ARISTA NETWORKS, INC., 10-Q filed on 5/7/2025
Quarterly Report
v3.25.1
Cover Page - shares
 3 Months Ended
Mar. 31, 2025
May 01, 2025
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Mar. 31, 2025  
Document Transition Report false  
Entity File Number 001-36468  
Entity Registrant Name Arista Networks, Inc.  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 20-1751121  
Entity Address, Address Line One 5453 Great America Parkway  
Entity Address, City or Town Santa Clara  
Entity Address, State or Province CA  
Entity Address, Postal Zip Code 95054  
City Area Code (408)  
Local Phone Number 547-5500  
Title of 12(b) Security Common Stock, $0.0001 par value  
Trading Symbol ANET  
Security Exchange Name NYSE  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding (in shares)   1,255,921,431
Entity Central Index Key 0001596532  
Current Fiscal Year End Date --12-31  
Document Fiscal Year Focus 2025  
Document Fiscal Period Focus Q1  
Amendment Flag false  
v3.25.1
Condensed Consolidated Balance Sheets - USD ($)
$ in Millions
Mar. 31, 2025
Dec. 31, 2024
CURRENT ASSETS:    
Cash and cash equivalents $ 1,845.1 $ 2,762.4
Marketable securities 6,304.5 5,541.1
Accounts receivable, net 1,435.9 1,140.5
Inventories 1,957.3 1,834.6
Prepaid expenses and other current assets 733.5 632.3
Total current assets 12,276.3 11,910.9
Property and equipment, net 123.9 98.8
Acquisition-related intangible assets, net 56.4 62.0
Goodwill 268.5 268.5
Deferred tax assets 1,544.3 1,440.4
Other assets 245.2 263.3
TOTAL ASSETS 14,514.6 14,043.9
CURRENT LIABILITIES:    
Accounts payable 389.1 381.1
Accrued liabilities 263.1 435.3
Deferred revenue 2,072.7 1,727.3
Income taxes payable 249.1 50.1
Other current liabilities 147.6 138.4
Total current liabilities 3,121.6 2,732.2
Deferred revenue, non-current 1,016.1 1,064.1
Other long-term liabilities 257.8 252.8
TOTAL LIABILITIES 4,395.5 4,049.1
Commitments and Contingencies (Note 5)
STOCKHOLDERS’ EQUITY:    
Preferred stock, $0.0001 par value—100 shares authorized and no shares issued and outstanding as of March 31, 2025 and December 31, 2024 0.0 0.0
Common stock, $0.0001 par value—4,000 shares authorized as of March 31, 2025 and December 31, 2024; 1,256.6 and 1,261.3 shares issued and outstanding as of March 31, 2025 and December 31, 2024 0.1 0.1
Additional paid-in capital 2,551.7 2,465.4
Retained earnings 7,569.2 7,542.5
Accumulated other comprehensive income (loss) (1.9) (13.2)
TOTAL STOCKHOLDERS’ EQUITY 10,119.1 9,994.8
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY $ 14,514.6 $ 14,043.9
v3.25.1
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares
Mar. 31, 2025
Dec. 31, 2024
Statement of Financial Position [Abstract]    
Preferred stock, par value (in dollars per share) $ 0.0001 $ 0.0001
Preferred stock, shares authorized (in shares) 100,000,000 100,000,000
Preferred stock, shares issued (in shares) 0 0
Preferred stock, shares outstanding (in shares) 0 0
Common stock, par value (in dollars per share) $ 0.0001 $ 0.0001
Common stock, shares authorized (in shares) 4,000,000,000 4,000,000,000
Common stock, shares issued (in shares) 1,256,600,000 1,261,300,000
Common stock, shares outstanding (in shares) 1,256,600,000 1,261,300,000
v3.25.1
Condensed Consolidated Income Statements - USD ($)
shares in Millions, $ in Millions
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Revenue:    
Total revenue $ 2,004.8 $ 1,571.4
Cost of revenue:    
Total cost of revenue 728.7 570.0
Gross profit 1,276.1 1,001.4
Operating expenses:    
Research and development 266.4 208.4
Sales and marketing 116.6 105.1
General and administrative 34.3 27.7
Total operating expenses 417.3 341.2
Income from operations 858.8 660.2
Other income (expense), net 96.2 62.6
Income before income taxes 955.0 722.8
Provision for income taxes 141.2 85.1
Net income $ 813.8 $ 637.7
Net income per share    
Basic (in dollars per share) [1] $ 0.65 $ 0.51
Diluted (in dollars per share) [1] $ 0.64 $ 0.50
Weighted-average shares used in computing net income per share    
Basic (in shares) [1] 1,260.0 1,252.1
Diluted (in shares) [1] 1,279.2 1,279.4
Product    
Revenue:    
Total revenue $ 1,692.5 $ 1,328.8
Cost of revenue:    
Total cost of revenue 672.7 521.7
Service    
Revenue:    
Total revenue 312.3 242.6
Cost of revenue:    
Total cost of revenue $ 56.0 $ 48.3
[1] Prior period results have been adjusted to reflect the four-for-one stock split effected in December 2024. See Note 1, Organization and Summary of Accounting Policies, for details.
v3.25.1
Condensed Consolidated Income Statements (Parenthetical)
 1 Months Ended
Nov. 07, 2024
Dec. 31, 2024
Income Statement [Abstract]    
Stock split ratio 4 4
v3.25.1
Condensed Consolidated Statements of Comprehensive Income - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Statement of Comprehensive Income [Abstract]    
Net income $ 813.8 $ 637.7
Other comprehensive income (loss), net of tax:    
Foreign currency translation adjustments 0.7 (1.4)
Available-for-sale investments:    
Change in net unrealized gains (losses) on available-for-sale securities 10.6 (7.2)
Other comprehensive income (loss) 11.3 (8.6)
Comprehensive income $ 825.1 $ 629.1
v3.25.1
Condensed Consolidated Statements of Stockholders' Equity - USD ($)
$ in Millions
Total
Common Stock  
Additional Paid-In Capital
Retained Earnings
Accumulated Other Comprehensive Loss
Beginning balance (in shares) at Dec. 31, 2023 [1]   1,249,000,000      
Beginning balance at Dec. 31, 2023 $ 7,219.1 $ 0.1 [1] $ 2,108.3 [1] $ 5,114.0 $ (3.3)
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net income 637.7     637.7  
Other comprehensive income (loss), net of tax (8.6)       (8.6)
Stock-based compensation 77.2   77.2 [1]    
Issuance of common stock in connection with employee equity incentive plans (in shares) [1]   6,700,000      
Issuance of common stock in connection with employee equity incentive plans 25.1   25.1 [1]    
Repurchase of common stock (in shares) [1]   (900,000)      
Repurchase of common stock (62.7)     (62.7)  
Tax withholding paid for net share settlement of equity awards (in shares) [1]   (400,000)      
Tax withholding paid for net share settlement of equity awards (25.5)   (25.5) [1]    
Ending balance (in shares) at Mar. 31, 2024 [1]   1,254,400,000      
Ending balance at Mar. 31, 2024 $ 7,862.3 $ 0.1 [1] 2,185.1 [1] 5,689.0 (11.9)
Beginning balance (in shares) at Dec. 31, 2024 1,261,300,000 1,261,300,000      
Beginning balance at Dec. 31, 2024 $ 9,994.8 $ 0.1 2,465.4 7,542.5 (13.2)
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net income 813.8     813.8  
Other comprehensive income (loss), net of tax 11.3       11.3
Stock-based compensation 93.0   93.0    
Issuance of common stock in connection with employee equity incentive plans (in shares)   4,300,000      
Issuance of common stock in connection with employee equity incentive plans $ 28.1   28.1    
Repurchase of common stock (in shares) (8,700,000) (8,700,000)      
Repurchase of common stock $ (787.1)     (787.1)  
Tax withholding paid for net share settlement of equity awards (in shares)   (300,000)      
Tax withholding paid for net share settlement of equity awards $ (34.8)   (34.8)    
Ending balance (in shares) at Mar. 31, 2025 1,256,600,000 1,256,600,000      
Ending balance at Mar. 31, 2025 $ 10,119.1 $ 0.1 $ 2,551.7 $ 7,569.2 $ (1.9)
[1] Prior period results have been adjusted to reflect the four-for-one stock split effected in December 2024. See Note 1, Organization and Summary of Accounting Policies, for details.
v3.25.1
Condensed Consolidated Statements of Stockholders' Equity (Parenthetical)
 1 Months Ended
Nov. 07, 2024
Dec. 31, 2024
Statement of Stockholders' Equity [Abstract]    
Stock split ratio 4 4
v3.25.1
Condensed Consolidated Statements of Cash Flows - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
CASH FLOWS FROM OPERATING ACTIVITIES:    
Net income $ 813.8 $ 637.7
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization 13.8 15.6
Stock-based compensation 93.0 77.2
Deferred income taxes (107.1) (77.8)
Other (12.1) (7.8)
Changes in operating assets and liabilities:    
Accounts receivable, net (295.4) (65.5)
Inventories (122.7) (80.0)
Other assets (113.7) 38.1
Accounts payable 6.7 (207.2)
Deferred revenue 297.4 157.0
Income taxes, net 241.3 157.5
Other liabilities (173.3) (131.0)
Net cash provided by operating activities 641.7 513.8
CASH FLOWS FROM INVESTING ACTIVITIES:    
Proceeds from maturities of marketable securities 799.2 590.4
Proceeds from sale of marketable securities 8.8 36.8
Purchases of marketable securities (1,545.5) (912.4)
Purchases of property and equipment (28.4) (9.4)
Other 0.0 (1.0)
Net cash used in investing activities (765.9) (295.6)
CASH FLOWS FROM FINANCING ACTIVITIES:    
Proceeds from issuance of common stock under equity plans 28.1 25.1
Tax withholding paid on behalf of employees for net share settlement (34.8) (25.5)
Repurchases of common stock (787.1) (62.7)
Net cash used in financing activities (793.8) (63.1)
Effect of exchange rate changes 0.7 (1.6)
NET INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH (917.3) 153.5
CASH, CASH EQUIVALENTS AND RESTRICTED CASH —Beginning of period 2,763.8 1,939.5
CASH, CASH EQUIVALENTS AND RESTRICTED CASH —End of period $ 1,846.5 $ 2,093.0
v3.25.1
Organization and Summary of Significant Accounting Policies
 3 Months Ended
Mar. 31, 2025
Accounting Policies [Abstract]  
Organization and Summary of Significant Accounting Policies Organization and Summary of Significant Accounting Policies
Organization
    Arista Networks, Inc. (together with our subsidiaries, “we,” “our,” "Arista," "Company" or “us”) is an industry leader in data-driven, client-to-cloud networking for large AI, data center, campus and routing environments. Our cloud networking solutions consist of our Extensible Operating System ("EOS®"), a set of network applications and our Ethernet switching and routing platforms. We are incorporated in the state of Delaware. Our corporate headquarters are located in Santa Clara, California, and we have wholly-owned subsidiaries throughout the world, including North America, Europe, Asia and Australia.
Basis of Presentation and Principles of Consolidation
    The accompanying unaudited condensed consolidated financial statements include the accounts of Arista Networks, Inc. and its wholly-owned subsidiaries and have been prepared in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”) and the requirements of the U.S. Securities and Exchange Commission (the “SEC”) for interim reporting. As permitted under those rules, certain footnotes or other financial information that are normally required by GAAP can be condensed or omitted. In management’s opinion, the unaudited condensed consolidated financial statements have been prepared on the same basis as the audited consolidated financial statements and include all adjustments, which include only normal recurring adjustments, necessary for the fair presentation of our financial information. The results for the three months ended March 31, 2025, are not necessarily indicative of the results expected for the full fiscal year. The condensed consolidated balance sheet as of December 31, 2024 has been derived from the audited consolidated financial statements at that date but does not include all of the information and notes required by GAAP for complete financial statements. All significant inter-company accounts and transactions have been eliminated. Certain reclassifications of prior period amounts were made in the current year to conform to the current period presentation.
On November 7, 2024, the Company announced a four-for-one forward stock split ("Stock Split") of the Company’s common stock that was effected through the filing of an amendment to the Company's Amended and Restated Certificate of Incorporation ("Amendment") on December 3, 2024. The Stock Split proportionately increased the authorized shares of common stock, and all share and per share amounts presented herein have been retroactively adjusted to reflect the impact of the Stock Split.
    Our condensed consolidated financial statements and related financial information in this Quarterly Report on Form 10-Q should be read in conjunction with the audited consolidated financial statements and related footnotes included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024, filed with the SEC on February 18, 2025.
Use of Estimates
    The preparation of the accompanying consolidated financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the amounts reported and disclosed in the consolidated financial statements and accompanying notes. Those estimates and assumptions include, but are not limited to, valuation of inventory and contract manufacturer/supplier liabilities, accounting for income taxes, including the recognition of deferred tax assets and liabilities, valuation allowance on deferred tax assets and reserves for uncertain tax positions, revenue recognition and deferred revenue, valuation of goodwill and acquisition-related intangible assets, estimate of useful lives of long-lived assets including intangible assets, and the recognition and measurement of contingent liabilities. We evaluate our estimates and assumptions based on historical experience and other factors and adjust these estimates and assumptions when facts and circumstances dictate. Actual results could differ materially from these estimates.    
Recent Accounting Pronouncements Not Yet Effective
In December 2023, the Financial Accounting Standards Board ("FASB") issued ASU 2023-09, Income Taxes (Topic 740)-Improvements to Income Tax Disclosures. The ASU requires that an entity disclose specific categories in the effective tax rate reconciliation as well as provide additional information for reconciling items that meet a quantitative threshold. Further, the ASU requires certain disclosures of state versus federal income tax expense and taxes paid. The amendments in this ASU are required to be adopted for fiscal years beginning after December 15, 2024. Early adoption is permitted for annual financial statements that have not yet been issued. The amendments should be applied on a prospective basis although retrospective
application is permitted. We will adopt the standard in our 2025 annual period and are currently evaluating the impact that the updated standard will have on our financial statement disclosures.
In November 2024, the FASB issued ASU No. 2024-03, Disaggregation of Income Statement Expenses (Subtopic 220-40). The ASU requires the disaggregated disclosure of specific expense categories, including purchases of inventory, employee compensation, depreciation, and amortization, within relevant income statement captions. This ASU also requires disclosure of the total amount of selling expenses along with the definition of selling expenses. The ASU is effective for annual periods beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027. Adoption of this ASU can either be applied prospectively to consolidated financial statements issued for reporting periods after the effective date of this ASU or retrospectively to any or all prior periods presented in the consolidated financial statements. Early adoption is also permitted. This ASU will likely result in the required additional disclosures being included in our consolidated financial statements, once adopted. We are currently evaluating the impact of future adoption on our financial statement disclosures.
v3.25.1
Fair Value Measurements
 3 Months Ended
Mar. 31, 2025
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
    Assets measured at fair values on a recurring basis
    We measure and report our cash equivalents, restricted cash, and available-for-sale marketable securities at fair value on a recurring basis. We use a fair value hierarchy to measure fair value, maximizing the use of observable inputs and minimizing the use of unobservable inputs. The two-tiers of the fair value hierarchy are as follows: Level I—Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date and Level II—Inputs are observable, unadjusted quoted prices in active markets for similar assets or liabilities, unadjusted quoted prices for identical or similar assets or liabilities 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 related assets or liabilities. We don't have any level III financial assets measured at fair value on a recurring basis. The following tables summarize the fair value of these financial assets by significant investment category and their levels within the fair value hierarchy (in millions):
March 31, 2025December 31, 2024
Level ILevel IILevel IIITotal Level ILevel IILevel IIITotal
Financial Assets:
Cash Equivalents:
Money market funds $782.7 $— $— $782.7 $1,707.5 $— $— $1,707.5 
Commercial paper— 62.1 — 62.1 — — — — 
U.S. government notes288.9 — — 288.9 31.4 — — 31.4 
Agency securities— — — — — 3.0 — 3.0 
1,071.6 62.1 — 1,133.7 1,738.9 3.0 — 1,741.9 
Marketable Securities:
Commercial paper— 43.3 — 43.3 — 48.8 — 48.8 
U.S. government notes2,094.8 — — 2,094.8 1,921.5 — — 1,921.5 
Corporate bonds— 3,111.8 — 3,111.8 — 2,593.6 — 2,593.6 
Agency securities— 1,054.6 — 1,054.6 — 977.2 — 977.2 
2,094.8 4,209.7 — 6,304.5 1,921.5 3,619.6 — 5,541.1 
Other Assets:
Money market funds - restricted1.4 — — 1.4 1.4 — — 1.4 
Total Financial Assets$3,167.8 $4,271.8 $— $7,439.6 $3,661.8 $3,622.6 $— $7,284.4 
    During the three months ended March 31, 2025, the Company did not make any transfers between the levels of the fair value hierarchy.
    Debt securities
    The following table summarizes the amortized cost, unrealized gains and losses, and fair value of our debt securities measured at fair value on a recurring basis (in millions):
March 31, 2025December 31, 2024
Amortized CostUnrealized GainsUnrealized LossesFair ValueAmortized CostUnrealized GainsUnrealized LossesFair Value
Commercial paper$105.4 $— $— $105.4 $48.8 $— $— $48.8 
U.S. government2,380.1 5.2 (1.6)2,383.7 1,954.8 2.7 (4.6)1,952.9 
Corporate bonds3,107.2 7.3 (2.7)3,111.8 2,595.7 4.4 (6.5)2,593.5 
Agency securities1,053.7 1.8 (0.9)1,054.6 981.0 1.6 (2.4)980.3 
Total $6,646.4 $14.3 $(5.2)$6,655.5 $5,580.3 $8.7 $(13.5)$5,575.5 
    For debt securities in unrealized loss positions, it is not likely that we will be required to sell such securities before recovery of their amortized cost basis nor do we have the intent to sell such securities before maturity. We invest in debt securities that have maximum maturities of three years and are generally deemed to be low risk based on their credit ratings from the major rating agencies. The longer the duration of these marketable securities, the more susceptible they are to changes in market interest rates and bond yields. Given the short-term and conservative nature of our portfolio, our debt securities are generally not subject to credit risk; therefore, we did not recognize any credit losses or non-credit-related impairments related to such securities for the three months ended March 31, 2025. All unrealized losses were recognized in other comprehensive income (loss). Realized gains or losses were immaterial for the three months ended March 31, 2025.
    The following table is an analysis of our debt securities in unrealized loss positions (in millions):
March 31, 2025
Unrealized Losses within 12 months Unrealized Losses 12 months or greaterTotal
Fair ValueUnrealized LossesFair ValueUnrealized LossesFair ValueUnrealized Losses
U.S. government notes$859.3 $(1.6)$— $— $859.3 $(1.6)
Corporate bonds896.6 (2.7)2.8 — 899.4 (2.7)
Agency securities483.5 (0.9)— — 483.5 (0.9)
Total $2,239.4 $(5.2)$2.8 $— $2,242.2 $(5.2)
     As of March 31, 2025, we had no marketable debt securities with contractual maturities that exceeded three years. The fair values of marketable debt securities, by remaining contractual maturities, are as follows (in millions):
March 31, 2025
Fair Value
Due in 1 year or less$2,534.6 
Due in 1 to 3 years3,769.9 
Total debt securities $6,304.5 
    The weighted-average remaining duration of our marketable debt securities is approximately 1.3 years as of March 31, 2025. As we view these marketable debt securities as available to support current operations, we classify marketable debt securities with maturities beyond 12 months as current assets under the caption "Marketable securities" on the condensed consolidated balance sheets.
v3.25.1
Financial Statements Details
 3 Months Ended
Mar. 31, 2025
Balance Sheet Components [Abstract]  
Financial Statements Details Financial Statements Details
Inventories
    Inventories consist of the following (in millions):
March 31, 2025December 31, 2024
Raw materials $576.2 $565.4 
Finished goods(1)
1,381.1 1,269.2 
   Total inventories $1,957.3 $1,834.6 
(1) The balance includes evaluation inventory held at customers or partners totaling $435.8 million and $422.1 million as of March 31, 2025 and December 31, 2024, respectively.
Property and Equipment, net
    Property and equipment, net consists of the following (in millions):
March 31, 2025December 31, 2024
Land$47.3 $47.2 
Equipment and machinery 167.9 160.7 
Computer hardware and software 64.9 63.9 
Leasehold improvements
34.8 34.7 
Furniture and fixtures 3.5 3.5 
Construction-in-process 32.9 8.2 
    Property and equipment, gross 351.3 318.2 
Less: accumulated depreciation (227.4)(219.4)
    Property and equipment, net $123.9 $98.8 
    Depreciation expense was $8.0 million and $8.6 million for the three months ended March 31, 2025 and 2024, respectively.
Contract Liabilities, Deferred Revenue and Other Performance Obligations    
Contract Liabilities
    A contract liability is recognized when we have received customer payments in advance of our satisfaction of a performance obligation under a cancellable contract. The following table summarizes the activity related to our contract liabilities (in millions):
Three Months Ended March 31,
20252024
Contract liabilities, beginning balance$160.8 $133.2 
Less: Revenue recognized from beginning balance(12.9)(12.0)
Less: Beginning balance reclassified to deferred revenue(6.4)(6.5)
Add: Contract liabilities recognized19.0 24.9 
Contract liabilities, ending balance$160.5 $139.6 
    As of March 31, 2025 and December 31, 2024, $66.3 million and $65.7 million of our contract liabilities, respectively, were included in "Other current liabilities" with the remaining balances included in "Other long-term liabilities" on the condensed consolidated balance sheets.
Deferred Revenue
    Deferred revenue is comprised mainly of unearned revenue related to multi-year post-contract support ("PCS") contracts, services and product deferrals related to contracts with acceptance clauses. The following table summarizes the activity related to our deferred revenue (in millions):
Three Months Ended March 31,
20252024
Deferred revenue, beginning balance
$2,791.4 $1,506.2 
Less: Revenue recognized from beginning balance(418.3)(284.3)
Add: Deferral of revenue in current period, excluding amounts recognized during the period715.7 441.3 
Deferred revenue, ending balance$3,088.8 $1,663.2 
Other Performance Obligations
    Other performance obligations totaling $419.9 million as of March 31, 2025 include unbilled multi-year PCS and service contract amounts of $357.2 million and $62.7 million of binding contractual agreements with certain customers that are primarily related to future product shipments.
Revenue from Total Remaining Performance Obligations
    Total revenue from our contract liabilities, deferred revenue and other performance obligations that is expected to be recognized in future periods amounts to $3.7 billion as of March 31, 2025. Approximately 86% of this future revenue is expected to be recognized over the next two years and the remaining 14% is expected to be recognized during the third to the fifth year.
Other Income (Expense), net
    Other income (expense), net consists of the following (in millions):
Three Months Ended March 31,
20252024
Interest income$90.2 $63.8 
Other income (expense), net6.0 (1.2)
    Total$96.2 $62.6 
v3.25.1
Acquisition, Goodwill and Acquisition-Related Intangible Assets
 3 Months Ended
Mar. 31, 2025
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
Acquisition, Goodwill and Acquisition-Related Intangible Assets Acquisition, Goodwill and Acquisition-Related Intangible Assets
Acquisitions
    We had no business acquisitions during the three months ended March 31, 2025 and 2024.
Goodwill
    No changes were made to the carrying values of goodwill for the three months ended March 31, 2025 and 2024.
Acquisition-Related Intangible Assets
    Acquisition-related intangible assets, excluding those that are fully amortized, were as follows (in millions, except years):
Gross Carrying AmountAccumulated AmortizationNet Carrying AmountWeighted Average Remaining Useful Life (in years)
December 31, 2024
AdditionsMarch 31, 2025
December 31, 2024
AmortizationMarch 31, 2025
December 31, 2024
March 31, 2025
Developed technology$154.9 $— $154.9 $(119.2)$(3.2)$(122.4)$35.7 $32.5 3.2
Customer relationships54.6 — 54.6 (29.5)(1.9)(31.4)25.1 23.2 3.7
Trade name12.4 — 12.4 (11.2)(0.5)(11.7)1.2 0.7 0.4
Total$221.9 $— $221.9 $(159.9)$(5.6)$(165.5)$62.0 $56.4 3.4
    Amortization expense related to acquisition-related intangible assets was $5.6 million and $6.7 million for the three months ended March 31, 2025 and 2024, respectively.
    As of March 31, 2025, future estimated amortization expense related to the acquisition-related intangible assets is as follows (in millions):
Future Amortization Expense
Remainder of 2025$14.1 
202617.3 
202713.4 
202810.0 
20291.6 
Total $56.4 
v3.25.1
Commitments and Contingencies
 3 Months Ended
Mar. 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Purchase Commitments
    We outsource most of our manufacturing and supply chain management operations to third-party contract manufacturers, who procure components and assemble products on our behalf. A significant portion of purchase orders to our contract manufacturers for finished products consist of non-cancellable purchase commitments. In addition, we purchase strategic component inventory from certain suppliers under non-cancellable purchase commitments, including integrated circuits, which are consigned to our contract manufacturers. As of March 31, 2025, we had non-cancellable purchase commitments not recorded on our balance sheet of $3.5 billion, of which $3.0 billion have expected receipt dates within 12 months, and $0.5 billion have expected receipt dates greater than 12 months. These open purchase orders are considered enforceable and legally binding, and while we may have some limited ability to reschedule, and adjust our requirements based on our business needs prior to the delivery of goods or performance of services, this can only occur with the agreement of the related supplier.
    We also had deposits to our contract manufacturers to secure our purchase commitments in the amount of $80.1 million and $95.8 million as of March 31, 2025 and December 31, 2024, respectively, which were recorded within prepaid expenses and other current assets, as well as other assets in the condensed consolidated balance sheets.
Property project
During the year ended December 31, 2021, we purchased land and the improvements thereon in Santa Clara, California to construct a building for office, lab and data center space. The estimated remaining capital expenditures related to this project are expected to be approximately $215.0 million to $240.0 million for the next two years, with construction expected to be completed by the end of fiscal 2026.
Guarantees
    We have entered into agreements with some of our direct customers and channel partners that contain indemnification provisions relating to potential situations where claims could be alleged that our products infringe the intellectual property rights of a third party. We have, at our option and expense, the ability to repair any infringement, replace product with a non-infringing equivalent-in-function product or refund our customers all or a portion of the value of the product. Other guarantees or indemnification agreements include guarantees of product and service performance and standby letters of credit for leased facilities and corporate credit cards. We have not recorded a liability related to these indemnification and guarantee provisions and our guarantee and indemnification arrangements have not had a significant impact on our consolidated financial statements to date.
Legal Proceedings
    WSOU Investments, LLC
    On November 25, 2020, WSOU Investments LLC ("WSOU") filed a lawsuit against us in the Western District of Texas asserting that certain of our products infringe three WSOU patents. WSOU's allegations are directed to certain features of our wireless and switching products. WSOU seeks remedies including monetary damages, attorney's fees and costs. On February 4, 2021, we filed an answer denying WSOU's allegations. On November 5, 2021, the case was transferred to the Northern District of California. On March 30, 2022, WSOU dismissed one of the patents with prejudice, removing Arista wireless products from those accused of infringement. On July 1, 2022, the court stayed the case pending the resolution of an inter partes review of one of the patents-in-suit. On May 30, 2023, the US Patent Trial and Appeal Board (“PTAB”) ruled all challenged claims in the inter partes review unpatentable. On March 10, 2025, the Federal Circuit affirmed the PTAB’s decision. The parties subsequently agreed to stay the litigation for an additional 90 days to allow WSOU to change counsel.
    We intend to vigorously defend against the claims brought against us by WSOU; however, we cannot be certain that any of WSOU's claims will be resolved in our favor, regardless of the merits of those claims. Any adverse litigation ruling could result in a significant damages award against us and injunctive relief.
    With respect to the legal proceedings described above, it is our belief that while a loss is not probable, it may be reasonably possible. Further, at this stage in the litigation, any possible loss or range of loss cannot be estimated; however, the outcome of litigation is inherently uncertain. Therefore, if this legal matter were resolved against us in a reporting period for a material amount, our consolidated financial statements for that reporting period could be materially adversely affected.
    Other matters
    In the ordinary course of business, we are a party to other claims and legal proceedings including matters relating to commercial, employee relations, business practices and intellectual property.
