Cover Page
Cover Page - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Mar. 23, 2022 | Jun. 30, 2021 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2021 | ||
Document Transition Report | false | ||
Entity File Number | 001-35376 | ||
Entity Registrant Name | OBLONG, INC. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 77-0312442 | ||
Entity Address, Address Line One | 25587 Conifer Road | ||
Entity Address, Address Line Two | Suite 105-231 | ||
Entity Address, City or Town | Conifer | ||
Entity Address, State or Province | CO | ||
Entity Address, Postal Zip Code | 80433 | ||
City Area Code | 303 | ||
Local Phone Number | 640-3838 | ||
Title of 12(b) Security | Common Stock, $0.0001 par value | ||
Trading Symbol | OBLG | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 50,293,167 | ||
Entity Common Stock, Shares Outstanding (in shares) | 30,816,048 | ||
Entity Central Index Key | 0000746210 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
ICFR Auditor Attestation Flag | false |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2021 | |
Audit Information [Abstract] | |
Auditor Name | EisnerAmper LLP |
Auditor Location | Iselin, New Jersey |
Auditor Firm ID | 274 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash | $ 8,939 | $ 5,058 |
Current portion of restricted cash | 61 | 158 |
Accounts receivable, net | 849 | 3,166 |
Inventory | 1,821 | 920 |
Prepaid expenses and other current assets | 1,081 | 691 |
Total current assets | 12,751 | 9,993 |
Property and equipment, net | 159 | 573 |
Goodwill | 7,367 | 7,367 |
Intangibles, net | 7,562 | 10,140 |
Operating lease, right-of-use assets | 659 | 903 |
Other assets | 109 | 167 |
Total assets | 28,607 | 29,143 |
Current liabilities: | ||
Current portion of long-term debt, net of debt discount | 0 | 2,014 |
Accounts payable | 259 | 313 |
Accrued expenses and other current liabilities | 959 | 1,201 |
Current portion deferred revenue | 783 | 1,217 |
Operating lease liabilities, current | 492 | 830 |
Total current liabilities | 2,493 | 5,575 |
Long-term liabilities: | ||
Long-term debt, net of current portion and net of debt discount | 0 | 403 |
Operating lease liabilities, net of current portion | 236 | 602 |
Deferred revenue, net of current portion | 381 | 506 |
Total long-term liabilities | 617 | 1,511 |
Total liabilities | 3,110 | 7,086 |
Commitments and contingencies (see Note 15) | ||
Stockholders’ equity: | ||
Common stock, $.0001 par value; 150,000,000 shares authorized; 30,929,331 shares issued and 30,816,048 outstanding at December 31, 2021 and 7,861,912 shares issued and 7,748,629 outstanding at December 31, 2020 | 3 | 1 |
Treasury stock, 113,283 shares at December 31, 2021 and 2020 | (181) | (181) |
Additional paid-in capital | 227,581 | 215,092 |
Accumulated deficit | (201,906) | (192,855) |
Total stockholders’ equity | 25,497 | 22,057 |
Total liabilities and stockholders’ equity | 28,607 | 29,143 |
Series A-2 Preferred Stock | ||
Stockholders’ equity: | ||
Preferred stock | 0 | 0 |
Series D Preferred Stock | ||
Stockholders’ equity: | ||
Preferred stock | 0 | 0 |
Series E Preferred Stock | ||
Stockholders’ equity: | ||
Preferred stock | $ 0 | $ 0 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Preferred stock, shares authorized (in shares) | 1,938,250 | |
Preferred stock, shares issued (in shares) | 0 | |
Preferred stock, shares outstanding (in shares) | 0 | 1,829,582 |
Common Stock, convertible, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Common Stock, shares authorized (in shares) | 150,000,000 | 150,000,000 |
Common Stock, shares issued (in shares) | 30,929,331 | 7,861,912 |
Common stock, shares outstanding (in shares) | 30,816,048 | 7,748,629 |
Treasury stock (in shares) | 113,283 | 113,000 |
Series A-2 Preferred Stock | ||
Preferred stock, convertible, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Preferred stock, stated value | $ 7,500 | $ 7,500 |
Preferred stock, shares authorized (in shares) | 7,500 | 7,500 |
Preferred stock, shares issued (in shares) | 0 | 45 |
Preferred stock, shares outstanding (in shares) | 0 | 45 |
Preferred stock, liquidation value | $ 338,000 | |
Series D Preferred Stock | ||
Preferred stock, convertible, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Preferred stock, stated value | $ 28.50 | $ 28.50 |
Preferred stock, shares authorized (in shares) | 1,750,000 | 1,750,000 |
Preferred stock, shares issued (in shares) | 0 | 1,697,958 |
Preferred stock, shares outstanding (in shares) | 0 | 1,697,958 |
Preferred stock, liquidation value | $ 48,392,000 | |
Series E Preferred Stock | ||
Preferred stock, convertible, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Preferred stock, stated value | $ 28.50 | $ 28.50 |
Preferred stock, shares authorized (in shares) | 175,000 | 175,000 |
Preferred stock, shares issued (in shares) | 0 | 131,579 |
Preferred stock, shares outstanding (in shares) | 0 | 131,579 |
Preferred stock, liquidation value | $ 3,750,000 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Income Statement [Abstract] | ||
Revenues | $ 7,739 | $ 15,333 |
Cost of revenues (exclusive of depreciation and amortization) | 5,021 | 7,280 |
Gross profit | 2,718 | 8,053 |
Operating expenses: | ||
Research and development | 2,913 | 3,711 |
Sales and marketing | 2,195 | 3,392 |
General and administrative | 6,363 | 6,724 |
Impairment charges | 305 | 1,150 |
Depreciation and amortization | 2,736 | 3,140 |
Total operating expenses | 14,512 | 18,117 |
Loss from operations | (11,794) | (10,064) |
Interest and other (income) expense: | ||
Interest expense and other, net | 22 | 352 |
Gain on extinguishment of debt | (2,448) | (3,117) |
Other income | (227) | 0 |
Foreign exchange loss | 0 | 19 |
Interest and other (income) expense, net | (2,653) | (2,746) |
Loss before income taxes | (9,141) | (7,318) |
Income tax (benefit) expense | (90) | 103 |
Net loss | (9,051) | (7,421) |
Preferred stock dividends | 1 | 17 |
Undeclared dividends | 366 | 788 |
Less: conversion inducement | 300 | 0 |
Warrant modification | 37 | 0 |
Net loss attributable to common stockholders | $ (9,755) | $ (8,226) |
Net loss attributable to common stockholders per share: | ||
Basic net loss per share (in dollars per share) | $ (0.37) | $ (1.48) |
Diluted net loss per share (in dollars per share) | $ (0.37) | $ (1.48) |
Weighted-average number of common shares: | ||
Basic (in shares) | 26,567 | 5,547 |
Diluted (in shares) | 26,567 | 5,547 |
CONSOLIDATED STATEMENT OF STOCK
CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Series D Preferred Stock | Series D & E Preferred Stock | Preferred StockSeries A-2 Preferred Stock | Preferred StockSeries C Preferred Stock | Preferred StockSeries D Preferred Stock | Preferred StockSeries E Preferred Stock | Common Stock | Common StockSeries A-2 Preferred Stock | Common StockSeries D & E Preferred Stock | Treasury Stock | Additional Paid-In Capital | Additional Paid-In CapitalSeries D & E Preferred Stock | Accumulated Deficit |
Beginning Balance (in shares) at Dec. 31, 2019 | 32 | 475 | 1,734,901 | 131,579 | 5,267,000 | 105,000 | ||||||||
Beginning Balance at Dec. 31, 2019 | $ 21,785 | $ 0 | $ 0 | $ 0 | $ 0 | $ 1 | $ (165) | $ 207,383 | $ (185,434) | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||
Net loss | (7,421) | (7,421) | ||||||||||||
Stock-based compensation (in shares) | 8,000 | |||||||||||||
Stock-based compensation | 198 | 198 | ||||||||||||
Issuance of preferred stock for accrued dividends (in shares) | 13 | |||||||||||||
Issuance of preferred stock for accrued dividends | 99 | |||||||||||||
Forfeiture of preferred stock (in shares) | (28,618) | |||||||||||||
Preferred stock conversion (in shares) | 475 | 158,333 | ||||||||||||
Preferred stock dividends | (17) | (17) | ||||||||||||
Issuance of stock on vested restricted stock units (in shares) | 23,000 | 8,000 | ||||||||||||
Issuance of stock on vested restricted stock units | (16) | $ (16) | ||||||||||||
Series D exchanged for taxes (in shares) | (8,325) | (8,000) | ||||||||||||
Forfeiture of restricted stock agreement (in shares) | (9,000) | |||||||||||||
Issuance of common shares from financing, net of offering costs (in shares) | 2,293,000 | |||||||||||||
Issuance of common shares from financing, net of offering costs | 7,371 | 7,371 | ||||||||||||
Issuance of common shares from warrant exercise (in shares) | 72,000 | |||||||||||||
Issuance of shares for professional service fees (in shares) | 50,000 | |||||||||||||
Issuance of shares for professional service fees | 58 | 58 | ||||||||||||
Ending Balance (in shares) at Dec. 31, 2020 | 45 | 0 | 1,697,958 | 131,579 | 7,862,000 | 113,000 | ||||||||
Ending Balance at Dec. 31, 2020 | 22,057 | $ 0 | $ 0 | $ 0 | $ 0 | $ 1 | $ (181) | 215,092 | (192,855) | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||
Net loss | (9,051) | (9,051) | ||||||||||||
Stock-based compensation | 597 | 597 | ||||||||||||
Forfeiture of preferred stock (in shares) | (81) | |||||||||||||
Preferred stock conversion (in shares) | 1,686,659 | 45 | 1,697,022 | 131,579 | 18,846,411 | 84,000 | 18,762,000 | |||||||
Series D & E Preferred Stock conversion | $ 0 | $ 2 | $ (2) | |||||||||||
Issuance of stock on vested restricted stock units (in shares) | 200,000 | |||||||||||||
Series D exchanged for taxes (in shares) | (855) | |||||||||||||
Issuance of common shares from financing, net of offering costs (in shares) | 4,000,000 | |||||||||||||
Issuance of common shares from financing, net of offering costs | 11,504 | 11,504 | ||||||||||||
Issuance of shares for professional service fees (in shares) | 21,000 | |||||||||||||
Issuance of shares for professional service fees | 390 | 390 | ||||||||||||
Ending Balance (in shares) at Dec. 31, 2021 | 0 | 0 | 0 | 0 | 30,929,000 | 113,000 | ||||||||
Ending Balance at Dec. 31, 2021 | $ 25,497 | $ 0 | $ 0 | $ 0 | $ 0 | $ 3 | $ (181) | $ 227,581 | $ (201,906) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS | 12 Months Ended | |
Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) | |
Cash flows from Operating Activities: | ||
Net loss | $ (9,051,000) | $ (7,421,000) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization | 2,736,000 | 3,140,000 |
Bad debt expense | 321,000 | 168,000 |
Amortization of debt discount | 0 | 56,000 |
Right-of-use assets | 495,000 | 1,001,000 |
Stock-based compensation | 597,000 | 198,000 |
Stock-based expense for services | 390,000 | 58,000 |
Gain on extinguishment of lease liability | (227,000) | 0 |
Gain on extinguishment of debt | (2,448,000) | (3,117,000) |
Impairment charges - property and equipment | 98,000 | 144,000 |
Impairment charges - intangible assets | 207,000 | 0 |
Impairment charges - right-of use assets | 0 | 465,000 |
Impairment charges - goodwill | 0 | 541,000 |
Changes in assets and liabilities: | ||
Accounts receivable | 1,996,000 | (792,000) |
Prepaid expenses and other current assets | (390,000) | 273,000 |
Inventory | (901,000) | 820,000 |
Other assets | (3,000) | (35,000) |
Accounts payable | (54,000) | (335,000) |
Accrued expenses and other current liabilities | (19,000) | (415,000) |
Deferred revenue | (559,000) | (178,000) |
Operating lease liability | (920,000) | (1,134,000) |
Other long-term liabilities | 0 | (3,000) |
Net cash used in operating activities | (7,732,000) | (6,566,000) |
Cash flows from Investing Activities: | ||
Proceeds on sale of equipment | 1,000 | 7,000 |
Purchases of property and equipment | (50,000) | (38,000) |
Net cash used in investing activities | (49,000) | (31,000) |
Cash flows from Financing Activities: | ||
Principal payments under borrowing arrangement | 0 | (2,500,000) |
Proceeds from issuance of common stock, net of offering costs | 11,504,000 | 7,371,000 |
Proceeds from PPP Loan | 0 | 2,417,000 |
Shares withheld to cover tax liability | 0 | (16,000) |
Net cash provided by financing activities | 11,504,000 | 7,272,000 |
Net increase in cash and restricted cash | 3,723,000 | 675,000 |
Cash and restricted cash at beginning of year | 5,277,000 | 4,602,000 |
Cash and restricted cash at end of year | 9,000,000 | 5,277,000 |
Supplemental disclosures of cash flow information: | ||
Cash paid during the period for interest | 9,000 | 213,000 |
Reconciliation of cash and restricted cash | ||
Cash | 8,939,000 | 5,058,000 |
Current portion of restricted cash | 61,000 | 158,000 |
Restricted cash included in other assets, net of current portion | 0 | 61,000 |
Total cash and restricted cash | 9,000,000 | 5,277,000 |
Non-cash investing and financing activities: | ||
Issuance of preferred stock in exchange for accrued dividends | 0 | 99,000 |
New operating lease agreement | 60,000 | 0 |
Modification of operating lease agreement | 192,000 | 0 |
Transfer of assets from inventory to property and equipment | 0 | 78,000 |
Accrued preferred stock dividends | 1,000 | 17,000 |
Inducement to convert Series A-2 Preferred Stock to common | 300,000 | 0 |
Common stock issued for conversion of preferred stock | 2,000 | 0 |
Warrant modification | $ 37,000 | $ 0 |
Business Description and Signif
Business Description and Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Business Description and Significant Accounting Policies | Business Description and Significant Accounting Policies Business Description Oblong, Inc. (“Oblong” or “we” or “us” or the “Company”) was formed as a Delaware corporation in May 2000 and is a provider of patented multi-stream collaboration technologies and managed services for video collaboration and network applications. Prior to March 6, 2020, Oblong, Inc. was named Glowpoint, Inc. (“Glowpoint”). On March 6, 2020, Glowpoint changed its name to Oblong, Inc. Principles of Consolidation The consolidated financial statements include the accounts of Oblong and our 100%-owned subsidiaries (i) GP Communications, LLC (“GP Communications”), whose business function is to provide interstate telecommunications services for regulatory purposes, (ii) Oblong Industries, Inc., and (iii) the following subsidiaries of Oblong Industries: Oblong Industries Europe, S.L. and Oblong Europe Limited. All inter-company balances and transactions have been eliminated in consolidation. The U.S. Dollar is the functional currency for all subsidiaries. Segments Effective October 1, 2019, the former businesses of Glowpoint (now Oblong, Inc.) and Oblong Industries have been managed separately, and involve different products and services. Accordingly, the Company currently operates in two segments for purposes of segment reporting: (1) “Collaboration Products” which represents the Oblong Industries business surrounding our Mezzanine™ product offerings and (2) “Managed Services” which represents the Oblong (formerly Glowpoint) business surrounding managed services for video collaboration and network solutions. See Note 15 - Segment Reporting for further discussion. Use of Estimates Preparation of the consolidated financial statements in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual amounts could differ from the estimates made. We continually evaluate estimates used in the preparation of our consolidated financial statements for reasonableness. Appropriate adjustments, if any, to the estimates used are made prospectively based upon such periodic evaluation. The significant areas of estimation include determining the allowance for doubtful accounts, the estimated lives and recoverability of property and equipment and intangible assets, the inputs used in the valuation of goodwill and intangible assets in connection with our impairment tests, and the inputs used in the fair value of equity based awards. Restricted Cash As of December 31, 2021, our total cash balance was $9,000,000, consisting of $8,939,000 in available cash and $61,000 in current restricted cash. As of December 31, 2020, our total cash balance of $5,277,000 included current and long-term restricted cash of $158,000 and $61,000, respectively. The long-term restricted cash is included in our other assets on our consolidated balance sheet. The restricted cash pertained to two letters of credit that served as the security deposit for our leased office space in Boston, Massachusetts and our leased office space in Los Altos, California, and were secured by an equal amount of cash pledged as collateral, and such cash was held in a restricted bank account. The Los Altos lease, and thereby the letter of credit, in the amount of $158,000, expired during the year ended December 31, 2021 and the cash was released. The Boston lease and letter of credit expired in February 2022. Allowance for Doubtful Accounts We perform ongoing credit evaluations of our customers. We record an allowance for doubtful accounts based on specifically identified amounts that are believed to be uncollectible. We also record additional allowances based on our aged receivables, which are determined based on historical experience and an assessment of the general financial conditions affecting our customer base. If our actual collections experience changes, revisions to our allowance may be required. After all attempts to collect a receivable have failed, the receivable is written off against the allowance. We do not obtain collateral from our customers to secure accounts receivable. The allowance for doubtful accounts was $100,000 and $182,000 at December 31, 2021 and 2020, respectively. Employee Retention Credit The CARES Act provided an employee retention credit (“ERC”), which was a refundable tax credit against certain payroll taxes. Upon determination that the Company had complied with all of the conditions required to receive the credit, the Company qualified and filed to claim the ERC. The Company reflected the ERC as a reduction to the respective captions on the consolidated statements of operations associated with the employees to which the payroll tax benefit related. For the year ended December 31, 2021, the Company recorded a $874,000 reduction to operating expense. Inventory Inventory consists of finished goods and was determined using average costs and was stated at the lower of cost or net realizable value. The Company periodically performs analyses to identify obsolete or slow-moving inventory. Fair Value of Financial Instruments The Company considers its cash, accounts receivable, accounts payable and debt obligations to meet the definition of financial instruments. The carrying amount of cash, accounts receivable and accounts payable approximated their fair value due to the short maturities of these instruments. The carrying amounts of our debt obligations (see Note 10 - Debt ) approximated their fair values, which were based on borrowing rates that were available to the Company for loans with similar terms, collateral, and maturity. The Company measures fair value as required by Accounting Standards Codification (“ASC”) Topic 820 “Fair Value Measurements and Disclosures” (“ASC Topic 820”). ASC Topic 820 defines fair value, establishes a framework and gives guidance regarding the methods used for measuring fair value, and expands disclosures about fair value measurements. ASC Topic 820 clarifies that fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, there exists a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows: • Level 1 - unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access as of the measurement date. • Level 2 - inputs other than quoted prices included within Level 1 that are directly observable for the asset or liability or indirectly observable through corroboration with observable market data. • Level 3 - unobservable inputs for the asset or liability only used when there is little, if any, market activity for the asset or liability at the measurement date. This hierarchy requires the Company to use observable market data, when available, and to minimize the use of unobservable inputs when determining fair value. Revenue Recognition The Company accounts for revenue in accordance with Accounting Standards Codification (“ASC”) Topic 606. The Company recognizes revenue using the five-step model as prescribed by Topic 606: • Identification of the contract, or contracts, with a customer; • Identification of the distinct performance obligations in the contract; • Determination of the transaction price; • Allocation of the transaction price to the performance obligations in the contract; and • Recognition of revenue when or as the Company satisfies a performance obligation. The Company’s managed videoconferencing