Boxabl 10-Q 12 Nov 24 2024 Q3 Quarterly report Financial data

Cover

Cover	9 Months Ended
	Sep. 30, 2024 $ / shares shares
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Sep. 30, 2024
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2024
Current Fiscal Year End Date	--12-31
Entity File Number	000-56579
Entity Registrant Name	BOXABL Inc.
Entity Central Index Key	0001816937
Entity Tax Identification Number	85-2511929
Entity Incorporation, State or Country Code	NV
Entity Address, Address Line One	5345 E. N. Belt Road
Entity Address, City or Town	North Las Vegas
Entity Address, State or Province	NV
Entity Address, Postal Zip Code	89115
City Area Code	(702)
Local Phone Number	500-9000
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Elected Not To Use the Extended Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding | shares	3,000,000,000
Entity Listing, Par Value Per Share | $ / shares	$ 0.00001
Non-Voting Series A-3 Preferred Stock, $0.00001 Par Value [Member]
Title of 12(g) Security	Non-Voting Series A-3 Preferred Stock, $0.00001 par value
Non-Voting Series A-2 Preferred Stock, $0.00001 Par Value [Member]
Title of 12(g) Security	Non-Voting Series A-2 Preferred Stock, $0.00001 par value
Non-Voting Series A-1 Preferred Stock, $0.00001 Par Value [Member]
Title of 12(g) Security	Non-Voting Series A-1 Preferred Stock, $0.00001 par value
Non-Voting Series A Preferred Stock, $0.00001 Par Value [Member]
Title of 12(g) Security	Non-Voting Series A Preferred Stock, $0.00001 par value
Common Stock 0.00001 Par Value [Member]
Title of 12(g) Security	Common Stock, $0.00001 par value

Interim Condensed Consolidated

Interim Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Current assets:
Cash and cash equivalents	$ 6,650	$ 18,574
Short-term investments	21,789	27,685
Cash, cash equivalents and short-term investments	28,439	46,259
Accounts receivable	36	26
Escrow receivable	1,372	232
Inventories, net	22,955	18,694
Other current assets	1,132	444
Total current assets	53,934	65,655
Non-current assets:
Long-term investments	72	2,777
Restricted cash	3,852	3,758
Property and equipment, net	9,512	10,766
Intangible assets, net	592	369
Right of use assets, net	10,845	13,238
Deposits on equipment	51	9,822
Security deposits	1,400	1,140
Total non-current assets	26,324	41,870
Total assets	80,258	107,525
Current liabilities:
Accounts payable	1,498	2,349
Customer deposits	3,660	3,987
Deferred revenue	2,862	2,684
Lease liability- current	3,413	3,182
Subscription liability	1,067	451
Accrued expenses and other current liabilities	2,529	1,863
Total current liabilities	15,029	14,516
Long-term liabilities:
Lease liability - non-current	8,068	10,661
Total liabilities	23,097	25,177
Commitments and contingencies -- See Note 10
Stockholders' equity:
Common Stock $0.00001 par, 17.8 billion shares authorized, 3.00 billion shares issued and outstanding as of September 30, 2024 and December 31, 2023, respectively	30	30
Additional paid-in capital	18,749	12,074
Accumulated deficit	(710,406)	(667,485)
Total stockholders' equity	57,161	82,348
Total liabilities and stockholders' equity	80,258	107,525
Series A Preferred Stock [Member]
Stockholders' equity:
Preferred Stock Value	2,671	2,671
Series A-1 Preferred Stock [Member]
Stockholders' equity:
Preferred Stock Value	630,265	630,265
Series A-2 Preferred Stock [Member]
Stockholders' equity:
Preferred Stock Value	100,879	100,773
Series A-3 Preferred Stock [Member]
Stockholders' equity:
Preferred Stock Value	14,973	4,020
Unclassified Preferred Stock [Member]
Stockholders' equity:
Preferred Stock Value

Interim Condensed Consolidate_2

Interim Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2024	Dec. 31, 2023
Preferred stock, shares authorized	14,400,000,000
Preferred stock, shares issued	1,243,747
Preferred stock, shares outstanding	1,243,747
Common stock, par value	$ 0.00001	$ 0.00001
Common stock, shares authorized	17,800,000,000	17,800,000,000
Common stock, shares issued	3,000,000,000	3,000,000,000
Common stock, shares outstanding	3,000,000,000	3,000,000,000
Series A Preferred Stock [Member]
Preferred stock, par value	$ 0.00001	$ 0.00001
Preferred stock, shares authorized	250,000,000	250,000,000
Preferred stock, shares issued	194,423,000	194,423,000
Preferred stock, shares outstanding	194,423,000	194,423,000
Series A-1 Preferred Stock [Member]
Preferred stock, par value	$ 0.00001	$ 0.00001
Preferred stock, shares authorized	1,100,000,000	1,100,000,000
Preferred stock, shares issued	850,605,000	850,605,000
Preferred stock, shares outstanding	850,605,000	850,605,000
Series A-2 Preferred Stock [Member]
Preferred stock, par value	$ 0.00001	$ 0.00001
Preferred stock, shares authorized	2,050,000,000	2,050,000,000
Preferred stock, shares issued	174,160,000	173,956,000
Preferred stock, shares outstanding	174,160,000	173,956,000
Series A-3 Preferred Stock [Member]
Preferred stock, par value	$ 0.00001	$ 0.00001
Preferred stock, shares authorized	8,750,000,000	8,750,000,000
Preferred stock, shares issued	24,560,000	8,343,000
Preferred stock, shares outstanding	24,560,000	8,343,000
Unclassified Preferred Stock [Member]
Preferred stock, par value	$ 0.00001	$ 0.00001
Preferred stock, shares authorized	2,250,000,000	2,250,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0

Interim Condensed Consolidate_3

Interim Condensed Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Income Statement [Abstract]
Revenues	$ 854	$ 99	$ 1,562	$ 197
Cost of goods sold	3,319	3,476	10,651	7,525
Gross loss	2,465	3,377	9,089	7,328
Operating expenses:
General and administrative	2,445	3,134	10,017	10,181
Sales and marketing	2,101	1,667	7,162	4,779
Research and development	2,387	2,139	5,966	5,104
Impairment loss	117		12,237	108
Total operating expenses	7,050	6,940	35,382	20,172
Loss from operations	9,515	10,317	44,471	27,500
Other income:
Interest income	(382)	(1,222)	(1,251)	(1,916)
Unrealized net (gain)/loss on investments	(98)	472	(205)	(479)
Other income		(28)	(94)	(50)
Total other income:	(480)	(778)	(1,550)	(2,445)
Net loss attributed to common stockholders	$ 9,035	$ 9,539	$ 42,921	$ 25,055
Weighted average common shares outstanding - basic	3,000,000	3,000,000	3,000,000	3,000,000
Weighted average common shares outstanding - diluted	3,000,000	3,000,000	3,000,000	3,000,000
Net loss per common share - basic	$ 0	$ 0	$ (0.01)	$ (0.01)
Net loss per common share - diluted	$ 0	$ 0	$ (0.01)	$ (0.01)

Interim Condensed Consolidate_4

Interim Condensed Consolidated Statements Of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands	Series A-3 Preferred Stock [Member] Preferred Stock [Member]	Series A-2 Preferred Stock [Member] Preferred Stock [Member]	Series A-1 Preferred Stock [Member] Preferred Stock [Member]	Series A Preferred Stock [Member] Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Total
Balance at Dec. 31, 2022		$ 89,469	$ 630,265	$ 2,671	$ 30	$ 3,089	$ (627,960)	$ 97,564
Balance, shares at Dec. 31, 2022		120,869	850,605	194,423	3,000,000
Issuance of preferred stock		$ 7,584						7,584
Issuance of preferred stock, shares		9,994
Offering costs		$ (535)						(535)
Stock based compensation						5,823		5,823
Net loss							(25,055)	(25,055)
Common control transaction		$ 30,000						30,000
Common Control Transaction, shares		37,500
Deemed dividend		$ (29,725)						(29,725)
Balance at Sep. 30, 2023		$ 96,793	$ 630,265	$ 2,671	$ 30	8,912	(653,015)	85,656
Balance, shares at Sep. 30, 2023		168,363	850,605	194,423	3,000,000
Balance at Jun. 30, 2023		$ 95,291	$ 630,265	$ 2,671	$ 30	5,959	(643,476)	90,740
Balance, shares at Jun. 30, 2023		166,250	850,605	194,423	3,000,000
Issuance of preferred stock		$ 1,578						1,578
Issuance of preferred stock, shares		2,113
Offering costs		$ (76)						(77)
Stock based compensation						2,953		2,953
Net loss							(9,539)	(9,539)
Balance at Sep. 30, 2023		$ 96,793	$ 630,265	$ 2,671	$ 30	8,912	(653,015)	85,656
Balance, shares at Sep. 30, 2023		168,363	850,605	194,423	3,000,000
Balance at Dec. 31, 2023	$ 4,020	$ 100,773	$ 630,265	$ 2,671	$ 30	12,074	(667,485)	82,348
Balance, shares at Dec. 31, 2023	8,343	173,956	850,605	194,423	3,000,000
Issuance of preferred stock	$ 11,479	$ 163						11,642
Issuance of preferred stock, shares	16,217	204
Offering costs	$ (526)	$ (57)						(583)
Stock based compensation						6,675		6,675
Net loss							(42,921)	(42,921)
Balance at Sep. 30, 2024	$ 14,973	$ 100,879	$ 630,265	$ 2,671	$ 30	18,749	(710,406)	57,161
Balance, shares at Sep. 30, 2024	24,560	174,160	850,605	194,423	3,000,000
Balance at Jun. 30, 2024	$ 7,089	$ 100,773	$ 630,265	$ 2,671	$ 30	16,999	(701,369)	56,458
Balance, shares at Jun. 30, 2024	13,682	173,956	850,605	194,423	3,000,000
Issuance of preferred stock	$ 8,334	$ 163						8,497
Issuance of preferred stock, shares	10,878	204
Offering costs	$ (450)	$ (57)						(507)
Stock based compensation						1,750		1,750
Net loss							(9,037)	(9,037)
Balance at Sep. 30, 2024	$ 14,973	$ 100,879	$ 630,265	$ 2,671	$ 30	$ 18,749	$ (710,406)	$ 57,161
Balance, shares at Sep. 30, 2024	24,560	174,160	850,605	194,423	3,000,000

Interim Condensed Consolidate_5

Interim Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Cash flows from operating activities:
Net loss	$ (42,921)	$ (25,055)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	1,457	1,257
Stock-based compensation expense	6,675	5,823
Unrealized gain on investments	(205)	(479)
Impairment loss	12,237	108
Changes in operating assets and liabilities:
Accounts receivable	(10)	(59)
Escrow receivable	(31)
Inventories	(3,727)	(9,552)
Other current assets	(1,165)	(375)
Accounts payable	(1,489)	1,696
Deferred revenue	178	1,067
Customer deposits	(327)	(112)
Accrued expenses and other current liabilities	665	(285)
Right of use assets and liabilities	31	(112)
Net cash used in operating activities	(28,632)	(26,078)
Cash flows provided by investing activities:
Purchase of property and equipment	(1,378)	(4,767)
Deposits on equipment	(761)	(2,990)
Security deposits	(259)
Purchase of intangible assets	(172)
Gross proceeds from sale and maturities of investments	22,542	44,996
Gross purchase of investments	(13,736)
Net cash provided by investing activities	6,236	37,239
Cash flows provided by financing activities:
Proceeds from sale of preferred stock, net of offering costs	9,949	7,052
Accrual of subscription liability	617	246
Net cash provided by financing activities	10,566	7,298
Change in cash, cash equivalents, and restricted cash	(11,830)	18,459
Cash, cash equivalents, and restricted cash beginning of year	22,332	9,025
Cash, cash equivalents, and restricted cash end of the period	10,502	27,484
Supplemental disclosures of cash flow information:
Cash paid for interest
Cash paid for income taxes
Non cash investing and financing activities:
Acquisition of intellectual property		272
Acquisition of right of use asset		11,019
Investments held in escrow	1,109
Deemed dividend		(29,725)
Purchase of asset from prepayments	(2,342)	(2,575)
Purchase of assets in accounts payable	534	447
Cash and cash equivalents	6,650	27,484
Restricted cash	3,852
Cash, cash equivalents, and restricted cash end of the period	$ 10,502	$ 27,484

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Pay vs Performance Disclosure [Table]
Net Income (Loss)	$ (9,037)	$ (9,539)	$ (42,921)	$ (25,055)

