GOPRO, INC., 10-Q filed on 8/6/2020
Quarterly Report
v3.20.2
Document, Entity and Information - shares
6 Months Ended
Jun. 30, 2020
Aug. 03, 2020
Class of Stock [Line Items]    
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 77-0629474  
Entity Address, Address Line One 3025 Clearview Way  
Entity Address, City or Town San Mateo,  
Entity Address, State or Province CA  
Entity Address, Postal Zip Code 94402  
Title of 12(b) Security Class A common stock, $0.001 par value  
Trading Symbol GPRO  
Entity Registrant Name GOPRO, INC.  
City Area Code (650)  
Local Phone Number 332-7600  
Entity Central Index Key 0001500435  
Current Fiscal Year End Date --12-31  
Entity Filer Category Large Accelerated Filer  
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Jun. 30, 2020  
Document Transition Report false  
Entity File Number 001-36514  
Document Fiscal Year Focus 2020  
Document Fiscal Period Focus Q2  
Amendment Flag false  
Entity Emerging Growth Company false  
Entity Small Business false  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Shell Company false  
Security Exchange Name NASDAQ  
Common Class A [Member]    
Class of Stock [Line Items]    
Entity Common Stock, Shares Outstanding   128,941,269
Common Class B [Member]    
Class of Stock [Line Items]    
Entity Common Stock, Shares Outstanding   28,887,185
v3.20.2
Condensed Consolidated Balance Sheets - USD ($)
Jun. 30, 2020
Dec. 31, 2019
Current assets:    
Cash and cash equivalents $ 79,679,000 $ 150,301,000
Marketable securities 0 14,847,000
Accounts receivable, net 68,498,000 200,634,000
Inventory 142,151,000 144,236,000
Prepaid expenses and other current assets 23,773,000 25,958,000
Total current assets 314,101,000 535,976,000
Property and equipment, net 29,180,000 36,539,000
Operating Lease, Right-of-Use Asset 48,963,000 53,121,000
Intangible assets, net 2,901,000 5,247,000
Goodwill 146,459,000 146,459,000
Other long-term assets 13,564,000 15,461,000
Total assets 555,168,000 792,803,000
Current liabilities:    
Accounts payable 48,959,000 160,695,000
Accrued expenses and other current liabilities 88,605,000 141,790,000
Short-term operating lease liabilities 8,936,000 9,099,000
Deferred revenue 13,627,000 15,467,000
Short-term Bank Loans and Notes Payable 30,000,000 0
Total current liabilities 190,127,000 327,051,000
Long-term taxes payable 15,408,000 13,726,000
Long-term debt 154,063,000 148,810,000
Long-term operating lease liabilities 57,916,000 62,961,000
Other long-term liabilities 5,576,000 6,726,000
Total liabilities 423,090,000 559,274,000
Commitments, contingencies and guarantees
Stockholders’ equity:    
Preferred Stock, Value, Outstanding 0 0
Common Stocks, Including Additional Paid in Capital 943,927,000 930,875,000
Treasury Stock, Value (113,613,000) (113,613,000)
Accumulated deficit (698,236,000) (583,733,000)
Total stockholders’ equity 132,078,000 233,529,000
Total liabilities and stockholders’ equity $ 555,168,000 $ 792,803,000
Preferred Stock, par value (usd per share) $ 0.0001 $ 0.0001
Preferred Stock, Shares Authorized (shares) 5,000 5,000
Preferred Stock, par value (usd per share) $ 0.0001 $ 0.0001
Preferred Stock, Shares Authorized (shares) 5,000 5,000
Common stock, par value (in dollars per share) $ 0.0001 $ 0.0001
Treasury Stock, Value $ 113,613,000 $ 113,613,000
Common Stocks, Including Additional Paid in Capital 943,927,000 930,875,000
Preferred Stock, Value, Outstanding $ 0 $ 0
Treasury Stock, Shares (shares) 10,710 10,710
Common stock, par value (in dollars per share) $ 0.0001 $ 0.0001
Treasury Stock, Shares (shares) 10,710 10,710
Common Class A [Member]    
Common stock outstanding (shares) 119,751 117,922
Common Stock, Shares Authorized (shares) 500,000 500,000
Common Stock, Shares, Issued 119,751 117,922
Common Stock, Shares Authorized (shares) 500,000 500,000
Common Stock, Shares, Issued 119,751 117,922
Common Class B [Member]    
Common stock outstanding (shares) 28,887 28,897
Common Stock, Shares Authorized (shares) 150,000 150,000
Common Stock, Shares, Issued 28,887 28,897
Common Stock, Shares Authorized (shares) 150,000 150,000
Common Stock, Shares, Issued 28,887 28,897
v3.20.2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares
Jun. 30, 2020
Dec. 31, 2019
Preferred Stock, par value (usd per share) $ 0.0001 $ 0.0001
Preferred Stock, Shares Authorized (shares) 5,000 5,000
Common stock, par value (in dollars per share) $ 0.0001 $ 0.0001
Treasury Stock, Shares (shares) 10,710 10,710
Common Class A [Member]    
Common Stock, Shares Authorized (shares) 500,000 500,000
Common Stock, Shares, Issued 119,751 117,922
Common stock outstanding (shares) 119,751 117,922
Common Class B [Member]    
Common Stock, Shares Authorized (shares) 150,000 150,000
Common Stock, Shares, Issued 28,887 28,897
Common stock outstanding (shares) 28,887 28,897
v3.20.2
Condensed Consolidated Statements of Operations - USD ($)
shares in Thousands, $ in Thousands
3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Income Statement [Abstract]        
Revenue $ 134,246 $ 292,429 $ 253,646 $ 535,137
Cost of revenue 93,554 190,244 174,527 352,605
Gross profit 40,692 102,185 79,119 182,532
Operating expenses:        
Research and development 34,558 38,811 66,839 76,275
Sales and marketing 34,965 52,135 78,467 99,425
General and administrative 16,083 18,186 34,841 34,067
Total operating expenses 85,606 109,132 180,147 209,767
Operating loss (44,914) (6,947) (101,028) (27,235)
Interest expense (4,671) (4,882) (9,514) (9,409)
Other Nonoperating Expense (321) (63) (493)  
Other income (expense), net       765
Total other expense, net (4,992) (4,945) (10,007) (8,644)
Loss before income taxes (49,906) (11,892) (111,035) (35,879)
Income tax expense (benefit) (1,069) 605 (3,468) 227
Net loss $ (50,975) $ (11,287) $ (114,503) $ (35,652)
Earnings Per Share, Basic and Diluted $ (0.34) $ (0.08) $ (0.77) $ (0.25)
Weighted Average Number of Shares Outstanding, Basic and Diluted 148,497 144,668 148,028 143,640
v3.20.2
Condensed Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Net loss $ (114,503) $ (35,652)
Adjustments to reconcile net loss to net cash used in operating activities:    
Depreciation and amortization 10,693 13,402
Amortization of Leased Asset 4,158 5,389
Stock-based compensation 13,513 20,391
Deferred income taxes 53 (97)
Restructuring Costs 3,299 199
Amortization of Debt Discount (Premium) 4,850 4,378
Other 1,199 229
Changes in operating assets and liabilities:    
Accounts receivable, net 131,889 (15,482)
Inventory 2,085 (12,712)
Prepaid expenses and other assets 3,137 5,208
Accounts payable and other liabilities (169,944) (49,242)
Deferred revenue (2,457) (1,633)
Net Cash Provided by (Used in) Operating Activities (112,028) (66,020)
Investing activities:    
Purchases of property and equipment, net (2,163) (1,999)
Purchases of marketable securities 0 (30,167)
Maturities of marketable securities 14,830 35,278
Sale of marketable securities 0 1,889
Payments for (Proceeds from) Other Investing Activities 438 0
Net cash provided by investing activities 12,229 5,001
Financing activities:    
Proceeds from issuance of common stock 1,909 3,877
Payment, Tax Withholding, Share-based Payment Arrangement (2,354) (3,997)
Net cash provided by (used in) financing activities 29,555 (120)
Proceeds from Bank Debt 30,000 0
Effect of exchange rate changes on cash and cash equivalents (378) 294
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect (70,622) (60,845)
Cash and cash equivalents at beginning of period 150,301 152,095
Cash and cash equivalents at end of period $ 79,679 $ 91,250
v3.20.2
Consolidated Statements of Redeemable Convertible Preferred Stock and Stockholders' Equity (Deficit) Statement - USD ($)
shares in Thousands, $ in Thousands
Total
Common Stock Including Additional Paid in Capital [Member]
Treasury Stock [Member]
Retained Earnings [Member]
Beginning Balance at Dec. 31, 2018 $ 212,112 $ 894,755 $ (113,613) $ (569,030)
Beginning Balance (shares) at Dec. 31, 2018   141,067    
Common stock issued under employee benefit plans, net of shares withheld for tax 3,761 $ 3,761    
Share-based Payment Arrangement, Decrease for Tax Withholding Obligation (2,673) $ 2,673    
Common stock issued under employee benefit plans, net of shares withheld for tax (shares)   3,293    
Allocated share-based compensation expense 9,782 $ 9,782    
Net loss (24,365)     (24,365)
Ending Balance at Mar. 31, 2019 198,556 $ 905,625 (113,613) (593,456)
Ending Balance (shares) at Mar. 31, 2019   144,360    
Beginning Balance at Dec. 31, 2018 212,112 $ 894,755 (113,613) (569,030)
Beginning Balance (shares) at Dec. 31, 2018   141,067    
Net loss (35,652)      
Ending Balance at Jun. 30, 2019 196,695 $ 915,051 (113,613) (604,743)
Ending Balance (shares) at Jun. 30, 2019   144,888    
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets       (61)
Beginning Balance at Mar. 31, 2019 198,556 $ 905,625 (113,613) (593,456)
Beginning Balance (shares) at Mar. 31, 2019   144,360    
Common stock issued under employee benefit plans, net of shares withheld for tax 144 $ 144    
Share-based Payment Arrangement, Decrease for Tax Withholding Obligation (1,324) $ 1,324    
Common stock issued under employee benefit plans, net of shares withheld for tax (shares)   528    
Allocated share-based compensation expense 10,606 $ 10,606    
Net loss (11,287)     (11,287)
Ending Balance at Jun. 30, 2019 196,695 $ 915,051 (113,613) (604,743)
Ending Balance (shares) at Jun. 30, 2019   144,888    
Beginning Balance at Dec. 31, 2019 233,529 $ 930,875 (113,613) (583,733)
Beginning Balance (shares) at Dec. 31, 2019   146,818    
Common stock issued under employee benefit plans, net of shares withheld for tax 1,863 $ 1,863    
Share-based Payment Arrangement, Decrease for Tax Withholding Obligation (2,003) $ 2,003    
Common stock issued under employee benefit plans, net of shares withheld for tax (shares)   1,542    
Allocated share-based compensation expense 7,637 $ 7,637    
Net loss (63,528)     (63,528)
Ending Balance at Mar. 31, 2020 177,498 $ 938,372 (113,613) (647,261)
Ending Balance (shares) at Mar. 31, 2020   148,360    
Beginning Balance at Dec. 31, 2019 233,529 $ 930,875 (113,613) (583,733)
Beginning Balance (shares) at Dec. 31, 2019   146,818    
Net loss (114,503)      
Ending Balance at Jun. 30, 2020 132,078 $ 943,927 (113,613) (698,236)
Ending Balance (shares) at Jun. 30, 2020   148,638    
Beginning Balance at Mar. 31, 2020 177,498 $ 938,372 (113,613) (647,261)
Beginning Balance (shares) at Mar. 31, 2020   148,360    
Common stock issued under employee benefit plans, net of shares withheld for tax 30 $ 30    
Share-based Payment Arrangement, Decrease for Tax Withholding Obligation (351) $ 351    
Common stock issued under employee benefit plans, net of shares withheld for tax (shares)   278    
Allocated share-based compensation expense 5,876 $ 5,876    
Net loss (50,975)     (50,975)
Ending Balance at Jun. 30, 2020 $ 132,078 $ 943,927 $ (113,613) $ (698,236)
Ending Balance (shares) at Jun. 30, 2020   148,638    
v3.20.2
Condensed consolidated financial statement details - Goodwill (Details) - USD ($)
$ in Thousands
Jun. 30, 2020
Dec. 31, 2019
Business Combination, Goodwill [Abstract]    
Goodwill $ 146,459 $ 146,459
v3.20.2
Accounting Policies
6 Months Ended
Jun. 30, 2020
Accounting Policies [Abstract]  
Summary of significant accounting policies
1. Summary of business and significant accounting policies
GoPro, Inc. and its subsidiaries (GoPro or the Company) help its consumers celebrate and share their experiences in immersive and exciting ways. The Company is committed to developing solutions that create an easy, seamless experience for consumers to capture, create and share engaging personal content. To date, the Company’s cameras, mountable and wearable accessories, and subscription services have generated substantially all of its revenue. The Company sells its products globally on its website, and through retailers and wholesale distributors. The Company’s global corporate headquarters are located in San Mateo, California.