services are offered to our customers on either a usage basis or on a subscription. Our network services are offered to our customers on a subscription basis. Revenue for these services is generally recognized on a monthly basis as services are performed. Revenue related to professional services is recognized at the time the services are performed. The costs associated with obtaining a customer contract were previously expensed in the period they were incurred. Under Topic 606, these payments are deferred on our consolidated balance sheet and amortized over the expected life of the customer contract. Deferred revenue as of December 31, 2021 totaled $8,000 as certain performance obligations were not satisfied as of this date. During the year ended December 31, 2021, the Company recorded $24,000 of revenue that was included in deferred revenue as of December 31, 2020. During the year ended December 31, 2020, the Company recorded $21,000 of revenue that was included in deferred revenue as of December 31, 2019. The Company’s visual collaboration products are composed of hardware and embedded software sold as a complete package, and generally include installation and maintenance services. Revenue for hardware and software is recognized upon shipment to the customer. Installation revenue is recognized upon completion of installation, which also triggers the beginning of recognition of revenue for maintenance services which range from one to three years. Revenue is recognized over time for maintenance services. Professional services are contracts with specific customers for software development, visual design, interaction design, engineering, and project support. These contracts vary in length, and revenue is recognized over time as services are rendered. Licensing agreements are for the Company’s core technology platform, g-speak, and are generally one year in length. Revenue for these services is recognized ratably over the service period. Deferred revenue, as of December 31, 2021, totaled $1,156,000 as certain performance obligations were not satisfied as of this date. During the year ended December 31, 2021, the Company recorded $1,193,000 of revenue that was included in deferred revenue as of December 31, 2020. During the year ended December 31, 2020, the Company recorded $978,000 of revenue that was included in deferred revenue as of December 31, 2019. The Company disaggregates its revenue by geographic region. See Note 15 - Segment Reporting for more information. Taxes Billed to Customers and Remitted to Taxing Authorities We recognize taxes billed to customers in revenue and taxes remitted to taxing authorities in our cost of revenue. For the years ended December 31, 2021 and 2020, we included taxes of $264,000 and $313,000, respectively, in revenue and we included taxes of $271,000 and $328,000, respectively, in cost of revenue. Impairment of Long-Lived Assets, Goodwill and Intangible Assets The Company assesses the impairment of long-lived assets used in operations, primarily fixed assets and purchased intangible assets subject to amortization when events and circumstances indicate that the carrying value of the assets might not be recoverable. For purposes of evaluating the recoverability of fixed assets and amortizing intangible assets, the undiscounted cash flows estimated to be generated by those assets are compared to the carrying amounts of those assets. If and when the carrying values of the assets exceed the undiscounted cash flows, then the related assets will be written down to fair value. For the years ended December 31, 2021 and 2020, the Company recorded asset impairment charges on property and equipment of $98,000 and $144,000, respectively, which pertained primarily to assets no longer used in the business. During the year ended December 31, 2021, the Company disposed of fixed assets of $1,092,000, the corresponding accumulated depreciation of $993,000, and received proceeds on the sale of $1,000 which resulted in a loss on disposal of $98,000. During the year ended December 31, 2020, the Company disposed of fixed assets of $3,438,000, the corresponding accumulated depreciation of $3,287,000, and proceeds on sale of $7,000 which resulted in a loss on disposal of $144,000. Goodwill. Goodwill is not amortized but is subject to periodic testing for impairment in accordance with ASC Topic 350 “ Intangibles - Goodwill and Other - Testing Indefinite-Lived Intangible Assets for Impairment” (“ASC Topic 350”). During the year ended December 31, 2020, we recorded goodwill impairment charges of $541,000. There were no impairment charges recorded for the year ended December 31, 2021. See Note 6 - Goodwill for further discussion. For the year ended December 31, 2021, the Company recorded an impairment of $207,000 on purchased intangible assets. See Note 7 - Intangible Assets for further discussion. There were no impairments to purchased intangible assets for the year ended December 31, 2020. Concentration of Credit Risk Financial instruments that potentially subject us to significant concentrations of credit risk consist principally of cash, and trade accounts receivable. We place our cash primarily in commercial checking accounts. Commercial bank balances may from time to time exceed federal insurance limits. Leases The Company primarily leases facilities for office, warehouse, and data center space under non-cancellable operating leases for its U.S. and international locations, and accounts for these leases in accordance with ASC-842. Operating lease right-of-use assets and liabilities are recognized at commencement date based on the present value of lease payments over the expected lease term. Right-of-use assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Since our lease arrangements do not provide an implicit rate, we use our estimated incremental borrowing rate for the expected remaining lease term at commencement date in determining the present value of future lease payments. Operating lease expense is recognized on a straight-line basis over the lease term. Variable lease payments are not included in the lease payments to measure the lease liability and are expensed as incurred. The Company’s leases have remaining terms of one Leases with an initial term of 12 months or less, with the exception of leases for real property, are not recognized on the balance sheet and the expense for these short-term leases is recognized on a straight-line basis over the lease term. Common area maintenance fees (or CAMs) and other charges related to leases are expensed as incurred. See Note 9 - Operating Leases and Right-of-Use Assets for further discussion of the Company’s lease activities. Property and Equipment Property and equipment are stated at cost and are depreciated over the estimated useful lives of the related assets, which range from three Income Taxes We use the asset and liability method to determine our income tax expense or benefit. Deferred tax assets and liabilities are computed based on temporary differences between the financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates that are expected to be in effect when the differences are expected to be recovered or settled. Any resulting net deferred tax assets are evaluated for recoverability and, accordingly, a valuation allowance is provided when it is more likely than not that all or some portion of the deferred tax asset will not be realized. Stock-based Compensation Stock-based awards have been accounted for as required by ASC Topic 718 “Compensation – Stock Compensation” (“ASC Topic 718”). Under ASC Topic 718 stock-based awards are valued at fair value on the date of grant, and that fair value is recognized over the requisite service period. The Company accounts for forfeitures when they occur. Research and Development Research and development expenses include internal and external costs related to developing new service offerings and features and enhancements to our existing product offerings. Treasury Stock Purchases and sales of treasury stock are accounted for using the cost method. Under this method, shares acquired are recorded at the acquisition price directly to the treasury stock account. Upon sale, the treasury stock account is reduced by the original acquisition price of the shares and any difference is recorded in additional paid in capital, on a first-in first-out basis. The Company does not recognize a gain or loss to income from the purchase and sale of treasury stock. Recent Accounting Pronouncements Recently Issued Accounting Pronouncements Credit Losses In June 2016 the FASB issued ASU 2016-13, “Financial Instruments - Credit Losses (Topic 326),” which was subsequently amended in February 2020 by ASU 2020-02, “Financial Instruments - Credit Losses (Topic 326) and Leases (Topic 842).” The amendments introduce an impairment model that is based on expected credit losses, rather than incurred losses, to estimate credit losses on certain types of financial instruments (e.g., loans and held-to-maturity securities), including certain off-balance sheet financial instruments (e.g., loan commitments). The expected credit losses should consider historical information, current information, and reasonable and supportable forecasts, including estimates of prepayments, over the contractual term. Financial instruments with similar risk characteristics may be grouped together when estimating expected credit losses. The update is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. The Company is currently evaluating the impact the new guidance will have on its consolidated financial statements. In May 2021, the FASB issued ASU 2021-04, Issuer’s Accounting for Certain Modifications or Exchanges of Freestanding Equity-Classified Written Call Options. The FASB is issuing this update to clarify and reduce diversity in an issuer’s accounting for modifications or exchanges of freestanding equity classified written call options (for example, warrants) that remain equity classified after modification or exchange. ASU 2021-04 is effective for all entities for fiscal years beginning after December 15, 2021, including interim periods within those fiscal years. An entity should apply the amendments prospectively to modifications or exchanges occurring after the effective date of the amendments. The Company does not expect this update to have a material effect on its consolidated financial statements. |
Liquidity and Going Concern
Liquidity and Going Concern | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Liquidity and Going Concern | Liquidity and Going Concern As of December 31, 2021, we had $9,000,000 of cash, consisting of $8,939,000 in available cash and $61,000 in restricted cash, and $10,258,000 of working capital. For the years ended December 31, 2021 and 2020, we incurred net losses of $9,051,000 and $7,421,000, respectively, and net cash used in operating activities was $7,732,000 and $6,566,000, respectively. Future Capital Requirements and Going Concern Our capital requirements in the future will continue to depend on numerous factors, including the timing and amount of revenue for the Company, customer renewal rates and the timing of collection of outstanding accounts receivable, in each case particularly as it relates to the Company’s major customers, the expense to deliver services, expense for sales and marketing, expense for research and development, capital expenditures. We expect to continue to invest in product development and sales and marketing expenses with the goal of growing the Company’s revenue in the future. The Company believes that, based on the its current projection of revenue, expenses, capital expenditures, and cash flows, it will not have sufficient resources to fund its operations for the next twelve months following the filing of this Report. We believe additional capital will be required to fund operations and provide growth capital including investments in technology, product development and sales and marketing. To access capital to fund operations or provide growth capital, we will need to raise capital in one or more debt and/or equity offerings. There can be no assurance that we will be successful in raising necessary capital or that any such offering will be on terms acceptable to the Company. If we are unable to raise additional capital that may be needed on terms acceptable to us, it could have a material adverse effect on the Company. The factors discussed above raise substantial doubt as to our ability to continue as a going concern. The accompanying consolidated financial statements do not include any adjustments that might result from these uncertainties. |
Inventory
Inventory | 12 Months Ended |
Dec. 31, 2021 | |
Inventory Disclosure [Abstract] | |
Inventory | Inventory Inventory was $1,821,000 and $920,000 as of December 31, 2021 and 2020, respectively, and consisted primarily of equipment related to our Mezzanine™ product offerings , including cameras, tracking hardware, computer equipment, display equipment and amounts related to our Collaboration Products segment. Inventory consists of finished goods, was determined using average costs, and was stated at the lower of cost or net realizable value. |
Prepaid Expenses and Other Curr
Prepaid Expenses and Other Current Assets | 12 Months Ended |
Dec. 31, 2021 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Prepaid Expenses and Other Current Assets | Prepaid Expenses and Other Current Assets Prepaid expenses and other current assets consisted of the following (in thousands): December 31, 2021 2020 Prepaid expenses $ 340 $ 663 Other current assets 480 28 Prepaid software licenses 261 — Prepaid expenses and other current assets $ 1,081 $ 691 |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | Property and Equipment Property and equipment consisted of the following (in thousands): December 31, Estimated Useful Life 2021 2020 Network equipment and software $ 4,665 $ 4,957 3 to 5 Years Computer equipment and software 5,070 $ 5,686 3 to 5 Years Leasehold improvements 690 $ 741 (*) Office furniture and equipment 92 $ 175 3 to 10 Years 10,517 11,559 Accumulated depreciation and amortization (10,358) (10,986) Property and equipment, net $ 159 $ 573 (*) – Amortized over the shorter period of the estimated useful life (five years) or the lease term. Related depreciation and amortization expense was $365,000 and $708,000 for the years ended December 31, 2021 and December 31, 2020, respectively. For the years ended December 31, 2021 and 2020, the Company disposed of fixed assets no longer used in the business of $1,092,000 and $3,438,000, respectively, and the corresponding accumulated depreciation of $993,000 and $3,287,000, respectively, for net disposals of $99,000 and $151,000, respectively. The Company received proceeds in relation to these disposals of $1,000 and $7,000, for the years ended December 31, 2021 and 2020, respectively resulting in losses on disposal of $98,000 and $144,000, respectively. These losses are recorded as a component of “Impairment Charges” on the Company’s consolidated Statements of Operations. |
Goodwill
Goodwill | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | Goodwill As of December 31, 2021 and 2020, goodwill was $7,367,000. This goodwill was recorded in connection with the October 1, 2019 acquisition of Oblong Industries. We test goodwill for impairment on an annual basis on September 30 th of each year, or more frequently if events occur or circumstances change indicating that the fair value of the goodwill may be below its carrying amount. The Company operates two reporting segments, as described above. To determine the fair value of each reporting unit for the goodwill impairment tests, we used a weighted average of the discounted cash flow method and market-based methods. For the Managed Services reporting unit, we recorded an impairment charge on goodwill of $541,000 at March 31, 2020, as the carrying amount of the reporting unit exceeded its fair value on the test date. This charge is recognized as a component of “Impairment Charges” on our consolidated Statements of Operations, and reduced goodwill for this reporting unit to zero. For the Collaboration Products reporting unit, the fair value of this reporting unit exceeded its carrying amount on our annual testing dates and as of December 31, 2021, therefore no impairment charges were required during the years ended December 31, 2021 and 2020. During the three months ended December 31, 2021, we considered the decline in our stock price to be a triggering event for an interim goodwill impairment test as of December 31, 2021. In the event we experience further declines in our revenue, cash flows and/or stock price, this may give rise to a triggering event that may require the Company to record additional impairment charges on goodwill. The activity in goodwill during the years ended December 31, 2021 and 2020 is shown in the following table ($ in thousands): Goodwill Managed Services Collaboration Products Total Balance January 1, 2020 $ 541 $ 7,367 $ 7,908 Impairment (541) — (541) Balance December 31, 2020 — 7,367 7,367 Balance December 31, 2021 $ — $ 7,367 $ 7,367 |
Intangible Assets
Intangible Assets | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | Intangible Assets The following table presents the components of net intangible assets (in thousands): As of December 31, 2021 As of December 31, 2020 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Managed Services Affiliate network $ 994 $ (994) $ — $ 994 $ (735) $ 259 Trademarks 548 (548) — 548 (548) — Subtotal 1,542 (1,542) — 1,542 (1,283) 259 Collaboration Products Developed technology 10,060 (4,537) 5,523 10,060 (2,520) 7,540 Trade names 2,410 (542) 1,868 2,410 (302) 2,108 Distributor relationships 310 (139) 171 310 (77) 233 Subtotal 12,780 (5,218) 7,562 12,780 (2,899) 9,881 Total $ 14,322 $ (6,760) $ 7,562 $ 14,322 $ (4,182) $ 10,140 At each reporting period, we determine if there was a triggering event that may result in an impairment of our intangible assets. Collaboration Products Reportable Segment During the year ended December 31, 2021, we considered the decline in revenue for Collaboration Products to be a triggering event for a recoverability test of intangible assets for this reporting unit. Based on the corresponding recoverability tests of Collaboration Products’ intangible assets, we determined no impairment charges were required for the year ended December 31, 2021. Managed Services Reportable Segment During the year ended December 31, 2021, our Managed Services segment stopped offering video meeting suites (“VMS”) services. VMS services were a component of our video collaboration services revenue stream and contributed to the cash flows relating to the affiliate network intangible asset. During the year ended December 31, 2021, we identified the cessation of our VMS services to be a triggering event for a recoverability test of the affiliate network intangible asset. Based on the corresponding recoverability test, we deemed the affiliate network intangible asset to have no remaining value. Therefore, we recorded an impairment charge of $207,000 for the year ended December 31, 2021. Intangible assets with finite lives are amortized using the straight-line method over the estimated economic lives of the assets, which range from five years to twelve years in accordance with ASC Topic 350. The average lives for the components of intangible assets are as follows: Collaboration Products Life Developed technology 5 years Trade names 10 years Distributor relationships 5 years Related amortization expense was $2,371,000 and $2,432,000 for the years ended December 31, 2021 and 2020, respectively. Amortization expense for each of the next five succeeding years will be as follows (in thousands): 2022 $ 2,317 2023 2,309 2024 1,792 2025 241 2026 241 Thereafter 662 Total $ 7,562 |
Accrued Expenses and Other Curr
Accrued Expenses and Other Current Liabilities | 12 Months Ended |
Dec. 31, 2021 | |
Payables and Accruals [Abstract] | |
Accrued Expenses and Other Current Liabilities | Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consisted of the following (in thousands): December 31, 2021 2020 Compensation costs $ 551 $ 411 Taxes and regulatory fees 92 137 Customer deposits 145 127 Professional fees 69 236 Accrued dividends on Series A-2 Preferred Stock — 4 Other accrued expenses and liabilities 102 286 $ 959 $ 1,201 |
