Butterfly Network (BFLY) 10-K 23 Mar 23 2022 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2022	Mar. 17, 2023	Jun. 30, 2022
Entity Listings [Line Items]
Document Type	10-K
Document Annual Report	true
Document Transition Report	false
Document Period End Date	Dec. 31, 2022
Entity File Number	001-39292
Entity Registrant Name	Butterfly Network, Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	84-4618156
Entity Address, Address Line One	1600 District Avenue
Entity Address, City or Town	Burlington
Entity Address, State or Province	MA
Entity Address, Postal Zip Code	01803
City Area Code	781
Local Phone Number	557-4800
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
ICFR Auditor Attestation Flag	false
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Shell Company	false
Entity Public Float			$ 458.1
Auditor Name	Deloitte & Touche LLP
Auditor Firm ID	34
Auditor Location	New York, New York
Entity Central Index Key	0001804176
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	FY
Amendment Flag	false
Class A Common Stock
Entity Listings [Line Items]
Title of 12(b) Security	Class A common stock, $0.0001 par value per share
Trading Symbol	BFLY
Security Exchange Name	NYSE
Entity Common Stock, Shares Outstanding		177,012,901
Warrants to purchase one share of Class A common stock, each at an exercise price of $11.50 per share
Entity Listings [Line Items]
Title of 12(b) Security	Warrants to purchase one share of Class A common stock,each at an exercise price of $11.50 per share
Trading Symbol	BFLY WS
Security Exchange Name	NYSE
Class B Common Stock
Entity Listings [Line Items]
Entity Common Stock, Shares Outstanding		26,426,937

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 162,561	$ 422,841
Marketable securities	75,250
Accounts receivable, net	14,685	11,936
Inventories	59,970	36,243
Current portion of vendor advances	35,182	27,500
Prepaid expenses and other current assets	9,489	13,384
Total current assets	357,137	511,904
Property and equipment, net	31,331	14,703
Non-current portion of vendor advances		12,782
Operating lease assets	21,567	24,083
Other non-current assets	7,535	8,493
Total assets	417,570	571,965
Current liabilities:
Accounts payable	7,211	5,798
Deferred revenue, current	15,856	13,071
Accrued purchase commitments, current	2,146	5,329
Accrued expenses and other current liabilities	26,116	25,631
Total current liabilities	51,329	49,829
Deferred revenue, non-current	4,957	5,476
Warrant liabilities	5,370	26,229
Accrued purchase commitments, non-current		14,200
Operating lease liabilities	29,966	27,690
Other non-current liabilities	588	850
Total liabilities	92,210	124,274
Commitments and contingencies (Note 19)
Stockholders' equity:
Additional paid-in capital	921,278	874,886
Accumulated deficit	(595,938)	(427,215)
Total stockholders' equity	325,360	447,691
Total liabilities and stockholders' equity	417,570	571,965
Class A Common Stock
Stockholders' equity:
Common stock	17	17
Class B Common Stock
Stockholders' equity:
Common stock	$ 3	$ 3

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical)	Dec. 31, 2022 $ / shares shares
Class A Common Stock
Common stock, par value | $ / shares	$ 0.0001
Common stock, shares authorized	600,000,000
Common stock shares issued	174,459,956
Common stock, shares outstanding (in shares)	174,459,956
Class B Common Stock
Common stock, par value | $ / shares	$ 0.0001
Common stock, shares authorized	27,000,000
Common stock shares issued	26,426,937
Common stock, shares outstanding (in shares)	26,426,937

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Revenue:
Total revenue	$ 73,390	$ 62,565	$ 46,252
Cost of revenue:
Total cost of revenue	33,930	45,511	107,475
Gross profit (loss)	39,460	17,054	(61,223)
Operating expenses:
Research and development	89,121	74,461	49,738
Sales and marketing	59,888	49,604	26,263
General and administrative	83,471	85,717	24,395
Total operating expenses	232,480	209,782	100,396
Loss from operations	(193,020)	(192,728)	(161,619)
Interest income	3,384	2,573	285
Interest expense	(2)	(651)	(1,141)
Change in fair value of warrant liabilities	20,859	161,095
Other income (expense), net	98	(2,577)	(231)
Loss before provision for income taxes	(168,681)	(32,288)	(162,706)
Provision for income taxes	42	121	39
Net loss and comprehensive loss	$ (168,723)	$ (32,409)	$ (162,745)
Net loss per common share - basic	$ (0.84)	$ (0.19)	$ (26.87)
Net loss per common share - diluted	$ (0.84)	$ (0.19)	$ (26.87)
Weighted-average common shares outstanding - basic	199,848,386	173,810,053	6,056,574
Weighted-average common shares outstanding - diluted	199,848,386	173,810,053	6,056,574
Product
Revenue:
Total revenue	$ 50,263	$ 47,868	$ 38,347
Cost of revenue:
Total cost of revenue	26,804	29,308	46,294
Software and other services
Revenue:
Total revenue	23,127	14,697	7,905
Cost of revenue:
Total cost of revenue	$ 7,126	2,238	1,068
Loss on product purchase commitments
Cost of revenue:
Total cost of revenue		$ 13,965	$ 60,113

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY (DEFICIT) - USD ($) $ in Thousands	Convertible Preferred Stock	Common Stock Class A Common Stock	Common Stock Class B Common Stock	Additional Paid-In Capital	Accumulated Deficit	Class A Common Stock	Class B Common Stock	Total
Convertible Preferred Stock, Balance at beginning of the period at Dec. 31, 2019	$ 360,937
Convertible Preferred Stock, Balance at beginning of the period (in shares) at Dec. 31, 2019	107,197,118
Convertible Preferred Stock, Balance at end of the period at Dec. 31, 2020	$ 360,937
Convertible Preferred Stock, Balance at end of the period (in shares) at Dec. 31, 2020	107,197,118
Balance at beginning of the period at Dec. 31, 2019		$ 1		$ 19,782	$ (232,061)			$ (212,278)
Balance at beginning of the period (in shares) at Dec. 31, 2019		5,939,950
Increase (Decrease) in Stockholders' Equity
Net loss					(162,745)			(162,745)
Common stock issued upon exercise of stock options and warrants				2,009				2,009
Common stock issued upon exercise of stock options and warrants (in shares)		653,341
Stock-based compensation expense				11,083				11,083
Balance at end of the period at Dec. 31, 2020		$ 1		32,874	(394,806)			(361,931)
Balance at end of the period (in shares) at Dec. 31, 2020		6,593,291					0
Increase (Decrease) in Convertible Preferred Stock
Conversion of convertible preferred stock	$ (360,937)
Conversion of convertible preferred stock (in shares)	(107,197,118)
Increase (Decrease) in Stockholders' Equity
Net loss					(32,409)			(32,409)
Common stock issued upon exercise of stock options and warrants		$ 1		21,708				$ 21,709
Common stock issued upon exercise of stock options and warrants (in shares)		8,886,801						8,911,435
Common stock issued upon vesting of restricted stock units (in shares)		1,018,828
Conversion of convertible preferred stock		$ 8	$ 3	360,926				$ 360,937
Conversion of convertible preferred stock (in shares)		80,770,178	26,426,937
Conversion of convertible debt		$ 1		49,916				49,917
Conversion of convertible debt (in shares)		5,115,140
Net equity infusion from the Business Combination		$ 6		361,281				361,287
Net equity infusion from the Business Combination (in shares)		69,228,811
Stock-based compensation expense				48,181				48,181
Balance at end of the period at Dec. 31, 2021		$ 17	$ 3	874,886	(427,215)			447,691
Balance at end of the period (in shares) at Dec. 31, 2021		171,613,049	26,426,937			171,613,049	26,426,937
Increase (Decrease) in Stockholders' Equity
Net loss					(168,723)			(168,723)
Common stock issued upon exercise of stock options and warrants				2,982				$ 2,982
Common stock issued upon exercise of stock options and warrants (in shares)		1,081,313						1,081,213
Common stock issued upon vesting of restricted stock units				(106)				$ (106)
Common stock issued upon vesting of restricted stock units (in shares)		1,765,594
Stock-based compensation expense				43,516				43,516
Balance at end of the period at Dec. 31, 2022		$ 17	$ 3	$ 921,278	$ (595,938)			$ 325,360
Balance at end of the period (in shares) at Dec. 31, 2022		174,459,956	26,426,937			174,459,956	26,426,937

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Cash flows from operating activities:
Net loss	$ (168,723)	$ (32,409)	$ (162,745)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	5,935	2,090	1,316
Write-down of vendor advance		2,300	10,560
Non-cash interest expense on convertible debt		389	1,047
Write-down of inventories	783	889	7,123
Stock-based compensation expense	42,531	47,798	11,004
Change in fair value of warrant liabilities	(20,859)	(161,095)
Other	615	1,900	1,966
Changes in operating assets and liabilities:
Accounts receivable	(3,063)	(6,127)	(4,377)
Inventories	(24,510)	(11,285)	(23,487)
Prepaid expenses and other assets	3,819	(10,669)	(20)
Vendor advances	5,100	(2,621)	1,658
Accounts payable	1,216	(10,521)	11,175
Deferred revenue	2,266	7,314	7,446
Accrued purchase commitments	(17,383)	(23,063)	42,550
Change in operating lease assets and liabilities	2,257	1,901
Accrued expenses and other liabilities	901	4,022	13,084
Net cash used in operating activities	(169,115)	(189,187)	(81,700)
Cash flows from investing activities:
Purchases of marketable securities	(75,534)	(1,019,003)
Sales of marketable securities		1,017,010
Purchases of property and equipment, including capitalized software	(18,302)	(7,877)	(2,376)
Sales of property and equipment	57
Net cash used in investing activities	(93,779)	(9,870)	(2,376)
Cash flows from financing activities:
Proceeds from exercise of stock options and warrants	2,982	21,707	2,038
Net proceeds from equity infusion from the Business Combination		548,403	(657)
Proceeds from loan payable			4,366
Proceeds from issuance of convertible debt			50,000
Payment of loan payable		(4,366)
Payments of debt issuance costs		(52)	(1,467)
Other financing activities	(101)
Net cash provided by financing activities	2,881	565,692	54,280
Net (decrease) increase in cash, cash equivalents and restricted cash	(260,013)	366,635	(29,796)
Cash, cash equivalents and restricted cash, beginning of period	426,841	60,206	90,002
Cash, cash equivalents and restricted cash, end of period	166,828	426,841	60,206
Supplemental disclosure of non-cash investing and financing activities
Purchase of property and equipment	$ 4,501	$ 1,841	564
Deferred offering costs and debt issuance costs			$ 3,106

Organization and Description of

Organization and Description of Business	12 Months Ended
	Dec. 31, 2022
Organization and Description of Business
Organization and Description of Business	Note 1. Organization and Description of Business ​ Butterfly Network, Inc., formerly known as Longview Acquisition Corp. (the “Company”), was incorporated in Delaware on February 4, 2020. The Company’s legal name became Butterfly Network, Inc. following the Business Combination. The prior period financial information represents the financial results and condition of BFLY Operations, Inc. (formerly Butterfly Network, Inc.). ​ The Company is an innovative digital health business transforming care with handheld, whole-body ultrasound. Powered by its proprietary Ultrasound-on-Chip™ technology, the solution enables the acquisition of imaging information from an affordable, powerful device that fits in a healthcare professional’s pocket with a combination of cloud-connected software and hardware technology. ​ The Company operates wholly-owned subsidiaries in Australia, Germany, Netherlands, the United Kingdom and Taiwan. ​ Although the Company has incurred recurring losses in each year since inception, the Company expects its cash and cash equivalents and marketable securities will be sufficient to fund operations for at least the next twelve months.

