41,088 Account Receivable, and December 31, 2022, the Company had $0 Account Receivable. Therefore, allowances for expected credit losses were $0 as of December 31, 2023 and December 31, 2022. |
Inventories | Inventories Inventories are recorded at the lower of weighted-average cost or net realizable value. The Company assesses the impact of changing technology on its inventory on hand and writes off inventories that are considered obsolete. |
Property and Equipment | Property and Equipment Property and equipment are stated at cost less accumulated depreciation. When value impairment is determined, the related assets are stated at the lower of fair value or book value. Significant additions, renewals and betterments are capitalized. Maintenance and repairs are expensed as incurred. Depreciation is computed by using the straight-line and double declining methods over the following estimated service lives: ground station equipment – 5 years, computer equipment - 3 to 5 years, furniture and fixtures - 5 years, satellite equipment – 5 years, vehicles – 5 to 6 years and lease improvement – 5 years or remaining lease term, whichever is shorter. Upon sale or disposal of property and equipment, the related cost and accumulated depreciation are removed from the corresponding accounts, with any gain or loss credited or charged to income in the period of sale or disposal. The Company reviews the carrying amount of property and equipment for impairment when events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. It determined that there was no impairment loss for the years ended December 31, 2023 and 2022. |
Right-of-Use Asset and Lease Liability | Right-of-Use Asset and Lease Liability In February 2016, the FASB issued ASU No. 2016-02, “Leases” (Topic 842) (“ASU 2016-02”), which modifies lease accounting for both lessees and lessors to increase transparency and comparability by recognizing lease assets and lease liabilities by lessees for those leases classified as operating leases and finance leases under previous accounting standards and disclosing key information about leasing arrangements. A lessee should recognize the lease liability to make lease payments and the right-of-use asset representing its right to use the underlying asset for the lease term. For operating leases and finance leases, a right-of-use asset and a lease liability are initially measured at the present value of the lease payments by discount rates. The Company’s lease discount rates are generally based on its incremental borrowing rate, as the discount rates implicit in the Company’s leases is readily determinable. Operating leases are included in operating lease right-of-use assets and lease liabilities in the consolidated balance sheets. Finance leases are included in property and equipment and lease liability in our consolidated balance sheets. Lease expense for operating expense payments is recognized on a straight-line basis over the lease term. Interest and amortization expenses are recognized for finance leases on a straight-line basis over the lease term. For the leases with a term of twelve months or less, a lessee is permitted to make an accounting policy election by class of underlying asset not to recognize lease assets and lease liabilities. If a lessee makes this election, it should recognize lease expense for such leases generally on a straight-line basis over the lease term. |
Goodwill and Purchased Intangible Assets | Goodwill and Purchased Intangible Assets The Company’s goodwill represents the amount by which the total purchase price paid exceeded the estimated fair value of net assets acquired from acquisition of subsidiaries. The Company tests goodwill for impairment on an annual basis, or more often if events or circumstances indicate that there may be impairment. As Aerkomm is currently still in the development stage and will not start generating revenue until after late 2024. The management has evaluated that the potential benefits of the acquisitions before year 2023 is limited and uncertain, due to this reason, the management has decided to impair goodwill that generated from 2022 and prior periods with total of $4,561,037. After the impair measurement, the net goodwill is $4,573,819. Purchased intangible assets with finite life are amortized on the straight-line basis over the estimated useful lives of respective assets. Purchased intangible assets with indefinite life are evaluated for impairment when events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. Purchased intangible asset consists of satellite system software and is amortized over 10 years. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The Company utilizes the three-level valuation hierarchy for the recognition and disclosure of fair value measurements. The categorization of assets and liabilities within this hierarchy is based upon the lowest level of input that is significant to the measurement of fair value. The three levels of the hierarchy consist of the following: Level 1 - Inputs to the valuation methodology are unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Level 2 - Inputs to the valuation methodology are quoted prices for similar assets and liabilities in active markets, quoted prices in markets that are not active or inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the instrument. Level 3 - Inputs to the valuation methodology are unobservable inputs based upon management’s best estimate of inputs market participants could use in pricing the asset or liability at the measurement date, including assumptions. The carrying amounts of our cash and restricted cash, accounts receivable, other receivable, prepaid expenses, accounts payable, short-term loan, accrued expense, accrued unpaid salaries, prepayment from customer, and other payable approximated their fair value due to the short-term nature of these financial instruments. The Company’s short-term investment is classified within Level 1 of the fair value hierarchy on December 31, 2023. The Company’s long-term bonds payable, long-term note payable and lease payable approximated the carrying amount as its interest rate is considered as approximate to the current rate for comparable loans and leases, respectively. Our long-term investment approximated its carrying amount based upon management’s best estimate due to its restricted nature. There were no outstanding derivative financial instruments as of December 31, 2023 and 2022. |
Revenue Recognition | Revenue Recognition The Company recognizes revenue when performance obligations identified under the terms of contracts with its customers are satisfied, which generally occurs upon the transfer of control in accordance with the contractual terms and conditions of the sale. The Company’s revenue for the year ended December 31, 2021 composed of the sales of ground antenna units to a related party and sales of network hardware to a non-related party. The majority of the Company’s revenue is recognized at a point in time when product is shipped, or service is provided to the customer. Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring goods, which includes estimates for variable consideration. The Company adopted the provisions of ASU 2014-09 Revenue from Contracts with Customers (Topic 606) and the principal versus agent guidance within the new revenue standard. As such, the Company identifies a contract with a customer, identifies the performance obligations in the contract, determines the transaction price, allocates the transaction price to each performance obligation in the contract and recognizes revenue when (or as) the Company satisfies a performance obligation. Customers may make payments to the Company either in advance or in arrears. If payment is made in advance, the Company will recognize a contract liability under prepayments from customers until which point the Company has satisfied the requisite performance obligations to recognize revenue. |
Stock-based Compensation | Stock-based Compensation The Company adopted the modified prospective method to measure stock-based compensation expense. Under the modified prospective method, stock-based compensation expense recognized during the period is based on the portion of the share-based payment awards granted after the effective date and ultimately expected to vest during the period. Stock-based compensation expense recognized in the Company’s statement of income is based on the vesting terms and the estimated fair value of the award at grant date. As stock-based compensation expense recognized in the statement of income is based on awards ultimately expected to vest, it is reduced for estimated forfeiture. Forfeitures are estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. The Company uses the Black-Scholes option pricing model in its determination of fair value of share-based payment awards on the date of grant. Such option pricing model is affected by assumptions based on a number of highly complex and subjective variables. |
Income Taxes | Income Taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are computed for differences between the financial statement and tax bases of assets and liabilities that will result in taxable or deductible amounts in the future based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. Income tax expense is the tax payable or refundable for the period plus or minus the change during the period in deferred tax assets and liabilities. Adjustments to prior period’s income tax liabilities are added to or deducted from the current period’s tax provision. The Company follows FASB guidance on uncertain tax positions and has analyzed its filing positions in all the federal, state and foreign jurisdictions where it is required to file income tax returns, as well as all open tax years in those jurisdictions. The Company files income tax returns in the US federal, state and foreign jurisdictions where it conducts business. It is not subject to income tax examinations by US federal, state and local tax authorities for years before 2018. The Company believes that its income tax filing positions and deductions will be sustained on audit and does not anticipate any adjustments that will result in a material adverse effect on its consolidated financial position, results of operations, or cash flows. Therefore, no reserves for uncertain tax positions have been recorded. The Company does not expect its unrecognized tax benefits to change significantly over the next twelve months. The Company’s policy for recording interest and penalties associated with any uncertain tax positions is to record such items as a component of income before taxes. Penalties and interest paid or received, if any, are recorded as part of other operating expenses in the consolidated statement of operations. |
Foreign Currency Transactions | Foreign Currency Transactions Foreign currency transactions are recorded in U.S. dollars at the exchange rates in effect when the transactions occur. Exchange gains or losses derived from foreign currency transactions or monetary assets and liabilities denominated in foreign currencies are recognized in current income. At the end of each period, assets and liabilities denominated in foreign currencies are revalued at the prevailing exchange rates with the resulting gains or losses recognized in income for the period. |
Translation Adjustments | Translation Adjustments If a foreign subsidiary’s functional currency is the local currency, translation adjustments will result from the process of translating the subsidiary’s financial statements into the reporting currency of the Company. Such adjustments are accumulated and reported under other comprehensive loss as a separate component of stockholders’ equity. |
