0001628945-21-000011 | 10-Q | XBRL Viewer

Print Document View Excel Document

Cover - shares	9 Months Ended
Cover - shares	Sep. 30, 2021	Nov. 05, 2021
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2021
Document Transition Report	false
Entity File Number	001-40590
Entity Registrant Name	Cue Health Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	27-1562193
Entity Address, Address Line One	4980 Carroll Canyon Rd.
Entity Address, Address Line Two	Suite 100
Entity Address, City or Town	San Diego
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	92121
City Area Code	858
Local Phone Number	412-8151
Title of 12(b) Security	Common Stock, par value $0.00001 per share
Trading Symbol	HLTH
Security Exchange Name	NASDAQ
Entity Current Reporting Status	No
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding (in shares)		146,362,598
Entity Central Index Key	0001628945
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q3
Amendment Flag	false

CONDENSED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Current assets:
Cash and cash equivalents	$ 446,589	$ 121,578
Restricted cash	12,000	6,000
Accounts receivable, net	90,190	4,168
Inventory	70,739	36,842
Prepaid expenses	47,922	13,847
Other current assets	2,088	1,263
Total current assets	669,528	183,698
Restricted cash, non-current	0	1,677
Property and equipment, net	168,642	103,683
Prepaid rent	161	16,771
Operating lease right-of-use assets	78,555	8,281
Intangible assets, net	3,691	2,038
Other non-current assets	1,407	180
Total assets	921,984	316,328
Current liabilities:
Accounts payable	35,148	23,847
Accrued liabilities and other current liabilities	26,212	8,822
Income taxes payable	37,365	0
Deferred revenue, current	76,341	115,747
Debt, current	0	5,434
Operating lease liabilities, current	3,960	797
Finance lease liabilities, current	2,603	1,249
Total current liabilities	181,629	155,896
Redeemable convertible preferred stock warrant liabilities	0	1,331
Deferred revenue, net of current portion	31,225	67,349
Operating leases liabilities, net of current portion	50,027	10,472
Finance lease liabilities, net of current portion	3,841	1,857
Other non-current liabilities	884	4,500
Total liabilities	267,606	241,405
Commitments and contingencies (Note 16)
Redeemable Convertible Preferred Stock
Total redeemable convertible preferred stock	0	176,323
Stockholders’ Equity (Deficit)
Preferred stock, $0.00001 par value; 50,000,000 and no shares authorized, no shares issued and outstanding at September 30, 2021 and December 31, 2020, respectively	0	0
Common stock, $0.00001 par value; 500,000,000 and 129,030,355 shares authorized, 146,362,598 and 27,995,780 issued and outstanding at September 30, 2021 and December 31, 2020, respectively	1	0
Additional paid-in-capital	712,625	9,036
Accumulated deficit	(58,248)	(110,436)
Total stockholders’ equity (deficit)	654,378	(101,400)
Total liabilities, redeemable convertible preferred stock and stockholders’ equity (deficit)	921,984	316,328
Series A Redeemable Convertible Preferred Stock
Redeemable Convertible Preferred Stock
Total redeemable convertible preferred stock	0	7,519
Series B Redeemable Convertible Preferred Stock
Redeemable Convertible Preferred Stock
Total redeemable convertible preferred stock	0	66,186
Series C-1 Redeemable Convertible Preferred Stock
Redeemable Convertible Preferred Stock
Total redeemable convertible preferred stock	0	96,436
Series C-2 Redeemable Convertible Preferred Stock
Redeemable Convertible Preferred Stock
Total redeemable convertible preferred stock	$ 0	$ 6,182

CONDENSED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Preferred stock, par value (in dollars per share)	$ 0.00001	$ 0.00001
Preferred stock, shares authorized (in shares)	50,000,000	0
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.00001	$ 0.00001
Common stock, shares authorized (in shares)	500,000,000	129,030,355
Common stock, shares issued (in shares)	146,362,598	27,995,780
Common stock, shares outstanding (in shares)	146,362,598	27,995,780
Series A Redeemable Convertible Preferred Stock
Temporary equity, par value (in dollars per share)	$ 0.00001	$ 0.00001
Temporary equity, shares authorized (in shares)		8,721,437
Temporary equity, shares issued (in shares)	0	8,350,743
Temporary equity, shares outstanding (in shares)	0	8,350,743
Temporary equity, liquidation preference	$ 0	$ 7,660
Series B Redeemable Convertible Preferred Stock
Temporary equity, par value (in dollars per share)	$ 0.00001	$ 0.00001
Temporary equity, shares authorized (in shares)		46,213,620
Temporary equity, shares issued (in shares)	0	46,176,715
Temporary equity, shares outstanding (in shares)	0	46,176,715
Temporary equity, liquidation preference	$ 0	$ 66,240
Series C-1 Redeemable Convertible Preferred Stock
Temporary equity, par value (in dollars per share)	$ 0.00001	$ 0.00001
Temporary equity, shares authorized (in shares)		27,308,229
Temporary equity, shares issued (in shares)	0	27,308,227
Temporary equity, shares outstanding (in shares)	0	27,308,227
Temporary equity, liquidation preference	$ 0	$ 100,000
Series C-2 Redeemable Convertible Preferred Stock
Temporary equity, par value (in dollars per share)	$ 0.00001	$ 0.00001
Temporary equity, shares authorized (in shares)		1,690,380
Temporary equity, shares issued (in shares)	0	1,690,380
Temporary equity, shares outstanding (in shares)	0	1,690,380
Temporary equity, liquidation preference	$ 0	$ 5,571

CONDENSED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Revenue
Revenue	$ 223,679	$ 4,730	$ 425,601	$ 9,690
Operating costs and expenses:
Sales and marketing	5,572	19	7,531	64
Research and development	9,079	6,878	21,150	26,558
General and administrative	33,084	3,694	56,336	7,458
Total operating costs and expenses	136,304	13,232	258,763	36,721
Income (loss) from operations	87,375	(8,502)	166,838	(27,031)
Other income (expense):
Interest expense	(1,786)	514	(9,752)	(274)
Change in fair value of redeemable convertible preferred stock warrant liabilities	243	20	53	0
Change in fair value of convertible notes	(36,306)	0	(59,560)	0
Loss on extinguishment of debt	0	(610)	(1,998)	(610)
Other income (expense), net	(80)	40	(19)	99
Net income (loss) before income taxes	49,446	(8,538)	95,562	(27,816)
Income tax expense	30,098	0	43,374	0
Net income (loss)	$ 19,348	$ (8,538)	$ 52,188	$ (27,816)
Net income (loss) per share attributable to common stockholders – basic (USD per share)	$ 140	$ (0.52)	$ 0.37	$ (1.72)
Weighted-average number of shares used in computation of net income (loss) per share attributable to common stockholders – basic (in shares)	31,554,720	16,556,343	22,997,311	16,126,647
Net income (loss) per share attributable to common stockholders – diluted (USD per share)	$ 0.13	$ (0.52)	$ 0.35	$ (1.72)
Weighted-average number of shares used in computation of net income (loss) per share attributable to common stockholders – diluted (in shares)	39,304,978	16,556,343	30,747,569	16,126,647
Product
Revenue
Revenue	$ 222,594	$ 2,128	$ 424,516	$ 2,128
Operating costs and expenses:
Cost of product revenue	88,569	2,641	173,746	2,641
Grant And Other Revenue
Revenue
Revenue	$ 1,085	$ 2,602	$ 1,085	$ 7,562

CONDENSED STATEMENT OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Cash flows from operating activities
Net income (loss)	$ 52,188	$ (27,816)
Adjustments to reconcile net income (loss) to net cash, cash equivalents and restricted cash used in operations
Depreciation and amortization	26,079	4,367
Inventory reserve	286	0
Change in fair value of redeemable convertible preferred stock warrant liabilities	(53)	0
Change in fair value of convertible notes	59,560	0
Stock-based compensation expense	25,558	242
Loss on extinguishment of debt	1,998	610
Non-cash lease expense	3,462	421
Convertible notes issuance costs	6,000	0
Deferred income taxes	883	0
Interest on finance leases	154	65
Stock-based compensation expense from issuance of fully vested warrant to vendor	1,239	0
Non-cash interest expense	1,857	16
Changes in operating assets and liabilities:
Accounts receivable	(86,022)	(2,564)
Inventory	(34,183)	(11,485)
Prepaid expenses and other current assets	(25,487)	(24,781)
Other non-current assets	(3,871)	40
Accounts payable, accrued liabilities and other current liabilities	5,270	1,759
Income taxes payable	37,365	0
Deferred revenue	(75,529)	0
Operating lease liabilities	(15,052)	(119)
Net cash, cash equivalents and restricted cash used in operating activities	(18,298)	(59,245)
Cash flows from investing activities
Purchase of property and equipment	(74,637)	(6,123)
Expenditures for software development	(3,524)	(885)
Net cash, cash equivalents and restricted cash used in investing activities	(78,161)	(7,008)
Cash flows from financing activities
Proceeds for Series C-1 redeemable convertible preferred stock	0	100,000
Proceeds from convertible notes	235,480	5,563
Payments for issuance costs of Series C-1 redeemable convertible preferred stock	0	(3,037)
Proceeds from exercise of redeemable convertible preferred stock warrant	89	0
Payments of issuance costs of convertible notes	(6,000)	0
Proceeds from exercise of common stock options	418	729
Proceeds from exercise of common stock warrant	77	0
Proceeds from issuance of common stock at public offering	230,000	0
Payments of issuance costs of public offering	(22,062)	0
Proceeds from debt	82,250	1,658
Tax withholding on exercise of stock options	(4,586)	0
Debt issuance and prepayment costs	(781)	0
Repayment of debt	(87,684)	(1,929)
Payments for finance leases	(1,408)	(385)
Net cash, cash equivalents and restricted cash provided by financing activities	425,793	102,599
Net increase in cash, cash equivalents and restricted cash	329,334	36,346
Cash, cash equivalents and restricted cash, beginning balance	129,255	14,505
Cash, cash equivalents and restricted cash, ending balance	458,589	50,851
Reconciliation of cash, cash equivalents, and restricted cash
Cash and cash equivalents	446,589	49,174
Restricted cash, current	12,000	0
Restricted cash, non-current	0	1,677
Total cash, cash equivalents and restricted cash	458,589	50,851
Supplemental disclosure for cash flow information
Cash paid for taxes	5,100	0
Cash paid for interest	760	106
Supplemental disclosure for non-cash investing and financing matters
Early exercised stock options liability	109	0
Right-of-use assets obtained in exchange for lease obligations	47,611	9,738
Conversion of preferred shares into common stock	176,322	0
Prepaid Rent Reclassified to Right-of-Use Assets	15,966	0
Purchase of property and equipment included in accounts payable	18,708	13,208
Conversion of convertible notes		0
Initial public offering costs included in accounts payable	$ 2,644	$ 0

CONDENSED STATEMENTS OF REDEEMABLE CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS’ DEFICIT (Unaudited) - USD ($) $ in Thousands	Total	Series A Redeemable Convertible Preferred Stock	Series B Redeemable Convertible Preferred Stock	Series C Redeemable Convertible Preferred Stock	Common Stock	Additional Paid-In Capital	Accumulated Deficit
Beginning balance (in shares) at Dec. 31, 2019		8,350,743	46,176,715	0
Beginning balance at Dec. 31, 2019		$ 7,519	$ 66,186	$ 0
Increase (Decrease) in Temporary Equity [Roll Forward]
Exercise of redeemable convertible preferred stock warrants (in shares)				27,308,227
Exercise of redeemable convertible preferred stock warrants				$ 96,963
Conversion of redeemable convertible preferred stock (in shares)				1,690,380
Conversion of redeemable convertible preferred stock				$ 6,182
Ending balance (in shares) at Sep. 30, 2020		8,350,743	46,176,715	28,998,607
Ending balance at Sep. 30, 2020		$ 7,519	$ 66,186	$ 103,145
Beginning balance (in shares) at Dec. 31, 2019					18,704,118
Beginning balance at Dec. 31, 2019	$ (58,139)				$ 0	$ 4,945	$ (63,084)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Exercise of common stock options (in shares)					1,918,499
Vesting of early exercised stock options	729					729
Stock-based compensation	242					242
Vesting of restricted stock and issuance of common stock per restricted stock purchase agreements (in shares)					7,373,163
Net income (loss)	(27,816)						(27,816)
Ending balance (in shares) at Sep. 30, 2020					27,995,780
Ending balance at Sep. 30, 2020	(84,984)				$ 0	5,916	(90,900)
Beginning balance (in shares) at Dec. 31, 2019		8,350,743	46,176,715	0
Beginning balance at Dec. 31, 2019		$ 7,519	$ 66,186	$ 0
Ending balance (in shares) at Dec. 31, 2020		8,350,743	46,176,715	28,998,607
Ending balance at Dec. 31, 2020	176,323	$ 7,519	$ 66,186	$ 102,618
Beginning balance (in shares) at Dec. 31, 2019					18,704,118
Beginning balance at Dec. 31, 2019	(58,139)				$ 0	4,945	(63,084)
Ending balance (in shares) at Dec. 31, 2020					27,995,780
Ending balance at Dec. 31, 2020	(101,400)				$ 0	9,036	(110,436)
Beginning balance (in shares) at Jun. 30, 2020		8,350,743	46,176,715	28,998,607
Beginning balance at Jun. 30, 2020		$ 7,519	$ 66,186	$ 103,145
Ending balance (in shares) at Sep. 30, 2020		8,350,743	46,176,715	28,998,607
Ending balance at Sep. 30, 2020		$ 7,519	$ 66,186	$ 103,145
Beginning balance (in shares) at Jun. 30, 2020					20,224,118
Beginning balance at Jun. 30, 2020	(76,591)				$ 0	5,771	(82,362)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Exercise of common stock options (in shares)					398,499
Stock-based compensation	145					145
Vesting of restricted stock and issuance of common stock per restricted stock purchase agreements (in shares)					7,373,163
Net income (loss)	(8,538)						(8,538)
Ending balance (in shares) at Sep. 30, 2020					27,995,780
Ending balance at Sep. 30, 2020	(84,984)				$ 0	5,916	(90,900)
Beginning balance (in shares) at Dec. 31, 2020		8,350,743	46,176,715	28,998,607
Beginning balance at Dec. 31, 2020	176,323	$ 7,519	$ 66,186	$ 102,618
Increase (Decrease) in Temporary Equity [Roll Forward]
Exercise of redeemable convertible preferred stock warrants (in shares)		48,513	31,369
Exercise of redeemable convertible preferred stock warrants		$ 831	$ 537
Conversion of redeemable convertible preferred stock (in shares)		(8,399,256)	(46,208,084)	(28,998,607)
Conversion of redeemable convertible preferred stock		$ (8,350)	$ (66,723)	$ (102,618)
Ending balance (in shares) at Sep. 30, 2021		0	0	0
Ending balance at Sep. 30, 2021	0	$ 0	$ 0	$ 0
Beginning balance (in shares) at Dec. 31, 2020					27,995,780
Beginning balance at Dec. 31, 2020	(101,400)				$ 0	9,036	(110,436)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Conversion of redeemable convertible preferred stock (in shares)					83,605,947
Conversion of redeemable convertible preferred stock	177,691				$ 1	177,690
Conversion of convertible notes into common stock (in shares)					18,611,914
Conversion of convertible notes into common stock	$ 297,792					297,792
Exercise of common stock options (in shares)	1,698,265				1,485,282
Exercise of common stock options	$ 417					417
Stock-based compensation expense from issuance of a fully vested warrant to vendor	1,239					1,239
Issuance of common stock at public offering, net of issuance costs (in shares)					14,375,000
Issuance of common stock at public offering, net of issuance costs	205,293					205,293
Exercise of common stock warrants (in shares)					84,118
Exercise of common stock warrants	77					77
Vesting of early exercised stock options	109					109
Tax withholding on exercise of stock options and restricted stock units	(4,586)					(4,586)
Common stock issued to outgoing directors (in shares)					128,000
Stock-based compensation	25,558					25,558
Vesting of restricted stock and issuance of common stock per restricted stock purchase agreements (in shares)					76,557
Net income (loss)	52,188						52,188
Ending balance (in shares) at Sep. 30, 2021					146,362,598
Ending balance at Sep. 30, 2021	654,378				$ 1	712,625	(58,248)
Beginning balance (in shares) at Jun. 30, 2021		8,350,743	46,176,715	28,998,607
Beginning balance at Jun. 30, 2021		$ 7,519	$ 66,186	$ 102,618
Increase (Decrease) in Temporary Equity [Roll Forward]
Exercise of redeemable convertible preferred stock warrants (in shares)		48,513	31,369
Exercise of redeemable convertible preferred stock warrants		$ 831	$ 537
Conversion of redeemable convertible preferred stock (in shares)		(8,399,256)	(46,208,084)	(28,998,607)
Conversion of redeemable convertible preferred stock		$ (8,350)	$ (66,723)	$ (102,618)
Ending balance (in shares) at Sep. 30, 2021		0	0	0
Ending balance at Sep. 30, 2021	0	$ 0	$ 0	$ 0
Beginning balance (in shares) at Jun. 30, 2021					29,128,604
Beginning balance at Jun. 30, 2021	(61,332)				$ 0	16,264	(77,596)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Conversion of redeemable convertible preferred stock (in shares)					83,605,947
Conversion of redeemable convertible preferred stock	177,691				$ 1	177,690
Conversion of convertible notes into common stock (in shares)					18,611,914
Conversion of convertible notes into common stock	297,792					297,792
Exercise of common stock options (in shares)					436,576
Exercise of common stock options	159					159
Issuance of common stock at public offering, net of issuance costs (in shares)					14,375,000
Issuance of common stock at public offering, net of issuance costs	205,293					205,293
Vesting of early exercised stock options	46					46
Tax withholding on exercise of stock options and restricted stock units	(4,586)					(4,586)
Common stock issued to outgoing directors (in shares)					128,000
Stock-based compensation	19,967					19,967
Vesting of restricted stock and issuance of common stock per restricted stock purchase agreements (in shares)					76,557
Net income (loss)	19,348						19,348
Ending balance (in shares) at Sep. 30, 2021					146,362,598
Ending balance at Sep. 30, 2021	$ 654,378				$ 1	$ 712,625	$ (58,248)

CONDENSED STATEMENTS OF REDEEMABLE CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS’ DEFICIT (Unaudited) (Parenthetical) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2021
Statement of Stockholders' Equity [Abstract]
Payments of stock issuance costs	$ 24.7	$ 24.7

