FASTLY, INC., 10-Q filed on 8/5/2022
Quarterly Report
v3.22.2
Cover Page - shares
shares in Millions
 6 Months Ended
Jun. 30, 2022
Jul. 29, 2022
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Jun. 30, 2022  
Document Transition Report false  
Entity File Number 001-38897  
Entity Registrant Name FASTLY, INC.  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 27-5411834  
Entity Address, Address Line One 475 Brannan Street, Suite 300  
Entity Address, City or Town San Francisco  
Entity Address, State or Province CA  
Entity Address, Postal Zip Code 94107  
City Area Code 844  
Local Phone Number 432-7859  
Title of 12(b) Security Class A Common Stock, $0.00002 par value  
Trading Symbol FSLY  
Security Exchange Name NYSE  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   122.0
Entity Central Index Key 0001517413  
Current Fiscal Year End Date --12-31  
Document Fiscal Year Focus 2022  
Document Fiscal Period Focus Q2  
Amendment Flag false  
v3.22.2
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Jun. 30, 2022
Dec. 31, 2021
Current assets:    
Cash and cash equivalents $ 62,510 $ 166,068
Marketable securities, current 419,905 361,795
Accounts receivable, net of allowance for credit losses of $3,696 and $3,311 as of June 30, 2022 and December 31, 2021, respectively 68,218 64,625
Prepaid expenses and other current assets 29,037 32,160
Total current assets 579,670 624,648
Property and equipment, net 173,950 166,961
Operating lease right-of-use assets, net 69,861 69,631
Goodwill 670,186 636,805
Intangible assets, net 93,978 102,596
Marketable securities, non-current 284,951 528,911
Other assets 60,199 29,468
Total assets 1,932,795 2,159,020
Current liabilities:    
Accounts payable 10,011 9,257
Accrued expenses 49,943 36,112
Finance lease liabilities, current 28,088 21,125
Operating lease liabilities, current 19,243 20,271
Other current liabilities 33,705 45,107
Total current liabilities 140,990 131,872
Long-term debt 703,375 933,205
Finance lease liabilities, noncurrent 26,479 22,293
Operating lease liabilities, noncurrent 60,657 55,114
Other long-term liabilities 7,556 2,583
Total liabilities 939,057 1,145,067
Commitments and contingencies (Note 10)
Stockholders’ equity:    
Class A common stock 2 2
Additional paid-in capital 1,597,869 1,527,468
Accumulated other comprehensive loss (12,542) (2,627)
Accumulated deficit (591,591) (510,890)
Total stockholders’ equity 993,738 1,013,953
Total liabilities and stockholders’ equity $ 1,932,795 $ 2,159,020
v3.22.2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)
$ in Thousands
Jun. 30, 2022
Dec. 31, 2021
Statement of Financial Position [Abstract]    
Allowance for doubtful accounts $ 3,696 $ 3,311
v3.22.2
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)
shares in Thousands, $ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Income Statement [Abstract]        
Revenue $ 102,518 $ 85,026 $ 204,900 $ 169,878
Cost of revenue 56,466 40,320 110,381 77,814
Gross profit 46,052 44,706 94,519 92,064
Operating expenses:        
Research and development 38,717 30,346 79,154 59,334
Sales and marketing 46,760 36,334 88,240 71,206
General and administrative 29,543 35,494 59,097 68,955
Total operating expenses 115,020 102,174 226,491 199,495
Loss from operations (68,968) (57,468) (131,972) (107,431)
Net gain on extinguishment of debt 54,391 0 54,391 0
Interest income 1,502 276 2,183 450
Interest expense (1,530) (1,436) (3,152) (2,097)
Other income (expense) (1,673) 178 (1,952) 114
Loss before income taxes (16,278) (58,450) (80,502) (108,964)
Income tax expense (benefit) 159 (155) 199 14
Net loss $ (16,437) $ (58,295) $ (80,701) $ (108,978)
Net loss per share attributable to common stockholders, basic (in US dollar per share) $ (0.14) $ (0.51) $ (0.67) $ (0.95)
Net loss per share attributable to common stockholders, diluted (in US dollar per share) $ (0.14) $ (0.51) $ (0.67) $ (0.95)
Weighted-average shares used in computing net loss per share attributable to common stockholders, basic (in shares) 121,242 115,326 120,295 114,733
Weighted-average shares used in computing net loss per share attributable to common stockholders, diluted (in shares) 121,242 115,326 120,295 114,733
v3.22.2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Statement of Other Comprehensive Income [Abstract]        
Net loss $ (16,437) $ (58,295) $ (80,701) $ (108,978)
Other comprehensive loss:        
Foreign currency translation loss 17 23 (170) (42)
Loss on investments in available-for-sale-securities (3,063) (147) (9,745) (225)
Total other comprehensive loss (3,046) (124) (9,915) (267)
Comprehensive loss $ (19,483) $ (58,419) $ (90,616) $ (109,245)
v3.22.2
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY - USD ($)
shares in Thousands, $ in Thousands
Total
Common Stock
Common Stock—Class A
Common Stock
Common Stock—Class A
Vesting of restricted stock units
Common Stock
Common Stock—Class A
Vesting of restricted stock awards
Common Stock
Common Stock—Class B
Additional Paid-in Capital
Accumulated Other Comprehensive Loss
Accumulated Deficit
Beginning balance (in shares) at Dec. 31, 2020   103,394     10,229      
Beginning balance at Dec. 31, 2020 $ 1,061,865 $ 1     $ 1 $ 1,350,050 $ 6 $ (288,193)
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Exercise of vested stock options (in shares)   1,029            
Exercise of vested stock options 5,605         5,605    
Vesting of early exercised stock options (in shares)         29      
Vesting of early exercised stock options 128         128    
Vesting of restricted stock units/awards (in shares)     909 224        
Shares issued under ESPP (in shares)   154            
Shares issued under ESPP 5,719         5,719    
Stock-based compensation 65,018         65,018    
Conversion of Class B to Class A Stock (in shares)   549     (549)      
Net loss (108,978)             (108,978)
Other comprehensive income (loss) (267)           (267)  
Ending balance (in shares) at Jun. 30, 2021   106,259     9,708      
Ending balance at Jun. 30, 2021 1,029,090 $ 1     $ 1 1,426,520 (261) (397,171)
Beginning balance (in shares) at Mar. 31, 2021   104,950     9,891      
Beginning balance at Mar. 31, 2021 1,045,034 $ 1     $ 1 1,384,045 (137) (338,876)
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Exercise of vested stock options (in shares)   428            
Exercise of vested stock options 2,886         2,886    
Vesting of early exercised stock options (in shares)         14      
Vesting of early exercised stock options 64         64    
Vesting of restricted stock units/awards (in shares)     419 112        
Shares issued under ESPP (in shares)   153            
Shares issued under ESPP 5,719         5,719    
Stock-based compensation 33,806         33,806    
Conversion of Class B to Class A Stock (in shares)   197     (197)      
Net loss (58,295)             (58,295)
Other comprehensive income (loss) (124)           (124)  
Ending balance (in shares) at Jun. 30, 2021   106,259     9,708      
Ending balance at Jun. 30, 2021 1,029,090 $ 1     $ 1 1,426,520 (261) (397,171)
Beginning balance (in shares) at Dec. 31, 2021   118,811            
Beginning balance at Dec. 31, 2021 $ 1,013,953 $ 2       1,527,468 (2,627) (510,890)
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Exercise of vested stock options (in shares) 1,624 1,624            
Exercise of vested stock options $ 4,769         4,769    
Vesting of restricted stock units/awards (in shares)     1,083 75        
Shares issued under ESPP (in shares)   292            
Shares issued under ESPP 2,962         2,962    
Stock-based compensation 62,670         62,670    
Net loss (80,701)             (80,701)
Other comprehensive income (loss) (9,915)           (9,915)  
Ending balance (in shares) at Jun. 30, 2022   121,885            
Ending balance at Jun. 30, 2022 993,738 $ 2       1,597,869 (12,542) (591,591)
Beginning balance (in shares) at Mar. 31, 2022   120,777            
Beginning balance at Mar. 31, 2022 976,723 $ 2       1,561,371 (9,496) (575,154)
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Exercise of vested stock options (in shares)   273            
Exercise of vested stock options 1,721         1,721    
Vesting of restricted stock units/awards (in shares)     506 37        
Shares issued under ESPP (in shares)   292            
Shares issued under ESPP 2,962         2,962    
Stock-based compensation 31,815         31,815    
Net loss (16,437)             (16,437)
Other comprehensive income (loss) (3,046)           (3,046)  
Ending balance (in shares) at Jun. 30, 2022   121,885            
Ending balance at Jun. 30, 2022 $ 993,738 $ 2       $ 1,597,869 $ (12,542) $ (591,591)
v3.22.2
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Cash flows from operating activities:    
Net loss $ (80,701) $ (108,978)
Adjustments to reconcile net loss to net cash used in operating activities:    
Depreciation expense 20,586 13,346
Amortization of intangible assets 10,618 10,620
Amortization of right-of-use assets and other 13,378 12,660
Amortization of debt discount and issuance costs 1,739 1,269
Amortization of deferred contract costs 3,989 2,946
Stock-based compensation 75,000 64,264
Provision for credit losses 529 (195)
Interest on finance lease (1,240) (735)
Loss on disposals of property and equipment 854 27
Amortization and accretion of discounts and premiums on investments 1,851 0
Net gain on extinguishment of debt (54,391) 0
Other adjustments 61 813
Changes in operating assets and liabilities:    
Accounts receivable (4,122) (5,612)
Prepaid expenses and other current assets (4,812) (5,494)
Other assets (6,399) (5,089)
Accounts payable 844 162
Accrued expenses 1,162 (3,835)
Operating lease liabilities (12,837) (12,856)
Other liabilities 4,021 8,804
Net cash used in operating activities (29,870) (27,883)
Cash flows from investing activities:    
Purchases of marketable securities (355,479) (333,868)
Sales of marketable securities 161,853 12,497
Maturities of marketable securities 367,880 57,253
Business acquisitions, net of cash acquired and other related payments (25,999) 0
Advance payment for purchase of property and equipment (29,310) 0
Purchases of property and equipment (8,815) (11,013)
Proceeds from sale of property and equipment 241 0
Capitalized internal-use software (8,736) (2,680)
Purchase of intangible assets 0 (2,093)
Net cash provided by (used in) investing activities 101,635 (279,904)
Cash flows from financing activities:    
Issuance of convertible note, net of issuance costs 0 930,775
Payments of other debt issuance costs 0 (1,351)
Net cash paid for debt extinguishment (177,082) 0
Repayments of finance lease liabilities (11,029) (6,579)
Cash received for restricted stock sold in advance of vesting conditions 10,655 0
Cash paid for early sale of restricted shares (7,037) 0
Proceeds from exercise of vested stock options 4,769 5,605
Proceeds from employee stock purchase plan 3,977 4,564
Net cash provided by (used in) financing activities (175,747) 933,014
Effects of exchange rate changes on cash, cash equivalents, and restricted cash (319) (141)
Net increase (decrease) in cash, cash equivalents, and restricted cash (104,301) 625,086
Cash, cash equivalents, and restricted cash at beginning of period 166,961 63,880
Cash, cash equivalents, and restricted cash at end of period 62,660 688,966
Supplemental disclosure of cash flow information:    
Cash paid for interest 1,304 759
Cash paid for income taxes, net of refunds received 180 175
Property and equipment additions not yet paid in cash 3,636 1,814
Stock-based compensation capitalized to internal-use software 3,522 754
Assets obtained in exchange for operating lease obligations 15,676 13,481
Assets obtained in exchange for finance lease obligations 22,178 15,538
Net non-cash change in operating lease assets and liabilities associated with modifications and terminations 2,960 0
Purchase consideration associated with business combination, accrued but not paid 8,126 0
Costs associated with business combination, accrued but not paid 1,873 0
Reconciliation of cash, cash equivalents, and restricted cash as shown in the statements of cash flows:    
Cash and cash equivalents 62,510 687,986
Restricted cash, current 150 87
Restricted cash, non-current 0 893
Total cash, cash equivalents, and restricted cash $ 62,660 $ 688,966
v3.22.2
Nature of Business
 6 Months Ended
Jun. 30, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Nature of Business Nature of Business
Fastly, Inc. has built an edge cloud platform that can process, serve, and secure its customer’s applications as close to their end users as possible. As of June 30, 2022, the Company's edge network spans across 78 markets around the world. The Company was incorporated in Delaware in 2011 and is headquartered in San Francisco, California.
As used herein, "Fastly," "we," "our," "the Company," and similar terms include Fastly, Inc. and its subsidiaries, unless the context indicates otherwise.
Conversion of dual class common stock structure
On July 12, 2021, all outstanding shares of Class B common stock automatically converted into the same number of shares of Class A common stock (the "Conversion") pursuant to the terms of the Company's amended and restated certificate of incorporation (the "Certificate"). Upon the Conversion, outstanding options denominated in shares of Class B common stock issued under any of the Company's equity incentive plans remained unchanged, except that such options now represent the right to receive shares of Class A common stock on exercise. In accordance with the Certificate, the shares of Class B common stock that converted to Class A common stock were retired and will not be reissued by the Company.
v3.22.2
Summary of Significant Accounting Policies
 6 Months Ended
Jun. 30, 2022
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies Summary of Significant Accounting Policies
Basis of Presentation and Consolidation
The accompanying condensed consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“GAAP”), consistent in all material respects with those applied in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2021, filed with the Securities and Exchange Commission (“SEC”) on March 1, 2022. The Company's condensed consolidated financial statements include its accounts and its wholly owned subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation.
The Company's condensed consolidated financial statements are unaudited but include all adjustments of a normal recurring nature necessary for a fair presentation of its quarterly results. The Company's condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2021.
Certain changes to presentation have been made to conform the prior period presentation to the current period reporting. Such reclassifications did not affect the condensed consolidated balance sheets, total revenues, operating income, or net income.
Use of Estimates
The preparation of condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates, judgements and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. The Company bases its estimates on historical experience and also on assumptions that it believes are reasonable.
Due to the Coronavirus (“COVID-19”) pandemic there has been uncertainty and disruption in the global economy and financial markets. The Company is not aware of any specific event or circumstance that would require an update to its estimates or judgments or a revision of the carrying value of its assets or liabilities as of June 30, 2022. These estimates may change, as new events occur and additional information is obtained, as well as other factors related to COVID-19 that could result in material impacts to the Company's consolidated financial statements in future reporting periods.
Significant Accounting Policies
There have been no material changes to the Company's significant accounting policies as compared to those described in “Note 2 – Summary of Significant Accounting Policies” of the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2021.
Recently Adopted and Issued Accounting Pronouncements
The Company has not adopted any new accounting pronouncements in the three and six months ended June 30, 2022. Other recently issued accounting pronouncements are not expected to have a material impact on its condensed consolidated financial statements.
Concentrations of Credit Risk

Financial instruments that potentially subject the Company to significant concentrations of credit risk consist primarily of cash, cash equivalents, marketable securities and accounts receivable.
The Company's cash, cash equivalents, and marketable securities primarily consisted of bank deposits, money market funds, investment-grade commercial paper, corporate notes and bonds, U.S. treasury securities, municipal securities, foreign government and supranational securities and asset-backed securities held at major financial institutions. The primary focus of its investment strategy is to preserve capital and meet liquidity requirements. The Company's investment policy limits the amount of credit exposure with any one financial institution or commercial issuer.