Operating Leases and Right-of-U
Operating Leases and Right-of-Use Assets | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Operating Leases and Right-of-Use Assets | Operating Leases and Right-of-Use Assets We lease three facilities in Los Angeles, California, one facility in Dallas, Texas, and one facility in Austin, Texas, all providing office space. We also lease a facility in City of Industry, California, providing warehouse space. These leases expire between 2022 and 2024. During 2021, and through the date of this filing, we exited leases in Munich, Germany; Los Altos, California, and Boston, Massachusetts. Although subject to COVID restrictions, we currently occupy two of the facilities in Los Angeles and the warehouse space in City of Industry; we have subleases in place for the third Los Angeles property and the Dallas property. With the exception of these spaces described above, we currently operate out of remote employment sites with a remote office located at 25587 Conifer Road, Suite 105-231, Conifer, Colorado 80433. Lease expenses, net of common charges and sublet proceeds, for the years ended December 31, 2021 and 2020 were $778,000 and $997,000, respectively. The following provides balance sheet information related to leases as of December 31, 2021 and 2020 (in thousands): December 31, 2021 2020 Assets Operating lease, right-of-use asset, net $ 659 $ 903 Liabilities Current portion of operating lease liabilities $ 492 $ 830 Operating lease liabilities, net of current portion 236 602 Total operating lease liabilities $ 728 $ 1,432 The following table summarizes the future undiscounted cash payments reconciled to the lease liability (in thousands): Year Ending December 31, 2022 $ 519 2023 225 2024 17 Total lease payments $ 761 Effect of discounting (33) Total lease liability $ 728 During the year ended December 31, 2021, we entered into one new operating lease, modified one operating lease, and terminated two operating leases. During the year ended December 31, 2020, the Company entered into one new operating lease, terminated six operating leases, and recorded aggregate impairment charges of $465,000 on two right-of-use assets. The following table provides a reconciliation of activity for our right-of-use (“ROU”) assets and lease liabilities (in thousands): Right-of-Use Asset Operating Lease Liability Balance at December 31, 2019 $ 3,117 $ 3,314 Additions 116 116 Terminations and Modifications (864) (860) Amortizations and Reductions (1,001) (1,138) Impairment Charges (465) — Balance at December 31, 2020 903 1,432 Additions 60 60 Terminations and Modifications 192 156 Amortizations and Reductions (496) (920) Balance at December 31, 2021 $ 659 $ 728 The ROU assets and lease liabilities are recorded on the Company’s consolidated balance sheets as of December 31, 2021 and December 31, 2020. During the December 31, 2021, the Company entered into one new lease, in Austin Texas, for office space. The new lease commenced in December 2021, has rent payments commencing on February 1, 2022, and has a term of 12 months. The new lease resulted in an addition to ROU Assets, and corresponding increase to lease liability, of $60,000. During the year ended December 31, 2021, the Company exited two of its leases, one in Los Altos, California and one in Munich, Germany. The Los Altos lease expired in the first quarter of 2021, and the Company elected to not renew the lease, and the Munich lease was exited in second quarter 2021, when the Company negotiated early termination of the lease. In June 2021, the Company entered into a settlement agreement with the landlord of our Munich, Germany office space to exit the lease early in exchange for €125,000. At the time of the settlement, the remaining liability was €316,000, resulting in a |
Debt
Debt | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Debt | Debt Debt consisted of the following (in thousands): December 31, 2021 2020 PPP Loan Principal $ — $ 2,417,000 Less: current portion of long-term debt — 2,014,000 Long-term debt, net of current portion $ — $ 403,000 Paycheck Protection Program Loan On April 10, 2020 (the “Origination Date”), the Company received $2,417,000 in aggregate loan proceeds (the “PPP Loan”) from MidFirst Bank (the “Lender”) pursuant to the Paycheck Protection Program (“PPP”) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The PPP Loan was evidenced by a Promissory Note (the “Note”), dated April 10, 2020, by and between the Company and the Lender. Subject to the terms of the Note, the PPP Loan bore interest at a fixed rate of one percent (1.0%) per annum. The PPP Loan was unsecured and guaranteed by the U.S. Small Business Administration. The PPP provided for forgiveness of up to the full amount borrowed as long as the Company uses the loan proceeds disbursement for eligible purposes as described in the CARES Act and related guidance. On July 28, 2021, the Company received notice that the PPP Loan had been forgiven in its entirety. As of December 31, 2020, the Company accounted for payments that are due within 12 months of the balance sheet date as current liabilities and payments due thereafter as non-current liabilities. As of December 31, 2021, there is no remaining principal balance or accrued interest on the Note due to the forgiveness of the Note. The Company recognized a gain on debt extinguishment of $2,448,000 during the year ended December 31, 2021, comprised of $2,417,000 of Note principal and $31,000 of accrued interest as of the date of forgiveness. This gain is recorded as a “Gain on extinguishment of debt” in our consolidated Statement of Operations. |
Capital Stock
Capital Stock | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Capital Stock | Capital Stock Common Stock On February 11, 2021, the Company, acting pursuant to authorization from its Board of Directors, determined to voluntarily withdraw the listing of the Company’s common stock, par value $0.0001 per share (the “Common Stock”), from the NYSE American Stock Exchange (the “NYSE American”) and transfer such listing to The Nasdaq Capital Market (“Nasdaq”). The Company’s listing and trading of its Common Stock on the NYSE American ended at market close on February 11, 2021, and trading began on Nasdaq at market open on February 12, 2021, and is continuing to trade under the ticker symbol “OBLG”. As of December 31, 2021 we had 150,000,000 shares of our $0.0001 par value Common Stock authorized, with 30,929,331 and 30,816,048 shares of issued and outstanding, respectively. The following table provides a summary of Common Stock activity for the years ended December 31, 2021 and 2020 (in thousands): Issued Shares as of December 31, 2019 5,267 Less Treasury Shares: 105 Outstanding Shares as of December 31, 2019 5,162 Issuances from Private Placements 2,293 Issuances from Preferred Stock Conversions 158 Issuances related to Warrants 72 Issuances related to Stock Compensation 31 Forfeitures of Restricted Stock Awards (9) Issuance of shares for fees 50 Issued Shares as of December 31, 2020 7,862 Less Treasury Shares: 113 Outstanding Shares as of December 31, 2020 7,749 Issuances from Private Placements 4,000 Issuances from Preferred Stock Conversions 18,846 Issuances related to Stock Compensation 200 Issuance of shares for fees 21 Issued Shares as of December 31, 2021 30,929 Less Treasury Shares: 113 Outstanding Shares as of December 31, 2021 30,816 During the years ended December 31, 2021 and 2020, 18,846,411 and 158,333 shares of the Company’s Common stock were issued in relation to preferred stock conversions, respectively, and 200,000 and 30,834 shares were issued as stock-based compensation, respectively. See Note 12 - Preferred Stock and Note 13 - Stock Based Compensation for further information. Issuance for Professional Service Fees On December 10, 2020, the Company issued 50,000 shares of Common Stock as payment for services, with a fair value equal to $348,000, related to a financial advisory agreement entered into on December 1, 2020. On January 21, 2021, the Company issued 21,008 shares of Common Stock as payment for services, with a fair value equal to $100,000, related to a financial advisory agreement entered into on January 15, 2021. During the years ended December 31, 2021 and 2020, the Company recorded stock-based professional services expense of $390,000 and $58,000, respectively, relating to the issuance of the shares above, which is included as a component of general and administrative expense in the accompanying consolidated Statements of Operations. Issuance Pursuant to Equity Financing On June 30, 2021, the Company closed on a concurrent public offering of 4,000,000 shares of Common Stock, Series A Warrants to purchase 1,000,000 shares of the Company’s Common Stock at an exercise price of $4.00 per share, and private placement of Series B Warrants to purchase 3,000,000 shares of common stock at an exercise price of $4.40 per share for gross proceeds of $12,400,000. Issuance costs for this transaction were $896,000, resulting in net proceeds of $11,504,000. Warrants On October 21, 2020, the Company issued warrants to purchase up to 521,500 shares of Common Stock pursuant to a securities purchase agreement with certain accredited investors. The Warrants have a term of 2 years, are initially exercisable at $4.08 per share and are subject to cashless exercise if, at the time of exercise, the Warrant Shares are not subject to an effective resale registration statement. The Warrants are also subject to adjustment in the event of (i) stock splits and dividends, (ii) subsequent rights offerings, (iii) pro-rata distributions, and (iv) certain fundamental transactions, including but not limited to the sale of the Company, business combinations, and reorganizations. The Warrants do not have any price protection or price reset provisions with respect to future issuances of securities. The fair value of the Warrants was recorded to additional paid-in capital during the year ended December 31, 2020. As of December 31, 2021, no warrants had been exercised. On December 6, 2020, the Company issued warrants to purchase up to 625,000 shares of Common Stock pursuant to a securities purchase agreement with certain accredited investors. The Warrants have a term of 2 years, are initially exercisable at $5.49 per share and are subject to cashless exercise if, at the time of exercise, the Warrant Shares are not subject to an effective resale registration statement. The Warrants are also subject to adjustment in the event of (i) stock splits and dividends, (ii) subsequent rights offerings, (iii) pro-rata distributions, and (iv) certain fundamental transactions, including but not limited to the sale of the Company, business combinations, and reorganizations. The Warrants do not have any price protection or price reset provisions with respect to future issuances of securities. The fair value of the Warrants was recorded to additional paid-in capital during the year ended December 31, 2020. As of December 31, 2021, no warrants had been exercised. On June 30, 2021, the Company issued Series A Warrants to purchase up to 1,000,000 shares of Common Stock, and Series B Warrants to purchase up to 3,000,000 shares of Common Stock, pursuant to a securities purchase agreement with certain accredited investors. The Series A Warrants had an original term of 6 months and are initially exercisable at $4.00 per share. The Series B Warrants have a term of 3 years, commencing six months and one day from the date of issuance, and are initially exercisable at $4.40 per share. All of the warrants are subject to cashless exercise if, at the time of exercise, the Warrant Shares are not subject to an effective resale registration statement. The Warrants are also subject to adjustment in the event of (i) stock splits and dividends, (ii) subsequent rights offerings, (iii) pro-rata distributions, and (iv) certain fundamental transactions, including but not limited to the sale of the Company, business combinations, and reorganizations. The Warrants do not have any price protection or price reset provisions with respect to future issuances of securities. The fair value of the Series A and B Warrants was recorded to additional paid-in capital during the year ended December 31, 2021. As of December 31, 2021, no warrants had been exercised. On December 31, 2021, the Company agreed with all the holders of Series A Warrants to amend the terms of the Series A Warrants to extend the Termination Date from January 4, 2022 to January 4, 2023. All other terms of the Series A Warrants will remain in full force and effect. The modification resulted in an incremental value adjustment, and deemed dividend, of $37,000, which was recorded to additional paid in capital on December 31, 2021. Warrant activity for the years ended December 31, 2021 and 2020 is presented below: Outstanding Number of Warrants Weighted Average Exercise Price Warrants outstanding and exercisable, December 31, 2019 72,238 0.01 Granted 1,146,500 4.85 Exercised (72,238) 0.01 Warrants outstanding and exercisable, December 31, 2020 1,146,500 $ 4.85 Granted 4,000,000 $ 4.30 Warrants outstanding and exercisable, December 31, 2021 5,146,500 $ 4.85 Treasury Shares The Company maintains Treasury Stock for the Common Stock shares bought back by the Company when withholding shares to cover taxes on Stock Compensation transactions, or when purchasing shares related to the Stock Repurchase Program discussed below. The following table shows the activity for Treasury Stock during the years ended December 31, 2021 and 2020 (in thousands): Shares Value Treasury Shares as of December 31, 2019 105 $ (165) Purchases to cover stock compensation taxes 8 $ (16) Treasury Shares as of December 31, 2020 113 $ (181) Treasury Shares as of December 31, 2021 113 $ (181) |
Preferred Stock
Preferred Stock | 12 Months Ended |
Dec. 31, 2021 | |
Preferred Stock, Number of Shares, Par Value and Other Disclosures [Abstract] | |
Preferred Stock | Preferred Stock Our Certificate of Incorporation authorizes the issuance of up to 5,000,000 shares of preferred stock. As of December 31, 2021 we had 1,938,250 designated shares of preferred stock and no shares of preferred stock issued and outstanding. As of December 31, 2020, we had 1,829,582 shares of preferred stock outstanding. Series A-2 Preferred Stock As of December 31, 2020, there were 45 shares of Series A-2 Preferred Stock issued and outstanding. Each share of Series A-2 Preferred Stock had a stated value of $7,500 per share (the “A-2 Stated Value”), a liquidation preference equal to the Series A-2 Stated Value, and was convertible at the holder’s election into common stock at a conversion price per share of $16.11. Therefore, each share of Series A-2 Preferred Stock was convertible into 466 shares of common stock, for an aggregate of 20,954 shares of common stock. The Series A-2 Preferred Stock was senior to all outstanding classes of the Company’s equity and was entitled to cumulative dividends at a rate of 5.0% per annum. As of December 31, 2020, the Company had recorded $4,000 in accrued dividends on the accompanying consolidated Balance Sheets related to the Series A-2 Preferred Stock outstanding. During the year ended December 31, 2021, an additional $1,000 dividend was recorded. On January 28, 2021, the Company entered into an agreement with the holder of the Series A-2 Preferred Stock to convert the stated value of all outstanding shares of the Series A-2 Preferred Stock, 45 shares, into 84,292 shares of the Company’s common stock, at a negotiated conversion price of $4.00 per share, after taking into consideration accrued and unpaid dividends. The incremental cost of inducing the conversion was approximately $300,000 and was treated similar to a preferred dividend, increasing the net loss attributable to common stockholders. Series D and E Preferred Stock In connection with the Oblong Industries acquisition, the Company issued an aggregate of 1,686,659 shares of Series D Preferred Stock and an aggregate of 49,967 restricted shares of Series D Preferred Stock (“Restricted Series D Preferred Stock”), the latter of which were subject to vesting over a two-year period following the Closing Date. Pursuant to the terms of the Series D Certificate of Designations, each share of Series D Preferred Stock was entitled to receive an annual dividend equal to 6% of its then-existing Accrued Value per annum, commencing on the first anniversary of the issuance of the Series D Preferred Stock (or October 1, 2020). Prior to the first anniversary of the issuance of the Series D Preferred Stock no dividends will accrue on such stock. Dividends were cumulative and accrued daily in arrears. The accrued value of the Series D Preferred Stock was increased by the amount of such dividends from October 1, 2020 through the date of conversion as described below. During the years ended December 31, 2021 and 2020, 81 and 28,618 of Restricted Series D Preferred Stock were forfeited, respectively, and, in 2021, 855 shares of Series D Preferred Stock were surrendered to cover the taxes on vesting shares. On October 1, 2019, Oblong entered into a Series E Preferred Stock Purchase Agreement relating to the offer and sale by the Company of up to 131,579 shares of Series E Preferred Stock at a price of $28.50 per share. The Company sold a total of 131,579 shares of Series E Preferred Stock for net proceeds of approximately $3,750,000. The 131,579 shares of Series E Preferred Stock had an aggregate Accrued Value of $3,750,000 and upon their conversion would convert at a conversion price of $2.85 per share into 1,315,790 common shares. Pursuant to the terms of the Series E Certificate of Designations, each share of Series E Preferred Stock was entitled to receive an annual dividend equal to 6.0% of its then-existing Accrued Value per annum, commencing on the first anniversary of the issuance of the Series E Preferred Stock (or October 1, 2020 or December 18, 2020, as applicable). Prior to the first anniversary of the issuance of the Series E Preferred Stock no dividends accrued on such stock. Dividends were cumulative and accrue daily in arrears. The accrued value of the Series E Preferred Stock was increased by the amount of such dividends from October 1, 2020 through the date of conversion as described below. The terms of the Company’s Series D and Series E Preferred Stock provided that such shares were automatically convertible into a number of shares of the Company’s Common Stock equal to the accrued value of the preferred shares (initially $28.50), plus any accrued dividends thereon, divided by the conversion price (initially $2.85 per share, subject to specified adjustments) upon the completion of both (i) approval of such conversion by the Company’s stockholders entitled to vote thereon (which occurred on December 19, 2019); and (ii) the receipt of all required authorizations and approval of a new listing application for the Company following the Company’s October 2019 acquisition of Oblong Industries, Inc. from the NYSE American or any such other exchange upon which the Company’s securities are then listed for trading. The Company determined that this conversion condition was completed in its entirety, and the Series D and E Preferred Stock automatically converted to shares of Common Stock pursuant to their terms, effective upon the commencement of trading of the Company’s Common Stock on Nasdaq as described above, on February 12, 2021. As of the date of conversion, the Company had 1,697,022 shares of Series D Preferred Stock and 131,579 shares of Series E Preferred Stock outstanding, respectively. The outstanding shares of Series D and Series E Preferred stock were converted into 17,416,939 and 1,345,180 shares of Common Stock, respectively, after taking into consideration all accrued and unpaid dividends. Following the conversion of the Series A-2, Series D, and Series E Preferred Stock, the Company no longer has shares of Preferred Stock issued and outstanding. |
Stock Based Compensation
Stock Based Compensation | 12 Months Ended |
Dec. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |
