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Investments and Fair Value Measurements
 9 Months Ended
Sep. 30, 2021
Fair Value Disclosures [Abstract]  
Investments and Fair Value Measurements Investments and Fair Value Measurements
Our total cash, cash equivalents and marketable securities consisted of the following:
As of September 30,As of December 31,
20212020
(in thousands)
Cash and cash equivalents:
Cash$21,832 $21,273 
Money market funds259,699 36,629 
Commercial paper— 4,998 
Municipal securities400 — 
Certificate of deposit200 — 
Total cash and cash equivalents$282,131 $62,900 
Marketable securities:
Corporate notes and bonds$3,129 $14,314 
Commercial paper134,015 41,445 
U.S. Treasury securities190,183 75,524 
Foreign government and supranational securities10,025 — 
Municipal securities2,250 — 
Asset-backed securities21,688 — 
Total marketable securities, current$361,290 $131,283 
Corporate notes and bonds131,177 — 
U.S. Treasury securities220,291 20,448 
Municipal securities2,330 — 
Asset-backed securities55,332 — 
Foreign government and supranational securities20,359 — 
Total marketable securities, non-current$429,489 $20,448 
Total marketable securities$790,779 $151,731 
Total cash, cash equivalents and marketable securities$1,072,910 $214,631 
Cash equivalents include investments with maturity date of three months or less. As of September 30, 2021 and December 31, 2020, all of our securities are classified as available-for-sale. The majority of these securities have contractual maturities of one year or less and accordingly, we have classified these securities as short-term. These short-term securities are included within the marketable securities, current financial statement line item on our Condensed Consolidated Balance Sheet. As of September 30, 2021 and December 31, 2020, we also held certain securities that have contractual maturities greater than one year. As we intend to hold these securities for more than 12 months, we have classified all securities that we intend to hold for more than 12 months as long-term. These securities are included within the marketable securities, noncurrent financial statement line item on our Condensed Consolidated Balance Sheet.
Available-for-Sale Investments
The following table summarizes adjusted cost, gross unrealized gains and losses, and fair value related to available-for-sale securities classified as marketable securities on the accompanying Condensed Consolidated Balance Sheets as of September 30, 2021 and December 31, 2020:
As of September 30, 2021
Amortized
Cost		Gross
Unrealized
Gain		Gross
Unrealized
Loss		Fair
Value
(in thousands)
Corporate notes and bonds$134,282 $42 $(18)$134,306 
Commercial paper134,038 — (23)134,015 
U.S. Treasury securities410,542 6 (74)410,474 
Municipal securities4,578 2 — 4,580 
Asset-backed securities77,038 — (18)77,020 
Foreign government and supranational securities30,394 — (10)30,384 
Total available-for-sale investments$790,872 $50 $(143)$790,779 
As of December 31, 2020
Amortized
Cost		Gross
Unrealized
Gain		Gross
Unrealized
Loss		Fair
Value
(in thousands)
Corporate notes and bonds$14,297 $17 $— $14,314 
Commercial paper41,445 — — 41,445 
U.S. Treasury securities95,884 93 (5)95,972 
Total available-for-sale investments$151,626 $110 $(5)$151,731 
There were no securities in a continuous loss position for 12 months or longer as of September 30, 2021 and December 31, 2020. Investments are reviewed periodically to identify possible other-than-temporary impairments. No impairment loss has been recorded on the securities included in the tables above, as we believe that the decrease in fair value of these securities is temporary.
Fair Value of Financial Instruments
For certain of our financial instruments, including cash held in banks, accounts receivable, and accounts payable, the carrying amounts approximate fair value due to their short maturities, and are therefore excluded from the fair value tables below.
Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There is a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows:
Level 1—Observable inputs such as quoted prices in active markets for identical assets or liabilities;
Level 2—Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and
Level 3—Unobservable inputs that are supported by little or no market activity, which require management judgment or estimation.
We measure our cash equivalents, marketable securities, and restricted cash at fair value. We classify our cash equivalents, marketable securities and restricted cash within Level 1 or Level 2 because we value these investments using quoted market prices or alternative pricing sources and models utilizing market observable inputs. The fair value of our Level 1 financial assets is based on quoted market prices of the identical underlying security. The fair value of our Level 2 financial assets is based on inputs that are directly or indirectly observable in the market, including the readily available pricing sources for the identical underlying security that may not be actively traded.
Financial assets and liabilities measured and recorded at fair value on a recurring basis consisted of the following types of instruments:
As of September 30, 2021
Level 1Level 2Level 3Total
(in thousands)
Cash equivalents:
Money market funds$132,880 $— $— $132,880 
Certificate of deposit200 — — 200 
Municipal securities— 400 — 400 
Total cash equivalents133,080 400 — 133,480 
Marketable securities:
Corporate notes and bonds— 134,306 — 134,306 
Commercial paper— 134,015 — 134,015 
U.S. Treasury securities— 410,474 — 410,474 
Municipal securities— 4,580 — 4,580 
Asset-backed securities— 77,020 — 77,020 
Foreign government and supranational securities— 30,384 — 30,384 
Total marketable securities— 790,779 — 790,779 
Restricted cash:
Money market funds893 893 
Total restricted cash893 — — 893 
Total financial assets$134,373 $791,179 $— $925,152 
As of December 31, 2020
Level 1Level 2Level 3Total
(in thousands)
Cash equivalents:
Money market funds$36,629 $— $— $36,629 
Commercial paper— 4,998 — 4,998 
Total cash equivalents36,629 4,998 — 41,627 
Marketable securities:
Corporate notes and bonds— 14,314 — 14,314 
Commercial paper— 41,445 — 41,445 
U.S. Treasury securities— 95,972 — 95,972 
Total marketable securities— 151,731 — 151,731 
Restricted cash:
Money market funds980 — — 980 
Total restricted cash980 — — 980 
Total financial assets$37,609 $156,729 $— $194,338 
We classify our investments, which are comprised of corporate notes and bonds, commercial paper, U.S. treasury securities, foreign government and supranational securities and asset-backed securities within Level 2 of the fair value hierarchy because the fair value of these securities is priced by using inputs based on non-binding market consensus prices that are primarily corroborated by observable market data or quoted market prices for similar instruments. There were no transfers of assets and liabilities measured at fair value between Level 1 and Level 2, or between Level 2 and Level 3, during the three and nine months ended September 30, 2021 and 2020.