Innovid (CTV) 10-Q 12 Nov 24 2024 Q3 Quarterly report Financial data

COVER

COVER - shares	9 Months Ended
	Sep. 30, 2024	Oct. 31, 2024
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2024
Document Transition Report	false
Entity File Number	001-40048
Entity Registrant Name	Innovid Corp.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	87-3769599
Entity Address, Address Line One	30 Irving Place
Entity Address, Address Line Two	12th Floor
Entity Address, City or Town	New York
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10003
City Area Code	212
Local Phone Number	966-7555
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		148,473,428
Entity Central Index Key	0001835378
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q3
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Common stock, par value $0.0001 per share
Document Information [Line Items]
Title of 12(b) Security	Common stock, par value $0.0001 per share
Trading Symbol	CTV
Security Exchange Name	NYSE
Warrants to purchase one share of Common stock, each at an exercise price of $11.50 per share
Document Information [Line Items]
Title of 12(b) Security	Warrants to purchase one share of Common stock, each at an exercise price of $11.50 per share
Trading Symbol	CTVWS
Security Exchange Name	NYSE

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Current assets:
Cash and cash equivalents	$ 34,564	$ 49,585
Trade receivables, net of allowance for credit losses of $292 and $321 at September 30, 2024, and December 31, 2023, respectively	44,365	46,420
Prepaid expenses and other current assets	4,475	5,615
Total current assets	83,404	101,620
Long-term restricted deposits	423	412
Property and equipment, net	21,006	18,419
Goodwill	102,473	102,473
Intangible assets, net	21,305	24,318
Operating lease right of use asset	10,894	1,435
Other non-current assets	903	1,278
Total assets	240,408	249,955
Current liabilities:
Trade payables	3,793	2,810
Employee and payroll accruals	9,140	14,060
Lease liabilities—current portion	1,388	1,200
Accrued expenses and other current liabilities	9,397	7,426
Total current liabilities	23,718	25,496
Long-term debt	0	20,000
Lease liabilities—non-current portion	9,835	634
Other non-current liabilities	6,927	7,528
Warrants liability	411	307
Commitments and contingencies (Note 6)
Stockholders’ equity:
Common stock: $0.0001 par value - Authorized: 500,000,000 at September 30, 2024, and December 31, 2023; Issued and outstanding: 147,773,651 and 141,194,179 at September 30, 2024, and December 31, 2023, respectively	15	13
Additional paid-in capital	394,410	378,774
Accumulated deficit	(194,908)	(182,797)
Total stockholders’ equity	199,517	195,990
Total liabilities and stockholders’ equity	$ 240,408	$ 249,955

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Statement of Financial Position [Abstract]
Trade receivables, allowance for doubtful receivables	$ 292	$ 321
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized (in shares)	500,000,000	500,000,000
Common stock, shares issued (in shares)	147,773,651	141,194,179
Common stock, shares outstanding (in shares)	147,773,651	141,194,179

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)		3 Months Ended		9 Months Ended
		Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Income Statement [Abstract]
Revenue		$ 38,251,000	$ 36,234,000	$ 112,940,000	$ 101,265,000
Cost of revenues	[1]	8,917,000	8,428,000	26,746,000	25,284,000
Research and development	[1]	7,021,000	6,486,000	20,646,000	20,479,000
Sales and marketing	[1]	11,682,000	11,175,000	35,523,000	34,272,000
General and administrative	[1]	9,238,000	9,753,000	29,070,000	28,327,000
Depreciation, amortization and long-lived assets impairment		2,836,000	4,714,000	8,291,000	8,808,000
Goodwill impairment		0	0	0	14,503,000
Operating loss		(1,443,000)	(4,322,000)	(7,336,000)	(30,408,000)
Finance income, net		(285,000)	(290,000)	(405,000)	(3,013,000)
Loss before taxes		(1,158,000)	(4,032,000)	(6,931,000)	(27,395,000)
Taxes on (income) loss		(5,823,000)	(1,301,000)	5,180,000	2,858,000
Net income (loss)		$ 4,665,000	$ (2,731,000)	$ (12,111,000)	$ (30,253,000)
Net income (loss) per share common share—basic (in dollars per share)		$ 0.03	$ (0.02)	$ (0.08)	$ (0.22)
Net income (loss) per share common share—diluted (in dollars per share)		$ 0.03	$ (0.02)	$ (0.08)	$ (0.22)
Weighted-average number of shares used in computing net income (loss) per share:
Basic (in shares)		146,822,073	139,607,389	144,664,912	137,826,099
Diluted (in shares)		152,504,240	139,607,389	144,664,912	137,826,099
[1]Exclusive of depreciation, amortization, long-lived assets and goodwill impairment presented separately.

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY - USD ($) $ in Thousands	Total	Common stock	Additional paid-in capital	Accumulated deficit
Beginning balance (in shares) at Dec. 31, 2022		133,882,414
Beginning balance at Dec. 31, 2022	$ 205,928	$ 13	$ 356,801	$ (150,886)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock-based compensation	16,474		16,474
Issuance of common stock—exercised options and RSUs vested (in shares)		6,254,491
Issuance of common stock—exercised options and RSUs vested	772		772
Net income (loss)	(30,253)			(30,253)
Ending balance (in shares) at Sep. 30, 2023		140,136,905
Ending balance at Sep. 30, 2023	192,921	$ 13	374,047	(181,139)
Beginning balance (in shares) at Jun. 30, 2023		138,737,104
Beginning balance at Jun. 30, 2023	189,575	$ 13	367,970	(178,408)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock-based compensation	5,919		5,919
Issuance of common stock—exercised options and RSUs vested (in shares)		1,399,801
Issuance of common stock—exercised options and RSUs vested	158		158
Net income (loss)	(2,731)			(2,731)
Ending balance (in shares) at Sep. 30, 2023		140,136,905
Ending balance at Sep. 30, 2023	$ 192,921	$ 13	374,047	(181,139)
Beginning balance (in shares) at Dec. 31, 2023	141,194,179	141,194,179
Beginning balance at Dec. 31, 2023	$ 195,990	$ 13	378,774	(182,797)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock-based compensation	15,324		15,324
Issuance of common stock—exercised options and RSUs vested (in shares)		6,579,472
Issuance of common stock—exercised options and RSUs vested	314	$ 2	312
Net income (loss)	$ (12,111)			(12,111)
Ending balance (in shares) at Sep. 30, 2024	147,773,651	147,773,651
Ending balance at Sep. 30, 2024	$ 199,517	$ 15	394,410	(194,908)
Beginning balance (in shares) at Jun. 30, 2024		145,803,657
Beginning balance at Jun. 30, 2024	188,908	$ 14	388,467	(199,573)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock-based compensation	5,710		5,710
Issuance of common stock—exercised options and RSUs vested (in shares)		1,969,994
Issuance of common stock—exercised options and RSUs vested	234	$ 1	233
Net income (loss)	$ 4,665			4,665
Ending balance (in shares) at Sep. 30, 2024	147,773,651	147,773,651
Ending balance at Sep. 30, 2024	$ 199,517	$ 15	$ 394,410	$ (194,908)

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Cash flows from operating activities:
Net loss	$ (12,111,000)	$ (30,253,000)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation, amortization and long-lived assets impairment	8,291,000	8,808,000
Loss on disposal of property and equipment	15,000	0
Goodwill impairment	0	14,503,000
Stock-based compensation	14,526,000	15,470,000
Change in fair value of warrants	104,000	(3,688,000)
Loss on foreign exchange, net	321,000	0
Changes in operating assets and liabilities:
Trade receivables, net	2,055,000	94,000
Prepaid expenses and other assets	1,349,000	(1,167,000)
Operating lease right of use assets	438,000	1,351,000
Trade payables	984,000	(36,000)
Employee and payroll accruals	(4,920,000)	1,770,000
Operating lease liabilities	(508,000)	(1,683,000)
Accrued expenses and other liabilities	1,371,000	2,268,000
Net cash provided by operating activities	11,915,000	7,437,000
Cash flows from investing activities:
Internal use software capitalization	(6,098,000)	(7,795,000)
Purchases of property and equipment	(983,000)	(395,000)
Withdrawal of short-term bank deposits	165,000	10,000,000
Decrease in deposits	0	77,000
Net cash (used in) provided by investing activities	(6,916,000)	1,887,000
Cash flows from financing activities:
Proceeds from loan	0	20,000,000
Payment on loan	(20,000,000)	(20,000,000)
Proceeds from exercise of options	312,000	772,000
Net cash (used in) provided by financing activities	(19,688,000)	772,000
Effect of exchange rates on cash, cash equivalents and restricted cash	(321,000)	0
(Decrease) increase in cash, cash equivalents, and restricted cash	(15,010,000)	10,096,000
Cash, cash equivalents, and restricted cash at the beginning of the period	49,997,000	37,971,000
Cash, cash equivalents, and restricted cash at the end of the period	34,987,000	48,067,000
Supplemental disclosures:
Income taxes paid	2,990,000	1,129,000
Interest paid	117,000	1,141,000
Non-cash transactions:
Right of use assets obtained in exchange for lease liability upon lease modification	9,897,000	0
Reconciliation of cash, cash equivalents, and restricted cash:
Cash and cash equivalents	34,564,000	47,680,000
Long-term restricted deposits	423,000	387,000
Total cash, cash equivalents, and restricted cash	$ 34,987,000	$ 48,067,000

Description of Business

Description of Business	9 Months Ended
	Sep. 30, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Description of Business	Description of Business Innovid Corp. together with its consolidated subsidiaries, the “Company” or “Innovid”, is an enterprise software platform for the creation, delivery, measurement, and optimization of advertising across connected TV (“CTV”), mobile TV and desktop environments. We provide critical technology infrastructure for many of the world’s largest brands, agencies, and publishers, and empower them to create ad-supported TV experiences that people love. Our cloud-based platform tightly integrates with the highly fragmented advertising technology and media ecosystems, and includes three key solutions: ad serving, creative personalization, and measurement. Innovid Corp. was originally incorporated as ION Acquisition Corp. 2 Ltd. (“ION”), a special purpose acquisition company, on November 23, 2020, and Innovid Corp. was the surviving entity following the completion of its merger with ION on November 30, 2021 (the “Transaction”).