Concentrations of credit risk with respect to accounts receivable are primarily limited to certain customers to which the Company makes substantial sales. The Company's customer base consists of a large number of geographically dispersed customers diversified across several industries. In the three and six months ended June 30, 2022 and June 30, 2021, no customer accounted for more than 10% of revenue. As of June 30, 2022 and December 31, 2021, no customer accounted for more than 10% of the total accounts receivable balance.
v3.22.2
Revenue
 6 Months Ended
Jun. 30, 2022
Revenue from Contract with Customer [Abstract]  
Revenue Revenue
Revenue by geography is based on the billing address of the customer. Aside from the United States, no other single country accounted for more than 10% of revenue for both the three and six months ended June 30, 2022 and June 30, 2021. The following table presents the Company's net revenue by geographic region:
Three months ended June 30,Six months ended June 30,
2022202120222021
(in thousands)
United States$76,052 $59,674 $151,666 $122,408 
Asia Pacific12,869 9,077 24,589 18,231 
Europe9,242 8,232 18,595 17,872 
All other4,355 8,043 10,050 11,367 
Total revenue$102,518 $85,026 $204,900 $169,878 
The majority of the Company's revenue is derived from enterprise customers, which are defined as customers with revenue in excess of $100,000 over the previous 12-month period. The following table presents the Company's net revenue for enterprise and non-enterprise customers:
Three months ended June 30,Six months ended June 30,
2022202120222021
(in thousands)
Enterprise customers$91,253 $74,372 $182,354 $149,837 
Non-enterprise customers11,265 10,654 22,546 20,041 
Total revenue$102,518 $85,026 $204,900 $169,878 
Contract balances
The following table presents the Company's contract assets and contract liabilities as of June 30, 2022 and as of December 31, 2021:
As of June 30, 2022As of December 31, 2021
(in thousands)
Contract assets$33 $89 
Contract liabilities$29,052 $28,907 
The Company's payment terms and conditions vary by contract type. Payment terms on invoiced amounts are at a weighted average of 40 days.
The following table presents the revenue recognized during the three and six months ended June 30, 2022 and 2021 from amounts included in the contract liability at the beginning of the period:
Three months ended June 30,Six months ended June 30,
2022202120222021
(in thousands)
Revenue recognized in the period from amounts included in contract liability at the beginning of the period$10,674 $6,840 $19,164 $11,136 
Remaining performance obligations
As of June 30, 2022, the Company had $173.2 million of remaining performance obligations, which includes deferred revenue and amounts that will be invoiced and recognized in future periods, respectively. As of June 30, 2022, the Company expects to recognize approximately 85% of this balance over the next 12 months in the Company's condensed consolidated statement of operations and comprehensive loss. The typical contract term with the Company's customers is one year, although terms may vary by contract.
Costs to obtain a contract
As of June 30, 2022 and December 31, 2021, the Company's costs to obtain contracts were as follows:
As of June 30, 2022As of December 31, 2021
(in thousands)
Deferred contract costs, net$26,595 $23,830 
During the three months ended June 30, 2022 and 2021, the Company recognized $2.1 million and $1.5 million of amortization related to deferred contract costs, respectively. During the six months ended June 30, 2022 and 2021, the Company recognized $4.0 million and $2.9 million of amortization related to deferred contract costs, respectively. These costs are recorded within sales and marketing expenses on the accompanying Condensed Consolidated Statements of Operations.
v3.22.2
Investments and Fair Value Measurements
 6 Months Ended
Jun. 30, 2022
Fair Value Disclosures [Abstract]  
Investments and Fair Value Measurements Investments and Fair Value Measurements
The Company's total cash, cash equivalents and marketable securities as of June 30, 2022 and December 31, 2021 consisted of the following:
As of June 30,As of December 31,
20222021
(in thousands)
Cash and cash equivalents:
Cash$48,864 $134,774 
Money market funds9,665 31,294 
Commercial paper3,981 — 
Total cash and cash equivalents (1)
$62,510 $166,068 
Marketable securities:
U.S. Treasury securities$274,449 $184,946 
Corporate notes and bonds77,241 11,327 
Commercial paper16,489 124,089 
Asset-backed securities31,840 21,576 
Municipal securities— 2,250 
Foreign government and supranational securities19,886 17,607 
Total marketable securities, current (2)
$419,905 $361,795 
U.S. Treasury securities53,555 239,528 
Corporate notes and bonds173,509 197,298 
Asset-backed securities55,648 77,142 
Municipal securities2,239 2,312 
Foreign government and supranational securities— 12,631 
Total marketable securities, non-current (3)
$284,951 $528,911 
Total marketable securities$704,856 $890,706 
Total cash, cash equivalents and marketable securities$767,366 $1,056,774 
(1)The Company's cash equivalents include investments with an original maturity date of three months or less.
(2)The Company classifies its marketable securities as current, where it intends to hold the securities for less than 12 months.
(3)The Company classifies its marketable securities are non-current, where it intends to hold the securities for longer than 12 months.
Available-for-Sale Investments
The Company’s marketable securities are classified as available-for-sale as of the balance sheet date and are reported at fair value with unrealized gains and losses reported, net of tax, as a separate component of accumulated other comprehensive income (loss) in stockholders’ equity.
The following table summarizes adjusted cost, gross unrealized gains and losses, and fair value related to available-for-sale securities classified as marketable securities as of June 30, 2022 and December 31, 2021:
As of June 30, 2022
Amortized
Cost		Gross
Unrealized
Gain		Gross
Unrealized
Loss		Fair
Value
(in thousands)
U.S. Treasury securities$333,938 $— $(5,934)$328,004 
Corporate notes and bonds255,927 — (5,177)250,750 
Commercial paper16,489 — — 16,489 
Asset-backed securities88,020 — (532)87,488 
Municipal securities2,325 — (86)2,239 
Foreign government and supranational securities20,145 — (259)19,886 
Total available-for-sale investments$716,844 $— $(11,988)$704,856 
As of December 31, 2021
Amortized
Cost		Gross
Unrealized
Gain		Gross
Unrealized
Loss		Fair
Value
(in thousands)
U.S. Treasury securities$425,560 $1 $(1,086)$424,475 
Corporate notes and bonds209,550 — (925)208,625 
Commercial paper124,098 — (9)124,089 
Asset-backed securities98,857 — (140)98,717 
Municipal securities4,577 — (15)4,562 
Foreign government and supranational securities30,306 — (68)30,238 
Total available-for-sale investments$892,948 $1 $(2,243)$890,706 
There were no material realized gains or losses from sales of marketable securities that were reclassified out of accumulated other comprehensive (loss) income into investment income during the three and six months ended June 30, 2022 and 2021.
There was one security in a continuous loss position for 12 months or longer as of June 30, 2022. No other securities were in a continuous loss position for 12 months or longer as of June 30, 2022. No securities were in a continuous loss position for 12 months or longer as of December 31, 2021. Investments are reviewed periodically to identify possible other-than-temporary impairments. No impairment loss has been recorded on the securities included in either of the periods as the Company believes that the decrease in fair value of these securities is temporary.
Fair Value of Financial Instruments
For certain of the Company's financial instruments, including cash held in banks, accounts receivable, and accounts payable, the carrying amounts approximate fair value due to their short maturities, and are therefore excluded from the fair value tables below.
Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There is a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows:
Level 1—Observable inputs such as quoted prices in active markets for identical assets or liabilities;
Level 2—Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and
Level 3—Unobservable inputs that are supported by little or no market activity, which require management judgment or estimation.
The Company measures its cash equivalents, marketable securities, and restricted cash at fair value. The Company classifies its cash equivalents, marketable securities and restricted cash within Level 1 or Level 2 because the Company values these investments using quoted market prices or alternative pricing sources and models utilizing market observable inputs. The fair value of the Company's Level 1 financial assets is based on quoted market prices of the identical underlying security. The fair value of the Company's Level 2 financial assets is based on inputs that are directly or indirectly observable in the market, including the readily available pricing sources for the identical underlying security that may not be actively traded.
Financial assets and liabilities measured and recorded at fair value on a recurring basis consisted of the following types of instruments:
As of June 30, 2022
Level 1Level 2Level 3Total
(in thousands)
Cash equivalents:
Money market funds$9,665 $— $— $9,665 
Commercial paper— 3,981 — 3,981 
Total cash equivalents9,665 3,981 — 13,646 
Marketable securities:
Corporate notes and bonds— 250,750 — 250,750 
Commercial paper— 16,489 — 16,489 
U.S. Treasury securities— 328,004 — 328,004 
Municipal securities— 2,239 — 2,239 
Asset-backed securities— 87,488 — 87,488 
Foreign government and supranational securities— 19,886 — 19,886 
Total marketable securities— 704,856 — 704,856 
Restricted cash:
Restricted cash, current150 — — 150 
Total restricted cash150 — — 150 
Total financial assets$9,815 $708,837 $— $718,652 
As of December 31, 2021
Level 1Level 2Level 3Total
(in thousands)
Cash equivalents:
Money market funds$31,294 $— $— $31,294 
Total cash equivalents31,294 — — 31,294 
Marketable securities:
U.S. Treasury securities— 424,475 — 424,475 
Corporate notes and bonds— 208,625 — 208,625 
Commercial paper— 124,089 — 124,089 
Asset-backed securities— 98,717 — 98,717 
Municipal securities— 4,562 — 4,562 
Foreign government and supranational securities— 30,238 — 30,238 
Total marketable securities— 890,706 — 890,706 
Restricted cash:
Restricted cash, non-current893 — — 893 
Total restricted cash893 — — 893 
Total financial assets$32,187 $890,706 $— $922,893 
The Company classifies its investments, which are comprised of corporate notes and bonds, commercial paper, U.S. treasury securities, foreign government and supranational securities and asset-backed securities within Level 2 of the fair value hierarchy because the fair value of these securities is priced by using inputs based on non-binding market consensus prices that are primarily corroborated by observable market data or quoted market prices for similar instruments.
Restricted cash was $0.2 million and $0.9 million as of June 30, 2022 and December 31, 2021, respectively. The restricted cash balance consisted of letters of credit related to lease arrangements that were collateralized by restricted cash. The amounts as of June 30, 2022 and December 31, 2021, were classified as current and non-current, respectively, on the Company's Condensed Consolidated Balance Sheets.
There were no transfers of assets and liabilities measured at fair value between Level 1 and Level 2, or between Level 2 and Level 3, during the three and six months ended June 30, 2022 and 2021.
v3.22.2
Business Combinations
 6 Months Ended
Jun. 30, 2022
Business Combination and Asset Acquisition [Abstract]  
Business Combinations Business Combinations
Glitch Inc.
On May 18, 2022, the Company acquired 100% of the voting equity interest of Glitch Inc. ("Glitch"), a software company specializing in developer project management tools, for $34.9 million in cash, of which $8.0 million has been held back as security for indemnification claims under the terms of the merger agreement ("Holdback"). The Holdback will be distributed to the shareholders of Glitch between 12 and 24 months following acquisition closing date. The acquisition is expected to expand the Company's brand awareness within the developer community and bolster the Company's existing product offerings by making it easier to innovate at a layer in the Company's software stack.

The Company accounted for the transaction as a business combination. The purchase price was preliminarily allocated based on the estimated fair value of the identified intangible assets of $2.0 million, cash of $1.6 million and other net assets of $0.6 million, and goodwill of $32.6 million.

The goodwill was primarily attributed to the value of synergies created with the acquisition of Glitch's technology offering. Goodwill is not deductible for income tax purposes. The fair values assigned to tangible and intangible assets acquired and liabilities assumed are based on management’s estimates and assumptions and may be subject to change as additional information is received. The provisional measurements of fair value for income taxes payable and deferred taxes may be subject to change as additional information is received and certain tax returns are finalized. The Company expects to finalize the fair value measurements as soon as practicable, but not later than one year from the acquisition date.
Identifiable finite-lived intangible assets were comprised of the following (in thousands):
TotalEstimated useful life (in years)
Developed Technology$630 4
Customer relationships760 3
Trade name610 4
Total intangible assets acquired$2,000 
For the three and six months ended June 30, 2022, we incurred $2.0 million in acquisition-related expenses. The acquired intangible assets have a total weighted average amortization period of 3.6 years.

From the date of the acquisition, the financial results of Glitch have been included in and are not material to the Company’s condensed consolidated financial statements. Pro forma revenue and results of operations have not been presented because the historical results are not material to the condensed consolidated financial statements in any period presented.
v3.22.2
Balance Sheet Information
 6 Months Ended
Jun. 30, 2022
Balance Sheet Related Disclosures [Abstract]  
Balance Sheet Information Balance Sheet Information
Property and equipment, net
Property and equipment, net consisted of the following:
As of June 30,As of December 31,
20222021
(in thousands)
Computer and networking equipment$215,730 $207,575 
Leasehold improvements8,002 4,631 
Furniture and fixtures1,793 1,606 
Office equipment790 654 
Internal-use software52,604 40,345 
Property and equipment, gross$278,919 $254,811 
Accumulated depreciation and amortization(104,969)(87,850)
Property and equipment, net$173,950 $166,961 
Depreciation on property and equipment for the three months ended June 30, 2022 and 2021 was approximately $10.7 million and $6.9 million, respectively. Included in these amounts was amortization expense for capitalized internal-use software costs of approximately $2.2 million and $1.0 million for the three months ended June 30, 2022 and 2021, respectively.
Depreciation on property and equipment for the six months ended June 30, 2022 and 2021 was approximately $20.6 million and $13.3 million, respectively. Included in these amounts was amortization expense for capitalized internal-use software costs of approximately $3.7 million and $1.9 million for the six months ended June 30, 2022 and 2021, respectively.
As of June 30, 2022 and December 31, 2021, the unamortized balance of capitalized internal-use software costs on the Company's Condensed Consolidated Balance Sheets was approximately $35.0 million and $27.9 million, respectively.
The Company leases certain networking equipment from various third parties through equipment finance leases. The Company's networking equipment assets as of June 30, 2022 and December 31, 2021, included a total of $89.3 million and $67.8 million acquired under finance lease agreements, respectively. These leases are capitalized in property and equipment, and the related amortization of assets under finance leases is included in depreciation and amortization expense. The accumulated depreciation of the associated networking equipment assets under finance leases totaled $21.1 million and $14.4 million as of June 30, 2022 and December 31, 2021, respectively.
Other assets
Other assets consisted of the following:
As of June 30,As of December 31,
20222021
(in thousands)
Deferred contract costs, net$26,595 $23,830 
Advance payment for purchase of property and equipment29,310 — 
Other assets4,294 5,638 
Total other assets$60,199 $29,468 
Accrued expenses
Accrued expenses consisted of the following:
As of June 30,As of December 31,
20222021
(in thousands)
Accrued compensation and related benefits$19,836 $13,543 
Accrued colocation and bandwidth costs8,407 10,205 
Sales and use tax liabilities8,396 8,070 
Other accrued liabilities13,304 4,294 
Total accrued expenses$49,943 $36,112 
Other current liabilities
Other current liabilities consisted of the following:
As of June 30,As of December 31,
20222021
(in thousands)
Deferred revenue, current$25,484 $26,421 
Accrued computer and networking equipment3,534 18,081 
Holdback payable4,013 — 
Other current liabilities674 605 
Total other current liabilities$33,705 $45,107 
v3.22.2
Leases
 6 Months Ended
Jun. 30, 2022
Leases [Abstract]  
Leases Leases
The Company has operating leases for corporate offices and data centers ("colocation leases"), and finance leases for networking equipment. The Company's leases have remaining lease terms ranging from less than 1 year to 8 years, some of which include options to extend the leases. The Company also subleases a portion of its corporate office spaces. The Company's subleases have an average remaining lease terms of 2.25 years. The Company's sublease income was $0.2 million for both the three months ended June 30, 2022, and 2021. The Company's sublease income was $0.5 million and $0.4 million for the six months ended June 30, 2022 and 2021, respectively.