Stock Based Compensation | Stock Based Compensation 2019 Equity Incentive Plan On December 19, 2019, the Oblong, Inc. 2019 Equity Incentive Plan (the “2019 Plan”) was approved by the Company’s stockholders at the Company’s 2019 Annual Meeting of Stockholders. The 2019 Plan is an omnibus equity incentive plan pursuant to which the Company may grant equity and cash incentive awards to certain key service providers of the Company and its subsidiaries. As of December 31, 2021, the share pool available for new grants under the 2019 Plan is 2,513,500. Shares Issued During the year ended December 31, 2020, the Company issued 7,500 shares under the 2019 Plan to a former Board member and recorded stock-based compensation expense of $35,000 in general and administrative expenses (based on the stock price on the date of issuance). Stock Options On June 28, 2021, the Company granted 300,000 stock options to certain employees. These options have a term of 10 years, vest equally over 3 years, 1/3 upon each anniversary of the grant date, and have an exercise price of $3.25 per share. Using the Black-Scholes option pricing model, the options were determined to have a fair value of $744,000 which is being expensed ratably over the vesting term. No stock options were granted during the year ended December 31, 2020. The fair value of each stock option granted was estimated using the following assumptions: June 28, 2021 Risk free interest rate 0.47% Expected option lives 3 years Expected volatility 1.36 Estimated forfeiture rate — Expected dividend yields — Weighted average grant date fair value of options $2.48 A summary of stock options expired and forfeited under our plans and options outstanding as of, and changes made during, the years ended December 31, 2021 and 2020 is presented below: Outstanding Exercisable Number of Options Weighted Average Exercise Price Number of Options Weighted Average Exercise Price Options outstanding and exercisable, December 31, 2019 215,345 $ 12.27 215,345 $ 12.27 Expired (107,845) 4.92 Options outstanding and exercisable, December 31, 2020 107,500 19.64 107,500 19.64 Granted 300,000 3.25 Options outstanding and exercisable, December 31, 2021 407,500 $ 7.57 107,500 $ 19.64 Additional information as of December 31, 2021 is as follows: Outstanding Exercisable Exercisable Range of price Number Weighted Weighted Number Weighted $0.00 – $10.00 302,500 9.43 $ 3.30 2,500 $ 9.00 $10.01 – $20.00 97,500 1.06 19.32 97,500 19.32 $20.01 – $30.00 2,500 0.43 21.80 2,500 21.80 $30.01 – $40.00 5,000 0.19 30.20 5,000 30.20 407,500 7.26 $ 7.57 107,500 $ 19.64 The intrinsic value of vested options, unvested options and exercised options were not significant for all periods presented. There was $126,000 stock compensation expense, recorded as a component of Research and Development and General and Administrative expense, related to stock options for the year ended December 31, 2021, and $618,000 remaining as unrecognized stock-based compensation expense for options as of December 31, 2021 which will be recognized over a weighted average period of 2.5 years. There was no recognized or unrecognized stock-based compensation expense for options for the year ended and as of December 31, 2020. Restricted Stock Awards As of December 31, 2021 and 2020, there were 627 unvested restricted stock awards outstanding, with a weighted average grant date price of $15.80. The awards were issued in 2014 and vest over the lesser of ten years, a change in control, or separation from the company. Due to the variability of the vesting, the expense was amortized over an average service period of five years; therefore, there is no stock-based compensation expense for restricted stock awards for the years ended December 31, 2021 and 2020. Restricted Stock Units On August 18, 2021, the Company granted 200,000 restricted stock units (“RSUs”) to certain board members. These RSUs vested immediately upon issuance. The price per share of the Company’s common stock was $2.19 on the grant date, resulting in a total fair value of $438,000 which was included in general and administrative expense, as stock-based compensation expense, upon issuance. No RSUs were granted during the year ended December 31, 2020 and $5,000 of stock compensation expense was recorded for existing RSUs for the year ended December 31, 2020. There was no remaining unrecognized stock-based compensation expense for RSUs at December 31, 2021. As of December 31, 2021, there were no unvested restricted stock units (“RSUs”) outstanding and 28,904 vested RSUs remain outstanding as shares of common stock have not yet been delivered for these units in accordance with the terms of the RSUs. Restricted Series D Preferred Stock In connection with the acquisition of Oblong Industries, all options to purchase shares of Oblong Industries’ common stock held by existing employees of Oblong Industries were canceled and exchanged for an aggregate of 49,967 restricted shares of Series D Preferred Stock (“Restricted Series D Preferred Stock”), which were subject to vesting over a two-year period following the Closing Date. This vesting period and compensation expense were accelerated, in February 2021, when the Restricted Series D shares were converted to shares of Common Stock. Refer to Note 12 - Preferred Stock for discussion on the conversion of the Series D Restricted Preferred Stock. Stock-based compensation expense relating to Restricted Series D Preferred Stock is allocated as follows (in thousands): Year Ended December 31, 2021 2020 Research and development $ 17 $ 47 Sales, general and administrative 16 111 $ 33 $ 158 |
Net Loss Per Share
Net Loss Per Share | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share | Net Loss Per Share Basic net loss per share is computed by dividing net loss attributable to common stockholders by the weighted-average number of shares of common stock outstanding during the period. The weighted-average number of shares of common stock outstanding does not include any potentially dilutive securities or any unvested restricted shares of common stock. These unvested restricted shares, although classified as issued and outstanding at December 31, 2021 and December 31, 2020, are considered contingently returnable until the restrictions lapse and will not be included in the basic net loss per share calculation until the shares are vested. Unvested shares of our restricted stock do not contain non-forfeitable rights to dividends and dividend equivalents. Vested RSUs (for which shares of common stock have not yet been delivered) are included in the calculations of basic net loss per share. Unvested RSUs are not included in calculations of basic net loss per share, as they are not considered issued and outstanding at time of grant. Diluted net loss per share is computed by giving effect to all potential shares of common stock, including warrants, stock options, preferred stock, RSUs, and unvested restricted stock awards, to the extent they are dilutive. For the year ended December 31, 2021, all such common stock equivalents have been excluded from diluted net loss per share as the effect to net loss per share would be anti-dilutive (due to the net losses). The following table sets forth the computation of the Company’s basic and diluted net loss per share (in thousands, except per share data): Year Ended December 31, Numerator: 2021 2020 Net loss $ (9,051) $ (7,421) Less: preferred stock dividends 1 17 Less: undeclared dividends 366 788 Less: conversion inducement 300 — Less: warrant modification 37 — Net loss attributable to common stockholders $ (9,755) $ (8,226) Denominator: Weighted-average number of shares of common stock for basic net loss per share 26,567 5,547 Basic and diluted net loss per share $ (0.37) $ (1.48) The weighted-average number of shares, for the years ended December 31, 2021 and 2020, includes 28,904 shares of vested RSUs, as discussed in Note 13 - Stock Based Compensation . The following table represents the potential shares that were excluded from the computation of weighted-average number of shares of common stock in computing the diluted net loss per share for the periods presented because including them would have had an anti-dilutive effect: Year Ended December 31, 2021 2020 Outstanding stock options 407,500 107,500 Unvested restricted stock awards 627 627 Shares of common stock issuable upon conversion of Series A-2 preferred stock — 18,161 Shares of common stock issuable upon conversion of Series D preferred stock — 17,020,100 Shares of common stock issuable upon conversion of Series E preferred stock — 1,315,790 Warrants 5,146,500 1,146,500 |
Segment Reporting
Segment Reporting | 12 Months Ended |
Dec. 31, 2021 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment Reporting Effective October 1, 2019, the former businesses of Glowpoint (now Oblong, Inc.) and Oblong Industries have been managed separately, and involve different products and services. Accordingly, the Company currently operates in two segments for purposes of segment reporting: (1) “Collaboration Products” which represents the Oblong Industries business surrounding our Mezzanine™ product offerings and (2) “Managed Services” which represents the Oblong (formerly Glowpoint) business surrounding managed services for video collaboration and network solutions. Certain information concerning the Company’s segments for the years ended December 31, 2021 and 2020 is presented in the following tables (in thousands): For the Year Ended December 31, 2021 Managed Services Collaboration Products Corporate Total Revenue $ 4,270 $ 3,469 $ — $ 7,739 Cost of revenues 2,991 2,030 — 5,021 Gross profit $ 1,279 $ 1,439 $ — $ 2,718 Gross profit % 30.0 % 41.5 % — % 35.1 % Allocated operating expenses $ 593 $ 7,556 $ — $ 8,149 Unallocated operating expenses — — 6,363 6,363 Total operating expenses $ 593 $ 7,556 $ 6,363 $ 14,512 Income (loss) from operations $ 686 $ (6,117) $ (6,363) $ (11,794) Interest and other income (expense), net (22) 227 2,448 2,653 Income (loss) before income taxes $ 664 $ (5,890) $ (3,915) $ (9,141) Income tax expense $ (15) $ (75) $ — $ (90) Net income (loss) $ 679 $ (5,815) $ (3,915) $ (9,051) As of December 31, 2021 Total assets $ 9,259 $ 19,348 $ — $ 28,607 For the Year Ended December 31, 2020 Managed Services Collaboration Products Corporate Total Revenue $ 6,227 $ 9,106 $ — $ 15,333 Cost of revenues 3,789 3,491 — 7,280 Gross profit $ 2,438 $ 5,615 $ — $ 8,053 Gross profit % 39.2 % 61.7 % — % 52.5 % Allocated operating expenses $ 1,479 $ 9,913 $ — $ 11,392 Unallocated operating expenses — — 6,725 6,725 Total operating expenses $ 1,479 $ 9,913 $ 6,725 $ 18,117 Income (loss) from operations $ 959 $ (4,298) $ (6,725) $ (10,064) Interest and other income (expense), net (19) 2,765 — 2,746 Income (loss) before income taxes $ 940 $ (1,533) $ (6,725) $ (7,318) Income tax expense $ 50 $ 53 $ — $ 103 Net income (loss) $ 890 $ (1,586) $ (6,725) $ (7,421) As of December 31, 2020 Total assets $ 6,494 $ 22,649 $ — $ 29,143 Unallocated operating expenses include costs for the year ending December 31, 2021 that are not specific to a particular segment but are general to the group; included are expenses incurred for administrative and accounting staff, general liability and other insurance, professional fees and other similar corporate expenses. For the years ended December 31, 2021 and 2020, there was no material revenue attributable to any individual foreign country. Approximately 1% of foreign revenue is billed in foreign currency and foreign currency gains and losses are not material. Revenue by geographic area is allocated as follows (in thousands): Year Ended December 31, 2021 2020 Domestic $ 4,615 $ 10,288 Foreign 3,124 5,045 $ 7,739 $ 15,333 Disaggregated information for the Company’s revenue has been recognized in the accompanying consolidated statements of operations and is presented below according to contract type (dollars in thousands): Year ended December 31, 2021 % of Revenue 2020 % of Revenue Revenue: Managed Services Video collaboration services $ 854 11.0 % $ 2,413 15.7 % Network services 3,347 43.2 % 3,611 23.6 % Professional and other services 69 0.9 % 203 1.3 % Total Managed Services revenue $ 4,270 55.2 % $ 6,227 40.6 % Revenue: Collaboration Products Visual collaboration product offerings $ 3,367 43.5 % $ 6,873 44.8 % Professional services — — % 1,033 6.7 % Licensing 102 1.3 % 1,200 7.8 % Total Collaboration Products revenue $ 3,469 44.8 % $ 9,106 59.4 % Total revenue $ 7,739 100.0 % $ 15,333 100.0 % The Company’s long-lived assets were 100% located in domestic markets as of December 31, 2021 and 2020. The Company considers a significant customer to be one that comprises more than 10% of the Company’s consolidated revenues or accounts receivable. The loss of or a reduction in sales or anticipated sales to our most significant or several of our smaller customers could have a material adverse effect on our business, financial condition and results of operations. Concentration of revenues was as follows: Year Ended December 31, 2021 2020 Segment % of Revenue % of Revenue Customer A Managed Services 34.7 % 17.0 % Customer B Collaboration Products — % 17.0 % Concentration of accounts receivable was as follows: As of December 31, 2021 2020 Segment % of Accounts Receivable % of Accounts Receivable Customer A Managed Services 24.9 % 14.1 % Customer B Collaboration Products — % 20.1 % Customer C Collaboration Products — % 12.0 % Customer D Collaboration Products 20.1 % — % Customer E Collaboration Products 18.2 % — % |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and ContingenciesFrom time to time, we are subject to various legal proceedings arising in the ordinary course of business, including proceedings for which we have insurance coverage. As of the date hereof, we are not party to any legal proceedings that we currently believe will have a material adverse effect on our business, financial position, results of operations or liquidity.COVID-19On March 11, 2020, the World Health Organization announced that infections of the novel Coronavirus (COVID-19) had become pandemic, and on March 13, 2020, the U.S. President announced a National Emergency relating to the disease. There is a possibility of continued widespread infection in the United States and abroad, with the potential for catastrophic impact. National, state and local authorities have required or recommended social distancing and imposed or are considering quarantine and isolation measures on large portions of the population, including mandatory business closures. These measures, while intended to protect human life, are expected to have serious adverse impacts on domestic and foreign economies of uncertain severity and duration. The sweeping nature of the coronavirus pandemic makes it extremely difficult to predict how the Company’s business and operations will be affected in the longer run. The COVID-19 pandemic has materially affected our revenue and results of operations for the years ended December 31, 2021 and 2020. The decreases in our revenue are primarily attributable to the effects of the global pandemic on our channel partners and customers as they evaluate how and when to re-open their commercial real estate footprints. The Company’s results reflect the challenges due to long and unpredictable sales cycles, delays in customer retrofit budgets, project starts, and supply delayed orders in our distribution channels as a direct result of customer implementation schedules shifting due to the COVID-19 pandemic. The COVID-19 pandemic in particular has, and may continue to have, a significant economic and business impact on our Company. During 2021 and 2020, we have seen a continuing weakness in revenue as our customers across all sectors delayed order placements in reaction to the ongoing impacts of the COVID-19 pandemic that caused our customers to suspend or postpone real estate retrofit projects due to budget and occupancy uncertainties. We continue to monitor the impact of the COVID-19 pandemic on our customers, suppliers and logistics providers, and to evaluate governmental actions being taken to curtail and respond to the spread of the virus. The significance and duration of the ongoing impact on us is still uncertain. Material adverse effects of the COVID-19 pandemic on market drivers, our customers, suppliers or logistics providers could significantly impact our operating results. We will continue to actively follow, assess and analyze the ongoing impact of the COVID-19 pandemic and adjust our organizational structure, strategies, plans and processes to respond. Because the situation continues to evolve, we cannot reasonably estimate the ultimate impact to our business, results of operations, cash flows and financial position that the COVID-19 pandemic may have. Continuation of the COVID-19 pandemic and government actions in response thereto could cause further disruptions to our operations and the operations of our customers, suppliers and logistics partners and could significantly adversely affect our near-term and long-term revenues, earnings, liquidity and cash flows. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The following table sets forth pretax book loss (in thousands): Year Ended December 31, 2021 2020 United States $ (9,340) $ (7,570) Foreign 199 252 Total $ (9,141) $ (7,318) The following table sets forth income before taxes and the income tax expense for the years ended December 31, 2021 and 2020 (in thousands): Year Ended December 31, 2021 2020 Current: Federal $ — $ — Foreign (75) 53 State (15) 50 Total current (90) 103 Total deferred — — Income tax (benefit) expense $ (90) $ 103 Our effective tax rate differs from the statutory federal tax rate for the years ended December 31, 2021 and 2020 as shown in the following table (in thousands): Year Ended December 31, 2021 2020 U.S. federal income taxes at the statutory rate $ (1,919) $ (1,533) State taxes, net of federal effects (464) (122) UK Anti-Hybrid expense addback (1,837) 289 Transaction costs — — Goodwill impairment — 114 Section 382 Limitation — — Adjustment to NOL Benefit 20 4,640 NOL Carryforward Adjustment for Expired NOLs 78 84 Stock Compensation Plan Adjustments (38) 272 Change in state apportionment rate (10) (350) Change in valuation allowance 4,662 (3,868) Research and development credit — 546 True up of prior year foreign tax expense (108) — Other 22 31 Income tax (benefit) expense $ (90) $ 103 The tax effect of the temporary differences that give rise to significant portions of the deferred tax assets and liabilities as of December 31, 2021 and 2020 is presented below (in thousands): December 31, 2021 2020 Deferred tax assets (liabilities): Tax benefit of operating loss carry forward - Federal $ 26,902 $ 23,184 Tax benefit of operating loss carry forward - State 6,225 5,548 Accrued expenses 88 141 Deferred revenue 287 417 Stock-based compensation 449 396 Fixed assets 287 329 Goodwill 102 167 Inventory 197 47 Intangible amortization (1,777) (2,285) R&D credit 2,154 2,154 Texas margin tax temporary credit 139 159 Other 62 285 Total deferred tax asset, net $ 35,220 $ 30,542 Valuation allowance (35,220) (30,542) Net deferred tax liability $ — $ — The ending balances of the deferred tax asset have been fully reserved, reflecting the uncertainties as to realizability evidenced by the Company’s historical results. The change in valuation allowance for the year ended December 31, 2021 is an increase of $4,678,000 resulting from current year tax loss and adjustment to NOL carryforward. The change in valuation allowance for the year ended December 31, 2020 was a decrease of $4,005,000. We and our subsidiary file federal and state tax returns on a consolidated basis. On October 1, 2019 Oblong, Inc. acquired the stock of Oblong Industries Inc. that resulted in Oblong Industries Inc.'s shareholders now owning 75% of Oblong, Inc. Therefore, an “ownership change” occurred on this date (as defined under Section 382 of the Internal Revenue Code of 1986, as amended), which places an annual limitation on the utilization of the net operating loss (“NOL”) carryforwards accumulated before the ownership change. If additional ownership changes occur in the future, the use of the net operating loss carryforwards could be subject to further limitation. As a result of this annual limitation and the limited carryforward life of the accumulated NOLs, we determined that the 2019 ownership change resulted in the permanent loss of approximately $30,880,000 of tax NOL carryforwards. At December 31, 2020, we had federal net operating loss carryforwards of $110,401,000 available to offset future federal taxable income, after Section 382 limitation considerations. Of this amount, $76,500,000 were pre-2018 NOL Carryforwards which expire in various amounts from 2022 through 2037. At December 31, 2021, we had federal net operating loss carryforwards of $128,104,000 available to offset future federal taxable income, after section 382 limitation considerations. Of this amount, $76,165,000 are pre-2018 NOL carryforwards which expire in various amounts from 2022 through 2037. As of December 31, 2021 and 2020, the Company also has various state net operating loss carryforwards of $114,696,000 and $94,223,000, respectively. The determination of the state net operating loss carryforwards is dependent upon apportionment percentages and state laws that can change, from year to year and impact the amount of such carryforwards. There were no significant matters determined to be unrecognized tax benefits taken or expected to be taken in a tax return, in accordance with ASC Topic 740 “ Income Taxes ” (“ASC 740”), which clarifies the accounting for uncertainty in income taxes recognized in the financial statements, that have been recorded on the Company’s consolidated financial statements for the years ended December 31, 2021 and 2020. The Company does not anticipate a material change to unrecognized tax benefits in the next twelve months. Additionally, ASC 740 provides guidance on the recognition of interest and penalties related to unrecognized tax benefits. There were no interest or penalties related to income taxes that have been accrued or recognized as of and for the years ended December 31, 2021 and 2020. The Internal Revenue Service may generally access additional income tax for the most recent three years. This would generally prevent the Internal Revenue Service from opening an examination for years ended on or before December 31, 2018. However, there are exceptions that can extend the statute of limitations to six years, and in some cases, prevent the statute of limitations from ever expiring. |