BUSINESS AND BASIS OF ACCOUNTING	9 Months Ended
BUSINESS AND BASIS OF ACCOUNTING	Sep. 30, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
BUSINESS AND BASIS OF ACCOUNTING	BUSINESS AND BASIS OF ACCOUNTING Organization and Description of Business Cue Health Inc. (the “Company”) was originally formed in the State of California on January 26, 2010, prior to being incorporated in the State of Delaware on December 14, 2017. The Company is a healthcare technology company committed to revolutionizing the healthcare experience by providing individuals with a convenient and connected diagnostic platform that bridges the physical and virtual care continuum. The Company’s proprietary platform, the Cue Health Monitoring System, comprised of the Cue Reader and Cue Test Kit, enables lab-quality diagnostics-led care at home, at work or at the point of care. This platform is designed to empower stakeholders across the healthcare ecosystem, including individuals, enterprises, healthcare providers and payors, and public health agencies with paradigm-shifting access to diagnostic and health data to inform care decisions. The Company’s headquarters are located in San Diego, California. Initial Public Offering The Company’s registration statement related to its initial public offering (“IPO”) was declared effective on September 23, 2021, and the Company’s common stock began trading on the Nasdaq Global Stock Market (“Nasdaq”) on September 24, 2021. On September 28, 2021, the Company completed its IPO of 14,375,000 shares of the Company common stock at an offering price of $16.00 per share, including 1,875,000 shares purchased by the IPO underwriters. The Company received aggregate net proceeds of approximately $205.3 million after deducting underwriting commissions and legal, accounting, and consulting fees related to the IPO. Upon completion of the IPO, Convertible Notes outstanding in the principal amount of $235.5 million and accrued interest of $2.7 million were automatically converted into 18,611,914 shares of common stock. All outstanding shares of the Company’s redeemable convertible preferred stock were converted into 83,605,947 shares of common stock. Immediately prior to the IPO, all of the Company’s outstanding warrants to purchase redeemable convertible preferred stock were converted into the redeemable convertible preferred stock and the related warrant liabilities were reclassified to additional paid-in capital. Basis of Presentation The accompanying unaudited interim condensed financial statements should be read in conjunction with the audited annual financial statements and notes thereto for the year ended December 31, 2020. The unaudited interim condensed balance sheet as of December 31, 2020 included herein was derived from the audited financial statements as of that date. The results of operations for the three and nine months ended September 30, 2021 are not necessarily indicative of the results for the fiscal year ending December 31, 2021 or any future interim period. The Company’s financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”), applicable rules and regulations of the U.S. Securities and Exchange Commission (“SEC”) for interim reporting and, in the opinion of management, include all adjustments necessary for the fair presentation of the Company’s financial position for the periods presented. All such adjustments are of a normal, recurring nature. Certain disclosures have been condensed or omitted from the interim condensed financial statements. The preparation of the accompanying financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, income and expenses as well as the related disclosure of contingent assets and liabilities. Use of Estimates The preparation of the accompanying financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities as of the date of the financial statements, and the reported amounts of revenue and expenses during the reporting period. Actual results could materially differ from those estimates. Significant estimates and assumptions made in the accompanying financial statements include, but are not limited to revenue recognition, net accounts receivable, equity-based compensation expense, product warranty reserve, the recoverability of its long-lived assets, net deferred tax assets (and related valuation allowance) and the fair value of Company’s common warrants, Convertible Notes and common stock prior to Company’s IPO. The Company evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors and adjusts those estimates and assumptions when facts and circumstances dictate. Actual results could materially differ from those estimates. Segment Reporting Operating segments are identified as components of an enterprise about which discrete financial information is available for evaluation by the chief operating decision-maker in making decisions regarding resource allocation and assessing performance. In addition, the guidance for segment reporting indicates certain quantitative materiality thresholds. The Company views its operations and manages its business in one operating segment which is consistent with how the Chief Executive Officer, who is the chief operating decision maker, reviews the business, makes investment and resource allocation decisions, and assesses operating performance. All revenue to date is from customers located in the United States and all long-lived assets are located in the United States. COVID-19 Impact The novel coronavirus (“COVID-19”) that was declared a global pandemic by the World Health Organization in March 2020 adversely impacted global commercial activity but served as a catalyst to accelerating the Company’s product pipeline. The Company’s first commercially available diagnostic test for the Cue Health Monitoring System is the Cue COVID-19 test for ribonucleic acid of SARS-CoV-2, the virus that causes COVID-19. The Company began selling and recording product revenues for its Cue COVID-19 test in August 2020 after obtaining an Emergency Use Authorization (“EUA”) from the Federal Drug Administration (“FDA”) in June 2020. Currently, 100% of the Company’s product revenues are derived from the Cue COVID-19 test. Given the unpredictable nature of the COVID-19 pandemic, the development and potential size of the COVID-19 diagnostic testing market is highly uncertain. The FDA issued emergency use authorizations for two COVID-19 vaccines and in February 2021, the FDA issued a third EUA for a COVID-19 vaccine. The widely administered use of an efficacious vaccine or new therapeutic treatment for COVID-19 may reduce the demand for the Cue COVID-19 test and, as a result, the COVID-19 diagnostic testing market may not develop or grow substantially. Given the rapid development of events surrounding the pandemic, there is uncertainty to the Company’s future results and performance.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

9 Months Ended

Sep. 30, 2021

Accounting Policies [Abstract]

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Cash and Cash Equivalents

Cash and cash equivalents consist of bank deposits. The Company considers all highly liquid investments with an original maturity of three months or less to be cash equivalents.

Restricted Cash

Restricted cash consists primarily of cash that serves as collateral for the Company’s standby letters of credit. Any cash that is legally restricted from use is classified as restricted cash. If the purpose of restricted cash relates to acquiring long-term assets, liquidating a long-term liability, or is otherwise unavailable for a period longer than one year from the balance sheet date, the restricted cash is classified as a long-term asset. Otherwise, restricted cash is presented in current assets in the balance sheets. As of September 30, 2021, the Company had $12.0 million of restricted cash included in current assets on the balance sheet.

Accounts Receivable

The Company grants credit to customers in the normal course of business and the resulting accounts receivables are stated at their net realizable value. The allowance for doubtful accounts represents the Company’s estimate of probable credit losses relating to accounts receivables and is determined based on historical experience and other specific account data. Amounts are written off against the allowances for doubtful accounts when the Company determines that a customer account is uncollectible. As of September 30, 2021, the Company’s allowance for bad debt was $0.3 million.

Inventories

Inventory is valued at lower of cost or net realizable value on a first in, first out basis. Work-in-process and finished goods inventories consist of materials, labor and manufacturing overhead. Inventory owned by the Company that is on hand with contract manufacturers is disclosed as inventory on consignment. Provisions for excess and obsolete inventory are

primarily based on the Company’s estimates of forecasted sales, usage levels, and expiration dates, as applicable for certain disposable products, and assumptions about obsolescence. Unabsorbed manufacturing costs are treated as expense in the period incurred.

Product Warranty Reserve

The Company provides its customers with the right to receive a replacement of defective or nonconforming Cue Readers for a period of up to twelve months from the date of shipment. Although no explicit warranty is provided for Cue Cartridges, the Company may replace Cue Cartridges that result in invalid test results. All warranties are classified as current liabilities and within the accrued liabilities and other current liabilities on the balance sheet. Provisions for estimated expenses related to product warranty are made at the time products are sold. These estimates are determined historical information that includes test failure rates, replacement frequency, and the overall replacement cost. The Company evaluates the reserve on a quarterly basis and makes adjustments when appropriate. Changes to test failure rates and overall replacement rates could have a material impact on our estimated liability. The product warranty reserve is recorded within accrued liabilities and other current liabilities on the balance sheets and in costs of product revenue in the statements of operations.

The following table provides a reconciliation of the change in estimated warranty liabilities:


	Amount
Balance, December 31, 2020	$	—
Provision for warranties	7,063
Settlements	(834)
Balance, September 30, 2021	$	6,229

Fair Value Measurements and Financial Instruments

The carrying value of the Company’s cash and cash equivalents, accounts receivables and accounts payable approximate fair value due to the short-term nature of these items. Based on the borrowing rates currently available to the Company for debt with similar terms and consideration of default and credit risk, the carrying value of the Company’s long-term borrowings approximates its fair value.

Fair value is defined as the exchange price that would be received for an asset or an exit price paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs.

The fair value hierarchy defines a three-level valuation hierarchy for disclosure of fair value measurements as follows:

Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities.

Level 2 — Inputs other than quoted prices included within Level I that are observable, unadjusted quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the related assets or liabilities.

Level 3 — Unobservable inputs that are supported by little or no market activity for the related assets or liabilities.

The categorization of a financial instrument within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement.

The Company records subsequent adjustments to reflect the increase or decrease in estimated fair value at each reporting date in current period earnings.

Property and Equipment, Net

Property and equipment, net, which consist of manufacturing equipment, laboratory equipment, computers and software, office equipment and leasehold improvements, are stated at cost less depreciation. Leasehold improvements are amortized on a straight-line basis over the shorter of their useful life or the remaining lease term, including any renewal periods that the Company is reasonably certain to exercise. Repair and maintenance costs that do not improve service potential or extend economic life are expensed as incurred.

The estimated useful lives are as follows:


			Years
Leasehold improvements			Shorter of the estimated useful life or lease term
Machinery and equipment			3-7 years
Furniture and fixtures			7

The Company completed a review of the estimated useful lives of its assets upon receiving FDA EUAs of the Company’s Cue COVID-19 Test in June 2020. This review, based on expected technological advances and demand expectations, reduced the useful life of laboratory equipment from seven to five years and the useful life of manufacturing equipment from seven to three years. The change in useful lives was accounted for as a change in accounting estimate on a prospective basis effective June 1, 2020. For the nine months ended September 30, 2020, the change in estimate resulted in an increase in depreciation and amortization expense of $2.2 million, an increase in net loss of $2.2 million and an increase in basic and diluted net loss per share of $0.14 .

Intangible Assets

Intangible assets are recorded at cost and amortized on a straight-line basis over their estimated useful lives. Intangible assets consist of capitalized software costs incurred in the development of the Cue Health App (the “App”). The Company determined that costs incurred during the application development stage that are directly related to the actual development of the software application are capitalized, while costs incurred in the preliminary project and post implementation stage are expensed as incurred. Additionally, indirect costs related to the software development during the application development stage are expensed as incurred. As the App is constantly updated to the next version once it has reached technological feasibility, the Company separates costs on a reasonable basis between maintenance and upgrades that extend the functionality and useful life of the App. The maintenance costs are expensed as incurred. The Company has concluded that given the rapid changes in technology, the software has a relatively short useful life of three years and is amortized on a straight-line basis. Amortization expense related to the App is recorded in cost of product revenue.

Leases

The Company determines if an arrangement is a lease at inception and if so, determines whether the lease qualifies as an operating or finance lease. Lease balances are included in the balance sheets as right-of-use assets and lease liabilities.

Right-of-use assets represent the right to use an underlying asset for the lease term and lease liabilities represent the obligation to make lease payments arising from the lease. Right-of-use assets and liabilities are recognized at lease commencement date based on the present value of lease payments over the lease term. When the Company’s leases do not provide an implicit rate, an incremental borrowing rate is used based on the information available at commencement dates in determining the present value of lease payments. The incremental borrowing rate is the rate of interest that the Company would expect to pay to borrow over a similar term, and on a collateralized basis, an amount equal to the lease payments in a similar economic environment. The Company’s lease terms may include options to extend or terminate the lease when the Company is reasonably certain that it will exercise such options. Lease expense for lease payments is recognized on a straight-line basis over the lease term.

Deferred Offering Costs

The Company capitalizes certain legal, professional accounting and other third-party fees that are directly associated with in-process equity financings as deferred offering costs until such financings are consummated. After consummation of the financing, these costs are recorded as a reduction of the proceeds received from the equity financing. If a planned equity financing is abandoned, the deferred offering costs are expensed immediately as a charge to operating expenses in the condensed statements of operations. There were no deferred offering costs recorded in the Company’s balance sheets as of December 31, 2020. As of September 30, 2021, the deferred offering costs were offset against the proceeds received upon the completion of the IPO.

Impairment of Long-Lived Assets

Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset or an asset group may not be recoverable. If such triggering event is determined to have occurred, the asset’s or asset group’s carrying value is compared to the future undiscounted cash flows expected to be generated. If the carrying value exceeds the undiscounted cash flows of the asset, then an impairment exists. An impairment loss is

measured as the excess of the asset’s carrying value over its fair value. There were no impairment indicators and no impairment was recorded for the nine months ended September 30, 2021 and the year ended December 31, 2020.

Common Stock Warrants

Common stock warrants are measured at their estimated fair value upon issuance and recorded in additional paid-in capital. Common stock warrants are classified as equity and no subsequent remeasurement is required.

Redeemable Convertible Preferred Stock Warrants

The Company accounts for its redeemable convertible preferred stock warrants as liabilities based upon the characteristics and provisions of each instrument. The redeemable convertible preferred stock warrants classified as liabilities are recorded on the Company’s balance sheets at their fair values on the date of issuance and are revalued on each subsequent balance sheet date, with fair value changes recognized as increases or reductions in the statement of operations. All of the Company’s outstanding redeemable convertible preferred stock warrants were exercised and converted into shares of Series A and Series B redeemable convertible preferred stock prior to the IPO.

Convertible Notes

The Company elected to account for Convertible Notes issued in May 2021 using the fair value option. Such instruments are recognized at estimated fair value, with changes in estimated fair value recorded as a component of earnings in the statements of operations unless the change is a result of a change in credit risk, in which case such change in estimated fair value is recorded within other comprehensive income. Direct issuance costs are expensed as incurred and are included in interest expense in the statements of operations.

Increases or decreases in the fair value of the Convertible Notes can result from updates to assumptions such as the expected timing or probability of a qualified financing event, or changes in discount rates. Judgment is used in determining these assumptions as of the initial valuation date and at each subsequent reporting period. Updates to assumptions could have a significant impact on the Company’s results of operations in any given period.

Upon completion of the IPO, outstanding Convertible Notes in the principal amount of $235.5 million and accrued interest of $2.8 million were automatically converted into 18,611,914 shares of commons stock, based on interest accrued through September 27, 2021 and a 20% discount to the IPO price of $16.00 per share. The Company no longer has Convertible Notes outstanding as of September 30, 2021.

Redeemable Convertible Preferred Stock

Prior to the completion of the IPO, the Company had multiple classes of redeemable convertible preferred stock, all of which were classified as temporary equity in the accompanying condensed balance sheet as the redemption of the shares were outside of the Company's control.

In connection with the completion of the IPO in September 2021, all outstanding shares of redeemable convertible preferred stock were automatically converted into an aggregate of 83,605,947 shares of common stock.

Revenue Recognition

Product Revenue

The Company generates revenue from the sale of its Cue Health Monitoring System to government entities, healthcare providers, commercial customers, and through agreements with distributors. See Note 3, Revenue Recognition, for details.

The Company considers purchase orders, which are governed by agreements with customers, to be a contract with a customer. The contract terms with customers range in length, from one-time purchases to six-month or twelve-month commitments on a subscription basis where customers purchase a fixed number of products on a monthly basis. The timing of revenue recognition is based on the satisfaction of performance obligations promised to the customer. Cue Readers, Cue Enterprise Dashboards, and Cue Test Kits, composed of Cue Cartridges and Cue Wands, are considered distinct performance obligations. The App is integral to the functionality of the Cue Reader and these components form a single performance obligation. Revenue allocated to Cue Readers and Cue Test Kits is recognized when control of the promised goods has transferred to customers, generally upon shipment, in an amount that reflects the consideration the Company expects to receive in exchange for those goods. Revenue allocated to Cue Enterprise Dashboards is recognized

ratably over the term of the service. The Company’s contracts with its customers do not provide for open return rights, except within a reasonable time after receipt of goods in the case of defective or non-conforming product. The Company estimates returns of products due to defective or nonconforming products and records a provision for estimated expenses related to product warranty at the time products are sold. The transaction price is measured as the amount of consideration the Company expects to receive in exchange for the goods transferred to customers. A contract’s transaction price is allocated to each distinct performance obligation on a relative standalone selling price basis. The Company estimates standalone selling prices for groups of customers with similar circumstances and characteristics.

The Company recognizes receivables when there is an unconditional right to payment, which represents the amount the Company expects to collect in a transaction and is most often equal to the transaction price in the contract. Payment terms are typically 30 to 45 days.

The Company excludes from the measurement of the transaction price all taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction and collected by the entity from a customer.

See Note 3, Revenue Recognition, for details regarding disaggregation of product revenue by type of customer for the three and nine months ended September 30, 2021 and 2020.

Deferred Revenue

In October 2020, the Company received a $184.6 million upfront payment (“U.S. DoD Advance”) from the U.S. DoD to increase production capacity of its Cue COVID-19 Test. The Company concluded that the activities related to increasing production do not represent a performance obligation as those activities do not transfer a product or service to the customer. Instead, the upfront payment is an advanced payment for future goods or services because the agreement with the U.S. government included an option to renew the contract which included a material right to obtain products in a future contract at a specified discount, subject to a price floor, from prices offered to commercial customers with similar volume of purchases.

Deferred revenue is recognized upon satisfaction of performance obligations by reference to the total goods or services expected to be provided to the customer, including an estimate of future performance obligations under expected contract renewals, and the corresponding expected consideration.

Grant and Other Revenue

Arrangements under which the Company receives grants or contracts to conduct research and development activities constitute non-exchange transactions. Revenue from such is recognized to the extent of costs incurred in the period during which the related costs are incurred, provided that the conditions under which the grants and contracts were provided have been met and only perfunctory performance obligations are outstanding. Costs are included in research and development expenses.

The Company may enter into collaboration agreements with third parties to conduct research and development activities. The Company evaluates its collaboration agreements for proper classification in its statements of operations based on the nature of the underlying activity. When the Company has concluded that it has a customer relationship with one of its collaborators, the Company follows the guidance in ASC Topic 606, Revenue from Contracts with Customers.

See Note 3, Revenue Recognition, for details regarding the Company’s agreements with the Biomedical Advanced Research and Development Authority (“BARDA”) and Janssen.

Contract Assets and Liabilities

Contract assets primarily relate to the Company’s conditional right to consideration for work completed but not billed at the reporting date. Contract assets at the beginning of and end of the year ended December 31, 2020, as well as changes in the balance, were not material.

Contract liabilities primarily relate to the U.S. DoD Advance and were recorded in current and non-current deferred revenue on the balance sheets. See Note 3, Revenue Recognition, for details regarding the activity related to contract liabilities for the nine months ended September 30, 2021.

Revenue Contracts

In the second quarter of 2021, the Company entered into a purchase agreement to provide a customer with Cue Readers and in excess of 1,000,000 Cue Test Kits between the effective date of the agreement and December 2021 based on a pre-defined monthly delivery schedule. In the third quarter of 2021, the customer increased its order of Cue Readers and Cue COVID-19 Test Kits. The customer may change the quantities ordered and may terminate the order and/or agreement with a 45 days’ notice.

In May 2021, the Company entered into a purchase agreement to provide a customer a one-time order of 1,000 Cue Readers and 300,000 Cue COVID-19 Test Kits on a monthly basis during the 12-month period following the agreement execution date. In August 2021, the Company and customer amended the purchase agreement to reduce the number of Cue COVID-19 Test Kits to 10,000 test kits on a monthly basis until the agreement expiration date. The agreement may be terminated for cause by either party with a 30 days’ notice.

In September 2021, the contract with the U.S. Department of Defense (“U.S. DoD Agreement”) was amended to extend delivery of the 6,000,000 Cue Test Kits and other deliverables to December 31, 2021.

Cost of Product Revenue

Cost of product revenue includes the cost of materials, direct labor, inclusive of salaries and other related costs, including stock-based compensation, depreciation, and manufacturing overhead costs used in the manufacturing of the Cue Test Kits as well as contract manufacturing costs associated with production of the Cue Readers. Cost of product revenue also includes amortization of intangible assets.

Shipping and Handling Costs

The Company elected to account for shipping and handling as activities to fulfill the promise the goods and records them as cost of product revenue.