    We record a provision for contingent losses when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. As of March 31, 2025, provisions recorded for contingent losses related to other claims and matters have not been significant. Based on currently-available information, management does not believe that any additional liabilities relating to other unresolved matters are probable or that the amount of any resulting loss is estimable, and believes these other matters are not likely, individually and in the aggregate, to have a material adverse effect on our financial position, results of operations or cash flows; however, litigation is subject to inherent uncertainties and our view of these matters may change in the future. Were an unfavorable outcome to occur, there exists the possibility of a material adverse impact on our financial position, results of operations or cash flows for the period in which the unfavorable outcome occurs, and potentially in future periods.
v3.25.1
Stockholders’ Equity and Stock-Based Compensation
 3 Months Ended
Mar. 31, 2025
Share-Based Payment Arrangement [Abstract]  
Stockholders’ Equity and Stock-Based Compensation Stockholders’ Equity and Stock-Based Compensation
Stock Repurchase Programs
    Our current repurchase program (the "Existing Repurchase Program") allows for stock repurchases of up to $1.2 billion through May 2027. In May 2025, our board of directors authorized and announced a new $1.5 billion stock repurchase program (the “New Repurchase Program” and together with the Existing Repurchase Program, the "Repurchase Programs"). This authorization allows us to repurchase shares of our common stock that will be funded from working capital. Repurchases may be made at management's discretion from time to time on the open market, through privately negotiated transactions, transactions structured through investment banking institutions, block purchases, trading plans under Rule 10b5-1 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or a combination of the foregoing. The Repurchase Programs do not obligate us to acquire any of our common stock and may be suspended or discontinued by the Company at any time without prior notice. During the three months ended March 31, 2025, we repurchased a total of $787.1 million of our common stock under our Existing Repurchase Program. As of March 31, 2025, the remaining authorized amount for repurchases under the Existing Repurchase Program was $133.9 million. In April 2025, we repurchased an additional $100.0 million of our common stock authorized under the Existing Repurchase Program.
A summary of the stock repurchase activity under the Existing Repurchase Program for the three months ended March 31, 2025 is as follows (in millions, except per share amounts):
Three Months Ended
March 31, 2025
Aggregate purchase price$787.1 
Shares repurchased8.7 
Average price paid per share$90.5 
    The aggregate purchase price of repurchased shares of our common stock is recorded as a reduction to retained earnings in our unaudited condensed consolidated statements of stockholders' equity. All shares repurchased have been retired.
Equity Award Plan Activities
2014 Equity Incentive Plan
     On April 16, 2024, our board of directors adopted an amended and restated Arista Networks, Inc. 2014 Equity Plan ("Restated Plan"), effective April 17, 2024 ("Effective Date") subject to the approval of our stockholders, which was approved at the 2024 Annual Meeting of Stockholders on June 7, 2024.
    The Restated Plan provides for the grant of equity-based awards, including stock options, restricted stock units, restricted stock, stock appreciation rights, and performance awards. The share pool available under the prior version of the Company's 2014 Equity Incentive Plan ("Prior Plan") was extinguished, and the Restated Plan provides for a new share pool not to exceed (i) 52.8 million shares of our Common Stock (“Shares”), plus (ii) any Shares subject to awards under the Prior Plan that, on or after the Effective Date, expired or otherwise terminated without having been exercised in full, or that were forfeited to or repurchased by us, including net settlement of Shares subject to restricted stock units, with the maximum number of Shares to be added to the Restated Plan as a result of clause (ii) equal to 40.2 million Shares. The Restated Plan’s terms are substantially similar to the Prior Plan’s terms, including with respect to treatment of equity awards in the event of a “change in control” as defined under the Restated Plan, but with certain modifications, including the elimination of the automatic “evergreen” share reserve increase provided for under the Prior Plan. As of March 31, 2025, there remained approximately 52.3 million shares available for grant under the Restated Plan.
2014 Employee Stock Purchase Plan
    In April 2014, our board of directors and stockholders approved the 2014 Employee Stock Purchase Plan (“ESPP”). The ESPP became effective on the first day that our common stock was publicly traded. The number of shares reserved for
issuance under the ESPP increases automatically on January 1 of each year by the number of shares equal to 1% of our shares outstanding on the immediately preceding December 31, but not to exceed 40 million shares, unless our board of directors, in its discretion, determines to make a smaller increase. As of March 31, 2025, there remained approximately 104.5 million shares available for issuance under the ESPP.
Under our ESPP, eligible employees are permitted to acquire shares of our common stock at 85% of the lower of the fair market value of our common stock on the first trading day of each offering period or on the exercise date. Each offering period lasts approximately two years starting on the first trading date after February 15 and August 15 of each year, and includes purchase dates every six months on or after February 15 and August 15 of each year. Participants may purchase shares of common stock through payroll deductions up to 15% of their eligible compensation, subject to Internal Revenue Service mandated purchase limits.
During the three months ended March 31, 2025, we issued 0.4 million shares at a weighted-average purchase price of $62.31 per share under the ESPP.
Stock Option Activities
    The following table summarizes the option activity under our stock plans and related information (in millions, except years and per share amounts):
Number of
Shares
Underlying
Outstanding Options		Weighted-
Average
Exercise
Price per Share 		Weighted-
Average
Remaining
Contractual
Term (in years) 		Aggregate
Intrinsic
Value
Balance—December 31, 20243.1 $6.71 1.5$320.9 
       Options granted — — 
       Options exercised (1.0)4.03 
       Options canceled(0.1)14.49 
Balance—March 31, 20252.0 $7.92 1.8$137.8 
Vested and exercisable—March 31, 20251.9 $7.74 1.8$134.8 
Restricted Stock Unit (RSU) Activities
    A summary of the RSU activity is presented below (in millions, except years and per share amounts):
Number of
Shares		Weighted-
Average Grant
Date Fair Value Per Share
Unvested balance—December 31, 202428.6 $45.46 
              RSUs and PRSUs granted1.5 96.18 
              RSUs and PRSUs vested(2.8)38.11 
              RSUs and PRSUs forfeited/canceled(0.9)43.37 
Unvested balance—March 31, 202526.4 $49.36 
Stock-Based Compensation Expense
    The following table summarizes the stock-based compensation expense related to our equity awards (in millions):
Three Months Ended March 31,
20252024
Cost of revenue $5.5 $3.4 
Research and development 57.0 43.8 
Sales and marketing
19.9 18.9 
General and administrative 10.6 11.1 
              Total stock-based compensation $93.0 $77.2 
    As of March 31, 2025, there were $1.1 billion of unamortized compensation costs related to all unvested awards. The unamortized compensation costs are expected to be recognized over a weighted-average period of approximately 4.4 years.
v3.25.1
Net Income Per Share
 3 Months Ended
Mar. 31, 2025
Earnings Per Share [Abstract]  
Net Income Per Share Net Income Per Share
    Basic net income per share is computed using the weighted-average number of shares of common stock outstanding during the period. Diluted net income per share is computed using the weighted-average number of shares of common stock outstanding during the period, including potential common shares assuming the dilutive effect of outstanding stock options, restricted stock units, and the employee stock purchase plan using the treasury stock method. Potential common shares whose effect would have been antidilutive are excluded from the computation of diluted net income per share. The following table sets forth the computation of our basic and diluted net income per share (in millions, except per share amounts):
Three Months Ended March 31,
20252024
Numerator:
Net income$813.8 $637.7 
Denominator:
Basic weighted-average shares outstanding 1,260.0 1,252.1 
Add weighted-average effect of dilutive securities:
    Employee equity awards19.2 27.3 
Diluted weighted-average shares outstanding 1,279.2 1,279.4 
Net income per share:
         Basic $0.65 $0.51 
         Diluted $0.64 $0.50 
    The following weighted-average outstanding shares of common stock equivalents were excluded from the computation of diluted net income per share for the periods presented because their effect would have been anti-dilutive for the periods presented (in millions):
Three Months Ended March 31,
20252024
          Employee equity awards0.9 0.7 
v3.25.1
Income Taxes
 3 Months Ended
Mar. 31, 2025
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes (in millions, except percentages)
 Three Months Ended March 31,
 20252024
Income before income taxes$955.0 $722.8 
Provision for income taxes141.2 85.1 
Effective tax rate14.8 %11.8 %
    The increase in the effective tax rates in the three months ended March 31, 2025, as compared to the same period in 2024, was primarily due to a decrease in the proportion of tax benefits attributable to equity-based compensation versus total pre-tax income.
v3.25.1
Segment and Geographical Information
 3 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
Segment and Geographical Information Segment and Geographical Information
We operate as one reportable segment. The accounting policies of the reportable segment are the same as those described in the summary of significant accounting policies. Our chief operating decision maker ("CODM") is our President, Chief Executive Officer and Chairperson of the Board, who reviews financial information presented on a consolidated basis for purposes of allocating resources and evaluating financial performance. The financial information reviewed by the CODM reflects quarterly and year-to-date operating results, with a primary focus on revenue, gross margin, operating margin and net income as reported on the consolidated statements of income. Consolidated financial information is used by the CODM to evaluate performance and make decisions regarding resource allocation and other strategic initiatives. This consolidated financial information is also what is used to establish and approve operating budgets and forecasts. The measure of segment assets is reported on the consolidated balance sheets in total. There was no change for each of the periods presented in the measurement methods used to determine reported segment profit and loss.
The CODM reviews the following significant segment expenses, which are presented separately on the Company’s consolidated statements of income: cost of product, cost of services, selling and marketing expenses, general and administrative expenses, and research and development expenses. Other segment items that are included in the calculation of the Company’s net income include other income (expense), net, which is further described in Note 3. Financial Statements Details and income taxes, which is further described in Note 8. Income Taxes. Other segment disclosures such as depreciation and amortization and stock-based compensation are disclosed in the Consolidated Statements of Cash Flows.
    The following table represents revenue based on customers’ shipping addresses (in millions):
Three Months Ended March 31,
20252024
Americas(1)
$1,598.5 $1,255.4 
Europe, Middle East and Africa 174.6 141.6 
Asia-Pacific 231.7 174.4 
   Total revenue $2,004.8 $1,571.4 
(1) Includes $1,581.5 million and $1,232.8 million revenue generated from the U.S. for the three months ended March 31, 2025 and March 31, 2024, respectively.