Summary of Significant Accounti

Summary of Significant Accounting Policies	12 Months Ended
	Dec. 31, 2022
Summary of Significant Accounting Policies
Summary of Significant Accounting Policies	Note 2. Summary of Significant Accounting Policies Basis of Presentation and Principles of Consolidation ​ The accompanying consolidated financial statements include the accounts of BFLY Operations, Inc. (formerly Butterfly Network, Inc.) and its wholly-owned subsidiaries and have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and pursuant to the accounting disclosure rules and regulations of the Securities and Exchange Commission (the “SEC”). All intercompany balances and transactions have been eliminated in consolidation. ​ COVID-19 Outbreak ​ The COVID-19 pandemic that began in 2020 has created significant global economic uncertainty and has impacted the Company’s operating results, financial condition and cash flows. The full extent to which the COVID-19 pandemic will directly or indirectly impact the Company’s business, results of operations and financial condition will depend on ​ The Company has not incurred any significant impairment losses in the carrying values of its assets as a result of the COVID-19 pandemic and is not aware of any specific related event or circumstance that would require the Company to revise the estimates reflected in its financial statements. ​ Functional Currency ​ The Company’s worldwide operations utilize the U.S. dollar (“USD”) as the functional currency considering the significant dependency of each subsidiary on the Company. Subsidiary operations are financed through the funding received from the Company in USD. For foreign entities where the USD is the functional currency, all foreign currency-denominated monetary assets and liabilities are remeasured at end-of-period exchange rates. Exchange gains and losses arising from the remeasurement of foreign currency-denominated monetary assets and liabilities are included in the Company’s operating results in the consolidated statements of operations and comprehensive loss. ​ Concentration of Credit Risk ​ Financial instruments that potentially subject the Company to concentration of credit risk consist principally of cash and cash equivalents, marketable securities and accounts receivable. As of December 31, 2022 and 2021, substantially all of the Company’s cash and cash equivalents and marketable securities were invested in money market accounts and mutual funds, respectively, with one financial institution. The Company also maintains balances in various operating accounts above federally insured limits. The Company has not experienced any significant losses on such accounts and does not believe it is exposed to any significant credit risk on cash and cash equivalents and marketable securities. ​ As of December 31, 2022, no customer accounted for more than 10% of the Company’s accounts receivable. As of December 31, 2021, one customer accounted for more than 10% of the Company’s accounts receivable. For the years ended December 31, 2022, 2021 and 2020, no customer accounted for more than 10% of the Company’s total revenue. ​ Segment Information ​ The Company’s chief operating decision maker, its chief executive officer (“CEO”), reviews the financial information presented on a consolidated basis for purposes of allocating resources and evaluating its financial performance. Accordingly, the Company has determined that it operates in a single reportable segment. Substantially all of the Company’s long-lived assets are located in the United States. Since the Company operates in one operating segment, all required financial segment information can be found in the consolidated financial statements. ​ Use of Estimates ​ The preparation of the consolidated financial statements in conformity with U.S. GAAP requires the Company to make estimates and assumptions about future events that affect the amounts reported in its consolidated financial statements and accompanying notes. Future events and their effects cannot be determined with certainty. On an ongoing basis, management evaluates these estimates and assumptions. Significant estimates and assumptions include: ​ ● revenue recognition, including determination of the timing and pattern of satisfaction of performance obligations and determination of the standalone selling price (“SSP”) of performance obligations; ● assumptions underlying the warranty liability calculation; ● assumptions underlying the measurement of the purchase commitment loss; ● measurement and allocation of capitalized costs, the net realizable value (the selling price as well as estimated costs of completion, disposal and transportation) of inventory, and demand and future use of inventory; ● assumptions underlying the incremental borrowing rate calculation; ● assumptions underlying the warrant liability calculation; ● valuation allowances with respect to deferred tax assets; and ● assumptions underlying the fair value used in the stock-based compensation expense calculation. ​ The Company bases these estimates on historical and anticipated results and trends and on various other assumptions that the Company believes are reasonable under the circumstances, including assumptions about future events. Changes in estimates are recorded in the period in which they become known. Actual results could differ from these estimates, and any such differences may be material to the Company’s consolidated financial statements. ​ Revenue Recognition ​ The Company recognizes revenue in accordance with Accounting Standards Codification (“ASC”) Topic 606, Revenue from Contracts with Customers to be entitled to in exchange for these goods and services. To achieve this core principle, the Company applies the following 5 steps: ​ ● Step 1: Identify Contracts with Customers: The Company typically enters into contracts with customers through direct sales executed via signed contracts with payment terms of 60 days or less. Multi-year software subscriptions typically require advance payment for each annual subscription period. ● Step 2: Identify Performance Obligations: The Company’s contracts with customers often include multiple performance obligations. The Company has identified the following performance obligations in its contracts with customers: ● Hardware devices and accessories ● Software subscriptions, including renewal subscriptions, which represent an obligation to provide the customer with ongoing access to the Company’s cloud-hosted software applications on a continuous basis throughout the subscription period ● Implementation and integration services ● Extended warranties and customer service ● Step 3: Determine Transaction Price: The Company’s contracts with customers include variable consideration in the form of refunds and credits for product returns and price concessions. The Company estimates variable consideration using the expected value method based on a portfolio of data from similar contracts. ● Step 4: Allocate Transaction Price to Performance Obligations: The Company allocates transaction price to the performance obligations in contracts with customers based on the relative SSPs of the goods and services. For the software subscriptions and renewal subscriptions, which the Company sells to customers on a standalone basis, the Company uses the observable SSPs of new and renewal subscriptions, respectively. The Company’s sales of hardware devices and accessories represent single performance obligations. ● Step 5: Recognize Revenue as Performance Obligations are Satisfied: Each sale of a hardware device or accessory is a performance obligation satisfied at a point in time when control of the good transfers from the Company to the customer. The Company’s software subscriptions, extended warranties and customer service are stand-ready performance obligations that are satisfied over time by providing the customer with ongoing access to the Company’s resources. The Company uses the time-elapsed (i.e., straight-line) measure of progress to recognize revenue as these performance obligations are satisfied evenly over the respective service periods. The implementation and integration services are a performance obligation satisfied over time, and the Company uses the costs incurred as inputs into the measure of progress to recognize revenue as it satisfies the performance obligation. ​ Deferred Revenue ​ Deferred revenue primarily consists of billings or payments received in advance of revenue recognition from software subscriptions and other services and is reduced as the revenue recognition criteria are met. Deferred revenue is classified as current or non-current on the consolidated balance sheets based on the expected timing of revenue recognition. The deferred revenue that will be recognized as revenue within the next twelve months is classified as current, and the deferred revenue that will be recognized thereafter is classified as non-current. ​ Warranties ​ The Company offers a standard product warranty that its products will function according to standard specifications and free of significant defects for a period of one year from when control is transferred to the customer. The Company evaluated the warranty liability under ASC Topic 606 and determined that it is an assurance-type warranty. When product revenue is recognized, an estimate of future warranty costs is recognized as cost of product revenue and accrued expenses. Factors that affect the estimate of future warranty costs include historical and current product failure rates, service delivery costs incurred in correcting product failures and warranty policies and business practices. ​ Cash and Cash Equivalents ​ All highly liquid investments purchased with a maturity of three months or less are considered to be cash equivalents. As of December 31, 2022 and 2021, cash and cash equivalents consist principally of cash and money market accounts. ​ Trade Accounts Receivable and Allowance for Doubtful Accounts ​ Accounts receivable are recognized as the original amount invoiced less an allowance for doubtful accounts based on the probability of future collection. I n accordance with ASC Topic 326, Financial Instruments-Credit Losses , the Company estimates its allowance for doubtful accounts based on historical loss patterns, the number of days that billings are past due, current market conditions, and reasonable and supportable forecasts of future economic conditions. Accounts receivable are written off when deemed uncollectible and collection of the receivable is no longer being actively pursued. The following table summarizes the allowance for doubtful accounts activity: ​ ​ ​ ​ ​ (in thousands) Fair Value Allowance for doubtful accounts as of December 31, 2020 ​ $ 576 Additions (recoveries) ​ (54) Deductions – write offs ​ (82) Allowance for doubtful accounts as of December 31, 2021 ​ $ 440 Additions (recoveries) ​ ​ 315 Deductions – write offs ​ ​ (227) Allowance for doubtful accounts as of December 31, 2022 ​ $ 528 ​ Inventories ​ Inventories primarily consist of raw materials, work-in-progress and finished goods which are purchased and held by the Company’s third-party contract manufacturers. Inventories are stated at the lower of actual cost, determined using the average cost method, or net realizable value. Actual cost includes all direct and indirect production costs to convert materials into a finished product. Net realizable value is based upon an estimated average selling price reduced by the estimated costs of completion, disposal and transportation. The determination of net realizable value involves certain judgments including estimating average selling prices. The Company reduces the value of inventory for estimated obsolescence or lack of marketability by the difference between the cost of the affected inventory and the net realizable value. ​ The valuation of inventories also requires the Company to estimate excess and obsolete inventory. The Company considers new product development schedules, the effect that new products might have on the sale of existing products, product obsolescence, product merchantability and whether older products can be remanufactured into new products, among other factors. ​ Losses expected to arise from firm, non-cancelable and unhedged commitments for the future purchase of inventories are recognized unless the losses are recoverable through firm sales contracts or other means. ​ Restricted Cash ​ Restricted cash includes deposits in financial institutions restricted according to an agreement and used to secure a lease agreement. The Company classifies the amount restricted according to an agreement as prepaid expenses and other current assets as the Company expects the deposit to be released from restriction within the next twelve months. The Company classifies the amount used to secure a lease agreement within other non-current assets as the lease is long-term. The amount shown as restricted cash is included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown in the consolidated statement of cash flows. ​ Security Deposits ​ Security deposits represent amounts paid to third parties in relation to non-cancelable leases. ​ Vendor Advances ​ Vendor advances represent amounts paid to third-party vendors for future services to be received related to production of the Company’s inventories. The amounts are presented net of write offs. The classification of vendor advances as current or non-current is based on the estimated timing of inventory delivery. ​ Property and Equipment, Net ​ Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation expense is computed using the straight-line method over the estimated useful lives of the related assets. Leasehold improvements are amortized on a straight-line basis over the shorter of the remaining lease term or the estimated useful lives of related improvements. ​ Useful lives for property and equipment are as follows: ​ ​ ​ ​ Property and Equipment Estimated Useful Life Software 3 years Machinery and equipment 3 – 5 years Furniture and fixtures 5 – 7 years Leasehold improvements Lesser of estimated useful life or remaining lease term ​ Expenditures for major renewals and improvements are capitalized. Expenditures for repairs and maintenance are expensed as incurred. When assets are retired or otherwise disposed of, the cost of those assets and the related accumulated depreciation and amortization is eliminated from the balance sheet, and any resulting gains or losses are included in the statements of operations and comprehensive loss in the period of disposal. ​ Capitalized Software Development Costs ​ Costs to develop or obtain software for internal use are capitalized and recorded as capitalized software development costs on the consolidated balance sheets as a component of property and equipment, net. The Company capitalizes qualifying costs associated with internal-use software incurred during the application development stage if management with relevant authority authorizes the project, it is probable the project will be completed and the software will be used to perform the function intended. Costs incurred during the preliminary project and post-implementation stages, including training and maintenance, are expensed as incurred. Capitalized costs are amortized on a project-by-project basis using the straight-line method over the estimated economic life of the software, which is three years, beginning when the software is substantially ready for use. Amortization expense is classified in the consolidated statements of operations and comprehensive loss based on the nature of the software. ​ Leases ​ The Company primarily enters into leases for office space that are classified as operating leases. The Company determines if an agreement is or contains a lease at inception. Leases may terminate its leases with the notice required in the lease agreement and upon payment of a termination fee, if required. The Company’s leases do not include substantial variable payments based on indexes or rates. The Company’s lease agreements do not contain any significant residual value guarantees or restrictive covenants. ​ The Company’s leases do not provide a readily determinable implicit discount rate. The Company’s incremental borrowing rate is estimated to approximate an interest rate on a collateralized basis with similar terms and payments and in similar economic environments. Operating lease right-of-use assets and liabilities are recognized at the commencement date based on the present value of lease payments over the lease term. The Company recognizes a single lease cost on a straight-line basis over the lease term, and the Company includes all cash payments within cash flows from operating activities as the change in operating lease assets and liabilities in the consolidated statements of cash flows. ​ The Company evaluates right-of-use assets for impairment consistent with its impairment of long-lived assets policy. There were no impairments of right-of-use assets in the years ended December 31, 2022 and 2021. The Company does not have any finance or capital leases as of December 31, 2022 and 2021. ​ Impairment of Long-Lived Assets ​ The Company reviews its long-lived assets for impairment at least annually or whenever events or changes in business circumstances indicate that the carrying amount of assets may not be fully recoverable. Each impairment test is based on a comparison of the undiscounted cash flows to the recorded value of the asset. If the recorded value of the asset is less than the undiscounted cash flows, the asset is written down to its estimated fair value. No impairments were recorded for the years ended December 31, 2022 and 2021. The Company recorded an impairment charge of $1.4 million during the year ended December 31, 2020 related to historical prepayments to a related party for the acquisition of capital assets. ​ Warrant Liability ​ The Company’s outstanding warrants include publicly-traded warrants (the “Public Warrants”), which were issued as one Derivatives and Hedging—Contracts in Entity’s Own Equity Derivatives and Hedging ​ Cost of Revenue ​ Cost of product revenue includes manufacturing costs, personnel costs and benefits, inbound freight, packaging, warranty replacement costs, payment processing fees and inventory obsolescence and write offs. Cost of software and other services revenue includes personnel costs, cloud hosting costs, amortization of capitalized software development costs and payment processing fees. ​ Research and Development ​ R&D expenses primarily consist of personnel costs and benefits, facilities expenses, consulting and professional fees, fabrication services, software and other outsourcing expenses. Substantially all of the Company’s R&D expenses are related to developing new products and services and improving existing products and services. R&D expenses are expensed as incurred. ​ Sales and Marketing ​ Sales and marketing expenses primarily consist of personnel costs and benefits, third-party logistics, fulfillment and outbound shipping costs, facilities expenses, advertising, and travel and entertainment. Advertising expenses are expensed as incurred. For the years ended December 31, 2022, 2021 and 2020, advertising expenses were $5.8 million, $8.3 million and $4.7 million, respectively. ​ General and Administrative ​ General and administrative expenses primarily consist of personnel costs and benefits, insurance, patent fees, software costs, facilities costs and outside services. Outside services consist of professional services, legal fees and other professional fees. ​ Net Loss per Common Share ​ We compute net loss per share of Class A and Class B common stock using the two-class method. Basic net loss per share is computed by dividing the net loss by the weighted-average number of shares of each class of the Company’s common stock outstanding during the period. Diluted net loss per share is computed by giving effect to all of the Company’s potential common shares outstanding of the Company’s common stock to the extent the potential shares are dilutive. Basic and diluted net loss per share were the same for each period presented in the consolidated statements of operations and comprehensive loss as the inclusion of all potential shares of the Company’s common stock would have been anti-dilutive. Since the Company was in a net loss position for all periods presented, the basic net loss per share calculation excludes the Company’s convertible preferred stock as it does not participate in net losses of the Company. Refer to Note 12 “Net Loss Per Share” for further discussion. ​ Stock-Based Compensation Expense ​ The measurement of stock-based compensation expense for all stock-based payment awards, including stock options and restricted stock units granted to employees, directors and nonemployees, is based on the estimated fair value of the awards on the grant date. ​ The Company recognizes stock-based compensation expense for its awards on a straight-line basis over the requisite service period of the individual grants, which is generally the vesting period, based on the awards’ estimated grant date fair values. Generally, awards fully vest three ​ The Company granted performance-based restricted stock units during the years ended December 31, 2022, 2021 and 2020. The Company accounted for these awards according to the relevant provisions of ASC Topic 718, Compensation-Stock Compensation ​ Income Taxes ​ The Company accounts for income taxes using the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been recognized in the consolidated financial statements or in the Company’s tax returns. Deferred tax assets and liabilities are determined based on the difference between the financial statement and tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. Changes in deferred tax assets and liabilities are recorded in the provision for income taxes. The Company assesses the likelihood that its deferred tax assets will be recovered from future taxable income and, to the extent it believes, based upon the weight of available evidence, that it is more likely than not that all or a portion of the deferred tax assets will not be realized, a valuation allowance is established through a charge to income tax expense. Potential for recovery of deferred tax assets is evaluated by estimating the future taxable profits expected and considering prudent and feasible tax planning strategies. The Company accounts for uncertainty in income taxes recognized in the consolidated financial statements by applying a two-step process to determine the amount of tax benefit to be recognized. First, the tax position must be evaluated to determine the likelihood that it will be sustained upon external examination by the taxing authorities. If the tax position is deemed more likely than not to be sustained, the tax position is then assessed to determine the amount of benefit to recognize in the consolidated financial statements. The amount of the benefit that may be recognized is the largest amount that has a greater than 50% likelihood of being realized upon ultimate settlement. The provision for income taxes includes the effects of any resulting tax reserves, or unrecognized tax benefits, that are considered appropriate as well as the related net interest and penalties. ​ Recent Accounting Pronouncements Adopted ​ In November 2021, the Financial Accounting Standards Board issued Accounting Standards Update 2021-10, Government Assistance (Topic 832): Disclosures by Business Entities about Government Assistance ​

Revenue Recognition

Revenue Recognition	12 Months Ended
	Dec. 31, 2022
Revenue Recognition
Revenue Recognition	Note 3. Revenue Recognition Disaggregation of Revenue ​ The Company disaggregates revenue from contracts with customers by product type and by geographical market. The Company believes that these categories aggregate the payor types by nature, amount, timing and uncertainty of its revenue streams. The following table summarizes the Company’s disaggregated revenues (in thousands) for the years ended December 31: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Pattern of ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Recognition ​ 2022 2021 2020 By Product Type: ​ ​ ​ ​ ​ ​ Devices and accessories ​ Point-in-time ​ $ 50,263 ​ $ 47,868 ​ $ 38,347 Software and other services ​ Over time ​ 23,127 ​ 14,697 ​ 7,905 Total revenue ​ ​ ​ $ 73,390 ​ $ 62,565 ​ $ 46,252 By Geographical Market: ​ ​ ​ ​ ​ United States ​ ​ ​ $ 51,072 ​ $ 42,993 ​ $ 33,237 International ​ ​ ​ 22,318 ​ 19,572 ​ 13,015 Total revenue ​ ​ ​ $ 73,390 ​ $ 62,565 ​ $ 46,252 ​ Contract Balances ​ Contract balances represent amounts presented in the consolidated balance sheets when the Company has either transferred goods or services to the customer or the customer has paid consideration to the Company under the contract. These contract balances include trade accounts receivable and deferred revenue. The Company recognizes a receivable when it has an unconditional right to payment, and payment terms are typically 60 days for product and software and other services sales on credit. The amount of revenue recognized during the years ended December 31, 2022 and 2021 that was included in the deferred revenue balance at the beginning of the period was $13.0 million and $8.4 million, respectively. ​ Transaction Price Allocated to Remaining Performance Obligations ​ As of December 31, 2022, the Company had $23.9 million of remaining performance obligations. The Company expects to recognize approximately 71% of its remaining performance obligations as revenue in the next twelve months thereafter ​ Costs of Obtaining or Fulfilling Contracts ​ The Company incurs incremental costs of obtaining contracts and costs of fulfilling contracts with customers. Incremental costs of obtaining contracts, which include commissions and referral fees paid to third parties as a result of obtaining contracts with customers, are capitalized to the extent that the Company expects to recover such costs. Costs of fulfilling contracts that relate specifically to a contract with a customer, result from activities that generate resources for the Company and enable the Company to satisfy its performance obligations in the contract with the customer are capitalized to the extent that the Company expects to recover such costs. Capitalized costs are amortized in a pattern that is consistent with the Company’s transfer of the related goods and services to the customer. The Company had $1.1 million and $0.6 million of capitalized costs of obtaining or fulfilling contracts as of December 31, 2022 and 2021, respectively. The Company’s amortization costs for capitalized costs of obtaining or fulfilling contracts was not significant for the years ended December 31, 2022, 2021 and 2020. ​ Practical Expedients and Accounting Policy Elections ​ In determining the transaction price of its contracts with customers, the Company estimates variable consideration using a portfolio of data from similar contracts. ​ As a practical expedient, the Company does not adjust the transaction price for the effects of a significant financing component in contracts in which the period between when the Company transfers the promised good or service to the customer and when the customer pays for that good or service is a year or less. ​ The Company has made an accounting policy election to exclude all sales taxes from the transaction price of its contracts with customers. Accordingly, sales taxes collected from customers and remitted to government authorities are not included in revenue and are accounted for as a liability until they have been remitted to the respective government authority. ​

Fair Value of Financial Instrum

Fair Value of Financial Instruments	12 Months Ended
	Dec. 31, 2022
Fair Value of Financial Instruments
Fair Value of Financial Instruments	Note 4. Fair Value of Financial Instruments Fair value estimates of financial instruments are made at a specific point in time, based on relevant information about financial markets and specific financial instruments. As these estimates are subjective in nature, involving uncertainties and matters of significant judgment, they cannot be determined with precision. Changes in assumptions can significantly affect estimated fair value. ​ The Company measures fair value as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the reporting date. The Company utilizes a three-tier hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value: ​ ● Level 1 — Valuations based on quoted prices in active markets for identical assets or liabilities that an entity has the ability to access. ● Level 2 — Valuations based on quoted prices for similar assets or liabilities, quoted prices for identical assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable data for substantially the full term of the assets or liabilities. ● Level 3 — Valuations based on inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The Company has no assets or liabilities valued with Level 3 inputs. The carrying value of cash and cash equivalents, accounts receivable, accounts payable and accrued expenses approximates their fair values due to the short-term or on demand nature of these instruments. ​ There were no transfers between fair value measurement levels during the years ended December 31, 2022 and 2021. ​ The Company’s investments in marketable securities are ownership interests in mutual funds. The equity securities are stated at fair value, as determined by quoted market prices. As the securities have readily determinable fair value, unrealized gains and losses are reported as other income (expense), net on the consolidated statements of operations and comprehensive loss. Subsequent gains or losses realized upon redemption or sale of these securities are also recorded as other income (expense), net on the consolidated statements of operations and comprehensive loss. The Company considers all of its investments in marketable securities as available for use in current operations and therefore classifies these securities within current assets on the consolidated balance sheets. For the year ended December 31, 2022, the Company recognized $0.3 million of unrealized losses that relate to equity securities still held as of December 31, 2022. For the years ended December 31, 2021 and 2020, the Company did not recognize any unrealized losses that relate to equity securities still held as of December 31, 2022. ​ The Company determined the fair value of its Public Warrants as Level 1 financial instruments, as they are traded in active markets. Because any transfer of Private Warrants from the initial holder of the Private Warrants would result in the Private Warrants having substantially the same terms as the Public Warrants, management determined that the fair value of each Private Warrant is the same as that of a Public Warrant. Accordingly, the Private Warrants are classified as Level 2 financial instruments. ​ The following table summarizes the Company’s assets and liabilities that are measured at fair value on a recurring basis, by level, within the fair value hierarchy (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Fair Value Measurement Level ​ ​ Total ​ Level 1 ​ Level 2 ​ Level 3 December 31, 2022: ​ ​ ​ ​ Marketable securities: ​ ​ ​ ​ ​ ​ Mutual funds ​ $ 75,250 ​ $ 75,250 ​ $ — ​ $ — Total assets at fair value on a recurring basis ​ $ 75,250 ​ $ 75,250 ​ $ — ​ $ — ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Warrants: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Public Warrants ​ $ 3,588 ​ $ 3,588 ​ $ — ​ $ — Private Warrants ​ ​ 1,782 ​ ​ — ​ ​ 1,782 ​ ​ — Total liabilities at fair value on a recurring basis ​ $ 5,370 ​ $ 3,588 ​ $ 1,782 ​ $ — ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2021: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Warrants: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Public Warrants ​ $ 17,525 ​ $ 17,525 ​ $ — ​ $ — Private Warrants ​ ​ 8,704 ​ ​ — ​ ​ 8,704 ​ ​ — Total liabilities at fair value on a recurring basis ​ $ 26,229 ​ $ 17,525 ​ $ 8,704 ​ $ — ​

Inventories

Inventories	12 Months Ended
	Dec. 31, 2022
Inventories
Inventories	Note 5. Inventories A summary of inventories is as follows at December 31 (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, December 31, ​ 2022 2021 Raw materials ​ $ 41,265 ​ 19,853 Work-in-progress ​ 1,962 ​ 1,122 Finished goods ​ 16,743 ​ 15,268 Total inventories ​ $ 59,970 ​ $ 36,243 ​ Work-in-progress represents inventory items in intermediate stages of production by third party manufacturers. For the years ended December 31, 2022, 2021 and 2020, net realizable value inventory adjustments and excess and obsolete inventory charges were $0.8 million, $0.9 million and $7.1 million, respectively, and were recognized in cost of product revenue. ​