Earnings (Loss) Per Share | Earnings (Loss) Per Share Basic earnings (loss) per share is computed by dividing income available to common shareholders by the weighted average number of shares of common stock outstanding during the period. Diluted earnings per share is computed by dividing income available to common shareholders by the weighted-average number of shares of common outstanding during the period increased to include the number of additional shares of common stock that would have been outstanding if the potentially dilutive securities had been issued. Potentially dilutive securities include stock warrants and outstanding stock options, shares to be purchased by employees under the Company’s employee stock purchase plan. The Company had 6,482,150 and 1,993,117 common stock equivalents, primarily stock options and warrants, for the year ended December 31, 2023 and 2022, respectively. For the fiscal years ended December 31, 2023 and 2022, the assumed exercise of the Company’s common stock equivalents were not included in the calculation as the effect would be anti-dilutive. |
Short-Term Investment (Tables)
Short-Term Investment (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Short-Term Investment [Abstract] | |
Schedule of Fair Value of the Investment | As of December 31, 2023 and 2022, the fair value of the investment was as follows: December 31, December 31, Investment – Ejectt – short-term $ 2,647,975 $ 850,182 Investment - Liquidity 13,831 20,104 Prepaid investment 1,143,044 1,138,952 Total Investment 3,804,850 2,009,238 Appreciation in market value - Ejectt (2,018,757 ) (223,216 ) Investment cost – Ejectt – short-term 629,218 626,966 Investment cost - Liquidity 13,831 20,104 Prepaid investment 1,143,044 1,138,952 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Inventories [Abstract] | |
Schedule of Inventories | As of December 31, 2023 and 2022, inventories consisted of the following: 2023 2022 Satellite equipment for sale under construction $ 170,892 $ 1,366,282 |
Prepaid Expenses and Prepayme_2
Prepaid Expenses and Prepayments for Equipment and Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Prepaid Expenses and Prepayments for Equipment and Intangible Assets [Abstract] | |
Schedule of Prepaid Expenses | As of December 31, 2023 and 2022, prepaid expenses consisted of the following: 2023 2022 Prepaid professional expense $ 110,043 $ 79,954 Others 48,128 410,090 Total $ 158,171 $ 490,044 Prepayment for equipment and intangible assets – related party 2,076,138 - Prepayment for equipment and intangible assets - others 8,326,017 7,536,409 Total $ 10,402,155 $ 7,536,409 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Property and Equipment, Net [Abstract] | |
Schedule of Changes in Cost of Property and Equipment | For the years ended December 31, 2023 and 2022, the changes in cost of property and equipment were as follows: Computer Furniture Satellite Ground Vehicle Leasehold Total December 31, 2022 1,419,697 $ 36,382 $ 275,410 $ 1,854,027 $ 342,646 $ 83,721 $ 4,011,883 Addition 1,427,792 2,253 - - - - 1,430,045 Disposal - - - - - - - CTA (370 ) 2 - - (5,009 ) 106 (5,271 ) December 31, 2023 $ 2,847,119 $ 38,637 $ 275,410 $ 1,854,027 $ 337,637 $ 83,827 $ 5,436,657 For the years ended December 31, 2023 and 2022, the changes in accumulated depreciation for property and equipment were as follows: Computer Furniture Satellite Ground Vehicle Leasehold Total December 31, 2022 $ 350,491 $ 31,990 $ 275,410 $ 1,575,923 $ 177,241 $ 75,781 $ 2,486,836 Addition 256,382 4,537 - 278,104 55,357 8,058 602,438 Disposal - - - - - - - CTA (328 ) (10 ) - - (3,136 ) (11 ) (3,485 ) December 31, 2023 $ 606,545 $ 36,517 $ 275,410 $ 1,854,027 $ 229,462 $ 83,828 $ 3,085,789 |
Long-Term Investment (Tables)
Long-Term Investment (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Long-Term Investment [Abstract] | |
Schedule of Fair Value of the Long-Term Investment | As of December 31, 2023 and 2022, the fair value of the long-term investment was as follows: December 31, December 31, Investment cost – Ejectt – long-term $ 4,261,920 $ 4,246,665 Investment cost – AnaNaviTek - 325,578 Net $ 4,261,920 $ 4,572,243 |
Intangible Asset, Net (Tables)
Intangible Asset, Net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Intangible Asset, Net [Abstract] | |
Schedule of Accumulated Amortization for Intangible Asset | For the years ended December 31, 2023 and 2022, the changes in cost and accumulated amortization for intangible asset were as follows: Satellite Accumulated Net January 1, 2022 $ 4,950,000 (3,052,500 ) 1,897,500 Addition - (495,000 ) (495,000 ) December 31, 2022 4,950,000 (3,547,500 ) 1,402,500 Addition 12,456,469 (834,277 ) 11,622,192 December 31, 2023 $ 17,406,469 $ (4,381,777 ) $ 13,024,692 |
Schedule of the Estimated Aggregate Amortization Expense for Each of the Five Succeeding Years | The estimated aggregate amortization expense for each of the five succeeding years is as follows: Year ending December 31, 2024 $ 1,740,647 2025 1,658,147 2026 1,245,647 2027 1,245,647 2028 1,245,647 |
Goodwill (Tables)
Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill [Abstract] | |
Schedule of Goodwill | As of December 31, 2023 and December 31, 2022, the goodwill were as follows Gross Accumulated Net January 1, 2022 $ 1,475,334 $ - $ 1,475,334 Addition 3,085,703 - 3,085,703 December 31, 2022 4,561,037 - 4,561,037 Addition 4,573,819 (4,561,037 ) 12,782 December 31, 2023 $ 9,134,856 $ (4,561,037 ) $ 4,573,819 |
Schedule of Goodwill for Mixnet and its subsidiary's Acquisition | Goodwill as a result of the acquisition of Mixnet and its subsidiary is calculated as follows; Total purchase considerations $ 16,500,000 Fair Value of tangible assets acquired: Cash 66,278 Other receivable 3,513 Prepaid expenses and other current assets 2,872 Intangible assets 12,102,000 Total identifiable assets acquired 12,174,663 Fair value of liabilities assumed: Loan payable – current (50,403 ) Prepayment from customer (94,634 ) Other payable (24,203 ) Loan from stockholder – non-current (79,242 ) Total liabilities assumed (248,482 ) Net identifiable liabilities assumed 11,926,181 Goodwill as a result of the acquisition $ 4,573,819 |
Operating and Finance Leases (T
Operating and Finance Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Operating and Finance Leases [Abstract] | |
Schedule of Weighted-Average Remaining Lease Term and Discount Rate Related to the Leases | The weighted-average remaining lease term (in years) and discount rate related to the leases were as follows: 2023 2022 Weighted-average remaining lease term Operating lease 1.97 Years 1.50 Years Finance lease 0.85 Years 1.85 Year Weighted-average discount rate Operating lease 6.00 % 6.00 % Finance lease 3.82 % 3.82 % |
Schedule of Operating Leases | 2023 2022 Right-of-use assets $ 221,417 $ 92,451 Lease liability – current $ 155,763 $ 120,323 Lease liability – non-current $ 120,932 $ 22,547 |
Schedule of Finance Leases | 2023 2022 Property and equipment, at cost $ 56,770 $ 56,770 Accumulated depreciation (47,968 ) (36,925 ) Property and equipment, net $ 8,802 $ 19,845 Lease liability – current $ 12,669 $ 10,858 Lease liability – non-current - 12,624 Total finance lease liabilities $ 12,669 $ 23,482 |
Schedule of Finance Leases Current and Non-Current Liability | 2023 2022 Current lease liability – operating leases $ 155,764 $ 120,323 Current lease liability – finance leases 12,669 10,858 Total current lease liability 168,433 131,181 Current lease liability – related parties - - Current lease liability - others $ 168,433 $ 131,181 Non-current lease liability – operating leases $ 120,932 $ 22,548 Non-current lease liability – finance leases - 12,624 Total non-current lease liability 120,932 35,172 Non-current lease liability – related parties - - Non-current lease liability – others $ 120,932 $ 35,172 |
Schedule of Incomes and Expenses within Operating Leases | 2023 2022 Lease expense $ 130,250 $ 152,922 Sublease rental income (8,546 ) (81,177 ) Net lease expense $ 121,704 $ 71,744 |
Schedule of Incomes and Expenses within Finance Leases | 2023 2022 Amortization of property and equipment $ 10,903 $ 11,396 Interest on lease liabilities 699 1,150 Total finance lease cost $ 11,602 $ 12,545 |
Schedule of Supplemental Cash Flow Information Related to Leases | Supplemental cash flow information related to leases for the years ended December 31, 2023 and 2022 is as follows: 2023 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflows from operating leases $ 93,841 $ 125,501 Operating cash outflows from finance lease $ 10,713 $ 10,777 Financing cash outflows from finance lease $ 699 $ 1,150 Leased assets obtained in exchange for lease liabilities: Operating leases $ - $ 74,795 Finance lease $ - $ - |
Schedule of Maturity of Operating Leases | Related Others Total January 1, 2024 – December 31, 2024 $ - $ 110,735 $ 110,735 January 1, 2025 – December 31, 2025 - 89,256 89,256 January 1, 2026 – December 31, 2026 - 37,190 37,190 Total lease payments - 237,181 237,181 Less: Imputed interest - (15,763 ) (15,763 ) Present value of lease liabilities - 221,418 221,418 Current portion - (100,486 ) (100,486 ) Non-current portion $ - $ 120,932 $ 120,932 |
Schedule of Maturity of Finance Leases | January 1, 2024 – December 31, 2024 $ 12,939 January 1, 2025 – December 31, 2025 - Total lease payments 12,939 Less: Imputed interest (269 ) Present value of lease liabilities 12,669 Current portion (12,669 ) Non-current portion $ - |
Long-Term Loan (Tables)
Long-Term Loan (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Long-Term Loan [Abstract] | |
Schedule of Future Installment Payments | Future installment payments as of December 31, 2023 are as follows: Year ending December 31, 2024 $ 5,168 2025 - Total installment payments 5,168 Less: Imputed interest (123 ) Present value of long-term loan 5,045 Current portion (5,045 ) Non-current portion $ - |
Convertible Long-Term Bonds P_2
Convertible Long-Term Bonds Payable and Restricted Cash (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Convertible Long-Term Bonds Payable and Restricted Cash [Abstract] | |
Schedule of Long-Term Bonds Payable | As of December 31, 2023 and 2022, the long-term bonds payable consisted of the following: December 31, December 31, Credit Enhanced Zero Coupon Convertible Bonds 10,000,000 10,000,000 Coupon Bonds 200,000 200,000 10,200,000 10,200,000 Unamortized loan fee (551,845 ) (1,062,994 ) Net $ 9,648,155 $ 9,137,006 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Taxes [Abstract] | |
Schedule of Income Tax Expense | Income tax expense for the years ended December 31, 2023 and 2022 consisted of the following: 2023 2022 Current: Federal $ - $ - State 2,400 1,600 Foreign - 1,368 Total $ 2,400 $ 2,968 |
Schedule of Reconciliation of the Company's Income Tax at Statutory Tax Rate and Income Tax at Effective Tax Rate | The following table presents a reconciliation of the Company’s income tax at statutory tax rate and income tax at effective tax rate for the years ended December 31, 2023 and 2022. 2023 2022 Tax benefit at statutory rate $ (2,850,860 ) $ (2,941,489 ) Valuation allowance on net operating loss carryforwards 2,776,874 1,650,091 Stock-based compensation expense 303,300 256,000 Accrued payroll 316,500 (103,600 ) Foreign investment losses (428,590 ) 737,056 Amortization and depreciation expense 155,100 79,700 Unrealized exchange gain (loss) (269,224 ) 361,142 Others (700 ) (35,932 ) Tax expense at effective tax rate $ 2,400 $ 2,968 |
Schedule of Deferred Tax Assets (Liability) | Deferred tax assets (liabilities) as of December 31, 2023 and 2022 consist approximately of: 2023 2022 Net operating loss carryforwards (NOLs) $ 14,831,000 $ 10,694,000 Stock-based compensation expense 3,502,000 3,098,000 Accrued expenses and unpaid expense payable 889,000 412,000 Tax credit carryforwards 68,000 68,000 Excess of tax amortization over book amortization (285,000 ) (344,000 ) Unrealized/realized exchange gain 20,000 311,000 Others 27,000 (97,000 ) 19,052,000 14,142,000 Valuation allowance (19,052,000 ) (14,142,000 ) Net $ - $ - |
Capital Stock (Tables)
Capital Stock (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Capital Stock [Abstract] | |