The Company's components of lease cost were as follows:
Three months ended June 30,Six months ended June 30,
2022202120222021
(in thousands)
Operating lease cost:
Operating lease cost$6,631 $6,452 $13,499 $12,804 
Variable lease cost3,463 1,460 6,182 2,818 
Total operating lease costs$10,094 $7,912 $19,681 $15,622 
Finance lease cost:
Amortization of assets under finance lease$3,818 $1,250 $7,080 $2,484 
Interest650 405 1,241 735 
Total finance lease costs$4,468 $1,655 $8,321 $3,219 
Other information related to leases was as follows:
As of June 30,As of As of December 31,
20222021
Weighted Average Remaining Lease Term (in years):
Operating leases4.324.41
Finance leases2.102.23
Weighted Average Discount Rate:
Operating leases5.21 %5.20 %
Finance leases4.75 %4.86 %
Future minimum lease payments under non-cancellable leases as of June 30, 2022 were as follows:
Operating LeasesFinance Leases
(in thousands)
Remainder of 2022$12,043 $16,588 
202320,660 25,332 
202416,723 13,973 
202515,782 1,463 
202615,373 — 
Thereafter11,696 — 
Total future minimum lease payments$92,277 $57,356 
Less: imputed interest(11,001)(2,789)
Total liability$81,276 $54,567 
As of June 30, 2022, the Company had undiscounted commitments of $1.1 million for operating leases that have not yet commenced, and therefore are not included in the right-of-use asset or operating lease liability. These operating leases will commence in 2022 with lease terms of 3 years.
Leases Leases
The Company has operating leases for corporate offices and data centers ("colocation leases"), and finance leases for networking equipment. The Company's leases have remaining lease terms ranging from less than 1 year to 8 years, some of which include options to extend the leases. The Company also subleases a portion of its corporate office spaces. The Company's subleases have an average remaining lease terms of 2.25 years. The Company's sublease income was $0.2 million for both the three months ended June 30, 2022, and 2021. The Company's sublease income was $0.5 million and $0.4 million for the six months ended June 30, 2022 and 2021, respectively.
The Company's components of lease cost were as follows:
Three months ended June 30,Six months ended June 30,
2022202120222021
(in thousands)
Operating lease cost:
Operating lease cost$6,631 $6,452 $13,499 $12,804 
Variable lease cost3,463 1,460 6,182 2,818 
Total operating lease costs$10,094 $7,912 $19,681 $15,622 
Finance lease cost:
Amortization of assets under finance lease$3,818 $1,250 $7,080 $2,484 
Interest650 405 1,241 735 
Total finance lease costs$4,468 $1,655 $8,321 $3,219 
Other information related to leases was as follows:
As of June 30,As of As of December 31,
20222021
Weighted Average Remaining Lease Term (in years):
Operating leases4.324.41
Finance leases2.102.23
Weighted Average Discount Rate:
Operating leases5.21 %5.20 %
Finance leases4.75 %4.86 %
Future minimum lease payments under non-cancellable leases as of June 30, 2022 were as follows:
Operating LeasesFinance Leases
(in thousands)
Remainder of 2022$12,043 $16,588 
202320,660 25,332 
202416,723 13,973 
202515,782 1,463 
202615,373 — 
Thereafter11,696 — 
Total future minimum lease payments$92,277 $57,356 
Less: imputed interest(11,001)(2,789)
Total liability$81,276 $54,567 
As of June 30, 2022, the Company had undiscounted commitments of $1.1 million for operating leases that have not yet commenced, and therefore are not included in the right-of-use asset or operating lease liability. These operating leases will commence in 2022 with lease terms of 3 years.
v3.22.2
Goodwill and Intangible Assets
 6 Months Ended
Jun. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets Goodwill and Intangible Assets
The changes in the carrying amount of goodwill for the six months ended June 30, 2022 are as follows:
Six months ended June 30, 2022
(in thousands)
Balance as of December 31, 2021$636,805 
Goodwill acquired from business combinations33,419 
Foreign currency translation and other adjustments(38)
Balance as of June 30, 2022
$670,186 
The Company did not record an impairment charge on goodwill during either of the three and six months ended June 30, 2022 or 2021.
As of June 30, 2022 and December 31, 2021, the Company's intangible assets consisted of the following:
As of June 30, 2022As of December 31, 2021
Gross carrying valueAccumulated amortizationNet carrying valueGross carrying valueAccumulated amortizationNet carrying value
(in thousands)
Intangible assets:
Customer relationships$69,860 $(15,116)$54,744 $69,100 $(10,797)$58,303 
Developed technology50,130 (17,325)32,805 49,500 (12,375)37,125 
Trade names3,910 (1,925)1,985 3,300 (1,375)1,925 
Internet protocol addresses4,984 (1,222)3,762 4,984 (973)4,011 
Backlog2,200 (1,925)275 2,200 (1,375)825 
In-process research and development ("IPR&D")368 — 368 368 — 368 
Domain name
39 — 39 39 — 39 
Total intangible assets$131,491 $(37,513)$93,978 $129,491 $(26,895)$102,596 
The Company's customer relationships, developed technology, trade names, internet protocol addresses, backlog and domain name intangible assets are subject to amortization. IPR&D and domain name intangible assets are indefinite-lived that is not subject to amortization. Amortization expense was $5.3 million and $5.3 million for the three months ended June 30, 2022 and 2021, respectively. Amortization expense was $10.6 million for both the six months ended June 30, 2022 and 2021.
During the three and six months ended June 30, 2022, we added $2.0 million of intangible assets from the acquisition of Glitch, which are subject to amortization. The Company purchased $2.1 million of intangible assets for the three and six months ended June 30, 2021. The Company did not record any impairment charges on its intangible assets during both the three and six months ended June 30, 2022 and 2021.
The expected amortization expense of intangible assets subject to amortization as of June 30, 2022 is as follows:
As of June 30, 2022
(in thousands)
Remainder of 2022$10,694 
202320,437 
202419,603 
202516,977 
20269,193 
Thereafter16,706 
Total$93,610 
v3.22.2
Debt Instruments
 6 Months Ended
Jun. 30, 2022
Debt Disclosure [Abstract]  
Debt Instruments Debt Instruments
Senior Secured Credit Facilities Agreement
On February 16, 2021, the Company entered into a Senior Secured Credit Facilities Agreement ("Credit Agreement") with Silicon Valley Bank ("SVB") for an aggregate commitment amount of $100.0 million with a maturity date of February 16, 2024. The Company recorded $0.6 million of debt issuance costs associated with the Credit Agreement in other assets on the Company's condensed consolidated balance sheet. The Credit Agreement bears interest at a rate per annum equal to the sum of LIBOR for the applicable interest period plus 1.75% - 2.00%, depending on the average daily outstanding balance of all loans and letters of credit under the Credit Agreement. Interest payments on outstanding borrowings are due on the last day of each interest period. The Credit Agreement has a commitment fee on the unused portion of the borrowing commitment, which is payable on the last day of each calendar quarter at a rate per annum of 0.20% - 0.25% depending on the average daily outstanding balance of all loans and letters of credit under the Credit Agreement. In addition, the Company's Credit Agreement contains a financial covenant that requires the Company to maintain a consolidated adjusted quick ratio of at least 1:25 to 1:00 tested on a quarterly basis as well as a springing revenue growth covenant for certain periods if the Company's consolidated adjusted quick ratio falls below 1.75 to 1:00 on the last day of any fiscal quarter. The Credit Agreement requires the Company to comply with these affirmative and negative covenants.
As of June 30, 2022, the Company was in compliance with all of its covenants. During the three and six months ended June 30, 2022 and 2021, no amounts were drawn down on the Company's Credit Agreement. As of June 30, 2022 and December 31, 2021, no amounts were outstanding under the Credit Agreement.
Convertible Senior Notes
On March 5, 2021, the Company issued approximately $948.8 million aggregate principal amount of the Company's 0% convertible senior notes due 2026 (the “Notes”), including the exercise in full by the initial purchasers of their option to purchase up to an additional approximately $123.8 million principal amount of the Notes. The Notes were issued in a private placement to qualified institutional buyers pursuant to Rule 144A under the Securities Act. The Notes will mature on March 15, 2026, unless earlier converted, redeemed or repurchased. The net proceeds from the issuance of the Notes were approximately $930.0 million after deducting the initial purchasers’ discounts and transaction costs.
The Company may not redeem the Notes prior to March 20, 2024. On or after March 20, 2024, the Company may redeem for cash, all or any portion of the Notes, at the Company's option, at a redemption price equal to 100% of the principal amount of the Notes to be redeemed, plus accrued and unpaid special interest, if any, to, but excluding, the redemption date, if the last reported sale price of the Company's common stock has been at least 130% of the conversion price for the Notes then in effect for at least 20 trading days (whether or not consecutive) during any 30 consecutive trading day period (including the last trading day of such period) ending on, and including, the trading day immediately preceding the date on which the Company provides notice of redemption. No sinking fund is provided for the Notes.
Holders of the Notes may convert their notes at their option at any time prior to the close of business on the business day immediately preceding December 15, 2025, only under the following circumstances: (i) during any calendar quarter commencing after the calendar quarter ending on June 30, 2021 (and only during such calendar quarter), if the last reported sale price of the Company's Class A common stock for at least 20 trading days (whether or not consecutive) during a period of 30 consecutive trading days ending on, and including, the last trading day of the immediately preceding calendar quarter is greater
than or equal to 130% of the conversion price for the Notes on each applicable trading day; (ii) during the five business day period after any ten consecutive trading day period (the “Measurement Period”) in which the trading price, as defined in the indenture agreement governing the Note filed with the Company's Current Report on Form 8-K filed with the Securities and Exchange Commission on March 5, 2021, per $1,000 principal amount of notes for each trading day of the Measurement Period was less than 98% of the product of the last reported sale price of the Company's Class A common stock and the conversion rate on each such trading day; (iii) if the Company calls such Notes for redemption, at any time prior to the close of business on the scheduled trading day immediately preceding the applicable redemption date, but only with respect to the Notes called (or deemed called) for redemption; or (iv) upon the occurrence of specified corporate events. On or after December 15, 2025 until the close of business on the second scheduled trading day immediately preceding the maturity date, holders may convert all or any portion of their notes at any time, regardless of the foregoing circumstances.
Upon conversion, the Company may satisfy its conversion obligation by paying or delivering, as the case may be, cash, shares of its Class A common stock or a combination of cash and shares of its Class A common stock, at the Company's election. The initial conversion rate is 9.7272 shares of Class A common stock per $1,000 principal amount of Notes, equivalent to an initial conversion price of approximately $102.80 per share of Class A common stock. The conversion rate is subject to adjustment as described in the indenture governing the Notes but will not be adjusted for any accrued and unpaid special interest. In addition, following certain corporate events that occur prior to the maturity date of the Notes or if the Company delivers a notice of redemption in respect of the Notes, the Company will, in certain circumstances, increase the conversion rate of the Notes for a holder who elects to convert its Notes, in connection with such a corporate event or convert its Notes called (or deemed called) for redemption during the related redemption period, as the case may be.
The indenture includes customary covenants and sets forth certain events of default after which the Notes may be declared immediately due and payable and sets forth certain types of bankruptcy or insolvency events of default involving the Company after which the Notes become automatically due and payable. If the Company undergoes a fundamental change, as defined in the indenture agreement governing the Notes, then subject to certain conditions and except as described in the indenture governing the Notes, holders may require the Company to repurchase for cash all or any portion of their Notes at a fundamental change repurchase price equal to 100% of the principal amount of the Notes to be repurchased, plus accrued and unpaid special interest, if any, to, but excluding, the fundamental change repurchase date.
The Company evaluated the terms of its debt and concluded that the instrument does not require separation and that there were no other derivatives that required separation. As such, the Company has combined these features with the host contract and the Company accounts for its convertible debt as a single liability in long-term debt on its condensed consolidated balance sheet. The initial purchasers' discounts and transaction costs of $18.6 million incurred related to the issuance of the Notes were classified as liability and represents the difference between the principal amount of the Notes and the liability component (the “debt discount”), which is amortized to interest expense using the effective interest method over the term of the Notes.
As of June 30, 2022, the conversion conditions had not been met and therefore the Notes were not yet convertible.
On May 25, 2022, the Company entered into separate, privately negotiated transactions with certain holders of the Notes to repurchase (the “Repurchases”) approximately $235.0 million aggregate principal amount of the Notes for an aggregate cash repurchase price of approximately $176.4 million. The Repurchases closed on May 31, 2022. The Repurchases were accounted for as a debt extinguishment that resulted in a net gain of $54.4 million, which was recorded as non-operating income on the Company's condensed consolidated statement of operations in the three and six months ended June 30, 2022.
The following table reflects the carrying values of the debt agreements as of June 30, 2022 and December 31, 2021:
As of June 30, 2022
As of December 31, 2021
(in thousands)(in thousands)
Convertible Senior notes (effective interest rate of 0.40%)
Principal amount$713,753 $948,750 
Less: unamortized debt issuance costs(10,378)(15,545)
Less: current portion of long-term debt— — 
Long-term debt, less current portion$703,375 $933,205 
For the three months ended June 30, 2022 and 2021, interest expense related to the Company's debt obligations was $0.9 million and $1.0 million, respectively. For the six months ended June 30, 2022 and 2021, interest expense related to the Company's debt obligations was $1.9 million and $1.4 million, respectively.
v3.22.2
Commitments and Contingencies
 6 Months Ended
Jun. 30, 2022
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Purchase Commitments
As of June 30, 2022, the Company had long-term commitments for cost of revenue related agreements (i.e., bandwidth usage, peering and other managed services with various networks, internet service providers ("ISPs") and other third-party vendors). The Company also has long-term commitments for various non-cancelable software as a service ("SaaS") agreements.
Aside from the Company's finance and operating lease commitments, including its colocation operating commitments, which have been disclosed in Note 7—Leases, the minimum future commitments related to its purchase commitments as of June 30, 2022 were as follows:
Cost of Revenue CommitmentsSaaS AgreementsTotal Purchase Commitments
(in thousands)
Remainder of 2022$22,445 $6,051 $28,496 
202321,601 16,031 37,632 
202411,524 2,139 13,663 
2025853 393 1,246 
2026166 — 166 
Thereafter89 — 89 
Total$56,678 $24,614 $81,292 
In addition to the commitments disclosed above, as of June 30, 2022, the Company has $12.5 million of long-term purchase obligations under contracts for capital expenditures.
Sales and Use Tax Reserve
The Company conducts its operations in many tax jurisdictions throughout the United States. In many of these jurisdictions, non-income-based taxes, such as sales and use and telecommunications taxes are assessed on the Company's operations. The Company is subject to indirect taxes, and may be subject to certain other taxes, in some of these jurisdictions. Historically, the Company has not billed or collected these taxes and, in accordance with U.S. GAAP, the Company has recorded a provision for its tax exposure in these jurisdictions when it is both probable that a liability has been incurred and the amount of the exposure can be reasonably estimated. As a result, the Company has recorded a liability of $8.4 million and $7.5 million as of June 30, 2022 and December 31, 2021, respectively. These estimates are based on several key assumptions, including the taxability of the Company's products, the jurisdictions in which the Company believe it has nexus and the sourcing of revenues to those jurisdictions. In the event these jurisdictions challenge the Company's assumptions and analysis, its actual exposure could differ materially from its current estimates.