Restricted Cash

Restricted Cash	12 Months Ended
	Dec. 31, 2022
Restricted Cash
Restricted Cash	Note 6. Restricted Cash A reconciliation of cash, cash equivalents and restricted cash from the consolidated balance sheets to the consolidated statements of cash flows as of December 31, 2022 and 2021 is as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ 2022 2021 Reconciliation of cash, cash equivalents and restricted cash: ​ ​ ​ ​ ​ ​ Cash and cash equivalents ​ $ 162,561 ​ $ 422,841 Restricted cash included within prepaid expenses and other current assets ​ 253 ​ — Restricted cash included within other non-current assets ​ ​ 4,014 ​ ​ 4,000 Total cash, cash equivalents and restricted cash shown in the consolidated statements of cash flows ​ $ 166,828 ​ $ 426,841 ​ In the second quarter of 2021, the Company delivered a $4.0 million letter of credit for the Company’s Burlington, MA lease, secured by a deposit of the same amount with a financial institution that issued the letter of credit. The deposit is classified as restricted cash and included in other non-current assets on the consolidated balance sheets. During the year ended December 31, 2022, the Company received $5.5 million from the Bill & Melinda Gates Foundation (“BMGF”). Due to a legal restriction in the agreement with the BMGF, these funds are classified as restricted cash and included in prepaid expenses and other current assets on the consolidated balance sheets. As of December 31, 2022, the Company has released $5.2 million of the BMGF funds from restricted cash as the Company partially fulfilled its obligations under the agreement. ​

Other Non-Current Assets

Other Non-Current Assets	12 Months Ended
	Dec. 31, 2022
Other Non-Current Assets
Other Non-Current Assets	Note 7. Other Non-Current Assets Other non-current assets consist of the following at December 31 (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, December 31, ​ 2022 2021 Security deposits ​ $ 1,882 ​ $ 1,883 Restricted cash ​ ​ 4,014 ​ ​ 4,000 Other long-term assets ​ ​ 1,639 ​ ​ 2,610 Total other non-current assets ​ $ 7,535 ​ $ 8,493 ​

Property and Equipment, Net

Property and Equipment, Net	12 Months Ended
	Dec. 31, 2022
Property and Equipment, Net
Property and Equipment, Net	Note 8. Property and Equipment, Net Property and equipment, net, are recorded at historical cost and consist of the following at December 31 (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, December 31, ​ 2022 2021 Software ​ $ 14,746 ​ $ 3,831 Leasehold improvements ​ ​ 13,793 ​ ​ 4,212 Machinery and equipment ​ 9,663 ​ 6,861 Furniture and fixtures ​ 2,121 ​ 42 Construction in progress ​ 1,937 ​ 5,086 Other ​ 125 ​ 47 ​ ​ 42,385 ​ 20,079 Less: accumulated depreciation and amortization ​ (11,054) ​ (5,376) Property and equipment, net ​ $ 31,331 ​ $ 14,703 ​ Total depreciation and amortization expense amounted to $5.9 million, $2.1 million and $1.3 million for the years ended December 31, 2022, 2021 and 2020, respectively. ​ For the Company’s software assets, accumulated amortization was $3.9 million and $0.7 million as of December 31, 2022 and 2021, respectively. Amortization expense recognized on these software assets was $3.3 million and $0.5 million during the years ended December 31, 2022 and 2021, respectively. Estimated amortization expense for the next five years ended December 31 is as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 2024 2025 2026 2027 Software ​ $ 4,812 ​ $ 4,377 ​ $ 1,600 ​ $ — ​ $ — ​

Accrued Expenses and Other Curr

Accrued Expenses and Other Current Liabilities	12 Months Ended
	Dec. 31, 2022
Accrued Expenses and Other Current Liabilities
Accrued Expenses and Other Current Liabilities	Note 9. Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consist of the following at December 31 (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, December 31, ​ 2022 2021 Employee compensation ​ $ 12,166 ​ $ 12,746 Customer deposits ​ 1,135 ​ 1,850 Accrued warranty liability ​ 287 ​ 266 Non-income tax ​ 1,442 ​ 2,477 Professional fees ​ 3,450 ​ 2,797 Current portion of operating lease liabilities ​ ​ 1,926 ​ ​ 1,391 Other ​ 5,710 ​ 4,104 Total accrued expenses and other current liabilities ​ $ 26,116 ​ $ 25,631 ​ Warranty expense activity for the years ended December 31 is as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2022 2021 2020 Balance, beginning of period ​ $ 1,116 ​ $ 1,826 ​ $ 876 Warranty provision charged to operations ​ 296 ​ 58 ​ 2,498 Warranty claims ​ (539) ​ (768) ​ (1,548) Balance, end of period ​ $ 873 ​ $ 1,116 ​ $ 1,826 ​ The Company classifies its accrued warranty liability based on the timing of expected warranty activity. The future costs of expected activity greater than one year is recorded within other non-current liabilities on the consolidated balance sheet. ​

Stockholders' Equity (Deficit)

Stockholders' Equity (Deficit)	12 Months Ended
	Dec. 31, 2022
Stockholders' Equity (Deficit)
Stockholders' Equity (Deficit)	Note 10. Stockholders’ Equity (Deficit) Common stock ​ Dividends ​ Holders of the Company’s Class A and Class B common stock are not entitled to receive dividends unless declared by the Board. Any such dividends would be subject to the preferential dividend rights of the holders of the then outstanding preferred stock or any other series stock having preferential rights. Holders of the Class A and Class B common stock will share ratably, if and when any dividend is declared, out of funds legally available. There have been no dividends declared to date. ​ Voting rights ​ The holders of shares of the Class A common stock are entitled to 1 vote per share on all matters on which the shares shall be entitled to vote. The holders of shares of the Class B common stock are entitled to 20 votes per share on all matters on which the shares shall be entitled to vote. Generally, holders of all classes of common stock vote together as a single class. ​ Liquidation Rights ​ On the liquidation, dissolution, distribution of assets or winding up of the Company, each holder of Class B common stock, together with each holder of Class A common stock, will be entitled, pro rata on a per share basis, to all assets of the Company of whatever kind available for distribution to the holders of common stock, subject to the designations, preferences, limitations, restrictions and relative rights of any other class or series of preferred stock of the Company then outstanding and unless disparate or different treatment of the shares of Class A common stock and Class B common stock is approved by the affirmative vote of the holders of a majority of the outstanding shares of Class A common stock and Class B common stock, each voting separately as a class. ​ Other Matters ​ Holders of shares of Class A common stock do not have subscription, redemption or conversion rights. ​ Holders of Class B common stock have the right to convert shares of their Class B common stock into fully paid and non-assessable shares of Class A common stock, on a one-to-one basis, at the option of the holder at any time upon written notice to the Company. Holders of Class B common stock will have their Class B common stock automatically converted into Class A common stock, on a one-to-one basis, upon the occurrence of any of the events described below: ​ (1) Any sale, assignment, transfer, conveyance, hypothecation, or other transfer or disposition, directly or indirectly, of any Class B common stock or any legal or beneficial interest in such share, whether or not for value and whether voluntary or involuntary or by operation of law (including by merger, consolidation, or otherwise), including, without limitation the transfer of a share of Class B common stock to a broker or other nominee or the transfer of, or entering into a binding agreement with respect to, voting control over such share by proxy or otherwise, other than a permitted transfer. ​ (2) Upon the first date on which Dr. Rothberg, together with all other qualified stockholders, collectively cease to beneficially own at least 20% of the number of Class B common stock (as such number of shares is equitably adjusted in respect of any reclassification, stock dividend, subdivision, combination, or recapitalization of the Class B common stock) collectively beneficially owned by Dr. Rothberg and permitted transferees of Class B common stock as of the effective time of the Merger. ​ (3) Upon the date specified by the affirmative vote of the holders of at least two -thirds (2/3) of the outstanding shares of Class B common stock, voting as a separate class. ​

Equity Incentive Plan

Equity Incentive Plan	12 Months Ended
	Dec. 31, 2022
Equity Incentive Plan
Equity Incentive Plan	Note 11. Equity Incentive Plan The Company’s 2012 Employee, Director and Consultant Equity Incentive Plan (the "2012 Plan") was approved by the Board and the Company’s stockholders in March 2012. In connection with the closing of the Business Combination, the Company has not granted and will not grant any additional awards under the 2012 Plan. However, the 2012 Plan will continue to govern the terms and conditions of the outstanding awards previously granted thereunder. As of December 31, 2022, the number of shares of common stock reserved for issuance under the 2012 Plan was 8.0 million. ​ The Butterfly Network, Inc. Amended and Restated 2020 Equity Incentive Plan (the “2020 Plan”, and together with the 2012 Plan, the “Plans”) was approved by the Board in the fourth quarter of 2020 and by the stockholders in the first quarter of 2021. The 2020 Plan is administered by the Board. The Board may grant stock-based awards, restricted stock and options to purchase shares either as incentive stock options or non-qualified stock options. The restricted stock and options grants are subject to certain terms and conditions, option periods and conditions, exercise rights and privileges and are fully discussed in the 2020 Plan. Grants under the Plans are included in the tables below. ​ As of December 31, 2022, the number of shares of common stock reserved for issuance under the 2020 Plan was 34.3 million and 18.8 million common shares remain available for issuance under the 2020 Plan. ​ Stock option activity ​ Each stock option grant carries varying vesting schedules whereby the options may be exercised at the participant’s sole discretion provided they are an employee, director or consultant of the Company on the applicable vesting date. Each option shall terminate not more than ten years from the grant date. ​ A summary of the stock option activity under the Plans is presented in the table below: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted ​ ​ ​ ​ ​ Weighted ​ Average ​ Aggregate ​ ​ ​ ​ Average ​ Remaining ​ Intrinsic ​ ​ Number of ​ Exercise ​ Contractual ​ Value ​ ​ Options ​ Price ​ Term ​ (in thousands) Outstanding at December 31, 2020 26,708,329 ​ 4.03 7.06 143,338 Granted 8,101,866 ​ 12.98 Exercised (8,911,435) ​ 2.46 Forfeited (9,655,228) ​ 6.12 Outstanding at December 31, 2021 16,243,532 ​ 8.11 7.63 24,398 Granted 869,778 ​ 4.37 Exercised (1,081,213) ​ 2.76 Forfeited (3,460,185) ​ 10.43 Outstanding at December 31, 2022 12,571,912 ​ 7.67 5.62 1,342 Options exercisable at December 31, 2021 7,399,460 ​ 4.34 5.88 21,300 Options exercisable at December 31, 2022 9,478,419 ​ 7.06 4.75 1,263 Vested and expected to vest at December 31, 2021 12,943,351 ​ 7.30 7.26 23,242 Vested and expected to vest at December 31, 2022 11,341,764 ​ 7.47 5.33 1,310 ​ The total intrinsic value excludes those options whereby the stock price does not exceed the exercise price of the option. ​ Additional information about the Company’s stock option activity during the years ended December 31, 2022, 2021 and 2020 is presented in the table below: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2022 2021 2020 Cash proceeds from the exercise of stock options (in millions) ​ $ 3.0 ​ $ 21.7 ​ $ 2.0 Total intrinsic value of stock options exercised (in millions) ​ 3.6 ​ 80.9 ​ 3.6 Weighted average grant date fair value of options granted ​ 2.79 ​ 6.47 ​ 3.27 ​ The intrinsic value of a stock option that’s been exercised is the amount by which the stock price exceeds the exercise price of the option on the date of exercise. ​ Valuation of stock options ​ In accordance with ASC Topic 718, Compensation-Stock Compensation ​ ​ ​ ​ ​ ​ ​ ​ ​ 2022 2021 2020 Risk-free interest rate 1.7% – 3.0% ​ 0.6% – 1.4% ​ 0.4% – 1.7% Expected dividend yield 0% ​ 0% ​ 0% Expected term 5.8 years – 6.5 years ​ 5.5 years – 6.2 years ​ 5.9 years – 6.3 years Expected volatility 70% – 73% ​ 51% – 63% ​ 50% ​ The assumptions used to value option grants to non-employees were as follows: ​ ​ ​ ​ ​ 2020 Risk-free interest rate 0.4% – 1.7% Expected dividend yield 0% Expected term 1.1 years – 6.1 years Expected volatility 50% ​ The Company did not grant any options to non-employees during the years ended December 31, 2022 and 2021. ​ Risk-free interest rate ​ The risk-free interest rate for periods within the expected term of the awards is based on the U.S. Treasury yield curve in effect on the grant date. ​ Expected dividend yield ​ The Company has never declared or paid any cash dividends and does not expect to pay any cash dividends in the foreseeable future. ​ Expected term ​ For employee awards, the Company calculates the expected term using the “simplified” method, which is the simple average of the vesting period and the contractual term. The simplified method is applied as the Company does not have sufficient historical data to provide a reasonable basis for an estimate of the expected term. The Company calculates the expected term for employee awards that take into account the effects of employee’s expected exercise and post-vesting employment termination behavior. For non-employee awards, the expected term is determined on an award by award basis. ​ Expected volatility ​ Prior to the closing of the Business Combination, as the Company was privately held from inception until the closing of the Business Combination in 2021, there was no specific historical or implied volatility information available. Accordingly, the Company estimates the expected volatility on the historical stock volatility of a group of similar companies that are publicly traded over a period equivalent to the expected term of the stock-based awards. ​ Subsequent to the closing of the Business Combination, the Company considered the historical stock volatilities of its’ peer companies, the historical volatility of the Company's stock price, and the implied stock price volatility derived from the price of exchange traded options on the Company's stock. Due to the lack of historical and implied volatility data of the Company’s common stock for a significant portion of 2021, the Company primarily estimated the expected volatility using the historical stock volatility of a group of similar companies that are publicly traded over a period equivalent to the expected term of the stock-based awards. During 2022, the Company used a combination of the historical and implied volatilities of its own stock and of peer companies as described above. ​ Exercise price ​ The exercise price is taken directly from the grant notice issued to employees and non-employees. ​ Restricted stock unit activity ​ A summary of the restricted stock unit activity under the Plans is presented in the table below: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted ​ ​ Number of ​ Average ​ ​ Restricted ​ Grant Date ​ ​ Stock Units ​ Fair Value Outstanding at December 31, 2020 1,894,897 ​ 9.40 Granted 3,375,079 ​ 14.77 Vested (1,018,828) ​ 9.40 Forfeited (292,323) ​ 12.77 Outstanding at December 31, 2021 3,958,825 ​ 13.73 Granted 12,076,285 ​ 3.98 Vested (2,947,832) ​ 11.80 Forfeited (3,125,987) ​ 6.85 Outstanding at December 31, 2022 9,961,291 ​ 4.55 ​ The total fair value of the restricted stock units vested was $10.7 million and $10.4 million during the years ended December 31, 2022 and 2021, respectively. ​ Included in the table above are performance-based restricted stock units that include certain service conditions in the award. In January 2021, the Company granted 1.0 million restricted stock units to certain executives. In 2020, the Company granted 1.9 million restricted stock units to certain employees and consultants, including a grant of 1.0 million restricted stock units to the Chairman of the Board and significant stockholder of Butterfly. The service condition for these awards is satisfied by providing service to the Company based on the defined service period per the award agreement. The performance-based condition is satisfied upon the occurrence of a business combination event as defined in the award agreement. The achievement of the performance condition was deemed satisfied in the first quarter of 2021, when the completion of the Business Combination occurred. During the year ended December 31, 2021, the Company recognized the full grant date fair value of the awards granted to the Chairman of the Board and one other consultant as service to the Company was no longer required since the Business Combination closed in the first quarter of 2021. For the remaining awards, continued service is still required for the awards to continue to vest per the award agreements. The achievement of the performance condition was not deemed satisfied and the Company did not recognize any expense for these awards for the period ended December 31, 2020. ​ In the third quarter of 2021 and excluded from the table above, the Company approved 0.1 million performance-based restricted stock units for certain executives. The service condition for these awards is satisfied by providing service to the Company based on the defined service period per the award agreement. The performance-based conditions are objective and subjective performance metrics defined in the award agreement. Each award agreement provides that the Compensation Committee of the Board of Directors (the “Compensation Committee”) has discretion over the number of shares that will vest pursuant to the performance metrics. During the first quarter of 2023, the Compensation Committee will certify the number of shares vested under the performance-based restricted stock unit awards. The Company concluded a grant date has not occurred and that the service inception date precedes the grant date. For awards that management estimates will vest, the expense is recognized using the accelerated attribution method over the requisite service period as defined in the award agreement. The fair value of these awards is remeasured at the close of each reporting period until a grant date occurs. An insignificant amount of expense for these awards was recognized during the year ended December 31, 2022. In 2022, the Company granted 0.2 million performance-based restricted stock units to certain executives. The service condition for these awards is satisfied by providing service to the Company based on the defined service period per the award agreement. The performance-based conditions are objective performance metrics defined in the award agreement. An insignificant amount of expense for these awards was recognized during the year ended December 31, 2022. Award accelerations and modifications ​ During 2020, in connection with employee terminations, the Company extended the post-employment exercise period with regards to 0.7 million stock options. The incremental stock-based compensation expense resulting from the modifications was not significant. ​ On January 23, 2021, Legacy Butterfly’s former CEO resigned from his position. Pursuant to the separation agreement between the former CEO and Legacy Butterfly, he received equity-based compensation including the acceleration of vesting of 1.6 million service-based options. The acceleration was pursuant to the original award agreements. The Company recognized $2.6 million of incremental stock-based compensation expense related to the acceleration of this option award during the year ended December 31, 2021. ​ On December 30, 2022, the Company’s CEO resigned from his position. Pursuant to the separation agreement between the CEO and the Company, he received equity-based compensation including the acceleration of vesting of 1.7 million of the CEO’s service-based stock options and service-based restricted stock units. This acceleration was pursuant to the original award agreements. As a modification to the original award agreements, 0.1 million performance-based restricted stock units had an acceleration of vesting, and 0.3 million service-based stock options had their post-employment exercise period extended. The Company recognized a total of $7.8 million of incremental stock-based compensation expense during the year ended December 31, 2022 related to the acceleration of these awards pursuant to the original award agreements and the modifications to the original award agreements. The incremental stock-based compensation expense resulting from the modifications was not significant. ​ Stock-based compensation expense ​ The Company’s stock-based compensation expense for the periods presented was as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, ​ 2022 2021 2020 Cost of revenue – software and other services ​ $ 88 ​ $ 21 ​ $ 15 Research and development ​ 12,746 ​ 9,060 ​ 4,551 Sales and marketing ​ 5,974 ​ 8,074 ​ 2,591 General and administrative ​ 23,723 ​ 30,643 ​ 3,847 Total stock-based compensation expense ​ $ 42,531 ​ $ 47,798 ​ $ 11,004 ​ No related tax benefits of the stock-based compensation expense have been recognized and no related tax benefits have been realized from the exercise of stock options due to the Company’s net operating loss carryforwards. The Company has capitalized $1.0 million, $0.4 million and $0.1 million of stock-based compensation expense as part of the cost of its software assets during the years ended December 31, 2022, 2021 and 2020, respectively. ​ Total unrecognized stock-based compensation expense as of December 31, 2022 and 2021 was $54.0 million and $78.8 million, respectively, which will be recognized over the remaining weighted average vesting period of 2.5 years and 2.8 years, respectively. ​

