Leases

12 Months Ended

Dec. 31, 2020

The Company leases various facilities in the United States, Asia and Europe under non-cancellable operating lease arrangements that expire on various dates through July 2027. These arrangements require the Company to pay certain operating expenses, such as taxes, repairs and insurance, and contain renewal and escalation clauses.

The table below presents the Company’s right-of-use assets and lease liabilities as of December 31, 2020 (in thousands):


		December 31, 2020
Operating leases
Right-of-use assets:
	Other non-current assets	$	28,240
Total right-of-use assets		$	28,240

Lease liabilities:
	Accrued liabilities	$	5,260
	Other non-current liabilities		23,498
Total operating lease liabilities		$	28,758

The aggregate future lease payments for the Company’s operating leases as of December 31, 2020 were as follows (in thousands):


2021	$	6,064
2022	4,840
2023	4,414
2024	4,518
2025	4,625
Thereafter	7,148
Total lease payments	31,609
Less: imputed interest	(2,851)
Present value of lease liabilities	$	28,758

The components of lease costs were as follows (in thousands):


	Year Ended December 31, 2020
Operating lease costs	$	6,548
Short-term lease costs			254
Total lease costs			$	6,802

Average lease terms and discount rates for the Company’s operating leases were as follows (in thousands):


	December 31, 2020
Weighted-average remaining term (in years)	6.2
Weighted-average discount rate	3.14	%

Supplemental cash flow information for the Company’s operating leases were as follows (in thousands):


	Year Ended December 31, 2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	6,291

Right-of-use assets obtained in exchange for new lease liabilities	$	868

Corporate Headquarters Lease

On May 2, 2019, the Company entered into a sublease agreement (the “Sublease”) with Marvell Semiconductor, Inc. (“Sublandlord”) for its corporate headquarters and research and development space located at 2300 Orchard Parkway, San Jose, California, 95131 (the “Premises”). The term of the Sublease is approximately eight years and began on December 1, 2019, the date the Company commenced business operations at the Premises. The Sublease provides for monthly base rent of approximately $262,000 per month for the first year with annual increases thereafter. The total base rent through the end of the term of the Sublease will total approximately $33.8 million. In addition to base rent, the Company will also be responsible for operating and other facility expenses. The Company has accounted for the lease under ASC 842 and recorded a right-of-use asset of $30.0 million included in other non-current assets and recorded lease liabilities of $3.3 million and $26.7 million, included in accrued liabilities and other non-current liabilities, respectively, in the consolidated balance sheets as of December 31, 2019.