Schedule of Shares of Restricked Stock | As of December 31, 2023 and 2022, the restricted shares consisted of the following: December 31, December 31, Restricted stock - vested 1,802,373 1,802,373 Restricted stock - unvested 149,162 149,162 Total restricted stock 1,951,535 1,951,535 |
Major Vendors (Tables)
Major Vendors (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Major Vendors [Abstract] | |
Schedule of Purchase from and Accounts Payable to Vendors | The Company has two unrelated major vendors, each of which represents 10% or more of the total purchases of the Company for 2023 and 2022. Purchase from and accounts payable to these vendors for the years ended and as of December 31, 2023 and 2022 were as follows: Purchase Accounts Payable Vendor 2023 2022 2023 2022 A $ - $ - $ 1,564,627 $ 1,564,627 B 337,324 - 335,691 - Total $ 337,324 $ - $ 1,900,317 $ 1,564,627 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Related Party Transactions [Abstract] | |
Schedule of Related Parties and Relationships | Name of related parties and relationships with the Company: Related Party Relationship Well Thrive Limited (“WTL”) Major stockholder Ejectt Inc. (“Ejectt”) Stockholder; Albert Hsu, a Director of Aerkomm, is the Chairman STAR JEC INC. (“StarJec”) Stockholder; Albert Hsu, a Director of Aerkomm, is the Chairman AA Twin Associates Ltd. (“AATWIN”) Georges Caldironi, COO of Aerkomm, is sole owner EESquare Japan (“EESquare JP”) Yih Lieh (Giretsu) Shih, President Aircom Japan, is the Director Kevin Wong Stockholder of Mixnet |
Schedule of Significant Related Party Transactions | As of December 31 2023 2022 Other receivable from: EESquare JP 1 $ 173,858 $ 11,380 StarJec 2 - 282,073 Ejectt 3 15,983 - WTL 4 956,835 - Others 7 21,073 15,092 Total $ 1,167,749 $ 308,545 Rent deposit to Ejectt 3 $ - $ 1,367 Prepaid expenses to Ejectt 3 $ 2,076,138 $ - Short-term loan from WTL 4 $ - $ 337,357 Prepayment from Ejectt 3 $ 6,534,908 $ 1,258,786 Other payable to: AATWIN 5 $ 19,047 $ 35,047 Interest payable to WTL 4 59,021 58,810 StarJec 2 111,702 - Kevin Wong 6 75,327 - Others 7 461,704 246,610 Total $ 726,802 $ 340,467 1. Aircom Japan entered into a sublease agreement with EESquare JP for the period between March 5, 2019 and March 4, 2023 and extended another 2 years to March 4, 2025. Pursuant to the terms of this lease agreement, EESquare JP pays Aircom Japan a rental fee of approximately $710 per month as of December 31, 2023. This amount represents outstanding balance receivable from EESquare JP as of December 31, 2023. 2. Aircom Japan entered into a housing service order on December 14, 2021 and a satellite service order on January 22, 2022 for one year period till January 21, 2023. On June 20, 2022, Aircom Japan also entered a teleport service order with StarJec for a half year period from June 1, 2022 to January 14, 2023. The amount represents receivable from StarJec for monthly service provided due to the service agreements. The monthly service charges is approximately ¥6,820,000 (approximately $51,800 as of December 31,2022). Other payable represents deposits should be returned to Ejectt after service contracts ended as of December 31, 2023. 3. Represents prepayment paid by Ejectt to order [6] sets of antennas from Aircom Telecom with prepayment of $1,243,247. As of June 17, 2023, Aerkomm Taiwan entered into MOU with Ejectt to appoints Ejectt as its exclusive represent agency in Taiwan with NTD 20,000,000 security deposit (approximately $653,168 as of December 31, 2023). In 4 th 4. The Company has loans from WTL due to operational needs under the Loans (Note 1). As of December 31, 2023, the Company has interest payable balance of $59,021 (approximately NTD 1,807,000) for past Loan. The Company borrowed $956,835 as of December 31, 2023. 5. Represents payable to AATWIN due to consulting agreement on January 1, 2019. The monthly consulting fee is €15,120 (approximately $17,000) and was expired on December 31, 2021. 6. Represents long-term loan that Mixnet borrowed from its stockholder for business operating needs for $75,327 (approximately NTD 2,306,000) as of December 31, 2023. 7. Represents receivable/payable from/to management levels as a result of regular operating activities. |
Schedule of Related Party Transactions | For the years ended December 31, 2023 and 2022: Year Ended December 31, 2023 2022 Purchase from Ejectt 1 $ 457,976 $ - Connection Service income from Ejectt 2 $ 117,419 $ - Other Income from Ejectt 3 $ 45,543 $ - Other Income from WTL 6 $ 10,682 $ - Non-operating service Income from StarJec 4 $ 2,757 $ 5,904 Rental income charged from EESquare JP 5 $ 8,546 $ 9,119 Rent expense from Ejectt 3 $ 2,858 $ - Interest expense charged by WTL 6 $ - $ 9,818 1. Represents 2 sets of antennas sold to Ejectt on January 30, 2023 and service income and handling fee charged to Ejectt for consultant service provided in 2023 per the exclusive agent agreement signed as of June 17, 2023. 2. Connection service income represent service income received from connection service provided according to the exclusive agent agreement in 2023. 3. Represents other handling fees and consultant fees charged to Ejectt and rent expenses paid to Ejectt in 2023. 4. Represents service income charged to StarJec for handling three service contracts by Aircom Japan for the period in 2023 and the contracts expired in June 2023. 5. Aircom Japan entered into a sublease agreement with EESquare JP for the period between March 5, 2019 and March 4, 2023 and it has been renewed to March 4, 2025. Pursuant to the terms of this lease agreement, EESquare JP pays Aircom Japan a rental fee of approximately $710 (JPY 100,000) per month in 2023. 6. The Company has loans from WTL due to operational needs under the Loans (Note 1). The Company has NT$ 293,000 (approximately $9,800) and NT$1,350,612 (approximately $48,346) of interest expenses, respectively, charged for year 2022 and 2021. Aerkomm Japan has other income of $10,865, other product sale to WTL, in August 2023 in associated with selling antenna. |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Stock Based Compensation [Line Items] | |
Schedule of Assumptions to Estimate the Fair Value of Options Granted | The Company used the following assumptions to estimate the fair value of options granted in 2023 and 2022 under the Plans as follows: Assumptions Expected term 5-10 years Expected volatility 45.79% - 72.81% Expected dividends 0% Risk-free interest rate 0.69% - 2.99% Forfeiture rate 0% - 5% |
Aircom 2014 Plan [Member] | |
Stock Based Compensation [Line Items] | |
Schedule of Activities Related to Options Outstanding | Activities related to options outstanding for the years ended December 31, 2023 and 2022 were as follows: Number of Weighted Weighted Options outstanding at January 1, 2022 111,871 $ 3.3521 $ 1.0539 Granted - - - Exercised - - - Forfeited/Cancelled - - - Options outstanding at December 31, 2022 111,871 3.3521 1.0539 Granted - - - Exercised - - - Forfeited/Cancelled 37,291 3.3521 1.0539 Options outstanding at December 31, 2023 74,580 3.3521 1.0539 |
Schedule of Stock Options Outstanding and Exercisable | Information related to stock options outstanding and exercisable at December 31, 2023, is as follows: Options Outstanding Options Exercisable Range of Shares Weighted Weighted Shares Weighted Weighted $ 3.3521 74,580 2.50 3.3521 74,580 2.50 3.3521 |
Aerkomm 2017 Plan [Member] | |
Stock Based Compensation [Line Items] | |
Schedule of Activities Related to Options Outstanding | Activities related to options outstanding for the years ended December 31, 2023 and 2022 were as follows: Number of Weighted Weighted Options outstanding at January 1, 2022 1,207,897 11.2537 7.5309 Granted 162,000 8.1566 6.3320 Exercised - - - Forfeited/Cancelled (90,209 ) 11.9003 8.3775 Options outstanding at December 31, 2022 1,279,688 10.8161 7.3194 Granted 805,103 2.5605 1.9779 Exercised - - - Forfeited/Cancelled - - - Options outstanding at December 31, 2023 2,084,791 7.6279 5.2566 |
Schedule of Stock Options Outstanding and Exercisable | Information related to stock options outstanding and exercisable at December 31, 2023, is as follows: Options Outstanding Options Exercisable Range of Shares Weighted Weighted Shares Weighted Weighted $ 2.55 – 4.30 1,310,353 8.27 $ 3.0799 638,676 7.14 $ 3.6373 $ 6.00 – 10.00 419,288 7.36 8.3356 419,288 7.36 8.3356 $ 11.00 – 14.20 126,150 6.25 11.4688 126,150 6.25 11.4688 $ 20.50 – 27.50 109,000 3.78 25.4982 109,000 3.78 25.4982 $ 30.00 – 35.00 120,000 3.56 34.5479 120,000 3.56 34.5479 2,084,791 7.6279 1,413,114 10.0416 |
Schedule of Activities Related to Unvested Stock Awards | Activities related to nonvested options under the 2017 incentive compensation plan for the years ended December 31, 2023 and 2022 were as follows: Number of Weighted Options unvested at January 1, 2022 40,194 8.9422 Granted 162,000 6.3320 Vested (183,194 ) 6.7206 Forfeited/Cancelled (8,000 ) 14.4305 Options unvested at December 31, 2022 11,000 3.5070 Granted 805,103 1.9779 Vested (144,426 ) 2.1351 Forfeited/Cancelled - - Options unvested at December 31, 2023 671,677 1.9691 |
Aerkomm 2023 Plan [Member] | |
Stock Based Compensation [Line Items] | |
Schedule of Activities Related to Options Outstanding | Activities related to options outstanding under Aerkomm 2023 Plan for the year ended December 31, 2023 is as follows: Number of Weighted Weighted Options outstanding at December 31, 2022 - - - Granted 3,683,929 2.5914 2.0098 Exercised - - - Forfeited/Cancelled - - - Options outstanding at December 31, 2023 3,683,929 2.5914 2.0098 |
Schedule of Stock Options Outstanding and Exercisable | Information related to stock options outstanding and exercisable at December 31, 2023, is as follows: Options Outstanding Options Exercisable Range of Exercise Prices Shares Weighted Weighted Shares Weighted Weighted $ 2.58-2.89 3,683,929 9.46 2.5783 509,710 9.48 2.6003 |
Schedule of Activities Related to Unvested Stock Awards | Activities related to unvested stock awards under Aerkomm 2023 Plan for the twelve months period ended December 31, 2023 is as follows: Number of Weighted Options unvested at December 31, 2022 - - Granted 3,683,929 2.0098 Vested (509,710 ) 2.0167 Forfeited/Cancelled - - Options unvested at December 31, 2023 3,174,219 2.0087 |
Organization (Details)
Organization (Details) | 12 Months Ended | |||||||
Dec. 29, 2022 TWD ($) shares | Apr. 25, 2022 USD ($) | Feb. 13, 2017 | Dec. 28, 2016 | Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Nov. 06, 2020 | |
Organization [Line Items] | ||||||||
Issued and outstanding common stock percentage | 99.70% | 86.30% | ||||||
Majority interest of shares (in Shares) | shares | 25,500,000 | |||||||
Taiwan buyer | $ 255,000,000 | $ 9,023,354 | ||||||
Working capital (in Dollars) | $ 4,900,000 | |||||||
Bridge loan (in Dollars) | $ 10,000,000 | |||||||
Aggregate principal amount (in Dollars) | $ 20,000,000 | |||||||
Principal Loan percentage | 25% | |||||||
Private Placement [Member] | ||||||||
Organization [Line Items] | ||||||||
Available amount (in Dollars) | $ 20,000,000 | |||||||
Minimum [Member] | ||||||||
Organization [Line Items] | ||||||||
Commitment percentage | 25% | |||||||
Loans committed by the lenders (in Dollars) | $ 20,000,000 | |||||||
Maximum [Member] | ||||||||
Organization [Line Items] | ||||||||
Commitment percentage | 100% | |||||||
Loans committed by the lenders (in Dollars) | $ 35,000,000 | |||||||
Aerkomm [Member] | ||||||||
Organization [Line Items] | ||||||||
Issued and outstanding common stock percentage | 100% | |||||||
Aircom [Member] | ||||||||
Organization [Line Items] | ||||||||
Issued and outstanding common stock percentage | 99.70% | |||||||
Aerkomm Taiwan [Member] | ||||||||
Organization [Line Items] | ||||||||
Ownership percentage | 100% |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Summary of Significant Accounting Policies [Line Items] | |||
Exceeding insured amount by the FDIC | $ 0 | $ 6,153,000 | |
Account receivable | 41,088 | 0 | |
Allowances for expected credit losses | 0 | 0 | |
