Goodwill and Intangible Assets, Net

3 Months Ended

Mar. 31, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

There were no changes in the carrying amount of Goodwill for the three months ended March 31, 2024 and 2023.

Intangible assets, net as of March 31, 2024 and December 31, 2023 consisted of the following:


	Useful Lives	March 31, 2024		December 31, 2023
Patent application costs	3 Years	$	493,303	$	484,035
Trade name and trademarks	3 Years	68,821		70,446
Intangible assets, gross		562,124		554,481
Less: Accumulated amortization		(366,080)		(330,791)
Intangible assets, net		$	196,044	$	223,690

The Company added 3 new patents during the three months ended March 31, 2024. The patents issued during the three months ended March 31, 2024 increased our total number of patents to 20 and include:

•On January 2, 2024, the Company received Notice of Issuance for a patent that is a continuation of “Systems and Processes for Lossy Biometric Representation.” This patent is a continuation addresses a long-felt but unresolved need for a system or process that can transform size-variant, personally-identifying biometric templates into fixed-size, privacy-secured representations, while maintaining sufficiently accurate biometric matching capabilities.

•On January 30, 2024, the Company received Notice of Issuance for a patent that is a continuation of “Systems and Processes for Lossy Biometric Representation.” This technology provides a system or process that can transform size-variant, personally-identifying biometric templates into fixed-size, privacy-secured representations, while maintaining sufficiently accurate biometric matching capabilities.

•On March 19, 2024, the Company received Notice of Issuance for a patent entitled “Systems and Methods for Enhanced Hash Transforms.” Conventional cryptographic hashing techniques generally include functions that generate unique signatures given a piece of data, accepting binary strings of characters as an input, and producing a string (e.g., a digital signature) as an output. Our new patent addresses the need for improved techniques for securely handling sensitive data.

Intangible asset amortization expense is recognized on a straight-line basis and for the three months ended March 31, 2024 and 2023 totaled $37 thousand.

Estimated future amortization expense of Intangible assets, net is as follows:


Years Ending December 31,	Amount
2024	86,105
2025	78,133
2026	31,659
2027	147
Total future amortization	$	196,044