Sales and Marketing Expenses

Sales and marketing expense consist primarily of salaries and other related costs, including stock-based compensation, for personnel in sales and marketing, customer support and business development functions.

Research and Development Expenses

Research and development expenses are expensed as incurred. Research and development expenses are primarily comprised of costs and expenses for salaries and other related costs, including stock-based compensation, associated with research and development personnel, contract services, laboratory supplies, facilities, depreciation, and outside services. Costs associated with the Company’s grant and collaboration agreements as well as costs associated with products produced for research and development purposes are recorded within research and development expenses.

Accrued Research and Development Costs

The Company records accrued expenses for estimated costs of its research and development activities conducted by third-party service providers, which include clinical trial activities, based on the estimated amount of services or supplies provided but not yet invoiced and include these costs in accrued liabilities in the balance sheets and within research and development expense in the statements of operations. Any payments made in advance of services or supplies provided are recorded as prepaid assets, which are expensed as the services or supplies are received.

The Company estimates the amount of work completed through discussions with internal personnel and external service providers as to the progress or stage of completion of the services and the agreed-upon fee to be paid for such services. Significant judgments and estimates are made in determining the accrued balance in each reporting period. As actual costs become known, the Company adjusts its accrued estimates.

General and Administrative Expenses

The Company’s general and administrative expense consists primarily of salaries and other related costs, including stock-based compensation, for personnel in its executive, finance, corporate and business development and administrative functions. General and administrative expense also includes professional fees for legal, patent, accounting, information

technology, depreciation, auditing, tax and consulting services, travel expenses and facility-related expenses, which include allocated expenses for rent and maintenance of facilities and other operating costs.

Patent Costs

Costs related to filing and pursuing patent applications are expensed as incurred, as recoverability of such expenditures is uncertain. These costs are included in general and administrative expenses.

Fair Value of Common Stock

Prior to the IPO, the fair value of the shares of common stock underlying the Company’s stock-based awards was estimated on each grant date by its board of directors. In order to determine the fair value of its common stock underlying option grants, the Company’s board of directors considered, among other things, valuations of its common stock prepared by an unrelated third-party valuation firm in accordance with the guidance provided by the American Institute of Certified Public Accountants Practice Guide, Valuation of Privately-Held-Company Equity Securities Issued as Compensation.

Stock-Based Compensation

The Company estimates the fair value of stock options using the Black-Scholes-Merton (“BSM”) option pricing model on the date of grant. The fair value of equity instruments expected to vest are recognized and amortized on a straight-line basis over the requisite service period of the award, which is generally three to four years; however, the Company’s equity compensation plans provide for any vesting schedule as the Company’s Board of Directors may deem appropriate. The Company recognizes forfeitures as incurred.

The BSM option pricing model incorporates various estimates, including the fair value of the Company’s common stock, expected volatility, expected term and risk-free interest rates. The weighted-average expected term of options was calculated using the simplified method. This decision was based on the lack of relevant historical data due to the Company’s limited historical experience. In addition, due to the Company’s limited historical data, the estimated volatility incorporates the historical volatility over the expected term of the award of comparable companies whose share prices are publicly available. The risk-free interest rate for periods within the contractual term of the option is based on the U.S. Treasury yield in effect at the time of grant. The dividend yield was zero, as the Company has never declared or paid dividends and has no plans to do so in the foreseeable future.

For stock-based compensation awards with both performance and market-condition vesting, such as restricted stock units, cost is measured at the grant date, based on the fair value of the award considering the market conditions, and recorded over the requisite service period if the performance condition is probable. The Company estimates the fair value of stock-based payment awards considering the market conditions on the date of grant using a Monte Carlo simulation model.

Comprehensive Income

Comprehensive income is defined as a change in equity of a business enterprise during a period, resulting from transactions from non-owner sources. There have been no items qualifying as other comprehensive income and, therefore, the Company’s comprehensive income was the same as its reported net income.

Income Taxes

The Company accounts for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, deferred tax assets and liabilities are determined on the bases of the differences between the financial statements and tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date.

The Company recognizes net deferred tax assets to the extent that the Company believes these assets are more likely than not to be realized. In making such a determination, management considers all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. If management determines that the Company would be able to realize its deferred tax assets in the future in excess of their net recorded amount, management would adjust the deferred tax asset valuation allowance, which would reduce the provision for income taxes.

The Company records uncertain tax positions on the basis of a two-step process whereby (1) management determines whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position and (2) for those tax positions that meet the more-likely-than-not recognition threshold, management recognizes the largest amount of tax benefit that is more than 50% likely to be realized upon ultimate settlement with the related tax authority. The Company recognizes interest and penalties related to unrecognized tax benefits within income tax expense. Any accrued interest and penalties are included within the related tax liability.

Out-of-period Correction

Certain immaterial cost of product revenue expenses of $3.0 million were not recognized by the Company in the three and six months ended June 30, 2021. This immaterial prior period error was recognized as an out-of-period adjustment to cost of product revenue in the statements of operations for the three and nine months ended September 30, 2021.

Recent Accounting Pronouncements

In September 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326) – Measurement of Credit Losses on Financial Instruments. The standard provides guidance for estimating credit losses on certain types of financial instruments, including trade receivables, by introducing an approach based on expected losses. The expected loss approach will require entities to incorporate considerations of historical information, current information and reasonable and supportable forecasts. ASU 2017-13 also amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. The FASB has issued several amendments to the standard. In November 2019, the FASB amended the standard with the issuance of ASU 2019-10, Financial Instruments – Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842): Effective Dates. The amendment revised the effective date of ASU 2016-13 to fiscal years beginning after December 15, 2022. The Company is currently evaluating the impact of ASU 2016-13 on its financial statements.

In August 2020, the FASB issued ASU No. 2020-06, Debt — Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging — Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity (“ASU 2020-06”). The ASU simplifies the accounting for convertible instruments by removing certain models in Subtopic 470-20 and revises the guidance in Subtopic 815-40 to simplify the accounting for contracts in an entity’s own equity. ASU 2020-06 is effective for reporting periods beginning after December 15, 2023 with early adoption permitted for reporting periods beginning after December 15, 2020. The amendment is to be adopted through either a modified retrospective or fully retrospective method of transition. The Company is currently evaluating the impact of ASU 2020-06 on its financial statements and its adoption method.

REVENUE

9 Months Ended

Sep. 30, 2021

Revenue from Contract with Customer [Abstract]

REVENUE

Product Revenue

For the three and nine months ended September 30, 2021, product revenue from public sector entities primarily relates to a $480.9 million agreement the Company entered into with the U.S. government for the purchase of its Cue COVID-19 Test in October 2020 (“the U.S. DoD Agreement”). The U.S. DoD Agreement provided a $184.6 million U.S. DoD Advance to facilitate the scaling of the Company’s manufacturing capacity, which was received upon signing the contract. The remainder of the agreement is for the sale of the Company’s products. Product revenue from private sector customers represented 42% of product revenue in the three months ending September 30, 2021, 24% in the three months ending June 30, 2021 and 4% in the three months ending March 31, 2021.

Disaggregation of the product revenue by type of customer for the three and nine months ended September 30, 2021 and 2020, respectively:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Public sector entities	$	128,587	$	1	$	295,708	$	1
Private sector customers	94,007		2,127		128,808		2,127
Total product revenue	$	222,594	$	2,128	$	424,516	$	2,128

Product revenue from public sector entities primarily relates to the U.S. DoD Agreement.

The following table sets forth the Company’s product gross profit and product gross profit margin for the three and nine months ended September 30, 2020 and 2021:


	Three Months Ended September 30,						Nine Months Ended September 30,
	2021			2020			2021			2020
Product revenue	$	222,594		$	2,128		$	424,516		$	2,128
Cost of product revenue	88,569			2,641			173,746			2,641
Product gross profit	$	134,025		$	(513)		$	250,770		$	(513)
Product gross profit margin	60		%	(24)		%	59		%	(24)		%

Contract Assets and Liabilities

Contract assets primarily relate to the Company’s conditional right to consideration for work completed but not billed at the reporting date.

Contract liabilities primarily relate to the U.S. DoD Advance and were recorded in current and non-current deferred revenue on the balance sheets. The activity related to contract liabilities for the nine months ended September 30, 2021 is as follows:


	Amount
Balance at December 31, 2020	$	183,096
Recognition of U.S. DoD Advance	(74,726)
Recognition of non-refundable customer deposits	(804)
Balance at September 30, 2021	$	107,566

Grant and Other Revenue

Grant and other revenue relate to a cost reimbursement agreement with the Biomedical Advanced Research and Development Authority (“BARDA”) and a collaboration agreement with Janssen Pharmaceuticals, Inc. (“Janssen”). The Company generated $2.6 million and $7.6 million of revenue related to the agreement with BARDA during the three and nine months ended September 30, 2020, respectively. The Company generated $0.9 million of revenue related to the agreement with BARDA during the three and nine months ended September 30, 2021.

- Definition

The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-URI http://asc.fasb.org/topic&trid=49130388

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 10
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130551-203045

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (b)(2)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130556-203045

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 9
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130550-203045

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (e)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 15
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130558-203045

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

+ Details

INVENTORIES

9 Months Ended

Sep. 30, 2021

Inventory Disclosure [Abstract]

INVENTORIES

As of September 30, 2021, and December 31, 2020, the Company’s inventories consisted of the following:


	September 30, 2021		December 31, 2020
Raw materials	$	34,164	$	29,948
Work-in-process	10,643		4,957
Finished goods	21,216		1,645
Inventory on consignment	5,791		1,081
Reserve	(1,075)		(789)
Total inventories	$	70,739	$	36,842

Inventory on consignment represents inventory owned by the Company that is on hand with contract manufacturers. The inventory reserve relates to excess and obsolete inventory as a result of ongoing assessments of inventory on hand and the continuous improvement and innovation of its products.

PREPAID EXPENSES

9 Months Ended

Sep. 30, 2021

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

PREPAID EXPENSES

As of September 30, 2021, and December 31, 2020, the Company’s prepaid expenses consisted of the following:


	September 30, 2021		December 31, 2020
Prepaid expense	$	33,476	$	5,152
Prepaid inventory	14,446		8,695
Total prepaid expenses	$	47,922	$	13,847

PROPERTY AND EQUIPMENT, NET

9 Months Ended

Sep. 30, 2021

Property, Plant and Equipment [Abstract]

PROPERTY AND EQUIPMENT, NET

As of September 30, 2021, and December 31, 2020, the Company’s property and equipment, net consisted of the following:


	September 30, 2021		December 31, 2020
Construction in progress	$	861	$	83,353
Machinery and equipment	175,961		26,972
Leasehold improvements	26,172		2,897
Furniture and fixtures	1,008		683
Property and equipment	204,002		113,905
Accumulated depreciation and amortization	(35,360)		(10,222)
Total property and equipment, net	$	168,642	$	103,683

Depreciation and amortization expense related to property and equipment was $11.4 million and $1.0 million for the three months ended September 30, 2021 and 2020, respectively. Depreciation and amortization expense related to property and equipment was $24.2 million and $4.4 million for the nine months ended September 30, 2021 and 2020, respectively. The carrying value of assets under finance leases within property and equipment as of September 30, 2021 and December 31, 2020 and was $10.3 million and $4.8 million, respectively.

INTANGIBLE ASSETS

9 Months Ended

Sep. 30, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

INTANGIBLE ASSETS

As of September 30, 2021, and December 31, 2020, the Company’s intangible assets consisted of the following:


	September 30, 2021		December 31, 2020
Capitalized software	$	5,638	$	2,114
Accumulated amortization	(1,947)		(76)
Total intangible assets	$	3,691	$	2,038

Amortization expense related to intangible assets was $0.2 million and $1.9 million for the three and nine months ended September 30, 2021, respectively. Estimated amortization expense for each of the years ending December 31 is as follows:


2021 (excluding the nine months ended September 30, 2021)	$	352
2022	1,409
2023	1,362
2024	568
Total amortization expense	$	3,691

LEASES

9 Months Ended

Sep. 30, 2021

Leases [Abstract]

LEASES

LEASESIn September 2020, the Company entered into an agreement to lease a 63,700 square-foot building to be used as manufacturing facility in San Diego, California (“Waples Lease”). The Waples Lease has an initial term of ten years with a renewal option to extend the lease which the Company is not reasonably certain to exercise. The Waples Lease commenced in May 2021 when the Company was granted a temporary certificate of occupancy to install the manufacturing equipment.

The Company paid $12.5 million for a landlord-owned improvements recorded as a prepaid rent until the commencement date when those were reclassified into the right-of-use asset. The Company recognized an operating lease right-of use asset of approximately $32.4 million and operating lease liabilities of $19.9 million related to the Waples Lease as of commencement date.

In October 2020, the Company entered into an agreement to lease a 197,000 square-foot building to be used as a manufacturing facility in Vista, California (“Vista Lease”). The Vista Lease has an initial term of five years and the Company is reasonably certain to exercise a renewal option to extend the lease term for an additional five years. The Vista Lease commenced in January 2021 when the Company was permitted to install its tenant improvements and manufacturing equipment. The Company recognized an operating lease right-of use asset of approximately $20.5 million and operating lease liabilities of $17.1 million related to the Vista Lease. The Company will receive a tenant reimbursement allowance of $1.6 million to cover a portion of the construction of tenant improvements that began in October 2020. As of September 30, 2021, this reimbursement is recorded in other current assets.

Subsequent to the commencement dates of the Waples and Vista leases, the Company made cash payments of $12.7 million related to the ongoing construction of landlord-owned assets. This is presented in operating lease liabilities in the statements of cash flows.

In January 2021, the Company entered into a lease agreement for approximately 8,010 square feet in an industrial building in San Diego, California. The initial lease term is three years without any renewal option. This lease was classified as operating lease and recognized in the right of use asset and liability during the period.

In August 2021, the Company amended an existing lease agreement to include two additional suites containing approximately 6,932 square feet and 4,976 square feet of rentable area, respectively, in San Diego, California. The lease term is subject to the existing lease agreement expiration date of April 2030, without any renewal option. This lease was classified as an operating lease and recognized in right-of-use asset and lease liabilities during the period.

The Company made payments of $0.2 million related to deposits for equipment leases that had not commenced as of September 30, 2021. The payments have been capitalized in prepaid rent and will be reflected in right-of-use assets upon commencement of the leases.

The right-of-use assets and lease liabilities recognized on the Company’s balance sheet as of September 30, 2021 were as follows:

September 30, 2021

Balance Sheet Location

Operating Leases

Finance Leases

Assets

Right-of-use assets operating leases

Operating lease right-of-use assets

78,555

Right-of-use assets finance leases

Property and equipment, net

10,316

Liabilities

Operating lease liabilities (current)

Operating lease liabilities, current

3,960

Finance lease liabilities (current)

Finance lease liabilities, current

2,603

Operating lease liabilities (non-current)

Operating lease liabilities, net of current portion

50,027

Finance lease liabilities (non-current)

Finance lease liabilities, net of current portion

3,841

The components of lease expense for the three and nine months ended September 30, 2021 and 2020 were as follows:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Operating lease cost	$	2,398	$	393	$	5,365	$	1,159
Finance lease cost:
Amortization of right-of-use assets	509		153		1,215		297
Interest on lease liabilities	54		26		154		65
Total lease cost	$	2,961	$	572	$	6,734	$	1,521

LEASES

The right-of-use assets and lease liabilities recognized on the Company’s balance sheet as of September 30, 2021 were as follows:

September 30, 2021

Balance Sheet Location

Operating Leases

Finance Leases

Assets

Right-of-use assets operating leases

Operating lease right-of-use assets

78,555

Right-of-use assets finance leases

Property and equipment, net

10,316

Liabilities

Operating lease liabilities (current)

Operating lease liabilities, current

3,960

Finance lease liabilities (current)

Finance lease liabilities, current

2,603

Operating lease liabilities (non-current)

Operating lease liabilities, net of current portion

50,027

Finance lease liabilities (non-current)

Finance lease liabilities, net of current portion

3,841

The components of lease expense for the three and nine months ended September 30, 2021 and 2020 were as follows:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Operating lease cost	$	2,398	$	393	$	5,365	$	1,159
Finance lease cost:
Amortization of right-of-use assets	509		153		1,215		297
Interest on lease liabilities	54		26		154		65
Total lease cost	$	2,961	$	572	$	6,734	$	1,521

CONVERTIBLE NOTES	9 Months Ended
CONVERTIBLE NOTES	Sep. 30, 2021
Debt Disclosure [Abstract]
CONVERTIBLE NOTES	CONVERTIBLE NOTES In May 2021, the Company issued and sold convertible promissory notes (“Convertible Notes”) with a principal amount of $235.5 million and incurred $6.0 million of debt issuance costs that have been recorded in interest expense in the statements of operations. The Convertible Notes accrue interest at a simple rate of 3.0% per annum during the first 12-month period and will accrue at a simple rate of 9.0% per annum thereafter. The Convertible Notes are only convertible upon a qualified conversion event or corporate transaction. The Convertible Notes were converted into shares of the Company’s common stock at the then effective conversion price in the case of a qualified going public transaction: (a) an IPO resulting in at least $50.0 million in proceeds, (b) a SPAC combination, or (c) a direct listing. If the Company closes an equity financing with gross proceeds of not less than $50.0 million, then the Convertible Notes, unless previously converted into shares of our common stock, will automatically convert into shares of the same class and series of capital stock of the Company issued to investors in such equity financing. The conversion price with respect to a qualified conversion event, which would be a qualified going public transaction or an equity financing, will incorporate the applicable discount: (i) a 20.0% discount if the qualified conversion event is consummated on or prior to September 30, 2021, and (ii) a 25.0% discount if the qualified conversion event is consummated after September 30, 2021. In the event of certain corporate transactions prior to the conversion of the Convertible Notes or the repayment of the Convertible Notes, each purchaser, in its discretion, shall have the right either (a) to convert, effective immediately prior to the closing of the corporate transaction, all, but not less than all, of the outstanding principal amount of a Convertible Note and all accrued and unpaid interest on such May 2021 Note immediately prior to the closing of a corporate transaction into shares of common stock at the then effective conversion price, or (b) be paid an amount equal to the sum of 1.75 times the outstanding principal amount of a Convertible Notes and all accrued and unpaid interest of such Convertible Notes immediately prior to the closing of a corporate transaction The Convertible Notes include customary events of default. In the event of any default under the Convertible Notes, the interest rate then in effect shall be increased by 3.0%, and then by an additional 3.0% each year thereafter, so long as such event of default continues. Unless earlier converted immediately prior to the qualified conversion event, the Convertible Notes and any unpaid accrued interest will become due in May 2023. The Company elected to account for the Convertible Notes at estimated fair value pursuant to the fair value option and records the change in estimated fair value in the statement of operations. The Company recorded a loss of $36.3 million and $59.6 million related to the change in estimated fair value of the Convertible Notes in its statement of operations for the three and nine months ended September 30, 2021, respectively. All of the Convertible Notes were converted upon the IPO, which was a qualified conversion event. The Convertible Notes’ principal of $235.5 million and accrued interest of $2.8 million was converted into 18,611,914 shares of common stock at a fair value of $297.8 million using a 20% discount to the initial public offing price of $16.00 per share. The Company no longer had outstanding Convertible Notes as of September 30, 2021. DEBTOn February 5, 2021, the Company entered into a Loan and Security Agreement (“Revolving Credit Agreement”) with group of lenders with East West Bank, acting as administrative agent and Collateral Agent for the lenders. In connection with entering into the Revolving Credit Agreement, the Company repaid outstanding amounts of $5.4 million and terminated the prior Loan and Security Agreement with Comerica Bank (“2015 Credit Agreement”) that was initially entered into in May 2015. The 2015 Credit Agreement, as amended, provided for a revolving line with a credit extension of up to $4.0 million and a Growth Capital A Line with a credit extension of up to $6.0 million. The Revolving Credit Agreement provided a revolving credit facility with an aggregate maximum principal amount of $130.0 million and a letter of credit subfacility of $20.0 million. In May 2021, the Company repaid $63.2 million of debt outstanding under the Revolving Credit Agreement with a portion of the net proceeds from the issuance and sale of Convertible Notes. In June 2021, the Company terminated the Revolving Credit Agreement and was required to pay a fee of $1.3 million, equal to 1.00% of the amount of the outstanding revolving commitment. The Company also wrote-off issuance costs of $0.7 million for a total loss on extinguishment of debt of $2.0 million. These amounts were recorded in loss on extinguishment of debt in the statement of operations during the nine months ended September 30, 2021. Upon agreement with East West Bank and the other lenders to the Revolving Credit Agreement, the Company kept in place its outstanding letter of credit in the amount of $6.0 million, which has been cash collateralized. The letter of credit was increased to $12.0 million in July 2021. All other obligations under the Revolving Credit Agreement have otherwise been terminated.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-URI http://asc.fasb.org/topic&trid=2208564

