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RESTRUCTURING CHARGES
6 Months Ended
Jun. 30, 2026
Restructuring and Related Activities [Abstract]  
RESTRUCTURING CHARGES

15. RESTRUCTURING CHARGES

 

On February 27, 2026, the Company committed to a plan to consolidate its Redmond, Washington-based engineering, manufacturing, supply chain, and quality activities into the Company’s new Orlando, Florida facility (the “Consolidation Plan”). The decision is part of the Company’s ongoing efforts to reduce operating expenses and cash usage, improve organizational efficiency, and align resources to support strategic priorities.

 

In connection with the Consolidation Plan, in order to reduce operating expenses, during the first quarter of 2026 the Company commenced plans to reduce its Redmond-based workforce resulting in an approximately 15% reduction in the Company’s total global workforce. The reduction was substantially completed as of July 3, 2026.

 

As a result, during the first quarter of 2026, the Company recognized approximately $1.1 million in charges associated with employee severance and related employee costs, as well as non-cash share-based compensation expense, which is recorded within research and development expense and sales, marketing, general and administrative expense on the condensed consolidated statements of operations. Accrued restructuring charges are included within accrued liabilities as of June 30, 2026 as follows (in thousands):

 

   Three Months Ended   Six Months Ended 
   June 30, 2026   June 30, 2026 
Accrued restructuring charges at beginning of period  $                           1,031   $1,139 
Change in estimate   40    40 
Cash paid   (485)   (593)
Accrued restructuring charges at end of period  $586   $586