XML 26 R13.htm IDEA: XBRL DOCUMENT
v3.22.4

Acquisitions, Acquired Intangible Assets, and Goodwill | 12 Months Ended
--- | ---
Dec. 31, 2022
Business Combination and Asset Acquisition [Abstract] |
Acquisitions, Acquired Intangible Assets, and Goodwill | Acquisitions, Acquired Intangible Assets, and Goodwill Acquisitions Backlinko On January 13, 2022, the Company completed an asset purchase agreement with Backlinko, LLC (“Backlinko”), acquiring certain of Backlinko’s assets for cash consideration of $4,000. The purpose of this asset acquisition was to acquire valuable content and to access an existing revenue stream in Backlinko’s SEO courses. The Company accounted for this transaction as an asset acquisition and allocated the cost of the asset acquisition to the individual assets acquired. The Company allocated $3,915 to the acquired intangible assets and the remaining cost of the acquisition was allocated to the other assets acquired, which were not material. The identifiable intangible assets consisted of trade names and intellectual property, which the Company amortizes over the assets’ useful lives using a straight-line amortization method. The Company assigned useful lives to the acquired trade name and content of five years and four years, respectively. Kompyte On March 14, 2022, the Company executed a purchase agreement with Intellikom, Inc., which does business under the name Kompyte (“Kompyte”) to acquire 100% of Kompyte’s assets for cash consideration of $10,000. The purpose of the acquisition of Kompyte was to acquire Kompyte’s assets, including its competitive intelligence automation platform. Aggregate acquisition-related costs associated with this business combination were not material for the year ended December 31, 2022, and were included in general and administrative expenses in the consolidated statement of operations and comprehensive loss. The results of operations of Kompyte have been included in the Company’s consolidated financial statements from the date of acquisition. The Company has accounted for this transaction as a business combination under the acquisition method. The total purchase price was allocated to the tangible and intangible assets acquired and the liabilities assumed based on their estimated fair values. The Company recorded the excess of the purchase price over those fair values as goodwill that is not deductible for tax purposes. The following table presents the purchase price allocation recorded in the Company’s consolidated balance sheet as of the acquisition date, which was final as of June 30, 2022:
|  | Purchase Price
Assets acquired |  | Allocation
Fair value of tangible assets: |  |
Other assets |  | $ | 328 |
Goodwill |  | 4,928 |
Identifiable intangible assets |  | 5,500 |
Total assets acquired |  | $ | 10,756 |
Liabilities assumed |  |
Current and non-current liabilities |  | $ | 756 |
Total liabilities assumed |  | $ | 756 |
Net assets acquired |  | $ | 10,000 |
The Company allocated $5,500 of the purchase price to identifiable intangible assets consisting of developed technology, trade names, and customer relationships, which it amortizes over the assets’ useful lives using a straight-line amortization method. The Company assigned useful lives to acquired developed technology, trade names, and customer relationships of six years, six years, and three years, respectively. This business combination did not have a material impact on the Company’s consolidated financial statements. Therefore, actual results of operations subsequent to the acquisition date and pro forma results of operations have not been presented. Intangible Assets Intangible assets consist of intangible assets resulting from the Company’s acquisitions and its capitalized internal-use software development costs. Intangible assets consist of the following:
| As of December 31, 2022
| Weighted |  |  |  |  |  |
| Average |  |  |  |  |  |
| Remaining |  | Gross |  |  |  | Net
| Useful Life |  | Carrying |  | Accumulated |  | Carrying
| (years) |  | Amount |  | Amortization |  | Amount
Developed technology | 4.8 |  | $ | 4,007 |  |  | $ | (765) |  |  | $ | 3,242 |
Trade name | 4.6 |  | 3,810 |  |  | (656) |  |  | 3,154 |
Content | 3.1 |  | 1,958 |  |  | (471) |  |  | 1,487 |
Customer relationships | 2.3 |  | 600 |  |  | (159) |  |  | 441 |
Capitalized internal-use software | 2.6 |  | 3,415 |  |  | (1,453) |  |  | 1,962 |
Total as of December 31, 2022 |  |  | $ | 13,790 |  |  | $ | (3,504) |  |  | $ | 10,286 |
| As of December 31, 2021
| Weighted |  |  |  |  |  |
| Average |  |  |  |  |  |
| Remaining |  | Gross |  |  |  | Net
| Useful Life |  | Carrying |  | Accumulated |  | Carrying
| (years) |  | Amount |  | Amortization |  | Amount
Developed technology | 4.7 |  | $ | 1,194 |  |  | $ | (266) |  |  | $ | 928 |
Trade name | 1.7 |  | 68 |  |  | (30) |  |  | 38 |
Capitalized internal-use software | 2.5 |  | 2,964 |  |  | (1,005) |  |  | 1,959 |
Total as of December 31, 2021 |  |  | $ | 4,226 |  |  | $ | (1,301) |  |  | $ | 2,925 |
During the years ended December 31, 2022, 2021, and 2020, the Company capitalized $1,760, $1,403, and $1,032, respectively, of internal-use software development costs which are classified as intangible assets on the accompanying consolidated balance sheets, and recorded associated amortization expense of $570, $482, and $305. Amortization expense for acquired intangible assets was $1,880, $227, and $69 for the years ended December 31, 2022, 2021, and 2020, respectively. As of December 31, 2022, future amortization expense is expected to be as follows:
Fiscal Year Ended December 31, |  | Amount
2023 |  | $ | 2,486 |
2024 |  | 2,265 |
2025 |  | 2,104 |
2026 |  | 1,721 |
2027 and thereafter |  | 1,710 |
Total |  | $ | 10,286 |
Goodwill The changes in the carrying value of goodwill during the year ended December 31, 2022 were as follows:
|  | Amount
Balance as of January 1, 2022 |  | $ | 1,991 |
Kompyte acquisition |  | 4,928 |
Foreign currency translation adjustment |  | (390) |
Balance as of December 31, 2022 |  | $ | 6,529 |

X
- References No definition available. + Details
Name: | us-gaap_BusinessCombinationAndAssetAcquisitionAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable). + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 805 -URI https://asc.fasb.org/topic&trid=2303972 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 805 -SubTopic 20 -Section 50 -Paragraph 5 -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=128092470&loc=d3e4946-128472 + Details
Name: | us-gaap_BusinessCombinationDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration