
	September 30,		December 31,
	2026		2025
	(in thousands)
Research and development tax credits and grants	$	2,103	$	1,666
Software and subscriptions	1,134		1,089
Deferred sales commissions(a)	715		751
Current lease deposits	—		163
Other prepaid expenses	1,173		1,059
Total prepaid expenses and other current assets	$	5,125	$	4,728

(a)Balance reflects commissions paid for new contracts, primarily new multi-year term license arrangements to be amortized over the anticipated customer life of five years.


	September 30,		December 31,
	2026		2025
	(in thousands)
Accrued employee expenses	$	6,302	$	6,263
Accrued taxes payable	1,402		1,333
Accrued operating expenses	1,284		1,525
Contingent consideration	710		1,741
Accrued royalties payable (a)	406		285
Litigation settlement	—		8,250
Total accrued expenses and other current liabilities	$	10,104	$	19,397

(a)Silvaco has entered into various renewable license agreements under which the Company has been granted access to the licensor's technology and the right to sell the technology in its product line. Royalties are payable to developers of the software at various rates and amounts, which generally are based upon unit sales, revenue or flat fees. Royalty fees are reported in cost of revenue upon delivery pursuant to the terms and conditions of the Company’s contractual obligations.