    Long-lived assets, net, excluding intercompany receivables, investments in subsidiaries, privately-held equity investments and deferred tax assets, by location are summarized as follows (in millions):
March 31, 2025December 31, 2024
United States $108.3 $83.5 
International 15.6 15.3 
   Total $123.9 $98.8 
v3.25.1
Pay vs Performance Disclosure - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Pay vs Performance Disclosure    
Net income $ 813.8 $ 637.7
v3.25.1
Insider Trading Arrangements
 3 Months Ended
Mar. 31, 2025
shares
Trading Arrangements, by Individual  
Material Terms of Trading Arrangement
On March 13, 2025, Kenneth Duda, our Chief Technology Officer, Senior Vice President, Software Engineering and Director, adopted a Rule 10b5-1 trading arrangement providing for the sale from time to time of an aggregate of up to 680,000 shares of our common stock held in various trusts for the benefit of Mr. Duda’s family, for which Mr. Duda is the beneficial owner and which is intended to be treated as a single plan. The trading arrangement is intended to satisfy the affirmative defense in Rule 10b5-1(c). The duration of the trading arrangement is until June 18, 2026, or earlier if all transactions under the trading arrangement are completed.
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
Kenneth Duda [Member]  
Trading Arrangements, by Individual  
Name Kenneth Duda
Title Chief Technology Officer, Senior Vice President, Software Engineering and Director
Rule 10b5-1 Arrangement Adopted true
Adoption Date March 13, 2025
Expiration Date June 18, 2026
Arrangement Duration 462 days
Aggregate Available 680,000
v3.25.1
Organization and Summary of Significant Accounting Policies (Policies)
 3 Months Ended
Mar. 31, 2025
Accounting Policies [Abstract]  
Basis of Presentation and Principles of Consolidation
Basis of Presentation and Principles of Consolidation
    The accompanying unaudited condensed consolidated financial statements include the accounts of Arista Networks, Inc. and its wholly-owned subsidiaries and have been prepared in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”) and the requirements of the U.S. Securities and Exchange Commission (the “SEC”) for interim reporting. As permitted under those rules, certain footnotes or other financial information that are normally required by GAAP can be condensed or omitted. In management’s opinion, the unaudited condensed consolidated financial statements have been prepared on the same basis as the audited consolidated financial statements and include all adjustments, which include only normal recurring adjustments, necessary for the fair presentation of our financial information. The results for the three months ended March 31, 2025, are not necessarily indicative of the results expected for the full fiscal year. The condensed consolidated balance sheet as of December 31, 2024 has been derived from the audited consolidated financial statements at that date but does not include all of the information and notes required by GAAP for complete financial statements. All significant inter-company accounts and transactions have been eliminated. Certain reclassifications of prior period amounts were made in the current year to conform to the current period presentation.
On November 7, 2024, the Company announced a four-for-one forward stock split ("Stock Split") of the Company’s common stock that was effected through the filing of an amendment to the Company's Amended and Restated Certificate of Incorporation ("Amendment") on December 3, 2024. The Stock Split proportionately increased the authorized shares of common stock, and all share and per share amounts presented herein have been retroactively adjusted to reflect the impact of the Stock Split.
    Our condensed consolidated financial statements and related financial information in this Quarterly Report on Form 10-Q should be read in conjunction with the audited consolidated financial statements and related footnotes included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024, filed with the SEC on February 18, 2025.
Use of Estimates
Use of Estimates
    The preparation of the accompanying consolidated financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the amounts reported and disclosed in the consolidated financial statements and accompanying notes. Those estimates and assumptions include, but are not limited to, valuation of inventory and contract manufacturer/supplier liabilities, accounting for income taxes, including the recognition of deferred tax assets and liabilities, valuation allowance on deferred tax assets and reserves for uncertain tax positions, revenue recognition and deferred revenue, valuation of goodwill and acquisition-related intangible assets, estimate of useful lives of long-lived assets including intangible assets, and the recognition and measurement of contingent liabilities. We evaluate our estimates and assumptions based on historical experience and other factors and adjust these estimates and assumptions when facts and circumstances dictate. Actual results could differ materially from these estimates.
Recent Accounting Pronouncements Not Yet Effective
Recent Accounting Pronouncements Not Yet Effective
In December 2023, the Financial Accounting Standards Board ("FASB") issued ASU 2023-09, Income Taxes (Topic 740)-Improvements to Income Tax Disclosures. The ASU requires that an entity disclose specific categories in the effective tax rate reconciliation as well as provide additional information for reconciling items that meet a quantitative threshold. Further, the ASU requires certain disclosures of state versus federal income tax expense and taxes paid. The amendments in this ASU are required to be adopted for fiscal years beginning after December 15, 2024. Early adoption is permitted for annual financial statements that have not yet been issued. The amendments should be applied on a prospective basis although retrospective
application is permitted. We will adopt the standard in our 2025 annual period and are currently evaluating the impact that the updated standard will have on our financial statement disclosures.
In November 2024, the FASB issued ASU No. 2024-03, Disaggregation of Income Statement Expenses (Subtopic 220-40). The ASU requires the disaggregated disclosure of specific expense categories, including purchases of inventory, employee compensation, depreciation, and amortization, within relevant income statement captions. This ASU also requires disclosure of the total amount of selling expenses along with the definition of selling expenses. The ASU is effective for annual periods beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027. Adoption of this ASU can either be applied prospectively to consolidated financial statements issued for reporting periods after the effective date of this ASU or retrospectively to any or all prior periods presented in the consolidated financial statements. Early adoption is also permitted. This ASU will likely result in the required additional disclosures being included in our consolidated financial statements, once adopted. We are currently evaluating the impact of future adoption on our financial statement disclosures.
v3.25.1
Fair Value Measurements (Tables)
 3 Months Ended
Mar. 31, 2025
Fair Value Disclosures [Abstract]  
Schedule of Fair Value of Financial Assets by Level The following tables summarize the fair value of these financial assets by significant investment category and their levels within the fair value hierarchy (in millions):
March 31, 2025December 31, 2024
Level ILevel IILevel IIITotal Level ILevel IILevel IIITotal
Financial Assets:
Cash Equivalents:
Money market funds $782.7 $— $— $782.7 $1,707.5 $— $— $1,707.5 
Commercial paper— 62.1 — 62.1 — — — — 
U.S. government notes288.9 — — 288.9 31.4 — — 31.4 
Agency securities— — — — — 3.0 — 3.0 
1,071.6 62.1 — 1,133.7 1,738.9 3.0 — 1,741.9 
Marketable Securities:
Commercial paper— 43.3 — 43.3 — 48.8 — 48.8 
U.S. government notes2,094.8 — — 2,094.8 1,921.5 — — 1,921.5 
Corporate bonds— 3,111.8 — 3,111.8 — 2,593.6 — 2,593.6 
Agency securities— 1,054.6 — 1,054.6 — 977.2 — 977.2 
2,094.8 4,209.7 — 6,304.5 1,921.5 3,619.6 — 5,541.1 
Other Assets:
Money market funds - restricted1.4 — — 1.4 1.4 — — 1.4 
Total Financial Assets$3,167.8 $4,271.8 $— $7,439.6 $3,661.8 $3,622.6 $— $7,284.4 
The following table summarizes the amortized cost, unrealized gains and losses, and fair value of our debt securities measured at fair value on a recurring basis (in millions):
March 31, 2025December 31, 2024
Amortized CostUnrealized GainsUnrealized LossesFair ValueAmortized CostUnrealized GainsUnrealized LossesFair Value
Commercial paper$105.4 $— $— $105.4 $48.8 $— $— $48.8 
U.S. government2,380.1 5.2 (1.6)2,383.7 1,954.8 2.7 (4.6)1,952.9 
Corporate bonds3,107.2 7.3 (2.7)3,111.8 2,595.7 4.4 (6.5)2,593.5 
Agency securities1,053.7 1.8 (0.9)1,054.6 981.0 1.6 (2.4)980.3 
Total $6,646.4 $14.3 $(5.2)$6,655.5 $5,580.3 $8.7 $(13.5)$5,575.5 
Schedule of Debt Securities, Available-for-Sale, Unrealized Loss Position, Fair Value The following table is an analysis of our debt securities in unrealized loss positions (in millions):
March 31, 2025
Unrealized Losses within 12 months Unrealized Losses 12 months or greaterTotal
Fair ValueUnrealized LossesFair ValueUnrealized LossesFair ValueUnrealized Losses
U.S. government notes$859.3 $(1.6)$— $— $859.3 $(1.6)
Corporate bonds896.6 (2.7)2.8 — 899.4 (2.7)
Agency securities483.5 (0.9)— — 483.5 (0.9)
Total $2,239.4 $(5.2)$2.8 $— $2,242.2 $(5.2)
Schedule of Fair Value of Available-for-Sale Investments by Contractual Maturity The fair values of marketable debt securities, by remaining contractual maturities, are as follows (in millions):
March 31, 2025
Fair Value
Due in 1 year or less$2,534.6 
Due in 1 to 3 years3,769.9 
Total debt securities $6,304.5 
v3.25.1
Financial Statements Details (Tables)
 3 Months Ended
Mar. 31, 2025
Balance Sheet Components [Abstract]  
Schedule of Inventories Inventories consist of the following (in millions):
March 31, 2025December 31, 2024
Raw materials $576.2 $565.4 
Finished goods(1)
1,381.1 1,269.2 
   Total inventories $1,957.3 $1,834.6 
(1) The balance includes evaluation inventory held at customers or partners totaling $435.8 million and $422.1 million as of March 31, 2025 and December 31, 2024, respectively.
