Basis of Presentation and Summary of Significant Accounting Policies (Tables)

6 Months Ended

Jun. 30, 2026

The estimated useful lives of Xanadu’s property and equipment are as follows:


Computer systems and servers			3 years
Lab equipment			7 years
Test and computer equipment			7 years
Furniture and fixtures			3 years
Leasehold improvements			Shorter of lease term or estimated useful life

Property and equipment, net consisted of the following as of June 30, 2026 and December 31, 2025:


	June 30, 2026		December 31, 2025
Computer systems and servers	$	1,290	$	1,083
Test and computer equipment	17,239		16,988
Lab equipment	9,608		9,604
Furniture and fixtures	275		286
Leasehold improvements	3,880		3,637
Total	$	32,292	$	31,598
Less: Accumulated depreciation	(15,022)		(13,285)
Property and equipment, net	$	17,270	$	18,313


Patents			3 years
Internally developed software			5 years
External software licenses			3 years

Intangible assets, net consisted of the following as of June 30, 2026 and December 31, 2025:


	As of June 30, 2026
	Cost		Accumulated Amortization		Net Book Value
Patents	$	2,519	$	(1,560)	$	959
Internally developed software	7,773		(3,907)		3,866
External software licenses	263		(142)		121
Total	$	10,555	$	(5,609)	$	4,946


	As of December 31, 2025
	Cost		Accumulated Amortization		Net Book Value
Patents	$	2,226	$	(1,383)	$	843
Internally developed software	7,586		(3,352)		4,234
External software licenses	180		(129)		51
Total	$	9,992	$	(4,864)	$	5,128