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2024
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Basis of Presentation The unaudited interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“US GAAP”) for interim reporting and pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for Quarterly Reports on Form 10-Q and Article 10 of Regulation S-X. Any reference in these notes to applicable guidance is meant to refer to the authoritative US GAAP as found in the Accounting Standards Codification (“ASC”) and Accounting Standards Updates (“ASU”) of the Financial Accounting Standards Board (“FASB”). Accordingly, such financial statements do not include all the information and footnotes required by US GAAP for complete financial statements. In management’s opinion, these unaudited condensed consolidated interim financial statements contain all adjustments of a normal recurring nature necessary for a fair presentation of the financial statements for the interim period presented. These unaudited interim condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements for the year ended December 31, 2023, as reported in the Company’s 2023 Annual Report on Form 10-K. The Company’s significant accounting policies and practices are as described in the Annual Report. Use of Estimates The preparation of the condensed consolidated interim financial statements in conformity with US GAAP requires management to make estimates, judgments, and assumptions that affect the amounts reported in the financial statements. The results for interim periods are not necessarily indicative of results to be expected for the year or for any future periods. In management’s opinion, these unaudited condensed consolidated interim financial statements contain all adjustments of a normal recurring nature necessary for a fair presentation of the financial statements for the interim period presented based upon information available at the time they are made. Actual results could differ from those estimates. Prior Period Reclassification Certain amounts in prior year’s condensed consolidated balance sheet have been reclassified to conform to current year’s presentation. Accounting Policies Trade receivable, net The Company records trade receivables for amounts invoiced and yet unbilled. The Company’s expected loss allowance methodology for trade receivables is based upon its assessment of various factors, including historical experience, the age of the trade receivable balances, credit quality of its customers, current economic conditions, reasonable and supportable forecasts of future economic conditions, and other factors that may affect its ability to collect from customers. The estimated credit loss allowance is recorded as general and administrative expenses on the Company's condensed consolidated statements of operations. Concentrations of credit risk Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash and cash equivalents, deposits and trade receivables, net. The majority of the Company’s cash and cash equivalents are invested in deposits with major banks in the US, Israel and the UK. The Company is exposed to credit risk in the event of default by the financial institutions to the extent that amounts recorded on the accompanying consolidated balance sheets exceed insured limits. Generally, these investments may be redeemed upon demand and, therefore, bear minimal risk. The Company’s trade receivables, net is mainly derived from sales to customers located in the US, APAC, EMEA, and LATAM. The Company mitigates its credit risks by performing ongoing credit evaluations of its customers’ financial conditions. The Company has no off-balance-sheet concentration of credit risk such as foreign exchange contracts, option contracts or other foreign hedging arrangements. During the three and nine months ended September 30, 2024 and 2023, one customer accounted for more than 10% of the Company’s total revenue as presented below: Three months ended September 30, Nine months ended September 30, 2024 2023 2024 2023 Customer A 15 % 16 % 16 % 16 % Software development costs Software development costs, which are included in property and equipment, net, consists of capitalized costs related to the purchase and development of internal-use software. The Company uses such software to provide services to its customers. The costs to purchase and develop internal-use software are capitalized from the time that the preliminary project stage is completed, and it is considered probable that the software will be used to perform the function intended. These costs include personnel and personnel-related employee benefits for employees directly associated with the software development and external costs of the materials or services consumed in developing or obtaining the software. Any costs incurred for upgrades and functionality enhancements of the software are also capitalized. Once this software is ready for use in providing the Company's services, these costs are amortized on a straight-line basis over the estimated useful life of the software, which is three years. The amortization is presented within depreciation and amortization in the condensed consolidated statements of operations. During the three months ended September 30, 2024 and 2023, the Company capitalized internal-use software cost of $2.0 million and $2.5 million, respectively. During the nine months ended September 30, 2024 and 2023, the Company capitalized internal-use software cost of $6.9 million and $8.8 million, respectively, which represents labor costs including stock based compensation. Cloud computing arrangements During nine months ended September 30, 2024, the Company capitalized certain application development phase costs related to hosting arrangements that are service contracts (cloud computing arrangements). Capitalized costs are included in prepaid expenses and other assets in the condensed consolidated balance sheets and will be amortized on a straight-line basis over the estimated useful life, once the modules or components are ready for its intended use. The amount capitalized at September 30, 2024 was immaterial. This amortization will be recorded to software subscription expense within general and administrative expense in the condensed consolidated statements of operations. Cash outflows from cloud computing arrangement implementation costs are classified within operating activities in the consolidated statements of cash flows. Impairment of long-lived assets Long-lived assets, including property and equipment and finite-lived intangible assets, are reviewed for impairment whenever facts or circumstances either internally or externally may indicate that the carrying value of an asset may not be recoverable. If there are indications of an impairment, the Company tests for recoverability by comparing the estimated undiscounted future cash flows expected to result from the use of the asset to the carrying amount of the asset or asset group. If the asset or asset group is determined to be impaired, any excess of the carrying value of the asset or asset group over its estimated fair value is recognized as an impairment loss. No impairment was recognized during the three or nine months ended September 30, 2024. In September 2023, the Company identified an impairment indicator for its legacy measurement product and recorded an impairment charge of $2.4 million in the three and nine months ended September 30, 2023. Goodwill and acquired intangible assets Goodwill and acquired intangible assets have been recorded in the Company's financial statements resulting from various business combinations. Goodwill represents the excess of the purchase price in a business combination over the fair value of identifiable tangible and intangible assets acquired and liabilities assumed. Goodwill is not amortized as it is estimated to have an indefinite life. As such, goodwill is subject to an annual impairment test. The Company allocates goodwill to reporting units based on the expected benefit from the business combination. Reporting units are evaluated when changes in the Company’s operating structure occur, and if necessary, goodwill is reassigned using a relative fair value allocation approach. The Company operates in one operating segment and this segment is the only reporting unit. ASC 350, Intangibles—Goodwill and other (“ASC 350”) requires goodwill to be tested for impairment at least annually and, in certain circumstances, between annual tests. The accounting guidance gives the option to perform a qualitative assessment to determine whether further impairment testing is necessary. The qualitative assessment considers events and circumstances that might indicate that a reporting unit's fair value is less than its carrying amount. If it is determined, as a result of the qualitative assessment, that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, a quantitative test is performed. The Company elects to perform an annual impairment test of goodwill as of October 1 of each year, or more frequently if impairment indicators are present. In the second quarter of 2023, the Company experienced a decline in its stock price resulting in its market capitalization being less than the carrying value of its one reporting unit. Thus, the Company performed quantitative assessments of the Company’s reporting unit. The fair value was determined based on the market approach. The market approach utilizes the Company's market capitalization plus an appropriate control premium. Market capitalization is determined by multiplying the number of common stock outstanding by the market price of its common stock. The control premium is determined by utilizing publicly available data from studies for similar transactions of public companies. As a result of this assessment, the Company recorded a goodwill impairment of $14.5 million during the three months ended June 30, 2023. No impairment was recognized during the three or nine months ended September 30, 2024. Separately acquired intangible assets are measured on initial recognition at cost including directly attributable costs. Intangible assets acquired in a business combination are measured at fair value at the acquisition date. Customer relationships and acquired technology are amortized on a straight-line basis over the estimated useful life of the assets; approximately 11 years and 6 years, respectively. Amortization of customer relationships and acquired technology is presented within depreciation and amortization in the condensed consolidated statements of operations. Fair value of financial instruments The Company applies a fair value framework to measure and disclose its financial assets and liabilities. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The fair value hierarchy requires an entity to maximize the use of observable inputs, where available, and minimize the use of unobservable inputs when measuring fair value. There are three levels of inputs that may be used to measure fair value: Level 1 - Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2 - Includes other inputs that are directly or indirectly observable in the marketplace. Level 3 - Unobservable inputs that are supported by little or no market activity. The Company’s financial instruments consist of cash and cash equivalents, restricted deposits, trade receivables, net, trade payables, employees, payroll accruals, accrued expenses and other current liabilities. Due to the short-term nature of these instruments, historical carrying amounts approximate fair value. The Company’s investments in money market funds are classified as cash equivalents and measured at fair value. The Company measures its warrant liability at fair value. The following tables present information about the Company’s financial instruments that are measured at fair value on a recurring basis: September 30, 2024 Level 1 Level 2 Level 3 Assets: Money market funds $ 18,919 $ — $ — Liabilities: Warrants liability 411 — — December 31, 2023 Level 1 Level 2 Level 3 Assets: Money market funds $ 32,264 $ — $ — Liabilities: Warrants liability 307 — — As of September 30, 2024, the Company’s warrant liability represents the warrants (refer to Note 4), that were assumed in the Transaction, which were originally issued in connection with ION’s initial public offering. The Company’s warrants are recorded on the balance sheet at fair value with changes in fair value recognized through earnings. The Company’s warrants are within Level 1 of the fair value hierarchy. This valuation is subject to re-measurement at each balance sheet date. The Company determines the fair value of the warrants by using the closing warrant price. Revenue recognition Most of the Company’s revenue is derived from digital ad solutions, where the Company provides an ad serving platform for use by advertisers, media agencies and publishers. Standard, interactive and data driven digital video ads are delivered through this ad serving platform. Advertising impressions are served via the Company’s cloud-based ad serving platform to various digital publishers across CTV, mobile TV, desktop TV, display and other channels. InnovidXP, the Company’s cloud-based cross-platform TV Ad measurement solution, measures the efficiency of CTV advertising and in-flight optimizations for TV marketers. The customers get insights into the effectiveness of their TV and digital advertising. The Company also provides creative services for the design and development of interactive data-driven and dynamic ad formats by adding data, interactivity and dynamic features to standard ad units. The Company recognizes revenue when its customer obtains control of promised services in an amount that reflects the consideration that the Company expects to receive in exchange for those services. The Company recognizes revenue in accordance with ASC Topic 606, Revenue from contracts with customers (“ASC 606”) and determines revenue recognition through the following steps: (1) identify the contract with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in the contract; and (5) recognize revenue when a performance obligation is satisfied. For arrangements with multiple performance obligations, which represent promises within an arrangement that are capable of being distinct and are separately identifiable, the Company allocates the contract consideration to all distinct performance obligations based on their relative standalone selling price (“SSP”). SSP is typically estimated based on observable transactions when these services are sold on a standalone basis. Revenue related to ad serving is recognized when impressions are delivered via the Company’s ad serving platform. The Company recognizes revenue from the display of impression-based ads in the contracted period in which the impressions are delivered. Impressions are considered delivered when an ad is displayed to users. Revenue related to the InnovidXP solution is recognized over time, since the customer simultaneously receives and consumes the benefits provided by the Company’s performance. Revenues for this measurement subscription is recognized over the service period. Revenue related to creative projects is recognized when the Company delivers an ad unit. Creative services projects are usually delivered within a week. The Company’s accounts receivable consists primarily of receivables related to products and services, for which the Company’s contracted performance obligations have been satisfied, the amount has been billed and the Company has an unconditional right to payment. The Company typically bills customers monthly based on actual delivery. Payment terms vary, mainly with terms of 60 days or less. The typical contract term is twelve months or less for ASC 606 purposes. Most of the Company’s contracts can be cancelled without cause. The Company has the unconditional right to payment for the services provided as of the date of the termination of the contracts. The Company applies the practical expedient in ASC 606 and does not adjust the promised amount of consideration for the effects of a significant financing component if the Company expects, at contract inception, that the period between when the Company transfers a promised good or service to a customer and when the customer pays for that good or service will be one year or less. Deferred revenue represents mostly unrecognized fees billed or collected for measurement platform services. Deferred revenue is recognized as (or when) the Company performs under the contract. Revenue recognized during the three and nine months ended September 30, 2024, from amounts included in deferred at the beginning of the period were $0.6 million and $1.7 million, respectively. Revenue from ad serving solutions via Innovid’s ad serving platform was 74.8% and 73.3% of the Company’s revenue for the three months ended September 30, 2024 and 2023, respectively. Revenue from measurement subscriptions was 22.2% and 23.2% for the three months ended September 30, 2024 and 2023, respectively. Creative services were 3.0% and 3.5% of the Company’s revenue for the three months ended September 30, 2024, and 2023, respectively. Revenue from ad serving solutions via Innovid’s ad serving platform was 75.2% and 73.4% of the Company’s revenue for the nine months ended September 30, 2024 and 2023, respectively. Revenue from measurement subscriptions was 21.8% and 22.9% for the nine months ended September 30, 2024 and 2023, respectively. Creative services were 3.0% and 3.7% of the Company’s revenue for the nine months ended September 30, 2024 and 2023, respectively. Costs to obtain a contract Contract costs include commission programs to compensate sales employees for generating sales orders with new customers or for new services with existing customers. The Company elected to apply the practical expedient and recognize incremental costs of obtaining a contract as an expense when incurred if the amortization period of the asset that the Company otherwise would have recognized is one year or less. Most of the Company’s commissions are commensurate. If commissions are not eligible for the practical expedient, the commissions are capitalized and are amortized over three years. As of both September 30, 2024 and December 31, 2023, capitalized commissions were immaterial. Recently issued accounting pronouncements not yet adopted As an “emerging growth company,” the JOBS Act allows the Company to delay adoption of new or revised accounting pronouncements applicable to public companies until such pronouncements are made applicable to private companies. The Company has elected to use this extended transition period under the JOBS Act. The adoption dates discussed below reflect this election. Income taxes In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”). ASU 2023-09 is intended to improve transparency of income tax disclosure by requiring income tax disclosures to contain consistent categories and greater disaggregation of information in the rate reconciliation and income taxes paid, disaggregated by jurisdiction. This standard affects the disclosure of income taxes, not the accounting for income taxes. This standard is effective for the Company for the annual period beginning after December 15, 2025, with early adoption permitted. The Company is evaluating the impact of the adoption of ASU 2023-09. Segments In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures (“ASU 2023-07”), which requires public entities to disclose information about their reportable segments’ significant expense and other segment items on an interim and annual basis. Public entities with a single reportable segment are required to apply the disclosure requirements in ASU 2023-07, as well as all existing segment disclosures and reconciliation requirements in ASC 280 on an interim and annual basis. This standard is effective for the Company for annual periods beginning after December 15, 2023, and interim periods beginning after December 15, 2024. The Company is evaluating the impact of the adoption of ASU 2023-07.