Basis of presentation. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (GAAP). The Company’s fiscal year ends on December 31, and its fiscal quarters end on March 31, June 30 and September 30.
The Company’s operating results, financial position and cash flows were negatively impacted by the COVID-19 pandemic and as a result, the Company accelerated a shift in its sales channel strategy to focus more on direct-to-consumer sales through gopro.com, and implemented a restructuring plan in April 2020, which primarily impacted the Company’s global workforce, sales and marketing expenses, and leased facilities. These actions impacted the Company’s financial results in the second quarter of 2020 by reducing on-going operating expenses and to help accelerate its ability to achieve profitability, thus providing sufficient resources to continue as a going concern for at least one year from the date of issuance of the condensed consolidated financial statements contained in this Quarterly Report on Form 10-Q.
The condensed consolidated financial statements reflect all adjustments, which are normal and recurring in nature, that management believes are necessary for the fair statement of the Company's financial statements, but are not necessarily indicative of the results expected for the full fiscal year or any other future period. The condensed consolidated balance sheet at December 31, 2019 has been derived from the audited financial statements at that date, but does not include all the disclosures required by GAAP. This Quarterly Report on Form 10-Q should be read in conjunction with the Company's Annual Report on Form 10-K (Annual Report) for the year ended December 31, 2019. There have been no material changes in the Company’s critical accounting policies and estimates from those disclosed in its Annual Report.
Principles of consolidation. These condensed consolidated financial statements include all the accounts of the Company and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation.
Use of estimates. The preparation of condensed consolidated financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the amounts reported and disclosed in the Company’s condensed consolidated financial statements and accompanying notes. Significant estimates and assumptions made by management include those related to revenue recognition (including sales incentives, sales returns and implied post contract support), inventory valuation, product warranty liabilities, the valuation, impairment and useful lives of long-lived assets (property and equipment, operating leases, intangible assets and goodwill), income taxes and going concern. The Company bases its estimates and assumptions on historical experience and on various other factors that it believes to be reasonable under the circumstances, including but not limited to the potential impacts arising from the COVID-19 pandemic, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. The extent and continued impact of COVID-19 has been taken into account in making the significant assumptions and estimates related to the above, however if the duration and spread of the outbreak, the impact on our customers, and the effect on our contract manufacturers, vendors and supply chains is different from the Company’s estimates and assumptions, then actual results could differ materially. Given the uncertainty with respect to COVID-19, the Company’s estimates and assumptions may evolve as conditions change. To the extent there are material differences between the estimates and the actual results, future results of operations could be affected.
Comprehensive income (loss). For all periods presented, comprehensive income (loss) approximated net income (loss). Therefore, the condensed consolidated statements of comprehensive income (loss) have been omitted.
Leases. The Company leases its office space and facilities under cancelable and non-cancelable operating leases. Operating leases are presented as operating lease right-of-use (ROU) assets, short-term operating lease liabilities and long-term operating lease liabilities on the Company’s condensed consolidated balance sheets. ROU assets represent the Company’s right to control the use of an underlying asset for the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the lease.
Operating lease ROU assets and liabilities are recognized at the lease commencement date based on the present value of future lease payments. The Company determines its incremental borrowing rate based on the approximate rate at which the Company would borrow, on a secured basis, to calculate the present value of future lease payments. Lease expenses are recognized on a straight-line basis over the lease term. Certain leases include an option to renew with terms that can extend the lease term from one to five years. The exercise of a lease renewal option is at the Company’s sole discretion and is included in the lease term when the Company is reasonably certain it will exercise the option.
Revenue recognition. The Company derives substantially all of its revenue from the sale of cameras, mounts and accessories, the related implied post contract support to customers, and subscription services. The Company recognizes revenue when control of the promised goods or services is transferred to customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. The transaction price the Company expects to be entitled to is primarily comprised of product revenue, net of returns and variable consideration, including sales incentives provided to customers. For most of the Company’s revenue, revenue is recognized at the time products are delivered and when collection is considered probable. For the Company’s subscription services, revenue is recognized on a ratable basis over the subscription term, with payments received in advance of services being rendered recorded in deferred revenue. For customers who purchase products directly from gopro.com, the Company retains a portion of the risk of loss on these sales during transit, which are accounted for as fulfillment costs. The Company provides sales commissions to internal and external sales representatives which are earned in the period in which revenue is recognized. As a result, the Company expenses such costs as incurred.
The Company's standard terms and conditions of sale for non-web-based sales do not allow for product returns other than under warranty. However, the Company grants limited rights of return, primarily to certain large retailers. The Company reduces revenue and cost of sales for the estimated returns based on analyses of historical return trends by customer class and other factors. An estimated return liability along with a right to recover assets are recorded for future product returns. Return trends are influenced by product life cycles, new product introductions, market acceptance of products, product sell-through, the type of customer, seasonality and other factors. Return rates may fluctuate over time but are sufficiently predictable to allow the Company to estimate expected future product returns.
The Company’s camera sales contain multiple performance obligations that generally include the following three separate obligations: a) a hardware component (camera) and the embedded firmware essential to the functionality of the hardware component delivered at the time of sale, b) the implicit right to the Company's downloadable free apps and software solutions, and c) the implied right for the customer to receive support after the initial sale (post contract support or PCS). The Company’s PCS includes the right to receive on a when and if available basis, future unspecified firmware upgrades and features as well as bug fixes, and email and telephone support. The Company allocates a portion of the transaction price to the PCS performance obligation based on a cost-plus methodology. The transaction price is allocated to the remaining performance obligations on a residual value methodology. The Company’s process to allocate the transaction price considers multiple factors that may vary over time depending upon the unique facts and circumstances related to each deliverable, including: the level of support provided to customers, estimated costs to provide the Company’s support, the amount of time and cost that is allocated to the Company’s efforts to develop the undelivered elements and market trends in the pricing for similar offerings.
The transaction prices allocated to the delivered hardware, related embedded firmware and free software solutions are recognized as revenue at the time of sale, provided the conditions for recognition of revenue have been met. The transaction price allocated to PCS is deferred and recognized as revenue on a straight-line basis over the estimated term of the support period, which is estimated to be 15 months based on historical experience. Deferred revenue as of June 30, 2020 and December 31, 2019 also included immaterial amounts related to the
Company’s subscription services. The Company’s short-term and long-term deferred revenue balances totaled $14.1 million and $16.6 million as of June 30, 2020 and December 31, 2019, respectively. During the three months ended June 30, 2020 and 2019, revenue of $5.5 million and $5.3 million, respectively, was recognized that was included in the deferred revenue balances at the beginning of each period. During the six months ended June 30, 2020 and 2019, revenue of $9.8 million and $9.7 million, respectively, was recognized that was included in the deferred revenue balances at the beginning of each period.
Sales incentives. The Company offers sales incentives through various programs, including cooperative advertising, price protection, marketing development funds and other incentives. Sales incentives are considered to be variable consideration, which the Company estimates and records as a reduction to revenue at the date of sale. The Company estimates sales incentives based on historical experience, product sell-through and other factors.
Segment information. The Company operates as one operating segment as it only reports financial information on an aggregate and consolidated basis to its Chief Executive Officer, who is the Company’s chief operating decision maker.
Recent accounting standards
StandardDescriptionCompany’s date of adoptionEffect on the condensed consolidated financial statements or other significant matters
Standards that were adopted
Intangible - Goodwill and Other
ASU No. 2017-04 (Topic 350)

This standard simplifies the accounting for goodwill and removes Step 2 of the annual goodwill impairment test. Upon adoption, goodwill impairment is determined based on the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. The standard is applied on a prospective transition method.January 1, 2020The adoption of this standard did not impact the Company’s condensed consolidated financial statements and related disclosures.
Financial Instruments - Credit Losses: Measurement of Credit Losses on Financial Instruments
ASU No. 2016-13
(Topic 326)
The standard changes the impairment model for most financial assets and replaces the existing incurred loss model with a current expected credit loss (CECL) model. The standard is applied on a modified retrospective approach.January 1, 2020The Company’s allowance for doubtful accounts and valuation of available-for-sale securities are subject to this standard. The Company concluded the adoption of this standard did not have a material impact on its condensed consolidated financial statements and related disclosures.
Although there are several other new accounting standards issued or proposed by the FASB, which the Company has adopted or will adopt, as applicable, the Company does not believe any of these accounting pronouncements has had or will have a material impact on its condensed consolidated financial statements.
Revenue from Contract with Customer
Revenue recognition. The Company derives substantially all of its revenue from the sale of cameras, mounts and accessories, the related implied post contract support to customers, and subscription services. The Company recognizes revenue when control of the promised goods or services is transferred to customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. The transaction price the Company expects to be entitled to is primarily comprised of product revenue, net of returns and variable consideration, including sales incentives provided to customers. For most of the Company’s revenue, revenue is recognized at the time products are delivered and when collection is considered probable. For the Company’s subscription services, revenue is recognized on a ratable basis over the subscription term, with payments received in advance of services being rendered recorded in deferred revenue. For customers who purchase products directly from gopro.com, the Company retains a portion of the risk of loss on these sales during transit, which are accounted for as fulfillment costs. The Company provides sales commissions to internal and external sales representatives which are earned in the period in which revenue is recognized. As a result, the Company expenses such costs as incurred.
