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STOCK-BASED COMPENSATION
 3 Months Ended
Mar. 31, 2024
Share-Based Payment Arrangement [Abstract]  
STOCK-BASED COMPENSATION STOCK-BASED COMPENSATION
Stock-based Compensation Expense
Stock-based compensation expense for all stock-based awards, which includes shares purchased under the Company’s employee stock purchase plan (“ESPP”), restricted stock units (“RSUs”) and performance stock units (“PSUs”), expected to vest is measured at fair value on the date of grant and recognized ratably over the requisite service period.
In addition, as part of certain business acquisitions, the Company was obligated to issue shares of common stock of the Company as payment subject to achievement of certain targets. For such payments, the Company records stock-based compensation classified as post-combination expense recognized ratably over the measurement period presuming the targets will be met.
The following table summarizes the components of total stock-based compensation expense included in the condensed consolidated statements of operations for the periods presented:
Three Months Ended
March 31,
20242023
(In thousands)
Cost of revenues$4,182 $3,669 
Research and development24,550 21,478 
Sales and marketing18,178 21,419 
General and administrative13,923 13,089 
Total$60,833 $59,655 
The following table summarizes the various types of stock-based compensation expense for the periods presented:
Three Months Ended
March 31,
20242023
(In thousands)
RSUs and PSUs$58,787 $56,957 
Employee stock purchase plan2,046 2,040 
Post combination expense — 658 
Total$60,833 $59,655 
As of March 31, 2024, there was approximately $442.9 million of total unrecognized stock-based compensation expense related to unvested equity awards, which are expected to be recognized over a weighted-average period of 2.5 years.
Equity Awards Activity
Stock Options
The following table summarizes stock option activity:
Number of
Shares
Outstanding		Weighted-
Average
Exercise Price
per Share		Weighted-
Average
Remaining
Contractual
Term
Aggregate
Intrinsic
Value (1)
(In thousands)(Years)(In thousands)
Outstanding at December 31, 2023692 $2.01 
Exercised(585)1.87 $70,514 
Canceled— — 
Outstanding at March 31, 2024107 $2.77 0.5$12,655 
Vested and expected to vest at March 31, 2024107 $2.77 0.5$12,655 
Exercisable at March 31, 2024107 $2.77 0.5$12,655 
(1)    The intrinsic value of options exercised is based upon the value of the Company’s stock at exercise. The intrinsic value of options outstanding, vested and expected to vest, and exercisable as of March 31, 2024 is based on the closing price of the last trading day during the period ended March 31, 2024. The Company’s stock fair value used in this computation was $120.98 per share.
The following table summarizes information about stock options outstanding at March 31, 2024:
Options OutstandingOptions Exercisable
Range of Exercise PricesNumber of
Shares		Weighted-
Average
Remaining
Life		Weighted-
Average
Exercise
Price		Number of
Shares		Weighted-
Average
Exercise
Price
(In thousands)(Years)(In thousands)
$0.70 —– $0.70
46 0.1$0.70 46 $0.70 
$0.84 —– $0.84
34 0.30.84 34 0.84 
$2.76 —– $2.90
19 0.82.81 19 2.81 
$3.96 —– $3.96
6 1.03.96 6 3.96 
$64.17 —– $64.17
2 3.164.17 2 64.17 
Total107 0.5$2.77 107 $2.77 
Restricted Stock Units
The following table summarizes RSU activity:
Number of
Shares
Outstanding		Weighted-
Average
Fair Value
per Share at
Grant Date		Weighted-
Average
Remaining
Contractual
Term
Aggregate
Intrinsic
Value (1)
(In thousands)(Years)(In thousands)
Outstanding at December 31, 20232,332 $177.64 
Granted363 110.46 
Vested(398)179.38 $51,145 
Canceled(156)174.94 
Outstanding at March 31, 20242,141 $166.12 1.5$259,015 
Expected to vest at March 31, 20242,141 $166.12 1.5$259,006 
(1)    The intrinsic value of RSUs vested is based upon the value of the Company’s stock when vested. The intrinsic value of RSUs outstanding and expected to vest as of March 31, 2024 is based on the closing price of the last trading day during the period ended March 31, 2024. The Company’s stock fair value used in this computation was $120.98 per share.
Performance Stock Units
The following summarizes PSU activity:
Number of
Shares
Outstanding		Weighted-
Average
Fair Value
per Share at
Grant Date		Weighted-
Average
Remaining
Contractual
Term
Aggregate
Intrinsic
Value (1)
(In thousands)(Years)(In thousands)
Outstanding at December 31, 2023396 $235.99 
Granted721 127.15 
Vested(98)214.52 $12,642 
Canceled(98)214.88 
Outstanding at March 31, 2024921 $155.33 1.9$111,431 
Expected to vest at March 31, 2024921 $155.33 1.9$111,431 
(1)    The intrinsic value of PSUs vested is based upon the value of the Company’s stock when vested. The intrinsic value of PSUs outstanding and expected to vest as of March 31, 2024 is based on the closing price of the last trading day during the period ended March 31, 2024. The Company’s stock fair value used in this computation was $120.98 per share.