Leases

Leases	9 Months Ended
	Sep. 30, 2024
Leases [Abstract]
Leases	Leases Innovid's lease portfolio primarily consists of real estate properties. Short-term leases with a term of 12 months or less are not recorded on the balance sheet. Innovid does not separate lease components from non-lease components. The Company is a lessee in all its lease agreements. The Company records lease liabilities based on the present value of lease payments over the applicable lease term. Innovid generally uses an incremental borrowing rate to discount its lease liabilities, as the rate implicit in the lease is typically not readily determinable. Certain lease agreements include renewal options that are under the Company's control. Optional renewal periods are included in the lease term when it is reasonably certain that the Company will exercise its option. On February 7, 2024, the Company amended its New York lease agreement extending the term to 2035. The lease contains an option to extend the lease for an additional five-year period and early termination, which are not reasonably certain to be exercised. Variable lease payments are primarily related to payments to lessors for taxes, maintenance, insurance and other operating costs. The Company's lease agreements do not contain any significant residual value guarantees or restrictive covenants. The Company has the following operating right-of-use (“ROU”) assets and lease liabilities: September 30, 2024 December 31, 2023 (Unaudited) ROU assets Lease liabilities ROU assets Lease liabilities Real estate $ 10,894 $ 11,223 $ 1,435 $ 1,834 Total operating leases $ 10,894 $ 11,223 $ 1,435 $ 1,834 Lease expense components recognized in the interim condensed consolidated statement of operations was as follows: Three months ended September 30, Nine months ended September 30, 2024 2023 2024 2023 Operating lease cost $ 218 $ 458 $ 933 $ 1,379 Short term lease cost 283 205 911 788 Variable lease cost 58 31 142 77 Total lease cost $ 559 $ 694 $ 1,986 $ 2,244 As of September 30, 2024, the weighted-average remaining lease term and weighted-average discount rate for operating leases were 9.8 years and 7.2%, respectively. Supplemental cash flow information regarding the Company's operating leases were as follows: Nine months ended September 30, 2024 2023 Cash paid for amounts included in the measurement of lease liabilities $ 968 $ 1,541 Future minimum commitments under the Company’s operating lease were as follows: Twelve months ending September 30, Nine months ended September 30, 2024 2025 $ 1,263 2026 1,762 2027 1,001 2028 1,523 2029 1,554 Thereafter 9,114 Total undiscounted lease payments $ 16,217 Less: imputed interest (4,994) Total operating lease liabilities $ 11,223