Net Loss Per Share

Net Loss Per Share	12 Months Ended
	Dec. 31, 2022
Net Loss Per Share
Net Loss Per Share	Note 12. Net Loss Per Share We compute net loss per share of Class A and Class B common stock using the two-class method. Basic net loss per share is computed by dividing the net loss by the weighted-average number of shares of each class of the Company’s common stock outstanding during the period. Diluted net loss per share is computed by giving effect to all potential shares of the Company’s common stock, including those presented in the table below, to the extent dilutive. Basic and diluted net loss per share was the same for each period presented as the inclusion of all potential shares of the Company’s common stock outstanding would have been anti-dilutive. Since the Company was in a net loss position for all periods presented, the basic earnings per share (“EPS”) calculation excludes preferred stock as it does not participate in net losses of the Company. ​ As the Company uses the two-class method required for companies with multiple classes of common stock, the following table presents the calculation of basic and diluted net loss per share for each class of the Company’s common stock outstanding (in thousands, except share and per share amounts): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, 2022 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total ​ ​ Class A Class B Common Stock ​ Numerator: ​ ​ ​ ​ ​ ​ Allocation of undistributed earnings ​ $ (146,412) ​ $ (22,311) ​ $ (168,723) ​ Numerator for basic and diluted net loss per share – loss available to common stockholders ​ $ (146,412) ​ $ (22,311) ​ $ (168,723) ​ Denominator: ​ ​ ​ ​ Weighted-average common shares outstanding ​ 173,421,449 ​ 26,426,937 ​ 199,848,386 ​ Denominator for basic and diluted net loss per share – weighted-average common stock ​ 173,421,449 ​ 26,426,937 ​ 199,848,386 ​ Basic and diluted net loss per share ​ $ (0.84) ​ $ (0.84) ​ $ (0.84) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, 2021 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total ​ ​ Class A Class B Common Stock ​ Numerator: ​ ​ ​ ​ ​ ​ Allocation of undistributed earnings ​ $ (28,048) ​ $ (4,361) ​ $ (32,409) ​ Numerator for basic and diluted net loss per share – loss available to common stockholders ​ $ (28,048) ​ $ (4,361) ​ $ (32,409) ​ Denominator: ​ ​ ​ ​ Weighted-average common shares outstanding ​ 150,424,024 ​ 23,386,029 ​ 173,810,053 ​ Denominator for basic and diluted net loss per share – weighted-average common stock ​ 150,424,024 ​ 23,386,029 ​ 173,810,053 ​ Basic and diluted net loss per share ​ $ (0.19) ​ $ (0.19) ​ $ (0.19) ​ ​ ​ ​ ​ ​ Year ended December 31, 2020 ​ ​ ​ ​ ​ ​ ​ Numerator: ​ ​ Allocation of undistributed earnings ​ $ (162,745) Numerator for basic and diluted net loss per share – loss available to common stockholders ​ $ (162,745) Denominator: ​ Weighted-average common shares outstanding ​ 6,056,574 Denominator for basic and diluted net loss per share – weighted-average common stock ​ 6,056,574 Basic and diluted net loss per share ​ $ (26.87) ​ For the periods presented above, the net loss per share amounts are the same for Class A and Class B common stock because the holders of each class are entitled to equal per-share dividends or distributions in liquidation in accordance with the Company’s Restated Certificate. The undistributed earnings for each year are allocated based on the contractual participation rights of the Class A and Class B common stock as if the earnings for the year had been distributed. As the liquidation and dividend rights are identical, the undistributed earnings are allocated on a proportionate basis. For the year ended December 31, 2020, the undistributed earnings are only allocated to Class A common stock as there were no shares of Class B common stock outstanding. ​ Anti-dilutive common equivalent shares were as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2022 2021 2020 Outstanding options to purchase common stock ​ 12,571,912 ​ 16,243,532 26,708,329 Outstanding restricted stock units ​ 9,961,291 ​ 3,577,894 ​ 1,894,897 Outstanding warrants ​ 20,652,690 ​ 20,652,837 ​ — Outstanding convertible preferred stock (Series A through D) ​ — ​ — 107,197,118 Total anti-dilutive common equivalent shares ​ 43,185,893 ​ 40,474,263 135,800,344 ​

Income Taxes

Income Taxes	12 Months Ended
	Dec. 31, 2022
Income Taxes
Income Taxes	Note 13. Income Taxes Income (loss) before provision for income taxes consisted of the following (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, ​ ​ 2022 2021 2020 Federal ​ $ (169,122) ​ $ (32,706) ​ $ (162,876) Foreign ​ 441 ​ 418 ​ 170 Loss before provision for income taxes ​ $ (168,681) ​ $ (32,288) ​ $ (162,706) ​ The Company recorded a tax provision of $0.04 million, $0.12 million and $0.04 million for the years ended December 31, 2022, 2021 and 2020, respectively, due to foreign income and return to provision adjustments. Due to the Company’s loss position domestically, the Company has not recorded a significant federal tax provision for the years ended December 31, 2022, 2021 and 2020. ​ A reconciliation of the Company’s statutory income tax rate to the Company’s effective income tax rate is as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, ​ ​ 2022 2021 2020 Income at US statutory rate ​ 21.00 % 21.00 % 21.00 % State taxes, net of federal benefit ​ 2.21 % 15.42 % 3.18 % Stock compensation ​ (5.01) % (10.10) % 0.00 % Change in fair value of warrants ​ 2.60 % 104.78 % 0.00 % Tax credits ​ 2.16 % 12.51 % 0.86 % Foreign rate differential ​ 0.00 % 0.01 % 0.00 % Valuation allowance ​ (22.91) % (142.86) % (24.35) % Other ​ (0.08) % (1.14) % (0.71) % ​ ​ (0.03) % (0.38) % (0.02) % ​ Net deferred tax assets as of December 31, 2022 and 2021 consisted of the following (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, ​ 2022 2021 Deferred tax assets ​ ​ Net operating loss carryforwards ​ $ 135,733 ​ $ 122,279 Tax credits ​ 14,047 ​ 10,620 Stock compensation ​ 3,680 ​ 4,752 Accruals and reserves ​ 2,747 ​ 7,929 Inventory reserve ​ ​ 8,797 ​ ​ 289 Lease liability ​ ​ 7,646 ​ ​ 7,063 Depreciation ​ ​ 914 ​ ​ 102 Capitalized tax R&E ​ ​ 15,127 ​ ​ — Other ​ 3,901 ​ 1,600 Total deferred tax assets ​ $ 192,592 ​ $ 154,634 Valuation allowance ​ (187,421) ​ (148,785) Total deferred tax assets ​ $ 5,171 ​ $ 5,849 Deferred tax liabilities ​ ​ Right-of-use asset ​ ​ (5,171) ​ ​ (5,849) Net deferred tax assets ​ $ — ​ $ — ​ As of December 31, 2022 and 2021, the Company had federal net operating loss (“NOL”) carryforwards of approximately $552.2 million and $494.8 million, respectively. As of December 31, 2022 and 2021, the Company had state NOL carryforwards of approximately $352.9 million and $323.8 million, respectively. Of the $552.2 million of federal NOL carryforwards, $73.7 million will begin to expire at various dates in 2031 and $478.5 million may be carried forward indefinitely. The state NOL carryforwards will begin to expire in 2031. As of December 31, 2022, the Company also had federal and state tax credits of $11.8 million and $2.8 million, which will begin to expire in 2032 and 2022, respectively. ​ The Tax Cuts and Jobs Act resulted in significant changes to the treatment of research and experimental (“R&E”) expenditures under Section 174. For tax years beginning after December 31, 2021, companies are required to capitalize and amortize all R&E expenditures that are paid or incurred in connection with their trade or business. Specifically, costs for U.S. based R&E activities must be amortized over five years. Previously, these expenses could be deducted in the year incurred. The implementation of this provision didn’t increase our cash income tax payment in 2022 due to our significant pre-tax net loss. ​ Future realization of the tax benefits of existing temporary differences and net operating loss carryforwards ultimately depends on the existence of sufficient taxable income within the carryforward period. As of December 31, 2022 and 2021, the Company performed an evaluation to determine whether a valuation allowance was needed. The Company considered all available evidence, both positive and negative, which included the results of operations for the current and preceding years. The Company determined that it was not possible to reasonably quantify future taxable income and determined that it is more likely than not that all of the deferred tax assets will not be realized. Accordingly, the Company maintained a full valuation allowance as of December 31, 2022 and 2021. ​ The Company’s valuation allowance increased by $38.7 million and $47.0 million for the years ended December 31, 2022 and 2021, respectively, due primarily to the generation of NOLs. ​ The utilization of NOLs and tax credit carryforwards to offset future taxable income may be subject to an annual limitation as a result of ownership changes that have occurred previously or may occur in the future. Under Sections 382 and 383 of the Internal Revenue Code of 1986, as amended, (“IRC”), a corporation that undergoes an ownership change may be subject to limitations on its ability to utilize its pre-change NOLs and other tax attributes otherwise available to offset future taxable income and/or tax liability. An ownership change is defined as a cumulative change of 50% or more in the ownership positions of certain stockholders during a rolling three-year period. The Company conducted an ownership analysis under IRC Section 382 based upon publicly available information as of December 31, 2022 and determined that there has not been an ownership change since the last ownership change event on February 12, 2021 that would limit the Company’s utilization of its NOLs and tax credits. ​ The calculation of our tax liabilities involves dealing with uncertainties in the application of complex tax laws and regulations for both federal taxes and the many states in which the Company operates or does business. ASC 740-10 states that a tax benefit from an uncertain tax position may be recognized when it is more likely than not that the position will be sustained upon examination, including resolutions of any related appeals or litigation processes, on the basis of the technical merits. ​ The Company records uncertain tax positions as liabilities in accordance with ASC 740-10 and adjusts these liabilities when the Company’s judgment changes as a result of the evaluation of new information not previously available. Because of the complexity of some of these uncertainties, the ultimate resolution may result in a payment that is materially different from the Company’s current estimate of the unrecognized tax benefit liabilities. These differences will be reflected as increases or decreases to income tax expense in the period in which new information is available. As of December 31, 2022 and 2021, the Company has not recorded any uncertain tax positions in its financial statements. ​ The Company recognizes interest and penalties related to unrecognized tax benefits within the provision for income taxes on the consolidated statements of operations and comprehensive loss. As of December 31, 2022 and 2021, there was no significant accrued interest or penalties. ​ The Company files tax returns as prescribed by the tax laws of the jurisdictions in which it operates. In the normal course of business, the Company is subject to examination by federal, state and foreign jurisdictions, where applicable. There are currently no pending tax examinations. The Company’s tax years are still open under statute from December 31, 2018 to the present. Federal and state net operating losses are subject to review by taxing authorities in the year utilized. ​ From time to time, the Company applies for government assistance in the form of non-income tax refundable credits based on meeting various eligibility criteria. To account for government assistance, where there is limited GAAP guidance for for-profit entities, the Company analogizes to International Accounting Standards 20, Accounting for Government Grants and Disclosures of Government Assistance. Under that standard, the Company recognizes government assistance when there is reasonable assurance that it will comply with the relevant conditions and that the assistance will be received. During the year ended December 31, 2022, the Company received a tax credit paid in cash of $0.9 million under the state of Massachusetts Life Sciences Tax Incentive Program and recorded the receipt as other income (expense), net on the consolidated statements of operations and comprehensive loss. The government grant is subject to claw-back if the Company fails to meet certain targets in the tax year following the time of the award. ​

Related Party Transactions

Related Party Transactions	12 Months Ended
	Dec. 31, 2022
Related Party Transactions
Related Party Transactions	Note 14. Related Party Transactions Prior to the closing of the Business Combination, the Company subleased office and laboratory spaces from 4Catalyzer. Additionally, under the Amended and Restated Technology Services Agreement by and between the Company, 4Catalyzer Corporation (“4Catalyzer”), and other participant companies controlled by Dr. Rothberg (the “ARTSA”), the Company, 4 Catalyzer and the other participant companies agreed to provide certain services to each other and to share certain non-core technologies. These expenditures are recorded within the accompanying consolidated statements of operations and comprehensive loss and allocated to the proper operating expense caption based on the nature of the service. Butterfly terminated its participation under the ARTSA immediately prior to the Closing of the Business Combination and, during the year ended December 31, 2021, ceased using the services provided by 4Catalyzer and other participant companies. During the year ended December 31, 2022 the Company terminated its sublease of office and laboratory spaces from 4Catalyzer. ​ A summary of related-party transactions and balances with 4Catalyzer are as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, ​ 2022 2021 2020 Total incurred for operating expenses ​ $ 78 ​ $ 583 ​ $ 5,571 ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ 2022 2021 Due from related parties ​ $ 145 ​ $ — Due to related parties ​ — ​ 88 ​

401(k) Retirement Plan

401(k) Retirement Plan	12 Months Ended
	Dec. 31, 2022
401(k) Retirement Plan
401(k) Retirement Plan	Note 15. 401(k) Retirement Plan ​ The Company sponsors a 401(k) defined contribution plan covering all eligible U.S. employees. Contributions to the 401(k) plan are discretionary. Effective January 1, 2022, the Company began making matching contributions to the 401(k) plan. The expense related to the matching contributions was $1.3 million for the year ended December 31, 2022. The Company did not make any matching contributions to the 401(k) plan for the years ended December 31, 2021 and 2020.

Reduction in Force

Reduction in Force	12 Months Ended
	Dec. 31, 2022
Reduction in Force
Reduction in Force	Note 16. Reduction in Force ​ On July 28, 2022, the Board approved a plan designed to improve the Company’s efficiency by reducing operating expenses and extending liquidity. In addition to decreasing other operating expenses, the plan included a reduction in force representing approximately 10% of the Company’s workforce. Employee severance and benefits costs related to the reduction in force that were incurred during the year ended December 31, 2022 are as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ Year ended ​ ​ December 31, 2022 Research and development ​ $ 1,035 Sales and marketing ​ ​ 338 General and administrative ​ ​ 417 Total employee severance and benefits costs ​ $ 1,790 ​ The Company incurred substantially all of the cash payments related to employee severance and benefits costs in the third quarter of 2022. As of December 31, 2022 the remaining accrual for cash payments related to employee severance and benefits costs is insignificant. ​ During January 2023, the Company implemented a second reduction in force as described in Note 20 “ Subsequent Events

Warrants

Warrants	12 Months Ended
	Dec. 31, 2022
Warrants
Warrants	Note 17. Warrants ​ Public Warrants ​ The Company issued Public Warrants and Private Warrants in connection with its IPO during the year ended December 31, 2020. As of December 31, 2022, there were an aggregate of 13,799,357 outstanding Public Warrants, which entitle the holder to acquire Class A common stock. During the years ended December 31, 2022 and 2021, the amount of exercises of Public Warrants was not significant. The amount reclassified into equity upon the exercise of the Public Warrants was not significant. Each whole warrant entitles the registered holder to purchase one share of Class A common stock at an exercise price of $11.50 per share, subject to adjustment as discussed below, beginning on May 26, 2021. The warrants will expire on February 12, 2026 or earlier upon redemption or liquidation. ​ Redemptions ​ At any time while the warrants are exercisable, the Company may redeem not less than all of the outstanding Public Warrants: ​ ● at a price of $0.01 per warrant; ● upon a minimum of 30 days ’ prior written notice of redemption (the “ 30-day redemption period”) to each warrant holder; ● provided that the last reported sale price of the Class A common stock equals or exceeds $18.00 per share (as adjusted for stock splits, stock dividends, reorganizations, recapitalizations and the like and for certain issuances of Class A common stock and equity-linked securities) for any 20 trading days within a 30 -trading day period ending on the third trading day prior to the date the Company sends the notice of redemption to the warrant holders; and ● provided that there is an effective registration statement covering the issuance of the shares of Class A common stock issuable upon exercise of the warrants, and a current prospectus relating thereto, available through the 30 -day redemption period or the Company has elected to require the exercise of the warrants on a “cashless basis” (as described below). ​ If the foregoing conditions are satisfied and the Company issues a notice of redemption of the Public Warrants at $0.01 per warrant, each holder of Public Warrants will be entitled to exercise their Public Warrants prior to the scheduled redemption date. ​ If the Company calls the Public Warrants for redemption for $0.01 as described above, the Board may elect to require any holder that wishes to exercise his, her or its Public Warrant to do so on a “cashless basis.” If the Board makes such election, all holders of Public Warrants would pay the exercise price by surrendering their warrants for that number of shares of Class A common stock equal to the quotient obtained by dividing (x) the product of the number of shares of Class A common stock underlying the warrants, multiplied by the excess of the “fair market value” ​over the exercise price of the warrants by (y) the “fair market value.” For purposes of the redemption provisions of the warrants, the “fair market value” means the average last reported sale price of the Class A common stock for the 10 ​ Commencing 90 days after the warrants become exercisable, the Company may redeem not less than all of the outstanding Public Warrants and Private Warrants: ​ ● at $0.10 per warrant; ● upon a minimum of 30 days ’ prior written notice of redemption; ● provided that the last reported sale price of the Class A common stock equals or exceeds $10.00 per share (as adjusted per stock splits, stock dividends, reorganizations, reclassifications, recapitalizations and the like) on the trading day prior to the date on which the Company sends the notice of redemption to the warrant holders; ● provided that the Private Warrants are also concurrently exchanged at the same price (equal to a number of shares of Class A common stock) as the outstanding Public Warrants; and ● provided that there is an effective registration statement covering the issuance of the shares of Class A common stock issuable upon exercise of the warrants and a current prospectus relating thereto available throughout the 30-day redemption period. ​ If the foregoing conditions are satisfied and the Company issues a notice of redemption of the warrants at $0.10 per warrant, each warrant holder will be entitled to exercise their warrant prior to the scheduled redemption date on a cashless basis and receive that number of shares based on the redemption date and the “fair market value” of the Class A common stock, in accordance with a table set forth in the warrant agreement. ​ The Company evaluated the Public Warrants under ASC 815-40, Derivatives and Hedging—Contracts in Entity’s Own Equity Staff Statement on Accounting and Reporting Considerations for Warrants Issued by Special Purpose Acquisition Companies (“SPACs”) and concluded that they do not meet the criteria to be classified in stockholders’ equity. Specifically, the exercise of the warrants may be settled in cash upon the occurrence of a tender offer or exchange offer in which the maker of the tender offer or exchange offer, upon completion of the tender offer or exchange offer, beneficially owns more than 50% of the outstanding shares of the Company’s Class A common stock, even if it would not result in a change of control of the Company. This provision would preclude the warrants from being classified in equity and thus the warrants should be classified as a liability. ​ Private Warrants ​ As of December 31, 2022, there were 6,853,333 Private Warrants outstanding. There have been no exercises of the Private Warrants. The Private Warrants are identical to the Public Warrants, except that so long as they are held by Longview Investors LLC (the “Sponsor”) or any of its permitted transferees, (i) the Private Warrants and the shares of Class A common stock issuable upon the exercise of the Private Warrants are not transferable, assignable or saleable until 30 days after the completion of the Business Combination, (ii) the Private Warrants will be exercisable for cash or on a cashless basis, at the holder’s option, and (iii) the Private Warrants are not subject to the Company’s redemption option at the price of $0.01 per warrant. The Private Warrants are subject to the Company’s redemption option at the price of $0.10 per warrant, provided that the other conditions of such redemption are met, as described above. If the Private Warrants are held by a holder other than the Sponsor or any of its permitted transferees, the Private Warrants will be redeemable by the Company in all redemption scenarios applicable to the Public Warrants and exercisable by such holders on the same basis as the Public Warrants. ​ The Company evaluated the Private Warrants under ASC 815-40, Derivatives and Hedging—Contracts in Entity’s Own Equity , in conjunction with the SEC Division of Corporation Finance’s April 12, 2021 Public Statement, Staff Statement on Accounting and Reporting Considerations for Warrants Issued by Special Purpose Acquisition Companies (“SPACs”) , and concluded that they do not meet the criteria to be classified in stockholders’ equity. Specifically, the terms of the warrants provide for potential changes to the settlement amounts dependent upon the characteristics of the warrant holder, and, because the holder of a warrant is not an input into the pricing of a fixed-for-fixed option on equity shares, such provision would preclude the warrant from being classified in equity and thus the warrants should be classified as a liability. ​ The Company recognized gains of $20.9 million $161.1 million as a change in fair value of warrant liabilities in the consolidated statements of operations and comprehensive loss for the years ended December 31, 2022 and 2021. ​

