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Income Taxes (Tables) | 12 Months Ended
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Dec. 31, 2020
Income Tax Disclosure [Abstract] |
Components of Income (Loss) Before Income Taxes | The components of total income (loss) before taxes from continuing operations are as follows (in thousands):
|  | Years Ended December 31, |
|  | 2020 |  |  | 2019 |  |  | 2018 |
U.S. |  | $ | 140,428 |  |  | $ | (53,346 | ) |  | $ | 16,684 |
Foreign |  |  | (4,519 | ) |  |  | (29,711 | ) |  |  | (9,774 | )
Total income (loss) before taxes from continuing operations |  | $ | 135,909 |  |  | $ | (83,057 | ) |  | $ | 6,910 |
Components of Provision for Income Taxes | The provision for (benefit from) income taxes consisted of the following (in thousands):
|  | Years Ended December 31, |
|  | 2020 |  |  | 2019 |  |  | 2018 |
Current: |  |  |  |  |  |  |  |  |  |  |  |
U.S. federal |  | $ | 15,175 |  |  | $ | 68,772 |  |  | $ | 290 |
Foreign |  |  | 1,523 |  |  |  | (42,147 | ) |  |  | 22,668 |
State and local |  |  | 10,124 |  |  |  | 94 |  |  |  | 10 |
Total current |  |  | 26,822 |  |  |  | 26,719 |  |  |  | 22,968 |
Deferred: |  |  |  |  |  |  |  |  |  |  |  |
U.S. federal |  |  | (28,154 | ) |  |  | (41,826 | ) |  |  | (10,766 | )
Foreign |  |  | (1,132 | ) |  |  | (4,145 | ) |  |  | (3,191 | )
State and local |  |  | (5,423 | ) |  |  | 228 |  |  |  | (338 | )
Total deferred |  |  | (34,709 | ) |  |  | (45,743 | ) |  |  | (14,295 | )
Provision for (benefit from) income taxes |  | $ | (7,887 | ) |  | $ | (19,024 | ) |  | $ | 8,673 |
Component of Deferred Tax Assets and Liabilities | Significant components of the Company’s deferred tax assets and liabilities are as follows (in thousands):
|  | December 31, |
|  | 2020 |  |  | 2019 |
Deferred tax assets |  |  |  |  |  |  |  |
Net operating losses |  | $ | 144,064 |  |  | $ | 10,142 |
Research tax credits |  |  | 82,378 |  |  |  | 13,475 |
Foreign tax credits |  |  | 106,795 |  |  |  | — |
Expenses not currently deductible |  |  | 44,232 |  |  |  | 14,276 |
Basis difference in fixed and intangible assets |  |  | 7,206 |  |  |  | 3,593 |
Deferred revenue |  |  | 20,828 |  |  |  | — |
Capitalized research expenses |  |  | 61,296 |  |  |  | 23,785 |
Lease liability |  |  | 17,995 |  |  |  | 364 |
Gross deferred tax assets |  |  | 484,794 |  |  |  | 65,635 |
Valuation allowance |  |  | (287,895 | ) |  |  | (37,243 | )
Net deferred tax assets |  |  | 196,899 |  |  |  | 28,392 |
Deferred tax liabilities |  |  |  |  |  |  |  |
Revenue recognition |  |  | (7,733 | ) |  |  | (32,466 | )
Operating leases |  |  | (17,535 | ) |  |  | (2,665 | )
Acquired intangible assets, domestic |  |  | (185,662 | ) |  |  | (17,165 | )
Acquired intangible assets, foreign |  |  | (33 | ) |  |  | (2,171 | )
Other |  |  | (3,004 | ) |  |  | — |
Net deferred tax liabilities |  | $ | (17,068 | ) |  | $ | (26,075 | )
Reconciliation of Statutory U.S. Federal Income Tax Rate to Company's Effective Tax | A reconciliation of the statutory U.S. federal income tax rate to the Company’s effective tax rate is as follows:
|  | Years Ended December 31, |
|  | 2020 |  |  | 2019 |  |  | 2018 |
U.S. federal statutory rate |  | $ | 28,541 |  |  | $ | (17,442 | ) |  | $ | 1,451 |
State, net of federal benefit |  |  | (1,530 | ) |  |  | 281 |  |  |  | 59 |
Stock-based compensation expense |  |  | 2,471 |  |  |  | 2,807 |  |  |  | 3,883 |
Executive compensation limitation |  |  | 2,132 |  |  |  | 411 |  |  |  | 1,538 |
Research tax credit |  |  | (1,576 | ) |  |  | (2,038 | ) |  |  | 248 |
Foreign withholding tax |  |  | 9,391 |  |  |  | 10,328 |  |  |  | 33,063 |
Transaction costs |  |  | 8,216 |  |  |  | 974 |  |  |  | — |
Foreign tax rate differential |  |  | 921 |  |  |  | 1,907 |  |  |  | 474 |
Foreign tax credit |  |  | (2,647 | ) |  |  | (7,795 | ) |  |  | (33,554 | )
Change in valuation allowance |  |  | (47,649 | ) |  |  | (8,238 | ) |  |  | 7,721 |
U.S. tax reform |  |  | (1,845 | ) |  |  | (2,970 | ) |  |  | (6,333 | )
Unrecognized tax benefits |  |  | 3,049 |  |  |  | 2,994 |  |  |  | 300 |
Change in estimates |  |  | (1,355 | ) |  |  | (1,300 | ) |  |  | (10 | )
Foreign exchange |  |  | (7,438 | ) |  |  | — |  |  |  | — |
Others |  |  | 1,432 |  |  |  | 1,057 |  |  |  | (167 | )
Total |  | $ | (7,887 | ) |  | $ | (19,024 | ) |  | $ | 8,673 |
Reconciliation of Unrecognized Tax Benefits | The reconciliation of the Company’s unrecognized tax benefits for the years ended December 31, 2020, 2019 and 2018 is as follows (in thousands):
|  | Years Ended December 31, |
|  | 2020 |  |  | 2019 |  |  | 2018 |
Total unrecognized tax benefits at January 1 |  | $ | 87,294 |  |  | $ | 33,552 |  |  | $ | 33,506 |
Increases due to the Mergers |  |  | 103,443 |  |  |  | — |  |  |  | — |
Increases for tax positions related to the current year |  |  | 46,978 |  |  |  | 54,823 |  |  |  | 586 |
Increases for tax positions related to prior years |  |  | 2,541 |  |  |  | 178 |  |  |  | — |
Decreases for tax positions related to prior years |  |  | (7,100 | ) |  |  | (1,259 | ) |  |  | (540 | )
Total unrecognized tax benefits at December 31 |  | $ | 233,156 |  |  | $ | 87,294 |  |  | $ | 33,552 |

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