Legal Matters
From time to time, the Company has been and may be subject to legal proceedings and claims. Such matters are subject to many uncertainties and outcomes are not predictable with assurance. The Company accrues for contingencies when it believes that a loss is probable and that the Company can reasonably estimate the amount of any such loss.
The Company is not presently a party to any legal proceedings that, if determined adversely to it, would individually or taken together have a material effect on the Company's business, results of operations, financial condition, or cash flows. As of June 30, 2022, the Company has not recorded any significant accruals for loss contingencies associated with such legal proceedings, determined that an unfavorable outcome is probable or reasonably possible, or determined that the amount or range of any possible loss is reasonably estimable.
Indemnification
The Company enters into standard indemnification agreements in the ordinary course of business. Pursuant to these agreements, the Company agrees to indemnify, hold harmless, and reimburse the indemnified party for losses suffered or incurred by the indemnified party, generally the Company's business partners or customers, in connection with its provision of its services. Generally, these obligations are limited to claims relating to infringement of a patent, copyright, or other intellectual property right, breach of the Company's security or data protection obligations, or its negligence, willful misconduct, or violation of law. Subject to applicable statutes of limitation, the term of these indemnification agreements is generally for the duration of the agreement. The maximum potential amount of future payments the Company could be required to make under these indemnification agreements is unlimited; however, the Company carries insurance that covers certain third-party claims relating to the Company's services and could limit its exposure in that respect.
The Company has agreed to indemnify each of its officers and directors during his or her lifetime for certain events or occurrences that happen by reason of the fact that the officer or director is, was, or has agreed to serve as an officer or director of the Company. The Company has director and officer insurance policies that may limit its exposure and may enable it to recover a portion of certain future amounts paid.
To date, the Company has not encountered material costs as a result of such indemnification obligations and have not accrued any related liabilities in its financial statements. In assessing whether to establish an accrual, the Company considers such factors as the degree of probability of an unfavorable outcome and the ability to make a reasonable estimate of the amount of loss.
v3.22.2
Stockholders' Equity
 6 Months Ended
Jun. 30, 2022
Stockholders' Equity Note [Abstract]  
Stockholders' Equity Stockholders' Equity
Equity Incentive Plans
The Company maintains four equity incentive plans: the 2019 Equity Incentive Plan (the "2019 Plan"), 2011 Equity Incentive Plan ("2011 Plan"), Employee Stock Purchase Plan ("ESPP") and the Signal Sciences Corp. 2014 Stock Option and Grant Plan, as amended (the “Signal Plan”). The 2019 Plan became effective in May 2019 and replaced the 2011 Plan. The Company's 2019 Plan provides for the issuance of incentive stock options, non-statutory stock options, stock appreciation rights, restricted stock units ("RSUs"), restricted stock awards, performance-based stock awards ("PSUs"), and other forms of equity compensation, which are collectively referred to as stock awards to its employees, directors, and consultants.
As of June 30, 2022 and December 31, 2021, there were 14.9 million and 15.9 million Class A common stock available for issuance under the 2019 Plan, respectively. As of June 30, 2022 and December 31, 2021, 121.9 million and 118.8 million shares of Class A common stock were issued and outstanding, respectively.
Stock Options
Options granted under the 2011 Plan and 2019 Plan are exercisable for Class A common stock and generally expire within 10 years from the date of grant and generally vest over four years, at the rate of 25% on the first anniversary of the date of grant and ratably on a monthly basis over the remaining 36-month period thereafter based on continued service. Due to the Conversion on July 12, 2021, options granted under the 2011 Plan are now exercisable for Class A common stock.
Forfeitures are recognized as they occur.
The following table summarizes stock option activity during the six months ended June 30, 2022:
SharesWeighted-
Average 
Exercise
Price		Weighted-
Average
Remaining
Contractual
Term		Aggregate
Intrinsic Value
(in thousands)(in years)(in thousands)
Outstanding at December 31, 20214,369 5.075.10$132,721 
Granted— — 
Exercised(1,624)2.94
Cancelled/forfeited(112)11.50
Outstanding at June 30, 2022
2,633 6.125.22$15,906 
Vested and exercisable at June 30, 2022
2,319 5.525.02$15,129 
During the three months ended June 30, 2022 and 2021, the Company recorded stock-based compensation expense from stock options of approximately $1.4 million and $4.4 million, respectively.
During the six months ended June 30, 2022 and 2021, the Company recorded stock-based compensation expense from stock options of approximately $3.1 million and $8.2 million, respectively.
During the three and six months ended June 30, 2021, we modified the terms of options awarded to certain employees to allow for the remaining unvested awards to be fully vested upon their change in employment status. As a result, we recorded incremental stock-based compensation expense in relation to these modifications of $1.2 million in both the three and six months ended June 30, 2021. This expense included the incremental fair value resulting from the modifications of the options of $1.1 million. There was no material stock-based compensation expense recognized related to option award modifications during the three and six months ended June 30, 2022.
Restricted Stock Units ("RSUs")
The Company began granting RSUs under the 2019 Plan during the fiscal year ended December 31, 2019. The fair value of RSUs is based on the grant date fair value and is expensed on a straight-line basis over the applicable vesting period. RSUs granted to new hires typically vest over four years, at the rate of 25% on the first anniversary of the vest date and ratably on a quarterly basis over the remaining 36-month period thereafter. RSUs granted to existing employees typically vest in equal quarterly installments over a four-year service period. All vesting is contingent on continued service. Forfeitures are recognized as they occur.
The following table summarizes RSU activity during the six months ended June 30, 2022:
Number of SharesWeighted-Average 
Grant Date Fair Value Per Share
(in thousands)
Unvested RSUs as of December 31, 20215,285 $42.80 
Granted7,481 17.12 
Vested(1,083)39.60 
Cancelled/forfeited(811)37.32 
Unvested RSUs as of June 30, 2022
10,872 $25.87 
During the three months ended June 30, 2022 and 2021, the Company recognized stock-based compensation expense related to RSUs of $23.3 million and $15.8 million, respectively.
During the six months ended June 30, 2022 and 2021, the Company recognized stock-based compensation expense related to RSUs of $45.1 million and $29.0 million, respectively.
Stock Subject to Revest ("Revest Shares")
In conjunction with a prior acquisition in fiscal 2020, a restriction was placed on 896,499 shares belonging to the three co-founders which are subject to revesting on a quarterly basis over a 2 year period.
The following table summarizes the activity related to the revest shares during the six months ended June 30, 2022:
Number of SharesWeighted-Average Grant Date Fair Value Per Share
(in thousands)
Unvested revest shares as of December 31, 2021336 $97.84 
Granted— — 
Modification of shares subject to revest(224)97.84
Vested(75)97.84
Cancelled/forfeited— — 
Unvested revest shares as of June 30, 2022
37 $97.84 
For the three months ended June 30, 2022 and 2021, the Company recognized stock-based compensation expense related to revest shares of $7.4 million and $11.0 million, respectively.
For the six months ended June 30, 2022 and 2021, the Company recognized stock-based compensation expense related to revest shares of $14.7 million and $21.9 million, respectively.
On January 24, 2022, the Company entered into an agreement with certain holders of restricted stock, who had sold their awards in advance of its vesting conditions, in order to return the proceeds associated with the remaining 224,124 unvested shares as of December 31, 2021. These stockholders are eligible to continue vesting under the original agreements as long as they have continued service as either an employee or consultant. On January 31, 2022, the Company received $10.7 million from these stockholders related to the settlement of the matter, which the Company classified as unrestricted cash on its condensed consolidated balance sheets. This amount will similarly be returned to the holders in accordance with the vesting under the original agreements. Correspondingly, the Company reclassified the award from equity to liability as the award will now be settled for the fixed monetary amount received, rather than a release of the restrictions on shares.
In February 2022, one of the stockholders had a change in employment status and the Company accelerated the remaining stock based compensation associated with his awards on his last day of service as an employee as his services under the modified arrangement were not substantive. For the three months ended June 30, 2022, the Company did not recognize any stock-based compensation expense associated with the modification of these awards. For the six months ended June 30, 2022, the Company recognized stock-based compensation expense of $5.6 million associated with the modification of these awards.
Performance-Based Restricted Stock Units ("PSUs")
Performance stock awards for executive officers
In February 2021, pursuant to the Company’s 2019 Equity Incentive Plan, the Company granted shares of PSUs to certain employees of the Company, which are to vest based on the level of achievement of certain Company and individual targets related to the Company's operating plan for the fiscal year 2021 ("2021 Operating Plan"). In February, 2022, the Company concluded that the minimum target performance to be eligible for vesting under the 2021 Operating Plan was not attained, and as such, none of the 2021 PSUs were eligible to vest and the awards were cancelled.
In February 2022, pursuant to the Company's 2019 Equity Incentive Plan, the Company granted certain employees shares of PSUs, which are to vest based on the level of achievement of certain Company-wide targets related to the Company's operating plan for the fiscal year 2022. The Company has accounted for these awards as equity-based awards and will recognize
stock-based compensation expense over the employees' requisite service period based on the expected attainment of the Company-wide targets as of the end of each reporting period.
For the three and six months ended June 30, 2022, the Company recognized $0.5 million and $1.1 million of stock-based compensation expense associated with these awards, respectively. For the three and six months ended June 30, 2021, the Company recognized $1.7 million and $3.8 million of stock-based compensation expense, respectively.
2022 Bonus Program
On February 11, 2022, the Compensation Committee approved a company-wide bonus program ("2022 Bonus Program"), including performance targets, for the current fiscal year to most of the Company's employees on active payroll in fiscal year 2022. Shares awarded under the program will be in the Company's RSUs ("Payout") and will be based on the final attainment of Company-wide performance targets which are tied to its operating plan for fiscal year 2022. Payout will vary linearly between 50%, 100% and 150% based on the achievement of these targets. Employees are required to be employed through the Payout date to earn the awards.

In addition, certain employees were granted dollar bonus amounts, which are to be paid out RSUs. The number of RSUs released will be determined using the average trading price of the Company's stock in the month prior to the Board's final certification of the Company's performance attainment and awards to be issued to each employee. The Company has accounted for these awards as liability-based awards, since the monetary value of the obligation associated with the award is based predominantly on a fixed monetary amount known at inception, and it has an unconditional obligation that it must or may settle by issuing a variable number of its equity shares. The Company will recognize stock-based compensation expense over the employees requisite service period, based on the expected attainment of the Company-wide targets as of the end of each reporting period.
During the three and six months ended June 30, 2022, the Company had recognized $3.7 million and $7.0 million, respectively, of stock-based compensation expense over expense associated with the 2022 Bonus Program.
Employee Share Purchase Program ("ESPP")
The ESPP allows eligible employees to purchase shares of the Company's common stock through payroll deductions of up to 15% of their eligible compensation. The ESPP provides for six-month offering periods, commencing in May and November of each year. At the end of each offering period employees are able to purchase shares at 85% of the lower of the fair market value of the Company's common stock on the first trading day of the offering period or on the date of purchase.
    During the three and six months ended June 30, 2022, the Company withheld $1.9 million and $4.3 million in contributions from employees, respectively, and recognized $0.8 million and $1.9 million in stock-based compensation expense related to the ESPP, respectively. During the three and six months ended June 30, 2021, the Company withheld $2.6 million and $6.0 million in contributions from employees, respectively, and recognized $0.9 million and $2.1 million in stock-based compensation expense related to the ESPP, respectively.
During the three and six months ended June 30, 2022, 0.3 million shares of the Company's Class A common stock was purchased under the offering period that commenced on November 21, 2021. During the three and six months ended June 30, 2021, 0.2 million shares of the Company's Class A common stock was purchased under the offering period that commenced on November 21, 2020.
Stock-based Compensation Expense
The following table summarizes the components of total stock-based compensation expense included in the accompanying Condensed Consolidated Statements of Operations:
Three months ended June 30,Six months ended June 30,
2022202120222021
(in thousands)
Cost of revenue$3,188 $1,828 $6,134 $3,014 
Research and development13,889 8,634 32,478 16,592 
Sales and marketing10,184 5,631 20,278 10,639 
General and administrative7,717 17,333 16,110 34,019 
Total stock-based compensation expense$34,978 $33,426 $75,000 $64,264 
For the three and six months ended June 30, 2022, the Company capitalized $2.1 million and $3.5 million of stock-based compensation expense, respectively. For the three and six months ended June 30, 2021, the Company capitalized $0.4 million and $0.8 million of stock-based compensation expense, respectively.
For the three and six months ended June 30, 2022, the Company recognized $5.3 million and $15.9 million of stock-based compensation expense associated with liability classified awards related to the 2022 Bonus Program and certain of the Company's Revest Shares that were modified, respectively. For the three and six months ended June 30, 2021, the Company did not recognize any stock-based compensation expense associated with liability classified awards.
v3.22.2
Net Loss Per Share Attributable to Common Stockholders
 6 Months Ended
Jun. 30, 2022
Earnings Per Share [Abstract]  
Net Loss Per Share Attributable to Common Stockholders Net Loss Per Share Attributable to Common Stockholders
Basic net loss per share is computed by dividing net loss by basic weighted-average shares outstanding during the period. Diluted net loss per share is computed by dividing net loss by diluted weighted-average shares outstanding, including potentially dilutive securities.
On July 12, 2021, the shares of Class B common stock that converted to Class A common stock were retired and will not be reissued by the Company. Prior to that date, the Company computed net loss per share using the two-class method required for multiple classes of common stock and participating securities. The rights of the holders of the Class A common stock and Class B common stock are identical, except with respect to voting and conversion. Accordingly, the Class A common stock and Class B common stock share equally in the Company's net losses.
The following table presents the computation of basic and diluted net loss per share of common stock (in millions, except per share data):
Three months ended June 30,Six months ended June 30,
2022202120222021
Class AClass AClass BClass AClass AClass B
(in thousands, except per share amounts)
Net loss attributable to common stockholders$(16,437)$(53,339)$(4,956)$(80,701)$(99,511)$(9,467)
Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted121,242 105,522 9,804 120,295 104,766 9,967 
Net loss per share attributable to common stockholders, basic and diluted$(0.14)$(0.51)$(0.51)$(0.67)$(0.95)$(0.95)
The following securities were excluded from the computation of diluted net loss per share of common stock for the periods presented as their effect would have been antidilutive (in millions):
Number of Shares
As of June 30,
20222021
(in thousands)
Stock options2,633 5,750 
RSUs10,872 4,737 
PSUs297 109 
Revest shares37 560 
Early exercised stock options— 62 
Shares issuable pursuant to the ESPP44 23 
Convertible senior notes (if-converted)7,338 9,229 
Total21,221 20,470 
The dilution table above excludes RSUs to be awarded under the Company's 2022 Bonus Program, which is expected to have an impact on its outstanding awards in the first quarter of 2023. Refer to Note 11 — Stockholders' Equity for further details on the Company's 2022 Bonus Program.