Leases

Leases	12 Months Ended
	Dec. 31, 2022
Leases
Leases	Note 18. Leases The Company primarily enters into leases for office space that are classified as operating leases. Most leases are not cancelable prior to their expiration. During the years ended December 31, 2022 and 2021, the Company accounted for leases in accordance with ASC Topic 842, Leases Leases ​ In May 2021, the Company entered into a lease agreement for office space in Burlington, MA which expires in December 2032 and includes approximately $27.3 million of legally binding minimum lease payments. As stated in the lease, the Company and the landlord agreed to a payment schedule that includes escalating rent payments beginning on the lease commencement date. The lease contains a tenant improvement allowance of $5.2 million, which is recognized as a reduction of minimum lease payments and recognized on a straight-line basis over the term of the lease. As of December 31, 2022, the Company has fully utilized the tenant improvement allowance. The lease also includes termination and renewal options to be exercised at the discretion of the Company. These options are not reflected in the lease term as it is not reasonably certain that they will be exercised. The Company gained access to the office space and began recognizing expense for the lease in the third quarter of 2021. The rent expense is included below in the operating lease cost table. ​ The following table presents the components of operating lease cost for the years ended December 31, 2022 and 2021 (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, ​ 2022 2021 Operating lease cost ​ $ 4,300 ​ $ 2,927 Short-term lease cost ​ 249 ​ 287 Variable lease cost ​ 353 ​ 100 Total operating lease cost ​ $ 4,902 ​ $ 3,314 ​ Rent expense for operating leases was $2.1 million for the year ended December 31, 2020. The expected maturities related to the Company’s leases with initial non-cancellable lease terms in excess of one year as of December 31, 2022 are as follows: ​ ​ ​ ​ ​ Year ended December 31, Operating Lease Payments 2023 ​ $ 3,493 2024 ​ 4,434 2025 ​ ​ 4,652 2026 ​ ​ 4,763 2027 ​ ​ 4,875 2027 and thereafter ​ ​ 18,340 Total gross operating lease payments ​ ​ 40,557 Less: imputed interest ​ ​ (8,665) Total operating lease liabilities, reflecting the present value of net lease payments ​ $ 31,892 ​ Additional information related to operating leases is presented as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ 2022 2021 Weighted average remaining lease term (in years) ​ 8.8 ​ ​ 9.4 ​ Weighted average discount rate ​ 5.5 % ​ 5.5 % ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, ​ 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: ​ ​ ​ ​ ​ ​ Operating lease payments, included in cash flows from operating activities ​ $ 2,042 ​ $ 1,012 ​ ​ ​ ​ ​ ​ ​ Non-cash additions to operating lease assets ​ $ — ​ $ 13,929 ​

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
	Dec. 31, 2022
Commitments and Contingencies.
Commitments and Contingencies	Note 19. Commitments and Contingencies Commitments ​ Purchase commitments: ​ The Company enters into inventory purchase commitments with third-party manufacturers in the ordinary course of business, including a non-cancellable inventory supply agreement with a certain third-party manufacturing vendor. The provisions of the agreement allowed the Company, once it reached a certain cumulative purchase threshold in the fourth quarter of 2021, to pay for a portion of the subsequent inventory purchases using an advance previously paid to the vendor. As of December 31, 2022, the aggregate amount of minimum inventory purchase commitments is $56.5 million and the Company has a vendor advance asset of $17.1 million, net of write-downs, and an accrued purchase commitment liability of $2.1 million related to the agreement. The portion of the balances that is expected to be utilized in the next twelve months is included in current assets and current liabilities in the accompanying consolidated balance sheets. The Company applied the guidance in ASC Topic 330, Inventory The Company reviews its inventory on hand, including inventory acquired under the purchase commitments, for excess and obsolescence (“E&O”) on a quarterly basis. Any E&O inventory acquired that was previously accounted for as a purchase commitment liability accrual or vendor advance write-down is recorded at zero value. During the year ended December 31, 2022, the Company utilized $17.4 million of the accrued purchase commitment liability and $15.1 million of the vendor advance that was previously written down to acquire such E&O inventory. During the year ended December 31, 2021, the Company utilized $35.0 million of the accrued purchase commitment liability to acquire such E&O inventory. ​ Other purchase commitments: ​ In September 2020, the Company renegotiated certain inventory purchase commitments with other third-party manufacturing vendors, and as a result certain inventory purchase commitments have been canceled. The Company recorded the expected losses on those commitments of $6.9 million as a loss on product purchase commitments in the consolidated statements of operations for the year ended December 31, 2020. ​ Contingencies ​ The Company is involved in litigation and legal matters from time to time including our legal structure, which have arisen in the normal course of business. Although the ultimate results of these matters are not currently determinable, management does not expect that they will have a material effect on the Company’s condensed consolidated balance sheets, statements of operations and comprehensive loss, or statements of cash flows. ​ On February 16, 2022, a putative class action lawsuit, styled Rose v. Butterfly Network, Inc., et al. ​ On March 9, 2022, Fujifilm filed a complaint against the Company, styled Fujifilm Sonosite, Inc. v. Butterfly Network, Inc. ​ On June 21, 2022, a stockholder derivative action, styled Koenig v. Todd M. Fruchterman, et al. ​ The Company enters into agreements that contain indemnification provisions with other parties in the ordinary course of business, including business partners, investors, contractors, customers and the Company’s officers, directors and certain employees. The Company has agreed to indemnify and defend the indemnified party claims and related losses suffered or incurred by the indemnified party from actual or threatened third-party claims because of the Company’s activities or non-compliance with certain representations and warranties made by the Company. It is not possible to determine the maximum potential loss under these indemnification provisions due to the Company’s limited history of prior indemnification claims and the unique facts and circumstances involved in any particular case. To date, losses recorded in the Company’s condensed consolidated statements of operations and comprehensive loss in connection with the indemnification provisions have not been material. ​

