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Balance Sheet Information | 9 Months Ended
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Sep. 30, 2024
Balance Sheet Related Disclosures [Abstract] |
Balance Sheet Information | Balance Sheet Information Property and Equipment, Net Property and equipment, net consisted of the following:
|  | As of September 30, 2024 |  | As of December 31, 2023
|  | (in thousands)
Computer and networking equipment |  | $ | 233,412 |  |  | $ | 224,313 |
Leasehold improvements |  | 8,139 |  |  | 8,605 |
Furniture and fixtures |  | 2,153 |  |  | 2,142 |
Office equipment |  | 1,218 |  |  | 1,228 |
Internal-use software |  | 116,073 |  |  | 97,623 |
Property and equipment, gross |  | $ | 360,995 |  |  | $ | 333,911 |
Accumulated depreciation and amortization |  | (180,707) |  |  | (157,303) |
Property and equipment, net |  | $ | 180,288 |  |  | $ | 176,608 |
During the three months ended September 30, 2024, the Company recognized a impairment charge of $0.6 million related to equipment deemed no longer usable in its planned future network. During the nine months ended September 30, 2024, the Company recognized an impairment charge of $2.4 million related to equipment and an internal-use software project that the Company does not plan to continue with and therefore abandoned. During the three months ended September 30, 2023, the Company recognized an impairment charge of $4.3 million, of which $3.0 million related to property and equipment, net and $1.3 million related to advance payments for the purchase of property and equipment. The write-off was primarily related to excess computer and networking equipment including software the Company does not expect to use and therefore abandoned. There were no impairments during the nine months ended September 30, 2023. Impairment charges are included within the impairment expense line in the Company's condensed consolidated statements of operations. Depreciation on property and equipment for the three months ended September 30, 2024 and 2023 was approximately $13.7 million and $13.1 million, respectively. Included in these amounts was amortization expense for capitalized internal-use software costs of approximately $4.5 million and $3.8 million for the three months ended September 30, 2024 and 2023, respectively. Depreciation on property and equipment for the nine months ended September 30, 2024 and 2023 was approximately $40.3 million and $38.0 million, respectively. Included in these amounts was amortization expense for capitalized internal-use software costs of approximately $12.3 million and $9.9 million for the nine months ended September 30, 2024 and 2023, respectively. As of September 30, 2024 and December 31, 2023, the unamortized balance of capitalized internal-use software costs on the Company’s condensed consolidated balance sheets was approximately $76.3 million and $62.6 million, respectively. The Company leases certain networking equipment from various third parties through equipment finance leases. The Company’s networking equipment assets as of September 30, 2024 and December 31, 2023, included a total of $73.2 million and $74.7 million acquired under finance lease agreements, respectively. These leases are capitalized in property and equipment, and the related amortization of assets under finance leases is included in depreciation and amortization expense. The accumulated depreciation of the associated networking equipment assets under finance leases totaled $49.1 million and $40.1 million as of September 30, 2024 and December 31, 2023, respectively. Other Assets Other assets consisted of the following:
|  | As of September 30, 2024 |  | As of December 31, 2023
|  | (in thousands)
Deferred contract costs, net |  | $ | 53,842 |  |  | $ | 61,981 |
Advance payment for purchase of property and equipment |  | 13,456 |  |  | 24,509 |
Other assets |  | 5,278 |  |  | 4,289 |
Total other assets |  | $ | 72,576 |  |  | $ | 90,779 |
Accrued Expenses Accrued expenses consisted of the following:
|  | As of September 30, 2024 |  | As of December 31, 2023
|  | (in thousands)
Accrued compensation and related benefits |  | $ | 14,572 |  |  | $ | 14,918 |
Accrued bonus |  | 4,364 |  |  | 24,614 |
Accrued colocation and bandwidth costs |  | 14,684 |  |  | 14,362 |
Other tax liabilities |  | 4,003 |  |  | 4,344 |
Other accrued expenses |  | 3,231 |  |  | 3,580 |
Total accrued expenses |  | $ | 40,854 |  |  | $ | 61,818 |
Other Current Liabilities Other current liabilities consisted of the following:
|  | As of September 30, 2024 |  | As of December 31, 2023
|  | (in thousands)
Deferred revenue |  | $ | 29,716 |  |  | $ | 33,824 |
Accrued computer and networking equipment |  | 1,741 |  |  | 1,673 |
Holdback payable |  | — |  |  | 3,771 |
Other current liabilities |  | 1,804 |  |  | 1,271 |
Total other current liabilities |  | $ | 33,261 |  |  | $ | 40,539 |
Accumulated Other Comprehensive Loss For the three and nine months ended September 30, 2024 and 2023, components of accumulated other comprehensive loss, net of taxes, were as follows (in thousands):
| Foreign Currency Translation |  | Available-for-sale investments |  | Accumulated Other Comprehensive Income (Loss)
Balance, June 30, 2024 | $ | (12) |  |  | $ | (270) |  |  | $ | (282) |
Other comprehensive income | — |  |  | 260 |  |  | 260 |
Balance, September 30, 2024 | $ | (12) |  |  | $ | (10) |  |  | $ | (22) |
| Foreign Currency Translation |  | Available-for-sale investments |  | Accumulated Other Comprehensive Income (Loss)
Balance, June 30, 2023 | $ | (19) |  |  | $ | (3,133) |  |  | $ | (3,152) |
Other comprehensive income (loss) | (8) |  |  | 1,226 |  |  | 1,218 |
Balance, September 30, 2023 | $ | (27) |  |  | $ | (1,907) |  |  | $ | (1,934) |
| Foreign Currency Translation |  | Available-for-sale investments |  | Accumulated Other Comprehensive Income (Loss)
Balance, December 31, 2023 | $ | (12) |  |  | $ | (996) |  |  | $ | (1,008) |
Other comprehensive income | — |  |  | 986 |  |  | 986 |
Balance, September 30, 2024 | $ | (12) |  |  | $ | (10) |  |  | $ | (22) |
| Foreign Currency Translation |  | Available-for-sale investments |  | Accumulated Other Comprehensive Income (Loss)
Balance, December 31, 2022 | $ | (577) |  |  | $ | (8,709) |  |  | $ | (9,286) |
Other comprehensive income | 550 |  |  | 6,802 |  |  | 7,352 |
Balance, September 30, 2023 | $ | (27) |  |  | $ | (1,907) |  |  | $ | (1,934) |
There was no material tax impact on the amounts presented.

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