401(k) Plan
401(k) Plan | 12 Months Ended |
Dec. 31, 2021 | |
Retirement Benefits [Abstract] | |
401(k) Plan | 401(k) PlanWe have adopted a retirement plan under Section 401(k) of the Internal Revenue Code. The 401(k) plan covers substantially all employees who meet minimum age and service requirements. Company contributions to the 401(k) plan for the years ended December 31, 2021 and 2020 were $130,000 and $58,000, respectively. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2021 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions Effective August 16, 2021, Matthew Blumberg was appointed to the Company’s Board of Directors. Mr. Blumberg is the Co-Founder and CEO of Bolster, an on-demand executive talent marketplace that helps accelerate companies’ growth by connecting them with experienced, highly vetted executives for interim, fractional, advisory, project-based or board roles. During the year ended December 31, 2021, the Company paid Bolster $31,000 for fractional labor . |
Business Description and Sign_2
Business Description and Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of Oblong and our 100%-owned subsidiaries (i) GP Communications, LLC (“GP Communications”), whose business function is to provide interstate telecommunications services for regulatory purposes, (ii) Oblong Industries, Inc., and (iii) the following subsidiaries of Oblong Industries: Oblong Industries Europe, S.L. and Oblong Europe Limited. All inter-company balances and transactions have been eliminated in consolidation. The U.S. Dollar is the functional currency for all subsidiaries. |
Segments | Segments Effective October 1, 2019, the former businesses of Glowpoint (now Oblong, Inc.) and Oblong Industries have been managed separately, and involve different products and services. Accordingly, the Company currently operates in two segments for purposes of segment reporting: (1) “Collaboration Products” which represents the Oblong Industries business surrounding our Mezzanine™ product offerings and (2) “Managed Services” which represents the Oblong (formerly Glowpoint) business surrounding managed services for video collaboration and network solutions. See Note 15 - Segment Reporting for further discussion. |
Use of Estimates | Use of Estimates Preparation of the consolidated financial statements in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual amounts could differ from the estimates made. We continually evaluate estimates used in the preparation of our consolidated financial statements for reasonableness. Appropriate adjustments, if any, to the estimates used are made prospectively based upon such periodic evaluation. The significant areas of estimation include determining the allowance for doubtful accounts, the estimated lives and recoverability of property and equipment and intangible assets, the inputs used in the valuation of goodwill and intangible assets in connection with our impairment tests, and the inputs used in the fair value of equity based awards. |
Restricted cash | Restricted Cash As of December 31, 2021, our total cash balance was $9,000,000, consisting of $8,939,000 in available cash and $61,000 in current restricted cash. As of December 31, 2020, our total cash balance of $5,277,000 included current and long-term restricted cash of $158,000 and $61,000, respectively. The long-term restricted cash is included in our other assets on our consolidated balance sheet. The restricted cash pertained to two letters of credit that served as the security deposit for our leased office space in Boston, Massachusetts and our leased office space in Los Altos, California, and were secured by an equal amount of cash pledged as collateral, and such cash was held in a restricted bank account. The Los Altos lease, and thereby the letter of credit, in the amount of $158,000, expired during the year ended December 31, 2021 and the cash was released. The Boston lease and letter of credit expired in February 2022. |
Allowance for Doubtful Accounts | Allowance for Doubtful Accounts We perform ongoing credit evaluations of our customers. We record an allowance for doubtful accounts based on specifically identified amounts that are believed to be uncollectible. We also record additional allowances based on our aged receivables, which are determined based on historical experience and an assessment of the general financial conditions affecting our customer base. If our actual collections experience changes, revisions to our allowance may be required. After all attempts |
Employee Retention Credit | Employee Retention CreditThe CARES Act provided an employee retention credit (“ERC”), which was a refundable tax credit against certain payroll taxes. Upon determination that the Company had complied with all of the conditions required to receive the credit, the Company qualified and filed to claim the ERC. The Company reflected the ERC as a reduction to the respective captions on the consolidated statements of operations associated with the employees to which the payroll tax benefit related |
Inventory | Inventory Inventory consists of finished goods and was determined using average costs and was stated at the lower of cost or net realizable value. The Company periodically performs analyses to identify obsolete or slow-moving inventory. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The Company considers its cash, accounts receivable, accounts payable and debt obligations to meet the definition of financial instruments. The carrying amount of cash, accounts receivable and accounts payable approximated their fair value due to the short maturities of these instruments. The carrying amounts of our debt obligations (see Note 10 - Debt ) approximated their fair values, which were based on borrowing rates that were available to the Company for loans with similar terms, collateral, and maturity. The Company measures fair value as required by Accounting Standards Codification (“ASC”) Topic 820 “Fair Value Measurements and Disclosures” (“ASC Topic 820”). ASC Topic 820 defines fair value, establishes a framework and gives guidance regarding the methods used for measuring fair value, and expands disclosures about fair value measurements. ASC Topic 820 clarifies that fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, there exists a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows: • Level 1 - unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access as of the measurement date. • Level 2 - inputs other than quoted prices included within Level 1 that are directly observable for the asset or liability or indirectly observable through corroboration with observable market data. • Level 3 - unobservable inputs for the asset or liability only used when there is little, if any, market activity for the asset or liability at the measurement date. This hierarchy requires the Company to use observable market data, when available, and to minimize the use of unobservable inputs when determining fair value. |
Revenue Recognition and Taxes Billed to Customers and Remitted to Taxing Authorities | Revenue Recognition The Company accounts for revenue in accordance with Accounting Standards Codification (“ASC”) Topic 606. The Company recognizes revenue using the five-step model as prescribed by Topic 606: • Identification of the contract, or contracts, with a customer; • Identification of the distinct performance obligations in the contract; • Determination of the transaction price; • Allocation of the transaction price to the performance obligations in the contract; and • Recognition of revenue when or as the Company satisfies a performance obligation. The Company’s managed videoconferencing services are offered to our customers on either a usage basis or on a subscription. Our network services are offered to our customers on a subscription basis. Revenue for these services is generally recognized on a monthly basis as services are performed. Revenue related to professional services is recognized at the time the services are performed. The costs associated with obtaining a customer contract were previously expensed in the period they were incurred. Under Topic 606, these payments are deferred on our consolidated balance sheet and amortized over the expected life of the customer contract. Deferred revenue as of December 31, 2021 totaled $8,000 as certain performance obligations were not satisfied as of this date. During the year ended December 31, 2021, the Company recorded $24,000 of revenue that was included in deferred revenue as of December 31, 2020. During the year ended December 31, 2020, the Company recorded $21,000 of revenue that was included in deferred revenue as of December 31, 2019. The Company’s visual collaboration products are composed of hardware and embedded software sold as a complete package, and generally include installation and maintenance services. Revenue for hardware and software is recognized upon shipment to the customer. Installation revenue is recognized upon completion of installation, which also triggers the beginning of recognition of revenue for maintenance services which range from one to three years. Revenue is recognized over time for maintenance services. Professional services are contracts with specific customers for software development, visual design, interaction design, engineering, and project support. These contracts vary in length, and revenue is recognized over time as services are rendered. Licensing agreements are for the Company’s core technology platform, g-speak, and are generally one year in length. Revenue for these services is recognized ratably over the service period. Deferred revenue, as of December 31, 2021, totaled $1,156,000 as certain performance obligations were not satisfied as of this date. During the year ended December 31, 2021, the Company recorded $1,193,000 of revenue that was included in deferred revenue as of December 31, 2020. During the year ended December 31, 2020, the Company recorded $978,000 of revenue that was included in deferred revenue as of December 31, 2019. The Company disaggregates its revenue by geographic region. See Note 15 - Segment Reporting for more information. Taxes Billed to Customers and Remitted to Taxing Authorities |
Impairment of Long-Lived Assets, Goodwill and Intangible Assets | Impairment of Long-Lived Assets, Goodwill and Intangible Assets The Company assesses the impairment of long-lived assets used in operations, primarily fixed assets and purchased intangible assets subject to amortization when events and circumstances indicate that the carrying value of the assets might not be recoverable. For purposes of evaluating the recoverability of fixed assets and amortizing intangible assets, the undiscounted cash flows estimated to be generated by those assets are compared to the carrying amounts of those assets. If and when the carrying values of the assets exceed the undiscounted cash flows, then the related assets will be written down to fair value. For the years ended December 31, 2021 and 2020, the Company recorded asset impairment charges on property and equipment of $98,000 and $144,000, respectively, which pertained primarily to assets no longer used in the business. During the year ended December 31, 2021, the Company disposed of fixed assets of $1,092,000, the corresponding accumulated depreciation of $993,000, and received proceeds on the sale of $1,000 which resulted in a loss on disposal of $98,000. During the year ended December 31, 2020, the Company disposed of fixed assets of $3,438,000, the corresponding accumulated depreciation of $3,287,000, and proceeds on sale of $7,000 which resulted in a loss on disposal of $144,000. Goodwill. Goodwill is not amortized but is subject to periodic testing for impairment in accordance with ASC Topic 350 “ Intangibles - Goodwill and Other - Testing Indefinite-Lived Intangible Assets for Impairment” (“ASC Topic 350”). During the year ended December 31, 2020, we recorded goodwill impairment charges of $541,000. There were no impairment charges recorded for the year ended December 31, 2021. See Note 6 - Goodwill for further discussion. For the year ended December 31, 2021, the Company recorded an impairment of $207,000 on purchased intangible assets. See Note 7 - Intangible Assets |
Concentration of Credit Risk | Concentration of Credit Risk Financial instruments that potentially subject us to significant concentrations of credit risk consist principally of cash, and trade accounts receivable. We place our cash primarily in commercial checking accounts. Commercial bank balances may from time to time exceed federal insurance limits. |
Leases | Leases The Company primarily leases facilities for office, warehouse, and data center space under non-cancellable operating leases for its U.S. and international locations, and accounts for these leases in accordance with ASC-842. Operating lease right-of-use assets and liabilities are recognized at commencement date based on the present value of lease payments over the expected lease term. Right-of-use assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Since our lease arrangements do not provide an implicit rate, we use our estimated incremental borrowing rate for the expected remaining lease term at commencement date in determining the present value of future lease payments. Operating lease expense is recognized on a straight-line basis over the lease term. Variable lease payments are not included in the lease payments to measure the lease liability and are expensed as incurred. The Company’s leases have remaining terms of one Leases with an initial term of 12 months or less, with the exception of leases for real property, are not recognized on the balance sheet and the expense for these short-term leases is recognized on a straight-line basis over the lease term. Common area maintenance fees (or CAMs) and other charges related to leases are expensed as incurred. See Note 9 - Operating Leases and Right-of-Use Assets for further discussion of the Company’s lease activities. |
Property and Equipment | Property and Equipment Property and equipment are stated at cost and are depreciated over the estimated useful lives of the related assets, which range from three |
Income Taxes | Income Taxes We use the asset and liability method to determine our income tax expense or benefit. Deferred tax assets and liabilities are computed based on temporary differences between the financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates that are expected to be in effect when the differences are expected to be recovered or settled. Any resulting net deferred tax assets are evaluated for recoverability and, accordingly, a valuation allowance is provided when it is more likely than not that all or some portion of the deferred tax asset will not be realized. |
Stock-based Compensation | Stock-based Compensation Stock-based awards have been accounted for as required by ASC Topic 718 “Compensation – Stock Compensation” (“ASC Topic 718”). Under ASC Topic 718 stock-based awards are valued at fair value on the date of grant, and that fair value is recognized over the requisite service period. The Company accounts for forfeitures when they occur. |
Research and Development | Research and Development |
Treasury Stock | Treasury Stock Purchases and sales of treasury stock are accounted for using the cost method. Under this method, shares acquired are recorded at the acquisition price directly to the treasury stock account. Upon sale, the treasury stock account is reduced by the |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Recently Issued Accounting Pronouncements Credit Losses In June 2016 the FASB issued ASU 2016-13, “Financial Instruments - Credit Losses (Topic 326),” which was subsequently amended in February 2020 by ASU 2020-02, “Financial Instruments - Credit Losses (Topic 326) and Leases (Topic 842).” The amendments introduce an impairment model that is based on expected credit losses, rather than incurred losses, to estimate credit losses on certain types of financial instruments (e.g., loans and held-to-maturity securities), including certain off-balance sheet financial instruments (e.g., loan commitments). The expected credit losses should consider historical information, current information, and reasonable and supportable forecasts, including estimates of prepayments, over the contractual term. Financial instruments with similar risk characteristics may be grouped together when estimating expected credit losses. The update is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. The Company is currently evaluating the impact the new guidance will have on its consolidated financial statements. In May 2021, the FASB issued ASU 2021-04, Issuer’s Accounting for Certain Modifications or Exchanges of Freestanding Equity-Classified Written Call Options. The FASB is issuing this update to clarify and reduce diversity in an issuer’s accounting for modifications or exchanges of freestanding equity classified written call options (for example, warrants) that remain equity classified after modification or exchange. ASU 2021-04 is effective for all entities for fiscal years beginning after December 15, 2021, including interim periods within those fiscal years. An entity should apply the amendments prospectively to modifications or exchanges occurring after the effective date of the amendments. The Company does not expect this update to have a material effect on its consolidated financial statements. |
Prepaid Expenses and Other Cu_2
Prepaid Expenses and Other Current Assets (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of Prepaid Expenses and Other Current Assets | Prepaid expenses and other current assets consisted of the following (in thousands): December 31, 2021 2020 Prepaid expenses $ 340 $ 663 Other current assets 480 28 Prepaid software licenses 261 — Prepaid expenses and other current assets $ 1,081 $ 691 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property and Equipment | Property and equipment consisted of the following (in thousands): December 31, Estimated Useful Life 2021 2020 Network equipment and software $ 4,665 $ 4,957 3 to 5 Years Computer equipment and software 5,070 $ 5,686 3 to 5 Years Leasehold improvements 690 $ 741 (*) Office furniture and equipment 92 $ 175 3 to 10 Years 10,517 11,559 Accumulated depreciation and amortization (10,358) (10,986) Property and equipment, net $ 159 $ 573 (*) – Amortized over the shorter period of the estimated useful life (five years) or the lease term. |