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended
	Sep. 30, 2024
Insider Trading Arrangements [Line Items]
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false

SIGNIFICANT ACCOUNTING POLICIES

SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Sep. 30, 2024
Accounting Policies [Abstract]
SIGNIFICANT ACCOUNTING POLICIES	NOTE 1- SIGNIFICANT ACCOUNTING POLICIES Description of Business BOXABL Inc., is a Nevada Corporation originally organized as a Nevada limited liability company, on December 2, 2017. The corporation converted from a Nevada limited liability company to a Nevada corporation on June 16, 2020. These unaudited interim condensed consolidated financial statements of BOXABL Inc., (which may be referred to as the “Company”, “BOXABL”, “we”, “us” or “our”) have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The Company’s headquarters are in Las Vegas, Nevada. BOXABL Inc. has developed a new type of building system using advanced manufacturing processes and by applying existing technology from the automotive industry. Its products, referred to as “Casitas” or “Boxes,” result in sustainable high-quality buildings at lower cost, benefiting from mass production practices, resolving the problems of housing shortages by offering a quick solution, and reducing the carbon footprint. The Company has also developed patented folding and shipping technology, enabling the Company to transport its building solution on existing roadways to serve large geographic areas. The Company’s product can be configured for sale in various ways, including Park Model RV and/or Modular. The Company is approved to sell its product as a Park Model RV under ANSI A119.5 in the majority of US states. Currently, the Company is approved to sell its product as a modular home into the following states: - Arizona - New Mexico - California (certain climate zones) BOXABL also has the ability to sell its product in the following jurisdictions that do not currently have a state-regulated modular program: - Oklahoma - Utah - Wyoming - Kansas - West Virginia - Hawaii - Vermont - Alaska - Oregon - Tribal Lands Basis of Presentation The accompanying unaudited interim condensed consolidated financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America for interim financial information. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of the Company’s management, all adjustments considered necessary for a fair statement have been included in the accompanying unaudited financial statements. All intercompany transactions and balances have been eliminated in consolidation. The unaudited interim condensed consolidated financial statements include the accounts of 500 Group from June 15, 2023. Operating results for the three and nine months ended September 30, 2024 are not necessarily indicative of the results that may be expected for the full year ending December 31, 2024. The financial data presented herein should be read in conjunction with the audited consolidated financial statements and accompanying notes for the year ended December 31, 2023, included in the Company’s Annual Report on the Form 10-K filed with the SEC on April 1, 2024. Prior Period Reclassification Certain prior period amounts have been reclassified to conform to the current period presentation. Use of Estimates The preparation of the unaudited interim condensed consolidated financial statements in conformity with GAAP requires management to make estimates, judgments and assumptions that affect the reported amounts of assets and liabilities, revenues and expenses, and related disclosures in the unaudited interim condensed consolidated financial statements and accompanying notes. Actual results could differ materially from these estimates. These estimates form the basis for judgements the Company makes about the carrying value of its assets and liabilities, which are not readily apparent from other sources. These estimates are based on information available as of the date of the unaudited interim condensed consolidated financial statements, including historical information and various other assumptions that the Company believes are reasonable under the circumstances. Actual results could differ materially from these estimates. Risks and Uncertainties The Company’s business and operations are sensitive to general business and economic conditions in the US and worldwide along with local, state, and federal governmental policy decisions. A host of factors beyond the Company’s control could cause fluctuations in these conditions. Adverse conditions may include recession, downturn or otherwise, government policies. These adverse conditions could affect the Company’s financial condition, results of its operations and cash flows. Fair Value of Financial Instruments Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. To increase the comparability of fair value measures, the following hierarchy prioritizes the inputs to valuation methodologies used to measure fair value: ● Level 1 – Valuations based on quoted prices for identical assets and liabilities in active markets. Level 1 assets consist of investments. ● Level 2 – Valuations based on observable inputs, other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data. ● Level 3 – Valuations based on unobservable inputs reflecting our own assumptions, consistent with reasonably available assumptions made by other market participants. These valuations require significant judgment. The Company valued its employee stock options (NQSO’s and ISO’s) and stock grants (RSU’s) at grant date fair value using a Level 3 mark. See Note 9 – Stockholders Equity: Stock Based Compensation. Restricted Cash and Deposits On June 1, 2023, the Company was required to obtain a letter of credit to make a Security Deposit related to the expansion of premises of $ 3,714 3.15 259 Marketable Debt Securities The Company generally invests its excess cash into marketable debt securities, which consist of short-term and long-term investments in U.S. treasury bills and notes that are classified as held-to-maturity. Short-Term Investments in U.S. Treasury Notes, Held-to-Maturity Short-term investments in U.S. treasury notes include U.S Treasury notes with maturities of less than 12 months. The realized and unrealized gains and losses on short-term investments in U.S. treasury notes are determined using the specific identification method. If a U.S. treasury note has an unrealized loss and we either intend to sell the security or it is more likely than not that we will be required to sell the security before its anticipated recovery, we will record an impairment charge to investment and other income (expense), net for the entire amount of the unrealized loss and adjust the amortized cost basis of the security. Long-Term Investments in U.S. Treasury Notes, Held-to-Maturity Long-term investments in U.S. treasury notes include U.S Treasury notes with maturities of 12 months or more. The realized and unrealized gains and losses on long-term investments in U.S. treasury notes are determined using the specific identification method. If a U.S. treasury note has an unrealized loss and we either intend to sell the security or it is more likely than not that we will be required to sell the security before its anticipated recovery, we will record an impairment charge to investment and other income (expense), net for the entire amount of the unrealized loss and adjust the amortized cost basis of the security. Inventories, net Inventories consist of raw materials, in-bound freight and duties, work in progress, and finished goods. Inventories available for sale are valued at the lower of cost or net realized value. Cost is determined using the weighted average method. This valuation requires us to make judgments, based on currently available information, about the likely method of disposition, such as through sales to individual customers, bulk sales, and the expected recoverable values for each disposition category. On a periodic basis, the Company performs a physical count of its inventory and records an inventory valuation allowance for inventory that has become obsolete or inventory that has a cost basis in excess of the expected net realizable value. Damaged and obsolete inventory are valued based on management’s best estimate and any difference is charged to expense. Property and Equipment, net Property and equipment are stated at cost, net of accumulated depreciation. Expenditures for maintenance, repairs, and minor improvements are charged to expense as incurred. When property and equipment are retired or otherwise disposed of, the related cost and accumulated depreciation and amortization are removed from the respective accounts, and any gain or loss is included within gain/loss on disposal of assets within the unaudited interim condensed consolidated statements of operations. Major improvements with economic lives greater than one year are capitalized. Leasehold improvements are depreciated over the lesser of the lease term or the estimated useful life. Depreciation is computed using the straight-line method over the following estimated useful lives: SCHEDULE OF ESTIMATED USEFUL LIVES OF PROPERTY AND EQUIPMENT Computers and other peripheral equipment 3 Furniture and fixtures 7 Machinery and equipment 5 15 Tenant improvements 2 5 Vehicles 5 Casita fixed assets 25 Intangible Assets The Company has intangible assets that are amortized over the respective estimated lives on a straight-line basis unless the lives are determined to be indefinite and reviewed for impairment whenever events or other changes in circumstances indicate that the carrying amount may not be recoverable. The Company’s intangible assets include intellectual property associated with Patents and Trademarks that are amortized over their estimated useful life of 14 Schedule of Intangible Assets Intellectual property 14+ years Software > 1 year Domain 5 years The Company has also incurred costs to develop software that are being developed for sale and/or external-use. These software development costs are recognized in Research & Development on the Company’s Statement of Operations, as these costs do not qualify for capitalization until the software has reached the point of technological feasibility, which is determined after the planning, designing, coding, and testing phases have been completed. Revenue Recognition Revenue is measured based on the amount of consideration that we expect to receive, reduced by allowance for estimated returns, chargebacks, promotional discounts, markdowns, and rebates based on management’s estimates and the Company’s historical experience. Revenue also excludes any amounts collected on behalf of third parties, including sales and indirect taxes. In arrangements where we have multiple performance obligations, the transaction price is allocated to each performance obligation using the relative stand-alone selling price. We generally determine stand-alone selling prices based on the prices charged to customers. The Company determines revenue recognition through the following steps in accordance with ASC Topic 606, Revenue from Contracts with Customers: - Identification of a contract with a customer. - Identification of the performance obligations in the contract. - Determination of the transaction price. - The customer has the ability and intent to pay the contractual amount. - Allocation of the transaction price to the performance obligations in the contract. - Recognition of revenue when or as the performance obligations are satisfied. Revenues are recognized when performance obligations are satisfied through the transfer of Casitas, services or parts to the Company’s customers. Generally, control transfers upon shipment of the Casita to the customer and considers the transfer of legal title and risk and rewards of ownership to the Customer. Occasionally, performance obligations for the Company may also include the delivery, installation and other services. The Company records a liability for customer deposits received prior to delivery of the Casita or fulfilment of the service. The liability is relieved, with revenue being recognized once the performance obligations to the customer are satisfied. As of September 31, 2024, and December 31, 2023, the Company recorded $ 2,862 $2,684 Cost of Goods Sold Cost of goods sold consists primarily of the cost of products used in the production of the Company’s finished products, inbound and outbound shipping costs, the related labor, and indirect overhead costs associated with that production. On a periodic basis, the Company performs a physical count of its inventory and records an inventory valuation allowance for inventory that has become obsolete or inventory that has a cost basis in excess of the expected net realizable value. Damaged or obsolete inventory is valued based on management’s best estimate and any difference charged to expense. Advertising Costs The Company incurs third party advertising costs as well as payroll-related costs for its marketing personnel engaged in promotional activities. Advertising and promotion costs to market our products and services are expensed as incurred. Certain marketing costs related to the issuance of the Company’s securities are accounted for as a reduction to the proceeds from the equity offering, and not included in sales and marketing expenses. Research and Development Research and development costs consisting of design, materials, and consultants related to prototype and process improvements and developments are expensed as incurred. Concentration of Credit Risk Cash and Cash Equivalents: The Company classifies all highly liquid instruments with an original maturity of three months or less as cash equivalents. Due to the maturity of cash equivalents, the carrying amounts of these instruments approximate their fair values. Financial instruments that potentially expose the Company to a concentration of credit risk consist primarily of cash and cash equivalents. Cash and cash equivalents are maintained at high quality financial institutions. As of September 30, 2024 and December 31, 2023, the Company’s deposits exceeded the Federal Deposit Insurance Corporation (FDIC) limit. The Company has not experienced any losses with respect to its cash balances. Based upon assessment of the financial condition of these institutions, management considers that the risk of loss of any uninsured balances does not have a significant impact on the Company’s operations. Customers: During the three and nine months ended September 30, 2024, revenues from two customers were approximately 79 57 100 During the three and nine months ended September 30, 2023, revenues from one customer were approximately 100 100 92 Stock-Based Compensation The Company uses ASC 718 for Stock-Based Compensation. Determining the grant date fair value of options using the Black-Scholes option-pricing model requires management to make assumptions and judgments. These estimates involve inherent uncertainties and, if different assumptions had been used, stock-based compensation expense could have been materially different from the amounts recorded. Contingencies The Company is involved in lawsuits, claims, and proceedings, which arise in the ordinary course of business. In accordance with the FASB ASC Topic 450 Contingencies, the Company will make a provision for a liability when it is both probable that a loss has been incurred and the amount of the loss can be reasonably estimated. The Company believes it has adequate provisions for any such matters. The Company reviews these provisions in conjunction with any related provisions on assets related to the claims at least quarterly and adjusts these provisions to reflect the impacts of negotiations, settlements, rulings, advice of legal counsel and other pertinent information related to the case. Should developments in any of these matters outlined below cause a change in the Company’s determination as to an unfavorable outcome and result in the need to recognize a material provision, or, should any of these matters result in a final adverse judgment or be settled for significant amounts, they could have a material adverse effect on the Company’s results of operations, cash flows, and financial position in the period or periods in which such a change in determination, settlement or judgment occurs. Basic and Diluted Net Loss Per Share Basic net loss per share is computed by dividing the net loss by the weighted-average number of common shares outstanding during the period, excluding shares subject to redemption or forfeiture. Diluted net loss per share reflects the actual weighted average of common shares issued and outstanding during the period plus potential common shares. Stock options and convertible instruments are considered potential common shares and are included in the calculation of diluted net loss per share when their effect is dilutive. As all potentially dilutive securities are anti-dilutive for the periods presented as a result of the net loss, diluted net loss per share is the same as basic net loss per share for each period. The following table summarizes potentially dilutive securities, and the resulting common share equivalents outstanding as of September 30, 2024 and December 31, 2023: SCHEDULE OF POTENTIALLY DILUTIVE SECURITIES OUTSTANDING Balance as of September 30, December 31, (In Thousands) 2024 2023 Stock options 50,200 55,236 Restricted stock units 50,786 60,500 Warrants 18,573 10,460 Preferred stock 1,243,747 1,227,326 Potentially dilutive shares 1,363,306 1,353,522 Warranty Provision The Company generally offers its customers a manufacturers’ warranty on Casita products sold for a period of one year. Management records an expense to cost of goods sold for the costs of warranty repairs at the time of sale. Management’s estimate for warranties is based on sales levels and historical costs of providing warranties. As of September 30, 2024 and December 31, 2023, the Company’s reserve for warranty totaled $ 570 570 Recent Accounting Pronouncements As new accounting pronouncements are issued, the Company will adopt those that are applicable under the circumstances. On December 14, 2023 the FASB issued a final standard on improvements to income tax disclosures ASU 2023-09, Improvements to Income Tax Disclosures. The standard requires disaggregated information about a reporting entity’s effective tax rate reconciliation as well as information on income taxes paid. The standard is intended to benefit investors by providing more detailed income tax disclosures that would be useful in making capital allocation decisions. For public business entities (PBEs), the new requirements will be effective for annual periods beginning after December 15, 2024. The guidance will be applied on a prospective basis with the option to apply the standard retrospectively. Early adoption is permitted. The Company is currently evaluating the potential impact of this update on its consolidated financial statements and does not expect the impact to be material. On November 27, 2023 the FASB issued improvements to reportable segment disclosures ASC 2023-07, Segment Reporting (Topic 280). The standard requires disclosure of significant segment expenses that are regularly provided to the chief operating decision maker (CODM) and included within each reported measure of segment profit or loss (collectively referred to as the “significant expense principle”). It also requires disclosure of other segment items by reportable segment and a description of its composition, whereas the other segment items category is the difference between segment revenue less the segment expenses disclosed under the significant expense principle and each reported measure of segment profit or loss. It also requires interim period disclosures about a reportable segment’s P&L and Assets and requires disclosure of the title and position of the Chief Operating Decision Maker (CODM) as well as how the CODM uses the segment P&L in assessing segment performance and deciding how to allocate resources. ASU 2023-07 is effective for public entities fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. The Company is currently evaluating the potential impact of this update on its consolidated financial statements but does not expect a material impact.