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1B
-Subparagraph (h)
-URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1C
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495334-112611

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1I
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495371-112611

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1I
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495371-112611

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(c))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1B
-Subparagraph (g)
-URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1C
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495334-112611

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1C
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495334-112611

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1E
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495348-112611

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1B
-URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1I
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495371-112611

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1B
-Subparagraph (i)
-URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611

+ Details

DEBT	9 Months Ended
DEBT	Sep. 30, 2021
Debt Disclosure [Abstract]
DEBT	CONVERTIBLE NOTES In May 2021, the Company issued and sold convertible promissory notes (“Convertible Notes”) with a principal amount of $235.5 million and incurred $6.0 million of debt issuance costs that have been recorded in interest expense in the statements of operations. The Convertible Notes accrue interest at a simple rate of 3.0% per annum during the first 12-month period and will accrue at a simple rate of 9.0% per annum thereafter. The Convertible Notes are only convertible upon a qualified conversion event or corporate transaction. The Convertible Notes were converted into shares of the Company’s common stock at the then effective conversion price in the case of a qualified going public transaction: (a) an IPO resulting in at least $50.0 million in proceeds, (b) a SPAC combination, or (c) a direct listing. If the Company closes an equity financing with gross proceeds of not less than $50.0 million, then the Convertible Notes, unless previously converted into shares of our common stock, will automatically convert into shares of the same class and series of capital stock of the Company issued to investors in such equity financing. The conversion price with respect to a qualified conversion event, which would be a qualified going public transaction or an equity financing, will incorporate the applicable discount: (i) a 20.0% discount if the qualified conversion event is consummated on or prior to September 30, 2021, and (ii) a 25.0% discount if the qualified conversion event is consummated after September 30, 2021. In the event of certain corporate transactions prior to the conversion of the Convertible Notes or the repayment of the Convertible Notes, each purchaser, in its discretion, shall have the right either (a) to convert, effective immediately prior to the closing of the corporate transaction, all, but not less than all, of the outstanding principal amount of a Convertible Note and all accrued and unpaid interest on such May 2021 Note immediately prior to the closing of a corporate transaction into shares of common stock at the then effective conversion price, or (b) be paid an amount equal to the sum of 1.75 times the outstanding principal amount of a Convertible Notes and all accrued and unpaid interest of such Convertible Notes immediately prior to the closing of a corporate transaction The Convertible Notes include customary events of default. In the event of any default under the Convertible Notes, the interest rate then in effect shall be increased by 3.0%, and then by an additional 3.0% each year thereafter, so long as such event of default continues. Unless earlier converted immediately prior to the qualified conversion event, the Convertible Notes and any unpaid accrued interest will become due in May 2023. The Company elected to account for the Convertible Notes at estimated fair value pursuant to the fair value option and records the change in estimated fair value in the statement of operations. The Company recorded a loss of $36.3 million and $59.6 million related to the change in estimated fair value of the Convertible Notes in its statement of operations for the three and nine months ended September 30, 2021, respectively. All of the Convertible Notes were converted upon the IPO, which was a qualified conversion event. The Convertible Notes’ principal of $235.5 million and accrued interest of $2.8 million was converted into 18,611,914 shares of common stock at a fair value of $297.8 million using a 20% discount to the initial public offing price of $16.00 per share. The Company no longer had outstanding Convertible Notes as of September 30, 2021. DEBTOn February 5, 2021, the Company entered into a Loan and Security Agreement (“Revolving Credit Agreement”) with group of lenders with East West Bank, acting as administrative agent and Collateral Agent for the lenders. In connection with entering into the Revolving Credit Agreement, the Company repaid outstanding amounts of $5.4 million and terminated the prior Loan and Security Agreement with Comerica Bank (“2015 Credit Agreement”) that was initially entered into in May 2015. The 2015 Credit Agreement, as amended, provided for a revolving line with a credit extension of up to $4.0 million and a Growth Capital A Line with a credit extension of up to $6.0 million. The Revolving Credit Agreement provided a revolving credit facility with an aggregate maximum principal amount of $130.0 million and a letter of credit subfacility of $20.0 million. In May 2021, the Company repaid $63.2 million of debt outstanding under the Revolving Credit Agreement with a portion of the net proceeds from the issuance and sale of Convertible Notes. In June 2021, the Company terminated the Revolving Credit Agreement and was required to pay a fee of $1.3 million, equal to 1.00% of the amount of the outstanding revolving commitment. The Company also wrote-off issuance costs of $0.7 million for a total loss on extinguishment of debt of $2.0 million. These amounts were recorded in loss on extinguishment of debt in the statement of operations during the nine months ended September 30, 2021. Upon agreement with East West Bank and the other lenders to the Revolving Credit Agreement, the Company kept in place its outstanding letter of credit in the amount of $6.0 million, which has been cash collateralized. The letter of credit was increased to $12.0 million in July 2021. All other obligations under the Revolving Credit Agreement have otherwise been terminated.

- Definition

+ References

+ Details

CAPITAL STOCK	9 Months Ended
CAPITAL STOCK	Sep. 30, 2021
Equity [Abstract]
CAPITAL STOCK	CAPITAL STOCK Amended and Restated Certificate of Incorporation In September 2021, the Company’s board of directors approved and the Company filed its restated amended certificate of incorporation, which authorized the issuance of up to 550,000,000 shares consisting of 500,000,000 shares of common stock and 50,000,000 shares of preferred stock with a par value of $0.00001 per share, respectively. Redeemable Convertible Preferred Stock In connection with the closing of the IPO, all outstanding shares of redeemable convertible preferred stock were converted into 83,605,947 shares of common stock. Redeemable Convertible Preferred Stock Warrants Prior to September 2021, the Company had outstanding warrants to purchase 79,882 redeemable convertible preferred shares. These warrants were classified as liabilities, with changes in fair value recorded through earnings, as the underlying redeemable convertible preferred shares could be redeemed by the holders of these shares upon the occurrence of certain events that are outside of the control of the Company. Immediately prior to the IPO in September 2021 all outstanding warrants were exercised and converted into shares of Series A and Series B redeemable convertible preferred stock prior to the IPO. The related liability was derecognized upon exercise and recorded in temporary equity. Common Stock Warrants As of September 30, 2021, the Company had an outstanding warrant to purchase 75,744 shares of common stock at a purchase price of $0.40 per share. The warrant was issued on August 22, 2017 and expires on August 22, 2027. All shares subject to the warrant have vested as of December 31, 2020.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496158-112644

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 13
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496158-112644

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 14
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496171-112644

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 14
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496171-112644

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.3-04)
-URI http://asc.fasb.org/extlink&oid=120397183&loc=d3e187085-122770

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 18
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496189-112644

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (g)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496158-112644

Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-URI http://asc.fasb.org/topic&trid=2208762

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 18
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496189-112644

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (h)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496158-112644

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 14
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496171-112644

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 18
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496189-112644

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 16
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496180-112644

Reference 14: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (i)
-URI http://asc.fasb.org/extlink&oid=123467817&loc=SL123496158-112644

Reference 15: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(e)(1))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

+ Details

FAIR VALUE MEASUREMENTS

9 Months Ended

Sep. 30, 2021

Fair Value Disclosures [Abstract]

FAIR VALUE MEASUREMENTS

The following table sets forth the Company’s financial instruments that were measured at fair value on a recurring basis within the fair value hierarchy:

There are no instruments that were measured at fair value on a recurring basis as of September 30, 2021.


December 31, 2020	Recurring Fair Value Measurements
	Level 1		Level 2		Level 3		Total
Redeemable convertible preferred stock warrant liabilities	$	—	$	—	$	1,331	$	1,331

There were no transfers between Level 1, Level 2 and Level 3 categories of the fair value hierarchy during the nine months ended September 30, 2020 and 2021.

In May 2021, the Company issued and sold Convertible Notes with a principal amount of $235.5 million (See Note 9, Convertible Notes). The Company elected the fair value option to account for the Convertible Notes and recognized their estimated fair value, with changes in estimated fair value recorded as a component of earnings in the statements of operations. The fair value of the notes was determined based on significant inputs not observable in the market, which represent a Level 3 measurement within the fair value hierarchy.

The Convertible Notes were valued using a scenario-based analysis. Three primary scenarios were considered and assigned a probability weighted to arrive at the estimated fair value. The first scenario considered the value impact of conversion at the 20.0% discount to the issue price if the Company had a qualified conversion event of (a) an IPO, (b) a SPAC combination, (c) or a direct listing, or (d) an equity financing with gross proceeds of not less than $50.0 million, before or on September 30, 2021. The second scenario considered the value impact of conversion at the 25.0% discount to the issue price if the Company had a qualified conversion event of (a) an IPO, (b) a SPAC combination, (c) or a direct listing, or (d) an equity financing with gross proceeds of not less than $50.0 million, after September 30, 2021. The third scenario assumed that a qualified conversion event did not occur, and the Convertible Notes and any unpaid accrued interest are repaid in May 2023.

The closing of the IPO was considered a qualified conversion event per the terms of convertible notes. As a result, the Convertible Notes, $235.5 million of principal and $2.8 million of accrued interest through September 27, 2021, were converted into 18,611,914 shares of common stock at 20% discount to the initial public offing price of $16.00 per share. The Company recognized a loss of $36.3 million resulting from the conversion which was recorded in change in fair value of convertible notes in the statements of income for the three months ended September 30, 2021.

The following table provides a rollforward of the fair value of the Company’s Convertible Notes and redeemable convertible preferred stock warrant liabilities measured on a recurring basis and classified within Level 3 fair value hierarchy:


	Redeemable Convertible Preferred Stock Warrants		Convertible Notes
Balance, December 31, 2020	$	1,331	$	—
Issuance	—		235,480
Remeasurement	(53)		59,559
Accrued interest	—		2,753
Exercise of redeemable convertible preferred stock warrants	(1,278)		—
Conversion into common stock	—		(297,792)
Balance, September 30, 2021	$	—	$	—

No redeemable convertible preferred stock warrants were outstanding as of September 30, 2021.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

STOCK-BASED COMPENSATION

9 Months Ended

Sep. 30, 2021

Share-based Payment Arrangement [Abstract]

STOCK-BASED COMPENSATION

Stock Incentive Plans

2014 Equity Incentive Plan

In August 2014, the Company adopted the 2014 Equity Incentive Plan (“2014 Plan”) under which employees, non-employee directors and consultants of the Company may be granted either incentive stock options or non-qualified stock options to purchase shares of the Company’s common stock. In January 2021, the Company increased the number of shares of common stock available for issuance under the 2014 Plan from 20,399,691 to 22,399,691. The Company granted 128,000 shares with a one year restriction to certain non-employee directors effective immediately prior to effectiveness of the registration statement.

As of September 30, 2021, and December 31, 2020, shares available for future grant under the 2014 Plan were 0 and 2,950,871, respectively.

2021 Stock Incentive Plan

In September of 2021, the Company adopted the 2021 Stock Incentive Plan (“2021 Plan”) under which employees, officers and directors, as well as consultants and advisors to the Company are eligible to be granted awards under the 2021 Plan. The authorized number of shares includes 14,173,771 common shares plus such additional number of shares of Common Stock up to 22,399,691 as equal to the number shares reserved in the 2014 Plan above. The 2021 Plan has an annual increase to be added on the first day of each fiscal year commencing January 1, 2022 until and including January 1, 2031 equal to at least 5% of outstanding shares on such date and the number of shares of common stock determined by the board. Up to 56,695,085 shares of common stock is available for issuance under the 2021 Plan may be issued as incentive stock options under the 2021 Plan.

As of September 30, 2021, there have been 9,820,216 shares issued and 8,900 shares that have vested.

2021 Employee Stock Purchase Plan

In September 2021, the Company adopted the 2021 Employee Stock Purchase Plan (“2021 ESPP”) under which employees of the Company can purchase shares of the Company’s common stock commencing on such time and such dates as the board of directors of the Company determine. The number of shares of common stock that have been approved for the purpose is 2,834,754 shares of common stock plus an annual increase to be added on the first day of each fiscal year commencing January 1, 2022 and continuing for each fiscal year until and including January 1, 2032. The annual increase is equal to the least of 8,504,263 shares of common stock, 1% of outstanding shares on such date, and a number of shares of common stock determined by the board of directors.

Stock-Based Compensation

Stock-based compensation expense related to awards issued under the Company's incentive compensation plans for the three and nine months ended September 30, 2021 and 2020, was as follows:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Cost of revenues	$	302	$	—	$	1,500	$	—
Sales and marketing	11		—		37		—
Research and development	294		41		884		59
General and administrative	19,359		104		23,136		183
Total stock-based compensation expense	$	19,967	$	145	$	25,558	$	242

In total, $0.3 million and $1.5 million of stock-based compensation expense was capitalized to inventory during the manufacturing process during the three and nine months ended September 30, 2021, respectively.

Stock Options

A summary of stock option activity and related information for three and nine months ended September 30, 2021 was as follows:


	Options	Weighted Average Exercise Price	Weighted Average Remaining Contractual Term (Years)
Outstanding at January 1, 2021	8,344,752	0.61	6.44
Granted	2,975,821	15.61
Exercised	(1,698,265)	0.30
Forfeited	(310,816)	10.31
Expired	(107,792)	0.37
Outstanding at September 30, 2021	9,203,700	4.99	4.88
Exercisable at September 30, 2021	5,775,902	1.02	5.79
Vested and expected to vest at September 30, 2021	9,260,605	4.49	6.49

The estimated fair value of each stock option award granted to employees was determined on the date of grant using the BSM option pricing model with the following assumptions for stock option grants for three months ended September 30, 2020 and 2021:


	2021		2020
Expected volatility	40.9%		39.6%
Expected term (years)	7.71		7.04
Expected dividend yield	0.00%		0.00%
Risk-free interest rate	0.83%		0.41%
Grant date fair value	$	6.93	$	0.57

As of September 30, 2021, there was $12.6 million of unamortized compensation cost related to unvested stock option awards, which is expected to be recognized over a remaining weighted-average vesting period of 3.16 years, on a straight-line basis.

Restricted Stock Units

Restricted stock units (“RSUs”) are generally subject to a 4-year vesting period, with 25% of the shares vesting one year from the vesting commencement date and quarterly thereafter over the remaining vesting term. Compensation expense is recognized over the requisite service period.

In February and March 2021, the Company issued a total of 1,049,043 restricted stock units to certain executives under the 2014 Plan with the right to receive common stock shares upon vesting schedule per agreements with certain executives. No additional grants of RSUs are expected under the 2014 Plan. One of the grants to an executive accelerated upon the completion of the IPO, resulting in the vesting of 137,375 restricted stock units.

In September 2021 issued an aggregate of 6,707,320 RSUs to certain executives. Approximately 75% or 4,932,573 RSUs, of these grants vest based on the satisfaction of both a continued employment condition and the achievement of certain performance goals, referred to as the performance-vesting RSUs, and approximately 25% or 1,774,747 RSUs vest solely

based on the satisfaction of a continued employment condition, referred to as the time-vesting RSUs. The Company also issued 3,240,896 RSUs to other employees, all of which are time-vesting RSUs.

Time-vesting RSUs will vest as to 12.5% of the shares of common stock subject to the award on the six-month anniversary of three-month period thereafter until the award is fully vested on the fourth anniversary of the grant date.

Performance-vesting RSUs vest upon the achievement of certain stock price performance goals (approximately 70% of the performance-vesting RSUs), target revenue performance goals (approximately 20% of the performance-vesting RSUs), and a product milestone goal.

A summary of RSU activity and related information for the nine months ended September 30, 2021 was as follows:


	Underlying Shares	Weighted-average Grant Date Fair Value		Aggregate Fair Value
Outstanding, January 1, 2021	—	$	—	$	—
Granted	10,869,259	19.58		212,833
Vested	(146,274)	17.80		(2,604)
Outstanding, September 30, 2021	10,722,985	$	19.63	$	210,457

In addition to the RSU activity above, an award of 128,000 fully vested shares of common stock to outgoing members of the board of directors. Recipients are prohibited from selling or otherwise transferring the shares for one year after the date of grant.

Restricted Stock Purchase Agreements with Executives

In 2018 and 2020, the Company issued shares of common stock pursuant to Restricted Stock Purchase Agreements with its Chief Executive Officer and Chief Product Officer in exchange for nonrecourse promissory notes to finance the entire cost of the shares. These shares are legally issued and outstanding and included on the balance sheet, but they are not treated as outstanding common stock for accounting purposes as they are deemed to be common stock options. As of December 31, 2020, 9,872,293 shares were subject to the Restricted Stock Purchase Agreements.

In September, 2021 the Company’s board of directors approved the forgiveness of the Chief Executive Officer’s 2018 promissory notes under which $1.3 million of principal and accrued interest was outstanding for the purchase of 2,444,130 common stock shares. The Company’s board of directors also approved the forgiveness of the Chief Executive Officer’s 2020 promissory notes for the purchase of 4,915,442 shares of common stock under which $7.0 million of principal and accrued interest was outstanding.

On September 1, 2021 the Company’s board of directors approved the forgiveness of the Chief Product Officer’s 2020 promissory notes under which $3.5 million of principal and accrued interest was outstanding for the purchase of 2,457,721 common stock shares. The Chief Product Officer’s 2018 promissory note was forgiven in prior periods.

The forgiveness of the promissory notes were deemed to be an option modification. The unrecognized grant date fair value and the incremental fair value from the modification resulting from the forgiveness of the promissory notes related to vested shares was recognized in stock-based compensation expense during the nine months ended September 30, 2021 and the unvested portion thereof will be recognized as stock-based compensation expense over the remaining vesting period. This modification resulted in $12.9 million in additional stock-based compensation expense for the three and nine months ended September 30, 2021.

Early Exercise Liability

The unvested shares of the early-exercised options are held in escrow until the stock option becomes fully vested or until the employee’s termination, whichever occurs first. The right to repurchase these shares lapses over the four-year vesting period. As of September 30, 2021, the early exercise liability was not material and is included in accrued liabilities in the balance sheets. For accounting purposes, the early exercise of options is not considered to be a substantive exercise until the underlying awards vest.

