0001514416-23-000089 | 10-Q | XBRL Viewer

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Cover - shares	3 Months Ended
Cover - shares	Mar. 31, 2023	Apr. 28, 2023
Entity Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2023
Document Transition Report	false
Entity File Number	001-38285
Entity Registrant Name	BANDWIDTH INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	56-2242657
Entity Address, Address Line One	900 Main Campus Drive
Entity Address, City or Town	Raleigh
Entity Address, State or Province	NC
Entity Address, Postal Zip Code	27606
City Area Code	(800)
Local Phone Number	808-5150
Title of 12(b) Security	Class A Common Stock, par value $0.001 per share
Trading Symbol	BAND
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Central Index Key	0001514416
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q1
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Class A voting common stock
Entity Information [Line Items]
Entity Common Stock, Shares Outstanding		23,598,009
Class B voting common stock
Entity Information [Line Items]
Entity Common Stock, Shares Outstanding		1,965,170

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents	$ 85,298	$ 113,641
Marketable securities	38,214	71,231
Accounts receivable, net of allowance for doubtful accounts	63,224	74,465
Deferred costs	3,651	3,566
Prepaid expenses and other current assets	19,569	16,705
Total current assets	209,956	279,608
Property, plant and equipment, net	102,075	99,753
Operating right-of-use asset, net	8,447	9,993
Intangible assets, net	176,242	177,370
Deferred costs, non-current	4,935	4,938
Other long-term assets	28,192	31,251
Goodwill	331,275	326,405
Total assets	861,122	929,318
Current liabilities:
Accounts payable	16,376	26,750
Accrued expenses and other current liabilities	57,514	62,577
Current portion of deferred revenue	7,302	7,181
Advanced billings	7,322	10,049
Operating	6,476	7,450
Total current liabilities	94,990	114,007
Other liabilities	13,312	11,176
Long-term lease obligations	3,778	4,640
Deferred revenue, net of current portion	8,220	8,306
Deferred tax liability	34,328	38,466
Convertible senior notes	417,085	480,546
Total liabilities	571,713	657,141
Stockholders’ equity:
Class A and Class B common stock	26	25
Additional paid-in capital	370,814	364,913
Accumulated deficit	(44,936)	(48,547)
Accumulated other comprehensive loss	(36,495)	(44,214)
Total stockholders’ equity	289,409	272,177
Total liabilities and stockholders’ equity	$ 861,122	$ 929,318

Condensed Consolidated Statements of Operations - USD ($)	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Income Statement [Abstract]
Revenue	$ 137,844,000	$ 131,364,000
Cost of revenue	82,191,000	75,950,000
Gross profit	55,653,000	55,414,000
Operating expenses:
Research and development	25,661,000	22,427,000
Sales and marketing	25,029,000	23,152,000
General and administrative	16,719,000	16,705,000
Total operating expenses	67,409,000	62,284,000
Operating loss	(11,756,000)	(6,870,000)
Net gain on extinguishment of debt	12,767,000	0
Other (expense) income, net	(528,000)	235,000
Total other income, net	12,239,000	235,000
Income (loss) before income taxes	483,000	(6,635,000)
Income tax benefit (provision)	3,128,000	(179,000)
Net income (loss)	$ 3,611,000	$ (6,814,000)
Net income (loss) per share, basic and diluted
Basic (in usd per share)	$ 0.14	$ (0.27)
Diluted (in usd per share)	$ (0.28)	$ (0.27)
Numerator used to compute net income (loss) per share:
Net loss attribuatble to common stockholders, basic	$ 3,611,000	$ (6,814,000)
Net loss attributable to common stockholders, diluted	$ (8,087,000)	$ (6,814,000)
Weighted average number of common shares outstanding, basic and diluted
Weighted average number of common shares outstanding, basic (in shares)	25,448,452	25,220,052
Weighted average number of common shares outstanding, diluted (in shares)	29,273,258	25,220,052

Condensed Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ 3,611	$ (6,814)
Other comprehensive income (loss)
Unrealized gain on marketable securities, net of income taxes	72	0
Foreign currency translation, net of income taxes	7,647	(10,516)
Total other comprehensive income (loss)	7,719	(10,516)
Total comprehensive income (loss)	$ 11,330	$ (17,330)

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

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+ Details

Condensed Consolidated Statements of Changes in Stockholders’ Equity - USD ($) $ in Thousands	Total	Adjustment to opening retained earnings due to adoption of ASU 2020-06	Class A voting common stock	Class B voting common stock	Common stock Class A voting common stock	Common stock Class B voting common stock	Additional paid-in capital	Additional paid-in capital Adjustment to opening retained earnings due to adoption of ASU 2020-06	Accumulated other comprehensive income (loss)	Accumulated deficit	Accumulated deficit Adjustment to opening retained earnings due to adoption of ASU 2020-06
Beginning balance (in shares) at Dec. 31, 2021					23,177,988	1,965,170
Beginning balance at Dec. 31, 2021	$ 412,595	$ (147,498)			$ 23	$ 2	$ 502,477	$ (156,248)	$ (13,040)	$ (76,867)	$ 8,750
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Exercises of vested stock options (in shares)					16,095
Exercises of vested stock options	125						125
Vesting of restricted stock units (in shares)					144,977
Equity awards withheld for tax liability (in shares)					(30,029)
Equity awards withheld for tax liability	(1,751)						(1,751)
Foreign currency translation	(10,516)								(10,516)
Stock-based compensation	5,346						5,346
Net loss	(6,814)									(6,814)
Ending balance (in shares) at Mar. 31, 2022					23,309,031	1,965,170
Ending balance at Mar. 31, 2022	$ 251,487				$ 23	$ 2	349,949		(23,556)	(74,931)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Accounting Standards Update	Accounting Standards Update 2020-06 [Member]
Exercises of vested stock options (in shares)					4,287
Exercises of vested stock options	$ 37						37
Vesting of restricted stock units (in shares)					28,351
Equity awards withheld for tax liability (in shares)					(7,005)
Equity awards withheld for tax liability	(145)						(145)
Unrealized loss on marketable securities	(338)								(338)
Foreign currency translation	(29,775)								(29,775)
Stock-based compensation	4,821						4,821
Net loss	(6,248)									(6,248)
Ending balance (in shares) at Jun. 30, 2022					23,334,664	1,965,170
Ending balance at Jun. 30, 2022	219,839				$ 23	$ 2	354,662		(53,669)	(81,179)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Vesting of restricted stock units (in shares)					30,395
Equity awards withheld for tax liability (in shares)					(6,856)
Equity awards withheld for tax liability	(89)						(89)
Unrealized loss on marketable securities	458								458
Foreign currency translation	(29,702)								(29,702)
Stock-based compensation	4,892						4,892
Net loss	(802)									(802)
Ending balance (in shares) at Sep. 30, 2022					23,358,203	1,965,170
Ending balance at Sep. 30, 2022	194,596				$ 23	$ 2	359,465		(82,913)	(81,981)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Exercises of vested stock options (in shares)					86
Exercises of vested stock options	1						1
Vesting of restricted stock units (in shares)					27,511
Equity awards withheld for tax liability (in shares)					(6,800)
Equity awards withheld for tax liability	(149)						(149)
Unrealized loss on marketable securities	194								194
Foreign currency translation	38,138								38,138
Unrealized gain/loss on employee benefit pension plan	367								367
Stock-based compensation	5,596						5,596
Net loss	33,434									33,434
Ending balance (in shares) at Dec. 31, 2022			23,379,000	1,965,170	23,379,000	1,965,170
Ending balance at Dec. 31, 2022	$ 272,177				$ 23	$ 2	364,913		(44,214)	(48,547)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Exercises of vested stock options (in shares)	22,975				22,975
Exercises of vested stock options	$ 155						155
Vesting of restricted stock units (in shares)					171,950
Vesting of restricted stock units	1				$ 1
Equity awards withheld for tax liability (in shares)					(43,325)
Equity awards withheld for tax liability	(903)						(903)
Unrealized loss on marketable securities	72								72
Foreign currency translation	7,647								7,647
Stock-based compensation	6,649						6,649
Net loss	3,611									3,611
Ending balance (in shares) at Mar. 31, 2023			23,530,600	1,965,170	23,530,600	1,965,170
Ending balance at Mar. 31, 2023	$ 289,409				$ 24	$ 2	$ 370,814		$ (36,495)	$ (44,936)

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Dec. 31, 2022	Jun. 30, 2022	Mar. 31, 2022
Cash flows from operating activities
Net income (loss)	$ 3,611	$ 33,434	$ (6,248)	$ (6,814)
Adjustments to reconcile net income (loss) to net cash used in operating activities
Depreciation and amortization	8,894			9,170
Non-cash reduction to the right-of-use asset	1,601			1,910
Amortization of debt discount and issuance costs	1,011			760
Stock-based compensation	7,378			5,346
Deferred taxes and other	(4,683)			94
Net gain on extinguishment of debt	(12,767)			0
Changes in operating assets and liabilities:
Accounts receivable, net of allowances	11,335			(7,416)
Prepaid expenses and other assets	(1,509)			(11,334)
Accounts payable	(10,707)			11
Accrued expenses and other liabilities	(8,619)			3,690
Operating right-of-use liability	(1,899)			(2,112)
Net cash used in operating activities	(6,354)			(6,695)
Cash flows from investing activities
Purchase of property, plant and equipment	(2,889)			(5,272)
Capitalized software development costs	(1,657)			(653)
Purchase of marketable securities	(10,849)			0
Proceeds from sales and maturities of marketable securities	43,938			0
Proceeds from sale of business	418			0
Net cash provided by (used in) investing activities	28,961			(5,925)
Cash flows from financing activities
Payments on finance leases	(55)			(48)
Net cash paid for debt extinguishment	(51,146)			0
Proceeds from exercises of stock options	155			125
Value of equity awards withheld for tax liabilities	(1,016)			(1,701)
Net cash used in financing activities	(52,062)			(1,624)
Effect of exchange rate changes on cash, cash equivalents and restricted cash	308			(1,056)
Net decrease in cash, cash equivalents, and restricted cash	(29,147)			(15,300)
Cash, cash equivalents, and restricted cash, beginning of period	114,622		$ 316,989	332,289
Cash, cash equivalents, and restricted cash, end of period	85,475	114,622		316,989
Reconciliation of cash, cash equivalents, and restricted cash, end of period
Cash and cash equivalents	85,298	113,641		316,008
Restricted cash included in prepaid expenses and other current assets	177			981
Total cash, cash equivalents, and restricted cash, end of period	85,475	$ 114,622		316,989
Supplemental disclosure of cash flow information
Cash (received from) paid for interest	(334)			472
Cash (refunded) paid for taxes, net	(553)			36
Right-of-use assets obtained in exchange for new operating lease liabilities	0			3,453
Supplemental disclosure of noncash investing and financing activities
Purchase of property, plant and equipment, accrued but not paid	1,348			433
Lease incentive	$ 2,155			$ 1,152

Organization and Description of Business	3 Months Ended
Organization and Description of Business	Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Description of Business	1. Organization and Description of Business Bandwidth Inc. (together with its subsidiaries, “Bandwidth” or the “Company”) was founded in July 2000 and incorporated in Delaware on March 29, 2001. The Company’s headquarters are located in Raleigh, North Carolina. The Company is an international cloud-based, software-powered communications platform-as-a-service (“CPaaS”) provider that enables enterprises to create, scale and operate voice or messaging communications services across any mobile application or connected device.