PROFITABILITY AND LIQUIDITY

PROFITABILITY AND LIQUIDITY	9 Months Ended
	Sep. 30, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
PROFITABILITY AND LIQUIDITY	NOTE 2 – PROFITABILITY AND LIQUIDITY These unaudited interim condensed consolidated financial statements have been prepared under the assumption that the Company will be able to continue as a going concern. The going concern assumption contemplates the realization of assets and satisfaction of liabilities in the normal course of business. However, substantial doubt about the Company’s ability to continue as a going concern is probable. Primarily due to a decline in sales associated with delays in obtaining US statewide modular approvals, the Company reported a net loss of $ 42,921 28,632 710,406 The continuing viability of the Company and its ability to continue as a going concern is dependent on the Company being successful in its continued efforts in growing its revenue and/or accessing additional sources of capital. Management’s plan to address this need includes (a) continued exercise of tight controls to conserve cash, (b) accelerating sales of Casitas to generate revenue, and (c) raising funds through equity financing. The Company anticipates current capital on hand and expected future funding will be sufficient to fund the Company’s operations in excess of twelve months. The Company is currently selling shares of its preferred stock through Regulation A and Regulation D offerings in the United States, securities offerings in Canada, and anticipates raising funds through other offerings of preferred stock. Management believes that the actions presently being taken by the Company will provide sufficient liquidity for the Company to continue to execute its business plan over the next year. However, there can be no assurances that management’s plans will be achieved.

INVESTMENTS

INVESTMENTS	9 Months Ended
	Sep. 30, 2024
Investments, All Other Investments [Abstract]
INVESTMENTS	NOTE 3 – INVESTMENTS As of September 30, 2024 and December 31, 2023, investments in securities consists of U.S. Treasury Notes carried at amortized cost, consisted of the following: SCHEDULE OF INVESTMENT IN SECURITIES Balance as of September 30, December 31, (In Thousands) 2024 2023 Investments in short-term U.S. Treasury Notes $ 21,789 $ 27,685 Investments in long-term U.S. Treasury Notes 72 2,777 Total investments in U.S. Treasury Notes $ 21,861 $ 30,462 The long-term investments include maturities extending beyond 12 months from the balance sheet date. The cost basis of investments held is determined by the Company using the specific identification method. Interest Income on the unaudited interim condensed consolidated statement of operations includes the accrued interest and realized interest earned on Treasuries. Unrealized gains and losses on treasuries are reported within “unrealized net gains/losses” on the unaudited interim condensed consolidated statement of operations.

INVENTORIES, NET

INVENTORIES, NET	9 Months Ended
	Sep. 30, 2024
Inventory Disclosure [Abstract]
INVENTORIES, NET	NOTE 4 – INVENTORIES, NET As of September 30, 2024 and December 31, 2023, inventory consists of the following: SCHEDULE OF INVENTORY Balance as of September 30, December 31, (In Thousands) 2024 2023 Raw material $ 3,235 $ 3,346 Inventory in-transit 282 273 Work-in progress - 255 Finished goods 19,438 14,820 Total inventory $ 22,955 $ 18,694 Inventories are written down for any obsolescence or when the net realizable value considering future events and conditions is less than the carrying value. During the three and nine months ended September 30, 2024, the Company recorded $ 105 303 Nil Nil

PROPERTY AND EQUIPMENT, NET

PROPERTY AND EQUIPMENT, NET	9 Months Ended
	Sep. 30, 2024
Property, Plant and Equipment [Abstract]
PROPERTY AND EQUIPMENT, NET	NOTE 5 – PROPERTY AND EQUIPMENT, NET The Company’s property and equipment consists of the following amounts as of September 30, 2024 and December 31, 2023: SCHEDULE OF PROPERTY AND EQUIPMENT Balance as of September 30, December 31, (In Thousands) 2024 2023 Computers and other peripheral equipment $ 399 $ 266 Furniture and fixtures 190 182 Machinery and equipment 8,040 8,754 Tenant improvements 2,793 2,397 Vehicles 730 726 Casita fixed assets 832 825 Construction in-progress - 690 Property and equipment, gross 12,984 13,840 Less: Accumulated depreciation (3,472 ) (3,074 ) Property, plant and equipment - net $ 9,512 $ 10,766 Depreciation During the three and nine months ended September 30, 2024, the Company recognized $ 452 1,404 328 1,257 Deposits on Equipment As of September 30, 2024 and December 31, 2023, the Company recorded $ 51 9,822 Nil 3,273 A substantial amount of these deposits as of December 31, 2023 were paid to a vendor who did not fulfill their contractual obligations to us. As of September 30, 2024, certain deposits, totaling $ 8,164 See Impairment Loss below for more information. Impairment Loss During the three and nine months ended September 30, 2024, the Company recorded $ 117 thousand and $ 12,237 , respectively (September 30, 2023 - $ Nil and $ 108 ), respectively, in impairment loss. The amount recorded as impairment loss during the nine months ended September 30, 2024 are related to assets that were procured to automate production of a new Casita model. On April 30, 2024, the Company filed a claim against a supplier based on breach of contract and misrepresentation. This claim was prompted by a key supplier of equipment failing to fulfill their obligation. Despite anticipating a judgment in its favor, during June 2024, the Company made the determination that (a) it no longer plans to continue with production of the model and (b) recoverability of these assets and related deposits is uncertain. Considering that this equipment was customized for the production of this new Casita model and is unable to be used for an alternative purpose, the Company recognized an impairment loss. For additional information regarding the legal proceedings surrounding this impairment, see Note 10 – Commitments and Contingencies: Legal Proceedings.

INTANGIBLE ASSETS, NET

INTANGIBLE ASSETS, NET	9 Months Ended
	Sep. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]
INTANGIBLE ASSETS, NET	NOTE 6 – INTANGIBLE ASSETS, NET The Company held the following intangible assets as of September 30, 2024, and December 31, 2023: SCHEDULE OF INTANGIBLE ASSETS Asset (In thousands) September 30, 2024 December 31, 2023 As of, Asset (In Thousands) September 30, 2024 December 31, 2023 Intellectual property $ 414 $ 398 Software 261 - Domain 50 50 Finite-lived intangible assets, gross 725 448 Less: Accumulated amortization (133 ) (79 ) Total $ 592 $ 369 Acquisition of Intangible Assets from Merger Agreement with 500 Group, Inc. On June 15, 2023, the Company engaged in an all-stock statutory merger with 500 Group, Inc., a Nevada corporation (“500 Group”) and its subsidiary Build IP. The Company exchanged 37,500 30 0.80 272 29,725 1

LEASES

LEASES	9 Months Ended
	Sep. 30, 2024
Leases [Abstract]
LEASES	NOTE 7 – LEASES On December 29, 2020, the Company signed a 65 173,000 525 87 19 116 4 259 On June 10, 2022, the Company signed a 73 132,960 104 4 Effective as of January 1, 2023, the Company leased to Supercar System four support squares located in the Company’s main property located at 5435 E. N. Belt Road, Las Vegas, Nevada for $ 7 The Company recognizes lease expense for its operating leases on a straight-line basis over the lease term. Most leases include one or more options to renew, with renewal terms that can extend the lease term. The Company has determined that it was reasonably certain that the renewal options would be exercised based on previous history and knowledge, current understanding of future business needs and the level of investment in leasehold improvements, among other considerations. The incremental borrowing rate used in the calculation of the lease liability is based on the rate available to the Company. The depreciable life of assets and leasehold improvements are limited by the expected lease term. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants. Certain subsidiaries of the Company rent or sublease certain office space to/from other subsidiaries of the Company. Maturities of lease liabilities for operating leases as of September 30, 2024, were as follows: SCHEDULE OF MATURITIES OF OPERATING LEASE LIABILITIES Remaining lease payments (In Thousands) Fiscal year 2024 $ 973 2025 3,997 2026 3,839 2027 2,102 2028 1,509 Thereafter 257 Total lease payments $ 12,677 Less: Imputed interest (1,197 ) Total lease liability $ 11,480 As of September 30, 2024 and December 31, 2023, the weighted average remaining lease term was 3.1 3.8 5.2 No ROU asset is recorded for leases with a lease term, including any reasonably assured renewal terms, of 12 months or less. Upon adoption of ASC 842, the Company also recorded lease liabilities computed as the present value of future minimum lease payments, including reductions from any landlord incentives, plus any additional direct costs from executing the leases. Lease liabilities are amortized using the effective interest method using a discount rate of 4

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	9 Months Ended
	Sep. 30, 2024
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	NOTE 8 – RELATED PARTY TRANSACTIONS The Company had the following transactions with related parties: SCHEDULE OF RELATED PARTY TRANSACTIONS IN FINANCIAL STATEMENTS Three Months Ended September 30, Nine Months Ended September 30, (In Thousands) 2024 2023 2024 2023 Consolidated Statement of Operations Rental income (1) $ 22 $ 22 $ 67 $ 67 Professional fees (2) - - - 63 Balance as of September 30, 2024 December 31, 2023 Consolidated Balance Sheets Preferred Stock (3) 1,719 1,719 (1) The Company has a contract with the majority shareholder and CEO to share certain costs related to office space, support staff, and consultancy services. (2) The Company incurred professional expenses related to a former member of the Board of Directors who provided consulting services. (3) As of September 30, 2024 and December 31, 2023, the Company had 26,726 427 5,884 372 12,834 920