The following table summarizes the activity of the unvested common stock issued pursuant to an early exercise of stock option awards during the nine months ended September 30, 2021:


			Number of Shares
Unvested at December 31, 2020			316,666
Early exercised stock options during period			—
Vested or cancelled			(284,998)
Unvested at September 30, 2021			31,668

INCOME (LOSS) PER SHARE

9 Months Ended

Sep. 30, 2021

Earnings Per Share [Abstract]

INCOME (LOSS) PER SHARE

Basic net income (loss) per share is computed by dividing net income (loss) attributable to common stockholders by the weighted-average common shares outstanding during the period. Diluted net income (loss) per share attributable to common stockholders is computed based on the weighted-average common shares outstanding plus the effect of dilutive potential common shares outstanding during the period calculated using the treasury stock method and the if-converted method. Dilutive potential common shares include stock options, non-vested shares, redeemable convertible preferred shares, restricted stock and similar equity instruments granted by the Company. Potential common share equivalents have been excluded where their inclusion would be anti-dilutive.

Basic and diluted net income (loss) attributable to common holders per share is presented in conformity with the two- class method required for participating securities as the redeemable convertible preferred stock, common stock subject to restricted stock purchase agreements, early exercised options, and restricted shares are considered participating securities. Under the two-class method, distributed and undistributed income allocated to participating securities are excluded from net income (loss) attributable to common stockholders for purposes of calculating basic and diluted income (loss) per share. The Company’s participating securities do not have a contractual obligation to share in the Company’s losses, so the net loss for the nine months ended September 30, 2020 was attributed entirely to common stockholders and there is no difference in the number of shares used to calculate basic and diluted shares outstanding.

The following table reconciles net income and the weighted-average shares used in computing basic and diluted earnings per share:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Numerator:
Net income (loss)	$	19,348	$	(8,538)	$	52,188	$	(27,816)
Minus: Income allocated to participating securities	14,926		—		43,670		—
Net income (loss) attributable to common stockholders – basic	$	4,422	$	(8,538)	$	8,518	$	(27,816)

Plus: Income allocated to non-participating securities	701		—		2,142		—
Net income (loss) attributable to common stockholders - diluted	$	5,123	$	(8,538)	$	10,660	$	(27,816)

Denominator:
Basic weighted-average common shares outstanding	31,554,720		16,556,343		22,997,311		16,126,647
Dilutive potential common stock issuable:
Common stock warrants	89,551		—		89,551		—
Stock options	7,660,707		—		7,660,707		—
Diluted weighted-average shares outstanding	39,304,978		16,556,343		30,747,569		16,126,647

Net income (loss) attributable to common stockholders per share
Basic	$	0.14	$	(0.52)	$	0.37	$	(1.72)
Diluted	$	0.13	$	(0.52)	$	0.35	$	(1.72)

In periods of net losses, potentially dilutive securities are not included in the calculation of diluted net income (loss) per share because to do so would be anti-dilutive.

Outstanding anti-dilutive securities not included in the diluted net income (loss) per share attributable to common stockholders calculations were as follows (in common stock equivalent shares):


	Three Months Ended September 30,		Nine Months Ended September 30,
	2021	2020	2021	2020
Redeemable convertible preferred stock	—	83,526,065	—	83,526,065
Stock options	2,767,821	8,244,751	2,767,821	8,244,751
Restricted stock units	9,747,566	—	9,747,566	—
Common stock subject to restricted stock purchase agreements	—	9,872,293	—	9,872,293
Common stock warrants	—	75,744	—	75,744
Redeemable convertible preferred stock warrants	—	79,882	—	79,882
Total	12,515,387	101,798,735	12,515,387	101,798,735

INCOME TAXES	9 Months Ended
INCOME TAXES	Sep. 30, 2021
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXESThe Company’s effective income tax rate for the nine months ended September 30, 2021 was 45% compared to 0% in the corresponding period in the prior year. The increase in our provision and effective tax rate was primarily due to the current tax liability arising from an increase in income from operations which exceeded available net operating loss carryforwards. Income taxes for the three months and nine months ended September 30, 2021 include state income taxes in jurisdictions for which the Company does not have available tax attributes. The Company remains under a full valuation allowance with the exception of deferred tax liabilities arising for accelerated depreciation deductions for United States federal tax purposes. The effective tax rate for the three months and nine months ended September 30, 2021 differed from the statutory tax rate primarily due to the non-tax deductible items including the charges related to the Convertible Notes and the forgiveness of the promissory notes. The deduction related to the forgiveness of the promissory notes has limitations applied under Section 162(m) of the Internal Revenue Code. The effective tax rate for the three months and nine months ended September 30, 2020 differed from the statutory tax rate primarily due to the Company maintaining a full valuation allowance against its loss from continuing operations. The Company recorded a valuation allowance against all of its United States federal and state deferred tax assets as of December 31, 2020. At each interim period, the Company evaluates both the positive and negative evidence, which includes, projected future taxable income, scheduled reversals of deferred tax liabilities, prudent tax planning strategies, and recent financial operations, as to whether changes to the valuation assessment are needed. As of September 30, 2021, the Company recorded $0.9 million of deferred tax liability to reflect the expected reversal of deferred tax liabilities in excess of deferred tax assets in certain future tax years. The Company continues to maintain a full valuation allowance on the remaining net deferred tax asset until there is sufficient evidence to support the reversal of all or an additional portion of the allowance. On March 11, 2021, the American Rescue Plan Act H.R. 1319 (ARPA) was enacted and signed into law in the United States. ARPA is a follow up to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). The bill includes provisions on taxes, health care, unemployment benefits, direct payments, state and local funding, and other issues. ARPA did not have a significant impact on the Company’s financial statements for the nine months ended September 30, 2021. In April 2021, the Company was awarded a California Competes Tax Credit (CCTC) totaling $20.0 million for a five-year agreement. The CCTC is a competitive income tax credit available to businesses across various industries that want to locate or expand in California. The CCTC can offset California corporate income tax liability and is non-refundable. The credit is allocated in equal increments of $4.0 million over five years for a total of $20.0 million as documented in the CCTC Agreement. The Agreement covers tax years 2021-2025 and is awarded after the completion of each year. The credit is earned on an annual basis and certain milestones are required to be achieved. If the credit earned in a given year exceeds the Company’s California corporate income tax liability, the balance can be carried over for up to six years if necessary, until exhausted. The California Competes Tax Credit will be reflected as a benefit when certified annually which did not occur during the three months ended September 30, 2021.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 21
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32857-109319

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SAB Topic 11.C)
-URI http://asc.fasb.org/extlink&oid=122134291&loc=d3e330215-122817

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 17
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32809-109319

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SAB TOPIC 6.I.5.Q1)
-URI http://asc.fasb.org/extlink&oid=122134291&loc=d3e330036-122817

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 14
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32705-109319

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 270
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6424409&loc=d3e44925-109338

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-URI http://asc.fasb.org/topic&trid=2144680

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 30
-Section 50
-Paragraph 2
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=6424122&loc=d3e41874-109331

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(h)(2))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

+ Details

COMMITMENTS AND CONTINGENCIES	9 Months Ended
COMMITMENTS AND CONTINGENCIES	Sep. 30, 2021
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES Product Liability The Company’s business exposes it to liability risks from its potential medical diagnostic products. Product liability claims could result in the payment of significant amounts of money and divert management’s attention from running the business. The Company may not be able to maintain insurance on acceptable terms, or the insurance may not provide adequate protection in the case of a product liability claim. To the extent that product liability insurance, if available, does not cover potential claims, the Company would be required to self-insure the risks associated with such claims. The Company believes it carries reasonably adequate insurance for product liability. Standby Letters of Credit As of December 31, 2020, the Company was party to certain letters of credit (“LOC”), primarily related to an LOC with Comerica Bank as collateral required by one of the Company’s vendors. During the nine months ended September 30, 2021, the Company entered into a Revolving Credit Agreement with a capacity of $130.0 million and all but one of the LOCs were no longer required by the counterparties. The one LOC, totaling $6.0 million, has been re-issued under the Revolving Credit Agreement. In May 2021, the Company repaid the debt outstanding under the Revolving Credit Agreement and terminated the agreement in September 2021. Upon agreement with East West Bank and the other lenders to the Revolving Credit Agreement, the Company kept in place its outstanding LOC in the amount of $6.0 million, which has been cash collateralized. The letter of credit was increased to $12.0 million in July 2021. Legal SettlementIn March 2021, the Company reached a settlement pursuant to a consulting agreement for services rendered during the year ended December 31, 2020, related to the advancement of the Company’s diagnostic platform and identification of funding opportunities. The Company agreed to pay $9.0 million, payable in four equal installments over eighteen months, starting on April 1, 2021. The amount was included in the statements of operations in general and administrative expenses for the year ended December 31, 2020. As of September 30, 2021, $4.5 million of this amount was included in accrued liabilities and other current liabilities in the balance sheets.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	Sep. 30, 2021
Accounting Policies [Abstract]
Basis of Presentation	The accompanying unaudited interim condensed financial statements should be read in conjunction with the audited annual financial statements and notes thereto for the year ended December 31, 2020. The unaudited interim condensed balance sheet as of December 31, 2020 included herein was derived from the audited financial statements as of that date. The results of operations for the three and nine months ended September 30, 2021 are not necessarily indicative of the results for the fiscal year ending December 31, 2021 or any future interim period. The Company’s financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”), applicable rules and regulations of the U.S. Securities and Exchange Commission (“SEC”) for interim reporting and, in the opinion of management, include all adjustments necessary for the fair presentation of the Company’s financial position for the periods presented. All such adjustments are of a normal, recurring nature. Certain disclosures have been condensed or omitted from the interim condensed financial statements. The preparation of the accompanying financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, income and expenses as well as the related disclosure of contingent assets and liabilities.
Use of Estimates	The preparation of the accompanying financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities as of the date of the financial statements, and the reported amounts of revenue and expenses during the reporting period. Actual results could materially differ from those estimates. Significant estimates and assumptions made in the accompanying financial statements include, but are not limited to revenue recognition, net accounts receivable, equity-based compensation expense, product warranty reserve, the recoverability of its long-lived assets, net deferred tax assets (and related valuation allowance) and the fair value of Company’s common warrants, Convertible Notes and common stock prior to Company’s IPO. The Company evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors and adjusts those estimates and assumptions when facts and circumstances dictate. Actual results could materially differ from those estimates.
Segment Reporting	Operating segments are identified as components of an enterprise about which discrete financial information is available for evaluation by the chief operating decision-maker in making decisions regarding resource allocation and assessing performance. In addition, the guidance for segment reporting indicates certain quantitative materiality thresholds. The Company views its operations and manages its business in one operating segment which is consistent with how the Chief Executive Officer, who is the chief operating decision maker, reviews the business, makes investment and resource allocation decisions, and assesses operating performance. All revenue to date is from customers located in the United States and all long-lived assets are located in the United States.
Cash and Cash Equivalents, Restricted Cash	Cash and cash equivalents consist of bank deposits. The Company considers all highly liquid investments with an original maturity of three months or less to be cash equivalents. Restricted Cash Restricted cash consists primarily of cash that serves as collateral for the Company’s standby letters of credit. Any cash that is legally restricted from use is classified as restricted cash. If the purpose of restricted cash relates to acquiring long-term assets, liquidating a long-term liability, or is otherwise unavailable for a period longer than one year from the balance sheet date, the restricted cash is classified as a long-term asset. Otherwise, restricted cash is presented in current assets in the balance sheets. As of September 30, 2021, the Company had $12.0 million of restricted cash included in current assets on the balance sheet.
Accounts Receivable	The Company grants credit to customers in the normal course of business and the resulting accounts receivables are stated at their net realizable value. The allowance for doubtful accounts represents the Company’s estimate of probable credit losses relating to accounts receivables and is determined based on historical experience and other specific account data. Amounts are written off against the allowances for doubtful accounts when the Company determines that a customer account is uncollectible. As of September 30, 2021, the Company’s allowance for bad debt was $0.3 million.
Inventories	Inventory is valued at lower of cost or net realizable value on a first in, first out basis. Work-in-process and finished goods inventories consist of materials, labor and manufacturing overhead. Inventory owned by the Company that is on hand with contract manufacturers is disclosed as inventory on consignment. Provisions for excess and obsolete inventory are primarily based on the Company’s estimates of forecasted sales, usage levels, and expiration dates, as applicable for certain disposable products, and assumptions about obsolescence. Unabsorbed manufacturing costs are treated as expense in the period incurred.
Product Warranty Reserve	The Company provides its customers with the right to receive a replacement of defective or nonconforming Cue Readers for a period of up to twelve months from the date of shipment. Although no explicit warranty is provided for Cue Cartridges, the Company may replace Cue Cartridges that result in invalid test results. All warranties are classified as current liabilities and within the accrued liabilities and other current liabilities on the balance sheet. Provisions for estimated expenses related to product warranty are made at the time products are sold. These estimates are determined historical information that includes test failure rates, replacement frequency, and the overall replacement cost. The Company evaluates the reserve on a quarterly basis and makes adjustments when appropriate. Changes to test failure rates and overall replacement rates could have a material impact on our estimated liability. The product warranty reserve is recorded within accrued liabilities and other current liabilities on the balance sheets and in costs of product revenue in the statements of operations.
Fair Value Measurements and Financial Instruments, Fair Value of Common Stock	The carrying value of the Company’s cash and cash equivalents, accounts receivables and accounts payable approximate fair value due to the short-term nature of these items. Based on the borrowing rates currently available to the Company for debt with similar terms and consideration of default and credit risk, the carrying value of the Company’s long-term borrowings approximates its fair value. Fair value is defined as the exchange price that would be received for an asset or an exit price paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The fair value hierarchy defines a three-level valuation hierarchy for disclosure of fair value measurements as follows: Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities. Level 2 — Inputs other than quoted prices included within Level I that are observable, unadjusted quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the related assets or liabilities. Level 3 — Unobservable inputs that are supported by little or no market activity for the related assets or liabilities. The categorization of a financial instrument within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The Company records subsequent adjustments to reflect the increase or decrease in estimated fair value at each reporting date in current period earnings. Prior to the IPO, the fair value of the shares of common stock underlying the Company’s stock-based awards was estimated on each grant date by its board of directors. In order to determine the fair value of its common stock underlying option grants, the Company’s board of directors considered, among other things, valuations of its common stock prepared by an unrelated third-party valuation firm in accordance with the guidance provided by the American Institute of Certified Public Accountants Practice Guide, Valuation of Privately-Held-Company Equity Securities Issued as Compensation.
Property and Equipment, Net	Property and equipment, net, which consist of manufacturing equipment, laboratory equipment, computers and software, office equipment and leasehold improvements, are stated at cost less depreciation. Leasehold improvements are amortized on a straight-line basis over the shorter of their useful life or the remaining lease term, including any renewal periods that the Company is reasonably certain to exercise. Repair and maintenance costs that do not improve service potential or extend economic life are expensed as incurred.
Intangible Assets	Intangible assets are recorded at cost and amortized on a straight-line basis over their estimated useful lives. Intangible assets consist of capitalized software costs incurred in the development of the Cue Health App (the “App”). The Company determined that costs incurred during the application development stage that are directly related to the actual development of the software application are capitalized, while costs incurred in the preliminary project and post implementation stage are expensed as incurred. Additionally, indirect costs related to the software development during the application development stage are expensed as incurred. As the App is constantly updated to the next version once it has reached technological feasibility, the Company separates costs on a reasonable basis between maintenance and upgrades that extend the functionality and useful life of the App. The maintenance costs are expensed as incurred. The Company has concluded that given the rapid changes in technology, the software has a relatively short useful life of three years and is amortized on a straight-line basis. Amortization expense related to the App is recorded in cost of product revenue.
Leases	The Company determines if an arrangement is a lease at inception and if so, determines whether the lease qualifies as an operating or finance lease. Lease balances are included in the balance sheets as right-of-use assets and lease liabilities. Right-of-use assets represent the right to use an underlying asset for the lease term and lease liabilities represent the obligation to make lease payments arising from the lease. Right-of-use assets and liabilities are recognized at lease commencement date based on the present value of lease payments over the lease term. When the Company’s leases do not provide an implicit rate, an incremental borrowing rate is used based on the information available at commencement dates in determining the present value of lease payments. The incremental borrowing rate is the rate of interest that the Company would expect to pay to borrow over a similar term, and on a collateralized basis, an amount equal to the lease payments in a similar economic environment. The Company’s lease terms may include options to extend or terminate the lease when the Company is reasonably certain that it will exercise such options. Lease expense for lease payments is recognized on a straight-line basis over the lease term.
Deferred Offering Costs	The Company capitalizes certain legal, professional accounting and other third-party fees that are directly associated with in-process equity financings as deferred offering costs until such financings are consummated. After consummation of the financing, these costs are recorded as a reduction of the proceeds received from the equity financing. If a planned equity financing is abandoned, the deferred offering costs are expensed immediately as a charge to operating expenses in the condensed statements of operations.
Impairment of Long-Lived Assets	Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset or an asset group may not be recoverable. If such triggering event is determined to have occurred, the asset’s or asset group’s carrying value is compared to the future undiscounted cash flows expected to be generated. If the carrying value exceeds the undiscounted cash flows of the asset, then an impairment exists. An impairment loss is measured as the excess of the asset’s carrying value over its fair value. There were no impairment indicators and no impairment was recorded for the nine months ended September 30, 2021 and the year ended December 31, 2020.
Common Stocks Warrants	Common stock warrants are measured at their estimated fair value upon issuance and recorded in additional paid-in capital. Common stock warrants are classified as equity and no subsequent remeasurement is required.
Redeemable Convertible Preferred Stock Warrants and Redeemable Convertible Preferred Stock	The Company accounts for its redeemable convertible preferred stock warrants as liabilities based upon the characteristics and provisions of each instrument. The redeemable convertible preferred stock warrants classified as liabilities are recorded on the Company’s balance sheets at their fair values on the date of issuance and are revalued on each subsequent balance sheet date, with fair value changes recognized as increases or reductions in the statement of operations. All of the Company’s outstanding redeemable convertible preferred stock warrants were exercised and converted into shares of Series A and Series B redeemable convertible preferred stock prior to the IPO.Redeemable Convertible Preferred StockPrior to the completion of the IPO, the Company had multiple classes of redeemable convertible preferred stock, all of which were classified as temporary equity in the accompanying condensed balance sheet as the redemption of the shares were outside of the Company's control.
Convertible Notes	The Company elected to account for Convertible Notes issued in May 2021 using the fair value option. Such instruments are recognized at estimated fair value, with changes in estimated fair value recorded as a component of earnings in the statements of operations unless the change is a result of a change in credit risk, in which case such change in estimated fair value is recorded within other comprehensive income. Direct issuance costs are expensed as incurred and are included in interest expense in the statements of operations. Increases or decreases in the fair value of the Convertible Notes can result from updates to assumptions such as the expected timing or probability of a qualified financing event, or changes in discount rates. Judgment is used in determining these assumptions as of the initial valuation date and at each subsequent reporting period. Updates to assumptions could have a significant impact on the Company’s results of operations in any given period.
Revenue Recognition	Product Revenue The Company generates revenue from the sale of its Cue Health Monitoring System to government entities, healthcare providers, commercial customers, and through agreements with distributors. See Note 3, Revenue Recognition, for details. The Company considers purchase orders, which are governed by agreements with customers, to be a contract with a customer. The contract terms with customers range in length, from one-time purchases to six-month or twelve-month commitments on a subscription basis where customers purchase a fixed number of products on a monthly basis. The timing of revenue recognition is based on the satisfaction of performance obligations promised to the customer. Cue Readers, Cue Enterprise Dashboards, and Cue Test Kits, composed of Cue Cartridges and Cue Wands, are considered distinct performance obligations. The App is integral to the functionality of the Cue Reader and these components form a single performance obligation. Revenue allocated to Cue Readers and Cue Test Kits is recognized when control of the promised goods has transferred to customers, generally upon shipment, in an amount that reflects the consideration the Company expects to receive in exchange for those goods. Revenue allocated to Cue Enterprise Dashboards is recognized ratably over the term of the service. The Company’s contracts with its customers do not provide for open return rights, except within a reasonable time after receipt of goods in the case of defective or non-conforming product. The Company estimates returns of products due to defective or nonconforming products and records a provision for estimated expenses related to product warranty at the time products are sold. The transaction price is measured as the amount of consideration the Company expects to receive in exchange for the goods transferred to customers. A contract’s transaction price is allocated to each distinct performance obligation on a relative standalone selling price basis. The Company estimates standalone selling prices for groups of customers with similar circumstances and characteristics. The Company recognizes receivables when there is an unconditional right to payment, which represents the amount the Company expects to collect in a transaction and is most often equal to the transaction price in the contract. Payment terms are typically 30 to 45 days. The Company excludes from the measurement of the transaction price all taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction and collected by the entity from a customer. See Note 3, Revenue Recognition, for details regarding disaggregation of product revenue by type of customer for the three and nine months ended September 30, 2021 and 2020. Deferred Revenue In October 2020, the Company received a $184.6 million upfront payment (“U.S. DoD Advance”) from the U.S. DoD to increase production capacity of its Cue COVID-19 Test. The Company concluded that the activities related to increasing production do not represent a performance obligation as those activities do not transfer a product or service to the customer. Instead, the upfront payment is an advanced payment for future goods or services because the agreement with the U.S. government included an option to renew the contract which included a material right to obtain products in a future contract at a specified discount, subject to a price floor, from prices offered to commercial customers with similar volume of purchases. Deferred revenue is recognized upon satisfaction of performance obligations by reference to the total goods or services expected to be provided to the customer, including an estimate of future performance obligations under expected contract renewals, and the corresponding expected consideration. Grant and Other Revenue Arrangements under which the Company receives grants or contracts to conduct research and development activities constitute non-exchange transactions. Revenue from such is recognized to the extent of costs incurred in the period during which the related costs are incurred, provided that the conditions under which the grants and contracts were provided have been met and only perfunctory performance obligations are outstanding. Costs are included in research and development expenses. The Company may enter into collaboration agreements with third parties to conduct research and development activities. The Company evaluates its collaboration agreements for proper classification in its statements of operations based on the nature of the underlying activity. When the Company has concluded that it has a customer relationship with one of its collaborators, the Company follows the guidance in ASC Topic 606, Revenue from Contracts with Customers. See Note 3, Revenue Recognition, for details regarding the Company’s agreements with the Biomedical Advanced Research and Development Authority (“BARDA”) and Janssen. Contract Assets and Liabilities Contract assets primarily relate to the Company’s conditional right to consideration for work completed but not billed at the reporting date. Contract assets at the beginning of and end of the year ended December 31, 2020, as well as changes in the balance, were not material. Contract liabilities primarily relate to the U.S. DoD Advance and were recorded in current and non-current deferred revenue on the balance sheets. See Note 3, Revenue Recognition, for details regarding the activity related to contract liabilities for the nine months ended September 30, 2021. Revenue Contracts In the second quarter of 2021, the Company entered into a purchase agreement to provide a customer with Cue Readers and in excess of 1,000,000 Cue Test Kits between the effective date of the agreement and December 2021 based on a pre-defined monthly delivery schedule. In the third quarter of 2021, the customer increased its order of Cue Readers and Cue COVID-19 Test Kits. The customer may change the quantities ordered and may terminate the order and/or agreement with a 45 days’ notice. In May 2021, the Company entered into a purchase agreement to provide a customer a one-time order of 1,000 Cue Readers and 300,000 Cue COVID-19 Test Kits on a monthly basis during the 12-month period following the agreement execution date. In August 2021, the Company and customer amended the purchase agreement to reduce the number of Cue COVID-19 Test Kits to 10,000 test kits on a monthly basis until the agreement expiration date. The agreement may be terminated for cause by either party with a 30 days’ notice. In September 2021, the contract with the U.S. Department of Defense (“U.S. DoD Agreement”) was amended to extend delivery of the 6,000,000 Cue Test Kits and other deliverables to December 31, 2021. Cost of Product Revenue Cost of product revenue includes the cost of materials, direct labor, inclusive of salaries and other related costs, including stock-based compensation, depreciation, and manufacturing overhead costs used in the manufacturing of the Cue Test Kits as well as contract manufacturing costs associated with production of the Cue Readers. Cost of product revenue also includes amortization of intangible assets. Shipping and Handling Costs The Company elected to account for shipping and handling as activities to fulfill the promise the goods and records them as cost of product revenue.
Sales and Marketing Expense, General and Administrative Expenses	Sales and marketing expense consist primarily of salaries and other related costs, including stock-based compensation, for personnel in sales and marketing, customer support and business development functions.The Company’s general and administrative expense consists primarily of salaries and other related costs, including stock-based compensation, for personnel in its executive, finance, corporate and business development and administrative functions. General and administrative expense also includes professional fees for legal, patent, accounting, information technology, depreciation, auditing, tax and consulting services, travel expenses and facility-related expenses, which include allocated expenses for rent and maintenance of facilities and other operating costs. Patent Costs Costs related to filing and pursuing patent applications are expensed as incurred, as recoverability of such expenditures is uncertain. These costs are included in general and administrative expenses.
Research and Development Expenses	Research and development expenses are expensed as incurred. Research and development expenses are primarily comprised of costs and expenses for salaries and other related costs, including stock-based compensation, associated with research and development personnel, contract services, laboratory supplies, facilities, depreciation, and outside services. Costs associated with the Company’s grant and collaboration agreements as well as costs associated with products produced for research and development purposes are recorded within research and development expenses. Accrued Research and Development Costs The Company records accrued expenses for estimated costs of its research and development activities conducted by third-party service providers, which include clinical trial activities, based on the estimated amount of services or supplies provided but not yet invoiced and include these costs in accrued liabilities in the balance sheets and within research and development expense in the statements of operations. Any payments made in advance of services or supplies provided are recorded as prepaid assets, which are expensed as the services or supplies are received. The Company estimates the amount of work completed through discussions with internal personnel and external service providers as to the progress or stage of completion of the services and the agreed-upon fee to be paid for such services. Significant judgments and estimates are made in determining the accrued balance in each reporting period. As actual costs become known, the Company adjusts its accrued estimates.
Share-Based Compensation	The Company estimates the fair value of stock options using the Black-Scholes-Merton (“BSM”) option pricing model on the date of grant. The fair value of equity instruments expected to vest are recognized and amortized on a straight-line basis over the requisite service period of the award, which is generally three to four years; however, the Company’s equity compensation plans provide for any vesting schedule as the Company’s Board of Directors may deem appropriate. The Company recognizes forfeitures as incurred. The BSM option pricing model incorporates various estimates, including the fair value of the Company’s common stock, expected volatility, expected term and risk-free interest rates. The weighted-average expected term of options was calculated using the simplified method. This decision was based on the lack of relevant historical data due to the Company’s limited historical experience. In addition, due to the Company’s limited historical data, the estimated volatility incorporates the historical volatility over the expected term of the award of comparable companies whose share prices are publicly available. The risk-free interest rate for periods within the contractual term of the option is based on the U.S. Treasury yield in effect at the time of grant. The dividend yield was zero, as the Company has never declared or paid dividends and has no plans to do so in the foreseeable future. For stock-based compensation awards with both performance and market-condition vesting, such as restricted stock units, cost is measured at the grant date, based on the fair value of the award considering the market conditions, and recorded over the requisite service period if the performance condition is probable. The Company estimates the fair value of stock-based payment awards considering the market conditions on the date of grant using a Monte Carlo simulation model.
Income Taxes	The Company accounts for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, deferred tax assets and liabilities are determined on the bases of the differences between the financial statements and tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. The Company recognizes net deferred tax assets to the extent that the Company believes these assets are more likely than not to be realized. In making such a determination, management considers all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. If management determines that the Company would be able to realize its deferred tax assets in the future in excess of their net recorded amount, management would adjust the deferred tax asset valuation allowance, which would reduce the provision for income taxes. The Company records uncertain tax positions on the basis of a two-step process whereby (1) management determines whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position and (2) for those tax positions that meet the more-likely-than-not recognition threshold, management recognizes the largest amount of tax benefit that is more than 50% likely to be realized upon ultimate settlement with the related tax authority. The Company recognizes interest and penalties related to unrecognized tax benefits within income tax expense. Any accrued interest and penalties are included within the related tax liability. Out-of-period Correction Certain immaterial cost of product revenue expenses of $3.0 million were not recognized by the Company in the three and six months ended June 30, 2021. This immaterial prior period error was recognized as an out-of-period adjustment to cost of product revenue in the statements of operations for the three and nine months ended September 30, 2021.
Recent Accounting Pronouncements	In September 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326) – Measurement of Credit Losses on Financial Instruments. The standard provides guidance for estimating credit losses on certain types of financial instruments, including trade receivables, by introducing an approach based on expected losses. The expected loss approach will require entities to incorporate considerations of historical information, current information and reasonable and supportable forecasts. ASU 2017-13 also amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. The FASB has issued several amendments to the standard. In November 2019, the FASB amended the standard with the issuance of ASU 2019-10, Financial Instruments – Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842): Effective Dates. The amendment revised the effective date of ASU 2016-13 to fiscal years beginning after December 15, 2022. The Company is currently evaluating the impact of ASU 2016-13 on its financial statements.In August 2020, the FASB issued ASU No. 2020-06, Debt — Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging — Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity (“ASU 2020-06”). The ASU simplifies the accounting for convertible instruments by removing certain models in Subtopic 470-20 and revises the guidance in Subtopic 815-40 to simplify the accounting for contracts in an entity’s own equity. ASU 2020-06 is effective for reporting periods beginning after December 15, 2023 with early adoption permitted for reporting periods beginning after December 15, 2020. The amendment is to be adopted through either a modified retrospective or fully retrospective method of transition. The Company is currently evaluating the impact of ASU 2020-06 on its financial statements and its adoption method.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