Summary of Significant Accounting Policies	3 Months Ended
Summary of Significant Accounting Policies	Mar. 31, 2023
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	2. Summary of Significant Accounting Policies Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) and applicable rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”) regarding interim financial reporting. Certain information and disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Therefore, these unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K, filed with the SEC on February 23, 2023. The condensed consolidated balance sheet as of December 31, 2022, included herein, was derived from the audited financial statements as of that date, but does not include all disclosures, including certain notes required by GAAP on an annual reporting basis. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all normal recurring adjustments necessary to present fairly the financial position, results of operations, comprehensive income (loss) and cash flows for the interim periods, but are not necessarily indicative of the results of operations to be anticipated for the full year 2023 or any future period. Principles of Consolidation The condensed consolidated financial statements include the accounts of Bandwidth Inc. and its wholly owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. Use of Estimates The preparation of the Company’s condensed consolidated financial statements in conformity with GAAP requires the Company to make estimates and judgments that affect the amounts reported in these financial statements and accompanying notes. These estimates in the condensed consolidated financial statements include, but are not limited to, allowance for doubtful accounts, reserve for expected credit losses, reserve for sales credits, recoverability of long lived and intangible assets, fair value of acquired intangible assets and goodwill, discount rates used in the valuation of right-of-use assets and lease liabilities, the fair value of the liability of the Company’s Convertible Notes (as defined herein), estimated period of benefit, valuation allowances on deferred tax assets, certain accrued expenses and contingencies, economic and demographic actuarial assumptions related to pension and other postretirement benefit costs and liabilities. Although the Company believes that the estimates it uses are reasonable, due to the inherent uncertainty involved in making these estimates, actual results reported in future periods could differ from those estimates. Marketable Securities The Company classifies marketable securities as available-for-sale at the time of purchase and reevaluates such classification as of each balance sheet date. The Company may sell these securities at any time for use in current operations even if they have not yet reached maturity. As a result, the Company classifies investments with maturities greater than 90 days as marketable securities in the accompanying condensed consolidated balance sheets. The Company evaluates its investments to assess whether the amortized cost basis is in excess of estimated fair value and determines what amount of that difference, if any, is caused by expected credit losses. Allowances for credit losses are recognized as a charge in other (expense) income, net on the condensed consolidated statements of operations, and any remaining unrealized losses are included in accumulated other comprehensive loss on the condensed consolidated balance sheets. Due to the nature and investment grade of the Company’s marketable securities, there were no credit losses recorded for the three months ended March 31, 2023. There have been no impairment charges for any unrealized losses during the period. Accounts Receivable and Current Expected Credit Losses Accounts receivable are stated at realizable value, net of allowances, which includes an allowance for doubtful accounts and a reserve for expected credit losses. The allowance for doubtful accounts is based on management’s assessment of the collectability of its customer accounts. The Company regularly reviews the composition of the accounts receivable aging, historical bad debts, changes in payment patterns, customer creditworthiness, current economic trends, and reasonable and supportable forecasts about the future. Relevant risk characteristics include customer size and historical loss patterns. Management has evaluated the expected credit losses related to trade accounts receivable and determined that an allowance of approximately $1.4 million and $1.2 million for uncollectible accounts and customer balances that are disputed was required as of March 31, 2023 and December 31, 2022, respectively. Refer to Note 4, “Financial Statement Components” to these condensed consolidated financial statements, for a rollforward of the components of the allowances as of March 31, 2023 and December 31, 2022. The Company includes unbilled receivables in its accounts receivable balance. Generally, these receivables represent earned revenue from services provided to customers, which will be billed in the next billing cycle. All amounts are considered collectible and billable. As of March 31, 2023 and December 31, 2022, unbilled receivables were $37.4 million and $33.9 million, respectively. Concentration of Credit Risk Financial instruments that are exposed to concentration of credit risk consist primarily of cash and cash equivalents, marketable securities and trade accounts receivable. Cash deposits may be in excess of insured limits. The Company believes that the financial institutions that hold its cash deposits are financially sound and, accordingly, minimal credit risk exists with respect to these balances. With regard to customers, credit evaluation and account monitoring procedures are used to minimize the risk of loss. The Company believes that no additional credit risk beyond amounts provided for by the allowance for doubtful accounts are inherent in accounts receivable. As of March 31, 2023 and December 31, 2022, no individual customer represented more than 10% of the Company’s accounts receivable, net of allowance for doubtful accounts. For the three months ended March 31, 2023 and 2022, no individual customer represented more than 10% of the Company’s revenue. Recently Adopted Accounting Standards The Company did not adopt any accounting pronouncements during the three months ended March 31, 2023. Recent Accounting Pronouncements Not Yet Adopted The Company did not have any applicable recent accounting pronouncements not yet adopted.

Fair Value Measurements

3 Months Ended

Mar. 31, 2023

Fair Value Disclosures [Abstract]

Fair Value Measurements

3. Fair Value Measurements

The Company uses a three-tier fair value hierarchy to classify and disclose all assets and liabilities measured at fair value on a recurring basis, as well as assets and liabilities measured at fair value on a non-recurring basis, in periods subsequent to their initial measurement. The hierarchy requires use of observable inputs when available, and to minimize the use of unobservable inputs when determining fair value. The three tiers are defined as follows:

•Level 1. Observable inputs based on unadjusted quoted prices in active markets for identical assets or liabilities;

•Level 2. Inputs, other than quoted prices in active markets, that are observable either directly or indirectly; and

•Level 3. Unobservable inputs for which there is little or no market data, which requires the Company to develop its own assumptions.

A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement.

The carrying amounts of cash and cash equivalents, accounts receivable, accounts payable and accrued expenses approximate fair value as of March 31, 2023 and December 31, 2022 because of the relatively short duration of these instruments. Marketable securities consist of time deposits, corporate debt securities, U.S. treasury securities, and commercial paper not otherwise classified as cash equivalents. All marketable securities are considered to be available-for-sale and are recorded at their estimated fair values. Unrealized gains and losses for available-for-sale securities are recorded in other comprehensive loss.

The Company evaluated its financial assets and liabilities subject to fair value measurements on a recurring basis to determine the appropriate level in which to classify them for each reporting period. The following tables summarize the Company’s financial assets measured at fair value as of March 31, 2023 and December 31, 2022:


	Amortized cost or carrying value		Unrealized gains		Unrealized losses		Fair value measurements on a recurring basis March 31, 2023
							Level 1		Level 2		Level 3		Total

	(In thousands)
Financial assets:
Cash and cash equivalents:
Money market account	$	48,724	$	—	$	—	$	48,724	$	—	$	—	$	48,724



U.S. treasury securities	989		—		—		989		—		—		989

Commercial paper	12,955		—		—		12,955		—		—		12,955

Total included in cash and cash equivalents	62,668		—		—		62,668		—		—		62,668
Marketable securities:

U.S. treasury securities	9,306		115		—		9,421		—		—		9,421
Corporate debt securities	8,664		—		(22)		—		8,642		—		8,642
Commercial paper	19,858		293		—		20,151		—		—		20,151
Total marketable securities	37,828		408		(22)		29,572		8,642		—		38,214



Total financial assets	$	100,496	$	408	$	(22)	$	92,240	$	8,642	$	—	$	100,882


	Amortized cost or carrying value		Unrealized gains		Unrealized losses		Fair value measurements on a recurring basis December 31, 2022
							Level 1		Level 2		Level 3		Total

	(In thousands)
Financial assets:
Cash and cash equivalents:
Money market account	$	36,728	$	—	$	—	$	36,728	$	—	$	—	$	36,728





Commercial paper	28,254		—		—		28,254		—		—		28,254

Total included in cash and cash equivalents	64,982		—		—		64,982		—		—		64,982
Marketable securities:
Time deposits	6,645		—		(15)		6,630		—		—		6,630
U.S. treasury securities	14,718		74		—		14,792		—		—		14,792
Corporate debt securities	23,412		—		(97)		—		23,315		—		23,315
Commercial paper	26,142		352		—		26,494		—		—		26,494
Total marketable securities	70,917		426		(112)		47,916		23,315		—		71,231



Total financial assets	$	135,899	$	426	$	(112)	$	112,898	$	23,315	$	—	$	136,213

The Company classifies its marketable securities as current assets as they are available for current operating needs. The following table summarizes the contractual maturities of marketable securities as of March 31, 2023:


	Amortized cost		Aggregate fair value

	(In thousands)
Financial assets:
Less than one year	$	37,828	$	38,214

Total	$	37,828	$	38,214

As of March 31, 2023, the marketable securities were in an unrealized gain position. The Company has determined that (i) it does not have the intent to sell any of these investments and (ii) it is not more likely than not that it will be required to sell any of these investments before recovery of the entire amortized cost basis. As of March 31, 2023, the Company anticipates that it will recover the entire amortized cost basis of its marketable securities before maturity.

During the three months ended March 31, 2023, there were $26.2 million in maturities of marketable securities. Proceeds from sales of marketable securities were $17.7 million for the three months ended March 31, 2023. The Company determines realized gains and losses on sale of marketable securities using the specific identification method and records such gains and losses in other (expense) income, net on the condensed consolidated statements of operations. Interest earned on marketable securities was $0.3 million for the three months ended March 31, 2023. The interest is recorded in other (expense) income, net, on the accompanying condensed consolidated statements of operations. As of March 31, 2023, the accrued interest receivable, net of allowance for credit losses, was $0.2 million. Accrued interest receivable is recorded in prepaid expenses and other current assets on the accompanying condensed consolidated balance sheets.

As of March 31, 2023, the fair value of the 2026 Convertible Notes and 2028 Convertible Notes, as further described in Note 8, “Debt,” to these condensed consolidated financial statements, was approximately $136.2 million and $161.9 million, respectively. As of December 31, 2022, the fair value of the 2026 Convertible Notes and the 2028 Convertible Notes was approximately $180.9 million and $156.5 million, respectively. The fair value was determined based on the closing price for the Convertible Notes on the last trading day of the reporting period and is considered as Level 2 in the fair value hierarchy.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Financial Statement Components

3 Months Ended

Mar. 31, 2023

Financial Statement Components [Abstract]

Financial Statement Components

4. Financial Statement Components

Accounts receivable, net of allowances consist of the following:


	As of March 31,		As of December 31,
	2023		2022

	(In thousands)
Trade accounts receivable	$	27,021	$	40,332
Unbilled accounts receivable	37,387		33,863
Allowance for doubtful accounts and reserve for expected credit losses	(1,382)		(1,191)
Other accounts receivable	198		1,461
Total accounts receivable, net	$	63,224	$	74,465

Components of allowance for doubtful accounts and reserve for expected credit losses are as follows:


	Three months ended March 31,
		2023		2022

		(In thousands)
Allowance for doubtful accounts:
Balance, beginning of period		$	(1,191)	$	(1,661)
Charged to bad debt expense, net of reversals		(304)		(141)
Deductions (1)		148		111
Impact of foreign currency translation		(35)		11



Balance, end of period		$	(1,382)	$	(1,680)

________________________

(1) Write-off of uncollectible accounts after all collection efforts have been exhausted.

Accrued expenses and other current liabilities consisted of the following:


	As of March 31,		As of December 31,
	2023		2022

	(In thousands)
Accrued expense	$	34,575	$	29,990
Accrued compensation and benefits	9,912		21,595
Accrued sales, use, VAT and telecommunications related taxes	7,373		7,799

Current portion of finance lease	120		143

Income tax payable	4,569		2,235
Other accrued expenses	965		815
Total accrued expenses and other current liabilities	$	57,514	$	62,577

Right-of-Use Asset and Lease Liabilities

3 Months Ended

Mar. 31, 2023

Leases [Abstract]

Right-of-Use Asset and Lease Liabilities

5. Right-of-Use Asset and Lease Liabilities

The Company has entered into various operating lease agreements for office space and finance lease agreements for automobiles.

As of March 31, 2023, the Company had various leased properties in the United States and internationally, with remaining lease terms of two months to 3.75 years, some of which include options to extend the leases for up to 5 years. None of the options to extend the leases are recognized in operating lease right-of-use (“ROU”) assets or lease liabilities. The Company has one lease with an early-termination option, which it does not expect to exercise.

The components of lease expense recorded in the condensed consolidated statements of operations were as follows:


	Three months ended March 31,
		2023		2022

		(In thousands)
Operating lease cost		$	1,733	$	2,138
Finance lease cost:
Depreciation of assets		41		50
Interest on lease liabilities		4		3


Sublease income		—		(96)
Total net lease cost		$	1,778	$	2,095

During the three months ended March 31, 2023 and 2022, short-term operating lease expense was $0.2 million and $0.1 million, respectively.

Supplemental balance sheet information related to leases was as follows:


		As of March 31,		As of December 31,
Leases	Classification	2023		2022

		(In thousands)
Assets:
Operating lease assets	Operating right-of-use asset, net (1)	$	8,447	$	9,993
Finance lease assets	Property, plant and equipment, net (2)	270		307
Total lease assets		$	8,717	$	10,300

Liabilities:
Current
Operating	Operating lease liability, current	$	6,476	$	7,450
Finance	Accrued expenses and other current liabilities	120		143
Non-current
Operating	Operating lease liability, net of current portion	3,778		4,640
Finance	Other liabilities	144		172
Total lease liabilities		$	10,518	$	12,405

________________________

(1) Operating lease assets are recorded net of accumulated amortization of $20.7 million and $17.7 million as of March 31, 2023 and December 31, 2022, respectively.

(2) Finance lease assets are recorded net of accumulated depreciation of $0.4 million and $0.3 million as of March 31, 2023 and December 31, 2022, respectively.

Supplemental cash flow and other information related to leases was as follows:


	Three months ended March 31,
		2023			2022

		(In thousands)
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases		$	1,899		$	2,112

Financing cash flows from finance leases		55			48
		$	1,954		$	2,160

Weighted average remaining lease term (in years)
Operating leases		2.00			2.64
Finance leases		2.39			2.46

Weighted average discount rate
Operating leases		4.60		%	4.57		%
Finance leases		5.59		%	3.93		%

Maturities of lease liabilities were as follows:


	As of March 31,
	2023
	Operating Leases		Finance Leases

	(In thousands)

2023 (remaining)	$	5,695	$	101
2024	2,623		108
2025	1,597		54
2026	665		21



Total lease payments	10,580		284
Less: imputed interest	(326)		(20)

Total lease obligations	10,254		264
Less: current obligations	(6,476)		(120)
Long-term lease obligations	$	3,778	$	144

Future Corporate Headquarters

On June 4, 2021, the Company purchased approximately 40 acres of undeveloped land (the “Property”) in Raleigh, North Carolina, from the State of North Carolina (the “State”) for $30.0 million. Additionally, as consideration for the Property, the Company agreed to construct, at its expense, a parking lot and related improvements (the “Parking Improvements”) on land owned by the State adjacent to the Property. Subsequent to the purchase of the Property, the Company sold a portion of the Property constituting approximately 23.76 acres (the “Conveyed Parcel”) to USEF Edwards Mill Owner, LLC (the “Developer”) for $17.5 million. The Company retained approximately 17.06 acres of the Property, which was recorded at cost and is included in the Company’s condensed consolidated balance sheets as a component of property, plant and equipment, net. A lease incentive was recognized for the difference between the consideration received from the Developer for the Conveyed Parcel and the cost basis of the Conveyed Parcel and is included as a component of other liabilities on the condensed

consolidated balance sheets. As of March 31, 2023, the balance of the lease incentive, including additional incentives obtained during project development, was $12.6 million.

