Intangible Assets and Goodwill

6 Months Ended

Jun. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill

The following tables present goodwill information for the six months ended June 30, 2022:


(In thousands)	As of December 31, 2021		Addition to Goodwill (1)		Adjustments to Goodwill (2)		Effect of Exchange Rates (3)		As of June 30, 2022
Total goodwill	$	278,810	$	12,069	$	965	$	151	$	291,995

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(1) In May 2022, the Company acquired Hardent, Inc. (“Hardent”), which resulted in the Company recognizing additional goodwill. Refer to Note 16, “Acquisition,” for additional information.

(2) The adjustments to goodwill primarily include a correction of an immaterial error related to an understatement in other current liabilities that originated from the acquisition of AnalogX in 2021.

(3) Effect of exchange rates relates to foreign currency translation adjustments for the period.


	As of June 30, 2022
(In thousands)	Gross Carrying Amount		Accumulated Impairment Losses		Net Carrying Amount
Total goodwill	$	313,765	$	(21,770)	$	291,995

Intangible Assets, Net

The components of the Company’s intangible assets as of June 30, 2022 and December 31, 2021 were as follows:


		As of June 30, 2022
(In thousands)	Useful Life	Gross Carrying Amount (1) (2)		Accumulated Amortization (1) (2)		Net Carrying Amount
Existing technology	3 to 10 years	$	299,925	$	(254,404)	$	45,521
Customer contracts and contractual relationships	0.5 to 10 years	37,996		(35,851)		2,145
Non-compete agreements and trademarks	3 years	300		(300)		—
In-process research and development (“IPR&D”)	Not applicable	11,200		—		11,200
Total intangible assets		$	349,421	$	(290,555)	$	58,866

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(1) During the six months ended June 30, 2022, the Company acquired certain intangible assets for $3.0 million in cash. The assets were classified as existing technology and are being amortized over their expected useful life of five years. During the six months ended June 30, 2022, the amortization for the acquired assets was not material.

(2) In May 2022, the Company acquired Hardent, which resulted in the Company recognizing additional intangible assets. Refer to Note 16, “Acquisition,” for additional information.


		As of December 31, 2021
(In thousands)	Useful Life	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Existing technology	3 to 10 years	$	292,058	$	(247,422)	$	44,636
Customer contracts and contractual relationships	0.5 to 10 years	37,793		(35,209)		2,584
Non-compete agreements and trademarks	3 years	300		(300)		—
IPR&D	Not applicable	11,200		—		11,200
Total intangible assets		$	341,351	$	(282,931)	$	58,420

Amortization expense for intangible assets for the three and six months ended June 30, 2022 was $3.8 million and $7.6 million, respectively. Amortization expense for intangible assets for the three and six months ended June 30, 2021 was $4.7 million and $9.3 million, respectively.

The estimated future amortization of intangible assets as of June 30, 2022 was as follows (in thousands):


Years Ending December 31:	Amount
2022 (remaining six months)	$	8,010
2023	15,166
2024	12,796
2025	6,753
2026	4,435
Thereafter	506
Total amortizable purchased intangible assets	47,666
IPR&D	11,200
Total intangible assets	$	58,866