STOCKHOLDERS_ EQUITY

STOCKHOLDERS’ EQUITY	9 Months Ended
	Sep. 30, 2024
Equity [Abstract]
STOCKHOLDERS’ EQUITY	NOTE 9 – STOCKHOLDERS’ EQUITY Preferred and Common Stock The Company was converted to a C-Corporation in the state of Nevada on June 16, 2020. In conjunction with the conversion, the Company authorized the issuance of 4.25 0.00001 750 On February 24, 2021, the Company filed an amendment to the articles of incorporation which increased the number of authorized preferred shares to 850 202,517 647,483 On November 19, 2021, the Board of Directors approved a 10-for-1 stock split 6.6 0.00001 250 0.00001 1.1 0.00001 2.05 0.00001 900 0.00001 On September 1, 2023, the Company filed an amendment to the articles of incorporation which authorized the issuance of 8.75 0.00001 1.25 Effective October 21, 2024, the Company filed an amendment to the articles of incorporation which increased the authorized Common Stock from 6.6 17.8 0.00001 13.4 14.4 0.00001 1.25 2.25 0.00001 Preferred Stock Liquidation Preference The following table summarizes the liquidation preferences as of September 30, 2024, in order of liquidation: SUMMARY OF LIQUIDATION PREFERENCES (In Thousands) Shares Authorized Shares Issued and Outstanding Liquidation Preference Balance Series A-3 Preferred Stock 8,750,000 24,560 $ 19,648 Series A-2 Preferred Stock 2,050,000 174,160 139,328 Series A-1 Preferred Stock 1,100,000 850,605 67,198 Series A Preferred Stock 250,000 194,423 3,305 Non-classified Preferred Stock 2,250,000 - - Total Series A Preferred Stock 14,400,000 1,243,747 $ 229,479 Sales of Preferred Stock On June 25, 2024, the Company commenced an offering of up to 88,095 thousand shares of its Non-Voting Series A-3 Preferred Stock under Regulation A of the Securities Act of 1933, as amended (the “Securities Act”), at a per share price of $ 0.80 , plus 4,404 thousand Bonus Shares (as defined in the Offering Circular on file in the Company’s Form 1-A Offering Statement (Commission File No. 024-12402) (the “Form 1-A Offering Statement”)) for a maximum potential raise of $ 74 92.5 shares of Non-Voting Series A-3 Preferred Stock for gross proceeds of $ 74 consisting of $ 70,476 in cash proceeds and $ 3,523 in Bonus Share value for which no cash proceeds would be received by the Company. During the nine months ended September 30, 2024, the Company issued 16,217 11,479 During the nine months ended September 30, 2024, the Company issued 204 9,995 163 7,584 Warrants In connection with the issuance of certain A-3 shares, as of September 30, 2024 and December 31, 2023, the Company has issued 18,573 10,460 0.80 Escrow Receivable As of September 30, 2024, the Company had proceeds relating to its issuance of Series A-3 Preferred Stock that were held in escrow and released to the Company on October 1, 2024. The funds in escrow, net of holdbacks and offering fees totaled $ 1,109 1,372 232 Offering Costs and Deferred Offering Costs For the three and nine months ended September 30, 2024, the Company incurred offering costs of $ 507 583 77 534 As of September 30, 2024 and December 31, 2023, the Company recorded $ 56 Nil Subscription Liability As of September 30, 2024 and December 31, 2023, the Company had $ 1,067 451 Stock-based Compensation On August 12, 2024, the Company amended and restated the Amended 2021 Stock Incentive Plan (“Plan”) to increase the number of shares of Common Stock reserved for issuance under the Plan to 550 150 Administration: The Board of Directors delegated to the Compensation Committee of the Board of Directors the authority to administer the Plan (the “Plan Administrator”), which includes the authority to interpret the Plan, to prescribe, amend, and rescind rules and regulations relating to the Plan, to provide for conditions and assurances deemed necessary or advisable to protect the interest of the Company, and to make all other determinations necessary for the administration of the Plan to the extent not contrary to the express provisions of the Plan. Eligibility: Eligible participants in this Plan include employees of, non-employee directors of, and consultants to the Company. To the extent permitted by applicable law, awards may also be granted to prospective employees and non-employee members of the Board, but no portion of any such award shall vest, become exercisable, be issued or become effective prior to the date on which such individual begins providing services to the Company. The Plan Administrator has the sole discretion to determine which participants will receive an award, including the determination of whether an award to an eligible participant will further the Plan’s purposes of providing incentives to attract, retain and motivate eligible persons whose present and potential contributions are important to the Company’s success by offering them an opportunity to participate in the Company’s future performance through the grant of awards, as well as the type of any award to be granted, the number of shares of Common Stock subject to any award, and the terms and conditions of any award. Awards: As of September 30, 2024, only Stock Options and Restricted Stock Units (“RSUs”) were outstanding under the Plan. The Plan permits the following types of awards: Stock Appreciation Rights: Stock Appreciation Rights (“SARs”) may be granted to Participants and shall have a per-share base value equal to the Fair Market Value of a share of Common Stock on the Grant Date. SARs may be settled at such times, and subject to restrictions and conditions, which need not be the same for all Participants; provided that no SAR shall settle later than ten (10) years from the Grant Date. Upon settlement, the Participant shall be entitled to receive payment of an amount determined by multiplying (a) the difference, if any, between the Fair Market Value of one share of Common Stock on the date of settlement and the base value of one share of Common Stock on the Grant Date; and (b) the number of shares of Common Stock with respect to which the SAR is settled. Payment for SARs shall be in cash, shares of Common Stock of equivalent value, or in a combination thereof. As of September 30, 2024, the Company has not issued any SARs. Restricted Stock: Restricted Stock awards may be subject to transfer and other restrictions including, without limitation, continued employment, performance conditions, or limitations on voting and/or dividend rights. Restricted Stock awards will be forfeited if the restrictions imposed on the Grant Date have not expired at the time of termination of employment or service in the case of a non-employee director or consultant. As of September 30, 2024, the Company has not issued any Restricted Stock. Stock Grant Awards: Stock Grant Awards grant the Participant the right to receive (or purchase at such price as previously determined in the award) a designated number of shares of Common Stock free of any vesting restrictions. The purchase price, if any, shall be payable in cash or other form of consideration. Stock Grant Awards may be granted or sold in respect of past services or other valid consideration, or in lieu of any cash compensation due to the Participant. As of September 30, 2024, the Company has not issued any Stock Grant Awards. Stock Options: Under the Plan, Stock Options may be granted to Eligible Participants at a per-share exercise no less than 100% of the Fair Market Value of one share of Common Stock as of the Grant Date. The Administrator shall determine when the Stock Option may be exercised, including any performance, vesting or other conditions, provided the term does not exceed ten (10) years from the Grant Date. If the Participant’s employment or service is terminated for cause, their unexercised Stock Options immediately lapse, including any vested Stock Options. Incentive Stock Options (“ISOs”) may only be granted to Participants who are also employees. The exercise price of ISOs shall equal the Fair Market Value of one share of Common Stock as of the Grant Date and shall expire upon the earlier of ten (10) years from the Grant Date (unless a shorter time is set in the Participant’s award agreement), provided that, ISOs granted to an employee who owns stock possessing more than 10% of the total combined voting power of all classes of stock of the Company must have a per-share exercise price of no less than 110% of the Fair Market Value of one share of Common Stock as of the Grant Date and cannot have a term exceeding five (5) years from the Grant Date. The vested portion of a Stock Option lapses three (3) months following the effective date of the Participant’s termination of employment or twelve (12) months following the effective date of the Participant’s termination of employment due to death or disability, as defined in the Plan (in each case, unless a shorter time is set in the Participant’s award agreement) but in no event later than the expiration of the Stock Option. A summary of Stock Option activity as of September 30, 2024, and December 31, 2023 is as follows: SUMMARY OF STOCK OPTIONS ACTIVITY Weighted Average Exercise Price per Share (In Thousands except for per share price) Stock Options Exercise Price per Share Term (in years) Outstanding as of December 31, 2022 61,288 0.13 8.40 Granted 1,357 $ 0.70 Exercised - - Forfeited/cancelled (7,409 ) (0.37 ) Outstanding as of December 31, 2023 55,236 $ 0.13 7.90 Granted - - Exercised - - Forfeited/cancelled (5,036 ) 0.34 Outstanding as of September 30, 2024 50,200 0.17 7.65 Exercisable as of September 30, 2024 27,730 $ 0.05 7.60 The Company accounts for share-based compensation arrangements using a fair value method which requires the recognition of compensation expense for costs related to all share-based payments, including stock options. The fair value method requires the Company to estimate the fair value of share-based payment awards on the date of grant using an option pricing model. The Company uses the Black-Scholes pricing model to estimate the fair value of Stock Options granted that are then expensed on a straight-line basis over the vesting period. The Company accounts for forfeitures as they occur in the year of forfeiture and share-based compensation expense adjusted accordingly. Option valuation models, including the Black-Scholes option-pricing model, require the input of highly subjective assumptions, and changes in the assumptions used can materially affect the grant-date fair value of an award. These assumptions include the risk-free rate of interest, expected dividend yield, expected volatility, and the expected life of the award. The Company uses the Black-Scholes option pricing model to estimate the fair value of the Stock Options on the date of grant under the following assumptions: SCHEDULE OF OPTIONS VALUATION ASSUMPTIONS Expected life (years) (1) 5 6.5 Risk-free interest rate (2) 1.03 4.34 Expected volatility (3) 0.503 0.549 Annual dividend yield 0 % Weighted average fair value of options granted $ 0.14 (1) In accordance with SAB Topic 14, the expected life of employee stock options was estimated using the “simplified method,” as the Company has no historical information to develop reasonable expectations about future exercise patterns and employment duration for its stock option grants. The simplified method is based on the average of the vesting tranches and the contractual life of each grant. The Company believes the use of the simplified method is appropriate due to the employee stock options qualifying as “plain-vanilla” options under the criteria established by SAB Topic 14. (2) The risk-free rate was based on the United States bond yield rate at the time of grant of the award, whose term is consistent with expected life of the stock options. (3) Based on historical experience over a term consistent with the expected life of the stock options. (4) Expected annual rate of dividends is based on the fact that the Company has never paid cash dividends and does not expect to pay any cash dividends in the foreseeable future. Share-based compensation expense is not adjusted for estimated forfeitures, but instead adjusted upon an actual forfeiture of a stock option. Amounts recorded for forfeited or expired unexercised options are accounted for in the year of forfeiture. Restricted Stock Units: Restricted Stock Units (“RSUs”) grant the Participant the right to receive a certain number of shares of Common Stock, a cash payment equal to the Fair Market Value of that number of shares of Common Stock (determined as of a specified date), or a combination thereof, based on the terms and conditions of the award, as determined by the Plan Administrator. Upon termination of employment (or service as a non-employee director or consultant), unvested RSUs shall be forfeited. RSUs represent a right to receive a single common share. RSU awards generally vest over a 3-year service period During the three and nine months ended September 30, 2024, the Company did not grant any RSUs. During the nine months ended September 30, 2023, the Company granted 44,714 A summary of RSU activity as of September 30, 2024, and December 31, 2023 is as follows: SUMMARY OF RSU ACTIVITY Weighted-Average Grant Date (In Thousands except for per share amounts) RSU’s Fair Value per Share Outstanding as of December 31, 2022 17,857 $ 0.07 Awarded 54,357 0.80 Vested - - Cancelled (11,714 ) 0.80 Outstanding as of December 31, 2023 60,500 $ 0.57 Awarded - - Vested - - Cancelled (9,714 ) 0.80 Outstanding at September 30, 2024 50,786 $ 0.77 During the three and nine months ended September 30, 2024, and 2023, the Company recognized stock compensation expense related to stock options and RSU’s, as follows: SCHEDULE OF RECOGNIZED STOCK COMPENSATION EXPENSE RELATED TO STOCK OPTIONS AND RSU For the Nine Months Ended September 30, For the Three Months Ended September 30, (In Thousands) 2024 2023 2024 2023 Cost of Goods Sold $ 2,341 $ 2,970 $ 671 $ 1,679 General and Administrative 1,517 1,805 429 571 Sales and Marketing 1,257 582 403 237 Research and Development 1,560 466 247 466 Total Stock-Based Compensation Expense $ 6,675 $ 5,823 $ 1,750 $ 2,953 The expected life of employee stock options was estimated using the “simplified method,” as the Company has no historical information to develop reasonable expectations about future exercise patterns and employment duration for its stock option grants. The simplified method is based on the average of the vesting tranches and the contractual life of each grant. The expected life of awards that vest immediately use the contractual maturity since they are vested when issued. For stock price volatility, the Company uses public company compatibles as a basis for its expected volatility to calculate the fair value of option grants. The risk-free interest rate is based on U.S. Treasury notes with a term approximating the expected life of the option at the grant-date. The Company recognizes stock option forfeitures as they occur as there is insufficient historical data to accurately determine future forfeiture rates. Future stock-based compensation expense related to these options and RSUs as of September 30, 2024, to be recognized is approximately $ 15,280 1