On May 27, 2021, the Company entered into a Lease Agreement (the “Lease”) with the Developer for the Conveyed Parcel, together with improvements for office and related infrastructure to be constructed thereon, collectively constituting approximately 534,000 gross square feet (the “Project”). The lease became effective upon closing of the sale of the Conveyed Parcel to the Developer. When construction of the Project is completed, the Company intends to relocate its corporate headquarters to the Project. The lease term will commence upon substantial completion of the final building to be delivered, as evidenced by a certificate of occupancy issued by the City of Raleigh (the “Commencement Date”), and continue for a period of twenty (20) years (the “Initial Term”). It is anticipated that the Commencement Date will occur in mid-2023. The Company has the option to renew the Initial Term for two ten-year periods at a rental rate equal to 100% of the then-prevailing market rental rate for comparable buildings in the Raleigh, North Carolina, market. Upon the effective date, the Company deposited $2.5 million with the Developer as security on the lease. Additionally, the Company made deposits of $21.7 million to fund certain improvements expected to be constructed as part of the development of the Project. Deposits are recorded in other long-term assets on the Company’s condensed consolidated balance sheets.

No ROU assets or lease liabilities have been recognized in connection with the lease as of March 31, 2023. Future lease payments are included in Note 12, “Commitments and Contingencies.”

Property, Plant and Equipment

3 Months Ended

Mar. 31, 2023

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment

6. Property, Plant and Equipment

Property, plant and equipment, net consisted of the following:


	As of March 31,		As of December 31,
	2023		2022

	(In thousands)
Furniture and fixtures	$	16,768	$	16,494
Computer and office equipment	14,702		14,160
Telecommunications equipment	79,713		80,251
Leasehold improvements	7,216		6,410
Software	8,378		7,051
Internal-use software development	25,451		23,677
Automobile	675		665
Land	25,216		23,090
Total cost	178,119		171,798
Less—accumulated depreciation	(76,044)		(72,045)
Total property, plant and equipment, net	$	102,075	$	99,753

The Company capitalized $1.7 million and $0.7 million of software development costs for the three months ended March 31, 2023 and 2022, respectively.

Amortization expense related to capitalized software development costs were $0.7 million and $0.5 million for the three months ended March 31, 2023 and 2022, respectively. As of March 31, 2023, unamortized implementation costs related to cloud computing arrangements are $0.3 million, of which $0.2 million are included in prepaid expenses and other current assets and $0.1 million are included in other long-term assets.

The Company leases automobiles under leases accounted for as finance leases with expiration dates ranging from April 24, 2023 to October 5, 2026. As of March 31, 2023, cost and accumulated depreciation of the assets under finance leases recorded by the Company were $0.7 million and $0.4 million, respectively.

The Company recognized depreciation expense, which includes amortization of capitalized software development costs, as follows:


	Three months ended March 31,
		2023		2022

		(In thousands)
Cost of revenue		$	3,529	$	3,376
Research and development		512		592
Sales and marketing		309		334
General and administrative		270		302
Total depreciation expense		$	4,620	$	4,604

Intangible Assets

3 Months Ended

Mar. 31, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets

7. Intangible Assets

Intangible Assets

Intangible assets, net consisted of the following as of March 31, 2023:


	Gross Amount		Accumulated Amortization		Net Carrying Value		Amortization Period

	(In thousands)						(In years)
Customer relationships	$	143,795	$	(27,773)	$	116,022	15 - 20



Developed technology	78,588		(18,992)		59,596		10
Other, definite lived	2,828		(2,828)		—		2 - 7
Licenses, indefinite lived	624		—		624		Indefinite







Total intangible assets, net	$	225,835	$	(49,593)	$	176,242

Intangible assets, net consisted of the following as of December 31, 2022:


	Gross Amount		Accumulated Amortization		Net Carrying Value		Amortization Period

	(In thousands)						(In years)
Customer relationships	$	141,146	$	(25,037)	$	116,109	15 - 20



Developed technology	77,409		(16,772)		60,637		10
Other, definite lived	2,828		(2,828)		—		2 - 7
Licenses, indefinite lived	624		—		624		Indefinite







Total intangible assets, net	$	222,007	$	(44,637)	$	177,370

The Company recognized amortization expense as follows:


	Three months ended March 31,
		2023		2022

		(In thousands)
Cost of revenue		$	1,945	$	2,032

Sales and marketing		2,329		2,534

Total amortization expense		$	4,274	$	4,566

The remaining weighted average amortization period for definite lived intangible assets is 10.8 years.

Future estimated amortization expense for definite lived intangible assets is as follows:


	As of March 31,
	2023

	(In thousands)
2023 (remaining)	$	12,954
2024	17,272
2025	17,272
2026	17,272
2027	17,272


Thereafter	93,576
	$	175,618

Debt

3 Months Ended

Mar. 31, 2023

Debt Disclosure [Abstract]

Debt

8. Debt

Revolving Credit Facility

On March 10, 2023, Silicon Valley Bank (“SVB”) was closed by the California Department of Financial Protection and Innovation, which appointed the Federal Deposit Insurance Corporation as receiver. As a result, SVB ceased normal banking operations for a period of time. Given these circumstances, on March 14, 2023 (the “Notice Date”), the Company gave notice to SVB of its desire and intent to terminate the commitments (the “Termination”) under that certain credit agreement, dated as of June 6, 2022 (the “Credit Agreement”), among the Company, as borrower, the lenders from time to time party thereto, and SVB, as administrative agent, issuing lender and swingline lender. As of the Notice Date, there were no outstanding borrowings under the Credit Agreement. The Termination became effective on March 15, 2023.

As of March 31, 2023, there were no outstanding debt issuance costs. As of December 31, 2022, unamortized debt issuance costs were $0.4 million, of which $0.2 million were included in prepaid expenses and other current assets and $0.2 million were included in other long-term assets.

Convertible Senior Notes and Capped Call Transactions

2026 Convertible Notes

In February, 2020, the Company issued $400.0 million aggregate principal amount of 0.25% Convertible Notes due 2026 in a private placement to qualified institutional buyers pursuant to Rule 144A under the Securities Act (the “2026 Convertible Notes”). The interest on the 2026 Convertible Notes is payable semi-annually in arrears on March 1 and September 1 of each year, beginning on September 1, 2020. The 2026 Convertible Notes will mature on March 1, 2026, unless earlier repurchased, redeemed by the Company, or converted pursuant to their terms. The total net proceeds from the 2026 Convertible Notes, after deducting initial purchaser discounts, costs

related to the 2026 Capped Calls (as defined herein), and debt issuance costs, paid by the Company, were approximately $344.7 million. The excess of the principal amount of the liability component over its carrying amount, or the debt discount, was amortized to interest expense at an annual effective interest rate of 0.509% over the contractual terms of the 2026 Convertible Notes.

Each $1,000 principal amount of the 2026 Convertible Notes is initially convertible into 10.9857 shares of the Company’s Class A common stock, par value $0.001 per share, which is equivalent to an initial conversion price of approximately $91.03 per share.

During March 2023, the Company entered into separate, privately negotiated repurchase agreements with a limited number of holders of the 2026 Convertible Notes to repurchase (the “Repurchases”) approximately $65.0 million aggregate principal amount of the 2026 Convertible Notes for an aggregate cash price of approximately $51.3 million. The Repurchases closed on March 6, 2023. The Company had previously entered into capped call transactions with certain financial institutions in connection with the 2026 Convertible Notes. All of these transactions are expected to remain in effect notwithstanding the Repurchases. Following these Repurchases, and the approximate $160.0 million repurchases that closed in November 2022, approximately $175.0 million principal amount of the 2026 Convertible Notes remain outstanding. The difference between the consideration used to repurchase the 2026 Convertible Notes and the carrying value of the 2026 Convertible Notes resulted in a gain of $12.8 million recorded within net gain on extinguishment of debt on the Company’s condensed consolidated statements of operations in the three months ended March 31, 2023.

2028 Convertible Notes

In March 2021, the Company issued $250.0 million aggregate principal amount of 0.50% Convertible Notes due 2028 in a private placement to qualified institutional buyers pursuant to Rule 144A under the Securities Act (the “2028 Convertible Notes” and, together with the 2026 Convertible Notes, the “Convertible Notes”). The interest on the 2028 Convertible Notes is payable semi-annually in arrears on April 1 and October 1 of each year, beginning on October 1, 2021. The 2028 Convertible Notes will mature on April 1, 2028, unless earlier repurchased, redeemed by the Company, or converted pursuant to their terms. The total net proceeds from the 2028 Convertible Notes, after deducting initial purchaser discounts, costs related to the 2028 Capped Calls (as defined herein), and debt issuance costs, paid by the Company, were approximately $217.0 million. The excess of the principal amount of the liability component over its carrying amount, or the debt discount, was amortized to interest expense at an annual effective interest rate of 0.442% over the contractual terms of the 2028 Convertible Notes.

Each $1,000 principal amount of the 2028 Convertible Notes is initially convertible into 5.5781 shares of the Company’s Class A common stock, par value $0.001 per share, which is equivalent to an initial conversion price of approximately $179.27 per share.

Other Terms of the Convertible Notes

The Convertible Notes are effectively subordinated to the Company’s future senior secured indebtedness to the extent of the value of the collateral securing that indebtedness. The Convertible Notes are the senior, unsecured obligations of the Company and are equal in right of payment with the Company’s future senior unsecured indebtedness, if any, senior in right of payment to the Company’s existing and future indebtedness that is expressly subordinated to the Convertible Notes and the Convertible Notes will be structurally subordinated to all existing and future indebtedness and other liabilities, including trade payables, and preferred equity, if any, of the Company’s subsidiaries. The Convertible Notes may bear special interest under specified circumstances relating to the Company’s failure to comply with its reporting obligations under the indenture governing the applicable Convertible Notes (each, a “Notes Indenture” and collectively, the “Notes Indentures”) or if the Convertible Notes are not freely tradeable as required by the applicable Notes Indenture.

The conversion rate is subject to adjustment upon the occurrence of certain specified events but will not be adjusted for any accrued and unpaid interest. In addition, upon the occurrence of a make-whole fundamental change (which includes the calling of any Convertible Notes for redemption), as defined in the applicable Notes Indenture,

the Company will, in certain circumstances, increase the conversion rate by a number of additional shares for a holder that elects to convert its Convertible Notes in connection with such make-whole fundamental change or during the relevant redemption period.

The Company may redeem the Convertible Notes at its option, on or after March 6, 2023 for the 2026 Convertible Notes, and on or after April 6, 2025 for the 2028 Convertible Notes, in each case, at a cash redemption price equal to 100% of the principal amount thereof, plus accrued and unpaid interest, subject to certain conditions. No sinking fund is provided for the Convertible Notes.

The Convertible Notes will be convertible at certain times and upon the occurrence of certain events in the future. Further, on or after September 1, 2025 for the 2026 Convertible Notes, and on or after October 1, 2027 for the 2028 Convertible Notes, until the close of business on the second scheduled trading day immediately preceding the maturity date, holders of the Convertible Notes may convert all or a portion of their Convertible Notes regardless of these conditions. Upon conversion, the Company will pay or deliver, as the case may be, cash, shares of Class A common stock, or a combination of cash and shares of Class A common stock, at the Company’s election. It is the Company’s current intent to settle the principal amount of the Convertible Notes with cash.

During the three months ended March 31, 2023, the conditions allowing the holders of the 2026 Convertible Notes and the 2028 Convertible Notes to convert were not met. The Convertible Notes may be convertible thereafter if one or more of the conversion conditions specified in each respective Notes Indenture are satisfied during future measurement periods. The Company continues to classify the Convertible Notes as a long-term liability in its condensed consolidated balance sheets as of March 31, 2023, based on contractual settlement provisions.

Upon the occurrence of a fundamental change (as defined in the applicable Notes Indenture) prior to the maturity date, holders may require the Company to repurchase all or a portion of the 2026 Convertible Notes or 2028 Convertible Notes for cash at a price equal to the principal amount of the Convertible Notes to be repurchased, plus any accrued and unpaid interest to, but excluding, the fundamental change repurchase date.

The net carrying amount of the liability components of the 2026 Convertible Notes and the 2028 Convertible Notes were as follows:


	As of March 31,		As of December 31,
	2023		2022

2026 Convertible Notes:	(In thousands)
Principal	$	175,000	$	240,000

Unamortized debt issuance costs	(2,533)		(3,805)
2026 Convertible Notes net carrying amount	172,467		236,195

2028 Convertible Notes:
Principal	250,000		250,000

Unamortized debt issuance costs	(5,382)		(5,649)
2028 Convertible Notes net carrying amount	244,618		244,351
Total net carrying amount	$	417,085	$	480,546

The following table sets forth the interest expense recognized related to the 2026 and 2028 Convertible Notes:


	Three months ended March 31,
		2023		2022

2026 Convertible Notes:		(In thousands)
Contractual interest expense		$	138	$	250

Amortization of debt issuance costs		296		495
Total interest expense related to the 2026 Convertible Notes		434		745

2028 Convertible Notes:
Contractual interest expense		313		313

Amortization of debt issuance costs		266		265
Total interest expense related to the 2028 Convertible Notes		579		578
Total interest expense		$	1,013	$	1,323

Capped Calls

In connection with the offering of the 2026 Convertible Notes and the 2028 Convertible Notes, the Company entered into privately negotiated capped call transactions with certain counterparties (the “2026 Capped Calls” and the “2028 Capped Calls,” respectively and, collectively, the “Capped Calls”). The initial strike price of the Convertible Notes corresponds to the initial conversion price of the 2026 Convertible Notes and the 2028 Convertible Notes. The Capped Calls are generally intended to reduce or offset the potential dilution to the Class A common stock upon any conversion of the 2026 Convertible Notes and 2028 Convertible Notes with such reduction or offset, as the case may be, subject to a cap based on the cap price. The Capped Calls expire on the earlier of (i) the last day on which any convertible securities remain outstanding and (ii) March 1, 2026 for the 2026 Capped Calls and April 1, 2028 for the 2028 Capped Calls, subject to earlier exercise. The Capped Calls are subject to either adjustment or termination upon the occurrence of specified extraordinary events affecting the Company, including a merger event, a tender offer, and a nationalization, insolvency or delisting involving the Company. In addition, the Capped Calls are subject to certain specified additional disruption events that may give rise to a termination of the Capped Calls, including changes in law, insolvency filings, and hedging disruptions. The Capped Call transactions are recorded in stockholders’ equity and are not accounted for as derivatives. The net cost to purchase the Capped Calls was recorded as a reduction to additional paid-in capital in the accompanying condensed consolidated balance sheets.

