Accrued and other current liabilities at July 31, 2026 and January 31, 2026 consisted of the following:


	As of
	July 31, 2026		January 31, 2026
	(in thousands)
Accrued employee compensation	$	21,401	$	31,251
Accrued product development costs		49,698		37,233
Software license liabilities, current		10,120		11,439
Development deposit liability		—		13,500
Other accrued liabilities		5,271		4,541
Total accrued and other current liabilities	$	86,490	$	97,964

The accrued employee compensation primarily consists of accrued payroll and accrued employee benefits, as well as employee stock purchase plan withholding. For the accrued employee compensation as of January 31, 2026, approximately $14.1 million of annual bonus was paid in the first quarter of fiscal year 2027, of which $8.6 million was paid in cash and $5.5 million was settled with fully vested restricted stock units. The timing of new and next-gen SoC development and invoicing from outside foundries usually results in fluctuation of accrued product development costs. The $13.5 million of development deposit liability as of January 31, 2026 represents a cash advance from a customer for funding a development project that is subject to certain refund conditions. On May 12, 2026, the Company terminated the development project with the customer. Pursuant to the terms of the termination agreement, the Company refunded $4.5 million of the deposit to the customer. The remaining $9.0 million of the deposit was recognized as a reduction of research and development expense in the second quarter ended July 31, 2026.