Subsequent Events

Subsequent Events	12 Months Ended
	Dec. 31, 2022
Subsequent Events
Subsequent Events	Note 20. Subsequent Events On January 4, 2023, the Board approved a plan designed to improve the Company’s efficiency by reducing operating expenses and extending liquidity. In addition to decreasing other operating expenses, the plan included a reduction in force representing approximately 25% of the Company’s workforce. The Company estimates that it will incur approximately $5.0 million of cash payments related to employee severance and benefits costs, substantially all of which the Company expects to incur in the first quarter of 2023. ​ On February 12, 2021, the Company, then operating as Longview, held a special meeting of stockholders (the “Special Meeting”) to approve certain matters relating to the Business combination with Legacy Butterfly, including a proposal to amend and restate the Company’s certificate of incorporation to read in its entirety as set forth in the Second Amended and Restated Certificate of Incorporation (the “New Certificate of Incorporation”). The proposed amendments would increase its total authorized shares of Class A common stock from 200 million shares to 600 million shares and Class B common stock from 20 million shares to 27 million shares. The New Certificate of Incorporation was approved by a majority of the shares of Class A and Class B common stock, voting together as a single class, that were outstanding and entitled to vote thereon. After the Special Meeting, the Business Combination was closed, the New Certificate of Incorporation became effective, and the Company changed its name to Butterfly Network, Inc. ​ A recent decision by the Court of Chancery of the State of Delaware (the “Court”) in Garfield v. Boxed, Inc. a petition in the Court on February 21, 2023 pursuant to Section 205 of the DGCL seeking validation and a declaration of effectiveness of the New Certificate of Incorporation and actions taken in reliance thereon, including the issuance of shares. Section 205 of the DGCL permits the Court, in its discretion, to ratify and validate potentially defective corporate acts and stock after considering a variety of factors. ​ On March 14, 2023, the Court granted the Company’s petition and issued an order providing that “1. The New Certificate of Incorporation, including the filing and effectiveness thereof, is hereby validated and declared effective as of 9:40 a.m. (EDT) on February 12, 2021 and 2. All shares of capital stock of the Company issued in reliance on the effectiveness of the New Certificate of Incorporation, including 164,862,472 shares of Class A Common Stock and 26,426,937 shares of Class B Common Stock issued by the Company in connection with or after the Merger, are hereby validated and declared effective as of the date and time of the original issuance of such shares.” The Court’s granting of the Company’s petition has addressed and eliminated the uncertainty created by Court’s recent decision.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	12 Months Ended
	Dec. 31, 2022
Summary of Significant Accounting Policies
Basis of Presentation and Principles of Consolidation	Basis of Presentation and Principles of Consolidation ​ The accompanying consolidated financial statements include the accounts of BFLY Operations, Inc. (formerly Butterfly Network, Inc.) and its wholly-owned subsidiaries and have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and pursuant to the accounting disclosure rules and regulations of the Securities and Exchange Commission (the “SEC”). All intercompany balances and transactions have been eliminated in consolidation.
COVID-19 Outbreak	COVID-19 Outbreak ​ The COVID-19 pandemic that began in 2020 has created significant global economic uncertainty and has impacted the Company’s operating results, financial condition and cash flows. The full extent to which the COVID-19 pandemic will directly or indirectly impact the Company’s business, results of operations and financial condition will depend on ​ The Company has not incurred any significant impairment losses in the carrying values of its assets as a result of the COVID-19 pandemic and is not aware of any specific related event or circumstance that would require the Company to revise the estimates reflected in its financial statements. ​
Functional Currency	Functional Currency ​ The Company’s worldwide operations utilize the U.S. dollar (“USD”) as the functional currency considering the significant dependency of each subsidiary on the Company. Subsidiary operations are financed through the funding received from the Company in USD. For foreign entities where the USD is the functional currency, all foreign currency-denominated monetary assets and liabilities are remeasured at end-of-period exchange rates. Exchange gains and losses arising from the remeasurement of foreign currency-denominated monetary assets and liabilities are included in the Company’s operating results in the consolidated statements of operations and comprehensive loss. ​
Concentration of Credit Risk	Concentration of Credit Risk ​ Financial instruments that potentially subject the Company to concentration of credit risk consist principally of cash and cash equivalents, marketable securities and accounts receivable. As of December 31, 2022 and 2021, substantially all of the Company’s cash and cash equivalents and marketable securities were invested in money market accounts and mutual funds, respectively, with one financial institution. The Company also maintains balances in various operating accounts above federally insured limits. The Company has not experienced any significant losses on such accounts and does not believe it is exposed to any significant credit risk on cash and cash equivalents and marketable securities. ​ As of December 31, 2022, no customer accounted for more than 10% of the Company’s accounts receivable. As of December 31, 2021, one customer accounted for more than 10% of the Company’s accounts receivable. For the years ended December 31, 2022, 2021 and 2020, no customer accounted for more than 10% of the Company’s total revenue.
Segment Information	Segment Information ​ The Company’s chief operating decision maker, its chief executive officer (“CEO”), reviews the financial information presented on a consolidated basis for purposes of allocating resources and evaluating its financial performance. Accordingly, the Company has determined that it operates in a single reportable segment. Substantially all of the Company’s long-lived assets are located in the United States. Since the Company operates in one operating segment, all required financial segment information can be found in the consolidated financial statements.
Use of Estimates	Use of Estimates ​ The preparation of the consolidated financial statements in conformity with U.S. GAAP requires the Company to make estimates and assumptions about future events that affect the amounts reported in its consolidated financial statements and accompanying notes. Future events and their effects cannot be determined with certainty. On an ongoing basis, management evaluates these estimates and assumptions. Significant estimates and assumptions include: ​ ● revenue recognition, including determination of the timing and pattern of satisfaction of performance obligations and determination of the standalone selling price (“SSP”) of performance obligations; ● assumptions underlying the warranty liability calculation; ● assumptions underlying the measurement of the purchase commitment loss; ● measurement and allocation of capitalized costs, the net realizable value (the selling price as well as estimated costs of completion, disposal and transportation) of inventory, and demand and future use of inventory; ● assumptions underlying the incremental borrowing rate calculation; ● assumptions underlying the warrant liability calculation; ● valuation allowances with respect to deferred tax assets; and ● assumptions underlying the fair value used in the stock-based compensation expense calculation. ​ The Company bases these estimates on historical and anticipated results and trends and on various other assumptions that the Company believes are reasonable under the circumstances, including assumptions about future events. Changes in estimates are recorded in the period in which they become known. Actual results could differ from these estimates, and any such differences may be material to the Company’s consolidated financial statements.
Revenue Recognition	Revenue Recognition ​ The Company recognizes revenue in accordance with Accounting Standards Codification (“ASC”) Topic 606, Revenue from Contracts with Customers to be entitled to in exchange for these goods and services. To achieve this core principle, the Company applies the following 5 steps: ​ ● Step 1: Identify Contracts with Customers: The Company typically enters into contracts with customers through direct sales executed via signed contracts with payment terms of 60 days or less. Multi-year software subscriptions typically require advance payment for each annual subscription period. ● Step 2: Identify Performance Obligations: The Company’s contracts with customers often include multiple performance obligations. The Company has identified the following performance obligations in its contracts with customers: ● Hardware devices and accessories ● Software subscriptions, including renewal subscriptions, which represent an obligation to provide the customer with ongoing access to the Company’s cloud-hosted software applications on a continuous basis throughout the subscription period ● Implementation and integration services ● Extended warranties and customer service ● Step 3: Determine Transaction Price: The Company’s contracts with customers include variable consideration in the form of refunds and credits for product returns and price concessions. The Company estimates variable consideration using the expected value method based on a portfolio of data from similar contracts. ● Step 4: Allocate Transaction Price to Performance Obligations: The Company allocates transaction price to the performance obligations in contracts with customers based on the relative SSPs of the goods and services. For the software subscriptions and renewal subscriptions, which the Company sells to customers on a standalone basis, the Company uses the observable SSPs of new and renewal subscriptions, respectively. The Company’s sales of hardware devices and accessories represent single performance obligations. ● Step 5: Recognize Revenue as Performance Obligations are Satisfied: Each sale of a hardware device or accessory is a performance obligation satisfied at a point in time when control of the good transfers from the Company to the customer. The Company’s software subscriptions, extended warranties and customer service are stand-ready performance obligations that are satisfied over time by providing the customer with ongoing access to the Company’s resources. The Company uses the time-elapsed (i.e., straight-line) measure of progress to recognize revenue as these performance obligations are satisfied evenly over the respective service periods. The implementation and integration services are a performance obligation satisfied over time, and the Company uses the costs incurred as inputs into the measure of progress to recognize revenue as it satisfies the performance obligation. ​ Deferred Revenue ​ Deferred revenue primarily consists of billings or payments received in advance of revenue recognition from software subscriptions and other services and is reduced as the revenue recognition criteria are met. Deferred revenue is classified as current or non-current on the consolidated balance sheets based on the expected timing of revenue recognition. The deferred revenue that will be recognized as revenue within the next twelve months is classified as current, and the deferred revenue that will be recognized thereafter is classified as non-current. ​ Warranties ​ The Company offers a standard product warranty that its products will function according to standard specifications and free of significant defects for a period of one year from when control is transferred to the customer. The Company evaluated the warranty liability under ASC Topic 606 and determined that it is an assurance-type warranty. When product revenue is recognized, an estimate of future warranty costs is recognized as cost of product revenue and accrued expenses. Factors that affect the estimate of future warranty costs include historical and current product failure rates, service delivery costs incurred in correcting product failures and warranty policies and business practices.
Cash and Cash Equivalents	Cash and Cash Equivalents ​ All highly liquid investments purchased with a maturity of three months or less are considered to be cash equivalents. As of December 31, 2022 and 2021, cash and cash equivalents consist principally of cash and money market accounts.
Trade Accounts Receivable and Allowance for Doubtful Accounts	Trade Accounts Receivable and Allowance for Doubtful Accounts ​ Accounts receivable are recognized as the original amount invoiced less an allowance for doubtful accounts based on the probability of future collection. I n accordance with ASC Topic 326, Financial Instruments-Credit Losses , the Company estimates its allowance for doubtful accounts based on historical loss patterns, the number of days that billings are past due, current market conditions, and reasonable and supportable forecasts of future economic conditions. Accounts receivable are written off when deemed uncollectible and collection of the receivable is no longer being actively pursued. The following table summarizes the allowance for doubtful accounts activity: ​ ​ ​ ​ ​ (in thousands) Fair Value Allowance for doubtful accounts as of December 31, 2020 ​ $ 576 Additions (recoveries) ​ (54) Deductions – write offs ​ (82) Allowance for doubtful accounts as of December 31, 2021 ​ $ 440 Additions (recoveries) ​ ​ 315 Deductions – write offs ​ ​ (227) Allowance for doubtful accounts as of December 31, 2022 ​ $ 528 ​
Inventories	Inventories ​ Inventories primarily consist of raw materials, work-in-progress and finished goods which are purchased and held by the Company’s third-party contract manufacturers. Inventories are stated at the lower of actual cost, determined using the average cost method, or net realizable value. Actual cost includes all direct and indirect production costs to convert materials into a finished product. Net realizable value is based upon an estimated average selling price reduced by the estimated costs of completion, disposal and transportation. The determination of net realizable value involves certain judgments including estimating average selling prices. The Company reduces the value of inventory for estimated obsolescence or lack of marketability by the difference between the cost of the affected inventory and the net realizable value. ​ The valuation of inventories also requires the Company to estimate excess and obsolete inventory. The Company considers new product development schedules, the effect that new products might have on the sale of existing products, product obsolescence, product merchantability and whether older products can be remanufactured into new products, among other factors. ​ Losses expected to arise from firm, non-cancelable and unhedged commitments for the future purchase of inventories are recognized unless the losses are recoverable through firm sales contracts or other means.
Restricted Cash	Restricted Cash ​ Restricted cash includes deposits in financial institutions restricted according to an agreement and used to secure a lease agreement. The Company classifies the amount restricted according to an agreement as prepaid expenses and other current assets as the Company expects the deposit to be released from restriction within the next twelve months. The Company classifies the amount used to secure a lease agreement within other non-current assets as the lease is long-term. The amount shown as restricted cash is included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown in the consolidated statement of cash flows.
Security Deposits	Security Deposits ​ Security deposits represent amounts paid to third parties in relation to non-cancelable leases. ​
Vendor Advances	Vendor Advances ​ Vendor advances represent amounts paid to third-party vendors for future services to be received related to production of the Company’s inventories. The amounts are presented net of write offs. The classification of vendor advances as current or non-current is based on the estimated timing of inventory delivery. ​
Property and Equipment, Net	Property and Equipment, Net ​ Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation expense is computed using the straight-line method over the estimated useful lives of the related assets. Leasehold improvements are amortized on a straight-line basis over the shorter of the remaining lease term or the estimated useful lives of related improvements. ​ Useful lives for property and equipment are as follows: ​ ​ ​ ​ Property and Equipment Estimated Useful Life Software 3 years Machinery and equipment 3 – 5 years Furniture and fixtures 5 – 7 years Leasehold improvements Lesser of estimated useful life or remaining lease term ​ Expenditures for major renewals and improvements are capitalized. Expenditures for repairs and maintenance are expensed as incurred. When assets are retired or otherwise disposed of, the cost of those assets and the related accumulated depreciation and amortization is eliminated from the balance sheet, and any resulting gains or losses are included in the statements of operations and comprehensive loss in the period of disposal.
Capitalized Software Development Costs	Capitalized Software Development Costs ​ Costs to develop or obtain software for internal use are capitalized and recorded as capitalized software development costs on the consolidated balance sheets as a component of property and equipment, net. The Company capitalizes qualifying costs associated with internal-use software incurred during the application development stage if management with relevant authority authorizes the project, it is probable the project will be completed and the software will be used to perform the function intended. Costs incurred during the preliminary project and post-implementation stages, including training and maintenance, are expensed as incurred. Capitalized costs are amortized on a project-by-project basis using the straight-line method over the estimated economic life of the software, which is three years, beginning when the software is substantially ready for use. Amortization expense is classified in the consolidated statements of operations and comprehensive loss based on the nature of the software. ​
Leases	Leases ​ The Company primarily enters into leases for office space that are classified as operating leases. The Company determines if an agreement is or contains a lease at inception. Leases may terminate its leases with the notice required in the lease agreement and upon payment of a termination fee, if required. The Company’s leases do not include substantial variable payments based on indexes or rates. The Company’s lease agreements do not contain any significant residual value guarantees or restrictive covenants. ​ The Company’s leases do not provide a readily determinable implicit discount rate. The Company’s incremental borrowing rate is estimated to approximate an interest rate on a collateralized basis with similar terms and payments and in similar economic environments. Operating lease right-of-use assets and liabilities are recognized at the commencement date based on the present value of lease payments over the lease term. The Company recognizes a single lease cost on a straight-line basis over the lease term, and the Company includes all cash payments within cash flows from operating activities as the change in operating lease assets and liabilities in the consolidated statements of cash flows. ​ The Company evaluates right-of-use assets for impairment consistent with its impairment of long-lived assets policy. There were no impairments of right-of-use assets in the years ended December 31, 2022 and 2021. The Company does not have any finance or capital leases as of December 31, 2022 and 2021.
Impairment of Long-Lived Assets	Impairment of Long-Lived Assets ​ The Company reviews its long-lived assets for impairment at least annually or whenever events or changes in business circumstances indicate that the carrying amount of assets may not be fully recoverable. Each impairment test is based on a comparison of the undiscounted cash flows to the recorded value of the asset. If the recorded value of the asset is less than the undiscounted cash flows, the asset is written down to its estimated fair value. No impairments were recorded for the years ended December 31, 2022 and 2021. The Company recorded an impairment charge of $1.4 million during the year ended December 31, 2020 related to historical prepayments to a related party for the acquisition of capital assets.
Warrant Liability	Warrant Liability ​ The Company’s outstanding warrants include publicly-traded warrants (the “Public Warrants”), which were issued as one Derivatives and Hedging—Contracts in Entity’s Own Equity Derivatives and Hedging
Cost of Revenue	Cost of Revenue ​ Cost of product revenue includes manufacturing costs, personnel costs and benefits, inbound freight, packaging, warranty replacement costs, payment processing fees and inventory obsolescence and write offs. Cost of software and other services revenue includes personnel costs, cloud hosting costs, amortization of capitalized software development costs and payment processing fees.
Research and Development	Research and Development ​ R&D expenses primarily consist of personnel costs and benefits, facilities expenses, consulting and professional fees, fabrication services, software and other outsourcing expenses. Substantially all of the Company’s R&D expenses are related to developing new products and services and improving existing products and services. R&D expenses are expensed as incurred.
Sales and Marketing	Sales and Marketing ​ Sales and marketing expenses primarily consist of personnel costs and benefits, third-party logistics, fulfillment and outbound shipping costs, facilities expenses, advertising, and travel and entertainment. Advertising expenses are expensed as incurred. For the years ended December 31, 2022, 2021 and 2020, advertising expenses were $5.8 million, $8.3 million and $4.7 million, respectively. ​
General and Administrative	General and Administrative ​ General and administrative expenses primarily consist of personnel costs and benefits, insurance, patent fees, software costs, facilities costs and outside services. Outside services consist of professional services, legal fees and other professional fees.
Net Loss per Common Share	Net Loss per Common Share ​ We compute net loss per share of Class A and Class B common stock using the two-class method. Basic net loss per share is computed by dividing the net loss by the weighted-average number of shares of each class of the Company’s common stock outstanding during the period. Diluted net loss per share is computed by giving effect to all of the Company’s potential common shares outstanding of the Company’s common stock to the extent the potential shares are dilutive. Basic and diluted net loss per share were the same for each period presented in the consolidated statements of operations and comprehensive loss as the inclusion of all potential shares of the Company’s common stock would have been anti-dilutive. Since the Company was in a net loss position for all periods presented, the basic net loss per share calculation excludes the Company’s convertible preferred stock as it does not participate in net losses of the Company. Refer to Note 12 “Net Loss Per Share” for further discussion.
Stock-Based Compensation Expense	Stock-Based Compensation Expense ​ The measurement of stock-based compensation expense for all stock-based payment awards, including stock options and restricted stock units granted to employees, directors and nonemployees, is based on the estimated fair value of the awards on the grant date. ​ The Company recognizes stock-based compensation expense for its awards on a straight-line basis over the requisite service period of the individual grants, which is generally the vesting period, based on the awards’ estimated grant date fair values. Generally, awards fully vest three ​ The Company granted performance-based restricted stock units during the years ended December 31, 2022, 2021 and 2020. The Company accounted for these awards according to the relevant provisions of ASC Topic 718, Compensation-Stock Compensation
Income Taxes	Income Taxes ​ The Company accounts for income taxes using the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been recognized in the consolidated financial statements or in the Company’s tax returns. Deferred tax assets and liabilities are determined based on the difference between the financial statement and tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. Changes in deferred tax assets and liabilities are recorded in the provision for income taxes. The Company assesses the likelihood that its deferred tax assets will be recovered from future taxable income and, to the extent it believes, based upon the weight of available evidence, that it is more likely than not that all or a portion of the deferred tax assets will not be realized, a valuation allowance is established through a charge to income tax expense. Potential for recovery of deferred tax assets is evaluated by estimating the future taxable profits expected and considering prudent and feasible tax planning strategies. The Company accounts for uncertainty in income taxes recognized in the consolidated financial statements by applying a two-step process to determine the amount of tax benefit to be recognized. First, the tax position must be evaluated to determine the likelihood that it will be sustained upon external examination by the taxing authorities. If the tax position is deemed more likely than not to be sustained, the tax position is then assessed to determine the amount of benefit to recognize in the consolidated financial statements. The amount of the benefit that may be recognized is the largest amount that has a greater than 50% likelihood of being realized upon ultimate settlement. The provision for income taxes includes the effects of any resulting tax reserves, or unrecognized tax benefits, that are considered appropriate as well as the related net interest and penalties.
Recent Accounting Pronouncements Adopted	Recent Accounting Pronouncements Adopted ​ In November 2021, the Financial Accounting Standards Board issued Accounting Standards Update 2021-10, Government Assistance (Topic 832): Disclosures by Business Entities about Government Assistance

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	12 Months Ended
	Dec. 31, 2022
Summary of Significant Accounting Policies
Schedule of allowance for doubtful accounts	​ ​ ​ ​ ​ (in thousands) Fair Value Allowance for doubtful accounts as of December 31, 2020 ​ $ 576 Additions (recoveries) ​ (54) Deductions – write offs ​ (82) Allowance for doubtful accounts as of December 31, 2021 ​ $ 440 Additions (recoveries) ​ ​ 315 Deductions – write offs ​ ​ (227) Allowance for doubtful accounts as of December 31, 2022 ​ $ 528 ​
Schedule of useful life for property and equipment	​ ​ ​ ​ Property and Equipment Estimated Useful Life Software 3 years Machinery and equipment 3 – 5 years Furniture and fixtures 5 – 7 years Leasehold improvements Lesser of estimated useful life or remaining lease term ​

Revenue Recognition (Tables)

Revenue Recognition (Tables)	12 Months Ended
	Dec. 31, 2022
Revenue Recognition
Schedule of disaggregated revenue	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Pattern of ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Recognition ​ 2022 2021 2020 By Product Type: ​ ​ ​ ​ ​ ​ Devices and accessories ​ Point-in-time ​ $ 50,263 ​ $ 47,868 ​ $ 38,347 Software and other services ​ Over time ​ 23,127 ​ 14,697 ​ 7,905 Total revenue ​ ​ ​ $ 73,390 ​ $ 62,565 ​ $ 46,252 By Geographical Market: ​ ​ ​ ​ ​ United States ​ ​ ​ $ 51,072 ​ $ 42,993 ​ $ 33,237 International ​ ​ ​ 22,318 ​ 19,572 ​ 13,015 Total revenue ​ ​ ​ $ 73,390 ​ $ 62,565 ​ $ 46,252 ​

Fair Value of Financial Instr_2

Fair Value of Financial Instruments (Tables)	12 Months Ended
	Dec. 31, 2022
Fair Value of Financial Instruments
Schedule of assets and liabilities measured at fair value on a recurring basis	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Fair Value Measurement Level ​ ​ Total ​ Level 1 ​ Level 2 ​ Level 3 December 31, 2022: ​ ​ ​ ​ Marketable securities: ​ ​ ​ ​ ​ ​ Mutual funds ​ $ 75,250 ​ $ 75,250 ​ $ — ​ $ — Total assets at fair value on a recurring basis ​ $ 75,250 ​ $ 75,250 ​ $ — ​ $ — ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Warrants: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Public Warrants ​ $ 3,588 ​ $ 3,588 ​ $ — ​ $ — Private Warrants ​ ​ 1,782 ​ ​ — ​ ​ 1,782 ​ ​ — Total liabilities at fair value on a recurring basis ​ $ 5,370 ​ $ 3,588 ​ $ 1,782 ​ $ — ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2021: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Warrants: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Public Warrants ​ $ 17,525 ​ $ 17,525 ​ $ — ​ $ — Private Warrants ​ ​ 8,704 ​ ​ — ​ ​ 8,704 ​ ​ — Total liabilities at fair value on a recurring basis ​ $ 26,229 ​ $ 17,525 ​ $ 8,704 ​ $ —

Inventories (Tables)

Inventories (Tables)	12 Months Ended
	Dec. 31, 2022
Inventories
Summary of inventories	A summary of inventories is as follows at December 31 (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, December 31, ​ 2022 2021 Raw materials ​ $ 41,265 ​ 19,853 Work-in-progress ​ 1,962 ​ 1,122 Finished goods ​ 16,743 ​ 15,268 Total inventories ​ $ 59,970 ​ $ 36,243 ​

Restricted Cash (Tables)

Restricted Cash (Tables)	12 Months Ended
	Dec. 31, 2022
Restricted Cash
Summary of reconciliation of cash, cash equivalents and restricted cash	​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ 2022 2021 Reconciliation of cash, cash equivalents and restricted cash: ​ ​ ​ ​ ​ ​ Cash and cash equivalents ​ $ 162,561 ​ $ 422,841 Restricted cash included within prepaid expenses and other current assets ​ 253 ​ — Restricted cash included within other non-current assets ​ ​ 4,014 ​ ​ 4,000 Total cash, cash equivalents and restricted cash shown in the consolidated statements of cash flows ​ $ 166,828 ​ $ 426,841 ​

Other Non-Current Assets (Table

Other Non-Current Assets (Tables)	12 Months Ended
	Dec. 31, 2022
Other Non-Current Assets
Schedule of other non-current assets	Other non-current assets consist of the following at December 31 (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, December 31, ​ 2022 2021 Security deposits ​ $ 1,882 ​ $ 1,883 Restricted cash ​ ​ 4,014 ​ ​ 4,000 Other long-term assets ​ ​ 1,639 ​ ​ 2,610 Total other non-current assets ​ $ 7,535 ​ $ 8,493
Schedule of property and equipment, net	​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, December 31, ​ 2022 2021 Software ​ $ 14,746 ​ $ 3,831 Leasehold improvements ​ ​ 13,793 ​ ​ 4,212 Machinery and equipment ​ 9,663 ​ 6,861 Furniture and fixtures ​ 2,121 ​ 42 Construction in progress ​ 1,937 ​ 5,086 Other ​ 125 ​ 47 ​ ​ 42,385 ​ 20,079 Less: accumulated depreciation and amortization ​ (11,054) ​ (5,376) Property and equipment, net ​ $ 31,331 ​ $ 14,703 ​

Property and Equipment, Net (Ta

Property and Equipment, Net (Tables)	12 Months Ended
	Dec. 31, 2022
Property and Equipment, Net
Schedule of property and equipment, net	​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, December 31, ​ 2022 2021 Software ​ $ 14,746 ​ $ 3,831 Leasehold improvements ​ ​ 13,793 ​ ​ 4,212 Machinery and equipment ​ 9,663 ​ 6,861 Furniture and fixtures ​ 2,121 ​ 42 Construction in progress ​ 1,937 ​ 5,086 Other ​ 125 ​ 47 ​ ​ 42,385 ​ 20,079 Less: accumulated depreciation and amortization ​ (11,054) ​ (5,376) Property and equipment, net ​ $ 31,331 ​ $ 14,703 ​
Schedule of estimated amortization expense for future years	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2023 2024 2025 2026 2027 Software ​ $ 4,812 ​ $ 4,377 ​ $ 1,600 ​ $ — ​ $ —

Accrued Expenses and Other Cu_2

Accrued Expenses and Other Current Liabilities (Tables)	12 Months Ended
	Dec. 31, 2022
Accrued Expenses and Other Current Liabilities
Schedule of accrued expenses and other current liabilities	Accrued expenses and other current liabilities consist of the following at December 31 (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, December 31, ​ 2022 2021 Employee compensation ​ $ 12,166 ​ $ 12,746 Customer deposits ​ 1,135 ​ 1,850 Accrued warranty liability ​ 287 ​ 266 Non-income tax ​ 1,442 ​ 2,477 Professional fees ​ 3,450 ​ 2,797 Current portion of operating lease liabilities ​ ​ 1,926 ​ ​ 1,391 Other ​ 5,710 ​ 4,104 Total accrued expenses and other current liabilities ​ $ 26,116 ​ $ 25,631 ​
Schedule of warranty expense activity	Warranty expense activity for the years ended December 31 is as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2022 2021 2020 Balance, beginning of period ​ $ 1,116 ​ $ 1,826 ​ $ 876 Warranty provision charged to operations ​ 296 ​ 58 ​ 2,498 Warranty claims ​ (539) ​ (768) ​ (1,548) Balance, end of period ​ $ 873 ​ $ 1,116 ​ $ 1,826 ​

Equity Incentive Plan (Tables)