The following table sets forth key terms and costs incurred for the Capped Calls related to the Convertible Notes:


	2026 Convertible Notes		2028 Convertible Notes

	(In thousands, except share and per share amounts)
Initial approximate strike price per share, subject to certain adjustments	$	91.03	$	179.27
Initial cap price per share, subject to certain adjustments	$	137.40	$	260.76
Net costs incurred	$	43,320	$	25,500
Class A common stock covered, subject to anti-dilution adjustments	4,394,276		1,394,525

All of the Capped Calls were outstanding as of March 31, 2023.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

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+ Details

Geographic Information

3 Months Ended

Mar. 31, 2023

Segment Reporting [Abstract]

Geographic Information

9. Geographic Information

The Company generates its revenue primarily in North America. Revenue by geographic area is detailed in the table below (which is apportioned based on the destination of the service):


	Three months ended March 31,
		2023		2022

		(In thousands)
North America		$	115,709	$	109,935
Rest of World		22,135		21,429
Total		$	137,844	$	131,364

During the three months ended March 31, 2023, the Company changed its methodology for apportioning the revenue by geographic area, from basing the revenue on the customer billing address to basing the revenue on the destination of the service, in order to provide a more transparent metric and to be consistent with other information provided publicly. Accordingly, all periods presented have been conformed to the updated methodology.

The Company’s long-lived assets were primarily held in North America as of March 31, 2023 and December 31, 2022. As of March 31, 2023 and December 31, 2022, long-lived assets held outside of North America were $9.0 million and $11.9 million, respectively.

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

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+ Details

Stockholders' Equity

3 Months Ended

Mar. 31, 2023

Equity [Abstract]

Stockholders' Equity

10. Stockholders’ Equity

Preferred Stock

As of March 31, 2023 and December 31, 2022, the Company had authorized 10,000,000 shares of undesignated preferred stock, par value $0.001, of which no shares were issued and outstanding.

Common Stock

As of March 31, 2023 and December 31, 2022, the Company had authorized 100,000,000 shares of Class A common stock, par value $0.001 per share, with one vote per share and 20,000,000 shares of Class B common stock, par value $0.001 per share, with ten votes per share.

As of March 31, 2023, 23,530,600 and 1,965,170 shares of Class A common stock and Class B common stock, respectively, were issued and outstanding.

As of December 31, 2022, 23,379,000 and 1,965,170 shares of Class A common stock and Class B common stock, respectively, were issued and outstanding.

Reserved Shares

The Company had reserved shares of Class A common stock for issuance under stock-based award agreements as follows:


	As of March 31,	As of December 31,
	2023	2022
Stock options issued and outstanding	136,479	159,741
Nonvested restricted stock units issued and outstanding	2,475,656	2,607,106
Stock-based awards available for grant under the 2017 Plan (1)	3,051,143	1,879,368
	5,663,278	4,646,215

________________________

(1) As of March 31, 2023, the amount excludes an increase of 2,500,000 shares pursuant to the Second Amended and Restated 2017 Incentive Award Plan, effective February 21, 2023 and subject to approval of the Company’s stockholders at the annual stockholders’ meeting to be held on May 18, 2023.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

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+ Details

Stock-Based Compensation

3 Months Ended

Mar. 31, 2023

Share-Based Payment Arrangement [Abstract]

Stock-Based Compensation

11. Stock-Based Compensation

Stock Options

The following summarizes the stock option activity for the periods presented:


	Number of options outstanding	Weighted- average exercise price (Per share)		Weighted- average remaining contract life (In years)	Aggregate intrinsic value (In thousands)
Outstanding as of December 31, 2022	159,741	$	10.42	2.57	$	2,001
Granted	—	—
Exercised	(22,975)	6.74
Forfeited or cancelled	(287)	9.16
Outstanding as of March 31, 2023	136,479	$	11.05	2.70	$	710

Options vested and exercisable at March 31, 2023	136,479	$	11.05	2.70	$	710
Options vested and expected to vest as of March 31, 2023	136,479	$	11.05	2.70	$	710

Aggregate intrinsic value of stock options exercised was $0.2 million and $0.6 million for the three months ended March 31, 2023 and 2022, respectively.

No options were granted for the three months ended March 31, 2023.

As of March 31, 2023, the Company had no unrecognized compensation cost related to non-vested stock options. All outstanding stock options were fully vested prior to December 31, 2022.

Restricted Stock Units

The following summarizes the restricted stock unit (“RSU”) activity for the period presented:


	Number of awards outstanding	Weighted-average grant date fair value (Per share)
Nonvested RSUs as of December 31, 2022	2,607,106	$	32.33
Granted	76,196	15.90
Vested	(171,950)	63.29
Forfeited or cancelled	(35,696)	27.66
Nonvested RSUs as of March 31, 2023	2,475,656	$	29.74

As of March 31, 2023, total unrecognized compensation cost related to non-vested RSUs was $65.5 million, which will be amortized over a weighted-average period of 2.63 years.

Stock-Based Compensation Expense

The Company recognized total stock-based compensation expense as follows:


	Three months ended March 31,
		2023		2022

		(In thousands)
Cost of revenue		$	192	$	99
Research and development		3,141		1,868
Sales and marketing		1,237		899
General and administrative		2,808		2,480
Total		$	7,378	$	5,346

Commitments and Contingencies	3 Months Ended
Commitments and Contingencies	Mar. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	12. Commitments and Contingencies Operating Leases The Company leases office space under operating lease agreements that expire over the next 3.75 years. As of March 31, 2023, the Company has $14.9 million in future minimum rent payments for its current office space. See Note 5, “Right-of-Use Asset and Lease Liabilities” to the condensed consolidated financial statements, for additional details on the Company’s operating lease commitments. Contractual Obligations As of March 31, 2023, the Company has $15.5 million in non-cancellable purchase obligations, consisting of primarily network equipment maintenance and software license contracts, of which $12.1 million will be fulfilled within one year. On May 27, 2021, the Company entered into the Lease with the Developer for the Conveyed Parcel, together with the Project. The Lease term will commence upon the Commencement Date and continue for the Initial Term. It is anticipated that the Commencement Date will occur in mid-2023. If the Commencement Date does not occur within one hundred twenty (120) days from the scheduled Commencement Date, the Company shall be entitled to certain rent abatements, as described in the Lease. If the Commencement Date does not occur within twelve (12) months of the scheduled Commencement Date, the Company may terminate the Lease. The Company has the option to renew the Initial Term for two ten-year periods. Base rent payments will begin on the Commencement Date. The initial base rent will increase by 1.85% on each anniversary of the Commencement Date. Total lease payments over the Initial Term are approximately $495.7 million. See Note 5, “Right-of-Use Asset and Lease Liabilities” to the condensed consolidated financial statements, for additional details on the Company's operating lease commitments. Legal Matters The Company is involved as a defendant in various litigation, including, but not limited to, (a) lawsuits alleging that the Company failed to bill, collect and remit certain taxes and surcharges associated with the provision of 911 services pursuant to applicable laws in various jurisdictions, and (b) an action brought by a non-practicing entity related to alleged patent infringement. The Company intends to vigorously defend these lawsuits and believes that it has meritorious defenses to each. However, litigation is inherently uncertain, and any judgment or injunctive relief entered against the Company or any adverse settlement could adversely affect the Company’s business, results of operations and financial condition.

Income Taxes	3 Months Ended
Income Taxes	Mar. 31, 2023
Income Tax Disclosure [Abstract]
Income Taxes	13. Income Taxes At the end of each interim reporting period, the Company determines the income tax provision by using an estimate of the annual effective tax rate, adjusted for discrete items occurring in the quarter. The effective income tax rate reflects the effect of federal, state and international income taxes and the permanent impacts of differences in book and tax accounting. The Company’s effective tax rate was (647.6)% and (2.7)% for the three months ended March 31, 2023 and 2022, respectively. The decrease in the effective tax rate is primarily due to the near breakeven year-to-date pre-tax income of $0.5 million in relation to the increase in tax benefit resulting from additional operating losses outside of the U.S., which are not offset by a valuation allowance. Judgment is required in determining whether deferred tax assets will be realized in full or in part. Management assesses the available positive and negative evidence on a jurisdictional basis to estimate if deferred tax assets will be recognized and when it is more likely than not that all or some deferred tax assets will not be realized, and a valuation allowance must be established. As of March 31, 2023, the Company continues to maintain a valuation allowance for its U.S. federal and state net deferred tax assets. The Company’s effective tax rate for the three months ended March 31, 2023 differed from the federal statutory tax rate of 21.0% in the U.S. primarily due to a significant tax benefit resulting from operating losses outside of the U.S., which are not offset by a valuation allowance, as well as total operating income being close to breakeven for the quarter.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 21
-URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32857-109319

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SAB Topic 11.C)
-URI https://asc.fasb.org/extlink&oid=122134291&loc=d3e330215-122817

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 17
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32809-109319

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SAB TOPIC 6.I.5.Q1)
-URI https://asc.fasb.org/extlink&oid=122134291&loc=d3e330036-122817

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 14
-URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32705-109319

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 270
-Section 50
-Paragraph 1
-URI https://asc.fasb.org/extlink&oid=6424409&loc=d3e44925-109338

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-URI https://asc.fasb.org/topic&trid=2144680

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 30
-Section 50
-Paragraph 2
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=6424122&loc=d3e41874-109331

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(h)(2))
-URI https://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

+ Details

Related Parties	3 Months Ended
Related Parties	Mar. 31, 2023
Related Party Transactions [Abstract]
Related Parties	14. Related Parties The Company has certain involvement with Relay via an ongoing Master Agreement and a Facilities Sharing Agreement. Amounts charged under these arrangements totaled less than $0.1 million and $0.4 million for the three months ended March 31, 2023 and 2022, respectively, and are included in revenue on the Company’s condensed consolidated statements of operations. Amounts due under these arrangements totaled less than $0.1 million as of March 31, 2023 and December 31, 2022, respectively, and are reported in accounts receivable, net of allowance for doubtful accounts in the accompanying condensed consolidated balance sheets.

Basic and Diluted Income (Loss) per Common Share

3 Months Ended

Mar. 31, 2023

Earnings Per Share [Abstract]

Basic and Diluted Income (Loss) per Common Share

15. Basic and Diluted Income (Loss) per Common Share

Basic net income (loss) per share is computed by dividing net income (loss) by the weighted-average number of shares of common stock outstanding during the period. Diluted net income (loss) per share is computed by giving effect to all potential shares of common stock, including stock options and stock related to unvested restricted stock awards.

The components of basic and diluted income (loss) per share are as follows:


	Three months ended March 31,
		2023		2022

		(In thousands, except share and per share amounts)
Earnings per share


Net income (loss) attributable to common stockholders		$	3,611	$	(6,814)
Net income (loss) per share:
Basic		$	0.14	$	(0.27)
Diluted		$	(0.28)	$	(0.27)
Numerator used to compute net income (loss) per share:
Basic		$	3,611	$	(6,814)
Net gain on extinguishment of debt, net of taxes		(12,707)		—
Interest expense on convertible notes, net of taxes		1,009		—
Diluted (1)		$	(8,087)	$	(6,814)














Weighted average number of common shares outstanding:
Basic		25,448,452		25,220,052

Convertible debt conversion		3,824,806		—



Diluted		29,273,258		25,220,052

________________________

(1) Net income is adjusted for the reversal of the net gain on extinguishment of debt and add back of interest expense as part of the calculation for diluted Non-GAAP earnings per share.