Warrants

Warrants	9 Months Ended
	Sep. 30, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Warrants	Warrants As of September 30, 2024, the Company had 3,162,453 public warrants and 7,060,000 private warrants outstanding. The majority of the private warrant terms are identical to the public warrants resulting in use of the same price for valuation purposes. The Company's warrants do not meet all the conditions to be classified as equity under ASC 815-40 and therefore are classified as a liability measured at fair value through earnings. See Note 2, Summary of Significant Accounting Policies , for details regarding the fair value of the warrants and see Note 8, F inance (Income) Expenses, Net

Long-term Debt

Long-term Debt	9 Months Ended
	Sep. 30, 2024
Debt Disclosure [Abstract]
Long-term Debt	Long-term Debt On August 4, 2022, two wholly-owned subsidiaries of the Company, Innovid LLC and TV Squared Inc, entered into an amended and restated loan and security agreement with Silicon Valley Bank (the “2022 A&R Agreement”), to increase the revolving line of credit from $15,000 to $50,000 (the “New Revolving Credit Facility”). The 2022 A&R Agreement and the New Revolving Credit Facility were amended by a First Loan Modification Agreement dated August 2, 2023 (the “2023 Modification Agreement”) and by a Second Loan Modification Agreement dated June 26, 2024 (the “2024 Modification Agreement”). The interest for the New Revolving Credit Facility is payable monthly in arrears. The New Revolving Credit Facility bears interest at an annual rate that is the greater of (a) WSJ Prime Rate plus 0.25% or (b) 4.25%, on the aggregate outstanding balance. Additional fees include fees in an amount of 0.20% per annum of the average unused portion of the New Revolving Credit Facility to be paid quarterly in arrears. The maturity date of the 2022 A&R Agreement, as amended, is June 30, 2027. The New Revolving Credit Facility is subject to certain customary conditions precedent to the credit extension as stated in the 2022 A&R Agreement and is secured by substantially all of the Company’s assets and continues to place limitations on indebtedness, liens, distributions, asset sales, transactions with affiliates and acquisitions, all as defined in the agreement. The New Revolving Credit Facility requires the Company to comply with all covenants, primarily maintaining an adjusted quick ratio of at least 1.30 to 1.00. As defined in the 2022 A&R Agreement, “adjusted quick ratio” is the ratio of (a) quick assets to (b) current liabilities minus the current portion of deferred revenue. “Quick assets” are determined as the Company’s unrestricted cash plus accounts receivable, net, and is determined according to US GAAP. The Company is also required to maintain the minimum quarterly adjusted EBITDA as defined in the 2022 A&R Agreement, as amended, if the Company does not maintain the quarterly adjusted quick ratio of at least 1.50 to 1.00. At September 30, 2024, there were no amounts outstanding under the New Revolving Credit Facility and the Company was in compliance with all the covenants. The Company utilizes the credit line on an as needed basis. See Note 8, Finance Income, Net for interest expense. The Company recognizes the gains and losses from the remeasurement of its warrants liability in “finance income, net” in the condensed consolidated statements of operations. The unrealized (loss)/gain from changes in the fair value of the Company warrants for the three months ended September 30, 2024 and 2023, were gains of $0.3 million and $0.4 million, respectively. The unrealized (loss)/gain from changes in the fair value of the Company warrants for the nine months ended September 30, 2024 and 2023, were gains of $0.1 million and $3.7 million, respectively. The Company recognizes interest expense and interest income in “finance income, net” in the condensed consolidated statements of operations. Interest expense for the three months ended September 30, 2024 and 2023, was immaterial and $0.4 million, respectively. Interest income for the three months ended September 30, 2024 and 2023, was $0.4 million and $0.4 million, respectively. Interest expense for the nine months ended September 30, 2024 and 2023, was $0.2 million and $1.1 million, respectively. Interest income for the nine months ended September 30, 2024 and 2023, was $1.1 million and $1.0 million, respectively.

Commitments and Contingent Liab

Commitments and Contingent Liabilities	9 Months Ended
	Sep. 30, 2024
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingent Liabilities	Commitments and Contingent Liabilities Pledges and bank guarantees 1. Innovid LLC pledged 65,000 shares of common stock of its Israeli Subsidiary, NIS 0.01 par value each, in connection with the line of credit (see Note 5, Long-term Debt ). 2. The Israeli Subsidiary pledged bank deposits in an aggregate amount of $0.6 million in connection with an office rent agreement and credit cards. Legal contingencies On March 4, 2022, a lawsuit was filed in the United States District Court for the Western District of Texas by the Nielsen Company (US) LLC against TV Squared, alleging infringement of US Patent No. 10.063.078. On June 1, 2022, TV Squared moved to transfer the case to the Southern District of New York, which was granted on January 18, 2023. On March 23, 2023, TV Squared moved for judgment on the pleadings that the asserted claims of the Nielsen patent are invalid because they are patent ineligible under 35 U.S.C. 101. The Court has not yet ruled on TV Squared’s motion. While the motion has remained pending, discovery commenced. The Court also conducted a hearing to construe the patent claims on January 10, 2024, but has not issued a ruling. On April 15, 2024, the Court issued an order to stay the case for ninety (90) days and to extend various deadlines as set out below, to allow the parties to continue settlement negotiations without incurring the substantial costs associated with the impending close of fact discovery and deadlines for expert reports. The parties agreed that the stay will apply to all interim deadlines, including the service of and responses and objections to written discovery. On July 2, 2024 the Court issued an order to extend the stay for an extra one hundred and twenty (120) days, and on October 23, 2024, the Court extended the stay for an additional eighty (80) days. In the October 23, 2024 order, the Court set the date for the close of fact discovery as May 2, 2025 and the date for close of expert discovery as September 9, 2025. No trial date has yet been set and the plaintiff has not specified the amount sought in the litigation. Given the uncertainty of litigation and the preliminary stage of the lawsuit, the Company is unable at this time to give an estimate of the amount or range of potential loss, if any, which might result to the Company if the outcome in such litigation was unfavorable. As of September 30, 2024, the Company has not recorded a loss contingency.

Stock-Based Compensation

Stock-Based Compensation	9 Months Ended
	Sep. 30, 2024
Share-Based Payment Arrangement [Abstract]
Stock-Based Compensation	Stock-Based Compensation Stock-based compensation expense under all plans was as follows: Three months ended September 30, Nine months ended September 30, 2024 2023 2024 2023 Cost of goods sold $ 472 $ 522 $ 1,332 $ 1,398 Research and development 897 1,249 2,564 3,652 Sales and marketing 1,940 1,657 4,632 4,926 General and administrative 2,192 2,177 5,998 5,587 Total expensed $ 5,501 $ 5,605 $ 14,526 $ 15,563 Internal use software capitalization 209 314 798 1,004 Total stock-based compensation $ 5,710 $ 5,919 $ 15,324 $ 16,567 Stock Options Stock option activity under all plans was as follows: Nine months ended September 30, 2024 Number of options Weighted average exercise price Weighted average remaining contractual term (in years) Aggregate intrinsic value (in thousands) Outstanding at December 31, 2023 9,526,883 $ 1.27 Granted — $ — Exercised (532,089) $ 0.59 Forfeited (573,537) $ 1.81 Expired (364,341) $ 1.98 Outstanding at September 30, 2024 8,056,916 $ 1.24 5.4 $ 6,031 Exercisable options at September 30, 2024 7,030,893 $ 1.20 5.0 $ 5,545 The aggregate intrinsic value of exercised options in the nine months ended September 30, 2024, was $0.8 million. As of September 30, 2024, the Company had approximately $0.8 million of total unrecognized compensation cost related to non-vested stock options. That cost is expected to be recognized over a weighted-average period of 2.0 years. Restricted Stock Units RSU activity under the 2021 Plan was as follows: Nine months ended September 30, 2024 Number of units Weighted average grant date fair value Weighted average remaining contractual term (in years) Aggregate intrinsic value (in thousands) Outstanding at December 31, 2023 13,270,592 $ 2.07 Granted 9,837,142 $ 2.32 Vested (6,047,383) $ 2.29 Forfeited (2,887,385) $ 2.05 Outstanding at September 30, 2024 14,172,966 $ 2.15 1.1 $ 25,499 The weighted-average grant-date fair value of RSUs generally is determined based on the number of units granted and the quoted price of Innovid’s common stock on the date of grant. The fair value of shares vested during the nine months ended September 30, 2024, was $11.9 million. As of September 30, 2024, $25.1 million of unrecognized compensation cost related to RSUs is expected to be recognized as expense over the weighted average period of 2.0 years.

