Business Segments, Concentration of Credit Risk and Significant Customers

6 Months Ended

Jun. 30, 2022

Segment Reporting [Abstract]

Business Segments, Concentration of Credit Risk and Significant Customers

Note 7. Business Segments, Concentration of Credit Risk and Significant Customers

The Company determined its reporting units in accordance with ASC 280, Segment Reporting (ASC 280). Management evaluates a reporting unit by first identifying its operating segments under ASC 280. The Company then evaluates each operating segment to determine if it includes one or more components that constitute a business. If there are components within an operating segment that meet the definition of a business, the Company evaluates those components to determine if they must be aggregated into one or more reporting units. If applicable, when determining if it is appropriate to aggregate different operating segments, the Company determines if the segments are economically similar and, if so, the operating segments are aggregated.

Management has determined that the Company has one consolidated operating segment. The Company’s reporting segment reflects the manner in which its chief operating decision maker reviews results and allocates resources. The Company’s reporting segment meets the definition of an operating segment and does not include the aggregation of multiple operating segments.

The Company recognized revenue from shipments of product, licensing of its technologies and performance of services to customers by geographical location as follows (in thousands):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
North America	$	3,127	$	106	$	5,503	$	161
Hong Kong		587		555		879	$	1,030
Taiwan		204		23		515		588
Japan		245		—		537		—
Rest of world		121		13		253		19
Total net revenue	$	4,284	$	697	$	7,687	$	1,798

Customers who accounted for at least 10% of total net revenue were:

	Three Months Ended		Six Months Ended
	June 30,		June 30,
	2022	2021	2022	2021
Customer A	36%	*	31%	*
Customer B	21%	*	12%	*
Customer C	14%	69%	11%	52%
Customer D	13%	*	23%	*
Customer E	*	*	*	33%

* Represents less than 10%

Three customers accounted for 80% of accounts receivable as of June 30, 2022. Three customers accounted for 96% of accounts receivable as of December 31, 2021.