The following common share equivalents were excluded from the weighted average shares used to calculate net income (loss) per common share because their effects would have been anti-dilutive:


	As of March 31,
	2023	2022
Stock options issued and outstanding	136,479	164,114
Restricted stock units issued and outstanding	2,475,656	793,848
Convertible senior notes	3,824,806	5,788,805
Total	6,436,941	6,746,767

Summary of Significant Accounting Policies (Policies)	3 Months Ended
Summary of Significant Accounting Policies (Policies)	Mar. 31, 2023
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) and applicable rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”) regarding interim financial reporting. Certain information and disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Therefore, these unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K, filed with the SEC on February 23, 2023. The condensed consolidated balance sheet as of December 31, 2022, included herein, was derived from the audited financial statements as of that date, but does not include all disclosures, including certain notes required by GAAP on an annual reporting basis. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all normal recurring adjustments necessary to present fairly the financial position, results of operations, comprehensive income (loss) and cash flows for the interim periods, but are not necessarily indicative of the results of operations to be anticipated for the full year 2023 or any future period.
Principles of Consolidation	Principles of Consolidation The condensed consolidated financial statements include the accounts of Bandwidth Inc. and its wholly owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation.
Use of Estimates	Use of Estimates The preparation of the Company’s condensed consolidated financial statements in conformity with GAAP requires the Company to make estimates and judgments that affect the amounts reported in these financial statements and accompanying notes. These estimates in the condensed consolidated financial statements include, but are not limited to, allowance for doubtful accounts, reserve for expected credit losses, reserve for sales credits, recoverability of long lived and intangible assets, fair value of acquired intangible assets and goodwill, discount rates used in the valuation of right-of-use assets and lease liabilities, the fair value of the liability of the Company’s Convertible Notes (as defined herein), estimated period of benefit, valuation allowances on deferred tax assets, certain accrued expenses and contingencies, economic and demographic actuarial assumptions related to pension and other postretirement benefit costs and liabilities. Although the Company believes that the estimates it uses are reasonable, due to the inherent uncertainty involved in making these estimates, actual results reported in future periods could differ from those estimates.
Marketable Securities	Marketable SecuritiesThe Company classifies marketable securities as available-for-sale at the time of purchase and reevaluates such classification as of each balance sheet date. The Company may sell these securities at any time for use in current operations even if they have not yet reached maturity. As a result, the Company classifies investments with maturities greater than 90 days as marketable securities in the accompanying condensed consolidated balance sheets. The Company evaluates its investments to assess whether the amortized cost basis is in excess of estimated fair value and determines what amount of that difference, if any, is caused by expected credit losses. Allowances for credit losses are recognized as a charge in other (expense) income, net on the condensed consolidated statements of operations, and any remaining unrealized losses are included in accumulated other comprehensive loss on the condensed consolidated balance sheets.
Accounts Receivable and Current Expected Credit Losses	Accounts Receivable and Current Expected Credit Losses Accounts receivable are stated at realizable value, net of allowances, which includes an allowance for doubtful accounts and a reserve for expected credit losses. The allowance for doubtful accounts is based on management’s assessment of the collectability of its customer accounts. The Company regularly reviews the composition of the accounts receivable aging, historical bad debts, changes in payment patterns, customer creditworthiness, current economic trends, and reasonable and supportable forecasts about the future. Relevant risk characteristics include customer size and historical loss patterns. Management has evaluated the expected credit losses related to trade accounts receivable and determined that an allowance of approximately $1.4 million and $1.2 million for uncollectible accounts and customer balances that are disputed was required as of March 31, 2023 and December 31, 2022, respectively. Refer to Note 4, “Financial Statement Components” to these condensed consolidated financial statements, for a rollforward of the components of the allowances as of March 31, 2023 and December 31, 2022. The Company includes unbilled receivables in its accounts receivable balance. Generally, these receivables represent earned revenue from services provided to customers, which will be billed in the next billing cycle. All amounts are considered collectible and billable.
Current Expected Credit Losses	Accounts Receivable and Current Expected Credit Losses Accounts receivable are stated at realizable value, net of allowances, which includes an allowance for doubtful accounts and a reserve for expected credit losses. The allowance for doubtful accounts is based on management’s assessment of the collectability of its customer accounts. The Company regularly reviews the composition of the accounts receivable aging, historical bad debts, changes in payment patterns, customer creditworthiness, current economic trends, and reasonable and supportable forecasts about the future. Relevant risk characteristics include customer size and historical loss patterns. Management has evaluated the expected credit losses related to trade accounts receivable and determined that an allowance of approximately $1.4 million and $1.2 million for uncollectible accounts and customer balances that are disputed was required as of March 31, 2023 and December 31, 2022, respectively. Refer to Note 4, “Financial Statement Components” to these condensed consolidated financial statements, for a rollforward of the components of the allowances as of March 31, 2023 and December 31, 2022. The Company includes unbilled receivables in its accounts receivable balance. Generally, these receivables represent earned revenue from services provided to customers, which will be billed in the next billing cycle. All amounts are considered collectible and billable.
Concentration of Credit Risk	Concentration of Credit Risk Financial instruments that are exposed to concentration of credit risk consist primarily of cash and cash equivalents, marketable securities and trade accounts receivable. Cash deposits may be in excess of insured limits. The Company believes that the financial institutions that hold its cash deposits are financially sound and, accordingly, minimal credit risk exists with respect to these balances. With regard to customers, credit evaluation and account monitoring procedures are used to minimize the risk of loss. The Company believes that no additional credit risk beyond amounts provided for by the allowance for doubtful accounts are inherent in accounts receivable.
Recently Adopted Accounting Standards and Recent Accounting Pronouncements Not Yet Adopted	Recently Adopted Accounting Standards The Company did not adopt any accounting pronouncements during the three months ended March 31, 2023. Recent Accounting Pronouncements Not Yet Adopted The Company did not have any applicable recent accounting pronouncements not yet adopted.
Fair Value of Financial Instruments	The Company uses a three-tier fair value hierarchy to classify and disclose all assets and liabilities measured at fair value on a recurring basis, as well as assets and liabilities measured at fair value on a non-recurring basis, in periods subsequent to their initial measurement. The hierarchy requires use of observable inputs when available, and to minimize the use of unobservable inputs when determining fair value. The three tiers are defined as follows: •Level 1. Observable inputs based on unadjusted quoted prices in active markets for identical assets or liabilities; •Level 2. Inputs, other than quoted prices in active markets, that are observable either directly or indirectly; and •Level 3. Unobservable inputs for which there is little or no market data, which requires the Company to develop its own assumptions. A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The carrying amounts of cash and cash equivalents, accounts receivable, accounts payable and accrued expenses approximate fair value as of March 31, 2023 and December 31, 2022 because of the relatively short duration of these instruments. Marketable securities consist of time deposits, corporate debt securities, U.S. treasury securities, and commercial paper not otherwise classified as cash equivalents. All marketable securities are considered to be available-for-sale and are recorded at their estimated fair values. Unrealized gains and losses for available-for-sale securities are recorded in other comprehensive loss.

Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2023

Fair Value Disclosures [Abstract]

Schedule of Assets Measured at Fair Value on a Recurring Basis

The following tables summarize the Company’s financial assets measured at fair value as of March 31, 2023 and December 31, 2022:


	Amortized cost or carrying value		Unrealized gains		Unrealized losses		Fair value measurements on a recurring basis March 31, 2023
							Level 1		Level 2		Level 3		Total

	(In thousands)
Financial assets:
Cash and cash equivalents:
Money market account	$	48,724	$	—	$	—	$	48,724	$	—	$	—	$	48,724



U.S. treasury securities	989		—		—		989		—		—		989

Commercial paper	12,955		—		—		12,955		—		—		12,955

Total included in cash and cash equivalents	62,668		—		—		62,668		—		—		62,668
Marketable securities:

U.S. treasury securities	9,306		115		—		9,421		—		—		9,421
Corporate debt securities	8,664		—		(22)		—		8,642		—		8,642
Commercial paper	19,858		293		—		20,151		—		—		20,151
Total marketable securities	37,828		408		(22)		29,572		8,642		—		38,214



Total financial assets	$	100,496	$	408	$	(22)	$	92,240	$	8,642	$	—	$	100,882


	Amortized cost or carrying value		Unrealized gains		Unrealized losses		Fair value measurements on a recurring basis December 31, 2022
							Level 1		Level 2		Level 3		Total

	(In thousands)
Financial assets:
Cash and cash equivalents:
Money market account	$	36,728	$	—	$	—	$	36,728	$	—	$	—	$	36,728





Commercial paper	28,254		—		—		28,254		—		—		28,254

Total included in cash and cash equivalents	64,982		—		—		64,982		—		—		64,982
Marketable securities:
Time deposits	6,645		—		(15)		6,630		—		—		6,630
U.S. treasury securities	14,718		74		—		14,792		—		—		14,792
Corporate debt securities	23,412		—		(97)		—		23,315		—		23,315
Commercial paper	26,142		352		—		26,494		—		—		26,494
Total marketable securities	70,917		426		(112)		47,916		23,315		—		71,231



Total financial assets	$	135,899	$	426	$	(112)	$	112,898	$	23,315	$	—	$	136,213

Schedule of Contractual Maturities of Marketable Securities

The following table summarizes the contractual maturities of marketable securities as of March 31, 2023:


	Amortized cost		Aggregate fair value

	(In thousands)
Financial assets:
Less than one year	$	37,828	$	38,214

Total	$	37,828	$	38,214

Financial Statement Components (Tables)

3 Months Ended

Mar. 31, 2023

Financial Statement Components [Abstract]

Schedule of Accounts Receivable, net of Allowances

Accounts receivable, net of allowances consist of the following:


	As of March 31,		As of December 31,
	2023		2022

	(In thousands)
Trade accounts receivable	$	27,021	$	40,332
Unbilled accounts receivable	37,387		33,863
Allowance for doubtful accounts and reserve for expected credit losses	(1,382)		(1,191)
Other accounts receivable	198		1,461
Total accounts receivable, net	$	63,224	$	74,465

Components of allowance for doubtful accounts and reserve for expected credit losses are as follows:


	Three months ended March 31,
		2023		2022

		(In thousands)
Allowance for doubtful accounts:
Balance, beginning of period		$	(1,191)	$	(1,661)
Charged to bad debt expense, net of reversals		(304)		(141)
Deductions (1)		148		111
Impact of foreign currency translation		(35)		11



Balance, end of period		$	(1,382)	$	(1,680)

________________________

(1) Write-off of uncollectible accounts after all collection efforts have been exhausted.

Schedule of Accrued Expenses and Other Current Liabilities

Accrued expenses and other current liabilities consisted of the following:


	As of March 31,		As of December 31,
	2023		2022

	(In thousands)
Accrued expense	$	34,575	$	29,990
Accrued compensation and benefits	9,912		21,595
Accrued sales, use, VAT and telecommunications related taxes	7,373		7,799

Current portion of finance lease	120		143

Income tax payable	4,569		2,235
Other accrued expenses	965		815
Total accrued expenses and other current liabilities	$	57,514	$	62,577

Right-of-Use Asset and Lease Liabilities (Tables)

3 Months Ended

Mar. 31, 2023

Leases [Abstract]

Components of Lease Expense and Supplemental Cash Flow and Other Information

The components of lease expense recorded in the condensed consolidated statements of operations were as follows:


	Three months ended March 31,
		2023		2022

		(In thousands)
Operating lease cost		$	1,733	$	2,138
Finance lease cost:
Depreciation of assets		41		50
Interest on lease liabilities		4		3


Sublease income		—		(96)
Total net lease cost		$	1,778	$	2,095

Supplemental cash flow and other information related to leases was as follows:


	Three months ended March 31,
		2023			2022

		(In thousands)
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases		$	1,899		$	2,112

Financing cash flows from finance leases		55			48
		$	1,954		$	2,160

Weighted average remaining lease term (in years)
Operating leases		2.00			2.64
Finance leases		2.39			2.46

Weighted average discount rate
Operating leases		4.60		%	4.57		%
Finance leases		5.59		%	3.93		%

Schedule of Supplemental Balance Sheet Lease Information

Supplemental balance sheet information related to leases was as follows:


		As of March 31,		As of December 31,
Leases	Classification	2023		2022

		(In thousands)
Assets:
Operating lease assets	Operating right-of-use asset, net (1)	$	8,447	$	9,993
Finance lease assets	Property, plant and equipment, net (2)	270		307
Total lease assets		$	8,717	$	10,300

Liabilities:
Current
Operating	Operating lease liability, current	$	6,476	$	7,450
Finance	Accrued expenses and other current liabilities	120		143
Non-current
Operating	Operating lease liability, net of current portion	3,778		4,640
Finance	Other liabilities	144		172
Total lease liabilities		$	10,518	$	12,405

________________________

(1) Operating lease assets are recorded net of accumulated amortization of $20.7 million and $17.7 million as of March 31, 2023 and December 31, 2022, respectively.

(2) Finance lease assets are recorded net of accumulated depreciation of $0.4 million and $0.3 million as of March 31, 2023 and December 31, 2022, respectively.