Schedule of Property and Equipment, Net Property and equipment, net consists of the following (in millions):
March 31, 2025December 31, 2024
Land$47.3 $47.2 
Equipment and machinery 167.9 160.7 
Computer hardware and software 64.9 63.9 
Leasehold improvements
34.8 34.7 
Furniture and fixtures 3.5 3.5 
Construction-in-process 32.9 8.2 
    Property and equipment, gross 351.3 318.2 
Less: accumulated depreciation (227.4)(219.4)
    Property and equipment, net $123.9 $98.8 
Schedule of Contract Assets, Contract Liabilities and Deferred Revenue The following table summarizes the activity related to our contract liabilities (in millions):
Three Months Ended March 31,
20252024
Contract liabilities, beginning balance$160.8 $133.2 
Less: Revenue recognized from beginning balance(12.9)(12.0)
Less: Beginning balance reclassified to deferred revenue(6.4)(6.5)
Add: Contract liabilities recognized19.0 24.9 
Contract liabilities, ending balance$160.5 $139.6 
The following table summarizes the activity related to our deferred revenue (in millions):
Three Months Ended March 31,
20252024
Deferred revenue, beginning balance
$2,791.4 $1,506.2 
Less: Revenue recognized from beginning balance(418.3)(284.3)
Add: Deferral of revenue in current period, excluding amounts recognized during the period715.7 441.3 
Deferred revenue, ending balance$3,088.8 $1,663.2 
Schedule of Other Income (Expense), Net Other income (expense), net consists of the following (in millions):
Three Months Ended March 31,
20252024
Interest income$90.2 $63.8 
Other income (expense), net6.0 (1.2)
    Total$96.2 $62.6 
v3.25.1
Acquisition, Goodwill and Acquisition-Related Intangible Assets (Tables)
 3 Months Ended
Mar. 31, 2025
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
Schedule of Finite-lived Intangible Assets Acquisition-related intangible assets, excluding those that are fully amortized, were as follows (in millions, except years):
Gross Carrying AmountAccumulated AmortizationNet Carrying AmountWeighted Average Remaining Useful Life (in years)
December 31, 2024
AdditionsMarch 31, 2025
December 31, 2024
AmortizationMarch 31, 2025
December 31, 2024
March 31, 2025
Developed technology$154.9 $— $154.9 $(119.2)$(3.2)$(122.4)$35.7 $32.5 3.2
Customer relationships54.6 — 54.6 (29.5)(1.9)(31.4)25.1 23.2 3.7
Trade name12.4 — 12.4 (11.2)(0.5)(11.7)1.2 0.7 0.4
Total$221.9 $— $221.9 $(159.9)$(5.6)$(165.5)$62.0 $56.4 3.4
Schedule of Finite-lived Intangible Assets, Future Amortization Expense As of March 31, 2025, future estimated amortization expense related to the acquisition-related intangible assets is as follows (in millions):
Future Amortization Expense
Remainder of 2025$14.1 
202617.3 
202713.4 
202810.0 
20291.6 
Total $56.4 
v3.25.1
Stockholders’ Equity and Stock-Based Compensation (Tables)
 3 Months Ended
Mar. 31, 2025
Share-Based Payment Arrangement [Abstract]  
Schedule of Shares Repurchased
A summary of the stock repurchase activity under the Existing Repurchase Program for the three months ended March 31, 2025 is as follows (in millions, except per share amounts):
Three Months Ended
March 31, 2025
Aggregate purchase price$787.1 
Shares repurchased8.7 
Average price paid per share$90.5 
Schedule of Option Activity The following table summarizes the option activity under our stock plans and related information (in millions, except years and per share amounts):
Number of
Shares
Underlying
Outstanding Options		Weighted-
Average
Exercise
Price per Share 		Weighted-
Average
Remaining
Contractual
Term (in years) 		Aggregate
Intrinsic
Value
Balance—December 31, 20243.1 $6.71 1.5$320.9 
       Options granted — — 
       Options exercised (1.0)4.03 
       Options canceled(0.1)14.49 
Balance—March 31, 20252.0 $7.92 1.8$137.8 
Vested and exercisable—March 31, 20251.9 $7.74 1.8$134.8 
Schedule of Restricted Stock Units Activity A summary of the RSU activity is presented below (in millions, except years and per share amounts):
Number of
Shares		Weighted-
Average Grant
Date Fair Value Per Share
Unvested balance—December 31, 202428.6 $45.46 
              RSUs and PRSUs granted1.5 96.18 
              RSUs and PRSUs vested(2.8)38.11 
              RSUs and PRSUs forfeited/canceled(0.9)43.37 
Unvested balance—March 31, 202526.4 $49.36 
Schedule of Stock-based Compensation Expense The following table summarizes the stock-based compensation expense related to our equity awards (in millions):
Three Months Ended March 31,
20252024
Cost of revenue $5.5 $3.4 
Research and development 57.0 43.8 
Sales and marketing
19.9 18.9 
General and administrative 10.6 11.1 
              Total stock-based compensation $93.0 $77.2 
v3.25.1
Net Income Per Share (Tables)
 3 Months Ended
Mar. 31, 2025
Earnings Per Share [Abstract]  
Schedule of Basic and Diluted Net Income Per Share Available to Common Stock The following table sets forth the computation of our basic and diluted net income per share (in millions, except per share amounts):
Three Months Ended March 31,
20252024
Numerator:
Net income$813.8 $637.7 
Denominator:
Basic weighted-average shares outstanding 1,260.0 1,252.1 
Add weighted-average effect of dilutive securities:
    Employee equity awards19.2 27.3 
Diluted weighted-average shares outstanding 1,279.2 1,279.4 
Net income per share:
         Basic $0.65 $0.51 
         Diluted $0.64 $0.50 
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share The following weighted-average outstanding shares of common stock equivalents were excluded from the computation of diluted net income per share for the periods presented because their effect would have been anti-dilutive for the periods presented (in millions):
Three Months Ended March 31,
20252024
          Employee equity awards0.9 0.7 
v3.25.1
Income Taxes (Tables)
 3 Months Ended
Mar. 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of Income Tax Expense (Benefit)
 Three Months Ended March 31,
 20252024
Income before income taxes$955.0 $722.8 
Provision for income taxes141.2 85.1 
Effective tax rate14.8 %11.8 %
v3.25.1
Segment and Geographical Information (Tables)
 3 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
Schedule of Revenue and Long-lived Assets, by Location The following table represents revenue based on customers’ shipping addresses (in millions):
Three Months Ended March 31,
20252024
Americas(1)
$1,598.5 $1,255.4 
Europe, Middle East and Africa 174.6 141.6 
Asia-Pacific 231.7 174.4 
   Total revenue $2,004.8 $1,571.4 
(1) Includes $1,581.5 million and $1,232.8 million revenue generated from the U.S. for the three months ended March 31, 2025 and March 31, 2024, respectively.
    Long-lived assets, net, excluding intercompany receivables, investments in subsidiaries, privately-held equity investments and deferred tax assets, by location are summarized as follows (in millions):
March 31, 2025December 31, 2024
United States $108.3 $83.5 
International 15.6 15.3 
   Total $123.9 $98.8 
v3.25.1
Organization and Summary of Significant Accounting Policies (Details)
 1 Months Ended
Nov. 07, 2024
Dec. 31, 2024
Accounting Policies [Abstract]    
Stock split ratio 4 4
v3.25.1
Fair Value Measurements - Fair Value of Financial Assets by Level (Details) - USD ($)
$ in Millions
Mar. 31, 2025
Dec. 31, 2024
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: $ 1,133.7 $ 1,741.9
Marketable Securities: 6,304.5  
Total Financial Assets 7,439.6 7,284.4
Debt Securities, Available-for-Sale, Fair Value to Amortized Cost, after Allowance for Credit Loss [Abstract]    
Amortized Cost 6,646.4 5,580.3
Unrealized Gains 14.3 8.7
Unrealized Losses (5.2) (13.5)
Fair Value 6,655.5 5,575.5
Marketable securities    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities 6,304.5 5,541.1
Commercial paper    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities: 43.3 48.8
Debt Securities, Available-for-Sale, Fair Value to Amortized Cost, after Allowance for Credit Loss [Abstract]    
Amortized Cost 105.4 48.8
Unrealized Gains 0.0 0.0
Unrealized Losses 0.0 0.0
Fair Value 105.4 48.8
U.S. government notes    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities: 2,094.8 1,921.5
Debt Securities, Available-for-Sale, Fair Value to Amortized Cost, after Allowance for Credit Loss [Abstract]    
Amortized Cost 2,380.1 1,954.8
Unrealized Gains 5.2 2.7
Unrealized Losses (1.6) (4.6)
Fair Value 2,383.7 1,952.9
Corporate bonds    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities: 3,111.8 2,593.6
Debt Securities, Available-for-Sale, Fair Value to Amortized Cost, after Allowance for Credit Loss [Abstract]    
Amortized Cost 3,107.2 2,595.7
Unrealized Gains 7.3 4.4
Unrealized Losses (2.7) (6.5)
Fair Value 3,111.8 2,593.5
Agency securities    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities: 1,054.6 977.2
Debt Securities, Available-for-Sale, Fair Value to Amortized Cost, after Allowance for Credit Loss [Abstract]    
Amortized Cost 1,053.7 981.0
Unrealized Gains 1.8 1.6
Unrealized Losses (0.9) (2.4)
Fair Value 1,054.6 980.3
Money market funds - restricted    
Assets, Fair Value Disclosure [Abstract]    
Money market funds - restricted 1.4 1.4
Money market funds    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 782.7 1,707.5
Commercial paper    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 62.1 0.0
U.S. government notes    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 288.9 31.4
Agency securities    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 0.0 3.0
Level I    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 1,071.6 1,738.9
Total Financial Assets 3,167.8 3,661.8
Level I | Marketable securities    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities 2,094.8 1,921.5
Level I | Commercial paper    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities: 0.0 0.0
Level I | U.S. government notes    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities: 2,094.8 1,921.5
Level I | Corporate bonds    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities: 0.0 0.0
Level I | Agency securities    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities: 0.0 0.0
Level I | Money market funds - restricted    
Assets, Fair Value Disclosure [Abstract]    
Money market funds - restricted 1.4 1.4
Level I | Money market funds    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 782.7 1,707.5
