Company: MVIS
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021931
Chunk: 2

Company: MICROVISION, INC.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 2
Chunk 2
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 both Time-of-Flight and
FMCW sensors.

23

Our
product suite also includes our validation software tool, the MOSAIK™ suite, which is targeted for use by OEMs and Tier 1s for
validating vehicle sensors for ADAS and autonomous driving, or AD, applications. In 2024, we reduced the dedicated resources and investment
into further development of MOSAIK. Specifically, in 2024, in an effort to better align our resources with our product plan, we restructured
and reorganized our workforce and related expenditures to strategically focus on our perception software and MAVIN and MOVIA products.
While this 41% reduction in workforce added approximately $6.0 million to our fiscal year 2024 expenses, it reduced go-forward operating
expenses through reduced personnel expenses and other operational efficiencies.

In
the recent past, we developed micro-display concepts and designs for use in head-mounted augmented reality, or AR, headsets and developed
a 1440i MEMS module supporting AR headsets. This technology was integrated into products marketed to consumer and military sectors.

To
date, we have been unable to secure customers at the scale needed to successfully launch our products. We have incurred significant losses
since inception and we expect to continue to incur significant losses in the near term. We have funded our operations to date primarily
through the sale of common stock, convertible preferred stock, warrants, the issuance of convertible debt and, to a lesser extent, from
development contract revenues, product sales and licensing activities. In October 2024, we entered into a securities purchase agreement
with an institutional investor for the sale of up to $75.0 million in senior secured convertible notes. See Part I, Item 1, Note 6.
Notes Payable and Derivative Liability. In February 2025, we entered into another securities purchase agreement with the same institutional
investor for the issuance and sale of $8.0 million in shares of common stock, plus warrants to purchase additional shares of common stock
for approximately $9.0 million. See Part I, Item 1, Note 7. Warrant Liability.

Our
discussion and analysis of our financial condition and results of operations are based upon our condensed consolidated financial statements,
which have been prepared in accordance with accounting principles generally accepted in the United States. The preparation of these financial
statements requires us to make estimates and judgments that materially affect the reported amounts of assets, liabilities, revenues and
expenses, and related disclosure