Accumulated Other Comprehensive (Loss) Income
For the three and six months ended June 30, 2022 and 2021, components of accumulated other comprehensive (loss) income, net of taxes, were as follows (in thousands):

Unrealized Loss on Available-for-Sale SecuritiesForeign Currency Translation AdjustmentTotal
Balance, March 31, 2022(8,924)(572)(9,496)
Foreign currency translation adjustment— 17 17 
Unrealized loss on available-for-sale securities(3,063)— (3,063)
Balance, June 30, 2022(11,987)(555)(12,542)
Unrealized Gain on Available-for-Sale SecuritiesForeign Currency Translation AdjustmentTotal
Balance, March 31, 202127 (164)(137)
Foreign currency translation adjustment— 23 23 
Unrealized loss on available-for-sale securities(147)— (147)
Balance, June 30, 2021(120)99 (141)(261)
Unrealized Loss on Available-for-Sale SecuritiesForeign Currency Translation AdjustmentTotal
Balance, December 31, 2021(2,242)(385)(2,627)
Foreign currency translation adjustment— (170)(170)
Unrealized loss on available-for-sale securities(9,745)— (9,745)
Balance, June 30, 2022(11,987)(555)(12,542)
Unrealized Gain on Available-for-Sale SecuritiesForeign Currency Translation AdjustmentTotal
Balance, December 31, 2020105 (99)6 
Foreign currency translation adjustment— (42)(42)
Unrealized loss on available-for-sale securities(225)— (225)
Balance, June 30, 2021(120)(141)(261)
There were no material reclassifications out of accumulated other comprehensive (loss) income during three and six months ended June 30, 2022 and 2021. Additionally, there was no material tax impact on the amounts presented.
v3.22.2
Income Taxes
 6 Months Ended
Jun. 30, 2022
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
The Company's provision for income taxes for interim periods is determined using an estimate of its annual effective tax rate, adjusted for discrete items, if any, that arise during the period. Each quarter, the Company updates its estimate of the annual effective tax rate, and if the estimated annual effective tax rate changes, the Company makes a cumulative adjustment in such period.
In the three months ended June 30, 2022 and 2021, the Company recorded income tax expense of $0.2 million and an income tax benefit of $0.2 million, respectively. In the six months ended June 30, 2022 and 2021, the Company recorded income tax expense of $0.2 million and income tax expense of less than $0.1 million, respectively.
The Company continues to maintain a full valuation allowance on the Company's U.S. Federal and state net deferred tax assets. The tax expense for the three and six months ended June 30, 2022 and 2021 was primarily due to foreign tax expense.
v3.22.2
Information About Revenue and Geographic Areas
 6 Months Ended
Jun. 30, 2022
Segment Reporting [Abstract]  
Information About Revenue and Geographic Areas Information About Revenue and Geographic Areas
The Company has determined that it operates under one business unit with no segment managers who are held accountable for operations, operating results, or plans for levels or components below the consolidated unit level. Accordingly, the Company has determined that it has a single reporting segment and operating unit structure.
Revenue
Revenue by geography is based on the billing address of the customer. Refer to Note 3, "Revenue" for more information on net revenue by geographic region.
Long-Lived Assets
The Company’s property and equipment and operating lease right-of-use assets, each net, by geographic area were as follows:
As of June 30,As of December 31,
20222021
(in thousands)
United States$182,914 $177,990 
All other countries60,897 58,602 
Total long-lived assets$243,811 $236,592 
v3.22.2
Subsequent Events
 6 Months Ended
Jun. 30, 2022
Subsequent Events [Abstract]  
Subsequent Events Subsequent EventsOn August 3, 2022, the Company announced that Todd Nightingale has been appointed to serve as new Chief Executive Officer and a member of our Board of Directors, replacing Joshua Bixby. Mr. Nightingale will begin serving in this role effective September 1, 2022.
v3.22.2
Summary of Significant Accounting Policies (Policies)
 6 Months Ended
Jun. 30, 2022
Accounting Policies [Abstract]  
Basis of Presentation and Consolidation
Basis of Presentation and Consolidation
The accompanying condensed consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“GAAP”), consistent in all material respects with those applied in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2021, filed with the Securities and Exchange Commission (“SEC”) on March 1, 2022. The Company's condensed consolidated financial statements include its accounts and its wholly owned subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation.
The Company's condensed consolidated financial statements are unaudited but include all adjustments of a normal recurring nature necessary for a fair presentation of its quarterly results. The Company's condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2021.
Reclassification Certain changes to presentation have been made to conform the prior period presentation to the current period reporting. Such reclassifications did not affect the condensed consolidated balance sheets, total revenues, operating income, or net income.
Use of Estimates
Use of Estimates
The preparation of condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates, judgements and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. The Company bases its estimates on historical experience and also on assumptions that it believes are reasonable.
Due to the Coronavirus (“COVID-19”) pandemic there has been uncertainty and disruption in the global economy and financial markets. The Company is not aware of any specific event or circumstance that would require an update to its estimates or judgments or a revision of the carrying value of its assets or liabilities as of June 30, 2022. These estimates may change, as new events occur and additional information is obtained, as well as other factors related to COVID-19 that could result in material impacts to the Company's consolidated financial statements in future reporting periods.
Recently Adopted and Issued Accounting Pronouncements
Recently Adopted and Issued Accounting Pronouncements
The Company has not adopted any new accounting pronouncements in the three and six months ended June 30, 2022. Other recently issued accounting pronouncements are not expected to have a material impact on its condensed consolidated financial statements.
Concentrations of Credit Risk
Concentrations of Credit Risk

Financial instruments that potentially subject the Company to significant concentrations of credit risk consist primarily of cash, cash equivalents, marketable securities and accounts receivable.
The Company's cash, cash equivalents, and marketable securities primarily consisted of bank deposits, money market funds, investment-grade commercial paper, corporate notes and bonds, U.S. treasury securities, municipal securities, foreign government and supranational securities and asset-backed securities held at major financial institutions. The primary focus of its investment strategy is to preserve capital and meet liquidity requirements. The Company's investment policy limits the amount of credit exposure with any one financial institution or commercial issuer.
Concentrations of credit risk with respect to accounts receivable are primarily limited to certain customers to which the Company makes substantial sales. The Company's customer base consists of a large number of geographically dispersed customers diversified across several industries.
Revenue Revenue by geography is based on the billing address of the customer.
Fair Value of Financial Instruments
Fair Value of Financial Instruments
For certain of the Company's financial instruments, including cash held in banks, accounts receivable, and accounts payable, the carrying amounts approximate fair value due to their short maturities, and are therefore excluded from the fair value tables below.
Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There is a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows:
Level 1—Observable inputs such as quoted prices in active markets for identical assets or liabilities;
Level 2—Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and
Level 3—Unobservable inputs that are supported by little or no market activity, which require management judgment or estimation.
The Company measures its cash equivalents, marketable securities, and restricted cash at fair value. The Company classifies its cash equivalents, marketable securities and restricted cash within Level 1 or Level 2 because the Company values these investments using quoted market prices or alternative pricing sources and models utilizing market observable inputs. The fair value of the Company's Level 1 financial assets is based on quoted market prices of the identical underlying security. The fair value of the Company's Level 2 financial assets is based on inputs that are directly or indirectly observable in the market, including the readily available pricing sources for the identical underlying security that may not be actively traded.
v3.22.2
Revenue (Tables)
 6 Months Ended
Jun. 30, 2022
Revenue from Contract with Customer [Abstract]  
Revenue by Geographic Area The following table presents the Company's net revenue by geographic region:
Three months ended June 30,Six months ended June 30,
2022202120222021
(in thousands)
United States$76,052 $59,674 $151,666 $122,408 
Asia Pacific12,869 9,077 24,589 18,231 
Europe9,242 8,232 18,595 17,872 
All other4,355 8,043 10,050 11,367 
Total revenue$102,518 $85,026 $204,900 $169,878 
Revenue by Customer Type The following table presents the Company's net revenue for enterprise and non-enterprise customers:
Three months ended June 30,Six months ended June 30,
2022202120222021
(in thousands)
Enterprise customers$91,253 $74,372 $182,354 $149,837 
Non-enterprise customers11,265 10,654 22,546 20,041 
Total revenue$102,518 $85,026 $204,900 $169,878 
Contract Assets and Liabilities
The following table presents the Company's contract assets and contract liabilities as of June 30, 2022 and as of December 31, 2021:
As of June 30, 2022As of December 31, 2021
(in thousands)
Contract assets$33 $89 
Contract liabilities$29,052 $28,907 
The Company's payment terms and conditions vary by contract type. Payment terms on invoiced amounts are at a weighted average of 40 days.
The following table presents the revenue recognized during the three and six months ended June 30, 2022 and 2021 from amounts included in the contract liability at the beginning of the period:
Three months ended June 30,Six months ended June 30,
2022202120222021
(in thousands)
Revenue recognized in the period from amounts included in contract liability at the beginning of the period$10,674 $6,840 $19,164 $11,136 
Costs to Obtain Contracts
As of June 30, 2022 and December 31, 2021, the Company's costs to obtain contracts were as follows:
As of June 30, 2022As of December 31, 2021
(in thousands)
Deferred contract costs, net$26,595 $23,830 
v3.22.2
Investments and Fair Value Measurements (Tables)
 6 Months Ended
Jun. 30, 2022
Fair Value Disclosures [Abstract]  
Schedule of Cash, Cash Equivalents, and Marketable Securities
The Company's total cash, cash equivalents and marketable securities as of June 30, 2022 and December 31, 2021 consisted of the following:
As of June 30,As of December 31,
20222021
(in thousands)
Cash and cash equivalents:
Cash$48,864 $134,774 
Money market funds9,665 31,294 
Commercial paper3,981 — 
Total cash and cash equivalents (1)
$62,510 $166,068 
Marketable securities:
U.S. Treasury securities$274,449 $184,946 
Corporate notes and bonds77,241 11,327 
Commercial paper16,489 124,089 
Asset-backed securities31,840 21,576 
Municipal securities— 2,250 
Foreign government and supranational securities19,886 17,607 
Total marketable securities, current (2)
$419,905 $361,795 
U.S. Treasury securities53,555 239,528 
Corporate notes and bonds173,509 197,298 
Asset-backed securities55,648 77,142 
Municipal securities2,239 2,312 
Foreign government and supranational securities— 12,631 
Total marketable securities, non-current (3)
$284,951 $528,911 
Total marketable securities$704,856 $890,706 
Total cash, cash equivalents and marketable securities$767,366 $1,056,774 
(1)The Company's cash equivalents include investments with an original maturity date of three months or less.
(2)The Company classifies its marketable securities as current, where it intends to hold the securities for less than 12 months.
(3)The Company classifies its marketable securities are non-current, where it intends to hold the securities for longer than 12 months.
Schedule of Available-For-Sale Investments
The following table summarizes adjusted cost, gross unrealized gains and losses, and fair value related to available-for-sale securities classified as marketable securities as of June 30, 2022 and December 31, 2021:
As of June 30, 2022
Amortized
Cost		Gross
Unrealized
Gain		Gross
Unrealized
Loss		Fair
Value
(in thousands)
U.S. Treasury securities$333,938 $— $(5,934)$328,004 
Corporate notes and bonds255,927 — (5,177)250,750 
Commercial paper16,489 — — 16,489 
Asset-backed securities88,020 — (532)87,488 
Municipal securities2,325 — (86)2,239 
Foreign government and supranational securities20,145 — (259)19,886 
Total available-for-sale investments$716,844 $— $(11,988)$704,856 
As of December 31, 2021
Amortized
Cost		Gross
Unrealized
Gain		Gross
Unrealized
Loss		Fair
Value
(in thousands)
U.S. Treasury securities$425,560 $1 $(1,086)$424,475 
Corporate notes and bonds209,550 — (925)208,625 
Commercial paper124,098 — (9)124,089 
Asset-backed securities98,857 — (140)98,717 
Municipal securities4,577 — (15)4,562 
Foreign government and supranational securities30,306 — (68)30,238 
Total available-for-sale investments$892,948 $1 $(2,243)$890,706 
Financial Assets and Liabilities Measured and Recorded at Fair Value on a Recurring Basis
Financial assets and liabilities measured and recorded at fair value on a recurring basis consisted of the following types of instruments:
As of June 30, 2022