Equity Incentive Plan (Tables)	12 Months Ended
	Dec. 31, 2022
Equity Incentive Plan
Summary of the stock option activity	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted ​ ​ ​ ​ ​ Weighted ​ Average ​ Aggregate ​ ​ ​ ​ Average ​ Remaining ​ Intrinsic ​ ​ Number of ​ Exercise ​ Contractual ​ Value ​ ​ Options ​ Price ​ Term ​ (in thousands) Outstanding at December 31, 2020 26,708,329 ​ 4.03 7.06 143,338 Granted 8,101,866 ​ 12.98 Exercised (8,911,435) ​ 2.46 Forfeited (9,655,228) ​ 6.12 Outstanding at December 31, 2021 16,243,532 ​ 8.11 7.63 24,398 Granted 869,778 ​ 4.37 Exercised (1,081,213) ​ 2.76 Forfeited (3,460,185) ​ 10.43 Outstanding at December 31, 2022 12,571,912 ​ 7.67 5.62 1,342 Options exercisable at December 31, 2021 7,399,460 ​ 4.34 5.88 21,300 Options exercisable at December 31, 2022 9,478,419 ​ 7.06 4.75 1,263 Vested and expected to vest at December 31, 2021 12,943,351 ​ 7.30 7.26 23,242 Vested and expected to vest at December 31, 2022 11,341,764 ​ 7.47 5.33 1,310 ​
Summary of additional information about stock option activity	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2022 2021 2020 Cash proceeds from the exercise of stock options (in millions) ​ $ 3.0 ​ $ 21.7 ​ $ 2.0 Total intrinsic value of stock options exercised (in millions) ​ 3.6 ​ 80.9 ​ 3.6 Weighted average grant date fair value of options granted ​ 2.79 ​ 6.47 ​ 3.27 ​
Schedule of assumptions used to value option grants to employees and non-employees	​ ​ ​ ​ ​ ​ ​ ​ ​ 2022 2021 2020 Risk-free interest rate 1.7% – 3.0% ​ 0.6% – 1.4% ​ 0.4% – 1.7% Expected dividend yield 0% ​ 0% ​ 0% Expected term 5.8 years – 6.5 years ​ 5.5 years – 6.2 years ​ 5.9 years – 6.3 years Expected volatility 70% – 73% ​ 51% – 63% ​ 50% ​ ​ ​ ​ ​ ​ 2020 Risk-free interest rate 0.4% – 1.7% Expected dividend yield 0% Expected term 1.1 years – 6.1 years Expected volatility 50% ​
Summary of the restricted stock unit activity	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted ​ ​ Number of ​ Average ​ ​ Restricted ​ Grant Date ​ ​ Stock Units ​ Fair Value Outstanding at December 31, 2020 1,894,897 ​ 9.40 Granted 3,375,079 ​ 14.77 Vested (1,018,828) ​ 9.40 Forfeited (292,323) ​ 12.77 Outstanding at December 31, 2021 3,958,825 ​ 13.73 Granted 12,076,285 ​ 3.98 Vested (2,947,832) ​ 11.80 Forfeited (3,125,987) ​ 6.85 Outstanding at December 31, 2022 9,961,291 ​ 4.55 ​
Schedule of stock-based compensation expense	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, ​ 2022 2021 2020 Cost of revenue – software and other services ​ $ 88 ​ $ 21 ​ $ 15 Research and development ​ 12,746 ​ 9,060 ​ 4,551 Sales and marketing ​ 5,974 ​ 8,074 ​ 2,591 General and administrative ​ 23,723 ​ 30,643 ​ 3,847 Total stock-based compensation expense ​ $ 42,531 ​ $ 47,798 ​ $ 11,004 ​

Net Loss Per Share (Tables)

Net Loss Per Share (Tables)	12 Months Ended
	Dec. 31, 2022
Net Loss Per Share
Schedule of calculation of basic and diluted net loss per share	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, 2022 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total ​ ​ Class A Class B Common Stock ​ Numerator: ​ ​ ​ ​ ​ ​ Allocation of undistributed earnings ​ $ (146,412) ​ $ (22,311) ​ $ (168,723) ​ Numerator for basic and diluted net loss per share – loss available to common stockholders ​ $ (146,412) ​ $ (22,311) ​ $ (168,723) ​ Denominator: ​ ​ ​ ​ Weighted-average common shares outstanding ​ 173,421,449 ​ 26,426,937 ​ 199,848,386 ​ Denominator for basic and diluted net loss per share – weighted-average common stock ​ 173,421,449 ​ 26,426,937 ​ 199,848,386 ​ Basic and diluted net loss per share ​ $ (0.84) ​ $ (0.84) ​ $ (0.84) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, 2021 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total ​ ​ Class A Class B Common Stock ​ Numerator: ​ ​ ​ ​ ​ ​ Allocation of undistributed earnings ​ $ (28,048) ​ $ (4,361) ​ $ (32,409) ​ Numerator for basic and diluted net loss per share – loss available to common stockholders ​ $ (28,048) ​ $ (4,361) ​ $ (32,409) ​ Denominator: ​ ​ ​ ​ Weighted-average common shares outstanding ​ 150,424,024 ​ 23,386,029 ​ 173,810,053 ​ Denominator for basic and diluted net loss per share – weighted-average common stock ​ 150,424,024 ​ 23,386,029 ​ 173,810,053 ​ Basic and diluted net loss per share ​ $ (0.19) ​ $ (0.19) ​ $ (0.19) ​ ​ ​ ​ ​ ​ Year ended December 31, 2020 ​ ​ ​ ​ ​ ​ ​ Numerator: ​ ​ Allocation of undistributed earnings ​ $ (162,745) Numerator for basic and diluted net loss per share – loss available to common stockholders ​ $ (162,745) Denominator: ​ Weighted-average common shares outstanding ​ 6,056,574 Denominator for basic and diluted net loss per share – weighted-average common stock ​ 6,056,574 Basic and diluted net loss per share ​ $ (26.87) ​
Schedule of anti-dilutive common equivalent shares	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2022 2021 2020 Outstanding options to purchase common stock ​ 12,571,912 ​ 16,243,532 26,708,329 Outstanding restricted stock units ​ 9,961,291 ​ 3,577,894 ​ 1,894,897 Outstanding warrants ​ 20,652,690 ​ 20,652,837 ​ — Outstanding convertible preferred stock (Series A through D) ​ — ​ — 107,197,118 Total anti-dilutive common equivalent shares ​ 43,185,893 ​ 40,474,263 135,800,344

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Dec. 31, 2022
Income Taxes
Schedule of income (loss) before provision for income taxes	Income (loss) before provision for income taxes consisted of the following (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, ​ ​ 2022 2021 2020 Federal ​ $ (169,122) ​ $ (32,706) ​ $ (162,876) Foreign ​ 441 ​ 418 ​ 170 Loss before provision for income taxes ​ $ (168,681) ​ $ (32,288) ​ $ (162,706) ​
Schedule of reconciliation of the statutory income tax rate to the effective income tax rate	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, ​ ​ 2022 2021 2020 Income at US statutory rate ​ 21.00 % 21.00 % 21.00 % State taxes, net of federal benefit ​ 2.21 % 15.42 % 3.18 % Stock compensation ​ (5.01) % (10.10) % 0.00 % Change in fair value of warrants ​ 2.60 % 104.78 % 0.00 % Tax credits ​ 2.16 % 12.51 % 0.86 % Foreign rate differential ​ 0.00 % 0.01 % 0.00 % Valuation allowance ​ (22.91) % (142.86) % (24.35) % Other ​ (0.08) % (1.14) % (0.71) % ​ ​ (0.03) % (0.38) % (0.02) % ​
Schedule of net deferred tax assets	Net deferred tax assets as of December 31, 2022 and 2021 consisted of the following (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, ​ 2022 2021 Deferred tax assets ​ ​ Net operating loss carryforwards ​ $ 135,733 ​ $ 122,279 Tax credits ​ 14,047 ​ 10,620 Stock compensation ​ 3,680 ​ 4,752 Accruals and reserves ​ 2,747 ​ 7,929 Inventory reserve ​ ​ 8,797 ​ ​ 289 Lease liability ​ ​ 7,646 ​ ​ 7,063 Depreciation ​ ​ 914 ​ ​ 102 Capitalized tax R&E ​ ​ 15,127 ​ ​ — Other ​ 3,901 ​ 1,600 Total deferred tax assets ​ $ 192,592 ​ $ 154,634 Valuation allowance ​ (187,421) ​ (148,785) Total deferred tax assets ​ $ 5,171 ​ $ 5,849 Deferred tax liabilities ​ ​ Right-of-use asset ​ ​ (5,171) ​ ​ (5,849) Net deferred tax assets ​ $ — ​ $ — ​

Related Party Transactions (Tab

Related Party Transactions (Tables)	12 Months Ended
	Dec. 31, 2022
Related Party Transactions
Summary of related-party transactions and balances	A summary of related-party transactions and balances with 4Catalyzer are as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, ​ 2022 2021 2020 Total incurred for operating expenses ​ $ 78 ​ $ 583 ​ $ 5,571 ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ 2022 2021 Due from related parties ​ $ 145 ​ $ — Due to related parties ​ — ​ 88

Reduction in Force (Tables)

Reduction in Force (Tables)	12 Months Ended
	Dec. 31, 2022
Reduction in Force
Schedule of employee severance and benefits costs	​ ​ ​ ​ ​ ​ ​ Year ended ​ ​ December 31, 2022 Research and development ​ $ 1,035 Sales and marketing ​ ​ 338 General and administrative ​ ​ 417 Total employee severance and benefits costs ​ $ 1,790 ​

Leases (Tables)

Leases (Tables)	12 Months Ended
	Dec. 31, 2022
Leases
Schedule of operating lease cost	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, ​ 2022 2021 Operating lease cost ​ $ 4,300 ​ $ 2,927 Short-term lease cost ​ 249 ​ 287 Variable lease cost ​ 353 ​ 100 Total operating lease cost ​ $ 4,902 ​ $ 3,314 ​
Schedule of operating lease expected future payments	​ ​ ​ ​ ​ Year ended December 31, Operating Lease Payments 2023 ​ $ 3,493 2024 ​ 4,434 2025 ​ ​ 4,652 2026 ​ ​ 4,763 2027 ​ ​ 4,875 2027 and thereafter ​ ​ 18,340 Total gross operating lease payments ​ ​ 40,557 Less: imputed interest ​ ​ (8,665) Total operating lease liabilities, reflecting the present value of net lease payments ​ $ 31,892 ​
Schedule of lease term, discount rate and cash flows from operating lease	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ 2022 2021 Weighted average remaining lease term (in years) ​ 8.8 ​ ​ 9.4 ​ Weighted average discount rate ​ 5.5 % ​ 5.5 % ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year ended December 31, ​ 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: ​ ​ ​ ​ ​ ​ Operating lease payments, included in cash flows from operating activities ​ $ 2,042 ​ $ 1,012 ​ ​ ​ ​ ​ ​ ​ Non-cash additions to operating lease assets ​ $ — ​ $ 13,929

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Concentration of Credit Risk (Details)	12 Months Ended
	Dec. 31, 2021
Major Customer | Customer Concentration Risk | Accounts receivable
Concentration risk (as a percentage)	10%

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Allowance for Doubtful Accounts (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Accounts Receivable, Allowance for Credit Loss [Roll Forward]
Allowance for doubtful accounts as of beginning balance	$ 440	$ 576
Additions (recoveries)	315	(54)
Deductions - write offs	(227)	(82)
Allowance for doubtful accounts as of ending balance	$ 528	$ 440

Summary of Significant Accoun_6

Summary of Significant Accounting Policies - Property and Equipment (Details)	12 Months Ended
	Dec. 31, 2022
Software
Property, Plant and Equipment [Line Items]
Estimated Useful Life (in years)	3 years
Minimum | Machinery and equipment
Property, Plant and Equipment [Line Items]
Estimated Useful Life (in years)	3 years
Minimum | Furniture and fixtures
Property, Plant and Equipment [Line Items]
Estimated Useful Life (in years)	5 years
Maximum | Machinery and equipment
Property, Plant and Equipment [Line Items]
Estimated Useful Life (in years)	5 years
Maximum | Furniture and fixtures
Property, Plant and Equipment [Line Items]
Estimated Useful Life (in years)	7 years

Summary of Significant Accoun_7

Summary of Significant Accounting Policies - Additional Information (Details) $ in Millions		12 Months Ended			24 Months Ended
	May 26, 2020	Dec. 31, 2022 USD ($) segment	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Dec. 31, 2022 USD ($)
Number of operating segments | segment		1
Warranty period		1 year
Value of public warrants per warrant issued during IPO (as a percent)	33%
Impairments of right-of-use assets					$ 0
Impairment charges		$ 0	$ 0	$ 1.4
Advertising expense		$ 5.8	$ 8.3	$ 4.7
Term of stock options		10 years
Minimum
Vesting period of stock options		3 years
Maximum
Vesting period of stock options		4 years

Revenue Recognition - Disaggreg

Revenue Recognition - Disaggregation of Revenue (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Revenue Recognition
Total revenue	$ 73,390	$ 62,565	$ 46,252
United States
Revenue Recognition
Total revenue	51,072	42,993	33,237
International
Revenue Recognition
Total revenue	22,318	19,572	13,015
Devices and accessories
Revenue Recognition
Total revenue	50,263	47,868	38,347
Software and other services
Revenue Recognition
Total revenue	$ 23,127	$ 14,697	$ 7,905

Revenue Recognition - Contract

Revenue Recognition - Contract Balances (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Revenue Recognition
Payment terms	60 days
Amount of revenue recognized	$ 13	$ 8.4

Revenue Recognition - Performan

Revenue Recognition - Performance Obligations (Details) $ in Millions	Dec. 31, 2022 USD ($)
Revenue Recognition
Remaining performance obligations	$ 23.9
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01
Revenue Recognition
Percentage of remaining performance obligations as revenue	71%
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period	12 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01
Revenue Recognition
Percentage of remaining performance obligations as revenue	29%
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period	12 months

Revenue Recognition - Costs of

Revenue Recognition - Costs of Obtaining or Fulfilling Contracts (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Revenue Recognition
Capitalized costs of obtaining or fulfilling contracts	$ 1.1	$ 0.6
Amortization of capitalized costs	$ 0	$ 0	$ 0

Fair Value of Financial Instr_3

Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Mutual funds
Fair Value of Financial Instruments
Unrealized loss on equity securities	$ 300	$ 0	$ 0
Fair Value, Recurring
Assets
Total assets at fair value on a recurring basis	75,250
Liabilities
Total liabilities at fair value on a recurring basis	5,370	26,229
Fair Value, Recurring | Public Warrants
Liabilities
Warrants	3,588	17,525
Fair Value, Recurring | Private Warrants
Liabilities
Warrants	1,782	8,704
Fair Value, Recurring | Mutual funds
Assets
Mutual funds	75,250
Fair Value, Recurring | Level 1
Assets
Total assets at fair value on a recurring basis	75,250
Liabilities
Total liabilities at fair value on a recurring basis	3,588	17,525
Fair Value, Recurring | Level 1 | Public Warrants
Liabilities
Warrants	3,588	17,525
Fair Value, Recurring | Level 1 | Mutual funds
Assets
Mutual funds	75,250
Fair Value, Recurring | Level 2
Liabilities
Total liabilities at fair value on a recurring basis	1,782	8,704
Fair Value, Recurring | Level 2 | Private Warrants
Liabilities
Warrants	$ 1,782	$ 8,704

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Inventories
Raw materials	$ 41,265	$ 19,853
Work-in-progress	1,962	1,122
Finished goods	16,743	15,268
Total inventories	59,970	36,243
Net realizable value inventory adjustments and excess and obsolete inventory charges	$ 783	$ 889	$ 7,123

Restricted Cash (Details)

Restricted Cash (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Reconciliation of cash, cash equivalents and restricted cash:
Cash and cash equivalents	$ 162,561	$ 422,841
Restricted cash included within prepaid expenses and other current assets	253
Restricted cash included within other non-current assets	4,014	4,000
Total cash, cash equivalents and restricted cash shown in the condensed consolidated statements of cash flows	$ 166,828	$ 426,841	$ 60,206	$ 90,002
Restricted Cash and Cash Equivalents, Current, Statement of Financial Position [Extensible Enumeration]	Prepaid Expense and Other Assets, Current	Prepaid Expense and Other Assets, Current
Restricted Cash and Cash Equivalents, Noncurrent, Statement of Financial Position [Extensible Enumeration]	Other Assets, Noncurrent	Other Assets, Noncurrent

Restricted Cash - Narratives (D

Restricted Cash - Narratives (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2022	Jun. 30, 2021
Restricted Cash
Security given as collateral		$ 4
Proceeds received from Bill & Melinda Gates Foundation	$ 5.5
BMGF funds released from restricted cash	$ 5.2

Other Non-Current Assets (Detai

Other Non-Current Assets (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Other Non-Current Assets
Security deposits	$ 1,882	$ 1,883
Restricted cash	$ 4,014	$ 4,000
Restricted Cash, Noncurrent, Statement of Financial Position [Extensible Enumeration]	Total other non-current assets	Total other non-current assets
Other long-term assets	$ 1,639	$ 2,610
Total other non-current assets	$ 7,535	$ 8,493

Property and Equipment, Net (De

Property and Equipment, Net (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Property and Equipment, Net
Property and equipment, gross	$ 42,385	$ 20,079
Less: accumulated depreciation and amortization	(11,054)	(5,376)
Property and equipment, net	31,331	14,703
Depreciation and amortization	5,935	2,090	$ 1,316
Software
Property and Equipment, Net
Property and equipment, gross	14,746	3,831
Leasehold improvements
Property and Equipment, Net
Property and equipment, gross	13,793	4,212
Machinery and equipment
Property and Equipment, Net
Property and equipment, gross	9,663	6,861
Furniture and fixtures
Property and Equipment, Net
Property and equipment, gross	2,121	42
Construction in progress
Property and Equipment, Net
Property and equipment, gross	1,937	5,086
Other
Property and Equipment, Net
Property and equipment, gross	$ 125	$ 47

Property and Equipment, Net - S

Property and Equipment, Net - Software intangible assets (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Property and Equipment, Net
Accumulated amortization	$ 3,900	$ 700
Amortization expense	3,300	$ 500
Software
Estimated Amortization Expense or Future Years
2023	4,812
2024	4,377
2025	$ 1,600