Goodwill (Tables)
Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The activity in goodwill during the years ended December 31, 2021 and 2020 is shown in the following table ($ in thousands): Goodwill Managed Services Collaboration Products Total Balance January 1, 2020 $ 541 $ 7,367 $ 7,908 Impairment (541) — (541) Balance December 31, 2020 — 7,367 7,367 Balance December 31, 2021 $ — $ 7,367 $ 7,367 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets | The following table presents the components of net intangible assets (in thousands): As of December 31, 2021 As of December 31, 2020 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Managed Services Affiliate network $ 994 $ (994) $ — $ 994 $ (735) $ 259 Trademarks 548 (548) — 548 (548) — Subtotal 1,542 (1,542) — 1,542 (1,283) 259 Collaboration Products Developed technology 10,060 (4,537) 5,523 10,060 (2,520) 7,540 Trade names 2,410 (542) 1,868 2,410 (302) 2,108 Distributor relationships 310 (139) 171 310 (77) 233 Subtotal 12,780 (5,218) 7,562 12,780 (2,899) 9,881 Total $ 14,322 $ (6,760) $ 7,562 $ 14,322 $ (4,182) $ 10,140 The average lives for the components of intangible assets are as follows: Collaboration Products Life Developed technology 5 years Trade names 10 years Distributor relationships 5 years |
Schedule of Future Amortization Expense | Amortization expense for each of the next five succeeding years will be as follows (in thousands): 2022 $ 2,317 2023 2,309 2024 1,792 2025 241 2026 241 Thereafter 662 Total $ 7,562 |
Accrued Expenses and Other Cu_2
Accrued Expenses and Other Current Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses and Other Liabilities | Accrued expenses and other current liabilities consisted of the following (in thousands): December 31, 2021 2020 Compensation costs $ 551 $ 411 Taxes and regulatory fees 92 137 Customer deposits 145 127 Professional fees 69 236 Accrued dividends on Series A-2 Preferred Stock — 4 Other accrued expenses and liabilities 102 286 $ 959 $ 1,201 |
Operating Leases and Right-of_2
Operating Leases and Right-of-Use Assets (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Balance Sheet Information | The following provides balance sheet information related to leases as of December 31, 2021 and 2020 (in thousands): December 31, 2021 2020 Assets Operating lease, right-of-use asset, net $ 659 $ 903 Liabilities Current portion of operating lease liabilities $ 492 $ 830 Operating lease liabilities, net of current portion 236 602 Total operating lease liabilities $ 728 $ 1,432 |
Schedule of Future Minimum Rental Payments for Operating Leases | The following table summarizes the future undiscounted cash payments reconciled to the lease liability (in thousands): Year Ending December 31, 2022 $ 519 2023 225 2024 17 Total lease payments $ 761 Effect of discounting (33) Total lease liability $ 728 |
Schedule Of Operating Lease Liability and Right Of Use Assets | The following table provides a reconciliation of activity for our right-of-use (“ROU”) assets and lease liabilities (in thousands): Right-of-Use Asset Operating Lease Liability Balance at December 31, 2019 $ 3,117 $ 3,314 Additions 116 116 Terminations and Modifications (864) (860) Amortizations and Reductions (1,001) (1,138) Impairment Charges (465) — Balance at December 31, 2020 903 1,432 Additions 60 60 Terminations and Modifications 192 156 Amortizations and Reductions (496) (920) Balance at December 31, 2021 $ 659 $ 728 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt | Debt consisted of the following (in thousands): December 31, 2021 2020 PPP Loan Principal $ — $ 2,417,000 Less: current portion of long-term debt — 2,014,000 Long-term debt, net of current portion $ — $ 403,000 |
Capital Stock (Tables)
Capital Stock (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Schedule of Common Stock Activity | The following table provides a summary of Common Stock activity for the years ended December 31, 2021 and 2020 (in thousands): Issued Shares as of December 31, 2019 5,267 Less Treasury Shares: 105 Outstanding Shares as of December 31, 2019 5,162 Issuances from Private Placements 2,293 Issuances from Preferred Stock Conversions 158 Issuances related to Warrants 72 Issuances related to Stock Compensation 31 Forfeitures of Restricted Stock Awards (9) Issuance of shares for fees 50 Issued Shares as of December 31, 2020 7,862 Less Treasury Shares: 113 Outstanding Shares as of December 31, 2020 7,749 Issuances from Private Placements 4,000 Issuances from Preferred Stock Conversions 18,846 Issuances related to Stock Compensation 200 Issuance of shares for fees 21 Issued Shares as of December 31, 2021 30,929 Less Treasury Shares: 113 Outstanding Shares as of December 31, 2021 30,816 |
Schedule of Warrants Activity | Warrant activity for the years ended December 31, 2021 and 2020 is presented below: Outstanding Number of Warrants Weighted Average Exercise Price Warrants outstanding and exercisable, December 31, 2019 72,238 0.01 Granted 1,146,500 4.85 Exercised (72,238) 0.01 Warrants outstanding and exercisable, December 31, 2020 1,146,500 $ 4.85 Granted 4,000,000 $ 4.30 Warrants outstanding and exercisable, December 31, 2021 5,146,500 $ 4.85 |
Summary of Treasury Stock Activity | The following table shows the activity for Treasury Stock during the years ended December 31, 2021 and 2020 (in thousands): Shares Value Treasury Shares as of December 31, 2019 105 $ (165) Purchases to cover stock compensation taxes 8 $ (16) Treasury Shares as of December 31, 2020 113 $ (181) Treasury Shares as of December 31, 2021 113 $ (181) |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | The fair value of each stock option granted was estimated using the following assumptions: June 28, 2021 Risk free interest rate 0.47% Expected option lives 3 years Expected volatility 1.36 Estimated forfeiture rate — Expected dividend yields — Weighted average grant date fair value of options $2.48 |
Schedule of Compensation Expense | Stock-based compensation expense relating to Restricted Series D Preferred Stock is allocated as follows (in thousands): Year Ended December 31, 2021 2020 Research and development $ 17 $ 47 Sales, general and administrative 16 111 $ 33 $ 158 |
Stock Options | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Summary of Options Granted, Exercised, Expired and Forfeited | A summary of stock options expired and forfeited under our plans and options outstanding as of, and changes made during, the years ended December 31, 2021 and 2020 is presented below: Outstanding Exercisable Number of Options Weighted Average Exercise Price Number of Options Weighted Average Exercise Price Options outstanding and exercisable, December 31, 2019 215,345 $ 12.27 215,345 $ 12.27 Expired (107,845) 4.92 Options outstanding and exercisable, December 31, 2020 107,500 19.64 107,500 19.64 Granted 300,000 3.25 Options outstanding and exercisable, December 31, 2021 407,500 $ 7.57 107,500 $ 19.64 |
Shares Outstanding and Exercisable, By Exercise Price Range | Additional information as of December 31, 2021 is as follows: Outstanding Exercisable Exercisable Range of price Number Weighted Weighted Number Weighted $0.00 – $10.00 302,500 9.43 $ 3.30 2,500 $ 9.00 $10.01 – $20.00 97,500 1.06 19.32 97,500 19.32 $20.01 – $30.00 2,500 0.43 21.80 2,500 21.80 $30.01 – $40.00 5,000 0.19 30.20 5,000 30.20 407,500 7.26 $ 7.57 107,500 $ 19.64 |
Net Loss Per Share (Tables)
Net Loss Per Share (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
Schedule of Loss Per Share, Basic and Diluted | The following table sets forth the computation of the Company’s basic and diluted net loss per share (in thousands, except per share data): Year Ended December 31, Numerator: 2021 2020 Net loss $ (9,051) $ (7,421) Less: preferred stock dividends 1 17 Less: undeclared dividends 366 788 Less: conversion inducement 300 — Less: warrant modification 37 — Net loss attributable to common stockholders $ (9,755) $ (8,226) Denominator: Weighted-average number of shares of common stock for basic net loss per share 26,567 5,547 Basic and diluted net loss per share $ (0.37) $ (1.48) |
Schedule of Potential Shares of Common Stock Excluded from Diluted Weighted Average Shares | The following table represents the potential shares that were excluded from the computation of weighted-average number of shares of common stock in computing the diluted net loss per share for the periods presented because including them would have had an anti-dilutive effect: Year Ended December 31, 2021 2020 Outstanding stock options 407,500 107,500 Unvested restricted stock awards 627 627 Shares of common stock issuable upon conversion of Series A-2 preferred stock — 18,161 Shares of common stock issuable upon conversion of Series D preferred stock — 17,020,100 Shares of common stock issuable upon conversion of Series E preferred stock — 1,315,790 Warrants 5,146,500 1,146,500 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information | Certain information concerning the Company’s segments for the years ended December 31, 2021 and 2020 is presented in the following tables (in thousands): For the Year Ended December 31, 2021 Managed Services Collaboration Products Corporate Total Revenue $ 4,270 $ 3,469 $ — $ 7,739 Cost of revenues 2,991 2,030 — 5,021 Gross profit $ 1,279 $ 1,439 $ — $ 2,718 Gross profit % 30.0 % 41.5 % — % 35.1 % Allocated operating expenses $ 593 $ 7,556 $ — $ 8,149 Unallocated operating expenses — — 6,363 6,363 Total operating expenses $ 593 $ 7,556 $ 6,363 $ 14,512 Income (loss) from operations $ 686 $ (6,117) $ (6,363) $ (11,794) Interest and other income (expense), net (22) 227 2,448 2,653 Income (loss) before income taxes $ 664 $ (5,890) $ (3,915) $ (9,141) Income tax expense $ (15) $ (75) $ — $ (90) Net income (loss) $ 679 $ (5,815) $ (3,915) $ (9,051) As of December 31, 2021 Total assets $ 9,259 $ 19,348 $ — $ 28,607 For the Year Ended December 31, 2020 Managed Services Collaboration Products Corporate Total Revenue $ 6,227 $ 9,106 $ — $ 15,333 Cost of revenues 3,789 3,491 — 7,280 Gross profit $ 2,438 $ 5,615 $ — $ 8,053 Gross profit % 39.2 % 61.7 % — % 52.5 % Allocated operating expenses $ 1,479 $ 9,913 $ — $ 11,392 Unallocated operating expenses — — 6,725 6,725 Total operating expenses $ 1,479 $ 9,913 $ 6,725 $ 18,117 Income (loss) from operations $ 959 $ (4,298) $ (6,725) $ (10,064) Interest and other income (expense), net (19) 2,765 — 2,746 Income (loss) before income taxes $ 940 $ (1,533) $ (6,725) $ (7,318) Income tax expense $ 50 $ 53 $ — $ 103 Net income (loss) $ 890 $ (1,586) $ (6,725) $ (7,421) As of December 31, 2020 Total assets $ 6,494 $ 22,649 $ — $ 29,143 Concentration of revenues was as follows: Year Ended December 31, 2021 2020 Segment % of Revenue % of Revenue Customer A Managed Services 34.7 % 17.0 % Customer B Collaboration Products — % 17.0 % Concentration of accounts receivable was as follows: As of December 31, 2021 2020 Segment % of Accounts Receivable % of Accounts Receivable Customer A Managed Services 24.9 % 14.1 % Customer B Collaboration Products — % 20.1 % Customer C Collaboration Products — % 12.0 % Customer D Collaboration Products 20.1 % — % Customer E Collaboration Products 18.2 % — % |
Revenue from External Customers by Geographic Areas | Revenue by geographic area is allocated as follows (in thousands): Year Ended December 31, 2021 2020 Domestic $ 4,615 $ 10,288 Foreign 3,124 5,045 $ 7,739 $ 15,333 |
Schedule of Disaggregated Revenue Information | Disaggregated information for the Company’s revenue has been recognized in the accompanying consolidated statements of operations and is presented below according to contract type (dollars in thousands): Year ended December 31, 2021 % of Revenue 2020 % of Revenue Revenue: Managed Services Video collaboration services $ 854 11.0 % $ 2,413 15.7 % Network services 3,347 43.2 % 3,611 23.6 % Professional and other services 69 0.9 % 203 1.3 % Total Managed Services revenue $ 4,270 55.2 % $ 6,227 40.6 % Revenue: Collaboration Products Visual collaboration product offerings $ 3,367 43.5 % $ 6,873 44.8 % Professional services — — % 1,033 6.7 % Licensing 102 1.3 % 1,200 7.8 % Total Collaboration Products revenue $ 3,469 44.8 % $ 9,106 59.4 % Total revenue $ 7,739 100.0 % $ 15,333 100.0 % |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Schedule of Loss before Income Tax, Domestic and Foreign | The following table sets forth pretax book loss (in thousands): Year Ended December 31, 2021 2020 United States $ (9,340) $ (7,570) Foreign 199 252 Total $ (9,141) $ (7,318) |
Schedule of Components of Income Tax (Benefit) Expense | The following table sets forth income before taxes and the income tax expense for the years ended December 31, 2021 and 2020 (in thousands): Year Ended December 31, 2021 2020 Current: Federal $ — $ — Foreign (75) 53 State (15) 50 Total current (90) 103 Total deferred — — Income tax (benefit) expense $ (90) $ 103 |
Schedule of Effective Income Tax Rate Reconciliation | Our effective tax rate differs from the statutory federal tax rate for the years ended December 31, 2021 and 2020 as shown in the following table (in thousands): Year Ended December 31, 2021 2020 U.S. federal income taxes at the statutory rate $ (1,919) $ (1,533) State taxes, net of federal effects (464) (122) UK Anti-Hybrid expense addback (1,837) 289 Transaction costs — — Goodwill impairment — 114 Section 382 Limitation — — Adjustment to NOL Benefit 20 4,640 NOL Carryforward Adjustment for Expired NOLs 78 84 Stock Compensation Plan Adjustments (38) 272 Change in state apportionment rate (10) (350) Change in valuation allowance 4,662 (3,868) Research and development credit — 546 True up of prior year foreign tax expense (108) — Other 22 31 Income tax (benefit) expense $ (90) $ 103 |
Schedule of Deferred Tax Assets and Liabilities | The tax effect of the temporary differences that give rise to significant portions of the deferred tax assets and liabilities as of December 31, 2021 and 2020 is presented below (in thousands): December 31, 2021 2020 Deferred tax assets (liabilities): Tax benefit of operating loss carry forward - Federal $ 26,902 $ 23,184 Tax benefit of operating loss carry forward - State 6,225 5,548 Accrued expenses 88 141 Deferred revenue 287 417 Stock-based compensation 449 396 Fixed assets 287 329 Goodwill 102 167 Inventory 197 47 Intangible amortization (1,777) (2,285) R&D credit 2,154 2,154 Texas margin tax temporary credit 139 159 Other 62 285 Total deferred tax asset, net $ 35,220 $ 30,542 Valuation allowance (35,220) (30,542) Net deferred tax liability $ — $ — |
Business Description and Sign_3
Business Description and Significant Accounting Policies - Narrative (Details) | 12 Months Ended | ||
Dec. 31, 2021USD ($)segment | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | |
Property, Plant and Equipment [Line Items] | |||
Ownership percentage in subsidiary | 100.00% | ||
Number of operating segments | segment | 2 | ||
Total cash and restricted cash | $ 9,000,000 | $ 5,277,000 | $ 4,602,000 |
Cash | 8,939,000 | 5,058,000 | |
Current portion of restricted cash | 61,000 | 158,000 | |
Long-term restricted cash | 0 | 61,000 | |
Allowance for doubtful accounts | 100,000 | 182,000 | |
Decrease in operating expense | 874,000 | ||
Current portion deferred revenue | 783,000 | 1,217,000 | |
Impairment charges - property and equipment | 98,000 | 144,000 | |
Disposal of fixed assets | 1,092,000 | 3,438,000 | |
Accumulated depreciation of fixed assets disposed | 993,000 | 3,287,000 | |
Proceeds from sale of fixed assets | 1,000 | 7,000 | |
Loss on disposal | 98,000 | 144,000 | |
Impairment charges - goodwill | 0 | 541,000 | |
Impairment charges - intangible assets | 207,000 | 0 | |
Service | |||
Property, Plant and Equipment [Line Items] | |||
Performance obligation | 8,000 | ||
Current portion deferred revenue | 24,000 | 21,000 | $ 21,000 |
Product | |||
Property, Plant and Equipment [Line Items] | |||
Performance obligation | 1,156,000 | ||
Current portion deferred revenue | 1,193,000 | 978,000 | |
Revenue | |||
Property, Plant and Equipment [Line Items] | |||
Excise and sales taxes | 264,000 | 313,000 | |
Cost of Sales | |||
Property, Plant and Equipment [Line Items] | |||
Excise and sales taxes | $ 271,000 | $ 328,000 | |
Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life | 3 years | ||
Term of contract | 1 year | ||
Renewal term | 12 months | ||
Useful lives | three | ||
Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life | 10 years | ||
Term of contract | 3 years | ||
Renewal term | 5 years | ||
Useful lives | ten years |
Liquidity and Going Concern (De
Liquidity and Going Concern (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Accounting Policies [Abstract] | ||||
Total cash and restricted cash | $ 5,277 | $ 9,000 | $ 5,277 | $ 4,602 |
Cash | 5,058 | 8,939 | 5,058 | |
Current portion of restricted cash | 158 | 61 | 158 | |
Working capital | 10,258 | |||
Net loss | $ 7,421 | 9,051 | 7,421 | |
Net cash used in operating activities | $ 7,732 | $ 6,566 |
Inventory (Details)
Inventory (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Inventory Disclosure [Abstract] | ||
Inventory | $ 1,821,000 | $ 920,000 |
Inventory reserve | $ 731,000 | $ 193,000 |
Prepaid Expenses and Other Cu_3
Prepaid Expenses and Other Current Assets - Schedule of Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Prepaid expenses | $ 340 | $ 663 |
Other current assets | 480 | 28 |
Prepaid software licenses | 261 | 0 |
Prepaid expenses and other current assets | $ 1,081 | $ 691 |
Property and Equipment - Schedu
Property and Equipment - Schedule of Property and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 10,517 | $ 11,559 |
Accumulated depreciation and amortization | (10,358) | (10,986) |
Property and equipment, net | $ 159 | 573 |
Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life | 3 years | |
Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life | 10 years | |
Network equipment and software | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 4,665 | 4,957 |
Network equipment and software | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life | 3 years | |
Network equipment and software | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life | 5 years | |
Computer equipment and software | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 5,070 | 5,686 |
Computer equipment and software | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life | 3 years | |
Computer equipment and software | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life | 5 years | |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 690 | 741 |
Estimated Useful Life | 5 years | |
Office furniture and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 92 | $ 175 |
Office furniture and equipment | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life | 3 years | |
Office furniture and equipment | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life | 10 years |
Property and Equipment - Narrat
Property and Equipment - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Property, Plant and Equipment [Abstract] | ||
Related depreciation and amortization expense | $ 365 | $ 708 |
Disposal of fixed assets | 1,092 | 3,438 |
Accumulated depreciation of fixed assets disposed | 993 | 3,287 |
Loss on disposal of fixed assets | 99 | 151 |
Proceeds from sale of fixed assets | 1 | 7 |
Loss on disposal of fixed assets | $ 98 | $ 144 |
Goodwill - Narrative (Details)
Goodwill - Narrative (Details) | 12 Months Ended | ||
Dec. 31, 2021USD ($)reporting_unit | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | |
Goodwill [Line Items] | |||
Goodwill | $ 7,367,000 | $ 7,367,000 | $ 7,908,000 |
Number of reporting units | reporting_unit | 2 | ||
Impairment charges - goodwill | $ 0 | 541,000 | |
Managed Services | |||
Goodwill [Line Items] | |||
Goodwill | 0 | 0 | 541,000 |
Impairment charges - goodwill | 541,000 | ||
Collaboration Products | |||
Goodwill [Line Items] | |||
Goodwill | 7,367,000 | 7,367,000 | $ 7,367,000 |
Impairment charges - goodwill | $ 0 | $ 0 |
Goodwill - Schedule of Goodwill
Goodwill - Schedule of Goodwill (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Goodwill [Roll Forward] | ||