The Company's standard terms and conditions of sale for non-web-based sales do not allow for product returns other than under warranty. However, the Company grants limited rights of return, primarily to certain large retailers. The Company reduces revenue and cost of sales for the estimated returns based on analyses of historical return trends by customer class and other factors. An estimated return liability along with a right to recover assets are recorded for future product returns. Return trends are influenced by product life cycles, new product introductions, market acceptance of products, product sell-through, the type of customer, seasonality and other factors. Return rates may fluctuate over time but are sufficiently predictable to allow the Company to estimate expected future product returns.
The Company’s camera sales contain multiple performance obligations that generally include the following three separate obligations: a) a hardware component (camera) and the embedded firmware essential to the functionality of the hardware component delivered at the time of sale, b) the implicit right to the Company's downloadable free apps and software solutions, and c) the implied right for the customer to receive support after the initial sale (post contract support or PCS). The Company’s PCS includes the right to receive on a when and if available basis, future unspecified firmware upgrades and features as well as bug fixes, and email and telephone support. The Company allocates a portion of the transaction price to the PCS performance obligation based on a cost-plus methodology. The transaction price is allocated to the remaining performance obligations on a residual value methodology. The Company’s process to allocate the transaction price considers multiple factors that may vary over time depending upon the unique facts and circumstances related to each deliverable, including: the level of support provided to customers, estimated costs to provide the Company’s support, the amount of time and cost that is allocated to the Company’s efforts to develop the undelivered elements and market trends in the pricing for similar offerings.
The transaction prices allocated to the delivered hardware, related embedded firmware and free software solutions are recognized as revenue at the time of sale, provided the conditions for recognition of revenue have been met. The transaction price allocated to PCS is deferred and recognized as revenue on a straight-line basis over the estimated term of the support period, which is estimated to be 15 months based on historical experience. Deferred revenue as of June 30, 2020 and December 31, 2019 also included immaterial amounts related to the
Company’s subscription services. The Company’s short-term and long-term deferred revenue balances totaled $14.1 million and $16.6 million as of June 30, 2020 and December 31, 2019, respectively. During the three months ended June 30, 2020 and 2019, revenue of $5.5 million and $5.3 million, respectively, was recognized that was included in the deferred revenue balances at the beginning of each period. During the six months ended June 30, 2020 and 2019, revenue of $9.8 million and $9.7 million, respectively, was recognized that was included in the deferred revenue balances at the beginning of each period.
v3.20.2
Fair value measurements
6 Months Ended
Jun. 30, 2020
Fair Value Disclosures [Abstract]  
Fair Value measurements Fair value measurements
The Company’s assets that are measured at fair value on a recurring basis within the fair value hierarchy are summarized as follows:
June 30, 2020December 31, 2019
(in thousands)Level 1Level 2TotalLevel 1Level 2Total
Cash equivalents (1):
Money market funds$19,442  $—  $19,442  $4,413  $—  $4,413  
Total cash equivalents$19,442  $—  $19,442  $4,413  $—  $4,413  
Marketable securities:
Corporate debt securities$—  $—  $—  $—  $14,847  $14,847  
Total marketable securities$—  $—  $—  $—  $14,847  $14,847  
(1) Included in cash and cash equivalents in the accompanying condensed consolidated balance sheets. Cash balances were $60.2 million and $145.9 million as of June 30, 2020 and December 31, 2019, respectively.
Cash equivalents and marketable securities are classified as Level 1 or Level 2 because the Company uses quoted market prices or alternative pricing sources and models utilizing market observable inputs to determine their fair value. The contractual maturities of available-for-sale marketable securities as of December 31, 2019 were all less than one year in duration. At June 30, 2020 and December 31, 2019, the Company had no financial assets or liabilities that were classified as Level 3, which are valued based on inputs supported by little or no market activity.
At June 30, 2020 and December 31, 2019, the amortized cost of the Company’s cash equivalents and marketable securities approximated their fair value and there were no material realized or unrealized gains or losses, either individually or in the aggregate.
In April 2017, the Company issued $175.0 million principal amount of Convertible Senior Notes due 2022 (Notes) (see Note 4 Financing Arrangements). The estimated fair value of the Notes is based on quoted market prices of the Company’s instruments in markets that are not active and are classified as Level 2 within the fair value hierarchy. The Company estimated the fair value of the Notes by evaluating quoted market prices and calculating the upfront cash payment a market participant would require to assume these obligations. The calculated fair value of the Notes was $154.0 million as of June 30, 2020, and is highly correlated to the Company’s stock price and as a result, significant changes to the Company’s stock price will have a significant impact on the calculated fair value of the Notes.
For certain other financial assets and liabilities, including accounts receivable, accounts payable and other current assets and liabilities, the carrying amounts approximate their fair value primarily due to the relatively short maturity of these balances.
v3.20.2
Employee benefit plans
6 Months Ended
Jun. 30, 2020
Share-based Payment Arrangement [Abstract]  
Employee benefit plans Employee benefit plans Equity incentive plans. The Company has outstanding equity grants from its three stock-based employee compensation plans: the 2014 Equity Incentive Plan (2014 Plan), the 2010 Equity Incentive Plan (2010 Plan) and the 2014 Employee Stock Purchase Plan (ESPP). No new options or awards have been granted under the 2010 Plan since June 2014. Outstanding options and awards under the 2010 Plan continue to be subject to the terms
and conditions of the 2010 Plan. Options granted under the 2014 Plan generally expire within ten years from the date of grant and generally vest over one to four years. Restricted stock units (RSUs) granted under the 2014 Plan generally vest over two to four years based upon continued service and are settled at vesting in shares of the Company’s Class A common stock. Performance stock units (PSUs) granted under the 2014 Plan generally vest over three years based upon continued service and the Company achieving certain revenue targets, and are settled at vesting in shares of the Company’s Class A common stock. The Company accounts for forfeitures of stock-based payment awards in the period they occur. The ESPP allows eligible employees to purchase shares of the Company’s Class A common stock through payroll deductions at a price equal to 85% of the lesser of the fair market value of the stock as of the first date or the ending date of each six-month offering period. For additional information regarding the Company’s equity incentive plans, refer to the 2019 Annual Report.
Stock options
A summary of the Company’s stock option activity for the six months ended June 30, 2020 is as follows:
Shares
(in thousands)
Weighted-average exercise price
Weighted-average remaining contractual term (in years)
Aggregate intrinsic value (in thousands)
Outstanding at December 31, 20193,963  $10.16  6.35$374  
Granted1,006  3.99  
Exercised(25) 1.13  
Forfeited/Cancelled(773) 9.88  
Outstanding at June 30, 20204,171  $8.78  6.59$1,064  
Vested and expected to vest at June 30, 20204,171  $8.78  6.59$1,064  
Exercisable at June 30, 20202,676  $10.93  5.12$324  
The aggregate intrinsic value of the stock options outstanding as of June 30, 2020 represents the value of the Company’s closing stock price on June 30, 2020 in excess of the exercise price multiplied by the number of options outstanding.
Restricted stock units
A summary of the Company’s RSU activity for the six months ended June 30, 2020 is as follows:
Shares
(in thousands)
Weighted-average grant date fair value
Non-vested shares at December 31, 20198,225  $6.11  
Granted5,604  4.09  
Vested(1,649) 6.78  
Forfeited(1,823) 5.50  
Non-vested shares at June 30, 202010,357  $5.02  
Performance stock units
A summary of the Company’s PSU activity for the six months ended June 30, 2020 is as follows:
Shares
(in thousands)
Weighted-average grant date fair value
Non-vested shares at December 31, 2019788  $7.51  
Granted1,221  4.04  
Vested(179) 7.51  
Forfeited(205) 7.02  
Non-vested shares at June 30, 20201,625  $4.97  
Employee stock purchase plan. For the six months ended June 30, 2020 and 2019, the Company issued 556,000 and 458,000 shares under its ESPP, respectively, at weighted-average prices of $3.38 and $4.96, respectively.
Stock-based compensation expense. The Company measures compensation expense for all stock-based payment awards based on the estimated fair values on the date of the grant. The fair value of stock options granted and ESPP issuance is estimated using the Black-Scholes option pricing model. The fair value of RSUs and PSUs are determined using the Company’s closing stock price on the date of grant. There have been no significant changes in the Company’s valuation assumptions from those disclosed in its 2019 Annual Report.
The following table summarizes stock-based compensation expense included in the condensed consolidated statements of operations:
Three months ended June 30,Six months ended June 30,
(in thousands)
2020201920202019
Cost of revenue
$332  $522  $835  $1,035  
Research and development
3,063  4,884  6,085  9,561  
Sales and marketing
789  2,221  2,506  4,434  
General and administrative
1,692  2,979  4,087  5,361  
Total stock-based compensation expense
$5,876  $10,606  $13,513  $20,391  

The income tax benefit related to stock-based compensation expense was zero for the three and six months ended June 30, 2020 and 2019 due to a full valuation allowance on the Company’s United States net deferred tax assets (see Note 7 Income taxes).
At June 30, 2020, total unearned stock-based compensation of $45.7 million related to stock options, RSUs, PSUs and ESPP shares is expected to be recognized over a weighted-average period of 2.3 years.
v3.20.2
Net loss per share
6 Months Ended
Jun. 30, 2020
Earnings Per Share [Abstract]  
Net loss per share Net loss per share
The following table presents the calculations of basic and diluted net loss per share:
Three months ended June 30,Six months ended June 30,
(in thousands, except per share data)
2020201920202019
Numerator:
Net loss
$(50,975) $(11,287) $(114,503) $(35,652) 
Denominator:
Weighted-average common shares—basic and diluted for Class A and Class B common stock
148,497  144,668  148,028  143,640  
Basic and diluted net loss per share
$(0.34) $(0.08) $(0.77) $(0.25) 

The following potentially dilutive shares were not included in the calculation of diluted shares outstanding as the effect would have been anti-dilutive:
Three months ended June 30,Six months ended June 30,
(in thousands)
2020201920202019
Anti-dilutive stock-based awards15,057  12,817  14,519  12,870  
The Company has the intent and ability to deliver cash up to the principal amount of the Notes subject to conversion, based on the Company’s current and projected liquidity. As such, no shares associated with the Note conversion were included in the Company’s weighted-average number of common shares outstanding for any periods presented. The Company’s Notes mature on April 15, 2022, unless earlier repurchased or converted into shares of Class A common stock under certain circumstances as described further in Note 4 Financing Arrangements. The Notes are convertible into cash, shares of the Company’s Class A common stock, or a combination thereof, at the Company’s election. While the Company has the intent and ability to deliver cash up to the principal amount, the maximum number of shares issuable upon conversion of the Notes is 20.6 million shares of Class A common stock. Additionally, the calculation of weighted-average shares outstanding for the three and six months ended June 30, 2020 and 2019 excludes approximately 9.2 million shares, effectively repurchased and held in treasury stock on the condensed consolidated balance sheets as a result of the Prepaid Forward transaction entered into in connection with the Note offering.
The rights of the holders of Class A common stock and Class B common stock are identical, except with respect to voting and conversion. Each share of Class A common stock is entitled to one vote per share and each share of Class B common stock is entitled to ten votes per share. Each share of Class B common stock is convertible at any time at the option of the stockholder into one share of Class A common stock and has no expiration date. Each share of Class B common stock will convert automatically into one share of Class A common stock upon the date when the outstanding shares of Class B common stock represent less than 10% of the aggregate number of shares of common stock then outstanding. Class A common stock is not convertible into Class B common stock. The computation of the diluted net loss per share of Class A common stock assumes the conversion of Class B common stock.
v3.20.2
Commitments, contingencies and guarantees
6 Months Ended
Jun. 30, 2020
Commitments and Contingencies Disclosure [Abstract]  
Commitments, contingencies and guarantees Commitments, contingencies and guarantees
Facility Leases. The Company leases its facilities under long-term operating leases, which expire at various dates through 2027.
The components of net lease cost, which were recorded in operating expenses, were as follows:
Three months ended June 30,Six months ended June 30,
(in thousands)2020201920202019
Operating lease cost (1)
$4,088  $4,459  $8,295  $9,564  
Sublease income(131) (168) (260) (399) 
Net lease cost$3,957  $4,291  $8,035  $9,165  
(1) Operating lease cost includes variable lease costs, which are immaterial.

Supplemental cash flow information related to leases was as follows:
Six months ended June 30,
(in thousands)20202019
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases$7,441  $6,551  
Right-of-use assets obtained in exchange for new operating lease liabilities147  10,780  

Supplemental balance sheet information related to leases was as follows:
June 30, 2020December 31, 2019
Weighted-average remaining lease term (in years) - operating leases6.046.44
Weighted-average discount rate - operating leases6.2%6.2%
As of June 30, 2020, maturities of operating lease liabilities were as follows:
(in thousands)
June 30, 2020
2020 (remaining 6 months)$6,102  
2021
13,706  
2022
12,804  
2023
12,035  
2024
11,897  
Thereafter25,065  
Total lease payments
81,609  
Less: Imputed interest
(14,524) 
Present value of lease liabilities
$67,085  
Other Commitments. In the ordinary course of business, the Company enters into multi-year agreements to purchase sponsorships with event organizers, resorts and athletes as part of its marketing efforts; software licenses related to its financial and IT systems; debt agreements; and various other contractual commitments. As of June 30, 2020, the Company’s total undiscounted future expected obligations under multi-year agreements described above with terms longer than one year was $215.8 million.
Legal proceedings and investigations. On February 13, 2018 and February 27, 2018, two purported shareholder derivative lawsuits (the Consolidated Federal Derivative Actions) were filed in the United States District Court for the Northern District of California against certain of GoPro’s current and former directors and executive officers and naming the Company as a nominal defendant. The Consolidated Federal Derivative Actions are based on allegations similar to those in two now-resolved shareholder class actions - one filed in 2016 which was settled and received final approval of the Court on September 20, 2019, and the other filed in 2018 which had final judgment entered in favor of defendants on June 24, 2019, following the Court’s granting of defendants’ motion to dismiss. The Consolidated Federal Derivative Actions assert causes of action against the individual defendants for breach of fiduciary duty, and for making false and misleading statements about the Company’s business, operations and prospects in violation of Sections 10(b) and 14(a) of the Securities Exchange Act of 1934. The plaintiffs seek corporate reforms, disgorgement of profits from stock sales, and fees and costs. On June 15, 2020, defendants moved to dismiss the complaint.
Different shareholders filed two similar purported shareholder derivative actions on October 30, 2018 and November 7, 2018 in the Delaware Court of Chancery (the Consolidated Delaware Derivative Actions). On April 28, 2020, the Court granted defendants’ motion to dismiss the Consolidated Delaware Derivative Actions with prejudice. On May 8, 2020, plaintiffs filed a notice of appeal.
Other shareholders filed similar purported shareholder derivative actions on December 26, 2018, February 15, 2019, and January 27, 2020 in the Delaware Court of Chancery. Those actions are either stayed or defendants’ time to respond to the complaint has not yet passed.
On January 5, 2015, Contour LLC filed a complaint against the Company in federal court in Utah alleging, among other things, patent infringement in relation to certain GoPro cameras. On November 30, 2015, Contour dismissed the Utah action. On November 30, 2015, Contour IP Holdings LLC (CIPH), a non-practicing entity re-filed a similar complaint in Delaware seeking unspecified damages. GoPro filed an inter partes review (IPR) at the United States Patent and Trademark Office. The case was transferred to the Northern District of California in July 2017 and was stayed in favor of the IPR proceedings, most recently on December 12, 2018. Upon conclusion of the IPRs, the District Court lifted the stay on October 1, 2019. On October 8, 2019, the court entered a schedule for the remainder of the case, including scheduling trial to begin on August 31, 2020. Due to COVID-19 delays, major deadlines in the case were extended, and trial is now scheduled to commence on December 14, 2020. We believe that this matter lacks merit and we intend to vigorously defend against CIPH.
We are currently, and in the future, may continue to be, subject to litigation, claims and assertions incidental to our business, including patent infringement litigation and product liability claims, as well as other litigation of a non-material nature in the ordinary course of business. Due to inherent uncertainties of litigation, we cannot accurately
predict the ultimate outcome of these matters. We are unable at this time to determine whether the outcome of the litigation would have a material effect on our business, financial condition, results of operations or cash flows.
Indemnifications. In the normal course of business, the Company enters into agreements that contain a variety of representations and warranties, and provide for general indemnification. The Company’s exposure under these agreements is unknown because it involves claims that may be made against the Company in the future, but have not yet been made. It is not possible to determine the maximum potential amount under these indemnification agreements due to the Company’s limited history with indemnification claims and the unique facts and circumstances involved in each particular agreement. As of June 30, 2020, the Company has not paid any claims nor has it been required to defend any action related to its indemnification obligations. However, the Company may record charges in the future as a result of these indemnification obligations.
v3.20.2
Subsequent Events (Notes)
3 Months Ended
Jun. 30, 2020
Subsequent Event [Line Items]  
Subsequent Events [Text Block] Subsequent events
On April 14, 2020, the Board of Directors approved the Company’s restructuring plan to reduce operating costs, optimize its business model and address the impact of the COVID-19 pandemic. The restructuring provided for a reduction in force of the Company’s global workforce of approximately 20% and is expected to be substantially completed by the end of the second quarter of 2020.
The restructuring plan will result in an estimated aggregate charge of $31 million to $49 million. Cash expenditures will be approximately $5 million of the estimated aggregate charges in the second quarter of 2020 as a result of a reduction in force. The remaining expenditures are approximately $26 million to $44 million primarily pertaining to planned reductions of office space (including $4 million of non-cash charges) and approximately $5 million for other non-cash charges. The Company anticipates the majority of the office space charges will result in future cash expenditures through 2027. The Company anticipates that a substantial portion of these restructuring charges will be reflected in its second quarter results.
v3.20.2
Summary of business and significant accounting policies (Policies)
6 Months Ended
Jun. 30, 2020
Accounting Policies [Abstract]  
Basis of presentation
Basis of presentation. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (GAAP). The Company’s fiscal year ends on December 31, and its fiscal quarters end on March 31, June 30 and September 30.
The Company’s operating results, financial position and cash flows were negatively impacted by the COVID-19 pandemic and as a result, the Company accelerated a shift in its sales channel strategy to focus more on direct-to-consumer sales through gopro.com, and implemented a restructuring plan in April 2020, which primarily impacted the Company’s global workforce, sales and marketing expenses, and leased facilities. These actions impacted the Company’s financial results in the second quarter of 2020 by reducing on-going operating expenses and to help accelerate its ability to achieve profitability, thus providing sufficient resources to continue as a going concern for at least one year from the date of issuance of the condensed consolidated financial statements contained in this Quarterly Report on Form 10-Q.
The condensed consolidated financial statements reflect all adjustments, which are normal and recurring in nature, that management believes are necessary for the fair statement of the Company's financial statements, but are not necessarily indicative of the results expected for the full fiscal year or any other future period. The condensed consolidated balance sheet at December 31, 2019 has been derived from the audited financial statements at that date, but does not include all the disclosures required by GAAP. This Quarterly Report on Form 10-Q should be read in conjunction with the Company's Annual Report on Form 10-K (Annual Report) for the year ended December 31, 2019. There have been no material changes in the Company’s critical accounting policies and estimates from those disclosed in its Annual Report.
Principles of consolidation Principles of consolidation. These condensed consolidated financial statements include all the accounts of the Company and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation.
Use of estimates Use of estimates. The preparation of condensed consolidated financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the amounts reported and disclosed in the Company’s condensed consolidated financial statements and accompanying notes. Significant estimates and assumptions made by management include those related to revenue recognition (including sales incentives, sales returns and implied post contract support), inventory valuation, product warranty liabilities, the valuation, impairment and useful lives of long-lived assets (property and equipment, operating leases, intangible assets and goodwill), income taxes and going concern. The Company bases its estimates and assumptions on historical experience and on various other factors that it believes to be reasonable under the circumstances, including but not limited to the potential impacts arising from the COVID-19 pandemic, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. The extent and continued impact of COVID-19 has been taken into account in making the significant assumptions and estimates related to the above, however if the duration and spread of the outbreak, the impact on our customers, and the effect on our contract manufacturers, vendors and supply chains is different from the Company’s estimates and assumptions, then actual results could differ materially. Given the uncertainty with respect to COVID-19, the Company’s estimates and assumptions may evolve as conditions change. To the extent there are material differences between the estimates and the actual results, future results of operations could be affected.
Comprehensive income (loss) Comprehensive income (loss). For all periods presented, comprehensive income (loss) approximated net income (loss). Therefore, the condensed consolidated statements of comprehensive income (loss) have been omitted
Lessee, Operating Leases [Text Block]
Leases. The Company leases its office space and facilities under cancelable and non-cancelable operating leases. Operating leases are presented as operating lease right-of-use (ROU) assets, short-term operating lease liabilities and long-term operating lease liabilities on the Company’s condensed consolidated balance sheets. ROU assets represent the Company’s right to control the use of an underlying asset for the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the lease.
Operating lease ROU assets and liabilities are recognized at the lease commencement date based on the present value of future lease payments. The Company determines its incremental borrowing rate based on the approximate rate at which the Company would borrow, on a secured basis, to calculate the present value of future lease payments. Lease expenses are recognized on a straight-line basis over the lease term. Certain leases include an option to renew with terms that can extend the lease term from one to five years. The exercise of a lease renewal option is at the Company’s sole discretion and is included in the lease term when the Company is reasonably certain it will exercise the option.
Sales Incentives [Policy Text Block] Sales incentives. The Company offers sales incentives through various programs, including cooperative advertising, price protection, marketing development funds and other incentives. Sales incentives are considered to be variable consideration, which the Company estimates and records as a reduction to revenue at the date of sale. The Company estimates sales incentives based on historical experience, product sell-through and other factors.
Segment Reporting, Policy [Policy Text Block] Segment information. The Company operates as one operating segment as it only reports financial information on an aggregate and consolidated basis to its Chief Executive Officer, who is the Company’s chief operating decision maker.
v3.20.2
Accounting Policies (Tables)
6 Months Ended
Jun. 30, 2020
Accounting Policies [Abstract]  
Schedule of recent accounting pronouncements
Recent accounting standards
StandardDescriptionCompany’s date of adoptionEffect on the condensed consolidated financial statements or other significant matters
Standards that were adopted
Intangible - Goodwill and Other
ASU No. 2017-04 (Topic 350)

This standard simplifies the accounting for goodwill and removes Step 2 of the annual goodwill impairment test. Upon adoption, goodwill impairment is determined based on the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. The standard is applied on a prospective transition method.January 1, 2020The adoption of this standard did not impact the Company’s condensed consolidated financial statements and related disclosures.
