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Goodwill and Intangible Assets | 3 Months Ended
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Mar. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Intangible Assets | GOODWILL AND INTANGIBLE ASSETS Goodwill Goodwill is recorded when the purchase price of an acquisition exceeds the fair value of the net tangible and identified intangible assets acquired. Goodwill is tested annually for impairment at the reporting unit level during the fourth quarter or earlier upon the occurrence of certain events or substantive changes in circumstances. There were no indicators of impairment in the three months ended March 31, 2023. The balance of the Company's goodwill was $39.6 million as of March 31, 2023 and $37.5 million as of December 31, 2022. Intangible Assets The following table presents details of the Company’s intangible assets as of March 31, 2023 ($ in thousands):
| March 31, 2023
| Gross Carrying Amount |  | Accumulated Amortization |  | Foreign Currency Translation |  | Net Carrying Amount |  | Weighted Average Remaining Useful Life (In Years)
Intangible assets with finite lives: |  |  |  |  |  |  |  |  |
Acquired and developed technology | $ | 36,517 |  |  | $ | (15,931) |  |  | $ | (2,336) |  |  | $ | 18,250 |  |  | 7.5
Customer relationships | 24,908 |  |  | (7,852) |  |  | (2,067) |  |  | 14,989 |  |  | 9.5
Commercialization rights | 11,579 |  |  | (3,549) |  |  | — |  |  | 8,030 |  |  | 6.3
Trademarks and tradenames | 4,860 |  |  | (1,434) |  |  | (308) |  |  | 3,118 |  |  | 9.2
Total intangible assets with finite lives | 77,864 |  |  | (28,766) |  |  | (4,711) |  |  | 44,387 |  |  |
Acquired in-process technology | 1,250 |  |  | — |  |  | — |  |  | 1,250 |  |  |
Total intangible assets | $ | 79,114 |  |  | $ | (28,766) |  |  | $ | (4,711) |  |  | $ | 45,637 |  |  |
The following table presents details of the Company’s intangible assets as of December 31, 2022 ($ in thousands):
| December 31, 2022
| Gross Carrying Amount |  | Accumulated Amortization |  | Foreign Currency Translation |  | Net Carrying Amount |  | Weighted Average Remaining Useful Life (In Years)
Intangible assets with finite lives: |  |  |  |  |  |  |  |  |
Acquired and developed technology | $ | 35,747 |  |  | $ | (15,138) |  |  | $ | (2,369) |  |  | $ | 18,240 |  |  | 7.5
Customer relationships | 21,898 |  |  | (7,459) |  |  | (2,104) |  |  | 12,335 |  |  | 9.0
Commercialization rights | 11,579 |  |  | (3,233) |  |  | — |  |  | 8,346 |  |  | 6.6
Trademarks and tradenames | 4,540 |  |  | (1,345) |  |  | (315) |  |  | 2,880 |  |  | 8.5
Total intangible assets with finite lives | 73,764 |  |  | (27,175) |  |  | (4,788) |  |  | 41,801 |  |  |
Acquired in-process technology | 1,250 |  |  | — |  |  | — |  |  | 1,250 |  |  |
Total intangible assets | $ | 75,014 |  |  | $ | (27,175) |  |  | $ | (4,788) |  |  | $ | 43,051 |  |  |
Acquisition of Intangible Assets In June 2021, the Company acquired commercialization rights in an exclusive partnership for comprehensive data analytics in relation to NGS-based metagenomics testing for infectious diseases. In 2022, the Company incurred additional costs related to this partnership of $1.0 million. These are included within commercialization rights as of March 31, 2023. In June 2021, the Company acquired the Transplant Hero patient application. The patient application is included in Acquired and developed technology as of March 31, 2023. In the fourth quarter of 2021, acquisition of intangible assets increased $13.4 million primarily from business combinations. These acquisitions included $4.7 million of Acquired and developed technology, $2.5 million of Commercialization rights, $3.7 million of Customer relationships, $2.2 million of Trademarks and tradenames and $0.3 million of Other intangible assets. Amortization of Intangible Assets Intangible assets are carried at cost less accumulated amortization. Amortization expenses are recorded to cost of testing services, cost of product, cost of patient and digital solutions, and sales and marketing expenses in the condensed consolidated statements of operations. The following table summarizes the Company's amortization expense of intangible assets (in thousands):
| Three Months Ended March 31,
| 2023 |  | 2022
Cost of testing services | $ | 329 |  |  | $ | 329 |
Cost of product | 418 |  |  | 453 |
Cost of patient and digital solutions | 248 |  |  | 236 |
Sales & marketing | 595 |  |  | 605 |
Total | $ | 1,590 |  |  | $ | 1,623 |
The following table summarizes the Company’s estimated future amortization expense of intangible assets with finite lives as of March 31, 2023 (in thousands):
Years Ending December 31, |  | Cost of Testing Services |  | Cost of Product |  | Cost of Patient and Digital Solutions |  | Sales and Marketing |  | Total
Remainder of 2023 |  | $ | 987 |  |  | $ | 1,263 |  |  | $ | 761 |  |  | $ | 1,850 |  |  | $ | 4,861 |
2024 |  | 1,316 |  |  | 1,684 |  |  | 779 |  |  | 2,467 |  |  | 6,246 |
2025 |  | 1,316 |  |  | 1,684 |  |  | 610 |  |  | 2,467 |  |  | 6,077 |
2026 |  | 1,316 |  |  | 745 |  |  | 610 |  |  | 2,465 |  |  | 5,136 |
2027 |  | 1,316 |  |  | 745 |  |  | 610 |  |  | 2,451 |  |  | 5,122 |
Thereafter |  | 2,825 |  |  | 3,299 |  |  | 1,605 |  |  | 9,216 |  |  | 16,945 |
Total future amortization expense |  | $ | 9,076 |  |  | $ | 9,420 |  |  | $ | 4,975 |  |  | $ | 20,916 |  |  | $ | 44,387 |

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- Definition The entire disclosure for goodwill and intangible assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -URI https://asc.fasb.org/topic&trid=2144416 + Details
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