Beginning balance | $ 7,367,000 | $ 7,908,000 |
Impairment | 0 | (541,000) |
Ending balance | 7,367,000 | 7,367,000 |
Managed Services | ||
Goodwill [Roll Forward] | ||
Beginning balance | 0 | 541,000 |
Impairment | (541,000) | |
Ending balance | 0 | 0 |
Collaboration Products | ||
Goodwill [Roll Forward] | ||
Beginning balance | 7,367,000 | 7,367,000 |
Impairment | 0 | 0 |
Ending balance | $ 7,367,000 | $ 7,367,000 |
Intangible Assets - Schedule of
Intangible Assets - Schedule of Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Business Acquisition [Line Items] | ||
Intangible assets, gross | $ 14,322 | $ 14,322 |
Accumulated amortization | (6,760) | (4,182) |
Total | 7,562 | 10,140 |
Managed Services | ||
Business Acquisition [Line Items] | ||
Intangible assets, gross | 1,542 | 1,542 |
Accumulated amortization | (1,542) | (1,283) |
Total | 0 | 259 |
Managed Services | Affiliate network | ||
Business Acquisition [Line Items] | ||
Intangible assets, gross | 994 | 994 |
Accumulated amortization | (994) | (735) |
Total | 0 | 259 |
Managed Services | Trademarks | ||
Business Acquisition [Line Items] | ||
Intangible assets, gross | 548 | 548 |
Accumulated amortization | (548) | (548) |
Total | 0 | 0 |
Collaboration Products | ||
Business Acquisition [Line Items] | ||
Intangible assets, gross | 12,780 | 12,780 |
Accumulated amortization | (5,218) | (2,899) |
Total | 7,562 | 9,881 |
Collaboration Products | Developed technology | ||
Business Acquisition [Line Items] | ||
Intangible assets, gross | 10,060 | 10,060 |
Accumulated amortization | (4,537) | (2,520) |
Total | $ 5,523 | 7,540 |
Estimated useful life | 5 years | |
Collaboration Products | Trade names | ||
Business Acquisition [Line Items] | ||
Intangible assets, gross | $ 2,410 | 2,410 |
Accumulated amortization | (542) | (302) |
Total | $ 1,868 | 2,108 |
Estimated useful life | 10 years | |
Collaboration Products | Distributor relationships | ||
Business Acquisition [Line Items] | ||
Intangible assets, gross | $ 310 | 310 |
Accumulated amortization | (139) | (77) |
Total | $ 171 | $ 233 |
Estimated useful life | 5 years |
Intangible Assets - Narrative (
Intangible Assets - Narrative (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Business Acquisition [Line Items] | ||
Impairment charges - intangible assets | $ 207,000 | $ 0 |
Amortization expense | $ 2,371,000 | $ 2,432,000 |
Minimum | ||
Business Acquisition [Line Items] | ||
Estimated useful life | 5 years | |
Maximum | ||
Business Acquisition [Line Items] | ||
Estimated useful life | 12 years |
Intangible Assets - Schedule _2
Intangible Assets - Schedule of Future Amortization Expense (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
2022 | $ 2,317 | |
2023 | 2,309 | |
2024 | 1,792 | |
2025 | 241 | |
2026 | 241 | |
Thereafter | 662 | |
Total | $ 7,562 | $ 10,140 |
Accrued Expenses and Other Cu_3
Accrued Expenses and Other Current Liabilities - Schedule of Accrued Expenses and Other Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Payables and Accruals [Abstract] | ||
Compensation costs | $ 551 | $ 411 |
Taxes and regulatory fees | 92 | 137 |
Customer deposits | 145 | 127 |
Professional fees | 69 | 236 |
Accrued dividends on Series A-2 Preferred Stock | 0 | 4 |
Other accrued expenses and liabilities | 102 | 286 |
Total | $ 959 | $ 1,201 |
Operating Leases and Right-of_3
Operating Leases and Right-of-Use Assets-- Narrative (Details) € in Thousands, $ in Thousands | 1 Months Ended | 12 Months Ended | |||
Jun. 30, 2021USD ($) | Jun. 30, 2021EUR (€) | Dec. 31, 2021USD ($)leasefacility | Dec. 31, 2020USD ($)lease | Dec. 31, 2019USD ($) | |
Lessee, Lease, Description [Line Items] | |||||
Non-cash lease expense | $ 778 | $ 997 | |||
Number of leases entered | lease | 1 | 1 | |||
Number of lease modified | lease | 1 | ||||
Number of leases exited | lease | 2 | 6 | |||
Number leases, impairments | lease | 2 | ||||
Impairment charges - right-of use assets | $ 0 | $ 465 | |||
Operating lease, right-of-use asset, net | 659 | 903 | $ 3,117 | ||
Operating lease liability | (920) | (1,134) | |||
Total operating lease liabilities | $ 728 | $ 1,432 | $ 3,314 | ||
Los Angeles | |||||
Lessee, Lease, Description [Line Items] | |||||
Number of facilities | facility | 3 | ||||
Number of facilities occupied | facility | 2 | ||||
Dallas | |||||
Lessee, Lease, Description [Line Items] | |||||
Number of facilities | facility | 1 | ||||
Austin, Texas | |||||
Lessee, Lease, Description [Line Items] | |||||
Number of facilities | facility | 1 | ||||
Number of leases entered | lease | 1 | ||||
Operating lease, right-of-use asset, net | $ 60 | ||||
Term of contract | 12 months | ||||
Total operating lease liabilities | $ 60 | ||||
Los Atlos | |||||
Lessee, Lease, Description [Line Items] | |||||
Number of leases exited | lease | 1 | ||||
Munich | |||||
Lessee, Lease, Description [Line Items] | |||||
Total operating lease liabilities | € | € 316 | ||||
Contract termination Fee | € | 125 | ||||
Termination of lease | $ 227 | € 191 |
Operating Leases and Right-of_4
Operating Leases and Right-of-Use Assets - Balance Sheet Information (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Leases [Abstract] | |||
Operating lease, right-of-use asset, net | $ 659 | $ 903 | $ 3,117 |
Current portion of operating lease liabilities | 492 | 830 | |
Operating lease liabilities, net of current portion | 236 | 602 | |
Total operating lease liabilities | $ 728 | $ 1,432 | $ 3,314 |
Operating Leases and Right-of_5
Operating Leases and Right-of-Use Assets - Table Operating Lease Future Minimum Rental Commitment (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Leases [Abstract] | |||
2022 | $ 519 | ||
2023 | 225 | ||
2024 | 17 | ||
Total lease payments | 761 | ||
Effect of discounting | (33) | ||
Total lease liability | $ 728 | $ 1,432 | $ 3,314 |
Operating Leases and Right-of_6
Operating Leases and Right-of-Use Assets -Summary of Activity for Our Right of Use Assets And Lease Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Right-of-Use Asset | ||
Balance at December 31, 2019 | $ 903 | $ 3,117 |
Additions | 60 | 116 |
Terminations and Modifications | 192 | (864) |
Amortizations and Reductions | (496) | (1,001) |
Impairment Charges | 0 | (465) |
Balance at December 31, 2020 | 659 | 903 |
Operating Lease Liability | ||
Balance at December 31, 2019 | 1,432 | 3,314 |
Additions | 60 | 116 |
Terminations and Modifications | 156 | (860) |
Amortizations and Reductions | (920) | (1,138) |
Impairment Charges | 0 | |
Balance at December 31, 2020 | $ 728 | $ 1,432 |
Debt - Schedule of Long-term De
Debt - Schedule of Long-term Debt (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 | Apr. 10, 2020 |
Debt Instrument [Line Items] | |||
Less: current portion of long-term debt | $ 0 | $ 2,014,000 | |
Long-term debt, net of current portion | 0 | 403,000 | |
PPP Loan | |||
Debt Instrument [Line Items] | |||
PPP Loan Principal | $ 0 | $ 2,417,000 | $ 2,417,000 |
Debt - Paycheck Protection Prog
Debt - Paycheck Protection Program Loan Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Apr. 10, 2020 | |
Debt Instrument [Line Items] | |||
Gain on extinguishment of debt | $ 2,448,000 | $ 3,117,000 | |
PPP Loan | |||
Debt Instrument [Line Items] | |||
PPP Loan Principal | 0 | $ 2,417,000 | $ 2,417,000 |
Fixed rate | 1.00% | ||
Gain on extinguishment of debt | 2,448,000 | ||
Interest payable | $ 31,000 |
Capital Stock - Common Stock (D
Capital Stock - Common Stock (Details) - $ / shares | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Equity [Abstract] | |||
Common Stock, convertible, par value (in dollars per share) | $ 0.0001 | $ 0.0001 | |
Common Stock, shares authorized (in shares) | 150,000,000 | 150,000,000 | |
Common Stock, shares issued (in shares) | 30,929,331 | 7,861,912 | |
Common stock, shares outstanding (in shares) | 30,816,048 | 7,748,629 | 5,162,000 |
Capital Stock - Common Stock Ac
Capital Stock - Common Stock Activity (Details) - shares | Jan. 21, 2021 | Dec. 10, 2020 | Oct. 21, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Beginning outstanding shares balance (in shares) | 7,748,629 | 5,162,000 | ||||
Treasury stock (in shares) | 113,283 | 113,000 | 105,000 | |||
Issuances related to warrants (in shares) | 521,500 | |||||
Ending outstanding shares balance (in shares) | 30,816,048 | 7,748,629 | ||||
Common Stock | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Beginning issued shares balance (in shares) | 7,862,000 | 5,267,000 | ||||
Issuances from private placements (in shares) | 4,000,000 | 2,293,000 | ||||
Issuances from preferred stock conversions (in shares) | 18,846,411 | 158,333 | ||||
Issuances related to warrants (in shares) | 72,000 | |||||
Issuances related to stock compensation (in shares) | 200,000 | 30,834 | ||||
Forfeitures of restricted stock awards (in shares) | (9,000) | |||||
Issuance of shares for fees (in shares) | 21,008 | 50,000 | 21,000 | 50,000 | ||
Ending issued shares balance (in shares) | 30,929,000 | 7,862,000 |
Capital Stock - Additional Info
Capital Stock - Additional Information (Details) - USD ($) | Jun. 30, 2021 | Jan. 21, 2021 | Dec. 10, 2020 | Dec. 06, 2020 | Oct. 21, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Class of Stock [Line Items] | ||||||||
Issuance of shares for professional service fees | $ 390,000 | $ 58,000 | ||||||
Payments of stock issuance costs | $ 896,000 | |||||||
Proceeds from issuance of common stock, net of offering costs | $ 11,504,000 | $ 11,504,000 | $ 7,371,000 | |||||
Issuance of common shares from warrant exercise (in shares) | 521,500 | |||||||
Warrant term | 2 years | |||||||
Exercise price (in dollars per share) | $ 4.85 | $ 4.85 | $ 0.01 | |||||
Class of warrant or right, exercise of warrants (in shares) | 0 | |||||||
Warrant modification | $ 37,000 | $ 0 | ||||||
Stock repurchased (in shares) | 0 | 7,998 | ||||||
Tax obligations relating to the vesting of shares | $ 0 | $ 16,000 | ||||||
Stock awards | ||||||||
Class of Stock [Line Items] | ||||||||
Tax obligations relating to the vesting of shares | 16,000 | |||||||
General and Administrative Expense | ||||||||
Class of Stock [Line Items] | ||||||||
Stock option compensation expense | $ 390,000 | $ 58,000 | ||||||
Common Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Conversion of convertible preferred stock, shares (in shares) | 18,846,411 | 158,333 | ||||||
Issuances related to stock compensation (in shares) | 200,000 | 30,834 | ||||||
Issuance of shares for fees (in shares) | 21,008 | 50,000 | 21,000 | 50,000 | ||||
Issuance of shares for professional service fees | $ 100,000 | $ 348,000 | ||||||
Issuance of common shares from warrant exercise (in shares) | 72,000 | |||||||
Common Stock | Public Offering | ||||||||
Class of Stock [Line Items] | ||||||||
Number of shares sold in transaction (in shares) | 4,000,000 | |||||||
Sale of stock, price per share (in dollars per share) | $ 4 | |||||||
Common Stock | Private Placement | ||||||||
Class of Stock [Line Items] | ||||||||
Sale of stock, price per share (in dollars per share) | $ 4.40 | |||||||
Deducting issuance cost | $ 12,400,000 | |||||||
Warrants | ||||||||
Class of Stock [Line Items] | ||||||||
Issuance of common shares from warrant exercise (in shares) | 625,000 | |||||||
Warrant term | 2 years | |||||||
Exercise price (in dollars per share) | $ 5.49 | $ 4.08 | ||||||
Warrant modification | $ 37,000 | |||||||
Warrants | Public Offering | ||||||||
Class of Stock [Line Items] | ||||||||
Number of shares sold in transaction (in shares) | 1,000,000 | |||||||
Warrants | Private Placement | ||||||||
Class of Stock [Line Items] | ||||||||
Number of shares sold in transaction (in shares) | 3,000,000 | |||||||
Series B Warrants | ||||||||
Class of Stock [Line Items] | ||||||||
Warrant term | 3 years | |||||||
Series A Warrants | ||||||||
Class of Stock [Line Items] | ||||||||
Warrant term | 6 months |
Capital Stock - Warrants Activi
Capital Stock - Warrants Activity (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Number of Warrants | ||
Warrants outstanding and exercisable, Beginning (in shares) | 1,146,500 | 72,238 |
Granted | 4,000,000 | 1,146,500 |
Exercised | (72,238) | |
Warrants outstanding and exercisable, Ending (in shares) | 5,146,500 | 1,146,500 |
Weighted Average Exercise Price | ||
Warrants outstanding and exercisable, Beginning (in dollars per share) | $ 4.85 | $ 0.01 |
Granted | 4.30 | 4.85 |
Exercised | 0.01 | |
Warrants outstanding and exercisable, Ending (in dollars per share) | $ 4.85 | $ 4.85 |
Capital Stock - Treasury Shares
Capital Stock - Treasury Shares (Details) - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Class of Stock [Line Items] | ||
Beginning Balance | $ 22,057 | $ 21,785 |
Ending Balance | $ 25,497 | $ 22,057 |
Treasury Stock | ||
Class of Stock [Line Items] | ||
Beginning Balance (in shares) | 113 | 105 |
Beginning Balance | $ (181) | $ (165) |
Purchases to cover stock compensation taxes (in shares) | 8 | |
Purchases to cover stock compensation taxes | $ (16) | |
Ending Balance | $ (181) | $ (181) |
Ending Balance (in shares) | 113 | 113 |
Preferred Stock - (Details)
Preferred Stock - (Details) - USD ($) | Jan. 28, 2021 | Oct. 01, 2019 | Dec. 31, 2021 | Dec. 31, 2020 |
Class of Stock [Line Items] | ||||
Preferred stock, shares authorized (in shares) | 1,938,250 | |||
Preferred stock, shares issued (in shares) | 0 | |||
Preferred stock, shares outstanding (in shares) | 0 | 1,829,582 | ||
Accrued dividends on Series A-2 Preferred Stock | $ 0 | $ 4,000 | ||
Maximum | ||||
Class of Stock [Line Items] | ||||
Preferred stock, shares authorized (in shares) | 5,000,000 | |||
Restricted Stock | ||||
Class of Stock [Line Items] | ||||
Vesting period | 10 years | |||
Common Stock | ||||
Class of Stock [Line Items] | ||||
Shares issued in conversion (in shares) | 84,292 | 20,954 | ||
Conversion of convertible preferred stock, shares (in shares) | 18,846,411 | 158,333 | ||
Issuance of restricted stock (in shares) | 200,000 | 23,000 | ||
Series A-2 Preferred Stock | ||||
Class of Stock [Line Items] | ||||
Preferred stock, shares authorized (in shares) | 7,500 | 7,500 | ||
Preferred stock, shares issued (in shares) | 0 | 45 | ||
Preferred stock, shares outstanding (in shares) | 45 | 0 | 45 | |
Preferred stock, stated value | $ 7,500 | $ 7,500 | ||
Stock issued during period, conversion of convertible securities, price (in dollars per share) | $ 4 | $ 16.11 | ||
Preferred stock, cumulative dividend percentage rate, per annum | 5.00% | |||
Accrued dividends on Series A-2 Preferred Stock | $ 4,000 | |||
Dividends | $ 1,000 | |||
Series D & E Preferred Stock conversion | $ 300,000 | |||
Series A-2 Preferred Stock | Common Stock | ||||
Class of Stock [Line Items] | ||||
Convertible preferred stock, shares issued upon conversion (in shares) | 466 | |||
Conversion of convertible preferred stock, shares (in shares) | 84,000 | |||
Series A-2 Preferred Stock | Preferred Stock | ||||
Class of Stock [Line Items] | ||||
Conversion of convertible preferred stock, shares (in shares) | 45 | |||
Shares of common stock issuable upon conversion of Series D preferred stock | ||||
Class of Stock [Line Items] | ||||
Preferred stock, shares authorized (in shares) | 1,750,000 | 1,750,000 | ||
Preferred stock, shares issued (in shares) | 0 | 1,697,958 | ||
Preferred stock, shares outstanding (in shares) | 0 | 1,697,958 | ||
Preferred stock, stated value | $ 28.50 | $ 28.50 | ||
Shares issued in conversion (in shares) | 1,697,022 | |||
Preferred stock, cumulative dividend percentage rate, per annum | 6.00% | |||
Conversion of convertible preferred stock, shares (in shares) | 1,686,659 | |||
Forfeited in period (in shares) | 81 | 28,618 | ||
Shares of common stock issuable upon conversion of Series D preferred stock | Restricted Stock | ||||
Class of Stock [Line Items] | ||||
Issuance of restricted stock (in shares) | 49,967 | 49,967 | ||
Vesting period | 2 years | 2 years | ||
Forfeited in period (in shares) | 81 | 28,618 | ||
Shares of common stock issuable upon conversion of Series D preferred stock | Preferred Stock | ||||
Class of Stock [Line Items] | ||||
Preferred stock, shares issued (in shares) | 855 | |||
Conversion of convertible preferred stock, shares (in shares) | 1,697,022 | |||
Shares of common stock issuable upon conversion of Series E preferred stock | ||||
Class of Stock [Line Items] | ||||
Preferred stock, shares authorized (in shares) | 175,000 | 175,000 | ||
Preferred stock, shares issued (in shares) | 0 | 131,579 | ||
Preferred stock, shares outstanding (in shares) | 131,579 | 0 | 131,579 | |
Preferred stock, stated value | $ 28.50 | $ 28.50 | $ 28.50 | |
Shares issued in conversion (in shares) | 131,579 | |||
Preferred stock, cumulative dividend percentage rate, per annum | 6.00% | |||
Shares of common stock issuable upon conversion of Series E preferred stock | Series E Financing | ||||
Class of Stock [Line Items] | ||||
Preferred stock, shares issued (in shares) | 131,579 | |||
Stock issued during period, conversion of convertible securities, price (in dollars per share) | $ 2.85 | |||
Sale of stock, consideration received on transaction | $ 3,750,000 | |||
Shares of common stock issuable upon conversion of Series E preferred stock | Series E Financing | Maximum | ||||
Class of Stock [Line Items] | ||||
Convertible preferred stock, shares issued upon conversion (in shares) | 1,315,790 | |||
Shares of common stock issuable upon conversion of Series E preferred stock | Common Stock | ||||
Class of Stock [Line Items] | ||||
Preferred stock, shares outstanding (in shares) | 1,345,180 | |||
Shares of common stock issuable upon conversion of Series E preferred stock | Preferred Stock | ||||
Class of Stock [Line Items] | ||||
Conversion of convertible preferred stock, shares (in shares) | 131,579 | |||
Series D Convertible Preferred Stock | Common Stock | ||||
Class of Stock [Line Items] | ||||
Preferred stock, shares outstanding (in shares) | 17,416,939 |
Stock Based Compensation - Narr
Stock Based Compensation - Narrative (Details) - USD ($) | Aug. 18, 2021 | Jun. 28, 2021 | Oct. 01, 2019 | Dec. 31, 2021 | Mar. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of options granted (in shares) | 300,000 | ||||||
Outstanding weighted average exercise price, exchanged for oblong industries stock options (in dollars per share) | $ 3.25 | ||||||
Intrinsic value of exercisable options | $ 0 | $ 0 | $ 0 | ||||
Intrinsic value of nonvested options | 0 | 0 | 0 | ||||
Intrinsic value of options exercised | 0 | 0 | |||||
Unrecognized stock-based compensation expense for stock options | 618,000 | $ 618,000 | $ 0 | ||||
Shares of common stock issuable upon conversion of Series D preferred stock | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Forfeited in period (in shares) | 81 | 28,618 | |||||
Stock Options | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock option compensation expense | $ 126,000 | ||||||
Period of recognition | 2 years 6 months | ||||||
Stock Options | Share-based Payment Arrangement, Employee | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of options granted (in shares) | 300,000 | 0 | |||||
Exercise period | 10 years | ||||||
Vesting period | 3 years | ||||||
Outstanding weighted average exercise price, exchanged for oblong industries stock options (in dollars per share) | $ 3.25 | ||||||
Share-based compensation vested in period, fair Value | $ 744,000 | ||||||
Stock Options | Share-based Payment Arrangement, Employee | Tranche One | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting percentage | 33.00% | ||||||
Stock Options | Share-based Payment Arrangement, Employee | Tranche Two | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting percentage | 33.00% | ||||||
Stock Options | Share-based Payment Arrangement, Employee | Tranche Three | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting percentage | 33.00% | ||||||
Restricted Stock | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock option compensation expense | $ 0 | $ 0 | |||||
Vesting period | 10 years | ||||||
Unvested restricted shares outstanding (in shares) | 627 | 627 | 627 | ||||
Granted, weighted average grant price (in dollars per share) | $ 15.80 | $ 15.80 | |||||
Award service period | 5 years | ||||||
Restricted Stock | Shares of common stock issuable upon conversion of Series D preferred stock | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock option compensation expense | $ 33,000 | $ 158,000 | |||||