Level 1Level 2Level 3Total
(in thousands)
Cash equivalents:
Money market funds$9,665 $— $— $9,665 
Commercial paper— 3,981 — 3,981 
Total cash equivalents9,665 3,981 — 13,646 
Marketable securities:
Corporate notes and bonds— 250,750 — 250,750 
Commercial paper— 16,489 — 16,489 
U.S. Treasury securities— 328,004 — 328,004 
Municipal securities— 2,239 — 2,239 
Asset-backed securities— 87,488 — 87,488 
Foreign government and supranational securities— 19,886 — 19,886 
Total marketable securities— 704,856 — 704,856 
Restricted cash:
Restricted cash, current150 — — 150 
Total restricted cash150 — — 150 
Total financial assets$9,815 $708,837 $— $718,652 
As of December 31, 2021
Level 1Level 2Level 3Total
(in thousands)
Cash equivalents:
Money market funds$31,294 $— $— $31,294 
Total cash equivalents31,294 — — 31,294 
Marketable securities:
U.S. Treasury securities— 424,475 — 424,475 
Corporate notes and bonds— 208,625 — 208,625 
Commercial paper— 124,089 — 124,089 
Asset-backed securities— 98,717 — 98,717 
Municipal securities— 4,562 — 4,562 
Foreign government and supranational securities— 30,238 — 30,238 
Total marketable securities— 890,706 — 890,706 
Restricted cash:
Restricted cash, non-current893 — — 893 
Total restricted cash893 — — 893 
Total financial assets$32,187 $890,706 $— $922,893 
v3.22.2
Business Combinations (Tables)
 6 Months Ended
Jun. 30, 2022
Business Combination and Asset Acquisition [Abstract]  
Schedule of Identifiable Finite-Lived Intangible Assets
Identifiable finite-lived intangible assets were comprised of the following (in thousands):
TotalEstimated useful life (in years)
Developed Technology$630 4
Customer relationships760 3
Trade name610 4
Total intangible assets acquired$2,000 
v3.22.2
Balance Sheet Information (Tables)
 6 Months Ended
Jun. 30, 2022
Balance Sheet Related Disclosures [Abstract]  
Schedule of Property and Equipment, Net
Property and equipment, net consisted of the following:
As of June 30,As of December 31,
20222021
(in thousands)
Computer and networking equipment$215,730 $207,575 
Leasehold improvements8,002 4,631 
Furniture and fixtures1,793 1,606 
Office equipment790 654 
Internal-use software52,604 40,345 
Property and equipment, gross$278,919 $254,811 
Accumulated depreciation and amortization(104,969)(87,850)
Property and equipment, net$173,950 $166,961 
Schedule of Other Assets
Other assets consisted of the following:
As of June 30,As of December 31,
20222021
(in thousands)
Deferred contract costs, net$26,595 $23,830 
Advance payment for purchase of property and equipment29,310 — 
Other assets4,294 5,638 
Total other assets$60,199 $29,468 
Schedule of Accrued Expenses
Accrued expenses consisted of the following:
As of June 30,As of December 31,
20222021
(in thousands)
Accrued compensation and related benefits$19,836 $13,543 
Accrued colocation and bandwidth costs8,407 10,205 
Sales and use tax liabilities8,396 8,070 
Other accrued liabilities13,304 4,294 
Total accrued expenses$49,943 $36,112 
Schedule of Other Current Liabilities
Other current liabilities consisted of the following:
As of June 30,As of December 31,
20222021
(in thousands)
Deferred revenue, current$25,484 $26,421 
Accrued computer and networking equipment3,534 18,081 
Holdback payable4,013 — 
Other current liabilities674 605 
Total other current liabilities$33,705 $45,107 
v3.22.2
Leases (Tables)
 6 Months Ended
Jun. 30, 2022
Leases [Abstract]  
Schedule of Lease Costs & Other Information
The Company's components of lease cost were as follows:
Three months ended June 30,Six months ended June 30,
2022202120222021
(in thousands)
Operating lease cost:
Operating lease cost$6,631 $6,452 $13,499 $12,804 
Variable lease cost3,463 1,460 6,182 2,818 
Total operating lease costs$10,094 $7,912 $19,681 $15,622 
Finance lease cost:
Amortization of assets under finance lease$3,818 $1,250 $7,080 $2,484 
Interest650 405 1,241 735 
Total finance lease costs$4,468 $1,655 $8,321 $3,219 
Other information related to leases was as follows:
As of June 30,As of As of December 31,
20222021
Weighted Average Remaining Lease Term (in years):
Operating leases4.324.41
Finance leases2.102.23
Weighted Average Discount Rate:
Operating leases5.21 %5.20 %
Finance leases4.75 %4.86 %
Schedule of Operating Lease Maturities
Future minimum lease payments under non-cancellable leases as of June 30, 2022 were as follows:
Operating LeasesFinance Leases
(in thousands)
Remainder of 2022$12,043 $16,588 
202320,660 25,332 
202416,723 13,973 
202515,782 1,463 
202615,373 — 
Thereafter11,696 — 
Total future minimum lease payments$92,277 $57,356 
Less: imputed interest(11,001)(2,789)
Total liability$81,276 $54,567 
Schedule of Finance Lease Maturity
Future minimum lease payments under non-cancellable leases as of June 30, 2022 were as follows:
Operating LeasesFinance Leases
(in thousands)
Remainder of 2022$12,043 $16,588 
202320,660 25,332 
202416,723 13,973 
202515,782 1,463 
202615,373 — 
Thereafter11,696 — 
Total future minimum lease payments$92,277 $57,356 
Less: imputed interest(11,001)(2,789)
Total liability$81,276 $54,567 
v3.22.2
Goodwill and Intangible Assets (Tables)
 6 Months Ended
Jun. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]  
Changes in the Carrying Amount of Goodwill
The changes in the carrying amount of goodwill for the six months ended June 30, 2022 are as follows:
Six months ended June 30, 2022
(in thousands)
Balance as of December 31, 2021$636,805 
Goodwill acquired from business combinations33,419 
Foreign currency translation and other adjustments(38)
Balance as of June 30, 2022
$670,186 
Schedule of Intangible Assets
As of June 30, 2022 and December 31, 2021, the Company's intangible assets consisted of the following:
As of June 30, 2022As of December 31, 2021
Gross carrying valueAccumulated amortizationNet carrying valueGross carrying valueAccumulated amortizationNet carrying value
(in thousands)
Intangible assets:
Customer relationships$69,860 $(15,116)$54,744 $69,100 $(10,797)$58,303 
Developed technology50,130 (17,325)32,805 49,500 (12,375)37,125 
Trade names3,910 (1,925)1,985 3,300 (1,375)1,925 
Internet protocol addresses4,984 (1,222)3,762 4,984 (973)4,011 
Backlog2,200 (1,925)275 2,200 (1,375)825 
In-process research and development ("IPR&D")368 — 368 368 — 368 
Domain name
39 — 39 39 — 39 
Total intangible assets$131,491 $(37,513)$93,978 $129,491 $(26,895)$102,596 
Expected Amortization Expense of Intangible Assets
The expected amortization expense of intangible assets subject to amortization as of June 30, 2022 is as follows:
As of June 30, 2022
(in thousands)
Remainder of 2022$10,694 
202320,437 
202419,603 
202516,977 
20269,193 
Thereafter16,706 
Total$93,610 
v3.22.2
Debt Instruments (Tables)
 6 Months Ended
Jun. 30, 2022
Debt Disclosure [Abstract]  
Carrying Values of Debt Agreements
The following table reflects the carrying values of the debt agreements as of June 30, 2022 and December 31, 2021:
As of June 30, 2022
As of December 31, 2021
(in thousands)(in thousands)
Convertible Senior notes (effective interest rate of 0.40%)
Principal amount$713,753 $948,750 
Less: unamortized debt issuance costs(10,378)(15,545)
Less: current portion of long-term debt— — 
Long-term debt, less current portion$703,375 $933,205 
v3.22.2
Commitments and Contingencies (Tables)
 6 Months Ended
Jun. 30, 2022
Commitments and Contingencies Disclosure [Abstract]  
Purchase Commitments
Aside from the Company's finance and operating lease commitments, including its colocation operating commitments, which have been disclosed in Note 7—Leases, the minimum future commitments related to its purchase commitments as of June 30, 2022 were as follows:
Cost of Revenue CommitmentsSaaS AgreementsTotal Purchase Commitments
(in thousands)
Remainder of 2022$22,445 $6,051 $28,496 
202321,601 16,031 37,632 
202411,524 2,139 13,663 
2025853 393 1,246 
2026166 — 166 
Thereafter89 — 89 
Total$56,678 $24,614 $81,292 
v3.22.2
Stockholders' Equity (Tables)
 6 Months Ended
Jun. 30, 2022
Stockholders' Equity Note [Abstract]  
Schedule of Stock Option Activity
The following table summarizes stock option activity during the six months ended June 30, 2022:
SharesWeighted-
Average 
Exercise
Price		Weighted-
Average
Remaining
Contractual
Term		Aggregate
Intrinsic Value
(in thousands)(in years)(in thousands)
Outstanding at December 31, 20214,369 5.075.10$132,721 
Granted— — 
Exercised(1,624)2.94
Cancelled/forfeited(112)11.50
Outstanding at June 30, 2022
2,633 6.125.22$15,906 
Vested and exercisable at June 30, 2022
2,319 5.525.02$15,129 
Schedule of Restricted Stock Units
The following table summarizes RSU activity during the six months ended June 30, 2022:
Number of SharesWeighted-Average 
Grant Date Fair Value Per Share
(in thousands)
Unvested RSUs as of December 31, 20215,285 $42.80 
Granted7,481 17.12 
Vested(1,083)39.60 
Cancelled/forfeited(811)37.32 
Unvested RSUs as of June 30, 2022
10,872 $25.87 
The following table summarizes the activity related to the revest shares during the six months ended June 30, 2022:
Number of SharesWeighted-Average Grant Date Fair Value Per Share
(in thousands)
Unvested revest shares as of December 31, 2021336 $97.84 
Granted— — 
Modification of shares subject to revest(224)97.84
Vested(75)97.84
Cancelled/forfeited— — 
Unvested revest shares as of June 30, 2022
37 $97.84 
Schedule of Stock-Based Compensation Expense
The following table summarizes the components of total stock-based compensation expense included in the accompanying Condensed Consolidated Statements of Operations:
Three months ended June 30,Six months ended June 30,
2022202120222021
(in thousands)
Cost of revenue$3,188 $1,828 $6,134 $3,014 
Research and development13,889 8,634 32,478 16,592 
Sales and marketing10,184 5,631 20,278 10,639 
General and administrative7,717 17,333 16,110 34,019 
Total stock-based compensation expense$34,978 $33,426 $75,000 $64,264 
v3.22.2
Net Loss Per Share Attributable to Common Stockholders (Tables)
 6 Months Ended
Jun. 30, 2022
Earnings Per Share [Abstract]  
Schedule of Earnings Per Share, Basic and Diluted
The following table presents the computation of basic and diluted net loss per share of common stock (in millions, except per share data):
Three months ended June 30,Six months ended June 30,
2022202120222021
Class AClass AClass BClass AClass AClass B
(in thousands, except per share amounts)
Net loss attributable to common stockholders$(16,437)$(53,339)$(4,956)$(80,701)$(99,511)$(9,467)
Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted121,242 105,522 9,804 120,295 104,766 9,967 
Net loss per share attributable to common stockholders, basic and diluted$(0.14)$(0.51)$(0.51)$(0.67)$(0.95)$(0.95)
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share
The following securities were excluded from the computation of diluted net loss per share of common stock for the periods presented as their effect would have been antidilutive (in millions):
Number of Shares
As of June 30,
20222021
(in thousands)
Stock options2,633 5,750 
RSUs10,872 4,737 
PSUs297 109 
Revest shares37 560 
Early exercised stock options— 62 
Shares issuable pursuant to the ESPP44 23 
Convertible senior notes (if-converted)7,338 9,229 
Total21,221 20,470 
Schedule of Accumulated Other Comprehensive Income (Loss)
For the three and six months ended June 30, 2022 and 2021, components of accumulated other comprehensive (loss) income, net of taxes, were as follows (in thousands):

Unrealized Loss on Available-for-Sale SecuritiesForeign Currency Translation AdjustmentTotal
Balance, March 31, 2022(8,924)(572)(9,496)
Foreign currency translation adjustment— 17 17 
Unrealized loss on available-for-sale securities(3,063)— (3,063)
Balance, June 30, 2022(11,987)(555)(12,542)
Unrealized Gain on Available-for-Sale SecuritiesForeign Currency Translation AdjustmentTotal
Balance, March 31, 202127 (164)(137)
Foreign currency translation adjustment— 23 23 
Unrealized loss on available-for-sale securities(147)— (147)
Balance, June 30, 2021(120)99 (141)(261)
Unrealized Loss on Available-for-Sale SecuritiesForeign Currency Translation AdjustmentTotal
Balance, December 31, 2021(2,242)(385)(2,627)
Foreign currency translation adjustment— (170)(170)
Unrealized loss on available-for-sale securities(9,745)— (9,745)
Balance, June 30, 2022(11,987)(555)(12,542)
Unrealized Gain on Available-for-Sale SecuritiesForeign Currency Translation AdjustmentTotal
Balance, December 31, 2020105 (99)6 
Foreign currency translation adjustment— (42)(42)
Unrealized loss on available-for-sale securities(225)— (225)
Balance, June 30, 2021(120)(141)(261)
v3.22.2
Information About Revenue and Geographic Areas (Tables)
 6 Months Ended
Jun. 30, 2022
Segment Reporting [Abstract]  
Schedule of Long-Lived Assets by Geographic Region
The Company’s property and equipment and operating lease right-of-use assets, each net, by geographic area were as follows:
As of June 30,As of December 31,
20222021
(in thousands)
United States$182,914 $177,990 
All other countries60,897 58,602 
Total long-lived assets$243,811 $236,592 
v3.22.2
Nature of Business (Details)
Jun. 30, 2022
operating_market
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Number of operating markets 78
v3.22.2
Revenue - Revenue by Geographic Area (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Disaggregation of Revenue [Line Items]        
Total revenue $ 102,518 $ 85,026 $ 204,900 $ 169,878
United States        
Disaggregation of Revenue [Line Items]        
Total revenue 76,052 59,674 151,666 122,408
Asia Pacific        
Disaggregation of Revenue [Line Items]        
Total revenue 12,869 9,077 24,589 18,231
Europe        
Disaggregation of Revenue [Line Items]        
Total revenue 9,242 8,232 18,595 17,872
All other        
Disaggregation of Revenue [Line Items]        
Total revenue $ 4,355 $ 8,043 $ 10,050 $ 11,367
v3.22.2
Revenue - Narrative (Details) - USD ($)
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Revenue from Contract with Customer [Abstract]        
Enterprise customer threshold $ 100,000   $ 100,000  
Revenue, performance obligation, description of payment terms     Payment terms on invoiced amounts are at a weighted average of 40 days.  