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Sep. 30, 2024
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	NOTE 10 – COMMITMENTS AND CONTINGENCIES In the ordinary course of business, the Company enters into contractual agreements with third parties that include non-cancelable payment obligations, for which it is liable in future periods. These arrangements can include terms binding the Company to minimum payments and/or penalties if it terminates the agreement for any reason other than an event of default as described in the agreement. In the course of business, the Company is party to various legal proceedings and claims from time to time. A liability will be accrued when a loss is both probable and can be reasonably estimated. Management believes that the probability of a material loss is remote. However, litigation is inherently uncertain, and it is not possible to predict the ultimate disposition of these proceedings. There are no legal proceedings, which the Company believes will have a material adverse effect on the Company’s financial position. Legal Proceedings Claims filed by the Company (i) The Company initiated legal action against former employees who violated their agreements post-termination. Quantifying the resulting harm is complex and ongoing. The Company anticipates that judgment will be entered in its favor for a sum less than $ 250 . (ii) The Company uncovered potential misconduct by a former employee related to a stock scheme, the impact of which is challenging to measure. The Company anticipates that judgment will be entered in its favor for a sum less than $1 million, but the investigation and extent of damages is ongoing. (iii) The Company engaged in litigation with an Internet Blogger who posted defamatory information regarding the Company. On August 5, 2024, the court entered a default judgment in favor of the Company, awarding $ 50 in damages. (iv) On April 30, 2024, the Company filed a lawsuit against Brave Control Solutions, Inc. and individual Brent McPhail in District Court. The Company seeks damages equal to all amounts paid under the contracts, among other relief, to recover from these breaches and misrepresentations. The Company anticipates a judgment in its favor, but recovery of these assets is uncertain. Claims filed against the Company (i) The Company received notifications of employment-related charges filed by former employees with the EEOC and the NLRB. The allegations involve various issues such as discrimination and interference with employee rights. The Company provided responses to both agencies and is awaiting further developments. The Company does not expect a material impact to its financial position. (ii) The Company’s former Chief Operating Officer, terminated for cause after seven months of employment, filed a civil complaint in Nevada alleging various claims against the Company and its directors. The amount sought by the former employee is unspecified. The Company anticipates a judgment in its favor. (iii) Leader Capital is a shareholder of the Company and has filed suit against the Company. The Company does not expect a material impact to its financial position. (iv) Ro-Matt International Inc. and Electra-Tech Manufacturing Inc. (“Applicants”) filed a lawsuit against Brave Control Solutions, Inc., BOXABL Inc., and Royal Bank of Canada in Ontario, Canada, in the Superior Court of Justice. Counsel for BOXABL is arranging for BOXABL’s dismissal from the case. The Company does not expect a material impact to its financial position.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	9 Months Ended
	Sep. 30, 2024
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	NOTE 11 – SUBSEQUENT EVENTS The Company has evaluated subsequent events from September 30, 2024 through November 12, 2024, the issuance date of these unaudited condensed consolidated financial statements. Sales and Regulatory Approvals Between October 1, 2024 and November 12, 2024, the Company shipped 14 780 Equity Events Subsequent to September 30, 2024, the Company issued the following: - 1,794 1,395 - 597 447 For awards previously issued under the Company’s 2021 Stock Incentive Plan, the Company recognized employee forfeitures of 231 1,407 As of November 12, 2024, previously issued Stock Options totaling 13,630 0.075 Also see Note 9 – Preferred and Common Stock for a description of the amendments to the Company’s articles of incorporation and Note 9 – Stock-based Compensation

SIGNIFICANT ACCOUNTING POLICI_2

SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Sep. 30, 2024
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited interim condensed consolidated financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America for interim financial information. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of the Company’s management, all adjustments considered necessary for a fair statement have been included in the accompanying unaudited financial statements. All intercompany transactions and balances have been eliminated in consolidation. The unaudited interim condensed consolidated financial statements include the accounts of 500 Group from June 15, 2023. Operating results for the three and nine months ended September 30, 2024 are not necessarily indicative of the results that may be expected for the full year ending December 31, 2024. The financial data presented herein should be read in conjunction with the audited consolidated financial statements and accompanying notes for the year ended December 31, 2023, included in the Company’s Annual Report on the Form 10-K filed with the SEC on April 1, 2024.
Prior Period Reclassification	Prior Period Reclassification Certain prior period amounts have been reclassified to conform to the current period presentation.
Use of Estimates	Use of Estimates The preparation of the unaudited interim condensed consolidated financial statements in conformity with GAAP requires management to make estimates, judgments and assumptions that affect the reported amounts of assets and liabilities, revenues and expenses, and related disclosures in the unaudited interim condensed consolidated financial statements and accompanying notes. Actual results could differ materially from these estimates. These estimates form the basis for judgements the Company makes about the carrying value of its assets and liabilities, which are not readily apparent from other sources. These estimates are based on information available as of the date of the unaudited interim condensed consolidated financial statements, including historical information and various other assumptions that the Company believes are reasonable under the circumstances. Actual results could differ materially from these estimates.
Risks and Uncertainties	Risks and Uncertainties The Company’s business and operations are sensitive to general business and economic conditions in the US and worldwide along with local, state, and federal governmental policy decisions. A host of factors beyond the Company’s control could cause fluctuations in these conditions. Adverse conditions may include recession, downturn or otherwise, government policies. These adverse conditions could affect the Company’s financial condition, results of its operations and cash flows.
Fair Value of Financial Instruments	Fair Value of Financial Instruments Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. To increase the comparability of fair value measures, the following hierarchy prioritizes the inputs to valuation methodologies used to measure fair value: ● Level 1 – Valuations based on quoted prices for identical assets and liabilities in active markets. Level 1 assets consist of investments. ● Level 2 – Valuations based on observable inputs, other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data. ● Level 3 – Valuations based on unobservable inputs reflecting our own assumptions, consistent with reasonably available assumptions made by other market participants. These valuations require significant judgment. The Company valued its employee stock options (NQSO’s and ISO’s) and stock grants (RSU’s) at grant date fair value using a Level 3 mark. See Note 9 – Stockholders Equity: Stock Based Compensation.
Restricted Cash and Deposits	Restricted Cash and Deposits On June 1, 2023, the Company was required to obtain a letter of credit to make a Security Deposit related to the expansion of premises of $ 3,714 3.15 259
Marketable Debt Securities	Marketable Debt Securities The Company generally invests its excess cash into marketable debt securities, which consist of short-term and long-term investments in U.S. treasury bills and notes that are classified as held-to-maturity. Short-Term Investments in U.S. Treasury Notes, Held-to-Maturity Short-term investments in U.S. treasury notes include U.S Treasury notes with maturities of less than 12 months. The realized and unrealized gains and losses on short-term investments in U.S. treasury notes are determined using the specific identification method. If a U.S. treasury note has an unrealized loss and we either intend to sell the security or it is more likely than not that we will be required to sell the security before its anticipated recovery, we will record an impairment charge to investment and other income (expense), net for the entire amount of the unrealized loss and adjust the amortized cost basis of the security. Long-Term Investments in U.S. Treasury Notes, Held-to-Maturity Long-term investments in U.S. treasury notes include U.S Treasury notes with maturities of 12 months or more. The realized and unrealized gains and losses on long-term investments in U.S. treasury notes are determined using the specific identification method. If a U.S. treasury note has an unrealized loss and we either intend to sell the security or it is more likely than not that we will be required to sell the security before its anticipated recovery, we will record an impairment charge to investment and other income (expense), net for the entire amount of the unrealized loss and adjust the amortized cost basis of the security.
Inventories, net	Inventories, net Inventories consist of raw materials, in-bound freight and duties, work in progress, and finished goods. Inventories available for sale are valued at the lower of cost or net realized value. Cost is determined using the weighted average method. This valuation requires us to make judgments, based on currently available information, about the likely method of disposition, such as through sales to individual customers, bulk sales, and the expected recoverable values for each disposition category. On a periodic basis, the Company performs a physical count of its inventory and records an inventory valuation allowance for inventory that has become obsolete or inventory that has a cost basis in excess of the expected net realizable value. Damaged and obsolete inventory are valued based on management’s best estimate and any difference is charged to expense.
Property and Equipment, net	Property and Equipment, net Property and equipment are stated at cost, net of accumulated depreciation. Expenditures for maintenance, repairs, and minor improvements are charged to expense as incurred. When property and equipment are retired or otherwise disposed of, the related cost and accumulated depreciation and amortization are removed from the respective accounts, and any gain or loss is included within gain/loss on disposal of assets within the unaudited interim condensed consolidated statements of operations. Major improvements with economic lives greater than one year are capitalized. Leasehold improvements are depreciated over the lesser of the lease term or the estimated useful life. Depreciation is computed using the straight-line method over the following estimated useful lives: SCHEDULE OF ESTIMATED USEFUL LIVES OF PROPERTY AND EQUIPMENT Computers and other peripheral equipment 3 Furniture and fixtures 7 Machinery and equipment 5 15 Tenant improvements 2 5 Vehicles 5 Casita fixed assets 25
Intangible Assets	Intangible Assets The Company has intangible assets that are amortized over the respective estimated lives on a straight-line basis unless the lives are determined to be indefinite and reviewed for impairment whenever events or other changes in circumstances indicate that the carrying amount may not be recoverable. The Company’s intangible assets include intellectual property associated with Patents and Trademarks that are amortized over their estimated useful life of 14 Schedule of Intangible Assets Intellectual property 14+ years Software > 1 year Domain 5 years The Company has also incurred costs to develop software that are being developed for sale and/or external-use. These software development costs are recognized in Research & Development on the Company’s Statement of Operations, as these costs do not qualify for capitalization until the software has reached the point of technological feasibility, which is determined after the planning, designing, coding, and testing phases have been completed.
Revenue Recognition	Revenue Recognition Revenue is measured based on the amount of consideration that we expect to receive, reduced by allowance for estimated returns, chargebacks, promotional discounts, markdowns, and rebates based on management’s estimates and the Company’s historical experience. Revenue also excludes any amounts collected on behalf of third parties, including sales and indirect taxes. In arrangements where we have multiple performance obligations, the transaction price is allocated to each performance obligation using the relative stand-alone selling price. We generally determine stand-alone selling prices based on the prices charged to customers. The Company determines revenue recognition through the following steps in accordance with ASC Topic 606, Revenue from Contracts with Customers: - Identification of a contract with a customer. - Identification of the performance obligations in the contract. - Determination of the transaction price. - The customer has the ability and intent to pay the contractual amount. - Allocation of the transaction price to the performance obligations in the contract. - Recognition of revenue when or as the performance obligations are satisfied. Revenues are recognized when performance obligations are satisfied through the transfer of Casitas, services or parts to the Company’s customers. Generally, control transfers upon shipment of the Casita to the customer and considers the transfer of legal title and risk and rewards of ownership to the Customer. Occasionally, performance obligations for the Company may also include the delivery, installation and other services. The Company records a liability for customer deposits received prior to delivery of the Casita or fulfilment of the service. The liability is relieved, with revenue being recognized once the performance obligations to the customer are satisfied. As of September 31, 2024, and December 31, 2023, the Company recorded $ 2,862 $2,684
Cost of Goods Sold	Cost of Goods Sold Cost of goods sold consists primarily of the cost of products used in the production of the Company’s finished products, inbound and outbound shipping costs, the related labor, and indirect overhead costs associated with that production. On a periodic basis, the Company performs a physical count of its inventory and records an inventory valuation allowance for inventory that has become obsolete or inventory that has a cost basis in excess of the expected net realizable value. Damaged or obsolete inventory is valued based on management’s best estimate and any difference charged to expense.
Advertising Costs	Advertising Costs The Company incurs third party advertising costs as well as payroll-related costs for its marketing personnel engaged in promotional activities. Advertising and promotion costs to market our products and services are expensed as incurred. Certain marketing costs related to the issuance of the Company’s securities are accounted for as a reduction to the proceeds from the equity offering, and not included in sales and marketing expenses.
Research and Development	Research and Development Research and development costs consisting of design, materials, and consultants related to prototype and process improvements and developments are expensed as incurred.
Concentration of Credit Risk	Concentration of Credit Risk Cash and Cash Equivalents: The Company classifies all highly liquid instruments with an original maturity of three months or less as cash equivalents. Due to the maturity of cash equivalents, the carrying amounts of these instruments approximate their fair values. Financial instruments that potentially expose the Company to a concentration of credit risk consist primarily of cash and cash equivalents. Cash and cash equivalents are maintained at high quality financial institutions. As of September 30, 2024 and December 31, 2023, the Company’s deposits exceeded the Federal Deposit Insurance Corporation (FDIC) limit. The Company has not experienced any losses with respect to its cash balances. Based upon assessment of the financial condition of these institutions, management considers that the risk of loss of any uninsured balances does not have a significant impact on the Company’s operations. Customers: During the three and nine months ended September 30, 2024, revenues from two customers were approximately 79 57 100 During the three and nine months ended September 30, 2023, revenues from one customer were approximately 100 100 92
Stock-Based Compensation	Stock-Based Compensation The Company uses ASC 718 for Stock-Based Compensation. Determining the grant date fair value of options using the Black-Scholes option-pricing model requires management to make assumptions and judgments. These estimates involve inherent uncertainties and, if different assumptions had been used, stock-based compensation expense could have been materially different from the amounts recorded.
Contingencies	Contingencies The Company is involved in lawsuits, claims, and proceedings, which arise in the ordinary course of business. In accordance with the FASB ASC Topic 450 Contingencies, the Company will make a provision for a liability when it is both probable that a loss has been incurred and the amount of the loss can be reasonably estimated. The Company believes it has adequate provisions for any such matters. The Company reviews these provisions in conjunction with any related provisions on assets related to the claims at least quarterly and adjusts these provisions to reflect the impacts of negotiations, settlements, rulings, advice of legal counsel and other pertinent information related to the case. Should developments in any of these matters outlined below cause a change in the Company’s determination as to an unfavorable outcome and result in the need to recognize a material provision, or, should any of these matters result in a final adverse judgment or be settled for significant amounts, they could have a material adverse effect on the Company’s results of operations, cash flows, and financial position in the period or periods in which such a change in determination, settlement or judgment occurs.
Basic and Diluted Net Loss Per Share	Basic and Diluted Net Loss Per Share Basic net loss per share is computed by dividing the net loss by the weighted-average number of common shares outstanding during the period, excluding shares subject to redemption or forfeiture. Diluted net loss per share reflects the actual weighted average of common shares issued and outstanding during the period plus potential common shares. Stock options and convertible instruments are considered potential common shares and are included in the calculation of diluted net loss per share when their effect is dilutive. As all potentially dilutive securities are anti-dilutive for the periods presented as a result of the net loss, diluted net loss per share is the same as basic net loss per share for each period. The following table summarizes potentially dilutive securities, and the resulting common share equivalents outstanding as of September 30, 2024 and December 31, 2023: SCHEDULE OF POTENTIALLY DILUTIVE SECURITIES OUTSTANDING Balance as of September 30, December 31, (In Thousands) 2024 2023 Stock options 50,200 55,236 Restricted stock units 50,786 60,500 Warrants 18,573 10,460 Preferred stock 1,243,747 1,227,326 Potentially dilutive shares 1,363,306 1,353,522
Warranty Provision	Warranty Provision The Company generally offers its customers a manufacturers’ warranty on Casita products sold for a period of one year. Management records an expense to cost of goods sold for the costs of warranty repairs at the time of sale. Management’s estimate for warranties is based on sales levels and historical costs of providing warranties. As of September 30, 2024 and December 31, 2023, the Company’s reserve for warranty totaled $ 570 570
Recent Accounting Pronouncements	Recent Accounting Pronouncements As new accounting pronouncements are issued, the Company will adopt those that are applicable under the circumstances. On December 14, 2023 the FASB issued a final standard on improvements to income tax disclosures ASU 2023-09, Improvements to Income Tax Disclosures. The standard requires disaggregated information about a reporting entity’s effective tax rate reconciliation as well as information on income taxes paid. The standard is intended to benefit investors by providing more detailed income tax disclosures that would be useful in making capital allocation decisions. For public business entities (PBEs), the new requirements will be effective for annual periods beginning after December 15, 2024. The guidance will be applied on a prospective basis with the option to apply the standard retrospectively. Early adoption is permitted. The Company is currently evaluating the potential impact of this update on its consolidated financial statements and does not expect the impact to be material. On November 27, 2023 the FASB issued improvements to reportable segment disclosures ASC 2023-07, Segment Reporting (Topic 280). The standard requires disclosure of significant segment expenses that are regularly provided to the chief operating decision maker (CODM) and included within each reported measure of segment profit or loss (collectively referred to as the “significant expense principle”). It also requires disclosure of other segment items by reportable segment and a description of its composition, whereas the other segment items category is the difference between segment revenue less the segment expenses disclosed under the significant expense principle and each reported measure of segment profit or loss. It also requires interim period disclosures about a reportable segment’s P&L and Assets and requires disclosure of the title and position of the Chief Operating Decision Maker (CODM) as well as how the CODM uses the segment P&L in assessing segment performance and deciding how to allocate resources. ASU 2023-07 is effective for public entities fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. The Company is currently evaluating the potential impact of this update on its consolidated financial statements but does not expect a material impact.