Schedule of Maturities of Operating Lease Liabilities

Maturities of lease liabilities were as follows:


	As of March 31,
	2023
	Operating Leases		Finance Leases

	(In thousands)

2023 (remaining)	$	5,695	$	101
2024	2,623		108
2025	1,597		54
2026	665		21



Total lease payments	10,580		284
Less: imputed interest	(326)		(20)

Total lease obligations	10,254		264
Less: current obligations	(6,476)		(120)
Long-term lease obligations	$	3,778	$	144

Schedule of Maturities of Finance Lease Liabilities

Maturities of lease liabilities were as follows:


	As of March 31,
	2023
	Operating Leases		Finance Leases

	(In thousands)

2023 (remaining)	$	5,695	$	101
2024	2,623		108
2025	1,597		54
2026	665		21



Total lease payments	10,580		284
Less: imputed interest	(326)		(20)

Total lease obligations	10,254		264
Less: current obligations	(6,476)		(120)
Long-term lease obligations	$	3,778	$	144

Property, Plant and Equipment (Tables)

3 Months Ended

Mar. 31, 2023

Property, Plant and Equipment [Abstract]

Schedule of Property, Plant and Equipment, Net

Property, plant and equipment, net consisted of the following:


	As of March 31,		As of December 31,
	2023		2022

	(In thousands)
Furniture and fixtures	$	16,768	$	16,494
Computer and office equipment	14,702		14,160
Telecommunications equipment	79,713		80,251
Leasehold improvements	7,216		6,410
Software	8,378		7,051
Internal-use software development	25,451		23,677
Automobile	675		665
Land	25,216		23,090
Total cost	178,119		171,798
Less—accumulated depreciation	(76,044)		(72,045)
Total property, plant and equipment, net	$	102,075	$	99,753

Schedule of Depreciation Expense

The Company recognized depreciation expense, which includes amortization of capitalized software development costs, as follows:


	Three months ended March 31,
		2023		2022

		(In thousands)
Cost of revenue		$	3,529	$	3,376
Research and development		512		592
Sales and marketing		309		334
General and administrative		270		302
Total depreciation expense		$	4,620	$	4,604

Intangible Assets (Tables)

3 Months Ended

Mar. 31, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Finite Lived Intangible Assets

Intangible assets, net consisted of the following as of March 31, 2023:


	Gross Amount		Accumulated Amortization		Net Carrying Value		Amortization Period

	(In thousands)						(In years)
Customer relationships	$	143,795	$	(27,773)	$	116,022	15 - 20



Developed technology	78,588		(18,992)		59,596		10
Other, definite lived	2,828		(2,828)		—		2 - 7
Licenses, indefinite lived	624		—		624		Indefinite







Total intangible assets, net	$	225,835	$	(49,593)	$	176,242

Intangible assets, net consisted of the following as of December 31, 2022:


	Gross Amount		Accumulated Amortization		Net Carrying Value		Amortization Period

	(In thousands)						(In years)
Customer relationships	$	141,146	$	(25,037)	$	116,109	15 - 20



Developed technology	77,409		(16,772)		60,637		10
Other, definite lived	2,828		(2,828)		—		2 - 7
Licenses, indefinite lived	624		—		624		Indefinite







Total intangible assets, net	$	222,007	$	(44,637)	$	177,370

Schedule of Infinite Lived Intangible Assets

Intangible assets, net consisted of the following as of March 31, 2023:


	Gross Amount		Accumulated Amortization		Net Carrying Value		Amortization Period

	(In thousands)						(In years)
Customer relationships	$	143,795	$	(27,773)	$	116,022	15 - 20



Developed technology	78,588		(18,992)		59,596		10
Other, definite lived	2,828		(2,828)		—		2 - 7
Licenses, indefinite lived	624		—		624		Indefinite







Total intangible assets, net	$	225,835	$	(49,593)	$	176,242

Intangible assets, net consisted of the following as of December 31, 2022:


	Gross Amount		Accumulated Amortization		Net Carrying Value		Amortization Period

	(In thousands)						(In years)
Customer relationships	$	141,146	$	(25,037)	$	116,109	15 - 20



Developed technology	77,409		(16,772)		60,637		10
Other, definite lived	2,828		(2,828)		—		2 - 7
Licenses, indefinite lived	624		—		624		Indefinite







Total intangible assets, net	$	222,007	$	(44,637)	$	177,370

Schedule of Amortization Expense

The Company recognized amortization expense as follows:


	Three months ended March 31,
		2023		2022

		(In thousands)
Cost of revenue		$	1,945	$	2,032

Sales and marketing		2,329		2,534

Total amortization expense		$	4,274	$	4,566

Schedule of Future Estimated Amortization Expense

Future estimated amortization expense for definite lived intangible assets is as follows:


	As of March 31,
	2023

	(In thousands)
2023 (remaining)	$	12,954
2024	17,272
2025	17,272
2026	17,272
2027	17,272


Thereafter	93,576
	$	175,618

Debt (Tables)

3 Months Ended

Mar. 31, 2023

Debt Disclosure [Abstract]

Schedule of Net Carrying Amount of Liability and Equity Component of Notes

The net carrying amount of the liability components of the 2026 Convertible Notes and the 2028 Convertible Notes were as follows:


	As of March 31,		As of December 31,
	2023		2022

2026 Convertible Notes:	(In thousands)
Principal	$	175,000	$	240,000

Unamortized debt issuance costs	(2,533)		(3,805)
2026 Convertible Notes net carrying amount	172,467		236,195

2028 Convertible Notes:
Principal	250,000		250,000

Unamortized debt issuance costs	(5,382)		(5,649)
2028 Convertible Notes net carrying amount	244,618		244,351
Total net carrying amount	$	417,085	$	480,546

Schedule of Interest Income and Interest Expense Disclosure

The following table sets forth the interest expense recognized related to the 2026 and 2028 Convertible Notes:


	Three months ended March 31,
		2023		2022

2026 Convertible Notes:		(In thousands)
Contractual interest expense		$	138	$	250

Amortization of debt issuance costs		296		495
Total interest expense related to the 2026 Convertible Notes		434		745

2028 Convertible Notes:
Contractual interest expense		313		313

Amortization of debt issuance costs		266		265
Total interest expense related to the 2028 Convertible Notes		579		578
Total interest expense		$	1,013	$	1,323

Schedule of Capped Call Transactions

The following table sets forth key terms and costs incurred for the Capped Calls related to the Convertible Notes:


	2026 Convertible Notes		2028 Convertible Notes

	(In thousands, except share and per share amounts)
Initial approximate strike price per share, subject to certain adjustments	$	91.03	$	179.27
Initial cap price per share, subject to certain adjustments	$	137.40	$	260.76
Net costs incurred	$	43,320	$	25,500
Class A common stock covered, subject to anti-dilution adjustments	4,394,276		1,394,525

Geographic Information (Tables)

3 Months Ended

Mar. 31, 2023

Segment Reporting [Abstract]

Schedule of Revenue by Geographical Area

The Company generates its revenue primarily in North America. Revenue by geographic area is detailed in the table below (which is apportioned based on the destination of the service):


	Three months ended March 31,
		2023		2022

		(In thousands)
North America		$	115,709	$	109,935
Rest of World		22,135		21,429
Total		$	137,844	$	131,364

Stockholders' Equity (Tables)

3 Months Ended

Mar. 31, 2023

Equity [Abstract]

Schedule of Reserved Shares of Common Stock for Issuance

The Company had reserved shares of Class A common stock for issuance under stock-based award agreements as follows:


	As of March 31,	As of December 31,
	2023	2022
Stock options issued and outstanding	136,479	159,741
Nonvested restricted stock units issued and outstanding	2,475,656	2,607,106
Stock-based awards available for grant under the 2017 Plan (1)	3,051,143	1,879,368
	5,663,278	4,646,215

________________________

- Definition

Tabular disclosure of an entity's stock, including par or stated value per share, number and dollar amount of share subscriptions, shares authorized, shares issued, shares outstanding, number and dollar amount of shares held in an employee trust, dividend per share, total dividends, share conversion features, par value plus additional paid in capital, the value of treasury stock and other information necessary to a fair presentation, and EPS information. Stock by class includes common, convertible, and preferred stocks which are not redeemable or redeemable solely at the option of the issuer. Includes preferred stock with redemption features that are solely within the control of the issuer and mandatorily redeemable stock if redemption is required to occur only upon liquidation or termination of the reporting entity. If more than one issue is outstanding, state the title of each issue and the corresponding dollar amount; dollar amount of any shares subscribed but unissued and the deduction of subscriptions receivable there from; number of shares authorized, issued, and outstanding.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
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-Name Accounting Standards Codification
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Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
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-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02(28))
-URI https://asc.fasb.org/extlink&oid=120391452&loc=d3e13212-122682

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
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Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
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-URI https://asc.fasb.org/extlink&oid=122040564&loc=d3e177068-122764

Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef
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Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef
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-Subparagraph (SX 210.5-02(29))
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Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef
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-Name Accounting Standards Codification
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Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.3-04)
-URI https://asc.fasb.org/extlink&oid=120397183&loc=d3e187085-122770

Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
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-URI https://asc.fasb.org/extlink&oid=126973232&loc=d3e21506-112644

Reference 11: http://fasb.org/us-gaap/role/ref/legacyRef
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Reference 13: http://fasb.org/us-gaap/role/ref/legacyRef
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+ Details

Stock-Based Compensation (Tables)

3 Months Ended

Mar. 31, 2023

Share-Based Payment Arrangement [Abstract]

Schedule of Stock Option Activity

The following summarizes the stock option activity for the periods presented:


	Number of options outstanding	Weighted- average exercise price (Per share)		Weighted- average remaining contract life (In years)	Aggregate intrinsic value (In thousands)
Outstanding as of December 31, 2022	159,741	$	10.42	2.57	$	2,001
Granted	—	—
Exercised	(22,975)	6.74
Forfeited or cancelled	(287)	9.16
Outstanding as of March 31, 2023	136,479	$	11.05	2.70	$	710

Options vested and exercisable at March 31, 2023	136,479	$	11.05	2.70	$	710
Options vested and expected to vest as of March 31, 2023	136,479	$	11.05	2.70	$	710

Schedule of Restricted Stock Unit Activity

The following summarizes the restricted stock unit (“RSU”) activity for the period presented:


	Number of awards outstanding	Weighted-average grant date fair value (Per share)
Nonvested RSUs as of December 31, 2022	2,607,106	$	32.33
Granted	76,196	15.90
Vested	(171,950)	63.29
Forfeited or cancelled	(35,696)	27.66
Nonvested RSUs as of March 31, 2023	2,475,656	$	29.74

Schedule of Stock-Based Compensation Expense

The Company recognized total stock-based compensation expense as follows:


	Three months ended March 31,
		2023		2022

		(In thousands)
Cost of revenue		$	192	$	99
Research and development		3,141		1,868
Sales and marketing		1,237		899
General and administrative		2,808		2,480
Total		$	7,378	$	5,346

Basic and Diluted Income (Loss) per Common Share (Tables)

3 Months Ended

Mar. 31, 2023

Earnings Per Share [Abstract]

Schedule of Earnings Per Share, Basic and Diluted

The components of basic and diluted income (loss) per share are as follows:


	Three months ended March 31,
		2023		2022

		(In thousands, except share and per share amounts)
Earnings per share


Net income (loss) attributable to common stockholders		$	3,611	$	(6,814)
Net income (loss) per share:
Basic		$	0.14	$	(0.27)
Diluted		$	(0.28)	$	(0.27)
Numerator used to compute net income (loss) per share:
Basic		$	3,611	$	(6,814)
Net gain on extinguishment of debt, net of taxes		(12,707)		—
Interest expense on convertible notes, net of taxes		1,009		—
Diluted (1)		$	(8,087)	$	(6,814)














Weighted average number of common shares outstanding:
Basic		25,448,452		25,220,052

Convertible debt conversion		3,824,806		—



Diluted		29,273,258		25,220,052

________________________

(1) Net income is adjusted for the reversal of the net gain on extinguishment of debt and add back of interest expense as part of the calculation for diluted Non-GAAP earnings per share.

Schedule of Anti-dilutive Common Shares Excluded from Calculation of Net Loss

The following common share equivalents were excluded from the weighted average shares used to calculate net income (loss) per common share because their effects would have been anti-dilutive:


	As of March 31,
	2023	2022
Stock options issued and outstanding	136,479	164,114
Restricted stock units issued and outstanding	2,475,656	793,848
Convertible senior notes	3,824,806	5,788,805
Total	6,436,941	6,746,767

Summary of Significant Accounting Policies - Accounts Receivable and Current Expected Credit Losses (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Accounting Policies [Abstract]
Allowance for doubtful accounts	$ 1,382	$ 1,191
Unbilled accounts receivable	$ 37,387	$ 33,863

Fair Value Measurements - Assets Measured at Fair Value (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022	Mar. 31, 2022
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	$ 85,298	$ 113,641	$ 316,008
Amortized cost	37,828	70,917
Unrealized gains	408	426
Unrealized losses	(22)	(112)
Total marketable securities	38,214
Total financial assets	100,496	135,899
Money market account
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	48,724	36,728
Time deposits
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Amortized cost		6,645
Unrealized gains		0
Unrealized losses		(15)
U.S. treasury securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	989
Amortized cost	9,306	14,718
Unrealized gains	115	74
Unrealized losses	0	0
Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Amortized cost	8,664	23,412
Unrealized gains	0	0
Unrealized losses	(22)	(97)
Commercial paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	12,955	28,254
Amortized cost	19,858	26,142
Unrealized gains	293	352
Unrealized losses	0	0
Total included in cash and cash equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	62,668	64,982
Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total marketable securities	38,214	71,231
Total financial assets	100,882	136,213
Recurring \| Money market account
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	48,724	36,728
Recurring \| Time deposits
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total marketable securities		6,630
Recurring \| U.S. treasury securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	989
Total marketable securities	9,421	14,792
Recurring \| Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total marketable securities	8,642	23,315
Recurring \| Commercial paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	12,955	28,254
Total marketable securities	20,151	26,494
Recurring \| Total included in cash and cash equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	62,668	64,982
Recurring \| Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total marketable securities	29,572	47,916
Total financial assets	92,240	112,898
Recurring \| Level 1 \| Money market account
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	48,724	36,728
Recurring \| Level 1 \| Time deposits
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total marketable securities		6,630
Recurring \| Level 1 \| U.S. treasury securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	989
Total marketable securities	9,421	14,792
Recurring \| Level 1 \| Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total marketable securities	0	0
Recurring \| Level 1 \| Commercial paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	12,955	28,254
Total marketable securities	20,151	26,494
Recurring \| Level 1 \| Total included in cash and cash equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	62,668	64,982
Recurring \| Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total marketable securities	8,642	23,315
Total financial assets	8,642	23,315
Recurring \| Level 2 \| Money market account
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	0	0
Recurring \| Level 2 \| Time deposits
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total marketable securities		0
Recurring \| Level 2 \| U.S. treasury securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	0
Total marketable securities	0	0
Recurring \| Level 2 \| Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total marketable securities	8,642	23,315
Recurring \| Level 2 \| Commercial paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	0	0
Total marketable securities	0	0
Recurring \| Level 2 \| Total included in cash and cash equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	0	0
Recurring \| Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total marketable securities	0	0
Total financial assets	0	0
Recurring \| Level 3 \| Money market account
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	0	0
Recurring \| Level 3 \| Time deposits
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total marketable securities		0
Recurring \| Level 3 \| U.S. treasury securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	0
Total marketable securities	0	0
Recurring \| Level 3 \| Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total marketable securities	0	0
Recurring \| Level 3 \| Commercial paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	0	0
Total marketable securities	0	0
Recurring \| Level 3 \| Total included in cash and cash equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	$ 0	$ 0

