Property and Equipment, Net

9 Months Ended

Sep. 30, 2023

Property, Plant and Equipment [Abstract]

Property and equipment, net consisted of the following (in thousands):


	September 30, 2023		December 31, 2022
Content	$	325,811	$	339,879
Software	43,595		45,422
Leasehold improvements	10,784		10,860
Furniture and fixtures	5,147		4,952
Computer and equipment	3,514		3,321
Property and equipment	388,851		404,434
Less accumulated depreciation and amortization	(220,116)		(200,051)
Property and equipment, net	$	168,735	$	204,383

Depreciation and content amortization expense during the three and nine months ended September 30, 2023 was $56.9 million and $108.9 million, respectively, which included the $34.2 million accelerated depreciation discussed below. Depreciation and content amortization expense during the three and nine months ended September 30, 2022 was $22.4 million and $64.3 million, respectively.

As part of the design and build of our new generative AI experience, in August 2023, we streamlined our product experiences. As a result, we elected to abandon certain content and software assets and accelerated depreciation over shortened useful lives for completed assets as well as impaired in-progress software assets prior to their completion. We also recognized other costs associated with abandoning these content and software assets. Additionally, we impaired our internships.com trade name and adjusted the carrying value to zero. The total content and related assets charge has been recorded during the three months ended September 30, 2023.

Condensed consolidated statements of operations classification and total charge recorded is as follows (in thousands):


	Classification	Total charge
Accelerated depreciation of content and software	Cost of revenues	$	34,195
Impairment of in-progress software	Cost of revenues	2,616
Other costs	Cost of revenues	1,431
Total costs of revenues		38,242
Impairment of indefinite-lived trade name	General and administrative	3,600
Total general and administrative expense		3,600
Total content and related assets charge		$	41,842