Financial Instruments - Credit Losses: Measurement of Credit Losses on Financial Instruments
ASU No. 2016-13
(Topic 326)
The standard changes the impairment model for most financial assets and replaces the existing incurred loss model with a current expected credit loss (CECL) model. The standard is applied on a modified retrospective approach.January 1, 2020The Company’s allowance for doubtful accounts and valuation of available-for-sale securities are subject to this standard. The Company concluded the adoption of this standard did not have a material impact on its condensed consolidated financial statements and related disclosures.
Although there are several other new accounting standards issued or proposed by the FASB, which the Company has adopted or will adopt, as applicable, the Company does not believe any of these accounting pronouncements has had or will have a material impact on its condensed consolidated financial statement
v3.20.2
Fair value measurements (Tables)
6 Months Ended
Jun. 30, 2020
Fair Value Disclosures [Abstract]  
Assets measured at fair value on recurring basis
The Company’s assets that are measured at fair value on a recurring basis within the fair value hierarchy are summarized as follows:
June 30, 2020December 31, 2019
(in thousands)Level 1Level 2TotalLevel 1Level 2Total
Cash equivalents (1):
Money market funds$19,442  $—  $19,442  $4,413  $—  $4,413  
Total cash equivalents$19,442  $—  $19,442  $4,413  $—  $4,413  
Marketable securities:
Corporate debt securities$—  $—  $—  $—  $14,847  $14,847  
Total marketable securities$—  $—  $—  $—  $14,847  $14,847  
(1) Included in cash and cash equivalents in the accompanying condensed consolidated balance sheets. Cash balances were $60.2 million and $145.9 million as of June 30, 2020 and December 31, 2019, respectively.
v3.20.2
Condensed consolidated financial statement details (Tables)
6 Months Ended
Jun. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Schedule of Inventory
Inventory
(in thousands)
June 30, 2020December 31, 2019
Components
$24,232  $20,370  
Finished goods
117,919  123,866  
Total inventory
$142,151  $144,236  
Property, Plant and Equipment
Property and equipment, net
(in thousands)
June 30, 2020December 31, 2019
Leasehold improvements$49,846  $50,736  
Production, engineering and other equipment47,019  45,649  
Tooling18,223  19,216  
Computers and software22,431  21,719  
Furniture and office equipment10,527  10,846  
Tradeshow equipment and other7,083  7,009  
Construction in progress287  45  
Gross property and equipment
155,416  155,220  
Less: Accumulated depreciation and amortization(126,236) (118,681) 
Property and equipment, net
$29,180  $36,539  
Schedule of Finite-Lived Intangible Assets
Intangible assets
June 30, 2020
(in thousands)Gross carrying valueAccumulated amortizationNet carrying value
Purchased technology $51,066  $(48,180) $2,886  
Domain name15  —  15  
Total intangible assets
$51,081  $(48,180) $2,901  

December 31, 2019
(in thousands)Gross carrying valueAccumulated amortizationNet carrying value
Purchased technology $50,501  $(45,269) $5,232  
Domain name15  —  15  
Total intangible assets
$50,516  $(45,269) $5,247  
Schedule of Future Amortization At June 30, 2020, expected amortization expense of intangible assets with definite lives for future periods was as follows:
(in thousands)
Total
Year ending December 31,
2020 (remaining 6 months)$1,687  
20211,152  
202247  
$2,886  
Schedule of Other Assets
Other long-term assets
(in thousands)
June 30, 2020December 31, 2019
Point of purchase (POP) displays
$6,023  $7,595  
Long-term deferred tax assets
811  864  
Deposits and other
6,730  7,002  
Other long-term assets$13,564  $15,461  
Schedule of Accrued Liabilities
Accrued expenses and other current liabilities
(in thousands)
June 30, 2020December 31, 2019
Accrued payables (1)
$28,970  $42,153  
Accrued sales incentives
23,701  39,120  
Employee related liabilities (1)
6,574  20,494  
Return liability
12,430  14,854  
Warranty liability
5,679  9,899  
Inventory received
1,281  5,737  
Customer deposits
3,332  2,063  
Purchase order commitments
2,083  1,710  
Income taxes payable
1,101  1,166  
Other
3,454  4,594  
Accrued expenses and other current liabilities$88,605  $141,790  
v3.20.2
Employee benefit plans (Tables)
6 Months Ended
Jun. 30, 2020
Share-based Payment Arrangement [Abstract]  
schedule of share-based compensation, Performance Stock Units Award Activity [Table Text Block]
A summary of the Company’s PSU activity for the six months ended June 30, 2020 is as follows:
Shares
(in thousands)
Weighted-average grant date fair value
Non-vested shares at December 31, 2019788  $7.51  
Granted1,221  4.04  
Vested(179) 7.51  
Forfeited(205) 7.02  
Non-vested shares at June 30, 20201,625  $4.97  
Schedule of Share-based Compensation, Stock Options, Activity
A summary of the Company’s stock option activity for the six months ended June 30, 2020 is as follows:
Shares
(in thousands)
Weighted-average exercise price
Weighted-average remaining contractual term (in years)
Aggregate intrinsic value (in thousands)
Outstanding at December 31, 20193,963  $10.16  6.35$374  
Granted1,006  3.99  
Exercised(25) 1.13  
Forfeited/Cancelled(773) 9.88  
Outstanding at June 30, 20204,171  $8.78  6.59$1,064  
Vested and expected to vest at June 30, 20204,171  $8.78  6.59$1,064  
Exercisable at June 30, 20202,676  $10.93  5.12$324  
Schedule of Share-based Compensation, Restricted Stock Units Award Activity
A summary of the Company’s RSU activity for the six months ended June 30, 2020 is as follows:
Shares
(in thousands)
Weighted-average grant date fair value
Non-vested shares at December 31, 20198,225  $6.11  
Granted5,604  4.09  
Vested(1,649) 6.78  
Forfeited(1,823) 5.50  
Non-vested shares at June 30, 202010,357  $5.02  
Allocation of Stock-based Compensation Expense
The following table summarizes stock-based compensation expense included in the condensed consolidated statements of operations:
Three months ended June 30,Six months ended June 30,
(in thousands)
2020201920202019
Cost of revenue
$332  $522  $835  $1,035  
Research and development
3,063  4,884  6,085  9,561  
Sales and marketing
789  2,221  2,506  4,434  
General and administrative
1,692  2,979  4,087  5,361  
Total stock-based compensation expense
$5,876  $10,606  $13,513  $20,391  
v3.20.2
Net loss per share (Tables)
6 Months Ended
Jun. 30, 2020
Earnings Per Share [Abstract]  
Schedule of Net Income per Share, Basic and Diluted
The following table presents the calculations of basic and diluted net loss per share:
Three months ended June 30,Six months ended June 30,
(in thousands, except per share data)
2020201920202019
Numerator:
Net loss
$(50,975) $(11,287) $(114,503) $(35,652) 
Denominator:
Weighted-average common shares—basic and diluted for Class A and Class B common stock
148,497  144,668  148,028  143,640  
Basic and diluted net loss per share
$(0.34) $(0.08) $(0.77) $(0.25) 
Schedule of Antidilutive Securities Excluded from Computation of Net Income per Share
The following potentially dilutive shares were not included in the calculation of diluted shares outstanding as the effect would have been anti-dilutive:
Three months ended June 30,Six months ended June 30,
(in thousands)
2020201920202019
Anti-dilutive stock-based awards15,057  12,817  14,519  12,870  
v3.20.2
Income taxes (Tables)
12 Months Ended
Dec. 31, 2019
Income Tax Disclosure [Abstract]  
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]
Three months ended June 30,Six months ended June 30,
(dollars in thousands)2020201920202019
Income tax expense (benefit) $1,069  $(605) $3,468  $(227) 
Effective tax rate(2.1)%5.1 %(3.1)%0.6 %
v3.20.2
Commitments, contingencies and guarantees (Tables)
6 Months Ended
Jun. 30, 2020
Leases [Abstract]  
Components of Lease Expense [Text Block]
The components of net lease cost, which were recorded in operating expenses, were as follows:
Three months ended June 30,Six months ended June 30,
(in thousands)2020201920202019
Operating lease cost (1)
$4,088  $4,459  $8,295  $9,564  
Sublease income(131) (168) (260) (399) 
Net lease cost$3,957  $4,291  $8,035  $9,165  
(1) Operating lease cost includes variable lease costs, which are immaterial.
Schedule of Supplemental Cash Flow Information Related To Leases [Text Block]
Supplemental cash flow information related to leases was as follows:
Six months ended June 30,
(in thousands)20202019
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases$7,441  $6,551  
Right-of-use assets obtained in exchange for new operating lease liabilities147  10,780  

Supplemental balance sheet information related to leases was as follows:
June 30, 2020December 31, 2019
Weighted-average remaining lease term (in years) - operating leases6.046.44
Weighted-average discount rate - operating leases6.2%6.2%
Schedule of Maturities of Lease Liabilities [Text Block]
As of June 30, 2020, maturities of operating lease liabilities were as follows:
(in thousands)
June 30, 2020
2020 (remaining 6 months)$6,102  
2021
13,706  
2022
12,804  
2023
12,035  
2024
11,897  
Thereafter25,065  
Total lease payments
81,609  
Less: Imputed interest
(14,524) 
Present value of lease liabilities
$67,085  
v3.20.2
Concentrations of risk and geographic information (Tables)
6 Months Ended
Jun. 30, 2020
Concentration Risk [Line Items]  
Schedule of Accounts, Notes, Loans and Financing Receivable
The following table summarizes the Company’s accounts receivables sold, without recourse, and factoring fees paid:
Three months ended June 30,Six months ended June 30,
(in thousands)
2020201920202019
Accounts receivable sold$4,242  $38,525  $35,561  $54,948  
Factoring fees38  478  186  698  
Schedule of Revenue by Geographic Region
Revenue by geographic region was as follows:
Three months ended June 30,Six months ended June 30,
(in thousands)
2020201920202019
Americas
$82,640  $142,267  $139,887  $251,341  
Europe, Middle East and Africa (EMEA)
34,909  82,893  64,628  153,759  
Asia and Pacific (APAC)
16,697  67,269  49,131  130,037  
Total revenue
$134,246  $292,429  $253,646  $535,137  
Accounts Receivable [Member]  
Concentration Risk [Line Items]  
Schedules of Customer Concentration by Risk Factor
Customers who represented 10% or more of the Company’s net accounts receivable balance were as follows:
June 30, 2020December 31, 2019
Customer A*15%
Customer B24%11%
Customer C24%*
Customer D10%*
* Less than 10% of net accounts receivable for the period indicated.
