7. Inventories

As of September 30, 2022, Inventories include finished goods of $3.2 million (December 31, 2021 — $2.6 million) for which title had passed to the customer, but the criteria for revenue recognition were not met as of the balance sheet date.

During the three and nine months ended September 30, 2022, the Company recorded write-downs of $0.2 million and $0.5 million, respectively, in Costs and Expenses Applicable to Technology Sales. The write-downs recorded during the three and nine months ended September 30, 2022 include $0.2 million related to excess and damaged inventory. In addition, for the nine months ended September 30, 2022, write-downs include $0.3 million recorded to reduce the carrying value of service parts held in Russia. In the three and nine months ended September 30, 2021, the Company recorded write-downs of $0.3 million and $0.5 million, respectively, in Costs and Expenses Applicable to Technology Sales for excess and damaged inventory.