Fair Value Measurements - Contractual Maturities of Marketable Securities (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Amortized cost
Less than one year	$ 37,828
Total	37,828	$ 70,917
Aggregate fair value
Less than one year	38,214
Total	$ 38,214

Fair Value Measurements - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2023	Dec. 31, 2022
Debt Instrument [Line Items]
Maturities of marketable securities	$ 26.2
Proceeds from sale of marketable securities	17.7
Interest earned on marketable securities (less than)	0.3
Accrued interest, after allowance for credit loss	$ 0.2
Financing Receivable, Accrued Interest, after Allowance for Credit Loss, Statement of Financial Position [Extensible Enumeration]	Prepaid expenses and other current assets	Prepaid expenses and other current assets
Convertible notes \| 2026 Convertible Notes:
Debt Instrument [Line Items]
Fair value	$ 136.2	$ 180.9
Convertible notes \| 2028 Convertible Notes:
Debt Instrument [Line Items]
Fair value	$ 161.9	$ 156.5

Financial Statement Components - Schedule of Accounts Receivable, net of Allowances (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Financial Statement Components [Abstract]
Trade accounts receivable	$ 27,021	$ 40,332
Unbilled accounts receivable	37,387	33,863
Allowance for doubtful accounts and reserve for expected credit losses	(1,382)	(1,191)
Other accounts receivable	198	1,461
Total accounts receivable, net	$ 63,224	$ 74,465

Financial Statement Components - Allowance For Doubtful Accounts (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Allowance for Doubtful Accounts Receivable [Roll Forward]
Balance, beginning of period	$ (1,191)	$ (1,661)
Charged to bad debt expense, net of reversals	(304)	(141)
Deductions	148	111
Impact of foreign currency translation	(35)	11
Balance, end of period	$ (1,382)	$ (1,680)

Financial Statement Components - Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Financial Statement Components [Abstract]
Accrued expense	$ 34,575	$ 29,990
Accrued compensation and benefits	9,912	21,595
Accrued sales, use, VAT and telecommunications related taxes	7,373	7,799
Current portion of finance lease	120	143
Income tax payable	4,569	2,235
Other accrued expenses	965	815
Total accrued expenses and other current liabilities	$ 57,514	$ 62,577

Right-of-Use Asset and Lease Liabilities - Additional Information (Details) ft² in Thousands				3 Months Ended
	Jun. 05, 2021 USD ($) a	Jun. 04, 2021 USD ($) a	May 27, 2021 USD ($) ft² lease	Mar. 31, 2023 USD ($) lease	Mar. 31, 2022 USD ($)
Lessee, Lease, Description [Line Items]
Option to extend, term (up to)				5 years
Number of leases with early-termination option \| lease				1
Short-term operating lease expense				$ 200,000	$ 100,000
Right-of-use assets obtained in exchange for new operating lease liabilities				$ 0	$ 3,453,000
Minimum
Lessee, Lease, Description [Line Items]
Remaining lease term (in years)				2 months
Property
Lessee, Lease, Description [Line Items]
Land (acres) \| a	17.06	40
Consideration for the proposed Land purchase		$ 30,000,000
Lease incentive				$ 12,600,000
Property \| Developer
Lessee, Lease, Description [Line Items]
Area of land sold (acres) \| a	23.76
Proceeds from sale of land	$ 17,500,000
Lease not yet commenced
Lessee, Lease, Description [Line Items]
Office space (in square foot) \| ft²			534
Term of lease			20 years
Number of option to extend \| lease			2
Term of option to extend			10 years
Market rental rate (as a percent)			100.00%
Escrow to fund			$ 21,700,000
Right-of-use assets obtained in exchange for new operating lease liabilities				$ 0
Lease not yet commenced \| Developer
Lessee, Lease, Description [Line Items]
Security deposit			$ 2,500,000

Right-of-Use Asset and Lease Liabilities - Components of Lease Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Leases [Abstract]
Operating lease cost	$ 1,733	$ 2,138
Depreciation of assets	41	50
Interest on lease liabilities	4	3
Sublease income	0	(96)
Total net lease cost	$ 1,778	$ 2,095

Right-of-Use Asset and Lease Liabilities - Supplemental Balance Sheet Lease Information (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Assets:
Operating lease assets	$ 8,447	$ 9,993
Finance lease assets	270	307
Total lease assets	8,717	10,300
Current
Operating	6,476	7,450
Finance	120	143
Non-current
Operating	3,778	4,640
Finance	144	172
Total lease liabilities	$ 10,518	$ 12,405
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List]	Accrued expenses and other current liabilities	Accrued expenses and other current liabilities
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List]	Other liabilities	Other liabilities
Accumulated amortization	$ 20,700	$ 17,700
Accumulated depreciation of assets under finance leases	$ 400	$ 300

Right-of-Use Asset and Lease Liabilities - Supplemental Cash Flow and Other Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases	$ 1,899	$ 2,112
Financing cash flows from finance leases	55	48
Lease liabilities	$ 1,954	$ 2,160
Weighted average remaining lease term (in years)
Operating leases	2 years	2 years 7 months 20 days
Finance leases	2 years 4 months 20 days	2 years 5 months 15 days
Weighted average discount rate
Operating leases	4.60%	4.57%
Finance leases	5.59%	3.93%

Right-of-Use Asset and Lease Liabilities - Schedule of Maturities of Lease Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Operating Leases
2023 (remaining)	$ 5,695
2024	2,623
2025	1,597
2026	665
Total lease payments	10,580
Less: imputed interest	(326)
Total lease obligations	10,254
Less: current obligations	(6,476)	$ (7,450)
Long-term lease obligations	3,778	4,640
Finance Leases
2023 (remaining)	101
2024	108
2025	54
2026	21
Total lease payments	284
Less: imputed interest	(20)
Total lease obligations	264
Less: current obligations	(120)	(143)
Long-term lease obligations	$ 144	$ 172

Property, Plant and Equipment - Summary of Property and Equipment, Net (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Property, Plant and Equipment [Line Items]
Total cost	$ 178,119	$ 171,798
Less—accumulated depreciation	(76,044)	(72,045)
Total property, plant and equipment, net	102,075	99,753
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Total cost	16,768	16,494
Computer and office equipment
Property, Plant and Equipment [Line Items]
Total cost	14,702	14,160
Telecommunications equipment
Property, Plant and Equipment [Line Items]
Total cost	79,713	80,251
Leasehold improvements
Property, Plant and Equipment [Line Items]
Total cost	7,216	6,410
Software
Property, Plant and Equipment [Line Items]
Total cost	8,378	7,051
Internal-use software development
Property, Plant and Equipment [Line Items]
Total cost	25,451	23,677
Automobile
Property, Plant and Equipment [Line Items]
Total cost	675	665
Land
Property, Plant and Equipment [Line Items]
Total cost	$ 25,216	$ 23,090

Property, Plant and Equipment - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Property, Plant and Equipment [Line Items]
Capitalized software development costs, additions	$ 1.7	$ 0.7
Amortization of capitalized software development costs	0.7	$ 0.5
Capitalized implementation costs related to cloud computing arrangements	0.3
Cost of assets under finance leases	0.7
Accumulated depreciation of assets under finance leases	0.4		$ 0.3
Prepaid expenses and other current assets
Property, Plant and Equipment [Line Items]
Capitalized implementation costs related to cloud computing arrangements	0.2
Other long-term assets
Property, Plant and Equipment [Line Items]
Capitalized implementation costs related to cloud computing arrangements	$ 0.1

Property, Plant and Equipment - Depreciation Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Property, Plant and Equipment [Line Items]
Total depreciation expense	$ 4,620	$ 4,604
Cost of revenue
Property, Plant and Equipment [Line Items]
Total depreciation expense	3,529	3,376
Research and development
Property, Plant and Equipment [Line Items]
Total depreciation expense	512	592
Sales and marketing
Property, Plant and Equipment [Line Items]
Total depreciation expense	309	334
General and administrative
Property, Plant and Equipment [Line Items]
Total depreciation expense	$ 270	$ 302

Intangible Assets - Summary of Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2023	Dec. 31, 2022
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Accumulated Amortization	$ (49,593)	$ (44,637)
Net Carrying Value	175,618
Gross Amount	225,835	222,007
Net Carrying Value	176,242	177,370
Licenses, indefinite lived
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Licenses, indefinite lived	624	624
Customer relationships
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Gross Amount	143,795	141,146
Accumulated Amortization	(27,773)	(25,037)
Net Carrying Value	$ 116,022	$ 116,109
Customer relationships \| Minimum
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Amortization Period	15 years	15 years
Customer relationships \| Maximum
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Amortization Period	20 years	20 years
Developed technology
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Gross Amount	$ 78,588	$ 77,409
Accumulated Amortization	(18,992)	(16,772)
Net Carrying Value	$ 59,596	$ 60,637
Amortization Period	10 years	10 years
Other, definite lived
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Gross Amount	$ 2,828	$ 2,828
Accumulated Amortization	(2,828)	(2,828)
Net Carrying Value	$ 0	$ 0
Other, definite lived \| Minimum
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Amortization Period	2 years	2 years
Other, definite lived \| Maximum
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Amortization Period	7 years	7 years

Intangible Assets - Amortization Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Goodwill [Line Items]
Total amortization expense	$ 4,274	$ 4,566
Cost of revenue
Goodwill [Line Items]
Total amortization expense	1,945	2,032
Sales and marketing
Goodwill [Line Items]
Total amortization expense	$ 2,329	$ 2,534

Intangible Assets - Additional Information (Details)	3 Months Ended
Intangible Assets - Additional Information (Details)	Mar. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Weighted average useful life	10 years 9 months 18 days

Intangible Assets - Future Estimated Amortization Expense (Details) $ in Thousands	Mar. 31, 2023 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
2023 (remaining)	$ 12,954
2024	17,272
2025	17,272
2026	17,272
2027	17,272
Thereafter	93,576
Net Carrying Value	$ 175,618

Debt - Revolving Loan (Details) - USD ($)	Mar. 31, 2023	Mar. 14, 2023	Dec. 31, 2022
Debt Instrument [Line Items]
Outstanding unamortized loan fees	$ 0		$ 400,000
Silicon Valley Bank Credit Facility \| Line of Credit
Debt Instrument [Line Items]
Line of credit		$ 0
Prepaid expenses and other current assets
Debt Instrument [Line Items]
Outstanding unamortized loan fees			200,000
Other long-term assets
Debt Instrument [Line Items]
Outstanding unamortized loan fees			$ 200,000

- Definition

The carrying value as of the balance sheet date of the current and noncurrent portions of long-term obligations drawn from a line of credit, which is a bank's commitment to make loans up to a specific amount. Examples of items that might be included in the application of this element may consist of letters of credit, standby letters of credit, and revolving credit arrangements, under which borrowings can be made up to a maximum amount as of any point in time conditional on satisfaction of specified terms before, as of and after the date of drawdowns on the line. Includes short-term obligations that would normally be classified as current liabilities but for which (a) postbalance sheet date issuance of a long term obligation to refinance the short term obligation on a long term basis, or (b) the enterprise has entered into a financing agreement that clearly permits the enterprise to refinance the short-term obligation on a long term basis and the following conditions are met (1) the agreement does not expire within 1 year and is not cancelable by the lender except for violation of an objectively determinable provision, (2) no violation exists at the BS date, and (3) the lender has entered into the financing agreement is expected to be financially capable of honoring the agreement.