Level I | Commercial paper    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 0.0 0.0
Level I | U.S. government notes    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 288.9 31.4
Level I | Agency securities    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 0.0 0.0
Level II    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 62.1 3.0
Total Financial Assets 4,271.8 3,622.6
Level II | Marketable securities    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities 4,209.7 3,619.6
Level II | Commercial paper    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities: 43.3 48.8
Level II | U.S. government notes    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities: 0.0 0.0
Level II | Corporate bonds    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities: 3,111.8 2,593.6
Level II | Agency securities    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities: 1,054.6 977.2
Level II | Money market funds - restricted    
Assets, Fair Value Disclosure [Abstract]    
Money market funds - restricted 0.0 0.0
Level II | Money market funds    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 0.0 0.0
Level II | Commercial paper    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 62.1 0.0
Level II | U.S. government notes    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 0.0 0.0
Level II | Agency securities    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 0.0 3.0
Level III    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 0.0 0.0
Total Financial Assets 0.0 0.0
Level III | Marketable securities    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities 0.0 0.0
Level III | Commercial paper    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities: 0.0 0.0
Level III | U.S. government notes    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities: 0.0 0.0
Level III | Corporate bonds    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities: 0.0 0.0
Level III | Agency securities    
Assets, Fair Value Disclosure [Abstract]    
Marketable Securities: 0.0 0.0
Level III | Money market funds - restricted    
Assets, Fair Value Disclosure [Abstract]    
Money market funds - restricted 0.0 0.0
Level III | Money market funds    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 0.0 0.0
Level III | Commercial paper    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 0.0 0.0
Level III | U.S. government notes    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: 0.0 0.0
Level III | Agency securities    
Assets, Fair Value Disclosure [Abstract]    
Cash Equivalents: $ 0.0 $ 0.0
v3.25.1
Fair Value Measurements - Narrative (Details)
 3 Months Ended
Mar. 31, 2025
Fair Value Disclosures [Abstract]  
Invested marketable securities, maximum maturity period (in years) 3 years
Marketable securities, weighted average remaining duration (in years) 1 year 3 months 18 days
v3.25.1
Fair Value Measurements - Unrealized Loss Position (Details)
$ in Millions
Mar. 31, 2025
USD ($)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]  
Unrealized Losses within 12 months, Fair Value $ 2,239.4
Unrealized Losses within 12 months, Unrealized Losses (5.2)
Unrealized Losses 12 months or greater, Fair Value 2.8
Unrealized Losses 12 months or greater, Unrealized Losses 0.0
Total, Fair Value 2,242.2
Total, Unrealized Losses (5.2)
U.S. government notes  
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]  
Unrealized Losses within 12 months, Fair Value 859.3
Unrealized Losses within 12 months, Unrealized Losses (1.6)
Unrealized Losses 12 months or greater, Fair Value 0.0
Unrealized Losses 12 months or greater, Unrealized Losses 0.0
Total, Fair Value 859.3
Total, Unrealized Losses (1.6)
Corporate bonds  
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]  
Unrealized Losses within 12 months, Fair Value 896.6
Unrealized Losses within 12 months, Unrealized Losses (2.7)
Unrealized Losses 12 months or greater, Fair Value 2.8
Unrealized Losses 12 months or greater, Unrealized Losses 0.0
Total, Fair Value 899.4
Total, Unrealized Losses (2.7)
Agency securities  
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]  
Unrealized Losses within 12 months, Fair Value 483.5
Unrealized Losses within 12 months, Unrealized Losses (0.9)
Unrealized Losses 12 months or greater, Fair Value 0.0
Unrealized Losses 12 months or greater, Unrealized Losses 0.0
Total, Fair Value 483.5
Total, Unrealized Losses $ (0.9)
v3.25.1
Fair Value Measurements - Investment by Maturity Dates (Details)
$ in Millions
Mar. 31, 2025
USD ($)
Fair Value Disclosures [Abstract]  
Due in 1 year or less $ 2,534.6
Due in 1 to 3 years 3,769.9
Total debt securities $ 6,304.5
v3.25.1
Financial Statements Details - Inventories (Details) - USD ($)
$ in Millions
Mar. 31, 2025
Dec. 31, 2024
Inventories    
Raw materials $ 576.2 $ 565.4
Finished goods 1,381.1 1,269.2
Total inventories 1,957.3 1,834.6
Inventory [Line Items]    
Finished goods 1,381.1 1,269.2
Evaluation Inventory    
Inventories    
Finished goods 435.8 422.1
Inventory [Line Items]    
Finished goods $ 435.8 $ 422.1
v3.25.1
Financial Statements Details - Property and Equipment, net (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Dec. 31, 2024
Property, Plant and Equipment [Line Items]      
Property and equipment, gross $ 351.3   $ 318.2
Less: accumulated depreciation (227.4)   (219.4)
Property and equipment, net 123.9   98.8
Depreciation 8.0 $ 8.6  
Land      
Property, Plant and Equipment [Line Items]      
Property and equipment, gross 47.3   47.2
Equipment and machinery      
Property, Plant and Equipment [Line Items]      
Property and equipment, gross 167.9   160.7
Computer hardware and software      
Property, Plant and Equipment [Line Items]      
Property and equipment, gross 64.9   63.9
Leasehold improvements      
Property, Plant and Equipment [Line Items]      
Property and equipment, gross 34.8   34.7
Furniture and fixtures      
Property, Plant and Equipment [Line Items]      
Property and equipment, gross 3.5   3.5
Construction-in-process      
Property, Plant and Equipment [Line Items]      
Property and equipment, gross $ 32.9   $ 8.2
v3.25.1
Financial Statements Details - Contract Liabilities (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Change in Contract with Customer, Liability [Roll Forward]    
Contract liabilities, beginning balance $ 160.8 $ 133.2
Less: Revenue recognized from beginning balance (12.9) (12.0)
Less: Beginning balance reclassified to deferred revenue (6.4) (6.5)
Add: Contract liabilities recognized 19.0 24.9
Contract liabilities, ending balance 160.5 $ 139.6
Other Current Liabilities    
Change in Contract with Customer, Liability [Roll Forward]    
Contract liabilities, beginning balance 65.7  
Contract liabilities, ending balance $ 66.3  
v3.25.1
Financial Statements Details - Deferred Revenue (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Change in Contract with Customer, Liability [Roll Forward]    
Deferred revenue, beginning balance $ 2,791.4 $ 1,506.2
Less: Revenue recognized from beginning balance (418.3) (284.3)
Add: Deferral of revenue in current period, excluding amounts recognized during the period 715.7 441.3
Deferred revenue, ending balance $ 3,088.8 $ 1,663.2
v3.25.1
Financial Statements Details - Other Performance Obligations (Details) - USD ($)
$ in Millions
Mar. 31, 2025
Mar. 31, 2024
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]    
Revenue, remaining performance obligation including contract liabilities, deferred revenue and other performance obligations, amount   $ 3,700.0
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-04-01    
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]    
Revenue, performance obligation (as a percent) 86.00%  
Revenue, performance obligation, period (in years) 2 years  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-04-01    
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]    
Revenue, performance obligation (as a percent) 14.00%  
Revenue, performance obligation, period (in years) 3 years  
Unbilled Revenues    
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]    
Revenue, remaining performance obligation, amount $ 357.2  
Product    
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]    
Revenue, remaining performance obligation, amount 62.7  
Product | Unbilled Revenues    
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]    
Revenue, remaining performance obligation, amount $ 419.9  
v3.25.1
Financial Statements Details - Other Income (Expense), net (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Balance Sheet Components [Abstract]    
Interest income $ 90.2 $ 63.8
Other income (expense), net 6.0 (1.2)
Total $ 96.2 $ 62.6
v3.25.1
Acquisition, Goodwill and Acquisition-Related Intangible Assets - Narrative (Details)
$ in Millions
 3 Months Ended
Mar. 31, 2025
USD ($)
acquisition
Mar. 31, 2024
USD ($)
acquisition
Business Acquisition [Line Items]    
Number of completed acquisitions | acquisition 0 0
Amortization of intangible assets $ 5.6  
Privately-held Technology Company    
Business Acquisition [Line Items]    
Amortization of intangible assets $ 5.6 $ 6.7
v3.25.1
Acquisition, Goodwill and Acquisition-Related Intangible Assets - Acquisition-related Intangible Assets (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2025
Dec. 31, 2024
Finite-lived Intangible Assets [Roll Forward]    
Gross Carrying Amount, beginning balance $ 221.9  
Accumulated Amortization, beginning balance (159.9)  
Gross Carrying Amount, Additions 0.0  
Accumulated Amortization, Amortization (5.6)  
Gross Carrying Amount, ending balance 221.9  
Accumulated Amortization, ending balance (165.5)  
Net Carrying Amount $ 56.4 $ 62.0
Weighted Average Remaining Useful Life (in years) 3 years 4 months 24 days  
Developed technology    
Finite-lived Intangible Assets [Roll Forward]    
Gross Carrying Amount, beginning balance $ 154.9  
Accumulated Amortization, beginning balance (119.2)  
Gross Carrying Amount, Additions 0.0  
Accumulated Amortization, Amortization (3.2)  
Gross Carrying Amount, ending balance 154.9  
Accumulated Amortization, ending balance (122.4)  
Net Carrying Amount $ 32.5 35.7
Weighted Average Remaining Useful Life (in years) 3 years 2 months 12 days  
Customer relationships    
Finite-lived Intangible Assets [Roll Forward]    