Goodwill | $ 4,573,819 | $ 4,561,037 | $ 1,475,334 |
Common stock equivalents (in Shares) | 6,482,150 | 1,993,117 | |
Goodwill [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Goodwill | $ 4,573,819 | $ 4,561,037 | |
Concentrations of Credit Risk [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Balance of cash deposited in foreign financial institutions exceeding the amount insured by local insurance | $ 7,246,000 | $ 3,134,000 | |
Ground Station Equipment [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Property and equipment, useful life | 5 years | ||
Computer Equipment [Member] | Minimum [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Property and equipment, useful life | 3 years | ||
Computer Equipment [Member] | Maximum [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Property and equipment, useful life | 5 years | ||
Furniture and Fixtures [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Property and equipment, useful life | 5 years | ||
Satellite Equipment [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Property and equipment, useful life | 5 years | ||
Vehicles [Member] | Minimum [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Property and equipment, useful life | 5 years | ||
Vehicles [Member] | Maximum [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Property and equipment, useful life | 6 years | ||
Lease Improvement [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Property and equipment, useful life | 5 years | ||
Goodwill and Purchased Intangible Assets [Member] | |||
Summary of Significant Accounting Policies [Line Items] | |||
Purchased intangible asset | 10 years |
Short-Term Investment (Details)
Short-Term Investment (Details) | 12 Months Ended | ||||||||||
Mar. 24, 2021 USD ($) shares | Dec. 31, 2020 USD ($) | Dec. 03, 2020 TWD ($) shares | Dec. 31, 2023 USD ($) shares | Dec. 31, 2021 shares | Dec. 31, 2022 | Sep. 30, 2022 USD ($) | Sep. 30, 2022 TWD ($) | Dec. 31, 2020 EUR (€) | Sep. 09, 2019 USD ($) | Sep. 09, 2019 EUR (€) | |
Short-term Investment [Line Items] | |||||||||||
Contributed amount | $ 225,500 | € 200,000 | |||||||||
Annual compensation (in Euro) | € | € 20,000 | ||||||||||
Fair value amount | $ 13,831 | ||||||||||
Short-term investment with accumulated unrealized loss | $ 6,166 | ||||||||||
Restricted common shares (in Shares) | shares | 6,000,000 | ||||||||||
Total amount of related party | $ 5,027,600 | ||||||||||
Total amount | $ 1,138,952 | $ 35,000,000 | |||||||||
Common Stock [Member] | |||||||||||
Short-term Investment [Line Items] | |||||||||||
Purchased of common stock shares (in Shares) | shares | 5,361 | ||||||||||
Ejectt [Member] | |||||||||||
Short-term Investment [Line Items] | |||||||||||
Purchased additional shares (in Shares) | shares | 2,000 | ||||||||||
Ownership percentage | 8% | 8% | |||||||||
Ejectt [Member] | Common Stock [Member] | |||||||||||
Short-term Investment [Line Items] | |||||||||||
Restricted common shares (in Shares) | shares | 5,000,000 | ||||||||||
Related Party [Member] | |||||||||||
Short-term Investment [Line Items] | |||||||||||
Total amount of related party | $ 141,175,000 | ||||||||||
Common stock total amount of related party | $ 1,392 |
Short-Term Investment (Detail_2
Short-Term Investment (Details) - Schedule of Fair Value of the Investment - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Schedule of Fair Value of the Investment [Abstract] | ||
Investment – Ejectt – short-term | $ 2,647,975 | $ 850,182 |
Investment - Liquidity | 13,831 | 20,104 |
Prepaid investment | 1,143,044 | 1,138,952 |
Total Investment | 3,804,850 | 2,009,238 |
Appreciation in market value - Ejectt | (2,018,757) | (223,216) |
Investment cost – Ejectt – short-term | 629,218 | 626,966 |
Investment cost - Liquidity | 13,831 | 20,104 |
Prepaid investment | $ 1,143,044 | $ 1,138,952 |
Inventories (Details) - Schedul
Inventories (Details) - Schedule of Inventories - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Schedule of Inventories [Abstract] | ||
Satellite equipment for sale under construction | $ 170,892 | $ 1,366,282 |
Prepaid Expenses and Prepayme_3
Prepaid Expenses and Prepayments for Equipment and Intangible Assets (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Prepaid Expenses and Prepayments for Equipment and Intangible Assets [Abstract] | ||
Prepaid expenses | $ 158,171 | $ 490,044 |
Prepayment for equipment and intangible assets – related party | 2,076,138 | |
Prepayment for equipment and intangible assets – others | $ 8,326,017 | $ 7,536,409 |
Prepaid Expenses and Prepayme_4
Prepaid Expenses and Prepayments for Equipment and Intangible Assets (Details) - Schedule of Prepaid Expenses - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Schedule of Prepaid Expenses [Abstract] | ||
Prepaid professional expense | $ 110,043 | $ 79,954 |
Others | 48,128 | 410,090 |
Total | 158,171 | 490,044 |
Prepayment for equipment and intangible assets – related party | 2,076,138 | |
Prepayment for equipment and intangible assets - others | 8,326,017 | 7,536,409 |
Total | $ 10,402,155 | $ 7,536,409 |
Property and Equipment, Net (De
Property and Equipment, Net (Details) | 12 Months Ended | ||
Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2023 TWD ($) | |
Property and Equipment [Line Items] | |||
Property and equipment cost | $ 5,436,657 | $ 4,011,883 | |
Prepayment for equipment | 324,866 | 458,998 | |
Depreciation expense | 601,618 | 563,399 | |
Prepayments paid | 158,171 | $ 490,044 | |
Aerkomm’s Future Project [Member] | |||
Property and Equipment [Line Items] | |||
Prepayments paid | $ 4,237,427 | $ 129,750,000 | |
Land Purchase Contract [Member] | Tsai Ming-Yin [Member] | |||
Property and Equipment [Line Items] | |||
Acquisition, description | On July 10, 2018, the Company and Aerkomm Taiwan entered into a real estate sale contract (the “Land Purchase Contract”) with Tsai Ming-Yin (the “Seller”) with respect to the acquisition by Aerkomm Taiwan of a parcel of land located in Taiwan. The land is expected to be used to build a satellite ground station and data center. Pursuant to the terms of the Land Purchase Contract, and subsequent amendments on July 30, 2018, September 4, 2018, November 2, 2018 and January 3, 2019, the Company paid to the seller in installments refundable prepayments of NT$1,098,549,407 (approximately $35,876,858 as of December 31, 2023 and $35,748,435 as of December 31, 2022) in total. The estimated commission payable for the land purchase in the amount of NT$42,251,900 (approximately $1,379,879 as of December 31, 2023 and 1,374,940 as of December 31, 2022) was recorded to the cost of land. And the company is under the discussion of extending the commission payable to December 31 2024. According to the amended Land Purchase Contract dated on November 10, 2020, the transaction may be terminated at any time by both the buyer and the seller and agreed by all parties if the Company is unable to obtain the qualified satellite license issued by Taiwan authority before July 31, 2021. As of April 17, 2024, the qualified license applications are still in progress. |
Property and Equipment, Net (_2
Property and Equipment, Net (Details) - Schedule of Changes in Property and Equipment | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Schedule of Changes in Property and Equipment [Line Items] | |
Cost of property and equipment, beginning | $ 4,011,883 |
Addition | 1,430,045 |
Disposal | |
CTA | (5,271) |
Cost of property and equipment, ending | 5,436,657 |
Accumulated depreciation for property and equipment, beginning | 2,486,836 |
Addition | 602,438 |
Disposal | |
CTA | (3,485) |
Accumulated depreciation for property and equipment, ending | 3,085,789 |
Computer Software and Equipment [Member] | |
Schedule of Changes in Property and Equipment [Line Items] | |
Cost of property and equipment, beginning | 1,419,697 |
Addition | 1,427,792 |
Disposal | |
CTA | (370) |
Cost of property and equipment, ending | 2,847,119 |
Accumulated depreciation for property and equipment, beginning | 350,491 |
Addition | 256,382 |
Disposal | |
CTA | (328) |
Accumulated depreciation for property and equipment, ending | 606,545 |
Furniture and Fixture [Member] | |
Schedule of Changes in Property and Equipment [Line Items] | |
Cost of property and equipment, beginning | 36,382 |
Addition | 2,253 |
Disposal | |
CTA | 2 |
Cost of property and equipment, ending | 38,637 |
Accumulated depreciation for property and equipment, beginning | 31,990 |
Addition | 4,537 |
Disposal | |
CTA | (10) |
Accumulated depreciation for property and equipment, ending | 36,517 |
Satellite Equipment [Member] | |
Schedule of Changes in Property and Equipment [Line Items] | |
Cost of property and equipment, beginning | 275,410 |
Addition | |
Disposal | |
CTA | |
Cost of property and equipment, ending | 275,410 |
Accumulated depreciation for property and equipment, beginning | 275,410 |
Addition | |
Disposal | |
CTA | |
Accumulated depreciation for property and equipment, ending | 275,410 |
Ground Station Equipment [Member] | |
Schedule of Changes in Property and Equipment [Line Items] | |
Cost of property and equipment, beginning | 1,854,027 |
Addition | |
Disposal | |
CTA | |
Cost of property and equipment, ending | 1,854,027 |
Accumulated depreciation for property and equipment, beginning | 1,575,923 |
Addition | 278,104 |
Disposal | |
CTA | |
Accumulated depreciation for property and equipment, ending | 1,854,027 |
Vehicle [Member] | |
Schedule of Changes in Property and Equipment [Line Items] | |
Cost of property and equipment, beginning | 342,646 |
Addition | |
Disposal | |
CTA | (5,009) |
Cost of property and equipment, ending | 337,637 |
Accumulated depreciation for property and equipment, beginning | 177,241 |
Addition | 55,357 |
Disposal | |
CTA | (3,136) |
Accumulated depreciation for property and equipment, ending | 229,462 |
Leasehold Improvement [Member] | |
Schedule of Changes in Property and Equipment [Line Items] | |
Cost of property and equipment, beginning | 83,721 |
Addition | |
Disposal | |
CTA | 106 |
Cost of property and equipment, ending | 83,827 |
Accumulated depreciation for property and equipment, beginning | 75,781 |
Addition | 8,058 |
Disposal | |
CTA | (11) |
Accumulated depreciation for property and equipment, ending | $ 83,828 |
Long-Term Investment (Details)
Long-Term Investment (Details) | 1 Months Ended | 12 Months Ended | |||||
Nov. 21, 2022 shares | Sep. 29, 2022 TWD ($) shares | Nov. 21, 2022 TWD ($) | Dec. 31, 2023 shares | Dec. 31, 2022 USD ($) shares | Sep. 28, 2023 shares | Mar. 31, 2023 USD ($) | |
Long-Term Investment [Line Items] | |||||||
Purchase shares of common stock | 7,000,448 | ||||||
Share purchase amount | $ 40,050,000 | $ 1,303,287 | |||||
Company paid | $ 10,005,000 | $ 325,578 | |||||
Share purchased | 667,000 | ||||||
Common Stock [Member] | |||||||
Long-Term Investment [Line Items] | |||||||
Aggregate restricted shares | 5,000,000 | 5,000,000 | |||||
Stock Purchase Agreement [Member] | |||||||
Long-Term Investment [Line Items] | |||||||
Purchase shares of common stock | 2,670,000 | ||||||
AnaNaviTek [Member] | |||||||
Long-Term Investment [Line Items] | |||||||
Disposed AnaNaviTek for amount (in Dollars) | $ | $ 325,578 |
Long-Term Investment (Details)
Long-Term Investment (Details) - Schedule of Fair Value of the Long-Term Investment - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Schedule of Fair Value of the Long-Term Investment [Abstract] | ||
Investment cost – Ejectt – long-term | $ 4,261,920 | $ 4,246,665 |
Investment cost – AnaNaviTek | 325,578 | |
Net | $ 4,261,920 | $ 4,572,243 |
Intangible Asset, Net (Details)
Intangible Asset, Net (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Intangible Asset, Net [Abstract] | ||
Amortization expense | $ 834,277 | $ 495,000 |
Intangible Asset, Net (Detail_2
Intangible Asset, Net (Details) - Schedule of Accumulated Amortization for Intangible Asset - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Finite-Lived Intangible Assets [Line Items] | ||