SIGNIFICANT ACCOUNTING POLICI_3

SIGNIFICANT ACCOUNTING POLICIES (Tables)	9 Months Ended
	Sep. 30, 2024
Accounting Policies [Abstract]
SCHEDULE OF ESTIMATED USEFUL LIVES OF PROPERTY AND EQUIPMENT	SCHEDULE OF ESTIMATED USEFUL LIVES OF PROPERTY AND EQUIPMENT Computers and other peripheral equipment 3 Furniture and fixtures 7 Machinery and equipment 5 15 Tenant improvements 2 5 Vehicles 5 Casita fixed assets 25
Schedule of Intangible Assets	Schedule of Intangible Assets Intellectual property 14+ years Software > 1 year Domain 5 years
SCHEDULE OF POTENTIALLY DILUTIVE SECURITIES OUTSTANDING	The following table summarizes potentially dilutive securities, and the resulting common share equivalents outstanding as of September 30, 2024 and December 31, 2023: SCHEDULE OF POTENTIALLY DILUTIVE SECURITIES OUTSTANDING Balance as of September 30, December 31, (In Thousands) 2024 2023 Stock options 50,200 55,236 Restricted stock units 50,786 60,500 Warrants 18,573 10,460 Preferred stock 1,243,747 1,227,326 Potentially dilutive shares 1,363,306 1,353,522

INVESTMENTS (Tables)

INVESTMENTS (Tables)	9 Months Ended
	Sep. 30, 2024
Investments, All Other Investments [Abstract]
SCHEDULE OF INVESTMENT IN SECURITIES	As of September 30, 2024 and December 31, 2023, investments in securities consists of U.S. Treasury Notes carried at amortized cost, consisted of the following: SCHEDULE OF INVESTMENT IN SECURITIES Balance as of September 30, December 31, (In Thousands) 2024 2023 Investments in short-term U.S. Treasury Notes $ 21,789 $ 27,685 Investments in long-term U.S. Treasury Notes 72 2,777 Total investments in U.S. Treasury Notes $ 21,861 $ 30,462

INVENTORIES, NET (Tables)

INVENTORIES, NET (Tables)	9 Months Ended
	Sep. 30, 2024
Inventory Disclosure [Abstract]
SCHEDULE OF INVENTORY	As of September 30, 2024 and December 31, 2023, inventory consists of the following: SCHEDULE OF INVENTORY Balance as of September 30, December 31, (In Thousands) 2024 2023 Raw material $ 3,235 $ 3,346 Inventory in-transit 282 273 Work-in progress - 255 Finished goods 19,438 14,820 Total inventory $ 22,955 $ 18,694

PROPERTY AND EQUIPMENT, NET (Ta

PROPERTY AND EQUIPMENT, NET (Tables)	9 Months Ended
	Sep. 30, 2024
Property, Plant and Equipment [Abstract]
SCHEDULE OF PROPERTY AND EQUIPMENT	The Company’s property and equipment consists of the following amounts as of September 30, 2024 and December 31, 2023: SCHEDULE OF PROPERTY AND EQUIPMENT Balance as of September 30, December 31, (In Thousands) 2024 2023 Computers and other peripheral equipment $ 399 $ 266 Furniture and fixtures 190 182 Machinery and equipment 8,040 8,754 Tenant improvements 2,793 2,397 Vehicles 730 726 Casita fixed assets 832 825 Construction in-progress - 690 Property and equipment, gross 12,984 13,840 Less: Accumulated depreciation (3,472 ) (3,074 ) Property, plant and equipment - net $ 9,512 $ 10,766

INTANGIBLE ASSETS, NET (Tables)

INTANGIBLE ASSETS, NET (Tables)	9 Months Ended
	Sep. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]
SCHEDULE OF INTANGIBLE ASSETS	The Company held the following intangible assets as of September 30, 2024, and December 31, 2023: SCHEDULE OF INTANGIBLE ASSETS Asset (In thousands) September 30, 2024 December 31, 2023 As of, Asset (In Thousands) September 30, 2024 December 31, 2023 Intellectual property $ 414 $ 398 Software 261 - Domain 50 50 Finite-lived intangible assets, gross 725 448 Less: Accumulated amortization (133 ) (79 ) Total $ 592 $ 369

LEASES (Tables)

LEASES (Tables)	9 Months Ended
	Sep. 30, 2024
Leases [Abstract]
SCHEDULE OF MATURITIES OF OPERATING LEASE LIABILITIES	Maturities of lease liabilities for operating leases as of September 30, 2024, were as follows: SCHEDULE OF MATURITIES OF OPERATING LEASE LIABILITIES Remaining lease payments (In Thousands) Fiscal year 2024 $ 973 2025 3,997 2026 3,839 2027 2,102 2028 1,509 Thereafter 257 Total lease payments $ 12,677 Less: Imputed interest (1,197 ) Total lease liability $ 11,480

RELATED PARTY TRANSACTIONS (Tab

RELATED PARTY TRANSACTIONS (Tables)	9 Months Ended
	Sep. 30, 2024
Related Party Transactions [Abstract]
SCHEDULE OF RELATED PARTY TRANSACTIONS IN FINANCIAL STATEMENTS	The Company had the following transactions with related parties: SCHEDULE OF RELATED PARTY TRANSACTIONS IN FINANCIAL STATEMENTS Three Months Ended September 30, Nine Months Ended September 30, (In Thousands) 2024 2023 2024 2023 Consolidated Statement of Operations Rental income (1) $ 22 $ 22 $ 67 $ 67 Professional fees (2) - - - 63 Balance as of September 30, 2024 December 31, 2023 Consolidated Balance Sheets Preferred Stock (3) 1,719 1,719 (1) The Company has a contract with the majority shareholder and CEO to share certain costs related to office space, support staff, and consultancy services. (2) The Company incurred professional expenses related to a former member of the Board of Directors who provided consulting services. (3) As of September 30, 2024 and December 31, 2023, the Company had 26,726 427 5,884 372 12,834 920

STOCKHOLDERS_ EQUITY (Tables)