Amortization of deferred contract costs $ 2,100,000 $ 1,500,000 $ 3,989,000 $ 2,946,000
v3.22.2
Revenue - Revenue by Customer Type (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Disaggregation of Revenue [Line Items]        
Total revenue $ 102,518 $ 85,026 $ 204,900 $ 169,878
Enterprise customers        
Disaggregation of Revenue [Line Items]        
Total revenue 91,253 74,372 182,354 149,837
Non-enterprise customers        
Disaggregation of Revenue [Line Items]        
Total revenue $ 11,265 $ 10,654 $ 22,546 $ 20,041
v3.22.2
Revenue - Contract Assets and Liabilities (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Dec. 31, 2021
Revenue from Contract with Customer [Abstract]          
Contract assets $ 33   $ 33   $ 89
Contract liabilities 29,052   29,052   $ 28,907
Contract with Customer, Liability          
Revenue recognized in the period from amounts included in contract liability at the beginning of the period $ 10,674 $ 6,840 $ 19,164 $ 11,136  
v3.22.2
Revenue - Remaining Performance Obligation (Details)
$ in Millions
Jun. 30, 2022
USD ($)
Revenue from Contract with Customer [Abstract]  
Revenue performance obligation $ 173.2
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-07-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Remaining performance obligation, percentage 85.00%
Remaining performance obligation, timing of satisfaction 12 months
v3.22.2
Revenue - Costs to Obtain Contracts (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Dec. 31, 2021
Revenue from Contract with Customer [Abstract]    
Deferred contract costs, net $ 26,595 $ 23,830
v3.22.2
Investments and Fair Value Measurements - Cash, Cash Equivalent and Marketable Securities (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Dec. 31, 2021
Jun. 30, 2021
Debt Securities, Available-for-sale [Line Items]      
Cash and cash equivalents: $ 62,510 $ 166,068 $ 687,986
Marketable securities, current 419,905 361,795  
Marketable securities, non-current 284,951 528,911  
Total marketable securities 704,856 890,706  
Total cash, cash equivalents and marketable securities 767,366 1,056,774  
U.S. Treasury securities      
Debt Securities, Available-for-sale [Line Items]      
Marketable securities, current 274,449 184,946  
Marketable securities, non-current 53,555 239,528  
Total marketable securities 328,004 424,475  
Corporate notes and bonds      
Debt Securities, Available-for-sale [Line Items]      
Marketable securities, current 77,241 11,327  
Marketable securities, non-current 173,509 197,298  
Total marketable securities 250,750 208,625  
Commercial paper      
Debt Securities, Available-for-sale [Line Items]      
Marketable securities, current 16,489 124,089  
Total marketable securities 16,489 124,089  
Asset-backed securities      
Debt Securities, Available-for-sale [Line Items]      
Marketable securities, current 31,840 21,576  
Marketable securities, non-current 55,648 77,142  
Total marketable securities 87,488 98,717  
Municipal securities      
Debt Securities, Available-for-sale [Line Items]      
Marketable securities, current 0 2,250  
Total marketable securities 2,239 4,562  
Municipal securities      
Debt Securities, Available-for-sale [Line Items]      
Marketable securities, non-current 2,239 2,312  
Foreign government and supranational securities      
Debt Securities, Available-for-sale [Line Items]      
Marketable securities, current 19,886 17,607  
Marketable securities, non-current 0 12,631  
Total marketable securities 19,886 30,238  
Cash      
Debt Securities, Available-for-sale [Line Items]      
Cash and cash equivalents: 48,864 134,774  
Money market funds      
Debt Securities, Available-for-sale [Line Items]      
Cash and cash equivalents: 9,665 31,294  
Commercial paper      
Debt Securities, Available-for-sale [Line Items]      
Cash and cash equivalents: $ 3,981 $ 0  
v3.22.2
Investments and Fair Value Measurements - Available-For-Sale Investments (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Dec. 31, 2021
Debt Securities, Available-for-sale [Line Items]    
Amortized Cost $ 716,844 $ 892,948
Gross Unrealized Gain 0 1
Gross Unrealized Loss (11,988) (2,243)
Fair Value 704,856 890,706
U.S. Treasury securities    
Debt Securities, Available-for-sale [Line Items]    
Amortized Cost 333,938 425,560
Gross Unrealized Gain 0 1
Gross Unrealized Loss (5,934) (1,086)
Fair Value 328,004 424,475
Corporate notes and bonds    
Debt Securities, Available-for-sale [Line Items]    
Amortized Cost 255,927 209,550
Gross Unrealized Gain 0 0
Gross Unrealized Loss (5,177) (925)
Fair Value 250,750 208,625
Commercial paper    
Debt Securities, Available-for-sale [Line Items]    
Amortized Cost 16,489 124,098
Gross Unrealized Gain 0 0
Gross Unrealized Loss 0 (9)
Fair Value 16,489 124,089
Asset-backed securities    
Debt Securities, Available-for-sale [Line Items]    
Amortized Cost 88,020 98,857
Gross Unrealized Gain 0 0
Gross Unrealized Loss (532) (140)
Fair Value 87,488 98,717
Municipal securities    
Debt Securities, Available-for-sale [Line Items]    
Amortized Cost 2,325 4,577
Gross Unrealized Gain 0 0
Gross Unrealized Loss (86) (15)
Fair Value 2,239 4,562
Foreign government and supranational securities    
Debt Securities, Available-for-sale [Line Items]    
Amortized Cost 20,145 30,306
Gross Unrealized Gain 0 0
Gross Unrealized Loss (259) (68)
Fair Value $ 19,886 $ 30,238
v3.22.2
Investments and Fair Value Measurements - Narrative (Details)
$ in Millions
Jun. 30, 2022
USD ($)
security
Dec. 31, 2021
USD ($)
security
Fair Value Disclosures [Abstract]    
Securities in a continuous loss position (in securities) | security 1 0
Restricted cash | $ $ 0.2 $ 0.9
v3.22.2
Investments and Fair Value Measurements - Assets and Liabilities at Fair Value (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Dec. 31, 2021
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and cash equivalents $ 13,646 $ 31,294
Marketable securities 704,856 890,706
Restricted cash 150 893
Total financial assets 718,652 922,893
Corporate notes and bonds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 250,750 208,625
Commercial paper    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 16,489 124,089
U.S. Treasury securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 328,004 424,475
Municipal securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 2,239 4,562
Asset-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 87,488 98,717
Foreign government and supranational securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 19,886 30,238
Money market funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and cash equivalents 9,665 31,294
Restricted cash 150 893
Commercial paper    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and cash equivalents 3,981  
Level 1    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and cash equivalents 9,665 31,294
Marketable securities 0 0
Restricted cash 150 893
Total financial assets 9,815 32,187
Level 1 | Corporate notes and bonds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 1 | Commercial paper    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 1 | U.S. Treasury securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 1 | Municipal securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 1 | Asset-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 1 | Foreign government and supranational securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 1 | Money market funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and cash equivalents 9,665 31,294
Restricted cash 150 893
Level 1 | Commercial paper    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and cash equivalents 0  
Level 2    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and cash equivalents 3,981 0
Marketable securities 704,856 890,706
Restricted cash 0 0
Total financial assets 708,837 890,706
Level 2 | Corporate notes and bonds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 250,750 208,625
Level 2 | Commercial paper    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 16,489 124,089
Level 2 | U.S. Treasury securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 328,004 424,475
Level 2 | Municipal securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 2,239 4,562
Level 2 | Asset-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 87,488 98,717
Level 2 | Foreign government and supranational securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 19,886 30,238
Level 2 | Money market funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and cash equivalents 0 0
Restricted cash 0 0
Level 2 | Commercial paper    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and cash equivalents 3,981  
Level 3    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and cash equivalents 0 0
Marketable securities 0 0
Restricted cash 0 0
Total financial assets 0 0
Level 3 | Corporate notes and bonds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 3 | Commercial paper    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 3 | U.S. Treasury securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 3 | Municipal securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 3 | Asset-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 3 | Foreign government and supranational securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Marketable securities 0 0
Level 3 | Money market funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and cash equivalents 0 0
Restricted cash 0 $ 0
Level 3 | Commercial paper    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and cash equivalents $ 0  
v3.22.2
Business Combinations - Narrative (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
May 18, 2022
Jun. 30, 2022
Jun. 30, 2022
Dec. 31, 2021
Business Acquisition [Line Items]        
Goodwill   $ 670,186 $ 670,186 $ 636,805
Minimum        
Business Acquisition [Line Items]        
Consideration transferred, holdback, period for distribution 12 months      
Maximum        
Business Acquisition [Line Items]        
Consideration transferred, holdback, period for distribution 24 months      
Glitch Inc        
Business Acquisition [Line Items]        
Business acquisition, percentage of voting interests acquired 100.00%      
Aggregate consideration transferred $ 34,900      
Consideration transferred, holdback 8,000      
Intangible assets 2,000      
Cash 1,600      
Other assets, net 600      
Goodwill $ 32,600      
Acquisition related costs   $ 2,000 $ 2,000  
Estimated useful life (in years)     3 years 7 months 6 days  
v3.22.2
Business Combinations - Finite-Lived Intangible Assets (Details) - Glitch Inc - USD ($)
$ in Thousands
 6 Months Ended
May 18, 2022
Jun. 30, 2022
Business Acquisition [Line Items]    
Total $ 2,000  
Estimated useful life (in years)   3 years 7 months 6 days
Developed Technology    
Business Acquisition [Line Items]    
Total $ 630  
Estimated useful life (in years) 4 years  
Customer relationships    
Business Acquisition [Line Items]    
Total $ 760  
Estimated useful life (in years) 3 years  
Trade name    
Business Acquisition [Line Items]    
Total $ 610  
Estimated useful life (in years) 4 years  
v3.22.2
Balance Sheet Information - Property and equipment (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Dec. 31, 2021
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 278,919 $ 254,811
Accumulated depreciation and amortization (104,969) (87,850)
Property and equipment, net 173,950 166,961
Computer and networking equipment    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross 215,730 207,575
Leasehold improvements    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross 8,002 4,631
Furniture and fixtures    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross 1,793 1,606
Office equipment    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross 790 654
Internal-use software    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross 52,604 40,345
Property and equipment, net $ 35,000 $ 27,900
v3.22.2
Balance Sheet Information - Narrative (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Dec. 31, 2021
Property, Plant and Equipment [Line Items]          
Depreciation and amortization $ 10,700 $ 6,900 $ 20,600 $ 13,300  
Property and equipment, net 173,950   173,950   $ 166,961
Finance lease, right-of-use asset, before accumulated amortization 89,300   89,300   67,800
Finance lease, right-of-use asset, accumulated amortization 21,100   21,100   14,400
Internal-use software          
Property, Plant and Equipment [Line Items]          
Depreciation and amortization 2,200 $ 1,000 3,700 $ 1,900  
Property and equipment, net $ 35,000   $ 35,000   $ 27,900
v3.22.2
Balance Sheet Information - Other Assets (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Dec. 31, 2021
Balance Sheet Related Disclosures [Abstract]    
Deferred contract costs, net $ 26,595 $ 23,830
Advance payment for purchase of property and equipment 29,310 0
Other assets 4,294 5,638
Total other assets $ 60,199 $ 29,468
v3.22.2
Balance Sheet Information - Accrued Expenses (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Dec. 31, 2021
Balance Sheet Related Disclosures [Abstract]    
Accrued compensation and related benefits $ 19,836 $ 13,543
Accrued colocation and bandwidth costs 8,407 10,205
Sales and use tax liabilities 8,396 8,070
Other accrued liabilities 13,304 4,294
Accrued expenses $ 49,943 $ 36,112
v3.22.2
Balance Sheet Information - Other Current Liabilities (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Dec. 31, 2021
Balance Sheet Related Disclosures [Abstract]    
Deferred revenue, current $ 25,484 $ 26,421
Accrued computer and networking equipment 3,534 18,081
Holdback payable 4,013 0
Other current liabilities 674 605
Total other current liabilities $ 33,705 $ 45,107
v3.22.2
Leases - Narrative (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Lessee, Lease, Description [Line Items]        
Subleases, remaining lease terms (in years)     2 years 3 months  
Sublease income $ 0.2 $ 0.2 $ 0.5 $ 0.4
Lease not yet commenced, commitment amount $ 1.1   $ 1.1  
Minimum        
Lessee, Lease, Description [Line Items]        
Remaining lease terms, operating (in years) 1 year   1 year  
Remaining lease terms, finance (in years) 1 year   1 year  
Lease not yet commenced, term of contract 3 years   3 years  
Maximum        
Lessee, Lease, Description [Line Items]        
Remaining lease terms, operating (in years) 8 years   8 years  
Remaining lease terms, finance (in years) 8 years   8 years  
v3.22.2
Leases - Lease Cost (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Leases [Abstract]        
Operating lease cost $ 6,631 $ 6,452 $ 13,499 $ 12,804
Variable lease cost 3,463 1,460 6,182 2,818
Total operating lease costs 10,094 7,912 19,681 15,622
Amortization of assets under finance lease 3,818 1,250 7,080 2,484
Interest 650 405 1,241 735
Total finance lease costs $ 4,468 $ 1,655 $ 8,321 $ 3,219
v3.22.2
Leases - Supplemental Lease Information (Details)
Jun. 30, 2022
Dec. 31, 2021
Weighted Average Remaining Lease Term (in years):    
Operating leases 4 years 3 months 25 days 4 years 4 months 28 days
Finance leases 2 years 1 month 6 days 2 years 2 months 23 days
Weighted Average Discount Rate:    
Operating leases 5.21% 5.20%
Finance leases 4.75% 4.86%
v3.22.2
Leases - Lease Liability Maturity (Details)
$ in Thousands
Jun. 30, 2022
USD ($)
Operating Leases  
Remainder of 2022 $ 12,043
2023 20,660
2024 16,723
2025 15,782
2026 15,373
Thereafter 11,696
Total future minimum lease payments 92,277
Less: imputed interest (11,001)
Total liability 81,276
Finance Leases  
Remainder of 2022 16,588
2023 25,332
2024 13,973
2025 1,463
2026 0
Thereafter 0
Total future minimum lease payments 57,356
Less: imputed interest (2,789)
Total liability $ 54,567
v3.22.2
Goodwill and Intangible Assets - Goodwill (Details) - USD ($)
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Goodwill [Roll Forward]        
Balance as of December 31, 2021     $ 636,805,000  
Goodwill acquired from business combinations     33,419,000  
Foreign currency translation and other adjustments     (38,000)  
Balance as of June 30, 2022 $ 670,186,000   670,186,000  
Goodwill, impairment loss $ 0 $ 0 $ 0 $ 0
v3.22.2
Goodwill and Intangible Assets - Intangible Assets (Details) - USD ($)
$ in Thousands
Jun. 30, 2022
Dec. 31, 2021
Finite-Lived Intangible Assets [Line Items]    
Accumulated amortization $ (37,513) $ (26,895)
Total 93,610  
Gross carrying value 131,491 129,491
Total intangible assets 93,978 102,596
Customer relationships    
Finite-Lived Intangible Assets [Line Items]    
Gross carrying value 69,860 69,100
Accumulated amortization (15,116) (10,797)
Total 54,744 58,303
Developed technology    
Finite-Lived Intangible Assets [Line Items]    
Gross carrying value 50,130 49,500
Accumulated amortization (17,325) (12,375)
Total 32,805 37,125
Trade names    
Finite-Lived Intangible Assets [Line Items]    
Gross carrying value 3,910 3,300
Accumulated amortization (1,925) (1,375)
Total 1,985 1,925
Internet protocol addresses    
Finite-Lived Intangible Assets [Line Items]    
Gross carrying value 4,984 4,984
Accumulated amortization (1,222) (973)
Total 3,762 4,011
Backlog    
Finite-Lived Intangible Assets [Line Items]    
Gross carrying value 2,200 2,200
Accumulated amortization (1,925) (1,375)
Total 275 825
In-process research and development ("IPR&D")    
Finite-Lived Intangible Assets [Line Items]    
Gross carrying value 368 368
Accumulated amortization 0 0
Total 368 368
Domain name    
Finite-Lived Intangible Assets [Line Items]    
Gross carrying value 39 39
Accumulated amortization 0 0
Total $ 39 $ 39
v3.22.2
Goodwill and Intangible Assets - Narrative (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Finite-Lived Intangible Assets [Line Items]        
Amortization of intangible assets $ 5,300 $ 5,300 $ 10,618 $ 10,620
Purchase of intangible assets   $ 2,100 0 $ 2,093
Glitch Inc        
Finite-Lived Intangible Assets [Line Items]        
Purchase of intangible assets $ 2,000   $ 2,000  
v3.22.2
Goodwill and Intangible Assets - Expected Amortization of Intangible Assets (Details)
$ in Thousands
Jun. 30, 2022
USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]  
Remainder of 2022 $ 10,694
2023 20,437
2024 19,603
2025 16,977
2026 9,193
Thereafter 16,706
Total $ 93,610
v3.22.2
Debt Instruments - Senior Secured Credit Facilities Agreement (Details) - SVB Revolver
 3 Months Ended 6 Months Ended
Feb. 16, 2021
USD ($)
Jun. 30, 2022
USD ($)
Jun. 30, 2021
USD ($)
Jun. 30, 2022
USD ($)
Jun. 30, 2021
USD ($)
Dec. 31, 2021
USD ($)
Debt Instrument [Line Items]            
Debt facility, maximum borrowing amount $ 100,000,000          
Transaction costs $ 600,000          
Debt covenant, adjusted quick ratio, minimum requirement 1.25          
Debt covenant, adjusted quick ratio, minimum threshold to trigger revenue growth covenant requirement 1.75          
Amounts drawn on line of credit during the period   $ 0 $ 0 $ 0 $ 0  
Amount of debt outstanding   $ 0   $ 0   $ 0
Minimum            
Debt Instrument [Line Items]            
Line of credit, unused capacity, commitment fee percentage 0.20%          