Finance Income, Net

Finance Income, Net	9 Months Ended
	Sep. 30, 2024
Other Income and Expenses [Abstract]
Finance Income, Net	Long-term Debt On August 4, 2022, two wholly-owned subsidiaries of the Company, Innovid LLC and TV Squared Inc, entered into an amended and restated loan and security agreement with Silicon Valley Bank (the “2022 A&R Agreement”), to increase the revolving line of credit from $15,000 to $50,000 (the “New Revolving Credit Facility”). The 2022 A&R Agreement and the New Revolving Credit Facility were amended by a First Loan Modification Agreement dated August 2, 2023 (the “2023 Modification Agreement”) and by a Second Loan Modification Agreement dated June 26, 2024 (the “2024 Modification Agreement”). The interest for the New Revolving Credit Facility is payable monthly in arrears. The New Revolving Credit Facility bears interest at an annual rate that is the greater of (a) WSJ Prime Rate plus 0.25% or (b) 4.25%, on the aggregate outstanding balance. Additional fees include fees in an amount of 0.20% per annum of the average unused portion of the New Revolving Credit Facility to be paid quarterly in arrears. The maturity date of the 2022 A&R Agreement, as amended, is June 30, 2027. The New Revolving Credit Facility is subject to certain customary conditions precedent to the credit extension as stated in the 2022 A&R Agreement and is secured by substantially all of the Company’s assets and continues to place limitations on indebtedness, liens, distributions, asset sales, transactions with affiliates and acquisitions, all as defined in the agreement. The New Revolving Credit Facility requires the Company to comply with all covenants, primarily maintaining an adjusted quick ratio of at least 1.30 to 1.00. As defined in the 2022 A&R Agreement, “adjusted quick ratio” is the ratio of (a) quick assets to (b) current liabilities minus the current portion of deferred revenue. “Quick assets” are determined as the Company’s unrestricted cash plus accounts receivable, net, and is determined according to US GAAP. The Company is also required to maintain the minimum quarterly adjusted EBITDA as defined in the 2022 A&R Agreement, as amended, if the Company does not maintain the quarterly adjusted quick ratio of at least 1.50 to 1.00. At September 30, 2024, there were no amounts outstanding under the New Revolving Credit Facility and the Company was in compliance with all the covenants. The Company utilizes the credit line on an as needed basis. See Note 8, Finance Income, Net for interest expense. The Company recognizes the gains and losses from the remeasurement of its warrants liability in “finance income, net” in the condensed consolidated statements of operations. The unrealized (loss)/gain from changes in the fair value of the Company warrants for the three months ended September 30, 2024 and 2023, were gains of $0.3 million and $0.4 million, respectively. The unrealized (loss)/gain from changes in the fair value of the Company warrants for the nine months ended September 30, 2024 and 2023, were gains of $0.1 million and $3.7 million, respectively. The Company recognizes interest expense and interest income in “finance income, net” in the condensed consolidated statements of operations. Interest expense for the three months ended September 30, 2024 and 2023, was immaterial and $0.4 million, respectively. Interest income for the three months ended September 30, 2024 and 2023, was $0.4 million and $0.4 million, respectively. Interest expense for the nine months ended September 30, 2024 and 2023, was $0.2 million and $1.1 million, respectively. Interest income for the nine months ended September 30, 2024 and 2023, was $1.1 million and $1.0 million, respectively.

Income Tax

Income Tax	9 Months Ended
	Sep. 30, 2024
Income Tax Disclosure [Abstract]
Income Tax	Income Tax The Company recorded net benefits for incomes taxes of $5.8 million and $1.3 million for the three months ended September 30, 2024 and 2023, respectively, representing effective tax rates of 502.8% and 32.3%, respectively. The decrease in the third quarter of 2024 tax expense was from a change in the Company’s full year forecast and the effects of using the interim tax reporting methodology provided under ASC 740-270 where the Company uses a forecasted effective tax rate against current year-to-date results. The Company recorded net provisions for incomes taxes of $5.2 million and $2.9 million for the nine months ended September 30, 2024 and 2023, respectively, representing effective tax rates of (74.7)% and (10.4)%, respectively. The increase in year-to-date 2024 tax expense was from growing profitability of the global business and associated higher current tax expense, non-deductibility of stock compensation expenses in the US and Israel, the recognition of uncertain tax positions that previously offset against unrecognized deferred tax assets, and as discussed above, the effects of using the interim tax reporting methodology provided under ASC 740-270.

Segment Reporting

Segment Reporting	9 Months Ended
	Sep. 30, 2024
Segment Reporting [Abstract]
Segment Reporting	Segment Reporting The Company operates and manages its business as one segment, which primarily focuses on the software platform for ad serving, measurement, and creative. Our CEO is the chief operating decision-maker and manages and allocates resources to the operations of the Company on an entity-wide basis. Revenue by geographic location was as follows: Three months ended September 30, Nine months ended September 30, 2024 2023 2024 2023 US $ 35,295 $ 33,238 $ 103,417 $ 92,452 Canada 549 531 1,740 1,385 APAC 706 723 2,656 2,271 EMEA 1,569 1,542 4,613 4,580 LATAM 132 200 514 577 Total revenue $ 38,251 $ 36,234 $ 112,940 $ 101,265 Property and equipment, net and ROU assets by geographic location was as follows: September 30, 2024 December 31, 2023 Israel $ 1,698 $ 2,154 US 29,612 17,144 Rest of the world 590 556 Total $ 31,900 $ 19,854

Net Income (Loss) Per Share

Net Income (Loss) Per Share	9 Months Ended
	Sep. 30, 2024
Earnings Per Share [Abstract]
Net Income (Loss) Per Share	Net Income (Loss) Per Share The following presents a reconciliation of the denominator used in the calculation of diluted net income per share (in thousands, except share and per share data): Three months ended September 30, 2024 Diluted denominator: Weighted average common shares outstanding 146,822,073 Options 3,242,758 Unvested restricted stock units 2,439,409 Weighted average common shares outstanding - diluted 152,504,240 The following potential shares of common stock, presented based on amounts outstanding at each period end, have been excluded from the computation of diluted net loss per share attributable to common stockholders for the periods indicated their effect would have been anti-dilutive effect: Three months ended September 30, Nine months ended September 30, 2024 2023 2024 2023 Options 3,396,038 9,402,442 6,986,540 9,402,442 Unvested restricted stock units 9,179,898 14,115,573 10,654,256 14,115,573 Warrants 10,222,453 10,222,500 10,222,453 10,222,500

SUBSEQUENT EVENT

SUBSEQUENT EVENT	9 Months Ended
	Sep. 30, 2024
Subsequent Events [Abstract]
SUBSEQUENT EVENT	Subsequent Event On November 6, 2024, our board of directors authorized the Company to implement a stock repurchase program to purchase up to $20.0 million of our common stock. Subject to the final terms of the program, it is expected that repurchases would be made in the open market, in privately negotiated transactions, or otherwise, with the amount and timing of repurchases determined at the Company’s discretion, depending on market conditions and corporate needs. Open market repurchases will be structured to occur in accordance with applicable federal securities laws, including the pricing and volume requirements of Rule 10b-18 or Rule10b-5-1 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”). This program is not expected to obligate us to acquire any particular amount of common stock and may be modified, suspended, or terminated at any time at the discretion of our board of directors and the Company may decline to move forward with the implementation of any repurchase plan.

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
Net loss	$ 4,665	$ (2,731)	$ (12,111)	$ (30,253)