STOCKHOLDERS’ EQUITY (Tables)	9 Months Ended
	Sep. 30, 2024
Equity [Abstract]
SUMMARY OF LIQUIDATION PREFERENCES	The following table summarizes the liquidation preferences as of September 30, 2024, in order of liquidation: SUMMARY OF LIQUIDATION PREFERENCES (In Thousands) Shares Authorized Shares Issued and Outstanding Liquidation Preference Balance Series A-3 Preferred Stock 8,750,000 24,560 $ 19,648 Series A-2 Preferred Stock 2,050,000 174,160 139,328 Series A-1 Preferred Stock 1,100,000 850,605 67,198 Series A Preferred Stock 250,000 194,423 3,305 Non-classified Preferred Stock 2,250,000 - - Total Series A Preferred Stock 14,400,000 1,243,747 $ 229,479
SUMMARY OF STOCK OPTIONS ACTIVITY	A summary of Stock Option activity as of September 30, 2024, and December 31, 2023 is as follows: SUMMARY OF STOCK OPTIONS ACTIVITY Weighted Average Exercise Price per Share (In Thousands except for per share price) Stock Options Exercise Price per Share Term (in years) Outstanding as of December 31, 2022 61,288 0.13 8.40 Granted 1,357 $ 0.70 Exercised - - Forfeited/cancelled (7,409 ) (0.37 ) Outstanding as of December 31, 2023 55,236 $ 0.13 7.90 Granted - - Exercised - - Forfeited/cancelled (5,036 ) 0.34 Outstanding as of September 30, 2024 50,200 0.17 7.65 Exercisable as of September 30, 2024 27,730 $ 0.05 7.60
SCHEDULE OF OPTIONS VALUATION ASSUMPTIONS	The Company uses the Black-Scholes option pricing model to estimate the fair value of the Stock Options on the date of grant under the following assumptions: SCHEDULE OF OPTIONS VALUATION ASSUMPTIONS Expected life (years) (1) 5 6.5 Risk-free interest rate (2) 1.03 4.34 Expected volatility (3) 0.503 0.549 Annual dividend yield 0 % Weighted average fair value of options granted $ 0.14 (1) In accordance with SAB Topic 14, the expected life of employee stock options was estimated using the “simplified method,” as the Company has no historical information to develop reasonable expectations about future exercise patterns and employment duration for its stock option grants. The simplified method is based on the average of the vesting tranches and the contractual life of each grant. The Company believes the use of the simplified method is appropriate due to the employee stock options qualifying as “plain-vanilla” options under the criteria established by SAB Topic 14. (2) The risk-free rate was based on the United States bond yield rate at the time of grant of the award, whose term is consistent with expected life of the stock options. (3) Based on historical experience over a term consistent with the expected life of the stock options. (4) Expected annual rate of dividends is based on the fact that the Company has never paid cash dividends and does not expect to pay any cash dividends in the foreseeable future.
SUMMARY OF RSU ACTIVITY	A summary of RSU activity as of September 30, 2024, and December 31, 2023 is as follows: SUMMARY OF RSU ACTIVITY Weighted-Average Grant Date (In Thousands except for per share amounts) RSU’s Fair Value per Share Outstanding as of December 31, 2022 17,857 $ 0.07 Awarded 54,357 0.80 Vested - - Cancelled (11,714 ) 0.80 Outstanding as of December 31, 2023 60,500 $ 0.57 Awarded - - Vested - - Cancelled (9,714 ) 0.80 Outstanding at September 30, 2024 50,786 $ 0.77
SCHEDULE OF RECOGNIZED STOCK COMPENSATION EXPENSE RELATED TO STOCK OPTIONS AND RSU	During the three and nine months ended September 30, 2024, and 2023, the Company recognized stock compensation expense related to stock options and RSU’s, as follows: SCHEDULE OF RECOGNIZED STOCK COMPENSATION EXPENSE RELATED TO STOCK OPTIONS AND RSU For the Nine Months Ended September 30, For the Three Months Ended September 30, (In Thousands) 2024 2023 2024 2023 Cost of Goods Sold $ 2,341 $ 2,970 $ 671 $ 1,679 General and Administrative 1,517 1,805 429 571 Sales and Marketing 1,257 582 403 237 Research and Development 1,560 466 247 466 Total Stock-Based Compensation Expense $ 6,675 $ 5,823 $ 1,750 $ 2,953

SCHEDULE OF ESTIMATED USEFUL LI

SCHEDULE OF ESTIMATED USEFUL LIVES OF PROPERTY AND EQUIPMENT (Details)	Sep. 30, 2024
Computer Equipment [Member]
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment	3 years
Furniture and Fixtures [Member]
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment	7 years
Machinery and Equipment [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment	5 years
Machinery and Equipment [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment	15 years
Leasehold Improvements [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment	2 years
Leasehold Improvements [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment	5 years
Vehicles [Member]
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment	5 years
Casita Fixed Assets [Member]
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment	25 years

Schedule of Intangible Assets (

Schedule of Intangible Assets (Details)	9 Months Ended
	Sep. 30, 2024
Intellectual Property [Member]
Finite-Lived Intangible Assets [Line Items]
Finite lived intangible asset useful life	14+ years
Software [Member]
Finite-Lived Intangible Assets [Line Items]
Finite lived intangible asset useful life	> 1 year
Domain [Member]
Finite-Lived Intangible Assets [Line Items]
Finite lived intangible asset useful life	5 years

SCHEDULE OF POTENTIALLY DILUTIV

SCHEDULE OF POTENTIALLY DILUTIVE SECURITIES OUTSTANDING (Details) - shares shares in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2024	Dec. 31, 2023
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potentially dilutive shares	1,363,306	1,353,522
Equity Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potentially dilutive shares	50,200	55,236
Restricted Stock Units (RSUs) [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potentially dilutive shares	50,786	60,500
Warrant [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potentially dilutive shares	18,573	10,460
Preferred Stock [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potentially dilutive shares	1,243,747	1,227,326

SIGNIFICANT ACCOUNTING POLICI_4

SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023	Jan. 31, 2024	Jun. 01, 2023	Dec. 31, 2020
Product Information [Line Items]
Security deposit		$ 259,000		$ 259,000			$ 3,714,000	$ 525
Interest rate	3.15%		3.15%
Additional security deposit						$ 259,000
Deferred revenue	$ 2,862,000		$ 2,862,000		$ 2,684,000
Accrued Liabilities [Member]
Product Information [Line Items]
Reserve on warrant	$ 570,000		$ 570,000		$ 570,000
Revenue from Contract with Customer Benchmark [Member] | Customer Concentration Risk [Member] | One Customers [Member]
Product Information [Line Items]
Concentration risk percentage	79%	100%	79%	100%
Revenue from Contract with Customer Benchmark [Member] | Customer Concentration Risk [Member] | Two Customers [Member]
Product Information [Line Items]
Concentration risk percentage	57%		57%
Revenue from Contract with Customer Benchmark [Member] | Customer Concentration Risk [Member] | Three Customers [Member]
Product Information [Line Items]
Concentration risk percentage		100%		100%
Accounts Receivable [Member] | Customer Concentration Risk [Member] | One Customer [Member]
Product Information [Line Items]
Concentration risk percentage			100%
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Two Customer [Member]
Product Information [Line Items]
Concentration risk percentage					92%
Intellectual Property [Member]
Product Information [Line Items]
Finite-Lived Intangible Asset, Useful Life	14 years		14 years

PROFITABILITY AND LIQUIDITY (De

PROFITABILITY AND LIQUIDITY (Details Narrative) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Net loss	$ 9,037	$ 9,539	$ 42,921	$ 25,055
Operating cash outflow			28,632	$ 26,078
Accumulated deficit	$ 710,406		$ 710,406		$ 667,485

SCHEDULE OF INVESTMENT IN SECUR

SCHEDULE OF INVESTMENT IN SECURITIES (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Schedule of Investments [Line Items]
Investments in short-term U.S. Treasury Notes	$ 21,789	$ 27,685
Investments in long-term U.S. Treasury Notes	72	2,777
Total investments in U.S. Treasury Notes	21,861	30,462
US Treasury Notes Securities [Member]
Schedule of Investments [Line Items]
Investments in short-term U.S. Treasury Notes	21,789	27,685
Investments in long-term U.S. Treasury Notes	$ 72	$ 2,777

SCHEDULE OF INVENTORY (Details)

SCHEDULE OF INVENTORY (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Inventory Disclosure [Abstract]
Raw material	$ 3,235	$ 3,346
Inventory in-transit	282	273
Work-in progress		255
Finished goods	19,438	14,820
Total inventory	$ 22,955	$ 18,694

INVENTORIES, NET (Details Narra

INVENTORIES, NET (Details Narrative) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Inventory Disclosure [Abstract]
Inventory deposit write offs	$ 105		$ 303

SCHEDULE OF PROPERTY AND EQUIPM

SCHEDULE OF PROPERTY AND EQUIPMENT (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 12,984	$ 13,840
Less: Accumulated depreciation	(3,472)	(3,074)
Property, plant and equipment - net	9,512	10,766
Computer Equipment [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	399	266
Furniture and Fixtures [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	190	182
Machinery and Equipment [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	8,040	8,754
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	2,793	2,397
Vehicles [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	730	726
Casita Fixed Assets [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	832	825
Construction in Progress [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross		$ 690

PROPERTY AND EQUIPMENT, NET (De

PROPERTY AND EQUIPMENT, NET (Details Narrative) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023
Property, Plant and Equipment [Line Items]
Depreciation expense	$ 452	$ 328	$ 1,404	$ 1,257
Deposits written off	8,164		8,164
Impairment of Long-Lived Assets to be Disposed of	117		12,237	$ 108
Equipment [Member]
Property, Plant and Equipment [Line Items]
Deposits on equipment	51		51		$ 9,822
Purchase commitments					$ 3,273

SCHEDULE OF INTANGIBLE ASSETS_2

SCHEDULE OF INTANGIBLE ASSETS (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross	$ 725	$ 448
Less: Accumulated amortization	(133)	(79)
Total	592	369
Intellectual Property [Member]
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross	414	398
Computer Software, Intangible Asset [Member]
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross	261
Internet Domain Names [Member]
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross	$ 50	$ 50

INTANGIBLE ASSETS, NET (Details

INTANGIBLE ASSETS, NET (Details Narrative) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands		9 Months Ended
	Jun. 15, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023
Finite-Lived Intangible Assets [Line Items]
Common control transacation			$ 30,000
Finite-lived intangible assets, gross		$ 725		$ 448
Deemed dividend	$ 29,725		$ (29,725)
500 Group [Member]
Finite-Lived Intangible Assets [Line Items]
Royalty fee percentage	1%
Patents [Member]
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross	$ 272
Series A-2 Preferred Stock [Member]
Finite-Lived Intangible Assets [Line Items]
Common control transaction, shares	37,500
Common control transacation	$ 30,000
Shares issued price per share	$ 0.80

SCHEDULE OF MATURITIES OF OPERA

SCHEDULE OF MATURITIES OF OPERATING LEASE LIABILITIES (Details) $ in Thousands	Sep. 30, 2024 USD ($)
Leases [Abstract]
2024	$ 973
2025	3,997
2026	3,839
2027	2,102
2028	1,509
Thereafter	257
Total lease payments	12,677
Less: Imputed interest	(1,197)
Total lease liability	$ 11,480

LEASES (Details Narrative)

LEASES (Details Narrative)	Oct. 01, 2024 USD ($)	Jan. 01, 2023 USD ($)	Jun. 10, 2022 USD ($) ft²	Dec. 31, 2020 USD ($)	Sep. 30, 2024	Dec. 31, 2023	Sep. 30, 2023 USD ($)	Jun. 01, 2023 USD ($)	Dec. 29, 2020 ft²
Subsequent Event [Line Items]
Lease term			73 months						65 months
Area of factory facility | ft²			132,960						173,000
Security deposit				$ 525			$ 259,000	$ 3,714,000
Payments for rent		$ 7,000	$ 104,000	87,000
Operating expense fees				$ 19,000
Rents increase percentage			4%
Weighted average remaining lease term					3 years 1 month 6 days	3 years 9 months 18 days
Weighted average incremental borrowing rate					5.20%	5.20%
Weighted average incremental borrowing rate					4%
Subsequent Event [Member]
Subsequent Event [Line Items]
Payments for rent	$ 116,000
Rents increase percentage	4%

SCHEDULE OF RELATED PARTY TRANS

SCHEDULE OF RELATED PARTY TRANSACTIONS IN FINANCIAL STATEMENTS (Details) - Related Party [Member] - USD ($) $ in Thousands		3 Months Ended		9 Months Ended
		Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023
Related Party Transaction [Line Items]
Rental income (1)	[1]	$ 22	$ 22	$ 67	$ 67
Professional fees (2)	[2]				$ 63
Preferred stock	[3]	$ 1,719		$ 1,719		$ 1,719
[1]The Company has a contract with the majority shareholder and CEO to share certain costs related to office space, support staff, and consultancy services.[2]The Company incurred professional expenses related to a former member of the Board of Directors who provided consulting services.[3]As of September 30, 2024 and December 31, 2023, the Company had 26,726 427 5,884 372 12,834 920

SCHEDULE OF RELATED PARTY TRA_2

SCHEDULE OF RELATED PARTY TRANSACTIONS IN FINANCIAL STATEMENTS (Details) (Parenthetical) - USD ($) $ in Thousands		9 Months Ended	12 Months Ended
		Sep. 30, 2024	Dec. 31, 2023
Related Party Transaction [Line Items]
Preferred stock, shares outstanding		1,243,747
Related Party [Member]
Related Party Transaction [Line Items]
Preferred stock	[1]	$ 1,719	$ 1,719
Stock options granted		12,834,000	12,834,000
Stock options grant date fair value		$ 920	$ 920
Series A Preferred Stock [Member]
Related Party Transaction [Line Items]
Preferred stock, shares outstanding		194,423,000	194,423,000
Preferred stock		$ 2,671	$ 2,671
Series A Preferred Stock [Member] | Related Party [Member]
Related Party Transaction [Line Items]
Preferred stock, shares outstanding		26,726,000	26,726,000
Preferred stock		$ 427	$ 427
Series A-1 Preferred Stock [Member]
Related Party Transaction [Line Items]
Preferred stock, shares outstanding		850,605,000	850,605,000
Preferred stock		$ 630,265	$ 630,265
Series A-1 Preferred Stock [Member] | Related Party [Member]
Related Party Transaction [Line Items]
Preferred stock, shares outstanding		5,884,000	5,884,000
Preferred stock		$ 372	$ 372
[1]As of September 30, 2024 and December 31, 2023, the Company had 26,726 427 5,884 372 12,834 920