9 Months Ended

Sep. 30, 2021

Accounting Policies [Abstract]

Schedule of Product Warranty Liability

The following table provides a reconciliation of the change in estimated warranty liabilities:


	Amount
Balance, December 31, 2020	$	—
Provision for warranties	7,063
Settlements	(834)
Balance, September 30, 2021	$	6,229

Schedule of Property and Equipment Estimated Useful Lives

The estimated useful lives are as follows:


			Years
Leasehold improvements			Shorter of the estimated useful life or lease term
Machinery and equipment			3-7 years
Furniture and fixtures			7

As of September 30, 2021, and December 31, 2020, the Company’s property and equipment, net consisted of the following:


	September 30, 2021		December 31, 2020
Construction in progress	$	861	$	83,353
Machinery and equipment	175,961		26,972
Leasehold improvements	26,172		2,897
Furniture and fixtures	1,008		683
Property and equipment	204,002		113,905
Accumulated depreciation and amortization	(35,360)		(10,222)
Total property and equipment, net	$	168,642	$	103,683

REVENUE (Tables)

9 Months Ended

Sep. 30, 2021

Revenue from Contract with Customer [Abstract]

Schedule of Disaggregation of Revenue

Disaggregation of the product revenue by type of customer for the three and nine months ended September 30, 2021 and 2020, respectively:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Public sector entities	$	128,587	$	1	$	295,708	$	1
Private sector customers	94,007		2,127		128,808		2,127
Total product revenue	$	222,594	$	2,128	$	424,516	$	2,128

The following table sets forth the Company’s product gross profit and product gross profit margin for the three and nine months ended September 30, 2020 and 2021:


	Three Months Ended September 30,						Nine Months Ended September 30,
	2021			2020			2021			2020
Product revenue	$	222,594		$	2,128		$	424,516		$	2,128
Cost of product revenue	88,569			2,641			173,746			2,641
Product gross profit	$	134,025		$	(513)		$	250,770		$	(513)
Product gross profit margin	60		%	(24)		%	59		%	(24)		%

Schedule of Contract Liabilities

The activity related to contract liabilities for the nine months ended September 30, 2021 is as follows:


	Amount
Balance at December 31, 2020	$	183,096
Recognition of U.S. DoD Advance	(74,726)
Recognition of non-refundable customer deposits	(804)
Balance at September 30, 2021	$	107,566

INVENTORIES (Tables)

9 Months Ended

Sep. 30, 2021

Inventory Disclosure [Abstract]

Schedule of Inventories

As of September 30, 2021, and December 31, 2020, the Company’s inventories consisted of the following:


	September 30, 2021		December 31, 2020
Raw materials	$	34,164	$	29,948
Work-in-process	10,643		4,957
Finished goods	21,216		1,645
Inventory on consignment	5,791		1,081
Reserve	(1,075)		(789)
Total inventories	$	70,739	$	36,842

PREPAID EXPENSES (Tables)

9 Months Ended

Sep. 30, 2021

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

Schedule of Prepaid Expenses

As of September 30, 2021, and December 31, 2020, the Company’s prepaid expenses consisted of the following:


	September 30, 2021		December 31, 2020
Prepaid expense	$	33,476	$	5,152
Prepaid inventory	14,446		8,695
Total prepaid expenses	$	47,922	$	13,847

PROPERTY AND EQUIPMENT, NET (Tables)

9 Months Ended

Sep. 30, 2021

Property, Plant and Equipment [Abstract]

Schedule of Property and Equipment, Net

The estimated useful lives are as follows:


			Years
Leasehold improvements			Shorter of the estimated useful life or lease term
Machinery and equipment			3-7 years
Furniture and fixtures			7

As of September 30, 2021, and December 31, 2020, the Company’s property and equipment, net consisted of the following:


	September 30, 2021		December 31, 2020
Construction in progress	$	861	$	83,353
Machinery and equipment	175,961		26,972
Leasehold improvements	26,172		2,897
Furniture and fixtures	1,008		683
Property and equipment	204,002		113,905
Accumulated depreciation and amortization	(35,360)		(10,222)
Total property and equipment, net	$	168,642	$	103,683

INTANGIBLE ASSETS (Tables)

9 Months Ended

Sep. 30, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Finite-Lived Intangible Assets

As of September 30, 2021, and December 31, 2020, the Company’s intangible assets consisted of the following:


	September 30, 2021		December 31, 2020
Capitalized software	$	5,638	$	2,114
Accumulated amortization	(1,947)		(76)
Total intangible assets	$	3,691	$	2,038

Schedule of Estimated Amortization Expense

Estimated amortization expense for each of the years ending December 31 is as follows:


2021 (excluding the nine months ended September 30, 2021)	$	352
2022	1,409
2023	1,362
2024	568
Total amortization expense	$	3,691

LEASES (Tables)

9 Months Ended

Sep. 30, 2021

Leases [Abstract]

Assets And Liabilities, Lessee

The right-of-use assets and lease liabilities recognized on the Company’s balance sheet as of September 30, 2021 were as follows:

September 30, 2021

Balance Sheet Location

Operating Leases

Finance Leases

Assets

Right-of-use assets operating leases

Operating lease right-of-use assets

78,555

Right-of-use assets finance leases

Property and equipment, net

10,316

Liabilities

Operating lease liabilities (current)

Operating lease liabilities, current

3,960

Finance lease liabilities (current)

Finance lease liabilities, current

2,603

Operating lease liabilities (non-current)

Operating lease liabilities, net of current portion

50,027

Finance lease liabilities (non-current)

Finance lease liabilities, net of current portion

3,841

Lease, Cost

The components of lease expense for the three and nine months ended September 30, 2021 and 2020 were as follows:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Operating lease cost	$	2,398	$	393	$	5,365	$	1,159
Finance lease cost:
Amortization of right-of-use assets	509		153		1,215		297
Interest on lease liabilities	54		26		154		65
Total lease cost	$	2,961	$	572	$	6,734	$	1,521

FAIR VALUE MEASUREMENTS (Tables)

9 Months Ended

Sep. 30, 2021

Fair Value Disclosures [Abstract]

Fair Value, Liabilities Measured on Recurring Basis

The following table sets forth the Company’s financial instruments that were measured at fair value on a recurring basis within the fair value hierarchy:

There are no instruments that were measured at fair value on a recurring basis as of September 30, 2021.