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended
	Sep. 30, 2024
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2024
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The unaudited interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“US GAAP”) for interim reporting and pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for Quarterly Reports on Form 10-Q and Article 10 of Regulation S-X. Any reference in these notes to applicable guidance is meant to refer to the authoritative US GAAP as found in the Accounting Standards Codification (“ASC”) and Accounting Standards Updates (“ASU”) of the Financial Accounting Standards Board (“FASB”). Accordingly, such financial statements do not include all the information and footnotes required by US GAAP for complete financial statements. In management’s opinion, these unaudited condensed consolidated interim financial statements contain all adjustments of a normal recurring nature necessary for a fair presentation of the financial statements for the interim period presented. These unaudited interim condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements for the year ended December 31, 2023, as reported in the Company’s 2023 Annual Report on Form 10-K. The Company’s significant accounting policies and practices are as described in the Annual Report.
Use of Estimates	Use of Estimates
Prior Period Reclassification	Prior Period Reclassification Certain amounts in prior year’s condensed consolidated balance sheet have been reclassified to conform to current year’s presentation.
Trade receivable, net	Trade receivable, net The Company records trade receivables for amounts invoiced and yet unbilled. The Company’s expected loss allowance methodology for trade receivables is based upon its assessment of various factors, including historical experience, the age of the trade receivable balances, credit quality of its customers, current economic conditions, reasonable and supportable forecasts of future economic conditions, and other factors that may affect its ability to collect from customers. The estimated credit loss allowance is recorded as general and administrative expenses on the Company's condensed consolidated statements of operations.
Concentrations of credit risks	Concentrations of credit risk Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash and cash equivalents, deposits and trade receivables, net. The majority of the Company’s cash and cash equivalents are invested in deposits with major banks in the US, Israel and the UK. The Company is exposed to credit risk in the event of default by the financial institutions to the extent that amounts recorded on the accompanying consolidated balance sheets exceed insured limits. Generally, these investments may be redeemed upon demand and, therefore, bear minimal risk.
Software development costs	Software development costs Software development costs, which are included in property and equipment, net, consists of capitalized costs related to the purchase and development of internal-use software. The Company uses such software to provide services to its customers. The costs to purchase and develop internal-use software are capitalized from the time that the preliminary project stage is completed, and it is considered probable that the software will be used to perform the function intended. These costs include personnel and personnel-related employee benefits for employees directly associated with the software development and external costs of the materials or services consumed in developing or obtaining the software.
Impairment of long-lived assets	Impairment of long-lived assets Long-lived assets, including property and equipment and finite-lived intangible assets, are reviewed for impairment whenever facts or circumstances either internally or externally may indicate that the carrying value of an asset may not be recoverable. If there are indications of an impairment, the Company tests for recoverability by comparing the estimated undiscounted future cash flows expected to result from the use of the asset to the carrying amount of the asset or asset
Goodwill and acquired intangible assets	Goodwill and acquired intangible assets Goodwill and acquired intangible assets have been recorded in the Company's financial statements resulting from various business combinations. Goodwill represents the excess of the purchase price in a business combination over the fair value of identifiable tangible and intangible assets acquired and liabilities assumed. Goodwill is not amortized as it is estimated to have an indefinite life. As such, goodwill is subject to an annual impairment test. The Company allocates goodwill to reporting units based on the expected benefit from the business combination. Reporting units are evaluated when changes in the Company’s operating structure occur, and if necessary, goodwill is reassigned using a relative fair value allocation approach. The Company operates in one operating segment and this segment is the only reporting unit. ASC 350, Intangibles—Goodwill and other (“ASC 350”) requires goodwill to be tested for impairment at least annually and, in certain circumstances, between annual tests. The accounting guidance gives the option to perform a qualitative assessment to determine whether further impairment testing is necessary. The qualitative assessment considers events and circumstances that might indicate that a reporting unit's fair value is less than its carrying amount. If it is determined, as a result of the qualitative assessment, that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, a quantitative test is performed. The Company elects to perform an annual impairment test of goodwill as of October 1 of each year, or more frequently if impairment indicators are present. In the second quarter of 2023, the Company experienced a decline in its stock price resulting in its market capitalization being less than the carrying value of its one reporting unit. Thus, the Company performed quantitative assessments of the Company’s reporting unit. The fair value was determined based on the market approach. The market approach utilizes the Company's market capitalization plus an appropriate control premium. Market capitalization is determined by multiplying the number of common stock outstanding by the market price of its common stock. The control premium is determined by utilizing publicly available data from studies for similar transactions of public companies. As a result of this assessment, the Company recorded a goodwill impairment of $14.5 million during the three months ended June 30, 2023. No impairment was recognized during the three or nine months ended September 30, 2024. Separately acquired intangible assets are measured on initial recognition at cost including directly attributable costs. Intangible assets acquired in a business combination are measured at fair value at the acquisition date. Customer relationships and acquired technology are amortized on a straight-line basis over the estimated useful life of the assets; approximately 11 years and 6 years, respectively. Amortization of customer relationships and acquired technology is presented within depreciation and amortization in the condensed consolidated statements of operations.
Fair value of financial instruments	Fair value of financial instruments The Company applies a fair value framework to measure and disclose its financial assets and liabilities. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The fair value hierarchy requires an entity to maximize the use of observable inputs, where available, and minimize the use of unobservable inputs when measuring fair value. There are three levels of inputs that may be used to measure fair value: Level 1 - Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2 - Includes other inputs that are directly or indirectly observable in the marketplace. Level 3 - Unobservable inputs that are supported by little or no market activity. The Company’s financial instruments consist of cash and cash equivalents, restricted deposits, trade receivables, net, trade payables, employees, payroll accruals, accrued expenses and other current liabilities. Due to the short-term nature of these instruments, historical carrying amounts approximate fair value. The Company’s investments in money market funds are classified as cash equivalents and measured at fair value. The Company measures its warrant liability at fair value.
Revenue recognition	Revenue recognition Most of the Company’s revenue is derived from digital ad solutions, where the Company provides an ad serving platform for use by advertisers, media agencies and publishers. Standard, interactive and data driven digital video ads are delivered through this ad serving platform. Advertising impressions are served via the Company’s cloud-based ad serving platform to various digital publishers across CTV, mobile TV, desktop TV, display and other channels. InnovidXP, the Company’s cloud-based cross-platform TV Ad measurement solution, measures the efficiency of CTV advertising and in-flight optimizations for TV marketers. The customers get insights into the effectiveness of their TV and digital advertising. The Company also provides creative services for the design and development of interactive data-driven and dynamic ad formats by adding data, interactivity and dynamic features to standard ad units. The Company recognizes revenue when its customer obtains control of promised services in an amount that reflects the consideration that the Company expects to receive in exchange for those services. The Company recognizes revenue in accordance with ASC Topic 606, Revenue from contracts with customers (“ASC 606”) and determines revenue recognition through the following steps: (1) identify the contract with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in the contract; and (5) recognize revenue when a performance obligation is satisfied. For arrangements with multiple performance obligations, which represent promises within an arrangement that are capable of being distinct and are separately identifiable, the Company allocates the contract consideration to all distinct performance obligations based on their relative standalone selling price (“SSP”). SSP is typically estimated based on observable transactions when these services are sold on a standalone basis. Revenue related to ad serving is recognized when impressions are delivered via the Company’s ad serving platform. The Company recognizes revenue from the display of impression-based ads in the contracted period in which the impressions are delivered. Impressions are considered delivered when an ad is displayed to users. Revenue related to the InnovidXP solution is recognized over time, since the customer simultaneously receives and consumes the benefits provided by the Company’s performance. Revenues for this measurement subscription is recognized over the service period. Revenue related to creative projects is recognized when the Company delivers an ad unit. Creative services projects are usually delivered within a week. The Company’s accounts receivable consists primarily of receivables related to products and services, for which the Company’s contracted performance obligations have been satisfied, the amount has been billed and the Company has an unconditional right to payment. The Company typically bills customers monthly based on actual delivery. Payment terms vary, mainly with terms of 60 days or less. The typical contract term is twelve months or less for ASC 606 purposes. Most of the Company’s contracts can be cancelled without cause. The Company has the unconditional right to payment for the services provided as of the date of the termination of the contracts. The Company applies the practical expedient in ASC 606 and does not adjust the promised amount of consideration for the effects of a significant financing component if the Company expects, at contract inception, that the period between when the Company transfers a promised good or service to a customer and when the customer pays for that good or service will be one year or less. Deferred revenue represents mostly unrecognized fees billed or collected for measurement platform services. Deferred revenue is recognized as (or when) the Company performs under the contract. Revenue recognized during the three and nine months ended September 30, 2024, from amounts included in deferred at the beginning of the period were $0.6 million and $1.7 million, respectively. Costs to obtain a contract Contract costs include commission programs to compensate sales employees for generating sales orders with new customers or for new services with existing customers. The Company elected to apply the practical expedient and recognize incremental costs of obtaining a contract as an expense when incurred if the amortization period of the asset that the Company otherwise would have recognized is one year or less. Most of the Company’s commissions are commensurate. If commissions are not eligible for the practical expedient, the commissions are capitalized and are amortized over three years. As of both September 30, 2024 and December 31, 2023, capitalized commissions were immaterial.
Recently issued accounting pronouncements not yet adopted	Recently issued accounting pronouncements not yet adopted As an “emerging growth company,” the JOBS Act allows the Company to delay adoption of new or revised accounting pronouncements applicable to public companies until such pronouncements are made applicable to private companies. The Company has elected to use this extended transition period under the JOBS Act. The adoption dates discussed below reflect this election. Income taxes In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”). ASU 2023-09 is intended to improve transparency of income tax disclosure by requiring income tax disclosures to contain consistent categories and greater disaggregation of information in the rate reconciliation and income taxes paid, disaggregated by jurisdiction. This standard affects the disclosure of income taxes, not the accounting for income taxes. This standard is effective for the Company for the annual period beginning after December 15, 2025, with early adoption permitted. The Company is evaluating the impact of the adoption of ASU 2023-09. Segments In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures (“ASU 2023-07”), which requires public entities to disclose information about their reportable segments’ significant expense and other segment items on an interim and annual basis. Public entities with a single reportable segment are required to apply the disclosure requirements in ASU 2023-07, as well as all existing segment disclosures and reconciliation requirements in ASC 280 on an interim and annual basis. This standard is effective for the Company for annual periods beginning after December 15, 2023, and interim periods beginning after December 15, 2024. The Company is evaluating the impact of the adoption of ASU 2023-07.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2024
Accounting Policies [Abstract]
Schedules of Concentration of Risk, by Risk Factor	During the three and nine months ended September 30, 2024 and 2023, one customer accounted for more than 10% of the Company’s total revenue as presented below: Three months ended September 30, Nine months ended September 30, 2024 2023 2024 2023 Customer A 15 % 16 % 16 % 16 %
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis	The following tables present information about the Company’s financial instruments that are measured at fair value on a recurring basis: September 30, 2024 Level 1 Level 2 Level 3 Assets: Money market funds $ 18,919 $ — $ — Liabilities: Warrants liability 411 — — December 31, 2023 Level 1 Level 2 Level 3 Assets: Money market funds $ 32,264 $ — $ — Liabilities: Warrants liability 307 — —