+ References + Details

Debt - 2026 Convertible Notes (Details)		1 Months Ended		3 Months Ended
Debt - 2026 Convertible Notes (Details)	Mar. 16, 2021	Mar. 31, 2023 USD ($) $ / shares	Feb. 28, 2020 USD ($) $ / shares	Mar. 31, 2023 USD ($) $ / shares	Mar. 31, 2022 USD ($)	Dec. 31, 2022 USD ($) $ / shares	Nov. 30, 2022 USD ($)	Mar. 31, 2021 $ / shares
Debt Instrument [Line Items]
Net gain on extinguishment of debt				$ 12,767,000	$ 0
Class A voting common stock
Debt Instrument [Line Items]
Common stock, par value (in usd per share) \| $ / shares		$ 0.001	$ 0.001	$ 0.001		$ 0.001		$ 0.001
2026 Convertible Notes:
Debt Instrument [Line Items]
Cash redemption price (as a percent)	100.00%
2026 Convertible Notes: \| Convertible notes
Debt Instrument [Line Items]
Principal amount		$ 175,000,000	$ 400,000,000	$ 175,000,000		$ 240,000,000
Stated rate (as a percent)			0.25%
Effective interest rate (as a percent)			0.509%
Total net proceeds			$ 344,700,000
Conversion price (in usd per share) \| $ / shares			$ 91.03
Repurchased face amount		65,000,000		65,000,000			$ 160,000,000
Repayments of debt		$ 51,300,000
Net gain on extinguishment of debt				$ 12,800,000
2026 Convertible Notes: \| Convertible notes \| Class A voting common stock
Debt Instrument [Line Items]
Conversion ratio			0.0109857	0.0109857	0.0109857

Debt - 2028 Convertible Notes (Details)	1 Months Ended	3 Months Ended
Debt - 2028 Convertible Notes (Details)	Mar. 31, 2021 USD ($) $ / shares	Mar. 31, 2023 USD ($) $ / shares	Mar. 31, 2022	Dec. 31, 2022 USD ($) $ / shares	Feb. 28, 2020 $ / shares
Class A voting common stock
Debt Instrument [Line Items]
Common stock, par value (in usd per share) \| $ / shares	$ 0.001	$ 0.001		$ 0.001	$ 0.001
2028 Convertible Notes: \| Convertible notes
Debt Instrument [Line Items]
Principal amount \| $	$ 250,000,000	$ 250,000,000		$ 250,000,000
Stated rate (as a percent)	0.50%
Total net proceeds \| $	$ 217,000,000
Effective interest rate (as a percent)	0.442%
Conversion price (in usd per share) \| $ / shares	$ 179.27
2028 Convertible Notes: \| Convertible notes \| Class A voting common stock
Debt Instrument [Line Items]
Conversion ratio	0.0055781	0.0055781	0.0055781

Debt - Schedule of Debt (Details) - Convertible notes - USD ($)	Mar. 31, 2023	Dec. 31, 2022	Mar. 31, 2021	Feb. 28, 2020
Debt Instrument [Line Items]
Total net carrying amount	$ 417,085,000	$ 480,546,000
2026 Convertible Notes:
Debt Instrument [Line Items]
Principal	175,000,000	240,000,000		$ 400,000,000
Unamortized debt issuance costs	(2,533,000)	(3,805,000)
Total net carrying amount	172,467,000	236,195,000
2028 Convertible Notes:
Debt Instrument [Line Items]
Principal	250,000,000	250,000,000	$ 250,000,000
Unamortized debt issuance costs	(5,382,000)	(5,649,000)
Total net carrying amount	$ 244,618,000	$ 244,351,000

- Definition

Amount, excluding unamortized premium (discount) and debt issuance cost, of long-term debt. Excludes lease obligation.

+ References + Details

Debt - Interest Income and Interest Expense Disclosure (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Debt Instrument [Line Items]
Total interest expense	$ 1,013	$ 1,323
2026 Convertible Notes:
Debt Instrument [Line Items]
Contractual interest expense	138	250
Amortization of debt issuance costs	296	495
Total interest expense	434	745
2028 Convertible Notes:
Debt Instrument [Line Items]
Contractual interest expense	313	313
Amortization of debt issuance costs	266	265
Total interest expense	$ 579	$ 578

Debt - Convertible Senior Notes and Capped Call Transactions (Details) - USD ($) $ / shares in Units, $ in Thousands	Mar. 16, 2021	Feb. 28, 2020
Debt Instrument [Line Items]
Net cost of capped call purchase	$ 25,500	$ 43,320
Class A voting common stock
Debt Instrument [Line Items]
Capped call shares (in shares)	1,394,525	4,394,276
Convertible notes \| 2026 Convertible Notes
Debt Instrument [Line Items]
Initial conversion strike price (in usd per share)		$ 91.03
Initial cap price (in usd per share)		$ 137.40
Convertible notes \| 2028 Convertible Notes
Debt Instrument [Line Items]
Initial conversion strike price (in usd per share)	$ 179.27
Initial cap price (in usd per share)	$ 260.76

Geographic Information - Reconciliation of Revenue by Geographic Area (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Revenues from External Customers and Long-Lived Assets [Line Items]
Assets	$ 861,122		$ 929,318
Revenue	137,844	$ 131,364
North America
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	115,709	109,935
Rest of World
Revenues from External Customers and Long-Lived Assets [Line Items]
Assets	9,000		$ 11,900
Revenue	$ 22,135	$ 21,429

- Definition

Sum of the carrying amounts as of the balance sheet date of all assets that are recognized. Assets are probable future economic benefits obtained or controlled by an entity as a result of past transactions or events.

+ References

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+ Details

- Definition

Amount, excluding tax collected from customer, of revenue from satisfaction of performance obligation by transferring promised good or service to customer. Tax collected from customer is tax assessed by governmental authority that is both imposed on and concurrent with specific revenue-producing transaction, including, but not limited to, sales, use, value added and excise.

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+ Details

Stockholders' Equity - Preferred Stock (Details) - $ / shares	Mar. 31, 2023	Dec. 31, 2022
Equity [Abstract]
Preferred stock, shares authorized (in shares)	10,000,000	10,000,000
Preferred stock, par value (in usd per share)	$ 0.001	$ 0.001
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0

Stockholders' Equity - Common Stock (Details)	Mar. 31, 2023 vote $ / shares shares	Dec. 31, 2022 vote $ / shares shares	Mar. 31, 2021 $ / shares	Feb. 28, 2020 $ / shares
Class A voting common stock
Class of Stock [Line Items]
Common stock, shares authorized (in shares)	100,000,000	100,000,000
Common stock, par value (in usd per share) \| $ / shares	$ 0.001	$ 0.001	$ 0.001	$ 0.001
Common stock voting rights \| vote	1	1
Common stock, shares issued (in shares)	23,530,600	23,379,000
Common stock, shares outstanding (in shares)	23,530,600	23,379,000
Class B voting common stock
Class of Stock [Line Items]
Common stock, shares authorized (in shares)	20,000,000	20,000,000
Common stock, par value (in usd per share) \| $ / shares	$ 0.001	$ 0.001
Common stock voting rights \| vote	10	10
Common stock, shares issued (in shares)	1,965,170	1,965,170
Common stock, shares outstanding (in shares)	1,965,170	1,965,170

Stockholders' Equity - Reserved Shares of Common Stock for Issuance (Details) - shares	May 18, 2023	Mar. 31, 2023	Dec. 31, 2022
Class of Stock [Line Items]
Common stock reserved for future issuance (in shares)		5,663,278	4,646,215
Forecast
Class of Stock [Line Items]
Increase in shares available for grant (in shares)	2,500,000
Stock options issued and outstanding
Class of Stock [Line Items]
Common stock reserved for future issuance (in shares)		136,479	159,741
Nonvested restricted stock units issued and outstanding
Class of Stock [Line Items]
Common stock reserved for future issuance (in shares)		2,475,656	2,607,106
Stock-based awards available for grant under the 2017 Plan (1)
Class of Stock [Line Items]
Common stock reserved for future issuance (in shares)		3,051,143	1,879,368

Stock-Based Compensation - Stock Option Activity (Details) $ / shares in Units, $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2023 USD ($) $ / shares shares	Dec. 31, 2022 USD ($) $ / shares shares
Number of options outstanding
Beginning balance (in shares) \| shares	159,741
Granted (in shares) \| shares	0
Exercised (in shares) \| shares	(22,975)
Forfeited or cancelled (in shares) \| shares	(287)
Ending balance (in shares) \| shares	136,479	159,741
Options vested and exercisable (in shares) \| shares	136,479
Options vested and expected to vest (in shares) \| shares	136,479
Weighted- average exercise price (Per share)
Beginning balance (in usd per share) \| $ / shares	$ 10.42
Granted (in usd per share) \| $ / shares	0
Exercised (in usd per share) \| $ / shares	6.74
Forfeited or cancelled (in usd per share) \| $ / shares	9.16
Ending balance (in usd per share) \| $ / shares	11.05	$ 10.42
Weighted-average exercise price, Options vested and exercisable (in usd per share) \| $ / shares	11.05
Weighted-average exercise price, Options vested and expected to vest (in usd per share) \| $ / shares	$ 11.05
Weighted- average remaining contract life (In years)
Outstanding (in years)	2 years 8 months 12 days	2 years 6 months 25 days
Options vested and exercisable at March 31, 2023	2 years 8 months 12 days
Options vested and expected to vest as of March 31, 2023	2 years 8 months 12 days
Aggregate intrinsic value (In thousands)
Options outstanding \| $	$ 710	$ 2,001
Options vested and exercisable at March 31, 2023 \| $	710
Options vested and expected to vest as of March 31, 2023 \| $	$ 710

Stock-Based Compensation - Additional Information (Details) - USD ($)	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Aggregate intrinsic value of stock options exercised	$ 200,000	$ 600,000
Granted (in shares)	0
Unrecognized cost for stock based compensation	$ 0
RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost related to non-vested RSUs	$ 65,500,000
Unrecognized cost for stock based compensation, period for recognition (in years)	2 years 7 months 17 days

Stock-Based Compensation - Restricted Stock Unit Activity (Details) - RSUs	3 Months Ended
	Mar. 31, 2023 $ / shares shares
Number of awards outstanding
Beginning balance (in shares) \| shares	2,607,106
Granted (in shares) \| shares	76,196
Vested (in shares) \| shares	(171,950)
Forfeited or cancelled (in shares) \| shares	(35,696)
Ending balance (in shares) \| shares	2,475,656
Weighted-average grant date fair value (Per share)
Beginning balance (in usd per share) \| $ / shares	$ 32.33
Granted (in usd per share) \| $ / shares	15.90
Vested (in usd per share) \| $ / shares	63.29
Forfeited or cancelled (in usd per share) \| $ / shares	27.66
Ending balance (in usd per share) \| $ / shares	$ 29.74

Stock-Based Compensation - Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	$ 7,378	$ 5,346
Cost of revenue
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	192	99
Research and development
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	3,141	1,868
Sales and marketing
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	1,237	899
General and administrative
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	$ 2,808	$ 2,480

Commitments and Contingencies - Additional Information (Details) $ in Thousands	May 27, 2021 USD ($) lease	Mar. 31, 2023 USD ($)
Lessee, Lease, Description [Line Items]
Lease payments of initial term		$ 10,580
Non-cancellable purchase obligation		15,500
Non-cancellable purchase obligation, fulfilled within a year		12,100
Project
Lessee, Lease, Description [Line Items]
Lease payments of initial term	$ 495,700
Commencement date, rent abatement period	120 days
Commencement delivered period	12 months
Number of option to extend \| lease	2
Term of option to extend	10 years
Base rent percentage (as a percent)	1.85%
Office Space
Lessee, Lease, Description [Line Items]
Lease payments of initial term		$ 14,900
Maximum
Lessee, Lease, Description [Line Items]
Remaining lease term (in years)		3 years 9 months

Income Taxes - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Income Tax Disclosure [Abstract]
Effective income tax rate (as a percent)	(647.60%)	(2.70%)
Income (loss) before income taxes	$ 483	$ (6,635)

Related Parties (Details) - Relay - Master Services Agreement - Affiliated Entity - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Related Party Transaction [Line Items]
Revenue from related parties	$ 0.1	$ 0.4
Receivable (less than)	$ 0.1		$ 0.1

- Definition

Amount of revenue, fees and commissions earned from transactions between (a) a parent company and its subsidiaries; (b) subsidiaries of a common parent; (c) an entity and trusts for the benefit of employees, for example, but not limited to, pension and profit-sharing trusts that are managed by or under the trusteeship of the entity's management; (d) an entity and its principal, owners, management, or members of their immediate families; and (e) affiliates.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iv))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442552-122756

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 946
-SubTopic 220
-Section S99
-Paragraph 1
-Subparagraph (SX 210.6-07.1(c))
-URI https://asc.fasb.org/extlink&oid=120401555&loc=SL114874292-224272

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(iii)(B))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442526-122756

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iii)(C))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442552-122756

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(5))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442526-122756

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(5))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442552-122756

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(iv))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442526-122756

Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03.1(e))
-URI https://asc.fasb.org/extlink&oid=126953954&loc=SL114868664-224227

+ Details

Basic and Diluted Income (Loss) per Common Share - Components of Basic and Diluted Earnings per Share (Details) - USD ($)	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Earnings Per Share [Abstract]
Net loss attribuatble to common stockholders, basic	$ 3,611,000	$ (6,814,000)
Net income (loss) per share:
Net loss per share, basic (in usd per share)	$ 0.14	$ (0.27)
Net loss per share, diluted (in usd per share)	$ (0.28)	$ (0.27)
Numerator used to compute net income (loss) per share:
Net gain on extinguishment of debt	$ (12,707,000)	$ 0
Interest expense on convertible notes, net of taxes	1,009,000	0
Net Income (Loss) Available to Common Stockholders, Diluted	$ (8,087,000)	$ (6,814,000)
Weighted average number of common shares outstanding:
Weighted average number of common shares outstanding, basic (in shares)	25,448,452	25,220,052
Convertible debt conversion	3,824,806	0
Weighted average number of common shares outstanding, diluted (in shares)	29,273,258	25,220,052

Basic and Diluted Income (Loss) per Common Share - Schedule of Antidilutive Common Share Equivalents Excluded from Earnings Per Share (Details)	1 Months Ended		3 Months Ended
	Mar. 31, 2021 $ / shares	Feb. 28, 2020 $ / shares	Mar. 31, 2023 shares	Mar. 31, 2022 shares
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities (in shares)			6,436,941	6,746,767
Convertible notes \| 2026 Convertible Notes
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Conversion price (in usd per share) \| $ / shares		$ 91.03
Convertible notes \| 2026 Convertible Notes \| Class A voting common stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Conversion ratio		0.0109857	0.0109857	0.0109857
Convertible notes \| 2028 Convertible Notes
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Conversion price (in usd per share) \| $ / shares	$ 179.27
Convertible notes \| 2028 Convertible Notes \| Class A voting common stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Conversion ratio	0.0055781		0.0055781	0.0055781
Stock options issued and outstanding
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities (in shares)			136,479	164,114
Nonvested restricted stock units issued and outstanding
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities (in shares)			2,475,656	793,848
Convertible senior notes
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities (in shares)			3,824,806	5,788,805