STOCK-BASED COMPENSATION (Tables)

12 Months Ended

Dec. 31, 2023

Share-Based Payment Arrangement [Abstract]

Schedule of Stock-based Compensation Expenses

Stock-based compensation expense under all plans was as follows:

	Year ended December 31,
	2023		2022		2021
Cost of goods sold	$	1,801	$	1,207	$	43
Research and development	4,544		3,690		558
Sales and marketing	6,142		4,699		486
General and administrative	7,513		4,281		2,186
Total expensed	$	20,000	$	13,877	$	3,273
Internal use software capitalization	1,179		1,165		—
Total stock-based compensation	$	21,179	$	15,042	$	3,273

Schedule of Share Based Payment Arrangement, Option, Activity

Employees’ stock option activity under all plans was as follows:

	Year ended December 31, 2023
	Number of options	Weighted average exercise price		Weighted average remaining contractual term (in years)	Aggregate intrinsic value (in thousands)
Outstanding at December 31, 2022	10,686,443	$	1.15	6.9	$	5,923
Granted	1,432,232	$	1.33
Forfeited	(474,934)	$	1.62
Expired	(278,998)	$	1.81
Exercised	(1,907,402)	$	0.46
Outstanding at December 31, 2023	9,457,341	$	1.28	6.8	$	4,908
Exercisable options at December 31, 2023	6,658,327	$	1.09	6.0	$	4,423
Vested and expected to vest at December 31, 2023	9,457,341	$	1.28	6.8	$	4,908

Consultants’ stock option activity under the Innovid Stock Plan was as follows:

	Year ended December 31, 2023
	Number of options	Weighted average exercise price		Weighted average remaining contractual term (in years)	Aggregate intrinsic value (in thousands)
Outstanding at December 31, 2022	69,542	$	0.47	4.2	$	86
Outstanding at December 31, 2023	69,542	$	0.47	3.2	$	72
Exercisable options at December 31, 2023	67,869	$	0.47	3.1	$	70
Vested and expected to vest at December 31, 2023	69,542	$	0.47	3.2	$	72

Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions

The fair value of options was estimated on the grant date using a Black-Scholes option pricing model with the following weighted-average assumptions:

	Year ended December 31,
	2023			2022			2021
Expected volatility	70.9% - 71.4%			69.0%-71.0%			65.0		%
Expected dividend yield	—		%	—		%	—		%
Expected term (in years)	6.4			4.3			6.0
Risk free interest rate	3.6%-4.9%			2.8%-3.8%			1.1%
Weighted-average fair value per option	$	0.90		$	0.95		$	2.31

Employees’ RSU activity under the 2021 Incentive Plan for the year ended December 31, 2023 was as follows:

	Number of units	Weighted average grant date fair value		Weighted average remaining contractual term (in years)	Aggregate instrisic value (in thousands)
Outstanding at December 31, 2022	7,986,373	$	5.60		$	13,657
Granted	13,132,596	$	1.27
Vested	(5,376,805)	$	4.73
Forfeited	(2,626,094)	$	3.37
Outstanding at December 31, 2023	13,116,070	$	2.06	0.98	$	19,674
Expected to vest at December 31, 2023	13,116,070	$	2.06		$	19,674

Consultants’ RSU activity under the 2021 Incentive Plan for the year ended December 31, 2023 was as follows:

	Number of units	Weighted average grant date fair value		Weighted average remaining contractual term (in years)	Aggregate instrisic value (in thousands)
Outstanding at December 31, 2022	130,268	$	6.60		$	223
Granted	107,343	$	1.18
Vested	(72,781)	$	6.60
Forfeited	(10,308)	5.89
Outstanding at December 31, 2023	154,522	$	2.88	0.85	$	232
Expected to vest at December 31, 2023	154,522	$	2.88		$	232