Financial Statement Components

12 Months Ended

Dec. 31, 2024

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Note 3. Financial Statement Components

Cash and cash equivalents consisted of the following (in thousands):


	December 31, 2024		December 31, 2023
Cash	$	128,308	$	113,733
Money market funds	114,503		108,462
Total cash and cash equivalents	$	242,811	$	222,195

As of December 31, 2024 and 2023, $7.4 million and $1.1 million in the cash balance above, respectively, represents restricted cash, which is held in the form of a bank deposit for issuance of a foreign bank guarantee.

Accounts receivable, net consisted of the following (in thousands):


	December 31, 2024		December 31, 2023
Accounts receivable	$	300,805	$	280,544
Unbilled accounts receivable	100,578		96,366
Allowance for doubtful accounts	(15,131)		(12,472)
Accounts receivable, net	$	386,252	$	364,438

Prepaid expenses and other current assets consisted of the following (in thousands):


	December 31, 2024		December 31, 2023
Prepaid expenses	$	39,858	$	32,440
Inventory	1,243		1,492
Other current assets	18,343		43,464
Total prepaid expenses and other current assets	$	59,444	$	77,396

Property and equipment, net consisted of the following (in thousands):


	December 31, 2024		December 31, 2023
Computer hardware and software	$	252,961	$	238,802
Internal-use software development costs	314,944		255,649
Furniture and fixtures	8,965		8,964
Leasehold improvements	12,367		14,369
Property and equipment, gross	589,237		517,784
Less: accumulated depreciation and amortization	(408,587)		(333,394)
Property and equipment, net	$	180,650	$	184,390

Total depreciation and amortization expense related to property and equipment was $86.1 million, $82.9 million, and $72.0 million for the years ended December 31, 2024, 2023 and 2022, respectively. For the year ended December 31, 2024, the Company recognized a non-cash impairment charge of $2.8 million related to abandoned internal-use software. This charge was recorded under research and development expenses in the Consolidated Statements of Operations.

The carrying value of goodwill is as follows (in thousands):


Balance at December 31, 2023	$	67,370
Acquisitions (Note 8)	16,809
Foreign currency translation adjustments	(1,193)
Balance at December 31, 2024	$	82,986

The carrying values of intangible assets are as follows (in thousands):


		December 31, 2024						December 31, 2023
	Weighted-Average Remaining Useful Life	Cost		Accumulated Amortization And Impairment		Acquired Intangibles, Net		Cost		Accumulated Amortization And Impairment		Acquired Intangibles, Net
Customer relationships	4.1 years	$	51,312	$	25,833	$	25,479	$	26,506	$	21,834	$	4,672
Developed technology	1.9 years	779,794		546,747		233,047		826,077		436,982		389,095
Total acquired intangible assets		$	831,106	$	572,580	$	258,526	$	852,583	$	458,816	$	393,767

For the year ended December 31, 2024, the Company recognized a gross reduction of $50.6 million related to its developed technology assets. This reduction included $28.5 million due to an amended agreement with a strategic partner and $22.1 million attributed to the retirement of fully amortized developed technology. See Note 5 - Strategic Partnerships for additional information regarding our amended agreement with a strategic partner. During the year ended December 31, 2024, the Company purchased certain intangible assets including customer relationships, developed technology, trademarks and domain names amounting to $29.8 million.

Amortization expense from acquired intangible assets for the years ended December 31, 2024, 2023 and 2022 was $136.5 million, $151.1 million, and $174.5 million, respectively. Amortization of developed technology is included in cost of revenues and amortization of customer relationships is included in sales and marketing expenses in the Consolidated Statements of Operations.

Estimated amortization expense for acquired intangible assets for the following fiscal years is as follows (in thousands):


2025	$	133,453
2026	110,987
2027	5,398
2028 onwards	8,688

Total estimated amortization expense	$	258,526

Accrued liabilities consisted of the following (in thousands):


	December 31, 2024		December 31, 2023
Accrued compensation and benefits	$	47,415	$	63,009
Accrued sales, use, and telecom related taxes	55,699		43,796
Accrued marketing and sales commissions	36,391		60,528
Operating lease liabilities, short-term	20,445		16,707

Other accrued expenses	123,849		141,592
Total accrued liabilities	$	283,799	$	325,632

Deferred and Prepaid Sales Commission Costs

Amortization expense for the deferred and prepaid sales commission costs for the years ended December 31, 2024, 2023 and 2022 were $162.6 million, $138.1 million, and $115.2 million, respectively. There was no asset write-off or impairment loss in relation to the deferred commission costs capitalized for the periods presented.