Beginning balance | $ 1,402,500 | $ 1,897,500 |
Addition | 11,622,192 | (495,000) |
Ending balance | 13,024,692 | 1,402,500 |
Satellite System Software [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Beginning balance | 4,950,000 | 4,950,000 |
Addition | 12,456,469 | |
Ending balance | 17,406,469 | 4,950,000 |
Accumulated Amortization [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Beginning balance | (3,547,500) | (3,052,500) |
Addition | (834,277) | (495,000) |
Ending balance | $ (4,381,777) | $ (3,547,500) |
Intangible Asset, Net (Detail_3
Intangible Asset, Net (Details) - Schedule of the Estimated Aggregate Amortization Expense for Each of the Five Succeeding Years | Dec. 31, 2023 USD ($) |
Schedule of the Estimated Aggregate Amortization Expense [Abstract] | |
2024 | $ 1,740,647 |
2025 | 1,658,147 |
2026 | 1,245,647 |
2027 | 1,245,647 |
2028 | $ 1,245,647 |
Goodwill (Details)
Goodwill (Details) - USD ($) | 12 Months Ended | ||
Sep. 28, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | |
Goodwill [Line Items] | |||
Ownership percentage | 100% | ||
Issued shares (in Shares) | 7,000,448 | ||
Price per share (in Dollars per share) | $ 2.36 | ||
Acquisition | $ 11,926,181 | ||
Intangible assets and assumed liabilities | 4,573,819 | ||
Goodwill impairment test | 4,561,037 | $ 4,573,819 | $ 4,561,037 |
Past goodwill various merge and acquisition | $ 0 | ||
Mixnet [Member] | |||
Goodwill [Line Items] | |||
Total consideration | $ 16,500,000 |
Goodwill (Details) - Schedule o
Goodwill (Details) - Schedule of Goodwill - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule Of Goodwill Abstract | ||
Gross Goodwill, Beginning | $ 4,561,037 | $ 1,475,334 |
Accumulated Impairment, Beginning | ||
Net, Beginning | 4,561,037 | 1,475,334 |
Gross Goodwill, Addition | 4,573,819 | 3,085,703 |
Accumulated Impairment, Addition | (4,561,037) | |
Net, Addition | 12,782 | 3,085,703 |
Gross Goodwill, ending | 9,134,856 | 4,561,037 |
Accumulated Impairment, ending | (4,561,037) | |
Accumulated Impairment, ending | $ 4,573,819 | $ 4,561,037 |
Goodwill (Details) - Schedule_2
Goodwill (Details) - Schedule of Goodwill for Mixnet and its subsidiary's Acquisition - Mixnet [Member] | Dec. 31, 2023 USD ($) |
Goodwill (Details) - Schedule of Goodwill for Mixnet and its subsidiary's Acquisition [Line Items] | |
Total purchase considerations | $ 16,500,000 |
Cash | 66,278 |
Other receivable | 3,513 |
Prepaid expenses and other current assets | 2,872 |
Intangible assets | 12,102,000 |
Total identifiable assets acquired | 12,174,663 |
Loan payable – current | (50,403) |
Prepayment from customer | (94,634) |
Other payable | (24,203) |
Loan from stockholder – non-current | (79,242) |
Total liabilities assumed | (248,482) |
Net identifiable liabilities assumed | 11,926,181 |
Goodwill as a result of the acquisition | $ 4,573,819 |
Operating and Finance Leases (D
Operating and Finance Leases (Details) - Schedule of Weighted-Average Remaining Lease Term and Discount Rate Related to the Leases | Dec. 31, 2023 | Dec. 31, 2022 |
Weighted-average remaining lease term | ||
Operating lease | 1 year 11 months 19 days | 1 year 6 months |
Finance lease | 10 months 6 days | 1 year 10 months 6 days |
Weighted-average discount rate | ||
Operating lease | 6% | 6% |
Finance lease | 3.82% | 3.82% |
Operating and Finance Leases _2
Operating and Finance Leases (Details) - Schedule of Operating Leases - Operating Leases [Member] - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Operating Leases [Line Items] | ||
Right-of-use assets | $ 221,417 | $ 92,451 |
Lease liability – current | 155,763 | 120,323 |
Lease liability – non-current | $ 120,932 | $ 22,547 |
Operating and Finance Leases _3
Operating and Finance Leases (Details) - Schedule of Finance Leases - Finance Leases [Member] - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Finance Leases [Line Items] | ||
Property and equipment, at cost | $ 56,770 | $ 56,770 |
Accumulated depreciation | (47,968) | (36,925) |
Net Property and Equipment | 8,802 | 19,845 |
Lease liability – current | 12,669 | 10,858 |
Lease liability – non-current | 12,624 | |
Total finance lease liabilities | $ 12,669 | $ 23,482 |
Operating and Finance Leases _4
Operating and Finance Leases (Details) - Schedule of Finance Leases Current and Non-Current Liability - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Finance Leases Current And Non Current Liability [Abstract] | ||
Current lease liability – operating leases | $ 155,764 | $ 120,323 |
Current lease liability – finance leases | 12,669 | 10,858 |
Total current lease liability | 168,433 | 131,181 |
Current lease liability – related parties | ||
Current lease liability - others | 168,433 | 131,181 |
Non-current lease liability – operating leases | 120,932 | 22,548 |
Non-current lease liability – finance leases | 12,624 | |
Total non-current lease liability | 120,932 | 35,172 |
Non-current lease liability – related parties | ||
Non-current lease liability – others | $ 120,932 | $ 35,172 |
Operating and Finance Leases _5
Operating and Finance Leases (Details) - Schedule of Incomes and Expenses within Operating Leases - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of Incomes and Expenses within Operating Leases [Abstract] | ||
Lease expense | $ 130,250 | $ 152,922 |
Sublease rental income | (8,546) | (81,177) |
Net lease expense | $ 121,704 | $ 71,744 |
Operating and Finance Leases _6
Operating and Finance Leases (Details) - Schedule of Incomes and Expenses within Finance Leases - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of Incomes and Expenses within Finance Leases [Abstract] | ||
Amortization of property and equipment | $ 10,903 | $ 11,396 |
Interest on lease liabilities | 699 | 1,150 |
Total finance lease cost | $ 11,602 | $ 12,545 |
Operating and Finance Leases _7
Operating and Finance Leases (Details) - Schedule of Supplemental Cash Flow Information Related to Leases - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Cash paid for amounts included in the measurement of lease liabilities: | ||
Operating cash outflows from operating leases | $ 93,841 | $ 125,501 |
Operating cash outflows from finance lease | 10,713 | 10,777 |
Financing cash outflows from finance lease | 699 | 1,150 |
Leased assets obtained in exchange for lease liabilities: | ||
Operating leases | 74,795 | |
Finance lease |
Operating and Finance Leases _8
Operating and Finance Leases (Details) - Schedule of Maturity of Operating Leases | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Maturity of Operating Leases [Line Items] | |
January 1, 2024 – December 31, 2024 | $ 110,735 |
January 1, 2025 – December 31, 2025 | 89,256 |
January 1, 2026 – December 31, 2026 | 37,190 |
Total lease payments | 237,181 |
Less: Imputed interest | (15,763) |
Present value of lease liabilities | 221,418 |
Current portion | (100,486) |
Non-current portion | 120,932 |
Related Party [Member] | |
Maturity of Operating Leases [Line Items] | |
January 1, 2024 – December 31, 2024 | |
January 1, 2025 – December 31, 2025 | |
January 1, 2026 – December 31, 2026 | |
Total lease payments | |
Less: Imputed interest | |
Present value of lease liabilities | |
Current portion | |
Non-current portion | |
Others [Member] | |
Maturity of Operating Leases [Line Items] | |
January 1, 2024 – December 31, 2024 | 110,735 |
January 1, 2025 – December 31, 2025 | 89,256 |
January 1, 2026 – December 31, 2026 | 37,190 |
Total lease payments | 237,181 |
Less: Imputed interest | (15,763) |
Present value of lease liabilities | 221,418 |
Current portion | (100,486) |
Non-current portion | $ 120,932 |
Operating and Finance Leases _9
Operating and Finance Leases (Details) - Schedule of Maturity of Finance Leases | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Schedule of Maturity of Finance Leases [Abstract] | |
January 1, 2024 – December 31, 2024 | $ 12,939 |
January 1, 2025 – December 31, 2025 | |
Total lease payments | 12,939 |
Less: Imputed interest | (269) |
Present value of lease liabilities | 12,669 |
Current portion | (12,669) |
Non-current portion |
Short-Term Loan (Details)
Short-Term Loan (Details) | 1 Months Ended | |||
Jun. 30, 2021 USD ($) shares | Jun. 30, 2021 TWD ($) shares | Dec. 31, 2023 USD ($) | Dec. 31, 2023 TWD ($) | |
Short-Term Loan [Line Items] | ||||
Loan agreement amount | $ 1,433,177 | $ 40,000,000 | ||
Agreed shares | 3,000,000 | 3,000,000 | ||
Outstanding loan | $ 930,521 | $ 30,000,000 | ||
Loan Agreement [Member] | ||||
Short-Term Loan [Line Items] | ||||
Maturity date | Jul. 16, 2021 | Jul. 16, 2021 |
Long-Term Loan (Details)
Long-Term Loan (Details) | 12 Months Ended | ||
Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2023 TWD ($) | |
Long-Term Loan [Abstract] | |||
Car loan credit line | $ 48,988 | $ 48,812 | $ 1,500,000 |
Maturity date | May 21, 2024 | ||
Annual interest rate | 9.70% | ||
Installment payment, description | The installment payment plan is 60 months to pay off the balance on the 21st of each month. | ||
Interest expense | $ 1,074 | $ 3,338 |
Long-Term Loan (Details) - Sche
Long-Term Loan (Details) - Schedule of Future Installment Payments - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Schedule Of Future Installment Payments Abstract | ||
2024 | $ 5,168 | |
2025 | ||
Total installment payments | 5,168 | |
Less: Imputed interest | (123) | |
Present value of long-term loan | 5,045 | |
Current portion | (5,045) | $ (11,271) |
Non-current portion |
Convertible Long-Term Bonds P_3
Convertible Long-Term Bonds Payable and Restricted Cash (Details) - USD ($) | 12 Months Ended | |||||||
Dec. 02, 2025 | Jan. 16, 2024 | Dec. 02, 2020 | Dec. 31, 2023 | Dec. 31, 2022 | Nov. 20, 2025 | Dec. 03, 2020 | Dec. 01, 2020 | |
Convertible Long-term Bonds Payable and Restricted Cash [Line Items] | ||||||||
Aggregate principal amount of convertible bond | $ 200,000 | |||||||
Interest of percentage per annum | 7.50% | |||||||
Redemption of debt description | The Company has the option to redeem the Bonds at a redemption amount equal to the Early Redemption Amount, as defined in the Offering Memorandum, at any time on or after December 2, 2023 and prior to the Maturity Date, if the Closing Price of the Company’s Common Stock listed on the Euronext Paris for 20 trading days in any period of 30 consecutive trading days, the last day of which occurs not more than fifteen trading days prior to the date on which notice of such redemption is given, is greater than 130% of the Conversion Price on each applicable trading day or (ii) in whole or in part of the Bonds on the second anniversary of the issue date or (iii) where 90% or more in principal amount of the Bonds issued have been redeemed, converted or repurchased and cancelled. | |||||||
Common stock, par value (in Dollars per share) | $ 0.001 | |||||||
Initial conversion price per share (in Dollars per share) | $ 13.3 | |||||||
Repay balance amount | $ 3,068,385 | |||||||
Bond issuance cost nine months | $ 511,149 | $ 483,496 | ||||||
Coupon Bonds [Member] | ||||||||
Convertible Long-term Bonds Payable and Restricted Cash [Line Items] | ||||||||
Convertible bonds percentage | 7.50% | |||||||
Private Placement [Member] | ||||||||
Convertible Long-term Bonds Payable and Restricted Cash [Line Items] | ||||||||
Aggregate principal amount of convertible bond | $ 10,000,000 | |||||||
Subsequent Event [Member] | ||||||||
Convertible Long-term Bonds Payable and Restricted Cash [Line Items] | ||||||||
Total repaid | 7,330,000 | |||||||
Principal and interest | $ 10,398,385 | |||||||
Forecast [Member] | ||||||||
Convertible Long-term Bonds Payable and Restricted Cash [Line Items] | ||||||||
Common stock, par value (in Dollars per share) | $ 0.001 | |||||||
Forecast [Member] | Coupon Bonds [Member] | ||||||||
Convertible Long-term Bonds Payable and Restricted Cash [Line Items] | ||||||||
Redeemed % of principal amount | 100% | |||||||
Forecast [Member] | Zero-Coupon Bonds [Member] | December 2, 2025 [Member] | ||||||||
Convertible Long-term Bonds Payable and Restricted Cash [Line Items] | ||||||||