December 31, 2020	Recurring Fair Value Measurements
	Level 1		Level 2		Level 3		Total
Redeemable convertible preferred stock warrant liabilities	$	—	$	—	$	1,331	$	1,331

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation


	Redeemable Convertible Preferred Stock Warrants		Convertible Notes
Balance, December 31, 2020	$	1,331	$	—
Issuance	—		235,480
Remeasurement	(53)		59,559
Accrued interest	—		2,753
Exercise of redeemable convertible preferred stock warrants	(1,278)		—
Conversion into common stock	—		(297,792)
Balance, September 30, 2021	$	—	$	—

STOCK-BASED COMPENSATION (Tables)

9 Months Ended

Sep. 30, 2021

Share-based Payment Arrangement [Abstract]

Schedule of Stock-Based Compensation Expense Related to Awards Issued

Stock-based compensation expense related to awards issued under the Company's incentive compensation plans for the three and nine months ended September 30, 2021 and 2020, was as follows:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Cost of revenues	$	302	$	—	$	1,500	$	—
Sales and marketing	11		—		37		—
Research and development	294		41		884		59
General and administrative	19,359		104		23,136		183
Total stock-based compensation expense	$	19,967	$	145	$	25,558	$	242

Schedule of Stock Option Activity and Related Information

A summary of stock option activity and related information for three and nine months ended September 30, 2021 was as follows:


	Options	Weighted Average Exercise Price	Weighted Average Remaining Contractual Term (Years)
Outstanding at January 1, 2021	8,344,752	0.61	6.44
Granted	2,975,821	15.61
Exercised	(1,698,265)	0.30
Forfeited	(310,816)	10.31
Expired	(107,792)	0.37
Outstanding at September 30, 2021	9,203,700	4.99	4.88
Exercisable at September 30, 2021	5,775,902	1.02	5.79
Vested and expected to vest at September 30, 2021	9,260,605	4.49	6.49

Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions


	2021		2020
Expected volatility	40.9%		39.6%
Expected term (years)	7.71		7.04
Expected dividend yield	0.00%		0.00%
Risk-free interest rate	0.83%		0.41%
Grant date fair value	$	6.93	$	0.57

Share-based Payment Arrangement, Restricted Stock Unit, Activity

A summary of RSU activity and related information for the nine months ended September 30, 2021 was as follows:


	Underlying Shares	Weighted-average Grant Date Fair Value		Aggregate Fair Value
Outstanding, January 1, 2021	—	$	—	$	—
Granted	10,869,259	19.58		212,833
Vested	(146,274)	17.80		(2,604)
Outstanding, September 30, 2021	10,722,985	$	19.63	$	210,457

Schedule of Nonvested Share Activity

The following table summarizes the activity of the unvested common stock issued pursuant to an early exercise of stock option awards during the nine months ended September 30, 2021:


			Number of Shares
Unvested at December 31, 2020			316,666
Early exercised stock options during period			—
Vested or cancelled			(284,998)
Unvested at September 30, 2021			31,668

INCOME (LOSS) PER SHARE (Tables)

9 Months Ended

Sep. 30, 2021

Earnings Per Share [Abstract]

Schedule of Net Income (Loss) Per Share, Basic and Diluted

The following table reconciles net income and the weighted-average shares used in computing basic and diluted earnings per share:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Numerator:
Net income (loss)	$	19,348	$	(8,538)	$	52,188	$	(27,816)
Minus: Income allocated to participating securities	14,926		—		43,670		—
Net income (loss) attributable to common stockholders – basic	$	4,422	$	(8,538)	$	8,518	$	(27,816)

Plus: Income allocated to non-participating securities	701		—		2,142		—
Net income (loss) attributable to common stockholders - diluted	$	5,123	$	(8,538)	$	10,660	$	(27,816)

Denominator:
Basic weighted-average common shares outstanding	31,554,720		16,556,343		22,997,311		16,126,647
Dilutive potential common stock issuable:
Common stock warrants	89,551		—		89,551		—
Stock options	7,660,707		—		7,660,707		—
Diluted weighted-average shares outstanding	39,304,978		16,556,343		30,747,569		16,126,647

Net income (loss) attributable to common stockholders per share
Basic	$	0.14	$	(0.52)	$	0.37	$	(1.72)
Diluted	$	0.13	$	(0.52)	$	0.35	$	(1.72)

Schedule of Antidilutive Securities Excluded from Computation of Net Income (Loss) Per Share

Outstanding anti-dilutive securities not included in the diluted net income (loss) per share attributable to common stockholders calculations were as follows (in common stock equivalent shares):


	Three Months Ended September 30,		Nine Months Ended September 30,
	2021	2020	2021	2020
Redeemable convertible preferred stock	—	83,526,065	—	83,526,065
Stock options	2,767,821	8,244,751	2,767,821	8,244,751
Restricted stock units	9,747,566	—	9,747,566	—
Common stock subject to restricted stock purchase agreements	—	9,872,293	—	9,872,293
Common stock warrants	—	75,744	—	75,744
Redeemable convertible preferred stock warrants	—	79,882	—	79,882
Total	12,515,387	101,798,735	12,515,387	101,798,735

BUSINESS AND BASIS OF ACCOUNTING (Details) $ / shares in Units, $ in Thousands		9 Months Ended
	Sep. 28, 2021 USD ($) $ / shares shares	Sep. 30, 2021 USD ($) segment	Sep. 30, 2020 USD ($)	May 31, 2021 USD ($)
Class of Stock [Line Items]
Proceeds from issuance of common stock at public offering \| $		$ 230,000	$ 0
Shares issued upon conversion (in shares) \| shares	83,605,947
Number of operating segments \| segment		1
Redeemable Convertible Preferred Stock Converted into Common Stock
Class of Stock [Line Items]
Conversion of redeemable convertible preferred stock (in shares) \| shares	83,605,947
Product Concentration Risk \| Revenue Benchmark \| Cue COVID-19 Test
Class of Stock [Line Items]
Concentration risk, percentage		100.00%
Convertible Debt
Class of Stock [Line Items]
Debt instrument, face amount \| $	$ 235,500
Accrued interest \| $	$ 2,700
Debt instrument, convertible, number of equity instruments (in shares) \| shares	18,611,914
Convertible Debt \| May 2021 Convertible Notes
Class of Stock [Line Items]
Debt instrument, face amount \| $	$ 235,500			$ 235,500
Accrued interest \| $	$ 2,800
Debt instrument, convertible, number of equity instruments (in shares) \| shares	18,611,914
IPO
Class of Stock [Line Items]
Sale of stock, number of shares issued in transaction (in shares) \| shares	14,375,000
Sale of stock, price per share (USD per share) \| $ / shares	$ 16.00
Proceeds from issuance of common stock at public offering \| $	$ 205,300
Over-Allotment Option
Class of Stock [Line Items]
Sale of stock, number of shares issued in transaction (in shares) \| shares	1,875,000

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Restricted Cash Narrative (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020	Sep. 30, 2020
Accounting Policies [Abstract]
Restricted cash	$ 12,000	$ 6,000	$ 0

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Accounts Receivable Narrative (Details) $ in Millions	Sep. 30, 2021 USD ($)
Accounting Policies [Abstract]
Accounts receivable, allowance for bad debt	$ 0.3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Product Warranty Reserve Narrative (Details)	9 Months Ended
	Sep. 30, 2021
Accounting Policies [Abstract]
Standard product warranty, term	12 months

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Product Warranty Reserve Rollforward (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2021 USD ($)
Movement in Standard Product Warranty Accrual [Roll Forward]
Balance, December 31, 2020	$ 0
Provision for warranties	7,063
Settlements	(834)
Balance, September 30, 2021	$ 6,229

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Schedule of Property and Equipment Estimated Useful Lives (Details)	9 Months Ended
	Sep. 30, 2021
Machinery and equipment \| Minimum
Property, Plant and Equipment [Line Items]
Property and equipment, estimated useful lives	3 years
Machinery and equipment \| Maximum
Property, Plant and Equipment [Line Items]
Property and equipment, estimated useful lives	7 years
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Property and equipment, estimated useful lives	7 years

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Property and Equipment Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Jun. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Property, Plant and Equipment [Line Items]
Net loss	$ (19,348)	$ 8,538		$ (52,188)	$ 27,816
Net loss per share, basic and diluted (USD per share)				$ 0.14
Property And Equipment, Estimated Useful Lives
Property, Plant and Equipment [Line Items]
Depreciation and amortization				$ 2,200
Net loss				$ 2,200
Laboratory Equipment
Property, Plant and Equipment [Line Items]
Property and equipment, estimated useful lives			7 years	5 years
Manufacturing Equipment
Property, Plant and Equipment [Line Items]
Property and equipment, estimated useful lives			7 years	3 years

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
-SubTopic 220
-Section S99
-Paragraph 1
-Subparagraph (SX 210.9-04(22))
-URI http://asc.fasb.org/extlink&oid=120399700&loc=SL114874048-224260

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-Subparagraph (f)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=124431687&loc=d3e22595-107794

Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 220
-Section S99
-Paragraph 1
-Subparagraph (SX 210.7-04(18))
-URI http://asc.fasb.org/extlink&oid=120400993&loc=SL114874131-224263

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 65
-Paragraph 1
-Subparagraph (f)
-URI http://asc.fasb.org/extlink&oid=123482062&loc=SL123482106-238011

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=124431353&loc=SL124452729-227067

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(5))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442552-122756

Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03(20))
-URI http://asc.fasb.org/extlink&oid=123367319&loc=SL114868664-224227

Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 230
-SubTopic 10
-Section 45
-Paragraph 28
-URI http://asc.fasb.org/extlink&oid=123570139&loc=d3e3602-108585

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 1
-Subparagraph (b)(2)
-URI http://asc.fasb.org/extlink&oid=124431687&loc=d3e22499-107794

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(iv))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442526-122756

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(iii)(A))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442526-122756

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(i))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442552-122756

Reference 14: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(i))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442526-122756

Reference 15: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 9
-URI http://asc.fasb.org/extlink&oid=124431687&loc=d3e22663-107794

Reference 16: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iv))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442552-122756

Reference 17: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(ii))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442526-122756

Reference 18: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 28
-Subparagraph (f)
-URI http://asc.fasb.org/extlink&oid=123596393&loc=d3e14064-108612

Reference 19: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=124431687&loc=d3e22583-107794

Reference 20: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(g)(1)(ii))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

Reference 21: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 260
-SubTopic 10
-Section 45
-Paragraph 60B
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=125511455&loc=SL5780133-109256

Reference 22: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 323
-SubTopic 10
-Section 50
-Paragraph 3
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=114001798&loc=d3e33918-111571

Reference 23: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=124431687&loc=d3e22658-107794

Reference 24: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 1A
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=124509347&loc=SL7669619-108580

Reference 25: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 31
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8924-108599

Reference 26: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 11
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=124431687&loc=d3e22694-107794

Reference 27: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 11
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=124431687&loc=d3e22694-107794

Reference 28: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=109222650&loc=SL51721683-107760

Reference 29: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 1B
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=124509347&loc=SL7669625-108580

Reference 30: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 22
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8736-108599

Reference 31: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(5))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442526-122756

Reference 32: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iii)(B))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442552-122756

Reference 33: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iii)(A))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442552-122756

Reference 34: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 30
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8906-108599

Reference 35: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599

+ Details

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Intangible Assets Narrative (Details)	9 Months Ended
	Sep. 30, 2021
Software
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible asset, useful life	3 years

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES- Deferred Offering Costs Narrative (Details)	Dec. 31, 2020 USD ($)
Accounting Policies [Abstract]
Deferred offering costs	$ 0

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Impairment of Long-Lived Assets Narrative (Details) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2021	Dec. 31, 2020
Accounting Policies [Abstract]
Impairment, long-lived asset	$ 0	$ 0

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Convertible Notes Narrative (Details) - USD ($)	Sep. 28, 2021	Sep. 30, 2021	May 31, 2021
IPO
Debt Instrument [Line Items]
Sale of stock, price per share (USD per share)	$ 16.00
Redeemable Convertible Preferred Stock Converted into Common Stock
Debt Instrument [Line Items]
Conversion of redeemable convertible preferred stock (in shares)	83,605,947
Convertible Debt
Debt Instrument [Line Items]
Debt instrument, face amount	$ 235,500,000
Accrued interest	$ 2,700,000
Debt instrument, convertible, number of equity instruments (in shares)	18,611,914
May 2021 Convertible Notes \| Convertible Debt
Debt Instrument [Line Items]
Debt instrument, face amount	$ 235,500,000		$ 235,500,000
Accrued interest	$ 2,800,000
Debt instrument, convertible, number of equity instruments (in shares)	18,611,914
Debt instrument, convertible, conversion discount period one			20.00%
Long-term debt		$ 0

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Revenue Recognition Narrative (Details) $ in Millions	1 Months Ended			3 Months Ended	9 Months Ended
	Sep. 30, 2021 USD ($) cue_Test_Kit	Aug. 31, 2021 cue_Test_Kit	May 31, 2021 cue_Test_Kit cue_Reader	Jun. 30, 2021 cue_Test_Kit	Sep. 30, 2021 USD ($)	Oct. 31, 2021 USD ($)
Disaggregation of Revenue [Line Items]
Purchase agreement, number of units ordered			1,000	1,000,000
Notice period for contract termination			30 days	45 days
Purchase agreement, number of units ordered, monthly amount \| cue_Test_Kit		10,000	300,000
United States Department of Defense
Disaggregation of Revenue [Line Items]
Purchase agreement, number of units ordered \| cue_Test_Kit	6,000,000
United States Department of Defense \| Product \| Cue COVID-19 Test
Disaggregation of Revenue [Line Items]
Advance for scaling \| $	$ 184.6				$ 184.6
United States Department of Defense \| Product \| Cue COVID-19 Test \| Subsequent Event
Disaggregation of Revenue [Line Items]
Advance for scaling \| $						$ 184.6
Minimum
Disaggregation of Revenue [Line Items]
Contract term					6 months
Typical payment term					30 days
Maximum
Disaggregation of Revenue [Line Items]
Contract term					12 months
Typical payment term					45 days

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Stock-Based Compensation Narrative (Details)	9 Months Ended
	Sep. 30, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period	4 years
Expected dividend yield	0.00%
Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period	3 years
Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period	4 years

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Out of Period Correction Narrative (Details) - Product - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Cost of product revenue	$ 88,569	$ 2,641	$ 173,746	$ 2,641
Immaterial Cost Not Previously Recognized
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Cost of product revenue	$ 3,000		$ 3,000

- Definition

The aggregate cost of goods produced and sold and services rendered during the reporting period.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(5))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442552-122756

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 28
-Subparagraph (f)
-URI http://asc.fasb.org/extlink&oid=123596393&loc=d3e14064-108612

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(g)(1)(ii))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(iv))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442526-122756

Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03.2)
-URI http://asc.fasb.org/extlink&oid=123367319&loc=SL114868664-224227

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 323
-SubTopic 10
-Section 50
-Paragraph 3
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=114001798&loc=d3e33918-111571

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(5))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442526-122756

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(i))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442552-122756

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iii)(B))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442552-122756

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iii)(A))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442552-122756

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(i))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442526-122756

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(iii)(A))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442526-122756

Reference 13: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(ii))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442526-122756

Reference 14: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iv))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442552-122756

+ Details

REVENUE - Narrative (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended				9 Months Ended
REVENUE - Narrative (Details) - USD ($) $ in Thousands	Oct. 31, 2020	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Disaggregation of Revenue [Line Items]
Revenue		$ 223,679			$ 4,730	$ 425,601	$ 9,690
Product
Disaggregation of Revenue [Line Items]
Revenue		222,594			2,128	424,516	2,128
Product \| Private Sector Customers
Disaggregation of Revenue [Line Items]
Revenue		94,007			2,127	128,808	2,127
Product \| Private Sector Customers \| Revenue Benchmark \| Customer Concentration Risk
Disaggregation of Revenue [Line Items]
Concentration risk, percentage			24.00%	4.00%
Product \| Cue COVID-19 Test \| United States Department of Defense
Disaggregation of Revenue [Line Items]
Agreement value	$ 480,900
Advance for scaling		184,600				184,600
Grant And Other Revenue
Disaggregation of Revenue [Line Items]
Revenue		1,085			2,602	1,085	7,562
Grant And Other Revenue \| Biomedical Advanced Research And Development Authority (BARDA)
Disaggregation of Revenue [Line Items]
Revenue		$ 900			$ 2,600	$ 900	$ 7,600

REVENUE - Product Revenue By Customer Type (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Disaggregation of Revenue [Line Items]
Revenue	$ 223,679	$ 4,730	$ 425,601	$ 9,690
Product
Disaggregation of Revenue [Line Items]
Revenue	222,594	2,128	424,516	2,128
Product \| Public Sector Entities
Disaggregation of Revenue [Line Items]
Revenue	128,587	1	295,708	1
Product \| Private Sector Customers
Disaggregation of Revenue [Line Items]
Revenue	$ 94,007	$ 2,127	$ 128,808	$ 2,127

- Definition

Amount, excluding tax collected from customer, of revenue from satisfaction of performance obligation by transferring promised good or service to customer. Tax collected from customer is tax assessed by governmental authority that is both imposed on and concurrent with specific revenue-producing transaction, including, but not limited to, sales, use, value added and excise.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 30
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8906-108599

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 40
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9031-108599

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 41
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9038-108599

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 4
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130543-203045

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 22
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8736-108599

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 22
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8736-108599

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 42
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9054-108599

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130545-203045

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 924
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SAB Topic 11.L)
-URI http://asc.fasb.org/extlink&oid=6472922&loc=d3e499488-122856

+ Details

REVENUE - Product Revenue Gross Profit and Gross Profit Margin (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Disaggregation of Revenue [Line Items]
Revenue	$ 223,679	$ 4,730	$ 425,601	$ 9,690
Product
Disaggregation of Revenue [Line Items]
Revenue	222,594	2,128	424,516	2,128
Cost of product revenue	88,569	2,641	173,746	2,641
Product gross profit	$ 134,025	$ (513)	$ 250,770	$ (513)
Product gross profit margin	60.00%	(24.00%)	59.00%	(24.00%)

- Definition

The aggregate cost of goods produced and sold and services rendered during the reporting period.

+ References

+ Details

- Definition

Aggregate revenue less cost of goods and services sold or operating expenses directly attributable to the revenue generation activity.

+ References

Reference 1: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 31
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8924-108599

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 30
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8906-108599

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 22
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8736-108599

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-Subparagraph (f)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(iv))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442526-122756

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 323
-SubTopic 10
-Section 50
-Paragraph 3
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=114001798&loc=d3e33918-111571

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iii)(A))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442552-122756

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iii)(B))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442552-122756

Reference 9: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(ii))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442526-122756

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(g)(1)(ii))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(i))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442526-122756

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(i))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442552-122756

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(iii)(A))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442526-122756

Reference 14: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 28
-Subparagraph (f)
-URI http://asc.fasb.org/extlink&oid=123596393&loc=d3e14064-108612

Reference 15: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(5))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442526-122756

Reference 16: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iv))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442552-122756

Reference 17: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(5))
-URI http://asc.fasb.org/extlink&oid=124359900&loc=SL124442552-122756

Reference 18: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03.1,2)
-URI http://asc.fasb.org/extlink&oid=123367319&loc=SL114868664-224227

Reference 19: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599

REVENUE - Contract Liability Activity (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2021 USD ($)
Contract With Customer, Liability Rollforward [Roll Forward]
Balance at December 31, 2020	$ 183,096
Balance at September 30, 2021	107,566
United States Department of Defense
Contract With Customer, Liability Rollforward [Roll Forward]
Recognition of U.S. DoD Advance and non-refundable customer deposits	(74,726)
Non Refundable Customer Deposits
Contract With Customer, Liability Rollforward [Roll Forward]
Recognition of U.S. DoD Advance and non-refundable customer deposits	$ (804)

INVENTORIES (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Inventory Disclosure [Abstract]
Raw materials	$ 34,164	$ 29,948
Work-in-process	10,643	4,957
Finished goods	21,216	1,645
Inventory on consignment	5,791	1,081
Reserve	(1,075)	(789)
Total inventories	$ 70,739	$ 36,842

PREPAID EXPENSES (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Prepaid expense	$ 33,476	$ 5,152
Prepaid inventory	14,446	8,695
Total prepaid expenses	$ 47,922	$ 13,847

PROPERTY AND EQUIPMENT, NET - Schedule of Property and Equipment, Net (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Property, Plant and Equipment [Line Items]
Property and equipment	$ 204,002	$ 113,905
Accumulated depreciation and amortization	(35,360)	(10,222)
Total property and equipment, net	168,642	103,683
Construction in progress
Property, Plant and Equipment [Line Items]
Property and equipment	861	83,353
Machinery and equipment
Property, Plant and Equipment [Line Items]
Property and equipment	175,961	26,972
Leasehold improvements
Property, Plant and Equipment [Line Items]
Property and equipment	26,172	2,897
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Property and equipment	$ 1,008	$ 683

PROPERTY AND EQUIPMENT, NET - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Dec. 31, 2020
Property, Plant and Equipment [Abstract]
Depreciation	$ 11,400	$ 1,000	$ 24,200	$ 4,400
Carrying value of finance leases	$ 10,316		$ 10,316		$ 4,800

INTANGIBLE ASSETS - Finite-Lived Intangible Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Capitalized software	$ 5,638	$ 2,114
Accumulated amortization	(1,947)	(76)
Total amortization expense	$ 3,691	$ 2,038

INTANGIBLE ASSETS - Narrative (Details) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization of intangible assets	$ 0.2	$ 1.9

INTANGIBLE ASSETS - Estimated Amortization Expense (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
2021 (excluding the nine months ended September 30, 2021)	$ 352
2022	1,409
2023	1,362
2024	568
Total amortization expense	$ 3,691	$ 2,038