Sales Revenue [Member]  
Concentration Risk [Line Items]  
Schedules of Customer Concentration by Risk Factor
Customers who represented 10% or more of the Company’s total revenue were as follows:
Three months ended June 30,Six months ended June 30,
2020201920202019
Customer A*17%*15%
Customer B13%***
Customer C10%***
* Less than 10% of total revenue for the period indicated.
v3.20.2
Restructuring charges (Tables)
6 Months Ended
Jun. 30, 2020
Restructuring Cost and Reserve [Line Items]  
Restructuring and Related Costs
Restructuring charges for each period were as follows:
Six months ended June 30,
(in thousands)
20202019
Cost of revenue
$332  $54  
Research and development
2,500  556  
Sales and marketing
7,215  314  
General and administrative
1,240  501  
Total restructuring charges
$11,287  $1,425  
Schedule of Restructuring Reserve by Type of Cost
The following table provides a summary of the Company’s restructuring activities and the movement in the related liabilities recorded in accrued expenses and other current liabilities, and other long-term liabilities on the condensed consolidated balance sheet under the first quarter 2017 restructuring plan.
(in thousands)
Severance
Other
Total
Restructuring liability as of December 31, 2019
$—  $4,470  $4,470  
Restructuring charges
—  (73) (73) 
Cash paid
—  (1,736) (1,736) 
Restructuring liability as of June 30, 2020
$—  $2,661  $2,661  
v3.20.2
Summary of business and significant accounting policies (Details) - USD ($)
$ in Millions
3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Dec. 31, 2019
Property, Plant and Equipment [Line Items]          
Document Period End Date     Jun. 30, 2020    
Deferred Revenue $ 14.1   $ 14.1   $ 16.6
Deferred Revenue, Revenue Recognized $ 5.5 $ 5.3 $ 9.8 $ 9.7  
v3.20.2
Fair value measurements (Details) - USD ($)
$ in Thousands
Jun. 30, 2020
Dec. 31, 2019
Apr. 12, 2017
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Cash $ 60,200 $ 145,900  
Marketable securities 0 14,847  
Level 2 [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Fair value of convertible senior notes 154,000    
Fair Value, Recurring [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Cash and Cash Equivalents 19,442 4,413  
Marketable securities 0 14,847  
Fair Value, Recurring [Member] | Corporate Debt Securities [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Marketable securities 0 14,847  
Fair Value, Recurring [Member] | Money Market Funds [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Cash and Cash Equivalents 19,442 4,413  
Fair Value, Recurring [Member] | Level 1 [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Cash and Cash Equivalents 19,442 4,413  
Marketable securities 0 0  
Fair Value, Recurring [Member] | Level 1 [Member] | Corporate Debt Securities [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Marketable securities 0 0  
Fair Value, Recurring [Member] | Level 1 [Member] | Money Market Funds [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Cash and Cash Equivalents 19,442 4,413  
Fair Value, Recurring [Member] | Level 2 [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Cash and Cash Equivalents 0 0  
Marketable securities 0 14,847  
Fair Value, Recurring [Member] | Level 2 [Member] | Corporate Debt Securities [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Marketable securities 0 14,847  
Fair Value, Recurring [Member] | Level 2 [Member] | Money Market Funds [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Cash and Cash Equivalents $ 0 $ 0  
Convertible Debt [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Debt Instrument     $ 175,000
v3.20.2
Condensed consolidated financial statement details - Cash, Cash Equivalents and Marketable Securities (Details) - USD ($)
$ in Thousands
Jun. 30, 2020
Dec. 31, 2019
Jun. 30, 2019
Dec. 31, 2018
Cash and Cash Equivalents [Line Items]        
Marketable securities $ 0 $ 14,847    
Cash 60,200 145,900    
Cash and cash equivalents 79,679 150,301 $ 91,250 $ 152,095
Fair Value, Recurring [Member]        
Cash and Cash Equivalents [Line Items]        
Marketable securities $ 0 $ 14,847    
v3.20.2
Condensed consolidated financial statement details - Inventory (Details) - USD ($)
$ in Thousands
Jun. 30, 2020
Dec. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]    
Components $ 24,232 $ 20,370
Finished goods 117,919 123,866
Total inventory $ 142,151 $ 144,236
v3.20.2
Condensed consolidated financial statement details - Property and Equipment, Net (Details) - USD ($)
$ in Thousands
Jun. 30, 2020
Dec. 31, 2019
Property, Plant and Equipment [Line Items]    
Gross property and equipment $ 155,416 $ 155,220
Less: Accumulated depreciation and amortization (126,236) (118,681)
Property and equipment, net 29,180 36,539
Leasehold Improvements [Member]    
Property, Plant and Equipment [Line Items]    
Gross property and equipment 49,846 50,736
Production, engineering and other equipment [Member]    
Property, Plant and Equipment [Line Items]    
Gross property and equipment 47,019 45,649
Tooling [Member]    
Property, Plant and Equipment [Line Items]    
Gross property and equipment 18,223 19,216
Computers and software [Member]    
Property, Plant and Equipment [Line Items]    
Gross property and equipment 22,431 21,719
Furniture and office equipment [Member]    
Property, Plant and Equipment [Line Items]    
Gross property and equipment 10,527 10,846
Tradeshow Equipment and other [Member]    
Property, Plant and Equipment [Line Items]    
Gross property and equipment 7,083 7,009
Construction in Progress [Member]    
Property, Plant and Equipment [Line Items]    
Gross property and equipment $ 287 $ 45
v3.20.2
Condensed consolidated financial statement details - Intangible Assets and Goodwill (Details) - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Dec. 31, 2019
Finite-Lived Intangible Assets, Net [Abstract]          
Gross carrying value $ 51,066   $ 51,066   $ 50,501
Accumulated amortization (48,180)   (48,180)   (45,269)
Net carrying value 2,886   2,886   5,232
Intangible Assets, Gross (Excluding Goodwill) 51,081   51,081   50,516
Intangible assets, net 2,901   2,901   5,247
Indefinite-lived Intangible Assets [Roll Forward]          
Amortization of intangible assets 1,000 $ 2,000 2,900 $ 4,100  
Goodwill 146,459   146,459   146,459
Indefinite-Lived Trademarks $ 15   $ 15   $ 15
v3.20.2
Condensed consolidated financial statement details - Future Amortization (Details) - USD ($)
$ in Thousands
Jun. 30, 2020
Dec. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]    
2020 $ 1,687  
2021 1,152  
Net carrying value 2,886 $ 5,232
Finite-Lived Intangible Assets, Amortization Expense, Year Three $ 47  
v3.20.2
Condensed consolidated financial statement details - Other Assets (Details) - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Dec. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]          
POP Displays $ 6,023   $ 6,023   $ 7,595
Deferred Tax Assets, Net 811   811   864
Deposits and other 6,730   6,730   7,002
Other long-term assets 13,564   13,564   $ 15,461
Amortization of intangible assets $ 1,000 $ 2,000 $ 2,900 $ 4,100  
v3.20.2
Condensed consolidated financial statement details - Accrued Liabilities (Details) - USD ($)
Jun. 30, 2020
Dec. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]    
Employee related liabilities $ 6,574,000 $ 20,494,000
Accrued sales incentives 23,701,000 39,120,000
Other Accounts Payable and Accrued Liabilities 28,970,000 42,153,000
Customer Refund Liability, Current 12,430,000 14,854,000
Warranty liability 5,679,000 9,899,000
Customer deposits 3,332,000 2,063,000
Income taxes payable 1,101,000 1,166,000
Purchase Commitment, Remaining Minimum Amount Committed 2,083,000 1,710,000
Inventory received 1,281,000 5,737,000
Other 3,454,000 4,594,000
Accrued expenses and other current liabilities $ 88,605,000 $ 141,790,000
v3.20.2
Condensed consolidated financial statement details - Product Warranty (Details) - USD ($)
3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Dec. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]          
Beginning balances $ 8,954,000 $ 11,593,000 $ 11,398,000 $ 10,971,000  
Charged to cost of revenue 1,269,000 4,254,000 2,986,000 10,403,000  
Settlements of warranty claims (2,897,000) (2,997,000) (7,058,000) (8,524,000)  
Ending balances 7,326,000 $ 12,850,000 7,326,000 $ 12,850,000  
Warranty liability 5,679,000   5,679,000   $ 9,899,000
Product Warranty Accrual, Noncurrent $ 1,600,000   $ 1,600,000   $ 1,500,000
v3.20.2
Financing Arrangements (Details)
$ / shares in Units, shares in Millions
1 Months Ended 3 Months Ended 6 Months Ended
Apr. 12, 2017
USD ($)
$ / shares
shares
Mar. 31, 2016
USD ($)
Jun. 30, 2020
USD ($)
Jun. 30, 2019
USD ($)
Jun. 30, 2020
USD ($)
shares
Jun. 30, 2019
USD ($)
shares
Dec. 31, 2019
USD ($)
Line of Credit Facility [Line Items]              
Credit agreement, current borrowing capacity     $ 58,500,000   $ 58,500,000    
Document Period End Date         Jun. 30, 2020    
Long-term Debt, Percentage Bearing Fixed Interest, Amount $ 128,300,000            
Convertible debt, equity portion 46,700,000            
Long-term debt     154,063,000   $ 154,063,000   $ 148,810,000
Amortization of Debt Discount (Premium)         $ 4,850,000 $ 4,378,000  
Payments for Repurchase of Equity, Prepaid Forward $ 78,000,000.0            
Treasury Shares Acquired, Estimated, Prepaid Forward | shares 9.2       9.2 9.2  
Revolving Credit Facility [Member]              
Line of Credit Facility [Line Items]              
Credit agreement, current borrowing capacity   $ 250,000,000.0          
Debt, Current     30,000,000.0   $ 30,000,000.0    
Credit agreement, maximum borrowing capacity   300,000,000.0          
Minimum Fixed Charge Coverage Ratio, minimum balance   $ 25,000,000.0          
Minimum Fixed Charge Coverage Ratio, minimum percent   10.00%          
Amount outstanding             0
Convertible Debt [Member]              
Line of Credit Facility [Line Items]              
Debt Instrument $ 175,000,000.0            
Debt Instrument, Unamortized Discount     19,400,000   19,400,000   24,300,000
Interest rate 3.50%            
Debt Instrument, Convertible, Conversion Ratio 94.0071            
Convertible Debt Principal Amount Conversion $ 1,000   $ 175,000,000.0   175,000,000.0   175,000,000.0
Debt Instrument, Convertible, Conversion Price | $ / shares $ 10.64            
Effective rate 10.50%            
Debt Issuance Costs, Net $ 5,700,000            
Percentage of conversion price of notes     130.00%        
Percentage of trading price of notes     98.00%        
Long-term debt     $ 154,100,000   154,100,000   148,800,000
Interest Expense, Debt     1,600,000 $ 1,600,000 3,100,000 $ 3,100,000  
Amortization of Debt Issuance Costs     200,000 200,000 400,000 400,000  
Amortization of Debt Discount (Premium)     2,500,000 $ 2,300,000 4,900,000 $ 4,400,000  
Long-term Debt [Member] | Convertible Debt [Member]              
Line of Credit Facility [Line Items]              
Debt Issuance Costs, Gross 4,200,000            
Debt Issuance Costs, Net     $ 1,500,000   $ 1,500,000   $ 1,900,000
Additional Paid-in Capital [Member] | Convertible Debt [Member]              
Line of Credit Facility [Line Items]              
Debt Issuance Costs, Gross $ 1,500,000            