Maximum            
Debt Instrument [Line Items]            
Line of credit, unused capacity, commitment fee percentage 0.25%          
LIBOR | Minimum            
Debt Instrument [Line Items]            
Basis spread on variable rate 1.75%          
LIBOR | Maximum            
Debt Instrument [Line Items]            
Basis spread on variable rate 2.00%          
v3.22.2
Debt Instruments - Convertible Senior Notes (Details)
$ / shares in Units, $ in Thousands
 3 Months Ended 6 Months Ended
Mar. 05, 2021
USD ($)
Jun. 30, 2022
USD ($)
$ / shares
Jun. 30, 2021
USD ($)
Jun. 30, 2022
USD ($)
d
$ / shares
Jun. 30, 2021
USD ($)
May 25, 2022
USD ($)
Debt Instrument [Line Items]            
Issuance of convertible note, net of issuance costs       $ 0 $ 930,775  
Net gain on extinguishment of debt   $ 54,391 $ 0 $ 54,391 $ 0  
2026 Convertible Notes            
Debt Instrument [Line Items]            
Issuance of convertible note, net of issuance costs $ 930,000          
2026 Convertible Notes | Common Stock—Class A            
Debt Instrument [Line Items]            
Debt instrument, convertible, conversion ratio       0.0097272    
Debt instrument, convertible, conversion price (in dollars per share) | $ / shares   $ 102.80   $ 102.80    
2026 Convertible Notes | Fastly Conversion Option            
Debt Instrument [Line Items]            
Debt instrument, convertible, threshold percentage of stock price trigger       130.00%    
Debt instrument, convertible, threshold trading days | d       20    
Debt instrument, convertible, threshold consecutive trading days | d       30    
2026 Convertible Notes | Holder Conversion Option One | Common Stock—Class A            
Debt Instrument [Line Items]            
Debt instrument, convertible, threshold percentage of stock price trigger       130.00%    
Debt instrument, convertible, threshold trading days | d       20    
Debt instrument, convertible, threshold consecutive trading days | d       30    
2026 Convertible Notes | Holder Conversion Option Two | Common Stock—Class A            
Debt Instrument [Line Items]            
Debt instrument, convertible, threshold percentage of stock price trigger       98.00%    
Debt instrument, convertible, threshold trading days | d       5    
Debt instrument, convertible, threshold consecutive trading days | d       10    
Convertible Debt | 2026 Convertible Notes            
Debt Instrument [Line Items]            
Debt Instrument, face amount $ 948,800          
Interest rate, stated percentage 0.00%          
Debt instrument, face amount, additional principal issuable $ 123,800          
Discount and transaction costs $ 18,600          
Debt instrument, repurchased face amount           $ 235,000
Debt instrument, repurchase amount           $ 176,400
Convertible Debt | 2026 Convertible Notes | Fastly Conversion Option            
Debt Instrument [Line Items]            
Debt instrument, redemption price, percentage       100.00%    
Convertible Debt | 2026 Convertible Notes | Fundamental Change            
Debt Instrument [Line Items]            
Debt instrument, redemption price, percentage       100.00%    
v3.22.2
Debt Instruments - Schedule of Outstanding Debt (Details) - Convertible Debt - 2026 Convertible Notes - USD ($)
$ in Thousands
 6 Months Ended
Jun. 30, 2022
Dec. 31, 2021
Debt Instrument [Line Items]    
Effective interest rate 0.40%  
Principal amount $ 713,753 $ 948,750
Less: unamortized debt issuance costs (10,378) (15,545)
Less: current portion of long-term debt 0 0
Long-term debt, less current portion $ 703,375 $ 933,205
v3.22.2
Debt Instruments - Narrative (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Debt Disclosure [Abstract]        
Interest expense $ 0.9 $ 1.0 $ 1.9 $ 1.4
v3.22.2
Commitments and Contingencies - Purchase Commitments (Details)
$ in Thousands
Jun. 30, 2022
USD ($)
Long-term Purchase Commitment [Line Items]  
Remainder of 2022 $ 28,496
2023 37,632
2024 13,663
2025 1,246
2026 166
Thereafter 89
Total 81,292
Cost of Revenue Commitments  
Long-term Purchase Commitment [Line Items]  
Remainder of 2022 22,445
2023 21,601
2024 11,524
2025 853
2026 166
Thereafter 89
Total 56,678
SaaS Agreements  
Long-term Purchase Commitment [Line Items]  
Remainder of 2022 6,051
2023 16,031
2024 2,139
2025 393
2026 0
Thereafter 0
Total $ 24,614
v3.22.2
Commitments and Contingencies - Narrative (Details) - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2022
Dec. 31, 2021
Commitments and Contingencies Disclosure [Abstract]    
Long-term purchase obligations $ 12.5  
Sales and use tax liability $ 8.4 $ 7.5
v3.22.2
Stockholders' Equity - Equity Incentive Plans (Details)
shares in Millions
 6 Months Ended
Jun. 30, 2022
plan
shares
Dec. 31, 2021
shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Number of equity incentive plans | plan 4  
Common Stock—Class A    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Common stock, shares outstanding (in shares) 121.9 118.8
Common stock, shares issued (in shares) 121.9 118.8
2019 Equity Incentive Plan | Common Stock—Class A    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Common stock, shares available for future issuance (in shares) 14.9 15.9
v3.22.2
Stockholders' Equity - Stock Options (Details) - USD ($)
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Stock-based compensation expense $ 34,978,000 $ 33,426,000 $ 75,000,000 $ 64,264,000
Modification expense, incremental fair value   1,200,000   1,200,000
Stock options        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Stock-based compensation expense 1,400,000 4,400,000 3,100,000 8,200,000
Modification expense, incremental fair value $ 0 $ 1,100,000 $ 0 $ 1,100,000
Stock options | 2011 Equity Incentive Plan        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Award expiration period     10 years  
Award vesting period     4 years  
Stock options | 2011 Equity Incentive Plan | First Year        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Award vesting percentage     25.00%  
Stock options | 2011 Equity Incentive Plan | Remaining Period        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Award vesting period     36 months  
v3.22.2
Stockholders' Equity - Stock Option Activity (Details)
$ / shares in Units, shares in Thousands, $ in Thousands
 6 Months Ended 12 Months Ended
Jun. 30, 2022
USD ($)
$ / shares
shares
Dec. 31, 2021
USD ($)
$ / shares
shares
Number of Shares    
Options outstanding, beginning balance (in shares) | shares 4,369  
Granted (in shares) | shares 0  
Exercised (in shares) | shares (1,624)  
Cancelled/forfeited (in shares) | shares (112)  
Options outstanding, ending balance (in shares) | shares 2,633 4,369
Options vested and exercisable (in shares) | shares 2,319  
Weighted- Average  Exercise Price    
Options outstanding, weighted average exercise price, beginning of period (in USD per share) | $ / shares $ 6.12 $ 5.07
Granted, weighted average exercise price (in USD per share) | $ / shares 0  
Exercised, weighted average exercise price (in USD per share) | $ / shares 2.94  
Cancelled/forfeited, weighted average exercise price (in USD per share) | $ / shares 11.50  
Options outstanding, weighted average exercise price, end of period (in USD per share) | $ / shares 6.12 $ 5.07
Vested and exercisable, weighted-average exercise price (in USD per share) | $ / shares $ 5.52  
Stock Option Activity, Additional Disclosures    
Weighted-average remaining contractual period 5 years 2 months 19 days 5 years 1 month 6 days
Vested and exercisable, weighted average contractual term 5 years 7 days  
Aggregate intrinsic value | $ $ 15,906 $ 132,721
Vested and exercisable, aggregate intrinsic value | $ $ 15,129  
v3.22.2
Stockholders' Equity - RSUs and Revest Shares (Details)
 3 Months Ended 6 Months Ended 12 Months Ended
Jan. 31, 2022
USD ($)
Jun. 30, 2022
USD ($)
Jun. 30, 2021
USD ($)
Jun. 30, 2022
USD ($)
Jun. 30, 2021
USD ($)
Dec. 31, 2020
cofounder
shares
Dec. 31, 2021
shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Stock-based compensation expense   $ 34,978,000 $ 33,426,000 $ 75,000,000 $ 64,264,000    
Modification expense, incremental fair value     1,200,000   1,200,000    
Signal Sciences Corp.              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Number of cofounders with shares subject to revesting | cofounder           3  
Shares held back for restricted stock awards, revesting period           2 years  
Signal Sciences Corp. | Common Stock—Class A              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Number of shares restricted for stock awards (in shares) | shares           896,499  
RSUs              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Award vesting period       4 years      
Stock-based compensation expense   23,300,000 15,800,000 $ 45,100,000 29,000,000    
RSUs | First Year              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Award vesting period       4 years      
Award vesting percentage       25.00%      
RSUs | Remaining Period              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Award vesting period       36 months      
Revest Shares              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Stock-based compensation expense   7,400,000 $ 11,000,000 $ 14,700,000 $ 21,900,000    
Nonvested shares sold that remain unvested (in shares) | shares             224,124
Proceeds from nonvested shares sold $ 10,700,000            
Modification expense, incremental fair value   $ 0   $ 5,600,000      
v3.22.2
Stockholders' Equity - Schedule of Restricted, Revest, and Performance Shares (Details)
shares in Thousands
 6 Months Ended
Jun. 30, 2022
$ / shares
shares
RSUs  
Number of Shares  
Beginning balance (in shares) | shares 5,285
Granted (in shares) | shares 7,481
Vested (in shares) | shares (1,083)
Cancelled/forfeited (in shares) | shares (811)
Ending balance (in shares) | shares 10,872
Weighted-Average  Grant Date Fair Value Per Share  
Beginning balance (in USD per share) | $ / shares $ 42.80
Granted (in USD per share) | $ / shares 17.12
Vested (in USD per share) | $ / shares 39.60
Forfeited (in USD per share) | $ / shares 37.32
Ending balance (in USD per share) | $ / shares $ 25.87
Revest Shares  
Number of Shares  
Beginning balance (in shares) | shares 336
Granted (in shares) | shares 0
Modification of shares subject to revest (in shares) | shares (224)
Vested (in shares) | shares (75)
Cancelled/forfeited (in shares) | shares 0
Ending balance (in shares) | shares 37
Weighted-Average  Grant Date Fair Value Per Share  
Beginning balance (in USD per share) | $ / shares $ 97.84
Granted (in USD per share) | $ / shares 0
Modification of shares subject to revest (in USD per share) | $ / shares 97.84
Vested (in USD per share) | $ / shares 97.84
Forfeited (in USD per share) | $ / shares 0
Ending balance (in USD per share) | $ / shares $ 97.84
v3.22.2
Stockholders' Equity - Performance-Based Restricted Stock Units (PSUs) (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Feb. 11, 2022
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Stock-based compensation expense $ 34,978 $ 33,426 $ 75,000 $ 64,264  
Performance Target Payout Level One          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Payout of performance-based restricted stock units, percentage         50.00%
Performance Target Payout Level Two          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Payout of performance-based restricted stock units, percentage         100.00%
Performance Target Payout Level Three          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Payout of performance-based restricted stock units, percentage         150.00%
PSUs          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Stock-based compensation expense 500 $ 1,700 1,100 $ 3,800  
PSUs | 2022 Bonus Program          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Stock-based compensation expense $ 3,700   $ 7,000    
v3.22.2
Stockholders' Equity - ESPP (Details) - USD ($)
$ in Thousands, shares in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Contributions withheld for taxes $ 1,900 $ 2,600 $ 4,300 $ 6,000
Stock-based compensation expense $ 34,978 $ 33,426 $ 75,000 $ 64,264
Stock repurchased during period (in shares) 0.3 0.2 0.3 0.2
Shares issuable pursuant to the ESPP        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Maximum employee contribution as a percentage of salary     15.00%  
Offering period duration     6 months  
Purchase price of common stock, percent     85.00%  
Stock-based compensation expense $ 800 $ 900 $ 1,900 $ 2,100
v3.22.2
Stockholders' Equity - Stock-based Compensation Expense (Details) - USD ($)
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Stock-based compensation expense $ 34,978,000 $ 33,426,000 $ 75,000,000 $ 64,264,000
Share-based payment arrangement, amount capitalized 2,100,000 400,000 3,522,000 754,000
Liability Classified Awards        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Stock-based compensation expense 5,300,000 0 15,900,000 0
Cost of revenue        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Stock-based compensation expense 3,188,000 1,828,000 6,134,000 3,014,000
Research and development        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Stock-based compensation expense 13,889,000 8,634,000 32,478,000 16,592,000
Sales and marketing        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Stock-based compensation expense 10,184,000 5,631,000 20,278,000 10,639,000
General and administrative        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Stock-based compensation expense $ 7,717,000 $ 17,333,000 $ 16,110,000 $ 34,019,000
v3.22.2
Net Loss Per Share Attributable to Common Stockholders - Computation of EPS (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Class of Stock [Line Items]        
Weighted-average shares used in computing net loss per share attributable to common stockholders, basic (in shares) 121,242 115,326 120,295 114,733
Weighted-average shares used in computing net loss per share attributable to common stockholders, diluted (in shares) 121,242 115,326 120,295 114,733
Net loss per share attributable to common stockholders, basic (in US dollar per share) $ (0.14) $ (0.51) $ (0.67) $ (0.95)
Net loss per share attributable to common stockholders, diluted (in US dollar per share) $ (0.14) $ (0.51) $ (0.67) $ (0.95)
Common Stock—Class A        
Class of Stock [Line Items]        
Net loss attributable to common stockholders, basic $ (16,437) $ (53,339) $ (80,701) $ (99,511)
Net loss attributable to common stockholders, diluted $ (16,437) $ (53,339) $ (80,701) $ (99,511)
Weighted-average shares used in computing net loss per share attributable to common stockholders, basic (in shares) 121,242 105,522 120,295 104,766
Weighted-average shares used in computing net loss per share attributable to common stockholders, diluted (in shares) 121,242 105,522 120,295 104,766
Net loss per share attributable to common stockholders, basic (in US dollar per share) $ (0.14) $ (0.51) $ (0.67) $ (0.95)
Net loss per share attributable to common stockholders, diluted (in US dollar per share) $ (0.14) $ (0.51) $ (0.67) $ (0.95)
Common Stock—Class B        
Class of Stock [Line Items]        
Net loss attributable to common stockholders, basic   $ (4,956)   $ (9,467)
Net loss attributable to common stockholders, diluted   $ (4,956)   $ (9,467)
Weighted-average shares used in computing net loss per share attributable to common stockholders, basic (in shares)   9,804   9,967
Weighted-average shares used in computing net loss per share attributable to common stockholders, diluted (in shares)   9,804   9,967
Net loss per share attributable to common stockholders, basic (in US dollar per share)   $ (0.51)   $ (0.95)
Net loss per share attributable to common stockholders, diluted (in US dollar per share)   $ (0.51)   $ (0.95)
v3.22.2
Net Loss Per Share Attributable to Common Stockholders - Antidilutive Securities (Details) - shares
shares in Thousands
 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Antidilutive securities (in shares) 21,221 20,470
Stock options    
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Antidilutive securities (in shares) 2,633 5,750
RSUs    
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Antidilutive securities (in shares) 10,872 4,737
PSUs    
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Antidilutive securities (in shares) 297 109
Revest shares    
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Antidilutive securities (in shares) 37 560
Early exercised stock options    
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Antidilutive securities (in shares) 0 62
Shares issuable pursuant to the ESPP    
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Antidilutive securities (in shares) 44 23
Convertible senior notes (if-converted)    
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Antidilutive securities (in shares) 7,338 9,229
v3.22.2
Net Loss Per Share Attributable to Common Stockholders - Accumulated Other Comprehensive (Loss) Income (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Accumulated Other Comprehensive (Loss) Income [Roll Forward]        
Beginning balance $ 976,723 $ 1,045,034 $ 1,013,953 $ 1,061,865
Foreign currency translation adjustment 17 23 (170) (42)
Unrealized loss on available-for-sale securities (3,063) (147) (9,745) (225)
Ending balance 993,738 1,029,090 993,738 1,029,090
Accumulated Other Comprehensive Loss        
Accumulated Other Comprehensive (Loss) Income [Roll Forward]        
Beginning balance (9,496) (137) (2,627) 6
Ending balance (12,542) (261) (12,542) (261)
Unrealized Loss on Available-for-Sale Securities        
Accumulated Other Comprehensive (Loss) Income [Roll Forward]        
Beginning balance (8,924) 27 (2,242) 105
Foreign currency translation adjustment 0 0 0 0
Unrealized loss on available-for-sale securities (3,063) (147) (9,745) (225)
Ending balance (11,987) (120) (11,987) (120)
Foreign Currency Translation Adjustment        
Accumulated Other Comprehensive (Loss) Income [Roll Forward]        
Beginning balance (572) (164) (385) (99)
Foreign currency translation adjustment 17 23 (170) (42)
Unrealized loss on available-for-sale securities 0 0 0 0
Ending balance $ (555) $ (141) $ (555) $ (141)
v3.22.2
Income Taxes (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
Jun. 30, 2022
Jun. 30, 2021
Income Tax Examination [Line Items]        
Income tax expense (benefit) $ 159 $ (155) $ 199 $ 14
Less than        
Income Tax Examination [Line Items]        
Income tax expense (benefit)       $ 100
v3.22.2
Information About Revenue and Geographic Areas (Details)
$ in Thousands
 6 Months Ended
Jun. 30, 2022
USD ($)
segment
Dec. 31, 2021
USD ($)
Segment Reporting [Abstract]    
Number of reportable segments | segment 1  
Revenues from External Customers and Long-Lived Assets [Line Items]    
Total long-lived assets $ 243,811 $ 236,592
United States    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Total long-lived assets 182,914 177,990
All other countries    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Total long-lived assets $ 60,897 $ 58,602