Goodwill and Acquired Intangible Assets

3 Months Ended

Mar. 31, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Note 9. Goodwill and Acquired Intangible Assets

Goodwill

The following table summarizes the changes in the carrying amount of goodwill as of the dates presented (in thousands):


	March 31, 2023		December 31, 2022
Beginning balance	$	97,766	$	85,841
Goodwill related to acquisitions		—		16,197
Foreign currency translation adjustment		563		(4,272	)
Ending balance	$	98,329	$	97,766

No goodwill impairment was recorded during the three months ended March 31, 2023 and 2022.

Acquired Intangible Assets

Acquired intangible assets subject to amortization consisted of the following (dollars in thousands):


	March 31, 2023
	Gross Carrying Value*		Accumulated Amortization**			Net Carrying Amount		Weighted Average Remaining Life (Years)
Developed Technology	$	31,792	$	(16,961	)	$	14,831		3.99
Acquired Relationships		91,067		(10,820	)		80,247		10.70
Non-Compete Agreement		469		(468	)		1		0.17
	$	123,328	$	(28,249	)	$	95,079

* Includes $(3,021) thousand of foreign currency translation adjustments.

** Includes $102 thousand of foreign currency translation adjustments.


	December 31, 2022
	Gross Carrying Value*		Accumulated Amortization**			Net Carrying Amount		Weighted Average Remaining Life (Years)
Developed Technology	$	31,848	$	(15,429	)	$	16,419		4.55
Acquired Relationships		90,612		(9,423	)		81,189		10.92
Non-Compete Agreement		469		(461	)		8		0.27
	$	122,929	$	(25,313	)	$	97,616

* Includes $(3,416) thousand of foreign currency translation adjustments.

** Includes $154 thousand of foreign currency translation adjustments.

Amortization expense for the three months ended March 31, 2023 and 2022 was $2.8 million and $2.1 million, respectively.

As of March 31, 2023, the estimated annual amortization expense of intangible assets for each of the next five years and thereafter is expected to be as follows (in thousands):


	Estimated Amortization Expense
Remaining of fiscal year 2023	$	8,619
2024		10,968
2025		9,724
2026		8,963
2027		8,649
2028		8,013
Thereafter		40,143
	$	95,079