Redeemed % of principal amount | 105.11% | |||||||
BG Bank [Member] | ||||||||
Convertible Long-term Bonds Payable and Restricted Cash [Line Items] | ||||||||
Line of credit | $ 10,700,000 | |||||||
Line of credit expired period | Dec. 02, 2025 | |||||||
Line of credit annual fee, due quarterly | 1% | |||||||
Deposit | $ 3,210,000 | $ 3,210,000 |
Convertible Long-Term Bonds P_4
Convertible Long-Term Bonds Payable and Restricted Cash (Details) - Schedule of Long-Term Bonds Payable - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Schedule of Long-Term Bonds Payable [Line Items] | ||
Aggregate principal amount | $ 10,200,000 | $ 10,200,000 |
Unamortized loan fee | (551,845) | (1,062,994) |
Net | 9,648,155 | 9,137,006 |
Credit Enhanced Zero Coupon Convertible Bonds [Member] | ||
Schedule of Long-Term Bonds Payable [Line Items] | ||
Aggregate principal amount | 10,000,000 | 10,000,000 |
Coupon Bonds [Member] | ||
Schedule of Long-Term Bonds Payable [Line Items] | ||
Aggregate principal amount | $ 200,000 | $ 200,000 |
Convertible Long-Term Notes P_2
Convertible Long-Term Notes Payable and Restricted Cash (Details) - USD ($) | 12 Months Ended | ||||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 07, 2022 | Sep. 15, 2022 | Jun. 28, 2022 | |
Convertible Long-Term Notes Payable and Restricted Cash [Line Items] | |||||
Subscription common stock | $ 5,674,000 | $ 3,175,200 | |||
Aggregate totaling | $ 13,173,200 | ||||
Additional amount | $ 10,000,000 | ||||
Convertible bond | $ 30,000,000 | ||||
Interest rate | 4% | ||||
Conversion price (in Dollars per share) | $ 6 | ||||
Convertible Note [Member] | |||||
Convertible Long-Term Notes Payable and Restricted Cash [Line Items] | |||||
Maximum aggregate allowed principal amount | $ 30,000,000 | ||||
Aggregate principal amount | $ 23,173,200 | ||||
Convertible note maturity date | Dec. 07, 2024 | ||||
Accrued interest (approximately) | $ 988,264,000 | ||||
MEPA [Member] | |||||
Convertible Long-Term Notes Payable and Restricted Cash [Line Items] | |||||
Subscription common stock | $ 4,324,000 |
Contract Liability (Details)
Contract Liability (Details) - USD ($) | 12 Months Ended | ||
Mar. 09, 2015 | Dec. 31, 2023 | Dec. 31, 2022 | |
Contract Liability (Details) [Line Items] | |||
Purchase agreement terms | 10 years | ||
Purchase price | $ 909,000 | ||
Received amount | $ 4,237,427 | ||
Klingon Aerospace, Inc. [Member] | |||
Contract Liability (Details) [Line Items] | |||
Received amount | $ 762,000 | $ 762,000 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Income Taxes [Line Items] | ||
Change in deferred tax assets valuation allowance | $ 4,910,000 | $ 1,579,000 |
Federal Research and Development Tax Credits [Member] | ||
Income Taxes [Line Items] | ||
Research and development tax credit | 37,000 | 37,000 |
California State Research and Development Tax Credits [Member] | ||
Income Taxes [Line Items] | ||
Research and development tax credit | 39,000 | 39,000 |
Japan [Member] | ||
Income Taxes [Line Items] | ||
Amount to reduce future taxable income | 260,000 | 326,000 |
Taiwan [Member] | ||
Income Taxes [Line Items] | ||
Amount to reduce future taxable income | 6,173,000 | 3,452,000 |
Federal [Member] | ||
Income Taxes [Line Items] | ||
Amount to reduce future taxable income | 8,243,000 | 8,243,000 |
Additional federal NOLs | 30,009,000 | 28,545,000 |
State [Member] | ||
Income Taxes [Line Items] | ||
Additional federal NOLs | $ 46,427,000 | $ 37,662,000 |
Income Taxes (Details) - Schedu
Income Taxes (Details) - Schedule of Income Tax Expense - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Current: | ||
Federal | ||
State | 2,400 | 1,600 |
Foreign | 1,368 | |
Total | $ 2,400 | $ 2,968 |
Income Taxes (Details) - Sche_2
Income Taxes (Details) - Schedule of Reconciliation of the Company's Income Tax at Statutory Tax Rate and Income Tax at Effective Tax Rate - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of Reconciliation of the Company's Income Tax at Statutory Tax Rate and Income Tax at Effective Tax Rate [Abstract] | ||
Tax benefit at statutory rate | $ (2,850,860) | $ (2,941,489) |
Valuation allowance on net operating loss carryforwards | 2,776,874 | 1,650,091 |
Stock-based compensation expense | 303,300 | 256,000 |
Accrued payroll | 316,500 | (103,600) |
Foreign investment losses | (428,590) | 737,056 |
Amortization and depreciation expense | 155,100 | 79,700 |
Unrealized exchange gain (loss) | (269,224) | 361,142 |
Others | (700) | (35,932) |
Tax expense at effective tax rate | $ 2,400 | $ 2,968 |
Income Taxes (Details) - Sche_3
Income Taxes (Details) - Schedule of Deferred Tax Assets (Liability) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Schedule of Deferred Tax Assets (Liability) [Abstract] | ||
Net operating loss carryforwards (NOLs) | $ 14,831,000 | $ 10,694,000 |
Stock-based compensation expense | 3,502,000 | 3,098,000 |
Accrued expenses and unpaid expense payable | 889,000 | 412,000 |
Tax credit carryforwards | 68,000 | 68,000 |
Excess of tax amortization over book amortization | (285,000) | (344,000) |
Unrealized/realized exchange gain | 20,000 | 311,000 |
Others | 27,000 | (97,000) |
Gross | 19,052,000 | 14,142,000 |
Valuation allowance | (19,052,000) | (14,142,000) |
Net |
Capital Stock (Details)
Capital Stock (Details) - USD ($) | 1 Months Ended | 12 Months Ended | ||
Sep. 28, 2023 | Jun. 16, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | |
Capital Stock [Line Items] | ||||
Preferred stock, shares authorized | 50,000,000 | 50,000,000 | ||
Preferred stock, par value (in Dollars per share) | $ 0.001 | $ 0.001 | ||
Preferred stock, outstanding | 0 | 0 | ||
Common stock, shares authorized | 90,000,000 | 90,000,000 | ||
Public Offering [Member] | ||||
Capital Stock [Line Items] | ||||
APIC adjustment for the issuance costs of these stock warrant (in Dollars) | $ 1,252,029 | |||
Common Stock [Member] | ||||
Capital Stock [Line Items] | ||||
Shares of common stock | 4,114 | |||
Mr. Sheng-Chun Chang [Member] | ||||
Capital Stock [Line Items] | ||||
Issuance of warrant description | On October 31, 2021, following approval by the Board of Directors, the Company issued a warrant to Mr. Sheng-Chun Chang for the purchase of up to 751,879 shares of the Company’s common stock, exercisable at a price of $2.60 per share, the closing price of the common stock on the OTC Markets, Inc. QX tier on October 21, 2021. The issuance of the warrant is (i) in recognition of Mr. Chang’s support of the Company through his previous personal guarantee of the Company’s $10,000,000 line of credit with the Panhsin Bank (the “Bank”) in relation to the private placement offering of $10,000,000 credit enhanced zero coupon convertible bonds and (ii) in exchange for Mr. Chang’s agreement to renew his guarantee with the Bank for so long as the guarantee would be required by the Bank. The warrant will vest 20% on issuance. On each anniversary of the issue date, beginning with December 3, 2021 and ending with December 3, 2025, the warrant will vest with respect to 20% of the number of shares of the Company’s common stock issuable upon conversion of the principal amount of the credit enhanced bonds still required to be guaranteed by the Panhsin Bank. | |||
Kevin Wong [Member] | ||||
Capital Stock [Line Items] | ||||
Shares issued | 7,000,448 |
Capital Stock (Details) - Sched
Capital Stock (Details) - Schedule of Shares of Restricked Stock - shares | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of Restricted Shares of Common Stock [Abstract] | ||
Restricted stock - vested | 1,802,373 | 1,802,373 |
Restricted stock - unvested | 149,162 | 149,162 |
Total restricted stock | 1,951,535 | 1,951,535 |
Major Customer (Details)
Major Customer (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Major Customer [Line Items] | ||
Sales percentage | 10% | |
Sales | $ 731,090 | |
Customer [Member] | ||
Major Customer [Line Items] | ||
Sales | $ 575,395 | $ 0 |
Major Vendors (Details)
Major Vendors (Details) | Dec. 31, 2023 | Dec. 31, 2022 |
Major Vendors [Abstract] | ||
Total purchases percentage | 10% | 10% |
Major Vendors (Details) - Sched
Major Vendors (Details) - Schedule of Purchase from and Accounts Payable to Vendors - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Purchase [Member] | ||
Schedule of Purchase from and Accounts Payable to Vendors [Line Items] | ||
Vendors | $ 337,324 | |
Purchase [Member] | A [Member] | ||
Schedule of Purchase from and Accounts Payable to Vendors [Line Items] | ||
Vendors | ||
Purchase [Member] | B [Member] | ||
Schedule of Purchase from and Accounts Payable to Vendors [Line Items] | ||
Vendors | 337,324 | |
Accounts Payable [Member] | ||
Schedule of Purchase from and Accounts Payable to Vendors [Line Items] | ||
Vendors | 1,900,317 | 1,564,627 |
Accounts Payable [Member] | A [Member] | ||
Schedule of Purchase from and Accounts Payable to Vendors [Line Items] | ||
Vendors | 1,564,627 | 1,564,627 |
Accounts Payable [Member] | B [Member] | ||
Schedule of Purchase from and Accounts Payable to Vendors [Line Items] | ||
Vendors | $ 335,691 |
Related Party Transactions (Det
Related Party Transactions (Details) | 1 Months Ended | 3 Months Ended | 12 Months Ended | 13 Months Ended | ||||||||
Oct. 31, 2023 USD ($) | Oct. 31, 2023 TWD ($) | Dec. 31, 2023 USD ($) | Dec. 31, 2023 USD ($) | Dec. 31, 2023 JPY (¥) | Dec. 31, 2022 USD ($) | Dec. 31, 2022 TWD ($) | Dec. 31, 2021 USD ($) | Dec. 31, 2021 TWD ($) | Dec. 31, 2021 EUR (€) | Aug. 31, 2023 USD ($) | Dec. 31, 2023 TWD ($) | |
Significant Related Party Transactions [Line Items] | ||||||||||||
Sublease agreement | 2 years | 2 years | 2 years | |||||||||
Rental fee | ¥ | ¥ 100,000 | |||||||||||
Service charges | ¥ 6,820,000 | $ 51,800 | ||||||||||
Sales agreements | $ 1,243,247 | $ 1,243,247 | ||||||||||
Security deposit | 653,168 | 653,168 | $ 20,000,000 | |||||||||
Purchase of equipment | $ 174,178 | $ 5,333,333 | 4,330,592 | |||||||||
Prepaid expenses | 2,076,138 | 2,076,138 | ||||||||||
Interest payable amount | 59,021 | 59,021 | 1,807,000 | |||||||||
Borrowed amount | 956,835 | 956,835 | ||||||||||
Consulting fee | $ 17,000 | € 15,120 | ||||||||||
Long term loan | $ 75,327 | 75,327 | $ 2,306,000 | |||||||||
Interest expenses | $ 9,800 | $ 293,000 | $ 48,346 | $ 1,350,612 | ||||||||
Other income | $ 10,865 | |||||||||||
Equipment [Member] | ||||||||||||
Significant Related Party Transactions [Line Items] | ||||||||||||
Purchase of equipment | $ 133,722 | |||||||||||
EESQAURE JP [Member] | ||||||||||||
Significant Related Party Transactions [Line Items] | ||||||||||||
Rental fee | 710 | |||||||||||
EESQAURE JP [Member] | Sublease Agreement [Member] | ||||||||||||
Significant Related Party Transactions [Line Items] | ||||||||||||
Rental fee | $ 710 |
Related Party Transactions (D_2
Related Party Transactions (Details) - Schedule of Related Parties and Relationships | 12 Months Ended |
Dec. 31, 2023 | |
Well Thrive Limited (“WTL”) [Member] | |
Related Party Transactions (Details) - Schedule of Related Parties and Relationships [Line Items] | |
Relationship | Major stockholder |
Ejectt Inc. (“Ejectt”) [Member] | |
Related Party Transactions (Details) - Schedule of Related Parties and Relationships [Line Items] | |
Relationship | Stockholder; Albert Hsu, a Director of Aerkomm, is the Chairman |
STAR JEC INC. (“StarJec”) [Member] | |
Related Party Transactions (Details) - Schedule of Related Parties and Relationships [Line Items] | |
Relationship | Stockholder; Albert Hsu, a Director of Aerkomm, is the Chairman |
AA Twin Associates Ltd. (“AATWIN”) [Member] | |
Related Party Transactions (Details) - Schedule of Related Parties and Relationships [Line Items] | |
Relationship | Georges Caldironi, COO of Aerkomm, is sole owner |
EESquare Japan (“EESquare JP”) [Member] | |
Related Party Transactions (Details) - Schedule of Related Parties and Relationships [Line Items] | |
Relationship | Yih Lieh (Giretsu) Shih, President Aircom Japan, is the Director |
Kevin Wong [Member] | |