LEASES - Additional Information (Details) $ in Thousands	1 Months Ended
LEASES - Additional Information (Details) $ in Thousands	Aug. 31, 2021 USD ($) ft² suite	Sep. 30, 2020 USD ($) ft²	Sep. 30, 2021 USD ($)	Jan. 31, 2021 ft²	Dec. 31, 2020 USD ($)	Oct. 31, 2020 USD ($) ft²
Lessee, Lease, Description [Line Items]
Payment for improvements	$ 12,700
Right-of-use assets operating leases			$ 78,555		$ 8,281
Leases that have no yet commenced			$ 200
San Diego, California
Lessee, Lease, Description [Line Items]
Area of building (in sqft) \| ft²		63,700		8,010
Term of contract		10 years		3 years
Payment for improvements		$ 12,500
Right-of-use assets operating leases		32,400
Operating lease liabilities		$ 19,900
Additional suites \| suite	2
Vista, California
Lessee, Lease, Description [Line Items]
Area of building (in sqft) \| ft²						197,000
Term of contract						5 years
Right-of-use assets operating leases						$ 20,500
Operating lease liabilities						$ 17,100
Renewal term						5 years
Tenant reimbursement allowance						$ 1,600
San Diego, California, Property One
Lessee, Lease, Description [Line Items]
Area of building (in sqft) \| ft²	6,932
San Diego, California, Property Two
Lessee, Lease, Description [Line Items]
Area of building (in sqft) \| ft²	4,976

LEASES - Right of Use Assets and Lease Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Leases [Abstract]
Right-of-use assets operating leases	$ 78,555	$ 8,281
Right-of-use assets finance leases	10,316	4,800
Operating lease liabilities (current)	3,960	797
Finance lease liabilities (current)	2,603	1,249
Operating lease liabilities (non-current)	50,027	10,472
Finance lease liabilities (non-current)	$ 3,841	$ 1,857
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration]	Property and equipment, net

LEASES - Components of Lease Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Leases [Abstract]
Operating lease cost	$ 2,398	$ 393	$ 5,365	$ 1,159
Finance lease cost, Amortization of right-of-use assets	509	153	1,215	297
Interest on finance leases	54	26	154	65
Total lease cost	$ 2,961	$ 572	$ 6,734	$ 1,521

CONVERTIBLE NOTES (Details) - USD ($)		1 Months Ended	3 Months Ended	9 Months Ended
CONVERTIBLE NOTES (Details) - USD ($)	Sep. 28, 2021	May 31, 2021	Sep. 30, 2021	Sep. 30, 2021	Sep. 30, 2020	Jun. 01, 2022
Debt Instrument [Line Items]
Conversion of convertible notes	$ 297,792,000				$ 0
IPO
Debt Instrument [Line Items]
Sale of stock, price per share (USD per share)	$ 16.00
Convertible Debt
Debt Instrument [Line Items]
Debt instrument, face amount	$ 235,500,000
Accrued interest	$ 2,700,000
Debt instrument, convertible, number of equity instruments (in shares)	18,611,914
May 2021 Convertible Notes \| Convertible Debt
Debt Instrument [Line Items]
Debt instrument, face amount	$ 235,500,000	$ 235,500,000
Debt issuance costs, gross		$ 6,000,000
Debt instrument, interest rate, stated percentage		3.00%
Debt instrument, initial interest rate period		12 months
Debt instrument, covenant, minimum IPO value threshold		$ 50,000,000
Debt instrument, convertible, conversion discount period one		20.00%
Debt instrument, convertible, conversion discount period two		25.00%
Debt instrument, covenant, outstanding principal multiplier for early conversion rights		1.75
Debt instrument, event of default, annual interest rate increase		3.00%
Fair value adjustment loss on debt			$ 36,300,000	$ 59,600,000
Accrued interest	$ 2,800,000
Debt instrument, convertible, number of equity instruments (in shares)	18,611,914
Long-term debt			$ 0	$ 0
May 2021 Convertible Notes \| Convertible Debt \| Forecast
Debt Instrument [Line Items]
Debt instrument, interest rate, stated percentage						9.00%

DEBT (Details) - USD ($)		1 Months Ended		3 Months Ended		9 Months Ended
DEBT (Details) - USD ($)	Feb. 05, 2021	Jun. 30, 2021	May 31, 2021	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Jul. 31, 2021	May 31, 2015
Debt Instrument [Line Items]
Loss on extinguishment of debt				$ 0	$ 610,000	$ 1,998,000	$ 610,000
Revolving Credit Facility \| 2015 Credit Agreement \| Comerica Bank \| Line of Credit
Debt Instrument [Line Items]
Extinguishment of debt, amount	$ 5,400,000
Revolving Credit Facility \| Revolving Credit Agreement \| East West Bank \| Line of Credit
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	130,000,000	$ 6,000,000		$ 130,000,000		130,000,000		$ 12,000,000.0
Repayments of lines of credit			$ 63,200,000
Debt extinguishment, fee		$ 1,300,000
Debt extinguishment, fee, percentage of outstanding commitment		1.00%
Write off of deferred debt issuance cost						700,000
Loss on extinguishment of debt						$ 2,000,000
Letter of Credit \| 2015 Credit Agreement \| Comerica Bank \| Line of Credit
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity									$ 4,000,000
Letter of Credit \| Revolving Credit Agreement \| East West Bank \| Line of Credit
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	$ 20,000,000
Bridge Loan \| 2015 Credit Agreement \| Comerica Bank \| Line of Credit
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity									$ 6,000,000

CAPITAL STOCK (Details) - $ / shares	Sep. 30, 2021	Sep. 28, 2021	Aug. 31, 2021	Dec. 31, 2020
Class of Stock [Line Items]
Common stock and preferred stock, shares authorized (in shares)	550,000,000
Common stock, shares authorized (in shares)	500,000,000			129,030,355
Preferred stock, shares authorized (in shares)	50,000,000			0
Common stock, par value (in dollars per share)	$ 0.00001			$ 0.00001
Preferred stock, par value (in dollars per share)	$ 0.00001			$ 0.00001
Shares issued upon conversion (in shares)		83,605,947
Redeemable convertible preferred stock warrants
Class of Stock [Line Items]
Warrants outstanding (in shares)			79,882
Common Stock Warrants
Class of Stock [Line Items]
Warrants outstanding (in shares)	75,744
Exercise price of warrant (USD per share)	$ 0.40

FAIR VALUE MEASUREMENTS - Fair Value of Financial Instruments, Recurring Basis (Details) - Redeemable convertible preferred stock warrants - Fair Value, Recurring $ in Thousands	Dec. 31, 2020 USD ($)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Warrants Not Settleable in Cash, Fair Value Disclosure	$ 1,331
Fair Value, Inputs, Level 1
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Warrants Not Settleable in Cash, Fair Value Disclosure	0
Fair Value, Inputs, Level 2
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Warrants Not Settleable in Cash, Fair Value Disclosure	0
Fair Value, Inputs, Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Warrants Not Settleable in Cash, Fair Value Disclosure	$ 1,331

FAIR VALUE MEASUREMENTS - Narrative (Details) - USD ($)		1 Months Ended	3 Months Ended	9 Months Ended
FAIR VALUE MEASUREMENTS - Narrative (Details) - USD ($)	Sep. 28, 2021	May 31, 2021	Sep. 30, 2021	Sep. 30, 2021
IPO
Debt Instrument [Line Items]
Sale of stock, price per share (USD per share)	$ 16.00
Redeemable convertible preferred stock
Debt Instrument [Line Items]
Warrants outstanding (in shares)			0	0
Convertible Debt
Debt Instrument [Line Items]
Debt instrument, face amount	$ 235,500,000
Accrued interest	$ 2,700,000
Debt instrument, convertible, number of equity instruments (in shares)	18,611,914
May 2021 Convertible Notes \| Convertible Debt
Debt Instrument [Line Items]
Debt instrument, face amount	$ 235,500,000	$ 235,500,000
Debt instrument, convertible, conversion discount period one		20.00%
Debt instrument, covenant, minimum IPO value threshold		$ 50,000,000
Debt instrument, convertible, conversion discount period two		25.00%
Accrued interest	$ 2,800,000
Debt instrument, convertible, number of equity instruments (in shares)	18,611,914
Fair value adjustment loss on debt			$ 36,300,000	$ 59,600,000

FAIR VALUE MEASUREMENTS - Fair Value Rollforward , Measured on a Recurring Basis (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2021 USD ($)
Redeemable convertible preferred stock warrants
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward]
Balance, December 31, 2020	$ 1,331
Issuance	0
Remeasurement	(53)
Accrued interest	0
Exercise of redeemable convertible preferred stock warrants	(1,278)
Conversion into common stock	0
Balance, September 30, 2021	0
Convertible Debt
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward]
Balance, December 31, 2020	0
Issuance	235,480
Remeasurement	59,559
Accrued interest	2,753
Exercise of redeemable convertible preferred stock warrants	0
Conversion into common stock	(297,792)
Balance, September 30, 2021	$ 0

STOCK-BASED COMPENSATION - Narrative (Details) - USD ($) $ in Millions			1 Months Ended	2 Months Ended	3 Months Ended	9 Months Ended	12 Months Ended
	Sep. 28, 2021	Sep. 22, 2021	Sep. 30, 2021	Mar. 31, 2021	Sep. 30, 2021	Sep. 30, 2021	Dec. 31, 2020	Dec. 31, 2018	Jan. 31, 2021	Aug. 31, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)		128,000				2,975,821
Share-based compensation cost capitalized in inventory					$ 0.3	$ 1.5
Award vesting period						4 years
Plan modification, incremental cost					12.9	$ 12.9
Chief Executive Officer \| 2018 Promissory Notes
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Forgiveness of promissory note			$ 1.3
Stock issued during period, new issues (in shares)								2,444,130
Chief Executive Officer \| 2020 Promissory Notes
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Forgiveness of promissory note			7.0
Stock issued during period, new issues (in shares)							4,915,442
Chief Product Officer \| 2020 Promissory Notes
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Forgiveness of promissory note			3.5
Stock issued during period, new issues (in shares)							2,457,721
Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period						3 years
Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period						4 years
Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unamortized share-based compensation cost related to unvested stock option awards			$ 12.6		$ 12.6	$ 12.6
Expected period for recognition						3 years 1 month 28 days
Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period						4 years
Award vesting percentage						25.00%
Granted (in shares)			6,707,320			10,869,259
Vested (in shares)	137,375					146,274
Percent representing time based RSUs			25.00%		25.00%	25.00%
Fully vested shares granted (in shares)						128,000
Restricted Stock Units (RSUs) \| Certain Executives
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)				1,049,043
Performance-vesting Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)			4,932,573
Percent representing performance based RSUs			75.00%		75.00%	75.00%
Percent vesting based on stock price performance goals			70.00%		70.00%	70.00%
Percent vesting based on target revenue performance goals			20.00%		20.00%	20.00%
Time-vesting Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting percentage						12.50%
Granted (in shares)			1,774,747
Time-vesting Restricted Stock Units (RSUs) \| Other Employees
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)			3,240,896
2014 Equity Incentive Plan \| Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares authorized (in shares)									22,399,691	20,399,691
Expiration period						1 year
Number of shares available for grant (in shares)			0		0	0	2,950,871
2021 Stock Purchase Plan \| Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)						9,820,216
Number of shares available for grant (in shares)			56,695,085		56,695,085	56,695,085
Annual percentage increase in shares available			5.00%
Vested (in shares)						8,900
2021 Stock Purchase Plan \| Stock options \| Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares authorized (in shares)			14,173,771		14,173,771	14,173,771
2021 Stock Purchase Plan \| Stock options \| Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares authorized (in shares)			22,399,691		22,399,691	22,399,691
2021 Employee Stock Purchase Plan \| Employee Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares authorized (in shares)			2,834,754		2,834,754	2,834,754
Annual percentage increase in shares available						1.00%
Annual increase, number of shares (in shares)			8,504,263		8,504,263	8,504,263
Restricted Stock Purchase Agreements \| Restricted Stock \| Chief Executive Officer and Chief Product Officer
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares subject to agreement (in shares)							9,872,293

STOCK-BASED COMPENSATION - Stock-Based Compensation (Details) - Share-based Payment Arrangement - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 19,967	$ 145	$ 25,558	$ 242
Cost of revenues
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	302	0	1,500	0
Sales and marketing
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	11	0	37	0
Research and development
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	294	41	884	59
General and administrative
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 19,359	$ 104	$ 23,136	$ 183

STOCK-BASED COMPENSATION - Summary of Company's Stock Option Activity (Details) - $ / shares		9 Months Ended	12 Months Ended
	Sep. 22, 2021	Sep. 30, 2021	Dec. 31, 2020
Options
Outstanding at beginning of period (in shares)		8,344,752
Granted (in shares)	128,000	2,975,821
Exercised (in shares)		(1,698,265)
Forfeited (in shares)		(310,816)
Expired (in shares)		(107,792)
Outstanding at end of period (in shares)		9,203,700	8,344,752
Weighted Average Exercise Price
Outstanding at end of period (in dollars per share)		$ 4.99	$ 0.61
Granted (in dollars per share)		15.61
Exercised (in dollars per share)		0.30
Forfeited (in dollars per share)		10.31
Expired (in dollars per share)		0.37
Outstanding at beginning of period (in dollars per share)		$ 0.61
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract]
Options, exercisable (in shares)		5,775,902
Options, vested and expected to vest (in shares)		9,260,605
Weighted average exercise price, exercisable (in dollars per share)		$ 1.02
Weighted average exercise price, vested and expected to vest (in dollars per share)		$ 4.49
Weighted average remaining contractual term (years), outstanding		4 years 10 months 17 days	6 years 5 months 8 days
Weighted average remaining contractual term (years), exercisable		5 years 9 months 14 days
Weighted average remaining contractual term (years), vested and expected to vest		6 years 5 months 26 days

STOCK-BASED COMPENSATION - Valuation Assumptions (Details) - $ / shares	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021
Fair Value Assumptions
Expected dividend yield			0.00%
Stock options
Fair Value Assumptions
Expected volatility	40.90%	39.60%
Expected term (years)	7 years 8 months 15 days	7 years 14 days
Expected dividend yield	0.00%	0.00%
Risk-free interest rate	0.83%	0.41%
Grant date fair value (in dollars per share)	$ 6.93	$ 0.57

STOCK-BASED COMPENSATION - Summary of RSU Activity (Details) - Restricted Stock Units (RSUs) - $ / shares		1 Months Ended	9 Months Ended
	Sep. 28, 2021	Sep. 30, 2021	Sep. 30, 2021
Underlying Shares
Outstanding, beginning balance (in shares)			0
Granted (in shares)		6,707,320	10,869,259
Vested (in shares)	(137,375)		(146,274)
Outstanding, ending balance (in shares)		10,722,985	10,722,985
Weighted-average Grant Date Fair Value
Outstanding, beginning balance (USD per share)			$ 0
Granted (USD per share)			19.58
Vested (USD per share)			17.80
Outstanding, ending balance (USD per share)		$ 19.63	19.63
Aggregate Fair Value
Aggregate fair value, beginning balance (USD per share)			0
Aggregate fair value, granted (USD per share)			212,833,000
Aggregate fair value, vested (USD per share)			(2,604,000)
Aggregate fair value, ending balance (USD per share)		$ 210,457,000	$ 210,457,000

STOCK-BASED COMPENSATION - Summary of Early Exercise of Stock Options (Details)	9 Months Ended
	Sep. 30, 2021 shares
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares [Roll Forward]
Early exercised stock options during period (in shares)	(1,698,265)
Share-Based Payment Arrangement, Option, Early Exercised
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares [Roll Forward]
Unvested, beginning balance (in shares)	316,666
Early exercised stock options during period (in shares)	0
Vested or cancelled (in shares)	(284,998)
Unvested, ending balance (in shares)	31,668

INCOME (LOSS) PER SHARE - Schedule of Net Income (Loss) Per Share, Basic and Diluted (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Numerator [Abstract]
Net income (loss)	$ 19,348	$ (8,538)	$ 52,188	$ (27,816)
Minus: Income allocated to participating securities	14,926	0	43,670	0
Net income (loss) attributable to common stockholders – basic	4,422	(8,538)	8,518	(27,816)
Plus: Income allocated to non-participating securities	701	0	2,142	0
Net income (loss) attributable to common stockholders - diluted	$ 5,123	$ (8,538)	$ 10,660	$ (27,816)
Denominator [Abstract]
Basic weighted-average common shares outstanding (in shares)	31,554,720	16,556,343	22,997,311	16,126,647
Dilutive potential common stock issuable:
Common stock warrants (in shares)	89,551	0	89,551	0
Stock options (in shares)	7,660,707	0	7,660,707	0
Diluted weighted-average shares outstanding (in shares)	39,304,978	16,556,343	30,747,569	16,126,647
Net income (loss) attributable to common stockholders per share
Basic (USD per share)	$ 140	$ (0.52)	$ 0.37	$ (1.72)
Diluted (USD per share)	$ 0.13	$ (0.52)	$ 0.35	$ (1.72)

INCOME (LOSS) PER SHARE - Schedule of Antidilutive Securities Excluded from Computation of Net Income (Loss) Per Share (Details) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	12,515,387	101,798,735	12,515,387	101,798,735
Redeemable convertible preferred stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	0	83,526,065	0	83,526,065
Stock options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	2,767,821	8,244,751	2,767,821	8,244,751
Restricted Stock Units (RSUs)
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	9,747,566	0	9,747,566	0
Common stock subject to restricted stock purchase agreements
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	0	9,872,293	0	9,872,293
Common stock warrants
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	0	75,744	0	75,744
Redeemable convertible preferred stock warrants
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	0	79,882	0	79,882

INCOME TAXES (Details) - USD ($) $ in Millions	1 Months Ended	9 Months Ended
INCOME TAXES (Details) - USD ($) $ in Millions	Apr. 30, 2021	Sep. 30, 2021	Sep. 30, 2020
Tax Credit Carryforward [Line Items]
Effective income tax rate		45.00%	0.00%
Deferred tax liability		$ 0.9
Tax credit carryforward, annual amount	$ 4.0
California Competes Tax Credit
Tax Credit Carryforward [Line Items]
Tax credit carryforward	$ 20.0
Tax credit carryforward term	5 years

COMMITMENTS AND CONTINGENCIES (Details)	1 Months Ended
COMMITMENTS AND CONTINGENCIES (Details)	Mar. 31, 2021 USD ($) installment	Sep. 30, 2021 USD ($) letter_of_credit	Jul. 31, 2021 USD ($)	Jun. 30, 2021 USD ($)	Feb. 05, 2021 USD ($)
Debt Instrument [Line Items]
Number of LOC's in effect \| letter_of_credit		1
Consulting Services Litigation Case
Debt Instrument [Line Items]
Amount awarded to other party	$ 9,000,000
Number of payment installments \| installment	4
Installment payments period	18 months
Loss contingency accrual		$ 4,500,000
Revolving Credit Facility \| Revolving Credit Agreement \| East West Bank \| Line of Credit
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity		130,000,000	$ 12,000,000.0	$ 6,000,000	$ 130,000,000
Revolving Credit Facility \| Revolving Credit Agreement, Remaining Letters Of Credit \| East West Bank \| Line of Credit
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity		$ 6,000,000