Minimum [Member] | Revolving Credit Facility [Member]              
Line of Credit Facility [Line Items]              
Unused Capacity, Commitment Fee Percentage   0.25%          
Maximum [Member] | Revolving Credit Facility [Member]              
Line of Credit Facility [Line Items]              
Unused Capacity, Commitment Fee Percentage   0.375%          
London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | Revolving Credit Facility [Member]              
Line of Credit Facility [Line Items]              
Basis Spread on Variable Rate   1.50%          
London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | Revolving Credit Facility [Member]              
Line of Credit Facility [Line Items]              
Basis Spread on Variable Rate   2.00%          
Base Rate [Member] | Minimum [Member] | Revolving Credit Facility [Member]              
Line of Credit Facility [Line Items]              
Basis Spread on Variable Rate   0.50%          
Base Rate [Member] | Maximum [Member] | Revolving Credit Facility [Member]              
Line of Credit Facility [Line Items]              
Basis Spread on Variable Rate   1.00%          
v3.20.2
Employee benefit plans - Narrative (Details) - USD ($)
3 Months Ended 6 Months Ended
Jun. 30, 2020
Mar. 31, 2020
Jun. 30, 2019
Mar. 31, 2019
Jun. 30, 2020
Jun. 30, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Allocated share-based compensation expense $ 5,876,000 $ 7,637,000 $ 10,606,000 $ 9,782,000    
ESPP stock issued during period (shares)         556,000 458,000
ESPP weighted average purchase price of shares purchased (usd per share)         $ 3.38 $ 4.96
Unearned stock-based compensation, expected recognition period         2 years 3 months 18 days  
Share-based Payment Arrangement, Expense, Tax Benefit 0   $ 0   $ 0 $ 0
RSUs [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Shares granted (shares)         5,604,000  
Weighted average price of shares granted (usd per share)         $ 4.09  
Performance Shares [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Shares granted (shares)         1,221,000  
Weighted average price of shares granted (usd per share)         $ 4.04  
Employee Stock Purchase Plan Shares [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Purchase Price of Common Stock, Percent         85.00%  
Stock Options, ESPP and Restricted Stock Units (RSUs) [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Unearned stock-based compensation costs $ 45,700,000       $ 45,700,000  
2014 Equity Incentive Plans [Member] | Stock Options [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Expiration Period         10 years  
2014 Equity Incentive Plans [Member] | Performance Shares [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Award Vesting Period         3 years  
2014 Equity Incentive Plans [Member] | Minimum [Member] | Stock Options [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Award Vesting Period         1 year  
2014 Equity Incentive Plans [Member] | Minimum [Member] | RSUs [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Award Vesting Period         2 years  
2014 Equity Incentive Plans [Member] | Maximum [Member] | Stock Options [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Award Vesting Period         4 years  
2014 Equity Incentive Plans [Member] | Maximum [Member] | RSUs [Member]            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Award Vesting Period         4 years  
v3.20.2
Employee benefit plans - Stock Option Activity (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
6 Months Ended 12 Months Ended
Jun. 30, 2020
Dec. 31, 2019
Shares (in thousands)    
Outstanding at beginning of period (shares) 3,963  
Granted (shares) 1,006  
Exercised (shares) (25)  
Forfeited/Cancelled (shares) (773)  
Outstanding at end of period (shares) 4,171 3,963
Weighted-average exercise price    
Outstanding at beginning of period (in dollars per share) $ 10.16  
Granted (usd per share) 3.99  
Exercised (usd per share) 1.13  
Outstanding at end of period (in dollars per share) $ 8.78 $ 10.16
Weighted Average Remaining Contractual Term (in years) 6 years 7 months 2 days 6 years 4 months 6 days
Aggregate intrinsic value (in thousands) $ 1,064 $ 374
Vested and Expected to Vest (shares) 4,171  
Vested and Expected to Vest - Weighted Average Exercise Price (in dollars per share) $ 8.78  
Vested and Expected to Vest- Weighted Average Remaining Contractual Term 6 years 7 months 2 days  
Vested and Expected to Vest - Aggregate Intrinsic Value $ 1,064  
Exercisable (shares) 2,676  
Exercisable - Weighted average exercise price (in dollars per share) $ 10.93  
Exercisable - Weighted Average Remaining Contractual Term 5 years 1 month 13 days  
Exercisable - Aggregate intrinsic value $ 324  
Share-based Compensation Arrangements by Share-based Payment Award, Options, Forfeitures in Period, Weighted Average Exercise Price $ 9.88  
v3.20.2
Employee benefit plans - Restricted Stock Units Activity (Details) - RSUs [Member]
shares in Thousands
6 Months Ended
Jun. 30, 2020
$ / shares
shares
Shares (in thousands)  
Non-vested shares at beginning of period (shares) | shares 8,225
Granted (shares) | shares 5,604
Vested (shares) | shares (1,649)
Forfeited (shares) | shares (1,823)
Non-vested shares at end of period (shares) | shares 10,357
Weighted-average grant date fair value  
Non-vested shares at beginning of period (in dollars per share) | $ / shares $ 6.11
Weighted average price of shares granted (usd per share) | $ / shares 4.09
Weighted average price of shares vested (usd per share) | $ / shares 6.78
Weighted average price of shares forfeited (usd per share) | $ / shares 5.50
Non-vested shares at end of period (in dollars per share) | $ / shares $ 5.02
v3.20.2
Employee benefit plans - Allocation of Stock-based Compensation Expense (Details) - USD ($)
3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Total stock-based compensation expense $ 5,876,000 $ 10,606,000 $ 13,513,000 $ 20,391,000
Share-based Payment Arrangement, Expense, Tax Benefit 0 0 0 0
Cost of Revenue [Member]        
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Total stock-based compensation expense 332,000 522,000 835,000 1,035,000
Research and Development [Member]        
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Total stock-based compensation expense 3,063,000 4,884,000 6,085,000 9,561,000
Selling and Marketing Expense [Member]        
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Total stock-based compensation expense 789,000 2,221,000 2,506,000 4,434,000
General and Administrative [Member]        
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Total stock-based compensation expense $ 1,692,000 $ 2,979,000 $ 4,087,000 $ 5,361,000
v3.20.2
Employee benefit plans Performance Stock Units activity (Details) - Performance Shares [Member] - $ / shares
shares in Thousands
6 Months Ended
Jun. 30, 2020
Dec. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Restricted stock units outstanding (shares) 1,625 788
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value $ 4.97 $ 7.51
Granted (shares) 1,221  
Weighted average price of shares granted (usd per share) $ 4.04  
Vested (shares) (179)  
Weighted average price of shares vested (usd per share) $ 7.51  
Forfeited (shares) (205)  
Weighted average price of shares forfeited (usd per share) $ 7.02  
v3.20.2
Net loss per share Additional Information (Details) - USD ($)
$ in Millions
6 Months Ended
Apr. 12, 2017
Jun. 30, 2020
Jun. 30, 2019
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]      
Document Period End Date   Jun. 30, 2020  
Treasury Shares Acquired, Estimated, Prepaid Forward 9,200,000 9,200,000 9,200,000
Common Class A [Member]      
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]      
Common Stock, Voting Rights, Number   1  
Conversion of Stock, Shares Issued   1  
Common Class B [Member]      
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]      
Common Stock, Voting Rights, Number   10  
Convertible Debt [Member]      
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]      
Debt Instrument $ 175.0    
Interest rate 3.50%    
Maximum number of shares issuable upon conversion of the notes 20,600,000    
v3.20.2
Net loss per share - Basic and Diluted Net Income per Share Attributable to Common Stockholders (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
3 Months Ended 6 Months Ended
Apr. 12, 2017
Jun. 30, 2020
Mar. 31, 2020
Jun. 30, 2019
Mar. 31, 2019
Jun. 30, 2020
Jun. 30, 2019
Earnings Per Share [Abstract]              
Treasury Shares Acquired, Estimated, Prepaid Forward 9,200         9,200 9,200
Numerator:              
Net loss   $ (50,975) $ (63,528) $ (11,287) $ (24,365) $ (114,503) $ (35,652)
Denominator:              
Weighted-average common shares—basic for Class A and Class B common stock (shares)   148,497   144,668   148,028 143,640
Earnings Per Share, Basic and Diluted   $ (0.34)   $ (0.08)   $ (0.77) $ (0.25)
v3.20.2
Net loss per share - Antidilutive Securities Excluded from Computation of Net Income per Share (Details) - shares
shares in Thousands
3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Earnings Per Share [Abstract]        
Antidilutive securities excluded from computation of earnings per share (shares) 15,057 12,817 14,519 12,870
v3.20.2
Income taxes Income Taxes (Details) (Details) - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Income Tax Disclosure [Abstract]        
Loss before income taxes $ (49,906) $ (11,892) $ (111,035) $ (35,879)
Income tax (benefit) expense $ (1,069) $ 605 $ (3,468) $ 227
Effective Income Tax Rate Reconciliation, Percent (2.10%) 5.10% (3.10%) 0.60%
Other Tax Expense (Benefit)   $ 100   $ 300
v3.20.2
Income taxes - Income Tax Expense (Details) - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Income Tax Disclosure [Abstract]        
Income tax (benefit) expense $ 1,069 $ (605) $ 3,468 $ (227)
Effective Income Tax Rate Reconciliation, Percent (2.10%) 5.10% (3.10%) 0.60%
Current Foreign Tax Expense (Benefit) $ 600 $ 400 $ 2,900 $ 900
v3.20.2
Income taxes - Unrecognized Income Tax Benefits (Details) - USD ($)
$ in Millions
6 Months Ended
Jun. 30, 2019
Jun. 30, 2020
Income Tax Disclosure [Abstract]    
Unrecognized Tax Benefits that Would Impact Effective Tax Rate   $ 14.1
Unrecognized Tax Benefits, Increase Resulting from Current Period Tax Positions $ 0.5  
v3.20.2
Income taxes - Narrative (Details) - USD ($)
3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Dec. 31, 2019
Income Tax Disclosure [Abstract]          
Increase in Unrecognized Tax Benefits is Reasonably Possible $ 13,000,000.0   $ 13,000,000.0    
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount 800,000   2,000,000.0 $ 1,400,000  
Income Tax Effects Allocated Directly to Equity, Other 700,000 $ 400,000 1,800,000 900,000  
Unrecognized Tax Benefits, Increase Resulting from Current Period Tax Positions       500,000  
Tax Adjustments, Settlements, and Unusual Provisions   900,000   900,000  
Other Tax Expense (Benefit)   100,000   300,000  
Unrecognized Tax Benefits 28,700,000   28,700,000   $ 27,200,000
Current Foreign Tax Expense (Benefit) 600,000 400,000 2,900,000 900,000  
Loss before income taxes (49,906,000) (11,892,000) (111,035,000) (35,879,000)  
Income tax (benefit) expense 1,069,000 (605,000) 3,468,000 (227,000)  
