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REVENUE
 3 Months Ended
Mar. 31, 2026
Revenue from Contract with Customer [Abstract]  
REVENUE REVENUE
Disaggregation of Revenue
The following table provides information about disaggregated revenue from customers into the nature of the products and services provided and the related timing of revenue recognition:
Three Months Ended March 31,
20262025
Point-in-time revenue:
Hardware$4,357 $4,037 
Total point-in-time revenue4,357 4,037 
Period-of-time revenue:
Software6,143 5,159 
Hardware installation and activation services1,432 1,828 
HelloTech services2,952 3,636 
Property management services817 1,111 
Other1 3 
Total period-of-time revenue11,345 11,737 
Total revenue$15,702 $15,774 
The Company records a reserve as a component of cost of hardware revenue based on historical costs of replacement units for returns of defective products. For the three months ended March 31, 2026 and 2025, the reserve recorded for hardware warranties was approximately 2% and 3%, respectively, of cost of hardware revenue. The Company also provides certain customers a right of return for non-defective product, which is treated as a reduction of hardware revenue based on the Company’s expectations and historical experience. For the three months ended March 31, 2026 and 2025, the allowance for returns resulted in a recovery of revenue by $0.1 million and $0.04 million, respectively.
The Company generates software revenue primarily through the license of its software-as-a-service (“SaaS”) cloud-based platform to customers on a subscription-based arrangement, as well as from the resale of third-party software in connection with HelloTech services. Subscription fees vary depending on the features selected by customers as well as the term. SaaS arrangements generally have term lengths of one, two, five or ten years and include a fixed fee generally paid in advance, annually or monthly. When significant discounts are provided to customers on the longer-term software contracts paid in
advance, the Company has determined that there is a significant financing component related to the time value of money and therefore has recorded the discount as interest expense, net on the accompanying Condensed Consolidated Statements of Operations and Comprehensive Loss. The interest expense related to the significant financing component is recorded using the effective interest method, which has higher interest expense at inception and declines over time to match the underlying economics of the transaction. The amount of interest expense related to this component was $0.5 million and $0.7 million for the three months ended March 31, 2026 and 2025, respectively.
Deferred Contract Costs
The following table represents a roll-forward of the Company’s deferred contract costs:
Balance as of January 1, 2026$2,690 
Additions to deferred contract costs— 
Amortization of deferred contract costs(108)
Balance as of March 31, 2026$2,582