Gross Carrying Amount, beginning balance $ 54.6  
Accumulated Amortization, beginning balance (29.5)  
Gross Carrying Amount, Additions 0.0  
Accumulated Amortization, Amortization (1.9)  
Gross Carrying Amount, ending balance 54.6  
Accumulated Amortization, ending balance (31.4)  
Net Carrying Amount $ 23.2 25.1
Weighted Average Remaining Useful Life (in years) 3 years 8 months 12 days  
Trade name    
Finite-lived Intangible Assets [Roll Forward]    
Gross Carrying Amount, beginning balance $ 12.4  
Accumulated Amortization, beginning balance (11.2)  
Gross Carrying Amount, Additions 0.0  
Accumulated Amortization, Amortization (0.5)  
Gross Carrying Amount, ending balance 12.4  
Accumulated Amortization, ending balance (11.7)  
Net Carrying Amount $ 0.7 $ 1.2
Weighted Average Remaining Useful Life (in years) 4 months 24 days  
v3.25.1
Acquisition, Goodwill and Acquisition-Related Intangible Assets - Future Estimated Amortization Expense (Details) - USD ($)
$ in Millions
Mar. 31, 2025
Dec. 31, 2024
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]    
Remainder of 2025 $ 14.1  
2026 17.3  
2027 13.4  
2028 10.0  
2029 1.6  
Net Carrying Amount $ 56.4 $ 62.0
v3.25.1
Commitments and Contingencies (Details)
$ in Millions
 3 Months Ended
Mar. 10, 2025
Jul. 01, 2022
patent
Mar. 30, 2022
patent
Nov. 25, 2020
patent
Mar. 31, 2025
USD ($)
Dec. 31, 2024
USD ($)
Long-term Purchase Commitment [Line Items]            
Non-cancellable purchase commitments         $ 3,500.0  
Non-cancellable purchase commitments, due in next twelve months         3,000.0  
Non-cancelable purchase commitments, due after next twelve months         $ 500.0  
Capital expenditure, remaining recognition period         2 years  
Patents allegedly infringed, number | patent       3    
Patents found not infringed, number | patent     1      
Patents under review, number | patent   1        
Loss contingency, additional litigation stay period 90 days          
Prepaid Expenses and Other Current Assets            
Long-term Purchase Commitment [Line Items]            
Deposits to purchase inventory         $ 80.1 $ 95.8
Minimum            
Long-term Purchase Commitment [Line Items]            
Estimated capital expenditures         215.0  
Maximum            
Long-term Purchase Commitment [Line Items]            
Estimated capital expenditures         $ 240.0  
v3.25.1
Stockholders’ Equity and Stock-Based Compensation - Narrative (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
 1 Months Ended 3 Months Ended
Jan. 01, 2024
Apr. 30, 2025
Mar. 31, 2025
Mar. 31, 2024
May 06, 2025
Apr. 17, 2024
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Aggregate purchase price     $ 787.1 $ 62.7    
Restated Plan            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Share-based compensation arrangement by share-based payment award, maximum, number of outstanding stock (in shares)           52.8
Share-based compensation arrangement by share-based payment award, number of shares authorized (in shares)           40.2
2014 Employee Stock Purchase Plan            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Percent of shares outstanding to increase number of shares available for grant and issuance (as a percent) 1.00%          
Maximum increase of number of shares available for issuance (in shares)     40.0      
Percentage of share cost offered to eligible employees for share purchases (as a percent)     85.00%      
Offering period     2 years      
Purchase period term     6 months      
Maximum percentage of payroll deductions per employee (as a percent)     0.15      
Stock Option            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Unamortized compensation costs     $ 1,100.0      
Unamortized compensation costs weighted-average period (in years)     4 years 4 months 24 days      
Stock Option | Restated Plan            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Common stock reserved for issuance (in shares)     52.3      
Employee Stock | 2014 Employee Stock Purchase Plan            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Common stock reserved for issuance (in shares)     104.5      
Shares issued (in shares)     0.4      
Weighted-average purchase price (in dollars per share)     $ 62.31      
New Repurchase Program | Subsequent Event            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Authorized amount for stock repurchases         $ 1,500.0  
Existing Repurchase Program            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Authorized amount for stock repurchases     $ 1,200.0      
Aggregate purchase price     787.1      
Remaining authorized repurchase amount     $ 133.9      
Existing Repurchase Program | Subsequent Event            
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]            
Aggregate purchase price   $ 100.0        
v3.25.1
Stockholders’ Equity and Stock-Based Compensation - Stock Repurchase Program (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Share-Based Payment Arrangement [Abstract]    
Aggregate purchase price $ 787.1 $ 62.7
Shares repurchased (in shares) 8.7  
Average price paid per share (in dollars per share) $ 90.5  
v3.25.1
Stockholders’ Equity and Stock-Based Compensation - Stock Option Activities (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
 3 Months Ended 12 Months Ended
Mar. 31, 2025
Dec. 31, 2024
Number of Shares Underlying Outstanding Options    
Outstanding, beginning balance (in shares) 3.1  
Options granted (in shares) 0.0  
Options exercised (in shares) (1.0)  
Options canceled (in shares) (0.1)  
Outstanding, ending balance (in shares) 2.0 3.1
Vested and exercisable (in shares) 1.9  
Weighted- Average Exercise Price per Share    
Outstanding, beginning balance (in dollars per share) $ 6.71  
Options granted (in dollars per share) 0  
Options exercised (in dollars per share) 4.03  
Options canceled (in dollars per share) 14.49  
Outstanding, ending balance (in dollars per share) 7.92 $ 6.71
Vested and exercisable (in dollars per share) $ 7.74  
Weighted- Average Remaining Contractual Term (in Years) and Aggregate Intrinsic Value    
Weighted-average remaining contractual term of stock options outstanding (in years) 1 year 9 months 18 days 1 year 6 months
Weighted-average remaining contractual term of stock options vested and exercisable (in years) 1 year 9 months 18 days  
Aggregate intrinsic value of stock options outstanding $ 137.8 $ 320.9
Aggregate intrinsic value of stock options outstanding, vested and exercisable $ 134.8  
v3.25.1
Stockholders’ Equity and Stock-Based Compensation - Restricted Stock Unit (RSU) Activities (Details) - Restricted Stock Units (RSUs) including PRSUs
shares in Millions
 3 Months Ended
Mar. 31, 2025
$ / shares
shares
Number of Shares  
Unvested beginning balance (in shares) | shares 28.6
RSUs and PRSUs granted (in shares) | shares 1.5
RSUs and PRSUs vested (in shares) | shares (2.8)
RSUs and PRSUs forfeited/canceled (in shares) | shares (0.9)
Unvested ending balance (in shares) | shares 26.4
Weighted- Average Grant Date Fair Value Per Share  
Unvested beginning balance (in dollars per share) | $ / shares $ 45.46
RSUs and PRSUs granted (in dollars per share) | $ / shares 96.18
RSUs and PRSUs vested (in dollars per share) | $ / shares 38.11
RSUs and PRSUs forfeited/canceled (in dollars per share) | $ / shares 43.37
Unvested ending balance (in dollars per share) | $ / shares $ 49.36
v3.25.1
Stockholders’ Equity and Stock-Based Compensation - Stock-Based Compensation Expense (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Total stock-based compensation $ 93.0 $ 77.2
Cost of revenue    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Total stock-based compensation 5.5 3.4
Research and development    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Total stock-based compensation 57.0 43.8
Sales and marketing    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Total stock-based compensation 19.9 18.9
General and administrative    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Total stock-based compensation $ 10.6 $ 11.1
v3.25.1
Net Income Per Share - Basic and Diluted Net Income Per Share (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Numerator:    
Net income $ 813.8 $ 637.7
Net income $ 813.8 $ 637.7
Denominator:    
Basic weighted-average shares outstanding (in shares) [1] 1,260.0 1,252.1
Add weighted-average effect of dilutive securities:    
Employee equity awards (in shares) 19.2 27.3
Diluted weighted-average shares outstanding (in shares) [1] 1,279.2 1,279.4
Net income per share:    
Basic (in dollars per share) [1] $ 0.65 $ 0.51
Diluted (in dollars per share) [1] $ 0.64 $ 0.50
[1] Prior period results have been adjusted to reflect the four-for-one stock split effected in December 2024. See Note 1, Organization and Summary of Accounting Policies, for details.
v3.25.1
Net Income Per Share - Antidilutive Securities Excluded from Earnings Per Share (Details) - shares
shares in Millions
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Earnings Per Share [Abstract]    
Employee equity awards (in shares) 0.9 700.0
v3.25.1
Income Taxes (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Income Tax Disclosure [Abstract]    
Income before income taxes $ 955.0 $ 722.8
Provision for income taxes $ 141.2 $ 85.1
Effective tax rate 14.80% 11.80%
v3.25.1
Segment and Geographical Information (Details)
$ in Millions
 3 Months Ended
Mar. 31, 2025
USD ($)
segment
Mar. 31, 2024
USD ($)
Dec. 31, 2024
USD ($)
Segment Reporting [Abstract]      
Number of reportable segments | segment 1    
Revenues from External Customers and Long-Lived Assets [Line Items]      
Total revenue $ 2,004.8 $ 1,571.4  
Long-lived assets 123.9   $ 98.8
Americas      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Total revenue 1,598.5 1,255.4  
Europe, Middle East and Africa      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Total revenue 174.6 141.6  
Asia-Pacific      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Total revenue 231.7 174.4  
United States      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Total revenue 1,581.5 $ 1,232.8  
Long-lived assets 108.3   83.5
International      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Long-lived assets $ 15.6   $ 15.3