Unrecognized Tax Benefits, Period Increase (Decrease) 500,000   500,000    
Income Tax Expense (Benefit), Continuing Operations, Adjustment of Deferred Tax (Asset) Liability 2,600,000   2,600,000    
Restructuring adjustments $ 2,400,000 $ 400,000 $ 2,400,000 $ 500,000  
v3.20.2
Commitments, contingencies and guarantees - Narrative (Details) - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Dec. 31, 2019
Long-term Purchase Commitment [Line Items]          
Operating Lease, Cost $ 4,088 $ 4,459 $ 8,295 $ 9,564  
Operating Lease, Payments     $ 7,441 6,551  
Document Period End Date     Jun. 30, 2020    
Lessee, Operating Lease, Liability, Payments, Remainder of Fiscal Year 6,102   $ 6,102    
Lessee, Operating Lease, Liability, Payments, Due Next Twelve Months 13,706   13,706    
Lessee, Operating Lease, Liability, Payments, Due Year Two 12,804   12,804    
Lessee, Operating Lease, Liability, Payments, Due Year Three 12,035   12,035    
Lessee, Operating Lease, Liability, Payments, Due Year Five 11,897   11,897    
Lessee, Operating Lease, Liability, Payments, Due after Year Five 25,065   25,065    
Lessee, Operating Lease, Liability, Payments, Due 81,609   81,609    
us-gaap_Lessee Operating Lease Liability Undiscounted Excess Amount (14,524)   (14,524)    
Other Commitment $ 215,800   215,800    
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability     $ 147 10,780  
Operating Lease, Weighted Average Remaining Lease Term 6 years 14 days   6 years 14 days   6 years 5 months 8 days
Operating Lease, Weighted Average Discount Rate, Percent 6.20%   6.20%   6.20%
Operating Lease, Liability $ 67,085   $ 67,085    
Sublease Income (131) (168) (260) (399)  
Lease, Cost $ 3,957 $ 4,291 $ 8,035 $ 9,165  
v3.20.2
Concentrations of risk and geographic information - Narrative (Details) - USD ($)
3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Dec. 31, 2019
Revenue, Major Customer [Line Items]          
Revenue $ 134,246,000 $ 292,429,000 $ 253,646,000 $ 535,137,000  
Document Period End Date     Jun. 30, 2020    
United States [Member]          
Revenue, Major Customer [Line Items]          
Revenue 76,800,000 $ 117,700,000 $ 122,500,000 $ 200,700,000  
Outside the United States [Member]          
Revenue, Major Customer [Line Items]          
Long-lived assets $ 8,500,000   $ 8,500,000   $ 11,000,000.0
v3.20.2
Concentrations of risk and geographic information - Schedule of Customer Concentration by Risk Factor (Details) - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended 12 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Dec. 31, 2019
Concentration Risk [Line Items]          
Document Period End Date     Jun. 30, 2020    
Accounts receivable sold $ 4,242 $ 38,525 $ 35,561 $ 54,948  
Factoring fees $ 38 $ 478 $ 186 $ 698  
Customer Concentration Risk [Member] | Accounts Receivable [Member] | Customer A [Member]          
Concentration Risk [Line Items]          
Concentration risk         15.00%
Customer Concentration Risk [Member] | Accounts Receivable [Member] | Customer B [Member]          
Concentration Risk [Line Items]          
Concentration risk     24.00%   11.00%
Customer Concentration Risk [Member] | Accounts Receivable [Member] | Customer C [Member]          
Concentration Risk [Line Items]          
Concentration risk     24.00%    
Customer Concentration Risk [Member] | Accounts Receivable [Member] | Customer D          
Concentration Risk [Line Items]          
Concentration risk     10.00%    
Customer Concentration Risk [Member] | Sales Revenue [Member] | Customer A [Member]          
Concentration Risk [Line Items]          
Concentration risk   17.00%   15.00%  
Customer Concentration Risk [Member] | Sales Revenue [Member] | Customer B [Member]          
Concentration Risk [Line Items]          
Concentration risk 13.00%        
Customer Concentration Risk [Member] | Sales Revenue [Member] | Customer C [Member]          
Concentration Risk [Line Items]          
Concentration risk 10.00%        
v3.20.2
Concentrations of risk and geographic information - Schedule of Revenue by Geographic Segment (Details) - USD ($)
3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Segment Reporting Information [Line Items]        
Revenue $ 134,246,000 $ 292,429,000 $ 253,646,000 $ 535,137,000
United States [Member]        
Segment Reporting Information [Line Items]        
Revenue 76,800,000 117,700,000 122,500,000 200,700,000
Americas [Member]        
Segment Reporting Information [Line Items]        
Revenue 82,640,000 142,267,000 139,887,000 251,341,000
Europe, Middle East and Africa [Member]        
Segment Reporting Information [Line Items]        
Revenue 34,909,000 82,893,000 64,628,000 153,759,000
Asia and Pacific Area Countries [Member]        
Segment Reporting Information [Line Items]        
Revenue $ 16,697,000 $ 67,269,000 $ 49,131,000 $ 130,037,000
v3.20.2
Restructuring charges - Restructuring Costs (Details) - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2017
Jun. 30, 2020
Jun. 30, 2019
Dec. 31, 2019
Restructuring Cost and Reserve [Line Items]          
Restructuring charges     $ 11,287 $ 1,425  
Cost of Revenue [Member]          
Restructuring Cost and Reserve [Line Items]          
Restructuring charges     332 54  
Research and Development [Member]          
Restructuring Cost and Reserve [Line Items]          
Restructuring charges     2,500 556  
Selling and Marketing Expense [Member]          
Restructuring Cost and Reserve [Line Items]          
Restructuring charges     7,215 314  
General and Administrative [Member]          
Restructuring Cost and Reserve [Line Items]          
Restructuring charges     1,240 $ 501  
First quarter 2017 restructuring [Member]          
Restructuring Cost and Reserve [Line Items]          
Restructuring charges   $ 23,100      
Restructuring charges     (73)    
Restructuring Reserve $ 2,661   2,661   $ 4,470
Other Restructuring Costs     (73)    
Cash paid     (1,736)    
First quarter 2017 restructuring [Member] | Non-cancelable Leases, Accelerated Depreciation and Other Charges [Member]          
Restructuring Cost and Reserve [Line Items]          
Restructuring charges   12,800      
First quarter 2017 restructuring [Member] | Employee Severance [Member]          
Restructuring Cost and Reserve [Line Items]          
Restructuring Reserve 0   0   0
Severance Costs   $ 10,300 0    
Cash paid     0    
First quarter 2017 restructuring [Member] | Other Restructuring [Member]          
Restructuring Cost and Reserve [Line Items]          
Restructuring Reserve 2,661   2,661   4,470
Cash paid     (1,736)    
Second quarter 2020 restructuring [Member]          
Restructuring Cost and Reserve [Line Items]          
Restructuring charges 11,500        
Restructuring charges     11,492    
Restructuring Reserve 1,548   1,548   0
Other Restructuring Costs     3,584    
Cash paid     (6,648)    
Restructuring Reserve, Settled without Cash     (3,296)    
Second quarter 2020 restructuring [Member] | Non-cancelable Leases, Accelerated Depreciation and Other Charges [Member]          
Restructuring Cost and Reserve [Line Items]          
Restructuring charges 3,600        
Second quarter 2020 restructuring [Member] | Employee Severance [Member]          
Restructuring Cost and Reserve [Line Items]          
Restructuring Reserve 1,548   1,548   0
Severance Costs 7,900   7,908    
Cash paid     (6,360)    
Restructuring Reserve, Settled without Cash     0    
Second quarter 2020 restructuring [Member] | Other Restructuring [Member]          
Restructuring Cost and Reserve [Line Items]          
Restructuring Reserve $ 0   0   $ 0
Cash paid     (288)    
Restructuring Reserve, Settled without Cash     $ (3,296)    
v3.20.2
Restructuring charges (Details) - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended
Apr. 14, 2020
Mar. 15, 2017
Jun. 30, 2020
Jun. 30, 2017
Jun. 30, 2020
Jun. 30, 2019
Restructuring Cost and Reserve [Line Items]            
Restructuring charges         $ 11,287 $ 1,425
First quarter 2017 restructuring [Member]            
Restructuring Cost and Reserve [Line Items]            
Expected percent of positions eliminated   17.00%        
Restructuring charges       $ 23,100    
Other Restructuring Costs         (73)  
First quarter 2017 restructuring [Member] | Non-cancelable Leases, Accelerated Depreciation and Other Charges [Member]            
Restructuring Cost and Reserve [Line Items]            
Restructuring charges       12,800    
First quarter 2017 restructuring [Member] | Employee Severance and Pay Related Costs [Member]            
Restructuring Cost and Reserve [Line Items]            
Severance Costs       $ 10,300 0  
Second quarter 2020 restructuring [Member]            
Restructuring Cost and Reserve [Line Items]            
Expected percent of positions eliminated 20.00%          
Restructuring charges     $ 11,500      
Other Restructuring Costs         3,584  
Second quarter 2020 restructuring [Member] | Non-cancelable Leases, Accelerated Depreciation and Other Charges [Member]            
Restructuring Cost and Reserve [Line Items]            
Restructuring charges     3,600      
Second quarter 2020 restructuring [Member] | Employee Severance and Pay Related Costs [Member]            
Restructuring Cost and Reserve [Line Items]            
Severance Costs     $ 7,900   $ 7,908  
v3.20.2
Restructuring charges - Restructuring Liability (Details) - First quarter 2017 restructuring [Member] - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended
Jun. 30, 2017
Jun. 30, 2020
Restructuring Cost and Reserve [Line Items]    
Other Restructuring Costs   $ (73)
Restructuring Reserve [Roll Forward]    
Restructuring liability as of October 1, 2016   4,470
Restructuring charges   (73)
Cash paid   (1,736)
Restructuring liability as of December 31, 2017   2,661
Employee Severance [Member]    
Restructuring Cost and Reserve [Line Items]    
Severance Costs $ 10,300 0
Restructuring Reserve [Roll Forward]    
Restructuring liability as of October 1, 2016   0
Cash paid   0
Restructuring liability as of December 31, 2017   0
Other Restructuring [Member]    
Restructuring Reserve [Roll Forward]    
Restructuring liability as of October 1, 2016   4,470
Cash paid   (1,736)
Restructuring liability as of December 31, 2017   $ 2,661
v3.20.2
Subsequent Events (Details) - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended
Sep. 30, 2020
Jun. 30, 2020
Jun. 30, 2019
Subsequent Event [Line Items]      
Restructuring charges   $ 11,287 $ 1,425
Subsequent Event [Member] | Minimum [Member]      
Subsequent Event [Line Items]      
Restructuring charges $ 31,000    
Restructuring Costs and Asset Impairment Charges 26,000    
Subsequent Event [Member] | Maximum [Member]      
Subsequent Event [Line Items]      
Restructuring charges 49,000    
Restructuring Costs and Asset Impairment Charges 44,000    
Subsequent Event [Member] | Employee Severance [Member]      
Subsequent Event [Line Items]      
Severance Costs 5,000    
Subsequent Event [Member] | Leasehold Improvements [Member]      
Subsequent Event [Line Items]      
Restructuring charges 4,000    
Subsequent Event [Member] | point of purchase (POP) Displays [Domain]      
Subsequent Event [Line Items]      
Restructuring charges $ 5,000