v3.26.1
Summary of Significant Accounting Policies (Tables)
3 Months Ended
Mar. 31, 2026
Accounting Policies [Abstract]  
Schedule of Property, Machinery and Equipment, Net The estimated useful lives of fixed assets by asset category are described below:
Fixed Assets
Estimated Useful Life
Computer equipment
Three years
Furniture and fixtures
Five years
Leasehold improvements
Lesser of estimated useful life or remaining lease term (one year to seven years)
Machinery and equipment
Seven years
Property, machinery and equipment, net consisted of the following:
(in thousands)March 31,
2026
December 31,
2025
Computer equipment$219 $21 
Leasehold improvements— 2,391 
Machinery and equipment1,202 2,839 
Property, machinery and equipment, gross1,421 5,251 
Less: accumulated depreciation(923)(4,298)
Property, machinery and equipment, net$498 $953 
Schedule of Disaggregation of Revenue
The disaggregation of revenue by type is as follows:
Three Months Ended
March 31,
(in thousands)20262025
Hosted payload services$1,618 $— 
Forfeited customer deposits— 87 
Engineering project services1,597 235 
Total revenue$3,215 $322 
Schedule of Changes in Fair Value of Liabilities
The change in fair value of the Credit Provision Derivative asset subject to recurring remeasurement was as follows:
(in thousands)
Balance, December 31, 2025$164 
Settlement(146)
Balance, March 31, 2026$18 
The change in fair values of liabilities subject to recurring remeasurement were as follows:
(in thousands)Warrant Liability (Level 3)May 2025 Convertible Note (Level 3)AIR Warrants (Level 3)
Balance, December 31, 2025$$331 $— 
Change in fair value— 275 — 
Settlement— (606)— 
Balance, March 31, 2026$$— $— 
Schedule of Fair Value Inputs Key assumptions used to determine the fair value of the May 2025 Convertible Note were as follows:
January 9,
2026
December 31,
2025
Expected term (years)0.840.96
Stock price$12.46 $4.87 
Volatility45.00 %45.00 %
Risk-free rate3.54 %3.49 %
Dividend yield— %— %
Key assumptions used to determine the fair value of the AIR Warrants as of December 31, 2025, were as follows:
Underlying Investor Warrants (BSM)Junior Convertible Notes
Expected term (years)5.000.92
Stock price$4.87 $4.87 
Volatility87.50%45.00 %
Risk-free rate3.73 %3.50 %
Dividend yield— %— %
Discount rate on the note78.64 %78.64 %
Exercise price of AIR Warrants (millions)$3.7 $3.7 
The following inputs were used in the convertible bond and BSM option pricing models:
Underlying Investor Warrants (BSM)Junior Convertible Notes
Expected term (years)5.000.92
Stock price$22.13 $22.13 
Volatility87.50%45.00%
Risk-free rate3.75 %3.49 %
Dividend yield— %— %
Discount rate on the noteN/A78.64 %
Exercise price of AIR Warrants (millions)$3.7 $3.7 
The Company determined the fair value of the Initial Tranche Warrants by using a BSM option pricing model, with the following assumptions:
Expected term (years)5.00
Stock price$29.99 
Volatility90.00 %
Risk-free rate4.04 %
Dividend yield0.00 %
The Company determined the fair value of the Second Tranche Warrants by using a BSM option pricing model, with the following assumptions:
Expected term (years)5.00
Stock price$20.17 
Volatility90.00 %
Risk-free rate3.84 %
Dividend yield0.00 %
The Company determined the fair value of the September 2025 SIV Warrants by using a BSM option pricing model, with the following assumptions:
Expected term (years)5.00
Stock price$21.42 
Volatility87.50 %
Risk-free rate3.57 %
Dividend yield0.00 %
The Company determined the incremental fair value of the SIV Modified Warrants by using a BSM option pricing model, with the following assumptions:
Pre-modificationPost-modification
Expected term (years)4.634.63
Stock price$21.42 $21.42 
Exercise price$132.27 $19.81 
Volatility87.50 %87.50 %
Risk-free rate3.55 %3.55 %
Dividend yield0.00 %0.00 %
The Company determined the fair value of the December 2025 SIV Warrants by using a BSM option pricing model, with the following assumptions:
Expected term (years)5.00
Stock price$14.28 
Volatility82.50 %
Risk-free rate3.72 %
Dividend yield0.00 %
The significant inputs into the BSM option pricing model at the initial recognition date are as follows:
January 2026 WarrantsJanuary 2026 Placement Agent Warrants
Warrant term (years)5.085.00
Stock price$9.83 $9.83 
Volatility85.00 %85.00 %
Risk-free rate3.73 %3.72 %
Dividend yield— %— %
The significant inputs into the BSM option pricing model before and after the modification date are as follows:
Pre-modificationPost-modification
October 2025 WarrantsDecember 2025 WarrantsJanuary 2026 Modified Warrants
Warrant term (years)5.095.095.09
Stock price$8.82 $8.82 $8.82 
Volatility85.00 %85.00 %85.00 %
Risk-free rate3.72 %3.72 %3.72 %
Dividend yield0.00 %0.00 %0.00 %
The significant inputs into the BSM option pricing model immediately before modification date are as follows:
Expected term (years)4.77
Stock price$13.57 
Volatility82.50 %
Risk-free rate3.76 %
Dividend yield0.00 %
The Company determined the fair value of the December 2025 Warrants at issuance by using a BSM option pricing model, with the following assumptions:
Expected term (years)5.15
Stock price$16.96 
Volatility82.50 %
Risk-free rate3.73 %
Dividend yield0.00 %
The significant inputs into the BSM option pricing model before and after the modification date are as follows:
Pre-modificationPost-modification
Expected term (years)5.165.16
Stock price$13.57 $13.57 
Volatility82.50 %82.50 %
Risk-free rate3.79 %3.79 %
Dividend yield0.00 %0.00 %
The significant inputs into the BSM option pricing model immediately before the modification date are as follows:
March 2025 WarrantsJuly 2025 Warrants
Expected term (years)4.444.71
Stock price$30.52 $30.52 
Volatility85.00 %85.00 %
Risk-free rate3.56 %3.58 %
Dividend yield0.00 %0.00 %
The Company determined the fair value of the October 2025 Warrants at issuance by using a BSM option pricing model, with the following assumptions:
Expected term (years)5.31
Stock price$30.52 
Volatility85.00 %
Risk-free rate3.63 %
Dividend yield0.00 %
The significant inputs into the BSM option pricing model immediately before the modification date are as follows:
February 2025 WarrantsInvestor Modified Warrants
Warrant term (years)4.494.35-4.70
Stock price$34.09 $34.09 
Volatility87.50 %87.50 %
Risk-free rate3.74 %3.73 %-3.75%
Dividend yield0.00 %0.00 %
The Company determined the fair value of the August 2025 Warrants at issuance by using a BSM option pricing model, with the following assumptions:
Warrant term (years)5.09
Stock price$34.09 
Volatility87.50 %
Risk-free rate3.78 %
Dividend yield0.00 %
The significant inputs into the BSM option pricing model before and after the modification date are as follows:
Pre-modificationPre-modification
Warrant term (years)4.47-4.824.47-4.82
Stock price$21.78 $21.78 
Volatility90.00 %90.00 %
Risk-free rate3.76 %-3.78%3.76 %-3.78%
Dividend yield0.00 %0.00 %