Accrued Expenses and Other Cu_3

Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Accrued Expenses and Other Current Liabilities
Employee compensation	$ 12,166	$ 12,746
Customer deposits	1,135	1,850
Accrued warranty liability	287	266
Non-income tax	1,442	2,477
Professional fees	3,450	2,797
Current portion of operating lease liabilities	$ 1,926	$ 1,391
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration]	Total accrued expenses and other current liabilities	Total accrued expenses and other current liabilities
Other	$ 5,710	$ 4,104
Total accrued expenses and other current liabilities	$ 26,116	$ 25,631

Accrued Expenses and Other Cu_4

Accrued Expenses and Other Current Liabilities - Warranty expense activity (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Accrued Expenses and Other Current Liabilities
Balance, beginning of period	$ 1,116	$ 1,826	$ 876
Warranty provision charged to operations	296	58	2,498
Warranty claims	(539)	(768)	(1,548)
Balance, end of period	$ 873	$ 1,116	$ 1,826

Stockholders' Equity (Deficit)

Stockholders' Equity (Deficit) (Details)	12 Months Ended
	Dec. 31, 2022 Vote $ / shares
Stockholders' Equity (Deficit)
Dividends declared | $ / shares	$ 0
Common stock, conversion ratio	1
Class A Common Stock
Stockholders' Equity (Deficit)
Votes per share	1
Class B Common Stock
Stockholders' Equity (Deficit)
Votes per share	20
Common stock, beneficial ownership	20%
Number of affirmative vote	67%

Equity Incentive Plan (Details)

Equity Incentive Plan (Details) - USD ($)	1 Months Ended	3 Months Ended	12 Months Ended
	Jan. 31, 2021	Sep. 30, 2021	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Equity Incentive Plan
Common Stock reserved for issuance			8,000,000
Expiration period			10 years
Tax benefits of the stock-based compensation expense			$ 0
Tax benefits from the exercise of stock options			0
Capitalized stock-based compensation expense			1,000,000	$ 400,000	$ 100,000
Unrecognized stock-based compensation expense			$ 54,000,000	$ 78,800,000
Remaining weighted average vesting period			2 years 6 months	2 years 9 months 18 days
Stock options
Equity Incentive Plan
Post employment exercise options				0.7
Number of accelerated shares			1,700,000	1,600,000
Expense related to acceleration			$ 7,800,000	$ 2,600,000
Stock options | Maximum
Equity Incentive Plan
Expiration period			10 years
Service Based Restricted Stock Units
Equity Incentive Plan
Number of accelerated shares			300,000
Performance Based Restricted Stock Units
Equity Incentive Plan
Number of accelerated shares			100,000
Performance Based Restricted Stock Units | Employees
Equity Incentive Plan
Granted	1,000,000	100,000	200,000		1,900,000
Restricted stock units
Equity Incentive Plan
Total fair value			$ 10,700,000	$ 10,400,000
Granted			12,076,285	3,375,079
Board of Directors Chairman | Performance Based Restricted Stock Units
Equity Incentive Plan
Granted					1,000,000
2020 Plan
Equity Incentive Plan
Common Stock reserved for issuance			34,300,000
Common shares remain available for issuance			18,800,000

Equity Incentive Plan - Stock o

Equity Incentive Plan - Stock option activity (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Number of Options
Outstanding at beginning of the period	16,243,532	26,708,329
Granted	869,778	8,101,866
Exercised	(1,081,213)	(8,911,435)
Forfeited	(3,460,185)	(9,655,228)
Outstanding at end of the period	12,571,912	16,243,532	26,708,329
Options exercisable	9,478,419	7,399,460
Vested and expected to vest	11,341,764	12,943,351
Weighted Average Exercise Price
Outstanding at beginning of year	$ 8.11	$ 4.03
Granted	4.37	12.98
Exercised	2.76	2.46
Forfeited	10.43	6.12
Outstanding at end of year	7.67	8.11	$ 4.03
Options exercisable	7.06	4.34
Vested and expected to vest	$ 7.47	$ 7.30
Weighted Average Remaining Contractual Term
Outstanding at the end of year	5 years 7 months 13 days	7 years 7 months 17 days	7 years 21 days
Options exercisable	4 years 9 months	5 years 10 months 17 days
Vested and expected to vest	5 years 3 months 29 days	7 years 3 months 3 days
Aggregate Intrinsic Value
Outstanding at beginning of year	$ 24,398	$ 143,338
Outstanding at end of year	1,342	24,398	$ 143,338
Options exercisable	1,263	21,300
Vested and expected to vest	$ 1,310	$ 23,242

Equity Incentive Plan - Additio

Equity Incentive Plan - Additional information about stock option activity (Details) - USD ($) $ / shares in Units, $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Equity Incentive Plan
Cash proceeds from the exercise of stock options	$ 3	$ 21.7	$ 2
Total intrinsic value of stock options exercised	$ 3.6	$ 80.9	$ 3.6
Weighted average grant date fair value of options granted (in dollars per share)	$ 2.79	$ 6.47	$ 3.27

Equity Incentive Plan - Option

Equity Incentive Plan - Option grants to employees and non-employees (Details) - shares	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of options granted	869,778	8,101,866
Non-employees
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of options granted	0	0
Stock options | Employees
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Risk free interest rate, minimum	1.70%	0.60%	0.40%
Risk free interest rate, maximum	3%	1.40%	1.70%
Expected dividend yield	0%	0%	0%
Expected volatility			50%
Stock options | Employees | Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term	5 years 9 months 18 days	5 years 6 months	5 years 10 months 24 days
Expected volatility	70%	51%
Stock options | Employees | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term	6 years 6 months	6 years 2 months 12 days	6 years 3 months 18 days
Expected volatility	73%	63%
Stock options | Non-employees
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Risk free interest rate, minimum			0.40%
Risk free interest rate, maximum			1.70%
Expected dividend yield			0%
Expected volatility			50%
Stock options | Non-employees | Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term			1 year 1 month 6 days
Stock options | Non-employees | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term			6 years 1 month 6 days

Equity Incentive Plan - Restric

Equity Incentive Plan - Restricted stock unit activity (Details) - Restricted stock units - $ / shares	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Number of Restricted Stock Units
Outstanding at beginning of the period	3,958,825	1,894,897
Granted	12,076,285	3,375,079
Vested	(2,947,832)	(1,018,828)
Forfeited	(3,125,987)	(292,323)
Outstanding at end of the period	9,961,291	3,958,825
Weighted Average Grant Date Fair Value
Outstanding at beginning of year	$ 13.73	$ 9.40
Granted	3.98	14.77
Vested	11.80	9.40
Forfeited	6.85	12.77
Outstanding at end of year	$ 4.55	$ 13.73

Equity Incentive Plan - Stock-b

Equity Incentive Plan - Stock-based compensation expense (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Equity Incentive Plan
Total stock-based compensation expense	$ 42,531	$ 47,798	$ 11,004
Cost of revenue - software and other services
Equity Incentive Plan
Total stock-based compensation expense	88	21	15
Research and development
Equity Incentive Plan
Total stock-based compensation expense	12,746	9,060	4,551
Sales and marketing
Equity Incentive Plan
Total stock-based compensation expense	5,974	8,074	2,591
General and administrative
Equity Incentive Plan
Total stock-based compensation expense	$ 23,723	$ 30,643	$ 3,847

Net Loss Per Share (Details)

Net Loss Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Numerator:
Allocation of undistributed earnings	$ (168,723)	$ (32,409)	$ (162,745)
Numerator for basic and diluted net loss per share - loss available to common stockholders	$ (168,723)	$ (32,409)	$ (162,745)
Denominator:
Weighted-average common shares outstanding - basic	199,848,386	173,810,053	6,056,574
Weighted-average common shares outstanding - diluted	199,848,386	173,810,053	6,056,574
Basic loss per share	$ (0.84)	$ (0.19)	$ (26.87)
Diluted loss per share	$ (0.84)	$ (0.19)	$ (26.87)
Class A Common Stock
Numerator:
Allocation of undistributed earnings	$ (146,412)	$ (28,048)
Numerator for basic and diluted net loss per share - loss available to common stockholders	$ (146,412)	$ (28,048)
Denominator:
Weighted-average common shares outstanding - basic	173,421,449	150,424,024
Weighted-average common shares outstanding - diluted	173,421,449	150,424,024
Basic loss per share	$ (0.84)	$ (0.19)
Diluted loss per share	$ (0.84)	$ (0.19)
Class B Common Stock
Numerator:
Allocation of undistributed earnings	$ (22,311)	$ (4,361)
Numerator for basic and diluted net loss per share - loss available to common stockholders	$ (22,311)	$ (4,361)
Denominator:
Weighted-average common shares outstanding - basic	26,426,937	23,386,029
Weighted-average common shares outstanding - diluted	26,426,937	23,386,029
Basic loss per share	$ (0.84)	$ (0.19)
Diluted loss per share	$ (0.84)	$ (0.19)

Net Loss Per Share - Anti-dilut

Net Loss Per Share - Anti-dilutive common equivalent shares (Details) - shares	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Net Loss Per Share
Total anti-dilutive common equivalent shares	43,185,893	40,474,263	135,800,344
Stock options
Net Loss Per Share
Total anti-dilutive common equivalent shares	12,571,912	16,243,532	26,708,329
Restricted stock units
Net Loss Per Share
Total anti-dilutive common equivalent shares	9,961,291	3,577,894	1,894,897
Outstanding warrants
Net Loss Per Share
Total anti-dilutive common equivalent shares	20,652,690	20,652,837
Convertible preferred stock
Net Loss Per Share
Total anti-dilutive common equivalent shares			107,197,118

Income Taxes - Income (loss) be

Income Taxes - Income (loss) before provision for income taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Income Taxes
Federal	$ (169,122)	$ (32,706)	$ (162,876)
Foreign	441	418	170
Loss before provision for income taxes	$ (168,681)	$ (32,288)	$ (162,706)

Income Taxes - Statutory income

Income Taxes - Statutory income tax rate (Details)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Income Taxes
Income at US statutory rate	21%	21%	21%
State taxes, net of federal benefit	2.21%	15.42%	3.18%
Stock compensation	(5.01%)	(10.10%)	0%
Change in fair value of warrants	2.60%	104.78%	0%
Tax credits	2.16%	12.51%	0.86%
Foreign rate differential	0%	0.01%	0%
Valuation allowance	(22.91%)	(142.86%)	(24.35%)
Other	(0.08%)	(1.14%)	(0.71%)
Total	(0.03%)	(0.38%)	(0.02%)

Income Taxes - Net deferred tax

Income Taxes - Net deferred tax assets (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Deferred tax assets
Net operating loss carryforwards	$ 135,733	$ 122,279
Tax credits	14,047	10,620
Stock compensation	3,680	4,752
Accruals and reserves	2,747	7,929
Inventory reserve	8,797	289
Lease liability	7,646	7,063
Depreciation	914	102
Capitalized tax R&E	15,127
Other	3,901	1,600
Total deferred tax assets	192,592	154,634
Valuation allowance	(187,421)	(148,785)
Total Deferred tax assets	5,171	5,849
Deferred tax liabilities
Right-of-use asset	$ (5,171)	$ (5,849)

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Operating Loss Carryforwards [Line Items]
Tax provision	$ 40	$ 120	$ 40
Federal tax provision	0	0	$ 0
Valuation allowance related to net operating losses	38,700	47,000
Accrued interest or penalties	0	0
Other income (expense)
Operating Loss Carryforwards [Line Items]
State of Massachusetts Life Sciences tax credit received	900
Federal
Operating Loss Carryforwards [Line Items]
Net operating loss ("NOL") carryforwards	552,200	494,800
Net operating loss ("NOL") carryforwards, subject to expire	73,700
Net operating loss ("NOL") carryforwards, carried forward indefinitely	478,500
Federal and state tax credits	11,800
State
Operating Loss Carryforwards [Line Items]
Net operating loss ("NOL") carryforwards	352,900	$ 323,800
Federal and state tax credits	$ 2,800

Related Party Transactions (Det

Related Party Transactions (Details) - 4C - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Related Party Transactions
Total incurred for operating expenses	$ 78	$ 583	$ 5,571
Due from related parties	$ 145
Due to related parties		$ 88

401(k) Retirement Plan (Details

401(k) Retirement Plan (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
401(k) Retirement Plan
401(k) Employer match contribution	$ 1.3	$ 0	$ 0

Reduction in Force (Details)

Reduction in Force (Details) - Employee Severance - USD ($) $ in Thousands		12 Months Ended
	Jul. 28, 2022	Dec. 31, 2022
Restructuring Cost and Reserve [Line Items]
Reduction in force (as a percent)	10%
Employee severance and benefits costs		$ 1,790
Research and development
Restructuring Cost and Reserve [Line Items]
Employee severance and benefits costs		1,035
Sales and marketing
Restructuring Cost and Reserve [Line Items]
Employee severance and benefits costs		338
General and administrative
Restructuring Cost and Reserve [Line Items]
Employee severance and benefits costs		$ 417

Warrants (Details)

Warrants (Details) $ / shares in Units, $ in Thousands		12 Months Ended
	May 26, 2020	Dec. 31, 2022 USD ($) D $ / shares shares	Dec. 31, 2021 USD ($)
Warrants
Change in fair value of warrant liabilities | $		$ 20,859	$ 161,095
Value of public warrants per warrant issued during IPO (as a percent)	33%
Public Warrants
Warrants
Outstanding warrants | shares		13,799,357
Warrants settleable in cash shares held for tender offer percentage		50%
Private Warrants
Warrants
Outstanding warrants | shares		6,853,333
Fair market value trading days | D		30
Warrants exercised | shares		0
Class A Common Stock | Public Warrants
Warrants
Shares called by warrants | shares		1
Exercise price		$ 11.50
Warrant Redemption $0.01 | Public Warrants
Warrants
Warrants redemption price per warrant		$ 0.01
Warrants redemption period		30 days
Warrant Redemption $0.01 | Private Warrants
Warrants
Warrants redemption price per warrant		$ 0.01
Warrant Redemption $0.01 | Class A Common Stock | Public Warrants
Warrants
Trading day period		30 days
Trading day period for cashless basis redemption		10 days
Stock price trigger		$ 18
Threshold trading days | D		20
Warrant Redemption $0.10 | Public Warrants
Warrants
Period of warrants become exercisable		90 days
Warrants redemption price per warrant		$ 0.10
Warrants redemption period		30 days
Warrant Redemption $0.10 | Private Warrants
Warrants
Warrants redemption price per warrant		$ 0.10
Warrant Redemption $0.10 | Class A Common Stock | Public Warrants
Warrants
Stock price trigger		$ 10

Leases (Details)

Leases (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	May 31, 2021
Leases
Security deposits	$ 1,882	$ 1,883
Office Space in Burlington
Leases
Operating lease payments			$ 27,300
Tenant improvement allowance			$ 5,200
Option to terminate	true
Option to extend	true

Leases - Lease cost (Details)

Leases - Lease cost (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Leases
Operating lease cost	$ 4,300	$ 2,927
Short-term lease cost	249	287
Variable lease cost	353	100
Total operating lease cost	$ 4,902	$ 3,314
Rent expense			$ 2,100

Leases - Operating lease paymen

Leases - Operating lease payments (Details) $ in Thousands	Dec. 31, 2022 USD ($)
Operating lease payments
2023	$ 3,493
2024	4,434
2025	4,652
2026	4,763
2027	4,875
2028 and thereafter	18,340
Total gross operating lease payments	40,557
Less: imputed interest	(8,665)
Total operating lease liabilities, reflecting the present value of net lease payments	$ 31,892

Leases - Lease term and discoun

Leases - Lease term and discount rate (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Leases
Weighted average remaining lease term (in years)	8 years 9 months 18 days	9 years 4 months 24 days
Weighted average discount rate (as a percent)	5.50%	5.50%
Cash paid for amounts included in the measurement of lease liabilities:
Operating lease payments, included in cash flows from operating activities	$ 2,042	$ 1,012
Non-cash additions to operating lease assets		$ 13,929

Commitments and Contingencies (

Commitments and Contingencies (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Commitments and Contingencies
Accrued purchase commitments, current	$ 2,146	$ 5,329
Write-down of vendor advance		2,300	$ 10,560
Inventory purchase commitments
Commitments and Contingencies
Prepaid vendor advance, net of write-downs	17,100
Accrued purchase commitments, current	2,100
Net loss on vendor purchase commitment	0	14,000	53,200
Write-down of vendor advance		2,300	10,600
Increase in accrued purchase commitment liability		11,700	42,600
Utilization of accrual of purchase commitment liability	17,400	$ 35,000
Utilization of vendor advance previously written down	15,100
Inventory purchase commitments | Loss on product purchase commitments
Commitments and Contingencies
Net loss on vendor purchase commitment			$ 6,900
Minimum | Inventory purchase commitments
Commitments and Contingencies
Minimum inventory purchase commitments	$ 56,500

Subsequent Events (Details)

Subsequent Events (Details) - USD ($) $ in Thousands			12 Months Ended
	Jan. 04, 2023	Jul. 28, 2022	Dec. 31, 2022	Mar. 14, 2023	Dec. 31, 2021
Class A Common Stock
Subsequent Events
Common stock, shares authorized			600,000,000		600,000,000
Common stock shares issued			174,459,956		171,613,049
Class B Common Stock
Subsequent Events
Common stock, shares authorized			27,000,000		27,000,000
Common stock shares issued			26,426,937		26,426,937
Employee Severance
Subsequent Events
Reduction in force (as a percent)		10%
Employee severance and benefits costs			$ 1,790
Subsequent event | Class A Common Stock
Subsequent Events
Common stock shares issued				164,862,472
Subsequent event | Class A Common Stock | Maximum
Subsequent Events
Common stock, shares authorized				600,000,000
Subsequent event | Class A Common Stock | Minimum
Subsequent Events
Common stock, shares authorized				200,000,000
Subsequent event | Class B Common Stock
Subsequent Events
Common stock shares issued				26,426,937
Subsequent event | Class B Common Stock | Maximum
Subsequent Events
Common stock, shares authorized				27,000,000
Subsequent event | Class B Common Stock | Minimum
Subsequent Events
Common stock, shares authorized				20,000,000
Subsequent event | Employee Severance
Subsequent Events
Reduction in force (as a percent)	25%
Employee severance and benefits costs	$ 5,000