Related Party Transactions (Details) - Schedule of Related Parties and Relationships [Line Items] | |
Relationship | Stockholder of Mixnet |
Related Party Transactions (D_3
Related Party Transactions (Details) - Schedule of Significant Related Party Transactions - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | ||
EESquare JP [Member] | |||
Related Party Transaction [Line Items] | |||
Other receivable | [1] | $ 173,858 | $ 11,380 |
StarJec [Member] | |||
Related Party Transaction [Line Items] | |||
Other receivable | [2] | 282,073 | |
Ejectt [Member] | |||
Related Party Transaction [Line Items] | |||
Other receivable | [3] | 15,983 | |
WTL [Member] | |||
Related Party Transaction [Line Items] | |||
Other receivable | [4] | 956,835 | |
Others [Member] | |||
Related Party Transaction [Line Items] | |||
Other receivable | [5] | 21,073 | 15,092 |
Total [Member] | |||
Related Party Transaction [Line Items] | |||
Other receivable | 1,167,749 | 308,545 | |
Other payable to: | |||
Other payable | 726,802 | 340,467 | |
Rent deposit to Ejectt [Member] | |||
Related Party Transaction [Line Items] | |||
Rent deposit to Ejectt | [3] | 1,367 | |
Prepaid expenses to Ejectt [Member] | |||
Related Party Transaction [Line Items] | |||
Prepaid expenses to Ejectt | 2,076,138 | ||
Loan from WTL [Member] | |||
Related Party Transaction [Line Items] | |||
Short-term loan from WTL | [4] | 337,357 | |
Prepayment from Ejectt [Member] | |||
Related Party Transaction [Line Items] | |||
Prepayment from Ejectt | [3] | 6,534,908 | 1,258,786 |
AATWIN [Member] | |||
Other payable to: | |||
Other payable | [6] | 19,047 | 35,047 |
Interest payable to WTL [Member] | |||
Other payable to: | |||
Other payable | [4] | 59,021 | 58,810 |
StarJec [Member] | |||
Other payable to: | |||
Other payable | [2] | 111,702 | |
Kevin Wong [Member] | |||
Other payable to: | |||
Other payable | [7] | 75,327 | |
Others [Member] | |||
Other payable to: | |||
Other payable | [5] | $ 461,704 | $ 246,610 |
[1] Aircom Japan entered into a sublease agreement with EESquare JP for the period between March 5, 2019 and March 4, 2023 and extended another 2 years to March 4, 2025. Pursuant to the terms of this lease agreement, EESquare JP pays Aircom Japan a rental fee of approximately $710 per month as of December 31, 2023. This amount represents outstanding balance receivable from EESquare JP as of December 31, 2023. Aircom Japan entered into a housing service order on December 14, 2021 and a satellite service order on January 22, 2022 for one year period till January 21, 2023. On June 20, 2022, Aircom Japan also entered a teleport service order with StarJec for a half year period from June 1, 2022 to January 14, 2023. The amount represents receivable from StarJec for monthly service provided due to the service agreements. The monthly service charges is approximately ¥6,820,000 (approximately $51,800 as of December 31,2022). Other payable represents deposits should be returned to Ejectt after service contracts ended as of December 31, 2023. th Represents receivable/payable from/to management levels as a result of regular operating activities. Represents payable to AATWIN due to consulting agreement on January 1, 2019. The monthly consulting fee is €15,120 (approximately $17,000) and was expired on December 31, 2021. Represents long-term loan that Mixnet borrowed from its stockholder for business operating needs for $75,327 (approximately NTD 2,306,000) as of December 31, 2023. |
Related Party Transactions (D_4
Related Party Transactions (Details) - Schedule of Related Party Transactions - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | ||
Schedule of Related Party Transactions [Abstract] | |||
Purchase from Ejectt | [1] | $ 457,976 | |
Connection Service income from Ejectt | [2] | 117,419 | |
Other Income from Ejectt | [3] | 45,543 | |
Other Income from WTL | [4] | 10,682 | |
Non-operating service Income from StarJec | [5] | 2,757 | 5,904 |
Rental income charged from EESquare JP | [6] | 8,546 | 9,119 |
Rent expense from Ejectt | 2,858 | ||
Interest expense charged by WTL | [4] | $ 9,818 | |
[1]Represents 2 sets of antennas sold to Ejectt on January 30, 2023 and service income and handling fee charged to Ejectt for consultant service provided in 2023 per the exclusive agent agreement signed as of June 17, 2023.[2] Connection service income represent service income received from connection service provided according to the exclusive agent agreement in 2023. Represents other handling fees and consultant fees charged to Ejectt and rent expenses paid to Ejectt in 2023. The Company has loans from WTL due to operational needs under the Loans (Note 1). The Company has NT$ 293,000 (approximately $9,800) and NT$1,350,612 (approximately $48,346) of interest expenses, respectively, charged for year 2022 and 2021. Aerkomm Japan has other income of $10,865, other product sale to WTL, in August 2023 in associated with selling antenna. Represents service income charged to StarJec for handling three service contracts by Aircom Japan for the period in 2023 and the contracts expired in June 2023. Aircom Japan entered into a sublease agreement with EESquare JP for the period between March 5, 2019 and March 4, 2023 and it has been renewed to March 4, 2025. Pursuant to the terms of this lease agreement, EESquare JP pays Aircom Japan a rental fee of approximately $710 (JPY 100,000) per month in 2023. |
Stock Based Compensation (Detai
Stock Based Compensation (Details) - USD ($) | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||
Jun. 13, 2023 | Jun. 01, 2023 | May 05, 2023 | Mar. 01, 2023 | Dec. 29, 2022 | Dec. 01, 2022 | Oct. 04, 2022 | Sep. 01, 2022 | Jun. 01, 2022 | Mar. 01, 2022 | Dec. 31, 2021 | Dec. 29, 2021 | Dec. 01, 2021 | Oct. 21, 2021 | Oct. 04, 2021 | Sep. 17, 2021 | Sep. 01, 2021 | Jan. 23, 2021 | Oct. 04, 2020 | Sep. 17, 2020 | Feb. 19, 2020 | Dec. 29, 2019 | Oct. 04, 2019 | Jul. 02, 2019 | Dec. 29, 2018 | Sep. 17, 2018 | Jun. 19, 2018 | Dec. 29, 2017 | Jul. 31, 2017 | Jun. 23, 2017 | May 05, 2017 | Feb. 13, 2017 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2024 | Dec. 01, 2023 | Sep. 28, 2023 | Sep. 01, 2023 | Dec. 11, 2020 | |
Stock Based Compensation [Line Items] | |||||||||||||||||||||||||||||||||||||||
Stock option aggregate shares | 3,627,679 | 18,750 | 786,356 | 18,750 | 8,000 | 18,750 | 18,750 | 18,750 | 2,000 | 8,000 | 18,750 | 4,000 | |||||||||||||||||||||||||||
Vest rate percentage | 25% | 25% | 25% | 25% | 50% | ||||||||||||||||||||||||||||||||||
Shares vested rate | 50% | ||||||||||||||||||||||||||||||||||||||
Independent directors shares | 4,000 | 4,000 | 4,000 | 4,000 | |||||||||||||||||||||||||||||||||||
Aggregate shares | 85,400 | ||||||||||||||||||||||||||||||||||||||
Stock options issued to each director | 4,000 | ||||||||||||||||||||||||||||||||||||||
Shares issued | 4,000 | ||||||||||||||||||||||||||||||||||||||
Shares issued | 7,000,448 | ||||||||||||||||||||||||||||||||||||||
Stock-based compensation (in Dollars) | $ 1,444,465 | $ 1,219,121 | |||||||||||||||||||||||||||||||||||||
Minimum [Member] | |||||||||||||||||||||||||||||||||||||||
Stock Based Compensation [Line Items] | |||||||||||||||||||||||||||||||||||||||
Stock option aggregate shares | 18,750 | ||||||||||||||||||||||||||||||||||||||
Maximum [Member] | |||||||||||||||||||||||||||||||||||||||
Stock Based Compensation [Line Items] | |||||||||||||||||||||||||||||||||||||||
Stock option aggregate shares | 75,000 | ||||||||||||||||||||||||||||||||||||||
Board of Directors [Member] | |||||||||||||||||||||||||||||||||||||||
Stock Based Compensation [Line Items] | |||||||||||||||||||||||||||||||||||||||
Shares issued | 18,750 | 18,750 | |||||||||||||||||||||||||||||||||||||
Aircom 2014 Plan [Member] | |||||||||||||||||||||||||||||||||||||||
Stock Based Compensation [Line Items] | |||||||||||||||||||||||||||||||||||||||
Stock option aggregate shares | 1,088,882 | ||||||||||||||||||||||||||||||||||||||
Term | 10 years | ||||||||||||||||||||||||||||||||||||||
Aerkomm 2017 Plan [Member] | |||||||||||||||||||||||||||||||||||||||
Stock Based Compensation [Line Items] | |||||||||||||||||||||||||||||||||||||||
Stock option aggregate shares | 291,000 | ||||||||||||||||||||||||||||||||||||||
Options exercisable | 1,413,114 | ||||||||||||||||||||||||||||||||||||||
Unrecognized stock-based compensation expense (in Dollars) | $ 1,258,000 | ||||||||||||||||||||||||||||||||||||||
Weighted average period | 3 years 4 months 6 days | ||||||||||||||||||||||||||||||||||||||
Aerkomm 2017 Plan [Member] | Board of Directors [Member] | |||||||||||||||||||||||||||||||||||||||
Stock Based Compensation [Line Items] | |||||||||||||||||||||||||||||||||||||||
Stock option aggregate shares | 150,000 | 4,000 | 18,750 | 12,000 | 4,000 | 2,000 | 12,000 | 339,000 | 12,000 | 12,000 | 109,000 | ||||||||||||||||||||||||||||
Term | 10 years | ||||||||||||||||||||||||||||||||||||||
Shares of common stock reserved for issuance | 2,000,000 | 1,000,000 | |||||||||||||||||||||||||||||||||||||
Common stock reserved for issuance | 2,400,000 | ||||||||||||||||||||||||||||||||||||||
Description of plan agreements | 25% of the shares vested on the grant date, 25% of the shares vested on July 17, 2019, 25% of the shares will vest on the first anniversary of the grant date, and 25% of the shares will be vested upon the second anniversary of the grant date. | ||||||||||||||||||||||||||||||||||||||
Aggregate shares issued | 284,997 | ||||||||||||||||||||||||||||||||||||||
Aerkomm 2017 Plan [Member] | Board of Directors [Member] | Consultants [Member] | |||||||||||||||||||||||||||||||||||||||
Stock Based Compensation [Line Items] | |||||||||||||||||||||||||||||||||||||||
Stock option aggregate shares | 2,000 | ||||||||||||||||||||||||||||||||||||||
Aerkomm 2017 Plan [Member] | Company Executives One [Member] | |||||||||||||||||||||||||||||||||||||||
Stock Based Compensation [Line Items] | |||||||||||||||||||||||||||||||||||||||
Stock option aggregate shares | 32,000 | ||||||||||||||||||||||||||||||||||||||
Description of plan agreements | One-fourth of the 32,000 shares subject to the option shall vest on May 1, 2019, 2020, 2021 and 2022, respectively. | ||||||||||||||||||||||||||||||||||||||
Aerkomm 2017 Plan [Member] | Company Executives Two [Member] | |||||||||||||||||||||||||||||||||||||||
Stock Based Compensation [Line Items] | |||||||||||||||||||||||||||||||||||||||
Stock option aggregate shares | 30,000 | ||||||||||||||||||||||||||||||||||||||
Description of plan agreements | One-third of the 30,000 shares subject to the option shall vest on May 29, 2019, 2020 and 2021, respectively. | ||||||||||||||||||||||||||||||||||||||
Aerkomm 2017 Plan [Member] | Forecast [Member] | |||||||||||||||||||||||||||||||||||||||
Stock Based Compensation [Line Items] | |||||||||||||||||||||||||||||||||||||||
Options exercisable | 196,588 | ||||||||||||||||||||||||||||||||||||||
Aerkomm 2023 Plan [Member] | |||||||||||||||||||||||||||||||||||||||
Stock Based Compensation [Line Items] | |||||||||||||||||||||||||||||||||||||||
Options exercisable | 509,710 | ||||||||||||||||||||||||||||||||||||||
Unrecognized stock-based compensation expense (in Dollars) | $ 6,057,000 | ||||||||||||||||||||||||||||||||||||||
Weighted average period | 3 years 5 months 12 days | ||||||||||||||||||||||||||||||||||||||
Aerkomm 2023 Plan [Member] | Board of Directors [Member] | |||||||||||||||||||||||||||||||||||||||
Stock Based Compensation [Line Items] | |||||||||||||||||||||||||||||||||||||||
Term | 10 years | ||||||||||||||||||||||||||||||||||||||
Shares of common stock reserved for issuance | 3,683,929 |
Stock Based Compensation (Det_2
Stock Based Compensation (Details) - Schedule of Assumptions to Estimate the Fair Value of Options Granted | 12 Months Ended |
Dec. 31, 2023 | |
Stock Based Compensation (Details) - Schedule of Assumptions to Estimate the Fair Value of Options Granted [Line Items] | |
Expected dividends | 0% |
Minimum [Member] | |
Stock Based Compensation (Details) - Schedule of Assumptions to Estimate the Fair Value of Options Granted [Line Items] | |