Leases (Tables)

Leases (Tables)	9 Months Ended
	Sep. 30, 2024
Leases [Abstract]
Schedule of Operating ROU Assets and Lease Liabilities	The Company has the following operating right-of-use (“ROU”) assets and lease liabilities: September 30, 2024 December 31, 2023 (Unaudited) ROU assets Lease liabilities ROU assets Lease liabilities Real estate $ 10,894 $ 11,223 $ 1,435 $ 1,834 Total operating leases $ 10,894 $ 11,223 $ 1,435 $ 1,834
Summary of Lease Cost	Lease expense components recognized in the interim condensed consolidated statement of operations was as follows: Three months ended September 30, Nine months ended September 30, 2024 2023 2024 2023 Operating lease cost $ 218 $ 458 $ 933 $ 1,379 Short term lease cost 283 205 911 788 Variable lease cost 58 31 142 77 Total lease cost $ 559 $ 694 $ 1,986 $ 2,244 Supplemental cash flow information regarding the Company's operating leases were as follows: Nine months ended September 30, 2024 2023 Cash paid for amounts included in the measurement of lease liabilities $ 968 $ 1,541
Schedule of Operating Lease, Liability, Maturity	Future minimum commitments under the Company’s operating lease were as follows: Twelve months ending September 30, Nine months ended September 30, 2024 2025 $ 1,263 2026 1,762 2027 1,001 2028 1,523 2029 1,554 Thereafter 9,114 Total undiscounted lease payments $ 16,217 Less: imputed interest (4,994) Total operating lease liabilities $ 11,223

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	9 Months Ended
	Sep. 30, 2024
Share-Based Payment Arrangement [Abstract]
Schedule of Stock-based Compensation Expenses	Stock-based compensation expense under all plans was as follows: Three months ended September 30, Nine months ended September 30, 2024 2023 2024 2023 Cost of goods sold $ 472 $ 522 $ 1,332 $ 1,398 Research and development 897 1,249 2,564 3,652 Sales and marketing 1,940 1,657 4,632 4,926 General and administrative 2,192 2,177 5,998 5,587 Total expensed $ 5,501 $ 5,605 $ 14,526 $ 15,563 Internal use software capitalization 209 314 798 1,004 Total stock-based compensation $ 5,710 $ 5,919 $ 15,324 $ 16,567
Schedule of Share Based Payment Arrangement, Option, Activity	Stock option activity under all plans was as follows: Nine months ended September 30, 2024 Number of options Weighted average exercise price Weighted average remaining contractual term (in years) Aggregate intrinsic value (in thousands) Outstanding at December 31, 2023 9,526,883 $ 1.27 Granted — $ — Exercised (532,089) $ 0.59 Forfeited (573,537) $ 1.81 Expired (364,341) $ 1.98 Outstanding at September 30, 2024 8,056,916 $ 1.24 5.4 $ 6,031 Exercisable options at September 30, 2024 7,030,893 $ 1.20 5.0 $ 5,545
Schedule of Share Based Payment Arrangement, Restricted Stock Unit, Activity	RSU activity under the 2021 Plan was as follows: Nine months ended September 30, 2024 Number of units Weighted average grant date fair value Weighted average remaining contractual term (in years) Aggregate intrinsic value (in thousands) Outstanding at December 31, 2023 13,270,592 $ 2.07 Granted 9,837,142 $ 2.32 Vested (6,047,383) $ 2.29 Forfeited (2,887,385) $ 2.05 Outstanding at September 30, 2024 14,172,966 $ 2.15 1.1 $ 25,499

Segment Reporting (Tables)

Segment Reporting (Tables)	9 Months Ended
	Sep. 30, 2024
Segment Reporting [Abstract]
Schedule of Revenue and Property and Equipment, by Geographical Areas	Revenue by geographic location was as follows: Three months ended September 30, Nine months ended September 30, 2024 2023 2024 2023 US $ 35,295 $ 33,238 $ 103,417 $ 92,452 Canada 549 531 1,740 1,385 APAC 706 723 2,656 2,271 EMEA 1,569 1,542 4,613 4,580 LATAM 132 200 514 577 Total revenue $ 38,251 $ 36,234 $ 112,940 $ 101,265 Property and equipment, net and ROU assets by geographic location was as follows: September 30, 2024 December 31, 2023 Israel $ 1,698 $ 2,154 US 29,612 17,144 Rest of the world 590 556 Total $ 31,900 $ 19,854

Net Income (Loss) Per Share (Ta

Net Income (Loss) Per Share (Tables)	9 Months Ended
	Sep. 30, 2024
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	The following presents a reconciliation of the denominator used in the calculation of diluted net income per share (in thousands, except share and per share data): Three months ended September 30, 2024 Diluted denominator: Weighted average common shares outstanding 146,822,073 Options 3,242,758 Unvested restricted stock units 2,439,409 Weighted average common shares outstanding - diluted 152,504,240
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share	The following potential shares of common stock, presented based on amounts outstanding at each period end, have been excluded from the computation of diluted net loss per share attributable to common stockholders for the periods indicated their effect would have been anti-dilutive effect: Three months ended September 30, Nine months ended September 30, 2024 2023 2024 2023 Options 3,396,038 9,402,442 6,986,540 9,402,442 Unvested restricted stock units 9,179,898 14,115,573 10,654,256 14,115,573 Warrants 10,222,453 10,222,500 10,222,453 10,222,500

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Narrative (Details)	3 Months Ended				9 Months Ended
	Sep. 30, 2024 USD ($)	Jun. 30, 2024 reportingUnit	Sep. 30, 2023 USD ($)	Jun. 30, 2023 USD ($)	Sep. 30, 2024 USD ($) segment	Sep. 30, 2023 USD ($)
Summary of Significant Accounting Policies [Line Items]
Impairments of long-lived assets	$ 0		$ 2,400,000		$ 0	$ 2,400,000
Number of operating segments | segment					1
Number of reporting units | reportingUnit		1
Goodwill impairment	0		$ 0	$ 14,500,000	$ 0	$ 14,503,000
Payment term					60 days
Contract with customer, liability, revenue recognized	$ 600,000				$ 1,700,000
Ad serving services	74.80%		73.30%		75.20%	73.40%
Measurement serving services	22.20%		23.20%		21.80%	22.90%
Creative serving, percentage	3%		3.50%		3%	3.70%
Capitalized commission costs amortization period					3 years
Capitalized commission costs					$ 0
Customer relationships
Summary of Significant Accounting Policies [Line Items]
Acquired finite-lived intangible assets, weighted average useful life					11 years
Technology
Summary of Significant Accounting Policies [Line Items]
Acquired finite-lived intangible assets, weighted average useful life					6 years
Software development costs
Summary of Significant Accounting Policies [Line Items]
Useful lives (in years)	3 years				3 years
Capitalization cost	$ 2,000,000		$ 2,500,000		$ 6,900,000	$ 8,800,000

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Schedule of Concentration Risk (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Revenue Benchmark | Customer Concentration Risk | Customer A
Concentration Risk [Line Items]
Concentration risk, percentage	15%	16%	16%	16%

Summary of Significant Accoun_6

Summary of Significant Accounting Policies - Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Liabilities:
Derivative Liability, Statement of Financial Position [Extensible Enumeration]	Warrants liability	Warrants liability
Fair Value, Recurring | Level 1
Assets:
Money market funds	$ 18,919	$ 32,264
Liabilities:
Warrants liability	411	307
Fair Value, Recurring | Level 2
Assets:
Money market funds	0	0
Liabilities:
Warrants liability	0	0
Fair Value, Recurring | Level 3
Assets:
Money market funds	0	0
Liabilities:
Warrants liability	$ 0	$ 0

Leases - Narrative (Details)

Leases - Narrative (Details)	Sep. 30, 2024	Feb. 07, 2024
Leases [Abstract]
Renewal term (in years)		5 years
Operating lease, weighted average remaining lease term	9 years 9 months 18 days
Operating lease, weighted average discount rate, percent	7.20%

Leases - Schedule of Operating

Leases - Schedule of Operating ROU Assets and Lease Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Operating Leases Assets and Liabilities [Line Items]
ROU assets	$ 10,894	$ 1,435
Lease liabilities	11,223	1,834
Real estate
Operating Leases Assets and Liabilities [Line Items]
ROU assets	10,894	1,435
Lease liabilities	$ 11,223	$ 1,834