SUMMARY OF LIQUIDATION PREFEREN

SUMMARY OF LIQUIDATION PREFERENCES (Details) - shares	Sep. 30, 2024	Dec. 31, 2023	Sep. 01, 2023	Nov. 19, 2021	Feb. 24, 2021	Jun. 16, 2020
Class of Stock [Line Items]
Preferred stock, shares authorized	14,400,000,000		1,250,000,000			750,000
Preferred stock, shares issued	1,243,747
Preferred stock, shares oustanding	1,243,747
Preferred stock, liquidation preference shares	229,479,000
Series A-3 Preferred Stock [Member]
Class of Stock [Line Items]
Preferred stock, shares authorized	8,750,000,000	8,750,000,000	8,750,000,000
Preferred stock, shares issued	24,560,000	8,343,000
Preferred stock, shares oustanding	24,560,000	8,343,000
Preferred stock, liquidation preference shares	19,648,000
Series A-2 Preferred Stock [Member]
Class of Stock [Line Items]
Preferred stock, shares authorized	2,050,000,000	2,050,000,000		2,050,000,000
Preferred stock, shares issued	174,160,000	173,956,000
Preferred stock, shares oustanding	174,160,000	173,956,000
Preferred stock, liquidation preference shares	139,328,000
Series A-1 Preferred Stock [Member]
Class of Stock [Line Items]
Preferred stock, shares authorized	1,100,000,000	1,100,000,000		1,100,000,000	647,483,000
Preferred stock, shares issued	850,605,000	850,605,000
Preferred stock, shares oustanding	850,605,000	850,605,000
Preferred stock, liquidation preference shares	67,198,000
Series A Preferred Stock [Member]
Class of Stock [Line Items]
Preferred stock, shares authorized	250,000,000	250,000,000		250,000,000	202,517,000
Preferred stock, shares issued	194,423,000	194,423,000
Preferred stock, shares oustanding	194,423,000	194,423,000
Preferred stock, liquidation preference shares	3,305,000
Unclassified Preferred Stock [Member]
Class of Stock [Line Items]
Preferred stock, shares authorized	2,250,000,000	2,250,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares oustanding	0	0
Preferred stock, liquidation preference shares	0

SUMMARY OF STOCK OPTIONS ACTIVI

SUMMARY OF STOCK OPTIONS ACTIVITY (Details) - Equity Option [Member] - $ / shares shares in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2024	Dec. 31, 2023	Dec. 31, 2022
Offsetting Assets [Line Items]
Stock Options, Outstanding	55,236	61,288
Weighted Average Exercise Price, Outstanding	$ 0.13	$ 0.13
Remaining Contractual Term (in years), Outstanding	7 years 7 months 24 days	7 years 10 months 24 days	8 years 4 months 24 days
Stock Options, Granted		1,357
Weighted Average Exercise Price, Granted		$ 0.70
Stock Options, Exercised
Weighted Average Exercise Price, Exercised
Stock Options, Forfeited or cancelled	(5,036)	(7,409)
Weighted Average Exercise Price, Forfeited or cancelled	$ (0.34)	$ (0.37)
Stock Options, Outstanding	50,200	55,236	61,288
Weighted Average Exercise Price, Outstanding	$ 0.17	$ 0.13	$ 0.13
Stock Options, Exercisable	27,730
Weighted Average Exercise Price, Exercisable	$ 0.05
Remaining Contractual Term (in years), Exercisable	7 years 7 months 6 days

SCHEDULE OF OPTIONS VALUATION A

SCHEDULE OF OPTIONS VALUATION ASSUMPTIONS (Details)	9 Months Ended
	Sep. 30, 2024 $ / shares
Annual dividend yield	0%	[1]
Weighted average fair value of options granted	$ 0.14
Minimum [Member]
Expected term (in years)	5 years	[2]
Risk-free interest rate	1.03%	[3]
Expected volatility	0.503%	[4]
Maximum [Member]
Expected term (in years)	6 years 6 months	[2]
Risk-free interest rate	4.34%	[3]
Expected volatility	0.549%	[4]
[1]Expected annual rate of dividends is based on the fact that the Company has never paid cash dividends and does not expect to pay any cash dividends in the foreseeable future.[2]In accordance with SAB Topic 14, the expected life of employee stock options was estimated using the “simplified method,” as the Company has no historical information to develop reasonable expectations about future exercise patterns and employment duration for its stock option grants. The simplified method is based on the average of the vesting tranches and the contractual life of each grant. The Company believes the use of the simplified method is appropriate due to the employee stock options qualifying as “plain-vanilla” options under the criteria established by SAB Topic 14.[3]The risk-free rate was based on the United States bond yield rate at the time of grant of the award, whose term is consistent with expected life of the stock options.[4]Based on historical experience over a term consistent with the expected life of the stock options.

SUMMARY OF RSU ACTIVITY (Detail

SUMMARY OF RSU ACTIVITY (Details) - Restricted Stock Units (RSUs) [Member] - $ / shares shares in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2024	Dec. 31, 2023
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
RSU's, Outstanding, Beginning Balance	60,500	17,857
Weighted-Average Grant Date Fair Value per Share, Outstanding, Beginning Balance	$ 0.57	$ 0.07
RSU's, Awarded		54,357
Weighted-Average Grant Date Fair Value per Share, Outstanding, Awarded		$ 0.80
RSU's, Vested
Weighted-Average Grant Date Fair Value per Share, Outstanding, Vested
RSU's, Cancelled	(9,714)	(11,714)
Weighted-Average Grant Date Fair Value per Share, Outstanding, Cancelled	$ 0.80	$ 0.80
RSU's, Outstanding, Ending Balance	50,786	60,500
Weighted-Average Grant Date Fair Value per Share, Outstanding, Ending Balance	$ 0.77	$ 0.57

SCHEDULE OF RECOGNIZED STOCK CO

SCHEDULE OF RECOGNIZED STOCK COMPENSATION EXPENSE RELATED TO STOCK OPTIONS AND RSU (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items]
Total Stock-Based Compensation Expense			$ 6,675	$ 5,823
Stock Option and RSU [Member]
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items]
Total Stock-Based Compensation Expense	$ 6,675	$ 5,823	1,750	2,953
Stock Option and RSU [Member] | Cost of Sales [Member]
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items]
Total Stock-Based Compensation Expense	2,341	2,970	671	1,679
Stock Option and RSU [Member] | General and Administrative Expense [Member]
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items]
Total Stock-Based Compensation Expense	1,517	1,805	429	571
Stock Option and RSU [Member] | Selling and Marketing Expense [Member]
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items]
Total Stock-Based Compensation Expense	1,257	582	403	237
Stock Option and RSU [Member] | Research and Development Expense [Member]
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items]
Total Stock-Based Compensation Expense	$ 1,560	$ 466	$ 247	$ 466

STOCKHOLDERS_ EQUITY (Details N

STOCKHOLDERS’ EQUITY (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands			3 Months Ended		6 Months Ended	9 Months Ended
	Jun. 25, 2024	Nov. 19, 2021	Sep. 30, 2024	Sep. 30, 2023	Jun. 30, 2024	Sep. 30, 2024	Sep. 30, 2023	Oct. 21, 2024	Dec. 31, 2023	Sep. 01, 2023	Dec. 31, 2021	Feb. 24, 2021	Jun. 16, 2020
Accumulated Other Comprehensive Income (Loss) [Line Items]
Common stock, shares authorized		6,600,000,000	17,800,000,000			17,800,000,000			17,800,000,000				4,250,000,000
Common stock, par value		$ 0.00001	$ 0.00001			$ 0.00001		$ 0.00001	$ 0.00001				$ 0.00001
Preferred stock, shares authorized			14,400,000,000			14,400,000,000				1,250,000,000			750,000
Stock split description		10-for-1 stock split
Preferred stock, par value								0.00001
Undesignated preferred stock, par value								$ 0.00001
Proceeds from Issuance of Preferred Stock and Preference Stock						$ 9,949	$ 7,052
Escrow holdback net			$ 1,109			1,109
Escrow deposit			1,372			1,372			$ 232
Incurred offering costs			507	$ 77		583	$ 534
Deferred offering costs			56			56
Subscription liability			1,067			1,067			$ 451
Number of shares authorized											550,000,000
Share based compensation yet to be recognized			$ 15,280			$ 15,280
Vesting period						1 year
Restricted Stock Units (RSUs) [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Vesting period						vest over a 3-year service period
RSU's, granted			44,714,000
2021 Stock Option Plan [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Number of shares authorized											150,000,000
Minimum [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Common stock, shares authorized								6,600,000,000
Preferred stock, shares authorized								13,400,000,000
Undesignated prerred stock, shares authorized								1,250,000,000
Maximum [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Common stock, shares authorized								17,800,000,000
Preferred stock, shares authorized								14,400,000,000
Undesignated prerred stock, shares authorized								2,250,000,000
Series A Preferred Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Preferred stock, shares authorized		250,000,000	250,000,000			250,000,000			250,000,000			202,517,000
Preferred stock, par value		$ 0.00001	$ 0.00001			$ 0.00001			$ 0.00001
Series A-1 Preferred Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Preferred stock, shares authorized		1,100,000,000	1,100,000,000			1,100,000,000			1,100,000,000			647,483,000
Preferred stock, par value		$ 0.00001	$ 0.00001			$ 0.00001			$ 0.00001
Series A-2 Preferred Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Preferred stock, shares authorized		2,050,000,000	2,050,000,000			2,050,000,000			2,050,000,000
Preferred stock, par value		$ 0.00001	$ 0.00001			$ 0.00001			$ 0.00001
Sale of stock, shares issued					204,000		9,995,000
Proceeds from issuance of stock						$ 163	$ 7,584
Series A-3 Preferred Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Preferred stock, shares authorized			8,750,000,000			8,750,000,000			8,750,000,000	8,750,000,000
Preferred stock, par value			$ 0.00001			$ 0.00001			$ 0.00001	$ 0.00001
Sale of stock, shares issued	92,500,000,000					16,217,000
Sale of Stock, Consideration Received on Transaction	$ 74
Proceeds from Issuance of Preferred Stock and Preference Stock	70,476
[custom:StockIssuedDuringPeriodValueBonusShares]	$ 3,523
Proceeds from issuance of stock						$ 11,479
Preferred Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Preferred stock, shares authorized		900,000										850,000,000
Preferred stock, par value		$ 0.00001
Preferred Stock [Member] | Series A-2 Preferred Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Stock Issued During Period, Shares, New Issues			204	2,113		204	9,994
Preferred Stock [Member] | Series A-3 Preferred Stock [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Stock Issued During Period, Shares, New Issues	88,095,000		10,878			16,217
Share Price	$ 0.80
[custom:StockIssuedDuringPeriodSharesBonusShares]	4,404,000
[custom:MaximumPotentialRaiseOfShares]	$ 74
Warrant [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Warrant issued					18,573,000				10,460,000
Exercise price			$ 0.80			$ 0.80			$ 0.80

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($) $ in Thousands		9 Months Ended
	Aug. 05, 2024	Sep. 30, 2024
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Loss contingency damages sought		The Company anticipates that judgment will be entered in its favor for a sum less than $1 million, but the investigation and extent of damages is ongoing.
Settlement Agreement [Member] | Customer [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Payments made		$ 250
Loss Contingency, Damages Awarded, Value	$ 50

SUBSEQUENT EVENTS (Details Narr

SUBSEQUENT EVENTS (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands			3 Months Ended		9 Months Ended
	Nov. 12, 2024	Oct. 01, 2024	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Subsequent Event [Line Items]
Number of shares issued, value			$ (507)	$ (77)	$ (583)	$ (535)
Subsequent Event [Member]
Subsequent Event [Line Items]
Capital Units, Outstanding	14
Capital Units, Value	$ 780
Subsequent Event [Member] | Twenty Twenty One Stock Incentive Plan [Member]
Subsequent Event [Line Items]
Number of restricted shares issued		231,000
Subsequent Event [Member] | Stock Options [Member]
Subsequent Event [Line Items]
Number of restricted shares issued		1,407,000
Number of shares vested	13,630,000
Share price	$ 0.075
Subsequent Event [Member] | Series A-3 Preferred Stock [Member]
Subsequent Event [Line Items]
Number of shares issued		1,794,000
Number of shares issued, value		$ 1,395
Subsequent Event [Member] | Series A 3 Preferred Stock One [Member]
Subsequent Event [Line Items]
Number of shares issued		597,000
Number of shares issued, value		$ 447