Expected term | 5 years |
Expected volatility | 45.79% |
Risk-free interest rate | 0.69% |
Forfeiture rate | 0% |
Maximum [Member] | |
Stock Based Compensation (Details) - Schedule of Assumptions to Estimate the Fair Value of Options Granted [Line Items] | |
Expected term | 10 years |
Expected volatility | 72.81% |
Risk-free interest rate | 2.99% |
Forfeiture rate | 5% |
Stock Based Compensation (Det_3
Stock Based Compensation (Details) - Schedule of Activities Related to Options Outstanding - Stock Options [Member] - $ / shares | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Number of Shares, Options outstanding at Beginning (in Shares) | 111,871 | 111,871 |
Weighted Average Exercise Price Per Share, Options outstanding at Beginning | $ 3.3521 | $ 3.3521 |
Weighted Average Fair Value Per Share Options outstanding at Beginning | $ 1.0539 | $ 1.0539 |
Number of Shares, Granted (in Shares) | ||
Weighted Average Exercise Price Per Share, Granted | ||
Weighted Average Fair Value Per Share, Granted | ||
Number of Shares, Exercised (in Shares) | ||
Weighted Average Exercise Price Per Share, Exercised | ||
Weighted Average Fair Value Per Share, Exercised | ||
Number of Shares, Forfeited/Cancelled (in Shares) | 37,291 | |
Weighted Average Exercise Price Per Share, Forfeited/Cancelled | $ 3.3521 | |
Weighted Average Fair Value Per Share, Forfeited/Cancelled | $ 1.0539 | |
Number of Shares, Options outstanding at Ending (in Shares) | 74,580 | 111,871 |
Weighted Average Exercise Price Per Share, Options outstanding at Ending | $ 3.3521 | $ 3.3521 |
Weighted Average Fair Value Per Share Options outstanding at Ending | $ 1.0539 | $ 1.0539 |
Stock Based Compensation (Det_4
Stock Based Compensation (Details) - Schedule of Stock Options Outstanding and Exercisable - 3.3521 [Member] | 12 Months Ended |
Dec. 31, 2023 $ / shares shares | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Range of Exercise Prices | $ 3.3521 |
Weighted Average Exercise Price | 3.3521 |
Options Outstanding [Member] | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Range of Exercise Prices | $ 3.3521 |
Shares Outstanding at 12/31/2023 (in Shares) | shares | 74,580 |
Weighted Average Remaining Contractual Life (years) | 2 years 6 months |
Weighted Average Exercise Price | $ 3.3521 |
Options Exercisable [Member] | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Shares Exercisable at 12/31/2023 (in Shares) | shares | 74,580 |
Weighted Average Remaining Contractual Life (years) | 2 years 6 months |
Weighted Average Exercise Price | $ 3.3521 |
Stock Based Compensation (Det_5
Stock Based Compensation (Details) - Schedule of Activities Related to Options Outstanding - $ / shares | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Number of Shares, Options outstanding at Beginning (in Shares) | 1,279,688 | 1,207,897 |
Weighted Average Exercise Price Per Share, Options outstanding at Beginning | $ 10.8161 | $ 11.2537 |
Weighted Average Fair Value Per Share Options outstanding at Beginning | $ 7.3194 | $ 7.5309 |
Number of Shares, Granted (in Shares) | 805,103 | 162,000 |
Weighted Average Exercise Price Per Share, Granted | $ 2.5605 | $ 8.1566 |
Weighted Average Fair Value Per Share Granted | $ 1.9779 | $ 6.332 |
Number of Shares, Exercised (in Shares) | ||
Weighted Average Exercise Price Per Share, Exercised | ||
Weighted Average Fair Value Per Share Exercised | ||
Number of Shares, Forfeited/Cancelled (in Shares) | (90,209) | |
Weighted Average Exercise Price Per Share, Forfeited/Cancelled | $ 11.9003 | |
Weighted Average Fair Value Per Share Forfeited/Cancelled | $ 8.3775 | |
Number of Shares, Options outstanding at Ending (in Shares) | 2,084,791 | 1,279,688 |
Weighted Average Exercise Price Per Share, Options outstanding at Ending | $ 7.6279 | $ 10.8161 |
Weighted Average Fair Value Per Share Options outstanding at Ending | $ 5.2566 | $ 7.3194 |
Stock Based Compensation (Det_6
Stock Based Compensation (Details) - Schedule of Activities Related to Unvested Stock Awards - $ / shares | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Number of Shares, Options unvested, Beginning | 11,000 | 40,194 |
Weighted Average Fair Value Per Share, Beginning | $ 3.507 | $ 8.9422 |
Number of Shares, Granted | 805,103 | 162,000 |
Weighted Average Fair Value Per Share, Granted | $ 1.9779 | $ 6.332 |
Number of Shares, Vested | (144,426) | (183,194) |
Weighted Average Fair Value Per Share, Vested | $ 2.1351 | $ 6.7206 |
Number of Shares, Forfeited/Cancelled | (8,000) | |
Weighted Average Fair Value Per Share, Forfeited/Cancelled | $ 14.4305 | |
Number of Shares, Options unvested, Ending | 671,677 | 11,000 |
Weighted Average Fair Value Per Share, Ending | $ 1.9691 | $ 3.507 |
Stock Based Compensation (Det_7
Stock Based Compensation (Details) - Schedule of Stock Options Outstanding and Exercisable - Equity Option [Member] | 12 Months Ended |
Dec. 31, 2023 $ / shares shares | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Shares Outstanding | shares | 2,084,791 |
Weighted Average Exercise Price | $ / shares | $ 7.6279 |
Shares Exercisable | shares | 1,413,114 |
Weighted Average Exercise Price | $ / shares | $ 10.0416 |
2.55 – 4.30 [Member] | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Shares Outstanding | shares | 1,310,353 |
Weighted Average Remaining Contractual Life (years) | 8 years 3 months 7 days |
Weighted Average Exercise Price | $ / shares | $ 3.0799 |
Shares Exercisable | shares | 638,676 |
Weighted Average Remaining Contractual Life (years) | 7 years 1 month 20 days |
Weighted Average Exercise Price | $ / shares | $ 3.6373 |
6.00 – 10.00 [Member] | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Shares Outstanding | shares | 419,288 |
Weighted Average Remaining Contractual Life (years) | 7 years 4 months 9 days |
Weighted Average Exercise Price | $ / shares | $ 8.3356 |
Shares Exercisable | shares | 419,288 |
Weighted Average Remaining Contractual Life (years) | 7 years 4 months 9 days |
Weighted Average Exercise Price | $ / shares | $ 8.3356 |
11.00 – 14.20 [Member] | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Shares Outstanding | shares | 126,150 |
Weighted Average Remaining Contractual Life (years) | 6 years 3 months |
Weighted Average Exercise Price | $ / shares | $ 11.4688 |
Shares Exercisable | shares | 126,150 |
Weighted Average Remaining Contractual Life (years) | 6 years 3 months |
Weighted Average Exercise Price | $ / shares | $ 11.4688 |
20.50 – 27.50 [Member] | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Shares Outstanding | shares | 109,000 |
Weighted Average Remaining Contractual Life (years) | 3 years 9 months 10 days |
Weighted Average Exercise Price | $ / shares | $ 25.4982 |
Shares Exercisable | shares | 109,000 |
Weighted Average Remaining Contractual Life (years) | 3 years 9 months 10 days |
Weighted Average Exercise Price | $ / shares | $ 25.4982 |
30.00 – 35.00 [Member] | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Shares Outstanding | shares | 120,000 |
Weighted Average Remaining Contractual Life (years) | 3 years 6 months 21 days |
Weighted Average Exercise Price | $ / shares | $ 34.5479 |
Shares Exercisable | shares | 120,000 |
Weighted Average Remaining Contractual Life (years) | 3 years 6 months 21 days |
Weighted Average Exercise Price | $ / shares | $ 34.5479 |
Stock Based Compensation (Det_8
Stock Based Compensation (Details) - Schedule of Activities Related to Options Outstanding - Aerkomm 2023 Plan [Member] | 12 Months Ended |
Dec. 31, 2023 $ / shares shares | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Number of Shares, Options outstanding at Beginning (in Shares) | shares | |
Weighted Average Exercise Price Per Share, Options outstanding at Beginning | |
Weighted Average Fair Value Per Share Options outstanding at Beginning | |
Number of Shares, Granted (in Shares) | shares | 3,683,929 |
Weighted Average Exercise Price Per Share, Granted | $ 2.5914 |
Weighted Average Fair Value Per Share Granted | $ 2.0098 |
Number of Shares, Exercised (in Shares) | shares | |
Weighted Average Exercise Price Per Share, Exercised | |
Weighted Average Fair Value Per Share Exercised | |
Number of Shares, Forfeited/Cancelled (in Shares) | shares | |
Weighted Average Exercise Price Per Share, Forfeited/Cancelled | |
Weighted Average Fair Value Per Share Forfeited/Cancelled | |
Number of Shares, Options outstanding at Ending (in Shares) | shares | 3,683,929 |
Weighted Average Exercise Price Per Share, Options outstanding at Ending | $ 2.5914 |
Weighted Average Fair Value Per Share Options outstanding at Ending | $ 2.0098 |
Stock Based Compensation (Det_9
Stock Based Compensation (Details) - Schedule of Activities Related to Unvested Stock Awards - Aerkomm 2023 Plan [Member] | 12 Months Ended |
Dec. 31, 2023 $ / shares shares | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Number of Shares, Options unvested, Beginning | shares | |
Weighted Average Fair Value Per Share, Beginning | $ / shares | |
Number of Shares, Granted | shares | 3,683,929 |
Weighted Average Fair Value Per Share, Granted | $ / shares | $ 2.0098 |
Number of Shares, Vested | shares | (509,710) |
Weighted Average Fair Value Per Share, Vested | $ / shares | $ 2.0167 |
Number of Shares, Forfeited/Cancelled | shares | |
Weighted Average Fair Value Per Share, Forfeited/Cancelled | $ / shares | |
Number of Shares, Options unvested, Ending | shares | 3,174,219 |
Weighted Average Fair Value Per Share, Ending | $ / shares | $ 2.0087 |
Stock Based Compensation (De_10
Stock Based Compensation (Details) - Schedule of Stock Options Outstanding and Exercisable | 12 Months Ended |
Dec. 31, 2023 $ / shares shares | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Range of Exercise Prices | $ 2.58 |
Range of Exercise Prices | $ 2.89 |
Options Outstanding [Member] | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Shares Outstanding (in Shares) | shares | 3,683,929 |
Weighted Average Remaining Contractual Life (years) | 9 years 5 months 15 days |
Weighted Average Exercise Price | $ 2.5783 |
Options Exercisable [Member] | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Shares Exercisable (in Shares) | shares | 509,710 |
Weighted Average Remaining Contractual Life (years) | 9 years 5 months 23 days |
Weighted Average Exercise Price | $ 2.6003 |
Commitments (Details)
Commitments (Details) | 1 Months Ended | 12 Months Ended | |||||
Dec. 29, 2022 USD ($) shares | Dec. 29, 2022 TWD ($) shares | Nov. 30, 2018 USD ($) | Mar. 25, 2022 CNY (¥) | Jun. 20, 2018 USD ($) | Jun. 20, 2018 CNY (¥) | Dec. 31, 2023 | |
Commitments [Line Items] | |||||||
Equity sales contract shares | shares | 25,500,000 | 25,500,000 | |||||
Equity purchase | $ 8,300,000 | $ 255,000,000 | |||||
Sheng-Chun Chang [Member] | |||||||
Commitments [Line Items] | |||||||
Equity owner percentage | 10% | ||||||
Republic Engineers Complaint [Member] | |||||||
Commitments [Line Items] | |||||||
Aggregate purchase price | $ | $ 10,000,000 | ||||||
Yihe agreement [Member] | |||||||
Commitments [Line Items] | |||||||
Compensation | ¥ 8,000,000 | ||||||
Yihe Culture Media Agreement [Member] | |||||||
Commitments [Line Items] | |||||||
Compensation | $ | $ 1,200,000 | ||||||
Arbitration action, description | On October 16, 2020, in accordance with the provisions of the agreement with Yihe, as supplemented, the Company filed an arbitration action with the Shenzhen International Arbitration Court, or the Arbitration Court, claiming that Yihe failed to perform under the terms of the supplemented agreement and seeking a complete refund of its RMB 8 million payment to Yihe. The Company received notice from the Arbitration Court on October 16, 2020 of receipt of its arbitration filing and the requirement to pay the Arbitration Court RMB 190,000 in fees relating to the arbitration. These fees were paid on October 28, 2020. The Company intends to aggressively pursue this matter. | ||||||
Repay amount | ¥ 7,500,000 | ||||||
Reimburse amount for court costs | ¥ 178,125 |