Leases - Lease Costs Recognized

Leases - Lease Costs Recognized in the Condensed Consolidated Statement of Earnings (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Leases [Abstract]
Operating lease cost	$ 218	$ 458	$ 933	$ 1,379
Short term lease cost	283	205	911	788
Variable lease cost	58	31	142	77
Total lease cost	$ 559	$ 694	$ 1,986	$ 2,244

Leases - Supplementary Cash Flo

Leases - Supplementary Cash Flow Information (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Leases [Abstract]
Cash paid for amounts included in the measurement of lease liabilities	$ 968	$ 1,541

Leases - Schedule of Operatin_2

Leases - Schedule of Operating Lease Liabilities Maturity (Details) $ in Thousands	Sep. 30, 2024 USD ($)
Leases [Abstract]
2025	$ 1,263
2026	1,762
2027	1,001
2028	1,523
2029	1,554
Thereafter	9,114
Total undiscounted lease payments	16,217
Less: imputed interest	(4,994)
Total operating lease liabilities	$ 11,223

Warrants (Details)

Warrants (Details)	Sep. 30, 2024 shares
Public Warrants
Class of Warrant or Right [Line Items]
Warrants outstanding (in shares)	3,162,453
Private Warrants
Class of Warrant or Right [Line Items]
Warrants outstanding (in shares)	7,060,000

Long-term Debt (Details)

Long-term Debt (Details)	Aug. 04, 2022 USD ($) subsidiary	Sep. 30, 2024 USD ($)	Aug. 03, 2022 USD ($)
Line of Credit Facility [Line Items]
Number of wholly owned subsidiaries | subsidiary	2
Revolving Credit Facility
Line of Credit Facility [Line Items]
Line of credit	$ 50,000		$ 15,000
Annual interest rate (in percent)	4.25%
Average annual fee unused portion (in percent)	0.20%
Line of credit quick ratio	1.30
Quarterly adjusted quick ratio	1.50
Line of credit outstanding amount		$ 0
Revolving Credit Facility | Maximum
Line of Credit Facility [Line Items]
Prime rate (in percent)	0.25%

Commitments and Contingent Li_2

Commitments and Contingent Liabilities (Details) - USD ($)	Oct. 23, 2024	Jul. 02, 2024	Apr. 15, 2024	Sep. 30, 2024	Dec. 31, 2023
Commitments and Contingencies [Line Items]
Ordinary shares, par value (in dollars per share)				$ 0.0001	$ 0.0001
Number of days for stay order		120 days	90 days
Loss contingency accrual				$ 0
Subsequent Event
Commitments and Contingencies [Line Items]
Number of days for stay order	80 days
Israeli Subsidiary
Commitments and Contingencies [Line Items]
Bank deposits pledged				$ 600,000
Subsidiaries
Commitments and Contingencies [Line Items]
Shares of subsidiary pledged (in shares)				65,000
Ordinary shares, par value (in dollars per share)				$ 0.01

Stock-Based Compensation - Stoc

Stock-Based Compensation - Stock Option Activity Under Plan (Details) - Legacy Plan and 2021 Plan - Employees - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expenses	$ 5,501	$ 5,605	$ 14,526	$ 15,563
Internal use software capitalization	209	314	798	1,004
Total stock-based compensation	5,710	5,919	15,324	16,567
Cost of goods sold
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expenses	472	522	1,332	1,398
Research and development
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expenses	897	1,249	2,564	3,652
Sales and marketing
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expenses	1,940	1,657	4,632	4,926
General and administrative
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expenses	$ 2,192	$ 2,177	$ 5,998	$ 5,587

Stock-Based Compensation - St_2

Stock-Based Compensation - Stock Option Activity (Details) - Employees $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2024 USD ($) $ / shares shares
Number of options
Outstanding at the beginning of the period (in shares) | shares	9,526,883
Granted (in shares) | shares	0
Exercised (in shares) | shares	(532,089)
Forfeited (in shares) | shares	(573,537)
Expired (in shares) | shares	(364,341)
Outstanding at the end of the period (in shares) | shares	8,056,916
Exercisable options at the end of the period (in shares) | shares	7,030,893
Weighted average exercise price
Outstanding at the beginning of the period (in dollars per share) | $ / shares	$ 1.27
Granted (in dollars per share) | $ / shares	0
Exercised (in dollars per share) | $ / shares	0.59
Forfeited (in dollars per share) | $ / shares	1.81
Expired (in dollars per share) | $ / shares	1.98
Outstanding at the end of the period (in dollars per share) | $ / shares	1.24
Exercisable exercise price at the end of the period (in dollars per share) | $ / shares	$ 1.20
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures
Outstanding option, weighted average remaining contractual term (in years)	5 years 4 months 24 days
Outstanding exercisable, weighted average remaining contractual term (in years)	5 years
Outstanding intrinsic value at the end of the period | $	$ 6,031
Outstanding exercisable intrinsic value at the end of the period | $	$ 5,545

Stock-Based Compensation - Narr

Stock-Based Compensation - Narrative (Details) $ in Millions	9 Months Ended
	Sep. 30, 2024 USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Intrinsic value	$ 0.8
Cost not yet recognized	$ 0.8
Period for cost yet to be recognized	2 years
Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Cost not yet recognized	$ 25.1
Period for cost yet to be recognized	2 years
Employees
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Fair value, vested	$ 11.9

Stock-Based Compensation - Rest

Stock-Based Compensation - Restricted Stock Unit Activity (Details) - Employees $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2024 USD ($) $ / shares shares
Number of units
Outstanding at the beginning of the period (in shares) | shares	13,270,592
Granted (in shares) | shares	9,837,142
Vested (in shares) | shares	(6,047,383)
Forfeited (in shares) | shares	(2,887,385)
Outstanding at the ending of the period (in shares) | shares	14,172,966
Weighted average grant date fair value
Outstanding at the beginning of the period (in dollars per share) | $ / shares	$ 2.07
Granted (in dollars per share) | $ / shares	2.32
Vested (in dollars per share) | $ / shares	2.29
Forfeited (in dollars per share) | $ / shares	2.05
Outstanding at the ending of the period (in dollars per share) | $ / shares	$ 2.15
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Additional Disclosures [Abstract]
Weighted average remaining contractual term, outstanding	1 year 1 month 6 days
Aggregate intrinsic value, outstanding | $	$ 25,499

Finance Income, Net (Details)

Finance Income, Net (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Short-term Debt [Line Items]
Debt related interest expense	$ 0	$ 0.4	$ 0.2	$ 1.1
Interest income	0.4	0.4	1.1	1
Warrant
Short-term Debt [Line Items]
Unrealized gains	$ 0.3	$ 0.4	$ 0.1	$ 3.7

Income Tax (Details)

Income Tax (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Income Tax Disclosure [Abstract]
Income tax (benefit) provision	$ (5,823)	$ (1,301)	$ 5,180	$ 2,858
Effective tax rates percent	502.80%	32.30%	(74.70%)	(10.40%)

Segment Reporting - Narrative (

Segment Reporting - Narrative (Details)	9 Months Ended
	Sep. 30, 2024 segment
Segment Reporting [Abstract]
Number of operating segments	1

Segment Reporting - Revenue and

Segment Reporting - Revenue and Property and Equipment, by Geographical Areas (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 38,251	$ 36,234	$ 112,940	$ 101,265
Long-lived tangible assets	31,900		31,900		$ 19,854
US
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	35,295	33,238	103,417	92,452
Long-lived tangible assets	29,612		29,612		17,144
Canada
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	549	531	1,740	1,385
APAC
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	706	723	2,656	2,271
EMEA
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	1,569	1,542	4,613	4,580
LATAM
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	132	$ 200	514	$ 577
Israel
Revenues from External Customers and Long-Lived Assets [Line Items]
Long-lived tangible assets	1,698		1,698		2,154
Rest of the world
Revenues from External Customers and Long-Lived Assets [Line Items]
Long-lived tangible assets	$ 590		$ 590		$ 556

Net Income (Loss) Per Share - D

Net Income (Loss) Per Share - Diluted Net Loss Per Share (Details) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Weighted average shares outstanding, basic (in shares)	146,822,073	139,607,389	144,664,912	137,826,099
Weighted average common shares outstanding diluted (in shares)	152,504,240	139,607,389	144,664,912	137,826,099
Options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Options / Unvested RSU's	3,242,758
Unvested restricted stock units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Options / Unvested RSU's	2,439,409

Net Income (Loss) Per Share - S

Net Income (Loss) Per Share - Securities Excluded from Computation of Earnings Per Share (Details) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Securities excluded from computation of earnings per share (in shares)	3,396,038	9,402,442	6,986,540	9,402,442
Unvested restricted stock units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Securities excluded from computation of earnings per share (in shares)	9,179,898	14,115,573	10,654,256	14,115,573
Warrants
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Securities excluded from computation of earnings per share (in shares)	10,222,453	10,222,500	10,222,453	10,222,500

SUBSEQUENT EVENT (Details)

SUBSEQUENT EVENT (Details) $ in Millions	Nov. 06, 2024 USD ($)
Common stock | Subsequent Event
Subsequent Event [Line Items]
Share repurchase program, authorized, amount	$ 20