Vesting period | 2 years | 2 years | |||||
Unvested restricted shares outstanding (in shares) | 0 | 0 | |||||
Unrecognized stock-based compensation expense for other than options | $ 0 | $ 0 | |||||
Issuance of restricted stock (in shares) | 49,967 | 49,967 | |||||
Forfeited in period (in shares) | 81 | 28,618 | |||||
RSUs | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Unvested restricted shares outstanding (in shares) | 0 | 0 | |||||
Unrecognized stock-based compensation expense for other than options | $ 0 | $ 0 | |||||
Stock-based compensation arrangement, vested in period, remain outstanding (in shares) | 28,904 | 28,904 | |||||
RSUs | Share-based Payment Arrangement, Employee | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock option compensation expense | $ 5,000 | ||||||
Granted, restricted shares (in shares) | 0 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value in Period | $ 438,000 | ||||||
RSUs | Nonemployee | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Granted, weighted average grant price (in dollars per share) | $ 2.19 | ||||||
Granted, restricted shares (in shares) | 200,000 | ||||||
2019 Equity Incentive Plan | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of shares available for grant (in shares) | 2,513,500 | 2,513,500 | |||||
Awards granted in period (in shares) | 7,500 | ||||||
Stock option compensation expense | $ 35,000 |
Stock Based Compensation - Para
Stock Based Compensation - Parameters of Fair Value Calculation (Details) | Jun. 28, 2021$ / shares |
Investments, Debt and Equity Securities [Abstract] | |
Risk free interest rate | 0.47% |
Expected option lives | 3 years |
Expected volatility | 1.36% |
Estimated forfeiture rate | 0 |
Expected dividend yields | 0.00% |
Weighted average grant date fair value of options | $ 2.48 |
Stock Based Compensation - Opti
Stock Based Compensation - Options Outstanding (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Number of Options | |||
Outstanding Number of Options, Beginning (in shares) | 107,500 | 215,345 | |
Outstanding Number of Options, Expired (in shares) | (107,845) | ||
Number of options granted (in shares) | 300,000 | ||
Outstanding and Exercisable Number of Options, Ending (in shares) | 407,500 | 107,500 | |
Weighted Average Exercise Price | |||
Outstanding Weighted Average Exercise Price, Beginning (in dollars per share) | $ 19.64 | $ 12.27 | |
Outstanding Weighted Average Exercise Price, Expired (in dollars per share) | 4.92 | ||
Outstanding weighted average exercise price, exchanged for oblong industries stock options (in dollars per share) | 3.25 | ||
Outstanding and Exercisable Weighted Average Exercise Price, Ending (in dollars per share) | $ 7.57 | $ 19.64 | |
Exercisable | |||
Exercisable Number of Options (in shares) | 107,500 | 107,500 | 215,345 |
Exercisable Weighted Average Exercise Price (in dollars per share) | $ 19.64 | $ 19.64 | $ 12.27 |
Stock Based Compensation - Exer
Stock Based Compensation - Exercise Price Range (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |||
Number of Options, Outstanding and Exercisable (in shares) | 407,500 | 107,500 | 215,345 |
Weighted Average Remaining Contractual Life (In Years) | 7 years 3 months 3 days | ||
Weighted Average Exercise Price, Outstanding and Exercisable (in dollars per share) | $ 7.57 | $ 19.64 | $ 12.27 |
Number of Options, Exercisable (in shares) | 107,500 | 107,500 | 215,345 |
Weighted Average Exercise Price, Exercisable (in dollars per share) | $ 19.64 | $ 19.64 | $ 12.27 |
$0.00 – $10.00 | |||
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |||
Range of price, lower range limit (in dollars per share) | 0 | ||
Range of price, upper range limit (in dollars per share) | $ 10 | ||
Number of Options, Outstanding and Exercisable (in shares) | 302,500 | ||
Weighted Average Remaining Contractual Life (In Years) | 9 years 5 months 4 days | ||
Weighted Average Exercise Price, Outstanding and Exercisable (in dollars per share) | $ 3.30 | ||
Number of Options, Exercisable (in shares) | 2,500 | ||
Weighted Average Exercise Price, Exercisable (in dollars per share) | $ 9 | ||
$10.01 – $20.00 | |||
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |||
Range of price, lower range limit (in dollars per share) | 10.01 | ||
Range of price, upper range limit (in dollars per share) | $ 20 | ||
Number of Options, Outstanding and Exercisable (in shares) | 97,500 | ||
Weighted Average Remaining Contractual Life (In Years) | 1 year 21 days | ||
Weighted Average Exercise Price, Outstanding and Exercisable (in dollars per share) | $ 19.32 | ||
Number of Options, Exercisable (in shares) | 97,500 | ||
Weighted Average Exercise Price, Exercisable (in dollars per share) | $ 19.32 | ||
$20.01 – $30.00 | |||
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |||
Range of price, lower range limit (in dollars per share) | 20.01 | ||
Range of price, upper range limit (in dollars per share) | $ 30 | ||
Number of Options, Outstanding and Exercisable (in shares) | 2,500 | ||
Weighted Average Remaining Contractual Life (In Years) | 5 months 4 days | ||
Weighted Average Exercise Price, Outstanding and Exercisable (in dollars per share) | $ 21.80 | ||
Number of Options, Exercisable (in shares) | 2,500 | ||
Weighted Average Exercise Price, Exercisable (in dollars per share) | $ 21.80 | ||
$30.01 – $40.00 | |||
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |||
Range of price, lower range limit (in dollars per share) | 30.01 | ||
Range of price, upper range limit (in dollars per share) | $ 40 | ||
Number of Options, Outstanding and Exercisable (in shares) | 5,000 | ||
Weighted Average Remaining Contractual Life (In Years) | 2 months 8 days | ||
Weighted Average Exercise Price, Outstanding and Exercisable (in dollars per share) | $ 30.20 | ||
Number of Options, Exercisable (in shares) | 5,000 | ||
Weighted Average Exercise Price, Exercisable (in dollars per share) | $ 30.20 |
Stock Based Compensation - Stoc
Stock Based Compensation - Stock Compensation Expense, Restricted Stock (Details) - Restricted Stock - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted stock compensation expense | $ 0 | $ 0 |
Shares of common stock issuable upon conversion of Series D preferred stock | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted stock compensation expense | 33,000 | 158,000 |
Research and Development Expense | Shares of common stock issuable upon conversion of Series D preferred stock | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted stock compensation expense | 17,000 | 47,000 |
Sales, general and administrative | Shares of common stock issuable upon conversion of Series D preferred stock | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted stock compensation expense | $ 16,000 | $ 111,000 |
Net Loss Per Share - Narrative
Net Loss Per Share - Narrative (Details) - shares | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Weighted-average shares common stock outstanding, potentially dilutive securities or unvested restricted stock (in shares) | 0 | |
RSUs | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vested and remaining outstanding (in shares) | 28,904 | 28,904 |
Net Loss Per Share - Reconcilia
Net Loss Per Share - Reconciliation of Basic and Diluted Loss Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | |
Numerator: | |||
Net loss | $ (7,421) | $ (9,051) | $ (7,421) |
Less: preferred stock dividends | 1 | 17 | |
Less: undeclared dividends | 366 | 788 | |
Less: conversion inducement | 300 | 0 | |
Less: warrant modification | 37 | 0 | |
Net loss attributable to common stockholders | $ (9,755) | $ (8,226) | |
Denominator: | |||
Weighted-average number of shares of common stock for diluted net loss per share (in shares) | 26,567 | 5,547 | |
Basic net loss per share (in dollars per share) | $ (0.37) | $ (1.48) | |
Diluted net loss per share (in dollars per share) | $ (0.37) | $ (1.48) |
Net Loss Per Share - Schedule o
Net Loss Per Share - Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share (Details) - shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Outstanding stock options | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from earnings per share computation (in shares) | 407,500 | 107,500 |
Unvested restricted stock awards | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from earnings per share computation (in shares) | 627 | 627 |
Shares of common stock issuable upon conversion of Series A-2 preferred stock | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from earnings per share computation (in shares) | 0 | 18,161 |
Shares of common stock issuable upon conversion of Series D preferred stock | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from earnings per share computation (in shares) | 0 | 17,020,100 |
Shares of common stock issuable upon conversion of Series E preferred stock | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from earnings per share computation (in shares) | 0 | 1,315,790 |
Warrants | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from earnings per share computation (in shares) | 5,146,500 | 1,146,500 |
Segment Reporting (Details)
Segment Reporting (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Dec. 31, 2020USD ($) | Dec. 31, 2021USD ($)segment | Dec. 31, 2020USD ($) | |
Segment Reporting Information [Line Items] | |||
Number of operating segments | segment | 2 | ||
Revenues | $ 15,333 | $ 7,739 | $ 15,333 |
Cost of revenues | 7,280 | 5,021 | 7,280 |
Gross profit | $ 8,053 | $ 2,718 | 8,053 |
Gross profit % | 52.50% | 35.10% | |
Total operating expenses | $ 18,117 | $ 14,512 | 18,117 |
Income (loss) from operations | (10,064) | (11,794) | (10,064) |
Interest and other income (expense), net | 2,746 | 2,653 | 2,746 |
Loss before income taxes | (7,318) | (9,141) | (7,318) |
Income tax (benefit) expense | 103 | (90) | 103 |
Net loss | (7,421) | (9,051) | (7,421) |
Total assets | 29,143 | 28,607 | $ 29,143 |
Allocated operating expenses | |||
Segment Reporting Information [Line Items] | |||
Total operating expenses | 11,392 | 8,149 | |
Unallocated operating expenses | |||
Segment Reporting Information [Line Items] | |||
Total operating expenses | 6,725 | 6,363 | |
Unallocated operating expenses | |||
Segment Reporting Information [Line Items] | |||
Revenues | 0 | 0 | |
Cost of revenues | 0 | 0 | |
Gross profit | 0 | $ 0 | |
Gross profit % | 0.00% | 0.00% | |
Total operating expenses | 6,725 | $ 6,363 | |
Income (loss) from operations | (6,725) | (6,363) | |
Interest and other income (expense), net | 0 | 2,448 | |
Loss before income taxes | (6,725) | (3,915) | |
Income tax (benefit) expense | 0 | 0 | |
Net loss | (6,725) | (3,915) | |
Total assets | 0 | 0 | $ 0 |
Unallocated operating expenses | Allocated operating expenses | |||
Segment Reporting Information [Line Items] | |||
Total operating expenses | 0 | 0 | |
Unallocated operating expenses | Unallocated operating expenses | |||
Segment Reporting Information [Line Items] | |||
Total operating expenses | 6,725 | 6,363 | |
Managed Services | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Revenues | 6,227 | 4,270 | |
Cost of revenues | 3,789 | 2,991 | |
Gross profit | $ 2,438 | $ 1,279 | |
Gross profit % | 39.20% | 30.00% | |
Total operating expenses | $ 1,479 | $ 593 | |
Income (loss) from operations | 959 | 686 | |
Interest and other income (expense), net | (19) | (22) | |
Loss before income taxes | 940 | 664 | |
Income tax (benefit) expense | 50 | (15) | |
Net loss | 890 | 679 | |
Total assets | 6,494 | 9,259 | 6,494 |
Managed Services | Operating Segments | Allocated operating expenses | |||
Segment Reporting Information [Line Items] | |||
Total operating expenses | 1,479 | 593 | |
Managed Services | Operating Segments | Unallocated operating expenses | |||
Segment Reporting Information [Line Items] | |||
Total operating expenses | 0 | 0 | |
Collaboration Products | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Revenues | 9,106 | 3,469 | |
Cost of revenues | 3,491 | 2,030 | |
Gross profit | $ 5,615 | $ 1,439 | |
Gross profit % | 61.70% | 41.50% | |
Total operating expenses | $ 9,913 | $ 7,556 | |
Income (loss) from operations | (4,298) | (6,117) | |
Interest and other income (expense), net | 2,765 | 227 | |
Loss before income taxes | (1,533) | (5,890) | |
Income tax (benefit) expense | 53 | (75) | |
Net loss | (1,586) | (5,815) | |
Total assets | 22,649 | 19,348 | $ 22,649 |
Collaboration Products | Operating Segments | Allocated operating expenses | |||
Segment Reporting Information [Line Items] | |||
Total operating expenses | 9,913 | 7,556 | |
Collaboration Products | Operating Segments | Unallocated operating expenses | |||
Segment Reporting Information [Line Items] | |||
Total operating expenses | $ 0 | $ 0 |
Segment Reporting - Disaggregat
Segment Reporting - Disaggregation of Revenue (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Dec. 31, 2020USD ($) | Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) | |
Disaggregation of Revenue [Line Items] | |||
Foreign revenue | 0.01 | ||
Total revenue | $ 15,333 | $ 7,739 | $ 15,333 |
Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | $ 7,739 | $ 15,333 | |
Revenue | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of revenue | 100.00% | 100.00% | |
Managed Services | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | $ 4,270 | $ 6,227 | |
Managed Services | Revenue | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of revenue | 55.20% | 40.60% | |
Managed Services | Assets | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of revenue | 100.00% | 100.00% | |
Managed Services | Video collaboration services | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | $ 854 | $ 2,413 | |
Managed Services | Video collaboration services | Revenue | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of revenue | 11.00% | 15.70% | |
Managed Services | Network services | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | $ 3,347 | $ 3,611 | |
Managed Services | Network services | Revenue | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of revenue | 43.20% | 23.60% | |
Managed Services | Professional and other services | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | $ 69 | $ 203 | |
Managed Services | Professional and other services | Revenue | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of revenue | 0.90% | 1.30% | |
Collaboration Products | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | $ 3,469 | $ 9,106 | |
Collaboration Products | Revenue | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of revenue | 44.80% | 59.40% | |
Collaboration Products | Video collaboration services | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | $ 3,367 | $ 6,873 | |
Collaboration Products | Video collaboration services | Revenue | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of revenue | 43.50% | 44.80% | |
Collaboration Products | Professional and other services | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | $ 0 | $ 1,033 | |
Collaboration Products | Professional and other services | Revenue | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of revenue | 0.00% | 6.70% | |
Collaboration Products | Licensing | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | $ 102 | $ 1,200 | |
Collaboration Products | Licensing | Revenue | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Percentage of revenue | 1.30% | 7.80% | |
Domestic | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | $ 4,615 | $ 10,288 | |
Foreign | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | $ 3,124 | $ 5,045 |
Segment Reporting - Concentrati
Segment Reporting - Concentration Percentage (Details) - Customer Concentration Risk | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Customer A | Managed Services | Revenue | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 34.70% | 17.00% |
Customer A | Managed Services | Accounts Receivable | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 24.90% | 14.10% |
Customer B | Collaboration Products | Revenue | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 0.00% | 17.00% |
Customer B | Collaboration Products | Accounts Receivable | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 0.00% | 20.10% |
Customer C | Collaboration Products | Accounts Receivable | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 0.00% | 12.00% |
Customer D | Collaboration Products | Accounts Receivable | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 20.10% | 0.00% |
Customer E | Collaboration Products | Accounts Receivable | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 18.20% | 0.00% |
Income Taxes - Income Before In
Income Taxes - Income Before Income Tax (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |||
United States | $ (9,340) | $ (7,570) | |
Foreign | 199 | 252 | |
Loss before income taxes | $ (7,318) | $ (9,141) | $ (7,318) |
Income Taxes - Summary of Incom
Income Taxes - Summary of Income Tax Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | |
Current: | |||
Federal | $ 0 | $ 0 | |
Foreign | (75) | 53 | |
State | (15) | 50 | |
Total current | (90) | 103 | |
Total deferred | |||
Total deferred | 0 | 0 | |
Income tax (benefit) expense | $ 103 | $ (90) | $ 103 |
Income Taxes - Summary of Effec
Income Taxes - Summary of Effective Tax Rate (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | |
Effective Income Tax Rate, Continuing Operations, Tax Rate Reconciliation [Abstract] | |||
U.S. federal income taxes at the statutory rate | $ (1,919) | $ (1,533) | |
State taxes, net of federal effects | (464) | (122) | |
UK Anti-Hybrid expense addback | (1,837) | 289 | |
Transaction costs | 0 | 0 | |
Goodwill impairment | 0 | 114 | |
Section 382 Limitation | 0 | 0 | |
Adjustment to NOL Benefit | 20 | 4,640 | |
NOL Carryforward Adjustment for Expired NOLs | 78 | 84 | |
Stock Compensation Plan Adjustments | (38) | 272 | |
Change in state apportionment rate | (10) | (350) | |
Change in valuation allowance | 4,662 | (3,868) | |
Research and development credit | 0 | 546 | |
True up of prior year foreign tax expense | (108) | 0 | |
Other | 22 | 31 | |
Income tax (benefit) expense | $ 103 | $ (90) | $ 103 |
Income Taxes - Deferred Tax Ass
Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Deferred tax assets (liabilities): | ||
Accrued expenses | $ 88 | $ 141 |
Deferred revenue | 287 | 417 |
Stock-based compensation | 449 | 396 |
Fixed assets | 287 | 329 |
Goodwill | 102 | 167 |
Inventory | 197 | 47 |
Intangible amortization | (1,777) | (2,285) |
R&D credit | 2,154 | 2,154 |
Texas margin tax temporary credit | 139 | 159 |
Other | 62 | 285 |
Total deferred tax asset, net | 35,220 | 30,542 |
Valuation allowance | (35,220) | (30,542) |
Net deferred tax liability | 0 | 0 |
Federal | ||
Deferred tax assets (liabilities): | ||
Tax benefit of operating loss carry forward | 26,902 | 23,184 |
State | ||
Deferred tax assets (liabilities): | ||
Tax benefit of operating loss carry forward | $ 6,225 | $ 5,548 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Oct. 01, 2019 | |
Operating Loss Carryforwards [Line Items] | ||||
Increase (decrease) in valuation allowance | $ 4,678,000 | $ (4,005,000) | ||
Net operating loss carryforwards, permanent loss of tax benefit | $ 30,880,000 | |||
Unrecognized tax benefits, income tax penalties and interest accrued | 0 | 0 | ||
Unrecognized tax benefits, income tax penalties and interest expense | 0 | 0 | ||
United Kingdom | ||||
Operating Loss Carryforwards [Line Items] | ||||
Deduction amount | 7,260,000 | |||
Federal | ||||
Operating Loss Carryforwards [Line Items] | ||||
Net operating loss carryforwards | 128,104,000 | 110,401,000 | ||
NOL subject to expiration | 76,165,000 | 76,500,000 | ||
State | ||||
Operating Loss Carryforwards [Line Items] | ||||
Net operating loss carryforwards | $ 114,696,000 | $ 94,223,000 | ||
Collaboration Products | ||||
Operating Loss Carryforwards [Line Items] | ||||
Noncontrolling interest, ownership percentage by parent | 75.00% |
401(k) Plan - Narrative (Detail
401(k) Plan - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Retirement Benefits [Abstract] | ||
401(k) plan, employer contributions | $ 130,000 | $ 58,000 |
Related Party Transactions - Na
Related Party Transactions - Narrative (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2021USD ($) | |
Fractional Labor | Bolster | |
Related Party Transaction [Line Items] | |
Related party expense | $ 31 |